Assessing a Solar Project and a Virtual Power Purchase Agreement Between the Red Lake Nation and the Minnesota Department of Transportation

Chan, Gabriel; Harrington, Elise; Grimley, Matt; University of Minnesota. Humphrey School of Public Affairs; Red Lake Nation

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Assessing a Solar Project and a Virtual Power Purchase Agreement Between the Red Lake Nation and the Minnesota Department of Transportation

2023-03-01
By Chan, Gabriel ; Harrington, Elise ; Grimley, Matt

[PDF-2.79 MB]

English

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Details:

Creators:

Chan, Gabriel ; Harrington, Elise ; Grimley, Matt

Chan, Gabriel ; Harrington, Elise ; Grimley, Matt Less -
Corporate Creators:

University of Minnesota. Humphrey School of Public Affairs ; Red Lake Nation

University of Minnesota. Humphrey School of Public Affairs ; Red Lake Nation Less -
Corporate Contributors:

Minnesota. Department of Transportation. Office of Research & Innovation
Subject/TRT Terms:

[+]

Climate Change Mitigation Greenhouse Gases Indigenous Peoples Native Americans Partnerships Renewable Energy Sources Solar Energy Tribal Government
Publication/ Report Number:

MN 2023-12
Resource Type:

Tech Report
Geographical Coverage:

Minnesota
Corporate Publisher:

Minnesota. Department of Transportation. Office of Research & Innovation
Abstract:

In this report, we analyze the feasibility of a northern Minnesota solar project and accompanying Virtual Power Purchase Agreement (VPPA) between the Minnesota Department of Transportation (MnDOT) and the Red Lake Nation. We analyze three sets of benefits for MnDOT: government-to-government relations, environmental, and economic. In government-to-government relations, we find great potential for the VPPA to further a first-of-its-kind Tribal energy project and Tribal sovereignty. We also summarize lessons from other governmental entities in pursuing VPPAs. For environmental benefits, we find the array will avoid between 48,000 and 89,000 metric tons of carbon dioxide-equivalent gases, resulting in a monetized environmental value of between $1 million and $9.4 million in avoided emissions-related damages. Finally, for economic benefits while we find the array has a net present value (NPV) between a negative $5.5 million and negative $16.5 million to MnDOT, we identify several project adjustments that could increase the value to more than a positive $3 million in NPV. In conclusion, we recommend MnDOT form a “strike team” to develop the project further, communicate the project clearly, and consult with outside experts on further project opportunities.
Format:

PDF
Funding:

(c) 1036342 (wo) 58
Collection(s):

US Transportation Collection
Main Document Checksum:

[+]

urn:sha256:646454c29a0d9911f6391a6baa3c9473e814272b45487d2457593c2622201417
Download URL:

https://rosap.ntl.bts.gov/view/dot/67843/dot_67843_DS1.pdf
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Assessing a Solar Project and a Virtual Power Purchase Agreement Between the Red Lake Nation and the Minnesota Department of Transportation

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