May 8, 2006

Barre to study "micro-hydro" power plants

David Delcore
Times Argus Staff

BARRE - The state has stepped up, a power company has pitched in and Mayor Peter Anthony says Barre is well on its way to finding out if the city's drinking water system could one day generate electricity. "It looks like we're going to get the answer to that question," said Anthony, who earlier this year brought the novel possibility of eventually generating revenue by generating electricity to the City Council.

Since then, Anthony said the state has partially funded the city's request for Vermont Community Development funds and Green Mountain Power Corp. has nearly matched that money, leaving the city a few thousand dollars short of its $40,000 target.

"I think it is fair to say we are now within range," said Anthony. The city is actively pursuing other funding sources and will likely "have to put some money on the table" to leverage the $16,700 state grant and the $15,000 GMP has pledged.

"It would be a shame to waste this opportunity," Anthony said.

The study will examine the most promising hydroelectric sites that the city either owns or controls. There is considerable allure for the city, because its annual electric bills for municipal and school-owned facilities total roughly $700,000.

One of the most intriguing of those so-called "micro-hydro" sites is the 30-inch water main that runs downhill from the Lower Orange Reservoir into the heart of the city. Officials are optimistic the study will show that placing a series of power generating turbines inside the pipe could take advantage of the 700-foot drop in elevation and the two million gallons of water the city uses each day.

David O'Brien, commissioner of the state Department of Public Service, applauded the study, and its potential for exploring new sources of power production.

"This is a classic example of Vermont ingenuity, harnessing the flow of water through water mains to generate electricity," O'Brien said.

"Like farm methane and landfill methane generation, we are looking for new, creative ways to generate electricity," he said. "While these sources will not become a dominant part of our power mix, they certainly can play a contributing role."

Although the state didn't fully fund the city's $30,000 community development grant application, officials did agree the feasibility study was worth pursuing and could have applications elsewhere in Vermont and New England.

Enter Green Mountain Power, the state's second largest utility.

GMP officials initially indicated they would provide $5,000 in matching funds for the feasibility study, but when the city's grant request wasn't fully funded the utility agreed to boost its contribution to $15,000.

"We are pleased that we can help … one of our largest customers with this exciting project," said Chris Dutton, president and chief executive officer for GMP.

Like O'Brien, Dutton said the Barre study could provide valuable information concerning low-impact "micro-hydro" generation and a candid assessment of the best method to finance their development.

"In light of the challenges we face in finding new generation to satisfy Vermont's future energy needs, it is important to find new and cost-effective ways to generate electricity," he said. "We are interested in learning from the Barre study whether there are other opportunities across Vermont to harness electricity from potential micro-hydro sites."

Anthony believes the interest demonstrated by both the state and GMP are an indication the city is on to something.

"There are enormous implications for energy policy and alternative low-impact hydro development," he said.

However, Anthony, who will be tested in his bid for re-election on Tuesday, said he is most interested in determining whether one or more "micro-hydro" projects are viable in Barre. Experts say it is possible for the city to either produce a good chunk of its own power, or to sell the electricity it generates to a regulated utility.

A third option, according to Anthony, would be to use the power the city generates as an economic development "recruitment tool" - offering low-cost electricity to businesses that come to Barre.

"If the captured energy is in the neighborhood we've been talking about that could be a possibility," he said.

In addition to exploring the potential for installing power generating turbines in the city's water main, the study will evaluate the power-generating potential of several reservoirs and ponds located outside the city limits and a dam on the Jail Branch of the Winooski River. It would also identify the appropriate systems, put a price tag on installation and operation of those systems, highlight any potential barriers, and suggest legislative and regulatory policies and financing incentives that could assist the city in pursuing a hydroelectric power project.

The study is expected to take six to eight months to complete, according to Anthony, who said the city is developing a request for proposals while it tries to line up the last of the financing - a step that is necessary in order to finalize its contract for the state grant. He said he hoped that work would be done by the end of June.

Copyright, 2006, The Times Argus