{"id":6218,"date":"2020-12-26T12:01:48","date_gmt":"2020-12-26T20:01:48","guid":{"rendered":"https:\/\/solarpowerinvestor.com\/?p=6218"},"modified":"2021-02-23T07:16:30","modified_gmt":"2021-02-23T15:16:30","slug":"hannon-armstrong-and-clearway-ink-950m-solar-wind-and-storage-deal","status":"publish","type":"post","link":"https:\/\/solarpowerinvestor.com\/hannon-armstrong-and-clearway-ink-950m-solar-wind-and-storage-deal\/","title":{"rendered":"Hannon Armstrong and Clearway ink $950M solar, wind and storage deal"},"content":{"rendered":"
“We are pleased to expand our relationship with Clearway Energy Group through a preferred equity investment in this portfolio of renewable assets. Clearway’s mission to accelerate the world’s transformation to a clean energy future is aligned with our purpose as a climate-positive investor. These assets will be a significant addition to our portfolio, offering increased scale and diversity to our business and supporting continued growth in recurring Net Investment Income,”\n\nHannon Armstrong Chairman and CEO, Jeffrey W. Eckel.<\/a><\/cite><\/blockquote>\n\nBenefits From Investment<\/h3>\nClearway is expected to invest $214 million by 2022-end for enjoying the benefits from the diverse renewable projects. On Dec 21, 2020, the company acquired a 50% cash equity interest in 192-MW Rosamond Central solar project for $23 million<\/a>.\n\nNearly 90% of generation in renewable projects is already being contracted from a diverse set of consumers, and the portfolio includes a greater than 14-year blended average contract duration. This will ensure steady earnings and increase cash flow production for Clearway over the long-term period.\n
Long-Term Plans<\/h3>\nClearway has a long-term aim of expanding operations through the purchase of production resources from third parties. The business believes that its knowledge of the marketplace and operating expertise will provide it with a competitive advantage and increase cash flow.\n\nClearway has already acquired 80 MW of solar jobs from Clearway Energy Group under the Right to First Offer manner. It arranged to acquire two wind projects with a combined capacity of 199 MWout. The Rattlesnake project will start operation from 2020, and Pinnacle Wind Repowering will kick start from 2021.\n
“We are thrilled to partner with Hannon Armstrong on such an impactful portfolio transaction, this geographically diverse portfolio of wind, solar, and energy storage projects represents the economic opportunity of renewable energy in every corner of this country.”\n\nCraig Cornelius, Chief Executive Officer at Clearway Energy Group, LLC.<\/a><\/cite><\/blockquote>\n\nAdditional Details<\/h3>\nThe portfolio will include:\n\n1012 MW from five geographically diversified wind, solar, and solar and storage assets under development the 192 MW Rosamond Central solar project is expected to commence operations by the end of 2020.\n\nAdditionally, the parties amended the existing partnership agreement to the 419 MW Mesquite Star end project, supplying CWEN an extra 27.51percent of the project’s cash flows after 1H2031.\n\nApproximately 90 percent of the generation in the projects are contracted using a varied group of mostly investment-grade counterparties, including utilities and load-serving entities, Fortune 500 corporations, commercial and industrial clients, and financial institutions. The portfolio includes a greater than 14-year blended average contract length. Subject to final adjustments and the jobs achieving certain milestones, CWEN expects to invest roughly US$214 million in corporate funds by the end of 2022.\n\nDependent on the currently anticipated timing of these projects attaining cash on delivery, CWEN anticipates — before corporate funding costs — the advantage money available for distribution contribution from the investments to become immaterial in 2021, approximately US$9 million in 2022, and US$20 million on a five-year average basis starting on Jan 1, 2023.\n\nUnder the portfolio partnership arrangements, CWEN will act as managing member. The remaining interest in the equity partnerships will be possessed by Hannon Armstrong Sustainable Infrastructure Capital, Inc., an investor in climate solutions.\n\nOn Dec 21, 2020, CWEN gained its 50% equity interest in Rosamond Central for US$23 million and completed the amendment for the interest in Mesquite Star. The Mesquite Sky wind farm in Texas, US, and the Black Rock wind farm in West Virginia, US, will begin building in the coming weeks.\n\nDefinitive agreements regarding the Daggett, Waiawa, and Mililani jobs, also situated in the US, stay subject to certain conditions and the review and approval from CWEN’s Independent Directors.\n\nCEG will serve as the long-term site operator and asset manager, ensuring continuity of performance and community involvement within each project’s life span.\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n","protected":false},"excerpt":{"rendered":"
Hannon Armstrong and Clearway Energy Inc. join to invest $950 million nearly 2-gigawatt of renewable energy projects in Hawaii, California, Texas, and West Virginia.<\/p>\n","protected":false},"author":1,"featured_media":6219,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_uag_custom_page_level_css":"","footnotes":""},"categories":[45],"tags":[5273,591,3170,3001,5284,3005],"yoast_head":"\n
Hannon Armstrong and Clearway ink $950M solar, wind and storage deal - Solar Power Investor<\/title>\n\n\n\n\n\n\n\n\n\n\n\n\n\t\n\t\n\t\n\n\n\n\n\n\t\n\t\n\t\n