GE Energy Financial Services and Bankers Commercial Corp. have acquired the 150 MW Alta Wind I wind farm in Tehachapi, Calif., and are leasing it back to its developer, operator and manager, Terra-Gen Power LLC.
The wind farm, using 100 GE 1.5 MW SLE turbines, was completed in the fourth quarter of last year. GE Energy Financial Services and Bankers Commercial Corp. each own 50% of the wind farm. Funds from the sale will be used to pay off construction loans Terra-Gen entered into for the project last March. Financial details were not disclosed.
‘This transaction – our first using a lease for a wind farm – demonstrates our ability to tailor structures to meet our customers' needs – in this case, enabling Terra-Gen to free up cash while enabling it to continue to operate and manage the project,’ says Kevin Walsh, a managing director and leader of power and renewable energy at GE Energy Financial Services.
The project is eligible for a U.S. Treasury Department cash grant, which was created under the American Recovery and Reinvestment Act.
The Alta Wind I farm is the first phase of the Alta Wind Energy Center, a planned 3,000 MW. The first 1,550 MW of the center, including the first phase, is contracted to Southern California Edison (SCE).
Alta Wind I is the first project to connect with SCE's Tehachapi Renewable Transmission Project. When completed, the Tehachapi project will consist of more than 250 miles of new and upgraded high-voltage transmission infrastructure.
SOURCE: GE Energy Financial Services