HomeMy WebLinkAboutREF 7 Grant Application _Heat TUNT_2dmFINALRenewable Energy Fund Round VII
Grant Application - Heat Projects
AEA 2014-006 Application Page 1 of 27 7/2/2011
Application Forms and Instructions
This instruction page and the following grant application constitutes the Grant Application Form
for Round VII of the Renewable Energy Fund Heat Projects only. If your application is for
energy projects that will not primarily produce heat, please use the standard application form
(see RFA section 1.5). An electronic version of the Request for Applications (RFA) and both
application forms is available online at: www.akenergyauthority.org/REFund7.html.
• If you need technical assistance filling out this application, please contact Shawn Calfa,
the Alaska Energy Authority Grant Administrator at (907) 771-3031 or at
scalfa@aidea.org.
• If you are applying for grants for more than one project, provide separate application
forms for each project.
• Multiple phases 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 107.605(1).
• If some work has already been completed on your project and you are requesting
funding for an advanced phase, submit information sufficient to demonstrate that the
preceding phases are completed and funding for an advanced phase is warranted.
• If you have additional information or reports you would like the Authority to consider in
reviewing your application, either provide an electronic version of the document with
your submission or reference a web link where it can be downloaded or reviewed.
• In the sections below, please enter responses in the spaces provided, often under the
section heading. 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 be subject to disclosure requirements under the act if no
statutory exemptions apply.
• All applications received will be posted on the Authority web site after final
recommendations are made to the legislature.
• In accordance with 3 AAC 107.630 (b) Applicants may request trade secrets or
proprietary company data be kept confidential subject to review and approval by the
Authority. If you want information is to be kept confidential the applicant must:
o Request the information be kept confidential.
o Clearly identify the information that is the trade secret or proprietary in their
application.
o Receive concurrence from the Authority that the information will be kept
confidential. If the Authority determines it is not confidential it will be treated as a
public record in accordance with AS 40.25 or returned to the applicant upon
request.
Renewable Energy Fund Round VII Grant Application - Heat Projects
AEA 2014-006 Grant Application Page 2 of 27 7/2/2013
SECTION 1 – APPLICANT INFORMATION
Name (Name of utility, IPP, or government entity submitting proposal)
TCSA Electrical Services
Type of Entity: Village Utility Fiscal Year End December 31
Tax ID #92-0087792 Tax Status: For-profit X Non-profit Government ( check one)
Date of last financial statement audit: 2011
Mailing Address
PO Box 8127, Tuntutuliak, AK 99680
Physical Address
Tuntutuliak, AK
Telephone
907-256-2529
Fax
907-256-2934
Email
tcsaelec@unicom-‐alaska.com
1.1 APPLICANT POINT OF CONTACT / GRANTS MANAGER
Name
Carl Andrew
Title
TCSA Electrical Services General Manager
Mailing Address
PO Box 8127, Tuntutuliak, AK 99680
Telephone
907-256-2529
Fax
907-256-2934
Email
tcsaelec@unicom-‐alaska.com
1.2 APPLICANT MINIMUM REQUIREMENTS
Please check as appropriate. If you do not to meet the minimum applicant requirements, your
application will be rejected.
1.2.1 As an Applicant, we are: (put an X in the appropriate box)
X 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
A governmental entity (which includes tribal councils and housing authorities);
YES
1.2.2 Attached to this application is formal approval and endorsement for the project by
the applicant’s board of directors, executive management, or other governing
authority. If the applicant is a collaborative grouping, a formal approval from each
participant’s governing authority is necessary. (Indicate Yes or No in the box )
YES
1.2.3 As an applicant, we have administrative and financial management systems and
follow procurement standards that comply with the standards set forth in the grant
agreement (Section 3 of the RFA).
YES
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
http://www.akenergyauthority.org/veep/Grant-Template.pdf. (Any exceptions
should be clearly noted and submitted with the application.)
YES
1.2.5 We intend to own and operate any project that may be constructed with grantfunds
for the benefit of the general public. If no please describe the nature of the
project and who will be the primary beneficiaries.
Renewable Energy Fund Round VII Grant Application - Heat Projects
AEA 2014-006 Grant Application Page 3 of 27 7/2/2013
SECTION 2 – PROJECT SUMMARY
This section is intended to be no more than a 2-3 page overview of your project.
2.1 Project Title – (Provide a 4 to 7 word title for your project). Type in space below.
Tuntutuliak Wind Heat - Electrical Thermal Storage
2.2 Project Location –
Include the physical location of your project and name(s) of the community or communities that will
benefit from your project in the subsections below.
2.2.1 Location of Project – Latitude and longitude, street address, or community name.
Latitude and longitude coordinates may be obtained from Google Maps by finding you project’s location on the map
and then right clicking with the mouse and selecting “What is here? The coordinates will be displayed in the Google
search window above the map in a format as follows: 61.195676.-149.898663. If you would like assistance obtaining
this information please contact AEA at 907-771-3031.
The community of Tuntutuliak, N 60° 20' 34.9506", W 162° 39' 47.0808".
2.2.2 Community benefiting – Name(s) of the community or communities that will be the
beneficiaries of the project.
The beneficiaries of this project are the residents of Tuntutuliak, Alaska.
2.3 PROJECT TYPE
Put X in boxes as appropriate
2.3.1 Renewable Resource Type
X Wind to Heat Biomass or Biofuels
Hydro to Heat Solar Thermal
Heat Recovery from Existing Sources Heat Pumps
Other (Describe)
2.3.2 Proposed Grant Funded Phase(s) for this Request (Check all that apply)
Pre-Construction Construction
I. Reconnaissance III. Final Design and Permitting
II. Feasibility and Conceptual Design X IV. Construction and Commissioning
2.4 PROJECT DESCRIPTION
Provide a brief one paragraph description of the proposed heat project.
This project expands the Tuntutuliak Wind Heat Smart Grid System by from 30 to 50 electric
thermal storage devices (ETS). ETS units are used to capture and store surplus wind energy
and use it to displace home heating fuel. The increase in the number of residential ETS units is
needed to absorb wind generated energy during modest to high wind periods, which occur in
throughout the fall and winter, when heating requirements are the greatest. The addition of 20
ETS units increases the productivity and efficiency of the existing wind system.
Renewable Energy Fund Round VII Grant Application - Heat Projects
AEA 2014-006 Grant Application Page 4 of 27 7/2/2013
2.5 PROJECT BENEFIT
Briefly discuss the financial and public benefits that will result from this heat project, (such as reduced fuel
costs, lower energy costs, local jobs created etc.)
