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Aniak Reconnaissance Study Of Energy Requirements & Alternatives 1982
us LIERARY COPY Aniak CG. -2 RECONNAISSANCE STUDY OF ENERGY REQUIREMENTS AND ALTERNATIVES FOR PROPERTY OF: s Alaska Power Authority [oh a W. Sth Ave... ob nchorage, Alaska 99501. ANIAK ANIAK aa MEKORYUK CHEFORNAK NEWTOK CHIGNIK LAKE eee ree UE aw ae NIKOLSKI FALSE PASS a}. GRORGe HOOPER BAY oi. MARYS IVANOF BAY ST. PAUL cw TOKSOOK BAY LOWER AND TUNUNAK UPPER KALSKAG PREPARED BY NORTHERN TECHNICAL SERVICES & = VAN GULIK AND ASSOCIATES ANCHORAGE, ALASKA ALASKA POWER AUTHORITY Aniak A Report by Northern Technical Services van Gulik and Associates Anchorage, Alaska July, 1982 DIESEL - ELECTRIC INTEREST AND AMORTIZATION FUEL OPERATION AND MAINTENANCE TOTAL TOTAL YEARLY PLAN COST DISCOUNTED PLAN COST DIESEL - ELECTRIC INTEREST AND AMORTIZATION FUEL OPERATION AND MAINTENANCE TOTAL TOTAL YEARLY PLAN COST DISCOUNTED PLAN COST 1982 8.2 175.3 96.3 271.6 271.6 271.6 1992 9.0 333.3 141.7 473.0 475.0 ANIAK PLAN 1 BASE CASE (SUNK COSTS EXCLUDED) 1983 8.8 216.6 116.8 332.7 332.7 323.2 1993 0.8 348.9 144.6 493.5 493.5 1984 0.2 227.8 118.9 346.7 346.7 326.8 1994 0.8 365.2 147.5 512.6 512.6 359.6 1985 8.2 239.4 121.8 361.1 361.1 332.5 1995 0.2 382.1 158.4 532.5 532.5 362.6 1985 8.2 21.3 124.6 376.2 376.8 334.8 1996 a0 399.8 153.4 553.1 553.1 365.7 1987 8.0 263.7 127.5 391.2 391.2 337.5 1997 0.8 418.2 156.4 574.5 574.5 368.8 NOTE: #** ALL VALUES IN $1@20's 1988 8.0 276.6 138.3 406.9 406.9 348.8 1998 8.2 437.4 159.4 596.7 596.7 “371.9 1989 8.8 290.8 133.1 423.1 423.1 344.8 1999 8.0 457.4 162.5 619.8 619.8 375.8 1998 0.8 303.3 136.8 439.8 439.8 347.2 8.8 478.3 165.6 643.8 643.8 378.2 Ls CLP Ww 1991 ae — 318.3 138.8 457.1 457.1 KD) i 350.3 of oes Way NS rd WY 2001 TOTAL 3.9 0.0 500.0 6683.4 168.7 2793.2 668.7 9476.6 668.7 9476.6 381.4 6978.7 DIESEL - ELECTRIC INTEREST AND AMORTIZATION FUEL OPERATION AND MAINTENANCE TOTAL TOTAL YEARLY PLAN COST DISCOUNTED PLAN COST NON ELECTRIC BENEFITS EXTRA COSTS BENEFITS NET BENEFITS DISCOUNTED NET BENEFITS 1982 a8 175.3 96.3 271.6 271.6 271.6 1982 0.0 8.8 8.2 0.8 1983 2.8 216.6 116.8 332.7 332.7 323.8 1983 8.8 ae 8.8 8.8 NOTE: ANTAK PLAN 2 ALT.A 1984 1985) 1986) 1987 a8 a8 0.8 0.2 227.8: 239.4 251.3 263.7 118.9 121.8 124.6 127.5 345.7 361.1 376.2 391.2 346.7 361.1 376.2 391.2 326.8 338.5 334.8 337.5 1984 861985 = 19861987 4.2 45.3 45.5 45.7 199.7 167.6 175.8 184.2 114.6 122.3 130.3 138.5 104.8 108.6 112.4 116.8 #e® ALL VALUES IN $1000's 1988 ae 276.6 138.3 405.9 406.9 340.8 1988 45.9 193.0 147.1 119.6 1989 a. 290.8 133.1 423.1 423.1 344.8 1989 46.1 202. 1 156.8 123.2 1998 a2 323.9 136.8 439.5 439.8 347.2 1998 46.3 215 165.3 126.7 1991 2.8 318.3 138.8 457.1 457.1 358.3 1991 46.4 221.4 174.9 138.2 bo DIESEL - ELECTRIC INTEREST AND AMORTIZATION FUEL OPERATION AND MAINTENANCE TOTAL TOTAL YEARLY PLAN COST DISCOUNTED PLAN COST NON ELECTRIC BENEFITS EXTRA COSTS BENEFITS NET BENEFITS DISCOUNTED NET BENEFITS a 1992 0.8 333.3 141.7 475.0 473.0 353.4 1992 46.6 231.5 184.9 133.6 1993 8.0 348.9 144.6 433.5 493.5 356.5 1993 46.8 242.2 155.3 137.8 1994 8.8 365.2 147.5 512.6 512.6 358.6 1934 47.8 253.2 206.2 140.4 ANIAK PLAN 2 ALT.A 1995 0.2 382.1 150.4 332.5 532.5 362.6 1995 47.2 264.7 217.5 143.8 1996 0.8 399.8 153.4 553.1 553, 1 365.7 1996 47,4 276.6 229.3 147.2 1997 8.0 418.2 156.4 574.5 574.5 368.8 1997 47.6 289.1 241.5 158.5 NOTE: ##* ALL VALUES IN $1002's 1998 8.8 437.4 153.4 556.7 596.7 371.9 1998 47.8 382.1 254.3 153.9 1999 8.8 457.4 162.5 619.8 619.8 375.8 1999 47,9 315.6 267.7 157.2 2000 9.0 478.3 165.6 643.8 643.8 378.2 2000 48.1 329.7 281.6 162.6 2021 2.0 522.8 168.7 668.7 668.7 2021 48,3 344.5 296.1 164.0 TOTAL 8.8 6683, 4 2793.2 9476.6 9476.6 6978.7 TOTAL B4i.1 4364.6 23.5 2425.6 DIESEL - ELECTRIC INTEREST AND AMORTIZATION FUEL OPERATION AND MAINTENANCE TOTAL TOTAL YEARLY PLAN COST DISCOUNTED PLAN COST DIESEL ~ ELECTRIC INTEREST AND AMORTIZATION FUEL OPERATION AND MAINTENANCE TOTAL TOTAL YEARLY PLAN COST DISCOUNTED PLAN COST 1982 8.0 175.3 6.3 271.6 271.6 271.6 1992 8.8 333.3 141.7 475.8 475.8 353.4 ANIAK PLAN 1 BASE CASE (SUNK COSTS EXCLUDED) 1983 8.8 216.6 116.8 332.7 332.7 323.8 1993 0.8 348.9 144.6 493.5 493.5 356.5 NOTE: 1984 8.8 227.8 118.9 346.7 346.7 326.8 1994 0.8 365.2 147.5 512.6 512.6 359.6 Hee 1985 8.8 239.4 121.8 361.1 361.4 338.5 1995 a8 382.1 138.4 532.5 362.6 1986 0.8 e513 124.6 376.8 376.8 334.0 1996 a0 393.8 {53.4 353.1 1387 2.8 263.7 127.5 391.2 391.2 337.5 1997 8.8 418.2 156.4 574.5 574.5 368.8 ALL VALUES IN $1@20's 1988 8.8 276.6 138.3 406.3 406.9 348.8 1998 8.0 437.4 159.4 596.7 596.7 371.9 1983 0.8 230.0 133.1 423.1 423.1 344.8 1999 8.0 457.4 162.5 619.8 619.8 375.8 1990 2.8 383.5 136.8 439.8 433.8 347.2 8.8 478.3 165.6 643.8 643.8 378.2 1951 0.2 318.3 138.8 457.4 457.4 358.3 200 a0 500.0 168.7 668.7 668.7 381.4 TOTAL 8.8 6683.4 2793.2 9476.6 3476.6 378.7 DIESEL - ELECTRIC INTEREST AND AMORTIZATION FUEL OPERATION AND MAINTENANCE TOTAL ~ TOTAL YEARLY PLAN COST “DISCOUNTED PLAN COST Aus NON ELECTRIC BENEFITS EXTRA COSTS BENEFITS NET BENEFITS DISCOUNTED NET BENEFITS i982 2.0 173.3 %6.3 271.6 271.6 271.6 1982 8.8 8.8 0.2 0.8 1983 0.8 216.6 116.8 332.7 332.7 323.8 1983 8.8 a8 8.8 0.8 1984 a8 227.8 118.9 346.7 346.7 326.8 1984 45.2 159.7 114.6 104.8 ANIAK PLAN 2 ALT.A 1985 0.2 239.4 121.8 361.1 361.1 330.5 1985 45.3 167.6 122.3 108.6 1986 a0 251.3 124.6 376.8 376.8 344.8 1986 45.5 175.8 132.3 {12.4 1987 2.8 263.7 127.5 351.2 391.2 337.5 1987 45.7 184.2 138.5 116.8 NOTE: ##* ALL VALUES IN $1000's 1988 2.8 276.6 138.3 495.9 406.9 1988 45.9 193.0 147.1 119.6 1989 a. 29.8 133.1 423.1 423.1 344.8 1989 46.1 202.1 156.8 123.2 1998 2.0 323.9 136.8 439.8 439.8 347.2 1998 46.3 211.5 165.3 125.7 1991 8.8 318.3 138.8 457.1 457.1 358.3 1991 46,4 221.4 174.9 138.2 DIESEL - ELECTRIC INTEREST AND AMORTIZATION FUEL OPERATION AND MAINTENANCE TOTAL TOTAL YEARLY PLAN COST DISCOUNTED PLAN COST NON ELECTRIC BENEFITS EXTRA COSTS BENEFITS NET BENEFITS DISCOUNTED NET BENEFITS 1992 8.8 333.3 141.7 475.8 1992 46.6 231.5 184.9 133.6 1993 2.8 348.3 144.6 493.5 493.5 356.5 1993 46.8 242.2 195.3 137.8 1994 2 365.2 147.5 512.6 512.6 359.6 1934 47.8 253.2 206.2 140.4 ANIAK PLAN 2 ALT.A 1995 8.2 382. 