RECEIVED ENERGY CONSERVATION COMMITTEE TOWN OF BETHEL P4 28. Regular Meeting MINUTES 2012SEP TOWN CLERK. THURSDAY September

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1 EERGY SERVATI MMITTEE LIFFRD J HURGI MUIIPAL ETER 1 SHL STREET BETHEL T MEETIG RM A THURSDAY September PM Regulr Meeting MIUTES PRESET hirmn Bill rfty Members Hnk Krl Gry Hillmn nd Mrk Anderson Pedone nd Bill ALS PRESET Town of Bethel Stff Engineer Bill Dwinells nd Andy Merol onnecticut onference of Municiplities Energy Progrm Mnger ABSET Rndi isher Fred Zlcmn nd Keith Wtson nd Dvid Dunn ALL T RDER hirmn Bill rfty clled the meeting 7 01 PM followed by the Pledge of Allegince to order t PUBLI IPUT one APPRVAL F MIUTES Gry Pedone mde the motion to pprove the minutes of the lst meeting The motion ws seconded by Bill Hillmn Vote fvor motion unnimously pproved ll in M EERGY EFFIIEY PRGRAM Attorney Merol representing M mde presenttion explining their progrm SEE ATTAHED SLAR PRJET UPDATE o sttus updtes s of yet Anticipted updtes once the legisltive session begins First Selectmn Knickerbocker to meet with Andrew Morosky regrding the lndfill cp FUEL ELL UPDATE DEEP will be holding session in Hrtford on the Public Act effecting Emergency Prepredness nd Response Anticipted discussion will be covering Micro Grids in combintion with EID Energy Improvement District REEIVED 2012SEP P4 28 TW F BETHEL TW LERK

2 EW BUSIESS one ADJUR Bill Hillmn mde motion to djourn motion ws seconded by Gry Pedone Vote ll in fvor motion unnimously pproved Meeting djourned 823PM Resp ctfully sub fitted is Bergh

3 EE GY fifig SIM fmgly STfERLIG1171G M Energy Solr Photovoltic PV Progrm onnecticut s ZRE progrm offers municiplities n opportunity for substntil svings on electric costs M Energy s Solr PV progrm competitively procures long Purchse Agreements PPAs form member municiplities nd their school districts term Power providing long term svings nd budget certinty tht requires no cpitl investment Why M Energy ngoing RFQ process for competitively selected solr developers ompetitively negotited PPAs provide fundmentlly equivlent terms nd conditions Lrge group of progrm prticipnts ensures continuing interest mong solr developers ompetitively bid pricing yields lower per kwh cost Expert relible dvice nd ssistnce throughout the process including negotiting with your current supplier if required by your current non M Energy supply greement M Energy s electric supply greements lredy include this option How does my municiplity or school district prticipte 1 Identify ny rooftops or sections of rooftops tht meet the following specifictions Instlled or replced since 2002 b With t lest 10 yers of roof wrrnty remining c n building tht consumes kwh or more per yer d With totl roof re of t lest squre feet Ground mounted systems lso re good cndidtes provided there is nerby electric lod of kwh or more per yer nd t lest squre feet of open un shded lnd Mny wstewter plnts my hve room for solr rrys on djcent crege or on rcking systems superimposed over holding tnks 2 Send us the ddress of the building s 3 Review with us vi conference cll Google Erth photo s to confirm initil suitbility 4 If it mkes sense to proceed Sign Prticiption Agreement b omplete more detiled survey questionnire c Provide signed utility dt relese uthoriztion form nd recent utility bill for the relevnt ccount s Importnt upcoming dtes becuse we nticipte considerble interest in the progrm we encourge you to begin investigting this opportunity tody September M Energy Solr PV Webinr ctober ovember Steps 13 completed Step 4 completed For dditionl informtion contct Andy Merol t or merol@ccm ct ore M Energy Solr PV Progrm Pge 1

