Given the cost of a proposed solar project and the magnitude of the decision, council should schedule a separate meeting to discuss the matter.
That was the message councillor Andy Knetsch relayed last week, after finance director Mike Givens asked council for some direction on the matter.
“This is a major expense,” Knetsch said, regardless of whether the township owns the project outright or shares ownership with Essex Energy. He wondered if council should schedule a special meeting or a closed session to talk about the pros and cons of both.
The matter came up near the end of the Jan. 25 meeting, when Givens told council Essex Energy officials are wondering if the township wants to proceed with an application for the solar project under the province’s Feed-in Tariff (FIT) program, a guaranteed pricing structure for renewable electricity production.
Givens said Essex Energy is willing to pay the $500 application fee; the company just wants to know one way or the other.
A recent feasibility study found the PMD Arena roof could support a 170-kilowatt project worth about $1-million. The township could own the project outright, become a co-owner (Essex officials mentioned the municipality could own 30%), or simply lease the space on the roof to Essex.
Councillor Mike Downey said if Essex wants to pay for the application the township should let them, because it does not mean Mapleton is committed to anything.
But Givens replied ownership must be addressed on the FIT application, which prompted Downey to ask Givens what he thought was the best deal.
“It’s a difficult question to answer,” said Givens.
He explained there is zero risk if the township just leases the space, but there is also little revenue going that route. He said shared ownership, either 80-20% or 70-30% with Essex as the primary owner, is likely the best way to go.
Councillor Jim Curry, who was sitting in for absent Mayor Bruce Whale, said the township also needs to consider recycling of the project at the end of it’s life cycle. That could be a “major issue” and “substantial cost,” he said.
Givens said issues like recycling an maintenance can be addressed after ownership is established. He explained some people believe the FIT program will change shortly and the sooner the application is submitted the quicker the project can secure a reasonable rate.
“There is no definitive timeline … but the sooner the better,” he said.
He suggested perhaps the application, which will likely take 120 days to process, could be submitted with Essex as the sole owner – and then changed later if council decides otherwise.
After Knetsch expressed concern about the need for more discussion, clerk Patty Sinnamon said the matter would be brought back before council at its next meeting on Feb. 8.
