Michael Hillman
Legend:
- DBA - Don Brigs Article in the Emmitsburg News-Journal
- TCMM - Emmitsburg Town Council Meeting Minutes
- ENJ - Emmitsburg News-Journal
2013
May
DBA
Renewable Solar Energy for under construction waste water treatment plant (WWTP). In February I attended a two day solar energy valuation course (with an exam mind you) in Albuquerque, NM. It is a large project; a 2 mW project. The town will have no capital outlay. We will provide the land to the winning bidder who will build and maintain
the solar arrays and the town will receive the benefit of lower energy costs. The bidders are incentivized by federal tax credit, accelerated depreciation and annual solar renewable energy credits (SRECs). The project was advertised and bid out. We are awaiting the evaluation of the bids by an out of state professional engineer. The energy savings will be
significant and can be applied to the WWTP and potentially other town energy expenses.
June
TCMM
Emmitsburg Electrical Energy Efficiency Policy /Emmitsburg Alternative Energy Policy
Ms. Cipperly stated that the town applied to the Maryland Energy Administrations Smart Energy Communities Program. Zoning Technician Jerry Muir did the bulk of the work on the application. The Town needed to apply for at least two of the three categories. One of them is electrical energy efficiency, next is alternative energy and third
category was fuel savings. The process was sending in an application showing that the town could potentially meet the goals of the program. This was approved and agreement signed. The next step required is to adopt a policy for each of the programs that the town is involved in and submit to the state and then meet with state staff and develop a reduction plan for
each of the programs. The first Policy P13.02 is for electrical energy efficiency and the point of that program is to decrease electricity consumption for town-owned facilities by 15% within a 5-year period. The LED project would fit this program very well and should achieve that goal. The baseline year would be 2012.
Emmitsburg Alternative Energy Policy – This policy goal is to reduce conventional energy use by 20% by 2022 by using a renewable source. The project for this category would be to power the new wastewater treatment plant by the solar field and sell back to the grid, getting credit for the sold energy as well as providing a new, less costly
energy source to power the wastewater treatment plant. This project is already underway. The program is a matter of recording keeping once things are in place. The town just needs to show it is accomplishing the goals.
During discussion the question was raised if both of these were associated with grants that town would be able to receive. Ms. Cipperly reported that town was initially given $20,000 and then they came back and said the town could have another $17,500. It did not state that there was any match needed, but plenty was already spent if a match
would be needed per Mr. Haller. The $37,500 would be used for those ongoing projects. The Board was in favor of the policies but would like to clarify who the community energy manger is and how the money is being spent. Ms Cipperly interjected that the policies need to be accepted before next step can take place.
Sept
TCMM
Mr. Jack Copus of Standard Solar gave a PowerPoint presentation on the solar project. They will design, engineer, operate and maintain the project. They developed a 1.1 megawatt ground mount which will be located at 16707 Creamery Road that will feed multiple town meters throughout the town. This will be a 20-year Power Purchase Agreement
between UGI and the Town. They are looking at doing this in two phases. Phase II will take place when the WWTP is online. There was a lengthy Board discussion and lots of questions. Mr. Fred Ugast, of U.S. Photovoltaics, Inc. and also spoke to explain the two approaches he took when doing his analyzes for this PPA. Mayor Briggs proposed to bring this back as an
agenda item at the September 16, 2013 Town Meeting and have Standard Solar, Mr. Ugast and the attorney who is doing the contract at the meeting along with requested supporting documentation.
Mr. Ugast of U.S. Photovoltaics was present for the Board to ask specific questions. Attorney Matthew Pirnot was present to walk the board through the contract which was not yet finalized; there are still a couple of open points and Standard Solar was also present. After a very lengthy discussion the Board was reserved to give conditional
approval of the contract and it was recommended to table this agenda item until the points in the contract are resolved.
