New Solar Project Will Add 120 of Capacity to OMPA’s Power Supply
September 2, 2023
by Paul Ciampoli
APPA News Director
September 2, 2023
The Oklahoma Municipal Power Authority on Aug. 31 announced that a project is in development to add solar to OMPA’s generating resource mix for the first time ever.
The North Fork Solar project will add 120 megawatts of capacity to OMPA’s power supply. The solar farm will be located in Kiowa County in southwest Oklahoma near OMPA members Frederick and Altus. It is expected to go online in 2024.
Recurrent Energy, a subsidiary of Canadian Solar Inc., is the developer for the project.
OMPA has reached a 15-year power purchase agreement for 100 percent of the generation produced by the project.
“OMPA is extremely excited to add North Fork Solar to our portfolio of energy resources. This will continue to diversify our energy mix and increase the amount of non-carbon resources for the benefit of our member cities,” OMPA General Manager Dave Osburn said.
Along with his role at OMPA, Osburn is Chair of the American Public Power Association’s Board of Directors.
Recurrent Energy selected Blattner Energy as the engineering, procurement and construction partner for North Fork Solar.
Once construction is completed, Recurrent Energy will own and operate the project through its Power Services business as a part of its commitment to growing the number of renewable energy projects in its operating assets portfolio.
OMPA’s resource mix in 2022 was led by natural gas at 46 percent. Its combined renewable generation equaled 27 percent of the mix, with energy coming from wind, hydro and landfill-to-gas.
Three different coal plants the Authority owned a share in closed in the last five years, as coal dipped to 15 percent of the resource mix in 2022.
OMPA’s demand has remained high, as its 2022 peak was the highest of the last decade and its overall energy delivered was third-highest during that same time period.
The Authority serves 42 municipal-owned electric systems in Oklahoma, as well as two in Arkansas and another in Texas.
Blue Ridge Power Agency RFP Seeks Wind, Solar PPA Proposals
August 12, 2023
by Paul Ciampoli
APPA News Director
August 12, 2023
Blue Ridge Power Agency has issued a request for proposals that seeks competitive power purchase agreement proposals for utility-scale solar and wind assets with a commercial operation date in 2028 or 2029.
BRPA is a Virginia-based joint action agency.
Specifically, the RFP seeks a solar system of PPA at least 50 MW in aggregate for all BRPA members to participate in and a 40 MW slice of wind energy for a single BRPA member to purchase within PJM, with preference for projects already in the interconnection queue and sited in the American Electric Power and Dominion transmission zones.
Proposals are due on September 12, 2023 by 5:00 PM (EST).
NYPA Launches Process Tied to Renewable Energy Generation Priorities
August 12, 2023
by Paul Ciampoli
APPA News Director
August 12, 2023
The New York Power Authority on Aug. 10 said it has begun a process called for in legislation included in the 2023-24 enacted New York State budget that provides NYPA with new authority to develop, own and operate renewable energy generating projects to assist the state in meeting its clean energy targets.
Through the conferral process, the Power Authority will gather input from state agencies and key stakeholders regarding progress on the implementation of New York’s renewable energy goals as outlined in the state’s Climate Leadership and Community Protection Act.
NYPA leadership will confer with sister state agencies charged with implementing the state’s clean energy agenda.
Next, NYPA staff will meet with additional pertinent stakeholders, including climate and resiliency experts, labor organizations, and environmental justice and community organizations.
The conferral process will yield a report by NYPA that includes stakeholder perspectives on the state’s progress on CLCPA renewable energy goals, information about the generation interconnection process of the New York Independent System Operator, and other important issues, NYPA said.
The conferral report will be made public and used by the Power Authority to inform the development of a strategic plan that identifies projects and describes other actions NYPA will undertake to help the state meet its clean energy targets.
“With Governor Hochul’s leadership, we at the New York Power Authority will build upon our unique position and experience in operating the state’s clean energy hydropower plants for the past sixty years to work with stakeholders and help shape the clean energy vision for New York State,” said NYPA President and CEO Justin Driscoll. “The conferral process is the first step in our commitment to learn how we can best fill in gaps and put our distinct resources to work. We are excited to hear from our collaborators as we embark upon identifying new renewable energy generation projects that will help enable New York to lead the country’s decarbonization journey.”
