Progress Energy Carolinas, SunEdison Plan Solar Project at Plant Site

    WILMINGTON, N.C., Aug. 22 /EMWNews/ -- Progress Energy

Carolinas (NYSE: PGN) and SunEdison have signed an agreement under which

SunEdison will build, own and operate a 1.2-megawatt solar photovoltaic

(PV) plant on the site of the Progress Energy L.V. Sutton Plant near

Wilmington and sell the energy produced to the utility for distribution to

customers.



    



    SunEdison will build the solar PV array on about 10 acres at the

existing power plant site, located off Highway 421. Progress Energy will

lease the land to SunEdison for 20 years, the term of the power-purchase

agreement.



    The plant is the second megawatt-sized solar project announced this

summer. In June, software company SAS announced it will build a 1-MW solar

PV array at its Cary, N.C., campus and sell the output under a long-term

contract to Progress Energy Carolinas.



    Both announced projects are expected to be producing electricity by

late this year. Meanwhile, the company is evaluating additional renewable

energy projects, as well as potential opportunities related to plug-in

hybrid electric vehicles and other energy technologies.



    "Solar power is an important part of our balanced energy strategy for

meeting the region's needs," said Lloyd Yates, CEO and president of

Progress Energy Carolinas. "We are continuing to pursue cost-effective

solar and other renewable opportunities aggressively, and we expect to

announce additional renewable energy investments soon. Meanwhile, we're

promoting increased energy efficiency and working to ensure that we have

state-of-the-art power plants and infrastructure. We will continue to look

for new, innovative ways to help meet our customers' needs reliably,

affordably and in an environmentally sound manner."



    SunEdison proposed the latest solar PV project in response to Progress

Energy's request for renewable energy proposals, issued in November. The

open-ended request is part of Progress Energy's plan to meet the

requirements of North Carolina's energy law, passed in 2007.



    The law established a renewable and energy-efficiency portfolio

standard, which requires utilities to provide a portion of their energy

sales using renewable energy sources and energy efficiency. For Progress

Energy, that portion grows from 3 percent of total energy sales in 2012 to

12.5 percent in 2021. For solar-generated energy, the requirement begins in

2010. Under the two existing PV contracts, Progress Energy expects to begin

purchasing solar-generated electricity this year.



    A PV array is a collection of solar cells, each consisting of two thin

layers of semi-conducting material (silicon) that generate electricity when

exposed to sunlight.



    The Sutton Plant is an integral part of Progress Energy's system for

meeting the needs of its customers throughout eastern North Carolina. The

solar PV generation will add to Progress Energy's mix of resources, which

includes nuclear plants as well as generation fueled by coal, oil and

natural gas, and hydroelectric plants.

    About SunEdison



    SunEdison LLC is North America's largest solar energy services provider

and operates across a global marketplace. SunEdison provides

solar-generated energy at or below current retail utility rates to a broad

and diverse client base of commercial, municipal and utility customers. For

more information about SunEdison, please visit http://www.sunedison.com.



    About Progress Energy



    Progress Energy, headquartered in Raleigh, N.C., is a Fortune 250

energy company with more than 21,000 megawatts of generation capacity and

$9 billion in annual revenues. The company will observe a century of

operation in 2008. Progress Energy includes two major utilities that serve

3.1 million customers in the Carolinas and Florida. Progress Energy is the

2006 recipient of the Edison Electric Institute's Edison Award, the

industry's highest honor, in recognition of its operational excellence. The

company also is the first utility to receive the prestigious J.D. Power and

Associates Founder's Award for customer service. Progress Energy serves two

fast-growing areas of the country, and the company is pursuing a balanced

approach to meeting the future energy needs of the region. That balance

includes increased energy efficiency programs, investments in renewable

energy technologies and a state-of-the-art electricity system. For more

information about Progress Energy, visit the company's Web site at

http://www.progress-energy.com.