{"id":1225,"date":"2009-05-11T20:56:18","date_gmt":"2009-05-12T04:56:18","guid":{"rendered":"http:\/\/www.fogcityjournal.com\/wordpress\/2009\/05\/11\/recurrent-energy-solar-contract-heading-back-to-committee\/"},"modified":"2009-05-12T17:37:52","modified_gmt":"2009-05-13T01:37:52","slug":"recurrent-energy-solar-contract-heading-back-to-committee","status":"publish","type":"post","link":"https:\/\/www.fogcityjournal.com\/wordpress\/1225\/recurrent-energy-solar-contract-heading-back-to-committee\/","title":{"rendered":"Recurrent Energy Solar Contract
Heading Back to Committee?"},"content":{"rendered":"

By Luke Thomas<\/a><\/strong><\/p>\n

May 11, 2009<\/p>\n

A proposal by Recurrent Energy to build a 5-megawatt solar energy-generating voltaic array on the Sunset Reservoir in San Francisco may be heading back to committee for further review and analysis, a Fog City Journal inquiry has revealed.<\/p>\n

Supervisor Eric Mar, who cast his vote in support of the project contract during its first reading before the Board of Supervisors last Tuesday, told FCJ today he has received new information that suggests the City and County and San Francisco could improve the terms of the contract.<\/p>\n

Mar said he has received “first and second hand information” from two solar companies since last week’s Board of Supervisors meeting which advised him: “The contract may not be as good as it could be.”<\/p>\n


\nSupervisor Eric Mar<\/p>\n

One of those companies, Enxco, had its bid for the solar project rejected “due to technical specifications,” according to Supervisor Chris Daly.<\/p>\n

As the deal stands presently, the City and County of San Francisco would be locked into a 25-year contract and would be required to pay Recurrent Energy $235 per megawatt-hour of energy generated. Though the City would have a buyout option at years seven and fifteen, the buyout price is currently set at $33 million, or fair market value – whichever is higher.<\/p>\n

Mar said new information has prompted him to discuss the possibility of “sweetening” the terms of the Recurrent Energy contract with San Francisco Public Utilities Commission General Manager Ed Harrington.<\/p>\n

“I’ve asked Ed Harrington for information about the profit margin of [Recurrent Energy], also about other bids for the contract,” Mar said.<\/p>\n

“Hearing some numbers from Enxco helped,” he said, “but I’m trying to verify if they’re legitimate and valid and I’m asking Ed Harrington more directly what could be done to improve the contract.”<\/p>\n

Harrington, who spoke with FCJ to discuss the cost of the project, said: “The contract is expensive. Solar is expensive.”<\/p>\n

“Solar will get cheaper,” Harrington added, “If they want to wait ten years, solar will be cheaper, but do you want to wait that long?”<\/p>\n


\nSFPUC General Manager Ed Harrington<\/p>\n

Adding to a growing opposition to the terms of the contract, Supervisor John Avalos, who voted against the agreement last week, said the deal “should be rejected outright,” adding that he would prefer to see a public power installation instead.<\/p>\n

Avalos said the estimated $1.8 million per year the City would pay Recurrent Energy for the solar energy it produces could be used instead to incrementally purchase increasingly more energy-efficient solar voltaic panels with longer life spans, at lower unit prices than available today.<\/p>\n


\nSupervisor John Avalos<\/p>\n

“It will be an interesting debate,” said Board of Supervisors President David Chiu, who cast his vote in support of the project last week after his support of several contractual amendments from Supervisor Ross Mirkarimi failed.<\/p>\n

“If people are having second thoughts, I’m open to discussing that,” Chiu said.<\/p>\n


\nSupervisor David Chiu<\/p>\n

A motion to send the item back to committee, or to reject the contract outright, requires a simple majority of six votes on the eleven-member Board.<\/p>\n","protected":false},"excerpt":{"rendered":"

By Luke Thomas May 11, 2009 A proposal by Recurrent Energy to build a 5-megawatt solar energy-generating voltaic array on the Sunset Reservoir in San Francisco may be heading back to committee for further review…<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[222,17],"tags":[],"class_list":["post-1225","post","type-post","status-publish","format-standard","hentry","category-news","category-politics"],"yoast_head":"\nRecurrent Energy Solar Contract Heading Back to Committee? - Fog City Journal<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.fogcityjournal.com\/wordpress\/1225\/recurrent-energy-solar-contract-heading-back-to-committee\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Recurrent Energy Solar Contract Heading Back to Committee? 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