CENTREVILLE — Queen Anne’s County Commissioners have approved an agreement that will be used to generate solar credits to be applied to reduce county electrical energy costs.
Paul Spencer, a representative on behalf of Ameresco Solar, originally presented the proposal to the commissioners May 28, offering an opportunity to enroll in a Credit Purchase Agreement under the State of Maryland’s Aggregate Net Metering program (ANEM), into a solar array Ameresco is aiming to construct in Cecil County.
The power from the array will be applied to 68 county accounts and will generate a l0% savings in anything sold on a kilowatt-hour basis, Spencer said. The proposal is estimated to save the County $35,000 to $40,000 per year.
The project will be built in Cecil County and not Queen Anne’s County, acknowledged Commissioner Patrick McLaughlin, “We’re just tapping into it,” he said.
Following commissioner consensus, Alan Quimby, director of Public Works returned June 25 to the commissioners with agreement documentation.
The facility will be managed by Ameresco Solar, a prominent community solar developer in the country, and all energy will be produced off site at the Elkton facility at no cost to the county to build or maintain, Spencer said in his May 28 presentation.
The program provides credits based on energy produced, which then provides a discount to the supply, according to Spencer.
The ANEM program is specifically designed for municipalities, nonprofits and agricultural organizations, he said. This proposal will allow QAC to participate in 2.8 megawatts of local solar at no cost to the county.
The proposed initiative will provide clean energy to 68 of the county’s energy accounts, potentially saving the county about $35,000 per year.
The proposed 10 percent discount would apply to any power provider the county utilizes and discount is fixed for the term of the 25 year agreement, regardless of where the supply and delivery rates may go, Spencer said.
Power generated by the array will be delivered to Delmarva Power on the County’s behalf.
The array is expected to come online this time next year, Spencer said.
Queen Anne’s County entered into a similar arrangement with Nexamp, also in Cecil County, in late 2020, but has yet to yield any electricity savings due to difficulties in array construction, according to Quimby.
Ameresco has proposed to utilize the remaining electric accounts not already committed to Nexamp.
Similar to the agreement of what Nexamp proffered, Ameresco will provide energy supply and delivery at a cost of 90 percent of what the county is currently being charged.
Queen Anne’s County currently buys power through ESMEC of Washington Gas Energy Services at a reduced rate than what would be paid to Delmarva Power.
Noting the county spent $1.9 million on electric power last fiscal year, “It’s an expense, is not going to go away, it’s only going to increase,” Quimby said.
According to the agreement, to fully consummate the deal a licensing agreement and sublease agreement will need to be executed in the future.
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