Kentucky

Coal-to-solar project is one of the largest economic investments in this KY county

One of the largest private capital investments in Martin County’s history is moving forward.

Martin County Solar Project is a planned $231 million investment that would create 11 full-time Kentucky jobs, with eight of them in the county. Savion, a renewable energy company, plans to begin constructing a solar energy generation facility on a reclaimed coal mine site in July.

“We are building a future that works for all Kentuckians, and that future includes an increased reliance on renewable energy,” Gov. Andy Beshear said in a news release. “To maintain the incredible economic momentum we have established this year, we must continue to compete for all forms of energy investment. I want to thank Savion for choosing Kentucky.”

Earlier this month, the project received a set of approvals from the Kentucky Cabinet for Economic Development for industrial revenue bonds, along with two sales tax abatements of $400,000 on construction materials and building fixtures and $200,000 on electrical processing equipment, such as solar panels and inverters.

Through an agreement made last year with Martin County Fiscal Court, the company will pay $9.3 million in property tax revenue to the county and Kentucky over a 30 year period.

Last month, the project was also approved by the Public Service Commission for a deviation from setback requirements because two neighborhoods are within 1,000 feet. The Siting Board found that the Martin County Solar facility will have a positive impact on the region’s job creation and retention and tax revenue.

Erich Miarka, director of development for Savion, said the project has stirred up a lot of excitement.

“I think everyone agrees that utilizing these old coal mines, theses reclaimed surface coal mines for solar is a great reuse of the property,” he said. “The folks in Martin County have known about this project for a while now and it’s big news.”

Without this electrical infrastructure in place, left from when this site was a coal mine, it would not be possible for a solar farm project to move forward outside Inez in Martin County, Ky. “It has extraordinary transmission infrastructure and that makes it really attractive for solar development,” Adam Edelen said.
Without this electrical infrastructure in place, left from when this site was a coal mine, it would not be possible for a solar farm project to move forward outside Inez in Martin County, Ky. “It has extraordinary transmission infrastructure and that makes it really attractive for solar development,” Adam Edelen said. Silas Walker swalker@herald-leader.com

The project will be located on approximately 1,200 acres on the old Martiki mine site in Martin County, interconnecting with Kentucky Power’s 138-kilovolt Inez Substation, which is on the site. When built, the project will create capacity of up to 200 megawatts and will produce enough energy to power the equivalent of more than 33,000 Kentucky homes. The project may expand depending on the substation capabilities and slope of the land.

The solar facility has an expected useful life of approximately 30 years.

During the 12 to 18-month construction period, the company expects to hire up to 180 construction workers, with a direct payroll of $17.2 million. Hiring will start in May.

The solar project includes a local partnership with Edelen Renewables, founded by Adam Edelen, who was state auditor from 2012 to 2016.

“This country owes a tremendous debt to the people and communities that powered the industrial development of America for a century: our miners and coal communities,” Edelen said. “The Martin County coal-to-solar project is an effort to bring the opportunities of a newer, greener economy to the coalfields.”

Adam Edelen, the founder of Edelen Renewables, after receiving support from Martin County Fiscal Court for a project that would provide 300 jobs and a $300,000 investment annually for 30 years to the county a former coal mining site outside Inez in Martin County, Ky., Tuesday, December 8, 2020.
Adam Edelen, the founder of Edelen Renewables, after receiving support from Martin County Fiscal Court for a project that would provide 300 jobs and a $300,000 investment annually for 30 years to the county a former coal mining site outside Inez in Martin County, Ky., Tuesday, December 8, 2020. Silas Walker swalker@herald-leader.com

Savion is based in Kansas City and focuses on utility-scale solar and energy storage projects in 27 states. It employs more than 120 people. This is Savion’s first solar project in Kentucky and first coal-to-solar project. The company plans to built other solar projects on reclaimed coal mine sites in the region.

The mine site has its challenges, some of which increase the project’s cost, Miarka said.

Martin County Solar Project will use single axis tracker panels that follow the sun, which will increase production. Engineers are working to determine a way to mount the panels, since the subsurface varies. When they drive a pile into the ground, it will either hit soil or a boulder the size of a Volkswagen, Miarka said.

The project site also has old coal mine permits pending, which the company is working with the state to remedy. Defining property lines has also been a challenge because of the physical changes the site went through during mining. The project is also working with different owners of the surface and what lies beneath. Miarka said the project will continue to work through these issues as it creates construction plans and puts those out to bid.

This story was originally published December 10, 2021 at 3:19 PM.

LM
Liz Moomey
Lexington Herald-Leader
Liz Moomey is a Report for America Corps member covering Eastern Kentucky for the Lexington Herald-Leader. She is based in Pikeville.
Get one year of unlimited digital access for $159.99
#ReadLocal

Only 44¢ per day

SUBSCRIBE NOW