Cleveland Public Power (CPP) has been authorised by Cleveland City Council to negotiate contracts with the US spin-off of Fred. Olsen Renewables, which will most likely build LEEDCo’s Icebreaker project, local media writes.
Namely, CPP’s Lake Road Substation should provide the main connection point for Icebreaker to feed the project’s power into the electrical grid, and the power company received City Council’s authorizing legislation to negotiate the terms with FORUSA (Fred. Olsen Renewables USA).
LEEDCo already has a Memorandum of Understanding in place with CPP, by which CPP will buy 25% of the power Icebreaker turbines generate.
Even though the companies will negotiate contracts, the Council’s authorisation contains some already established terms, such as the contract for CPP’s purchase of 5MW of the wind farm’s output and FORUSA’s compensation of CPP’s investment into the substation’s upgrade.
Specifically, CPP is required to buy electrical equipment and upgrade the substation to handle the output of the wind farm, and Fred.Olsen Renewables USA will compensate CPP for whatever it spends on the upgrade.
LEEDCo’s Icebreaker project will have a capacity of up to 27MW and will be the world’s first freshwater wind farm.