Full Text
State Hwy 16 Hafen Ranch Rd Fox Ave Exn Quarterhorse Ave Exn Indian Reservation Rd State Hwy 16 Hafen Ranch Rd Fox Ave Exn Quarterhorse Ave Exn Indian Reservation Rd DRAWN BY CHECK BY DESIGN BY PROJ MGR DRAWING NO. PROJECT NO. DATE: SHEET NO. Last Saved by: USOF698769 on: File: Drawing3.dwg WSP USA Inc. 10525 Vista Sorrento Parkway, Suite 350 San Diego, CA 92121-2704 TEL: [PHONE REDACTED] FAX: [PHONE REDACTED] PRELIMINARY SITE LAYOUT ROUGH HAT 2 SOLAR PROJECT NYE COUNTY, NV 75' SETBACK LINE AVOIDED AREA GENERATION TIE LINE AND ACCESS ROAD OPTION 2 STATE HIGHWAY 16 TO REMAIN PRELIMINARY GENERATION TIE LINE OPTION 3 GENERATION TIE LINE AND ACCESS ROAD OPTION 1 SF299 APPLICATION STUDY AREA AVOIDED AREAS - APPROX. 1080.5 ACRES PRELIMINARY PROJECT AREA SOLAR PANEL ARRAY 75' SETBACK LINE AVOIDED AREA SEE DETAIL 1 FOR ENLARGEMENT 20' ACCESS ROAD TO REMAIN MAY BE REALIGNED 100' WIDE ACCESS AND COLLECTION CORRIDOR DETAIL 2 SCALE : 1"=5000' GENERATION TIE LINE AND ACCESS ROAD OPTION 1 GENERATION TIE LINE AND ACCESS ROAD OPTION 2 SUBSTATION STATE HIGHWAY 160 GENERATION TIE LINE GEN TIE LINE CONTINUES TO SUBSTATION 75' SETBACK LINE AVOIDED AREA 75' SETBACK LINE AVOIDED AREA TOP OF BUTTE SAND DUNES GENERATION TIE LINE OPTION 3 11/19/2021 NORTH-SOUTH OHV TO BE RELOCATED INTO THIS SETBACK ACCESS ALONG NORTHERN BOUNDARY PV SUBSTATION O&M BUILDING SUBJECT TO CHANGE GENERAL NOTE: 1. ACCESS ROADS MAY BE REALIGNED. MIN 1000' SETBACK LINE DETAIL 1 SCALE : 1"=500' 1000 FT SCALE : 1"=1200' LEGEND ---PAGE BREAK--- PRELIMINARY – SUBJECT TO FURTHER DESIGN AND DISCUSSION Rough Hat Solar Project Nye County, Nevada November 30, 2021 ---PAGE BREAK--- PAGE 1 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Community voices are an essential part of project development. • The Town of Pahrump is a vibrant community that is growing, but is also looking to preserve its character as a center for recreation activities, desert vistas and isolation from urban areas and California • The Solar resource and land of Nye County are significant assets for the community that can drive huge benefits for the people who live here and diversify the economy for future generations • Careful project design with active community involvement can achieve both objectives • Both the BLM and the County will conduct thorough public processes that invite public input, and it is important that you participate • The Rough Hat Project will necessarily go through many modifications and changes as a result of these processes to address community concerns as well as environmental and cultural sensitivities • This is a very early stage for this project, so we may not have all the answers to all your questions, but out goal is to seek questions and comments and address them • We ask that you reserve judgment, recognizing that if Candela does not recognize and respond to your concerns, you will have multiple opportunities to weigh in • Your voices are essential, and we are listening We Are Listening to You Community Engagement Project Design Jobs, Taxes, Economic Growth ---PAGE BREAK--- PAGE 2 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Although Rough Hat Nye is at a very early stage of development, Candela has begun to incorporate community feedback into its preliminary design. We are committed to addressing concerns and responding to your questions. • Project design, construction and operations will have negligible effect on Hafen Elementary School • Candela has already incorporated setbacks and preliminary layout modifications to avoid or reduce impacts on closest neighbors and homes, and will continue to work with neighbors to address these issues • Candela has already incorporated design modifications to accommodate OHV use and will continue to work with community to avoid and mitigate impacts to recreations areas • Candela's layout and design will fully avoid or mitigate for environmental impacts, including dust, light, drainage, impacts on species and other issues, all of which will be addressed in the BLM NEPA process beginning next year • The project will be required to post a decommissioning bond to ensure that all material and equipment is removed at the end of the project life • The project will generate 400 prevailing wage construction jobs and workforce training for future solar projects in Nye County and up-to 10 prevailing wage jobs in operation • The project will generate >$50M in property taxes and sales tax over the life of the project and over $100M in secondary economic benefits • We have received many suggestions regarding offsite mitigation, including supporting K-12 programs, improving OHV trails and education and other opportunities that would benefit the community Responding to What We Have Heard ---PAGE BREAK--- PAGE 3 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables 1. Answer questions raised by Public Lands Advisory Committee and participants at previous PLAC meetings 2. Provide stakeholders with current timeline expectations 3. Illustrate construction practices, operational characteristics and decommissioning practices for PV solar facilities 4. Provide detailed information regarding environmental impacts, avoidance and mitigation practices 5. Quantify benefits to Nye County and the Town of Pahrump 6. Propose next steps for PLAC and community engagement Goals For This Presentation Candela is striving to develop a project that will provide both local and national benefits. We are at the very beginning of an extensively regulated process. That process involves extensive public, community and regulator input into every aspect of development. The following information is based on Candela's experience working with other communities. It should not be regarded as dictating or prescribing how this project will unfold in Nye County. The County itself, its relevant communities, and various regulators as well as Candela will shape the project together over the next 18 months ---PAGE BREAK--- STRICTLY CONFIDENTIAL STRICTLY CONFIDENTIAL Project Discussion 1 ---PAGE BREAK--- PAGE 5 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Candela Team, an independent U.S. owned company, active in over 10 states, has developed over 40% of operational Nevada Solar projects (as of 2020) Candela Team’s Experience in Nevada Clark County, Nevada 250 MW • Offtaker: LADWP • Developed at First Solar by many now at Candela • Largest project on tribal land at operation commencement Economic Development & Community Investment Clark County, Nevada 