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EDP Renewables signs 20-year solar contract with California Water Service

EDP Renewables North America and California Water Service have entered into a 20-year agreement to supply solar energy to a strategic Bakersfield site, reducing grid energy costs by about $1.7mn over the contract duration.

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EDP Renewables North America, through its subsidiary EDPR NA Distributed Generation LLC, has formalised the signing of a 20-year power purchase agreement (PPA) with California Water Service. This partnership includes the installation of a 1.75 MWac / 2.35 MWdc solar photovoltaic plant at the Northeast Bakersfield Treatment Plant, a key water treatment infrastructure in the Bakersfield area, one of the company’s largest service zones.

A structuring project for energy management

The solar plant is expected to generate approximately 3,800 megawatt-hours of renewable energy per year, providing California Water Service with an estimated energy cost reduction of nearly $1.7mn (about €1.56mn) over the full term of the agreement, based on current regional rates. This initiative aligns with efforts to control energy-related expenses while optimising on-site consumption management.

Marty Kropelnicki, Chairman and Chief Executive Officer of California Water Service, stated that the project will enable the company to better manage electricity costs and ensure reliable and affordable service for customers in the long term. The photovoltaic system installation is part of a strategy to reinforce the local energy infrastructure, with no service interruptions.

Regional deployment and portfolio expansion

EDP Renewables North America and EDPR NA Distributed Generation have developed solar projects of varying scales in California for more than twenty years, addressing rising energy demand. To date, EDP Renewables operates 1,138 MW of energy assets in the state, supplying electricity to approximately 451,000 households, while the EDPR NA Distributed Generation project portfolio in California includes more than 180 projects, with 75 MWac/81 MWdc already operational.

In May 2024, EDP Renewables North America completed the 200 MW Scarlet II Solar Energy Park in Fresno County, marking another milestone after the commissioning of the Scarlet I park. The latter combines 200 MW of solar capacity and a 40 MW/160 MWh battery energy storage system, operational since 2024.

João Barreto, Chief Executive Officer of EDPR NA Distributed Generation, noted that the partnership with California Water Service highlights the growing convergence between the water and energy sectors. He emphasised that investment in essential infrastructure remains a major lever for meeting the energy needs of Californian communities.

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