TRAVERSE CITY -- A local environmental group is increasingly worried that Traverse City Light & Power is on an unstoppable fast track to building a local wood-burning power plant, but the public utility insists a decision hasn't been made.
Light & Power officials are expected to decide next month whether to construct a biomass plant in Traverse City. The facility would be fired on wood, but could accept designated fuel crops or other items.
Officials recently released a consulting firm's conclusion that biomass is a good idea for Light & Power. The report's timing concerns members of the Northern Michigan Environmental Action Council, who on Tuesday evening will meet privately with Light & Power officials.
NMEAC has for months publicly encouraged Light & Power officials to take their time with a biomass decision. News that a consulting firm recommends biomass -- and that Light & Power is publicizing that recommendation -- raises a few eyebrows within NMEAC.
"We've been saying all winter, slow down, slow down, and then this report comes out that indicates maybe they're speeding up," NMEAC board Chairman Greg Reisig said.
Light & Power officials contend the deal isn't done, but said it's critical to make a decision on biomass soon because it could be years before a new plant is operational.
"I do not believe it's feasible to continue to delay a decision," Board Vice Chair Mike Coco said.
'Standard' study
Light & Power for more than a year discussed the possibility of building a biomass plant as part of a plan to generate power from renewable energy sources.
Several figures and variations have bounced around, but officials most recently said a 10 megawatt plant likely would be built on seven acres off Parsons Road in Traverse City. That plant would consume up to 10 truckloads of wood per day.
Light & Power recently hosted two public forums to gather public input about biomass. Hundreds of people showed up to voice opinions, and Reisig believes the recent consulting report damages the perception of a truly public process.
"The timing of the report, right in the middle of public dialogue, it might indicate to some people that they've already decided they're going to go with biomass," Reisig said.
Light & Power Executive Director Ed Rice said Light & Power commissioned the $130,000 consulting report, completed by Seattle-based R.W. Beck, a year ago. Dubbed an integrated resource plan (IRP), the report was purchased to determine the most cost-effective and practical generation source for Light & Power ratepayers.
IRPs are "standard" studies often commissioned by utilities for planning purposes, Ed Rice said, and Light & Power officials only recently received the final report. They could have kept it quiet, but likely would draw just as much scrutiny if they did, he said.
"If we have (the final report) available, we have a responsibility to make that known," he said.
The utility also has a responsibility to "not ignore" the study, Rice said.
But Light & Power still hasn't made a biomass decision, Rice said. Officials continue to process input gathered at the forums, he said, and still plan to conduct a phone survey of all Light & Power customers before proceeding.
The survey will be conducted by Northwestern Michigan College, Rice said. NMC will develop "non-leading and benign" questions about the proposed project.
No delays?
Reisig said the NMEAC board on Tuesday likely will suggest Light & Power delay a biomass decision beyond April to give time for more studies and community input. But Rice said he still plans to make a biomass recommendation to the Light & Power board in April, and the board likely will decide then.
Coco said much has to be done before a plant is online, meaning a decision shouldn't be delayed.
"Even if the board indicates to go forward with biomass, we have three or four years before we'd have a plant up and running, and we have a lot more work to do to see if this can even happen," he said.
Officials would have to purchase property, secure local, state and federal permits, and have the plant designed, among other things.
"There's a whole series of events that have to occur before a shovel of dirt is turned," Rice said.
Light & Power officials previously said a coal contract with a Lansing-area agency expires at the end of this year, meaning a biomass decision needs to be made soon. They could renew the contract, but contend the supplier will soon decommission plants and leave in question the possibility of future contracts.
Renewing a coal contract also won't get Light & Power any closer to its goal of supplying 30 percent of its energy from renewable sources by the year 2020, officials said. The utility currently taps fossil fuels for 99 percent of its power.
Critics are concerned Light & Power hasn't paid close enough attention to wind, solar and other renewable energy options, and worry that a biomass plant could lead to pollution and local forest depletion.