TCMM
Solar Project Contract, Land Lease and Power Purchase Agreement
This meeting is a follow-up from a tabled item from the September 16, 2013 town meeting relating to the UGI Development Co. and the 1.109 MW solar project which will potentially be sited on the wastewater treatment plant property of the Town of Emmitsburg. Those present were Mr. Fred Ugast of U.S. Photovoltaics, Attorney Matthew Pirnot, and
representatives of Standard Solar. Attorney Prinot distributed a summary sheet to the Board and went over the highlights of the contracts for the Retail Electricity Agreement – UGI Energy Services, Inc. and the Lease – UGI Development Company. The contract term is for 20 years with an option of a 5-year extension. UGI retains the SRECs (solar renewable energy
credits). The price will be 7.9 cents/kWh increasing 2% annually. The key obligations of the Town are to "Provide land for the solar project, pay for power, and don’t interfere with the solar project." There was some discussion on the consequences of a breach in the contract between either party.
Public Comments: Alan Knott, 100 Creamery Road, Gettysburg Glass – Commented on the Solar system his company has purchased. System already has generated all that they need in one year. Good investment to consider doing. Mayor Briggs commented the potential is to save a million dollars. Mr. Haller commented they have been working with
Standard Solar for over a year; this is a very solid contract, good for the town and a sound product as far as the money that can be saved and it is good for the environment. Commissioner O’Donnell stated there is a need for this but also sees the risk. Commissioner Sweeney commented this would be a benefit to the town.
Motion: to accept the Lease by and between the Town of Emmitsburg as Landlord and UGI Development Company as Tenant for the 1.109 MW Solar Project and to accept the Power Purchase Agreement with UGI Energy Services, LLC.
Motion by Commissioner Sweeney, second by Commissioner O’Donnell. Vote: 2-1 in favor, Commissioner Staiger opposed
ENJ
The facility will be using some of the solar power generated on-site, but Haller said that will only provide about 60 percent of the treatment plant’s power needs. "The new plant is an energy monster," Haller said, noting that the facility’s energy consumption will be "more than the whole town (uses)."
Copus said, "There is no up-front costs to the town, and the approximate savings is about $1 million over the 20-year term (except outside lawyer costs and replacement of some existing piping)."
However, Fred Ugast, president of US Photovoltaics, Inc., Frederick, said economic fluctuations in the power industry over the 20-year life of the contract could result in less savings.
The cost reduction is ESTIMATED over twenty years (by the people supplying us the power!) It is not guaranteed, as no one knows how power rates will play out over the next twenty years!!! The million dollar savings is their SALES PITCH based on the most rosy scenario… Indeed power rates from our current supplier are GOING DOWN by 8% next
month
October
DBA
At a special meeting of the commissioners the town solar array system was approved. It’s a big step for the town, but the savings are there for us. We are now ahead of the state and county in reducing reliance on the grid by replacing our energy needs with renewal energy. When the solar array is installed by years end, the town will have
met its commitment that it did not have to achieve until 2020. Congratulations, it’s been a full year of study and negotiations. We are on track for the future.
Dec
DBA
Work on phase one of the solar array project has begun and is expected to be completed by the end of this year. The array will be located on the WWPT site.
TCMM
Ordinance 13-14: to confirm and ratify the lease of property owned by the Town of Emmitsburg
Mr. Haller stated at the conclusion of the solar project approvals, the investor wanted an attorney’s opinion at the town’s expense to make sure everything was done correctly. Attorney Clapp addressed the Board and commented that everything looked fine except he thought the Town should pass a written ordinance that outlines the approval of
the lease agreement for legal reasons. The town could be subject to legal attack without an ordinance. This is just a lease and not a sale of property but it is still a conveyance. If the town is going to convey any interest in real estate, it should be done by ordinance to be on the safe side. It is a necessary formality and just confirms what the Board has done
as of September 2013. During Board discussion Commissioner O’Donnell suggested that, moving forward the Town attorney be used in these types of dealings.
2014
Jan
Frederick County Board of Appeals
All power generated by the solar farm will go to the Town of Emmitsburg and will not be sold back to the grid.