1 150.4 532.5 = ad 362.6 1995 47.2 264.7 217.5 143.8 1996 a2 399.8 133.4 353.1 553.1 365.7 1996 47,4 276.6 229.3 147.2 1997 8.2 418.2 156.4 574.5 574.5 368.8 1997 47.6 289.1 241.5 150.5 NOTE: #** ALL VALUES IN $1020's 19596 8.8 437.4 153.4 596.7 596.7 371.9 1998 47.8 302.1 254.3 153.9 1999 8.8 457.4 162.5 619.8 619.8 375.8 1999 47.9 315.6 267.7 157.2 2000 0.0 478.3 165.6 643.8 643.8 378.2 2001 TOTAL 0.2 0.0 500.0 6683.4 168.7 2793.2 668.7 9476.6 668.7 9476.6 q 381.4 6878.7 2001 TOTAL 48,3 Batt HAS 4364.6 296.1 © 3523.5 164.8 2h. a (gtts. 7 ae Mea G& ca a taaiaaae TABLE OF CONTENTS 1.0 Summary and Recommendations 2.0 Background 3.0 Village Meeting 4.0 Existing Heating and Electrical Power Generating Facilities 4.1 Bulk Fuel Storage and Heating Appliances 4.2 Electrical Generation Facilities 4.3 Fuel Oil Usage 4.4 Electrical Energy Distribution 5.0 Energy Balance 6.0 Energy Forecasts 6.1 Population Projection 6.2 Capital Projects 6.3 Thermal Energy Projection 6.4 Electrical Energy and Peak Demand Projection 7.0 Energy Resource Assessment 8.0 Energy Plans 8.1 Base Case 8.2 Alternate Plan A 9.0 Analysis of Alternatives and Recommendations Appendix Review letters and replies Pb PS b> DANDHNA oe eee Nae Table Table Table Table Table Table Table 8.2 8.3 9.1 91.2 9.3 LIST OF TABLES Energy Balance for 1982 Itemized Present Worth Analysis of the Base Case Estimatecé Heat Recovery Costs Itemized Present Worth Analysis of Alternate Plan A Summary of the Present Worth Analysis and Any Non-electric Benefits for Each Energy Plan Direct Power Generation Costs for Each Energy Plan Preference Ranking of Village Energy Plans and Associated Recommended Actions LA. 952 > Figure Figure Figure Figure Figure Figure Figure Figure Figure Figure Figure Figure 2.1 Zee 4.1 4.2 4.3 4.4 5.2 6.1 6.2 6.3 LIST OF FIGURES Location Map Climatic Background Bulk Fuel Storage Capacities and Types of Heating Appliances Electrical Generation Facilities Fuel Oil Usage Electrical Generation Sector Energy Distribution Energy Flow Diagram Distribution of Total Useable Energy Population Projection Thermal Energy Projection Peak Demand and Electrical Energy Projection Appropriate Technology Ranking Diagram Hed: Page 2.2 4.3 4.5 4.6 5.3 5.4 6.3 6.3 6.4 <5 1.0 SUMMARY OF FINDINGS AND RECOMMENDATIONS The production of electricity is the focus of the Energy Reconnaissance Program. This study has concentrated on seeking alternatives to diesel powered electrical generators. However, where there are no reliable and viable alternatives, attention was focused on ways by which the costs of electricity generation could be reduced. In Aniak there are no viable alternatives to diesel generation and a waste heat capture was investigated as a means of making use of a resource (thermal energy) which is being wasted currently. The sale of otherwise wasted heat could provide additional income to the utility and be reflected in lower costs for the generation of electricity. Also, reduction in the volumes of fuel oil required for space heating would realize further savings to the community as a whole. Summary Statements te Fuel oil was found to be the major source of energy used in the village of Aniak. Additional energy was supplied by wood and gasoline. 2 Significant amounts of energy are lost in the village due to: (1) inefficient combustion; (2) poor insulation and excessive air infiltration; and (3) wasted heat from diesel powered generation of electricity. 3. Forecasts show an inevitable increase in energy consumption in the village due to a estimated 2% population growth. Additional construction unrelated to population size is anticipated and will impact energy consumption and demand. Energy resource baseline data is generally weak in the village. This weakens the accuracy of technological Or economic predictions. However, the estimates relative to waste heat availability appear reasonably reliable. The feasibility of various technologies for electrical and thermal energy production were evaluated. Coal, peat, solar, wind, hydro, geothermal, and wood were examined as potential energy resources but are not viable alternatives to fuel oil generated electricity. The capture of waste heat from the central power plant was considered to be a viable source of thermal energy and proved to be economical, and formed the basis of an alternate energy plan. The Base Case Plan was based on the contined use of centrally generated electric power. Alternate Plans were developed to reduce the use of petroleum fuels. A present worth analysis of each alternative plan was prepared. General Recommendations 1. The supporting energy and resource data base should be strengthened. New technologies, and advances in old technologies, need demonstration projects to determine their feasibility in rural Alaska. Significant energy savings could be realized by a village-wide energy conservation and weatherization program. 