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The original item was published from 7/28/2017 10:01:23 AM to 7/29/2018 1:05:09 AM.

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Posted on: July 28, 2017

[ARCHIVED] City and County Enter into Solar Power Purchase Agreement

PPA agreement

Annapolis, MD (7-28-17) Mayor Michael Pantelides announces that the ongoing partnership between the City of Annapolis and Anne Arundel County continues with the joint purchase of solar energy to power City and County buildings and operations. The partnership has been expanded this time to include the Anne Arundel County Board of Education.

Annapolis Mayor Pantelides, Anne Arundel County Executive Steve Schuh, Anne Arundel County Public Schools Superintendent Dr. George Arlotto, and BQ Energy Director Tim Ryan gathered to sign the Annapolis Solar Park power purchase agreements.

“This project will create more than 100 green jobs during the course of construction as well as producing significant savings in energy costs for the city,” Mayor Pantelides said. “Along with the city’s savings, this project is also expected to generate millions of dollars in revenue for the city over the next 20 years.”

In August of 2015, under the leadership of Mayor Pantelides, a 20-year Annapolis Renewable Energy Park lease was signed, beginning the process of developing the 16.8 megawatt (MW) solar photovoltaic project, converting sunlight into electricity on approximately 80 acres of a closed landfill. The closed and capped landfill is located in the vicinity of Interstate 97, Maryland Route 450 and Crownsville Road in Anne Arundel County. 

"We are excited to partner with the City to bring significant savings to the County and our taxpayers," said County Executive Steve Schuh. "This energy agreement is another demonstration of the City and County working smarter and better for those we serve." 

“We are happy to be able to partner with the City and the County to help diversify our energy supply sources in an environmentally friendly and cost effective manner,” Anne Arundel County Public Schools Superintendent Dr. George Arlotto said. 

While the City of Annapolis owns the land where the Annapolis Renewable Energy Park will be located, Annapolis Solar Park LLC, jointly owned by BQ Energy, LLC and Building Energy (BE) Development US, LLC, holds the lease on the property.  Annapolis Solar Park LLC will be installing a solar system capable of producing a total of 16.8 MW of electricity.  Of this total production capacity, Anne Arundel County is purchasing 50%, the City of Annapolis is purchasing 33%, and the Anne Arundel County Board of Education is purchasing the remaining 17%.

The city will pay 7.75 cents per kilowatt hour (kWh) during the first year, with an annual increase of 2% for years 2-20.  The county will pay 8.471 cents per kWh for years 1-5, with an annual increase of 2% for years 6-20.  The Board of Education will pay 8.471 cents per kWh during the first year, with an annual increase of 2% for years 2-20.

"The City of Annapolis deserves credit for promoting this exemplary, forward looking project,” said Tim Ryan, Director of BQ Energy. "The project literally uses the surface of the former City landfill to cleanly make renewable energy, allow the city to control their own power costs, generate municipal land lease revenue, create local jobs, and provide economic benefit to the area schools and county.”

Construction on the Annapolis Renewable Energy Park is expected to begin mid-August.

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