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HomeMy WebLinkAboutREF Round 14 ATM Application FinalRenewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 1 of 41 11/16/2021 Application Forms and Instructions This instruction page and the following grant application constitutes the Grant Application Form for Round 14 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/2021- REF-Application. What follows are some basic information and instructions for this application: • The Alaska Energy Authority (AEA) expects this application to be used as part of a two-year solicitation cycle with an opt-out provision in the second year of the cycle. • 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 limited 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 14 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 14 Grant Application – Standard Form 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) Atmautluak Tribal Utilities Tax ID # 92-0089224 Date of last financial statement audit: Mailing Address:Physical Address: PO BOX 6564 Atmautluak, AK 99559 Telephone:Fax:Email: 907-553-5429 907-553-5429 attutilities@gmail.com 1.1 Applicant Point of Contact / Grants Coordinator Name:Title: Mailing Address: Telephone:Fax:Email: 1.1.1 Applicant Signatory Authority Contact Information Name:Moses Pavilla, Jr.Title: Utility Manager/Bookkeeper Mailing Address: PO BOX 6564 Atmautluak, AK 99559 Telephone:Fax:Email: 907-553-5429 907-553-5429 attutilities@gmail.com 1.1.2 Applicant Alternate Points of Contact Name Telephone:Fax:Email: AEA 23001 Page 3 of 35 11/16/2021 Moses Pavilla, Jr. (same as below) Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 2 of 41 11/16/2021 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 recommendations 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 14 Grant Application – Standard Form AEA 23001 Page 3 of 41 11/16/2021 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) Tax ID # Date of last financial statement audit: Mailing Address: Physical Address: Telephone: Fax: Email: 1.1 Applicant Point of Contact / Grants Coordinator Name: Title: Mailing Address: Telephone: Fax: Email: 1.1.1 Applicant Signatory Authority Contact Information Name: Title: Mailing Address: Telephone: Fax: Email: 1.1.2 Applicant Alternate Points of Contact Name Telephone: Fax: Email: Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 4 of 41 11/16/2021 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 governing 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/2021-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 14 Grant Application – Standard Form AEA 23001 Page 5 of 41 11/16/2021 SECTION 2 – PROJECT SUMMARY 2.1 Project Title Provide a 4 to 7 word title for your project. Type in the space below. Atmautluak Light Plant Battery, Thermal Stove, and Metering Installation 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 assistance 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] 2.2.2 Community benefiting – Name(s) of the community or communities that will be the beneficiaries of the project. Atmautluak, AK 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 ☐ Final Design and Permitting ☐ Feasibility and Conceptual Design ☒ Construction Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 6 of 41 11/16/2021 Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 7 of 41 11/16/2021 2.4 Project Description Provide a brief, one-paragraph description of the proposed project. Atmautluak Light Plant (ALP) is a standalone diesel generating and electrical distribution utility which provides electricity to the Village of Atmautluak. In 2019, ALP received a grant of $2,900,000 from the USDA High Energy Cost Program to construct a 200 kW wind heat system and integrate the energy into their power system. This system is currently under construction and the funds have been used to install 2, Frontier 24-100 kW wind turbines on 40 meter tilt-up towers; upgrade .5 miles of electrical distribution to interconnect the wind farm; and install a wind diesel supervisory control system, a 200 kW load balancing boiler, and 20 electric thermal storage devices to capture surplus wind energy to displace heating fuel. Construction began in Fall 2021. The wind turbines and powerline have been constructed. The project was subjected to a number of unpredictable cost increases, mostly due to supply chain uncertainties. ALP is requesting $375,000 to complete the installation and integration of the 250kW/377kWh battery energy storage system and 20 electric thermal stoves to enable upwards of 3,200 hours of diesel off operation annually. This AEA funding will also provide ALP with two years of ongoing technical assistance and an advanced monitoring system to ensure overall power productivity, improve system reliability, grid stability, increase renewable availability and optimize overall power system operations. In sum, the award will enable ALP to produce 40,000 surplus kWh of wind energy annually, displace 30,000 gallons of diesel fuel used for power generation (equivalent to a savings of $105,000 at $3.50/gal), and generate deferred diesel operational savings of $28,800 annually (at $9 per operating hour). This is an annual benefit of $133,800. Additionally, the wind system has the potential to produce an additional 66,000 kWh of surplus electricity, which is available to displace 2,200 gallons of home heating fuel. It will also improve safety and resiliency in the community while eliminating requirements to invest in the expansion of bulk fuel storage. 