Home Brick Life Brick Sells Bonds as Solar Field Agreement is Revised Again

Brick Sells Bonds as Solar Field Agreement is Revised Again

Solar panels at the former French's Landfill site.
Solar panels at the former French’s Landfill site.

Brick officials are working on a revised version of the redeveloper’s agreement that will govern the township’s partnership with Standard Alternative, LLC, the company that has built and will run the solar array at the former French’s Landfill site.

The agreement will be the latest of a number of revisions that township councils made up of varying members have approved in the last several years. On Tuesday night, the council authorized the sale of $34 million in bonds for the project, which will be repaid by Standard Alternative.

The solar farm at the former Superfund site owned by the township is likely to begin generating power within weeks, officials have told Brick Shorebeat.


The extent to which the township will benefit financially will depend on the details of the redeveloper’s agreement. At first, the township was to primarily generate revenue as a landlord with the added benefit of being able to generate cheap power for municipal offices and infrastructure. That agreement was forged by a Republican-controlled township council.

In 2012, a mixed township council led by Democrats altered the agreement to make the township more of a partner with Standard Alternative with the opportunity to make more money, but with a slightly greater degree of risk. Under the revised plan – the one that still remains in place but is being revised again – Standard Alternative will be required to pay the township’s bonds back at a fixed interest rate of 4.5 percent. If interest rates on the bonds are lower than 4.5 percent, the township automatically benefits. The agreement also calls for Brick to keep 25 percent of the revenue of solar renewable energy credits, or SRECs, if their price jumps above $600, and receive money in an escrow account if the price jumps above $400. The current price of SRECs in New Jersey, according to SRECTrade Inc., is $160.

When the deal was signed, Mayor John Ducey, then a councilman, said the deal was a win for taxpayers as they could potentially share in solar energy revenue and lock Standard Alternative in to fixed payments.

Bergin said the revised agreement may be ready in time for the council’s next meeting, which will be held Sept. 9.

The solar farm is being built at the former French’s Landfill off Sally Ike Road. The landfill was purchased from a private company by the township in the 1970s and shut down by 1979. It was capped in 2012 under orders from the federal government.

  • Chief Wahoo

    Still pushing the Solar Scam on the SHEEP.

    • viper

      Chief Wahoo, I do believe your correct.

  • viper

    Mr Nee, my comment still stands, why is it not up and running? Are all of the feeder lines in place to connect directly into the power grid? Have the feeder lines been run across to the termination points? Is this new agreement or just a smoke screen from the politicians who screwed up.

    • There has to be a final agreement in place with the solar array’s owner (Standard Alternative) before the switch can be flipped. I’ve been told this agreement will likely be approved at the next township council meeting and the power can begin flowing shortly after. Think of it like buying a new car: the working car is sitting there on the lot, but you can’t drive off with it until you sign on the dotted line.

      • viper

        First agreement was agreed and signed, No easement, no nothing. 2nd agreement waiting to be signed, go ahead and sign it, if no easement you may as well go for a 3rd agreement. How could a Solar Farm be installed without an agreement or without an easement? Brick tax payers schtupped once more. Remind me never to buy a car fro Mr. Nee.

  • viper

    Mr. Nee, Regarding your article, are you providing us with information provided by a public relations hand out? Your article does not answer the question as to why the Solar Farm it is not up or running. What really went wrong?

    • No, my information comes directly from township officials with whom I’ve spoken. I answered below as to why it is not generating power at the moment: the contractual agreement between the township and the solar array owner must be signed and approved by the council before the switch can be flipped on the array. That agreement (which is being revised) is expected to be up for a vote at the next council meeting. Earlier this month, the easements required for JCP&L to build its lines “into the grid” from the site were approved. I do not believe anything “went wrong,” rather, the redevelopment agreement is being renegotiated by our elected officials.

      • viper

        But, why did they fail to get an easement before proceeding with the project? The real question is, “did they screw the pooch at the get-go”? They sure did and the new agreement is a smoke screen. What’s the estimated time that JCP&L allows us to plug in?

  • viper

    No easement means the cables never completed. Failed to get the easement? Changing agreements? It ain’t like buying a car. If the easement was approved, the Solar Farm would have been running. What if JCP&L doesn’t provide an easement in a reasonable time? What has JCP&L stated regarding an easement? Did we ever get an easement from the state or county to dig the trench for the lines?

  • Brandy the Dog

    These fools are speculating on SREC market when they could have entered in to a PPA Power Purchase Agreement at NO cost to the taxpayers — only savings. These riverboat gamblers should talk to the arbitrageurs on the Lacey BOE that squandered millions when the spot price for energy credits plummeted from $650 to under $100, leaving the taxpayers holding the bag for fifteen years. The council is gambling plain and simple. The glut of solar projects in NJ created a bubble that has driven the price screaming down the Supply/Demand curve. If I were a bettor(like the Counci clearly is), I would short the SREC market. Much better shot at making some dough because they ain’t never seeing $600 again:

  • Brandy the Dog

    If anyone wants to see how a bubble bursts,copy and paste this title in your favorite search engine ( sorry, I wasn’t able to make link work):

    Renewable Energy Credits: Why Have New Jersey SREC …
    entersolar.com/blog/nj-srecs-supply-and-demandAug 19, 2011 – The “spot” market price for New Jersey SRECs has dropped … The chart below depicts the implied solar demand for each year as a result of … that since the SREC market crash they have had a 5 to 10% cancellation … commodities in the past, the recent drop in NJ SREC prices came as no surprise to me.

  • j.jones

    This solar farm has been wrong for brick from the start ..More problems for the tax payers to add to there tax increases ..

  • viper

    For the readers, I think solar energy is viable. Some euro countries have decided that all new homes have solar panels installed. I am not stating that it would be more cost effective when the main suppliers of power up the prices in the future, but the benefits for the future ecology would improve. Right now in India (big country big population) they are having brown outs and black outs because of a coal shortage (hard to believe but true). It would also be be great to be able to afford to install solar panels in my home and have some power if any kind of storm blew the JCP&L power out. Yes I know about all the “free” solar installations available. Just trying to make a point.

    The solar farm on Sally Ike Rd is screwed up because they left out the practical from the equation when it was political from the start.