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Solar on Landfills: Trash or Treasure?  Alan Benevides, PE, LSP - Woodard & Curran, Inc. Miles Walker, LEED AP – Woodard & Curran, Inc.
Solar on Landfills How many of you have heard about this topic before today? Have you been to another presentation about SOL? Have you put out an RFP for a SOL project? Have you signed an agreement for a SOL project?
Today’s Focus Municipal officials Closed municipal landfill sites Large ground-mounted solar projects (> 5 acres) Massachusetts most active to date
Why All the Buzz?  Why Landfills? Large, open parcels typically 5-20 acres Limited options for alternate use Typically in buffered locations with greater likelihood of public acceptance  Owners likely willing to tie-up site use for 15+ year period Low long-term value of landfill property For municipal sites, you are the land owner AND power purchaser (especially MA)!
Why All the Buzz?  Why Landfills?    Greenfield sites  = higher value, owners typically unwilling to tie-up site for 15+ years for solar project    Rooftops typically small  = not as financially attractive when not grant funded (>0.5 MW)
Why All the Buzz?  Why Massachusetts to Date? SOLAR RENEWABLE ENERGY CREDITS (SRECS) MA and NJ have high value provided by SRECs
makes MA projects financially attractive to solar developers and financers VIRTUAL  NET METERING Allows power generated at one site (landfill) to be purchased at any other site within a large geographic region
Basic Terms: Cell, Module, Panel, Array Cells  wired together to create module (or panel) Modules  wired together to create string Several strings form an  array Photo:  Florida Solar Energy Center
System Components Sunlight, array – together generate power AC/DC inverter – power is converted to a wave Power fed through breaker on property electrical panel Net metering – more power created than demanded
Typical Landfill System Components
Rules of Thumb for    Solar Landfill Projects 5 acres 1 MW For construction, $1,000,000 per acre  $100,000 Power Generation
Two Options for Municipalities Option 1  – Develop and own project Option 2  – Lease land to, and purchase power at reduced cost from, a third party
Option 1 – Develop/Own Project Significant financial & technical undertaking! High upfront costs (>$4M) Can’t take advantage of tax incentives  Financial Risk
Option 2 –  Lease Land/Purchase Power Low upfront investment of time/resources with moderate long-term financial gain What is “moderate long-term financial gain?” Long-Term    15 to 20 years Land Lease    $0 - $20,000 per MW Savings from reduced cost power    $50K to $200K per year Can vary significantly based on site, power cost, project size, future cost of power
Key Players & Roles  Municipality   Lease Property Purchase Power Financial Backers   Provide Capital  Receive ROI  Realize Tax Advantage/Secs  **** Very Important **** Solar Developer   Contracting Entity Engineering & Permitting  Construction  Operations & Maintenance RFQ
Key Players & Roles  Municipality   Lease Property Purchase Power PPA Lease Financial Backers   Provide Capital  Receive ROI  Realize Tax Advantage/Secs  **** Very Important **** Solar Developer   Contracting Entity Engineering & Permitting  Construction  Operations & Maintenance RFQ Regulators  Permits  Utility Provider   Interconnection Agreement Engineers/Lawyers
Is my landfill a good candidate for a solar project?  Capped/certification approved by Regulatory Agency Large area with low slope (>5 acres 5% - 10% slope) South/west facing slopes (oriented east-west) Low  amount of shading Long time since landfilling occurred  Existing Site Security Close to power connection to the grid Lack of Abutters No Sensitive Environmental Areas (wetlands, endangered species, ACEC, etc.)
Technical/Engineering Challenges  Cap Protection  Weight (construction & long-term) Puncture Landfill Differential Settlement (Cap and Array) Slope Stability Wind/Snow impact to panels Drainage Site Maintenance/Mowing
State Post Closure Permitting  Landfill Post Closure Use Permit MassDEP Guidance Documents Developing Renewable Energy Facilities on Closed Landfills  MassDEP Solid Waste Facility Post-Closure Use Permits Website:  www.mass.gov/dep/energy/landfill.htm RI and CT – currently, nothing specific for guidance
MassDEP Post Closure Permit Application Components Site plan (500’R) Drainage plan Landfill gas plan Capping system interface Environmental Monitoring System OM&M Plan Design drawings/specifications Erosion control plan Settlement and stability evaluation Utility interconnection Risk Assessment Financial Assurance Mechanism
RI & CT Components Nothing formal Look to Massachusetts for guidance
Other Potential Permits/Approvals Federal  NPDES Construction General Permit  State MEPA Local Building Permit Order of Conditions Site Plan Approval Utility Interconnection Agreement
Solar – Broader Perspective
Solar Programs  Renewable Energy Credit with “Solar Carve Out”  Suppliers required to have a portion Solar Power generated with Solar receive SREC Market Based High value with high volatility  Feed In Tariff Contract with utility for power and attributes  Long term contracts Grants   http://dsireusa.org/
Massachusetts Programs  State has supported SREC Market Adjusted program to support development Set floor price to support market Virtual Net Metering 60 MW developed of 400 MW target PPA Typical
Rhode Island Programs  Rhode Island enacted legislation (H.B. 6104) in June 2011  Distributed Generation Standard Offer Contracts (DG Contracts)   for new distributed renewable energy generators up to five megawatts (MW) in capacity 40 MW by the end of 2014 Standard contracts include a fixed payment rate   15-year term
Rhode Island Programs  Sized for feed in tariffs  Lease payment for sites  Lower lease payment due to “smaller incentive” for developer $0-20K per year per MW
Connecticut Programs  Zero Emission Renewable Energy Credit ZREC up to 1 MW Program Underdevelopment  Anticipated systems will be similar to MA Up to 5 acres Lower lease payments than MA  Higher than RI?
Summary  Landfills can be good sites for solar CT, MA and RI support solar installation Different programs in each state Process similar for each state Potential revenue for community
Where Do I Start? Conduct basic preliminary feasibility analysis  Assembling a team of experts to analyze the technical, legal and financial considerations of the potential site Talk to Developers Develop and Issue RFQ Select Solar Developer with a strong financial partner
Final Thoughts Programs and pricing are evolving Solar construction costs decreasing Incentives increasing in scope SREC market volatile Technical, Financial and Legal Partnership Can create value!!!  Stay tuned for SNEAPA 2012

