HomeMy WebLinkAbout1004 Karluk Tribal CouncilRenewable Energy Fund Round VII
Grant Application -Standard Form 1:;, AI ~ a lOOt{
~ENERGY AUTHORITY
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. A separate application form is available for
projects with a primary purpose of producing heat (see RFA section 1.5). This is the standard
form for all other projects, including projects that will produce heat and electricity. An electronic
version of the Request for Applications (RFA) and both application forms is available online at:
http://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 1 07.605(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 satisfied 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.
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
~~ .
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Grant Application -Standard Form I ·.AI AA·~ _
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SECTION 1 -APPLICANT INFORMATION
Name (Name of utility, IPP, or government entity submitting proposal)
Karluk Tribal Council
Type of Entity: Government -Tribal Council Fiscal Year End June 30 2013
Tax ID # 92-0071173 Tax Status: __x__For~orofit or non-orofit { check on~)__
Mailing Address
Karluk Tribal Council
P.O. Box22
AK 99608
Telephone I Fax
(907) 241 2218 (907) 241 2208
Physical Address
Karluk Tribal Council
P.O. Box22
AK 99608
Email
A961vnn(iilaol.com
1.1 APPLICANT POINT OF CONTACT I GRANTS MANAGER
Name Title
Alicia Andrew President
Mailing Address
Karluk Tribal Council
P.O. Box22
AK 99608
Telephone J Fax Email
(907) 241 2218 907) 241 2208 A961vnn®aol.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)
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
X A governmental entity (which includes tribal councils and housing authorities);
Yes 1.2.2 Attached to this application is formal approval and endorsement for its project by
its 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.
Yes 1.2.4 If awarded the grant, we can comply with all terms and conditions of the attached
grant form. 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 grant
funds for the benefit of the general public. If no please describe the nature of the
project and who will be the primary beneficiaries.
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SECTION 2-PROJECT SUMMARY
This is intended to be no more than a 1-2 page overview of your project.
2.1 Project Title-(Provide a 4 to 5 word title for your project)
KARLUK TRIBAL COUNCIL-WIND ENERGY SYSTEM
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.
Karluk Alaska 99608 '
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.
Latitude and lonQitude coordinates of proposed wind turbines: N57.33.22.9" W 154.26.51.5"
2.2.2 Community benefiting-Name(s) of the community or communities that will be the
beneficiaries of the project.
Karluk Alaska '
2.3 PROJECT TYPE
Put X in boxes as appropriate
2.3.1 Renewable Resource Type
X Wind Biomass or Biofuels
Hydro, including run of river Transmission of Renewable Energy
Geothermal, including Heat Pumps Small Natural Gas
X Heat Recovery from existing sources Hydrokinetic
Solar Storage of Renewable
Other (Describe)
2.3.2 Proposed Grant Funded Phase(s) for this Request (Check all that apply)
Pre-Construction Construction
Reconnaissance X Design and Permitting
X Feasibility Construction and Commissioning
X Conceptual Design
2.4 PROJECT DESCRIPTION
Provide a brief one paragraph description of your proposed project.
Karluk is located on the west cost of Kodiak Island in Alaska. The village is cut-off from any road system.
Fuel oil has to be shipped by barge to Karluk. Therefore, it is a high energy cost village with fuel oil at
4.92 $/gal. This project will perform a feasibility study and complete the design & permitting for a wind
energy system and a heat recovery system to serve the existing power plant in Karluk, Alaska.
For the wind energy system, wind data from a meteorological monitoring tower already installed at the
proposed wind turbine location will be available for the analysis and design. The wind energy systems
would consist of wind turbines installed on the mountain 0. 7 miles south of the existing power plant, the
transmission line to the power plant, and the electric boiler for excess energy utilization.
The heat recovery system would consist of upgrading the existing power plant generators with waste heat
recovery units and installing a total length of up to 100011 hydronic heating loop to connect the power
plant with the community buildings.
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2.5 PROJECT BENEFIT
Briefly discuss the financial and public benefits that will result from this project, (such as reduced fuel
costs, lower energy costs, etc.)
Renewable energy is more cost efficient than the existmg diesel generating system. The price of
hydrocarbons is likely to increase in the future, which would impact the cost of operating a diesel-based
system.
A strong wind resource is available in Karluk and should be pursued.
The goals and objectives and performance measures of the proposed grades to the Karluk village energy
distribution system will be as follows:
• Upgrading the generators by installing a waste heat recovery system
• Utilize the rich wind resources in the Karluk area to produce up to 50% of the tribe's annual electricity
consumption
• New hydronic heating loop will connect the power plant with community buildings and utilize generator
waste heat and wind excess heat
• Decrease the tribe's heating fuel oil consumption by up to 39%
• Reduce the tribe's total fuel oil consumption (for electricity and heating) by up to 48%
• Solve Karluk's power plant generator capacity issue by replacing some of the electric heaters in the
community buildings with waste heat and integrating wind turbines
• Making affordable heat available to the commercial and community buildings will reduce their
dependence on the fuel oil, electric heaters and fire wood.
