Major 321 MW solar farm in Texas moves close to a final investment decision

March 3 (UPI) -- Renewable energy company AVANGRID said Friday an agreement to spend $30 million on components supports a final investment decision for a solar power facility in Texas, a national leader in solar power.

AVANGRID said it would use $30 million to buy solar trackers from New Mexico-based Array Technologies. Solar trackers help photovoltaic panels follow the path of the sun to allow for maximum solar exposure.

Those trackers will be used for the construction of AVANGRID's 321 megawatt True North solar farm in Texas, which will be among the largest in the company's U.S. portfolio.

"This is a true win-win that both supports our state's economy and drives forward a clean energy future," New Mexico Gov. Michelle Lujan Grisham, a Democrat, said.

Federal data show New Mexico's grid was supported more by renewable energy than either coal or natural gas for the first time in 2021. Texas, meanwhile, ranks sixth in the nation for solar power potential.

AVANGRID said the agreement with Array Technologies provides a foundation for the final investment decision necessary to start construction of the True North solar farm. It's expected to be completed by the end of next year.

"Projects like True North are crucial to decarbonization and will help the country reach its ambitious clean energy goals and help New Mexico grow industrial green energy jobs," said Pedro Azagra, the CEO of AVANGRID.

The federal Energy Department expects renewables to increase their market share on the grid from 22% last year to 26% in 2024, supported by 63 gigawatts of solar power capacity. Consultant group Wood Mackenzie is expecting a 118% increase in the solar market over the next five years.

Caitlin Connelly, a research analyst at the consultant group, said sections of last year's Inflation Reduction Act should incentivize much of the expected growth.

AVANGRID is a subsidiary of Spanish multinational utility company Iberdrola.