The City of Medicine Hat has applied to purchase a solar farm project that could produce up to 325 megawatts in peak conditions. Julie Feinstein/Dreamstime.com

By Eli J. Ridder

Medicine Hat business wants in on city’s solar efforts, MHURA skeptical of farm buy

Aug 30, 2024 | 1:47 PM

Medicine Hat-based Terralta wants to get more involved with the city’s solar efforts as the municipality moves to diversify its power resources amid increased carbon levies and an expected energy transition.

Carter James, who works for Terralta’s sales and business development team, said Medicine Hat should keep local companies involved after the city applied to buy a major solar farm project earlier this week.

“They should definitely keep local contactors such as Terralta, at for a consulting role, but also when it comes to construction,” James told CHAT News.

“We’ve been doing this since 2007 and have the expertise building projects on this scale.”

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The city on Tuesday revealed its intent to purchase the Saamis Solar Park initiative that will bring a solar farm to 1,600 acres of largely defunct land in Medicine Hat’s north end.

READ: Medicine Hat seeks approval to buy major solar park project

As a taxpayer and solar power expert, James wants to make sure the city is fully prepared if it does get approved by the Alberta Utilities Commission to purchase the project from Ireland-based DP Energy.

“There are a lot of concerns or potential risks involved with large-scale solar that I that I hope they are looking at,” he said.

The solar panels require proper maintenance and there needs to be plans in place for the project’s end of life cycle, according to James.

Carter James, of Terralta, says he would like to get involved in the city’s solar projects. Bob Schnieder/CHAT News

But the city is making a smart investment, James insisted.

“I’ve made the investment myself on my own home so I get to see the immediate benefits on my own personal utility bill,” James said.

“I believe it also will benefit the city multiple ways having a more secure grid also reducing costs in terms of carbon credit offsets for the other operations that the city has to perform,” he added.

“Supplementing our our energy supply is never a bad thing…we should look at at every and all opportunities.”

Sounantha Boss, president of the Medicine Hat Utilities Ratepayer Association, is more skeptical.

“We don’t know the cost yet, why would the city go ahead and put in to get some approval from the AUC without even looking at the energy review?” she asked, referencing a third-party assessment that will aim to provide council with options for how to charge utility rates.

Sounantha Boss, president of the Medicine Hat Utilities Ratepayer Association, says the city is ‘jumping the gun’ with the solar farm project purchase. Eli J. Ridder/CHAT News

The price of the purchase will not be finalized until the AUC gives approval. The city is expecting an answer from the commission by the end of the year.

One of the benefits of the solar project, according to the city’s managing director of energy, land and environment Rochelle Pancoast, is the relief it could bring from increasing federal carbon levies.

Boss argued a probable change in government means national emissions targets will be extended or eliminated.

“There is a probable change of government, perhaps they will extend that timeline in the renewables project initiatives,” she told CHAT News, in reference to the federal Conservative Party’s huge lead in national polling ahead of next year’s election.

“It seems like we’re kind of jumping the gun a bit, and again, carbon tax levies could be totally put off by the new government.”

Medicine Hat has kept a close eye on changing regulations and market conditions in the energy space for years and has recently focused even more on a national shift to renewable resources.