• Less energy costs and the sustainable way of using renewable resources and waste heat will make
Karluk more attractive as a place to live
• Subsistence and sustainable energy infrastructure go hand in hand and students get to experience the
benefits of wind power and waste heat recovery in their own village
An overall payback of about 12 years is possible.
2.6 PROJECT BUDGET OVERVIEW
Briefly discuss the amount of funds needed, the anticipated sources of funds, and the nature and source
of other contributions to the project.
Use of grant funds for this project will greatly reduce the village energy costs. Total cost of the project is
estimated at$ 1 ,300,000. The grant application is for$ 1 ,000,000. The applicant proposes to contribute
$300,000 towards project costs from a combination of land made available for this project as well as labor
and material\equipment contributions in the administration, permitting, and construction phases.
2.7 COST AND BENEFIT SUMARY
Include a summary ofgrant.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. $81,000
2.7.2 Cash match to be provided $0
2.7.3 In-kind match to be provided $300
2.7.4 Other grant applications not yet approved $0
2.7.5 Total Grant Costs (sum of 2.7.1 through 2.7.3) $81,300
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Project Costs & Benefits
(Summary of total project costs including work to date and future cost estimates to get to a fully
operational project)
2.7.6 Total Project Cost (Summary from Cost Worksheet $1,300,000
including estimates through construction)
2.7.7 Estimated Direct Financial Benefit (Savings) $190,000 year (fuel
savings)
2.7.8 Other Public Benefit (If you can calculate the benefit in $ NIA
terms of dollars please provide that number here and
explain how you calculated that number in your application
(Section 5.)
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). 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.
Michael Hauke with Renewable Energy Engineering, LLC will be the project manager. He is a
professional mechanical engineer and holds a Master of Science in Engineering Management Michael
has long time experience managing construction projects. His resume is attached to the application.
3.2 Project Schedule and Milestones
Please fill out the schedule below. 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
clearlv identifv the beainnina and end ina of all chases of vour orooosed oroiect.
Project implementation will start immediately upon execution of agreement
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FEASIBILITY STUDY
Milestones Tasks Start Date End Date
1.0 Project Project scoping, solicit consultants, gather Scoping/contractor July August
solicitation resources 2014 2014
Site-specific assessment of available energy
resource following industry standards usually based
2.0 Detailed energy on field measurements, discussions with resource
owners, and other onsite activities. Examples of resource analysis assessment activities include collection and analysis
of meteorological tower data at proposed wind
turbine locations (meteorological tower was already August December
installed by REE) · 2014 2014
Obtain authorizations from all applicable agencies
3.0 Identification of for any use of land or resources for feasibility
land and regulatory activities; Assessment of site control requirements
issues for proposed project; Authorization from land August October
owners for onsite feasibility activities as needed 2014 2014
Site-specific assessment of resources that may be
4.0 Permitting and significantly affected. Examples include wildlife
environmental habitat assessment, historical sites investigation,
analysis etc.; Plan for addressing potential environmental September October
impacts 2014 2014
5.0 Detailed Preliminary energy purchase or sales agreement
analysis of existing
& future energy September November
costs/markets 2014 2014
6.0 Assessment of Identification and analysis of system alternatives;
alternatives Recommended alternative including discussion of September November
impacts on existinQ system 2014 2014
Existing Energy System
Annual load profile; Load growth projections;
Transmission system layout and capacity;
Retirement schedule
7.0 Conceptual Proposed Energy System
design analysis and Assessment of project site, including geotechnical
cost estimate characteristics as necessary; Annual energy
production profile; Conceptual system design;
Conceptual integration design; Identification of
remaining technical barriers;
Conceptual level cost estimates for final design and September November
construction; Annual O&M and fuel costs 2014 2014
8.0 Detailed Detailed analysis of revenue from energy sales,
economic and tax credits,
financial analysis green tags, and other incentives; Discussion of non-September November
monetary benefits 2014 2014
9.0 Conceptual Prepare conceptual business and operations plan
business and October November
operations plans 2014 2014
Deliverable: Final Feasibility Study , comprehensive
10.0 Final report economic and financial analyses of alternatives,
and recommendations for project design and
recommendations construction activities, and draft operational and November December
business plan 2014 2014
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DESIGN & PERMITTING PHASE
Milestones Tasks Start Date End Date
1.0 Project scoping and contractor Project scoping, solicit consultants, October January
solicitation for planning and design gather resources 2014 2015
2.0 Permit applications (as Complete permit applications (as December February
needed) needed) 2014 2015
3.0 Final environmental Get all environmental issues December February
assessment and mitigation plans resolved; Prepare environmental 2014 2015
(as needed) plan
4.0 Resolution of land use, right of Obtain final land use authorizations December February
way issues (as needed) if needed 2014 2015
5.0 Penmit approvals Complete all permitting, right of December February
wavs, site controls 2014 2015
Renewable Energy Resource: January April
Updated data to confirm that 2015 2015
resource is still available
Existing Energy System:
Final engineered and approved
6.0 Final system design energy system configuration
including upgrades
Proposed System Design:
Final engineered and approved
system design;
Final engineered and approved
integration design
Interconnection studv
7.0 Engineers cost estimate Finalize engineer's estimate of February May
I project cost 2015 2015
8.0 Updated economic and Detailed financial analysis based on May June
chosen business structure and 2015 2015 financial analysis applicable costs, revenues, and
incentives
9.0 Negotiated power sales Get executed power purchase/sales May July
agreements with approved rates agreement 2015 2015
1 0.0 Final business and Finalize operational and business June July
operational plan plan 2015 2015
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.
