Acciona Secures Additional Financing For 123 MW Wind Farm

Acciona, a wind turbine manufacturer, announced yesterday that they closed on two financial transactions to free up funding for a renewable energy project. The transactions are a tax equity and a debt transaction, which combined with additional sponsor equity from the company will provide for long term financing for the company’s current project, a 123 MW wind farm that was completed last spring.

The deal also signals an improvement for the tax equity industry, which indicates it may be moving upward after being hit by the recession and recent financial crises. The transactions were led by JP Morgan Capital Corporation in a joint investment with Union Bank, N.A. The total equity for the investment amounts to $100 million.

“While the tax credit investor and lending markets have experienced constrained capital availability, U.S. based institutions are still committing to new renewable energy project investments,” said Susan Nickey, CFO of Acciona Energy North America.

The 123 MW Red Hills Wind Farm is the first sustainable energy venture for Acciona, who developed and built the Oklahoma-based wind facility. The company used their own wind turbines, 82 1.5 MW turbines in all, to set up the wind farm. The farm is expected to yield enough wind power to provide electricity for more than 40,000 U.S. homes and will reduce carbon emissions by 294,000 tonnes a year. 

Acciona has a power purchase agreement with Western Farmers Electric Cooperative for the energy produced by the wind farm which will last twenty years.

Thanks to renewableenergyworld.com for the above quote, for more information please view the story on their website.