The project benefits are as follows:
• Expand benefits of wind heat program from 30 homes to 50 homes
• Increased wind energy capture for displacement of diesel fuel
• Increased revenues to the utility in wind-heat sales
• Reduction of dollars leaving the community to pay for fuel
• Reduction of energy costs,
• Increased local employment
• Increased efficiency of existing wind system
• Reduced impact of fuel price volatility on local community
• Increased community interest in wind energy and energy efficiency
This project spreads the benefits of the wind project to more members of the community by
making wind heat available to more homes. The wind heat program has had the additional
benefit of increasing community awareness of energy conservation and support for the wind
project. Residents are beginning to rely on the wind to lower their energy costs. There is strong
community interest for expansion of the wind electric thermal storage (ETS) heating program.
2.6 PROJECT BUDGET OVERVIEW
Briefly discuss the amount of funds needed, the anticipated sources of funds, and the nature and sou rce
of other contributions to the project.
Total Project Cost = $259,817.00
Local Cash Match (TCSA Electrical Services) = $9,000.00
REF Funding Request = $250,817.00
2.7 COST AND BENEFIT SUMARY
Include a summary of grant request and your project’s total costs and benefits below.
Grant Costs
(Summary of funds requested)
2.7.1 Grant Funds Requested in this application $ 250,817.00
2.7.2 Cash match to be provided $ 9,000.00
2.7.3 Total In-kind match to be provided (sum of lines below) $ 0
Biomass or Biofuel inventory on hand $ 0
Energy efficiency improvements to buildings to be
heated (within past 5 years or committed prior to
proposed project completion)
$ 0
Other In-Kind match to be provided $ 0
2.7.4 Other grant funds to be provided $ 0
2.7.5 Other grant applications not yet approved $ 0
2.7.6 Total Grant Costs (sum of 2.7.1 through 2.7.4) $ 259,817.00
Project Costs & Benefits
Renewable Energy Fund Round VII Grant Application - Heat Projects
AEA 2014-006 Grant Application Page 5 of 27 7/2/2013
(Summary of total project costs including work to date and future cost estimates to get to a fully
operational project)
2.7.7 Total Project Cost Summary from Cost Worksheet, Section
4.4.4, including estimates through construction.
$ 259,817.00
2.7.8 Additional Performance Monitoring Equipment not covered
by the project but required for the Grant Only applicable to
construction phase projects.
$ 0 (existing)
2.7.9 Estimated Direct Financial Benefit (Savings) $
2.7.10 Other Public Benefit If you can calculate the benefit in terms
of dollars please provide that number here and explain how you
calculated that number in Section 5 below.
$
Renewable Energy Fund Round VII Grant Application - Heat Projects
AEA 2014-006 Grant Application Page 6 of 27 7/2/2013
SECTION 3 – PROJECT MANAGEMENT PLAN
Describe who will be responsible for managing the project and provide a plan for successfully
completing the project within the scope, schedule and budget proposed in the application.
3.1 Project Manager
Tell us who will be managing the project for the Grantee and include contact information, a
resume and references for the manager(s). 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.
The project manager for this project will be the manager of Tuntululiak Community Services
Association (TCSA) Electric Service, Carl Andrew. Mr. Andrew is manager of the TCSA
electrical utility. Mr. Andrew will be the direct point of contact for the project. He will be assisted
by the staff of Intelligent Energy Systems, LLC. (IES). IES has worked with the community of
Tuntululiak for over 5 years to develop their existing wind- heat system. Mr. Andrew is
responsible for overseeing day to day operations of the utility, including the current wind heat
system. IES is familiar with community needs and has the demonstrated capability, resources
and experience required to complete this project.
Dennis Meiners, CEO of IES, and Patrick Boonstra, Project Manager will be managing and
coordinating under the direction of Mr. Andrew through to completion of this project.
The electrical engineer for this project is Albert Sakata, P.E. of Sakata Engineering LLC.
Sakata Engineering is a long time Alaskan engineering firm, which provides a range of design
and engineering services, including controls, generation, distribution and communications.
Project tasks, timelines, and budgets have been approved by TCSA with acknowledgement of
the supporting match fund commitments from TCSA.
Other key participants and resources for this project include Tom Steffes of Steffes Corporation,
and Carl Brothers of Frontier Power Systems. Steffes corporation is the supplier of the electric
thermal storage units. Frontier Power Systems are control system experts.
project assistance and oversight will be provided by IES, however TCSA staff and local
technicians will perform the installation work of the ETS units. TCSA staff and technicians have
been trained previously and are already familiar with the installation, use, and control of ETS
units on the Tuntutuliak Wind Heat System. See attached resumes and bios from project team
participants.
No project management assistance or project support is expected of AEA or any other
government entity.
3.2 Project Schedule and Milestones
Please fill out the schedule below. Be sure to identify key tasks and decision points 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.
Milestones Tasks
Start
Date
End
Date
1 Finalize installation details 7/14 8/14
2 Purchase ETS units, hardware and controls 7/14 8/14
Renewable Energy Fund Round VII Grant Application - Heat Projects
AEA 2014-006 Grant Application Page 7 of 27 7/2/2013
for install
3 Freight all items to site 8/14 9/14
4 Install hardware and ETS units 9/14 10/14
5 Commission additional controls unit 10/14 12/14
6 Monitor and Reporting 12/14 6/15
Project Tasks/Milestones:
Task #1 – Finalize residential ETS installation details, (Tunt Council members, TCSA staff,
local technicians and project team)
Task #2 - Purchase ETS devices, connection hardware, and necessary electrical
components (Project team)
Task #3 - Freight and deliver all ETS and electrical components (Project team)
Task #4 - Installation of hardware and ETS units, including software upgrade at the power
plant (Local technicians and project team)
Task #5 - Final commissioning of additional ETS units on the existing Wind Heat Smart Grid
(Project team)
Task #6 – System support and data collection of ongoing ETS use and fuel offset at the
residential and utility level (TCSA staff and project team)
3.3 Project Resources
Describe the personnel, contractors, accounting or bookkeeping personnel or firms, equipment,
and services you will use to accomplish the project. Include any partnerships or commitments
with other entities you have or anticipate will be needed to complete your project. Describe any
existing contracts and the selection process you may use for major equipment purchases or
contracts. Include brief resumes and references for known, key personnel, contractors, and
suppliers as an attachment to your application.
As a member of the Chaninik Wind Group (CWG), Tuntutuliak Community Services Association
has, for over the last 5 years, been actively involved in the development of their wind-heat
system. This system was commissioned in January 2013, with 3 wind turbines and 30 ETS
units with two additional turbines being commissioned in May of 2013. The staff at TCSA, is
experienced at the installation and operations of ETS units with their system, and there are
requests by customers to expand the program to make maximum use of the wind energy.
TCSA powerplant operators are responsible for operating and maintaining the diesel
powerplant, the wind turbines, the metering systems and the electrical distribution grid. Mr.