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The Karluk Tribal Council will hire Renewable Energy Engineer, LLC (REE) to help with project
management as well as mechanical and electrical engineering. REE's engineering work will include:
-Mechanical Engineering for Heat Recovery System and Wind Turbine Design
-Electrical Engineering for Heat Recovery System and Wind Turbine Switchgear Design (Determine
appropriate interconnection requirements and specify switchgear, communications, and system controls
equipment required for an integrated wind-diesel hybrid power system)
REE teamed up with Q Engineers for electrical engineering services in the the Pilot Point Wind-Diesel
Hybrid Power System and many other projects requiring mechanical/electrical engineering services. Q
Engineers has pledged to support the project with electrical engineering design work. Statement of
Qualifications and key employee resumes are attached to this application.
The Karluk Tribal Council and REE is committed to working with local stakeholders, including the Alutiiq
Power Company, Kodiak Island Borough, and Koniak Corporation.
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.
Renewable Energy Engineering, LLC's (REE) project manager will provide direct oversight of all aspects
of the project and will provide monthly or quarterly status reports by email (or other methods allowed by
the Authority, if email is not available) to the Authority's project manager.
The report will update the Authority on the project's progress, regulatory and compliance issues, possible
delays, and grant expenditures during the quarter. The progress reports will summarize in one or two
pages the progress made on grant tasks during the previous period and identify any difficulties in
completing tasks or meeting goals or deadlines. REE will also include with the report copies of any work
products due to the Authority.
A Project Plan will be developed at the conclusion of the Planning phase of the project. It is a detailed
document comprising:
3.5 Project Risk
Discuss potential problems and how you would address them.
The project is low-risk, in terms of budget, timeline, and product. The potential problems and plans to
address them are as follows:
Project Delays: Minor projects delays due to procurement of required equipment to complete renovations
might occur. This can be limited by coordinating with the contractors and by considering longer lead
times in the construction phase schedule.
Site Control/Access: Until today, there is no site access to the wind turbines. This will have to be
provided. This can be done by installing a 4-wheeler trail.
Weather: Weather could delay the installation of the wind turbines on the mountain. However, this can be
limited by allowing enough time in the construction schedule, selecting the right construction season and
choosing contractors that have long term experience in Alaska weather conditions.
Local stakeholders, the Alutic Power Company and the Karluk community support renewable energy
development and will endeavor to create an atmosphere of success. If any unidentified conflicts arise, the
REE project manager will immediately address all concerns and communicate possible resolutions with
all stakeholders and the authority.
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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.
Wind Energy
Renewable Energy Engineering, LLC (REE) has installed a monitoring tower on a 1000 It high mountain
south-west of the village center and power plant. This was to done to confirm the wind resource
characteristic that was found in the AEA -Alaska Wind Speed Map. The Alaska Energy Authority (AEA)
provided a wind map for the Karluk area. According this map, the mountain location selected should be in
the Wind Speed Class 5 (Excellent) -7 (Superb). This equates to an average wind speed of 7.5-8.8 m/s.
Based on the estimates, Karluk mountains are a great wind resource and offer optimal conditions for
developing a wind turbine energy system. The first step is to complete a full year of wind data monitoring
and analyze the wind data. It is assumed that more than 500kW of wind energy resource is available
along the mountain range. At the moment only 44kW are assumed to be allowed to develop per AEA.
Theoretically, up to 80% of the village heating requirements could be met by developing more than 44kW
of this wind resource. If allowed, the applicant would like research this alternative in the feasibility study.
Waste Heat Recovery
There are two (2) Katolite 55kW generators in the Karluk power plant, one is used for backup. There are
being alternated to allow for frequent generator overhaul on both engines.
The current generator setup only uses the electric power produced with an efficiency of 36%. The
remaining energy is wasted in engine cooling, exhaust gas and radiation. By installing a waste heat
recovery system most of the thermal loss (almost 49%) can be reused for building heating. By using the
heat that the radiator ejects for cooling the engine and heat from the exhaust gas, the system efficiency
can be increased and fuel savings of up to 35% are possible.
Waste heat recovery systems on generators are readily available and are easy to install.
The waste heat from the generators can be used to help heating the school, the tribal council office, the
city hall, and the lodge. The waste heat can also be used to heat the water treatment plant, which is
currently unheated. Its location is perpendicular to the power plant
Renewable energy and waste heat are more cost effective than the existing diesel generation system.
The price of hydrocarbons is likely to increase in the future, which would impact the cost of operating
diesel-based power system.
The following is a break down of the electricity and fuel oil saving opportunities:
With the waste heat recovery system, up to 5000 gal of heating fuel can be saved per year.
With the wind energy system, up to 11,000 gal of fuel oil can be saved annually in the power plant
electricity production. In addition, up to 2050 gal of fuel oil can be saved by using the excess wind energy
for heating. Thus, up to 13,050 gal of fuel oil can be saved with wind energy.
