Loading...
HomeMy WebLinkAboutSKM_C224e15091608360Renewable Energy Fund Round IX Grant Application -Standard Form I ENERGY AUTHORITY SECTION 1 -APPLICANT INFORMATION Please specify the legal grantee that will own, operate, and maintain the project upon completion. I Name (Name of utility, /PP, local government, or other government entity) I Circle Utilities, INC. Type of Entity: Fiscal Year End : Electric Utility December 31 Tax ID # Tax Status: X For-profit __ Non-profit D Government (check one) Date of last financial statement audit: Audited at review level Dec 31 2014 Mailing Address: Physical Address : P .O. Box 3 Circle , Alaska Circle , Alaska 99733 Mile 161 Steese Hwy Telephone: Fax: Email: 907-773-1234 dmasephol@sbcg lobal.net 11.1 Applicant Point of Contact I Grants Manager Name: Title: David Masephol Owner, General Manager Circle Electric, LLC . Mailing Address: P .O. Box 3 Circle, Alaska 99733 Telephone: Fax: Email: 907-773-1234 dmasephol@sbcglobal.net 1.1.1 APPLICANT SIGNA TORY AUTHORITY CONTACT INFORMATION Name: Title: David Masephol Owner , General Manager Circle Electric, LLC. Mailing Address: P.O . Box 3 Circle , Alaska 99733 Telephone: Fax: Email: 907-773-5500 dmasephol@sbcglobal .net 11.1.2 Applicant Alternate Points of Contact Name Telephone: Fax: Email: 1.2 Applicant Minimum Requirements AEA 15003 Page 1 of25 7/8/14 I I Renewable Energy Fund Round IX Grant Application -Standard Form I -, EN ERGY AUTHORITY Please check as appropriate. If applicants do not meet the minimum requi rements, the appli cati on will be rejected. j 1.2.1 Applicant Type ~ An electric utility holding a certificate of public convenience and necessity under AS 42.05, or 0 An independent power producer in accordance with 3 AAC 107.695 (a) (1 ), or I D A local government, or 0 A governmental entity (which includes tribal councils and housing authorities ) 1.2 APPLICANT MINIMUM REQUIREMENTS (continued) Please check as appropriate. D 1.2.2 Attached to this application is formal approval and endorsement for the project by the applicant's board of d irectors , 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 by checking the box) D 1.2.3 As an applicant, we have administrative and financia l management systems and follow procurement standards that comply with the standards set forth in the grant agreement (Section 3 of the RFA). (Indicate by checking the box) D 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 htt~://www .akenerg~authorit~.org /Programs/Renewable-Energ~-Fund /Rounds#round9 . (Any exceptions should be clearly noted and submitted with the application .) (Indicate by checking the box) X 1.2.5 We intend to own and operate any project that may be constructed with grant funds for the benefit of the general publ ic. If no please describe the natu re of the project and who will be the primary beneficiaries. (Indicate yes by checking the box) AEA 15003 Page 2 of 25 7/8/1 4 Renewable Energy Fund Round IX j Grant Application -Standard Form I SECTION 2-PROJECT SUMMARY 2.1 Project Title Provide a 4 to 7 word title for your project. Type in the space below. 100 Kilowatt Solar Array for Circle I 2.2 Project Location 2.2.1 Location of Project -Latitude and longitude (preferred), community name. street address, or 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 follo ws: 61 .195676.-149 .898663. If you would like assistance obtai ning th is informati on please contact AEA at 907-771-3031 . 65.45'04.53 "N 144 .12'22 .1 6"W (based on google earth for Circle Electric) The project proposes to determine the feasibility of a ground mount solar photovoltaic array to be located on property owned by the utility adjacent to the power plant building . System controls and integration equipment will be located in the power plant. 2.2.2 Community benefiting -Name(s) of the community or communities that will be the beneficiaries of the project. I Circle, Alaska 2.3 Project Type Please check as appropriate. I 2.3.1 Renewable Resource Type D Wind 0 Biomass or B iofue ls (excluding heat-only) D Hydro , Including Run of River 0 Hydr okinetic D Geothermal , Excluding Heat Pumps 0 Transmission of Renewable Energy ~ Solar Photovoltaic 0 Storage of Renewable I 0 Other (Describe ) 0 Small Natura l Gas I 2.3.2 Proposed Grant Funded Phase(s) for this Request (Check all that apply) Pre-Construction Construction 0 Reconnaissance 0 Final Design and Permitting 0 Feasibility and Conceptual Design 181 Construction AEA 15003 Page 3 of 25 7/8/14 Renewable Energy Fund Round IX Grant Application -Standard Form 2.4 Project Description I Provide a brief one paragraph description of the proposed project. Solar Power Feasibility for Commun ity of Circle 2.5 Scope of Work ENERGY AlJfHORITY Provide a scope of work deta iling 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 . Feasibility study to include: resource assessment , integration and interconnection studies, and general costs , preliminary design for 100 kW solar array . I SECTION 3 -Project Management, Development, and Operation ,3.1 Schedule and Milestones Criteria : Stage 2-1 .A: The proposed schedule is clear, realistic, and described in adequate detail. 