Local Geothermal Efforts Get $Millions of Stimulus Funds

Feds give $30 million for Newberry geothermal work
From KTVZ.COM news sources – Oct 29, 2009 03:00 PM PDT

New form of geothermal energy system could spring to life at Newberry Volcanic Monument

Continuing efforts to advance alternative energy resources and break our dependence on foreign oil and fossil fuels, U.S. Senators Ron Wyden (D-Ore.) and Jeff Merkley (D-Ore.) announced nearly $40 million in Recovery Act funding for the exploration and development of geothermal energy technologies in Oregon.

“This funding will literally help to bring Oregon’s geothermal energy potential to the surface,” Wyden said. “It will create and sustain jobs improving alternative energy technology to better tap into Oregon’s unique set of renewable energy resources.”

“The Recovery Act continues to spur growth in the emerging clean energy industry,” Merkley said.  “These projects will create new jobs and solidify Oregon’s position as a leader in renewable energy production.”

Distributed by the U.S. Department of Energy, the American Recovery and Reinvestment Act funding will support and create seven Oregon-based geothermal projects.

The funding dramatically increases geothermal energy development both in Oregon and nationwide and is a large step toward comprehensive utilization of alternative energy resources throughout the state.

Locally Produced Hydro Power vs. “In-Stream Flows”

The following article describes a classic trade-off situation .  The positive efforts to produce electricity locally (Distributed Generation) via hydro could have serious and long-term negative impacts on availablity of water for a healthly fish population as well as creating water challenges as the Central Oregon population continues to grow.

And, as the article points out, there’s the additional concern that serious self-serving, “good-old-boy”, behind-closed-doors negotiations have been happening and that there’s a specific effort to withhold full disclosure from the public.

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Flushed Away: City hydro project could be a drain on Tumalo Creek
Eric Flowers – the Source Weekly – October 28, 2009

You wouldn’t guess it from the rain soaked streets this week or the water gushing down Tumalo Creek, but there are signs aplenty that the upper Deschutes basin is running out of water to meet the demand of farms, cities and fish – all of which have legal, as well as historical and biological, cases for getting their share of water, especially during the parched summer months.

Recent data indicates that well owners are drilling deeper to hit groundwater, hinting that population growth and other high-intensity uses like golf courses may be negatively impacting the aquifer – something that just a few years ago experts said wasn’t likely to happen under the current rules. Meanwhile, pending applications for new groundwater withdrawals are approaching the ceiling the legislature set up when it crafted a series of special rules to stave off a potential development moratorium.

In the case of Bend, conservation campaigns have done little to curb residents’ thirst. The city still ranks significantly higher than similarly sized cities in the valley for per capita water use. And the city council recently spiked a proposal to address the problem with a tiered-rate structure that would have charged big-time water users more than conservation-minded residents. Still, the city has prided itself on being a leader on the basin’s water issues, working collaboratively with groups like the Upper Deschutes Watershed Council, the Deschutes Resource Conservancy (DRC) and the local irrigation districts on river restoration efforts designed to restore habitat and pump up traditionally meager summer flows on the Deschutes River and its tributaries.

That’s why the city’s latest water initiative has left some environmental advocates puzzled. Buried inside Bend’s massive surface water treatment plan, which emerged last month, is an initiative that could more than double the city’s withdrawal from Bridge Creek, potentially wiping out some of the summer and winter flows downstream in Tumalo Creek, a major tributary to the middle Deschutes that has already had millions of dollars invested in restoration efforts to offset the effects of erosion and excessive water withdrawals.

The city has yet to release the exact details of its diversion plan, though a feasibility report was due out last month. One of the major elements of the plan, however, is already raising a cautionary flag with some observers. Specifically, the city is proposing to add a small hydropower project to its water supply when it replaces a pipeline that funnels a sizeable chunk of the city’s drinking water from Bridge Creek to the Outback storage facility. The city estimates that by pushing drinking water through a turbine system before funneling it into the storage tanks, it could generate $1.8 million worth of electricity.

The only problem: nobody, except maybe the city, knows just how much surface water – one of the basin’s most scarce and precious resources – the city would have to divert to meet those estimates. And right now the city isn’t talking. According to the Department of Water Resources, Bend holds certificates for about 36 cubic feet per second (cfs) of surface water in Bridge Creek, or about 16,000 gallons per minute. However, the city diverts only about 14 cfs of that on any given day. The rest of the water is set aside for irrigation and “in-stream” flows – the water that is left in the river for fish and all other manner of life that depend on the river for sustenance.

