Scenic Hill Solar of North Little Rock, ending 2019 on a downhill sprint, announced two new solar projects on Friday, a 4.8-megawatt system for Central Arkansas Water and a 1-megawatt array for the Centerpoint School District near Amity (Clark County).
It was the second job announcement in two days by Scenic Hill, led by former Arkansas Lt. Gov. Bill Halter, who on Thursday hailed a similar money-saving project for the municipal government of Forrest City.
The water company’s board voted to approve the project Friday, revealing plans to put a 12,300-panel array on 30 acres off U.S. 67/167 near Cabot. The plant, subject to approval by the Arkansas Public Service Commission, is expected to be completed late next year.
“We are excited about this partnership with Scenic Hill Solar to utilize renewable energy to power CAW operations,” CAW CEO Tad Bohannon said in a statement. “Use of solar power is just one of the many ways CAW continues to be an industry leader.”
CAW uses a substantial amount of electricity, mainly to pump water from Lake Maumelle to the Jack Wilson Water Treatment Plant. The water utility estimates it will save more than $7 million in energy costs over 30 years buying reduced-rate power from Scenic Hill, which will operate the array.
“This is just another way we are securing our supply of safe, dependable water for our customers for years to come,” Bohannon said, adding that the savings will be used to address infrastructure needs.
CAW is the owner of the property and will lease it to Scenic Hill Solar for construction and operation of the plant. Scenic Hill Solar will sell power generated at the plant to CAW at 5.1 cents per kilowatt hour. The contract between Scenic Hill Solar and CAW includes an initial 20-year agreement, followed by two five-year options to extend.
“Central Arkansas Water provides one of our most important resources, and we are proud to work with them to provide a renewable energy solution that not only benefits our environment but also provides cost reductions for CAW customers who depend on them every day,” Halter said.
The plant will produce more than 8,240,000 kWh of electricity in the first year of operation, enough clean electricity to satisfy approximately 20 percent of CAW’s current energy expenses.
In the school project, Centerpoint officials expect the ground-mounted, fixed-tilt array to save it $40,000 a year, supplying 100 percent renewable energy. The deal will let Centerpoint buy reduced-rate power from the plant without any upfront investment of district funds, officials said.
Schools Superintendent Dan Breshears said the system had been investigating solar opportunities since the Arkansas General Assembly passed the Solar Access Act early this year.
“Scenic Hill Solar demonstrated the greatest ability to meet our needs and deliver savings,” he said in a statement. Solar development, he said, “both provides a model of responsible citizenship for our students and allows us to focus resources on the educational needs of Centerpoint students.”
Halter said the 1,000-student district’s “dual commitment to fiscal responsibility and sustainability” is cause for pride and “a big reason for parents to look to the Centerpoint School District as a place for children to thrive.” He said students will get to meet Scenic Hill team members “who have made careers from their STEM educations,” he said, referring to science, technology, engineering and math.
Construction of the 2,500-solar-panel array is expected to begin soon and should be completed by late next year, Scenic Hill said.
The project is slated for completion and generation of solar electricity in late 2020. The school district covers parts of four counties: Pike, Garland, Hot Spring and Clark.