CPS agreed to buy 180 megawatts of solar energy from the Tierra Bonita solar farm, which...
CPS Energy interim president and CEO Rudy Garza, right, shakes hands with board chair Willis Mackey on Aug. 23. Garza said a new agreement to boy solar power is “an extremely critical step” in preparing for the future.Solar panels will increasingly power homes and businesses in San Antonio afteron Wednesday said it agreed to buy some of the electricity generated by a West Texas solar farm.
The utility began soliciting bids from solar developers in early 2020 through its FlexPower Bundle initiative, which is seeking to add 900 megawatts of solar generation, 50 megawatts of battery storage and 500 megawatts of natural gas-fired capacity. In May, CPS agreed to buy electricity from a 300-megawatt solar plant that Consolidated Edison Development is building in Goliad County. It will be completed in 2024 or 2025.
As part of the shift to cleaner power generation, CPS trustees in May approved $350 million in funding over five years for the utility’s energy efficiency and conservation initiative, which pays to weatherize low-income customers’ homes and provides credits to homeowners who buy efficient appliances.
After signing the two solar deals this year to buy a combined 480 megawatts of power, Garza said CPS may try to increase the amount of electricity it ends up buying under those deals. Under the so-called tolling agreement, CPS would provide natural gas to the plant, take back the electricity generated and pay a fee to the plant’s owner. CPS has sought to add gas-fired generation alongside more solar power and battery storage capacity in order to shut down the aging gas plants and maintain reliability of power.
Garza also said that the recently passed Inflation Reduction Act includes provisions that could make it cheaper for CPS to own its own solar farms, rather than partner with private developers. CPS could eye owning solar projects inside the city, or within a small radius around San Antonio.
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