• 150 MW solar capacity paired with 75 MW, 4-hour battery storage system to enhance grid reliability under a 20-year PPA.
• $18 million in projected local tax revenue and 300,000 safe work hours during construction, with 50% of workers from New Mexico.
• Expected to power 60,000 households while supporting regional grid stability amid rising energy demand in the U.S. Southwest.
New Mexico Facility Anchors Southwest Renewable Push
EDF Power Solutions North America and El Paso Electric have launched operations at the Milagro Energy Center, one of the state’s largest combined solar and battery projects. The 150 MW solar photovoltaic array, coupled with 75 MW of four-hour battery storage, has begun supplying power to the regional grid under a 20-year power purchase agreement (PPA).
The project is part of a growing buildout of hybrid renewable assets designed to bolster grid resilience in the U.S. Southwest. The facility will store excess energy generated during peak daylight hours and release it during periods of high demand — an increasingly vital capability as extreme temperatures and population growth strain local power systems.
A System Built for Flexibility and Stability
The Milagro Solar+Storage facility’s configuration reflects a shift in utility strategy from simple generation to integrated energy management. By combining photovoltaic output with on-site storage, El Paso Electric can balance supply fluctuations and reduce curtailment during low-demand periods.
EDF Power Solutions described the project as “a cornerstone for modernizing regional energy delivery,” highlighting its role in meeting evening ramp-up demand and smoothing intermittent solar generation. The battery system provides 75 MW of capacity for up to four hours, giving operators flexibility to dispatch clean energy when the grid needs it most.
Local Economic and Workforce Gains
Beyond energy output, Milagro delivers tangible economic benefits to New Mexico. The project generated roughly 300,000 work hours during construction, employing around 200 workers at its peak, half of whom were local residents. Blattner Energy served as the primary contractor, completing installation of 282,000 solar panels without any recorded safety incidents.
Over its lifetime, the project is projected to contribute around $18 million in tax revenue to Doña Ana County and its school districts through the state’s Industrial Revenue Bond mechanism. The developers said those funds would help expand community infrastructure and educational programs linked to the energy sector.
Strengthening Regional Energy Security
The Milagro Energy Center complements El Paso Electric’s recent 10 MW solar plant in San Elizario, Texas, which was commissioned in March 2025 under the Texas Community Solar Program. Together, the projects form part of the utility’s broader strategy to expand renewable capacity and reduce exposure to fossil-based generation across the region.
El Paso Electric serves customers across West Texas and southern New Mexico — areas experiencing sustained population growth and rising temperatures. Both trends have placed pressure on existing grid infrastructure. By integrating battery storage into its operations, the utility aims to enhance system reliability and reduce peak-load reliance on gas-fired plants.
Delivering Power for 60,000 Homes
According to EDF Power Solutions, Milagro’s generation and storage capacity will supply power equivalent to the needs of approximately 60,000 average New Mexico households. The hybrid system’s ability to deliver clean energy on demand is viewed as critical to maintaining reliability in regions where extreme heat and fluctuating weather patterns increasingly challenge grid operators.
Strategic Implications for U.S. Renewable Expansion
The Milagro project reflects a growing national trend toward pairing renewables with storage to stabilize power delivery and optimize return on investment under long-term PPAs. For investors and utilities, such hybrid models offer both economic and climate advantages: predictable output profiles, enhanced grid value, and measurable contributions to decarbonization goals.
As states across the U.S. Southwest ramp up renewable targets and federal incentives continue under the Inflation Reduction Act, large-scale storage-backed solar plants like Milagro are expected to play a central role in future grid planning.
EDF Power Solutions said the launch “demonstrates how clean energy can meet demand growth while supporting regional economic development.” For New Mexico, where solar capacity already exceeds 3 GW, the addition of long-duration storage could help transform intermittent generation into dependable, dispatchable power — a decisive step toward building a more resilient, low-carbon energy system.
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