One month ago there was a great deal of fanfare surrounding a plan for the "world's largest" solar plant planned for Cle Elum. At the time we argued that there were still many questions about the Cle Elum solar plant that needed to be answered before judgment could be passed.

For instance, we wrote:

The cost is estimated to be "north of $100 million." At $100 million the installed cost would be $1,333 per installed kilowatt, which is much lower cost than other projects, so I'm guessing that it will be well north of $100 million. By way of comparison, the solar panels the city of Seattle wanted to put on Qwest Exhibition Hall cost about $12,500 per installed KW.

Today, the Seattle P-I has an update on this question. They write:

On July 9, Howard Trott, head of the Teanaway Solar Reserve, gave a $100 million estimate to build a 75-megawatt solar power plant near Cle Elum. But Northwest Power and Conservation Council formulas put the cost at $525 million to $750 million.

Those new numbers are certainly "north" of $100 million. The new estimate is more in line with traditional costs of $7,000 to $10,000 per installed kilowatt. This is up to five times as expensive as other renewables like wind power.

Further, it is estimated that the project will create "hundreds" of jobs. Assuming that hundreds means 500 (it could mean more or less), it would cost $1 million per job. Even if it creates 999 jobs (which would still be hundreds and not thousands), it would cost $500,000 per job. Such costs will be passed on to ratepayers. Despite those very high costs, it is likely that the project will be approved by the state because Washington's renewable portfolio standard, created by I-937, requires utilities to meet targets for renewable energy. That requirement virtually assures that even at this extremely high price, the power will be purchased and paid for by ratepayers.

When looking at these numbers it is important to remember that waste of money is waste of resources. Spending millions on projects that have a small environmental impact wastes money that could be used to support projects that truly make a difference. Government regulation and political subsidies, however, distort these calculations, moving environmental policy farther away from good science.