All together, a fuel oil replacement of up to 18,000 gal is possible, which represents about 45% of the
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annual fuel usage. At a current fuel oil price of $4.92 per gal, the annually saved cost is up to $90,000.
With a total project cost of $1.3 Mill a project payback of 12 years can be possible. (This doesn't not
included the land value that is already owned by the Karluk Tribal Council and is made available for this
project)
All predicted fuel oil savings were estimated using the Homer Energy Software, Windographer, and MS
Excel.
4.2 Existing Energy System
4.2.1 Basic configuration of Existing 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 Karluk power plant is located in the center of the village about 0.6 miles from the landing strip. There
are two (2) Katolite 55kW diesel generators in the Karluk power plant, one is used for backup. The
efficiency of the 2005 replaced generator set is 12 kwh/ gal. There are being alternated to allow for
frequent generator overhaul on both engines.
The current generator setup only uses the electric power produced with an efficiency of 36%. The
remaining energy is wasted in engine cooling, exhaust gas and radiation.
The manually controlled generator switchgear includes Woodward governors. Fuel Injection is
mechanical. The governors could be reused in a switchgear lineup, however, new equipment could also
be installed.
Village distribution wiring is mainly copper. Routing is partly buried and partly overhead. Currently, the
power plant supplies the school, 2 lodges, tribal council office, city hall & clinic, fire house, water treatment
plant and 14 residential homes.
Heating and domestic hot water is provided via fuel oil furnaces, fuel oil space heaters and several
electrical space heaters. Only the school has an air handling system.
Karluk consumes up about 39,000 gal fuel oil annually. 21,000 gal of this amount is used by the power
plant generators to produce electricity. 18,000 gal of this amount is used as heating oil by 13 residential
homes, and 10 commercial buildings and 2 community facilities. The school, a commercial building used
6,000 gal of heating oil per year.
The power plant produces about 252,000 kWh annually. 37,000 kWh of this amount is the electrical
system & line loss. About 215,000 kWh are sold to costumers. 85,000 kWh is used by 14 residential
homes. 130,000 kWh is consumed by 10 commercial buildings and 2 community facilities.
4.2.2 Existing 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.
Karluk is located directly at the west coast of the Kodiak Island. Karluk higher elevations are characterizes
by strong winds from the ocean.
A strong river hydroelectric source is theoretically available as well, however, it is a salmon carrying
stream and therefore currently expelled from hydroelectric development.
The integration of the renewable energy power systems into the existing infrastructure will be addressed in
detail in order to properly control all generating assets. A new buried transmission line will need to be built
between the wind turbines and power plant. The design will consider uncomplicated systems which will
help with the system operation and maintenance over the long term. Operator training will still be
necessary as the village maintenance personnel do not have the technical and material resources that
urban developers are accustomed to. The Karluk Tribal Council is aware of this fact and will address it.
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4.2.3 Existing Energy Market
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Discuss existing energy use and its market. Discuss impacts your project may have on energy
customers,
There used to be more people living in Karluk, There was a large fish processing manufacturer right there
the Karluk river enters the ocean, The area was overfished and the manufactures were closed and
abandoned. The village used to be centered close the shore line. Most of the buildings were subject to
destruction by storm and flooding. A new Karluk subdivision was built further away from the ocean. This
is now the center of Karluk and home for less than 50 people.
Currently, the power plant supplies the school, 21odges, tribal council office, city hall & clinic, and 14
residential homes. The electrical market is Karluk is regulated through the State of Alaska. The power
plant in Karluk is owned and operated by the Alutiiq Power Company. The average electrical loads are
between 32 and 40kW. Occasional peaks over 56kW caused by the extended us of space heater have led
to generator shut downs.
Karluk consumes up about 39,000 gal fuel oil annually. 21,000 gal of this amount is used by the power
plant generators to produce electricity. 18,000 gal of this amount is used as heating oil by 13 residential
homes, and 10 commercial buildings and 2 community facilities. The school, a commercial building used
6,000 gal of heating oil per year. The power plant produces about 252,000 kWh annually. 37,000 kWh of
this amount is the electrical system & line loss. About 215,000 kWh are sold to costumers. 85,000 kWh is
used by 14 residential homes. 130,000 kWh is consumed by 10 commercial buildings and 2 community
facilities.
The price of electricity is currently 0.71 cents, which is the base rate. This is the rate all commercial
customers pay. Residential customers do qualify go the State's power cost equalization program (PCE),
which subsides residential customers.
The power plant is a good condition. The existing electrical infrastructure is functional. The Alutiiq Power
Company fully supports the waste heat recovery system integration and the wind turbine system.
4.3 Proposed System
Include information necessary to describe the system you are intending to develop and address
potential system design, land ownership, permits, 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
• Anticipated barriers
• Basic integration concept
• Delivery methods
The project includes upgrading the existing power plant with waste heat recovery units and connecting the
community buildings to the hydronic waste heating loop. Further, medium scale wind turbines will be
installed on the nearby mountain. A buried power line will connect the turbines with the power plant.