Feb
DBA
Phase I 1mW solar array is complete. Use of renewable energy is more than an ideal it is a practical conclusion the town should not compete with its residents for energy. The energy cost savings are a necessary complement to the new waste water treatment plant scheduled for completion mid-2015. Phase II is planned for later this year after
an open bidding for the work.
March
DBA
We are expecting to "plug in" the solar array this March. The 1mW DC ground mount array cost $2.20 per kW or about $2.2 million. Our investment, after offsetting grant funds, should be under $20,000. How did we do that? Investors incentivized by federal tax credits for renewable energy projects paid for it. To get to 100% usage, we invited
our emergency service providers, Vigilant Hose and the Ambulance Company to participate. We now are looking into installing the 2nd phase, another 1mW system this year, but not turning on until completion of the $15 million state mandated waste water treatment plant projected for mid-2015.
April
DBA
Why have I pushed so hard for installations of energy efficient LED street lights and a $2,200,000 solar array? Because we have too. We have to save money to maintain service level for residents. Like many of you, as a result of the cold weather, the town was shocked at increased electric bills. In a previous article I mentioned that demand
for electricity in Maryland increases about 5% a year and with no in state production of power we import it all on the regional grid. A sobering prediction in 2009 was for us to expect reduced voltage, "brown outs" and we did during the extreme heat two summers ago. To cope with this, First Energy our energy provider, recently announced plans for a $143 million
upgrade of regional infrastructure. The upgrades are much needed and of course in the end we will have pay for it. But now Emmitsburg is readying to produce renewable energy from the sun. It is a relief for me to know that the town, besides lowering its own energy costs, is taking steps not to compete with its resident’s energy needs that raise their energy costs.
We are planning to expand our solar usage with an additional second megawatt later this year to help offset the additional energy cost of the $15.5 million waste water treatment plant. It is mind boggling the amount of energy this project is going to need and the burden it will impose on the town, what was everyone thinking when the state edict came down in 2007
that we had to build this? Money was secured to build it, but not much thought given to what it would cost to run it. A 2 megawatt cap has been placed on what size solar system we can build. We need more. So we are asking our state representative to see if we can get the ceiling raised.
May
TCMM
Mr. Haller presented some bullet points for the proposed Phase II Solar Project. He highlighted that the size of the project will be approximately 6 acres; 1.289 mega watts; rate structure at .079 per KWH…2% annual escalator for the term of the contract. The proposed completion date is the end of September 2014. Standard Solar will pay the
utility bills from UGI from October, 2014 up to the end of June, 2015 (when the new wastewater treatment plant goes online). The town should receive a lump sum payment for the value of the excess energy generated from Phase II (during the noted period). This is calculated at the wholesale rate for electricity and should be about $40,000.00. A graphic map was also
included in the packet for the board to review. About half of the field will be dedicated to solar arrays. Standard Solar will come the first meeting in June for a more formal presentation. Mr. Haller entertained some questions from the Board and encouraged the board to bring their questions to the formal presentation in June. He stated that town will receive
energy grants to help reimburse for cost. Commissioner O’Donnell directed Mr. Haller to advise Standard Solar that the board has some questions in regards to the rate so they can address them during the formal presentation.
Commissioner Sweeney asked about funding for the second phase of the solar project. Mayor Briggs stated at this time they are working on a lot of things in regards to that issue. The voltage for the new wastewater treatment plant is extremely high. Commissioner Staiger questioned if the power company was approached about how much the tariff
would go down at that rate. Mr. Haller commented staff is looking into that presently so it can be weighed against the solar.
ENJ
The facility will be using some of the solar power generated on-site, but Haller said that will only provide about 60 percent of the treatment plant’s power needs. "The new plant is an energy monster," Haller said, noting that the facility’s energy consumption will be "more than the whole town (uses)."
