Tioga Energy, Inc. and SunDurance Energy have won a $22.3 million
contract to install solar panels on the roofs of 14 public school
buildings in five school districts and several county government
facilities in New Jersey.
The Morris County Improvement Authority awarded the contract to the development team to implement the county’s pilot Renewable Energy Program, which is projected to save its participants an estimated $2.3 million in energy costs over the next 15 years.
Tioga Energy, Inc. is based in San Mateo, Calif., with offices in New York. SunDurance Energy (www.sunduranceenergy.com) is headquartered in South Plainfield, N. J.
"Not only is this the first successful renewable energy public private partnership in the state, but it’s also the state’s first successful regional renewable energy program," said Freeholder William Chegwidden, liaison to the Authority. "The freeholders, the Improvement Authority commissioners, the school districts and our professional staffs worked extremely hard for more than a year on this project, which will result in environmental, financial and educational benefits to all of the participants."
The initiative is being financed by the Improvement Authority, with bonds guaranteed by the county and no debt service incurred by the local entities, making it financially feasible for the participating school districts, Chegwidden said.
The solar developer will design, install, operate and maintain the equipment, according to John Bonanni, Morris County administrator and Improvement Authority chairman.
"The Tioga team will be able to take the federal tax and state utility advantages that are available in the solar industry" Bonanni said. "The developer can then effectively pass on a portion of these benefits to the participating school districts and the county through the sale of solar energy to them at a fixed price, lower than the existing retail price for energy, for 15 years."
While the initial participants include some county government and Park Commission facilities and five school districts, Chegwidden said he expects more local governments will follow.
"This is a long term project," Chegwidden said. "We’ve had more than 40 municipalities and schools districts express interest in the program. Once we get the pilot off the ground, we’ll go back to them."
Earlier this month, Tioga energy completed a series B financing round of $20 million. Solar wafer manufacturer MEMC participated in the funding.
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