System Design/ Description of Renewable Energy Technology Specific to Project Location/
& Optimum Installed Capacity
Wind power:
An analysis of the wind resource information indicates that four (4) Gaia 11kW turbines, with 60ft
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galvanized monopole tilt-up tower, would have a potential cross annual energy production of 213,000
kWh. REE installed a monitoring tower on the 1000 It mountain about 0.6 miles south-west of the village
center and power plan. If the data proofs that this is a suitable location, the wind turbine towers would be
installed where the monitoring tower is located now. For the electrical connection between power plant
and wind turbines, less than 0.7 miles of buried transmission line will be installed. There will be controls
and switch gear in the power plant bank to manage power balances due to fluctuations in wind power and
electrical load. There will also be an electric boiler to absorb excess wind energy to be used in the
hydronic heating loop.
Waste Heat Recovery in Generator Building :
There are two (2) Katolite 55kW generators in the Karluk power plant, one is used for backup. There are
being alternated to allow for frequent generator overhaul on both engines. Waste heat recovery systems
will be installed on both generators. The waste heat recovery system will utilize the heat from the stack
gas and jacket water to generate up to 270 MBH heat at full load. The waste heat from the generators can
be used to help heating the school, the tribal council office, the city hall, and the lodge. The waste heat can
also be used to heat the water treatment plant, which is currently unheated. Its location is perpendicular to
the power plant.
There will be a total length of up to 1 0001! of buried hydronic heating loop connecting the waste heat
consuming community buildings with the power plant. The hydronic heating loop consists of two insulated
pipes for supply and return, which are buried a min of 4ft below the surface.
A combination of wind energy and waste heat system makes sense. The waste recovery system on the
generators makes sure that most of the generator rejected heat is used for heating the buildings
connected to the hydronic heating loop. In order to serve several buildings on the hydronic heating loop, a
greater heat source is needed. This gap can be filled with excess wind energy. Excess wind energy is the
energy not used in the village grid. Generator and wind turbines feed into the power control unit. The
switchgear and power control unit make sure that the grid is always balanced. Any excess energy from the
wind turbines is routed to the electric boiler.
The Karluk power plant generator is at times maxed out and occasional shut downs occur when the
maximum capacity (55kW) is reached. Therefore, a power plant upgrade is recommended. However,
instead of upsizing the generator, a solution can be found by integrating wind turbines and a battery bank
as well as replacing of some of the electric heaters in the community buildings with waste heat.
Code Compliance
All mechanical and electrical systems will be designed in accordance with the most current building codes
and building safety standards and guidelines including international building code, international
mechanical code, international fire code, national electric code, and Ashrae building standards.
Anticipated Barriers
No "show-stopper'' issues were found in the initial phase of the village energy analysis and system
integration.
Anticipated Capacity Factor: Anticipated Annual Generation: Basic Integration Concept
Page 12 of 27
Renewable Energy Fund Round VII
Grant Application -Standard Form
Diesel Fuel Use with Wind and Waste Heat
Annual Fuel Oil Savings
l :s A' Aa&;l $
-=>ENERGY AUTHORITY
20,000 gal
19,000 gal
Residential buildings and some community buildings are currently not planned to be connected to the
waste heat hydronic loop. Theoretically, the wind resource available in Karluk allows for supplying heat to
buildings in Karluk. This would require a higher wind capacity, a larger electric boiler and an extended
hydronic loop. A higher amount of fuel would be saved. If AEA is open for this option the applicant will
gladly research this opportunity in the feasibility study.
Deliverv Methods
A buried transmission line will need to be installed to connect the wind turbines with the power plant.
Power from the power plant is anticipated to be delivered through the existing distribution systems.
Specific recommendation will be developed as part of this study.
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 and access issues.
All of the land and infrastructure required for the project are privately owned by either the Karluk Tribal
Council or the Koniak Corporation, an Alaska Native regional corporation. Both entities support renewable
energy development in Karluk.
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
The permitting for this project will be successful since there are no environmental conflicts.
There are no wetlands anywhere within or near the project area. The coastal zone management program
is currently unenforceable. There no endangered species within the project area. There no historical
resources anywhere within or close by the project area. The existing historical properties in Karluk are
located outside the critical 1 mile radius. There are no brownfields in the project area.
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
• Threatened or Endangered species I Habitat issues
According to the U.S Fish and Wildlife Service department there are no threatened and endangered
species in Karluk or in the project area. The U.S. Fish and Wildlife Service (Service), designate critical
AEA 2014-006 Grant Application Page 13 of 27 7/23/2013
Renewable Energy Fund Round VII
Grant Application -Standard Form I ~ ALAQBf~ 3
-=:>ENERGY AUTHORITY
habitat for the Alaska-breeding population of the Steller's eider (Polysticta stelleri), a threatened species
listed pursuant to the Endangered Species Act of 1973, as mended (Act). Critical habitat for the Alaska-
breeding population of the Steller's eider includes breeding habitat on the Yukon-Kuskokwim Delta (Y-K
Delta) and 4 units in the marine waters of southwest Alaska, including the Kuskokwim Shoals in northern
Kuskokwim Bay, and Seal Islands, Nelson Lagoon, and lzembek Lagoon on the north side of the Alaska
Peninsula. Another endangered bird species under the the Endangered Species Act of 1973 is the short-
tailed albatross (Phoebastria albatrus). The species occurs in waters throughout the North Pacific,
primarily along the east coast of Japan and Russia, in the Gulf of Alaska, along the Aleutian Islands and in
the Gulf of Alaska south of 64° north latitude. At the time of our 2000 final listing rule, the short-tailed
albatross population consisted of about 1,200 individuals known to breed on two islands: Torishima, an
active volcanic island in Japan, and Minami-Kojima, an island whose ownership is under dispute by Japan,
China, and Taiwan.
