AES Indiana buys large wind farm in northwest Indiana
Subscriber Benefit
As a subscriber you can listen to articles at work, in the car, or while you work out. Subscribe Now
In its latest push into renewable energy, AES Indiana has acquired a large wind farm in northwest Indiana with 53 wind turbines that could produce enough power for about 29,000 homes.
The Indianapolis-based utility said Thursday it has closed on the purchase of the Hoosier Wind project, a 106-megawatt farm located in Benton County. The seller was EDF Renewables North America, based in San Diego. Terms were not disclosed.
The wind farm has been supplying power to AES Indiana, formerly known as Indianapolis Power & Light Co., since 2009 under a 20-year power purchase agreement. It is located on 6,500 acres of farmland in Fowler, Indiana. Its windmills reduce CO2 emissions by 286,700 tons per year, the utility said.
AES Indiana said the wind farm will provide “long-term savings” to its customers and benefit from lower fuel and maintenance costs. It estimated that a typical customer using 1,000 kilowatt hours per month will see a decrease of about 7 cents on the monthly bill.
The utility said the acquisition would provide $22.2 million in cost savings to customers over the next six years and advance efforts to provide sustainable energy solutions.
“This strategic acquisition advances our investments in renewables and supports our commitment to provide customers with reliable, affordable and sustainable energy solutions,” Brandi Davis-Handy, AES Indiana president, said in written remarks. “Hoosier Wind is an important contributor toward our portfolio evolution and our promise to deliver 100% clean energy to our customers by 2050.”
As of last year, the utility counted on coal for 50% of its power generation, 42% on natural gas, 5% on wind power, and 3% on solar and storage.
AES Indiana said in its 2022 Integrated Resource Plan it would procure an additional 1,300 megawatts of wind, solar and battery energy storage over the next five years.
It said it planned by 2042 to decrease coal to 13% of its power generation, and increase wind power to 46%, and solar and storage to 32%.
“Adding Hoosier Wind to AES Indiana’s portfolio as an owned asset supports the company’s on-going capacity needs and strategy to add renewables in AES Indiana’s resource portfolio,” the company said in its announcement.
Luis Silva, CFO of EDF Renewables, said, “Hoosier Wind, which was commissioned in 2009, holds the distinction of being our inaugural project in Indiana. We eagerly anticipate exploring further prospects with AES Indiana in the future.”