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Housing authorities gain credits from solar farms

Cranston Herald · last updated

By BARBARA POLICHETTI Beacon Media Staff Writer

Energy from the sun collected at three solar farms in the state will translate to savings in energy costs for nine public housing authorities – including those in Cranston and Warwick.

Last week, officials celebrated the opening of a new solar farm in Exeter, the last of three such installations that will generate energy credits for the housing authorities in Providence, North Providence, Newport, Cranston, Smithfield, Warwick, Warren, Bristol and Lincoln.

The solar farms, located mostly in Smithfield and Exeter, were built by Veolia and Nautilus Solar Energy under an agreement that allocates the energy credits to a consortium of nine housing authorities. The housing authorities that collaborated on the project are all members of Public Housing Association of Rhode Island (PHARI).

The practice of obtaining energy credits from another party is called “virtual net metering” and is being used as a cost-saving measure by Rhode Island cities and towns and a variety of public entities. According to a joint press release from Veolia and Nautilus, this is the first time that a consortium of housing authorities has worked together on such a project.

And Robert Coupe, co-president of PHARI and executive director of the Cranston Housing Authority, says the bottom line is savings.

“Every housing authority in Rhode Island is working to provide the highest quality affordable housing possible with limited budgets,” Coupe said in the press release. “Our partnership with Veolia and Nautilus dramatically reduces utility costs, freeing up valuable resources to invest in property maintenance, facility improvements and operational support. By supporting the growth of renewable energy projects, we are improving the quality of life for future generations while enhancing our ability to serve current residents.”

In an interview, Coupe said the nine housing authorities worked together on the project after getting initial information from an energy consultant.

He said energy costs are among the largest expenses for housing authorities, which have to maintain large public housing complexes. In Cranston alone, the solar net metering project will mean a savings of at least $160,000 in next year’s energy bills, Coupe said.

Typically, Coupe said, the Cranston Housing Authority spends about $500,000 a year on electricity for the six housing complexes it maintains.

Net metering projects can be difficult to understand, Coupe said, so another advantage of the nine housing authorities working together is that they had the resources to do the necessary research.  The state first passed a law establishing net metering in 2011, and some changes made since then have broadened the types of entities that can use the model.

The nine housing authorities’ agreement with Veolia and Nautilus is for at least 20 years, Coupe said, and provides some fiscal predictability. The housing authorities rely heavily on federal funding, and the money they receive each year can vary greatly over time. He said the net metering credits provide some stability in energy costs.

In its press release, Veolia said it is important to both Veolia and Nautilus to be involved a project that helps housing authorities with energy costs. Karin Hamel, president and chief executive officer of Veolia’s Sustainable Industries and Buildings business, said in the press release that Veolia is “is proud to contribute to this transformative solar installation, which not only harnesses the power of renewable energy but also directly supports the well-being of thousands of low-income families in Rhode Island. This project aligns with Veolia’s “GreenUp” strategy.

“Producing local, low-carbon energy is a critical growth booster for accelerating ecological transformation,” she said in the release. “This project is a perfect example of how green energy can be used for good.”

“This project is a tremendous step forward for Cranston and the state of Rhode Island,” said Cranston Mayor Kenneth Hopkins. “The financial credits generated will alleviate costs … and help reduce operating budgets for housing authorities in a region with high energy expenses, allowing us to redirect resources to other essential services.”