HomeMy WebLinkAboutNEA Resolution 2013-02 REFG Round VIINAKNEK ELECTRIC ASSOCIATION, INC.
POST OFFICE BOX 116 • NAKNEK, ALASKA 99633 • PHONE (907) 246.4261 • FAX (907) 246.6242
Resolution 2013-02
A Resolution of the Board of Directors of Naknek Electric Association, Inc. (NEA)
Authorizing and Supporting Submittal of an Application to the
Renewable Energy Grant Fund Program - Round VII
WHEREAS, Naknek Electric Association, Inc. is a 501(3)(12) rural electric cooperative serving Naknek,
South Naknek, King Salmon, and the majority of large power on -shore seafood processing
and support industries in Bristol Bay Alaska that prepare the world's largest sustainable wild
salmon harvests for market; and
WHEREAS, Naknek Electric Association, Inc. understands that its service area and all of Bristol Bay is
rural, remote, off -the -grid, and dependent on imported fossil fuel and its transportation
through resource rich and habitat sensitive waterways for electric generation, residential
heating, and transportation requirements; and
WHEREAS, Naknek Electric Association, Inc. buys and burns1.5 million gallons of diesel fuel annually
and is burdened with energy insecurity because of volatility and high prices in the oil market,
fuel transportation costs, and regulatory compliance expenses all of which continue trending
upwards and have resulted in a fuel surcharge that is greater than all other costs in the
Association's kWh rate combined, and
WHEREAS, Naknek Electric Association, Inc. recognizes that energy costs and availability drive
development and that investing in a heat driven power generation system that will improve
plant efficiency, add capacity to help meet the energy demands of new industrial
development without increasing fossil fuel consumption, and grow sales to help stabilize kwh
rates for all consumers; and
WHEREAS, Naknek Electric Association, Inc. in an effort to control costs and meet growing industrial
energy requirements with reliable and cost effective electric generation is submitting a grant
proposal to the Renewable Energy Fund Grant Program - Round VII requesting financial
assistance to engineer and construct a $1,940,379.00 (includes NEA's 5% cost share)
thermally efficient heat recovery system that utilizes hot stack gases from NEA's diesel
engines to power kWh generation without additional fuel costs; and
NOW THEREFORE BE IT RESOLVED that the Board of Directors of Naknek Electric Association, Inc.
authorizes the submission of an application to the State of Alaska's Renewable Energy Grant Fund Program -
Round VII to help finance an Energy Efficient Stack Heat to Power Project, and establishes General Manager
Donna Vukich as the point of contact for the grant with the legal capacity to execute a binding agreement with
the Alaska Energy Authority, carry out the terms of the agreement, and commit the Association to any
obligations that may occur as a consequence of the application.
PASSEI
August:
Attest:
is 191" day of