Advanced Energy Systems Coming to Bend

Apparently the solar systems installation industry of Central Oregon will get another competitor: Advanced Energy Systems.  The physical location is currently unknown but the Bend phone number is listed on the company’s website as 541-520-5590.

The above image is from an advertisement in the October 21, 2009 Cascade Business News and the following announcement was in the September Economic Development for Central Oregon Newsletter:

New Member: Advanced Energy Systems – Bronze
With a new office in Bend, AES Advanced Energy Systems has expanded from the west side of the Cascades. With 25 years of hands-on involvement in the renewable energy industry, Advanced Energy Systems is dedicated to providing the best experience possible for the business owner with the acquisition and operation of a renewable energy system. Advanced Energy Systems specializes in the design of commercial solar electric systems and commercial solar water heating systems.

Juniper Ridge Hydro Project Begins

‘Boom’ begins Juniper Ridge hydro, canal piping project
KTVZ.com news sources – October 12, 2009

A thunderous roar from a small explosive charge marked the official start of construction Monday on the $26 million Juniper Ridge Project, an unprecedented project that will return water supplies to the Deschutes River and generate carbon-free energy.

U.S. Congressman Greg Walden, along with state officials, representatives from the Central Oregon Irrigation District, Deschutes County, the Deschutes River Conservancy and Portland General Electric Company attended the groundbreaking ceremony five miles north of Bend along Highway 97.

Immediately following the ceremony, construction crews began replacing 2.5 miles of open irrigation canal, owned and operated by Central Oregon Irrigation District (COID), with underground steel pipe and an innovative, small hydropower system.

By conserving water supplies previously lost through the porous canal, the Juniper Ridge Project will benefit Deschutes River salmon and reintroduced steelhead.

Approximately 20 cubic-feet per second of water presently diverted from the Deschutes River for irrigation purposes by COID will be permanently returned to the river, increasing instream river flows for fish and wildlife species.

Once the new pipe is in place, a small hydropower unit will be installed in the summer of 2010. This state-of-the-art unit will generate up to 3.37 megawatts of clean, renewable electricity annually, or enough power for roughly 2,000 homes.

$20 Million Spent on Empty Geothermal Wells

Empty Wells Drilled as Part of Newberry Geothermal Project Cost $20 million
Daniel Pearson – Cascade Business News – October 6, 2009

After spending about $20 million to drill two exploratory holes looking for geothermal sources of energy west of Paulina Lake outside of the Newberry National Volcanic Monument, officials with Davenport Power say their efforts were a bust and that the company is back at the drawing board before beginning a new round of exploration.

Davenport Power President Doug Perry said the project resulted in the company locating plenty of heat but it didn’t find a way to mine the heat and get it to a power plant to operate a turbine.

“We have a number of acres up there where we’ve drilled exploratory wells,” Perry said “It’s expensive but there is a lot of energy up there. Our plans are now two-fold. The next steps in the exploration process we are preparing for are the completion of geophysical surveys as well as drilling temperature gradient holes. We’ve applied with the Bureau of Land Management to expand the area of operations.”

Deschutes County Considers Allowing Taller Wind Turbines

Deschutes County May Let More Wind Power Bloom
Keisha Burns – KTVZ.COM – October 7, 2009

Another issue discussed, which has hit a roadblock before, was whether to allow taller wind-energy turbines in the area. Current county restrictions prevent structures over 30 feet in most zoning districts, but that could change as soon as next year.

Planning Director Nick Lelack said many residents are for the idea, but adding wind turbines has its pros and cons.

“Generally we hear that people support them,” he said. “The key issue is when they are proposed on their neighbor’s property, and maybe between the neighbor’s property and view of the mountains, something of that nature.”

Luke said they won’t move forward with an ordinance until they hear from the public about any concerns, starting the public process with the county planning commission.

“That’s the process that I would favor, so the citizens would have the opportunity to comment on it,” he said.

After a proposal is drafted and debated before planning commissioners, commissioners will take up the issue again, to see if the public favors the idea, before moving forward.

The wind-power issues could be part of the ongoing update of the county’s overall land use plan – the first total rewrite in some 30 years – or it could be handled separately, Luke said.

Steam Proves Elusive at Newberry Geothermal Project

While sucess at Newberry geothermal project would be a major positive step forward for distributed generation of renewable energy for Central Oregon the financial costs already incurred and the potential enviromental risks are concerns that should be constantly evaluated.