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 in 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 of your proposed project. Add additional rows as needed . Start End Milestones Tasks Date Date Deliverables Grant agreement Develop grant agreement with Grant AEA Agreement 9/1/16 10/1/16 Evaluate solar resource, load Install monitoring equipment, Monitoring and electrical production and conduct baseline studies system usage data d escrip tion 10/1/l 6 4/1/17 Homer file Evaluate site Confirm permitting and siting Permits, or issues, conduct soils study letters or no impact, and site drawing, soils 10/1/16 4/1 /17 study Preliminary system design Develop preliminary systems Preliminary drawing 1120/17 2/20/17 design report Cost study Report, costs and benefits Cost and production 2/20/16 4/l/1 7 report Final Report Report next steps 2/15/16 6/30/17 Report AEA 15003 Page 4 of25 7/8/14 Renewable Energy Fund Round IX Grant Application -Standard Form I ENERGY AUTHORITY 3.2 Budget Criteria : Stage 2-1 .8 : The cost estimates for project development, operation, maintenance, fuel, and other project i tems meet industry standards or are otherwise justified. 3.2.1 Budget Overview Describe your financial commitment to the project . List the amount of funds needed for project completion and the anticipated nature and sources of funds. Consider all project phases , including future phases not covered in this funding request. We are requesting $ 75,000 to conduct preliminary design and feas ibility. The funds will be used to purchase and install monitoring equipment , conduct soils testing and develop a preliminary design . 3.2.2 Budget Forms Applications MUST include a separate worksheet for each project phase that was ident ified in section 2.3.2 of this application , (I. Reconnaissance , II. Feasibility and Conceptual Design , Ill. Fina l Design and Permitting , and IV. Construction . Please use the tables prov ided below to deta il your proposed project's total budget. Be sure to use one table for each phase of your project. The milestones and tasks should match those listed in 3 .1 above. If you have any question regarding how to prepare these tables or i f you need assi stance preparing the application please feel free to contact AEA at 907-771-3031 or by emailing the Grants Administrator, Shawn Calfa, at scalfa@aidea .org. Source of Matching RE-Fund Grantee Funds: Milestone or Task Grant Matching Cash/In-kind/Federal TOTALS Funds Funds Grants/Other State Grants/Other (List m ilestones based on phase and type of project. See sections $ $ $ 2 .3 thru 2 .6 of the RF A) Grant A greement $0 $0 in k ind $ 0 Resource/load monitoring $2 5,000 $2000 20 00 in ki nd $27 000 Site Evaluation $20 ,000 $2000 2000 $22,000 System desig n repo rt $20 000 $ 1000 1000 $ 21 ,000 Cost Study $ 5,000 $ 10 0 0 1000 $ 6 000 Final report $ 5 ,000 $ 1000 1000 $6 ,000 $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ TOTALS $75,000 $10000 $$85,000 Budget Categories: Direct Labor & Benefits $ $ 5 000 5 000 $5 000 Travel & Per Diem $ 10 000 $ $ 10 000 Eou ioment $20 000 $ $20 00 0 Materials & Supplies $ $ 1 000 1 000 $ 1 00 0 Contractual Services $45,000 $ $45 000 Construction Services $ $ 4 000 4 000 $4 000 Other $ $ $ TOTALS $75 00 0 $ 10 000 $85 000 AEA 15003 Page 5 of 25 7/8/14 Renewable Energy Fund Round IX Grant Application -Standard Form RE-Fund Grantee Milestone or Task Grant Matching Funds Funds (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 $ $ AEA 15003 Page 6 of25 I ENERGY AUTI-fORITY Source of Matching Funds: Cash/In-kind/Federal TOTALS Grants/Other State Grants/Other $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ 7/8/14 Renewable Energy Fund Round IX Grant Application -Standard Form RE-Fund Grantee Milestone or Task Grant Matching Funds Funds (Lis t milestones based on phase and type of proje ct. 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 Servi ces $ $ Other $ $ TOTALS $ $ AEA 15003 Page 7 of25 I ENERGY AUTHORITY Source of Matching Funds: Cash/In-kind/Federal TOTALS Grants/Other State Grants/Other $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ 7/8/14 Renewable Energy Fund Round IX Grant Application -Standard Form RE-Fund Grantee Milestone or Task Grant Matching Funds Funds (List milestones based on phase and type of project. See sections $ $ 2.3 thru 2.6 of the RF A) $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ TOTALS $ $ Budget Categories: Direct Labor & Benefits $ $ Travel & Per Diem $ $ Equ ipment $ $ Materials & Supplies $ $ Contractual Serv ices $ $ Construction Services $ $ Other $ $ TOTALS $ $ AEA 15003 Pa ge 8 of 25 I EN ERGY AUTHORITY Source of Matching Funds: Cash/In-kind/Federal TOTALS Grants/Other State