RWE has announced a new partnership with Peabody Energy, a coal mining company, to repurpose reclaimed land previously used for mining in Indiana and Illinois.
RWE is acquiring a majority interest in R3 Renewables LLC, a joint venture launched by Peabody. Peabody will retain 25% equity interest. RWE is acquiring Summit and Riverstone’s equity interest in R3.
The founding partners of R3 Renewables previously initiated the development of a 5.5GW pipeline of 10 potential projects. RWE will acquire seven of the projects and enter into a joint venture with Peabody to continue the development of the other three.
“This partnership is an exciting opportunity for RWE to invest in rural regions of Indiana and Illinois and bring strong economic development,” noted Andrew Flanagan, CEO of RWE. “Solar and storage facilities are a great way to bring economic development via construction jobs, local and domestic investment, and direct community benefits and taxes as well as a contribution to energy security. RWE is excited to expand this partnership across the US and globally to ensure local communities can benefit from the economic generation of the energy transition.”
The renewable projects planned for the reclaimed lands have the potential to generate enough electricity to power the equivalent of more than 850,000 homes across the region. They also maintain existing agricultural lands, according to RWE, ensuring that rural areas benefit from economic growth.
RWE operates about 8GW of total onshore wind, solar, and battery storage in the United States, making it one of the largest renewable energy companies. Its footprint continues to expand. Recently, RWE broke ground on a trio of 150 MW/300 MWh battery energy storage projects in Texas: Crowned Heron 1, Crowned Heron 2, and Cartwheel 1, each expected to come online next year. Last month, RWE and National Grid submitted a finalised proposal for a joint venture called Community Offshore Wind, the largest ever received by the New York State Energy Research and Development Authority (NYSERDA), which could generate 2.8GW of clean energy. If the project is selected, RWE and National Grid are targeting 2030 for first power and full operation by 2032.
