Georgetown Continues to Lose Money on Solar and Wind Contracts

In the Guide to Georgetown, a magazine published by The Wilco Sun, it was reported that the City continues to lose money. The loss is now up to $33M.

Georgetown exceeded its budget by $5.6 million as of June 2019, and it had to sell surplus renewable energy at prices below the purchase price. The amount brings the total over-budget figure to $33 million since 2016, the first year Georgetown began using renewable power. 

The city ended its contract with LCRA in 2012 and signed a 20-year contract with Spinning Spur 3 for wind energy in 2013 and a 25-year contract with Buckthorn Westex for solar energy in 2015.

Georgetown is reaping another benefit (sarcasm) on the electric debacle.

Rating agency Standard and Poor’s lowered Georgetown’s electric and water utility bond rating from AA to AA- May 28 as a result of the city’s problems with its renewable energy contracts. 

No problem says the City Manager! So what if the City has to pay higher interest rates on future bond sales, including roads and water bonds!