Alan Benevides, PE, LSP Woodard & Curran 866.702.6371 [email_address] Questions & Answers Miles Walker, LEED AP Woodard & Curran 866.702.6371 [email_address]

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Solar on Landfills - Trash or Treasure

  • 1. Solar on Landfills: Trash or Treasure? Alan Benevides, PE, LSP - Woodard & Curran, Inc. Miles Walker, LEED AP – Woodard & Curran, Inc.
  • 2. Solar on Landfills How many of you have heard about this topic before today? Have you been to another presentation about SOL? Have you put out an RFP for a SOL project? Have you signed an agreement for a SOL project?
  • 3. Today’s Focus Municipal officials Closed municipal landfill sites Large ground-mounted solar projects (> 5 acres) Massachusetts most active to date
  • 4. Why All the Buzz? Why Landfills? Large, open parcels typically 5-20 acres Limited options for alternate use Typically in buffered locations with greater likelihood of public acceptance Owners likely willing to tie-up site use for 15+ year period Low long-term value of landfill property For municipal sites, you are the land owner AND power purchaser (especially MA)!
  • 5. Why All the Buzz? Why Landfills?  Greenfield sites = higher value, owners typically unwilling to tie-up site for 15+ years for solar project  Rooftops typically small = not as financially attractive when not grant funded (>0.5 MW)
  • 6. Why All the Buzz? Why Massachusetts to Date? SOLAR RENEWABLE ENERGY CREDITS (SRECS) MA and NJ have high value provided by SRECs
makes MA projects financially attractive to solar developers and financers VIRTUAL NET METERING Allows power generated at one site (landfill) to be purchased at any other site within a large geographic region
  • 7. Basic Terms: Cell, Module, Panel, Array Cells wired together to create module (or panel) Modules wired together to create string Several strings form an array Photo: Florida Solar Energy Center
  • 8. System Components Sunlight, array – together generate power AC/DC inverter – power is converted to a wave Power fed through breaker on property electrical panel Net metering – more power created than demanded
  • 10. Rules of Thumb for Solar Landfill Projects 5 acres 1 MW For construction, $1,000,000 per acre $100,000 Power Generation
  • 11. Two Options for Municipalities Option 1 – Develop and own project Option 2 – Lease land to, and purchase power at reduced cost from, a third party
  • 12. Option 1 – Develop/Own Project Significant financial & technical undertaking! High upfront costs (>$4M) Can’t take advantage of tax incentives Financial Risk
  • 13. Option 2 – Lease Land/Purchase Power Low upfront investment of time/resources with moderate long-term financial gain What is “moderate long-term financial gain?” Long-Term  15 to 20 years Land Lease  $0 - $20,000 per MW Savings from reduced cost power  $50K to $200K per year Can vary significantly based on site, power cost, project size, future cost of power
  • 14. Key Players & Roles Municipality Lease Property Purchase Power Financial Backers Provide Capital Receive ROI Realize Tax Advantage/Secs **** Very Important **** Solar Developer Contracting Entity Engineering & Permitting Construction Operations & Maintenance RFQ
  • 15. Key Players & Roles Municipality Lease Property Purchase Power PPA Lease Financial Backers Provide Capital Receive ROI Realize Tax Advantage/Secs **** Very Important **** Solar Developer Contracting Entity Engineering & Permitting Construction Operations & Maintenance RFQ Regulators Permits Utility Provider Interconnection Agreement Engineers/Lawyers
