CLAREMONT — The City Council unanimously approved the terms of an agreement with North Light Energy for a 10-megawatt solar array on vacant industrial land off Grissom Lane.
Among the payments the city would receive — estimated to total at least $3 million over 20 years — are a one-time payment of $175,000; rent of $1,000 per acre per year with a 2% escalator per year for 20 years; and a payment in lieu of taxes of $10,000 per megawatt per year escalating at 2% each year for 20 years.
The financial agreement applies to the two city lots that the developer is considering. A third lot is owned by the Claremont Development Authority, which would make its own agreement with North Light, and the fourth lot is private. The exact location is yet to be determined but will avoid wetlands impact and have a wildlife-friendly fence, said Aaron Svedlow, president of North Light.
Resident James Contois, who is running for City Council in the November elections, said at Wednesday’s meeting he thought the city could do better financially and his online research showed per-acre payments of more than $20,000.
“It just seems like we are giving away land for too long and too cheaply,” Contois said.
Planning and Development Director Nancy Merrill and Assessor Stephan Hamilton said the land has little development potential with wetlands and topographical challenges.
“The ability to generate income is close to zero. You can reduce taxes and with the lease and PILOT and then the land is returned to the city in useable condition,” Hamilton said.
North Light will decommission the array, which has a minimum life span of 20 years but could exceed 30.
Merrill said the proposal is in response to a developer’s request.
“I feel comfortable with the input we received from our attorney on what other communities receive,” she said in response to Contois’ statement.
North Light will need approvals from the Planning Board and permits from state Department of Environmental Services. Construction is not expected to start until 2022.
Patrick O’Grady can be reached at pogclmt@gmail.com.
