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HomeMy WebLinkAboutFinal Akiak REF ApplicationRenewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 1 of 37 10/04/2022 Application Forms and Instructions This instruction page and the following grant application constitutes the Gr ant Application Form for Round 15 of the Renewable Energy Fund (REF). A separate application form is available for projects with a primary purpose of producing heat (see Request for Applications (RFA) Section 1.5). This is the standard form for all other projects, including projects that will produce heat and electricity. An electronic version of the RFA and both application forms is available online at: https://www.akenergyauthority.org/What-We-Do/Grants-Loans/Renewable-Energy-Fund/2022- REF-Application. What follows are some basic information and instructions for this application: • If you are applying for grants for more than one project, provide separate application forms for each project. • Multiple phases (e.g. final design, construction) for the same project may be submitted as one application. • If you are applying for grant funding for more than one phase of a project, provide milestones and grant budget for each phase of the project (see Sections 3.1 and 3.2.2). • In order to ensure that grants provide sufficient benefit to the public, AEA may limit recommendations for grants to preliminary development phases in accordance with 3 Alaska Administrative Code (ACC) 107.605(1). • If some work has already been completed on your project and you are requesting funding for an advanced phase, submit information sufficient to demonstrate that the preceding phases are completed and funding for an advanced phase is warranted . Supporting documentation may include, but is not limite d to, reports, conceptual or final designs, models, photos, maps, proof of site control, utility agreements, business and operation plans, power sale agreements, relevant data sets, and other materials. Please provide a list of supporting documents in Section 11 of this application and attach the documents to your application. • If you have additional information or reports you would like the Authority to consider in reviewing your application, either provide an electronic version of the document with your submission or reference a web link where it can be downloaded or reviewed. Please provide a list of additional information; including any web links, in Section 12 of this application and attach the documents to your application. For guidance on application best practices please refer to the resource-specific Best Practices Checklists; links to the checklists can be found in the appendices list at the end of the accompanying REF Round 15 RFA. • In the Sections below, please enter responses in the spaces provided. You may add additional rows or space to the form to provide sufficient space for the information, or attach additional sheets if needed. • If you need assistance with your application, please contact AEA’s Grants Coordinator by email at grants@akenergyauthority.org or by phone at (907) 771-3081. Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 2 of 37 10/04/2022 REMINDER: • AEA is subject to the Public Records Act AS 40.25, and materials submitted to AEA may be subject to disclosure requirements under the act if no statutory exemptions apply. • All applications received will be posted on the Authority web site after final recomme ndations are made to the legislature. Please submit resumes as separate PDFs if the applicant would like those excluded from the web posting of this application. • In accordance with 3 AAC 107.630 (b) Applicants may request trade secrets or proprietary company data be kept confidential subject to review and approval by AEA. If you want information to be kept confidential the applicant must: o Request the information be kept confidential. o Clearly identify the information that is the trade secret or proprietary in their application. o Receive concurrence from the Authority that the information will be kept confidential. If the Authority determines it is not confidential , it will be treated as a public record in accordance with AS 40.25 or returned to the applicant upon request. Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 3 of 37 10/04/2022 SECTION 1 – APPLICANT INFORMATION Please specify the legal grantee that will own, operate, and maintain the project upon completion . Name (Name of utility, IPP, local government, or other government entity) City of Akiak owner of Akiak Power Utilities Tax ID # Date of last financial statement audit: Mailing Address: Physical Address: PO Box 52028 Akiak, AK 99552 Telephone: Fax: Email: 907-765-7512 907-765-7414 coa.ivan@yahoo.com 1.1 Applicant Point of Contact / Grants Coordinator Name: Title: Moses Owen City Administrator Mailing Address: Same as above Telephone: Fax: Email: 1.1.1 Applicant Signatory Authority Contact Information Name: Moses Owen Title: City Administrator Mailing Address: Same as above Telephone: Fax: Email: 1.1.2 Applicant Alternate Points of Contact Name Telephone: Fax: Email: Alfreda Nopoka Akiak City Clerk Same as above Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 4 of 37 10/04/2022 1.2 Applicant Minimum Requirements Please check as appropriate. If applicants do not meet the minimum requirements, the application will be rejected. 1.2.1 Applicant Type ☐ An electric utility holding a certificate of public convenience and necessity under AS 42.05 CPCN #______, or ☐ An independent power producer in accordance with 3 AAC 107.695 (a) (1) CPCN #______, or ☒ A local government, or ☐ A governmental entity (which includes tribal councils and housing authorities) Additional minimum requirements ☒ 1.2.2 Attached to this application is formal approval and endorsement for the project by the applicant’s board of directors, executive management, or other governing authority. If the applicant is a collaborative grouping, a formal approval from each participant’s gover ning authority is necessary. (Indicate yes by checking the box) ☒ 1.2.3 As an applicant, we have administrative and financial management systems and follow procurement standards that comply with the standards set forth in the grant agreement (Section 3 of the RFA). (Indicate yes by checking the box) ☒ 1.2.4 If awarded the grant, we can comply with all terms and conditions of the award as identified in the Standard Grant Agreement template at https://www.akenergyauthority.org/What-We-Do/Grants-Loans/Renewable-Energy- Fund/2022-REF-Application (Any exceptions should be clearly noted and submitted with the application.) (Indicate yes by checking the box) ☒ 1.2.5 We intend to own and operate any project that may be constructed with grant funds for the benefit of the general public. If no please describe the nature of the project and who will be the primary beneficiaries. (Indicate yes by checking the box) Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 5 of 37 10/04/2022 SECTION 2 – PROJECT SUMMARY 2.1 Project Title Provide a 4 to 7 word title for your project. Type in the space below. Akiak Reconnaissance and Wind Assessment Project 2.2 Project Location 2.2.1 Location of Project – Latitude and longitude (preferred), street address, or community name. Latitude and longitude coordinates may be obtained from Google Maps by finding you project’s location on the map and then right clicking with the mouse and selecting “What is here? The coordinates will be displayed in the Google search window above the map in a format as follows: 61.195676.-149.898663. If you would like a ssistance obtaining this information , please contact AEA’s Grants Coordinator by email at grants@akenergyauthority.org or by phone at (907) 771- 3081. Latitude Longitude [Other description of location] Akiak is located at 60°54′36″N 161°13′6″W (60.912220, -161.21389)[5] (Sec. 32, T010N, R067W, Seward Meridian), on the west bank of the Kuskokwim River, 20 miles (68 km) northeast of Bethel, on the Yukon–Kuskokwim Delta. Akiak is located in the Bethel Recording District. 2.2.2 Community benefiting – Name(s) of the community or communities that will be the beneficiaries of the project. Akiak, Alaska 2.3 Project Type Please check as appropriate. 