A unit of NRG Energy and The Boeing Company have started construction on the 25MW (AC) Dandan project in the US territory of Guam in the South Pacific.
Dandan, the first solar facility in Guam, will provide energy to power 10,000 homes and offset consumption of almost two million barrels of fuel oil and diesel.
Guam is geographically isolated from major ports in the region and relies on imported oil and diesel to generate all of its energy.
Solar energy generated will be sold to the Guam Power Authority, the island's sole electric utility, under two 25-year power purchase agreements that will help the island achieve its renewable energy goals by 2015.
Boeing will provide engineering, procurement and construction services, while NRG Solar is contributing its solar expertise with utility-scale PV. NRG Solar will own the project which is due to enter service later this year..
"NRG Solar's objective is to be at the forefront of the clean tech industry to provide affordable and reliable energy options by spearheading innovative financing and procurement strategies that drive down the balance of system costs," says NRG Solar chief executive Tom Doyle. “Dandan paves the way for other renewable energy possibilities in the region.