July 21 (Bloomberg) -- NRG Energy Inc., the largest independent U.S. electricity producer, bought a 4-megawatt solar farm in the U.S. Virgin Islands that will help the territory meet a goal of reducing its consumption of fossil fuels by 60 percent over 10 years.
The Spanish Town Estate Solar project on the island of St. Croix will produce enough power for more than 1,500 homes, Princeton, New Jersey-based NRG said today in a statement. Terms of the purchase from Toshiba Corp. weren’t disclosed.
The project is expected to go into operation in the fourth quarter, Jeff Holland, an NRG spokesman, said in an e-mail. It will sell power to the Virgin Islands Water & Power Authority under a 25-year contract.
Solar power is increasingly competitive with fossil fuels, particularly for islands that rely on imported petroleum for electricity, like the U.S. Virgin Islands.
NRG has developed solar-power systems in Haiti and elsewhere in the U.S. Virgin Islands, and is building a renewable-energy microgrid on Virgin Group Ltd. Chairman Richard Branson’s Necker Island in the British Virgin Islands.
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