The agreement represents a major milestone in Maryland’s renewable energy strategy, doubling the amount of renewable energy currently purchased directly by the State through long-term Power Purchase Agreements; and providing enough renewable electricity to power nearly 15 percent of the State’s portfolio beginning in 2028.
The agreement serves as a win-win at a most crucial time – saving Maryland a significant amount of money, while increasing our state’s access to solar power, and reducing pressure on the power grid.
“Our administration is taking direct action and using every tool available by investing in Maryland-generated solar energy to lower costs and protect our environment,” said Gov. Moore. “This agreement is a major win for Maryland, ensuring our state has access to reliable, clean sources of energy, progressing our clean energy goals, and advancing towards a more sustainable future.”
The proposed 20-year power purchase agreement (PPA) with REV Renewables, will provide approximately 250,000 megawatt-hours of renewable electricity annually beginning in 2028 from the Jade Meadow III Solar Project in Western Maryland. The agreement was approved today by the Maryland Board of Public Works.
Under the agreement, DGS will purchase approximately half of the electricity generated by the 300-megawatt solar project, which is currently active in the PJM Interconnection queue with an anticipated completion date of 2028, for state energy accounts.
Financial analysis conducted by DGS projects substantial savings compared to continuing traditional electricity purchasing strategies. Depending on future electricity market conditions, the agreement is expected to save between $298 million and $515 million over the 20-year contract term. The annual electricity purchased is equivalent to the energy used by more than 20,000 homes each year.
“This agreement represents a historic win for Maryland, reflecting our commitment to responsible stewardship of taxpayer dollars while delivering on Maryland’s ambitious clean energy goals,” said DGS Secretary Atif Chaudhry. “By locking in long-term renewable energy pricing for the next 20 years, we are not only protecting the State from future energy market volatility, but also securing approximately $300 million in savings for Maryland. This project significantly expands our renewable energy portfolio, and serves as a cornerstone in our transition toward a cleaner, more sustainable future.”