2.3.1 Renewable Resource Type ☒Wind ☐Biomass or Biofuels (excluding heat-only) ☐Hydro, Including Run of River ☐Hydrokinetic ☐Geothermal, Excluding Heat Pumps ☐Transmission of Renewable Energy ☒Solar Photovoltaic ☒Storage of Renewable ☐Other (Describe)☐Small Natural Gas 2.3.2 Proposed Grant Funded Phase(s) for this Request (Check all that apply) Pre-Construction Construction ☒Reconnaissance/ Wind Assessment ☐Final Design and Permitting ☒Feasibility and Conceptual Design ☐Construction Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 6 of 37 10/04/2022 2.4 Project Description Provide a brief, one-paragraph description of the proposed project. The City would like to know the economic viability of renewable energy, specifically wind +solar+battery storage with our diesel system by conducting this two phase project: Reconnaissance and Wind Assessment. By conducting these efforts together as one project, we can realize a feasibility study and conceptual design to move our community towards substantially reduced dependence on diesel. 2.5 Scope of Work Provide a short narrative for the scope of work detailing the tasks to be performed under this funding request. This should include work paid for by grant funds and matching funds or performed as in-kind match. To understand the economic viability and create a conceptual system design, the City is proposing to install a reference 50m meteorological tower as well as a LIDAR or SODAR meteorological unit to simultaneously collect and correlate wind data across the community at heights greater than or equal to 50 meters. This is because the average wind speeds are more suitable for development at this elevation. This proposed monitoring program will evaluate specific sites in and around Akiak. Akiak can then serve as a reference station for other communities that want to explore wind as an energy resource. The monitoring program in Akiak will continue for 12 months. Monthly wind resource reports will be produced with a final report summarizing the data collection and opportunities for the application of low inertia wind turbines on taller towers. The City of Akiak has requested IES to conduct the wind assessment and the necessary activities for a Reconnaissance Study that results in a Feasibility Study and Conceptual Design Report for our hoped for hybrid renewable energy-diesel system. 2.6 Previous REF Applications for the Project See Section 1.15 of the RFA for the maximum per project cumulative grant award amount Round Submitted Title of application Application #, if known Did you receive a grant? Y/N Amount of REF grant awarded ($) Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 7 of 37 10/04/2022 SECTION 3 – Project Management, Development, and Operation 3.1 Schedule and Milestones Please fill out the schedule below (or attach a similar sheet) for the work covered by this funding request. Be sure to identify key tasks and decision points, including go/no go decisions, in your project along with estimated start and end dates for each of the milestones and tasks. Pleas e clearly identify the beginning and ending of all phases (I. Reconnaissance, II. Feasibility and Conceptual Design, III. Final Design and Permitting, and IV. Construction) of your proposed project. See the RFA, Sections 2.3-2.6 for the recommended milestones for each phase. Add additional rows as needed. Phase 1: Reconnaissance Study Task # Milestones Tasks Start Date End Date Deliverables 1 Preliminary report and project plan Collect studies and mechanical electrical drawings related to existing base system Identify site condition, community information Research and writing to develop a project plan and site description. Within 1 month of start Within 4 month s of start Base systems, as- builts and energy studies Base System Design Documentation Binder Draft Conceptual Design Fee: $16,000 2 Procure monitoring equipment Within 1 month of start Within 4 month s of start Equipment and Shipping Invoice Equipment: $15,000 3 On-site data collection Travel to site with team to verify site conditions Confirm as-built drawings and survey electrical distribution, select site Data collection plus travel to Akiak from Anchorage with a project team consisting of an electrical engineer, diesel mechanic, project manager and research assistant Within 1 mont h of start Within 4 month s of start Condition report System condition report Fee: $14,000 Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 8 of 37 10/04/2022 Task # Milestones Tasks Start Date End Date Deliverables 4 Install monitoring equipment Field support. This includes installing reference weather station at the power plant and electric load monitoring equipment; including data logger, and sensors for wind speed, direction, solar insolation, and temperature with 12 months of data collection and a resource report. Estimated 10 days of equipment procurement and travel, per diem. Data gateway for load information at power plant Map of electrical distribution Within 1 month of start Within 6 months of start Installation report on monitoring equipment Load profile Distribution map Fee: $35,000 5 Options Analysis and Cost Estimates -Develop draft operating descriptions, operations and maintenance expectation for proposed wind,solar,battery systems. Includes descriptions of site requirements, remote troubleshooting and diagnostics, training, maintenance support. - Technology survey of proposed renewable system components. - Options Analysis Within 3 months of start 12-18 month s from start Draft operational and maintenance manuals Identify potential system components HOMER and PV Watts analysis Fee: $13,000 6 Feasibility and Conceptual Design Report - Compile and write resource assessments - Compile and write conceptual design - Compile and write projected costs/financing Within 6 months of start 18 month s from start Resource Assessments Conceptual Design Projected Costs/ Financing Fee: $11,500 Total Fees & Equipment: $104,500 Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 9 of 37 10/04/2022 Phase 2: Wind Assessment- Feasibility & Conceptual Design Milestone Task Deliverables Projected Completion Date 1 Procure Monitoring Equipment for Project Assessment 3 months from start IES offers to supply and install a fully functional wind monitoring tower with new, calibrated anemometers, as well as a Wind Cube Lidar or equivalent unit. The unit will be equipped with an I-Pack for daily downloading of wind data. The equipment will be needed for about 18 months. Milestone 1 Total $194,000 2 Plan base system design and instrumentation procurement Onsite assessment report 3 months from start Prepare a plan for base system design and instrumentation procurement information needed for this effort and site characterization. Milestone 2 Total $ 12,000 3 Installation of monitoring equipment Monitoring system report 6 months from project start Equipment will be installed in Akiak on a fixed price basis. The installation will consist of the following tasks: •Install anchors •Assemble and erect towers •Program loggers •Activate cellular loggers •Prepare site installation report Assumptions: •Sites are level and cleared and are accessible by skid steer and trailer •Equipment will be delivered to Akiak by barge. •Ground is assumed to be appropriate for the use of screw anchors, embedment with up to two anchors per guy and 4 per tower base. Tower base will require a ballasted foundation frame. FAA permitting requires painting of tower and the installation of navigation lights, which require ordering Milestone 3 Total $ 41,000 Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 10 of 37 10/04/2022 4 Data collection and analysis Options analysis report 12 to 18 months from project start $2000/ month/site/12 months Additional Equipment needed Cell phone/ ISP - $160/month 2-3 redeployments of Lidar/Sodar Milestone 4 Total $ 39,000 5 Wind Resource Modeling and site report Final design report 18 months from project start Milestone 5 Total $ 24,000 6 Remove equipment Remove Tower 18 -20 months from project start Milestone 6 Total $ 32,000 TOTAL $342,000 Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 11 of 37 10/04/2022 3.2 Budget 3.2.1 Funding Sources Indicate the funding sources for the phase(s) of the project applied for in this funding request. Grant funds requested in this application $ 446,500 Cash match to be provideda $ In-kind match to be provideda $ 3,000 Energy efficiency match providedb $ Total costs for project phase(s) covered in application (sum of above) $ 449,500 Describe your financial commitment to the project and the source(s) of match. Indicate whether these matching funds are secured or pending future approvals. Describe the impact, if any, that the timing of additional funds would have on the ability to proceed with the grant. In-kind for housing and transportation for contractors when in our community. a Attach documentation for proof (see Section 1.18 of the Request for Applications) b See Section 8.2 of this application and Section 1.18 of the RFA for requirements for Energy Efficiency Match. 