Duke Energy (DUK) Unit Buys Six Solar Projects In Georgia

Duke Energy Corporation’s (NYSE:DUK) unit, Duke Energy Renewables, has purchased six solar projects with a total capacity of 4.7 megawatts (“MW”) in Georgia.

Details of the Projects

The ground-mounted projects were obtained from Atlanta-based solar developer, SolAmerica Energy, which had developed the plants and supervised their construction under an engineering, procurement and construction (“EPC”) contract with Duke Energy’s associate, REC Solar.

The solar facilities are powered by Yingli Green Energy Holding Co. Ltd.’s (NYSE:YGE) panels and are part of the Georgia Power Advanced Solar Initiative. Power generated by these facilities will be supplied to Georgia Power under a 30-year agreement.

The projects comprise five plants − Hancock County Solar Farm in Sparta, Johnson County Solar Farm in Wrightsville, Ware County Solar Farm in Waycross, Wilcox County Solar Farm in Abbeville, Decatur County Solar Farm I in Bainbridge − each with a capacity of 769 kilowatts (“kW”). They also include a 834 kW plant − Decatur County Solar Farm II in Bainbridge.

DUKE ENERGY CP Price

Renewable Endeavors

These are Duke Energy Renewables’ first solar projects in Georgia. With this buyout, the company has expanded its presence in the renewable market. Presently, it owns 49 solar sites across eight states.

With regulatory authorities increasingly encouraging renewable generation, dependence on fossil fuels has been declining. In fact, as per the U.S. Energy Information Administration (EIA), electricity generated from renewable sources is projected to increase 9.5% in 2016 and 5.8% in 2017.

Duke Energy is a premier utility service provider that offers efficient power and energy services across various states in the U.S. and several international locations. We appreciate the company’s efforts on expanding its scale of operations and implementing modern technologies at its facilities. Note that Duke Energy invests heavily in infrastructure and expansion projects.

The company has plans to invest $1.5 billion in renewables in its pipeline joint ventures in 2016. Additionally, it intends to invest $3–$5 billion in commercial renewables in its gas pipeline through 2020.

Duke Energy currently has a Zacks Rank #3 (Hold).

Stocks to Consider

A couple of better-ranked companies in the utility sector include Spark Energy, Inc. (NASDAQ:SPKE) and DTE Energy Company (NYSE:DTE) . While Spark Energy sports a Zacks Rank #1 (Strong Buy), DTE Energy carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

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