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  5. ›Vernon Township School District Solar PPA RFP issued February 6, 2025

Awarded contract·Vernon Township School District·New Jersey

Vernon Township School District Solar PPA RFP issued February 6, 2025

Won by HESP Solar$4MSingle Award
Contract source

Awarded vendors

  • HESP Solar

Description

The Vernon Township School District is procuring a 15‑year solar Power Purchase Agreement for its high‑school facilities. A single vendor, HESP Solar, submitted a responsive proposal to design, finance, construct, own, operate, and maintain a ground‑mounted and canopy‑mounted photovoltaic system limited to 2.311 MW DC. The district will purchase the generated electricity on a per‑kilowatt‑hour basis (cents/kWh) with a maximum 3 % annual escalation and a guarantee that the system will produce at least 90 % of the projected annual output. The project must be completed within 12 months of the Notice to Proceed, with a $500 per day penalty for unexcused delays. The contract includes performance and bid bonds, insurance requirements, and options for system removal or purchase after year 10 or at the end of the term.

Attached files

Key dates

Bids closed
3/18/2025
Contract modified
4/10/2025
Duration
15 years

Last updated

Details

Award type
Single Award
Procurement
Full and Open Competition
Industry
Renewable Energy
NAICS
221114

Contract value

$4,000,000

The approved system size is capped at 2.311 MW DC. Using the PVWatts‑derived annual production estimate of roughly 3.1 million kWh, and assuming a competitive PPA rate of $0.07 per kWh (typical for NJ public‑school solar PPAs), the annual energy payment would be about $217,000. Over a 15‑year term this equals roughly $3.3 million. Adding O&M, insurance, performance guarantees, and the $30,000 professional‑services payment required of the awardee brings the total likely contract value into the $4 million‑range. Therefore a reasonable ball‑park estimate is approximately four million US dollars.

AI estimate from the award documents

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