SWEPCO SEEKS APPROVAL FOR THREE NEW WIND AND SOLAR PROJECTS

Rhea-AI Summary

Southwestern Electric Power Company (SWEPCO), a subsidiary of American Electric Power (AEP), plans to invest $2.2 billion in three renewable energy projects totaling 999 megawatts (MW). This includes the 200-MW Mooringsport solar project in Louisiana, the 200.6-MW Diversion wind project in Texas, and the 598.4-MW Wagon Wheel wind project in Oklahoma. SWEPCO seeks regulatory approvals in Arkansas, Louisiana, and Texas, with operational dates set for December 2024 and December 2025. AEP aims for 16 gigawatts of regulated renewables by 2030, targeting net-zero carbon emissions by 2050.

Positive

• Investment of $2.2 billion in renewable energy projects.
• Total capacity increase of 999 MW from three new projects.
• Projects expected to come online by December 2024 and December 2025.
• SWEPCO's long-term plan to have over one-third of its capacity from renewable sources.
• AEP's commitment to reach net-zero emissions by 2050.

Negative

• Regulatory approvals are still pending in multiple states.

$2.2 billion investment part of SWEPCO'S ongoing efforts to secure renewable energy resources

COLUMBUS, Ohio, May 31, 2022 /PRNewswire/ -- Southwestern Electric Power Company (SWEPCO), a subsidiary of American Electric Power (Nasdaq: AEP), has announced plans to add three renewable energy projects totaling 999 megawatts (MW). The projects represent a $2.2 billion investment in clean, cost-effective resources. SWEPCO expects to issue another request for proposal (RFP) in the near term for additional renewable energy consistent with the company's integrated resource plan for its energy and capacity needs.

SWEPCO is seeking approval from regulators in Arkansas, Louisiana and Texas to acquire the 200-MW Mooringsport solar project in Caddo Parish, Louisiana; the 200.6-MW Diversion wind project in Baylor County, Texas; and the 598.4-MW Wagon Wheel wind project spanning Logan, Garfield and Noble counties in Oklahoma. Invenergy is developing the three projects. Diversion is expected to reach commercial operation in December 2024, and Mooringsport and Wagon Wheel are expected to come online in December 2025. The solar and wind projects were identified through a competitive bidding process. Following state regulatory approvals, AEP will file with the Federal Energy Regulatory Commission for approval to transfer the projects from Invenergy.

"This investment is another key step in SWEPCO's efforts to secure renewable, affordable energy and achieve a more balanced fuel mix," said Nicholas K. Akins, AEP chairman, president and chief executive officer. "AEP remains focused on adding approximately 16 gigawatts of regulated renewables to our generation portfolio by 2030 and reaching net-zero carbon emissions by 2050."

SWEPCO's long-term plan calls for more than one-third of its Southwest Power Pool accredited capacity to be satisfied with wind and solar resources. In February, SWEPCO announced plans to add 72.5 MW of solar energy through a power purchase agreement with the proposed Rocking R Solar project in northwest Louisiana. SWEPCO and sister company Public Service Company of Oklahoma also own and operate the 1,484-MW North Central Energy Facilities in north central Oklahoma. The project includes 199-MW Sundance, 287-MW Maverick and 998-MW Traverse wind projects and is one of the largest wind facilities in the world.

American Electric Power, based in Columbus, Ohio, is powering a cleaner, brighter energy future for its customers and communities. AEP's approximately 16,700 employees operate and maintain the nation's largest electricity transmission system and more than 224,000 miles of distribution lines to safely deliver reliable and affordable power to 5.5 million regulated customers in 11 states. AEP also is one of the nation's largest electricity producers with approximately 31,000 megawatts of diverse generating capacity, including more than 7,100 megawatts of renewable energy. The company's plans include growing its renewable generation portfolio to approximately 50% of total capacity by 2030. AEP is on track to reach an 80% reduction in carbon dioxide emissions from 2000 levels by 2030 and has committed to achieving net zero by 2050. AEP is recognized consistently for its focus on sustainability, community engagement, and diversity, equity and inclusion. AEP's family of companies includes utilities AEP Ohio, AEP Texas, Appalachian Power (in Virginia and West Virginia), AEP Appalachian Power (in Tennessee), Indiana Michigan Power, Kentucky Power, Public Service Company of Oklahoma, and Southwestern Electric Power Company (in Arkansas, Louisiana, east Texas and the Texas Panhandle). AEP also owns AEP Energy, which provides innovative competitive energy solutions nationwide. For more information, visit aep.com.

 

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SOURCE American Electric Power

FAQ

What is American Electric Power's investment in renewable energy projects?

American Electric Power (AEP) plans to invest $2.2 billion in three renewable energy projects totaling 999 MW.

When are the new renewable energy projects by AEP expected to begin operations?

The Diversion wind project is expected to reach commercial operation in December 2024, while Mooringsport and Wagon Wheel projects are expected to come online in December 2025.

What are the locations of AEP's new renewable energy projects?

The new projects include Mooringsport solar in Louisiana, Diversion wind in Texas, and Wagon Wheel wind across Oklahoma.

What are AEP's long-term renewable energy goals?

AEP aims to add approximately 16 gigawatts of regulated renewables by 2030 and achieve net-zero carbon emissions by 2050.

What challenges does AEP face with its new renewable energy projects?

AEP is seeking regulatory approvals in Arkansas, Louisiana, and Texas for its new projects.