NICK GOSNELL
Hutch Post
HUTCHINSON, Kan. — The Board of County Commissioners approved a plan to capture methane from the Reno County Landfill.
According to agenda documents, Reno County publicized a Request for Proposals for parties interested in entering into an agreement to capture Methane from the Reno County Landfill.
The proposal from Sparq/Meadowlark was determined to be the best option for the County. The law firm of Stinson LLP was hired to assist county staff in reviewing and revising the contract language to protect the county’s interest.
"We are working on public-private partnerships throughout the region," said Norman Herrera with Sparq/Meadowlark. "This would be a relationship where we would invest in equipment to process your landfill gas to meet a pipeline specification by Kansas Gas Service to inject in their system."
The agreement approved Monday will allow Sparq/Meadowlark to qualify for federal tax credits and begin the project, and then a final agreement will need to be approved in the future. The idea is that under the renewable fuels standard, the methane captured from the landfill would fulfill credits for those who otherwise produce such fuels, those are called RINs.
"The ultimate purchaser would be the obligated party that has to buy this production," Herrera said. "Who are obligated parties? Your majors, your Exxon, Shell, Chevron, BPs of the world that are refining products. As part of refining they also have to buy these RINs as well and these RINs are what we're producing at the landfill once it enters the pipeline."
The county would get money from the methane sold.
"This project would command that range of anywhere between $750,000 to a million dollars with the floor of $37,500 a month," Herrera said.
The final agreement will come before the county commission in 2025, once details are finished.