Loading...
HomeMy WebLinkAboutFinal Grant ApplicationCEI September 15, 2035 Mr. Shawn Calfa Grants Administrator Alaska Energy Authority 813 West Northern Lights Blvd. Anchorage, AK 99503 Dear Mr. Calfa: Central Environmental Incorporated (CEi) is pleased to submit Th¢ attached application for Round IX of the Renewable Energy Grant Fund (REF)_ Our proposed project will d¢monstrete the potential of recycled cellulose biomass, and potentially Tires, which woultl otherwise be bound for landfills as Fu¢I to be converted into renewabl¢ power. Alaskans will benefit by lowering the high cost of power, by eliminating waste transportation costs and by avoiding waste at Alaskan landfills. CEI Is uniquely positioned as a recycler antl independent power producer_ As Alaska's construction and demolition (CFaO) recycler, today we are able to recycle 79% of material at our Central Recycling Services facility. Utilizing the la ndflll bound recycled cellulose, we will be able to Increase recycling efficiency to 90%, Increase our effective s¢rvice range from a 25 mile to 1OD mile radius and supply Alaska Railroad Corporation, a state owned enterprise, with 400 kilowatts of renewable electricity. A feaslblltty study could also confirm chat this project will be repeatable or open CgtO recycling to several high -cost communtties currently participating In the power cost ¢qualization (PCE) program. For examples, Bethel, Cordova, Dillingham, Kotzebue, Nome and Ta nacross accounted for $8.95M In PCE funds for fiscal year 2014 representing 21.6% of She PCE budge[. Lowering power rates and eMantling landfill capacity will be muhiple wins for Alaska. By selecting this application the Alaskan tax payer will benefit, the Alaskan public will benefit and the Alaskan environment will benefit. CEi is confident to the economi6 and can secure funding for the consiructlpn phase of this project. On behalf of Central Environmental and our partners, we thank ypu For your favoreble consid¢ration of this application. Sincerely, Stuart M. J e resident Central Environmental, Inc. AncFomg4 AK C¢ep¢eate HeaJquartem 3l1 N. Sitka Street AncMmge. AK 99$O PM1onc (9n9)561-0135 Fax: (g09]561-0iJ8 Ave. A33 VnliTitetl Pniebanb: 1301 Wall Strml Falrtenks, AK gq'!07 PFon¢: (90l] G56-1153 Fax: (90'>)6Sb-1163 Renewable Energy Fund Round IX ��, ^ 1.-.--A�l�`A__� Grant Application -Standard Form �. _ eHeaw auTttonmr Application Forms and Instructions This instruction page and the following grant application constitutes the Grant Application Form for Round VIII of the Renewable Energy Fund. A separate application form is available for projects with a primary purpose of producing heat (sea RFA section t.5). This is the standard form for all other projects, including projects that will produce heat and electricity. An electronic version of the Request for Applications (RFA) and both application forms is available online at: htto://www.akeneravauthority ore/Procrams/Ranewable-Energy-Fund/Rou nds#roundg. If you Head technical assistance filling out this application, please contact Shawn Calfa, the Alaska Energy Authority Grants Administrator at (907) 77t-303'I or at scalfat�aidea.ore. If you era 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. 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 ACC t 07.605(t ). If some work has already been completed on your project and you are requesting funding for an advanced phase, submit information sufFcient to demonstrate that the preceding phases era completed and funding for an advanced phase is warranted. Supporting documentation may inc/ude, but is not /imitad to, repoRs, conceptual or fine/ designs, mode/s, photos, maps, proof of site contra/, utility agreements, power sa/a agreements, re/avant data sets, and other maferfa/s. P/ease provide a list of supporting documents In Section f � of this app/ication and attach the documents fo your app/ication. If you have additional information or reports you would like the Authority to consider in reviewing your application, either preyida 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 t2 of this application and attach the documents to your application. For guitlance on application bast practices pl¢asa 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 IX 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. REMINDER: Alaska Energy Authority 'is subject 'to the Public Records Act AS 40:25; and materials submitted to the Authority may ba subject to disclosure requirements under the act if no statutory exemptions appl - All applications received will ba posted on the Authority web site after final recommendations are made to the legislature. AEA 15003 Page Y o£31 7/8/14 Renewable Energy Fund Round IX I `-, A I__�F Grant Application -Standard Form �- eNenw Hurl-loanv In accordance with 3 AAC 107.630 (b) Applicants may request trade secrets or proprietary company data ba kept confidential subject to review and approval by the Authority. If you want information to ba kept confidential the applicant must: o Request the information ba 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 ba kept confidential. If the Authority determines it is not confidential it will ba treated as a public record in accordance with AS 40.25 or returned to the applicant upon request. T e oT EntP Flacal Year End: Business Cor oration 12/31 Tax IU St92-0108797 Tax Status: ® For -profit 0 Non-profit � Government (ehecK one) Malltn Address: Ph sical Address: 311 N. SITKA STREET 311 N. SITKA STREET ANCHORAGE AK 99501 ANCHORAGE AK 99501 Tales hone: Fax: Email: 907 561 -0125 907 561 -0178 sham cei-alaska.com 311 N. SITKA STREET ANCHORAGE, AK 99501 Name: Shane Durand AEA 15003 Page 2 of 31 7/8/14 Renewable Energy Fund Round IX ®�, pl_!��4� A»_ Grant Application -Standard Form t>ENERGV AUIIiORIf"V 3t'1 N. SITKA STREET ANCHORAGE, AK 9950'I Tala hone: Fax: Email: 907 56t-O'125 907 56t-O'178 sham eel-alaska.com �.2 Appllcant Mlnlm um Requlremants P/ease check as appropriate. /f applicants tlo not meat the minimum re9uirements, the app/ication wi// be (ejected. '1.2_1 Appllcant Type 0 An electric utility holding a certificate of public convenience and necessity under AS 42.05, or ® An independent power producer in accordance with 3 AAC '107.695 (a) ('1 ), or � A local government, or 0 A govammental entity (which includes tribal councils and housing authorities) t_2 APPLICANT MINIMUM REGt UIREM ENTS (continued) P/ease chac/c as appropriate. ® 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 authorit is necessa Indicate b chackin the box ® '1.2.3 As an applicant, we M1ave 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 by chocking the box) ® 1.2.4 If awarded the grant, wa can comply with all terms and conditions of the award as identified in the Standard Grant Agreement template at htt ://www.akenar authorit .or /Pro ram Renewable Ener Fund/Rounds#round9. (Any _ exceptions should be clearly noted and submitted with the application.) (Indicate by ® 7.2.6 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) AEA 15003 Page 3 of 31 7/8/14 Renewabl¢ Energy Fund Round IX �E, �L_��-gL� � _ Grant Application -Standard Form t 'ENERGY AU IHORfTY SECTION 2 —PROJECT SUMMARY 2.7 ProJact Title Provide a 4 to 7 word title far your project. Type in the space be/ow. Knik Arm Power Plant recycled biomass to power 2.2 Project Location 2.2.1 Location of Project — Latitude and longiiuda (preferred), street address, or community name. Latitude and longitude coordinates may 6e obtained from Gooc/e Maos by finding you projacYs location on the map and than right c/icKing with the mouse and sa/acting "What is here? Tha cocrdinates will be disp/eyed in the Goog/a search window above the map in a format as follows: 6f_195676.