Southwestern Public Service Company, a subsidiary of Xcel Energy, announced this week that it will buy 50 megawatts of solar power from SunEdison.

The solar energy will be generated in Lea and Eddy counties in southeastern New Mexico, the companies said. Solar panels will be installed on five 10-megawatt sites; the electricity they generate will be enough to power 10,000 homes.

"We are thrilled to begin harvesting New Mexico’s rich solar resources," enthused Southwestern Public Service Company president and CEO Riley Hill.

Under the solar power services agreement, SunEdison will build and operate the five generating facilities. The electric utility has contracted to buy the power they produce for 20 years; the sites are expected to be finished in late 2011.

The project will provide "an additional source of energy … [and] economic development for Lea and Eddy Counties," state senator Carroll Leavell said.

This week, New Mexico’s Environment Department released a draft inventory of the state’s greenhouse gas emissions. Emissions have increased 4 percent between 2000 and 2007, the department said, and the greatest share of greenhouse gases comes from electrical generation – 39 percent. Solar power will help contribute to New Mexico’s renewable portfolio standard, which plans to source 20 percent of the state’s energy renewably by 2020.