San Antonio-based municipal utility CPS Energy says it is entering into negotiations with OCI Solar Power for a power purchase agreement for up to 400 MW of solar generation.
The offer from OCI Solar Power is also expected to result in 800-plus professional and technical jobs, as well as more than $1 billion in construction investment. The plan calls for multiple solar manufacturing facilities in the San Antonio area to support the projects.
In response to CPS Energy's request for proposals, OCI Solar Power invited manufacturers from across the industry to be part of its consortium. The anchor manufacturer in the consortium is Nexolon, a manufacturer of components used in solar panels. As part of its commitment to the consortium, Nexolon would build a manufacturing facility and locate its North American headquarters in San Antonio.
The future addition of OCI Solar Power and Nexolon would bring the number of clean energy companies CPS Energy has attracted to San Antonio to seven, CPS Energy notes.
As outlined by OCI Solar Power, the solar project would become operational in phases over the next five years. No date is yet set for the project to get under way, but all parties plan to move expeditiously to negotiate the terms and finalize an agreement, according to the utility.