-f49.898663. /f you would /iKe assistance obtaining this informat/on p/ease contact AEA at 907-779-303 f. Latitude and Longitude Coordinates: 61.224703,-'149.879283 Knik Arm Power Plant 29 Whitney Road Anchorage, AK 9950'I 2.2.2 Community benafiting — Name(s) of the community or communities that will ba the baneflciarles of the project_ Anchorage and Alaska Railroad Corporation communities. 2.3 Project Typa P/ease chacK as appropriate. 2.3.1 Renewable Resource Type Wind ® Biomass or Biofuels (excluding heat -only) 0 Hydro, Including Run of River 0 Hydrokinetic 0 Geothermal, Excluding Heat Pumps � Transmission of Renewable Energy 0 Solar Photovoltaic � Storage of Renewable ® Other (Describe): Tiros 0 Small Natural Gas 2.3.2 Proposed Grant Funded Phasa(s) for this R®quest (ChecK a/! that apply) Pre -Construction Construction ® Recon naissanca 0 Final Design and Permitting ® Feasibility and Conceptual Oasign O Construction AEA 15003 Page 4 of 31 7/8/14 Renewabl¢ Energy Fund Round IX ��, _-^—� ^�-Q-4f�__� Grant Application -Standard Form �'ENERGV AUT�IORnV 2.4 Project Oescri ption Provide a brief one paragraph description of the proposed project. Knik Arm Power Plant (KAPP) halpetl modernize Alaska's energy infrastructure starting in 1952. KAPP provided power and heat for economic grow and the development of Alaska's economy. Over time Chugach Electric assumed operations and increased power output from 9.5 MW to 14.5 MW in 1958. In the aftermath of the Great Alaska Earthquake of 1964, KAPP was able bring a single generator online within 24 hours providing much needed power for devastated Anchorage. In 1967, KAPP was converted to run on natural gas. KAPP continued to power and heat the Railbelt until 1985 when the plant was shut down and decommissioned. Over the last decade, there have bean numerous attempts to reopen energy operations at KAPP. These resurrection efforts have been well intentioned; however, they have been unable to overcome economic and/or rag ulatory Kurd les. This proposal will demonstrate 400 kWe from recycled construction and demolition (C8.0) cellulose biomass waste at a levelized cost of $0.05 par kWh. With location to downtown Anchorage and the Railbalt, low-cost power will be profitably sold to Alaska Railroad Corporation, Anchorage Municipal Light &Power or Ghugach Electric Association benafitting the Alaskan public while increasing CB.D recycling from 75% to 90%. Lost cost power benefits the Alaskan public. Distributed generation benefits the utilities. Unique to this project, utilizing landfill bound fuel will divert 1,000 tons from Alaskan landfills annually compounding the benefits to the Alaskan public. 2.5 Scope of Work Provide a scope of work detailing the tasks to be pertormad under this funding request. This should include work paid for by grant funds and matching funds or pertormetl as in -kind match. Total grant request is $400,000. Total matching Funds and in -kind match is $2,600,000. Total project budget is $3,000,000. Grant funds of $400,000 will be used for Reconnaissance ($750,000) and Feasibility Analysis and Concept Design <$250,000). Reconnaissance will include project scope, contractor solicitation, land use, environmental analysis and permitting. Additionally cost analysis will be pertormad for preliminary design, energy market resulting in a final report and recommendations delivered by August 25, 2016. Feasibility Analysis and ConeepT Design will build on the Reconnaissance phase. Tasks will include detailed project scope and contractor solicitation, detailed resource assessment, identification of land regulation issues and analysis of permitting and environmental factors. Advancing to the conceptual phase will ba dasig n, cost estimates, operational and business plans. A final report and recommendations will be delivered by January 27, 2017. Additional milestones for Final Design 8. Permitting and Construction will be detailed in Section 3. AEA 15003 Page 5 of 31 7/S/14 Renewable Energy Fund Round IX �� � L_!� SK�4____ Grant Application -Standard Form � ' E�EAw..un,oRi,-r SECTION 3 —Project Management, Development, and Operation 3.1 Schedule and Milestones Criteria: Stage 2-9.A: The proposed schedule is clear, realistic, and described in adequate tlatal/. Please fill out the schedule below (or attach a similar sheet) for the work covered by this funding request. Ba sure to identify key tasks antl decision points in in your project along with estimated start and and dates for each of the milestones end tasks. Please clearly identify the beginning and ending of all phases of your proposed project. Add additional rows as needed. Milestovea Star[ Datc calena.r Da s Entl Dau Reconnaissance J/I/2016 Phaee 1 Total 8/362016 Project scoping end contr8c[or aolicitatlon J/1/2D16 19 J/16/2D36 Resource identification and enaly3is J/i6/2016 SD J/26/2016 Land use, permitting, and envirommentai analysis J/26/2016 30 8/29/2016 Preliminary tlesign antl cost analysis J/26/2D36 2D 8/19/2016 Cos[ o£energy end market analysis J/26/2016 2D 8/19/2D16 Simple economic analysis J/26/2016 5 J/31/2D16 Final report and recommendations 8/26/2036 6 8/80/2036 Feasibility Analysis and Concept Design 8/30/2016 phase 2 Total 3/1/2D1J Project scoping and eontreetor smbcita[ion 8/30/2016 3D 9/29/2016 Deuiletl resource assessment 8/30/2D36 30 9/29/2036 Iden[iticelion of lantl [egula[ory issues g/3D/2016 30 9/29/2D16 Permittin8 and rnvironmrntal analysis 9/29/2016 9D 12/28/2016 Detailed analysis of current cost of energy and Poture market g/90/2D16 2D 9/L9/2036 Conceptual tlesi8n antl costs estimates 12/28/2036 3D 1/2J/2DiJ DetaitM economic antl financial analyses 12/28/2D16 20 1/1J/2o1J Conceptual business 8c operations plan 12/28/2016 30 1/2J/2DSJ Final report and recommmda[ions 1/2J/2DSJ 8 2/1/2D3J Fivai Dealgn @ PermiKing 2/1201J phase 3 Totai 11/28/2o1J Portrait applications 2/1/2DSJ 120 fill/2DiJ Final environmental Hssessment antl mitigation plena 2/1/2DSJ 120 6/1/2O1J Resolution of lend use, right of way iS3ue3 2/1/2O1J 9D 5/2/2DSJ Permitting, right -of --ways, siu control 2/1/2O1J 90 5/2/201J Final system design 9/2/2o1J 90 J/31/2D1J Final cos[ estimate - J/31/201J 30 8/30/2O1J Updated economic antl financial analyses g/9D/2o1J 6 9/4/2O1J e agreemen s to p ace 2/1/2DSJ 90 9/2/2O1J Fi el business and operational plan 8/30/2DiJ 9D 11/28/2OSJ AEA 15003 Page 6 of 31 7/8/14 Renewable Energy Fund Round IX �" ^- 1-��„��__ Grant Application -Standard Form �IEIVERGY AUII-IORfTY Construction _ pltasa4 1126/201'! Total 8/25/2016 Design 8c £ensibility requirements 11/28/2017 20 12/16/2017 Bid documents 11/28/2017 30 12/28/2017 vendor selection end award az/za/zov s 1/z/zo16 Construction 1/2/2p18 200 7/2L2018 Integration antl testing 7/21/2018 30 8/20/2018 Final accep[ancc. commissioning antl start-up 8/20/2018 5 8/25/2018 Operations 8/25/2018 a.a Bt,dget Criteria: Stage 2-1.6: Tha cost estimates for prajact deve/opment, operation, maintenance, fua/, and other project items meat industry standards or are otherwise justified. 