From The Grand Junction Daily Sentinel (Dennis Webb):
Two local irrigation districts are looking to replace the aging Grand Valley Power hydroelectric plant by the Colorado River near Palisade with a new, adjacent plant after deciding against trying to keep the old plant running.
The Orchard Mesa Irrigation District and Grand Valley Water Users Association expect to spend some $10 million, not counting cash spending and in-kind contributions to date, on what is to be called the Vinelands Power Plant. It will replace a plant that dates to the early 1930s.
The existing plant is owned by the federal Bureau of Reclamation but administered by the two local irrigation entities, with Orchard Mesa Irrigation overseeing day-to-day operations and Grand Valley Water Users diverting water for it. The local entities hold a lease of power privilege contract granted by Bureau of Reclamation to operate and maintain the existing plant, and will be negotiating a new lease with the agency for the new plant.
Those negotiations take place in public, and are scheduled to begin at 1:30 p.m. on Monday in a virtual meeting on a Microsoft Teams platform. Information on joining the meeting may be obtained by contacting Justyn Liff at firstname.lastname@example.org or 970-248-0625.
A 30-minute public comment session will follow a scheduled two hours of negotiations, and negotiations will continue on another day if needed, said Ryan Christianson, water management chief for the Bureau of Reclamation’s Western Colorado Area Office.
Mark Harris, general manager of the Grand Valley Water Users Association, said the hope is to begin construction on the new plant this fall and to have it operating within a year or so afterward.
The irrigation entities had been proceeding on parallel tracks, both pursuing continued operation of the existing plant and considering the possibility of replacing it…
Only one of the current plant’s two turbines is being used now. Harris said if the plant were rehabilitated, it could produce up to about 3.5 megawatts of power, compared to close to 5 megawatts for the new one.
Power from the plant had been sold to Xcel Energy, but starting this year, it is being sold to Holy Cross Energy, based in Glenwood Springs.
Harris said the new plant will be owned 51% by irrigators and 49% by Idaho-based Sorenson Engineering, which will build it. Harris said the company has built several power plants for the Uncompahgre Valley Water Users Association.
The Palisade plant will be built on land owned by the Bureau of Reclamation and by Orchard Mesa Irrigation. The project also makes use of fairly senior federal water rights and a federal canal to supply the plant, which are also reasons why the lease with the Bureau of Reclamation is required.
For the plant’s owners, the project will produce revenues from selling power to Holy Cross. Harris said irrigators also benefit because water that supplies the plant also improves the ability to get irrigation water into a canal at the upstream “roller dam” diversion point at times when the Colorado River is running low.
However, the dam has broader benefits as well. Harris said the Bureau of Reclamation holds a water right for the plant of 400 cubic feet per second in the summer and 800 cfs in the winter. That water helps bolster flows immediately downstream in what’s known as the 15-mile reach, an area of critical importance for four endangered fish because water levels can fall so low between where irrigation diversions occur for Grand Valley uses and the Gunnison River meets the Colorado River downstream.
Keeping a power plant operating protects the federal water rights and helps in ensuring compliance with Endangered Species Act requirements to protect the fish, which Harris said benefits not just local irrigators but numerous other water diverters on the Colorado River in the state, including diverters of water to the Eastern Slope.
The plant’s benefit to the fish has helped in securing a lot of partner funding for the new plant, from sources such as the Upper Colorado River Endangered Fish Recovery Program, Bureau of Reclamation, Colorado Water Conservation Board and Colorado Water Trust.