Iberdrola signs its biggest purchase deal to supply Tennessee with 300MW

US: Iberdrola has signed a deal with the Tennessee Valley Authority (TVA) to supply 300MW, wind power provider's biggest power purchase agreement to date.

Iberdrola signs purchase agreement with TVA for 200MW

The energy will be supplied from Iberdrola’s Streator Cayuga Ridge project, which is under construction just south of Chicago. Overall TVA is aiming to add 2000MW of renewable energy to its power.

The Streator Cayuga Ridge project is expected to come online before June and will have a total capacity of 300MW.

The Tennessee Valley Authority (TVA) is a federally owned corporation whose responsibility includes electricity generation, fertiliser manufacturing and economic development. In addition to a large proportion of Tennessee, its remit covers areas of Alabama, Mississippi, Kentucky, Georgia, North Carolina and Virginia.

Speaking about the deal Martin Mugica, Executive vice president for Iberdrola Renewables said: "Iberdrola Renewables is thrilled to welcome TVA to our growing list of customers and to supply TVA from our newest Illinois wind farm."

Iberdrola initially faced opposition of development of the wind farm and work was brought to a standstill by local activists last year.

A lawsuit, filed in October by a group called the People Protecting Cayuga Ridge, alleged that errors were made during the public hearing process to determine whether the turbines could adversely affect property values and endanger the health of nearby residents.

The case was dismissed by a county judge lawsuit with prejudice, meaning the suit cannot be filed again.