300 MW • Offtaker: SCE • Another project developed while team was at First Solar on BLM land Clark County, Nevada 300 MW • Offtaker: multiple • Developed on City of Boulder’s land Boulder City Projects Nye County, Nevada 100 MW • Offtaker: SCE • Development agreement with Nye County • Connected to Valley Electric’s 138kV Valley Substation Sunshine Valley Moapa Solar Silver State Clark County, Nevada 234 MW • Offtaker: NV Energy • First commercial and industrial solar project Nevada Switch Solar Approximate Nevada Site locations ---PAGE BREAK--- PAGE 6 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables www.naturgy.com/en Naturgy Overview Global, investment grade, publicly-traded company active with market cap of $26B, committed to expanding U.S. renewable deployment ---PAGE BREAK--- PAGE 7 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables PV Plants are largely modular. Individual panels capture energy, which is then combined, and made ready for movement on the grid What is a Photovoltaic (PV) Solar Project? ---PAGE BREAK--- PAGE 8 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables What do specific components look like? What is a Photovoltaic Solar Project? 230 kV pole (typical) http://westwindvistas.com/images/23 0%20kV%20Tangent%20Structure.j pg Inverter (typical) secures-ppa-large-scale-solar-plus-storage-project Substation and Transformer ow-solar-developers-can-cut-the-time-and-cost- of-installing-a-substation Panels on a Tracker usa.com/2017/09/20/trackers-dominate-u-s- utility-scale-solar-wcharts/ Battery Storage power-batteries ---PAGE BREAK--- PAGE 9 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Power Tower Ivanpah Solar, Tonopah What This Project is Not Parabolic Trough Nevada Solar One, Genesis Solar • Thermal solar systems concentrate sunlight from mirrored receptors to create heat that is then used to make steam which powers a turbine to generate electricity • Photovoltaic solar systems convert sunlight directly into electricity ---PAGE BREAK--- PAGE 10 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Large Scale PV vs. Rooftop PV 500 MW Rough Hat System Is Equivalent to 17,730 x 5 kW Rooftop Systems at 25% of the Cost • Large Scale systems are more efficient than Rooftop systems because they use trackers and are able to optimize the layout and orientation of panels • On average, Large Scale systems have a capacity factor 1.77 times higher than Rooftop systems –i.e. they capture more energy • Rooftop systems also cost, on average, about 2.7 times more than Large Scale systems ($/kw installed) • The installed cost to produce an equivalent amount of energy from Rooftop systems would be $1,415,450,000 greater than the cost of Rough Hat Nye project • Rooftop system installation depends on individual choices by homeowners and businesses; although government offers incentives, it cannot mandate Rooftop installations • It cannot reasonably be assumed that an equivalent volume of Rooftop systems will be installed in the time frame of Rough Hat Commercial Operation Date or at all • In any event, Candela is not in the business of installing Rooftop systems Rooftop Systems Are Not A Feasible Alternative To Candela’s Proposed Rough Hat Solar Project All calculations based on National Renewable Energy Laboratory "2021 Annual Technology Baseline." Golden, CO: National Renewable Energy Laboratory. ---PAGE BREAK--- PAGE 11 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Project footprint has evolved and will continue to become more refined based on detailed engineering and feedback from stakeholders Initial Study Area • Shown to stakeholders beginning in June 2021 • Matches initial BLM application which represented the area that Candela was studying and performing diligence on • Showed maximum project boundary, and stated it would be modified to account for drainages, topography, engineering and design constrains and community concerns feedback Preliminary Footprint – BLM Study area – ~3,400 acres ---PAGE BREAK--- PAGE 12 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Revised study area provided at 11.13.21 Public Lands Advisory Committee Meeting. Removed 425 acres from development based on Community Feedback Modified Development Area • Removed 425 acres from project boundary from initial study area • Removed “Top of Butte” and Sand Dunes • Removed area along Hafen Ranch Road and north of southern neighborhood of homes • Increased setbacks from southern neighborhood • Kept State Highway 16 access through southern boundary • Highlighted that detailed engineering, survey and constraints analysis would result in more refined project layout 1st Revised Project Area - ~3,000 acres ---PAGE BREAK--- PAGE 13 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Preliminary project layout eliminates 32 % of original study area from development, a reduction of 1,081 acres • Revised Footprint based on preliminary engineering • Removed additional 656 acres; total of 1,081 acres removed from initial study area • Increased setback from Winston Court to 1,000 feet • Increased setback from E H & S Lane to 500 feet • All other homes at least 1,000 feet from project boundary • Removed >90 acres south of Winston Court • OHV accommodations discussed on subsequent slide • Substation and transformer will be ~0.5 miles from project Hafen Ranch Road Preliminary Site Plan Preliminary Project Layout – ~2,319 acres ---PAGE BREAK--- PAGE 14 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Bold = Complete Source: Internal estimates and statutory and contractual timelines Project Timeline • BLM Application Filed • BLM Serialization • Prelim. Diligence Project Kickoff • System Impact Study Received • Tortoise, Cultural, Avian, Boundary and Topo Surveys Completed • SHPO, Tribal and USACE Consultations Commence • Receive Facility Study Preliminary Diligence • Final EIS and Public Comment • BLM NOD • ROW Grant Issued • Finish Agency consultations • Sign Interconnection Agreement BLM/NEPA Cont. • Interconnection Application filed BLM Prioritization • Public Information Meeting • Variance Report • Variance Decision • NEPA NOI • NSUP and Development Agreement • Draft EIS and Public Comment • Geotechnical Survey Kickoff • Begin USFWS Consultation BLM/NEPA 2019 2021 2023 2020 2022 Substation Application Filed • Tortoise and Biological Clearance • Commence Construction Wrap-Up Diligence 2024 Early in process. BLM and the County will conduct thorough public processes that invite public input ---PAGE BREAK--- PAGE 15 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables After Variance, the NEPA process provides several opportunities for public comment National Environmental Policy Act Notice of Intent to Prepare an Environmental Impact Statement (EIS) – Public and agency scoping comments – Spring 2022 Draft EIS – Public and agency comments – Fall 2022 Final EIS – Public and agency comments – Winter 2023 National Historical Preservation Act and Tribal Consultation — Consultation with SHPO and affected parties — Government to government consultation between BLM and federally recognized tribes Federal Endangered Species Act — Consultation between BLM and US Fish and Wildlife Service on potential impacts to listed species Record of Decision – Summer 2023 NEPA and Public Input ---PAGE BREAK--- STRICTLY CONFIDENTIAL STRICTLY CONFIDENTIAL Benefits to Pahrump, Nye County, and Community 2 ---PAGE BREAK--- PAGE 17 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Project will contribute substantial tax revenue to Nye County and Pahrump (all estimates assume 500 MW). Methodology prepared by Ernst & Young, and reviewed by county assessors Source: Ernst & Young, internal analysis, conversations with Nye County Assessors, and Nye County Tax Code • Property tax revenue is based on current Nye tax rate of 3.41% and is estimated as follows, using Nevada Department of Taxation guidelines: • Real Property (Land) – based on value of annual rent paid to BLM • Personal Property (Improvements): • Can vary widely based on the cost of equipment and construction which is not known to date. • All estimates include 55% statewide abatement for solar, which the project currently expects to receive. • Actual tax revenue will vary based on final EPC costs and project size • Remaining tax collections not called out to right go to other county and Pahrump priorities. For complete distribution of property taxes, see Nye County Treasurer Memo Property Tax Estimate $47M - $66M 30 Year - Property Tax Revenue $2.5M - $3.6M in year one. Represents 9% - 13% increase over current property tax year collections of $26.7M $18M – $26M Supports Nye County Schools ~39% of all property taxes support Nye County Education $7.8M – $11M Supports Specific Pahrump Priorities Includes tax revenue for Pahrump Museum, Health Clinics, 911 Emergency Services, Town of Pahrump and Pahrump Library Of which: ---PAGE BREAK--- PAGE 18 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Sales taxes will be paid in Nye County for substantial amount of equipment. The overwhelming majority of sales tax will be paid during the construction period Source: Internal Estimates, consultation with tax consultant and public documents of nearby projects Preliminary Sales Tax Estimate • Over $10M of Sales Tax in Year 1 of project, directly benefiting county, local schools and state treasury • Like property tax, also heavily dependent on final Procurement and Construction Costs, where equipment is delivered and final adjudication • Low, mid and high scenarios presented are same cost assumptions as property tax slide previously • Numbers assume 25% of equipment is subject to sales tax. Difficult to provide firmer estimate until project is more mature $10M- $14M Total Sales Tax based on 7.6% rate Supports School, City, and County, and State 26% 34% 7% 23% 10% Sales Use Tax (General Fund) Local School Support Tax Basic City Relief Supp. City County Relief County Option ---PAGE BREAK--- PAGE 19 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Economic Impacts include jobs, earnings, increased output in Nye and State of Nevada and are intended to be conservative Source: Jobs and Economic Development Impact Model – Release PV.12.23.16 developed by DOE’s NREL. Internal assumptions - page 8 Jobs • 240 new local construction and Installation labor jobs during construction for Nye County • 160 new local jobs during construction for the State of Nevada • 8-10 permanent operations and maintenance jobs during 30-year operation for Nye County Earnings • Over $30M in new local employment earnings during construction for Nye County • Over $1M annually in new earnings, once in operation for Nye County Output • Over $100M in new local output for Nye during construction (supply chain impacts, professional services etc..) during construction • Over $3M per year in induced impacts to State of Nevada annually during operation use of external consultants) Next Steps • Rough Hat Nye will commission a detailed economic impact analysis from an independent 3rd party to update and verify preliminary findings based on refined project footprint and cost assumptions Jobs and Economic Development Impact (JEDI) Benefits ---PAGE BREAK--- PAGE 20 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Community Benefits $50M+ Local tax revenue over 30-Year Life Funds local schools, libraries, and museums, fire department and other county and municipal priorities $100M+ Induced Economic Growth Local spending, supply chain impacts, and jobs supported by project that otherwise would not occur Other Benefits Ideas Evaluating: • Improving Access of SR-160 to Kellogg Road and Old Highway 16 • Funding After-School Programs • Improving Off-site OHV Areas • Other 400 Construction Jobs 10 O&M Jobs during Operations Improved Electric Reliability + = 500 MW Clean, Renewable Solar Energy Project benefits flow to the all citizens of Pahrump and Nye County ---PAGE BREAK--- PAGE 21 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables In addition to Federal and Nevada permits and approvals, the Project will seek Nye County approvals County Permitting Process Nye County Board of Commissioners • Special Use Permit • Development Agreement Additional County Permits/Approvals • Grading and Drainage Permit • Building Permit • Electrical Permit • Certificate of Compliance for Fire Safety • Encroachment Permits • Dust Control Plan ---PAGE BREAK--- STRICTLY CONFIDENTIAL STRICTLY CONFIDENTIAL Why Here? 3 ---PAGE BREAK--- PAGE 23 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Several key characteristics must be present to develop an economic solar facility. Taken together, these factors limit the locations where facilities can be sited 1. Resource availability wind, insolation, hydro resource) 2. Transmission Availability • Local - can the project connect to the grid economically • Regional – Can the grid transport electrons to where there is demand either inter or intra-state 3. Land Availability (is there