Bedford city seeks funds for hydroelectric upgrades

The city of Bedford is seeking federal money to make improvements to its hydroelectric plant on the James River in Snowden.

Bedford City Council voted last week to authorize a letter supporting the federal application. The deadline to submit the request to Rep. Tom Perriello, D-5th District, is today.

The city request would be subject to a lengthy process to determine if it is eligible for federal funds, said Jessica Barba, Perriello’s press secretary.

She said Perriello is likely to submit the city’s request to the Transportation and Infrastructure Committee, which would consider including it in a bill next year that would authorize the United States Army Corps of Engineers to study the project to determine if it meets “federal interest” for funds.

This particular funding source is for “long-term projects,” Barba said, and may take several years to reach localities.

In April, City Manager Charles Kolakowski led Perriello through a tour of the plant on Virginia 130 near the border of Amherst and Bedford counties. Kolakowski said since the tour, the city has worked with Perriello’s office to identify various funding opportunities.

Kolakowski said improvements to the plant, which the city has operated since the early 1900s, could generate “more clean energy.”

“It’s an opportunity to maximize production of a current facility that will help control costs for energy,” Kolakowski said.

Two turbines are currently used at the plant to supply the city with about 8 to 12 percent of its yearly power use. The city is considering installing another low-flow turbine to compensate for low water levels that limit the plant’s capabilities, but council did not allocate local funds for it in the current budget.

The city included the additional turbine, estimated at $1.5 million, in its list for federal stimulus funds but has not been notified of any approval, Kolakowski said.

He said upgrades to the plant through the application headed to Perriello’s office could include the turbine or other equipment to help it “operate more efficiently.” He did not provide an exact dollar amount the city is requesting when reached for comment Monday, stating that the letter was still in draft form.

Bedford Mayor Skip Tharp said on Monday he did not yet know the exact amount the city is requesting.

When water levels are low, Kolakowski said there are some days when the plant can’t operate due to minimal flow requirements within the city’s permit issued by the Federal Energy Regulatory Commission.

The city, in addition to using the plant, purchases electricity on the wholesale market. Because the market is not subject to the same rate regulations, it is more expensive for the city’s bottom line.

“That fluctuates with the market, but it’s not getting cheaper,” Kolakowksi said of the costs. “The more we get out of the plant the better.”

The city’s current electric budget is $24.5 million, nearly 2 percent higher than the previous fiscal year.