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. Funds are being requested to complete the installation of the BESS along with 20 Electric Thermal Storage units and improve operational support. Funds will be used for the following purposes: 1. Complete installation of BESS and ETS 2. Two years of ongoing site services and support 3. Advanced metering and monitoring including 4 calendar years of ongoing monitoring and commissioning Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 8 of 41 11/16/2021 A more detailed scope of work is as follows: 1. Complete BESS and ETS installations. The BESS components have been delivered but not installed. Work remaining includes: completion of BESS shelter, interconnection with diesel plant switchgear, completion of wiring of the BESS, population of BESS with batteries, BESS commissioning, and the installation of the ElectricThermal Storage devices in 20 homes. Each ETS device requires the wiring and metering of a separate service and metering panel. The BESS is housed in a 12 x 20 foot metal insulated building sitting on a separate foundation adjacent to the diesel powerplant. $175,000 is required to complete the installation and commissioning of the BESS and ETS systems. 2. Site Services: Funds are being requested to contract with iES to provide a 2-year service and support level contract to provide engineering and technical support to ensure the wind diesel battery system is operating properly. This portion of the funding will be used to provide 24 months of technical assistanc, including one annual, multi-day site visit to assist the community along with the continued training of operators and assistance with yearly maintenance on the turbines and other system components. This element of work is estimated to require one week of on-site assistance at least once per year for the first two years. Site support services also include remote system component diagnostics and call support. System component support is provided on an on-call basis through during normal business hours from 8 am to 5pm Alaska standard time, 5 days per week excluding US holidays. The support package includes remote monitoring package as well as the facility support program. The program provides 24 hours of annual remote assistance for each of first two years of operation. This assistance involves a monthly call to evaluate performance and answer operational questions. The site services support also include an additional 80 hours per year of on-call support. Remote assistance support will involve, at a minimum, regular monthly support calls to evaluate operations. Based on previous experience, local operators and managers require a higher level of remote support during the first two years of operation. This level of service requires a secure and reliable internet connection. This extended maintenance contract for 2 years is $72,000 and includes yearly on-site technical visits each year for up to 5 days each time. The on-site visits include travel, with the utility to provide local housing and transportation. 3. Funds are also being requested to furnish and install an advanced cloud-based energy monitoring and performance evaluation system from Hatachi. This system is designed to automatically, manage and analyze battery and overall wind diesel system performance, by constantly collecting, aggregating, and analyzing data each energy assets including meters and sensors, engine controllers, the battery management system, the wind turns, the ETS etc to automatically track performance in order to create a holistic operator and plant management interface. The advanced monitoring system will ensure overall power productivity, improve system reliability, grid stability, increase renewable availability and optimize overall power system operations. Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 9 of 41 11/16/2021 iES will install and configure on e-mesh site gateways to the onsite system requirements. The onsite hardware consists of advanced metering, weather station, signals and registers from various system components, including diesel generator controllers, weather sensors, the battery management system, wind turbine controllers, electric metering and relays as well as fuel and BTU meters. The system can be scaled to include other distributed energy assets such as solar or EV chargers and remote boilers. The e-mesh platform is intended to provide a convenient, powerful and easy-to-access single source of operational and business insights. The e-mesh will be fully integrated with the BESS, facilitating better performance, increased productivity, reduced downtime and improved business decisions. Funding will be used to furnish install and implement the e-mesh Monitor and provide 4 years of access and reporting services at $128,000. 2.6 Previous REF Applications for the Project See Section 1.15 of the RFA for the maximum per project cumulative grant award amount Round Submitted Title of application Application #, if known Did you receive a grant? Y/N Amount of REF grant awarded ($) Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 10 of 41 11/16/2021 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. Please 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. Task # Milestones Tasks Start Date End Date Deliverables 1 Project agreements Procurement Notice of Award 30 Days Finalize agreements and schedule of work, Notice to Proceed 2 Work Plan Finalize installation plan, Restart in 10 days from NTP 30 days Approve workplan with BESS site selection, 4 Procurement of final materials, The BESS has been shipped, breakers, conductors, service panels and metering need to be shipped and procured 30 days from NTP 60 days of NTP Order and ship installation materials 5 Procurement e-Mesh hardware, metering, weather station Procurement e-Mesh hardware, metering, weather station 1 month of NTP 4 months of NTP Order hardware, weather station gateway, additional metering (SEL735) 6 Installation of e- mesh monitor Install at as BESS is completed 3 months of NTP 6 months of NTP C ompleted once the BESS is installed and operational. 7 Construction The BESS and ETS units are on-site August – September 2022 construction 4 months from NTP 6 months of NTP Work will begin as soon as materials arrive . 8 Commissioning Commissioning of BESS, Wind diesel system and emesh 4 months of NTP 6 months from NTP System operation begins, with as-built documentation, and monitoring startup 9 O&M Support Agreement begins Operational support for 24 months operational support 6 -9 months of NTP Thru 2024 System support scheduled, monthly check in, and on- line technical assistance begins. Onsite visits, 2023, 2024, Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 11 of 41 11/16/2021 10 E-Mesh monitor 4 years monitoring and reporting begins 6 -9 months of NTP Jan 2023 thru Dec 2026 Duration 4 calendar years beginning January 2023- 2026, online access to semi-realtime status and automated dashboards and monthly performance reports Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 12 of 41 11/16/2021 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 $ 375,000 Cash match to be provideda $ 40,000 In-kind match to be provideda $ Energy efficiency match providedb $ Total costs for project phase(s) covered in application (sum of above) $ 415,000 (overall project budget $3,331,500) 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. Utility to provide $40,000 in matching funds through the purchase of meters and related equipment and will also provide local housing and transportation during site support visits. 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. No shortfalls expected but contractor has pledged to provide all necessary support to ensure system is operational and functioning. 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] $ Feasibility and Conceptual Design [Actual/Estimated] $ 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 $ See budget table below. Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 13 of 41 11/16/2021 Phase 4 — Construction 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 ) $375,000 $ 40,000 $2,900,000 $3,315,000 NOTE: The wind system is installed but not operational, BESS materials and ETS on site, power line completed, funds are being requested to complete and support the project Funds from REF on a reimbursable basis Notice to Proceed July – December 2022 Shipping \Construction Aug – Sept 2022 $ 175,000 $40,000 $ 215,000 Advanced Monitoring System Sept 22 -Dec 26 $ 128,000 $ 128,000 Operation, monitoring, support 24 months Oct-2022-24 $ 72,000 $ $ 72,000 TOTALS $ 375,000 $ 40,000 $2,900,000 $ $3,315,000 Budget Categories: Direct Labor & Benefits $ $ $ Travel & Per Diem $ $ $ Equipment $ $ $ Materials & Supplies $ 190,000 $ 40,000 $2,900,000 $ 3,130,000 Contractual Services $ 185,000 $ 185,000 Construction Services $ $ $ Other $ $ $ TOTALS $ 375,000 $ 40,000 $2,900,000 $ 3,331,500 Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 14 of 41 11/16/2021 3.2.4 Funding Subsequent Phases If subsequent phases are required beyond the phases being applied for in this application, describe the anticipated sources 