San Juan Islander

News from San Juan County in Washington state - Including Orcas Island, Lopez Island, Shaw Island, San Juan Island

Rikki Swin: Concerned the total cost of Bailer Hill Microgrid is not public

I have concerns over the ongoing OPALCO solar panel array project on San Juan Island by Orcas Power & Light Cooperative (OPALCO). It is called the Bailer Hill Microgrid (also called the San Juan Island Community Solar or Hybrid Energy Storage System). This involves a 2.7–3.1 MW DC solar photovoltaic array with single-axis tracking on an approximately 18–19 acre site at Douglas and Bailer Hill Roads, paired with battery storage (around 1–2 MW / 2+ MWh, including vanadium flow batteries).

Projected Cost

Exact total costs are not publicly detailed in available sources, but similar OPALCO projects (like the earlier Decatur Island microgrid) involve multi-million-dollar investments. The project is partially funded through member subscriptions (community solar units that provide bill credits) and grants.

Funding and Government Involvement

Government monies are involved — primarily state-level grants from the Washington State Department of Commerce Clean Energy Fund (CEF). Sources indicate allocations such as:

    • $1 million for low- and moderate-income (LMI) solar benefits.
    • $2.4 million toward battery storage.
    • Additional portions directed to low-income energy assistance programs.
  • Potential additional funding from USDA Rural Energy for America Program (REAP) grants, Bonneville Environmental Foundation, and federal Inflation Reduction Act incentives (e.g., Investment Tax Credit direct pay, potentially up to $2.5 million).
  • The rest is covered by OPALCO (a member-owned nonprofit cooperative) through community solar subscriptions (members buy “units” and receive credits) and general operations. No full federal grants are explicitly mentioned beyond potential IRA benefits.

Justification and Studies

OPALCO justifies the project primarily for grid resiliency and local energy independence, not as the main power source (the islands get ~95–97% of power from mainland Bonneville Power Administration hydropower, which is mostly greenhouse-gas-free).

Key rationales from OPALCO documents and statements:

  • The islands rely on submarine cables vulnerable to mainland outages (e.g., storms, which have caused county-wide blackouts). Local microgrids with solar + batteries can “island” and power critical loads (e.g., Friday Harbor town circuit, Peace Island Medical Center, fire department, airport) during disruptions.
  • Reduces peak demand on cables, deferring expensive upgrades/replacements.
  • Lowers long-term costs by offsetting rising mainland power prices and providing local renewable generation amid projected Northwest supply shortfalls (e.g., potential rolling blackouts as hydro faces climate impacts and demand grows).
  • Supports decarbonization goals in a sensitive marine environment (though BPA power is already low-carbon).
  • Designed as “agri-solar” (sheep grazing under panels) to maintain agricultural use.
Why isn’t the projected cost information published? (Makes me a little suspicious)
 
Why do we need this multi million dollar expenditure to supply the town and hospital with power during an outage? What makes the town special? The Hospital has its own emergency backup generator. Why does a fire department need electricity to fight a fire? Our airport serves non critical functions for the most part and I know private pilots that say we can take off and land without airport power. So what’s the motivation? What’s the justification? And we already have greenhouse gas free (95-97%) from the mainland.
 
We could be building housing instead. 
 
Help me Rhonda!
 
rikki swin