available land to support required project size, is it appropriately zoned) 4. Access to infrastructure and major transportation networks 5. Environmental Characteristics • Topography & Buildability • Biological, cultural, botanical characteristics 6. Entitlements (local, state, federal) 7. Proximity to load centers and market demand 8. Proximity to skilled workforce 9. Policy Framework • Tax drivers • RPS targets • Other incentives Why Here Overview ---PAGE BREAK--- PAGE 24 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables State and federal mandates require utilities and other entities to buy renewable energy Source: Internal forecast based on publicly available information • Nevada has renewable portfolio standard goal of 25% by 2025 and 50% by 2030 • California has renewable portfolio standard goal of 60% by 2030 and 100% by 2045 • Department of Interior goal to permit 25,000 MW on federally-managed lands by 2025 • Large corporations and commercial customers are increasingly procuring renewables to meet sustainability goals, as demanded by shareholders and customers • Regardless of who the final customer for the power is – Pahrump and Nye County will receive increased electric reliability, substantial tax revenue and additional community benefits • Western load centers and rural communities are seeing increasing population growth and demand for electricity and reliability Why Here? – Access to Markets and Demand Power Customer 2021 2022 2023 2024 2025 2026 Total Utilities 1,250 1,800 550 550 350 400 4,900 Community Choice Aggregators and Coops 1,550 1,600 400 450 450 400 4,850 Corporates/Commercial 300 300 250 250 300 250 1,650 Total MW 3,100 3,700 1,200 1,200 1,100 1,050 11,350 • Large investor-owned utilities • Nevada Energy (NVE) currently only participating in Energy Imbalance Market, so not eligible for long-term PPAs • Smaller municipal/city entities formed to serve local loads • Individual CCAs/Coops unlikely to have demand for entire project • Large corporations of all types, (e.g. technology, consumer staples, retail, food companies, etc. are entering market, sometimes through virtual PPAs Customer Analysis IOUs CCAs/Co ops C&I / Direct Access ---PAGE BREAK--- PAGE 25 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Trout Canyon Substation provides an attractive point of interconnection to the transmission grid with available capacity December 21, 2020 Trout Canyon Substation Plan of Development • GridLiance West submitted application to construct 230kV Trout Canyon Substation (TCS) in 2019 • Located 10 miles southeast of Pahrump in Clark County, TCS will connect to Sloan Canyon line • TCS site chosen to minimize environmental disturbance • After going through thorough rigorous BLM process, public comment and NEPA requirements, TCS received ROW grant from BLM in November 2020 • NV Energy's Green Link West transmission project (running from Las Vegas to Yerington) is not electrically connected to TCS; Rough Hat Nye cannot access the proposed Green Link system from TCS • No other high-voltage substations in Southern Nevada with available capacity and the option to sell power to a variety of customers will be online in the same timeframe as TCS Why Here Local Transmission Capacity ---PAGE BREAK--- PAGE 26 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Regional transmission supports both local supply and demand for electricity in Nye County • Valley Electric Association (VEA) joined the California Independent System Operator (CAISO) in 2013 to create efficiencies, strengthen reliability, and provide “renewable resources from [VEA] service territory to California markets” • VEA joining the CAISO grid provides additional import capability from transmission rights to VEA’s interconnection into California at the Mead Substation • Today, Nevada often exports solar generation and relies on imports from neighboring states like California, Arizona, and Oregon to meet peak demand, particularly during the evening when solar generation is unavailable • Thus, how do Pahrump and Nye County benefit? • Selling excess power when not needed • Ability for VEA to import power when insufficient production in- state • Increased reliability and resiliency due to improvements to grid required for integration of Nevada to other western states • Minimizes costs to VEA rate payers, as costly upgrades are socialized throughout CAISO territory rather than shouldered directly Why Here Regional Transmission ---PAGE BREAK--- PAGE 27 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Why Here – Local and Regional Constraints • Low tortoise/Joshua Tree density – more dense to the southeast • Protected Desert Tortoise habitat to the northeast and southeast • Minimize topographic, drainage, and flood control impacts • Not shown: proposed Sagittarius project (just south of shown projects) ---PAGE BREAK--- PAGE 28 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables BLM Designation of Site for Potential Solar Development Why Here? Solar PEIS BLM Solar Energy Program (2008-2012) • Programmatic review under NEPA, ESA and NHPA to identify lands suitable to support solar development • Four rounds of public comments during PEIS process and formal BLM protest resolution process • BLM Record of Decision, October 12, 2012 • Three major land use designations: Solar Energy Zones (285,000 acres); Exclusion Areas (79 million acres); and Variance Areas (19 million acres) • Adopted programmatic design features to avoid, minimize and mitigate potential adverse effects • Amended Las Vegas Resource Management Plan to incorporate solar designations including Rough Hat Nye Project site location • Consistent with BLM's "multiple use" goal which focuses on managing resources so they are utilized in a manner that will best meet the present and future needs of the American people Nye County portion of PEIS ---PAGE BREAK--- PAGE 29 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables BLM Designation of Site for Potential Solar Development Why Here? BLM Priority Designation Southern Nevada District Office Priority Designation Guidance under BLM Regulations (2019) • Governs BLM evaluation and prioritization of applications for solar and wind development • Focus on prioritizing applications that have the fewest resource conflicts and greatest likelihood of success in permitting process • Rough Hat Nye Project designated as a “High Priority” application by BLM on August 25, 2020 Variance Application Process • BLM evaluates site