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) N/A Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 15 of 41 11/16/2021 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 — Reconnaissance 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 ) $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ TOTALS $ $ $ Budget Categories: Direct Labor & Benefits $ $ $ Travel & Per Diem $ $ $ Equipment $ $ $ Materials & Supplies $ $ $ Contractual Services $ $ $ Construction Services $ $ $ Other $ $ $ TOTALS $ $ $ Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 16 of 41 11/16/2021 Phase 2 — 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 ) $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ TOTALS $ $ $ Budget Categories: Direct Labor & Benefits $ $ $ Travel & Per Diem $ $ $ Equipment $ $ $ Materials & Supplies $ $ $ Contractual Services $ $ $ Construction Services $ $ $ Other $ $ $ TOTALS $ $ $ Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 17 of 41 11/16/2021 Phase 3 — Final Design and Permitting 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 ) $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ TOTALS $ $ $ Budget Categories: Direct Labor & Benefits $ $ $ Travel & Per Diem $ $ $ Equipment $ $ $ Materials & Supplies $ $ $ Contractual Services $ $ $ Construction Services $ $ $ Other $ $ $ TOTALS $ $ $ Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 18 of 41 11/16/2021 Phase 4 — Construction 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 ) $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ TOTALS $ $ $ Budget Categories: Direct Labor & Benefits $ $ $ Travel & Per Diem $ $ $ Equipment $ $ $ Materials & Supplies $ $ $ Contractual Services $ $ $ Construction Services $ $ $ Other $ $ $ TOTALS $ $ $ Phase 4 — Construction Milestone or Task Anticipated Completion Date RE- Fund Grant Funds Grantee Matchin g Funds Source of Matching Funds: Cash/In- kind/Feder al Grants/Ot her State Grants/Ot her TOTALS (List milestones based on phase and type of project. See Sections 2.3 thru 2.6 of the RFA ) $375,000 $ 40,000 $2,900,000 $3,315,000 NOTE: The wind system is installed but not operational, BESS materials and ETS on site, power line Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 19 of 41 11/16/2021 completed, funds are being requested to complete and support the project Funds from REF on a reimbursable basis Notice to Proceed July – December 2022 Shipping \Construction Aug – Sept 2022 $ 175,000 $40,000 $ 215,000 Advanced Monitoring System Sept 22 -Dec 26 $ 128,000 $ 128,000 Operation, monitoring, support 24 months Oct-2022-24 $ 72,000 $ $ 72,000 TOTALS $ 375,000 $ 40,000 $2,900,000 $ $3,315,000 Budget Categories: Direct Labor & Benefits $ $ $ Travel & Per Diem $ $ $ Equipment $ $ $ Materials & Supplies $ 190,000 $ 40,000 $2,900,000 $ 3,130,000 Contractual Services $ 185,000 $ 185,000 Construction Services $ $ $ Other $ $ $ TOTALS $ 375,000 $ 40,000 $2,900,000 $ 3,331,500 Renewable Energy Fund Round 14 Grant Application – Standard Form 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). 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: Diesel, John deere 6090, 210kw, 10321.7 hrs Unit 2: Diesel, John deere 6090, 210kw, 10532.1 hrs Unit 3: Diesel, John deere 6081, 210kw, 18995.8 hrs Unit 4: Diesel, John deere 6081, 210kw, 18748 hrs Unit 5: Unit 6: Is there operational heat recovery? (Y/N) If yes estimated annual displaced heating fuel (gallons) 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. 5.4.2.3 Existing Thermal Generation Units (if applicable to your project) Generatio n unit Resourc e/ Fuel type Design capacity (MMBtu/h r) Make Model Average annual efficienc y Year Installe d Hours AEA 23001 Page 20 of 35 11/16/2021 Renewable Energy Fund Round 14 Grant Application – Standard Form 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 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) Generati on (Type 2) (kWh) Generati on (Type 3) (kWh) Fuel Consumpti on (Diesel-Gal lons) Fuel Consumpti on [Other] Pea k Loa d Minimu m Load January 106463 7872 249 February 99762 7249 215 March 100118 7322 188 April 93511 7020 165 May 81904 6177 151 June 73893 5601 151 July 77845 5723 139 August 79733 5623 154 Septembe r 85281 6433 209 October 98985 7328 209 November 111718 8351 246 December 103372 7748 195 Total 1112585 82447 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 February March April AEA 23001 Page 21 of 35 11/16/2021 Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 22 of 41 11/16/2021 The following are the senior team members for this project. Each person listed is considered an expert in their respective specialties. Responsibilities span all milestones and tasks for both proposed projects. Key Personnel Lead local contact and organizer for this project is Moses Pavilla, Jr., Tribal Administrator. Mr. Pavilla has extensive experience coordinating projects of this type and is familiar with all required capacities