A California-based company is proposing to build four commercial solar farms on two vacant parcels of land in Bethel Township near Northern Lebanon High School.
SR Captura Sage Holdco 1 LLC, based in San Francisco, filed two conditional-use permit applications with the township on Aug. 14 to construct approximately 16,632 solar arrays, or solar panels, on just over 25 acres in the highway commercial district. The company is commonly known as SR1.
Highway commercial district zoning is defined as an area along a major highway for the sale of goods and services to the community and surrounding region.
Bethel Township’s zoning ordinance permits the construction of solar farms within the township, according to township supervisor chairman Richard Rudy.
At a special meeting on April 3, 2023, supervisors unanimously voted to approve “solar energy collecting facilities including ground-mounted solar arrays, roof-mounted solar systems, and solar farms and to provide regulations governing those uses” by enacting Ordinance 040323.
If approved by Bethel Township officials, construction on these two parcels is expected to commence in 2025, with a planned commercial operation date as early as 2026, according to conditional-use applications obtained by LebTown.
The documents state Andrew Whitehill of Fredericksburg, owner of 81.6 acres adjacent to and across from Northern Lebanon High School, signed a 25-year land lease with SR1 on Oct. 6, 2023. The rental agreement notes Whitehill will be compensated at an annual rate of $2,000 per acre for the first year from the date the plan receives approval to proceed.
Another provision of the agreement includes annual rent increases on a compounding basis at a rate of 2.5 percent beginning on the anniversary date of project approval.
The lease also includes an extension option to renew the agreement for five additional five-year periods, meaning the solar farms could be there for 50 years. The application notes, however, that the life cycle of the panels involved with this project is about 40 years.
The agreement states that Whitehill is to be paid $10,000 for the initial due diligence period upon execution of the lease agreement and will receive an additional $5,000 for each year that the project isn’t approved beyond the date the agreement was signed on Oct. 6, 2023.
At the Aug. 8 supervisors meeting, township solicitor Andrew Morrow told board members that they must conduct a special public hearing within 60 days from the date the applications were filed, meaning no later than Oct. 14.
“This is exactly like a zoning hearing would be with the MPC (Pennsylvania Municipal Planning Code) requirements” said Morrow. “That will be a special meeting, it will not be at a regularly scheduled supervisors meeting. That would just be way, way too much.”
Morrow said the hearing date would most likely be in early October. At that same meeting, a supervisor said the applications would also have to be sent to Lebanon County planners for review, but Morrow said that isn’t the case.
“It won’t have to go at this point, they are seeking zoning relief at this point,” he said. “This isn’t the township looking to actually adopt a zoning ordinance, so that would not actually be necessary at this point.”
The general overview of the project states that in addition to SR1, Lebanon 22 I LLC, Lebanon 22 II LLC, Lebanon III LLC and Lebanon IV LLC – collectively known as “Lebanon 22” – are affiliated with Penn Renewables LLC, a Philadelphia-based company that builds and operates renewable energy facilities.
LebTown called a telephone number listed on the application with a Chicago area code several times and wrote several emails to an address listed for Penn Renewables under the first name of Eric seeking comment, but had not heard back as of publication.
After the story was posted, LebTown received an email from Augstin “Gus” Abalo, whose name appears throughout the lease agreement as authorized signatory for SR1, with answers to questions that had been posed. Abalo and business partner Eric Sieckmann are listed on Penn Renewables’ website.
Abalo’s bio on Penn Renewables website says he is “a seasoned renewable energy industry veteran with over ten years of experience in solar development, project acquisition, deal origination, and management.”
One question LebTown has for Abalo is why there are six entities listed under the “Who We Are” section of the application, while another area lists the project owner as “SR1/Lebanon 22,” which makes it seem like all six entities are one and the same.
Lebanon 22 I seeks to own and operate one of two solar farms, which will span 7.3 acres, on the north side of Route 22 adjacent and across the street from the high school. That land is situated between Route 22 and the elementary school.
Lebanon 22 II will sit adjacent to Lebanon I and cover 6.9 acres, for a total of 14.2 acres. That plot has a total of 36.5 acres.