152 Village Specific Recommendations 1. Waste heat recovery, from the Aniak central power plant, utilized for space heating in the village is economically feasible and attractive because of the volume of fuel oil savings. The installation of the waste heat recovery system is recommended. The following steps should be taken: a. Initiate a feasibility study of waste heat recovery. b. Investigate power plant operation for potential to improve efficiency in the use of diesel fuel. ie 2.0 BACKGROUND Location The village of Aniak is located at the head of the Aniak Slough on the south bank of the Kuskokwim River in the Yukon-Kuskokwim Delta (Figure 2.1). Aniak is 59 miles southeast of Russian Mission, 90 miles northeast of Bethel, 320 miles west-northwest of Anchorage, and 430 miles west-southwest of Fairbanks. Climate The low elevation, flat topography and proximity to the ocean give Aniak a maritime climate in the summer. In the winter as the rivers in the delta and Norton Sound freeze the climate becomes continental. This combination of climatic regimes causes cool temperatures in the summer and very cold temperatures in the winter. Temperatures as high as 87°F and as low as -55°F have been recorded in Aniak. The average daily maximum in the summer is about 60°F and the average daily minimum in the winter is about O0°F. The winds are predominantly light, about 5 knots, the prevailing directions are east-southeast in the winter and west-southwest during the summer. Aniak averages 60 inches of snowfall per year with a total of 19 inches precipitation. Aniak averages 13,400 heating degree days. A summary of the climate is represented in Figure 2.2. Population Population has fluctuated markedly since the village of Aniak was established in the 1920's at the site of an old Eskimo village. The early village economy was dependent upon fishing and trading. The river played a key role in c°? ODNOAS un KEY KOTLIK SAINT MARYS KALSKAG ANIAK LOWER KALSKAG NEWTOK NIGHTMUTE CHEFORNAK MEKORYUK TOKSOOK BAY TUNUNAK HOOPER BAY CHIGNIK LAGOON CHIGNIK IVANOF BAY FALSE PASS COLD BAY NIKOLSKI ATKA ST. PAUL ST. GEORGE awrite 5 Lower vs newTox 6 11 TuNUNAK — S xis E> SAINT ee 10 roxsoox say“, 24> r C QMEKORVUK~ a5, igecage NIGHTMUTE J, Lav See sgn ae . J ! : < HEFORNARES ae : rina - . , marys 2 kacsKkag 3 -> oS KausKa ane t = 120 180 240 300 MILES Figure 2.1 LOCATION MAP Climatic Background Jan | FEB | MAR! APR | MAY: sun | JUL! AUG! SEP | OCT! NOV] DEC Light Conditions PERCENT PERCENT = FREQUENCY Se 8 o 8 8 FREQUENCY g aR Occurrence orca ° Pa Precipitation itt 80 60 40 20 DEGREES F ° 3 & 8 DEGREE DAYS DEGREE DAYS JAN, FEB) MAR. APR MAY JUN JUL AUG. SEP OCT NOV DEC Source: Department of Community and Regional Affairs, Community Profile Series. Figure 2.2 Zions) the 1900-01 gold rush when many prospectors mistakenly associated it with the Yellow River, but gold was not discovered in Aniak until 1932. There was a significant increase in population during the early 1950's as people immigrated from the surrounding villages to work at the airport facility and the White Alice radar-relay station that was constructed in 1956. ensus Year 939 1950 1960 1970 1980 opulation 122) 142 308 205 341 umber of houses 126 (91 occupied) Economy Aniak is a small 2nd class city supporting its own police force, park and recreation facilities, community center, and central power and telephone utilities. The subsistence economy is based mainly on salmon fishing, and is supplemented by hunting, trapping and berry picking. Approximately half of the adult population is employed in either the city's commercial or public sectors. Native residents of Aniak are shareholders in the Kuskokwim Corporation, the result of a merger of 10 mid-Kuskokwim River village corporations. The Kuskokwim Native Association (KNA) is a non-profit organization that serves the native residents of Aniak. KNA directs several programs in the area including the Aniak Experimental Farm, the Community Mental Health Program, the Johnson-O'Malley Supplemental Education Program, and the Indian Self-Determination Program. Further Aspects of the Village In 1980 AVCP and HUD constructed 31 new houses. These houses have wood stoves, oil heaters, triple glazing, 6" single wall construction, a double front entry, and insulation in the walls, floor and ceiling. There are over 100 students in the primary and secondary schools operated by the Kuspuk School District. Their facilities include classrooms, offices, a gymnasium and a vocational education building. A new high school is presently under construction. Other public service facilities include the Kuspuk School District offices, a Department of Health and Social Services building, a clinic, public warehouses, utility company offices, a public safety building and a community hall. Commercial buildings include two airline terminals, ice houses, an airplane hanger, a small engine repair shop, two stores, two commercial storage buildings, a lodge, a theater, and a hotel complex. There are three churches in the village. 3.0 COMMUNITY MEETING A community meeting was held in Aniak on November 19th. The meeting had been originally scheduled to discuss the new AVCP housing. The meeting was attended by about 35 people including the city council and the city manager, John Hale. The energy reconnaissance project was introduced and questions from council members and other attendees were addressed. There was considerable interest in the energy situation in the village. Fuel costs, as well as electricity costs are of primary concern due to recent significant price increases. Some of the questions addressed revealed an interest in waste heat recovery for a combined office-greenhouse complex, hydroelectric generation, harnessing the energy from ice flows on the Kuskokwim River, wind generation and the feasibility of obtaining natural gas (either from unknown local sources or from unproven Norton Sound sources) in the future. The reconnaissance team stressed the importance of maintaining a perspective on each of the technologies associated with the interests mentioned. There is a great deal of interest in wind generation in the village. It is generally agreed that the best wind locations are in the hills across the river, however, there was concern over the reliability of wind systems. Further discussion