Saamis Solar Go, No-Go Vote on Monday’s Council Agenda

Brooks Solar I and II located in Newell County just outside Brooks, AB. (File photo)

A more than $131 million expenditure by the City of Medicine Hat will be on the table for a vote Monday as the first phase of the Saamis Solar project is up for consideration.

It’s being recommended the municipality cover half the costs of a 75 MW project buildout through its energy transition reserve with the remaining portion funded by taking on more than $67 million in debt.

Conditions of the expenditure include council’s approval of taking on that debt, a “long-term energy sales contract” approved by the city’s manager and solicitor as well as regulatory approval.

The City of Medicine Hat purchased the 325 MW Saamis Solar project for an undisclosed price a year ago following council’s approval of spending up to $7 million for a clean energy business proposal in 2023.

The initial cost of the 75 MW first phase of the project was estimated between $115- to $135 million at the time the municipality announced the purchase of the project from DP Energy.

The City of Medicine Hat posted two requests of proposals regarding the Saamis Solar project in 2025. One involved siting, engineering and other technical aspects of the project with the other focused on financial structure options and feasibility.

In an early morning Facebook post Sunday, the Medicine Hat United Ratepayers Association highlighted there has been no feasibility study publicly released with no information available on return on investment, risk or project lifespan.

The post also came with a warning about accountability councillors should be conscious of going into the decision.

“That decision will be on the public record. It will be scrutinized - now and in the future. And, if there are cost overruns, reserve depletion, tax increases, or financial underperformance, council must take full responsibility,” stated the post.

A presentation on the final investment decision on the project is scheduled prior to a council vote on the matter.

The first phase would be located at the end of Division Ave., north of the Parkview Drive extension/23rd Street North and just east of the CF plant.

Council will hold its regular meeting at City Hall on Monday Feb. 2 starting at 6:30 pm.