Solar developer New Energy Equity (NEE) collaborated with Chart House Energy (CHE) to complete the first phase of a 645-kW municipal solar system in Muskegon Heights, Michigan. NEE provided upfront financing and is overseeing the installation of the solar array, allowing the city to pay no upfront costs on the project. NEE will continue to work with CHE and Muskegon Heights to develop at least five solar projects totaling 645 kW. In addition to the new jobs and clean energy this system will provide, the city anticipates an offset of nearly 50% of their current electric consumption.
New Energy Equity
“New Energy Equity is excited to expand our footprint to the state of Michigan,” said Matt Hankey, CEO and president of NEE. “We are thrilled to partner with the City of Muskegon Heights to provide a solar project at no upfront cost, allowing the city to allocate funds to other initiatives while also investing in a cleaner future for their community.”
This project will expand to include the roofs of a filtration plant, city hall, and other municipal buildings throughout the city.
“New Energy Equity’s involvement in this project has led to a prosperous partnership between our organizations, and has led to many opportunities within the municipalities that surround Muskegon Heights,” says CHE Community Development Director, Jon Ledsworth, “We look forward to working together with NEE to make our state’s municipalities’ renewable energy desires and initiatives a reality.”
News item from New Energy Equity
“In addition to the new jobs and clean energy this system will provide, the city anticipates an offset of nearly 50% of their current electric consumption.”
Why nibble, why not ‘bite’? 645kW, make it 100% and go with 1.29MW.
“This project will expand to include the roofs of a filtration plant, city hall, and other municipal buildings throughout the city.”
These would be great places to overbuild solar PV capacity and use the extra energy to store for overnight energy consumption or use the energy storage for arbitrage charging at night using off peak generation. Since these sites are community buildings, they could also be used for emergency cooling centers, backed up emergency storm shelters, emergency medical depots for any other disaster that comes along.
The question arises, why did not the City of Muskegon Heights simply take advantage of the tax exempt municipal bond market & issue short term notes to finance the project ? The solar panels will produce electricity, reducing the City’s electric costs, which would be ‘dedicated’ to payment of its Muni bond’s principal & interest.
Leasing solar panels is attractive to Cities, School Districts, Indian Tribes, because the Solar Investment Tax Credit (26%) is not yet transferable. in 2019 legislation was introduced in US Congress to allow sale of solar the solar ‘ITC.’
(Cities & School Districts, Indian tribes, etc. don’t pay Income tax, increasing solar panels costs…)
https://pv-magazine-usa.com/2019/05/15/solar-power-tax-credit-transferability-is-on-the-table/
Update on the legislation is of interest, updates on its progress will be appreciated.
-JL