A conferral process task force will shape the outreach and report. The task force, led by Yves Noel, NYPA’s senior vice president and chief strategy officer, and Phil Toia, president, NYPA Development, consists of a cross-functional team that will leverage internal subject matter experts from across NYPA including development, strategy, legal, and technical departments.
In May 2023, the 2023-24 Enacted State Budget provided NYPA with new authority to develop, own, and operate renewable energy generating projects — either alone or in collaboration with other entities — to assist the state in meeting its clean energy targets, including producing 70% of the state’s electricity from renewable sources by 2030 and creating a zero-emission statewide electrical system by 2040.
Plans for 800-Megawatt Solar Project at Kentucky Coal Mine Unveiled
August 12, 2023
by Peter Maloney
APPA News
August 12, 2023
A Kentucky coal mine site would be converted into an 800-megawatt solar project that was recently announced by renewable energy developer BrightNight, Rivian Automotive and the Nature Conservancy.
The project will be located at the Starfire Mine, formerly one of the largest coal mines in the United States.
The project also calls for BrightNight to build up to a 20-mile transmission line that would enable an additional 1 gigawatt of renewable power generation to be built in the region in the future.
The first phase of project development calls for construction to begin in 2025. Rivian has agreed to buy 100 MW of renewable power from the first phase of the project through a power purchase agreement with BrightNight.
The Nature Conservancy has agreed to purchase up to 2.5 MW of renewable energy credits from the project to complement its onsite solar arrays and achieve clean power sustainability commitments.
The Nature Conservancy collaborated with Rivian to establish the competitive process that ultimately selected BrightNight’s Starfire Renewable Energy Center.
Aztec, New Mexico, Pursuing Solar PV Plus Energy Storage Project
August 12, 2023
by Paul Ciampoli
APPA News Director
August 12, 2023
The City of Aztec, New Mexico, a public power community, is pursuing the development of a solar PV plus energy storage project to meet its entire daytime power needs. The city is working with the International Center for Appropriate and Sustainable Technology on the project.
The City of Aztec is using the opportunities created by the Bipartisan Infrastructure Law and Inflation Reduction Act to install a 2-megawatt solar PV plus 4-megawatthour battery energy storage system project, an Aug. 1 news release noted.
Aztec selected ICAST to help it design and implement the project and help it access the BIL and IRA funds, monetize the investment tax credits, and access low-cost financing.
Aztec is located in San Juan County, New Mexico, in the 4-corners region that has been heavily impacted due to the closure of a coal mine and a large coal-fired power plant, the news release said.
The project will reduce energy costs for Aztec’s 6,000-plus residents, decarbonize energy usage, “provide high-quality, sustainable jobs for the operation and maintenance of the project after the temporary construction jobs, and, help the City of Aztec achieve some level of energy resiliency,” the news release said.
“With all the new federal funds coming out, we have this once-in-a-lifetime opportunity to participate in the clean energy transition. We’re looking forward to this project increasing energy reliability and resiliency and reducing energy burdens for our residents,” said Denver DeWees, Director for the City of Aztec, Electric Department, in a statement.
“We have an existing 1-MW solar facility that was installed in 2016, and there has been hopes to expand due to the success of that facility,” DeWees told Public Power Current.
With Energy Tax Credits and the Federal grant money available, “this is an opportune time to pull the trigger on this project. Adding battery storage adds to our resiliency and gives us a dispatchable energy resource,” he said.
DeWees was asked to comment on what advice he would give to smaller public power communities that are considering applying for funds through the Bipartisan Infrastructure Law and Inflation Reduction Act.
“It is very difficult to navigate and time consuming. I found it necessary due to internal bandwidth to seek out help. ICAST is a great fit for us, and I am looking forward to seeing what they bring to the table,” he said.
The solar PV plus storage project is expected to be operational in just over two years, DeWees said.
Treasury, IRS Issue Guidance for Owners of Solar, Wind Energy Facilities in Low-Income Communities
August 10, 2023
by Paul Ciampoli
APPA News Director
August 10, 2023
The Department of the Treasury and the Internal Revenue Service on Aug, 10 issued final regulations and Revenue Procedure 2023-27 to provide guidance for owners of certain solar or wind facilities built in connection with low-income communities.
The guidance provides definitions, requirements and procedures applicable to the Section 48(e) low-income communities bonus energy investment credit program established under the Inflation Reduction Act.
The IRS estimates that applications from individuals, businesses and tax-exempt organizations that own certain energy credit qualifying solar or wind facilities could number in the thousands.
