“A proprietary department of the City of Los Angeles, the Port is
self-supporting and does not receive taxpayer dollars.” — April 2, 2009 press release from the Port of LA announcing the DWP will give a “$3.5 million up-front cash incentive” — 40 percent — toward the cost of a 1 megawatt solar energy project.
Unbelievable!
Just days after voters rejected Measure B, the Mayor/DWP’s plan for 400 megawatts of in-basin rooftop solar, the port and the DWP cut a deal for the public to heavily subsidize a 1 MW rooftop solar energy project at the World Cruise Center.
It’s the first phase of a 10 MW, five-year project that, extrapolating the numbers, would cost $90 million with DWP ratepayers providing $35 million.
“We are harnessing our greatest resource to power our greatest economic
engine,” said Mayor Antonio Villaraigosa, according to the press release. ”This project
will create good, green-collar jobs and stimulate the growth of a new,
green economy powered by clean technology.
“The solar power initiative at the nation’s largest container port is
part of Los Angeles Mayor Antonio Villaraigosa’s Solar LA Program, the
largest solar power project undertaken by any single city in the
world. The Solar LA Project will ultimately create a 1.3 gigawatt
solar power network of residential, commercial and municipally-owned
solar systems that will lower Los Angeles’s dependence on greenhouse
gas emitting fossil fuels.”
That’s the language of Measure B. David Freeman, ex-GM of the DWP and leading spokesman for Measure B, is the head of the Harbor Commission who presumably engineered this deal.
It’s as if we never voted to reject Measure B.
The only saving grace is they contracted with a private firm, Cupertino
Electric of San Jose, Calif., for
this “first phase construction” — clear proof that the DWP, as
alleged, doesn’t have the capacity to actually install solar units.
What
the DWP does know how to do is raise our water and power rates over and
over and cut sweetheart deals even as the water and power systems decay.
So whatever happened to the mayor and City Council’s promise
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to have an open and inclusive public process before going forward on the solar program?
The
DWP under David Nahai has no respect for the public, for the
people who pay the bills. He is unqualified to run a public utility.
This isn’t his business. It’s ours.
The utter contempt for
voters shown in this contract puts the City Council and the DWP
Commission on notice to disapprove the unjustified water rate increase
that comes back from the dead on Tuesday and fuels the argument that we
need a Ratepayer Advocated on the DWP Commission.
Nobody is more
qualified for that role than Soledad Garcia, president of the DWP
Committee for advocacy and the Neighborhood Council’s MOU Committee
with the DWP.



This is an end run around the ratepayers of Los Angeles who voted against this type of solar plan brought to you by Mayor Tony V, David Freeman, H.David Nahai, and Brian D’Arcy. Now the ratepayers will be on the hook for just openers 35 million dollars. This ratepayer abuse is never going to end until the manipulators are shown the exit door.
I hope this is $3.5 million like the quote represents and not $35 million that your post claims. Please fix this, because that’s a big difference. It’s still wrong, but let’s get the facts straight.
David in Tarzana
I do not see $35,000,000, I see:
“April 2, 2009 press release from the Port of LA announcing the DWP will give a “$3.5 million up-front cash incentive”
I read it wrong. Ron is correct. It’s $3.5 million per megawatt and 10 megawatts, which equals $35 million. I’ll read more carefully next time.
Another one for growling Bruno. What’s left to say except ‘the bastards!’
Obviously we have no say in what OUR, who’s really their mayor, or OUR DWP does.
I wonder if their contempt for us exceeds our contempt for them, and by ‘our’ I mean those of us who pay attention, because most don’t, which is why there’s no public outcry when they screw us over.
Although the board of supes did get embarrassed enough to go back to tap water and sippy cups.
How about listing all those ‘green jobs’ they keep talking about. It sure as hell isn’t going to be making the panels unless our workers go to China where the solar panel slave labor workshop is located.
I’d much rather see that money go to a desalination plant.
I think the Port is just using the rebate that DWP offers to anyone who installs solar power in the City.
What I see is a Mayor that is starting to sound about as smart as George Bush. This Mayor obviously does not understand the environmental aspects of solar let alone the economics of this deal. If we thought that the pension plans were bankrupting the City, wait until we they start having to pay the bills for these kinds of projects.
Governor is looking pretty far off at the rate he is going.
I think he needs some new advisors – the ones that came up with Measure B must still be making the decisions.
Surely you jest. This mayor is the greenest mayor we’ve ever had. For someone who doesn’t understand solar, economics or the environment (according to you) he sure did have a lot of his environmental appointments stolen by the Obama administration. Your ranting and hating won’t change that.
The Governor is looking to belong to him at the rate he’s going.
Troll 1:55 a.m. Send over some of whatever you’re smoking. PLEASE!
@Anonymous 1:55 AM:
Thank you. Finally, some sense amongst these comments! (Then again, what can you expect from this blog?)
As a frequent cruiser from the Port of LA, I would be happy to see some of my port charges go to fund this worthy project.
Why thank you 8:33 AM.
I’m not sure why 5:24 AM would call me a troll? So if someone has a different opinion than you – name call them! That will teach them.
So for the record, dildo – I was up with a sick child until 2:30 AM and wasn’t smoking a thing. You’ll have to go out and search for your own.
The standard LADWP solar incentive for commercial installations is at http://www.ladwp.com/ladwp/cms/ladwp004196.jsp.
Running the numbers:
* 1 MW(DC) at the Port of LA
* Using PVWATTS as per DWP process (assume 15deg tilt and 0.8 derate factor (typical)) says the system will provide 1,480,400 kWh the first year
* Multiply by 20 years and 0.9 degradation factor per DWP process
* Multiply by $0.13/kWh incentive for non-taxable entities
* Answer: $3.46M incentive
The “real” answer is a function of many design parameters; I’m only illustrating that $3.5M is almost exactly what I’d expect such an installation to qualify for.
This is the same incentive process that would apply to any other suitably large non-profit organization, such as a private school or college campus. This process was in place long before Measure B existed and can in no way be characterized as an “end run around ratepayers.” Note also that $3.5/W installed is over $1/W less than you’d get for putting a system on your residential rooftop. If you don’t like this deal, don’t ask for any rebate for your own solar roof.
Such “deals” take months to arrange financing for. This has *nothing* to do Measure B except perhaps its timeliness as a face-saving move by various parties to make a solar statement. It seems unfair to characterize it otherwise.