Borrego Solar Systems is proposing to lease the landfill from the town for 20 years.
LUDLOW - The Board of Selectmen agreed on Tuesday to negotiate a contract with Borrego Solar Systems of Lowell for solar installation panels which will cover 14 acres of the closed town landfill on Holyoke Street.
Borrego Solar Systems is proposing to lease the landfill from the town for 20 years for the installation of solar panels for the production of electricity which would be sold to Western Massachusetts Electric Co.
James P.”Chip” Harrington, the chair of the town’s Energy Committee, told the Board of Selectmen that if electricity costs the town 9 cents per killowatt hour, if the solar operation is built, the town could purchase electricity for municipal use from Borrego Solar Systems for 5.5 cents per killowatt hour.
“We are projecting a municipal electricity savings of $80,000 to $150,000 per year,” Harrington said.
He added, “That would be a significant cost savings to the town.”
Harrington said that voters at the Oct. 3 special Town Meeting will be asked to vote to give the Board of Selectmen the authority to enter into the 20-year lease agreement with Borrego Solar Systems.
Harrington said he believes an agreement can be negotiated in 30 to 40 days.
After that, permitting by the state could take approximately six months, and there will be a six month construction timetable, Harrington said.
Harrington said Borrego will build and maintain the solar system.
Jared Connell, senior project developer for Borrego Solar Systems, said the project also will come with an educational component including a solar energy curriculum which can be provided for the Ludlow public schools.
Selectmen said they will appoint a committee to negotiate a contract with Borrego Solar Systems. The committee will include representatives from the Board of Selectmen, the Energy Committee and the Board of Public Works.
Authorization to enter into a contract between the Board of Selectmen and Borrego Solar Systems is subject to approval by voters at the special Town Meeting, Harrington said.