4 Why should municiplities nd school districts ct now Funding mde vilble for onnecticut s new progrm explined below is limited nd competition for tht funding is fierce In ddition these behind the meter projects the solr rry produces power tht reduces the mount of electricity delivered to the meter offer svings on both the supply genertion nd trnsmission nd distribution chrged per kwh of power ombining reduced genertion costs with reduced trnsmission nd distribution costs provides significnt svings M Energy llows you to tke full dvntge of this new progrm You gin competitive edge nd the bility to mke informed business decisions with ssistnce from experts VERVIEW F STATE F ETIUT PRGRAM onnecticut s legislture decided to subsidize solr development in the stte by requiring the two electric utilities to enter into long term contrcts to purchse Renewble Energy redits from these projects n April onnecticut s Public Utilities Regultory Authority PURR pproved solicittion pln submitted by L P nd UI for the purchse of Zero nd Low emission Renewble Energy redits ZRES nd LREs from suppliers of renewble genertion L P nd UI contrct for the purchse of these Renewble Energy redits once ech yer through n nnul uction process The next scheduled utility uction of these ZRES is scheduled for April 2013 To understnd onnecticut s ZRE progrm you need to know tht these solr PV projects require two seprte nd distinct procurements the procurement of the PPA between the solr development compny nd the community the contrct tht M Energy competitively procures nd b the procurement of the contrct for sle of the ZRES the contrct between the solr development compny nd the utility Proceeds from the sle of ZRES re the economic driver behind solr PV projects providing the lion s shre of the nnul revenue As result success of these solr PV projects depends upon the bility to sell the ZRES to the utility The good news is tht onnecticut hs decided to fund long term ZRE contrcts tht will be wrded in nnul uctions ech yer for the next 5 yers Totl expenditures under this progrm re expected to be 720 million over 20 yers The bd news is tht competition for these ZRE contrcts is fierce Ultimtely ny procurement of solr PV project must be structured in fshion tht mximizes the potentil for success in these nnul ZRE uctions Finlly ccording to the US EPA renewble energy Produces no nthropogenic greenhouse gs emissions nd reduces ir pollution Diversifies energy supply nd reduces dependence on imported fuels retes economic development nd jobs in mnufcturing instlltion nd more M SLAR PV PRUREMET PRGRAM In response to this new stte inititive M expnded its Energy Purchsing Progrm to include procuring solr power to replce some of the power tht is lredy being supplied under your long term electric supply greement For M procured electric supply greements we negotited provision tht llows you to do this If you hve non M supply contrct tht conflicts with onnecticut s solr progrm we will ttempt to negotite n mendment with M Energy Solr PV Progrm Pge 2

5 your supplier tht will llow for it M hs contrcted with By Stte onsultnts to implement these solr procurements on behlf of interested M members Solr Power Purchse Agreement Agreeing to 20 yer electricity purchse commitment without the benefit of expert dvice nd ssistnce s well smulti supplier competition is not dvisble M Energy s competitive procurement model provides key dvntges tht produce significnt results including beneficil PPA terms nd conditions nd lower per kwh pricing which provide svings nd reduced risk for prticipting municiplities nd school districts We will competitively procure contrct tht requires the solr compny to design construct finnce own operte nd mintin the solr equipment for the life of the equipment typiclly 20 yers There is cpitl investment by the community Insted you gree to purchse the power generted by the solr rrys during the 20 yer term of the contrct How to Proceed The first step is to identify group ofm member municiplities their school districts including ll regionl schools districts nd locl public gencies interested in hving us develop solr PV project through competitive procurement of PPA The solr rrys cn be locted on the rooftops of schools nd other municipl buildings orground mounted on crege djcent to trgeted buildings The key is to find buildings with reltively new rooftops instlled or replced since 2002 metl roofs cn be older with minimum of 10 yers remining in the roof wrrnty At ech loction we re looking for minimum of squre feet of useble un shded spce either on the roof or on djcent crege As mentioned erlier wstewter tretment plnts re frequently idel loctions for solr rrys If you re interested in exploring this opportunity we will review Google Erth stellite imges of potentil sites with you s n initil screening process nce finl site selection is completed we will sk potentil bidders to mke on site evlutions prior to submitting bid Potentil Svings Three or four solr projects might collectively yield 500 KW ofsolr cpcity with the potentil to generte somewhere between per yer nd per yer in svings offof your current electric budget Four projects in Est Hrtford wrded in the first round with combined cpcity of 591 KW re expected to generte in first yer svings These solr greements run for the lifetime of the solr equipment typiclly 20 yers nd could yield somewhere between nd in totl svings Svings re impcted by project size rte clss bid price nd other vribles We will prepre svings estimte for your projects once we hve the detils vilble to do so M Role We will help you to screen nd nominte sites nd then we will develop the procurement documents qulify the bidders orgnize the site visits evlute the bids negotite the power purchse greements recommend the winning bidder nd contrct nd then monitor the project from contrct execution through the strt of construction From strt to finish this my be 12 month effort no M Energy Solr PV Progrm Pge 3

