Submitted By
Mindy Agnew, Sustainability Coordinator
Agenda Item Title
Title
Review and Discuss recommended options for Renewable Energy Projects in conjunction with the Village’s Community Choice Electrical Aggregation Program
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Overview
Overview
The Village is working with Mark Pruitt, Principal of the Illinois Energy Choice Aggregation Network relative to the Community Choice Electrical Aggregation program and staff will present a report on recommended options for Renewable Energy Projects as a follow-up to the February 5, 2018 presentation by Environment and Energy Commission (EEC) and in conjunction with the Village Board Goal No. 5: Environmental Sustainability with the objective of Sustainability Fund: Create plan for the use of sustainability funds using metrics to determine highest impact and Environmental Commitment: Explore community solar and utility scale solar.
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Anticipated Future Actions/Commitments
Recommendation
Subject to the consensus of the Village Board, staff will develop an economic analysis of the Renewable Energy Project options for presentation to the Village Board as part of a Special Meeting as early as Tuesday, May 29, 2018.
Body
Report
On February 5, 2018 the EEC presented to the Village Board a decision matrix for any future renewable energy project considerations.
Staff has been working closely with our consultant Mark Pruitt, Principal of the Illinois Energy Choice Aggregation Network to develop the attached evaluation of Community-led Renewal Energy Development Options for review as a part of the Special Meeting.
As the Village Board is aware, the Village of Oak Park via authority granted in a 2011 Municipal Referendum, operates a Community Choice Electrical Aggregation (also known as Municipal Electrical Aggregation (MEA)) program which entails the Village of Oak Park entering into Electric Power Supply Contract, through a competitive bidding process, for the electricity supply for residential properties. In October of 2015, this program started to collect 0.3¢/kWh local fee to support renewable energy projects within the Village. The Village’s current electrical supply contract runs through September 2018.
It is also important to note as a part of this discussion that the Village purchases electricity via a supply contract for its revenue producing Village facilities and other public properties (water pumping stations, street lights and public parking garages). The Village also consumes electricity without charge, under the Franchise Agreement with Commonwealth Edison at certain government facilities including Village Hall, Fire Stations and portions of the Public Works Facility. The electric supply contracts for Village facilities run through February 2019.
The attached report includes substantive background information prior to recommending (see Table 5) that staff proceeds with a full economic analysis for four options:
a. Distributed Generation at Village Facilities:
Village engages private developer to install solar arrays on Village facilities to offset utility costs
b. Community Solar installation at Village Hall:
Village engages private developer to install solar array on Village Hall to which residents can subscribe through the Village Community Choice Electrical Aggregation (also known as Municipal Electrical Aggregation (MEA)) program
c. Community Solar Subscriptions for Village Facilities
Village engages private developers to secure community solar subscriptions for Village accounts
d. Credit Enhancement for local rooftop solar installations
Village uses Local Energy Project fund to provide credit enhancement to resident(s) seeking to install rooftop solar
Each option presents certain advantages which can be reviewed as a part of the meeting. In some of the options, the Village would use funds which have been collected via the 0.3¢/kWh local fee for project costs. The total funds collected through January 2018 are $807,854 and are estimated to be $1 million by August 1, 2018.
In addition, these options seek to optimize the leverage and use of available funds, limit the liability of the Village, and provide returns to the broadest population of Village residents.
Alternatives
The Village Board could take no action which would effectively revert all residential customers to ComEd and pursuant to State Law the Village Board would be able to revisit the Community Choice Electrical Aggregation program later this year.