The coastal zone management program is currently unenforceable.
• Wetlands and other protected areas
There are no wetlands anywhere within or near the project area. Small freshwater emergent and
freshwater forest/shrub wetlands exist 0.5 miles south from the wind turbine location. The wind turbines
however, will be located on 1000 It high hill, whereas the wetlands are in a valley. The wetland data was
taken from the U.S. Fish and Wildlife Service's National Wetland Inventory website
(http://www.fws.gov/wetlands/).
• Archaeological and historical resources
There no historical resources anywhere within or close by the project area. The existing historical
properties in Karluk are located outside the critical 1 mile radius. There are two historic properties in
Karluk: The orthodox church built in 1888, the building was added to the National Register of Historic
Places on June 6, 1980, and the Karluk sandspit with the remains of the late 1800s cannery and village.
The project area including the existing power plant upgrade and new wind turbines as well as buried
transmission line is outside of the one-mile radius.
• Land development constraints
There are no brownfields in the project area. All of the land and infrastructure required for the project are
privately owned by either the Karluk Tribal Council or the Koniak Corporation, an Alaska Native regional
corporation. Both entities support renewable energy development in Karluk.
• Telecommunications interference
There are no telecommunication interferences anticipated in this project.
• Aviation considerations
The wind turbines are far enough from the airport. Thus, there would likely be no FAA permitting
requirements associated with this project.
• Visual, aesthetics impacts and other potential barriers
Renewable energy systems are supported in the Karluk community. A general acceptance of the wind
turbines up the mountain is expected.
4.4 Proposed New System Costs and Projected Revenues
(Total Estimated Costs and Projected Revenues)
AEA 2014-006 Grant Application Page 14 of 27 712312013
Renewable Energy Fund Round VII
Grant Application -Standard Form
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, mdustry 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
• Proiected development cost of proposed renewable enerav system
The total anticipated project cost is $1.3 million-$1.7million ($1.7 million if more buildings are to be
connected to the hydronic heating loop and more wind capacity is installed). The project costs includes
approximately $81,300 in developing cost (feasibility, design, and permitting), and a construction cost of
about$1.2 million to $1.6 million ($1.6 million if more buildings are to be connected to the hydron1c heat1ng
loop and more wind capacity is installed).
The applicant is requesting $81,300 to cover the entire feasibility study and design & permitting phase.
For these initial phases, the applicant will provide about $10,000 as mixtures of cash and in-kind services.
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.)
This proposal is for engineering studies and design services only. There are no operating and
maintenance cost associated with this project stages.
4.4.3 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
The Karluk power plant is operated by the Alutiiq Power Company, which is owned by the Karluk tribal
council. The wind turbine power will be fed into this power plant.
The potential buyer will be the Karluk village commercial and residential customers. The electrical rate will
be determined during the completion of the resource analysis.
The rate of return for this project will depend on the wind data collected. It is assumed to be about 8%.
(This doesn't include the land value since the land already owned by the Tribal Council and contributed to
this project). A higher rate of return is possible if a larger wind capacity is installed and more buildings are
connected to the hydronic loop.
AEA 2014-006 Grant Application Page 15 of 27 7/23/2013
Renewable Energy Fund Round VII
Grant Application -Standard Form 1.-J A I 'WilkiA 2
-=:l ENERGY AUTHORITY
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
Renewable Energy Source
The Applicant should demonstrate that the renewable energy resource is available on a
sustainable basis.
Annual average resource availability. 500kW or greater (if more than 44kW is allowed to
be developed the wind resource could also be used
for a larger fraction of village heating load)
Unit depends on project type (e.g. windspeed, hydropower output, biomasss fuel)
Existing Energy Generation and Usage
a) Basic configuration (if system is part of the Railbelt 1 grid, leave this section blank)
i. Number of generators/boilers/other ....::.2~d~ie:.::s:.::el~g~e~n:.::er:.::a:.::to:.::rs.::_ _________ _
ii. Rated capacity of generators/boilers/other 2 x 55kW (they at being alternated)
iii. Generator/boilers/other type Diesel
~~-------------
iv. Age of generators/boilers/other _6:_+_y!..:e::-a:::.rs.::_ ___________ _
v. Efficiency of generators/boilers/other _1~2=-k:.::W=h.:./~g:.::al:.::o:.::f.:..fu:.::e.:.l __________ _
b) Annual O&M cost (if system is part of the Railbelt grid, leave this section blank)
i. Annual O&M cost for labor $14,000
~~~~-~~~~----------ii. Annual O&M costfor non-labor $110,000 (including $104,000 for fuel expenses)
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] :.::2:::5:.:2:.::,0:.::0~0.:.kW.:.:.::h~-------------------
ii. Fuel usage
Diesel [gal] 21,000 gal
Other N/A
iii. Peak Load 63kW
iv. Average Load 34kW
v. Minimum Load 25kW
vi. Efficiency 12 kWh I gal of fuel
vii. Future trends Upwards
1
The Railbelt grid connects all customers of Chugach Electric Association, Homer Electric Association, Golden Valley Electric
Association, the City of Seward Electric Department, Matanuska Electric Association and Anchorage Municipal light and Power.