confirmed the location of local coal deposits. The deposits are of unknown quantity and quality and located 20-30 miles upriver. A potential micro-hydro site is located several miles downriver from the village at the confluence of the Aniak Slough and Kuskokwim River. This site was not considered because it freezes in the win- ter during the period of maximum demand for electricity. Soe 4.0 EXISTING HEATING AND ELECTRICAL POWER GENERATING FACILITIES 4.1 4.2 4.3 Bulk Fuel Storage and Heating Appliances Bulk fuel storage capacity within the village is listed, by sector, in Figure 4.1. These capacities are based on actual tank sizes and on estimates where reliable data could not be obtained. The storage capacity of domestic fuel tanks and 55 gallon drums was not included in the bulk storage capacities. Also listed in Figure 4.1 are the types of heating and cooking appliances, segregated by sector, being used in the village. Electrical Generation Facilities The existing generating equipment installed in the village is listed in Figure 4.2. Comments on the operation of the generators are included. Fuel Oil Usage Figure 4.3 illustrates the use of fuel oil in the village. Consumption of fuel oil by sector for space heating is listed as a percentage of the total oil consumption. Similarly, the percentage of oil used for electrical power generation is shown. The oil used for space heating is broken down to show the portion that actually heats building space, and that which is lost to waste. The electrical generation fuel oil is also separated into electrical energy and waste heat segments. 4.4 Fuel oil consumption in the village was based on records, where available, and calculated estimates where no reliable records existed. Please refer to the Methodology section of the main report for an explanation of the estimating process. Electrical Energy Distribution The energy flow through the electrical generation sector is depicted graphically on Figure 4.4. The "pie-chart" represents the total energy dedicated to the generation of electrical power. Each sector in the village consumes a slice of the pie, as shown. ANIAK/1982 BULK FUEL STORAGE CAPACITIES AND TYPES OF HEATING APPLIANCES SECTOR ELECTRICAL fesoewri | comeras | sevens | roeue | SEINE FUEL (OE 506000 gal 64000 126000 120000 196000 GASOLINE 351000 gal 351000 TYPE OF HEATING APPLIANCE 1,3,4 1,2 2 3 6 LEGEND: TYPE OF HEATING APPLIANCE STORAGE * (GALS) ] OIL-FIRED FORCED AIR FURNACE OIL-FIREOD BOILER WITH WATER/GLYCOL DISTRIBUTION ORIP-TYPE OIL STOVE/FURNACE wooOD STOVE PROPANE COOKING STOVES oon pw WASTE HEAT FROM GENERATORS *DAY TANKS ANO FUEL DRUMS ARE NOT INCLUDED. Figure 4.1 ELECTRICAL GENERATION FACILITIES ANIAK/1982 GENERATOR TYPE OF TYPE OF ELECTRICAL Sea ENGINE GENERATOR DISTRIBUTION COMMENTS SON OPERATION Aniak Power & Light 300 KW Cat D353 KATO 39 Company w/Turbocharger Generators are operated continuousiy and provide electrical power to the Cat D342 KATO 39 entire village. These generators cm Wamurbecharger be operated singly or in parallel. Cat D342 KATO 39 w/Turbocharger Caterpillar KATO 39 Caterpillar KATO 39 Figure 4.2 FUEL OIL USAGE ANIAK / 1982 SECTOR END USE 100 90 Space Heat 80 42% 70 60 Waste Heat 50 Percent 40 30 Generator Waste Heat 20 10 9% R Residential 2) Yo ( Commercial 12% P Public 1S % S School 10 % E Electrical Power ° Generation 34 “eo ESTIMATED FUEL OIL USE = 342000 GAL 46200x10°BTU Figure 4.3 4.5 ELECTRICAL GENERATION SECTOR ENERGY DISTRIBUTION ANIAK Residential 7 %o Commercial 5 % Public 5 % School 8% Woste Heat 73% Generation Losses 7% TOTAL ENERGY 15,400 x 10° BTU/YEAR TOTAL ELECTRIC POWER 1170 MWH/YEAR Figure 4.4 4.6 5.0 ENERGY BALANCE The estimated energy consumption in Aniak during 1982 is listed in Table 5.1. Estimates of the different types of energy consumed by the various sectors are based upon the 1980-81 fuel purchase records kept by the store, the school, and the local utility. Estimates based on the population, square footage of residences and other buildings, and calculated energy usage factors, were used where data was incomplete. The flow of energy through the village is illustrated in Figure 5.1. In 1982 it is estimated that 91,480 MMBTU of fuel will enter Aniak in the form of gasoline, wood, and fuel oil. This fuel will be distributed to the various sectors and used for transportation, cooking, heating and electricity generation. The conversion of the fuel to its end use will result in 33% or 30,400 MMBTU of energy lost as heat. 62% of this waste heat could be recovered using conservation and waste heat recovery practices. The actual amount of energy used by each sector is listed in the last column of the diagram. The 1982 projected distribution of useable energy is shown in Figure 5.2. The distribution represents the quantity of energy that will be required by each sector (excluding transportation) for electric lights and appliances, water heating, space heating and cooking, and generation station service. Percentages listed in the figure can be multiplied by the useable energy of 34840 x 10® Btus to determine the projected energy requirements for a particular end use in a given sector. These projected energy requirements do not include energy conversion losses and therefore represent the actual quantity of energy required for each end use. Diet: VILLAGE: ANIAK/1982 ENERGY BALANCE GASOLINE PROPANE TOTAL ENERGY SECTOR ELECTRICITY BTU KWH xio& Btu x 10° LBS BTU x 10° RESIDENTIAL 110000 20980 | 34 COMMERCIAL 9 PUBLIC 7 SCHOOLS 3870 6 GENERATION 114000 239 1 TRANSPORTATION 26250 | 43 *station service or distribution losses Table 5%. Lg eanbi4 ANIAK/1982 POP: 385 HOUSEHOLDS: 91 13,100 HTG. DEGREE DAYS FUEL [ AMOUNT ENERGY PRODUCT ELECTRICAL END USE TOTAL BY SECTOR CONVERSION DISTRIBUTION BY SECTOR USABLE ENERGY GASOLINE TRANSPORTATION | TRANSPORTATION TRANSPORTATION (26250) | (26250). (26250) (26250) PROPANE COOKING RESIDENTIAL RESIDENTIAL wooo HEATING e008) (21000) (19000) (33900) 13000) HEATING/ COOKING 826.0) erm 41020) (9.49) cccc COMMERCIAL COMMERCIAL HEATING (4580) (780) (5360) (5350) (3980) FUEL OIL POWER POWER GEN. GENERATION ELECTRICAL (46230) GENERATORS (15400) (1190) SCHOOL(S) SCHOOL(S) HEATING/ (2680) (3870) (4470) COOKING PUBLIC (4390) HEATING (6070) TOTAL TOTAL INPUT USABLE ENERGY ENERGY RECOVERABLE (91480) WASTE HEAT ip (18700) (79810) WASTE HEAT NON - RECOVERABLE (11700) NOTE = 6 ; NUMBERS IN BRACKETS ARE 10° BTU'S. WVYOV GQ MOl1S ADYANS DISTRIBUTION OF TOTAL USABLE ENERGY* ANIAK / 1982 END USE SECTOR BY SECTOR TT eae WH(4.5%) I < kr 2 w 2 H/C(52.8%) a WW ac PERCENTAGE (%) COML P(0.7%) PW ee —————— aa (3.4%) — - WH(0.2%) 20F scnoo ts . H/C(7.5%) aan siaia pains | ne apni =" (C2120) 10 era ae aan Te ae PUBLIC H/C(10.4%) oO _ Zales END USE SUMMARY E LIGHTS, REFRIGERATOR/FREEZERS, 10.7% VIDEO, AND OTHER ELECTRICAL USES WH WATER HEATING 4.7% H/C SPACE HEATING, COOKING AND MISC. 83.8% P GENERATOR STATION SERVICE/ 0.7% TRANSMISSION LOSSES TOTAL USABLE ENERGY) i> 34840 x 108 Btu % DOES NOT INCLUDE ENERGY USED FOR TRANSPORTATION AND RECOVERABLE WASTE HEAT Fia 5 2? 6.0 6.1 ENERGY FORECASTS Population Projection The 20 year population projection for Aniak was based upon historical population trends, expected changes resulting from planned capital projects and the villagers' projections of the growth of their community. Historical data approximates a 2% annual growth rate. Villagers anticipate continued growth as conditions improve due to completion of planned capital projects. Historical and projected populations are listed below. Figure 6.1 illustrates the population projection over the 20 year planning period. Historical | Projected 1940 1950 1960 1970 1980 1990 2000 2010 U22,| | 142'| 308) 205) | 344 417 507 617 6.2 Capital Projects Forecast The village is growing and many capital projects are anticipated during the next 20 years. Two major capital projects that were mentioned to the field team are listed below. No specific details are available on the other projects. A computer program to analyze the effect of capital projects on the electrical and thermal demands of the community can be used to evaluate future projects when they are defined. The capital projects are: Schools - A new high school is planned to be constructed in 1982. Ge 6.3 6.4 Waste Heat - The waste heat from a diesel generator plant, privately owned by the Aniak Power and Light Co., is being considered as a source of heat for nearby office buildings, a proposed village greenhouse and a community building. Thermal Energy Projection Figure 6.2 presents the anticipated thermal energy consumption of Aniak during the forecast period. Thermal energy is provided primarily by the combustion of fuel oil. The projections were based on fuel use records estimates of the heating requirements of the buildings. The effect of the new high school was included. Electrical Energy and Peak Demand Projection Figure 6.3 presents the anticipated electrical energy consumption of Aniak, by sector, during the forecast period. The projections were based on the existing electrical loads, consumption records, and estimates where accurate data were not available. Details of the estimation methods and calculations are included in the appendix of this report. The projected peak demand is also shown on Figure 6.3. 652 THERMAL ENERGY ¢MMBTUD 628 POPULATION PROJECTION ANIAK 575 S58 525 538 475 458 POPULATION 425 482 375 3528 1982 36222 32222 26222 24202 22222 19282 4 1 1 4 4 1 Ml 1984 1986 1988 1998 1992 1994 1996 1998 YEAR Figure 6.1 THERMAL ‘ENERGY PROJECTION ANIAK 1954 1966 1992 1897 1532 1954 15936 1996 Figure 6.2 6.3 2888 err ELECTRICAL ENERGY ELECTRICAL ENERGY PEAK DEMAND (KW) TOTAL (MHH) BY SECTOR (MWH) PEAK DEMAND PROJECTION ANIAK 728 6288 5282 488 322 1982 1984 1986 1988 i998 1992 1994 1996 1998 2228 YEAR , ELECTRICAL ENERGY PROJECTION ANIAK 2288 2888 1828 16828 1488 12288 1282 828 622 482 288 a ee te ded 1982 1984 1986 1988 1998 1992 1994 1996 1998 2228 YEAR G = Electrical Generation Sector C = Commercial P = Public S = Schools’ R = Residential Figure 6.3 6.4 7.0 ENERGY RESOURCE ASSESSMENT The Kuspuk School District is planning to construct additional office space and an adjoining greenhouse, and they are interested in purchasing waste heat from the local utility. However, there are no firm plans, as yet. Wind Wind is not considered to be a practical source of energy for Aniak. This is primarily due to two major factors: first, the wind energy regime is not considered sufficient to support wind power generation; and second, the potential generation site is considered to be too far from the point of utilization for cost effective power transmission. Wood Wood is an important source of fuel in the Aniak area for residential space heating. It is estimated to supply as much as half of the energy needed for home heating. Firewood is scarse in the immediate area and it is necessary to use snow machines or boats to gather sufficient quantities. KNA investigated the feasibility of exploiting the timber resources commercially. Their findings suggested that this venture would not be economical because the products would have to be exported by barge and access is limited to the summer months. Te Coal Coal deposits are located 20 to 30 miles from Aniak in an area beyond Crooked Creek. The extent and quality of these reserves is not known, but they are a potential source of additional fuel for domestic use. Studies should be directed to determine the grade of coal, the extent of the reserves, and the cost of mining and transportation. Peat The quality of peat is very low due to well developed drainage and high silt content. Solar