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The drill at Newberry
By Kate Ramsayer – The Bulletin – September 28, 2009

Last year, Davenport Power drilled two exploratory wells 10,000 feet below the flanks of Newberry Volcano searching for hot rocks and water but found nothing but heat.

Now the company, which hopes to tap into geothermal power in the Deschutes National Forest south of Bend, is making plans to use a suite of other less-intensive methods to further map the underground rocks and temperatures in the area to find other potential drill sites.

When crews bored two wells just to the west of Paulina Lake, outside of the Newberry National Volcanic Monument last year, instruments measured plenty of heat but not enough water or steam to turn turbines and generate power, said Doug Perry, president of Davenport Power.

The company hopes eventually to drill production wells that could fuel a power plant capable of providing electricity to about 100,000 homes.

CEC Current Winner vs. Cyrus Family Over Transmission Line

CEC wins round in fight over transmission line
By Jim Cornelius – NuggetNews.com – September 22, 2009

Central Electric Cooperative (CEC) won a round in an ongoing battle with the Cyrus family of Sisters, and others, over the Jordan Road transmission line.

Deschutes County Hearings Officer Karen Green ruled last week that “CEC has a common-law vested right to complete, operate and maintain the entire Jordan Road line upgrade from the Cline Falls substation to the Black Butte substation.”

CEC had claimed that right under property rights Measure 49. The Cyrus family and Trail Crossing Trust contested the right. The Cyruses have long maintained that CEC did not have the right to install tall new steel towers for the Jordan Road line upgrade and they have a case pending in Deschutes County Circuit Court arguing that the poles trespass on their property.

New Path Renewables Owner Indicted for Theft

So as to not dwell on the negative three articles on this subject are included in this one post.  The first two articles are recent while the last one is dated one year ago.  Each article has duplicate details but some different information too.

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Bend solar contractor charged in million-dollar theft case
Victims include homeowners, high-profile local businesses
By Nick Budnick – The Bulletin – September 17, 2009

A Bend renewable-energy systems contractor who for years has been accused of shoddy work, unkept promises and worse was taken into custody Wednesday following his arraignment on 29 counts of theft, unlicensed construction work and racketeering.

Eric “Gabe” Wisehart, 38, was booked into the Deschutes County jail on $500,000 bail and was being held there Wednesday evening. He has not yet entered a plea, and his lawyer could not be reached for comment.

Deschutes County District Attorney Mike Dugan said, “This is a very large and (detailed) fraud, theft-type case that has probably in excess of $1 million of fraud. There are numerous, numerous victims not only inside Deschutes County but outside Deschutes County.”

Wisehart did business under the name New Path Renewables, Pac-Wind OR LLC and Solect Systems Inc. The indictment, which was issued Monday, describes a pattern of theft and theft by deception since 2004 committed against more than two-dozen customers. It expands upon documents filed in Deschutes County Circuit Court last year when detectives raided the house Wisehart shared with his wife, Sonia. His wife has not been indicted.

The documents accuse Wisehart of having repeatedly promised to install solar or wind-power equipment while collecting full or partial payment up front. Then, he frequently never completeed the job.

At times, he is accused of completing the job, only to return later to remove without permission equipment that he’d already installed.

Wisehart’s alleged victims include some well-known Central Oregon firms such as Pronghorn, Aspen Lakes Golf Course and Jeld-Wen, the developer of Brasada Ranch.

Oregon’s Energy Tax Credits Under Fire

State lawmakers target energy tax credit costs
Benefit to large wind-power projects is likely to be reduced
By Nick Budnick – The Bulletin – September 3, 2009

Lawmakers and state regulators plan to put new restrictions on a state tax credit that has helped Central Oregon’s renewable energy businesses.

Lawmakers for the Senate and House revenue committees met last week in Salem to discuss the state’s budget picture, including the business energy tax credit, or BETC, which encourages investment in alternative energy, recycling and energy conservation measures.

Lawmakers were told that the tax credit is estimated to cost the state $168 million over the next two years. That’s a jump of $24 million over the previous estimate, and about $100 million more than it cost the state in the last two-year budget cycle.

Earlier this year, lawmakers had tried to curb the tax credit, shaving about $20 million by limiting the benefit provided to large wind-power projects.

But that legislation, House Bill 2472, was vetoed by Gov. Ted Kulongoski.

Now, however, legislative observers think lawmakers will muster the two-thirds supermajority necessary to override Kulongoski’s veto when they return to Salem for an expected special session in February.