Avangrid and Puget Sound Energy have signed a long-term power purchase agreement for Big Horn I, a 199.5 MW wind project in Klickitat County, Washington. The agreement extends a relationship that now includes four PPAs between the two companies in the Pacific Northwest.
The Announcement
Avangrid said the PPA covers Big Horn I, which was first built in 2006. The company also plans to upgrade key components of the project to extend its life and improve performance.
The project is expected to generate enough electricity for about 70,000 homes annually. Avangrid said the upgraded facility is expected to reach commercial operation in 2028.
“We are excited that this latest agreement with Avangrid helps us meet some of the most ambitious clean energy laws in the nation while delivering on our customer’s expectations,” said Craig Pospisil, Senior Vice President and Chief Development Officer at PSE.
Why It Matters for the Energy Sector
For utilities and large power buyers, the deal shows how older wind assets can remain part of long-term supply plans when paired with upgrades and contract extensions. That can matter in regions where load growth, reliability requirements, and resource adequacy are all moving at once.
Avangrid said the upgrade is intended to keep Big Horn I producing reliable and affordable energy for the next two decades. The company also said the project supports local jobs, tax revenue, and long-term value for the region.
Grid, Supply, or Investment Context
The Big Horn I agreement is part of a broader relationship between Avangrid and PSE. The companies have also signed PPAs for the Golden Hills, Lund Hill, and Klondike III projects. All four facilities are located in the Columbia River Gorge region along the Oregon and Washington border and have a combined capacity of over 600 MW.
Avangrid said the Big Horn I upgrade is expected to generate about 200 construction jobs and preserve 11 long-term permanent operations and maintenance jobs. Since it was built, the project has contributed $14.4 million in property taxes, and Avangrid expects it to pay another $16 million in local property taxes through its life.
For investors and operators, the key point is that the project is not just a new offtake arrangement. It is also a life-extension effort that ties generation output, local economic benefits, and capital spending together.
What Comes Next
Avangrid said the upgraded Big Horn I facility is expected to reach commercial operation in 2028. The company did not disclose further details in the announcement.
Avangrid also said it operates over 11 GW of installed capacity across its 25-state portfolio, which includes nearly 100 energy projects.
Key Takeaways
- Avangrid and Puget Sound Energy signed a long-term PPA for the 199.5 MW Big Horn I wind project in Klickitat County, Washington.
- Avangrid said it will upgrade key components of Big Horn I to extend the project’s life and improve performance, with commercial operation expected in 2028.
- The project is expected to support about 200 construction jobs, maintain 11 permanent O&M jobs, and contribute additional local property taxes over its life.
EnergyInsyte's Take
This agreement matters because it combines procurement, asset life extension, and local economic impact in a single project. For utilities, it suggests that aging wind assets can still fit into long-term supply portfolios if performance upgrades and contract structures are aligned. For developers and investors, the signal is that repowering-style investment can support continued cash flow and regional value without requiring a wholly new build.
What remains uncertain is the project’s final execution profile, including upgrade scope and capital intensity. The company did not disclose further details in the announcement. Decision-makers will likely watch whether the 2028 commercial operation date holds and whether similar structures are used for other assets in constrained but growing power markets.
Source: Businesswire
