New Solar Deal Brings Renewables to DC Universities, Hospital

On June 24, it was announced that American University (AU), George Washington University (GW), and George Washington University Hospital (GWUH) had signed an agreement to buy more than half of their power from solar sources. These Washington, DC-based universities will be receiving 52 megawatts of solar photovoltaic (PV) power for 20 years from Duke Energy Renewables in North Carolina. The Capital Partners Solar Project, as it has been named, will be completed in 2015 with 243,000 solar panels on three solar farms. The 123 million kilowatt hours of electricity generated per year could power roughly 8,200 homes, while eliminating approximately 60,000 metric tons of carbon emissions per year (the equivalent of taking 12,500 cars off the road). It is the largest PV project east of the Mississippi River. According to the Solar Energy Industries Association, this agreement, which was facilitated by CustomerFirst Renewables, represents the largest non-utility solar PV power purchase in the United States.

Duke Energy Renewables is part of Duke Energy’s Commercial Business, and aids electric cooperatives and municipalities, utilities, and businesses in delivering affordable and reliable clean energy. According to its website, Duke Energy has invested upwards of $3 billion on wind and solar projects since 2007. Duke Energy’s renewable projects not only have a positive environmental impact by creating zero-emission electricity, but they also create jobs and provide a steady source of income for land owners. According to Jon Crouse, a trustee for one of the parcels of land impacted by this project, “We believe our support of solar energy is creating excitement about making investments in our community . . . For the landowners and farmers, it enables us to diversify from a fully agricultural portfolio, build economic sustainability and become part of a larger effort to be good stewards of the environment."

Due to the nature of the long-term fixed price agreement with Duke Energy, the universities actually stand to save money when compared to what they would be paying for fossil fuel electricity. Alex Perera, an expert at the World Resources Institute, believes this agreement could be a model for other schools, saying that, "these kinds of long-term contracts from good-credit buyers can really be helpful to renewable energy developers in helping them get the financing they need to get projects built . . . It also allows buyers to get more value out of renewable energy." The energy will be transported to Washington, DC, from the solar farm via the North Carolina energy grid, which connects into the DC regional grid.

Both AU and GW are signatories of the American Colleges and Universities Presidents’ Climate Commitment (ACUPCC), which commits signatories to create a plan to implement sustainability initiatives and eventually become carbon neutral. The Capital Partners Solar Project will bring 30 million kWh to AU and 86.6 million kWh to GW annually, supplying approximately half of each university’s annual energy demand and aiding in their plans to be carbon neutral by 2020 and 2025, respectfully. This partnership allows these universities to further their goal of carbon neutrality while incurring no extra costs. It also provides a prime, commonsense example to other institutions lacking the ability to build their own renewable energy facilities. Barry Wolfman, CEO and managing director of GWUH, which will be receiving one-third of its annual electricity needs from the project, put it eloquently when he said, “Great organizations define the future. They embrace new ways of thinking and become part of something bigger than themselves . . . Joining this partnership to embrace alternative power reflects our daily work as health advocates—caring, healing, teaching and birthing new generations. Our work and this project pave the way for a brighter future in the nation's capital and the world as a whole. It's simply the right thing to do, and we are proud to be a part of it."