Passive solar heating is currently being used at the KNA greenhouse located on the Aniak Experimental Farm. Solar radiation available in the summer months may be used for residential space heating through passive heating systems; although, because of the costs of retro-fitting houses are high, this option is of limited applicability. It could be incorporated in the new homes planned for the village. Geothermal A resident of Aniak reported the existence of hot springs at White Bear Camp 60 miles away. The cost of development and transporting this energy source would be high and is not considered feasible. Hydropower No potential sites were identified. Hive Conservation Measures Waste Heat Capture The majority of the energy in the fuel oil burned ina diesel generator is lost as waste heat through the engine cooling water, exhaust gases, and radiant heat from the engine. Much of the waste heat can be reclaimed from the engine cooling water and exhaust gas by transferring the heat in heat exchangers to a secondary fluid, usually an antifreeze solution. This is then pumped to buildings and used in heaters for space heating. Alternate Plan A, detailed in Section 8.2 of this report, investigates the feasibility of waste heat recovery at Aniak. Weatherization Homes and buildings built in Western Alaska in the past have in general been poorly insulated and weatherized. Heat loss from such buildings is high, in the forms of heat loss directly through the walls, floor, and ceiling, and by the cold air that enters around leaky doors and windows. Insulating and weatherizing a home can often cut the heating fuel requirement in half or more, and make the building more comfortable and liveable at the same time. The materials required are inexpensive, and the skills necessary for installation low. This work is perhaps the most effective way of reducing village energy usage. Technology Ranking Figure 7.1 presents a ranking of the technologies that could be applied to the village. Each technology was examined on the basis of state-of-the-art quality of the technology, cost, reliability, resource, labor, and environmental impact. Please refer to the Methodology section in the Appendix for the ranking method. 7.4 S°L Village of Aniak Technology Environ- State-of-the-Art | Cost bility | Resource Labor | mental | cto é Impact Weatherization* 5 5 5 5 5. 5 1.00 4 Diesel Power 5 4 4 4 4 4 | 0.87 ' Waste Heat Recovery* 5 4 4 4 4 4 | 0.87 es Hydroelectric Power N/A N/A N/A 0 N/A N/A | 0.00 Wind Energy Conversion systems 2 1 2 2 2 5 | 0.43 T Geothermal Energy N/A N/A N/A 0 N/A N/A | 0.00 1 | | Steam Power from local . | fuel,wood,coal,ect... 2 2 3 2 2 3 0.43 Gasification of wood,coal or peat Z 2 2 2 2 3 0.42 Generation via synchronous Induction* ze 3 S 3 3 3 0.60 Electrical Load Management* 3 0.68 * Energy Conservation Measures Note: 0 = worst case, 5 = best case Figure 7.1 N/A Not Applicable 8.0 8.1 8.1.1 ENERGY PLAN Base Case General Description The base case plan for Aniak is to continue using the centralized diesel generating system. As the village grows additional generators are added to meet the increasing peak demand. Thermal energy usage has been projected based upon the continuation of present consumption rates per capita. 8.1.2 Base Case Cost Analysis The current value of the existing central electric power plant was estimated to be $641,000. The plant value was amortized over a 20 year period. Additional generation capacity was added, in increments of 150 KW, aS required by the growing peak demand. The cost of additional generation capacity was estimated to be $830/KW. The cost of fuel oil in the base year was set at $10.81/MMBTU, based on a fuel cost of $1.46/gallon. Operation and maintenance expenses were estimated at 8¢/KWH. Table 8.1 presents the itemized present value analysis of the base case for the 20 year study period. The discounted 20 year present value was $7,637,600. eo . Ny DIESEL - ELECTRIC INTEREST AND AMORTIZATION FUEL OPERATION AND MAINTENANCE TOTAL TOTAL YEARLY PLAN COST DISCOUNTED PLAN COST DIESEL - ELECTRIC INTEREST AND AMORTIZATION FUEL OPERATION AND MAINTENANCE TOTAL TOTAL YEARLY PLAN COST DISCOUNTED PLAN COST 1982 43.0 1753 96). 3 314.6 314.6 314.6 1992 43.0 333.3 141.7 518.0 518.0 385.4 1983 43.0 216.6 116.0 3157 3/5 a7 364.7 1993 43.0 348.9 144.6 536.5 536.5 387.6 NOTE: 1984 43.0 227.8 118.9 389.7 389.7 367.4 1994 43.0 365.2 147.5 555.6 559).6 389.7 BASE CASE 1985 43.0 239.4 121.8 404.1 404.1 369.9 1995 43.0 382.1 150.4 57525 575.5 391.9 1986 43.0 2523 124.6 419.0 419.0 3/202 1996 43.0 399.8 153.4 596.1 596.1 394.1 1987 43.0 263.7 T2765 434.2 434.2 374.5 1997 43.0 418.2 156.4 617.5 617.5 396.4 ***k ALL VALUES IN $1000's Table 8.1 1988 43.0 276.6 130.3 449.9 449.9 376.8 1998 43.0 437.4 159.4 639.7 639.7 398.7 1989 43.0 290.0 13301 466.1 466.1 379.0 1999 43.0 457.4 162.5 662.8 662.8 401.0 1990 43.0 303.9 136.0 482.8 482.8 38131 2000 43.0 478.3 165.6 * 686.8 686.8 403.4 1991 43.0 318.3 138.8 500.1 500.1 383.3 2001 43.0 500.0 168.7 (ATO WALT 405.9 TOTAL 860.0 6683.4 2793.62 10336.6 10336 .6 7637.6 8.1.3 Social and Environmental Evaluation Base Case Plan Summary: Continuation of present diesel generation 1) 2) Community Preference: The villagers of Aniak recognize that diesel generation is the only technologically feasible way of generating electricity today. Therefore, their interests are in seeing the most efficient use of the system. Reliability of power supply is regarded as basic to the village's needs. Environmental Considerations: i) Air Quality: Exhausting combustion gases releases a small amount of pollutants to the local environment, but the impact is minimal. ii) Noise: The exhaust stacks from the generator produce a considerable amount of noise. The installation of more effective mufflers would reduce the noise level. iii) Water Quality: No impact. iv) Fish and Wildlife Impacts: No known impact. 