TEP Plans New Wind Energy Project That Could Power More Than 30,000 Homes

Request for Proposals to Call for Wind Generation, Supporting
Technologies

TUCSON, Ariz.–(BUSINESS WIRE)–Tucson Electric Power (TEP) plans to issue a request for proposals (RFP)
this week for the design and construction of new wind energy resources
that could power up to 31,000 homes annually.

TEP plans to seek cost-competitive bids for 100-150 megawatts (MW) of
wind energy from resources that interconnect with TEP’s system or
deliver power through a third-party firm transmission service. The
energy will help TEP work toward its goal of delivering at least 30
percent of its power from renewable resources by 2030, doubling the
state’s 2025 goal. TEP anticipates adding 800 MW of new renewable
capacity by the end of 2030, boosting its total renewable energy
portfolio to approximately 1,200 MW.

Under TEP’s current plan, the company expects to contract with the
successful bidder in 2018 and begin receiving power from the new wind
resource in 2021. TEP seeks to procure a cost-effective renewable
resource for customers by capitalizing on market conditions that may not
be available in the future while providing long term continuity to
renewable energy providers. Proposed projects must have a capacity of at
least 100 MW.

The RFP will seek proposals for both long term power-purchase agreements
and build-transfer agreements, in which TEP would purchase the system
after construction is complete. TEP also will consider proposals that
include the provision of ancillary services and supporting energy
storage systems.

The RFP process is being managed by New Hampshire-based Accion Group.
Potential bidders may register beginning on Thursday, January 18, at
Accion’s website, accionpower.com.

TEP currently has contract rights to 80 MW of operating wind power in
Arizona and a 100 MW resource under development in western New Mexico.
TEP has more than 560 MW of renewable energy resources, including solar
PV, solar thermal, wind and biomass. Nearly 11 percent of the power TEP
delivers to retail customers comes from renewable resources.

TEP provides safe, reliable electric service to nearly 420,000 customers
in Southern Arizona. For more information, visit tep.com.
TEP and its parent company, UNS Energy Corporation, are subsidiaries of
Fortis Inc., a leader in the North American regulated electric and gas
utility industry. For more information, visit fortisinc.com.

Contacts

Tucson Electric Power
Joseph Barrios, 520-884-3725
[email protected]