Grants/Other $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ 7/8/14 Renewable Energy Fund Round IX j Grant Application -Standard Form 3.2.3 Cost Justification Indicate the source(s) of the cost estimates used for the project budget. This is a feasibility study for a 100 kW to 200 kW solar array . A site next to the powerplant has been selected . The feasibility study will result in a near final design for the system . It w ill requ ire that all permits be reviewed, and site control issues resolved . It is likely that some land will need to be cleared to get a good s ite evaluation , (a few trees will need to be removed to get a clear resource assessment). The uti lity will work w ith a soils engineer and do some site investigations with a backhoe survey . A monitoring station will be installed at the utility to simultaneously measure the solar resource and the load . A preliminary design will be developed for the system, and cost studies for construction developed . General recommendat ions for equipment w ill be conducted , and a cost benefit assessment completed . This information wi ll be comp iled in a report to determine the feasibility of the system installation . The project w ill be managed by Dave Masepol principal owner operator of the Circle Power Company . 3.2.4 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 $75,000 Cash match to be provided $ 0.0 In-kind match to be provided $ $10,000 cash equipment usage Total costs for project phase(s) covered in application (sum of above) $ 3.2.5 Total Project Costs Indicate the anticipated total cost by phase of the project (includ ing all funding sources). Use actual costs for completed phases . Reconnaissance $ NA Feasibility and Conceptual Design $ 85,000 Final Design and Permitting $ NA Construction $ Total Project Costs (sum of above) $ 3.2.6 Operating and Maintenance Costs - O&M costs can be estimated in two ways for the standard application . Most proposed RE 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 . Options O&M Impact of proposed RE project 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 1. $ diesel generation AEA 15003 Page 9 of 25 7/8 /14 Renewable Energy Fund Round IX j Grant Application -Standard Form 2. Estimated hours that diesel generati on 2. Hours diesel OFF/year: will be off per year. 3 . Annual O&M costs associated with the 3. $ proposed renewable project. 3.3 Project Communications Criteria : Stage 2-1.C: The applicant's communications plan, including monitoring and reporting, is described in adequate detail. Describe how you plan to monitor the project and keep the Authority informed of the status. The project reporting will be done by David Masephol, President of Circle Electric. The utility is fully capable of managing this grant 3.4 Operational Logistics Criteria : Stage 2-1.0: Logistical, business, and financial arrangements for operating and maintaining the project throughout its lifetime and selling energy from the completed project are reasonable and described in adequate detail. Describe the anticipated logistical, business, and financial arrangements for operating and maintaining the project throughout its lifetime and selling energy from the completed project. Circle Electric is at the end of the road system , approx 100 miles east of Fa irbanks . The community is accessible by road , year round . I SECTION 4-QUALIFICATIONS AND EXPERIENCE 4.1 Project Team Criteria : Stage 2-2.A: The Applicant, partners, and/or contractors have sufficient knowledge and experience to successfully complete and operate the project. If the applicant has not yet chosen a contractor to complete the work, qualificati ons and experience points will be based on the applicant's capacity to successfully select contractors and manage complex contracts. Criteria : Stage 2-2.8: The project team has staffing, time, and other resources to successfully complete and operate the project. Criteria: Stage 2-2. C: The project team is able to understand and address technical, economi c, and environmental barriers to successful project completion and operation. Criteria : Stage 2-2.D : The project team has positive past grant ex perience. AEA 15003 Page 10 of 25 7/8/14 Renewable Energy Fund Round IX Grant Application -Standard Form I ENERGY AUTHORITY 4.1.1 Project Manager Ind icate 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 . Dave Masephol will be the project manager and main point of contact for this project . Please exclude th is application from web posting . 