Andrew, the TCSA manager, has existing relationships with all project partners and commercial
service providers. As noted previously, this project is an expansion of the existing project.
IES is familiar with the requirements of supporting TCSA. This includes reporting and
reimbursement requirements of the REF program. IES is prepared to support the bookkeeping
and reporting requirements of the grant agreement.
*See
attached
resumes
and
bios
for
project
partners.
*
3.4 Project Communications
Discuss how you plan to monitor the project and keep the Authority informed of the status.
Please provide an alternative contact person and their contact information.
The project reporting and monitoring responsibilities includes:
Renewable Energy Fund Round VII Grant Application - Heat Projects
AEA 2014-006 Grant Application Page 8 of 27 7/2/2013
• project status reports,
• project communications
• project accounting
For the purposes of this grant reporting point of contact will be Ona Brause, of IES. As the
Director of Finance & Operations, Ms. Brause has provided assistance and reporting on other
grants for TCSA and other Chaninik Wind Group projects. Ms. Brause will coordinate all
reports, meetings, audits, accounting requirements, as well as maintain project records and
insure that project management, progress and accounting reports are completed and provided
to AEA in an appropriate and timely manner.
Ms. Brause has experience in grant and financial requirements for many State and Federal
agencies and has successfully completed grant projects with funding from the State of Alaska,
Department of Commerce, Community and Economic Development; the State of Alaska,
Renewable Energy Fund; the State of Alaska, Denali Training Fund; the US DOE Tribal Energy
Program; and the Denali Commission. She can be reached at 907-297-2868 or
ona@iesconnect.net for project questions.
Narrative and financial reports will be submitted quarterly or monthly as required. Project reports
will include description of activities completed, activities projected for next reporting period, any
project problems or delays, adherence to proposed project budget, and overall project
completion as a percentage representation out of 100.
Operational performance reporting will be available through monthly PCE reporting. These
reports include the sales of the number of kilowatt hours of surplus wind energy sold as heat.
3.5 Project Risk
Discuss potential problems and how you would address them.
The project budget is made up predominantly materials and freight. Both of these quantities are
well understood. The project will be performed by local labor. This project is an extension of
work which has been done previously. Experienced TCSA team members are involved and
there are no identifiable barriers or obstacles that present themselves as an impediment to
completing the project as proposed.
Potential risks associated with this project relate to the schedule. It is the desire of TCSA to
complete this project in the Fall of 2014, so that the wind heat system can begin operation for
winter of 2015.The schedule is dictated primarily by the availability of funds and the barge
schedules. The components for this project are “off-the-shelf,” and can be shipped from
Dickinson, North Dakota approximately 2 weeks after an order is placed. Barge shipments to
Bethel and lower Kuskokwim villages must be received in Anchorage by late August or early
September. Tuntutuliak is close enough to Bethel, that if required, materials may be delivered
via winter overland freight services using well traveled frozen river and snow machine trails.
The ice roads are maintained up to about 30 miles from Tuntutuliak.As the work will be
completed by local technicians, it is desirable to complete this work during the Fall and Spring.
Local labor enables better control of the schedule and the budget.
There may be an expectation by community members that the energy available from the wind
will be the same from year to year. As community members become to rely on wind heat, they
may not anticipate the impacts of a low wind year on their household budgets, or on fuel
inventories purchased by the bulk fuel suppliers.
Renewable Energy Fund Round VII Grant Application - Heat Projects
AEA 2014-006 Grant Application Page 9 of 27 7/2/2013
SECTION 4 – PROJECT DESCRIPTION AND TASKS
• The level of information will vary according to phase(s) of the project you propose to
undertake with grant funds.
• If some work has already been completed on your project and you are requesting funding for
an advanced phase, submit information sufficient to demonstrate that the preceding phases
are satisfied and funding for an advanced phase is warranted.
4.1 Proposed Energy Resource
Describe the potential extent/amount of the energy resource that is available.
Discuss 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.
A regional wind resource monitoring site was developed in Konginganak at a site selected by
wind resource experts from the National Renewable Energy laboratory. Data from this site was
correlated with long term local airport data to evaluate the wind resource. Operating experience
indicates the average wind turbine production is approximately 10% less than Kongiganak. The
annual combined wind turbine output in Tuntutuliak is estimated to be in the range of 900,000
kWhrs.
The Wind Heat system was commissioned in January-February of 2013, with 3 turbines and 30
ETS units. During a wind event, these 30 ETS units become fully charged after 6 hours of the 3
turbines. In May, the remaining 2 wind turbines were commissioned. Currently, when ETS units
are full, wind turbine output is curtailed. The ETS units are the main source of energy capture,
as the powerplant is located to far away from other buildings to make use of recovered heat.
A computer model of the wind heat system was developed to predict the benefits of increasing
both charge capacity and energy storage capacity of the system the system from 30 to 50 ETS
units. This model was used to correlate wind plant production and residential ETS usage. Wind
system performance was estimated comparing historical temperature data, village load, data,
wind turbine output, and diesel generator fuel consumption curves. Other inputs included
interviews with local operators and household energy usage surveys. Residential energy
surveys were used to determine average household size and general condition, which along with
heating degree days thermal residential heat loss profile was developed. This residential thermal
usage profile was based on a heat loss rate of 5.5 watts per square foot of a 1000 sq. ft.
household when the outdoor ambient temperatures are 0F. The per sq.ft. heat loss was scaled to
a maximum average heat loss of 7 watts per square foot at -25F, and compared with the number
of ETS units, and the amount of wind energy available for residential use. The model indicated
that during the coldest, windiest months of December, January and February, 50 residential ETS
units are likely to be operating near full discharge to keep up with immediate heating needs, with
some excess energy stored. During the remainder of the year a combination of heat energy
production and wind energy storage is taking place in the ETS units.
Power generation fuel consumption from efficiency curves developed for the John Deere 6090
generator sets, compared with fuel usage data. A minimum load of 40 kW was established as
the low level operating threshold for the engine generators. Village load and operational data are
Renewable Energy Fund Round VII Grant Application - Heat Projects
AEA 2014-006 Grant Application Page 10 of 27 7/2/2013
still being collected as the data is made available, however estimates and model outcomes were
consistent with “kilowatt-watt hours generated,” and fuel consumption as reported PCE for 2011
and 2012. The modeling estimates also are consistent with the operational experience that wind
energy must be curtailed when the existing number of ETS unit are fully charged. The model
also indicated that increasing electric thermal energy storage from 1062 kWhrs, to 1770 kWhrs
and peak charge capacity from 216 kW to 360 kW reduced the curtailment and increase the wind
plant by and wind heat energy capture by 80,000 kilowatt hours. Studies indicates that 50, 7.2
kW ETS units will displace a total of 12,481 gallons of residential heating fuel. This is up from
the 10,250 gallons anticipated from the 30 units. The expansion of the ETS units, spreads the
benefits of wind heat across more homes and thus spreads the program benefits more evenly
across the community. With the proposed system, home owner could expect to see an average
annual fuel displacement of 250 gallons of fuel.
