60-Megawatt Wind Project Coming to Huerfano and Las Animas Counties in 2019
PUEBLO, Colo. –May 1, 2018 – Black Hills Energy announced the approval by the Colorado Public Utilities Commission of the winning, least-cost bid for 60 megawatts (MW) of new renewable energy resources in southern Colorado. With this addition, Black Hills’ energy supply will consist of 30 percent renewable energy resources, meeting the requirements of Colorado’s Renewable Energy Standard.
With the commission’s approval last week, and following a rigorous, 10-month competitive solicitation process, the lowest cost bid was awarded to Black Hills Electric Generation, LLC, a non-regulated subsidiary of Black Hills Corporation, for the construction of a new, 60 MW wind project to be built in Huerfano and Las Animas Counties, near Black Hills’ Busch Ranch Wind Farm, 30 miles south of Pueblo.
Overseen by a commission-approved independent evaluator, the competitive solicitation process generated over 100 bids for eligible renewable energy resources, including combinations of wind, solar, and battery storage projects. The 60 MW wind project was selected because it provides the most cost-effective way to deliver renewable energy to customers.
“We are proud to serve our southern Colorado customers with the clean, safe and reliable energy they want and expect.”
“We are proud to serve our southern Colorado customers with the clean, safe and reliable energy they want and expect,” said Vance Crocker, Black Hills’ vice president of electric operations in southern Colorado. “The commission’s decision ensures our ability to deliver on this promise while also being mindful of cost impacts to customers.”
"We are in a great position to support our customers and communities in their pursuit of renewable energy initiatives.”
“Our southern Colorado electric generating fleet is the cleanest in the state, powered 100 percent by renewable energy and natural gas,” continued Crocker. “With this decision, we are in a great position to support our customers and communities in their pursuit of renewable energy initiatives.”
Construction of the Busch Ranch II wind project by Black Hills Electric Generation, LLC, is targeted for completion by the end of 2019. Black Hills Colorado Electric will purchase all of the renewable energy from the wind project through a 25-year power purchase agreement.
“Customers will see no change to their bills resulting from this project,” said Crocker. “Renewable energy costs are a part of an existing Colorado Renewable Energy Standard Adjustment (RESA) already on customers’ bills. Over the long-term, this project will provide cost savings to Black Hills Energy customers through lower energy costs.”
“This wind project is good news for southern Colorado and a boost to local economic development efforts,” added Crocker. “It creates added tax revenues for the region and opportunities to strengthen partnerships with local businesses and suppliers.”