specific applications within variance areas based on variance factors identified in PEIS consistent with land use plan, VRM designation, implement design features, etc..) • BLM will conduct public outreach as part variance review process • Variance process advances project to site-specific evaluation under NEPA, ESA and NHPA Solar PEIS Detail – Nye Region ---PAGE BREAK--- PAGE 30 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables 3.5 Renewable Energy - Solar, Geothermal, Wind and Biomass With the increasing focus on renewable resources, clean energy is the fastest growing industry in the State of Nevada according to the Nevada Commission on Economic Development . . . “Nye County encourages responsible development of renewable energy projects” 3.5.1 Solar Energy “Solar resources in Nye County are among the best in the nation for both concentrating solar power (CSP) and photovoltaic (PV) systems.” In March 2010 Nye County performed an analysis titled “Suitability Analysis for Nye County Solar Generation, Transmission and Related Support Facilities.” . . . The analysis results were presented in a map (Figure 8) showing the locations of “good, better and best” suitable lands in Nye County for solar development Nye County supports the continued development of additional solar plants where they are deemed economically and environmentally desirable Why Here? Nye County Master Plan ---PAGE BREAK--- STRICTLY CONFIDENTIAL STRICTLY CONFIDENTIAL General Stakeholder Questions 4 ---PAGE BREAK--- PAGE 32 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables • Major Equipment • Module suppliers typically warranty production of panels for 25 years, useful life of up-to 40 years with panels being ~80% efficient in year 40 • Inverters- typically assume re-build of inverters at 12-15 years • Posts, racking, wiring – typically assumed 35+ year useful life • Transformer – typically assumed 40+ year useful life • BLM Lease – 30 years with BLM-option for additional extensions • Development Agreement, Special Use-Permit and all financing documentation will match the BLM lease term, as that is the binding constraint on how long the project can remain operational • Independent Engineer will review equipment and design to confirm useful life prior to financing Project Estimated Life Lawrence Berkeley National Laboratory - 2020 Estimated Useful Life Trend 30+ Years Estimated Useful life PV projects typically have 30-40 year life underwritten by independent engineers PV projects have minimum 30-year useful life, with some having been underwritten for up-to 45-years ---PAGE BREAK--- PAGE 33 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Recent studies find no discernable effect on property values, largely driven by site-specific considerations and appraiser experience with properties near large solar farms • University of Texas - Nationwide: • Responses from 37 public assessors who work in 430 counties in U.S. • Median impact of 102MW at 1000 feet was 0% change • “Results from our survey of residential home assessors show…majority of respondents believe that proximity to a solar installation has either no impact or a positive impact on home values." • At 1000 feet distance from solar projects >102 MW, appraisers estimated average impact on property values of -$14,961, with some appraisers finding appreciation. Negative effect on home values decreases with distance from project • University of Rhode Island - New England: • Study of 400,000 transactions over 15 years found that homes located less than 1 mile away from a large solar project sold for 1.7% less than properties further away or -$5,571 for homes within one mile • Kirkland - North Carolina • State is in top-10 of total solar deployment by MW. Kirkland appraisal’s “compiled data on 84 “matched pairs,” meaning sales of homes abutting solar farms matched with similar homes farther away • The difference in per-square-foot sale prices for 70 of those comparisons was between and a range [Kirkland] views as statistically insignificant Effect On Property Values ---PAGE BREAK--- PAGE 34 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Minimal Effect On Hafen Elementary School • Upward sloping topography shields Hafen Elementary School from view of project • Project site will not be accessed from Hafen Ranch Road during construction ensuring that school traffic will not be interrupted • Accessing project site from Rte. 160 during construction will also mitigate noise, vibration, dust and other impacts from heavy vehicular traffic • 750-foot setback from Hafen Ranch Road in vicinity of school will limit visual impacts approaching the school on Hafen Ranch Road • Project will be fenced and monitored to ensure safety of children and others in the area • Mitigation measures during construction will be implemented carefully and monitored to ensure fugitive dust does not enter the school grounds or obscure visibility on Hafen Ranch Road ---PAGE BREAK--- PAGE 35 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Established trails in project area will be largely accommodated www.visitpahrump.com Impact and Discussion of OHV/Recreation • VisitPahrump.com states there are more than 50 miles of OHV trails in and nearby • Access to key areas: Wheeler Wells, Elk Meadows Trails, Red Rock Canyon National Conservation Area, Carpenter Canyon, Cold Creek, Spring Mountain Racetrack and Front Sight; will remain • Existing trails through project site discussed on subsequent slides ---PAGE BREAK--- PAGE 36 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Established trails in project area will be largely accommodated Impact and Discussion of OHV/Recreation (1 of 2) • Western Side of Project • All established trails (approximately 5.5 miles) based on OHV.NV.Gov will either be maintained or rerouted • Top of Butte and Sand Dunes and associated access will remain ---PAGE BREAK--- PAGE 37 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Established trails in project area will be largely accommodated (not to scale) Impact and Discussion of OHV/Recreation (1 of 2) • Eastern Side of Project • Large washes throughout project site will remain/be avoided, allowing continued access for OHV • State Highway- 16 to remain; improvements to be discussed • East/West Trail across project southeast may be re-aligned Northeast Southeast ---PAGE BREAK--- PAGE 38 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables BLM requires the Project to post a Reclamation Bond to cover the cost of decommissioning and restoring the site to its original condition • Decommissioning is essentially reverse process of construction, takes approximately 1/3 the time of construction (approx. 