Explanation
BACKGROUND: This ordinance authorizes the Director of Public Utilities to modify the contract with Central Ohio Bio-Energy, LLC, ('COBE') majority owned by Quasar Energy Group, a Cleveland, Ohio based waste-to-energy company. COBE designs, builds and operates anaerobic digester systems that produce renewable energy in the form of electricity. COBE and the Division of Power executed an Interconnection Agreement (Columbus Ordinance #1285-2010) pursuant to which the Generating Facility is interconnected as a "behind the meter" generation unit.
The Power Purchase Agreement was effective October 16, 2012. The Agreement was for an initial five year term expiring in 2017, with the option of additional one year renewals. At the time of execution of the agreement, a price for electricity in 2018 was beyond the initial term of the Agreement, and was not available. The pricing has recently become available and the Division of Power and COBE desire to modify Exhibit A of the Power Purchase Agreement to reflect the rates in the Electricity Price Schedule for 1/1/18-5/31/18 of $42.25 per MWh and for 6/1/18-12/31/18 of $38.80 per MWh and to extend the term of the agreement through October 15, 2018.
Contract Compliance Number: 26-1698590, Expires: 02/01/2018
The company is not debarred according to the Excluded Party Listing System of the Federal Government or prohibited from being awarded a contract according to the Auditor of State Unresolved Findings for Recovery Certified Search.
FISCAL IMPACT: There is sufficient budget authority in the Power Operating Fund to cover this service. The total amounts spent for purchase power in 2015 and 2016 were $52,217,514.12 and $51,240,460.10, respectively.
Title
To authorize the Director of Public Utilities to modify the Power Purchase Agreement with Central Ohio Bio Energy, LLC by modifying Exhibit A of the Power Purchase Agreement to include the rates in the Electricity Price Schedule for 2018 and exte...
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