Captona Commissions Four New Solar Farms in Rhode Island

Captona Partners announced the commencement of commercial operation of four of its solar assets under Rhode Island’s Renewable Energy Growth (REG) program, further expanding the company’s North American portfolio.

Captona partnered with developer Southern Sky Renewable Energy RI, LLC on the four projects and brought in 1st Source Bank to provide the construction loan, perm debt, and tax equity for these projects. The four assets commenced commercial operation in October and will be delivering power to National Grid through a 20-year tariff under the REG program. Captona considers these projects a strategic investment in the middle-market renewables sector. The firm used its in-house design platform to ensure optimal performance and will operate the assets through its internal O&M and Asset Management groups.

“Our partnerships were key to this successful project—1st Source showed tremendous flexibility despite changing project costs and tax laws, demonstrating why they are the top-tier debt and tax equity partner for these types of projects,” said Captona’s founder and managing partner, Izzet Bensusan. “And Southern Sky’s deep experience in the region was invaluable in working through the challenges of development from the greenfield stage through leasing, permitting, procurement, and construction.”

Rhode Island’s REG program was created to support the development of 560 MW of new renewable energy projects in the state between 2015 and 2020. It has now been extended through 2029, with an annual target of 40MW of new capacity each year.

“This project builds on our strong development relationship with Captona,” said Russ Cramer, Vice President of Solar Financing at 1st Source Bank. “We previously provided permanent debt for a 2017 Captona solar project that has shown great performance thus far and we have been pleased with Captona’s operational capabilities. We are excited to finance strong solar projects in Rhode Island as well as increase our involvement in the Northeast.”

“Southern Sky is proud to lead another successful development in Rhode Island and continue our ongoing collaboration with Captona,” said company president Ralph A. Palumbo. “As the leading solar developer in the state, we will continue to support the green economy in Rhode Island through the REG program and others that support the Governor’s clean energy goals.”