3.2.'1 Budget Overview Describe your financial com mitmant to the project. List the amount of funds Headed for project completion and the anticipated nature and sources of funds. Consider all project phases, including future phases not covered in this funding request. Tha budget outlined in this grant application is the complete budget associated with the development and turnkey installation of the proposed ORC system. Total capital cost for the ORC system and controls is presently estimated at $3,000,000. Funding for the project will come from SuparCritical Technologies, CEI, private equity funding, and the AEA grant. Wa understand that grant funding in each additional phase is contingent upon successfully completing an earlier phase. A summary of the anticipated project costs and source of funds is outlined below. Grant Funds Grantees Funds/Other Total Funds Phase t: Reconnaissance $t 50,000 $O $t 50,000 Phase 2: Feasibility and Concept Design $250,000 $O $250,000 Phase 3: Detail Design and Permitting $O $500,000 $500,000 Phase 4: Construction $O S2.t00.000 $2.'100.000 Total $400,000 $2,600,000 $3,000,000 3.2.2 Budget Forms Applications MUST include a separate worksheet for each project phase that was identified in section 2.3.2 of this application, (1. Reconnaissance, II. Feasibility and Conceptual Design, III. Final Design and Permitting, and IV. Construction. Please use the tables provided below to detail your posed-prolecfs-total-1>udg"�oa-surste-use-and- 4able- far�ach-phase-of--Your-Pral milestones and tasks should match those listed in 3.'I above. !f you have any question regarding how to prepare these fob/as or if you Head assistance preparing the app/ication p/ease fee/ free to contact AEA at 907-77f-303f or by amai/ing the Grants Administretor; Shawn Ca/fa, at scalfaiaaidea.oro. AEA 35003 Page 7 of 31 7/8/14 Renewable Energy Fund Round IX E',q_ IAA -__--_.- Grant Application -Standard Form �E enieacv null-loa'TM Reconnaissance Milestone or TasK RE- Fund Grant Funds Grants@ Matching Funds Souroe of Metehing Funds: Gash/In-Kintl/Faderal Grants/Other State Granfa/Other TOTA Project scoping antl contractor solicRation $ 2t,429 $ $ 21,429 Rasoume Identiflca5on antl analysis $ 1q 2g6 $ $ 14,286 Lentl us@, penni[ting, antl @nNronmental anal sis $ 42,857 $ $ 42,H57 Preliminary tlesign and cos[ analysis $ 2g,5T1 $ $ 28.5'T1 Cost of aner9Y antl market analysis $ 28,5]t $ $ 28,S7t Simple economic analysis $'],143 $ $T,t43 Final r@port antl recommandat(ons $ 7,t43 $ $ 7,143 TOTALS $ 150,000 $ $t50,000 Butlgat Categories: Direr[ Labor S Banana $ t05,000 $ $ 105,000 Travel &Per Dlem $ 7,500 $ $ 7,500 Equipment $ T,500 $ $ 7,500 Materials &Supplies $ 7,500 $ $ T,500 Contractual Services $ 15,000 $ $ 15,000 COna[rYCtlOn $@NIC@6 $ g $ $ g Other $ 7,500 $ $ J,500 TOTAL3 $ 150.000 $ $ t 50.000 AEA 15003 Page 8 of 31 7/8/14 Renewable Energy Fund Round IX E, Al--/J-SKA-- Grant Application -Standard Form �� �Erveaw curl-loRnv— F¢aelbllity Sa Conceptual Oasign Milestone or Task RE- Funtl Grant Funds Grantee Matching Funds 3ouma of Matching Funtls: Cash/In-kind/F¢darat Grants/Other State Grants/Other TOTALS Project scopin9 and contractor solicitation $ 26,3t6 $ $ 26,3t6 Datall¢tl resource assesamani $ 26,3t6 $ $ 26,3t6 Itlentiflca[ion of lantl regulatory iasuas $ 26,3t6 $ $ 26,3t6 Pennitting and environmental analysis $ 7g,94T $ $ T6,847 Detailed analysts Of current cost of energy and future market $ tT 544 $ $ t7 544 Conceptual design and costs estimates $ 26,3t6 $ $ 26.3t6 D¢tailatl economic and financial anal ses $ t7 544 $ $ 17 544 Conceptual business &operations plan $ 2B,3t6 $ $ 26,3t6 Final report antl recommendations $ 4,366 $ $ 4,366 TOTALS $ 250,000 $ $250,000 Budget Categorise' Direc[Labor&Beneflts $t 75,000 $ $t75,000 Traval6 Per Diem $t2,500 $ $t2,500 Equipment $t2,50O $ $t2.500 Materiels 6 Supplies $t2,500 $ $12,5D0 Cont2clual Sarvicea $25,000 $ $25,000 COr1ahVGtlOn SBNIC@a $O $ $O Other $t2,500 $ $t2,500 TOTALS $260,000 $ $250,000 AEA 15003 _ Page 9 of 31 7/8/14 Renewable Energy Fund Round IX E , A L_ n_CI�;E1,�� Grant Application -Standard Form �� Er.IERGVAt,TI-IORIT,r RE- Fund Grentaa 3ourca of Matching Final Design S Parmitgng Milestone Matching Funtls: or TasK Grant Cash/In-kintl/F¢tlarei TOT Funds Funtla Grenta/Other States Grants/Other Permit aPPllcations $ $ 52,759 In -kind $ 82,759 Final environm¢ntal asseasmant and miH9ation Plans $ $ 82,759 In -Kind $ 82,759 Resolution of lantl use, right of way $ $ g2 0g9 $ 62.069 issues In-Kintl Pertnitting, right -of --ways, site control $ $ g2,069 In -Kind $ 62,069 Final system desi9^ $ $ 62,069 In-Kintl $ 62,069 Final cost eshmate $ $ 20,690 In -Kind $ 20,690 Uptlatetl economic antl financial $ $ 3,448 $ 3,448 anal ses In -Kind Power or h¢at sal¢ agreements in $ $ g2,069 $ 62.069 lac¢ In-Kintl Final business and ope2tional plan $ $ 62,069 In -Kind $ 62,069 TOTALS $ $ 500,000 $ 500,000 Butlgat categorise: Direct Labor & Benefits $ $ 350,000 In -Kind $ 350,000 Travel 8 Per Dfem $ $ 25,000 In -Kind $ 25.000 Equipment $ $ 25,000 In -Kind $ 25,000 Materials 8 Suppli¢s $ $ 25.000 In -Kind $ 25,000 Contractual Services $ $ 50,000 In -Kind $ 50,000 Cons[mcllon Services $ $ O In -Kind $ O Other $ $ 25,000 In -Kind $ 25,000 TOTALS $ $ 500,000 $ 500,000 AEA 15003 Page 10 of 31 7/S/14 Renewable Energy Fund Round IX �, l�l.-Q��K�_- Grant Application -Standard Form �� 'E^'E"G'""t'T*'oR'TM Conatructlon Milestone or Task RE- Funtl Grant Funtls C'lantsa Matching Funtla Source of Matching Funtla: Cash/In-kintl/Fetleral Granls/Other States Grants/OHiar TOTALS Design &feasibility requirements $ $ 144.828 In-Kintl $ 144,828 Bid tlocumants $ $ 217,241 In-Kintl $ 217,24t Vantlor selection antl award $ $ 36.207 In-Kintl $ 36,20T Conatmction $ $ t,448,296 in-Kintl $ 1,448.276 Integration antl t¢stin9 $ $ 217,241 In -Kind $ 217.241 Final accep[anc¢, mmissioning antl start-up $ $ 36,207 In-Kintl $ 36,20'� Oparafiona $ $ 2,100,000 In-Kintl $ 2,100,000 Butlgat Catagorlea_ Oiract Labor $ Benefl[s $ $ 289,655 In-Kintl $ 289,655 Travel &Per Oiem $ $ O In-Kintl $ O Equipment $ $ O In -Kind $ O Ma[¢rials 8 SUPPIies $ $ 217,241 In-Kintl $ 21 T,241 Contractual Servicea $ $ 108,621 In-Kintl $ 108,62t Construcgon SeN10es $ $ t,448,296 In-Kintl $ 1,446,276 Other $ $ 36,207 In-Kintl $ 36,207 TOTALS $ $ 2,100,000 $ 2,100,000 AEA 15003 Page it of 31 7/8/14 Renewable Energy Fund Round 1X ��, n 1 �-csLZ: _ Grant Application -Standard Form E'v�Eaw ntrrrfoamv 3.2.3 Gost Justification Indicate the sources) of the cost estimates used for the project budget. The cost estimates provided above are based on previous project experience, data analysis and information gathered from construction and operation of 250kW prototype unit. Component cost roll -ups and vendor information has been validated and prepared by third -party turbomachinery experts, Barber Nichols. 