for our Tribe administration, including managing dozens of employees and overseeing all financial aspects for the organization. The following contracted individuals and organizations will be the primary technical support for this project. Intelligent Energy Systems, LLC Dennis Meiners (Lead Project Manager), Principal and Founder of Intelligent Energy Systems, LLC (IES). Mr. Meiners will draw on his many years of experience, to manage the overall project and the project support team, which includes wind technology specialists. IES will be responsible for the installation and operation of the resource evaluation and equipment deployment. Mr. Meiners will draw upon many years of Alaskan operating experience with similar projects. Through Mr. Meiners, IES has demonstrated an on-going commitment to improving the energy independence of rural Alaskan communities. Pati Crofut (Grants Manager), 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. Dale Letourneau (Electrical Engineer), Specializing in remote, independent energy generation and both off- grid and grid connected power systems. Mr. Letourneau, has more than 40 years of experience in design, construction and operation of energy systems. Mr. Letourneau’s practical engineering approaches originate from his formative years before and during university working with his family’s electrical supply and contracting business. Jean-Paul Pinard, PhD, P.Eng. (Consulting Engineer), 27 years of experience in the energy sector as an engineer, scientist, lecturer, and advocate on renewable energy. Specializes in wind resource assessments in Arctic and complex terrain. Jean-Paul is the leading wind resource expert in Northern Canada. His PhD is in cold weather modeling of wind resources. Mr. Pinard has conducted over 50 detailed wind resource assessments in nearly every community in Yukon and Northwest Territories. He will be the principal investigator responsible to installation, set-up and maintenance of the instrumentation. conducting energy modelling and data analysis. Extensive work with Indigenous communities to empower their renewable energy economies. Mr. Pinard will be responsible for tower placement, equipment installation and calibration, as well as data analysis, data quality, and site evaluation. 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 wind 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 selection, 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. Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 23 of 41 11/16/2021 Ian Knapp Research Technical Specialist, Graduate in statistics with a focus on technical analysis with a strong desire to contribute to the future of Alaska while becoming a more skilled and knowledgeable statistician to support rural energy projects. 4.2 Local Workforce Describe how the project will use local labor or train a local labor workforce. Local work forces will be used to the greatest extent possible for all field and utility work required for construction, installation, and support. Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 24 of 41 11/16/2021 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 provide 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. N/A 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. N/A 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 Project has been funded by USDA and undergone all permitting requirements through that process. 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. Applicant owns land and equipment to be included in project. Access won’t be a problem. 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? Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 25 of 41 11/16/2021 • 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. 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 • 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. 5.4.2 Existing Energy Generation Infrastructure and Production Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 26 of 41 11/16/2021 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. 5.4.2.3 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 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) 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 14 Grant Application – Standard Form AEA 23001 Page 27 of 41 11/16/2021 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 February March April May June July August September October November December Total 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 energy demand, peak load, seasonal variations, etc. that will affect the project. Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 28 of 41 11/16/2021 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. 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) Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 29 of 41 11/16/2021 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. 