Lebanon 22 III would occupy 7.2 acres, while Lebanon IV requires 3.7 acres, for a total of 10.9 acres. All together, the four solar farms require 25.1 acres of the 81.6 acres owned by Whitehill.
Additionally, the decommission section of the application notes that a total of 54.3 acres are required for this project.
Part of that remaining acreage will be utilized for perimeter fencing, transmission lines, a parking lot and an on-site storage structure. Where the storage structure would be located is not included on maps included with the filing since its construction would have to be approved by township officials, as noted in the application.
Abalo wrote to LebTown in an email an answer to explain why there are four separate entities listed for this project.
“In order to operate a solar farm, you need approval from the utility that serves the area and the PA Public Utility Commission. We divided this project into 4 separate solar farms and consequently 4 separate legal entities in order to facilitate a cleaner approval process with First Energy/Met-Ed and the Commission,” he wrote.
The application also states there will be no on-site storage of electrical generation and that “all equipment related to the project will not be higher than 20 feet from the ground except for the power lines at the interconnection point, which will be no higher than 30 feet from the ground.”
Midatlantic Interstate Transmission and Metropolitan Edison are listed as owner and second owner, respectively, of just over 9 acres on a parcel that abuts the plot that would house Lebanon 22 III and Lebanon 22 IV, according to the Lebanon County Parcel Viewer.
Julie Cheyney, director of the Lebanon County Planning Department, told LebTown that solar farms are often built near existing transmission lines so that connections can be made to move that power from its source to its destination.
FirstEnergy Pennsylvania Electric Co., listed in the application as “successor in interest to Metropolitan Edison Company,” sought and received approval from the Pennsylvania Utility Commission in February 2024 for a customer-generator status agreement with SR1.
The project scope further states in the applications that three of the four solar operations will have a capacity of generating 2,000 kilowatts (kW) each and be capable of generating 4MM kilowatt-hours (kWh) each per year. The exception is Lebanon 22 IV, which will have a capacity of 1,000 kW and generate 2MM kWh per year.
A kWh is a unit of measure for using one kilowatt of power for one hour, and it equals the amount of energy one would use by keeping a 1,000-watt appliance running for an hour.
SR1’s applications also contain two other provisions. One says the construction of the solar farms would provide educational opportunities for Northern Lebanon High School students.
The application reads: “Lebanon 22 has reached out to Northern Lebanon High School to explore an educational partnership with the school district to provide live data from the Solar Farms and provide general educational presentations to students in the district.”
Northern Lebanon School District superintendent Dr. Gary Messinger Jr. told LebTown that no one from a solar company with any of the names listed on the applications has talked to him about educational opportunities for district students.
“I’ll be frank about it, approximately two to three years ago, we did meet with a solar company to discuss whether or not it would even be feasible for us as a district to use some space on the elementary site or possibly even purchasing some farmland that’s directly to our south,” said Messinger. “Ultimately, we felt that it would not financially make sense. The board president was involved in that discussion. We had a presentation made to us, but said we weren’t interested. At the time, they did talk about educational opportunities and that if we were going to put something on our property, then we would want to use it as an educational opportunity but we never got past meeting one.”
That meeting, he added, occurred with officials from McClure Electric Co. and not any of the entities listed in the application for this project.
Messinger said no one has talked with him recently about putting solar panels near any district school building, adding he is also not “aware of anyone wanting to do that at this point.”
He said if he is contacted, the district would potentially be interested in educational opportunities but also stated that the district does not have any current curriculum that ties into that industry. Messinger said he is unsure if a science teacher or other district employee may have had a casual conversation about educational opportunities with a representative associated with these solar farm proposals, but as far as any formal discussions, which would have involved him as district superintendent, “not one word has been discussed about it.”
He added any formal agreement between the district and outside entities would come to him to be placed on a board meeting agenda and ultimately decided by a vote of the school board members.
Messinger expressed shock over the leasing of that land for solar farms based on recent developments.
“I am blown away by this because I had heard that he had signed a 10-year lease with a farmer to farm the land over there,” said Messinger. “We had heard that he had taken the property off the market because he had leased it to a farmer to plant crops. This is baffling to me that this is even happening or that there are discussions about it (a solar farm).”
