NRG Energy, Inc.
) subsidiary NRG Solar announced plans to set up rooftop solar
photovoltaic arrays at the Mandalay Bay Resort Convention Center
in Las Vegas, owned by
MGM Resorts International
). The installation of these rooftop solar photovoltaic arrays
will be one of the largest in the world.
ALLETE INC (ALE): Free Stock Analysis Report
MGM RESORTS INT (MGM): Free Stock Analysis
NRG ENERGY INC (NRG): Free Stock Analysis
NORTHEAST UTIL (NU): Free Stock Analysis
To read this article on Zacks.com click here.
The solar system consists of 20,000 panels on the rooftop space
of approximately 20 acres at the Mandalay Bay Resort Conference
and Convention Center. It will generate nearly 6.2 megawatt (MW)
of electricity annually, equivalent to powering 1,000 homes.
NRG Energy will sell the output to MGM Resorts through a
long-term power purchase agreement. This agreement will help MGM
Resorts' Mandalay Bay Resort to fulfill approximately 20% of
electricity requirements at a cheaper cost. This project is also
intended to reduce NRG Energy's dependence on fossil fuels.
We believe NRG Energy's efforts toward expansion of its solar
portfolio will create a win-win situation for both the parties.
This project will strengthen MGM Resorts' Green Advantage
sustainability initiatives. On the other hand, NRG Energy is
assured of a steady revenue flow.
Globally, utilization of renewable energy is rising mainly due to
its clean nature and a growing awareness among the masses about
its advantages. This has influenced utility providers to shift
their mode of power generation to solar, wind and water from
In Aug 2005, the U.S Environmental Protection Agency circulated a
regulation that each of the federal agencies will consume
renewable energy in amounts of not less than 7.5% in 2013 and
Apart from NRG Energy, other utility providers including
) are investing substantially to develop and upgrade their
renewable emission-free utility assets to comply with
NRG Energy continues to convert its existing fossil fuel-based
generation facilities into cost-effective units and expand the
solar asset portfolio. In Mar 2013, the company started
operations at its 26 MW Borrego I Solar Generating Station, in
northeast of Borrego Springs, California.
Apart from the existing project, NRG Energy has a number of solar
projects lined up - the Agua Caliente, Avenal, Blythe, California
Solar Valley Ranch and Ivanpah Solar Electric Generating System
in California, which are presently in the construction phase. We
believe these initiatives will subsequently improve the company's
However, fossil fuels still remain the most popular fuel source
among energy producers owing to its abundance in the U.S. and
will continue to provide hard competition to renewable sources.
Princeton, NJ-based NRG Energy together with its subsidiaries
operates as an integrated wholesale power generation and retail
electricity company. The company currently has a Zacks Rank #3