8.3 8.1.4 v) Terrestrial Impacts: There is no impact on vegetation or soils. vi) Land Use and Ownership Status: All leases and permits are in place. Base Case Technical Evaluation The continued operation of the central diesel electric power plant in Aniak is expected to meet the following: 1. High Reliability. Diesel electric is a well-proven well-understood technology with a successful history in rural Alaska. Backup generation allows maintenance of the generators to be performed without a major interruption of electrical power. Occasional system downtime is expected for distribution system maintenance. Safety. A small risk is realized by the storage and handling of fuel oil. Normal risks associated with electrical power are also present. Availability. There are no indications that spare parts will become difficult to obtain in the future. The availability of fuel to the power plant depends on the reliability of transportation to the village. 8.4 8.2 8.2.1 8.2.2 Alternate Plan A General Description The Alternate Plan A for Aniak is the installation of a waste heat recovery system installed at the existing central electric power plant. It consists of the following features: 1. Jacket water heat recovery equipment installed on the 300 KW, 265 KW, and 160 KW generators. 2. A distribution system consisting of a distribution heat exchange pump and piping to deliver the ethylene glycol heat transfer fluid to the heated buildings and return it to the power plant. 3. Heating equipment installed in the school complex and future greenhouse buildings, to provide space heating. 4. A control system that automatically regulates the supply of heat to the buildings, and rejects any Surplus waste heat to the engine radiators. Alternate A Cost Analysis Table 8.2 presents the itemized, estimated cost to install the jacket water waste heat recovery system. The installation cost of the heat recovery system was estimated to be $320,500. The system value was amortized over a 10 year period. ESTIMATED HEAT RECOVERY Project Location Generators (kw) COSTS Aniak 300,300,265,160 Estimated total kwh generated 1,170,000kwh/yr Generators equipped with heat recovery equipment 300,265,160 CALCULATED VALUES Average Generation Rate 134 kw Percent of On-Line Capacity 45% Maximum Jacket Water Heat Recovery 16200 Btu/min Percent Jacket Water Heat Available 54% -525X106 BtuH -525X106 BtuH Estimated Recovered Heat Available Estimated Recovered Heat Utilized MAJOR COST ITEMS 1. Main piping 900 feet x $120/ft. 108,000 2. Heat Recovery Equipment 63,700 3. Circulating Pumps 11,200 4. Heaters and Miscellaneous Hardware 31,500 5. Contingencies (30%) 64,300 6. Base Cost 278,700 7. Project Management (5%) 13,900 8. Engineering (10%) 27,900 9. ESTIMATED PROJECT COST 320,500 10. O & M COST 1.30/MMBtu 11. Recovery Efficiency Table 8.2 8. 6 3930 Btu/kwh The cost of fuel oil normally used for space heating, which was offset by the captured waste heat, was $14.44/MMBTU, based on a fuel oil cost of $1.95/gallon. Operation and maintenance costs were calculated to be $1.30/MMBTU waste heat captured. Table 8.3 presents the itemized present value analysis of the plan, for the 20 year study period. The discounted net benefit of the system was $2,429,600. 8.2.3 Social and Environmental Evaluation Alternate Plan A Summary: Waste heat capture from existing generators for sale to major consumers. 1) 2) Community Preference: The villagers of Aniak recognize that the installation of waste heat will improve the efficiency of fuel use in the community. The sale of waste heat will help lessen the effect of rising fuel prices on the cost of electricity. Installation of the waste heat capture system will require local expertise and should provide a number of jobs during the construction phase. The system should operate with minimal maintenance although one part time person would be required until the system has been tested and initial minor problems have been solved. Environmental Considerations: i) Air Quality: There will be a reduction in fuel burned in the village and a reduction of hydrocarbons, monoxides and nitrogen oxides emissions in the village. © oc DIESEL - ELECTRIC INTEREST AND AMORTIZATION FUEL OPERATION AND MAINTENANCE TOTAL TOTAL YEARLY PLAN COST DISCOUNTED PLAN COST NON ELECTRIC BENEFITS EXTRA COSTS BENEFITS NET BENEFITS DISCOUNTED NET BENEFITS 1982 43.0 175.3 96.3 314.6 314.6 314.6 oooo"w oo 58) ooocoOn 1983 43.0 216.6 116.0 37517 SW Sau! 364.7 ooocow oOCOCOW NOTE: 1984 43.0 227.8 118.9 389.7 389.7 367.4 1984 45.2 159.7 114.6 104.8 ANIAK PLAN 2 ALTERNATE A 1985 43.0 239.4 121.8 404.1 404.1 369.9 1985 4513 167.6 122.3 108.6 1986 43.0 25153 124.6 419.0 419.0 3/252 1986 45.5 175.8 130.3 112.4 1987 43.0 263.7 127 434.2 434.2 374.5 1987 45.7 184.2 13855 116.0 **k ALL VALUES IN $1000's Table 8.3 1988 43.0 276.6 130.3 449.9 449.9 376.8 1988 45.9 193.0 147.1 119.6 1989 43.0 290.0 133 31 466.1 466.1 379.0 1989 46.1 202.1 156.0 123.2 1990 43.0 303 “9 136.0 482.8 482.8 381.1 1990 46.3 2ULS5 165.3 L267 1991 43.0 318.3 138.8 500.1 500.1 383.3 1991 46.4 221.4 174.9 130.2 DIESEL - ELECTRIC INTEREST AND AMORTIZATION FUEL OPERATION AND MAINTENANCE TOTAL TOTAL YEARLY PLAN COST DISCOUNTED PLAN COST co . oO NON ELECTRIC BENEFITS EXTRA COSTS BENEFITS NET BENEFITS DISCOUNTED NET BENEFITS 1992 43.0 333.3 141.7 518.0 518.0 385.4 1992 46.6 231.59 184.9 133.6 1993 43.0 348.9 144.6 536.5 530.5 387.6 1993 46.8 242.2 195.3 137.0 NOTE: 1994 43.0 365.2 147.5 55526 555.6 389.7 1994 47.0 253.02 206.2 140.4 kkk PLAN'S ALTERNATE A 1995 1996 43.0 43.0 382.1 399.8 150.4 153.4 575.5 596.1 575.5 596.1 391.9 394.1 1995 1996 47.2 47.4 264.7 276.6 217.5 “1229.3 143.8 147.2 - 1997 43.0 418.2 156.4 617.5 617.5 396.4 1997 47.6 289.1 241.5 150.5 ALL VALUES IN $1000's Table 8.3 (continued) 1998 43.0 437.4 159.4 639.7 639.7 398.7 1998 47.8 302.1 254.3 15339 1999 43.0 457.4 162.5 662.8 662.8 401.0 1999 47.9 3151.6 267.7 157.62 2000 43.0 478.3 165.6 686.8 686.8 403.4 2000 48.1 82927 281.6 160.6 2001 43.0 500.0 168.7 7A ALT 405.9 2001 48.3 344.5 296.1 164.0 TOTAL 860. 