Phoenix is planning to invite bids from private firms in May 2009 to construct the solar plant, media reported. The proposed project would be build on around 1,200 acres at the city's only active landfill, just off Arizona 85 between the towns of Buckeye and Gila Bend. Phoenix would lease the land for free; although it predicts around $1 billion in private investment would be needed. The plant would be placed on an empty parcel reserved for future landfill use and has around a 20-year lifespan.
The economy, commerce and sustainability subcommittee is projected to recommend the project to the full council, which has planned a vote in May 2009.
Once granted, the city would start accepting proposals. City officials said the winning bidder would design and develop the project. The winning bidder would own the plant, though Phoenix is expecting to sign an agreement to share revenue from energy production. The partnership could facilitate the city to be a part owner of the plant or the renewable-energy credits that will be sold to a utility provider like Arizona Public Service Co.
Solar companies are still waiting to see what specific conditions are outlined in the city’s request for proposal. But they back efforts to grow Arizona’s solar industry, which has lagged behind those of neighboring California and New Mexico.
The plant could be powered by solar panels or solar-thermal collectors. And given the location’s proximity to the city dump and a gas pipeline that passes through the property, landfill gas could also be included.
There are lots of opportunities for developers to be creative in developing a project down there, said Acting Public Works Director Carolyn Bristo, who is overseeing the project. They have a lot of versatility in how they use the assets on that property.
Depending on the technology used, the plant could produce between 150 to 200 megawatts of energy, sufficient to power around 50,000 homes at once.
By comparison, the Solana Generating Station, the 280-megawatt solar-thermal plant intended in the Arizona 85 corridor, would generate enough energy to serve 70,000 households, while Arizona State University’s five solar-panel installations at ASU in Tempe have the capability to power less than 500 homes.
The landfill plant is projected to help Phoenix achieve two of its overarching environmental goals comprising of getting 15%of its electricity from renewable sources by 2025 and decrease the city’s greenhouse-gas emissions to below 2005 levels by 2015.
Mayor Phil Gordon unveiled the solar-plant proposal last month during his State of the City address, during which he laid out an ambitious strategy to make sun-soaked Phoenix a solar-energy hub and America’s Greenest City.
In the middle of what has always been known as the Valley of the Sun, Gordon told a roomful of business and civic leaders. Phoenix will become the City of the Sun.
The city plans to ask the U.S. Energy Department for $90 million from the economic-stimulus plan to cover the cost of connecting the plant to the region’s power grid.
We are glad the city of Phoenix has taken the initiative to push this forward, said Brian Rasmussen, who is leading development efforts in Arizona and New Mexico for BrightSource Energy Inc. We see this as a very positive move for Arizona. We think there are a lot of opportunities out there that this can be a model for.”