  • 16. Is my landfill a good candidate for a solar project? Capped/certification approved by Regulatory Agency Large area with low slope (>5 acres 5% - 10% slope) South/west facing slopes (oriented east-west) Low amount of shading Long time since landfilling occurred Existing Site Security Close to power connection to the grid Lack of Abutters No Sensitive Environmental Areas (wetlands, endangered species, ACEC, etc.)
  • 17. Technical/Engineering Challenges Cap Protection Weight (construction & long-term) Puncture Landfill Differential Settlement (Cap and Array) Slope Stability Wind/Snow impact to panels Drainage Site Maintenance/Mowing
  • 18. State Post Closure Permitting Landfill Post Closure Use Permit MassDEP Guidance Documents Developing Renewable Energy Facilities on Closed Landfills MassDEP Solid Waste Facility Post-Closure Use Permits Website: www.mass.gov/dep/energy/landfill.htm RI and CT – currently, nothing specific for guidance
  • 19. MassDEP Post Closure Permit Application Components Site plan (500’R) Drainage plan Landfill gas plan Capping system interface Environmental Monitoring System OM&M Plan Design drawings/specifications Erosion control plan Settlement and stability evaluation Utility interconnection Risk Assessment Financial Assurance Mechanism
  • 20. RI & CT Components Nothing formal Look to Massachusetts for guidance
  • 21. Other Potential Permits/Approvals Federal NPDES Construction General Permit State MEPA Local Building Permit Order of Conditions Site Plan Approval Utility Interconnection Agreement
  • 22. Solar – Broader Perspective
  • 23. Solar Programs Renewable Energy Credit with “Solar Carve Out” Suppliers required to have a portion Solar Power generated with Solar receive SREC Market Based High value with high volatility Feed In Tariff Contract with utility for power and attributes Long term contracts Grants http://dsireusa.org/
  • 24. Massachusetts Programs State has supported SREC Market Adjusted program to support development Set floor price to support market Virtual Net Metering 60 MW developed of 400 MW target PPA Typical
  • 25. Rhode Island Programs Rhode Island enacted legislation (H.B. 6104) in June 2011 Distributed Generation Standard Offer Contracts (DG Contracts) for new distributed renewable energy generators up to five megawatts (MW) in capacity 40 MW by the end of 2014 Standard contracts include a fixed payment rate 15-year term
  • 26. Rhode Island Programs Sized for feed in tariffs Lease payment for sites Lower lease payment due to “smaller incentive” for developer $0-20K per year per MW
  • 27. Connecticut Programs Zero Emission Renewable Energy Credit ZREC up to 1 MW Program Underdevelopment Anticipated systems will be similar to MA Up to 5 acres Lower lease payments than MA Higher than RI?
  • 28. Summary Landfills can be good sites for solar CT, MA and RI support solar installation Different programs in each state Process similar for each state Potential revenue for community
  • 29. Where Do I Start? Conduct basic preliminary feasibility analysis Assembling a team of experts to analyze the technical, legal and financial considerations of the potential site Talk to Developers Develop and Issue RFQ Select Solar Developer with a strong financial partner
  • 30. Final Thoughts Programs and pricing are evolving Solar construction costs decreasing Incentives increasing in scope SREC market volatile Technical, Financial and Legal Partnership Can create value!!! Stay tuned for SNEAPA 2012

  • 31. Alan Benevides, PE, LSP Woodard & Curran 866.702.6371 [email_address] Questions & Answers Miles Walker, LEED AP Woodard & Curran 866.702.6371 [email_address]

Editor's Notes

  • #4: Solar farm on a landfill
 closed municipal sites
.
  • #7: Get MA
 maybe a map of the state?
  • #11: Different graphic
  • #15: Fix RFQ one
 should be PPA, Lease with the orange box
  • #16: Fix RFQ one
 should be PPA, Lease with the orange box