Vestas is confirming it has entered into a conditional agreement with MidAmerican Energy Co. to supply up to 1,000 V110-2.0 MW wind turbines for MidAmerican’s 2 GW Wind XI project in Iowa.
With the investment in Wind XI, the utility, a subsidiary of Berkshire Hathaway Energy, would generate 85% of its retail load from wind. However, the project is still pending approval from the Iowa Utilities Board (IUB).
The conditional agreement also includes exclusivity provisions for Vestas to supply 100% of MidAmerican’s 2016 production tax credit safe harbor components.
In addition, the agreement includes supply and commissioning of the wind turbines, as well as a five-year Active Output Management 4000 service agreement with extension options of up to 10 years. Pending the IUB’s approval of the project, delivery and commissioning of the turbines will take place from 2016 to 2019.
“This project, if approved, will bring considerable economic benefits to MidAmerican’s ratepayers and communities, and Vestas is proud to partner with MidAmerican Energy in their commitment to generate 100 percent renewable energy,” says Chris Brown, president of Vestas’ sales and service division in the U.S. and Canada.
According to Vestas, Wind XI follows MidAmerican’s first-of-its-kind utility commitment to providing customers with 100% renewable energy generation.
If and when the agreement translates into orders that meet Vestas’ definition for firm and unconditional orders, the company will disclose further announcements.