The World's #1 Renewable Energy Network for News, Information, and Companies.

JPMorgan Buys Stake in Eight Geothermal Power Plants from Ormat

JPMorgan Buys Stake in Eight Geothermal Power Plants from Ormat

JPMorgan Chase & Co. paid about $35.7 million for an interest in eight Ormat Technologies Inc. geothermal power plants in California and Nevada.

JPMorgan plans to pay Ormat an additional $8.7 million for 25 percent of the value of production tax credits generated by the plants through the end of 2016, the Reno, Nevada-based developer said today in a statement.

The so-called tax equity investment gives JPMorgan production tax credits and accelerated depreciation benefits that Ormat isn’t able to use, because “we generate more deductions for tax purposes than we are currently able to utilize,” Ormat Chief Executive Officer Dita Bronicki said in the statement. The production tax credit for geothermal is 2.2 cents a kilowatt-hour and applies to the first 10 years of a plant’s operation.

The eight plants are part of Ormat’s Ormesa, Heber and Mammoth complexes in California and its Steamboat and Brady complexes in Nevada, Bronicki said today in an e-mail.

JPMorgan invested $24.9 million in four of Ormat’s Nevada facilities in a similar transaction in February 2011.

Copyright 2013 Bloomberg

Lead image: Geothermal plant via Shutterstock

RELATED ARTICLES

Google

Greenpeace Raises Pressure on Internet Companies to Go Renewable

Andrew Burger, Contributor For at least four years, Greenpeace has been raising public awareness and putting pressure on the world's largest data and cloud computing center providers to fuel their operations with clean, renewable power. In May, Gree...
A biogas plant concept from Weltec Biopower

Europe Versus Renewable Energy?

Tildy Bayar, Contributor Wednesday morning’s 'Regulation and the Marketplace' panel discussion at POWER-GEN Europe in Amsterdam got off to a lively start with a presentation from Randy Mott, president of Polish biogas- and geothermal-bas...
Wind turbines

Why It's Time To Get Real About Energy Security

Hannah Smith, Contributor Energy is Europe’s quiet crisis. While the clamour of failing economies, desperate migrants and political clashes grabs the headlines, energy policy is rarely front-page news, but it should be — the statistics are shocking.

A Closer Look at Fossil and Renewable Energy Subsidies

Susan Kraemer, Contributor A new study by the International Monetary Fund puts the total cost of fossil fuel subsidies at approximately $10 million a minute globally, when health costs and environmental degradation are included, never mind the effec...

CURRENT MAGAZINE ISSUE

Volume 18, Issue 3
1505REW_C11

STAY CONNECTED

To register for our free
e-Newsletters, subscribe today:

FEATURED PARTNERS



EVENTS

GRC Fieldtrip - McGinness Hills Geothermal Plant

The 13.4 MW Salt Wells Geothermal Plant is owned by Enel North America a...

GRC Fieldtrip - Steamboat Geothermal Plant Complex

Ormat’s Steamboat Geothermal Power Plant Complex located...

GRC Fieldtrip - Long Valley Geology

Led by Gene Suemnicht and Duncan Foley In May of 1980, a strong earthqua...

COMPANY BLOGS

Net Zero Energy Efficient Buildings and Geothermal Heat Pumps

As the U.S. market for green building design and construction evolves, ...

Geothermal Earth Day Visual: Shaping Environmental Solutions

Earth day 2015 is an important point in history for the environment. Mem...

Environmentally friendly solutions for projects

geoAMPS joins the celebration of the worldwide observance of Earth Day o...

SOCIAL ACTIVITY

Tweet the Editors! @megcichon @jennrunyon

NEWSLETTERS

Renewable Energy: Subscribe Now

Solar Energy: Subscribe Now

Wind Energy: Subscribe Now

Geothermal Energy: Subscribe Now

Bioenergy: Subscribe Now  

 

FEATURED PARTNERS