6683. 27193; 10336. AN LPO 10336.6 7637.6 TOTAL 841.1 4364.6 852359 2429.6 8.2.4 ii) Noise Levels: No impact. iii) Water Quality: There would be a minor impact if a major leakage occurred in the coolant system. iv) Fish and Wildlife Impacts: None. v) Terrestrial Impacts: Will be minimal during the installation of the distribution system and will be restricted to the village site. vi) Land use and Ownership Status: It is assumed that the village will make the necessary arrangements for the right of way requirements for the distribution system. Alternate Plan A Technical Evaluation Operation of the waste heat recovery system in Aniak, in conjunction with the central power plant, is expected to conform to the following expectations: 1. High Reliability. The system utilizes simple, reliable components that are readily available “off the shelf" from a variety of sources. Safety. A well maintained system has a very low hazard potential. Availability. All components needed are available immediately. The system is relatively easy to implement. 9.0 ANALYSIS OF ALTERNATIVES AND RECOMMENDATIONS Seer ee ANY REGUMMENVALLONS Table 9.1 summarizes the village alternative plans, the associated present worth analysis, and any non-electric benefits. Table 9.1 Base Case ternative Energy Source Present Wort Non-Electrical Benefits Direct power generation costs, which exclude administrative costs, are presented in Table 9.2 for each energy plan. > Table 9.2 Energy Base Case Alternative A Production Plan 1 Cost Plan 2 Cost Year (kwh/yr. ) (¢/kwh ) (¢/kwh ) , ’ . . 1983 1,450,000 25.91 2622 1984 1,486,000 26.22 18.51 1985 1,522,000 26.55 18552 1986 1,558,000 26.89 18.53 1987 1,593,000 27.26 18.56 1988 1,629,000 27.62 18.59 1989 1,664,000 28.01 18.64 1990 1,700,000 28.40 18.68 1991 1,735,000 28.82 18.74 1992 1,771,000 29.25 18.81 1993 1,807,000 29.69 18.88 1994 1,843,000 30.15 18.96 1995 1,880,000 30.61 19.04 1996 1,917,000 360 19.13 1997 1,954,000 31.60 19.24 1998 1,992,000 32.11 19.35 1999 2,031,000 32.63 19.45 2000 2,070,000 33.18 19.57 2001 2,109,000 33.74 19.71 Sed Table 9.3 presents the plans for the village, in rank of recommended preference. The recommended action appropriate to each alternative is listed as well. Table 9.3 Energy Plan Alternative Recommended Action Alternative A - Waste Heat Initiate a feasibility Capture study for waste heat recovery. Estimated cost of feasibilty study $12,000 - $15,000. Base Case - Continue Investigate operation for Operation of Central potential of improved Power Plant generation efficiency. Estimate cost of study at $10,000 - $12,000 Additional Recommendations Weatherization Initiate energy audit and/ or complete weatherization program. Ez Reconnaissance studies are necessarily prelimirary in nature, however, it is apparent that there is great potential for a waste heat capture system in Aniak. Sale of the waste heat will realize increased revenues to the utility which will decrease the cost of production for electricity. Currertly (1981-82) electricity costs 34.5¢ per KWH based on $1.46 a gallon for fuel and includes distribution and overhead costs. The fuel is supplied by Chevron and barged to Aniak from the distribution center in Bethel. The computer model used in the reconnaissance study projected that the 1982-83 cost of production for electricity will be approximately 26.13¢ per KWH. The study suggested that a waste heat capture system would be installed, and become operational in 1983-84. It was assumed that the waste heat would replace fuel oil, which costs $1.95 per gallon, used for space heating. Based on this assumption, the cost of production for electricity would be reduced from 26.22¢ to 18.51¢ per KWH. Therefore it is recommended that a waste heat capture system be installed. The reconnaissance study estimates that the system has the potential to save up to 50,000 gallons of fuel oil in the first full year of operation. APPENDIX. See Section 3.0 (Methodology) of the Main Report: RECONNAISSANCE STUDY OF ENERGY REQUIREMENTS AND ALTERNATIVES FOR THE VILLAGES OF Aniak, Atka, Chefornak, Chignik Lake, Cold Bay, False Pass, Hooper Bay, Ivanof Bay, Kotlik, Lower and Upper Kalskag, Mekoryuk, Newtok, Nightmute, Nikolski, St. George, St. Marys, St. Paul, Toksook Bay, and Tununak. g ista Coroadtiion 516 Denali Street, Anchorage, Alaska 99501 (907) 279-5516 R ECEIvED APR 1 2 1982 ‘ALASKA ROWER AUTHORITY April 9, 1982 Eric Yould Alaska Power Authority 334 West 5th Avenue Anchorage, Alaska 99501 RE: Letter of March 8, 1982 We have reviewed the draft documents by NORTEC of the energy reconnaissance report of the Calista Region. Calista Corporation endorses the study that was done by NORTEC. Energy in the Calista Region is probably the most expensive item for the people. Oil and gas have to be transported in, therefore causing the cost of energy to skyrocket in the villages. We would very much appreciate for Alaska Power Authority go on further and make recommendations to improve the energy programs within our region. However, please coordinate with Calista Corporation and A.V.C.P. Inc. on the reconnaissance studies that will be done in the future. Any questions please do not hesitate to call on us. Sincerely, CALISTA CORPORATION Wo. Al fider | President AR/ms Reply to Calista Corporation letter dated 4/9/82. Receipt of the letter and the point about further future coordination with A.V.C.P. Inc. is acknowledged. PROPERTY OF: Alaska Power Authority 334 W. 5th Ave. Anchorage, Alaska 99501