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Ogdensburg solar project delayed, but still expected to save city more than $45k annually once complete

Posted 2/25/16

By JIMMY LAWTON OGDENSBURG -- A solar project that officials had hoped would be up and running by October 2015 won’t be finished until spring, but the project is still expected to create a major …

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Ogdensburg solar project delayed, but still expected to save city more than $45k annually once complete

Posted

By JIMMY LAWTON

OGDENSBURG -- A solar project that officials had hoped would be up and running by October 2015 won’t be finished until spring, but the project is still expected to create a major savings for the city.

Ogdensburg Department of Public Works Director Scott Thornhill says the company is hoping for a March completion date, but panels won’t be begin generating power until it can hook into National Grid’s system.

Thornhill says the project required a change regarding where the solar project could be tied into the grid. Because that National Grid has had to make some changes that affected the tie-in date, the contractors installing the panels have been “less aggressive” with the construction.

Thornhill says the construction will likely be completed in March, but a tie-in date is not remains uncertain at this time.

Any additional costs associated with the changes will be covered by the contractors, not the city.

Once complete, the 1.1 MW solar project will cover 8 acres of land and will be capable of producing 1.4 million kwh of electricity per year.

A total savings is estimated at more than $1 million over the 25-year period and could be as high as $2 million depending on fluctuation of energy prices.

City manager Sarah Purdy said the original plans had to be modified due National Grid’s availability to make a connection to its system. In an update to city councilors Purdy added that construction is “moving ahead slowly.”

Energy Equity and RER Energy Group obtained New York Research Energy Group (NYSERDA) grants to fund the project.

All maintenance and upkeep on the project will also fall on the investors and the city will spend no money on the array.

Under the agreement the city will purchase power at about 8 cents per kwh, that’s about 4 cents cheaper than the current rate paid to National Grid rate of 11.7 cents per kwh.

That amount will increase by 2.5 percent per year, while the National Grid price is expected to increase by roughly 3 to 4 percent per year.

While the cost savings itself appears to be substantial, there is also a large environmental benefit to the project. The city uses about 3.7 megawatts of power and the solar array will generate nearly one-third of that total.

One drawback of the panels is that they decrease in efficiency each year, with efficiency decreasing by .5 percent per year.

After seven years, the city also has the option to purchase the equipment and generate the power on its own, rather than purchasing it from the investors.