Consolidated Edison Inc. (ED)'s development unit bought two solar plants in California from GCL- Poly Energy Holdings Ltd. for $266 million, its first acquisition in the state.
The plants have the capacity to produce 92 megawatts of electricity, according to an e-mailed statement from the New York-based company today. The Alpaugh 50 and Alpaugh North plants are scheduled to start operating in the fourth quarter. The two projects each provide enough power to serve about 15,000 homes, according to the statement.
Power from the projects will be sold to PG&E Corp. (PCG)'s Pacific Gas & Electric subsidiary under 25-year agreements. Under California law, utilities must get 33 percent of their power from renewable sources like wind or solar by 2020.
GCL-Poly announced the transaction last week without naming the buyer and said it expects to record a $16 million pretax gain on the sale.