GCL New Energy Inc. signed a power purchase agreement with Intermountain Rural Electric Association for its planned 110-MW solar project in Colorado.
The agreement has a fixed initial term of 10 years, which could be extended up to 25 years. The Pioneer greenfield project will be built on a 611-acre site, 35 miles east of Denver, according to a June 14 news release.
In May, the board of directors of the co-op approved the agreement with GCL New Energy for the development of a 80-MW solar project on the association's service territory. Under the agreement, the co-op will buy power from the facility at a fixed amount lower than the utility's avoided cost.
The project will help the co-op to meet a goal of supplying 20% of the energy to its members from renewable energy resources by 2020.
GCL New Energy, a subsidiary of China-based GCL New Energy Holdings Ltd., is seeking strategic partners to achieve its target of over 3,000 MW of solar projects by 2020.
GCL New Energy is an independent power producer, with offices in San Ramon, Calif. It has regional headquarters in North America, Japan and Africa. The Intermountain Rural Electric Association is a nonprofit electric distribution cooperative that serves more than 150,000 customers in Colorado.