Solar power may drive Yuma's economic engine

If there is one resource Yuma has in abundance, it is sunshine that could be harnessed to expand solar technology and be the economic engine to develop industry, according to a local economic consultant.

The solar industry has a potential of stimulating the area with hundreds of millions of dollars over the life of a power plant, typically 30 years, said Chris Camacho, who is CEO of the Greater Yuma Economic Development Corp.

"Right now solar energy costs more than natural gas but it's much cleaner. And because Yuma has 340 days a year of sunshine, our region has a unique opportunity to take advantage of solar technology."

At the quarterly meeting of the GYEDC Thursday night at the Yuma Golf and Country Club, Camacho informed civic and business leaders how Yuma can compete in solar energy.

"There's quite a bit of interest from Germany and Spain and a lot of venture capital out of Silicon Valley and Santa Barbara (Calif.) evaluating Arizona for testing photovoltaic panels" Camacho said.

The photovoltaic panels installed on rooftops is the device that turns solar energy into electricity, he explained.

A power plant will bring in ancillary business to support the solar industry, Camacho said. He then introduced four renewable energy experts to explain how Yuma could benefit.

"I believe Arizona has the opportunity to be the solar farm for all of the U.S.," said Valerie Rauluk, CEO of Venture Catalyst Inc., a consulting firm specializing in energy deployment.

"The Scientific American (magazine) said it's a real possibility that 35 percent of electricity and 69 percent of energy needs will be powered by solar, but how can we accelerate it?

"Solar energy will have parity with fossil fuels in three to five years," Rauluk said." Putting a solar system in Yuma boosts construction activity - 170,000 jobs were produced in renewable energy in Germany over the last six years."

Erik Ellis, a design engineer with 10 years experience in developing power projects, pointed out that solar power is only 20 percent more expensive than conventional generation.

Ellis said a single solar park - 100 square miles - could power the entire U.S. and it is an achievable goal that should be done.

"We shouldn't be spending hundreds of billions of dollars to go to risky parts of the world to secure our pipelines. The single most important thing you can do is tell (Arizona) Senators Kyl and McCain we need solar and want to make it happen."

Lauri Woodall is the former chairwoman of the Arizona Power Plant Transmission Line Siting Committee. It reviews all applications for plants and provides a record to the Arizona Corporation Commission, which denies or approves a project.

Woodall stressed if Yumans want a solar power plant, it is important to tell the ACC of their interest. If the positive impact on the community is laid out, the commissioners are more likely to be receptive to why a facility is needed.

Arizona is one of the fastest-growing states in the U.S. and its energy needs will double over the next 20 years, according to Toni Bouchard, renewable energy adviser for Arizona Public Service. The Solana Generating Station that APS plans to build outside Gila Bend is expected to power 7,000 homes when it is completed in 2011 and will be the largest solar power plant in the world.

Solana is expected to generate 2,000 jobs in construction and 85 technical jobs when completed. It is expected to bring in tax benefits of $300-$400 million over 30 years.

"Solana will not happen without the federal Investment tax credit which is up for renewal in September," Bouchard said. "It's often been renewed for one or two years but we're targeting six to eight years in order for investors to support Solana adequately."

Yuma Mayor Larry Nelson, former APS Southwest division manager who worked for the company 42 years, said GYEDC is actively recruiting solar manufacturers.

"We'll see what we can offer in the way of incentives," Nelson said. "Some state laws are written to prevent Arizona cities from competing with one another. But we need more freedom from the state to compete with other states to draw the solar industry here."

----
William Roller can be reached at
wroller@yumasun.com or 539-6858.