6-8 months) • Language from the Yellow Pine Solar Project: "The project proponent is required to post a reclamation bond as a condition of authorization issuance in order to ensure the availability of funds for site decommission and reclamation, …based on the approved Decommissioning, Abandonment, and Site Reclamation Plan and Weed Management Plan, which would be completed prior to construction. The draft Decommissioning, Abandonment, and Site Reclamation Plan would be based on BLM’s most updated Restoration Plan Template and approved prior to issuance of Notice to Proceed (NTP). • Decommissioning Bond would remain in effect for the life of the project, regardless of sale or insolvency Reclamation Bond and Decommissioning ---PAGE BREAK--- STRICTLY CONFIDENTIAL STRICTLY CONFIDENTIAL Overview of Construction Process 5 ---PAGE BREAK--- PAGE 40 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Construction – Overview • Civil works: • Clearing • Grading • Drainage • Trenching (for MV cable) • Steel post installation (pile driving) Panel Installation solar-panels-on-your-home/ Post Installation IFC+Solar+Report_Web+_08+05.pdf Land Prep Pahrump Valley Times • Mechanical installation: • Tracker assembly • Panel installation • Cable installation (DC and AC, LV and MV) • Electrical components (mechanical) installation • Power Conversion Unit (PCU) installation • Electrical works: • Low voltage DC and AC connections • Medium voltage AC connections • Substation construction • Cold and Hot Testing • Commissioning • Final performance test ---PAGE BREAK--- PAGE 41 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables "Light on Land" Approach • Mowing instead of grading to greatest extent possible, keeping root structures in place. Benefits include: • Improved erosion control • Habitat recovery • Less earthwork • Natural drainage patterns • Avoidance of major washes • Habitat avoidance • Corridors for wildlife movement • Natural drainage patterns Vegetation Management – Site Preparation Valley Electric Solar Project near Calvada Meadows Airport ---PAGE BREAK--- PAGE 42 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables 800 Acre-feet is the equivalent of the average annual consumption of 800 homes Construction – 1-2 years • Approximately 400 acre-feet per year (dust control) • Approximately 800 acre-feet total • Water will be purchased from existing allocation Operations – 30-40 years • Potable/sanitary use for staff – less than 1 acre-foot per year • Equivalent use of a single household • Panel Washing, if needed – approximately 5-10 acre-feet per year • Equivalent to use by approximately 10 households • Water will be purchased from existing allocation Water Usage ---PAGE BREAK--- PAGE 43 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Ravikumar & Sinha; The impact of photovoltaic (PV) installations on downwind particulate matter concentrations: Results from field observations at a 550-MWAC utility-scale PV plant. Journal of the Air & Waste Management Association Construction – Dust Control "The findings demonstrate the overall environmental benefit of downwind PM emission abatement from a utility-scale PV installation in desert conditions due to wind shielding." Sinha study on 550MW Desert Sunlight Project (Mojave Desert) • BLM-approved Fugitive Dust Control Plan • Limiting vehicular speeds on unpaved roads • Limiting construction activities during periods of high winds • Phased site preparation • Designated dust monitor on site during construction • Covering all material transport trucks • Reduce grading to greatest extent possible, leaving root systems intact • Trackout control and street sweeping • Dust Notification Hotline • Revegetation of disturbed surfaces as needed post-construction Anticipated and Commonly Required Dust Control During Construction ---PAGE BREAK--- PAGE 44 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Site Access & Generation Tie Line • Road may remain after construction for public use providing improved direct connection of Highway 160 with Hafen Ranch Road/Indian Reservation Road • Improvements to State Route 160 as required by NDOT for safe ingress/egress turn lanes and acceleration lanes) - discussions ongoing and Traffic Study underway Access directly from State Route 160 - no other use of public roads except for emergencies and crossings within project area ---PAGE BREAK--- PAGE 45 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables • Average workforce of 400 workers • Local hiring efforts and encouragement to carpool • Access directly from State Route 160 (no use of local public roads) • Speed limits on unpaved roads for safety and dust control • Workers will park in site parking lot/staging area and walk or shuttle to work area Operations • Up to 10 full-time staff • Occasional maintenance vehicles (typically heavy-duty pickups) • Speed limits on unpaved roads Construction Vehicular Use ---PAGE BREAK--- STRICTLY CONFIDENTIAL STRICTLY CONFIDENTIAL Environmental Issues 6 ---PAGE BREAK--- PAGE 47 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Source: US Centers for Disease Control Environmental – Valley Fever 96.5% of all cases are in CA and AZ Nye County 2021 Cases to Date: 118 Nye County 2020 Cases: 153 Background: Valley Fever (coccidioidomycosis) is an infection caused by a fungus that lives in the soils of the western U.S. Infection occurs when spores become airborne (dust) and are breathed in. Most people who breath in spores do not get sick. However, some may develop Most recover without treatment, but in some cases antifungal treatments are necessary. Most common are cough and fever. Candela takes the risks of Valley Fever seriously. Prevention measures include: • Dust Control • Water and soil stabilizers • Phasing of ground-disturbing activities • Reduction in site activities during high winds or high temperatures • Telephone complaint line • Worker Protection Program • Training program • PPE • HEPA-filtered cabs on equipment • Sanitation stations ---PAGE BREAK--- PAGE 48 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Federal Aviation Administration International Organization for Standards (ISO) 9613-2 Environmental - Noise Feet from Source Inverter Noise (dBA) Transformer Noise (dBA) 3 75 101 6 69 94 12 63 87 24 57 80 48 51 73 96 45 66 192 39 59 