The Abridged version:
- The Sacramento Municipal Utility District canceled its power purchase agreement for the controversial Coyote Creek solar farm.
- The 2,700-acre project was poised to add 200 megawatts to the county’s solar power supply.
- The proposal faced vocal opposition from the public and multiple lawsuits over the potential environmental impacts, including the destruction of thousands of native oak trees.
The 2,700-acre Coyote Creek solar project in Sacramento County is facing a significant setback.
The Sacramento Municipal Utility District announced on Monday that “due to project uncertainties” it would no longer be purchasing power from developer DESRI Inc. and its planned Coyote Creek project. In a news release, SMUD cited uncertainties such as supply chain constraints, rising prices, tariffs, schedule delays, environmental impacts and pending litigation.
The Coyote Creek project would be one of the largest solar projects in Sacramento County and would potentially add an additional 200 megawatts to the county’s solar energy supply. The project was planned for an expanse of grazing lands south of Folsom, off Scott Road near White Rock Road.
“Over the years, SMUD and DESRI have delivered multiple important clean energy projects that benefit our community, and we look forward to continuing our partnership for years to come,” said Paul Lau, SMUD’s CEO and general manager, in a statement. “We remain committed to following a flexible pathway to eliminate all carbon from our power supply by 2030.”
It was not immediately clear what the agreement cancellation means for the future of the project.
“We are thrilled that SMUD came to their senses,” said Heather Fargo, the former Sacramento mayor who is now president of the Environmental Council of Sacramento. “We do not know yet if this completely kills the project.”
Fargo added that another utility could possibly pursue the project, but it would need a transmission agreement with SMUD.
Local debate over impacts to environment
Sacramento County supervisors unanimously approved the Coyote Creek project in November, after a contentious hearing that included hours of public comment.
The project’s location along rolling hills and native habitat drew heavy opposition from environmental groups. On Dec. 18, a pair of environmental groups filed a lawsuit alleging that the developer and Sacramento County did not properly account for the loss of thousands of oak trees and native plants on the site.
The project would mean the destruction of 3,493 trees or a loss of 41.36 acres of oak canopy, according to Sacramento County.
The Wilton Rancheria filed a lawsuit as well in mid-December, alleging impacts to lands that are culturally and historically important to local tribes. A third lawsuit was filed by the California Four Wheel Drive Association, the American Sand Association and the BlueRibbon Coalition, which advocates for public lands.
All three lawsuits allege violations of the California Environmental Quality Act and allege that Sacramento County did not properly account for environmental effects connected to the project.
Representatives from DESRI Inc. said the company is continuing to pursue development on the site. In a statement, the company said that the Coyote Creek project is “well positioned” to preserve local woodlands and advance the county’s climate goals.
“We remain committed to delivering high-quality projects that support Sacramento County and California’s renewable energy goals and mandates,” said Hy Martin, chief development officer of DESRI, in a written statement.
Felicia Alvarez is a reporter at Abridged covering accountability. She’s called Sacramento home since 2015 and has reported on government, health care and breaking news topics for both local and national news outlets.