Granite Mountain Solar East, LLC Submits Shared Facilities Agreement to Federal Energy Regulatory Commission

Strategic Insights -

Granite Mountain Solar East, LLC (GME Solar) has submitted a Shared Facilities Agreement (SFA) to the Federal Energy Regulatory Commission (FERC) for filing. The SFA is a part of a larger project involving a solar-powered generation facility and a battery energy storage facility in Iron County, Utah. The agreement outlines the framework for joint ownership and utilization of shared interconnection facilities between the two projects.

Key Takeaways:

  • The Shared Facilities Agreement is between GME Solar, Granite Mountain BESS East LLC, and Clearway SFA Manager LLC.
  • The agreement provides for the joint ownership and operation of shared interconnection facilities, including electric interconnection facilities.
  • The terms of the SFA are consistent with those typically included in joint ownership or shared facility agreements accepted by FERC.
  • The agreement includes provisions for the sharing of actual costs, reimbursement of lost production damages, and the provision of operation and maintenance services.
  • The SFA also includes terms and conditions for the joint ownership and operation of other rights in facilities that are not FERC-jurisdictional facilities.
  • The arrangement with SFA Manager is similar to that considered in Duke Energy Corp. and is subject to the direction and approval of the public utility owners of the shared facilities.

Statistics:

  • The GME Solar Project is an approximately 80 MW solar-powered generation facility, while the GME BESS Project is an up to approximately 80 MW battery energy storage facility.
  • The shared interconnection facilities under the SFA are electric interconnection facilities currently owned by GME Solar.
  • The SFA provides for the reimbursement of lost production damages, including lost revenues, availability incentive or bonus payments, and other liabilities, damages, penalties, costs, or charges incurred by the applicable project company.

Sources:

  • [1] Granite Mountain Solar East, LLC, Docket No. ER25-___-000, Filing of Shared Facilities Agreement (2024).
  • [2] 18 C.F.R. Part 35 (2023).