384 33 52 768 27 45 1,536 21 38 3,072 15 31 6,144 9 24 Distance to nearest receptor Operation: • Back of envelope calculations show zero noise impacts during daytime (order of magnitude below ambient noise) • 6 dBA loss for every doubling of distance (more loss with obstacles, vegetation, etc..) Construction: • Noise-generating activities during daylight hours only • Measures to reduce noise, including position of equipment away from receptors and reducing number of equipment operating at one time near receptors • Follow applicable noise ordinances Project will commission comprehensive Noise Study ---PAGE BREAK--- PAGE 49 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables • No constant lighting at night (all lights off by default) • Permanent lights are motion- controlled, downward facing, and shielded, localized to substation and operations office • Fully compliant with dark sky ordinances • If nighttime maintenance is required, crews use localized, shielded, downward facing lights Environmental – Lighting Solar projects are essentially dormant at night, requiring minimal lighting ---PAGE BREAK--- PAGE 50 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables • Trackers tilt the panels east/west as the sun moves across the sky • Light is reflected back towards the sun • When sun is near horizon, light is reflected upwards towards sky • During maintenance, arrays can manually be directed away from residences Panels have Anti-Reflective Coating Arrays follow the sun and direct light back into the sky Environmental - Glare Solar projects produce minimal glare which will be confirmed by FAA clearance and glare analysis report ---PAGE BREAK--- PAGE 51 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Viewpoints will updated prior to submitting Special Use Permit Application to incorporate additional boundary and design modifications 360-renderings are/will be viewable on publicly accessible website Viewpoints are as follows: 1. Thousandaire Blvd – Shows view from along SR-160 2. Hafen Ranch Road – captures view from school and residences 3. Winston Ct – captures view from residences 4. Superior Lane – captures view from residences 5. E H & S Lane – captures view from residences 6. Coyote Drive – captures view from residences 7. Fox Road – captures view from residences 8. Turner Blvd – captures view from residences Environmental Viewshed Refinements to design will continue to be made to minimize viewshed impacts to neighbors and community, to greatest extent possible ---PAGE BREAK--- PAGE 52 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Fencing: • 7-foot fences required by National Electric Code • Separate fence for substation • Accommodations for wildlife movement • No lights • Gates at entrances, Knox Box or similar for first responders Security: • Cameras with remote monitoring • Occasional security patrols • 24/7 on-site security during construction Typical Fencing with Wildlife Opening (Valley Electric Site near Calvada Meadows Airport ) Environmental Fencing and Security ---PAGE BREAK--- PAGE 53 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Fthenakis, Yu; Analysis of the Potential for a Heat Island Effect in Large Solar Farms. Colombia University & Brookhaven National Laboratory Barron-Gafford, The Photovoltaic Heat Island Effect. Scientific Reports "The field data also show a clear decline of air temperatur es as a function of distance from the perimeter of the solar farm, with the temperatures approaching the ambie nt temperature (within 0.3 degrees at about 300m away" "Analysis of 18 months of detailed data showed that in most days, the solar array was completely cooled at night, and, thus, it is unlikely that a heat island effect could occur." Fthenakis Study: Environmental Heat Island Glass (80%+ of panel) Concrete Sand/Gravel Thermal Emissivity 0.96 0.94 0.9 Heat Capacity (J/kg.K) 792 879 780 Density (kg/m3) 120 145 108 Typical Thickness (in.) <0.5 4-6 N/A Glass and Concrete Compared: Pavao-Zuckerman Study: Dissipation of all heat effects 200m beyond project Scholarly research finds no evidence of heat island impact 200m from project ---PAGE BREAK--- PAGE 54 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables 100% coverage, full USFWS protocol surveys completed • Qualified and experienced Biologists • Parallel pedestrian transects spaced at 10-meter (~33 feet) intervals Results: • 4 tortoise per square mile observed (compare to 11 on Yellow Pine), considered "very low population density" Anticipated Mitigation: • Translocation to Stump Springs* and USFWS- approved translocation plan • 2-pass clearance surveys, tortoise fencing • Worker education program • Speed limits outside of cleared areas • Hazard prevention (capping holes, trench escape ramps...) • Measures to avoid attracting predator populations • Tortoise discovery protocols • Long-term monitoring and reporting *Based on Yellow Pine requirements Environmental Desert Tortoise ---PAGE BREAK--- PAGE 55 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Environmental - Avian Studies at PV sites: Dataset Fatalities per MW per Year Nearest available project (near Primm) 0.08 All solar in SW US 1.82 Impact Minimization • USFWS-approved Bird and Bat Conservation Strategy • Nesting bird surveys • Avoidance of active nests • Incorporate current guidelines into design (APLIC) Relationship between birds and solar projects is still being explored, but the Project will take several measures to minimize potential impacts Ongoing Studies • Multi-year monitoring efforts at several solar projects • Coordinated through BLM and USFWS • Inconsistent results, geographic-based • Lack of background data for comparison • Nearest monitored projects shows very low level of avian impacts Solar in total: 38,000-140,000 ---PAGE BREAK--- PAGE 56 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables crust in soil is the top thin layer that contains living material. Important for biodiversity and water retention. Cyanobacteria are component of biotic crusts, and convert atmospheric nitrogen into the soil, benefiting plant growth Project Impacts Initial studies estimate 7% of project area contains crusts Importance to Desert Ecosystem Environmental Crust & Cyanobacteria Impact Minimization Additional determinations of crust locations, avoidance to greatest extent feasible Several experimental efforts underway to study effects of removal/replacement or transplantation. Evaluation of results. ---PAGE BREAK--- PAGE 57 