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Nathan Rogers of Origis Energy addressed the Covington County Commission regarding tax abatements for a proposed solar project during a regularly scheduled workshop last Thursday. The discussion came after Origis’s plan for a solar farm in the Oakey Ridge community was abandoned in 2024 due to community opposition.

Rogers, who serves as the director of project development for Origis Energy, spoke to the commission about CR Solar and a possible new location within the county.

“This is a 160-megawatt solar project located exclusively on land owned by Charles Dixon and Company 2 and a half miles west of Carolina. We intend to lease roughly 1,200 acres out of about 8,000 acres of contiguous timberland with all the adjoining parcels being owned by the Dixons,” Rogers said.

According to Rogers, the nearest residence is approximately 1 mile from the proposed site location.

“There is a total capital investment of about $200 million, and if all goes according to plan, we would start construction early 2026 and have it online end of 2026 or early 2027. Not only are all the adjoining parcels owned by the Dixons, but they are all in timber. Once this thing is operational, not a single soul will either hear or see it,” he said.

Rogers referred to Alabama state law that specifies tax abatement can be requested through non-educational sales and use of taxes for a 20-year period.

“The Wing project received the maximum abatement allowed under statute with a 90 percent abatement of non-educational sales of property taxes for 20 years. What we are proposing is a 50 percent abatement of sales and use taxes and then a 50 percent of non-educational property taxes for years one through five with the abatement value increasing by two and a half percent per year starting year six. What that means is by year 20, it will have maxed out at 87 and a half percent, and the abatement goes away for statutes starting at year 21,” he said.

Rogers said he felt the proposed project would translate into economic benefits for Covington County.

“We estimate that it will generate $17 million in total property taxes. Over the life of the facility, $1.8 million would go to the county’s general fund, roughly $900,000 to bridge and road, $1 million to county fire protection, and obviously a good chunk would go to the school district and state,” Rogers said.

Commission Chairman Michael Smith asked Rogers about the proposed tax abatement increasing by 2.5 percent after the fifth year.

“So you want (the commission) to give you more abatement over the years instead than you give it back?,” Smith asked.

“For years 6 through 20, the abated value steps up. Yes, that’s correct for the proposal in exchange for the facility that depreciates over time,” Rogers said.

Dist. 4 Commissioner Tommy McGaha said the county was told by a former Origis CEO that an abatement would not be required for construction of the solar farm. Rogers said that CEO has since retired.

“The abatement means that we install the facility more cheaply and sell the power more cheaply. In this case, (Alabama Power) sells its power more cheaply to their big industrial customers. That’s how we make the economics look more attractive. It is within our right under Alabama law to seek abatement. We don’t have to in order to build it,” Rogers said.

Origis Energy officials had stated during an Oakey Ridge meeting they would not return to Covington County and Smith said the company has not handled other items related to the Wing solar farm.

“You said you will go do landscaping in the Wing area, which has not happened. How can this commission trust your company now?,” Smith said.

“We are working on it. It was a miss on our part, and had we seen it, we certainly would have done it at the time,” Rogers said.

Dist. 3 Commissioner Lynne Holmes questioned Rogers about a bill in a letter dated Oct. 2, 2024, from the county.

“We have an issue with roads (in Wing) that were torn up and need repair,” Holmes said. “This letter is the fourth notice that went out for the road, which had to be fixed at the taxpayers’ expense. I don’t know what decision Origis made, but the bill has never been paid. It has come my understanding since that time the bill is going to be dismissed, which may or may not be true. You have asked for another copy, and I put that out for our chairman and our attorney to decide. I go back to what he said: if you’re not going to be responsible for the messes you’ve already made, how can we trust you to come back again?,” Holmes said.

The bill for the road repair was said to be $5,400.

“I want it on record that this was an issue, and we have not said anything prior to it publicly, but as the commissioner in Dist. 3, which includes Wing, I feel like it’s my place to do so,” Holmes said.

No action was taken regarding Origis and the proposed solar farm, including during Tuesday’s regular meeting of the county commission Tuesday.

The next workshop is scheduled for Thursday, March 20, 9 a.m., at the county administration building. The public is invited to attend.