Clearway Energy Begins Cedro Hill Wind Farm Modernization

Clearway Energy Group today announced the start of work on the Cedro Hill Wind Farm upgrade in Webb County, Texas. The initiative is designed to increase the farm’s generating capacity from 150 MW to 160 MW. Once completed, Cedro Hill will generate enough electricity to power nearly 40,000 homes during peak hours. Chris Fox, senior vice president of construction for Clearway Energy Group, said, “The Cedro Hill upgrade is a recent example of our strategy to upgrade our existing fleet to resilient, state-of-the-art technologies in locations with high-quality wind resources.” Clearway Energy Group has already secured financing for two solar-with-storage projects in California, producing enough clean energy to power approximately 132,000 homes per year.

Investments and cooperation

The Cedro Hill Repowering Project represents a $269 million investment in South Texas. The project will extend the life of the farm by an additional fifteen years and increase Webb County property taxes and landowner payments by $27 million. The repowering will involve replacing blades and nacelles with General Electric (GE)-supplied equipment on 100 turbines on the site, while responsibly managing all replaced equipment. Clearway Energy Group is working with Wanzek Construction, Inc., a MasTec Renewables company, to ensure that existing materials, including fiberglass, are recycled or reused to avoid landfill. Construction of this project will employ more than 200 skilled workers.

Partnership and financing

Constructed and commissioned in 2010, the Cedro Hill Wind Farm sells electricity through a long-term purchase agreement with CPS Energy, the largest municipal electric and gas utility in the United States, serving the city of San Antonio, Texas. CPS Energy extended its existing agreement to support its commitment to renewable energy while continuing to use 100% of Cedro Hill’s energy. To finance the project, Clearway raised $261 million in credit lines from a consortium of banks that includes DNB Markets, Inc. (DNB), Canadian Imperial Bank of Commerce, New York Branch (CIBC), National Australia Bank Limited (NAB) and Deutsche Zentral-Genossenschaftsbank, New York Branch (DZ).

Industry prospects

Brendon Lamppa, construction manager at MasTec Renewables, is excited about this new partnership: “This is our third global project, but the first repowering project our teams will work on together. This is a unique opportunity, as MasTec Renewables employees also completed the original construction in 2010.” The Cedro Hill repowering project reinforces Clearway’s position as a leader in the renewable energy sector, with a focus on efficiency and extending the life of existing facilities. By extending the life of its facilities and improving their efficiency, Clearway is meeting growing energy demands while supporting economic goals.