4.1.2 For Biomass Projects Only
Identify any wood inventory questions, such as:
• Ownership/Accessibility. Who owns the land and are their limitations and restrictions to
accessing the biomass resource?
• Inventory data. How much biomass is available on an annual basis and what types
(species) are there, if known?
Not applicable for this project.
4.2.1 Basic configuration of Existing Heating Energy System
Briefly discuss the basic configuration of the existing energy system. Include information about
the number, size, age, efficiency, and type of generation.
The existing energy system consists of:
• 2 ea John Deere 6090, 275 kW diesel electric generators
• 1 each John Deere 6125 190 kW diesel electric generator
• 1 each John Deere 6045 130 kW diesel electric generator
• 5 each Windmatic 17s, 95 kW wind turbines, with regenerative drive control
• 1 each load balancing boiler, plumbed to heat recovery loop
• 30 each Steffes 2105, residential electric thermal storage units. 7.2 kW peak charge rate,
34.5 kWhrs of energy storage
• Wind-diesel supervisory control system
4.2.2 Existing Heating Energy Resources Used
Briefly discuss your understanding of the existing energy resources. Include a brief discussion of
any impact the project may have on existing energy infrastructure and resources.
• The village electrical load in Tuntutuliak is 1,004,781 kWhrs.
• The 5 Windmatic wind turbines have estimated annual energy production of 914, 328
kWhrs.
• The Tuntuliak Powerplant does not have a heat recovery loop and is located too far from
surrounding buildings to be practical.
• The expanded use of distributed electrical thermal storage from 30 to 50 units is
proposed.
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Operation of the wind diesel system requires maintaining a constant balance between power
generation and load. This balance is maintained through fast activation of a combination of ETS
units, while minimizing the load on an electric boiler located at the powerplant. Of the 914,000
kWh of available wind energy, 400,239 kWhrs are used to reduce the diesel loading at the
powerplant, and 412,000 kWhrs will be used by the 50 ETS. The remaining 80,760 kWhrs
would be used to serve the dual purposes of heating the powerplant and used as an additional
buffer to balance the power system load, with curtailment estimated at 20,000 kWhrs. With the
existing 30 ETS system are estimated to use 338,000 kWhrs would be used by the ETS units,
80,000 kWhrs could be used by the powerplant load balancing boiler, and the remaining 105,000
kWhrs would need to be curtailed. The new 50-unit system configuration is intended to minimize
the current need to curtail wind energy output.
The control system for the electric thermal storage devices is able to manage the charging of
ETS units in a number of ways, allowing the emptiest ETS units to charge first, or dividing the
available surplus energy equally among the available active units. Using an estimate of 33
kWhrs of electrical energy as the equivalent to one gallon of heating fuel, modeling studies
indicate the potential to provide each residence with 8237 kWhrs of electricity or a displacement
of 250 gallons of home heating fuel. This represents a potential reduction in heating fuel
purchases of 33% from average annual residential heating fuel usage of 760 gallons. At $ 6.93
per gallon, 250 gallons of fuel would cost $1732. Surplus wind energy sold at $0.10 per kWhr as
electric heat using the ETS devices would result in an annual household savings of $ 907 per
residential home owner. (ISER price $6.93 less $3.30 gallon equivalent). This level of savings
with 50 ETS units provides an annual benefit of $45,375 to residential customers.
At the same time revenues to the utility are increased by selling energy that would otherwise be
curtailed to regulate the village load. (411,887 kWhrs – 338,528 = 73,359 kWhrs x $.10/kWhr =
$7,336)
*Note: #2 heating fuel has a heating value of 134,000 Btu/gallon, with an 80% conversion
efficiency this is equivalent to 107,200 usable Btu/gallon. This is the effective heat energy a
homeowner would experience. Electrical heating is nearly 100% efficient. Since efficiencies
vary, an equivalent electrical energy of 33 kWhr/gal is used as the diesel fuel heating equivalent.
*
4.2.3 Existing Heating Energy Market
Discuss existing energy use and its market. Discuss impacts your project may have on energy
customers.
Fuel Cost
A fuel price of $5.88/gallon ($1.55/Liter) was chosen by reference to Alaska Fuel Price
Projections 2013-2035, prepared for Alaska Energy Authority by the Institute for Social and
Economic Research (ISER), dated June 30, 2013 and the
2013_06_R7Prototype_final_07012013 Excel spreadsheet, developed by ISER for AEA.
The $5.88/gallon price reflects the average value of all fuel prices between the 2015 (the
assumed project start year) fuel price of $4.91/gallon and the 2034 (20 year project end year)
fuel price of $7.04/gallon using the medium price projection analysis with an average social cost
of carbon (SCC) of $0.61/gallon included.
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By comparison, the fuel price for Tuntululiak (without social cost of carbon) reported to
Regulatory Commission of Alaska for the 2012 PCE report is $ 3.93/gallon without inclusion of
SCC. Assuming an SCC of $0.40/gallon (ISER Prototype spreadsheet, 2013 value), the 2012
Tuntululiak fuel price was $4.33/gallon ($1.25/Liter).
Heating fuel displacement by excess energy diverted to thermal loads is valued at $6.93/gallon
($1.83/Liter) as an average price for the 20 year project period. This price was determined by
reference to the 2013_06_R7Prototype_final_07012013 Excel spreadsheet where heating oil is
valued at the cost of diesel fuel (with SCC) plus $1.05/gallon.
Fuel
cost
table
(SCC
included)
ISER
medium
cost
projection
2015
(/gal)
2034
(/gal)
Average
(/gallon)
Average
(/Liter)
Diesel
fuel
$4.91 $7.04 $5.88
$1.55
Heating
oil
$5.96 $8.09 $6.93
$1.83
Home heating –
The community of Tuntululiak has 95 homes. One third of these homes have been constructed
within the last 10 years, the other homes were constructed at various times over the last 40
years. Based on information gathered during energy surveys, residential customers are
desperate for lower cost heating options, as heating fuel costs exceed $6.80/gallon currently,
and prices spiked to as high as $9.00/gallon in 2007, and it is anticipated they will do so again.
Electric Thermal Storage is a method by which excess wind generated electricity can be stored
as heat so that it can be used around the clock. The excess wind energy will be offered to
customers at between $.08 to $.15/kWh, which is equivalent to heating oil equivalent of $2.60 to
$5.00 per gallon. Tuntutuliak residents must travel 90 to 120 miles up river to gather firewood.
