(Editor's note: This story has been updated to correct inaccurate information about SaskPower's solar projects. There were no delays with the projects as first reported).
It could be early 2020 before SaskPower tells MackSun Solar Corporation whether it is the lucky recipient to construct a solar project near Moose Jaw.
The corporation intends to build a 10-megawatt pilot solar farm on roughly 130 acres of municipal-owned land, which would include a Saskatchewan Polytechnic Moose Jaw Campus research and education centre.
This is the second solar project that SaskPower has initiatied since 2016. While MackSun Solar submitted an application for Saskatchewan's first utility-scale solar power project, the Crown corporation awarded the project to Saturn Power.
SaskPower is now moving forward with the request for proposal phase for its second 10-megawatt solar project. MackSun Solar had to submit a new application and go through the same process again.
The solar company will learn if it is the successful candidate for this project by the first quarter of 2020.
The commercial operation start date would then be Dec. 1, 2021.
Project background
As part of the project, MackSun Solar is proposing to purchase 10 eight-by-20 sea cans for $35,000 to $40,000, while paying $1,451 per acre for 140 acres, for between $238,140 and $243,140.
MackSun Solar has met its submission requirements but required city council to approve a further request to extend its conditional sales agreement closing date so it can proceed.
Tim Mack, president/CEO of MackSun Solar Corporation, was back before council during its May 27 regular meeting for a fourth time asking for another extension on the agreement.
Council voted 6-1 on a motion to extend the closing date of the agreement to Dec. 31, 2020, with the corporation providing a 10-per-cent non-refundable deposit of $9,660.
Coun. Brian Swanson was opposed.
Council discussion
“This an incredible project. I’m really happy you have such great perseverance to hang in there with this,” said Coun. Chris Warren. “This will be a wonderful project for our city.”
This process does take time, Mack acknowledged. SaskPower has to look at the company’s interconnected capabilities. This means the corporation has to go into the process as if it’s the first time again. It also has to continue paying proposal fees until it wins and is selected.
“We still believe Moose Jaw still the best site for solar development in the province, if not beyond our borders,” he added. “We still believe we can make it happen.”
Although Swanson commended Mack for his tenacity, he was opposed to supporting the request since this was the fourth time it had come to council. Furthermore, while SaskPower and MackSun Solar are expected to make money from this endeavour, the municipality likely will not.
Swanson pointed out the 130 acres has been assessed at roughly $233,000, which means the municipality would receive $3,300 per year if the commercial tax rate is applied.
“In terms of finances for the city, I believe there are better options,” he said, adding a project like this is better off in rural areas versus inside municipal boundaries. “I just don’t think the economics are there for that project versus what we could be doing with that land.”
This project isn’t strictly about money, said Warren. There is a major opportunity here to work with SaskPoly for a research and education centre focused on solar energy. Such renewable and sustainable energy is what will power the future. There is also the opportunity to bring in more sustainable energy partners who will create jobs and economic spinoff.
This land is also limited in its use since it is a flood zone, Warren added.
The next regular council meeting is Monday, June 10.
