Fresno County could see $135 million profit on a greenhouse gas solution. Not everyone is sold

The Fresno County Board of Supervisors Tuesday unanimously authorized a revenue agreement with Toro Energy of California that is expected to bring the county $135 million over 25 years through the sale of landfill gas at the American Avenue Disposal site.

The agreement is subject to an environmental review, approval of the county’s general counsel, and the grant of a conditional use permit. Daniel Amann, Landfill Operations Manager, told supervisors the “turnkey operation” would turn landfill gas generated by organic waste into “high-quality natural gas.”

Under the plan, Toro Energy would install wells and piping that remove methane and other greenhouse gases from the landfill for conversion into energy. The facility, at 18950 W. American Ave. west of Highway 145, would continue to function as a landfill.

According to the U.S. Environmental Protection Agency, such projects can turn a problem into a solution by helping limit the contribution of landfill gases to global warming. Landfill gas consists of about 50% methane and 50% carbon dioxide, the EPA estimates.

Methane is a potent greenhouse gas, 30% more potent than carbon dioxide, that traps heat in the earth’s atmosphere. Yearly emissions of methane from U.S. landfills are equivalent to the exhaust from 22 million cars, according to the agency.

In response to questions by Supervisor Nathan Magsig, Amann said the county “is not putting up a dime” of investment in the operation, but he added that the county was responsible for maintaining the well field. Amann also noted revenue projections were based on current market assumptions. Toro Energy’s costs to build the gas field is estimated to be $20 million, which was to be paid back to investors in the first five years of operation.

At the hearing, speaker Kevin Hall criticized the plan as “climate change turned into climate cash,” and cautioned supervisors not to trust the projections beyond the first five years.

MOVING TOO SLOW ON CLIMATE CHANGE?

“We’re not getting the (greenhouse) reductions we need in time,” Hall added.

Mark Reed, of Sierra Citizens for Sensible Waste Management, said the operation included plans to “ship our green waste to Kerman...that can’t possibly reduce greenhouse gases.”

He asked that supervisors delay approval.

This story was originally published April 19, 2022 at 1:58 PM.