The Goulburn Group (TGG) has accused the council of "selling the community short" in its opposition to the Gundary Solar Farm.
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Vice-president, Mike Steketee, has called on councillors to reverse the decision, made at the April 9 meeting. Cr Jason Shepherd voted against the notice of motion put up by Cr Andy Wood.
In a letter to councillors, Mr Steketee wrote that that his group was extremely disappointed and dismayed by the decision.
"It is out of step with public opinion, with recent polling commissioned by the NSW government finding that 91 per cent of people support the use of renewables to generate electricity in NSW and that 83 per cent believe NSW should be producing more of its electricity in this way," he stated.
"Second, the decision is completely contrary to the NSW government's targets of a 50 per cent reduction in emissions by 2030, compared to levels in 2005, and net zero emissions by 2050."
He argued that the call ran counter to the council's membership of the Cities Power Partnership, which set regional emission reduction measures.
"It therefore defies logic for the council to come out with blanket opposition to what is by the largest proposed initiative in our area to reduce dependence on fossil fuels," Mr Steketee wrote.
Lightsource BP is proposing to build the 400 megawatt Gundary solar farm with battery energy storage system on 632 hectares off Windellama and Kooringaroo Roads, southeast of Goulburn. The development, valued at $540 million, would comprise about 700,000 solar panels.
The company has met strong opposition from an action group and other landholders, concerned about potential impacts on agriculture, visual amenity, biodiversity, lifestyle and bushfire risks.
The council has also voiced its concern over the scale of the Gundary and nearby proposed Merino Solar Farm. Gundary proponents briefed councillors on the project on March 4.
But TGG argues the Gundary venture provides "unprecedented opportunities for our region in terms of jobs, contracts, improved infrastructure, including roads, and many other benefits for the local community".
It has urged the council to negotiate community benefits rather than oppose the project.
Mr Steketee said TGG didn't support the solar farm at all costs and had stressed that Lightsource's proposed community benefits had to be "substantially improved."
The company is offering a one-off $180,000 fund and benefit schemes for residents within 500 metres and 1km of the farm. The former can choose between $5000 annual payment, indexed annually to CPI, over the project's 40-year life or annual indexed payments of $20,000 for 10 years.
However Mr Steketee said Lightsource BP's Goulburn River Solar Farm was offering $190,000 a year, indexed to the CPI, for the expected 40-year life of the project for the benefit of the community within 30km of the solar farm.
"Benefits of this kind can only be achieved through concerted community pressure and as leaders in our community, councillors should be at the forefront, helping negotiate the best possible deal, including compensation for affected landholders," Mr Steketee wrote.
He said TGG was also "dumbfounded" by the grounds on which councillors opposed the project.
These included "loss of agricultural land and "lack of proven data on its contribution to the energy grip. The group maintained that sheep could still be grazed on the land and there were opportunities for agrovoltaics. Further, the solar farm was estimated to power 133,000 homes.
However acting mayor, Steve Ruddell said the decision was unlikely to be reversed unless a councillor proposed a rescission motion.
"We support renewable energy but not where they (Lightsource) wants to put it," he said
"It's about having these projects but not shoving them in people's face where they're not wanted and will create an ugly spectacle."
The location of transmission infrastructure was luring renewable energy ventures and while this was cheaper for the proponents, Cr Ruddell said the community was left "with an eyesore" for 30 years with most job created only during construction.
"Whether agriculture can continue remains to be seen," he said.
Lightsource hopes to lodge an EIS to state planners within the next month.