3.2.2 Cost Overruns Describe the plan to cover potential cost increases or shortfalls in funding. Contractor is providing a firm fixed cost for its proposal. 3.2.3 Total Project Costs Indicate the anticipated total cost by phase of the project (including all funding sources). Use actual costs for completed phases. Indicate if the costs were actual or estimated. Reconnaissance [Actual/Estimated] $104,500 Feasibility and Conceptual Design [Actual/Estimated] $342,000 Final Design and Permitting [Actual/Estimated] $ Construction [Actual/Estimated] $ Total Project Costs (sum of above) Estimated $ Metering/Tracking Equipment [not included in project cost] Estimated $446,500 3.2.4 Funding Subsequent Phases If subsequent phases are required beyond the phases being applied for in this application, describe the anticipated source s of funding and the likelihood of receipt of those funds . •State and/or federal grants •Loans, bonds, or other financing options •Additional incentives (i.e. tax credits) •Additional revenue streams (i.e. green tag sales or other renewable energy subsidies or programs that might be available) This information is part of the Reconnaissance Study final report. Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 12 of 37 10/04/2022 3.2.3 Budget Forms Applications MUST include a separate worksheet for each project phase that was identified in Section 2.3.2 of this application — I. Reconnaissance, II. Feasibility and Conceptual Design, III. Final Design and Permitting, and IV. Construction. Please use the tables provided below to detail your proposed project’s total budget. Be sure to use one table for each phase of your project, and delete any unnecessary tables. The milestones and tasks should match those listed in 3.1 above. If you have any question regarding how to prepare these tables or if you need assistance preparing the application please feel free to contact AEA’s Grants Coordinator by email at grants@akenergyauthority.org or by phone at (907) 771-3081. Phase 1 — R econnaissance Milestone or Task Anticipated Completion Date RE- Fund Grant Funds Grantee Matching Funds Source of Matching Funds: Cash/In- kind/Federal Grants/Other State Grants/Other TOTALS (List milestones based on phase and type of project. See Sections 2.3 thru 2.6 of the RFA ) $ $ $ Preliminary report and project plan Within 4 months of start $ 16,000 $ $ 16,000 Procure monitoring equipment Within 4 months of start $15,000 $ $ 15,000 On-site data collection Within 4 months of start $14,000 $1,500 $ 15,500 Install monitoring equipment Within 6 months of start $35,000 $1,500 $ 36,500 Options Analysis and Cost Estimates Within 12-18 months of start $13,000 $ $13,000 Feasibility and Conceptual Design Report Within 18 months of start $ 11,500 $ $11,500 $ $ $ TOTALS $104,500 $3,000 $107,500 Budget Categories: Direct Labor & Benefits $ $ $ Travel & Per Diem $ $3,000 $3,000 Equipment $ $ $ Materials & Supplies $ $ $ Contractual Services $ $104,500 $104,500 Construction Services $ $ $ Other $ $ $ TOTALS $ $ $107,500 Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 13 of 37 10/04/2022 Phase 2 — Wind Assessment Feasibility and Conceptual Design Milestone or Task Anticipated Completion Date RE- Fund Grant Funds Grantee Matching Funds Source of Matching Funds: Cash/In- kind/Federal Grants/Other State Grants/Other TOTALS (List milestones based on phase and type of project. See Sections 2.3 thru 2.6 of the RFA ) $ $ $ Procure Equipment for Project $144,000 $ $194,000 On-Site Assessment Report $12,000 $ $ 12,000 Install monitoring equipment $41,000 $ $ 41,000 Data collection and analysis $39,000 $ $ 39,000 Final Report: Wind Resource Modeling and site report $24,000 $ $ 24,000 Remove equipment $32,000 $ $ 32,000 $ $ $ $ $ $ TOTALS $ $ $342,000 Budget Categories: Direct Labor & Benefits $ $ $ Travel & Per Diem $ $ $ Equipment $ $ $ Materials & Supplies $ $ $ Contractual Services $ $ $ 342,000 Construction Services $ $ $ Other $ $ $ TOTALS $ $ $ Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 14 of 37 10/04/2022 3.2.4 Cost Justification Indicate the source(s) of the cost estimates used for the project budget, including costs for future phases not included in this application. Detailed cost justifications and project quotes are provided in attachments. The quotes are from an experienced consultant/contractor well versed in the constraints of rural energy construction projects. 3.3 Project Communications 3.3.1 Project Progress Reporting Describe how you plan to monitor the progress of the project and keep AEA informed of the status. Who will be responsible for tracking the progress? What tools and methods will be used to track progress? Project will be monitored and reported as required by AEA. Akiak will require reports from contractor and will provide these and Akiak oversight reports to AEA. All grant funds will be expended on costs directly related to the performance of the scope of work and administration and reporting of grant activities. 3.3.2 Financial Reporting Describe the controls that will be utilized to ensure that only costs that are reasonable, ordinary and necessary will be allocated to this project. Also discuss the controls in place that will ensure that no expenses for overhead, or any other unallowable costs w ill be requested for reimbursement from the REF Grant Program. Quotes for project services are attached. Akiak is confident that the quoted amount for these services is reasonable. Work will be completed by a highly experienced Alaskan firm very familiar with AEA grant reporting requirements. Only contractual costs will be requested from the REF Grant Program. The City of Akiak is capable and prepared to enter into an agreement with the State Government. Previous state funding awards have been managed to successful completion through in-house or subcontracted services. Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 15 of 37 10/04/2022 SECTION 4 – QUALIFICATIONS AND EXPERIENCE 4.1 Project Team Include resumes for known key personnel and contractors, including all functions below, as an attachment to your application. In the electronic submittal, please submit resumes as separate PDFs if the applicant would like those excluded from the web posting of this application. 4.1.1 Project Manager Indicate who will be managing the project for the Grantee and include contact information. If the applicant does not have a project manager indicate how you intend to solicit project management support. If the applicant expects project management assistance from AEA or another government entity, state that in this section. City of Akiak: Mr. Moses Owen, City Administrator will serve as the City’s point of contact and lead. Mr. Owen has been active in the City’s administration for many years. In addition , Mr. Owen serves as the Chair of the Yupiit School District and as a n elected member of the Yukon Kuskokwim Regional Tribal Government. He has also been active in land use planning for the Akiak area and has represented Akiak on efforts such as the Akiak Ha zardous Mitigation Planning effort and the Kuskokwim River Inter-Tribal Fish Commission. Tony D’Aoust (Lead Project Manager and Assessment Specialist) Is responsible for all Milestones being accomplished. For over 20 years Tony has specialized in remote solar and battery installations and operations, primarily aboard marine research vessels deployed for 3 -6 months at a time. Deciding to transfer these skills and capabilities to remote communit ies, Tony is supporting these communities’ efforts to increase their sustainability by reducing dependence on diesel fuel. His work includes the first ever installation of Alaska’s coastal remote powered autonomous HF radar system; this design was later in corporated into similar Antarctica deployment. In addition to being well-versed in remote renewable energy systems, he has substantial experience working with research teams from universities and federal agencies requiring detailed documentation of the projects for which he is responsible. Tony will lead the IES team to coordinate feasibility and conceptual design activities by drawing on experience with over 20 years of experience in remote Alaska. IES intends to establish the same level of on-going commitment to Napaskiak as it has to other remote, rural communities in Alaska. (Milestone Tasks 1-5 and Associated Tasks) 4.1.2 Project Accountant Indicate who will be performing the accounting of this project for the grantee. If the applicant does not have a project accountant indicate how you intend to soli cit financial accounting support. Pati Crofut (Grants Manager) is a highly experienced rural utility accounting consultant and trainer. She has been solely responsible for the grant accounting and financial management on numerous USDA High Energy Cost grants awarded to villages in Western Alaska and administered through IES. She is familiar with all reporting requirements for the REF program. Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 16 of 37 10/04/2022 4.1.3 Expertise and Resources Describe the project team including the applica nt, partners, and contractors. For each member of the project team, indicate : • the milestones/tasks in 3.1 they will be responsible for; • the knowledge, skills, and experience that will be used to successfully deliver the tasks; • how time and other resource conflicts will be managed to successfully complete the task. If contractors have not been selected to complete the work, provide reviewers with sufficient detail to understand the applicant’s capacity to successfully select contractors and manage complex contracts. Project Team – Resumes can be found in the attached Cost Quote Key Personnel The following individuals and organizations will be the technical support for this project. Intelligent Energy Systems, LLC Tony D’Aoust (Lead Project Manager and Assessment Specialist) Is responsible for all Milestones being accomplished. For over 20 years Tony has specialized in remote solar and battery installations and operations, primarily aboard marine research vessels deployed for 3 -6 months at a time. Deciding to transfer these skills and capabilities to remote communities, Tony is supporting these communities’ efforts to increase their sustainability by reducing dependence on diesel fuel. His work includes the first ever installation of Alaska’s coastal remote powered autonomous HF radar system; this design was later incorporated int o similar Antarctica deployment. In addition to being well-versed in remote renewable energy systems, he has substantial experience working with research teams from universities and federal agencies requiring detailed documentation of the projects for which he is responsible. Tony will lead the IES team to coordinate feasibility and conceptual design activities by drawing on experience with over 20 years of experience in remote Alaska. IES intends to establish the same level of on-going commitment to Napaskiak as it has to other remote, rural communities in Alaska. (All Milestones and Tasks) Terrance Meyer, Mechanical Engineer is a veteran of renewable energy having run his own development company and consulting company as well as workin g for some of the major players in the field. His inspiration was hydro power, interned in solar power, grew his career with the wind energy boom, and has supported community scale and biomass projects. He has participated in assessments for hundreds of renewable energy projects and various technologies. These include system design, strategic planning, feasibility studies, due diligence investigations, performance testing, technical and financial analyses, product development research, market analyses, and patent writing. The projects have been a wide variety of generation technologies from utility scale to distributed generation and include wind, hydroelectric, biomass, pumped hydro energy storage, ultracapacitors, batteries, renewable fuels, cogeneration, solar photovoltaic, solar thermal, hydroelectric, in addition to conventional energy technologies. (Co -Lead for All Milestones and Associated Tasks) Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 17 of 37 10/04/2022 Carl Brothers, P.E., (Power Integration and Wind Energy Specialist) President of Frontier Power Systems. Mr. Brothers is the former director of the Atlantic Wind Test Site, Canada’s premier wind energy test facility. He has been responsible for the development of over 100 MW of large scale grid connected wind systems and is familiar with the full range of w ind technologies. Mr. Brothers has evaluated the performance of over 20 wind turbines, and is responsible for some of the most successful community scale and off grid wind diesel systems in Eastern Canada. Mr. Brothers has been responsible for design improvements to mid-sized wind turbines, and is familiar with cost, deployment, installation and integration issues. He is involved with the growth of high penetration wind diesel systems across the Arctic. Mr. Brothers will assist with equipment and site sel ection, evaluation of data and comparison with similar projects in other parts of the Arctic and Alaska. Mr. Brothers will assist with program design and site selection. (Reconnaissaince: Milestones 4 -6 Consultant; Wind Assessment: Milestones 1 -5 Consultant) Dale Letourneau (Electrical Engineer), with more than 30 years of electrical and power system design experience in Alaska. Dale has experience with controls, switchgear, electrical distribution, and power systems integration design, and has worked with IES over the last 15 years. Specializing in standalone power energy generation and grid integration. Dale has managed large and small projects across Alaska, and his projects benefit from his years of practical experience, working with his family’s electrical business. (Reconnaissance: Milestones 4-6 Consultant; Wind Assessment: Milestones 3, 4 and 5 and Associated Tasks) Greg Egan (Senior Solar PV Specialist), President of Remote Power, Inc. Fairbanks, Alaska. Greg was the first NABCEP certified PV installer in Alaska and a journeyman electrician. Over the last 25 years, Greg has been responsible for the design and installation of hundreds of photovoltaic power systems for residential, commercial, and industrial applications across the state. It is not unreasonable to state that Mr. Egan is the most experienced solar designer and installer in Alaska. This includes the design of the solar power systems and custom array racking that were installed at the Water Treatment Facilities located in Deering, Kobuk, Noatak, and Noorvik and Shungnak. (Reconnaissance: Milestones 4-6 Consultant; Wind Assessment: Milestones 3, 4 and 5 and Associated Tasks) Ian Knapp (Technical Specialist), Ian skills range from data collection to technical analysis. Ian will be responsible for data collection, mapping, data analysis, load monitoring, and aggregation of data for analysis. Ian will develop methods of data collection and analysis. He specializes in control and communications systems architectures, and maintaining system reliability. (Assistance and Support for All Milestones and Associated Tasks) Pati Crofut (Utility Financial Management Specialist and IES Grant Manager) Responsible for IES (the contractor) reporting requirements and determination of business operating plans for standalone community microgrids. Pati has spent the last 20 years of her career as a rural Alaskan utility accounting consultant and trainer. She has been responsible for assisting communities like Napaskiak to develop financial accounting and management practices. She provides QuickBooks training and consulting services to the State of Alaska Department of Commerce & Rural Development. For the past 6 years, Pati has been IES’s financial operations manager. (All Milestones and Associated Tasks) Patrick Boonstra (Senior Project Manager. Intelligent Energy Systems, LLC (IES). Patrick is an experienced and dedicated project manager and operations manager for IES. He has 20+ years of experience bringing complex, remote projects to successful completion. He has 10 years’ designing, managing, constructing, and commissioning hybrid microgrid projects. Patrick has a Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 18 of 37 10/04/2022 keen sense for the practicalities of remote construction and this experience is invaluable to plan and develop remote hybrid microgrids from budgeting, to knowing vendor capabilities to working with subcontractors - including those locally hired from the remote communities IES works in. In 2022 Patrick led the IES team to complete a similar system in Kokhanak. This experience is important for efficient installation, integration, and commissioning of the BESS and ETS units with the wind-diesel system. (Available for all Milestones and Tasks as needed.) Dennis Meiners (Principal and Founder of Intelligent Energy Systems, LLC (IES). Dennis has 25+ years developing alternatives to diesel -power generation for remote Alaskan communities. This project will benefit from Dennis’s many years of experience, and his understanding of the importance of system practicality, reliability, and abil ity to support field deployed technology. Over the years, Dennis has developed IES into one of the most experienced and capable teams of renewable microgrid technologists and specialists in North America. IES has demonstrated its ability to assist communities to develop high penetration renewable projects from concept to operations. (Available for all Milestones and Tasks as needed.) 