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 Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 30 of 41 11/16/2021 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 February March April May June July August September October November December Total 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 diesel generation to be turned off. Some projects may allow for diesel generation 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) Diesel (Gallons) Electricity Propane (Gallons) Coal (Tons) Wood Other Unit cost ($) Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 31 of 41 11/16/2021 Annual Units Total Annual cost ($) 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. 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 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 Anticipated Thermal Generation O&M Cost Savings Total Other costs savings (taxes, insurance, etc.) Total Fuel, O&M, and Other Cost Savings Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 32 of 41 11/16/2021 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 available at https://www.akenergyauthority.org/What-We- Do/Grants-Loans/Renewable-Energy-Fund/2021-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. 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 None – risks were addressed in original USDA grant application procedures; this phase will only increase support and reduce risk. Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 33 of 41 11/16/2021 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. See Section 1.6 in the Request for Applications for more information. Community-based program, no private utility services included or benefiting from project. Renewable energy resource availability (kWh per month) Estimated direct sales to private sector businesses (kWh) Revenue for displacing diesel generation for use at private 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 example, 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 Project benefits: Atmautluak Power Company is undertaking this project to reduce our community’s dependency on imported diesel fuel for power generation and heating, and increase community energy security and resiliency. Modeling studies indicate the BESS wind system can enable 3200+ hours of diesel off operations and produce in excess of 40000 surplus kWhs of wind energy. The diesel off operations has the potential to displace in excess of 30,000 gallons of diesel fuel used for power generation. On an annual basis at $3.50/gallon this is equivalent to a saving of $105,000 and generate deferred diesel operational savings @ $9/ operating hour, of $28,800 annually. This is an annual benefit of $133,800. Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 34 of 41 11/16/2021 Additionally, the wind system has the potential to produce an additional 66,000 kWhs of surplus electricity which is available to displace 2200 gallons of home heating fuel. Our community has outgrown our current bulk fuel storage capacity and have had to ratio diesel fuel beginning each March through June for the past 5 years. Due to a lack of fuel storage capacity the utility and the Corporation have been required to take special and expensive measures to make it through the winter. This includes hiring a contractor to plow 60 mile ice road to Bethel to deliver fuel by truck. The unpredictability of the cold weather has made this method of fuel supply unreliable because of the chance of breaking through the ice. The installation and integration of the BESS with the wind system will improve fuel and energy security while eliminating requirements to invest in the expansion of bulk fuel storage. future investments. Improving monitoring and support of the overall energy system will improve the operational security and productivity of overall Wind Diesel Battery energy. Renewable Energy Fund Round 14 Grant Application – Standard Form SECTION 13 – AUTHORIZED SIGNERS FORM Community/Grantee Name: Atmautluak Tribal Utilities Regular Election is held: November Date: Authorized Grant Signer(s): Printed Name Title Term Signature Carl Gamechuk Utility Board Chairman 1 yr Henry Tikiun, Jr.Vice-Chairman 2 yrs Eliza Nicholai Sec./Treasurer 2 yr Billy Gilman, Jr.Member 1 yr I authorize the above person(s) to sign Grant Documents: (Must be authorized by the highest ranking organization/community/municipal official) Printed Name Title Term Signature Carl Gamechuk Board Chairman Grantee Contact Information: Mailing Address:PO BOX 6564 Atmautluak, AK 99559 Phone Number: 907-553-5429 Fax Number: 907-553-5429 Email Address:attutilities@gmail.com Federal Tax ID #: 92-0089224 Please submit an updated form whenever there is a change to the above information. AEA 23001 Page 33 of 35 11/16/2021 Renewable Energy Fund Round 14 Grant Application – Standard Form SECTION 14 – ADDITIONAL DOCUMENTATION AND CERTIFICATION SUBMIT THE FOLLOWING DOCUMENTS WITH YOUR APPLICATION: A.Contact information