3.2.4 Funding Sources Indicate the funding sources for the phase(sj of the project applied for in this funding request. Grant funds re wasted in this a Ilcation $400,000 Cash match to ba rovidad $ In -kind match to ba rovidad $2 1i00 000 Total costs for ro""act base s covered Ina Ilcatlon sum of above $S 000 000 3.2.5 Total Project Costs Indicate the anticipated total cost by phase of the project (including all funding sources). Use O&M costs can be estimated in two ways for the standard application. Most proposed RE projects will fall under Option 'I because the new resource will not allow for diesel generation to be turned off. Soma projects may allow for diesel generation to ba turned off for periods of lima; these For projects that do not resu/t in shutting down diesa/ generation there is assumed to ba no impact on the base case O&M. P/ease indicate the estimated annual O&M cost associated with the or000sed renewable oroiect. For generation estimate - $30,000/year, or $0.0087/kWh generated Maintenance for the ORC is estimated at $0.0025/kWh. Fuel is effectively free. The majority of O&M expense will come from the process of ensuring consistent supply of feedstock. 'I. $ 2_ Hours diesel will be offPar Y¢ar. 3. Annual O&M costs associated with fhe 3- $ proposed renewable project. AEA 15003 Page 12 of 31 7/8/14 Renewable Energy Fund Round 7X ��:, A 1_n�� A.__ Grant Application -Standard Form _�� t � ENERGY AUTHORITY 3.S Project Communlcatlons Criteria: Stagg 2-'7. C: Tha app/icanrs communications p/an, inc/uding monitoring and raporting, is described in adequate detai/. Describe how you p/an to monitor the project and Keep the Authority informed of the status. Shane Uurand is listed as project manager in Section 'I . f of this grant. Shane will be the primary contract with the Alaska Energy Authority (AEA) and he will coordinate with the ORC electricity provider and contractors as necessary. Regular status updates on the project will be made in writing on a quarterly basis and at the completion of each phase. With Central Environmental, Inc. support, Supercritical Technologies, Inc. will help plan and deliver presentations as necessary on each phase of the grant as the project develops led by Craig Husa (chusa Cc7suoercriticaltech com) and Chal Davidson(cdavidsonCc7suoarcriticaltach.com). 3.4 Operational Logistics Criteria: Stage 2-�.0: Logistica/, business, and financia/ arrangements for operating and maintaining the project throughout its /ifetime and se//ing energy from the completed project are reasonab/a and described in adequate datai/. Describe the anticipated /ogistica/, business, and financia/ arrangements for operating and maintaining the project throughout its /if®time and sa//ing energy from the comp/ated pro'sct. All logistical, business and financial arrangements for operating and maintaining the project throughout its lifetime including selling energy from the completed project will ba established and agreed to between Supercritical Technologies and Central Environmental, Inc. Annual operating and maintenance costs will ba addressed in an 08.M contract between Supercritical Technologies and Central Environmental. CEI will work closely with local and state government to ensure project success. SECTION 4 -QUALIFICATIONS ANO EXPERIENCE 4.'1 Project Taam Criteria: Sfage 2-2.A: The App/icant, partners, and/or contractors have sufFcient Know/edge and experience to succassfu//y comp/ate and operate the project. /f the app/icon[ has not yet chosen a contractor to comp/ate the worK, qua/ifications and experience points wi/! be based on the app/icanf's capacity to succassfu//y sa/act contractors and manage comp/ax contracts. Criteria: Stage 2-2_B: Tha project team has staffing, time, and oth�rrasources to succassfu//y --comp/eta and-operatethe-'project-"..--_ _---.__._-__ __.._ _—_.____-____-_-__-_ Criteria: Stage 2-2. C: Tha project team is ab/e to understand and address technics/, economic, and -anvirorrmantafbarrlers'to sacz:assfal7sro/aatcornp/at/arrsndaPsrat _ - --- Criteria: Stage 2-2.0: The project team has positive past grant experience. AEA 15003 Page 13 of 31 7/S/14 Renewable Energy Fund Round IX ��, Al_!�-G(.'���� Grant Application -Standard Form s eNenw nvn-loarry 4.'I .'1 Project Manager Indicate who will be managing the project for the Grantee and include contact information, and a resume. In the electronic submittal, please submit resumes as separate PDFs if the applicant would like those excluded from the web posting of this application. 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. Shane Durand, Central Environmental Inc. (g07)56'I-Ot25, (g07)56'I-O'178 fax Resume included. 4.1.2 Expertise and R®sources Describe the project team including the applicant, partners, and contractors. Provide sufficient detail for reviewers to evaluate: the extent to which the team has sufficient knowledge and experfenca to successfully complete and operate the project; whether the project team has staffing, time, and other resources to successfully complete and operate the project; how wall the project team is able to understand and address technical, economic, and environmental barriers to successful project completion and operation. If contractors nave not bean selected to complete the work, provide reviewers with sufficient detail to understand the applicant's capacity to successfully select contractors and manage complex contracts. Include brief resumes for known key person nal and contractors 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 Supercritical Technologies, Inc.: Power system design, integration and commissioning support. Supercritical Teohnologies is a full service equipment manufacturer and energy solutions provider. In addition to manufacturing state-of-the-art power systems, our capabilities include full -service energy -as -a -service solutions. 4.7.3 Projsct Accountants) Indicate who will be pertorming the accounting of this project for the grantee and include a resume. In the electronic submittal, please submit resumes as separate PDFs if the applicant would like those excluded from the web posting of this application. If the applicant does not have a project accountant indicate how you intend to solicit financial accounting support. Shirley Arnold has bean CEI's financial controller for 6 years. AEA 15003 Page 14 of 31 7/S/14 Renewable Energy Fund Round IX ©" G t tirG:. ane Grant Application -Standard Form �' Enit3aciv s.u-rrtoferry 4.f.4 Financial Accou nting System l7ascriba the controls that will ba utilized to ensure that only costs that are reasonable, ordinary antl necessary will be allocated to this project. Also discuss the controls in place that will ensure that no expanses for overhead, or any other unallowable costs will be requested for reimbursement from the Renewable Energy Fund Grant Program. CEI utilizes SAGE software for all accounting functions throughout the companies. All expanses can be audited. All costs will have to be approved by the project manager. 