Paragonah discussion covers wind, solar, geothermal and EDAM power charges; board may consider steady rate increases

Council members spent part of the May 13 meeting reviewing regional energy options, recent market behavior and potential rate adjustments.

A committee member outlined three items: an offer to purchase power from the Wolverine Wind Farm (Bonneville County, Idaho) under a 10-year term at a price the member described as in the "low forties," progress on the Fremont valley solar project that includes battery storage, and drilling activity at the RotorTherm geothermal site in Milford. "They're drilling and getting the stuff put in, so hopefully that one and if it works, then they're going to do a lot bigger project," the committee member said about RotorTherm.

The committee member also briefed the council on EDAM (Energy Disagreement/Availability Market) charges that began May 1 and recent hourly price spikes; he said some prices reached about $450 per hour and recalled earlier spikes up to $900 that previously cost the town significant money. Given these market pressures, members discussed asking the Power Board to consider implementing a modest annual power-rate increase (for example, 1–2 percent annually) to stabilize rates over the long term.

The council also discussed opting out of additional contributions to an external rate-stabilization fund and instead using an existing reserve with their supplier to cover acute power bills. No formal Power Board vote occurred at the meeting; the committee agreed to schedule a Power Board meeting to consider rate options and any required actions.

Next steps: Hold a Power Board meeting to decide whether to implement an annual percentage increase and to finalize any participation or contribution changes for rate-stabilization reserves.