CPS Energy Expands Renewable Energy Portfolio with AvanGrid from Texas Wind Farm

CPS Energy has announced the extension and expansion of a 15-year Power Purchase Agreement (PPA) with Avangrid, which will significantly increase its renewable energy capacity. The revised agreement will more than double CPS Energy’s wind power share from Avangrid’s Peñascal wind farm in Kenedy County, Texas, from 77 megawatts (MW) to 161 MW. This increase in capacity is expected to provide enough energy to power approximately 41,000 Texas homes during peak summer conditions.

With this expansion, nearly 40% of the total power generated at the Peñascal wind farm will be supplied to CPS Energy, solidifying its position as the second-largest provider of wind-generated electricity in Texas.

“Growing our diversified energy portfolio continues to bring us closer to realizing our Vision 2027 goals,” said Rudy D. Garza, President and CEO of CPS Energy. “This wind extension and expansion reinforces our longstanding commitment to renewable energy and is well-aligned with our approved generation plan.”

Pedro Azagra, CEO of Avangrid, also highlighted the importance of this partnership. “This is another great example of Avangrid working closely with our partners to continue delivering clean, reliable energy to customers,” he said. “In this case, we are growing our already strong relationship with CPS Energy to support their growing customer base with locally sourced power while managing merchant risk at one of our existing wind facilities.”

The additional 84 MW of wind power supports CPS Energy’s Vision 2027 plan, which includes retiring 2,249 MW of older generation capacity by 2030. So far, CPS Energy has added 1,710 MW of natural gas, contracted 730 MW of solar energy, and 50 MW of energy storage, with plans for an additional 500 MW of energy storage in progress.

These initiatives are also aligned with CPS Energy’s commitment to the City of San Antonio’s Climate Action & Adaptation Plan (CAAP), aiming for carbon neutrality by 2050 and achieving interim goals of reducing greenhouse gas emissions by 41% from 2016 levels by 2030, and 71% by 2040.