SAN JOSE, Calif., Nov. 11, 2011 /PRNewswire/ -- SunPower Corp.
(NASDAQ: SPWRA, SPWRB) today announced that the company has begun
designs for a 13.78-megawatt (DC) solar photovoltaic (PV) power
system at Naval Air Weapons Station China Lake in California and intends to break ground next
month. SunPower's high-efficiency solar technology will generate
the equivalent of more than 30 percent of China Lake's annual energy load, helping to
reduce costs by an estimated $13
million over the next 20 years. Because the Navy is
buying electricity under a power purchase agreement (PPA), the
system requires no initial out-of-pocket expenses, and will deliver
increased energy independence as well as reliable, emission-free
solar power beginning at the end of next year.
The installation will be the government's first solar power
plant financed by a 20-year Federal solar PPA using the 10USC 2922a
authority which is relevant to contracts for energy or fuel for
military installations.
Under the agreement, SunPower will design, build, operate and
maintain the solar power system which will utilize the company's
high-efficiency solar panels that are supported by a 25-year
warranty. An affiliate of Metropolitan Life (MetLife) will be the
owner of the plant that will be leased to a SunPower affiliate. The
Naval Air Weapons Station China Lake will buy the electricity at a
rate that is currently below the retail utility rate, providing the
Navy with a long-term hedge against rising power prices with no
initial capital investment. The 20-year PPA will also allow the
Navy to secure electricity at up to 30 percent below the rate
available through the more traditional 10-year PPA.
"A 20-year PPA resulted in a significantly lower rate to the
Navy over the life of the system," said Karen Butterfield, SunPower's director of
federal programs. "With more than a decade of experience working
with the federal government and the most efficient solar technology
available today, SunPower is confident in guaranteeing the
performance of this system over the entire contract period. We are
also proud to supply SunPower solar panels that are compliant with
the Buy American Act."
The installation at China Lake
will feature the SunPower® Oasis™ Power Plant product, a fully
integrated, modular solar power block that is engineered to rapidly
and cost-effectively deploy utility-scale solar projects while
optimizing land use. Each power block integrates the SunPower® T0
Tracker with the maximum efficiency SunPower E19 / 425 Solar Panel,
pre-manufactured system cabling and other advanced features.
"MetLife recognizes the benefits of being an investment partner
in projects like China Lake," said
Jeetu Balchandani, a director in
MetLife's Investments Department. "This project enables MetLife to
further our commitment to supporting efforts that truly drive
sustainability while aligning with our high quality investment
philosophy. We are pleased to work with SunPower and the Navy on
this important endeavor."
SunPower has worked with federal agencies since 1999, resulting
in the installation of more than 25 megawatts of solar power
systems at government facilities, including solar power plants at
Nellis Air Force Base in Nevada,
Pearl Harbor, Ft. Dix,
Coronado Island and the Air Force Academy in Colorado Springs, Colo.
About SunPower
SunPower Corp. (NASDAQ: SPWRA, SPWRB) designs, manufactures and
delivers the highest efficiency, highest reliability solar panels
and systems available today. Residential, business, government and
utility customers rely on the company's quarter century of
experience and guaranteed performance to provide maximum return on
investment throughout the life of the solar system. Headquartered
in San Jose, Calif., SunPower has
offices in North America,
Europe, Australia and Asia. For more information, visit
www.SunPowercorp.com.
Forward-Looking Statements
This press release contains forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of
1995. Forward-looking statements are statements that do not
represent historical facts and may be based on underlying
assumptions. The company uses words and phrases such as "planned,"
"expected," " intends," "will" and similar expressions to identify
forward-looking statements in this press release, including
forward-looking statements regarding (a) expected beginning of
construction of the power system; (b) expected benefits of the
power system; and (c) SunPower designing, building and operating
and maintaining the power system. Such forward-looking statements
are based on information available to the company as of the date of
this release and involve a number of risks and uncertainties, some
beyond the company's control, that could cause actual results to
differ materially from those anticipated by these forward-looking
statements, including risks and uncertainties such as: (i)
construction difficulties or potential delays, including obtaining
land use rights, permits, license, other governmental approvals,
and transmission access and upgrades, and any litigation relating
thereto; (ii) increasing competition in the industry and lower
average selling prices, and impact on gross margin; (iii) timeline
for revenue recognition and the impact on the company's operating
results; (iv) the risk of continuation of supply of products and
components from suppliers; (v) unanticipated problems with
deploying the system on the site; and (vi) other risks described in
the company's Annual Report on Form 10-K for the year ended January
2, 2011 and Quarterly Report on Form 10-Q for the quarter ended
July 3, 2011, and other filings with the Securities and Exchange
Commission. These forward-looking statements should not be relied
upon as representing the company's views as of any subsequent date,
and the company is under no obligation to, and expressly disclaims
any responsibility to, update or alter its forward-looking
statements, whether as a result of new information, future events
or otherwise.
SunPower is a registered trademark of SunPower Corp.
All other trademarks are the property of their respective
owners.
SOURCE SunPower Corp.