Ownership to Avoid Risks Associated with Predicted Long-Term Electric Rates
The City of England announced a partnership with Little Rock-based Delta Solar to use non-developable land to construct solar arrays for commercial, industrial, and agricultural customers across the state. The first phase of the project will take up 12 acres just off Arkansas Highway 165 and will be capable of housing over 2MW of solar systems. Delta Solar will provide the City of England with a solar array that will supply enough electricity to power the Courthouse and Parks System in exchange for the use of the land.
“Solar provides long term benefits for the City,” said England Mayor Butch House. “When looking at how others are approaching solar it became obvious that we wanted to own our system and not rely on projected increases in electric rates.”
“The best solar panels are the ones you own,” said Delta Solar chairman Bob East. “Every day, we strive to create long-term value for our customers through innovation. While Power Purchase Agreements are certainly appealing, long-term savings are largely dependent on projected changes in future electric rates. The City of England, unlike others, does not have to worry about those changes because they own the system outright.”
Phase 1 of this partnership provides long-term value to the city, saving more than $174,000 over the project’s expected 30-year life. Although Delta Solar will build and maintain the system, the City of England will own it entirely. This ensures that all energy savings are received directly by the city.