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Cultural Resources • Full Class III Survey Completed • Results confidential, project archaeologist working with BLM and SHPO (Candela has not seen) • Next steps: • Analysis and review of identified significant resources • Tribal consultation • Avoidance (site plan adjustment) or data recovery • Mitigation: • Worker training program • Mowing where possible – minimal soil disturbance • Immediate stop-work order near discovered resources, and Archaeologist on-call to respond ---PAGE BREAK--- PAGE 58 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Ongoing Vegetation Management • Vegetation under arrays encouraged but maintained below 1.5-3 feet • Mowing primarily, grazing possible (but unlikely) • Vegetation Management Plan to be approved by BLM Vegetation – Maintenance and Weed Management Sheep grazing in AZ Prevention of Weeds • Approval of Weed Management Plan During Construction: • Inspection of vehicles entering site. Heavy vehicles will be cleaned before entering site • Routine inspections for weed populations and treatment • Mechanical or chemical treatment – only BLM & EPA-approved, non-toxic chemicals. Mechanical preemergent strategies preferred • Certified weed-free materials (waddles, mulch) During Operations: • Routine inspections for weed populations and treatment • Mechanical or chemical treatment – only BLM & EPA-approved, non-toxic chemicals. Mechanical preemergent strategies preferred ---PAGE BREAK--- PAGE 59 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Health and Safety Impacts of Solar Photovoltaics. NC Clean Energy Technology Center Solar Panels • Consist of mainly glass, aluminum, plastic, copper, and semiconductor, all recyclable. Trace amounts of tin-based solder, silver, and other common electrical materials (found in most electronics). • Fully encapsulated from air and moisture • Decades of proven durability and performance, industry standard 25-year warranty. Expected 35-year useful life • Silicon (80% glass) • Second-most abundant element in earth's crust. PV Silicon is refined with tiny amounts of boron and phosphorus, both common elements with very low toxicity. • Meet European Restriction of Hazardous Substances standards for trace metals (stricter standard than U.S. standard) • Extensive testing for leaching threat showed no potential toxicity threat • Thin-film (CdTe) (98% glass) • Contain cadmium, but in form of cadmium telluride, which has high chemical and thermal stability and low toxicity. Non-soluble and non-volatile. In fire, glass melts and encapsulates 99.9% of CdTe. • Cadmium is byproduct of zinc and lead refining, not mined for directly • Worst-case scenario testing (simultaneous destruction, fire, and acid rain at intensities far greater than naturally possible) show insignificant amounts of chemical leaching Panels and Other Components Solar Panels are made of common materials and are non-hazardous! ---PAGE BREAK--- PAGE 60 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Health and Safety Impacts of Solar Photovoltaics. NC Clean Energy Technology Center Testing and Disposal Testing and Precautions • Constructed with safety glass (panels crack, but do not shatter) • Engineered for wind speeds up to 150 mph and golf-ball sized hail • Tested in extreme conditions (simultaneous destruction, fire, and acid rain at intensities far greater than naturally possible) Disposal and Recycling • Both technologies meet EPA classification of non- hazardous waste • Both can be economically recycled and silicon/CdTe reused to make new panels. Even general recycling facilities can economically recycle panels) • Hazardous Materials • Minimal hazardous materials on site: • Vehicles containing fuel, batteries, transformer oil, and common universal wastes (light bulbs, spray cans) • Implementation of Hazardous Materials Management Plan approved by BLM prior to construction Panels are thoroughly tested and materials will be disposed of properly Indicative Recycling Process ---PAGE BREAK--- PAGE 61 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Low Fire Risk In general fire risk on site is low as the arrays and equipment are constructed of non-combustible material (glass, steel, etc..). Inverter, Transformer, and Energy storage systems include outdoor rated enclosures and adhere to National Fire and Electric Code requirements. All work vehicles would carry portable fire extinguishers Emergency Preparedness • Close coordination with Nye Department of Emergency Management and Pahrump Valley Fire and Rescue, including: • Review of site plans for compliance with International Fire Code • Review of emergency procedures • Training of first-responders (to be stipulated in Development Agreement) • Worker training for emergency prevention and response • BLM and Nye County required plans: • Fire Management Plan • Emergency Response Plan • Health and Safety Plan Emergency Response • Knox Box or similar at site entrances to emergency access • Remote monitoring and safe-shutoff capabilities Health & Safety Plan PV Plants pose low fire risk and detailed fire & emergency plans will be submitted and followed ---PAGE BREAK--- STRICTLY CONFIDENTIAL STRICTLY CONFIDENTIAL Next Steps 7 ---PAGE BREAK--- PAGE 63 PRELIMINARY SUBJECT TO FURTHER DESIGN AND DISCUSSION I Candela Renewables Rough Hat Nye is at the beginning of a development process which will include multiple opportunities for the community to engage and be heard before the project proceeds to construction and operation • Candela will continue to engage with the community and residents, individually or in groups • Office Hours tomorrow (12/1) from 9 a.m.- 3 p.m. at Mountain Falls Golf Course Grill Room – Outside Patio • Please feel free to contact Candela at any time with questions or additional comments • BLM will hold a virtual Public Information Meeting for the Rough Hat Nye project in January • The public will have an opportunity to be heard as part of BLM's process • Candela will not be presenting additional material at the PIM, and will not be able to respond to questions or comments • BLM is expected to publish a Notice to Proceed to the NEPA process in Q1 2022 • Initiates a public review process with 3 public scoping meetings and opportunity for written comments • Candela will continue to evaluate measures to avoid and mitigate impacts of the project on neighbors, Hafen Elementary and recreation incorporating modifications to layout and design to address these issues Next Steps