The Inflation Reduction Act provides for an increase in the energy investment credit for solar and wind facilities that apply for and receive an allocation of environmental justice solar and wind capacity limitation. Taxpayers that receive an allocation and properly place the facility in service may then claim the increased energy investment credit in the year that the facility is placed in service.
The final regulations provide definitions and requirements for the program. The regulations state the four project categories under which facilities apply for an allocation, and the increase of either 10% or 20% associated with a project category.
Additionally, the regulations:
- Define financial benefits for the two applicable project categories.
- Define energy storage technology installed in connection with the solar or wind facility.
- Define and describe the additional selection criteria for eligible potential applicants.
- Remind potential applicants that facilities placed in service prior to an allocation are not eligible.
- Provide the disqualification and credit recapture rules specific to the program.
In addition, Treasury and the IRS released Revenue Procedure 2023-27, which provides the procedures for potential applicants to apply for an allocation of capacity limitation.
Specifically, this guidance provides the information applicants will need to apply and describes the Department of Energy’s application and review process, and the IRS’s allocation award process. The guidance directs applicants to register and apply through the Department of Energy’s portal.
The Department of Energy on Aug. 10 launched a Low-Income Communities Bonus Credit Program page, which will be updated in the coming weeks to provide additional information about the application opening date and application materials.
The Treasury Department and IRS released Notice 2023-17 on Feb. 13, 2023, to establish the Low-Income Communities Bonus Credit Program. Notice 2023-17 provided initial guidance for potential applicants seeking allocations of calendar year 2023 environmental justice solar and wind capacity limitation.
The Treasury Department and IRS also issued proposed regulations on May 31.
Department of Housing and Urban Development Publishes Updated Solar Energy Guidance
August 9, 2023
by Paul Ciampoli
APPA News Director
August 9, 2023
The U.S. Department of Housing and Urban Development on Aug. 4 published updated guidance for Public Housing Authorities and owners of properties participating in HUD multifamily assisted housing programs regarding the treatment of financial benefits received from participation in community solar energy programs or the presence of on-site solar facilities.
HUD said it updated this guidance to make it easier for program participants to understand and implement policies governing participation in solar programs so that residents can benefit from the expansion of these clean energy programs “as a result of President Biden’s Investing in America agenda through the historic Inflation Reduction Act.”
The new guidance consolidates multiple previously issued policy documents, along with current guidance for HUD programs supporting solar, including:
- New Community Solar Credits in Master Meter Buildings Guidance for Public Housing Authorities, which augments existing PIH guidance in PIH Notice-2022-34-Rate Reduction Incentive Guidance, Treatment of Community Solar Credits on Tenant Utility Bills;
- PIH Notice 2022-32-Small Rural Frozen Rolling Base Guidance;
- PIH Notice 2011-3-Energy Performance Contract Guidance; and
- New Housing Notice 2023-09 for Multifamily Assisted Housing property owners.
Specifically, the updated guidance covers programs through which residents benefit from electricity generated by solar panels at either an off-site array or on-site solar facility.
The new documents contain policies administered by HUD’s Office of Public and Indian Housing and Office of Multifamily Housing Programs that remain largely unchanged from previously issued policy, with updates for clarity and consistency.
The updated guidance also includes some expansions, such as guidance for Public Housing Authorities in using community solar credits for buildings with master metered utility accounts and explicitly stating for properties participating in HUD Multifamily Assisted Housing programs that the guidance applies to properties with rooftop/on-site solar facilities.
HUD also recently updated Public Housing guidance on power purchase agreements for use with its Rate Reduction Incentive program and published Public Housing guidance for solar credits.
On May 11, 2023, HUD announced the availability of new funding through the Green and Resilient Retrofit Program to reduce greenhouse gas emissions and improve the energy and water efficiency and climate resilience of HUD-assisted multifamily properties serving low-income residents.
New Illinois Law Allows Park Districts to Enter Solar Agreements
July 13, 2023
by Paul Ciampoli
APPA News Director
July 13, 2023
Illinois park districts can enter into agreements for solar energy after Illinois Gov. J.B. Pritzker signed legislation into law in late June.
Pritzker signed H.B. 2192 into law on June 30. The law allows park districts to enter into a lease, contract, or other agreement related to the acquisition of solar energy, including the installation, maintenance, and service of solar panels, equipment, or similar technology related to solar energy.