1 4.1.2 Expertise and Resources 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 experience 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 well the project team is able to understand and address technical, economic, and environmental barriers to successful project completion and operation. If contractors have not been selected to complete the work, provide reviewers with sufficient detail to understand the applicant's capacity to successfully select contractors and manage complex contracts . Include brief resumes for known key personnel 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 The project will be managed by Circle Electric manager and owner Dave Masephol. Mr. Masephol has operated Circle Electric for 10 years . Mr. Masephol has a degree in Electronics Engineering , and also operates the telephone utility The engineering team and partners consist of: Sakata Engineering , electrical eng ineer and engineering services manager. Mr. Sakata will be respons ible for overall system design, component integration , controls , code review, and engineering oversight. Greg Egan of Remote Power, Greg has been designing and building solar and off grid systems in Alaska for over 15 years . Greg will provide assistance with resource evaluation and systems design . Dave Thomlinson : Solar Horizons , Inc. Bellevue Washington . David has been designing, installing and managing the installation and operations of large solar projects from 50 kW to 20 MW. David will provide assistance with resource evaluation , system design and equipment selection. Patrick Boonstra , Project Specialist Intelligent Energy Systems ; Mr. Boonstra has over 10 years experience with remote construction management in Alaska , and has installed numerous solar systems across the state , with multiple projects for the FAA. Mr. Boonstra will be responsible for logistics , planning , costing , Mr. Boonstra will be the project manager reporting to Mr. Masephol. 1 4 .1 .3 Project Accountant(s) AEA 15003 Page 11 of 25 7/8/14 Renewable Energy Fund Round IX j Grant Application -Standard Form Indicate who will be performing 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 . Circle Electric's CPA is Julie Donn 4 .1.4 Financial Accounting System Describe the controls that will be utilized to ensure that only costs that are reasonable , ordinary and necessary will be allocated to this project. Also discuss the controls in place that will ensure that no expenses for overhead, or any other unallowable costs will be requested for reimbursement from the Renewable Energy Fund Grant Program . Circle Electric has internal financial controls. The CPA is Julie Donn 4.2 Local Workforce Criteria : Stage 2-2.E : The project uses local labor and trains a local labor workforce. Describe how the project will use local labor or train a local labor workforce. The project will be supervised and performed by the utility, using local workforce to the greatest extent possible. AEA 15003 Page 12 of25 7/8/14 Renewable Energy Fund Round IX j Grant Application -Standard Form I SECTION 5-TECHNICAL FEASIBILITY 5.1 Resource Availability Criteria : Stage 2-3 .A : The renewable energy resource is available on a sustainable basis, and project permits and other authorizations can reasonably be obtained. 5.1.1 Proposed Energy Resource Describe the potential extenVamount of the energy reso u rce that is ava ilable , including average resource availability on an annual bas is . 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 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 . Ill is estimate 5 .1.2 Perm its Provide the following information as it may relate to permitting and how you intend to address outstanding permit issues. • List of applicable permits • Anticipated permitting timeline • Identify and descri be potential barriers No permits requ ired . The city has no loca l building codes . No wetlands will be filled . The project is on privately surveyed land , with no known archeolog ical or h ist orica l significance . There are no endangered species present. The project does not impact the nesting habitat of migratory birds The project does not present a hazard to navigation or interfere w ith te lephone , rad io communications or impact the airspace . 5.2 Project Site Criteria : Stage 2-3 .8 : A site is ava ilable and suitable for the proposed energy system. Describe the availability of the site and its suitability for the proposed energy system. Identify potential/and ownership issues, including whether site owners have agreed to the project or how you intend to approach land ownership and access issues. Land , utility and surrounding lands are owned by Circle Power Company. 5.3 Project Risk Criteria : Stage 2-3. C: Project technical and environmental risks are reasonable . 5 .3.1 Technical Risk Describe potential technical risks and how you would address them . A EA 15003 Page 13 of 25 7/8/14 Renewable Energy Fund Round IX j Grant Application -Standard Form Installing and operating large PV array in the arctic does contain risk , but the risk is greatly mitigated through thorough research and earful selection of equipment rated for arctic condition . The PV panels will be elevated off the ground sufficient to allow snow to blow under the panels without accumulation. The base of the panels will be placed approximately 6 foot off the ground . Panel angle in winter will be near vertical , allowing gravity and wind to remove snowfall on the panels surface. 