This wood is used mostly for steam baths. Most homes have steam baths, but no estimate of
wood is available, however a sled load which is equivalent to about 1/3 chord is $300 or more.
These high costs make wind generated heat the most affordable option for Tuntululiak.
The availability of wind correlates well with heating requirements. The ETS system enables the
storage of surplus wind energy at night and when the loads are low, sale of this wind energy by
the utility for half the cost of heating fuel, and use the stored energy when needed. While data is
still be collected, this method has demonstrated a signficant reduction in residential fuel use over
the 6 months of operation.
Expansion of the ETS wind heat system from 30 to 50 units is anticipated to reduce heating fuel
usage in these 50 homes by 11,400 gallons for these additional 30 homes. Heating fuel
represents the single greatest cost of maintaining a residence. Typical costs exceed $6,000 per
household. This project is expected to reduce annual household heating costs by up to $2,000
per household.
Based on the comprehensive Home Energy Surveys of every home in each community, the
average household uses 766 gallons (annually) of fuel to heat their homes. With the expansion
of the use of ETS devices, this fuel use decreases an average of 290 gallons across 50 homes,
with a resulting net individual usage of 474 gallons of home heating fuel. This represents a 38%
decrease in fuel purchases. Currently the Tuntulutiak power system has 30 ETS units installed.
Some homes with ETS units have already seen 30 to 50% decreases in fuel usage during the
winter months. However, because the storage capacity of each ETS unit is 35.4 kWhrs, during
wind events the 30 existing units become saturated after about 5 hours and wind turbine output
must be curtailed. Curtailment requires either reducing the output of the wind turbines, or
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shutting them off. The addition of 20 more ETS will reduce the need to curtail wind turbine
production. Additional ETS units will increase the instantaneous ability of the energy system to
absorb energy from 144 kW to 360 kW, and the ability to store wind energy from 708 kWhrs, to
1770 kWhrs. This additional ability to absorb and store available wind energy, will enable more
efficient use of the wind turbines and increase the overall operating hours of the diesel
generators at a minimum load.
It is anticipated that the benefits of the ETS program can be improved upon through
weatherization and conservation programs, which will reduce heat loss in existing homes,
enabling the further expansion of the ETS method of wind heating.
Improvements in operations and maintenance, and the application of advanced airfoils are
anticipated to improve the future productivity of the wind turbines. As experience with the wind
systems grow, power plant operators and wind technicians are steadily improving their operating
and maintenance practices. Newer airfoils, which are making their way into the marketplace,
have the potential increase energy production from the existing wind plant by 15%.
As experienced is gained with the system, it is anticipated that a smaller diesel generator set
with lower fuel consumption may be substituted for the larger units.
Most importantly, community members with ETS units are beginning to rely on the wind heat
system to lower home heating costs. This reliance has resulted in heightened awareness of and
attention to the importance of reliable wind turbine operation. This interest provides additional
impetus to keep the wind systems operating.
Electric power generation - The operations of the Wind Heat Smart Grid Systems will benefit
from additional ETS units in the communities. With more available storage capacity, the wind
turbines can operate at full capacity and have load dump options for excess wind when the
village load is low. With more ETS units to stabilize the peaks and valleys of the wind resource,
higher fuel displacement at the electric utility becomes possible and an added benefit on top of
the residential fuel savings. Wind-heat grids exist in three communities of Kongiganak,
Tuntutuliak and Kwigillingok, (Chaninik Wind Group communities).
The ETS method of capturing wind energy for heat was selected because the ease of
installation, proven performance and low maintenance costs. Installation requires the addition of
a circuit to residential service panels and in some cases a plywood base is used to support the
addition weight (650 lbs) of the unit. Local utility workers have been trained in the installation of
these units and will be responsible for the majority of the installations. The supervisory control
system at the power plant will be modified to expand the number of controlled units from 20 to
50.
4.3 Proposed System
Include information necessary to describe the system you are intending to develop and address
potential system design, land ownership, permits, energy efficiency and environmental issues.
4.3.1 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
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• Anticipated barriers
• Basic integration concept
• Delivery methods
• Energy efficiency measures (building envelope)
Wind Electric Thermal Storage
An average home in Tuntululiak uses over 760 gallons of heating fuel annually. During a windy
week in the winter a single home can consume an entire 55 gallon drum of heating fuel. This
project expands the capture of wind produced energy and uses it to displace home heating fuel,
using Electric Thermal Storage (ETS). ETS is the method of capturing excess wind generated
electricity as heat and storing it for use at a later time.
An ETS unit is an insulated metal box, about the same size as a Toyo Stove, which contains
electric heating elements embedded within special, high-density ceramic bricks. These bricks are
capable of storing vast amounts of heat for extended periods of time. The current wind system
consists of five Windmatic 17S 95 kW wind turbines, with a total installed capacity of 475 kW.
The average load in the community is around 175 kW. During wind events the load on the diesel
generators at the power plant is reduced to 40 kW, and with the exception of 30 kW diverted to
the heat recovery load balancing system, wind energy is used to meet the community electrical
load. During most wind periods, surplus wind is produced. This surplus is diverted to residential
ETS units where it is either used immediately or stored to displace home heating fuel. ETS units
are activated through a signal from the power plant supervisory controller.
Each ETS unit is sub metered to keep track of surplus wind energy consumption. A thermostat
regulates the delivery of the heat to the residence. The excess wind energy is sold for $.10 per
kilowatt-hour. This wind heat system provides a low cost, low maintenance method of home
heating, which reduces the homeowners’ heating bill and increases revenues to the local utility
that provides local jobs.
A model was developed to correlate charging of ETS units with available wind energy. Heating
surveys indicate that average hourly living room heat for a residence in Tuntululiak is 14,000
Btu/hr. Each ETS unit can both produce and store up enough energy depending on the charge
schedule to output 20,000 Btu/ per hour per unit, 24 hours a day. This is similar in size and
energy output to a Toyo Stove. The pictures below present an exterior and interior view of a
room unit. The dimensions are 58 inches in length, 24.5 inches in height, and 10.5 inches in
depth, and when filled with heat charge bricks each unit weighs 690 lbs.
The room units (shown above) are non-ducted and are designed to heat the room or area where
they are placed. These heaters can be used in new construction applications or as a retrofit or
supplement to an existing heating system, and only require an electrical connection to operate.
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A fan inside the unit circulates stored heat evenly and quietly as the room thermostat calls for
heat. Individual units are easy to operate and require very little maintenance. The amount of heat
stored in the brick core of the heater is regulated (either manually or automatically) according to
seasonal weather conditions using either the onboard microprocessor, or manual override by the
homeowner.