In the wake of the governor’s action, the Wilmette Park District moved to finalize a pending contract with Verde Solutions, a Chicago-based solar company for the installation of a roof-top solar array at its Community Recreation Center, Verde Solutions said on July 11.
Verde Solutions said it is installing the project at no upfront cost to the Wilmette Park District.
The district anticipates significant savings on electricity costs for decades to come, according to the solar firm.
Florida Municipal Power Agency, Public Power Utilities Unveil Major Expansion of Solar Project
July 12, 2023
by APPA News
July 12, 2023
Florida Municipal Power Agency, in conjunction with 20 Florida public power utilities and Origis Energy, on July 12 announced a major expansion of the Florida Municipal Solar Project, one of the largest municipal-backed solar projects in the nation.
Upon completion, the expansion will quadruple the amount of solar power currently generated by the project.
The project currently consists of two solar farms, Taylor Creek Solar in Orange County and Harmony Solar in Osceola County, that generate nearly 150 megawatts of solar power.
There will be two phases in the expansion. Phase 2 will include the addition of two more solar farms, Rice Creek Solar in Putnam County and Whistling Duck Solar in Levy County. It is anticipated that Rice Creek Solar will be completed by the end of this year and Whistling Duck Solar is projected for completion in 2024. When both new sites are online, they will generate nearly 150 megawatts of solar energy.
Phase 3 of the project will bring another four solar farms online, which will double the size of the project from four to eight sites that will generate nearly 600 megawatts of solar power – four times what is currently being generated. Construction and operation of these four additional sites, which will be located in Columbia, Levy and Bradford Counties, will be staggered throughout 2025 and 2026.
By the end of 2026, the Florida Municipal Solar Project will consist of more than 1.8 million solar panels installed on eight farms.
“By partnering with our municipal electric utilities members and Origis Energy, we are able to take advantage of a great opportunity to increase the volume of our low-cost, reliable solar generation at a time when solar costs have been escalating,” said Jacob Williams, general manager and CEO of FMPA. “Expanding the Florida Municipal Solar Project will also enable us to serve several new communities that haven’t had access to solar before.”
The large-scale solar project enables participants to provide solar energy to customers in the most cost-effective way, FMPA said. The cost of solar power from the project is approximately one-third the cost of a typical private, rooftop solar system, it said.
A total of 20 Florida municipal electric utilities will purchase power from the project: Beaches Energy Services (Jacksonville Beach), Bushnell, Clewiston, Fort Meade, Fort Pierce Utilities Authority, Green Cove Springs, Havana, Homestead, JEA (Jacksonville), Keys Energy Services (Key West), Kissimmee Utility Authority, Lake Worth Beach, Leesburg, Mount Dora, New Smyrna Beach, Newberry, Ocala, Orlando Utilities Commission, Starke, and Winter Park. These cities are member-owners of FMPA along with 13 other municipal utilities
For more information on the Florida Municipal Solar Project or FMPA, visit www.fmpa.com.
Pasadena Water and Power Expands Energy Portfolio with 25 MW of Geothermal Energy
July 11, 2023
by Paul Ciampoli
APPA News Director
July 11, 2023
California public power utility Pasadena Water and Power is expanding its energy portfolio with 25 megawatts of geothermal energy.
The move is part of Pasadena’s “commitment to growing clean energy and goal of sourcing 100% of its electricity from carbon-free sources,” the city said on July 10.
“Pasadena continues to invest in our renewable future,” said PWP General Manager Sidney Jackson. “The addition of this new geothermal energy brings us closer to meeting goals adopted by the City Council.”
The City Council recently approved a 15-year, 25-MW contract with the Southern California Public Power Authority for the purchase of geothermal energy from Geysers Power Company, LLC, an indirect subsidiary of Calpine Corporation, beginning on January 1, 2027. Located in Lake County, California. The Geysers Geothermal Project is North America’s largest producer of geothermal power.
PWP is currently in the process of updating its Power Integrated Resource Plan, Pasadena’s long-range blueprint for supplying reliable and environmentally responsible electricity at competitive rates.
Jackson recently discussed the IRP in an episode of the American Public Power Association’s Public Power Now podcast.
The acquisition of the geothermal energy advances the greenhouse gas reduction goals identified in the 2021 Power IRP Update.
Along with the Coso Geothermal Project contract, which was acquired in 2020 and is also anticipated to start delivering energy in 2027, geothermal power is expected to make up approximately 25 percent of PWP’s retail energy sales by the end of 2027.