Primergy Commissions 408-MW Texas Solar Committed to Microsoft PPA

Primergy Solar has completed a 408-MW Texas project which is under a long-term power purchase deal with Microsoft.

The Ash Creek Solar farm is located in Hill County, Texas. The state is among the top two nationally, along with California, in utility-scale solar installation.

In 2024, Primergy Solar announced $588 million in project financing for the construction of the project, and an additional commitment of $350 million in tax equity financing, bringing the total capital committed for Ash Creek Solar to about $1 billion. The tax equity commitment was led by a Fortune 500 telecommunications company and Truist Bank.

"Projects like Ash Creek Solar provide thoughtful energy solutions to meet the needs of consumers, drive long-term value, and strengthen America's energy independence," said Primergy CEO Ty Daul. "We are proud to work alongside Microsoft, our local stakeholders, and the broader Hill County community to ensure this project delivers reliable and affordable energy to the grid, along with economic growth for the community for years to come."

Ash Creek Solar was developed by Orion Power Generation, a joint venture between Orion Renewable Energy Group and Eolian. While development started in 2016, Primergy acquired the project in 2021.

In recent years, Microsoft has committed to long-term PPAs on renewable energy projects developed by EDP, Leeward and others. Under PPAs, the customer may not receive the carbon-free energy directly to its operations, but the investments aids developers in financing and building utility-scale renewable energy to be discharged into the main power grid.

Globally, more than $13 billion has been invested in the solar energy sector, according to a new report by Mercom Capital Group. Nearly $11 billion of that solar investment came from corporate funds, while $2.5 billion was invested through the venture capital sector, Mercom says.