New Jersey power company NRG Energy has sold its wind generation development unit Padoma Wind Power to Enel North America (ENA), the U.S. renewable energy subsidiary of Italian power company Enel.
Based outside San Diego, in La Jolla, Calif., Padoma Wind has a 4,000-megawatt project pipeline. The whole Padoma development team is moving to Enel.
As part of the deal, NRG also gets to keep a 33 percent stake in a portfolio made up of three Texas wind farms that combined generate nearly 350 megawatts of electricity.
Also, NRG will have first dibs on becoming an equity partner in any Padoma Wind projects. Enel and NRG might also work together developing other renewable energy power projects in North America.
In a prepared statement issued yesterday, Francesco Starace, president of ENA’s parent company, Enel Green Power, said:
Padoma’s current pipeline in California and the experience of its development team will further strengthen our position in the United States and provide us with solid opportunities to grow in attractive markets in the future. Padoma adds depth to our North American development capabilities and provides key geographical diversification to our wind pipeline.
In effect, the deal allows NRG to spread the project development risk and cost, while still keeping skin in the game and benefit from any potential upside.
NRG has been growing its renewable energy portfolio. Last fall it acquired offshore wind developer Bluewater Wind. The company says it’s open to selling an equity stakes in the Bluewater projects.
In November, NRG bought a 21 megawatt solar photovoltaic power project in Blythe, Calif. from First Solar.
A year ago, NRG invested $10 million in eSolar for the right to use the startup’s technology to develop and operate three utility-scale solar power projects in the western U.S.
ENA generates 406 megawatts of wind power in New York, Minnesota, Texas, Kansas and the Canadian provinces of Newfoundland and Alberta.
The two companies did not disclose the acquisition price.
Photo Credit: Enel North America