City of Tucson Water Department and Trico Electric Dedicate 1-Megawatt SunPower Solar Power System

TUCSON, Ariz. and SAN JOSE, Calif.April 21, 2011 /PRNewswire/ — The City of Tucson, Ariz., Tucson Water Department, Trico Electric and SunPower Corp. (Nasdaq: SPWRA, SPWRB) today dedicated a 1-megawatt, ground-mounted solar power system, which doubles the solar power system capacity hosted by the city. The system was designed and built by SunPower on city-owned, former agricultural land located within Tucson Water Department’s underground water storage and recovery facility, approximately 20 miles west of downtown Tucson.

“With these systems, Tucson is reinforcing its commitment to energy conservation, waste reduction and environmental protection. SunPower’s technology will ensure that the system delivers energy in a cost effective manner that benefits the community,” stated Interim Director of Tucson Water Andrew Quigley.

The City of Tucson financed the system through a power purchase agreement with SunPower. Under the terms of the agreement, Wells Fargo owns the system that SunPower designed, built, operates, and maintains. Trico Electric, the utility serving the site, provided additional funding via its SunWatts renewable energy incentive program. The city is hosting the system and buying the electricity produced by it. Trico Electric Cooperative will purchase the renewable energy credits (RECs) associated with the system. The city’s cost for the energy will be competitive with its current bulk retail rate, with no initial capital investment.

“This system will reliably produce clean energy for years to come,” said Jim Pape, president of SunPower’s residential and commercial business group. “Tucson is leading the way in Arizona by seizing this opportunity to help meet the state’s growing energy demand and renewable energy goals.”

On the 10-acre site, SunPower installed a SunPower Tracker® system. The Tracker positions solar panels to follow the sun’s movement during the day, increasing sunlight capture by up to 25 percent over conventional fixed-tilt systems, while significantly reducing land use requirements.

The project site is part of the city’s Central Avra Valley Storage and Recovery Project (CAVSARP), a short and long-term water storage and recovery operation, utilizing water from the Central Arizona Project aqueduct and providing city residents with a renewable source of potable water.

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