Avangrid has told authorities in Massachusetts that it wants to keep a power purchase agreement covering its 1200MW Commonwealth project.
In a filing to the state’s Department of Public Utilities, the company said that the Department should not dismiss the proceedings on the contracts between it and the electric distribution companies.
Commonwealth had initially called for a one-month suspension to the approval process in order to “address the impact of current extraordinary global economic conditions on the PPAs”.
It warned that the project will be unviable under the current terms of the contract due to rising commodity prices, interest rates, and supply chain constraints.
However, the petition was dismissed by the DPU and on 4th November it called for Commonwealth Wind to make a decision whether to proceed with the PPA or to move for dismissal. Commonwealth requested an extension to consider the issue, which the DPU granted.
While the company noted that it believes it is in the public interest to negotiate amendments to the PPAs, “if the Department does not support a pause in these proceedings, as previously requested by Commonwealth Wind, then the appropriate action is for the Department to continue with this proceeding,” the filing read.