4.2 Local Workforce Criteria: Stags 2-2.E: The project uses /oca/ /abor and trains a /oca/ /abor workforce. Describe how the project will use local labor or train a local labor workforce. The Knik Arm Power Plata recycled waste to power will create local jobs at the Knik Arm Power Plant, Central Recycling Services and in communities that will be able to divert C8.� from their local landfills. The extant of job creation will be part of the Reconnaissance phase. AEA 15003 Page 15 of 31 7/S/14 Renewable Energy Fund Round IX E, pS�. ^��L�A� Grant Application -Standard Form ��'E"'ER�"""^'or"TM SECTION 5—TECHNICAL FEASIBILITY 5.'1 Resource Availability Cntaria: Stage 2-3.A: The rsnewab/e energy resource is avai/ab/a on a sustainab/e 6asis, and project permits and other authorizations can reasonab/y ba obtained. 5.'1 .'1 Proposed Energy Resource Describe the potential extent amount of the energy resource that is availabl®, including average resource availability on an annual basis. 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. For pre -construction applications, describe the resource to the extant known. For design and permitting or construction projects, please provide feasibility documents, tlesign documents, and permitting documents (if applicable) as attachments to this application. This project is unique in utilizing fuel from recycled construction and demolition (C8D) waste. CS.D materials consist of the debris generated tluring the construction, renovation, and demolition of buildings, roads, and bridges. These materials often contain bulky, heavy materials, such as concrete, wood, metals, glass, antl salvaged building components. CEI's Central Recycling Services Ship Creek facility (CRS) is able to recycle 75 % of C&D malarial currently. By utilizing the non-renewable biomass and tires, the recycling rate will increase to 90 % . Pro: '1) Up to 2,000 tons par year of renewable fuel can be diverted from Alaskan landfills. 2) Increase in recycling rate will expand CRS service range from 25 mile to 100 mile radius. 3) Low cost fuel with a supply that can be easily stored. Con: 'I) Waste to power projects have been racommendetl by AEA but not funded by the legislature. 2) KAPP site has hatl many previous attempts to restart power operations. 3) MLSP antl CEA, as regulated utilities, are many not ba able to include this project into their fuel mix. 5.1.2 Permits Provide the following information as it may relate to permitting and how you imand to address outstanding permit issues. List of applicable permits Anticipated permitting timeline Identify and describe potential barriers In accordance with the permitting memo prepared under the Reconnaissance Report, the following permits will be required: 'I) Intereonnectien Feasibility Study and Parm it: Alaska Railroad Corporation 2) Interconnection Feasibility Study and Permit: Chugach Electric Association -3)-Interconnection Feasibility Study and Permit: Anchorage Municipal Light 8. Power 4) Air Permit for incinerator. Knik Arm Power Plant has been listed as an EPA Brownfield site as such investigation of EPA corrective action permitting may be required. AEA 15003 Page 16 of 31 7/73/14 Renewable Energy Fund Round IX vE, �� �-�L�� Grant Application -Standard Form �e'+�GV.nu-mOAm- The Anchorage Planning and Zoning Commission had identified Knik Arm Power Plant in an area deslg Hated "motl crate -low" hazard. Additional permits may be required as the following surveys: '1) Geotachnical site 2) Gaohazards site 6.2 Project Site Criteria: Stage 2-3.6: A site is avai/ab/a and suitab/a for the proposed energy system. Describe the avai/abJ/Ity of the site and its suitabi/Jty for the prnposad energy system. /dantiy potantia/ /and ownership issues, inc/uding whether site owners have agreed to the project or how you intend to approach /and ownership and access Issues. i I � M � gyp' h i l l ��� i � f' s.,"`A'or+�ri ..- w _ x T` r J _ i � 1 -1. � t ..3��iWf , _ ti:�l� � ir� :fir - ' T•�;'ty�l t'" � d �� I I I i o{ -- I ram � �!f't 1 t■■ ■ - Lt�Tlrai ��.�. .. �- ��_��__13 �1 t1�__fcl.d �rst 't?� - ■ .. � � �,. - - �,,. Knik Arm Power Plant modernized Alaska's power system and can do so again. Knik Arm Power Plant is controlled by lease by Central Environmental Inc. (CEI) to Ship Creek Industrial Complex LLC (SCIC) which has agreed to the project. Given the Anchorage 2020 civic plan, CEI and SCIC will work closely with local and state government to ensure project success. 6.3 Project RisK ' Criteria: Stage 2-3. C: Project technics/ and environments/ ris/cs are reasonab/e. 6.3.'1 Technical Rlsk Describe potential technical risks and how ou would address them. Technology -Risk: -Organic Rankiha cycle (ORC) power generation is not broadly used in Alaska. However ORC is a mature tachnolog Supercritical Tech nologias, and their technical advisors, including Barber Nichols, have experience with the technology and its application. Partormance Risk: If the ORC system undarpartorms, it will produce less power than anticipated. To guide partormanc®, req uiremants and sat the financial incentives era necessary to ensure successful energy production, maximum output, and uptima. Systems will be in place to maintain minimum temperatures and additional procedures in place to manage cold temperature shut down AEA 15003 Page 17 of 31 7/8/14 Renewable Energy Fund Round IX E; �..1- ASKA Grant Application -Standard Form �� ENERGY AUTHORITY and startup. Systems will ba maintained by 24/7/365 operating staff and remotely monitored by the manufacturer. Feedstock Supply: C&D material could have supply fluctuations; however, this will be offset by the increase in affective recycling Tanga from approximately 25 miles from CEI's Central Recycling Services Ship Creek facility to approximately t 00 miles. C8D waste can be stored stabilizing feedstock supply. 5.3_2 Environmental RiaK Explain whether the following environmental and land use issues apply, and if so how they will ba addressed: Threatened or endangered species Habitat issues Wetlands and other protected areas Archaeological and historical resources Land development constraints Telecommunications intarterence Aviation considerations Visual, aesthetics impacts Identify and describe other potential barriers Air Emissions RisK: Emissions from combustion activities era closely scrutinized by public and governmental entities. Tight control of air emissions is essential to gaining and keeping public support. Incorporation of engineering controls and testing procedures will minimize air emissions. Tha Alaska Division of Air Quality, AK -DEC, the need for a minor source specific air quality permit can ba triggered by potential emissions or activity including a permit trigger for incinerators. Tha incinerator throughput threshold for minor source permitting is 'I,000 pounds or more par hour ('IS AAC 50.502(b)). Tha first emission thresholds to check for the project era at '1 S AAC 50.502(c)(t) for new sources. Knik Arm Power Plant has been listed as an EPA Brownfield site as such investigation of EPA corrective action permitting may be required. The Anchorage Planning and Zoning Commission had identified Knik Arm Power Plant in an area designated "moderate -low" hazard. 