By Emmanuel T. Erediano
emmanuel@mvariety.com
Variety News Staff
THE chairman of the House Committee on Transportation and Infrastructure believes that the Commonwealth Ports Authority’s solar farm project, once completed, could translate into lower airfares that would encourage more visitors to the CNMI.
The status of the solar farm project topped the committee’s agenda during its meeting on Thursday. A notice of intent to award has been issued to a company following a recommendation from the evaluation committee, but CPA Executive Director Esther Ada said the proposal was sent to the National Renewable Energy Laboratory for further technical review.
Variety learned from other sources that Eastern Power Solutions was issued the notice of intent to award for the CPA solar farm project.
Looking at the bigger picture, committee chair Rep. Vincent “Kobre” Aldan stressed that he and his fellow committee members are examining how the project could translate into lower airfares, thereby increasing tourist arrivals and improving the CNMI economy.
He emphasized that an opportunity to reduce utility costs would enable CPA to significantly assist airline companies through reduced airport fees, which could then be “passed through” to passengers in the form of lower airfares.
“The bigger picture is passing CPA’s utility cost savings to its customers to hopefully help the economy by bringing in more tourists and flights,” Aldan said.
The lawmaker also said CPA could generate income since the solar farm would be built on property owned by the autonomous agency. He added that if CPA is unable to generate revenue from the project to help subsidize airport fees for airlines, “then it has no purpose at all other than for CPA to reduce its utility costs.”
Ada, however, clarified that the intent of the project, as stated in the request for proposals, is to reduce CPA’s utility costs so the agency can realize savings. Currently, CPA’s average annual utility cost is about $3 million for all ports on Saipan, Tinian, and Rota.
As written, Ada reiterated, the RFP does not necessarily intend for CPA to earn income from any excess energy generated by the solar farm. Any potential income would be limited to the ability to sell excess power to the Commonwealth Utilities Corp.
Ada told Aldan that CPA is still in the early stages of discussion regarding the proposal, adding that “it could be something we can bring back to the company for discussion.”
Aside from Aldan, committee members present included Vice Chair Rep. Ralph N. Yumul, Rep. Julie Marie Ogo, and Rep. Elias Rangamar.
Also attending the meeting were CPA Procurement Officer Alex Tudela and other agency representatives.
Emmanuel “Arnold” Erediano has a bachelor of science degree in Journalism. He started his career as police beat reporter. Loves to cook. Eats death threats for breakfast.
