Invenergy, EPM Sign Renewable Deal for 400 MW Capacity in Colombia

By Ayush Verma/ Updated On Fri, Nov 29th, 2019

EPM has signed a strategic agreement with Invenergy to develop and build at least 400 MW of solar and wind projects in Colombia over the next 6 years.

Invenergy EPM 400 MW

Colombian power utility Empresas Publicas de Medellin (EPM) has announced that it has signed a strategic agreement with US-based Invenergy to develop and build at least 400 MW of solar and wind energy projects in Colombia over the next 6 years.

The deal announced on November 27, 2019, will see the Medellin-owned company sell the power generated by the renewable energy parks, with an option to acquire them at a later date.

EPM CEO Jorge Londono De la Cuesta said that his company had plans to develop non-conventional renewable energy (NCRE) projects even before its troubles with the Hidroituango dam megaproject. A series of incidents at the dam strained EPM’s finances, forcing the company to find a strategic partner for the NCRE endeavours in the short term to fulfil its goals. He further said that EPM picked Invenergy in a competitive process from a group of 19 companies. He added that the American firm, with its vast experience with NCRE projects, will bring the necessary know-how and investments to the partnership.

Recently, Excelsior Energy Capital, a leading independent North American renewable energy investor, had announced that its North American Renewable Energy Fund has executed definitive agreements for the acquisition of 90.1 percent of Invenergy’s sponsor equity interests in the combined 109 MW Prairie Breeze II and Prairie Breeze III wind energy projects, located in Antelope and Boone Counties, Nebraska.

The Projects benefit from an over 3-year operating track record having begun operations in late 2015, and early 2016, respectively. The Projects also have 25-year power purchase agreements (PPAs) with Lincoln Electric Systems and City of Grand Island, with remaining contract terms of more than 21 years.

In September, Tri Global Energy, a leading wind developer in Texas and managers of the Changing Winds Renewable Energy Project announced the sale of the wind development assets of the Changing Winds project to Invenergy.