A new tidal project proposal for Half Moon Cove was brought to the public's attention at the May 10 Eastport City Council meeting. Ramez Atiya of Halcyon Marine Hydroelectric discussed his patented tidal wing technology to an audience of close to 40, including the councillors and city staff. Atiya said, "We would like to develop this project in collaboration with the communities around the cove."
Atiya has been in the area for about two months and was at the council meeting at the invitation of councillor Bob Peacock. Atiya showed a drawing of the project, which would stretch across either the area of the old Toll Bridge Road or the more optimum location closer to the mouth of Cobscook Bay. Councillors and city staff had presentation folders, but no extra copies were available on hand for the public. "A tidal wing is a different tidal generator," Atiya explained. "First, it uses low-cost, low-environmental construction. It's different from a dam because of the operating cycle."
The constructed tidal wing would stretch across the expanse of the cove, much like a dam, but Atiya noted that the structure would be submerged about 20% of the time so that "it is somewhat of a biological open structure. It doesn't separate the ocean from the cove." The project, he estimates, would cost about $62 million; would be an 18-megawatt generator; would take about three years to construct because of the permitting process; and would be financed with a combination of 80% U.S. Department of Agriculture and Department of Energy guaranteed loans and 20% private investment. "Halcyon would take care of the financing from one end to the other," Atiya remarked. The dam would have a life of about 120 years.
Details would not be ironed out until the project was further along, but some possible outcomes discussed were: taking of land for transmission line placement and connection, something that this project as well as Ocean Renewable Power Company's (ORPC) project would need in order to connect to the grid; transmission line upgrades necessary before either project could access the grid; and the need for a crane or lock to allow for fishing boats to access Half Moon Cove.
If the tidal wing project were to be built, Atiya suggested that a municipally owned public benefit limited liability company (LLC) be formed by Eastport and possibly Perry and the Passamaquoddy Tribe. His suggestion that the council move to form an LLC at that evening's meeting was met with resistance from the public and councillors David Morang and Earl Small. City attorney Dennis Mahar agreed with Atiya that the formation of an LLC is a simple and low-cost procedure with the state and would not commit the city to anything. Atiya suggested that a 30-year loan structure would allow for the LLC to collect about $500,000 in net revenue annually for the life of the loan, with that net revenue increasing dramatically once the loan has been retired. Halcyon would want 15% of the net revenue.
Atiya explained that the Half Moon Cove project would be a working and full-scale demonstration project for Halcyon and its partners to use in demonstrating the technology for a 1,328-megawatt project they are proposing for the Severn estuary, the longest river in the United Kingdom. That project proposal process was begun in 2009.
Halcyon, Atiya said, is the patent holder for the tidal wing technology and holds patents in the United States, China, Australia and the Russian Federation and is close to obtaining a patent in Canada. According to Atiya, Halcyon is a corporation involved with a group of corporations "interested in this energy" and in energy technologies, including Alstom Power and Parsons Brinckerhoff.
Audience response was lukewarm, with resistance to the idea of rushing into such a project or even the formation of the LLC. "It's a huge project. We have one little sketch. I would want to know a whole lot more before taking any more action," said Meg McGarvey. Code enforcement officer Robert Scott said, "The agenda item gave no idea" of what this conversation would be about. "It was not promoted well enough to jump forward to an LLC." Councillor Small suggested that Atiya meet with the Cobscook Bay Fishermen's Association, and councillor Morang said, "I don't feel that the ducks are in a row. I would like to know why the tribe said no." Atiya had informed the audience that he had approached the Passamaquoddy Tribe about the project and had been told that the tribe was not interested.
Councillor Peacock, however, was in support of the proposal. "We as a city have an opportunity that I agree needs close scrutiny, but I haven't seen anything other than ORPC that has come into the city... We have an opportunity for the city to bring money into the city. Half a million... it's a chance to invest with no risk. There's no risk to forming an LLC."
The council and audience members suggested to Atiya that he advertise his proposal in local media, meet with community constituent groups and get the word out about the proposal. "We'll table this until the next [council] meeting," Peacock said. Copies of Atiya's presentation are available at the Eastport City Hall or as a PDF that can be e-mailed. Contact the city for more information at 853-2300. |