AEA 2014-006 Grant Application Page 16 of 27 7/23/2013
~···
i
Renewable Energy Fund Round VII
Grant Application -Standard Form
d) Annual heating fuel usage (fill in as applicable)
i. Diesel [gal or MMBtu] _1:_:B~,O:..:O~O_,gcca_l ---,-------·-· ··_·" _____ _
45,000 kWh (estimated) ii. Electricity [kWh]
iii. Propane [gal or MMBtu]
iv. Coal [tons or MMBtu]
v. Wood [cords, green tons, dry tons]
vi. Other
N/A
N/A
N/A
N/A
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]
44 kW (if more than 44kW is allowed to be developed
the wind resource could also be used for a larger
fraction of village heating load)
b) Proposed annual elect[icity or.heatproduction (fill in as applicable)
i..i;;lecttfcity11<Wh] ---=-25::2::.,0::0:::0~k:::W::h_:__ _____________ _
ii. Heat [MMBtu] 2,631 MMBtu
c) Proposed annual fuel usage (fill in as applicable)
i. Propane (g;;tlorMI\IIBtu] N/A
ii. Co~~ . --:~--:. 'A~·.-----------------
,jm Wood'[tords, green 1ons1,'<Jry·toris]. · N!A · .~-----------------------------
;v. Other
Project Cost
a) Total capital cost of new system
b) Development cost
c) Annual O&M cost of new system
d) Annual fuel cost
Project Benefits
a) Amount of fuel displaced for
i. Electricity
ii. Heat
iii. Transportation
11,750 gal
7,250 gal
0
b) Current price of displaced fuel
c) Other economic benefits
d) Alaska public benefits
AEA 2014-006 Grant Application
21 ,000 gal of fuel oil
$ 1.3 Million
$ 81,300 (including feasibility study and
design/permitting
$20,000
$103,320
$4.92
N/A
Possible reduction in PCE payout
Page 17 of 27 7123/2013
Renewable Energy Fund Round VII
Grant Application -Standard Form
Power Purchase/Sales Price
a) Price for power purchase/sale
Project Analysis
a) Basic Economic Analysis
Project benefiUcost ratio
Payback (years)
2.0-2.5
12
0.26-0.6 $/kWh
4.4.5 Proposed Biomass System Information
I ·. A' Afi'1i* T
~ENERGY AUTHORITY
Please address the following items, if know. (For Biomass Projects Only)
o What woody biomass technology will be installed (cord wood, pellets, chips, briquettes,
pucks).
o Efficiency of the biomass technology.
o Thermal or electric application.
o Boiler efficiency.
o Displaced fuel type and amount.
o Estimated tons of wood pellets or chips (specify) to be used per year, and average moisture
percentage.
• Estimated cords of wood to be used per year, specify whether dry or green and the moisture
percentage.
• Ownership/Accessibility. Who owns the land and are their limitations and restrictions to
accessing the biomass resource?
o Inventory data. How much biomass is available on an annual basis and what types (species)
are there, if known?
AEA 2014-006 Grant Application Page 18 of 27 7/23/2013
I·
'.
Renewable Energy Fund Round VII
Grant Application -Standard Form I ··~ AI ABtff4 > ~ENERGY AUTHORITY
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
• Anticipated annual revenue (based on i.e. a Proposed Power 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
The following is a breakdown of the electricity and fuel oil & Dollar saving opportunities assuming the
current fuel oil price of $4.92 per gal:
With the waste heat recovery system, up to 5000 gal ($24,600) of heating fuel can be saved per year.
With the wind energy system, up to 11,000 gal ($54, 120) of fuel oil can be saved annually in the power
plant electricity production. In addition, up to 2050 gal ($10,086) of fuel oil can be saved by using the
excess wind energy for heating. Thus, up to 13,050 gal ($64,206) of fuel oil can be saved with wind
energy. Altogether, a fuel oil replacement of up to 18,000 gal ($88,560) per year is possible, which
represents about 45% of the annual fuel usage.
Over a 30 year period with a discount rate of 3%, this equals a present value of about $1,700,000. With a
total estimate project cost of $1.3 Mill a payback of 12 years is possible. All predicted fuel oil savings
were calculated using the Homer Energy Software, Windographer, and MS Excel.
