Mayor Brian Arrigo has announced a 20-year agreement between the City of Revere and Hunt Road Solar, LLC, a division of Citizens Energy, that will save the City millions of dollars on its electric bills over the course of the contract. The City Council approved the Memorandum of Understanding in a unanimous vote on Monday night.
Under the agreement, Revere’s municipal buildings will receive roughly half of their electricity from a new, 6 mW solar plant being constructed in Amesbury. Revere will receive “net metering” credits that will allow the city to purchase this electricity at a 17% discount, with savings estimated at $241,681 in the first year and $5.3 million over 20 years.
“This is a great deal for taxpayers, as it allows the city to reduce a critical expense without impacting services,” said Mayor Arrigo. “Over 200 municipalities across Massachusetts have entered in to similar agreements to purchase local solar energy at a discount. This agreement is part of my overall goal of delivering the most cost-effective budget possible.”
“Not only is this great savings for taxpayers, it’s also 100% green energy,” added the Mayor. “This is one step in our commitment to make Revere a statewide leader in efficiency.”
Because Citizens Energy will build and operate the facility, there is no financial risk to the City. As a result of state legislation to promote renewables, producers of solar energy receive “net metering” credits equal to the amount of electricity contributed to the grid. Revere’s savings will represent 17% of the total net metering credit generated by Citizens Energy’s project.