Green Bonds

A green bond is a bond whose proceeds are used for or allocated to projects with environmental benefits.

In 2015, Southern Power completed the issuance of $1 billion of green bonds (Series 2015C and 2015D), becoming the first investment-grade power producer in the U.S. to offer this type of security to support investment in sustainable generation. The inaugural green bond issuance underscores Southern Power's commitment to innovation and to further developing a full portfolio of energy resources.

When Southern Power issued the green bonds in November 2015, the company committed to allocate an amount equal to the net proceeds from the bonds ($994.1 million) to renewable energy generation projects in the U.S., such as solar and wind power generation facilities (Eligible Green Projects), and to report the key environmental features of those projects. Below you can see the specific Eligible Green Projects to which Southern Power has allocated the green bond proceeds, the environmental benefits of those projects, and Southern Power's management assertion letter together with the independent accountants' attestation report.

Solar Gen 2 Solar Facility

  • Amount Allocated: $494.8 million
  • In Service: November 26, 2014
  • Location: Imperial County, California
  • Capacity: 163 MW, Southern Power owns approximately 83.6 MW
  • Generation Resource: Photovoltaic Solar
  • Acquired majority interest through initial partnership arrangement with First Solar.
  • Electricity generated by the plant serves a 25-year power purchase agreement with San Diego Gas and Electric, which has the option to keep or sell the associated renewable energy credits.*
  • As of December 31, 2015, generated enough electricity to power the equivalent of 38,000 average U.S. homes for one year.**
  • Generated approximately 419,884 MWh and offset approximately 289,000 metric tons of CO2 as of December 31, 2015.***
  • Fact Sheet

*If the RECs are re-sold, the ultimate purchaser of the RECs gains the exclusive right to claim that its load received any and all environmental benefits associated with the renewable energy generated.

**Per the EIA annual average residential electricity consumption

***Per the EPA Environmental Impacts Calculator

Decatur Parkway Solar Facility

  • Amount Allocated: $39.4 million
  • In Service: December 31, 2015
  • Location: Decatur County, Georgia
  • Capacity: 84 MW
  • Generation Resource: Photovoltaic Solar
  • The project was proposed by Tradewind Energy Inc. and selected by Southern Company subsidiary Georgia Power in a competitive process through the nationally recognized Georgia Power Advanced Solar Initiative.
  • Electricity generated by the plant serves a 25-year power purchase agreement with Georgia Power, which has the option to keep or sell the associated renewable energy credits.*
  • As of December 31, 2015, generated enough electricity to power the equivalent of 500 average U.S. homes for one year.**
  • Generated approximately 5,470 MWh and offset approximately 3,772 metric tons of CO2 as of December 31, 2015.***
  • Fact Sheet

*If the RECs are re-sold, the ultimate purchaser of the RECs gains the exclusive right to claim that its load received any and all environmental benefits associated with the renewable energy generated.

**Per the EIA annual average residential electricity consumption

***Per the EPA Environmental Impacts Calculator

Kay Wind Facility

  • Amount Allocated: $459.9 million
  • In Service: December 12, 2015
  • Location: Kay County, Oklahoma
  • Capacity: 299 MW
  • Generation Resource: Wind Turbine
  • The electricity and associated renewable energy credits (RECs) generated by the facility are being sold under 20-year power purchase agreements with Westar Energy Inc. in Kansas and Grand River Dam Authority (GRDA) in Oklahoma. Westar Energy Inc. has contracted for approximately 199 MW and GRDA has contracted for approximately 100 MW. Both companies have the option to either keep or sell the RECs.*
  • As of December 31, 2015, generated enough electricity to power the equivalent of 4,000 average U.S. homes for one year.**
  • Generated approximately 43,074 MWh and offset approximately 29,702 metric tons of CO2 as of December 31, 2015.***
  • Fact Sheet

*If the RECs are re-sold, the ultimate purchaser of the RECs gains the exclusive right to claim that its load received any and all environmental benefits associated with the renewable energy generated.

**Per the EIA annual average residential electricity consumption

***Per the EPA Environmental Impacts Calculator

Management Assertion and Independent Accountants' Attestation Report