Renewables, Solar

Arizona solar investment

Sempra Generation, a unit of Sempra Energy, announced plans to invest $500 million in the first phase of a solar photovoltaic project in Arizona.

Phase One of the Mesquite Solar I project is expected to generate 150 MW, and Sempra said it could build up to 600 MW of solar power on the site. The total cost of the project is estimated at $2 billion.

Construction of Phase I is expected to begin in 2011 and should be complete by 2013. It will connect to the power grid at the Hassayampa switchyard, which provides electricity throughout the Western U.S.

Sempra has entered into a 20-year power purchase agreement with Pacific Gas & Electric Co. for the 150 MW output.

Mesquite Solar I is Sempra Generation’s third solar energy project. The 10 MW El Dorado Solar facility was built in 2008 and the 48 MW Copper Mountain Solar project will be completed by the end of 2010, both located in Nevada.

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