Granite Falls jumps at sweet wind power deal

By Scott Tedrick, Editor
Posted Feb 08, 2010 @ 09:28 AM
Last update Feb 08, 2010 @ 03:33 PM
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Granite Falls City Council members moved quickly in order to snatch up a favorable wind-based Power Purchasing Agreement (PPA) that will assist the City in meeting the state’s renewable energy standards through 2032.
Minnesota’s Next Generation Act mandates that 25 percent of the state’s energy come from renewable sources by the year 2025, and entails a series of subsequent benchmarks thereafter.
The motion to accept the PPA occurred during Monday’s regularly scheduled council meeting, and came as a result of a recommendation by the Central Minnesota Municipal Power Purchasing Agency (CMMPA) of which Granite Falls is a member.
The CMMPA is a coalition of 12 municipal utilities who purchase energy as a collective in order to obtain economies of scale.
According to City Manager Bill Lavin, the council did not receive a letter informing them of the opportunity until late Friday, which did not allow the City representatives much time to consider the overture.  Nevertheless, the letter from CMMPA Director of Operations  Steve Thompson, which stated that the proposal has been the “strongest” received by the agency to date and that there is “reason to believe that this offer will not last long,” was enough to persuade the council to agree to a contract contingent on no additional cost being incurred.

Terms agreement
Mayor Dave Smiglewski said that despite the purchase of the wind generated energy the City will continue to seek opportunities to build its own wind tower(s)  that would assist in providing for a portion of the City’s approximate 7 MW electrical load.
The flow to Granite Falls would be generated by a 71 turbine, 149 MW wind farm currently operating out of Rugby, North Dakota. The $300 million farm was recently purchased by Iberdrola Renewables Inc., the largest wind provider in the world.
In the United States, Iberdrola is headquartered out of Portland, OR, but worldwide is stationed out of Bilbao, Spain. According to the CMMPA letter, the energy provider owns more 10,000 MWs of wind power in 23 countries.

Other news:

Prentice St. study
Council members approved an estimated $37,500 engineering study that will begin exploring options for protecting the homes located along river side Prentice Street between the site of the old City Hall to fourth street.
Engineering company, Rodeberg & Berryman, Inc. were commissioned to do the study, which includes gathering data, topographic mapping, cost estimates and other items. It is expected that the study will be completed in late spring of this year.


Granite Falls City Council members moved quickly in order to snatch up a favorable wind-based Power Purchasing Agreement (PPA) that will assist the City in meeting the state’s renewable energy standards through 2032.
Minnesota’s Next Generation Act mandates that 25 percent of the state’s energy come from renewable sources by the year 2025, and entails a series of subsequent benchmarks thereafter.
The motion to accept the PPA occurred during Monday’s regularly scheduled council meeting, and came as a result of a recommendation by the Central Minnesota Municipal Power Purchasing Agency (CMMPA) of which Granite Falls is a member.
The CMMPA is a coalition of 12 municipal utilities who purchase energy as a collective in order to obtain economies of scale.
According to City Manager Bill Lavin, the council did not receive a letter informing them of the opportunity until late Friday, which did not allow the City representatives much time to consider the overture.  Nevertheless, the letter from CMMPA Director of Operations  Steve Thompson, which stated that the proposal has been the “strongest” received by the agency to date and that there is “reason to believe that this offer will not last long,” was enough to persuade the council to agree to a contract contingent on no additional cost being incurred.

Terms agreement
Mayor Dave Smiglewski said that despite the purchase of the wind generated energy the City will continue to seek opportunities to build its own wind tower(s)  that would assist in providing for a portion of the City’s approximate 7 MW electrical load.
The flow to Granite Falls would be generated by a 71 turbine, 149 MW wind farm currently operating out of Rugby, North Dakota. The $300 million farm was recently purchased by Iberdrola Renewables Inc., the largest wind provider in the world.
In the United States, Iberdrola is headquartered out of Portland, OR, but worldwide is stationed out of Bilbao, Spain. According to the CMMPA letter, the energy provider owns more 10,000 MWs of wind power in 23 countries.

Other news:

Prentice St. study
Council members approved an estimated $37,500 engineering study that will begin exploring options for protecting the homes located along river side Prentice Street between the site of the old City Hall to fourth street.
Engineering company, Rodeberg & Berryman, Inc. were commissioned to do the study, which includes gathering data, topographic mapping, cost estimates and other items. It is expected that the study will be completed in late spring of this year.

CMMPA renewal
Council members agreed to renew the City’s membership with the CMMPA. Granite Falls has been a part of the cooperative, which assists the City in making power purchasing decisions, since August of 2001. Lavin said the partnership has gone “very well” in the past. The new contract will run five years.

Line clearing
At the recommendation of City Electrical Superintendent Don Reznechek, council members approved steps that will remove trees out of the path of City electrical equipment.
In a letter to the City, Reznechek said that “trees have grown well into the secondary and primary” lines of the system and this “will have an effect on the reliability of the system in the upcoming storm season” if not addressed.
Council members moved to issue bids for the project and do have money set aside in the budget for this work.
The last time that such a line clearing project was undertaken occurred in 2005 when Jacobson tree Service was contracted to perform the service at a cost to City of $40,896.
Other tree businesses, including the Minnesota Valley Tree Service and Carr’s Tree Service, have also expressed interest in providing bids.
The winning bid is expected to be announced at the February 18 meeting.

Line break
The amount of water spilling from a waterline leak at the home of John Pederson will require that underground pipes be repaired now as opposed to the spring.
Due to frost, the estimated cost to repair the line is expected to run between $5,000 and $6,000. Council members agreed to apply a special assessment on the property that will apply the cost of repairing the leak to Pederson’s property over a three year period at a rate of 4 percent.

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