5.3.2 Environmental Risk Explain whether the following environmental and land use issues apply, and if so how they will be addressed : • 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 There are no environmental risk with installing this PV system as they will be installed along side the existing power plant. 5.4 Existing and Proposed Energy System Criteria : Stage 2-3.0: The proposed energy system can reliably produce and deliver energy as planned. 5.4.1 Basic Configuration of Existing Energy System Describe the basic configuration of the existing energy system . Include information about the number, size , age, efficiency, and type of generation. Circle Utility , LLC currently operates a diesel powerplant serving the community of Circle , Alaska . The utility generated and sold 398 ,000 kWh in 2014. There are three generators available to be placed Two John Deer 4045 1 OOKW generators are alternated every two weeks. One of the John Deer's has 17000 hrs on it (purchased in 2013) the other was purchased in 2012 and was just rebuilt and has no hours on the rebuild . The Caterpillar Generator (purchased in 1995) was rebuilt in 2007 and has 15000 hrs on it. AEA 15003 Page 14 of 25 7/8/14 Renewable Energy Fund Round IX Grant Application -Standard Form I ENERGY AUTHORITY The generators are configured to output 240vac and are run through one to ten step up transformers in a delta configuration to a line voltage of 2400 Vac. AEA 15003 Page 15 of 25 7/8/14 Renewable Energy Fund Round IX j Grant Application -Standard Form j Existing Energy Generation and Usage a) Basic configuration (if system is part of the Railbelt1 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 estima ted annual disp laced heating fue l (gallons) b) Annual O&M cost (if system is part of the Railbelt grid , leave this section blank) i. Annual O&M cost for labor ii. Annual O&M cost for non -labor c) Annual electricity production and fuel usage (fill in as applicable) (if system is part of the Railbelt grid, leave this section blank) i. Electricity (kWh] ii. Fuel usage Diesel (gal] Other ii i. Pea k Load iv. Average Load v . Minimum Load vi. Efficiency vii. Future trends d) Annual heating fuel usage (fill in as applicable) i. D iesel (gal or MMBtu) 900 gal ii. Electricity (kWh] 3000 kw iii. Propane (gal or MMBtu] iv. Coal [tons or MMBtu] v. Wood (cords, green tons , dry tons] vi. Other 1 The Railbelt g rid connects all customers of Chugach Electric As s ociation, Homer Electri c As sociation, Go lden Valley Electric Assoc1at1on , the C1ty of Seward Electnc Department, Matanuska Electric Association and Anchorage Municipal Light and Power. AEA 1500 3 Page 16 of25 7/8/14 Renewable Energy Fund Round IX Grant Application -Standard Form EN ERGY A UTHORITY 5.4.2 Future Trends Describe the anticipated energy demand in the community over the life of the project . There has been a small increase, about one household a year. The houses use about 150 kw average per month or 1800 kw per yr. 5.4.3 Impact on Rates Briefly explain what if any effect 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 . Currently PCE is $00.4675 applied to the current rate of $0.71 /kw the customer is paying $00.2425/kw 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 • Optimum installed capacity • Anticipated capacity factor • Anticipated annual generation • Anticipated barriers • Integration plan • Delivery methods AEA 15003 Page 17 of 25 7/8/14 I Renewable Energy Fund Round IX Grant Application -Standard Form I Proposed System Design Capacity and Fuel Usage (Include any projections for continued use of non-renewable fuels) ENERGY AUTHORITY a) Proposed renewable capacity (Wind, Solar Feas ibility Study , to determine size and scope Hydro, Biomass, other) [kW or MMBtu/hr] b) Proposed annual electricity or heat production (fill in as applicable) i. Electricity [kWh] ii. Heat [MMBtu] Electricity c) Proposed annual fuel usage (fill in as applicable) i. Propane [gal or MMBtu] ii. Coal [tons or MMBtu] iii. Wood or pellets [cords , green tons , dry tons] iv . Other d) i. Estimate number of hours renewable will allow powerhouse to turn diesel engines off (fill in as applicable) 5.4.5 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. There is currently only analog metering on the power plant bus, which is read, frequently , sometimes hourly by the operator. This project proposes to place electrical metering, along with simultaneous resource data collection . This will provide better reporting for the utility. AEA 15003 Page 18 of25 7/8/14 I Renewable Energy Fund Round IX j Grant Application -Standard Form I SECTION 6 -ECONOMIC FEASIBILITY AND BENEFITS 6 .1 Economic Feasibility Criteria : Stage 2-4 .A : The project is shown to be economically feasible (net positive savings in fuel, operation and maintenance, and capital costs over the life of the proposed project). 