Dominion is no stranger to solar. The company bought up six California solar farms totaling 139 MW in April. "California leads the nation in solar generation and the experience and knowledge we gather there will serve us well as we expand our solar portfolio into other areas," said David Christian, chief executive officer for Dominion Generation, in today's press release. "This project fits well within our portfolio of regulated and long-term contracted assets."
Dominion expects the project to qualify for the Federal Investment Tax Credit, which allows the company to snag a rebate on 30% of all expenditures. Dominion will also receive a 20-year Power Purchase Agreement coupled with its acquisition, creating reliable revenue for years to come.
Dominion expects this project and its other recent California purchases to all come online later this year. When everything is up and running, Dominion Resources will be churning out 232 megawatts of solar capacity.
Justin Loiseau has no position in any stocks mentioned. The Motley Fool recommends Dominion Resources. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.