4.2 Local Workforce Describe how the project will use local labor or train a local labor workforce. Project personnel will interact with the local utility manager and operators to understand how Akiak’s power plant functions and to collect accurate information/data. However, there are no plans to hire local individuals for the Reconnaissance Study. Local forces will be used to the greatest extent possible for all field and utility work required for the Wind Assessment. Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 19 of 37 10/04/2022 SECTION 5 – TECHNICAL FEASIBILITY 5.1 Resource Availability 5.1.1 Assessment of Proposed Energy Resource Describe the potential extent/amount of the energy resource that is available , including average resource availability on an annual basis. For pre-construction applications, describe the resource to the extent known. For design and permitting or construction projects, please pro vide feasibility documents, design documents, and permitting documents (if applicable) as attachments to this application (See Section 11). Likelihood of the resource being available over the life of the project . See the “Resource Assessment” section of the appropriate Best Practice Checklist for additional guidance. There are several factors which indicate that the community and the surrounding communities could benefit from evaluation of the wind resource in the area. This project is respons ive to both a local and regional need to develop renewable resources as well as evaluate the potential for expanding the harvesting wind energy across the state. This study is especially relevant in light of advances in wind technology, which have demonstr ated the viability of the economic application of large rotor diameter wind turbines on taller towers. Wind technology, specifically low wind speed, wind technology has and continues to improve. The 100 kW wind turbines recently installed in Atmautluak, and Kwethluk are installed on 40 and 50 meter meter tilt-up towers respectively. These turbines are equipped with low inertia, high efficiency 24 meter rotors are able to harvest wind energy across a broad spectrum of lower average wind speeds. Technical developments are underway from several companies to increase this and other 100 kW machine’s rotor diameter to 30 meters. These advances are designed to improve turbine capacity factors in low wind speed regimes, ( 4.0 m/s measured at 30 meters) in the 30% range. Additionally, much development is underway which scales these platforms to the 40 meter rotor and 250 kW range. Technical improvements in rotor efficiency, increased rotor diameter combined with taller guyed towers are making the use of wind power in communities like Akiak, and surrounding communities like Akiachak and Tulusak with more moderate wind resources, potentially economically viable. 1.The community of Akiak, as well the nearby communities, have few renewable energy opportunities, beyond wind and solar. Solar is unlikely to provide sufficient energy to meet the majority of the community’s needs throughout the year, or represent significant potential for large scale fue l displacement. The fact that Akiak is close to other communities with a viable wind resource ( Kwethluk, Bethel), IES is proposing that the potential for wind resource at or above the 50 meter height is possible 2.This study proposes to install and instrument a 50 meter meteorological tower in Akiak. This tower will be installed with navigational lighting, and used as a subregional reference tower. A Lidar or Sodar unit will be placed in various locations around t he community to collect simultaneous data, and compare the wind potential at various heights and locations around the community. This method would benefit multiple communities, and more accurately define the actionable wind resources. This work requires installing both an instrumented 50-meter wind monitoring tower and a Lidar or Sodar unit. The 50-meter tower will serve as the reference station and the Lidar/Sodar unit will be moved around the community to identify the most optimal sites. Together the taller met tower, and Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 20 of 37 10/04/2022 the Lidar/Sodar unit will be used for simultaneous correlation of wind speed, temperature and wind direction and shear data at rotor reference heights 30, 40, 50 meters and beyond. The project is designed around the installation of a traditional 50 meter met tower, with FAA paint and lighting. The mast will be instrumented at 20, 30 and 50 meters. The wind resource met tower measurements will be correlated with a 3D scanning lidar unit to provide a vertical wind profile excess of 80 meters. The Met Tower will serve as reference base station, and Lidar Sodar unit will be deployed at different locations across the community and to nearby communities validate higher level wind speed measurements. The Lidar/Soda r unit can be redeployed approximately every 3 months to prospect for efforts to improve and test local wind conditions. The base met tower data and Lidar/Sodar data will be correlated for direction, speed , and shear. The wind resource assessment provides crucial information for w ind energy development. Legacy technologies, and legacy studies which employed 20 to 30 meter met masts, have shown limitations with today’s improved turbines, especially projects. This study proposes to use a combination of reference met tower (50-meter) plus a LIDAR/Sodar unit to correlate time series vertical profiling to accurately and more rapidly and rigorously validate the wind resource in Akiak. While the reference tower is fixed, the Lidar/Sodar unit can easily be relocated on a periodic basis to prospect for the most productive location in the community. Once Akiak has been accurately characterized, the Lidar/Sodar data can be used to accurately define the resources, reduce deployment, and improve decision-making. Because this region has limited renewable resources, this detailed study will be of great value to Akiak and surrounding communities, both up and down river. 5.1.2 Alternatives to Proposed Energy Resource Describe the pros and cons of your proposed energy resource vs. other alternatives that may be available for the market to be served by your project. Due to our remote location and isolation, there are few options to heat homes in Akiak, and what options do exist are inevitably expensive and logistically challenging. Residents in Akiak currently use diesel to heat their homes. Heating fuel costs over $5.00 per gallon. The high cost of heat is a significant burden for residents, whose average earnings according to the 2020 ACS Survey over 30% of the population live in poverty According to the State of Alaska Energy Authority’s 2020 Power Cost Equalization Report, the average cost of electricity per kWh in Akiak was $0.53. This is almost 300% of the national average. 5.1.3 Permits Provide the following information as it may relate to permitting and how you intend to address outstanding permit issues. See the “Environmental and Permitting Risks” section of the appropriate Best Practice Checklist for additional guidance. • List of applicable permits • Anticipated permitting timeline • Identify and describe potential barriers including potential permit timing issues, public opposition that may result in difficulty obtaining permits, and other permitting barriers Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 21 of 37 10/04/2022 Part of the purpose of the Reconnaissance Study is to identify permitting requirements/needs. 