County pauses wind projects, but not carbon

The county isn’t establishing a moratorium on geological carbon sequestration.

It has, however, enacted up to a one-year moratorium on wind farms.

Jay County Commissioners upheld recommendations from Jay County Plan Commission during a public hearing and special meeting Monday.

Ethanol plant POET Bioprocessing is working on a geological carbon sequestration project. It would involve drilling a nearly 4,000-foot well and injecting carbon dioxide — it's a byproduct from creating ethanol — into the well for 12 years.

In June, the plan commission recommended not to enact a moratorium on geological carbon sequestration projects.

POET Bioprocessing plans to invest $50 to $75 million into the project. POET underwent a study with energy firm DTE Vantage of Michigan to obtain two-dimensional seismic data in Jay County. Geologists with DTE Vantage have attended plan commission meetings to vouch for the data, saying it would allow for safely conducting carbon sequestration. They include geologist Matt Hemenway, who attended Monday’s meeting. He said carbon dioxide injection isn’t a new process.

“When an oil field’s at the end of its life and they’re trying to get every barrel of oil out of the field, they will inject (carbon dioxide) into the field to try to produce more oil,” he said.

Geological carbon sequestration, he said, is “the newest, permanent version” of that oil field technique.

Adam Homan, general manager of POET Bioprocessing, has explained at previous meetings that the company releases carbon dioxide from the ethanol process into the atmosphere. Three years ago, it began capturing about 25% of the carbon dioxide and selling it into the liquid, food and beverage market.

He has also said the industry needs new markets for corn and ethanol, with carbon sequestration allowing POET Bioprocessing to offer new products to other markets.

“This project has a really great opportunity to create sustainable value for our company, that’s why we’re so excited about it,” said Homan on Monday.

Local resident Ed Nixon voiced in opposition to a moratorium. He vouched for POET Bioprocessing, pointing to the seismic testing completed and millions of dollars that will be poured into the project. 

Two other local residents voiced support for a moratorium, saying the county needs to take more information and more time to look into the matter. Scott Hopkins said he’s talked with neighbors who haven’t been approached about plans for the project.

Hemenway noted the company still has another two years to move through requirements with Environmental Protection Agency (EPA). Homan shared plans to meet with all impacted landowners, saying they are in the midst of working through the list.

John Hemmelgarn, director of Jay County Building and Planning, pointed out the company has agreed to pay for a third-party firm to conduct additional testing to ensure the project’s safety. A moratorium would give his office more time to work on drafting an ordinance. If the county didn’t enact a moratorium, he said, he planned to see that additional testing through and make geological carbon sequestration legislation a top priority.

Commissioner Duane Monroe said he’s talked with state geologists and Indiana Department of Natural Resources officials on the subject. While he voiced that a third party testing is a great idea, he said the county should stick to the plan commission’s recommendation. Commissioner Doug Horn agreed.

Commissioners then decided not to establish a moratorium on geological carbon sequestration.

Also Monday, commissioners agreed to enact up to a one-year moratorium on wind farms.

Renewable energy company RWE Clean Energy, a subsidiary of electricity company RWE Group, is planning to construct a 200-megawatt wind farm in Jay County. (It would be the third, joining NextEra Energy Resources’ Bluff Point Wind Energy Center and Scout Clean Energy’s Bitter Ridge Wind Farm.) Hopes are for the wind farm to be operational in 2031.

County officials have been discussing amendments to the existing wind farm ordinance, pointing to property setbacks as well as potential issues with the bonding agreement with companies.

The plan commission voted in June to recommend up to a one-year moratorium on wind farms.

Jason Winik, development manager with RWE Clean Energy, argued the county’s current ordinance is substantial. He noted Jay County doesn’t need to establish a moratorium in order to amend its ordinance.

Jeffrey Jones, also a development manager with RWE Clean Energy, pointed to various dollars the project would bring to the county, including economic development payments and tax revenue, as well as jobs.

Nixon said the county needs to promote growth instead of trying to usher new development out the door.

Hemmelgarn explained the moratorium would give his office more time to amend an ordinance. He advocated for the county not to send the recommendation back to plan commission, noting it would make the process take longer.

Horn asked why the county needs to establish a moratorium if there are plans in place to amend the ordinance. County attorney Wes Schemenaur noted companies are required to follow the rules that are in place at the time they apply for permits.

Commissioners again voiced support for following plan commission’s recommendation. Horn said he doesn’t like the connotation of a moratorium, although he added the county needs time to reconsider its ordinance. Monroe voiced similar thoughts.

Commissioners then agreed to enact up to a one-year moratorium on wind farms. (They can decide to end the moratorium at any time.)

Hemmelgarn shared hopes to have various ordinances his office is working on, including a new ordinance regarding carbon sequestration and amendments to the existing ordinance for wind farms, completed by the end of the year.

Also Monday, commissioners Monroe, Horn and Aker:

•Approved spending an additional $33,000 on repairing Seventh Street bridge’s pier caps, a necessary fix discovered amid reconstruction efforts on the bridge. Monroe voiced frustration about the additional cost, questioning why engineering firm Egis hadn’t documented the issue and factored it into the Community Crossings grant application for the project. 

•OK’d a $1,500 change order to use an anti-graffiti coating on the Seventh Street bridge construction project, with the City of Portland to pay the additional cost.

•Took construction bids for seven Jay County houses participating in the owner-occupied rehabilitation program under advisement. Bids included offers from All Circuit Electrical of Bryant, Dave's Heating & Cooling of Portland, Mooreland Roofing and Construction of Richmond, Mustard Seed Remodeling of Portland and Fortitude Design and Consulting of Evansville.

•OK’d purchasing a roughly $180,000 excavator for Jay County Surveyor’s Office and approved securing a five-year, 5.85% interest loan to pay for a portion of the equipment through First Financial Bank.