An affiliate of Copenhagen Infrastructure Partners P/S, a fund management company with seven energy infrastructure funds and more than EUR 10 billion in commitments under management, has entered into a tax equity financing arrangement with Bank of America for a utility scale solar project in Texas.
The Greasewood project is a 347MWdc/255MWac solar facility located in Pecos County, TX. The project stands out within the ERCOT market for having three long-term power purchase agreements with investment grade municipalities and a hedge agreement with a major U.S. financial institution, the result of which is a highly contracted revenue profile. The project began construction in October 2019 and is expected to reach commercial operations in December 2020.
“CIP is pleased to have secured this tax equity transaction, particularly in today’s market where we are dealing with such headwinds as the COVID-19 pandemic, the sharp drop in oil and gas prices and unfavorable macroeconomic forecasts. The achievement is a testament to our long-term conviction in the renewable energy markets in the United States” says Christian Skakkebaek, CIP Senior Partner.
“We look forward to bringing the Greasewood project online, furthering our commitments to providing clean energy to the Texas ERCOT market,” adds Skakkebaek.
CohnReznick Capital acted as financial advisor to CIP on the transaction.
Copenhagen Infrastructure Partners P/S is a fund management company with seven energy infrastructure funds and more than EUR 10 billion in commitments under management. CIP is a multinational team with extensive experience and knowledge within renewable technologies. CIP has investments in utility scale renewable assets across North America, Western Europe, and Asia Pacific. The team has a broad range of competencies within corporate finance, merger & acquisitions, engineering, construction, project development and project management. CIP was established in 2012 by senior executives with a proven track record from senior positions in the energy industry. Current investments include a wide range of energy infrastructure assets including offshore wind, onshore wind, offshore power transmission, biomass and energy-from-waste, and solar PV investments.