6.4 Existing and Proposed Energy System Criteria: Stage 2-3.0: Tha proposed energy system can re/iab/y produce and da/ivar energy as p/annad. 6.4.'1 Basic Configuration of Existing_Enargy System Describe the basic cohfiguratibn bf the existing energy system. Ihduda information about the number size a e efficient and t e of anaration. Presently, Knik Arm Power Plant does not have an operable, existing energy system. Previously KAPP prod ucad power with a variety of fuel sources and generation technologies, however all installed equipment has been decommissioned and is process of being recycled. AEA 15003 Page 18 0£31 7/8/14 Renewable Energy Fund Round IX ��, Ate• �� �� Grant Application -Standard Form �� ENERGY AUTHORITY Existing Energy Ganeratlon and Usages a) Basic configuration (if system is part of the Railbelt' grid, leave this section blank) I. Number of generators/boilers/other ii. Rated capacity of generators/boilers/other III. Generator/boilers other type iv. Age of generators boilers/other v. Efficiency of generators/boilers/other vi. Is there operational heat recovery? (Y/N) If yes ¢stimatad annual displaced heating fuel (gallons) b) Annual 08.M cost ([f system is part of the Railbelt grid, leave this section blank) i. Annual 08M cost for labor Ii. Annual 08.M cost for non -labor c) Annual electricity production antl fuel usage (fill in as applicable) (if system is part of the Railbelt grid, leave this section blank) i. Electncity [kWh] ii. Fuel usage Diesel [gal] Other iii. Peak Load iv. Average Load v. Minimum Load vi. Efficiency vii. Future trends d) Annual heating fuel usage (fill in as applicable) I. Diesel [gal or MMBtu] ii. Electricity [kWh] II(. Propane [gal or MMBtu] iv. Coal [tons or MMBtu] v. Wood [cords, green tons, dry tons] vi. other z The Rallbelt grid connects all customers of Chugach Electric Assodatloq Homer Electrk Aszodatlon, Golden Valley Elettric Azsoclatlon, [he Qty of Seward Electric Departmen4 Matanuska Electric Assocla8on antl Anchorage Munldpal Light and Pnwer. AEA 15003 Page Y9 of 31 7/S/14 Renewable Energy Fund Round IX ®�, L� I ^-��� Grant Application -Standard Form �E^'�'�`'�"U^'�r"TM 6.4.2 Future Trends Describe the anticipated energy demand in the community over the life of the project. Energy demand in Alaska continues to grow. Anchorage and the surrounding areas support more than half of the population within the state and continue to be the fastest growing community in the state. Energy use has a strong correlation with population density_ This project addresses both the future growth in energy Head and the continued buildup of C&D waste that accumulates at the CEI yard as a result of economic development. This project provides electricity to the grid and cuts back on landfill bound cellulous material, both of which provide a benefit to Alaskans. The electricity generated comes from a renewable resource and frees up valuable landfill space for other valueless material. 5.4.3 Impact on Rates Briefly explain what if any affect your project will have on electrical rates in the proposed benefit area over the life of the project. For PCE eligible communities, please describe the expected impact would be for both pre and post PCE. This project will produce electricity at rates that era lower than currant production rate cost. Electricity will ba produced in a range of $0.05 per kW-hr on a LCOE basis. Electricity will ba wheeled to distribution customers either thru Chugach Electric or MLS.P, or it can be offloaded to the Alaska Railroad Corporation via an existing utility corridor. For economic viability of the project and to ensure proper investment, sales rates will be in line with currant small generator tariff rates of between $0.062-$0.085 per kWh. This rate base is lower than the currant retail rate available in the anchorage municipality and should provide a reliable, distributed energy source that helps reduce the average blended rate [o rate payers. 5.4.4 Proposal System Design Provide the following information for the proposed renewable energy system: A description ofranewabla energy technology spec'Tic to projacttocation Optimum installed capacity n c�pa a capacc� y a or Anticipated annual generation Anticipated barriers Integration plan Delivery methods AEA 15003 Page 20 of 31 7/13/14 Renewable Energy Fund Round IX � AL A-:��" ®�i Grant Application -Standard Form � � EHEH�V nuTHORrry s _- uU.J Supercritical Technologies PowerCube ISX 440, 400 kW¢ Organic Rankine Cycles Plant The renewable energy technology proposed is Organic Rankin¢ Cycles (ORC) power generation using heat from recycled west¢ fuel as the primary source (pictured above). Tha optimum installed capacity in this application is 440 kWe gross, 400 kWa net. The system is expected to prod uca a minimum of 3,434 MWh electricity per year with a capacity factor of 98%. Tha ORC's principle is based on a turbo -generator working to transform thermal energy into electric energy. ORC power systems use the same concepts as a steam engine to make electrical power, however, the working fluid is typically a hydrocarbon ("organic fluid") rather than steam. In the simplified diagram below, flu¢ gas from the biomass incinerator is the heat source. Low grade heat is rejected to atmosphere at higher ambient air temperatures and to the gas turbine inlet air at lower temperatures to improve the emissions profile. Supercritical Technologies PowerCube ISX 440 enhances ORC technology 6y adding superheat and recuperation to increase output and electrical efficiency. Anticipated thermal to electric efficiency will be '18% to 20%. PowarCube ISX 440 can be delivered 9 months from order date, which would b¢ after the completion of this reconnaissance, feasibility study and conceptual design_ Power Generaiinn 2) Heat 4) Heai Source R¢leciipn 1) Pump AEA 15003 Page 21 of 31 7/S/14 Renewable Energy Fund Round IX �"�...�A,w_ Grant Application -Standard Form �' eNenw .avrl-loranv Tha combustion section of the system providing neat to the Organic Working fluid is a DaII Energy biomass furnace. This technology combines updraft gasification and gas combustion allowing for several advantages: the plant becomes simpler and cheaper; the emissions are reduced, and the furnaces can regulate between '10-'100%. The following figure depicts the combustion arrangement of the Dall biomass furnace. Tha Furnace provides such a complete burn that the CB.D input can ba reduced by a factor of '100 which will significantly reduce landfill bound material. Additionally, emissions from the system era favorable as the combustion technology provides for a very completed burn. The emissions profile for a woody biomass burn are shown in the following table. CO (mg/Nxgg) 100 %Load >5 zo%Load >5 In the future this advanced biomass energy system could be deployed in other communities across the state to provide an effective waste remediation and biomass energy generation system with the capability'to produce electricity using indigenously available fuel sources. This grant proposalwill develop the around work for a working demonstration and the unit installed at the KAPP facility AEA 15003 Page 22 of 31 7/S/14 Renewable Energy Fund Round IX ��, ni ^_��/'�,.