Pattern Energy Group LP Buys Rights To Maine Wind Project

Independent power company Pattern Energy Group LP (“Pattern Development”) announced it has acquired the rights from SunEdison to develop the proposed 600 megawatt (MW) King Pine Wind power project. This partnership is the main shareholder of Pattern Energy Group Inc. (NASDAQ:PEGI) . Pattern Energy Group holds a right of first offer with respect to any power project that Pattern Development decides to sell, including the King Pine Wind project.

Pattern Development specializes in renewable energy projects and currently has over 5,900 MW of wind and solar projects in its portfolio. Beyond the U.S., the company has operations in Canada, Mexico, Chile, and Japan.

About the Wind Project

King Pine Wind power project is under development in northeastern Maine, located in Aroostook and Penobscot counties.

The project will utilize 174 turbines and will interconnect to the ISO New England at Emera Maine's proposed 345 kV Hammond substation. This wind project is expected to begin full construction in 2018 and reach commercial operation in 2020.

Other Eco-Friendly Projects

Both Pattern Development and Pattern Energy Group are involved in strategic acquisitions to develop and expand their renewable generation capabilities.

On Jun 30, Pattern Energy Group said that it has committed to acquire interests in the 324 MW Broadview Wind power facility and the associated independent 35-mile 345 kV Western Interconnect transmission line from Pattern Development for $269 million at the commencement of commercial operations.

On Apr 26, Pattern Development completed the 14 MW Kanagi Solar photovoltaic (PV) power facility in Japan jointly venturing with Green Power Investment Corporation.

Growth in Renewable Projects

Per a research report from REN21, global investment in renewable power project touched $286 billion in 2015, creating a new global high in renewable investment, surpassing the previous record of $279 billion in 2011.

We expect further increase in renewable projects in the U.S., thanks to the Clean Power Plan of the Environmental Protection Agency and extension of Federal investment tax credits and production tax credit.

Per a recent release from the U.S. Energy Administration Information, total renewables used in the electric power sector are expected to increase by 13% in 2016 and by 3.3% in 2017. We expect the renewable share in electric power generation to continue to increase beyond 2017, thanks to strict emission control rules and supportive legislations.

Utilities like NextEra Energy (NYSE:NEE) , Duke Energy Corporation (NYSE:DUK) and Dominion Resources (NYSE:D) are investing steadily to boost their green generation portfolio.

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