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AES and Meta Announce PPAs to Provide 650 MW of Solar Capacity for Data Centers

LCG, May 22, 2025--The AES Corporation (AES) yesterday announced that it has entered into two, long-term Power Purchase Agreements (PPA) to support Meta's data centers with 650 MW of solar capacity from two AES projects that will be starting operation in the Southwest Power Pool (SPP). AES expects these two solar projects will provide economic benefits to communities in Texas and Kansas, including hundreds of new construction jobs and contributing millions in long-term tax revenue.

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TVA Submits First Construction Permit Application for SMR at Clinch River Site

LCG, May 21, 2025--The Tennessee Valley Authority (TVA) announced yesterday that it is the first utility in the U.S. to submit a construction permit application (CPA) for the GE Vernova Hitachi Nuclear Energy (GVH) small modular reactor (SMR) BWRX-300 technology to the U.S. Nuclear Regulatory Commission (NRC). The application is TVA's next step in pursuing an SMR at its Clinch River site, near Oak Ridge, Tennessee. Preliminary SMR site preparation could begin as soon as 2026.

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Industry News

AEP to Sell Texas Plant to Teco Energy

LCG, Feb. 8, 2001American Electric Power Co. said this morning it would sell its Frontera power plant to Teco Power Services, a subsidiary of Teco Energy Co., as part of a divestiture agreement with the Federal Energy Regulatory Commission in AEP's acquisition of Central and South West Corp.

Frontera is a 500 megawatt natural gas-fired combined-cycle plant located near the town of Missionin the Rio Grande Valley of Texas. The merchant plant, built by CSW subsidiary CSW Energy priorto the merger with AEP, began simple-cycle operation in July 1999 and combined-cycle operation in May 2000.

Teco Power Services, an affiliate of Tampa Electric Co., will pay AEP $265 million for the plant. Closing of the deal is contingent upon completion of a Hart-Scott-Rodino antitrust review.

"This divestiture is important because it allows us to comply with FERC's order on the completion of our merger, but it also provides cash that we will use to pay down debt," said Dwayne L. Hart, AEP's vice president for business development and strategy.

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