-.-_.. Grant Application -Standard Form E eLlenw nurrlonlTr Proposed System Design Capacity and Fuel Usages (/nc/uda any projections for continued use of non-ranawab/a fua/s) a) Proposed renewable capacity (Wind, 40o kWe Hydro, Biomass, other) [kW or MMBtu/h r] b) Proposed annual electricity or heat production (fill in as applicable) i. Electricity [kWh] 3,434,000 li. Heat [MMBtuj c) Proposed annual fuel usage (fill in as applicable) i. Propane [gal or MMBtu] ii. Coal [tons or MMBtu] fii. Wood or pellets [cortls, green tons, 2,000 tlry tons dry tons] 3,000 green tons iv. Other 600 tons (Tires) 500 ions (cellulous fiber) d) i. Estimate number of hours renewable 3,434,000 kW-hr/year will allow powerhouse to turn diesel engines off (fill in as applicable) 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. t 5 of the Raq uast for Aoolications. Instrumentation and metering equipment for an electric utility plant is part of the normal course of business for an indapendant power producer antl will be included in the project and integrated with the existing control and metering systems present in the FCAPP Facility. Tha project will include appropriate metering aq uipment and isolation transformers to ensure safe operations. The installed biomass generation assets will be significantly smaller than previous generation capacity installed at the facility, hence there should ba no issues with metering_ CEI will comply with the operations reporting requirement. AEA 15003 Page 23 of31 7/S/14 Renewable Energy Fund Round IX �`� ®j�,QQC.Z`;q Y, Grant Application -Standard Form �� ErJeexw nu„1oa�Tv SECTION 6 —ECONOMIC FEASIBILITY AND BENEFITS 6.'1 Economic Feasibility Criteria: Stags 2-4.A: Tha project is shown to be economics//y feasib/e (net positive savings in fus/, operation and maintenance, and capita/ costs over the /ifs of the proposed project). 6.'1 .'1 Economic Ban®fit Explain the economic benefits of your project. Include direct cost savings, and how the people of Alaska will benefit from the project. Tha benefits information should include the following: Anticipated annual and lifetime fuel displacement (gallons and dollars) Anticipated annual and lifetime revenue (based on i.e. a Proposed Power Purchase Agreement price, RCA tariff, or cost based rate) 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) Tha economic mode/ used by AEA is avai/ab/e at htto://www.akanaravauthority. ore/Proc rams/Renewable-Energy-Fund/Rou nds#round9. This economic mode/ may ba used by applicants but is not required. The fine/ banafit/cost ratio used wi// be derived from the AEA mode/ to ensure a /eve/ p/eying fie/d for a// applicants_ /f used, p/ease submit the mode/ with the app/ication. The propos®d project will generate electricity in acost-effective man nar by using waste products as its fuel source. Value will be derived in two ways: 'I) By utilizing waste mat®vials as a fuel source, the cost of generation is greatly reduced. Wa estimate that the proposed project would generate electricity at a levelized cost of $O.OS/kWh, not including depreciation tax benefits. 2) The waste materials that are to ba used as fuel would otherwise need to be disposed of at an estimated cost of at least $35tton. With estimated project consumption of 4,525 tons of waste material annually, $'156,500 in cost offsets would ba realized each year. 6.1.2 Power Purchase/Sala Tha power purchase/sale information should Include the following: Idanti£cation of potential power buyers)/customer(s) Potential power purchase/sales price - at a minimum indicate a price range Proposed rate of return from grant -funded project Identify the potential power buyar(s)/customar(s) and anticipated power purchase/sales price range. Indicate the proposed rate of return from the grant -funded project. Potential Power Buyers: '1) Anchorage Municipal Light 8, Power 2) Chugach Electric Association ' 3) Alaska Railroad Corporation Potential Power Purchase/Sales Prices: 0.062- D.O85 ar kWh Proposed Rates of Return (based on IRR): '14.69%-t 8.86% AEA 15003 Page 24 of 31 7/S/14 R¢newable Energy Fund Round IX �, mil__^-���� Grant Application -Standard Form �E �E�E�vnun.onlTv B.t.3 Public Banafit for Projects with Private Sector Sales For projects that include sales of power to private sector businesses (sawmills, cruise ships, minas, etc.), please provide a br"ref description of the direct and indirect public benefits derived from the project as well as the private sector banafits and complete the table below. Sea section t_6 in the Req uast for Applications for more information. N/A Renewable anar resource availabilit kWh er month Estimated sales kWh Revenue for dis lacin diesel anaration for use at rivets sector businesses $ Estimated sales kWh Ravanua for displacing diesel generation for use by the Alaskan public ($) 6.2 Financing Plan Criteria: Stage 2-4.6: The project has an adequate financing p/an for comp/etion of the grant- fundad phase and has considered options for financing subsequent phases of the project. 6.2.'1 Additional Funds Identify the source and amount of all additional funds needed to complete the work in the phasa(s) for which REF funding is being applied in this application. Indicate whether these 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. 6.2.2 Financing opportunities/limitations If the proposed project includes final design or construction phases, what era your opportunities and/or limitations to fund this project with a loan, bonds, or other financing options? CEI is an established and creditworthy business, with more the thirty years of operational experience. Funding for the project beyond what is sought from REF will ba provided through debt financing. Financing could also ba provided through the sale of rights to cash flows generated by the project, however this would ba a lass attractive option during the early phases of project development. 6.2.3 Cost Ovarru ns Describe the plan to cover potential cost increases or shortfalls in funding. Cost overruns would most likely occur during the construction phase of the project. Construction costs have been conservatively budgeted at $5.25/watt, or $2.t million. To the extant that significant cost overruns did occur, the project would either seek debt funding or the sale of rights to future cash flows. 