DESRI and Ranger Power Begin Construction on 290MW Solar Projects in Michigan
DESRI and Ranger Power Begin Construction on Solar Projects in Michigan
In a significant step towards enhancing clean energy generation in the Midwest, DESRI (Distributed Energy Solutions, Inc.) in collaboration with Ranger Power has announced the successful closing of financing for their two substantial solar projects: Heartwood and White Tail. These projects, with a combined capacity of 290 megawatts, are set to make a notable contribution to the local economy and energy supply.
Project Details
The Heartwood Solar project, located in Hillsdale County, boasts a capacity of 150 MWac, while the White Tail Solar project, situated in Washtenaw County, provides 140 MWac. The completion of financing marks a vital milestone for these projects, paving the way for the initiation of construction activities. The Chief Commercial Officer of DESRI, Thomas de Swardt, expressed enthusiasm about this development, stating, “Heartwood and White Tail mark DESRI's eleventh and twelfth projects in Michigan, where we have been building since 2019.”
Community Impact
The impact of these solar projects extends beyond energy generation. The Heartwood initiative alone is expected to create over 300 jobs during its peak construction phase, further stimulating the Michigan economy. The power purchase agreement signed with Consumers Energy guarantees a reliable revenue stream while ensuring that the local power demands are met sustainably. Furthermore, White Tail has secured agreements with both the Lansing Board of Water and Light and the Michigan Public Power Agency (MPPA), showcasing a collaborative approach to developing renewable energy resources.
Paul Harris, Co-Founder and President of Ranger Power, emphasized the importance of community involvement, reflecting on years of outreach efforts that have made these projects possible. He stated, “These projects, which will provide in excess of $62 million in property tax payments throughout their lives, will generate low-cost, reliable energy supporting farming and economic development throughout the region.” The company pledges continued support for the local communities, contributing to initiatives like the Hillsdale Community Foundation and other local projects.
Financing and Support
Financing for both solar initiatives has been orchestrated by a consortium of lenders, with Fifth Third Bank and Zions Bancorporation serving as Coordinating Lead Arrangers. Other financial partners contributing included Bank of America, Commerzbank, and SUMITOMO MITSUI TRUST BANK. Leaders at these financial institutions, such as Jon Stark from Fifth Third Bank, expressed their excitement over the opportunity to support reputable companies like DESRI in executing these environmentally sustainable projects.
Industry Recognition
The developments in Michigan highlight the growing trend toward renewable energy, with Consumers Energy and MPPA recognizing the relevance of these projects in advancing their clean energy portfolios. Sri Maddipati, Vice President of Electric Supply at Consumers Energy, cited, “Achieving our ambitious energy infrastructure plans means developing projects ourselves and working alongside trusted organizations like Ranger Power.”
Conclusion
The groundbreaking for Heartwood and White Tail Solar represents a monumental step in Michigan’s journey toward achieving a sustainable energy future. As construction progresses with anticipated operational dates set for 2025 and 2026 respectively, the community can expect not only economic benefits through job creation but also a shift towards more secure and eco-friendly energy solutions. These projects serve as a testament to the efficacy of public-private partnerships in fostering renewable energy growth and ecological stewardship.
Through collaborations such as those between DESRI and Ranger Power, the state is embarking on a path that prioritizes both its environmental commitments and its economic development objectives. With continued investment in renewables, Michigan is poised to play a significant role in the clean energy landscape of the United States.