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Kennebunk Light and Power District, a nonprofit consumer-owned utility, has signed a 20-year power purchase agreement with DG Maine Solar LLC, a subsidiary of Florida-based NextEra Energy Resources.
The utility stated in a news release that DG Maine Solar will design, permit, construct, operate, own and maintain the solar array, which is slated to be constructed adjacent to the District’s West Kennebunk substation. Initial estimates project the 2.9 MW DC Solar array will produce an estimated first year output of 3.9 million kilowatt hours, which is just under 4% of the district’s annual kilowatt hour sales.
Commercial operation of the system is expected to begin in early fall of 2018, with a power purchase agreement term of 20 years.
The utility put out an RFP last June and received seven initial inquiries from prospective bidders. In September, the utility’s board of trustees reviewed proposals from four solar providers and eventually settled on DG Maine Solar.
“Pricing for the solar power is actually lower than the cost to purchase energy off the grid under Kennebunk Light and Power District’s current energy contract due to the lack of regional network and local network charges that are added to the cost of energy that must be delivered from outside of the district’s territory,” the district stated.
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