6.2.4 Su bsaquant Phases - If subsequent phases era required beyond the phases being applied for in this application, _describe_the-anticipated-soumes_of__funding-and_tha_likelihood-oLcacaipt-of-those-funds - The most likely source of funds would ba through debt financing, with sale of rights to future Dash flows consideretl as a secondary source of funding. Further, CEI would work with SuparCritical Technologies to ensure that it remained financially profitable in the long term. AEA 15003 Page 25 of 31 7/S/14 Renewable Energy Fund Round IX �`.; �1=.�-CLZA.. �._ Grant Application -Standard Form "E^'ER�''"�'TM'oR'TM B.3 Other Public Benefit Criteria: Stage 3-4. C: Other benefits to the A/aslca pub/ic are demonstrated. Avoided costs a/one wi!/ not be presumed to be in the best interest of the pub/ic. 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 ba 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: Tha project will result in developing infrastructure (roads, trails, pipes, power lines, etc.) that can be used for other purposes Tha 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 infortnatien 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 Utilization of waste materials for fuel offsets the need to dispose of the waste materials by other means, such as landfill_ Regardless of whether these materials are disposed of within the state of Alaska or shipped elsewhere, disposal results in costs that could be avoided. AEA 15003 Page 26 of 31 7/8/14 Renewable Energy Fund Round IX E, ALo���@_—. Grant Application -Standard Form � E--'ENERGY AUI'I-IORITV SECTION 7 — SUSTAINABILITY �escriba your plan for operating the completed project so that it will be sustainable throughout its economic life. Include at a minimum: Capability of the Applicant to demonstrate the capacity, both administratively and financially, to provide for the long-term operation and maintonance of the proposed project Is the Applicant currant on all loans and required reporting to state and federal agencies? Likelihood of the resource being available over the life of the project Likelihood of a sufficient market for energy produced over the life of the project CEI has been in business for 30 years. Central Recycling Services was created in 2009 and has been processing Construction and Demolition debris since. CEI is current on all loads and raq wired reporting As long as there is construction taking place biomass waste is being generated for use as fuel in the proposed facility. Tha FCAPP facility can ba tied into the MLP system creating a sustainable demand for power. SECTION 8 —PROJECT REAOIN ESS ascribe 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 phases) that must be completed prior to beginning the phases) 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 CEI and Supercritical Technologies have devoted substantial time researching and preparing this project. Once this application is recommended, CEI and SCT will begin immediately to proceed with Reconnaissance and Feasibility phases. Preliminary work for Reconnaissance phase has been com plated. This phase can begin immediately. Tha Feasibility phase will begin at the conclusion of Reconnaissance per the proposed schedule. Permitting for these phases will be minimal; however the Construction phase will have permitting raq uiremants. Land access and use have been secured. Procuring equipment and materials has begun with CEI and SCT gathering quotes for proposed design. AEA 15003 Page 27 of 31 7/8/14 Renewable Energy Fund Round IX ��, OL..�_�[>''6___ Grant Application -Standard Form � ` ENERGY AUTHORnY SECTION 9 —LOCAL SUPPORT AND OPPOSITION Describe local support and opposition, known or anticipated, for the project. Include l��tsrs resolutions. or other documentation of local support from the community that would benefit from this project. The Documentation of support must be dated within one year of the RFA data of July 8, 2015, Presently, the Knit Arm Power Plant recycled waste to power project does not have support or known opposition. This feasibility study and conceptual design project will examine what opposition and support there is for a constructed project. Central Environment Inc. is committed to ensuring a positive process. Anticipated Support: 1) City of Anchorage 2) Anchorage Municipal Light &Power 3) Chugach Electric Association 4) Alaska Railroad Corporation Anticipated Opposition: 1) Local community groups have fought previous landfill diversion efforts. SECTION 10 —COMPLIANCE WITH OTHER AWARDS Identify other grants that may have been previously awarded to the Applicant by the Authority 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. None. SECTION 11 —LIST OF SUPPORTING DOCUMENTATION FOR PRIOR PHASES In the space below please provide a list additional documents attached to support completion of prior phases. Resumes for CEI and SCT participants included. SECTION 12 —LIST OF ADDITIONAL DOCUMENTATION SUBMITTED FOR CONSIDERATION In the space below please provide a list of additional information submitted for consideration. Nona presently. In process of obtaining letters of support. AEA 15003 Page 28 of 31 7/8/14 Renewable Energy Fund Round IX ��, !�1_.A CkC �1 . __ Grant Application -Standard Form �o ENERGI' AUT}-IORnV -,. SECTION 13 —AUTHORIZED SIGNERS FORM AuthoNzad Grant 8lgnar(s): Printed Nama Tiga Toren Signaturo Shane Ourantl Manager 1 author¢a the above peroan(s) to sign Grant Documents: Must be authorized b the hi hest ranlcin o anization/communi /munici ai otficlal Printed Nama Titles Term Signature Mailing Addross: 31 t N. SITKA STREET ANCHORAGE AK 9950t Phony Number_ (907)567-0t25 Fax Number. (907)SBt-Ot78 E-mall Address: shana�cai-elaska_eom Federal Tax ID #: 92-O'l06797 _elasae. submit an updatad.torm.whanewr_tharo hi.a.change_to the abova_IMormatlon. AEA 15003 Page 29 of31 7/8/14 Renewable Energy Fund Round IX ��, D��,� Grant Application -Standard Form <-+ENER6V AU"ftiORTY SECTION t4—ADDITIONAL DOCUMENTATION AND CERTIFICATION SUBMIT THE FOLLOWING DOCUMENTS WITH YOUR APPLICATION: A. Contact information and resumes of Applicant's Project Manager, Project Accountant(s), Kay staff, partners, consultants, and suppliers per application form Section 3.t, 3.4 and 3.6. App/icants era asKed to provide resumes submifted with app/ications in separate a/actronic documenfs if the individua/s do not want their resumes posted to the project web site. B. Latta rs or resol uttons demonstrating local support par application form Section 9. C. For projects Involving heat: Most recant invoice demonstrating the cost of heating fuel for the buildings) im pactad by the project D. Governing Body Rasol ution or other formal action taken by the applicants governing body or management per RFA Section t_4 that: - Commits the organization to provide the matching resources for project at the match amounts in dicatad 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 fedora 1, 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, par RFA Section t.7. F_ CERTIFICATION The undersig nod certifies that this application fora 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 those obligations_ Print Nama Sh a Durand Signature l�-A-w� TIHe Manager - - -- Data September 'I5, 2015 AEA 15003 Page 30 of31 7/8/14