By HOLLY GASKILL
In preparation for possible solar development in Liberty and Chester townships, decommissioning and road use agreements have been met between the Wells County Commissioners and Paddlefish Solar LLC.
The Wells County Commissioners unanimously approved the documents on Monday. Representatives from the Paddlefish Solar — Jesse Laniak, Trena Roudebush and Mary Solada — joined the meeting through Zoom. Chad Kline, executive director of Economic Development, was also present.
The agreement documents essentially outline protections for the county regarding the set-up and eventual tear-down of the solar development. Laniak has stated they had leases signed with 12 landowners in Wells County, totaling roughly 3,000 acres, for the 40-year solar project.
The county has been in discussion with Paddlefish Solar, owned by EDF Renewables and Geenex Solar, for the majority of the year to reach these agreements.
“These agreements only add protection to Wells County — there is no risk,” Laniak summarized.
Within decommissioning, Paddlefish Solar has agreed to remove all equipment at the end of its function. Additionally, there will be a “restoration period,” where the company must “restore the land substantially to the same condition as prior to construction,” the document states. This period is required to be completed within two years.
To ensure this process is honored, Paddlefish Solar will submit a decommissioning security — in the form of either “cash held in escrow by the country treasurer or escrow company, a letter of credit, a bond, or guaranty by the company.” This amount will be determined by an agreed-upon engineer’s estimation of the decommissioning cost, with 10 percent contingency added. The value of salvaged materials will be deducted from the total.
This security amount will be returned to the company when it gives satisfactory plans for decommissioning. Should Paddlefish fail to remove the equipment, Wells County is given the right to salvage product components for their worth.
Due to the heavy machinery traveling on county roads, the parties also reached a road use agreement to cover repair costs. In it, Paddlefish Solar agreed to pay ranging from $35K to $275K per mile depending on the road’s repair cost. Additional funds will be allocated for any drainage and small structure damage.
The company will also provide security between $2-5 million for these costs.
Paddlefish Solar has provided a list of roads they may use for the project but has not solidified their specific plans. The road use agreement, Kline noted, was required before their submission of a development plan to the Area Plan Commission.
Commissioner Jeff Stringer then asked if there would be an opportunity to review the road list with emergency services prior to its finalization. “I think the intention was that, once the roads were identified they wanted to have some discussions,” Kline explained.
Before the project begins, all components will be assessed to establish the baseline for repairs and reparation.
Additionally, if a major event stopped energy production, Paddlefish Solar would have until the end of 12 months to restart operations before the threat of decommissioning. Documents state that at the end of that period, the company will be responsible for proving they would be “substantially operational” within another year. If the county finds this unsatisfactory, decommissioning must begin within six months. Major events, as outlined in the documents, are related to natural disasters, war, civil unrest, vandalism, strikes or labor issues, among other related items.
No one from the public commented on the matter.
“I think it covers all our questions and all of our risks,” Stringer concluded. However, Stringer again emphasized they would negotiate the roads used. “Communicated will be key,” Commissioner Blake Gerber added.
Last December, Paddlefish Solar was granted a 10-year total tax abatement by the Wells County Council for the project, with the promise of at least $8.5 million in economic development payments and a total investment of at least $250 million. They have since opened a Bluffton office located at 201 W. Market St. in Suite 3.
holly@news-banner.com