This project expands the use of residential ETS in the Tuntululiak Wind Heat Smart Grid System
from 30 to 50 homes. Funding is being requested to install 20 new ETS electric devices and
commission the supervisory control system to include the control and reporting of the additional
units.
ETS devices are manufactured in Dickinson, North Dakota by Steffes Corporation. The multiple
unit control technology was jointly developed by Steffes and IES. Steffes has been
manufacturing ETS units since the mid-1980’s and over the last 2 years have adapted these
units for advanced wind diesel micro grid integration. This “off the shelf” technology is currently in
use in Tuntululiak. There is widespread support for the expansion of this project in Tunt.
The useful-life of the ETS system is twenty years. ETS units are simple, require very little
maintenance cost to maintain and are simple to repair.
The 30 homes in Kongiganak with ETS units have experienced 30-50% reductions in heating
fuel usage over the last 10 months. Additional ETS storage capacity is needed in Tunt in
order to prevent the curtailment of wind production, and make the most efficient use of the
available wind energy. This project would install 20 additional Thermal Storage units, rated at
36 kWhrs of storage and a peak power of 7.2 kW each. It is estimated that these units will be
used 10 to 11 months per year. The total amount of heat available to be absorbed by the
residential stoves was derived using available data and HOMER production modeling that
incorporates available windpower. Additional modeling was done to estimate the effects of
varying outdoor temperature with village electrical and residential heating loads. This model
was used to provide an estimate heat required for and energy available to electric thermal
storage devices.
Village surveys indicate the average village household is 1000 sq ft, and average heating fuel
usage of 766 gallons annual. An average heat loss of 6.5 W/sq.ft. was used to estimate heat
loss from each building. Designers of electric heating system use a range of 5 W/sq. ft. for well
insulated homes in moderate climates, and 10.5 W/sq. ft. for sizing residential electric heating
systems, and serves as a conservative estimate of heat energy usage.
Existing data was used to compare heat loss and wind production using ten year averages of
“degree day” estimates for the community of Tuntululiak developed from historical weather data.
As the ETS units are a subordinate power use to the community electrical load and are only
charged using surplus wind, a model was developed to compare wind power production with
community heat and power needs to estimate ETS usage.
Assumptions for the model: an average heat loss of 7.5 watts per square foot which is based on
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a temperate zone - where the minimum temperature is around 0 F. Estimated ETS use factor
assumed a maximum output at 0F and at its minimum output 60 F, which is equivalent to 60
degree days. The average number of heating degree days was used to describe the duty cycle
of the ETS unit between heating and energy storage. The table below provides an indication of
kW-hrs of heat use per day per household by month. When extended to the total number of
households in the community, it is estimated that sufficient surplus wind power is currently
available to meet a residential heat load equivalent for 50 homes. The total of 600,000 kW-hrs
that could be sold for residential heat - at 10 cents is $60,000 per year.
As the community’s experience with wind heat increases, the interest in and demand for ETS
units has grown. Tuntululiak has 95 residences. Almost every homeowner has requested the
installation of an ETS unit. It is anticipated the efficiency of the ETS and the available wind
energy can be maximized through increased insulation and weatherization of homes.
Even though there winds are strong in December and January and the wind heat will need to be
supplemented with existing heating systems such as boilers or wood heat, as it would require 10
turbines to keep up with the residential heating loads. During the months of July and August,
about 20,000 kWhrs of surplus wind may not be needed. However, current estimates indicate
that with 50 ETS devices in the existing system, each household on average will save 285
gallons of fuel annually. The cost savings to the home owners at $.10 per kilowatt ($2.90 heating
fuel = (285 x ($ 6.93 - $2.90) = $1148/household. 50 households = $57,427 is the full community
benefit to the residential customer annually. For the 20 new stoves to be installed, it equates to
$688,800.00 for the life of the project.
The benefits to the utility include:
Additional energy sales (413,250 kWhrs @ $.10 = $41,325)
The cost of installation for 20 additional ETS units is: $250,817.00
4.3.2 Land Ownership
Identify potential land ownership issues, including whether site owners have agreed to the
project or how you intend to approach land ownership obtain harvest contracts and access
issues.
There are no land ownership issues for this project. Installation of project materials will occur at
the TCSA power plant and in individual homes and buildings on an opt-in basis with full
participation from the building and homeowners.
4.3.3 Permits
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 discussion of potential barriers
There are no permitting requirements for this project. Community members will participate based
on an opt-in process with final selection occurring based on determination by the TCSA,
Tuntutuliak Traditional Council and in accordance with limitations due to the existing distribution
system.
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4.3.4 Environmental
Address 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 discuss other potential barriers
There are no environmental or land use issues, no SHPO clearances, no development
constraints, no telecommunications interference, and no aviation considerations. There are no
visual or aesthetic impacts and no other potential barriers to project completion.
4.4 Proposed New System Costs and Projected Revenues
(Total Estimated Costs and Projected Revenues)
The level of cost information provided will vary according to the phase of funding requested and
any previous work the applicant may have done on the project. Applicants must reference the
source of their cost data. For example: Applicants records or analysis, industry standards,
consultant or manufacturer’s estimates.
4.4.1 Project Development Cost
Provide detailed project cost information based on your current knowledge and understanding of
the project. Cost information should include the following:
• Total anticipated project cost, and cost for this phase
• Requested grant funding
• Applicant matching funds – loans, capital contributions, in-kind
• Identification of other funding sources
• Projected capital cost of proposed renewable energy system
• Projected development cost of proposed renewable energy system
Total anticipated project cost and cost for this phase is $259,817.00
Requested grant funding is $250,817.00
Applicant matching funds are $9,000.00 in cash
The cost estimates for the project are based on varying sources of current quotes, estimated
materials and labor projections, and previous invoices on installation of ETS devices in Tunt. All
grant funds will be expended on costs directly related to the performance of the scope of work
and administration and reporting of grant activities. The match funds contribution for the project
come from the TCSA as a cash match towards payroll for local technicians to perform the ETS
installation. This provides a total of $9,000.00 to the project in labor payroll and decreases the
AEA REF fund request to $250,817.00.
The summary cost items below include freight, all materials for commissioning, and contingency
costs.
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1 Final determination and survey of homes for
install (community designation)
$ 16,100
2 Purchase ETS units, hardware and controls for
install
$ 113,776
3 Freight all items to site $ 38,984
4 Install hardware and ETS units $ 39,357
5 Commission additional controls unit $ 41,150
6 Monitor and Reporting $ 10,450
Total Project Cost $ 259,817
Match Funds From TCSA Electrical
Services (payroll)
$ 9,000
REF Grant Funds Requested $ 250,817
4.4.2 Project Operating and Maintenance Costs
Include anticipated O&M costs for new facilities constructed and how these would be funded by
the applicant.
