Developer secures tax equity commitment for Pike County solar farms
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Arizona-based Arevon Energy Inc. has announced a $98 million tax equity commitment for two solar farms currently being constructed in Pike County.
The energy developer said the commitment from Fifth Third Bank adds to nearly $300 million in financing previously secured for the Ratts 1 and Heirloom Solar projects last September.
When complete later this year, the two solar projects are expected to generate 265 megawatts of renewable energy. The Ratts 1 project alone will provide enough energy to power more than 28,000 homes annually, according to Arevon.
The developer said the projects have employed about 200 full-time construction workers. In addition to the nearly $400 million investment, the projects are expected to provide more than $86 million to local governments over their lifespans.
“The complex and highly successful structure of this transaction marks another notable financial accomplishment for Arevon,” Arevon Chief Investment Officer Denise Tait said in a news release. “This is a great example of what happens when all the right pieces come together.”
Both projects are expected to be fully operational before the end of the year.
The Indiana Municipal Power Agency has inked a long-term power purchase agreement for the Ratts 1 Solar project. Meta, the parent of Facebook and Instagram, has secured a purchase agreement for the Heirloom Solar project.