6 M Energy Fee We hve structured the M Energy fee so tht it is pid out of the finncing of the solr project if nd when the solr project commences construction If you do not elect to execute the solr greement tht we procure no fee is pid The fee is equl to 075 per wtt of instlled cpcity D rting For 500 KW solr system the totl fee would be pyble by the winning bidder This fee is included in the cpitl cost tht is finnced The svings outlined bove presume cpitl cost tht includes this fee oordintion with Utility ZRE Process L P nd UI will dminister n uction for ZREs in April 2013 The procurement tht we initite in ovember 2012 is designed to be concluded t lest 30 dys prior to this April 2013 dedline The solr compny tht executes the PPA with you will bid the ZREs from your project into thtl PUI uction In order for the project to proceed the solr compny will need to be successful in tht L PUI uction We will design the M Energy power purchse procurement in fshion tht mximizes the potentil for success in tht subsequentl PUI ZRE uction Results Achieved to Dte The M Energy Solr PV progrm is designed to negotite fvorble terms nd conditions competitive prices nd do so on schedule nd in mnner tht is comptible with the utility uction of ZREs For exmple our Phse 1 progrm this pst spring chieved the following results Schedule ompetitive Process 30 solr development compnies replied eventully leding to six finlists nd three selected firms Fvorble Terms nd onditions We negotited terms tht llowed the buyer to substitute lternte sites for the rrys nd or suspend service during the term to ccommodte renovtions nd reconstruction ctivities ompetitive Prices We procured price tht is below current utility prices nd fixed nd flt for 20 yers omptible with L PZRE process nly 28 of the solr projects tht submitted bids into the June 12th L P ZRE uction received ZRE wrds wheres 75 of the M Energy solr projects received ZRE wrds Bsed on the lessons lerned we expect to improve on tht rtio in upcoming procurements For the fll 2012 procurement effort we re ttempting to identify solr projects of interested members by ctober 15 Appendix A provides step by step schedule If you re interested in lerning more bout this progrm plese contct Andy Merol t or merol@ccm ct or M Energy Solr PV Progrm Pge 4

7 Schedule for M Solr Procurement Fll 2012 M member Activity in Blue Step 1 ominte potentil sites ct 15 We cn ssist you with this process Step 2 Provide documents nd detils ov 1 omplete site questionnire Provide one recent utility bill for ech site Provide Recent Audited Finncil Sttement Execute Prticiption Agreement Step 3 Issue RFQ ov 15 Step 4 Host Site Visits by Bidders Erly Dec We will orgnize nd ttend Step 6 Accept Bids Lte Dec Step 7 Select finlists Jn 15 Step 8 Host presenttions by Finlists Lte Jn We will coordinte with the compnies nd ttend Step 9 Mke finl recommendtion Feb 1 Step 10 Execute Power Purchse Agreement Mr 1 Step 11 Monitor Performnce ngoing M Energy Solr PV Progrm Pge 5

8 M m W Y j M W V i LL M I A 1 V V ii LL vi s t M M e1 t ri W fq H i V Q 3 L s m L io i 4J S s 3 3 L U i L Q v Q of c n c o s L s t 3 i V Ll I d v U I U 0 c fq c Q c U