The city of Wasco, in the US state of California, has partnered with Siemens to improve its energy efficiency and reduce both operational and energy costs.
The two signed an energy savings performance contract, which will enable the city to generate its own electricity, power own facilities including; municipal buildings, water treatment and distribution systems, as well as reduce carbon footprints.
Between 30 and 40% of municipal total energy use is accounted for by water and wastewater treatment and distribution. The city of Wasco uses approximately 4.7kWh annually and spends $713,000 per year on water/wastewater treatment and distribution.
The 15-year contract covers the development of a 1.8MW solar energy plant, which covers 60% of the city's total energy requirements.
The solar plant is expected to reduced energy use by 2.8KWh and achieve $410,687 in energy savings during the first year, as well as up to $8.6 million in savings over the duration of the contract.
The solar plant will also participate in the Renewable Energy Self-generation Bill Credit Transfer initiative, organised by Pacific Gas & Electric. The programme allows cities to build up to 5MW of renewable generation on one site and provides a credit for excess solar energy that is produced.
Gilberto Reyna, Mayor of Wasco, said: "This project means a great deal to our city, and it's our first ever renewable energy project.
"By the end of the performance contract, we're projecting to have saved enough energy to power nearly 3,100 homes for a year!"
The contract follows Siemens helping customers to realise more than $2 billion in energy and operational savings over the past 10 years in more than 1,000 performance contract projects.