Steel and steel products manufacturer Nucor Corporation unveiled a power purchase agreement (PPA) with Sebree Solar, a subsidiary of Florida-based NextEra Energy Resources. The deal involves the procurement of 250 MW of renewable energy from Sebree Solar's 400-MW solar project located in Henderson County, Kentucky.
The project comprises two phases. The first phase, Sebree Solar I, is scheduled to begin construction in the autumn of this year and will enter commercial operation in 2025.
Over the course of its designed 30-year lifespan, the project is forecasted to contribute around $20 million in additional tax revenue to Henderson County. This revenue injection could be channeled into enhancing infrastructure, schools and other public services.
This initiative also aligns seamlessly with the company's broader sustainability strategy and will complement a wind-powered PPA inked in 2021. Together, the carbon-free electricity supplied by both PPAs can suffice the energy needs of about 100,000 households per year in the US.
"Our country's energy transition will be built with steel and the steel it is built with should be produced sustainably," said Greg Murphy, Executive Vice President of Business Services and General Counsel at Nucor Corporation.
"While Nucor is already among the world's cleanest and most sustainable steel producers, this agreement will enable us to further reduce our climate footprint and meet our goals for improvement," added Murphy.
The project is also expected to drive economic growth and sustainable development in Kentucky. David Osborne, Speaker of the Kentucky House of Representatives, commented: "The construction of Sebree will lead to substantial orders for Nucor's Ghent facility and millions of megawatt hours of Kentucky-generated solar energy added to our electricity grid. I appreciate the leadership that made this deal possible and look forward to seeing the positive impact it will have for generations."
The steel for Sebree Solar I will be sourced from Nucor Steel Gallatin in Ghent City, Kentucky. The steel from the facility will also be supplied for a 200-MW solar project to be built and operated by another subsidiary of NextEra Energy Resources, Green River Solar.