Clearway Energy Group today announced the start of repowering work at its Cedro Hill wind farm in Webb County, Texas. This initiative aims to increase the farm’s generating capacity from 150 MW to 160 MW. Once completed, Cedro Hill will generate enough electricity to supply nearly 40,000 homes at peak times. Chris Fox, Senior Vice President of Construction at Clearway Energy Group, said, “The Cedro Hill repowering is a recent example of our strategy to upgrade our existing fleet to deploy resilient, state-of-the-art technologies on sites with high-quality wind resources.” Clearway Energy Group had already secured financing for two solar projects with energy storage in California, producing enough clean energy to power around 132,000 homes each year.
Investment and collaboration
The Cedro Hill repowering project represents a $269 million investment in South Texas. The project will extend the farm’s operational life by an additional fifteen years, and increase Webb County property tax and landowner payments by $27 million. The repowering will involve replacing the blades and nacelle with General Electric (GE)-supplied equipment on the site’s 100 turbines, while responsibly managing all replaced equipment. Clearway Energy Group is working with Wanzek Construction, Inc. a MasTec Renewables company, to ensure that existing materials, including fiberglass, are recycled or reused to avoid landfill. More than 200 skilled workers will be involved in the construction of this project.
Partnership and Financing
Built and commissioned in 2010, the Cedro Hill wind farm sells its electricity via a long-term purchase agreement with CPS Energy, the largest municipal electric and gas utility in the United States, serving the city of San Antonio, Texas. CPS Energy has extended its existing agreement to support its commitment to renewable energy, continuing to benefit from 100% of the energy produced by Cedro Hill. To finance this project, Clearway raised $261 million through credit facilities provided by a banking syndicate including DNB Markets, Inc. (DNB), Canadian Imperial Bank of Commerce, New York Branch (CIBC), National Australia Bank Limited (NAB) and Deutsche Zentral-Genossenschaftsbank, New York branch (DZ).
Industry outlook
Brendon Lamppa, Construction Manager at MasTec Renewables, is delighted with this new collaboration: “This is the third global project, but the first repowering project that our teams will be working on together. This is a unique opportunity, as MasTec Renewables staff also completed the original construction in 2010.” The Cedro Hill repowering project reinforces Clearway’s position as a leader in the renewable energy sector, with a focus on efficiency and extended life for existing facilities. By extending the lifespan of its facilities and improving their efficiency, Clearway meets growing energy needs while supporting economic objectives.
