Guam – GRRP project consultant Dave Sablan says that GRRP will foot the bill to connect their proposed incinerator to Guam’s power grid. Sablan gave PNC an interview today responding to this and other concerns brought up by CCU Chairman Simon Sanchez.
“The contract requires that GRRP connect to the grid and so we will pay for all of that cost. The site that we have chosen initially and we are working on is down by the old Gorco facility which is the old Guam oil refinery facility close to the main gate at Naval Station. It’s an industrial area so if we construct it there there is a substation very close by and so it’s not going to be too far for us to connect,” said Sablan.
On Friday lawmakers will hold a public hearing on a bill that would approve this power purchase agreement. Sanchez told PNC that another concern is the cost of the power that the incinerator will be producing. Sanchez said the cost comes to 31 cents per kilowatt hour. “I don’t know how he got that number but the way that this contract works is that GRRP will receive whatever solid waste they can get at the plant. They will burn it and they will produce electricity. The electricity actually belongs to the Government of Guam and it’s the Government of Guam that would have to negotiate with GPA for that purchase or the government of Guam can use the electricity themselves and probably pay a wheeling fee to the Guam Power Authority to move it over their wires into their facility for example like the Department of Education the Department of Administration etc,” said Sablan.
This brings up another concern of the CCU and GPA namely that the power purchase agreement will be between GRRP and GovGuam instead of between GRRP and GPA. Sablan says the deal is with the government of Guam because it not only involves power production but also involves the burning of trash that would normally go to the Layon landfill. GovGuam makes a deal to provide trash to GRRP and GRRP burns the trash and provides GovGuam with the power it makes. This burning of trash is a big reason why Sablan says the deal is good for Guam. “There are tremendous benefits. Number one we will not necessarily have to have more land for land filling so we can stop at cells one and two down at Layon and use that as an ash depository rather than solid waste,” said Sablan adding, “You will save about $227 million dollars in the next twenty years or fifty years actually by not having to build cells three to eleven. The receiver wants to build those cells because he’s going to continue to remain here. I think we need to send him back home to Tennessee.”
The solid waste federal receiver Gershman, Brickner and Bratton get’s paid to handle Guam’s solid waste disposal and manage the Layon landfill.