(Note: Operational costs are not eligible for grant funds however grantees are required to meet
ongoing reporting requirements for the purpose of reporting impacts of projects on the
communities they serve.)
With trained operators and installation technicians at the local utility, their operations plan is
currently in effect. System SCADA outputs are analyzed on a daily basis to ensure functionality
of existing wind system components and ETS units. Remote access through broadband
connection allows engineers and technicians from all over the country to access components for
assisted troubleshooting and repair. The increased revenue brought to the local utilities from
sales of excess wind capacity allows them to set budgets for maintenance and additional
equipment costs due to the installation of new components and additional ETS devices. The ETS
units require little to no maintenance and have components that are easily replaceable and very
cost effective, if they should fail. Initial spare parts kits are included in the total project cost.
4.4.3 Heat Purchase/Sale
The heat purchase/sale information should include the following:
• Identification of potential energy buyer(s)/customer(s)
• Potential heat purchase/sales price - at a minimum indicate a price range
• Proposed rate of return from grant-funded project
• Utility savings for displaced diesel generation – the proposed system would displace
approximately 71,338 gallons of diesel at the utility. At a current bulk fuel purchase price
of $3.95 a gallon1, annual saving of $281,785 are expected. For an expected project life
of 20 years, that totals $5,635,702.00 in benefits. However, $3.95 is the lowest wholesale
price in the last 6 years. Experience indicates that the wholesale cost of diesel fuel is
unstable, and is unlikely to trend down over the long term. The Institute for Social and
Economic Research for the State of Alaska uses a long term average fuel cost in the
1 Source: State of Alaska, Alaska Energy Authority Power Cost Equalization 2012 Annual Report
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$5.00 per gallon range with annual escalation of 2% per year for estimating future
investments. Should these prices materialize, the benefits of the investments would be
closer to $8,000,000.
• Lower heating costs - homeowners who have the ETS devices can expect to have
savings of 220 gallons of diesel fuel per year displaced with excess wind energy. Excess
wind energy is sold into ETS devices at around $.10 per kilowatt hour, equivalent to
approximately $2.90/gallon heating fuel. Residential customers are currently purchasing
in excess of 770 gallons of fuel for nearly $7.33 per gallon. (7.33-2.90) x 220 = $975
annual savings. 40 residential units x $975 = $39,000.00 savings annually, with
expected project benefit of over $780,000 over the 20 year life of the project.
• Increased revenues to the utility - result from heat sales of more than 250,000 kWhrs of
wind heat electricity as heat for $25,000.00.
A business plan for the Wind Heat project was developed. Under this plan, residential
customers exceeding the 500 kWhrs per month of Power Cost Equalization (PCE)
subsidized electricity would see a reduction in their effective residential rate of $.05 per
kilowatt/hour or more, depending on the additional rate requirements of the utility. For
about 1/3 of residential customers, this would represent a savings of $5.00 to $25.00 per
month, or $60 to $300 annually.
4.4.4 Project Cost Worksheet
Complete the cost worksheet form which provides summary information that will be considered
in evaluating the project.
Please fill out the form provided below and provide most recent heating fuel invoice that supports
the amount identified in “Project Benefits” subpart b below.
Renewable Energy Source
The Applicant should demonstrate that the renewable energy resource is available on a
sustainable basis.
Annual average resource availability.
Unit depends on project type (e.g. windspeed, hydropower output, biomasss fuel)
Existing Heating Energy Generation and Usage
a) Basic configuration
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
b) Annual O&M cost (if system is part of the Railbelt grid, leave this section blank)
i. Annual O&M cost for labor $1,100.00
ii. Annual O&M cost for non-labor $2,200.00
c) Annual electricity production and fuel usage (fill in as applicable) (if system is part of the
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Railbelt grid, leave this section blank)
i. Electricity [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]
iii. Propane [gal or MMBtu]
iv. Coal [tons or MMBtu]
v. Wood [cords, green tons, dry tons]
vi. Other
Proposed System Design Capacity and Fuel Usage
(Include any projections for continued use of non-renewable fuels)
a) Proposed renewable capacity
(Wind, Hydro, Biomass, other)
[kW or MMBtu/hr]
Wind
b) Proposed annual electricity or heat production (fill in as applicable)
i. Electricity [kWh]
ii. Heat [MMBtu]
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
Project Cost
a) Total capital cost of new system
b) Development cost $0
c) Annual O&M cost of new system $3,300.00
d) Annual fuel cost
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Project Benefits
a) Amount of fuel displaced for
i. Electricity Varies based on wind availablility and increased efficiency of wind system
ii. Heat
iii. Transportation 0
b) Current price of displaced fuel $6.41 stove oil purchase price
c) Other economic benefits
d) Alaska public benefits
Heat Purchase/Sales Price
a) Price for heat purchase/sale Currently $0.10 per kWhr
Project Analysis
a) Basic Economic Analysis
Project benefit/cost ratio
Payback (years) 6 years
4.4.5 Building Efficiency
Please address the following items related to the proposed location of the heating project. If
more than one building will be impacted, please address this information for each building.
The proposed project will be installed in residential homes within the community. Building
information will vary based on individual residence, so averages are supplied from home energy
information collected in Tuntutuliak.
• Building name – Homeowner residence
• Type or primary usage of the building - residential
• Location – Varies (all in Tuntutuliak)
• Hours of operation – N/A
• Single structure or multiple units – single structure
• Total square footage – approx. 1000 sq.ft.
• Electrical consumption per year -
• Heating oil/fuel consumption per year -
• Average number of occupants – 4-5 family members
• Has an energy audit been performed? When? Please provide a copy of the energy
audit, if applicable. – No
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• Have building thermal energy efficiency upgrades been completed? - No, but
preference will be given to houses that have been weatherized.
• If the building is not yet constructed please provide evidence of the value of planned
building envelope efficiency investments beyond typical construction practices.
Include anticipated savings associated with efficiency investments if available.
• – All structures planned for installation, currently exist.
SECTION 5– PROJECT BENEFIT
Explain the economic and public 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:
• Potential annual fuel displacement (gallons and dollars) over the lifetime of the evaluated
renewable energy project. In order for the applicant to receive credit for ting fuel displaced
the applicant must provide the most recent invoice for heating fuel purchased.
