Nevada’s Solar Future Brightens Thanks to Incentive

Highlighting its unshakeable commitment to renewable energy in Nevada, the Governor’s Office of Energy (GOE) approved a tax incentive for a solar energy generation project in Clark County.

American Capital Energy – Searchlight Solar, LLC, received a three-year sales and use tax incentive and 20-year property tax incentive as part of the GOE Renewable Energy Tax Abatement Program, which awards incentives to eligible renewable energy producers who are considering building a project in Nevada.

"The Searchlight Solar facility is a result of Nevada’s commitment to the development and exportation of renewable energy by removing barriers and developing better business models that benefit our ratepayers,” GOE Director Paul Thomsen explained. “Nevada excels at renewable energy development because of streamlined permitting, modern infrastructure, and enhanced incentives that prove to developers around the world that NV means business.”  

The tax incentive amount granted for the Searchlight Solar project is $4.6 million over the incentive period. The total amount Nevada stands to gain from the project during that time is $50 million, which includes a $45 million capital investment by the facility and $5 million combined from property taxes, school support taxes, and employee payroll. This represents an 11-to-1 return on Nevada’s investment. 

According to Tom Anderson, Development Program Manager for the Searchlight Solar project, “The incentives available under the Nevada GOE Renewable Energy Tax Abatement Program were integral to securing financing from DESRI for the Searchlight Solar project.  We appreciate the hands-on support provided by the GOE in securing the incentives, and are excited to be under construction.”

The Searchlight Solar project is expected to create more than 125 construction jobs, the majority of those comprised of local electrical workers and labor.  Once completed, the facility’s maximum generating capacity will be 17.5 megawatts (MW) of electricity, enough to power about 5,600 homes. This power will be sold to Nevada Power Company under a 20-year purchase power agreement.  

“We are pleased to be playing a part in helping the State of Nevada achieve its renewable energy goals, while at the same time promoting local, renewable-energy jobs in Clark County.  We are looking forward to providing solar energy to the residents of Southern Nevada,” said Bryan Martin, managing director and head of U.S. growth and buyout private equity at the D. E. Shaw group.

The 250-acre project will join other commercial solar generating projects already operating in the southern part of Clark County, a region that possesses an abundance of sunshine, hosts modern energy infrastructure, and is located next to robust energy markets such as Las Vegas and southern California.

The Searchlight Solar project was originally developed by American Capital Energy, Inc. and was acquired by an affiliate of D. E. Shaw Renewable Investments, L.L.C. (DESRI) in partnership with Bright Plain Renewable Energy (BPRE).

To learn more about how GOE is encouraging economic development in Nevada, please visit the Renewable Energy Tax Abatement Programwebpage. 

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About the Governor’s Office of Energy

The Governor’s Office of Energy oversees energy programs required through statute and those that help to meet the mission of the office, which is to ensure the wise development of Nevada’s energy resources in harmony with local community economic needs and Nevada natural resources. For more information about

GOE, please visitwww.energy.nv.gov.

About D. E. Shaw Renewable Investments

D. E. Shaw Renewable Investments, L.L.C. (DESRI) and its affiliates acquire long-term contracted renewable energy assets in North America. DESRI is a member of the D. E. Shaw group, a global investment and technology development firm with more than 1,000 employees, approximately $33 billion in investment capital as of July 1, 2014, and offices in North America, Europe, and Asia. Please visit www.deshaw.com for more information about the D. E. Shaw group.

About Bright Plain Renewable Energy

BPRE was founded in 2011 by industry veterans David Buzby and William Lee as an operating platform to acquire and manage solar projects across North America. By building lasting relationships with project developers and providing efficient and knowledgeable capital, BPRE is enabling the growth of the solar industry. Likewise, BPRE's strategic investors benefit from direct investment in long term assets and stable cash flows.

About American Capital Energy, Inc.

American Capital Energy develops, finances, builds, and operates commercial and utility-scale solar PV projects. ACE has developed and/or built over 100 MW of solar PV projects across the US. We succeed by listening to our partners and clients, offering flexible, innovative solutions tailored to their needs, and driving the project to successful completion with well-honed risk management and operational discipline. Please visitwww.AmericanCapitalEnergy.comfor more information about American Capital Energy.