Alabama Power Co. - a unit of Atlanta-based electric utility
) - entered into a power purchase deal with Kansas-based wind power
developer TradeWind Energy, LLC. Per the agreement, 202 megawatts
(MW) of electricity will be delivered from the Buffalo Dunes wind
farm in Kansas across five states to communities in Alabama.
DUKE ENERGY CP (DUK): Free Stock Analysis
EXELON CORP (EXC): Free Stock Analysis Report
SOUTHN COMPANY (SO): Free Stock Analysis Report
To read this article on Zacks.com click here.
Earlier in September, the 20 year power purchase deal and all
related renewable energy credits (RECs) received the approval of
the Alabama Public Service Commission.
The project will span 42,000 acres and will be hosted by more than
120 landowners based in Haskell, Grant and Finney Counties in
The deal will enable Alabama Power to supply the electricity
generated from the wind project to serve its customers and
consequently retire RECs. It can also sell the electricity and the
RECs to third parties, jointly or separately.
The Buffalo Dunes Wind Project will involve an investment of about
$300 million. Commercial operations are expected to start in
December 2013. The capacity of the wind farm would be 200 to 405 MW
upon its completion.
This project exemplifies the inherent growth potential of Midwest
wind resources to serve the power requirements of consumers in
eastern United States.
Southern Company - one of the largest generators of electricity in
the nation along with the likes of
Duke Energy Corporation
) - serves both regulated and competitive markets across
Southeastern U.S. It is a holding company for four regulated
Southern electric utilities that serve about 4.4 million customers
- Georgia Power, Alabama Power, Gulf Power and Mississippi Power.
Southern Company has a Zacks #3 Rank (Hold rating) for the short
term. We are Neutral on the shares for the longer term.