Napanee is studying whether the water at Springside Falls can one day turn into a cash flow.

The town and the conservation authority that serves the Napanee River is looking into a possible hydro dam that would generate power for sale to the Ontario Power Authority.

Bryon Keene, Quinte Conservation’s water resource manager, said he believes there’s a “50-50″ chance a power station could be built along the waterfall that streams through Springside Park in the town’s east end. He warned that such a project can be challenging and expensive to maintain, but it’s something at least worth looking into.

“Quinte Conservation would love to see it go forward,” he said. “What have you got to lose? You have everything to gain.”

His tone was similar to Napanee chief administrative officer Raymond Callery who filed a report to council two weeks ago, informing them of a joint study with Quinte Conservation.

“It’s definitely worth further investigation,” he later told The Guide. “But we have to make sure it’s affordable.”

The question is whether the income from the project will be worth the costs and the affects on the river. Who would get the money generated from power sales is another issue, altogether, Keene pointed out.

The dam on the river that would be converted to a power station is owned by Quinte Conservation. But it’s located off a town-owned park and near some private properties. If it were to go ahead, a spit of the income would have to be negotiated.

Regardless, Keene believes a power station capable of producing 400 kilowatts of electricity could be built on the site. That would likely generate about $200,000 to $250,000 per year in sales, he said. But with the costs to build and maintain the site, he noted, the users may only see a yearly profit of $20,000 to $40,000.

“We’re evaluating whether it would be worth it,” Keene said. “Council is probably thinking it will generate a whole lot more money than it will.”

Another important item to weight is what effect a station would have on the water. Keene explained that such a hydro site would divert water, although briefly, from flowing down the falls. That could have an effect on fish populations, not to mention the aesthetics of the picturesque park.

Councillors were also warned of this in Callery’s report. It said the project could “create almost total diversion, causing the falls to have very long periods of being completely dry. To avoid this effect, generation periods would be short, significantly lengthening the payback period of the generation equipment.”

Despite these drawbacks, Springside Falls was listed as the second best spot for a hydro dam within Quinte Conservation’s jurisdiction, according to a 2002 report by an independent firm.

The site that topped the list now has a hydro dam up and running.

Keene was involved in the construction and launch of McLeod Dam, located along a rocky section of the Moira River in Belleville. The dam began generating power for sale in 2009, after more than a year of construction. Keene said Quinte Conservation is still paying hefty maintenance costs on the facility but, in time, the project will make up for those expenses and become a revenue source.

He said it’s been an exciting project to be a part of because water power is believed to be the most clean type of power. In other words, the burden on the environment from a water power station is considered to be less than that generated by a nuclear or even a wind turbine power station.

“The governments hope was that they would encourage more projects like this and that’s why they have favourable rates,” Keene said. “Even if they make only modest returns, I think they are the right thing to do. We all want clean air.”

via Town looks at tapping into power of falls – Napanee Guide – Ontario, CA.