A Copenhagen Power Partners affiliate, a fund management firm with seven renewable infrastructure funds and more than €10 billion in management investments, has entered into a tax equity funding agreement with Bank of America for a Texas utility-scale solar project.
The Greasewood project is a 347MWdc/255MWac solar facility located in Pecos County, Texas. Within the ERCOT market, the project stands out for having three long-term power purchase agreements with investment grade municipalities and a hedge arrangement with a major US financial institution, resulting in a highly contracted revenue profile.
Building started in October 2019, and it is expected to enter commercial operations in December 2020.
“CIP is pleased to have secured this tax equity transaction, particularly in today’s market where we are dealing with such headwinds as the COVID-19 pandemic, the sharp drop in oil and gas prices and unfavorable macroeconomic forecasts. The achievement is a testament to our long-term conviction in the renewable energy markets in the United States. We look forward to bringing the Greasewood project online, furthering our commitments to providing clean energy to the Texas ERCOT market.”Christian Skakkebaek, CIP senior partner.
CohnReznick Capital acted as financial advisor to CIP on the transaction.