Avangrid activates the largest solar project in Washington State

Iberdola energy services company Avangrid announced completion of construction and commercial operations of a 150 MW utility-scale solar facility in Klickitat County, Washington. The installation is the largest utility-scale solar project in operation in the Pacific Northwest state.

Lund Hill solar sits on roughly 1,800 acres of mixed-use land leased from private owners and the Washington Department of Natural Resources, the state’s solar power land lease.

The project supplies electricity as part of utility Puget Sound Energy’s (PSE) program called Green Direct, which enables governments and large commercial customers to purchase 100% renewable energy contracts from dedicated local sites.

Governor Jay Inslee celebrated the activation, commenting, “with our efforts this upcoming session, this should be the first of many clean energy projects that bring good-paying jobs and affordable, zero-emission energy to Washingtonians.”

The project will supply electricity for PSE’s second round of the Green Direct program. So far the program has connected more than 40 customers with renewable energy, including six state government agencies, like the Washington Department of Health, Ecology, and Transportation. PSE targets 100% clean energy by 2045, as mandated in Washington’s Clean Energy Transformation Act.

Avangrid financials

Avangrid, a publicly traded electric and gas utility holding company, is headquartered in Orange, Connecticut. Through its network business, the company operates eight natural gas and electric utilities, serving over 3 million customers in the Northeast U.S. Combined with its renewable energy business, the company has over $41 billion in assets and operations in 24 states.

Reporting on 2022 financial performance, Avangrid noted a U.S. earnings per share increased 15% year-over-year. The company invested $1.9 billion in its networks, driving 8% rate base growth. Avangrid commissioned about 400 MW of solar and onshore wind projects in 2022 and has another 600 MW in construction at the time of financial report.

Consolidated net income for the full year 2022 was $901 million, or $2.33 per share, compared to $780 million, or $2.18 per share, for the full year ended 2021.

Renewables earnings for the full year 2022 were $386 million, or $1.00 per share, and fourth-quarter earnings were $76 million, or $0.20 per share. The company established an outlook of $2.20 to $2.35 earnings per share for 2023, reiterating an annual 7% EPS growth rate through 2025 based on the mid-point 2022 EPS outlook.

Avangrid highlighted the beginning of construction of Vineyard Wind, a 1.8 GW offshore wind project that is expected to reach commercial operations in 2023.

“Our excellent results for 2022 demonstrate our commitment to execution and to the successful implementation of our long-term outlook,” said Pedro Azagra, chief executive officer of Avangrid. “We managed through the challenges in the macro-economic environment, with sharp increases in inflation and interest rates and continued supply chain disruptions, while maintaining focus on operational excellence, improving customer experience, and achieving our strategic growth objectives.”

Avangrid is a member of Bilbao, Spain-based Iberdola SA, one of the world’s largest power and utility companies, with a $74.4 billion market capitalization. Through its affiliated companies, Iberdrola supplies energy to more than 100 million customers and employs over 40,000 staff members. Its main markets include Spain, the U.K., Portugal, France, Germany, Italy and Greece, U.S., Brazil, Mexico and Australia.