CIP Acquires Swan Lake pumped hydro project
/
Rendering of the Swan Lake Pumped Hydro Project (Image: slenergystorage.com)
Energy Fund Management Company, Copenhagen Infrastructure Partners (CIP), has acquired the ownership of the Swan Lake and Goldendale closed-loop pump hydro storage projects. The projects were previously owned and in development under a joint venture between Rye Development (Rye) and National Grid.
Swan Lake is a 400 MW project in Klamath County, Oregon. Swan Lake secured its 50-year Federal Energy Regulatory Commission (FERC) license in 2019.
Goldendale is a 1,200 MW project in Klickitat County, Washington. Goldendale has filed an application with FERC in June of 2020.
Example of closed-loop pump hydro storage. (Image: slenergystorage.com)
“At CIP, we focus on teaming with leading developers and making investments in energy infrastructure assets with a high degree of stability in cash flows,” said Christian Skakkebaek, senior partner at CIP. “With the long investment horizon of our funds, it enables us to participate in large projects overseeing contracting, de-risking, financing, construction, and operation. Pumped storage hydro is a unique and valuable asset class that will be a key resource as the global transition to renewable energy continues to accelerate in states such as Oregon, Washington, and Montana.”
Rye will continue to lead the development of the two projects until the start of construction. Rye is the leading developer of new hydropower at existing non-powered dams and closed-loop pumped storage, in North America.
“CIP acquiring Swan Lake and Goldendale is a great fit for completion of the projects,” said Erik Steimle, Vice President at Rye Development.
(Image: slenergystorage.com)
Steimle continues, “CIP recognizes the long term importance of new storage infrastructure projects to help harness and store wind and solar energy for meeting peak demand as both Washington and Oregon move toward a 100 percent clean electricity grid cost-effectively and reliably.”
Several studies have concluded that the Pacific Northwest will need thousands of megawatts of new generating capacity and storage as coal is phased out of the grid and renewable energy from wind and solar replaces them. Closed-loop pumped storage provides both; however, wind and solar do not produce energy 24 hours a day.
According to a press document from CIP, “long duration storage, particularly pumped storage, will help solve this challenge by storing the energy until it is needed at peak times.”
About CIP
Copenhagen Infrastructure Partners P/S is a fund management company with seven energy infrastructure funds and more than EUR 12 billion in commitments under management. CIP is a multinational team with extensive experience and knowledge within renewable technologies. CIP has investments in utility scale renewable assets across North America, Western Europe, and Asia Pacific. The team has a broad range of competencies within corporate finance, merger & acquisitions, engineering, construction, project development and project management. CIP was established in 2012 by senior executives with a proven track record from senior positions in the energy industry. Current investments include a wide range of energy infrastructure assets including offshore wind, onshore wind, offshore power transmission, biomass and energy-from-waste, and solar PV investments.
About Rye
Rye Development is a leading U.S. hydropower developer with a current pipeline of over 22 projects in 8 States. Rye’s development of new hydropower on existing dams, in conjunction with financing partner, the Climate Adaptive Infrastructure Fund, and Rye’s development of new closed loop pumped strorage, demonstrates Rye’s commitment to the responsible development of untapped hydropower resources while maintaining rivers’ balance of environmental and commercial requirements. Rye brings communities around the country substantial infrastructure, job creation, and a local source of renewable, non-consumptive energy.