and resumes of Applicant’s Project Manager, Project Accountant(s), key staff, partners, consultants, and suppliers per application form Section 3.1, 3.4 and 3.6. Applicants are asked to provide resumes submitted with applications in separate electronic documents if the individuals do not want their resumes posted to the project web site. B.Letters or resolutions demonstrating local support per application form Section 9. C.For projects involving heat: Most recent invoice demonstrating the cost of heating fuel for the building(s) impacted by the project. D.Governing Body Resolution or other formal action taken by the applicant’s governing body or management per RFA Section 1.4 that: ●Commits the organization to provide the matching resources for project at the match amounts indicated in the application. ●Authorizes the individual who signs the application has the authority to commit the organization to the obligations under the grant. ●Provides as point of contact to represent the applicant for purposes of this application. ●Certifies the applicant is in compliance with applicable federal, state, and local, laws including existing credit and federal tax obligations. E.An electronic version of the entire application on CD or other electronic media, per RFA Section 1.7. F.CERTIFICATION The undersigned certifies that this application for a renewable energy grant is truthful and correct, and that the applicant is in compliance with, and will continue to comply with, all federal and state laws including existing credit and federal tax obligations and that they can indeed commit the entity to these obligations. Print Name Moses Pavilla, Jr. Signature Title Utility Manager/bookkeeper Date AEA 23001 Page 34 of 35 11/16/2021 Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 35 of 41 11/16/2021 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 Full operational support and training will be provided by installer and contractor. The system consists of onsite hardware and cloud based software platform, designed to automatically monitor system operation and constantly analyze and compare system performance. Continuous real-time monitoring when combined with machine learning algorithms proves a method of forecasting performance and continuous system commissioning. energy production needs. The constant monitoring, historical profiling and alarm processing will ensure consistent performance, improved generation efficiency and effectiveness operations and maintenance planning. The proposed system will be supplied by Hatachi as their e-Mesh monitor, and installed and maintained by IES. The e-mesh is provided as an add-on to the PowerStore, as a scalable energy data collection platform which is interfaced with cloud-enabled digital storage and analysis tools. The e-mesh combines information technology and operational technology. 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. N/A Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 36 of 41 11/16/2021 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 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. N/A – community project SECTION 8 – PROJECT READINESS 8.1 Project Preparation Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 37 of 41 11/16/2021 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 deliverables for each project phase. Please describe below and attach any required documentation. 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. 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 November 16, 2021. Please note that letters of support from legislators will not count toward this criterion. SECTION 10 – COMPLIANCE WITH OTHER AWARDS Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 38 of 41 11/16/2021 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. 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. SECTION 12 – LIST OF ADDITIONAL DOCUMENTATION SUBMITTED FOR CONSIDERATION In the space below, please provide a list of additional information submitted for consideration. Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 39 of 41 11/16/2021 SECTION 13 – AUTHORIZED SIGNERS FORM Community/Grantee Name: Regular Election is held: Date: Authorized Grant Signer(s): Printed Name Title Term Signature I authorize the above person(s) to sign Grant Documents: (Must be authorized by the highest ranking organization/community/municipal official) Printed Name Title Term Signature Grantee Contact Information: Mailing Address: Phone Number: Fax Number: Email Address: Federal Tax ID #: Please submit an updated form whenever there is a change to the above information. Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 40 of 41 11/16/2021 SECTION 14 – ADDITIONAL DOCUMENTATION AND CERTIFICATION SUBMIT THE FOLLOWING DOCUMENTS WITH YOUR APPLICATION: A. Contact information and resumes of Applicant’s Project Manager, Project Accountant(s), key staff, partners, consultants, and suppliers per application form Section 3.1, 3.4 and 3.6. Applicants are asked to provide resumes submitted with applications in separate electronic documents if the individuals do not want their resumes posted to the project web site. B. Letters or resolutions demonstrating local support per application form Section 9. C. For projects involving heat: Most recent invoice demonstrating the cost of heating fuel for the building(s) impacted by the project. D. Governing Body Resolution or other formal action taken by the applicant’s governing body or management per RFA Section 1.4 that: • Commits the organization to provide the matching resources for project at the match amounts indicated in the application. • Authorizes the individual who signs the application has the authority to commit the organization to the obligations under the grant. • Provides as point of contact to represent the applicant for purposes of this application. • Certifies the applicant is in compliance with applicable federal, state, and local, laws including existing credit and federal tax obligations. E. An electronic version of the entire application on CD or other electronic media, per RFA Section 1.7. F. CERTIFICATION The undersigned certifies that this application for a renewable energy grant is truthful and correct, and that the applicant is in compliance with, and will continue to comply with, all federal and state laws including existing credit and federal tax obligations and that they can indeed commit the entity to these obligations. Print Name Signature Title Date Renewable Energy Fund Round 14 Grant Application – Standard Form AEA 23001 Page 41 of 41 11/16/2021 Intelligent Energy Systems, LLC 110 W. 15th Avenue, Suite B Anchorage, AK 99501 (907)770 - 6367 January 12, 2022 RE: Atmo Battery Storage Project Dear Moses, Atmautluak Tribal Utilities is constructing a high penetration wind diesel battery system. ATU has requested IES’ assistance to complete and improve the battery installation and optimize its performance. Intelligent Energy Systems (iES) has teamed with Hatachi Energy Grid Edge Solutions to furnish, install and integrate a 500kW/713 kWh battery energy storage system into the community of Atmo’s electrical grid. ATU has contracted with Intelligent Energy Systems (iES) of Anchorage, which has in turn teamed with Hatachi Energy Grid Edge Solutions to furnish, install and integrate a 500kW/713 kWh battery energy storage system into the community of Atmo’s electrical grid. Combined iES and Hatachi Energy represent the most experienced team in Alaska to successfully deliver this project successfully. IES Scope of Work and Tasks are included as well as our cost quote. Thank you for continuing to entrust us to work with you and Atmautluak, Dennis Meiners Intelligent Energy Systems, LLC 1 Project agreements Procurement Notice of Award 30 Days Finalize agreements and schedule of work , Notice to Proceed 2 Work Plan Finalize installation plan, note site control and permitting in place 30 days of award notice 60 days of Award Approve workplan with BESS site selection, 3 Final design Foundation and boardwalk and battery interconnect design 30 days of NTP 90 days of NTP Design documents, interconnection plan 4 Procurement Procurement and shipping of Battery foundation materials and decking 30 days NTP 120 days of NTP Order and ship foundation materials 5 Procurement e- Mesh hardware, metering, weather station Procurement e- Mesh hardware, metering, weather station 1 month of NTP 4 month s of NTP Order hardware, weather station gateway, additional metering (SEL735) 6 Installation e- mesh monitor Two phased installation, Phase 1 base lines, Phase 2 final integration 3 months of NTP 6-10 month s of NTP A quick deployment of this system is proposed to characterize baseline operation. The second phase of on -site/remote system deployment will be completed once the BESS is installed and operational. 7 Construction The BESS has been ordered, with arrival scheduled for August – September 2022. Construction will begin as soon as materials arrive in August 4 months from NTP 6 month s of NTP Foundations and boardwalks, will be installed using local heavy equipment during the Fall and is required as part of the BESS installation, training begins . 8 Commissioning Integration of emesh with wind diesel and battery system 9 months of NTP 12 month s from NTP System operation begins, with as - built documentation 9 O&M Support Agreement begins Operational support for 24 months operational support 6 -9 months of NTP Thru 2024 System support scheduled, monthly check in, and on-line technical assistance begins. Onsite visits, 2023, 2024, 10 E-Mesh monitor 4 monitoring and reporting begines 6 -9 months of NTP Jan 2023 thru Dec 2026 Duration 4 calendar years beginning January 2023- 2026, on line access to semi-realtime status and automated dashboards and monthly performance reports Project Cost $352,000