Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Energy topic
No spam. Unsubscribe anytime.
Power update: council hears low‑cost wind offer, solar and geothermal pilots and EDAM price concerns
Summary
Paragonah’s power staff reported a possible 10‑year purchase from an older Idaho wind farm at a low forties price, progress on a local solar‑plus‑battery project and geothermal drilling in Milford; members raised concerns about EDAM price volatility and discussed an annual rate increase option.
Town power staff told the council the owners of an older wind farm in Bonneville County, Idaho, have offered a 10‑year purchase option through UAMPS at a price in the low‑forties (per megawatt‑hour equivalent discussed in the meeting). Staff said the town is always short of power and the proposed purchase would be competitive with existing sources.
Staff also reported that the Fremont solar project (the one with batteries on the valley side of the rest stop) is moving along and that RotorTherm’s geothermal drilling in Milford is active; if RotorTherm succeeds the town could be positioned favorably for future expansions. The staff update included a reminder that EDAM (energy‑market) charges have caused extreme hourly price spikes in the recent past — at one point staff cited prices up to $450 an hour and noted prior episodes of up to $900 — and recommended reviewing the town’s power‑cost adjustment mechanisms.
“ Some of the prices were up to $450, for an hour,” a staff presenter said when describing EDAM volatility. Council members discussed setting an annual small power‑rate increase (1%–2%) as a rate‑stabilization measure to smooth long‑term impacts on customers.
Why it matters: the procurement choices, pilot projects and market volatility could affect the town’s wholesale power costs and, ultimately, resident electric rates. Staff said they opted out of adding more money to a rate‑stabilization fund and will instead rely on existing reserves and recommended reviewing the power cost adjustment formula.
Next steps: the power board will consider whether to pursue the wind purchase, whether to adopt a small annual rate escalator, and will hold a future board meeting specifically to review power‑procurement options and the cost adjustment calculation.