6 .1.1 Economic Benefit Explain the economic benefits of your project. Include direct cost savings, and how the people of Alaska will benefit from the project. The 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 sa les or other renewable energy subsidies or programs that might be available) The economic model used by AEA is available at http://www.akenergyauthority .org /Programs/Renewable-Energy-Fu nd/Rounds#round9. 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 . Feas ibility to be determined . 6.1 .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 • Proposed rate of return from grant-funded project 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. Project is to be done by utility. AEA 15003 Page 19 of 25 7/8/14 Renewable Energy Fund Round IX Grant Application -Standard Form I 6.1.3 Public Benefit for Projects with Private Sector Sales For projects that include 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 . This project will provide community with accurate information w ith respect to solar generation options , which will enable the utility to make better investments decisions with respect to investing in solar. Additional benefits include improving electrical system monitoring . Renewable energy resource availability (kWh per month) Estimated sales (kWh) Revenue for displacing diesel generation for use at private sector businesses ($) Estimated sales (kWh) Revenue for displacing diesel generation for use by the Alaskan public ($) 6.2 Financing Plan Criteria : Stage 2-4.8 : The project has an adequate financing plan for completion of the grant- funded 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 phase(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 are your opportunities and/or limitations to fund this project with a loan, bonds , or other financing options? To be determined 6.2.3 Cost Overruns Describe the plan to cover potential cost increases or shortfalls in funding . The utility will be responsible for any cost overruns . 6.2.4 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. I Feasibility AE A 15003 Page 20 of2S 7/8/14 Renewable Energy Fund Round IX Grant Application -Standard Form 6.3 Other Public Benefit I ENER GY AUTHORITY Criteria : Stage 3-4 .C: Other benefits to the Alaska public are demonstrated. Avoided costs alone will not be presumed to be in the best interest of the public. 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 develop ing infrastructure (roads , tra il s, pipes , power lines, etc.) that can be used for other purposes • The project will result in a direct long-term increase in jobs (operat ing, 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 Improved service to the community of C ircle . AEA 15003 Page 21 of 25 7/811 4 Renewable Energy Fund Round IX j Grant Application -Standard Form ------ SECTION 7 -SUSTAINABILITY Describe 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 maintenance of the proposed project • Is the Applicant current 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 Circle Utility has a reputation for reliability and sustainable operations . SECTION 8-PROJECT READINESS 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 Ready 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. The Documentation of support must be dated within one year of the RFA date of July 8, 2015. This is a utility proposed project . AEA 15003 P age 22 of25 7/8/14 Renewable Energy Fund Round IX j Grant Application -Standard Form 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 . Circle Utility is in full compliance with all laws , and obligations, to the state , city and federal government. 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. N/A SECTION 12 -LIST OF ADDITIONAL DOCUMENTATION SUBMITTED FOR CONSIDERATION In the space below please provide a list of additional information submitted for consideration . N/A AEA 150 03 Page 23 of 25 7/8/14 Renewable Energy F und Round IX Grant Application -Standard F orm I SECTION 13 -AUTHORIZED SIGNERS FORM Community/Grantee Name: Regular Election is held: I Authorized Grant Signer(s): Printed Name Title I I Date: Term I authorize the above person(s) to sign Grant Documents: ENERGY AUTHO R ITY Signature _{Must be authorized by the highest ranking organization/community/municipal official) Printed Name Title Term Signature Dave Masephol CEO Circle Utility I Grantee Contact Information: Mailing Address: Phone Number: Fax Number: E-mail Address: Federal Tax ID #: Please submit an updated form whenever there is a change to the above information. AEA 15003 Page 24 of25 7/8/14 Renewable Energy Fund Round IX Grant Application-Standard Form j -) AbASK~ ) ENERGY AUTHORITY 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 wan t 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 Si gnature Title Date 0<1 · I r:;-I 5 AEA I 5003 Page 25 of 25 7/8/14 ---~------------------