Regional electricity cooperative Holy Cross Energy of Glenwood Springs announced recently that it has entered into an agreement to swap renewable energy with wholesale power provider Guzman Energy of Denver.
According to a Holy Cross news release, the two-way power purchase agreement will allow the development of a new 100-megawatt wind farm that will serve co-op members. The wind facility will begin operating in 2021, the release says.
“With today’s announcement, [Holy Cross] continues to lead the responsible transition to a clean energy future, while maintaining affordable and reliable electricity to our members,” Holy Cross president and CEO Bryan Hannegan said in a prepared statement.
The partnership with Guzman will raise the amount of renewable energy in the Holy Cross power supply mix to almost 70 percent by 2021 — nine years earlier than previously promised, Hannegan said.
“We are gratified that our agreement with Guzman Energy will also allow them to increase the amount of renewable energy in their power mix,” he added.
The agreement calls for Guzman to use, as necessary, Holy Cross’ stake in Unit 3 of the coal-fired Comanche Generating Station, which is located in Pueblo. The Comanche Station resource will supplement renewable energy that will be built as part of Guzman’s recent renewable request for proposals, the release states.
All of the aforementioned resources will be used to serve Guzman’s wholesale customers in New Mexico and Colorado and together will result in a capacity mix that is about 75 percent renewable, according to the release.
“This deal allows [Holy Cross] to meet renewable energy goals without increasing cost, adds more renewables to the grid in the West and supplements Guzman’s overall resource mix with reliable baseload, as needed,” Jeff Heit, managing director of Guzman Energy, said in the release.
He called the agreement “another example of what can be accomplished if stakeholders work together to find innovative ways to transition to the new energy economy.”