Tri-State issued a request for proposals for renewable energy supply on Feb. 13, which is aimed at taking advantage of current competitive market prices, while continuing to assist its member co-ops in Colorado and New Mexico in meeting their renewable portfolio standard requirements.
“Given the recently extended Federal Production Tax Credit and sustained competitive pricing in the renewable energy sector, we felt this was a good time to explore adding an additional project or projects to Tri-State’s renewable resource portfolio,” said business development manager (energy resources) Susan Hunter.
Hunter explained that the RFP is intended to solicit bids for resources that will begin construction prior to the end of 2013 in order to qualify for the Federal Production Tax Credit and be in service before the end of 2014.
Only renewable resources that meet the definitions within the Colorado and/or New Mexico renewal portfolio standard requirements will be considered. Generally, these resources include solar, wind, small hydro, geothermal, biomass and, in the case of the Colorado RPS, recycled energy.
Tri-State is seeking renewable energy deliveries of up to 400,000 megawatt-hours per year, which is roughly equivalent to the output of a 100-megawatt wind farm with an annual capacity factor of 45 percent. Proposals must include deliveries of at least 15,000 megawatt-hours per year.
Tri-State will consider proposal structures that include power purchase agreements, purchase of existing generation facilities, ownership of facilities specifically constructed for sale to Tri-State or combinations thereof. Power purchase agreements with a minimum term of 20 years and a maximum term of 25 years will be considered.
The deadline to submit proposals is April 2, 2013; all the details are on Tri-State’s website.