October
DBA
We installed 1 mW $2.2 million solar panel array system that was financed by investors. The array was "plugged in" last March. Besides realizing savings the town now uses renewable energy for nearly 100% of its electricity needs. In terms of what the state has requested to be at 15% less reliant on grid electricity by 2020 we are there or
near six years ahead of time.
TCMM
Proposal for the solar project phase II
Jack Copus, Vice President of Business Development of Standard Solar gave a power point presentation. He commented they use third party financing. For Phase I and Phase II they use UGI performance solutions. He gave a review on Phase I. Phase II will be a little bit larger system of 1.29 Mega Watt ground mount with an estimated production
of 1,683,000 kWh in first year. The rate will be 6.8 cents with a 2% escalator. Phase II will serve the new Waste Water Treatment Plant. Phase II is scheduled to be installed by June 2015. The combined systems of Phase I and Phase II is estimated to provide 94% of the electricity that the town consumes by solar. The only meters that are not included are meters
that are not based on a kWh production such as street lights. Phase II is also a 20 year term, no up-front cost. He explained that UGI paid the dollars to install the system; they own the asset, they sell the electricity produced by the array to the Town. There are three options at the end of a power purchase agreement 1. Buy the system at fair market value 2.
Have the system removed at no cost to the town and the land restored to its original state 3. Re-negotiate and renew the contract for 5 year increments. System is monitored regularly and panels will be replaced Board as needed. Attorney Matt Pirnot who represents the Town of Emmitsburg gave them a summary copy of the terms of the contract and proceeded to go over
the terms. Two major changes to this contract were the start date for this contract was postponed until the WWTP was expected to be online and the rate is a little lower. The obligations of the town are to provide land for the solar project, pay for the power that is generated and to not interfere with the solar project. There was a brief discussion on the
easement of access. The questioned was raised on how the savings of one million over a 20 year term would be passed onto the residents/users of the town. Mr. Haller responded the user or citizen benefits by lower sewer rates.
Motion: to accept the power purchase agreement with Standard Solar with the REA.
Motion made by Commissioner Blanchard and second by Commissioner Mellor.
Vote: 5-0 in favor
2015
March
DBA
It’s been less than ten months since the town installed Phase I of 1mW Solar array. Results on using renewable energy through 2/12/2015 in terms of offsetting damage to the environment stated as an equivalency: 680,696 miles - Total amount of C02 avoided is equal to this many miles driven in a family sedan. 19,336 trucks - Total amount of
C02 avoided is equal to this many gasoline tanker trucks. 30,562 trees - It would take this many mature trees one year to reduce the total C02 avoided. 105 homes - Total amount of energy generated is enough to provide electricity to this many houses for one year. 681 barrels - Total amount of C02 avoided is equal to this many barrels of oil consumed. 1,466k lbs -
Total amount (lbs) of Carbon Dioxide avoided since installation. 3,821 lbs - Total amount (lbs) of Sulfur Dioxide avoided since installation. Like too many, to me these are interesting metric.
As I have mentioned before by shifting to renewable solar energy for town government energy needs, we are making a difference in lessening competition with town residents energy needs/cost and what we will hand over to our children and grandchildren. We are now 94% renewal solar energy reliant. When you have the opportunity stop by the town
office and see the changing energy use results on monitor in the town office lobby. The Phase II Solar for the waste water treatment plant will be installed this spring.
Official Special Exemption Request for County Approval for Phase II Solar Farm
... All electricity generated by Phase 2 will be used to off set the facility. [The new waste water treatment facility.]
... The Applicant is proposing to establish a Nongovernment Utility on the western portion of the subject property in the form of a Solar Farm. The Solar Farm will utilize approximately 6.2 acres of the available property. The proposed solar farm is Phase 2 of a 2 phase project designed to provide solar power to the existing Town of
Emmitsburg Waste Water Treatment Facility and other Town of Emmitsburg electrical accounts. (note: Phase one was permitted as an accessory to the Waste Water Treatment Plant, AP#113473). All power generated by the solar farm will go to the Town of Emmitsburg and will not be sold back to the grid.
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