During a recent government meeting, officials discussed a motion to approve a solar power purchase agreement, which has sparked a range of opinions among members. The motion, which aims to add the solar contract to the agenda, was met with some confusion regarding the order of items and the specifics of the contract.
The solar project, identified as 0820, involves a 3.3 megawatt system, with Walmart set to utilize 1.7 megawatts and the remaining 1.3 megawatts allocated for future customers. Concerns were raised about the increasing costs associated with the project, particularly in comparison to another energy project known as Addison, which has been criticized for its high fixed costs.
One official expressed hesitation, noting that the solar contract's costs are approaching those of the Addison project, which has a fixed annual cost of $4 million, regardless of energy production. In contrast, proponents of the solar deal highlighted its potential as a cheaper resource, emphasizing that payment is only required when energy is generated. They noted that the maximum cost would be $0.045 per kilowatt hour, significantly lower than current market rates.
The discussion also touched on the urgency of securing energy resources, with officials indicating that the solar project is expected to provide necessary generation capacity as demand increases. A deadline for the project to come online was mentioned, with penalties in place for delays, ensuring that stakeholders remain committed to its timely completion.
As the meeting progressed, officials agreed to move forward with the solar contract, while some members indicated they would need additional time to consider their votes on the matter. The outcome of this motion could have significant implications for the region's energy strategy, particularly as it seeks to balance cost, reliability, and sustainability in its energy portfolio.