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About The daily Astorian. (Astoria, Or.) 1961-current | View Entire Issue (Jan. 22, 2016)
3A THE DAILY ASTORIAN • FRIDAY, JANUARY 22, 2016 Group: Ratepayers shouldn’t pay for offshore wind project Power would be more expensive than onshore wind turbines By HILLARY BORRUD Capital Press SALEM — Oregon utility ratepayers should not be forced to subsidize an offshore wind pilot project near Coos Bay, according to a recent report by an advisory committee to Gov. Kate Brown. Power from the project, pro- posed by Seattle-based Prin- ciple Power, would be more than four times as expensive as electricity from onshore wind turbines in the Columbia Riv- er Gorge, according to the Jan. 15 report obtained by the EO Media Group/Pamplin Media Group Capital Bureau. The governor formed the :ind)loat Paci¿c Offshore Wind Advisory Committee in August to help Principle Power secure a long-term power pur- chase agreement with Oregon utility companies. The guaran- teed revenue stream would help the company to secure private ¿nancing. Principle Power also needs a commitment by May that Or- egon ratepayers will purchase the electricity from the 16- to 24-megawatt project, in order to qualify for the remaining $40 million in a grant from the U.S. Department of Energy. “(Committee) members indicated that the Northwest’s historically low-cost electricity would maNe it dif¿cult for any utility to engage in a (power purchase agreement) with an offshore wind resource, giv- en that utilities are generally required to procure the low- est-cost and lowest-risk re- sources on behalf of their cus- tomers,” the governor’s staff wrote in the report, which they described as a summary of the committee recommendations. Two meetings The advisory committee held just two meetings and the Governor’s Of¿ce origi- nally said the meetings would be closed to the public. In the end, the Governor’s Of¿ce al- lowed the public to attend the meetings but did not advertise their times or locations. Utility representatives said during the second meeting, in November, they did not want to purchase power from the project. Kevin Banister, Principle Power’s vice president of busi- ness development in the Amer- icas and Asia, said the compa- ny was still considering how to proceed following the commit- tee’s recommendation. “I think we need to take some time to digest what it all means,” Banister said. “But it certainly doesn’t make it easier for the project to move forward.” As for whether Principle Power might give up on build- ing a pilot project in Oregon, Banister said the company has not made any decision but has projects under development in other countries. “We’ve seen a lot of interest in the technology in other places in the United States, too,” Banister said. “It is something that we have to take into consideration.” After the committee’s ¿nal meeting, Oregon Wave Energy Trust executive director Jason Busch said the project seemed doomed by the skeptics Brown selected for the advisory com- mittee. “We brought the state an opportunity, a deal in Principle Power,” Busch said. “It’s pretty much in a neat little box with a bow on top.” The Oregon Wave Energy Trust is largely funded by the state. “The advisory group brought together by the Gov- ernor’s Of¿ce appeared to be made up of folks who weren’t particularly interested in this type of project,” Busch said, adding that utility representa- tives on the committee were there to make sure ratepayers didn’t pay for the project and “(state Sen. Betsy) Johnson was there to make sure the tax- payers didn’t pay it.” Fishing industry concerns A bill in the Legislature last year would have required Port- land General Electric and Pacif- ic Power to purchase electricity from WindFloat under 20- to 25-year agreements. The legis- lation died in the face of oppo- sition by the two companies, in- dustries that use large amounts of power, the ¿shing industry and the Citizens’ Utility Board. The ¿shing industry has raised concerns Principle Pow- er’s WindFloat pilot project would be located in important ¿shing territory, and Susan Chambers, deputy director of the West Coast Seafood Proces- sors Association, said the group was pleased by the advisory committee’s ¿nal report. “This is new territory for the seafood industry,” Chambers wrote in an email. “Do we like the concept of renewable ener- gy" Of course. Can we ¿nd a better way to share the ocean? I believe we can. It will take con- certed efforts by developers, ¿shermen and state and federal governments to accomplish a process that works for every- one, but we can do it.” The governor’s advisory committee was also supposed to recommend “further action, including potential legisla- tion,” according to the report. The ¿nal report contained no such recommendation, but a draft report suggested the state should “study the structure of a renewable energy aggregated purchasing model” that would spread the cost of energy pilot projects across several states. The draft report also sug- gested the state “study the transmission bene¿ts of elec- tricity generation on the Ore- gon Coast,” for example, if the area were cut off from other power sources following a ma- jor earthquake. Johnson’s worries Johnson, D-Scappoose, said the two recommendations did not reÀect the discussions by the committee, so it was inap- propriate for the governor’s staff to have included them. “We did not discuss those two recommendations, to the best of my recollection, ever,” John- son said. Johnson wasn’t the only committee member who no- ticed the discrepancy. Scott McMullen, chairman of the Oregon Fishermen’s Ca- ble Committee and a member of the