MARK WAITE / PVT Solargenix's large-scale solar thermal project in Eldorado Valley south of Boulder City takes solar energy and heats a medium which produces steam for generators. Alternative energy proponents says the sight of solar panels could be part of the scenery in Nye County in the near future. Advertisement

While U.S. Sen. Harry Reid espoused the benefits of alternative energy during a town hall meeting in Pahrump two weeks ago, Valley Electric Association was rejecting a pilot solar power project.

The proposal, originally hatched during a brainstorming session with local government and VEA officials in early July, illustrates some of the difficulties in getting the new technology off the ground.

But a representative of Sithe Global Power LLC, said his company will work with the local electricity cooperative in hopes of developing another project in the near future.

Sithe Global Power is an international development company engaged in the construction, acquisition and operation of electric generation facilities in markets around the world, a company prospectus states. Senior Vice-President of Development Thomas Johns said the company is involved in constructing a coal-fired power plant in Lincoln County.

Sithe Global suggested building a demonstration project generating one megawatt of electricity from solar power on VEA property on Thousandaire Boulevard. Johns said a solar plant of that size would require about eight acres.

"It was kind of a pilot project for them to build this little one megawatt plant, and of course we peak at 125 megawatts," said Valley Electric CEO Tom Husted. "The cost to us was 15 to 17 cents per (kilowatt) hour with annual escalation rates, and of course our retail rate right now is about 10.5 cents for residential. So what that would've meant to us was buying power at a higher rate than what we're selling it at."

The company also wanted to use co-op property at no cost, Husted said. "We're continuing to look at alternative energy projects, but this one, the economics didn't prove it... We have high hopes we'll be able to do something along those lines but at a large scale and at a lesser cost."

Johns said Valley Electric officials were helpful in showing how, in the event an alternative energy project were completed, Sithe Global could move power from Nye County to other parts of Nevada. He said Sithe Global was satisfied after talks with VEA, despite the rejection of this demonstration project.

Eileen Christensen, principal scientist with BEC Environmental Inc., said Sithe Global was approached because the company had the capability to self-finance a project.

Johns said it's important for people to get familiar with new, solar technology in a small way at first, through pilot projects, though Husted said VEA preferred a larger project. Johns said Sithe Global agrees with Reid that renewable energy and conservation are an important part of the solution.

But Johns added that his company feels there's a need for other energy sources as well.

"There's two issues with solar," he said. "One is it's more expensive. It's probably in the range of 50 percent more expensive than thermal-based sources. Now we're optimistic in the long term that will narrow. The other issue is it takes a tremendous amount of land for solar. Although there's a lot of land available in Nevada, most of that land is BLM-controlled property."

It takes two years to complete an environmental impact statement for BLM property, Johns said.

Though costs are higher, some utilities offer customers the option to purchase a portion of their power, perhaps 1 percent or 5 percent of their electricity, at a higher price from alternative sources, he said.

The problem with wind power is the wind doesn't always blow when power is needed, Johns said. He described an ideal alternative energy portfolio as including wind, solar and geothermal power.

Johns sounds bullish on the local area when it comes to harnessing solar power. The Pahrump Valley Chamber of Commerce long boasted to visitors Pahrump was second only to Yuma, Ariz., in the number of sunny days per year.

"Clearly Nye County has tremendous solar resources. That was the discussion we were trying to have with this larger group, the potential there. This could be a larger part of the overall economy of Nye County in the future," Johns said.

Nye County Commissioner Butch Borasky said he's optimistic -- Reid's speech indicated that local officials could get federal money or credits to discount the price of alternative energy.

"There may be a way to work with Valley Electric, Sierra Pacific and the federal government so Valley Electric can get the credit for the more expensive power through the federal government," Borasky said. "There is a matrix of solar companies that want to do things here."

It may take a push by county officials to get solar power to Nye County, Borasky said. But he added, "The problem is, Valley Electric is the stumbling block. They don't want to raise their customer rates to get solar power, and we don't either."

While this one company's proposal surfaced in the press, Husted said, "We have people coming into the valley proposing projects almost on a weekly basis.

"There are a number of projects that are in the works right now. We're looking at each and every one of them very seriously. We're looking for more than a pilot project. We're looking for something that would be part of our energy supply portfolio. Then obviously it's not just all take from Valley Electric's perspective," Borasky said.