• Anticipated annual revenue (based on i.e. a Proposed Heat Purchase Agreement price,
RCA tariff, or cost based rate)
• Potential additional annual incentives (i.e. tax credits)
• Potential additional annual revenue streams (i.e. green tag sales or other renewable
energy subsidies or programs that might be available)
• Discuss the non-economic public benefits to Alaskans over the lifetime of the project
Tuntutuliak is a Yup’ik Eskimo community with a population of 420 according to the 2012 DCRA
estimates. The community is located on the bank of the Kinak river in the Yukon-Kuskokwim
and 43 air miles from Bethel. The community lies approximately N 60° 20' 34.9506", W 162° 39'
47.0808". It is a Census Designated Place in the Bethel region. The community is located in a
northerly marine climate. Annual precipitation is approximately 16 inches. The community’s
marine climate keeps temperatures relatively moderate, and summer temperature average from
48°- 64° Fahrenheit. The average winter temperature is 1°- 12° Fahrenheit.
According to the 2010 census, the median income the median income for a family was $26,000.
27.3% of families and 23.0% of the population of Tunt were considered as living below the
poverty line in 2010. 36% of the population of Tuntutuliak makes $5,000 or under which
compares to 20% who make that statewide. As of 2012, it was estimated that 66% of the
population is unemployed. Subsistence hunting remains an important part of the lives of the
people of Tuntutuliak.
In 2012 there were an estimated 160 households and the average family size was 4.67. In
2012, eight new housing units were constructed, and according to the DCRA there are no
unoccupied housing units in the community.
Power for Tunt is produced at the TCSA Electrical Services power plant from diesel fuel and five
Windmatic 17s wind turbines. The base rate for electricity in the community is $.65 kWh.
Residents heat their homes using heating fuel #1. This fuel barged into the community between
spring thaw and winter freeze. The residential rate Heating fuel costs $6.41/gallon.
SECTION 6– SUSTAINABILITY
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Discuss your plan for operating the completed project so that it will be sustainable.
Include at a minimum:
• Proposed business structure(s) and concepts that may be considered.
• How you propose to finance the maintenance and operations for the life of the project
• Identification of operational issues that could arise.
• A description of operational costs including on-going support for any back-up or existing
systems that may be require to continue operation
• Commitment to reporting the savings and benefits
SECTION 7 – READINESS & COMPLIANCE WITH OTHER GRANTS
Discuss what you have done to prepare for this award and how quickly you intend to proceed
with work once your grant is approved.
Tell us what you may have already accomplished on the project to date and identify other grants
that may have been previously awarded for this project and the degree you have been able to
meet the requirements of previous grants.
The proposed work on this project would begin immediately upon execution of a grant
agreement. Community buildings and homes would be designated for installation and project
materials would be procured to be available in time for the last barge of the 2014 season.
Installation and commissioning of ETS units would be completed before the end of 2014 with
monitoring and data collection occurring into 2015.
TCSA has worked through numerous grant opportunities, including DCCED, AEA REF, EECBG
and others. All grants are executed in compliance and projects have been completed to
proposed scope.
SECTION 8 – LOCAL SUPPORT AND OPPOSITION
Discuss local support and opposition, known or anticipated, for the project. Include letters of
support 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 2,
2013.
The community of Tuntutuliak is supportive of this project and the installation of additional ETS
units. There is no known or anticipated opposition to the project. See letter of support and
TCSA resolution.
SECTION 9 – GRANT BUDGET
Tell us how much you are seeking in grant funds. Include any investments to date and funding
sources, how much is being requested in grant funds, and additional investments you will make
as an applicant.
The budget for this project will come from REF funding and a local match from TCSA for laborer
and technician payroll during the install of the ETS units. TCSA is committed to providing the
match for this project, as funding will create additional employment opportunity in our
community and great savings to residents.
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The metering and monitoring equipment necessary for operations reporting is already installed
in the TCSA power plant with the existing ETS units.
Total anticipated project cost and cost for this phase is $259,817.00
Requested grant funding is $250,817.00
Applicant matching funds are $9,000.00 in cash
The cost estimates for the project are based on varying sources of current quotes, estimated
materials and labor projections, and previous invoices on installation of ETS devices in Tunt. All
grant funds will be expended on costs directly related to the performance of the scope of work
and administration and reporting of grant activities. The match funds contribution for the project
come from the TCSA utility as a cash match towards payroll for local technicians to perform the
ETS installation. This provides a total of $9,000.00 to the project in labor payroll and decreases
the AEA REF fund request to $250,817.00.
The Milestone summary cost items below include freight, all materials for installation,
commissioning, and contingency costs.
1 Final determination and survey of homes for
install (community designation)
$ 16,100
2 Purchase ETS units, hardware and controls for
install
$ 113,776
3 Freight all items to site $ 38,984
4 Install hardware and ETS units $ 39,357
5 Commission additional controls unit $ 41,150
6 Monitor and Reporting $ 10,450
Total Project Cost $ 259,817
Match Funds From Puvurnaq Power
Company (payroll)
$ 9,000
REF Grant Funds Requested $ 250,817
Applications MUST include a separate worksheet for each project phase that was identified in
section 2.3.2 of this application, (I. Reconnaissance, II. Feasibility and Conceptual Design, III.
Final Design and Permitting, and IV. Construction and Commissioning). Please use the tables
provided below to detail your proposed project’s budget. Be sure to use one table for each
phase of your project.
If you have any question regarding how to prepare these tables or if you need assistance preparing the
application please feel free to contact AEA at 907-771-3031 or by emailing the Grant Administrator,
Shawn Calfa, at scalfa@aidea.org.
Milestone or Task
Anticipated
Completion
Date
RE- Fund
Grant
Funds
Grantee
Matching
Funds
Source of
Matching
Funds:
Cash/In-
kind/Federal
Grants/Other
State
Grants/Other
TOTALS
Final determination and survey of 8/14 $ 16,100 $ $ 16,100
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homes for install (community
designation)
Purchase ETS units, hardware
and controls for install 8/14
$ 113,776 $ $ 113,776
Freight all items to site 9/14 $ 38,984 $ $ 38,984
Install hardware and ETS units 10/14 $ 30,357 $9,000 $ 39,357
Commission additional controls
unit 12/14
$ 41,150 $ $ 41,150
Monitor and Reporting 6/15 $ 10,450 $ $ 10,450
TOTALS $250,817 $9,000 $259,817
Budget Categories:
Direct Labor & Benefits $15,105 $9,000 $24,105
Travel & Per Diem $10,100 $0 $10,100
Equipment $0 $0 $0
Materials & Supplies $154,587 $0 $154,587
Contractual Services $71,025 $0 $71,025
Construction Services $0 $0 $0
Other $0 $0 $0
TOTALS $250,817 $9,000 $259,817
Renewable Energy Fund Round VII Grant Application - Heat Projects
AEA 2014-006 Grant Application Page 26 of 27 7/2/2013
Renewable Energy Fund Round VII Grant Application - Heat Projects
AEA 2014-006 Grant Application Page 27 of 27 7/2/2013