governor’s advisory com- mittee, wrote in comments on the draft proposal: “I don’t think the advisory committee can make these suggestions since they were not discussed at the committee meeting. Regardless of their merits, inclusion in this report is not representative of the work of the committee.” Hillary Barbour, policy di- rector for the group Renewable Northwest and an advisory committee member, wrote in an email that the governor’s staff should stick with the recom- mendations in order to signal Oregon’s support for the project to the federal government. “While I appreciate Scott’s point that the two study related items for the governor to consid- er at the end were not speci¿cal- ly discussed by the committee, one point (Renewable North- west) raised in our written com- ments is that we would support additional federal investment to help make the project more af- fordable,” Barbour wrote. Brown’s energy policy ad- viser, Ruchi Sadhir, declined to comment on which committee members made those recom- mendations. Chris Pair, Brown’s press secretary, wrote in an email that “these were ideas that were brieÀy raised and discussed by some committee members. There was no single source.” According to Pair, the governor does not plan any further action to help Principle Power launch the pilot project. The Capital Bureau is a collaboration between EO Me- dia Group and Pamplin Media Group. Joshua Bessex/The Daily Astorian Corpac Construction, Inc., of Corvallis was chosen to rehabilitate Runway 13-31, cen- ter, at the Astoria Regional Airport. The company estimated $3.8 million to repave and repair drainage on the runway and could start construction by July. Port of Astoria signs off on runway repairs contract Commission also backs draft of new boatyard rates By EDWARD STRATTON The Daily Astorian The Port of Astoria Commission has voted to have staff award a contract for runway repairs at the Astoria Regional Airport in Warrenton to Corpac Construction, Inc., of Cor- vallis. The runway to receive the engineering overhaul runs northwest-southeast at the Warrenton airport. “The runway is still ser- viceable, but over time the failure of the drainage is going to cause a failure of the surface,” said Gary Ko- bes, the Port’s new airport manager. The Port secured $480,000 from the state Department of Transpor- tation’s Connect Oregon V infrastructure grant pro- gram, which it used as a local match to $4.5 million from the Federal Aviation Administration. Kobes said the Port has $5.14 million for airport projects, more than enough for the runway and some left over to plan for future endeavors. W A NTED Alder and Maple Saw Logs & Standing Timber N orth w es t H a rdw oods • Lon gview , W A Contact: Steve Axtell • 360-430-0885 or John Anderson • 360-269-2500 VOLUN T E E R PICK OF THE WEE K Tahini 8 year old female Tabby. Let the night wind rise The grey storm come, With Tahini on the hearth You are at home. Sponsored by Clatsop Animal Assistance CLATSOP COUNTY ANIMAL SHELTER 1315 SE 19th St., Warrenton • 861- PETS www.dogsncats.org ◊ Noon to 4pm, Tues-Sat :KDW·V)UHVK ◊ Oysters (Willapa Bay) Steamer Clams (Willapa Bay) Petrale Sole (Oregon Coast - Local) Pelican Brewing Company is coming to Cannon Beach and we want YOU on our TEAM! HIRIN G FAIR ½ PRICE MONDAYS Razor Clams (Seaside - Local) Dungeness Crab (Local) Salmon (Washington $ 5 DAILY SOUP & LUNCH SPECIALS MONDAY - FRIDAY • OPEN DAILY AT 11AM Feb 27th & March 12th 10:00am – 2:00pm 1371 SW Hemlock, Cannon Beach 97110 Fill out an application, interview with a manager, meet our Team Pelican! Assistant Kitchen Managers, Line Cooks, Dishwashers, Front of House Managers, Servers, Bartenders, Hosts, Bussers, Janitorial - or apply today: www.yourlittlebeachtown.com/employment Call Stephanie 503-965-7779 ext 307 1 BLOCK OFF BROADWAY • 1 BLOCK FROM BEACH 20 N. COLUMBIA, SEASIDE • 503-738-4331 NormasSeaside.com The Port is still waiting for approval on the project from the FAA, and still needs to negotiate the ¿nal contract with Corpac. Kobes said con- struction could start in June or July, adding the contractor has the discretion to ¿nd the driest work window to ¿nish construction in the required 70-day timeframe. Strategic planning Executive Director Jim Knight said he is trying to se- cure $150,000 from the U.S. Department of Commerce as a 50 percent match in creat- ing a strategic plan for the underutilized airport. He said the agency has the support of the Columbia-Paci¿c Eco- nomic Development District and Business Oregon. He said the Port, which is looking to update its strategic plan agency-wide, might be wise to tackle one property at a time, eventually bringing them together into a compre- hensive plan. In other business, the Port Commission on Tuesday ap- proved: • A draft resolution increas- ing boatyard rates, including a $140 fee to cover environ- mental cleanup. Operations Manager Scott McGrath said the boatyard’s rates have not increased substantially since the facility was opened in 2004 on Pier 3. McGrath said the new rates could in- crease the Port’s revenues by $84,000. • A $44,0000 work order for environmental engineer- ing ¿rm Maul Foster Alongi to design a stormwater treat- ment facility on Pier 3 that can accept and treat runoff from the entire central water- front. The Port was required by the state Department of Environmental Quality to have a treatment facility by June. The Port Commission last authorized $50,000 for design and permitting on the stormwater system in Sep- tember. • The auction of three sur- plus vehicles, including two Ford Econoline van-bus hy- brids and a 1973 Drott rough terrain hydraulic crane. ENTIRE STOCK 1 / 2 OFF Seaside • Cannon Beach