AEP Ohio proposes 400 megawatts of new solar in Appalachian region

AEP Ohio recently filed a proposal with the Public Utilities Commission of Ohio (PUCO) to purchase 400 megawatts (MW) of solar energy from two new solar facilities to be built in Ohio’s Appalachian region in Highland County.

The company chose the 300 MW Highland Solar and 100 MW Willowbrook Solar projects through a competitive request for proposal process. Hecate Energy Highland LLC and Willowbrook Solar LLC will, respectively, will develop and own the projects. The facilities are both expected to be operational by the end of 2021, pending regulatory approvals.

“AEP Ohio customers have expressed their support for renewable generation resources built in Ohio,” Julie Sloat, AEP Ohio president and chief operating officer, said. “AEP Ohio is taking a bold step to secure Ohio’s energy future by enabling the development of 400 MW of new solar generation, including the largest solar facility in the state. We have listened to our customers and are working each day to provide them with the energy products and services they want. The addition of these solar projects to Ohio’s generation mix will help ensure our customers are receiving their energy from a reliable, secure and diverse mix of resources.”

AEP Ohio has secured two 20-year Renewable Energy Purchase Agreements (REPAs) for the power produced at the facilities. The company expects that customers will save approximately $200 million over the life of the fixed-price agreements compared to the projected cost of power in the future.

Due to the projects, a residential customer using 1,000 kilowatt-hours of electricity will see a 28-cent-per-month increase in their electric bill.

Construction of the two facilities is projected to support approximately 4,000 jobs and contribute $24 million in new state tax revenue and $6.7 million in local tax revenue.

Under a 2016 agreement approved by the PUCO, AEP Ohio is committed to pursuing 900 MW of renewable generation resources built in Ohio.