5.2 Project Site Describe the availability of the site and its suitability for the proposed energy system . Identify potential land ownership issues, including whether site owners have agreed to the project or how you intend to approach land ownership and access issues. See the “Site control” section of the appropriate Best Practice Checklist for additional guidance. Regarding the suitability of the project site for the proposed feasibility study, the WAsP model and Wind Farmer are the two most widely used wind power analysis software models in the world. These models use met tower wind data (or wind atlas) reference data placed on a digital elevation base map. The model assigns a wind turbine location, and uses the published wind turbine power curves to perform annual energy production calculations. WAsP uses available data to determine terrain effects on the wind resource. The modeling software has a number of limitations especially when evaluating surface roughness, obstacles and increases and decreasing in wind velocity at specific heights due to changing terrain features and obstacles, such as buildings, trees, hills, etc. The model outputs incorporate the assumption the overall wind regime of the turbine site is same as the met tower reference site, and that prevailing weather conditions are stable over time, and surrounding terrain at the wind data reference point and turbine sites is sufficiently gentle and smooth to ensure laminar, attached wind flow. What is learned from this level of study will be valuable for establishing the wind potential of our community. 5.3 Project Technical & Environmental Risk 5.3.1 Technical Risk Describe potential technical risks and how you would address them . •Which tasks are expected to be most challenging? •How will the project team reduce the risk of these tasks? •What internal controls will be put in place to limit and deal with technical risks? See the “Common Planning Risks” section of the appropriate Best Practice Checklist for additional guidance. Technical risks are low (installing the 50-meter met tower, data logger and sensor). This will likely be weather/wind dependent and we may need to have an extra dose of patience if there is a storm when these tasks are due to be conducted. 5.3.2 Environmental Risk Explain whether the following environmental and land use issues apply, and if so which project team members will be involved and how the issues will be addressed. See the “Environmental and Permitting Risks” section of the appropriate Best Practice Checklist for additional guidance. •Threatened or endangered species •Habitat issues •Wetlands and other protected areas •Archaeological and historical resources Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 22 of 37 10/04/2022 • Land development constraints • Telecommunications interference • Aviation considerations • Visual, aesthetics impacts • Identify and describe other potential barriers N/A 5.4 Technical Feasibility of Proposed Energy System In this section you will describe and give details of the existing and proposed systems. The information for existing system will be used as the baseline the proposal is compared to and also used to make sure that proposed system can be integrated. Only complete sections applicable to your proposal. If your proposal only generates electricity, you can remove the sections for thermal (heat) generation. 5.4.1 Basic Operation of Existing Energy System Describe the basic operation of the existing energy system including: description of control system; spinning reserve needs and variability in generation (any high loads brought on quickly); and current voltage, frequency, and outage issues across system. See the “Understanding the Existing System” section of the appropriate Best Practice Checklist for additional guidance. Part of the Reconnaissance Study is to detail the existing energy system. 5.4.2.1 Existing Power Generation Units Include for each unit include: resource/fuel, make/model, design capacity (kW), minimum operational load (kW), RPM, electronic/mechanical fuel injection, make/model of genset controllers, hours on genset Unit 1: Unit 2: Unit 3: Unit 4: Unit 5: Unit 6: 5.4.2.2 Existing Distribution System Describe the basic elements of the distribution system. Include the capacity of the step-up transformer at the powerhouse, the distribution voltage(s) across the community, any transmission voltages, and other elements that will be affected by the proposed project. 5.4.2 Existing Energy Generation Infrastructure and Production In the following tables, only fill in areas below applicable to your project. You can remove extra tables. If you have the data below in other formats, you can attach them to the application (see Section 11). Is there operational heat recovery? (Y/N) If yes estimated annual displaced heating fuel (gallons) Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 23 of 37 10/04/2022 5.4.2.3 Existing Thermal Generation Units (if applicable to your project) Generation unit Resource/ Fuel type Design capacity (MMBtu/hr) Make Model Average annual efficiency Year Installed Hours 5.4.2.5 Annual Electricity Production and Fuel Consumption (Existing System) Use most recent year. Replace the section (Type 1), (Type 2), and (Type 3) with generation sources Month Generati on (Type 1) (kWh) Generatio n (Type 2) (kWh) Generatio n (Type 3) (kWh) Fuel Consumptio n (Diesel- Gallons) Fuel Consumptio n [Other] Pea k Loa d Minimu m Load January February March April May June July August Septembe r October November December Total 5.4.2.6 Annual Heating Fuel Consumption (Existing System) Use most recent year. Include only if your project affects the recovered heat off the diesel genset or will include electric heat loads. Only include heat loads affected by the project. Month Diesel (Gallons) Electricity Propane (Gallons) Coal (Tons) Wood (Cords, green tons, dry tons) Other January 5.4.2.4 O&M and replacement costs for existing units Power Generation Thermal Generation i. Annual O&M cost for labor ii. Annual O&M cost for non-labor iii. Replacement schedule and cost for existing units Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 24 of 37 10/04/2022 February March April May June July August September October November December Total 5.4.2.3 N/A 5.4.2.4 N/A 5.4.2.5 N/A 5.4.2.6 N/A 5.4.3 Future Trends Describe the anticipated energy demand in the community, or whatever will be affected by the project, over the life of the project. Explain how the forecast was developed and provide year by year forecasts. As appropriate, include expected changes to energ y demand, peak load, seasonal variations, etc. that will affect the project. Part of the purpose of the Reconnaissance Study is to identify potential future trends and impacts on a future energy system. 5.4.4 Proposed System Design Provide the following information for the proposed renewable energy system: • A description of renewable energy technology specific to project location • The total proposed capacity and a description of how the capacity was determined • Integration plan, including upgrades needed to existing system(s) to integrate renewable energy system: Include a description of the controls, storage, secondary loads, distribution upgrades that will be included in the project • Civil infrastructure that will be completed as part of the project—buildings, roads, etc. • Include what backup and/or supplemental system will be in place See the “Proposed System Design” section of the appropriate Best Practice Checklist for additional guidance. Part of the purpose of the Reconnaissance Study is to detail the proposed system design. Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 25 of 37 10/04/2022 5.4.4.1 Proposed Power Generation Units Unit # Resource/ Fuel type Design capacity (kW) Make Model Expected capacity factor Expected life (years) Expected Availability 5.4.4.2 Proposed Thermal Generation Units (if applicable) Generation unit Resource/ Fuel type Design capacity (MMBtu/hr) Make Model Expected Average annual efficiency Expected life 5.4.5 Basic Operation of Proposed Energy System • To the best extent possible, describe how the proposed energy system will operate: When will the system operate, how will the system integrate with the existing system, how will the control systems be used, etc. • When and how will the backup system(s) be expected to be used See the “Proposed System Design” section of the appropriate Best Practice Checklist for additional guidance. Part of the purpose of the Reconnaissance Study is to identify basic operation of the proposed energy system. For the Wind Assessment, the study proposes to use a combination of reference met tower (50 meter) plus a WindCube® type of LIDAR unit or equivalent to correlate time series vertical profiling to accurately, and more rapidly and rigorously, validate the wind resource in Akiak. While the reference tower is fixed, the Lidar /Sodar unit can easily be relocated on a period basis to prospect for the most productive location in the community. Once Akiak has been accurately characterized, the Lidar/Sodar unit can be cost-effectively deployed to other locations, and other communities as a replacement for met masts. The Lidar/Sodar data can be used to accurately define the resources, reduce deployment, and improve decision -making. This region has limited renewable resources. This level of study will be of great value to surrounding communities, both up and downriver. Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 26 of 37 10/04/2022 Wind Monitoring Equipment The wind monitoring equipment consists of a guyed 50m tubular steel mast. Anemometers are mounted at the 30, 40, and 50 meter levels. Direction vanes are mounted at the 40 and 50m levels. A data logger and temperature sensor are mounted at 2m. The data logger is equipped with a cellular data transmission device which transmits recorded data to an email account on a daily basis. The configuration and type of instrumentation will include site photos, vegetation heights and types, GPS, location, elevation, and sensor descriptions, orientations, logger type, collection channels and installation and placement details. A LIDAR Unit: WindCube® type or equivalent, will be mounted on a small trailer with an accompanying power supply. Both the NRG data logger cell modem. The Lidar unit will initially be deployed adjacent to the met tower, and then redepl oyed to other locations across the community. Please see attached cost justification proposal from contractor IES for more complete information. 5.4.3.1 Expected Capacity Factor % 5.4.5.2 Annual Electricity Production and Fuel Consumption (Proposed System) Month Generation (Proposed System) (kWh) Generation (Type 2) (kWh) Generation (Type 3) (kWh) Fuel Consumption (Diesel- Gallons) Fuel Consumption [Other] Secondary load (kWh) Storage (kWh) January February March April May June July August September October November December Total 5.4.5.3 Annual Heating Fuel Consumption (Proposed System) Month Diesel (Gallons) Electricity Propane (Gallons) Coal (Tons) Wood (Cords, green tons, dry tons) Other January Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 27 of 37 10/04/2022 February March April May June July August September October November December Total 5.4.6 N/A 5.4.7 N/A 5.4.6 Proposed System Operating and Maintenance (O&M) Costs O&M costs can be estimated in two ways for the standard application. Most proposed renewable energy projects will fall under Option 1 because the new resource will not allow for dies el generation to be turned off. Some projects may allow for diesel generat ion to be turned off for periods of time; these projects should choose Option 2 for estimating O&M. Option 1: Diesel generation ON For projects that do not result in shutting down diesel generation there is assumed to be no impact on the base case O&M. Please indicate the estimated annual O&M cost associated with the proposed renewable project. $ Option 2: Diesel generation OFF For projects that will result in shutting down diesel generation please estimate: 1. Annual non-fuel savings of shutting off diesel generation 2. Estimated hours that diesel generation will be off per year. 3. Annual O&M costs associated with the proposed renewable project. 1. $ 2. Hours diesel OFF/year: 3. $ 5.4.7 Fuel Costs Estimate annual cost for all applicable fuel(s) needed to run the proposed system (Year 1 of operation) 5.4.3.1N/A 5.4.5.2 N/A 5.4.5.3 N/A Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 28 of 37 10/04/2022 Diesel (Gallons) Electricity Propane (Gallons) Coal (Tons) Wood Other Unit cost ($) Annual Units Total Annual cost ($) 5.5 Performance and O&M Reporting For construction projects only 5.5.1 Metering Equipment Please provide a short narrative, and cost estimate, identifying the metering equipment that will be used to comply with the operations reporting requirement identified in Section 3.15 of the Request for Applications. Reconnaissance Study will provide recommendations for metering 5.5.2 O&M reporting Please provide a short narrative about the methods that will be used to gather and store reliable operations and maintenance data , including costs, to comply with the operations reporting requirement identified in Section 3.15 of the Request for Applications Reconnaissance Study will provide recommendations for O&M reporting SECTION 6 – ECONOMIC FEASIBILITY AND BENEFITS 6.1 Economic Feasibility 6.1.1 Economic Benefit Annual Lifetime Anticipated Diesel Fuel Displaced for Power Generation (gallons) Anticipated Fuel Displaced for Heat (gallons) Total Fuel displaced (gallons) Anticipated Diesel Fuel Displaced for Power Generation ($) Anticipated Fuel Displaced for Heat ($) Anticipated Power Generation O&M Cost Savings Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 29 of 37 10/04/2022 Anticipated Thermal Generation O&M Cost Savings Total Other costs savings (taxes, insurance, etc.) Total Fuel, O&M, and Other Cost Savings An accurate understanding of the wind resource at higher elevations is necessary for determining wind system viability. The data analysis will enable accurate evaluation of resource potential and choices optimized around parameters of interest such as, turbine production compared to local and regional reference sites, These options will be compared to the diesel operational base lines, and evaluated with respect to the community’s goals. ·The turbines to be included in the evaluation include, but are not limited to Frontier, 24.4, and 30 ·EWT 54, 61 6.1.2 Economic Benefit Explain the economic benefits of your project. Include direct cost savings and other economic benefits, and how the people of Alaska will benefit from the project. Note that additional revenue sources (such as tax credits or green tags) to pay for operations and/or financing, will not be included as economic benefits of the project. Where appropriate, describe the anticipated energy cost in the community, or whatever will be affected by the project, over the life of the project. Explain how the forecast was developed and provide year-by-year forecasts The economic model used by AEA is avai lable at https://www.akenergyauthority.org/What-We- Do/Grants-Loans/Renewable-Energy-Fund/2022-REF-Application. This economic model may be used by applicants but is not required. The final benefit/cost ratio used will be derived from the AEA model to ensure a level playing field for all applicants. If used, please submit the model with the application. Reconnaissance Study will identify and elaborate on potential economic benefits of renewable energy implementation. Feasibility study will provide accurate and reliable estimates of true wind potential. The final report will include an estimate of expected annual energy production from these turbines at various locations and configurations as potential renewable energy sources for the community. The report will also include an initial con struction cost estimate for the most productive options. The outcome of this project will provide a basis for determining the economic viability of wind energy for this and other similarly situated communities in the Yukon and Kuskokwim regions. Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 30 of 37 10/04/2022 6.1.3 Economic Risks Discuss potential issues that could make the project uneconomic to operate and how the project team will address the issues. Factors may include: • Low prices for diesel and/or heating oil • Other projects developed in community • Reductions in expected energy demand: Is there a risk of an insufficient market for energy produced over the life of the project. • Deferred and/or inadequate facility maintenance • Other factors Reconnaissance Study will provide insights about Economic Risks. Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 31 of 37 10/04/2022 6.1.4 Public Benefit for Projects with Direct Private Sector Sales For projects that include direct sales of power to private sector businesses (sawmills, cruise ships, mines, etc.), please provide a brief description of the direct and indirect public benefits derived from the project as well as the private sector benefits and complete the table below. S ee Section 1.6 in the Request for Applications for more information. These projects do not benefit any private sector businesses. All benefits will be captured by the Akiak community and other communities with wind resources across Alaska. These benefits will go a long way toward helping to lower the high energy costs experienced in our community. Renewable energy resource availability (kWh per month) Estimated direct sales to private sector businesses (kWh) Revenue for displacing diesel generation for use at p rivate sector businesses ($) Estimated sales for use by the Alaskan public (kWh) Revenue for displacing diesel generation for use by the Alaskan public ($) 6.2 Other Public Benefit Describe the non-economic public benefits to Alaskans over the lifetime of the project. For the purpose of evaluating this criterion, public benefits are those benefits that would be considered unique to a given project and not generic to any renewable resource. For ex ample, decreased greenhouse gas emission, stable pricing of fuel source, won’t be considered under this category. Some examples of other public benefits include: • The project will result in developing infrastructure (roads, trails, pipes, power lines, etc.) that can be used for other purposes • The project will result in a direct long-term increase in jobs (operating, supplying fuel, etc.) • The project will solve other problems for the community (waste disposal, food security, etc.) • The project will generate useful information that could be used by the public in other parts of the state • The project will promote or sustain long-term commercial economic development for the community Reconnaissance Study will address Other Public Benefits. The wind resource assessment is a crucial factor in wind energy development. Legacy technologies, and legacy studies which employed 20 to 30 meter met masts, have shown limitations with today’s improved turbines, especially projects. This study proposes to use a combination of reference met tower (50 meter) plus a WindCube® type of LIDAR unit or equivalent to correlate time series vertical profiling to accurately and more rapidly and rigorously, validate the wind resource in Akiak. While the reference tower is fixed, the Lidar unity can be easily be relocated on a period basis to prospect for the most productive location in the community. Once Akiak has been accurately characterized, the Lidar unit can be cost-effectively deployed to other locations, and other c ommunities as a replacement for met masts. The Lidar data can be used to accurately define the resources, reduce deployment costs, and improve decision-making. This region has limited renewable resources. This level of study would be of great value to surrounding communities, both upriver and down river. The study area could easily be expanded to other nearby communities, through redeployment of the Lidar/Sodar unit. This method would benefit multiple communities, and more accurately define the actionable wind resources. Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 32 of 37 10/04/2022 SECTION 7 – SUSTAINABILITY Describe your plan for operating the completed project so that it will be sustainable throughout its economic life. At a minimum for construction projects, a business and operations plan should be attached and the applicant should describe how it will be implemented. See Section 11. 7.1.1 Operation and Maintenance Demonstrate the capacity to provide for the long-term operation and maintenance of the proposed project for its expected life • Provide examples of success with similar or related long-term operations • Describe the key personnel that will be available for operating and maintaining the infrastructure. • Describe the training plan for existing and future employees to become proficient at operating and maintaining the proposed system. • Describe the systems that will be used to track necessary supplies • Describe the system will be used to ensure that scheduled maintenance is performed Reconnaissance Study will address Sustainability and Finances. 7.1.2 Financial Sustainability • Describe the process used (or propose to use) to account for operational and capital costs. • Describe how rates are determined (or will be determined). What process is required to set rates? • Describe how you ensure that revenue is collected. • If you will not be selling energy, explain how you will ensure that the completed project will be financially sustainable for its useful life. Reconnaissance Study will address Power Purchase/Sale options, but all benefits will be retained by the public. No private entities or businesses are involved in these projects. 7.1.2.1 Revenue Sources Briefly explain what if any effect your project will have on electrical rates in the proposed benefit area over the life of the project. If there is expected to be multiple rates for electricity, such as a separate rate for intermittent heat, explain what the rates will be and how they will be determined Collect sufficient revenue to cover operational and capital costs • What is the expected cost-based rate (as consistent with RFA requirements) • If you expect to have multiple rate classes, such as excess electricity for heat, explain what those rates are expected to be and how those rates account for the costs of delivering the energy (see AEA’s white paper on excess electricity for heat). • Annual customer revenue sufficient to cover costs • Additional incentives (i.e. tax credits) • Additional revenue streams (i.e. green tag sales or other renewable energy subsidies or programs that might be available) N/A Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 33 of 37 10/04/2022 7.1.2.2 Power Purchase/Sale The power purchase/sale information should include the following: • Identification of potential power buyer(s)/customer(s) • Potential power purchase/sales price - at a minimum indicate a price range (consistent with the Section 3.16 of the RFA) Identify the potential power buyer(s)/customer(s) and anticipated power purchase/sales price range. Indicate the proposed rate of return from the grant -funded project. Include letters of support or power purchase agreement from identified customers. Reconnaissance Study will address Power Purchase/Sale options. SECTION 8 – PROJECT READINESS 8.1 Project Preparation Describe what you have done to prepare for this award and how quickly you intend to proceed with work once your grant is approved. Specifically address your progress towards or readiness to begin, at a minimum, the following: • The phase(s) that must be completed prior to beginning the phase(s) proposed in this application • The phase(s) proposed in this application • Obtaining all necessary permits • Securing land access and use for the project • Procuring all necessary equipment and materials Refer to the RFA and/or the pre-requisite checklists for the required activities and delive rables for each project phase. Please describe below and attach any required documentation. We have sought a quote for this work from a highly experienced team. The quote provides good and sufficient details including tasks and milestones for this Reconnaissance Study, and a pathway forward for this work to be conducted within a reasonable timeframe. 8.2 Demand- or Supply-Side Efficiency Upgrades If you have invested in energy efficiency projects that will have a positive impact on the proposed project, and have chosen to not include them in the economic analysis, applicants should provide as much documentation as possible including: 1. Explain how it will improve the success of the RE project 2. Energy efficiency pre and post audit reports, or other appropriate analysis, 3. Invoices for work completed, 4. Photos of the work performed, and/or 5. Any other available verification such as scopes of work, technical drawings, and payroll for work completed internally. N/A Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 34 of 37 10/04/2022 SECTION 9 – LOCAL SUPPORT AND OPPOSITION Describe local support and opposition, known or anticipated, for the project. Include letters, resolutions, or other documentation of local support from the community that would benefit from this project. Provide letters of support, memorandum of understandings, cooperative agreements between the applicant, the utility, local government and project partners. The documentation of support must be dated within one year of the RFA date of October 4, 2022. Please note that letters of support from legislators will not count toward this criterion . Local support is verified as this application is being submitted by the City of Akiak. SECTION 10 – COMPLIANCE WITH OTHER AWARDS Identify other grants that may have been previously awarded to the Applicant by AEA for this or any other project. Describe the degree you have been able to meet the requirements of previous grants including project deadlines, reporting, and information requests . N/A SECTION 11 – LIST OF SUPPORTING DOCUMENTATION FOR PRIOR PHASES In the space below, please provide a list of additional documents attached to support completion of prior phases. N/A SECTION 12 – LIST OF ADDITIONAL DOCUMENTATION SUBMITTED FOR CONSIDERATION In the space below, please provide a list of additional information submitted for consideration . Quote from experienced contractor/consultant submitted in separate document.