Messinger said the district had explored purchasing one of Whitehill’s plots given their proximity to existing district infrastructure.
“It was up for sale, but we thought it was overpriced,” said Messinger. “And then some things changed for us a little bit financially and we thought we should make an offer below what he was asking, but he told us he had taken it off the market.”
Abalo wrote this about the potential relationship with the school district: “We have and continue to try to reach out to the School District. We think there is a great learning opportunity and partnership between our project and the students in the Northern Lebanon School District. We will continue to try to build this relationship. We have yet to hear back.”
The other provision on the application would introduce a pollinator habitat on the two parcels. How much of the remaining 27.3 acres would be dedicated for the habitat is not specified.
The habitat is called “a unique feature” and would attract pollinators like butterflies, flies, moths, ants, birds, and even some mammals that are essential to crop growth. The solar arrays would be located near farm fields, according to the document.
The applicant states, “Pollinator habitats are plant communities that facilitate and contribute to foraging, nesting, and/or overwintering resources for wild insect and animal pollinators. Lebanon 22 is going to install a pollinator habitat on the property to facilitate a welcoming habitat to these essential pollinator insects and animals in an area that is dominated by surrounding farm fields.”
It further notes, “Lebanon 22 and Mr. Whitehill have discussed the plan to include a pollinator habitat with surrounding landowners and nearby farmers, and many are excited about the prospect of the habitat because it may serve to improve crop health and yield. To be clear, Applicant is not introducing or releasing any pollinators to the property. Rather, it simply is creating a hospitable habitat for the existing population of pollinators in the area.”
Abalo answer about the pollinator habitat stated: “When we install the solar arrays and connection lines, we’ll need to move ground soil. The pollinator habitat will be planted in the area where earth is moved (i.e. under and around the solar arrays).”
The application lists the ground arrays at 12 feet off the ground, which is 8 feet below the township’s maximum allowable height of 20 feet. Other notable project requirements include construction of a gravel parking lot and an 8-foot-high fence around each farm, vegetation planting to reduce glare and impervious coverage that will not exceed 50 percent of the land mass for each farm.
The township’s solar ordinance also requires an annual inspection with the applicant stating it will conduct them annually along with one to two preventative maintenance visits and zero to three visits per year for corrective maintenance.
The document states that both Lebanon 22 and Whitehill, respectively, are responsible for the decommission of the solar farms.
“Within six months of the end of the lease term with Mr. Whitehill or, if after no electricity is generated by the Solar Farm for 12 consecutive months, within six months thereafter, Lebanon 22 shall decommission, at its expense, the Solar Farm.”
The application states that the lease agreement was amended on Aug. 8 to require Lebanon 22 to remove all improvements and personal property within six months after the expiration of or early termination of the lease.
That includes removing the solar panels, connection lines, roads, foundations and any other associated facilities. The purpose of the amendment is to return, as near as possible, the land to its original condition prior to the lease and to leave the premises in “a good, clean condition.”
Since he is leasing his land, Whitehill acknowledges in the application that he’s “ultimately responsible for the operation and maintenance of the Solar Farm.”
SWCA Environmental Consultants, a Biglerville-based firm, prepared in August a “Decommissioning Plan for the Lebanon 22 Site Solar Project,” and that information was submitted within SR1’s applications. It notes that decommissioning would take 12 months to complete and have a net decommissioning cost of $636,258.
The applicant has to supply a bond of 125 percent of the estimated decommissioning cost three days after all necessary approvals are given for the project. Additional terms state the bond must be provided before any land development begins, and Lebanon 22 must perform a review of the estimated decommissioning fees every five years.
Abalo also wrote that he’s excited to build a relationship with the landowner and the school district.
“We’re excited to partner with Mr. Whitehill, Bethel Township, and hopefully North Lebanon School District (sic). Obviously, construction of the solar farms will be evident by residents, but once construction is complete and the solar farms are operational, I think people will see that this will be a low footprint use of the property.”
Editor’s Note: This article was updated to reflect answers from emails sent by LebTown to Sieckmann that were answered by Abalo.
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