El Centro, California - The IID Board of Directors today directed staff to proceed with negotiations to rescind a power purchase agreement it recently approved with Regenerate Power and its development subsidiary, Titan Solar 1.
Citing uncertainty in the pricing of solar panels and increases in project financing at an estimated $15 million, as well as a delay in the project completion date, Regenerate Power requested to renegotiate its agreement with IID, or agree to terminate it.
“In reviewing the obstacles facing Regenerate and its ability to fully develop the Titan Solar 1 project, the district, in good faith, can no longer move forward with the proposed project and has little choice but to terminate the power purchase agreement,” said IID general manager Kevin Kelley.
Approved by the board on July 18, 2017, the Titan Solar 1 project was slated to facilitate the district’s eGreen program, which aims to provide solar energy to all of the utility’s low-income customers.
“Our goal to provide all of our customers with an opportunity to support and benefit from clean, renewable, locally produced energy is unchanged,” said Kelley. “We will continue to develop the eGreen program and will bring back new options to the board in the near future.”
IID has almost 15,000 customers who benefit from the district’s energy assistance programs and would potentially qualify for the eGreen program.