The electric power industry in the United States is undergoing a rapid development of new resources. BlueChip Energy’s merchant power plants produce power as a commodity. They are a generator that has only the marketplace to assure a long-term revenue stream. BCEs merchant power plants can have multiple sales contracts for the term of their project debt. They differ from traditional rate-based power plants as to how they are financed and where they sell the electricity they generate.
BCEs merchant power plants are funded by investors and sells electricity in the competitive wholesale power market. A traditional rate-based power plant is built and operated by a regulated electric utility specifically to serve that utility’s retail customers. In return, the customers are obligated to pay for the plant’s construction, operations and maintenance. BCEs merchant power plants are not tied up with long-term power purchase agreements. BCEs portfolio of 128 MW of merchant solar power plants currently under construction provides guaranteed off-take for its own panel production over the next few years.