Over the project life time, there will be non-economic public benefits to Alaskans such as:
• The positive aspect of the renewable energy is a sense of ownership and pride in sustainable
technology
• Reduced generator operating hours means reduced exposure to NOX from the diesel generators,
reduced noise pollution to the community and surrounding eco-system, reduced risks for diesel
spills that impact land and water
• Improved climate for business development in the community
• Local hire
• Training for local operators
There are currently no additional incentives or additional annual revenue streams.
SECTION 6-SUSTAINABILITY
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
AEA 2014-006 Grant Application Page 19 of 27 7/23/2013
Renewable Energy Fund Round VII
Grant Application -Standard Form I ~ A'*~
~ENERGY AUTHORITY
The investments made in this project are expected to bring a large reduction in fuel oil demand for the
village. Over the long term, the waste heat recovery and wind energy system will deliver affordable and
sustainable energy to Karluk. The energy study and design will be provided by Renewable Energy
Engineering, LLC (REE). REE has proven itself as energy and engineering design, and project
management consultant in Alaska, focused on maintaining top quality service at a reasonable price.
The Alutiiq Power Company will operate and maintain the power plant generator waste heat recovery
system and wind turbine system. This work will be supported financially by the operating revenues. The
Alutiiq Power Company will seek power plant operator training to limit the risk of operating issue due to lack
of technology expertise. The project operating and maintenance cost will include the salary of the
operators and general administrative functions. Normal replacement of parts will be scheduled and
budgeted into the annual budget to continue optimum operations. Savings and benefits will be reported to
AEA through annual reports.
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.
In 2012 Renewable Energy Engineering, LLC (REE) has performed several site visits to Karluk. The
village utility usage information was collected including existing generator system model, fuel usage,
electricity production, village electricity and heating oil consumption for commercial, community and
residential buildings, etc.
The area wind maps were studied to determine suitable locations for wind turbines. REE found the closet
and most promising wind location on a 1000 It high mountain south-west of the village center /power plant.
REE installed a wind monitoring tower at this location, which will make wind data available for the
feasibility study and design.
As the detailed information listed in this application shows, REE heavily invested in a resource
identification and analysis in Karluk. This includes land use, permitting, and environmental analysis, preliminary
design analysis and cost, cost of energy and market analysis, and simple economic analysis. REE is ready to proof
with a feasibility study and design/permitting phase that this project is worthwhile proceeding. Once approved, REE
can immediately start the work process.
SECTION 8-LOCAL SUPORT
Discuss what local support or possible opposition there may be regarding your project. Include
letters of support from the community that would benefit from this project.
The Karluk Tribal Council runs the Alutiiq Power Company, which operates the Karluk power plant.
The Karluk village, the Tribal Council, Alutiiq Power Company, and the Kodiak Island Borough all fully
support this renewable energy and energy efficiency project in Karluk.
At this point there is no opposition to the project.
Letters of support from the Karluk Tribal Council, the Alutiiq Power Company and the Kodiak Island
Borough are attached.
AEA 2014-006 Grant Application Page 20 of 27 7/23/2013
Renewable Energy Fund Round VII
Grant Application -Standard Form
SECTION 9-GRANT BUDGET
I ~ A' Aaz&A s
-=>ENERGY AUTHORITY
Tell us how much you want 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.
Provide a narrative summary regarding funding sources and your financial commitment to the
project.
$ 81,300 is required to complete a feasibility study and the design/permitting for the waste heat recovery
and wind turbine energy system. The applicant is requesting the total amount of funding from the Alaska
Energy Authority. Other contributions to the investment in Karluk's power system include:
• REE has sponsored the wind monitoring tower installation and invested in the village energy
study
• Karluk Tribal Council will make the land available for the wind turbines, power line, and waste
heat recovery hydronic heating loop.
• Karluk Tribal Council will help with the installation of the wind turbine power line, and hydronic
loop excavation/backfilling.
Applications should include a separate worksheet for each project phase that was identified in section
2.3.2 of this application, (Reconnaissance, Feasibility, Conceptual Design, Design and Permitting, and
Construction). 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.
AEA 2014-006 Grant Application Page21 of 27 7/23/2013
Renewable Energy Fund Round VII
Grant Application -Standard Form
FEASIBILITY STUDY
I ~ A I ASBifA s
~ENERGY AUTHORITY
1.0 Proj.ect Scopinglcontractor 01 August $500 $300 ~~~~ded by $
sohcJtatJon 2013 Grantee
2.0 energy resource 01
2013
$11 ,500 NIA NIA $
3.0 Identification of land and
regulatory issues,
4.0 i '.'~and
envi1r< JnrrJental analysis
5.0 . d ~f" •:o•yood of
exJstJng an uture energy
costs and markets
6.0 Assessment of alternatives
7.0 Conceptual design
analysis and cost estimate
8.0 Detailed economic and
financial analysis
9.0 • and
operations plans
01 October $500 2013
01 October $500 2013
01 November $1 ,OOO
2013
01 November $2 ,000 2013
01 November $1,000 2013
01 November $1,000 2013
10.0 Finalr~r,ort and 01
I 2013 $1,000
TOTALS
Direct Labor & Benefits
Travel & Per Diem
Eauioment
;&
. $21,000
$0
>0 so
pO
NIA NIA $
NIA NIA $
NIA NIA $
NIA NIA $
NIA NIA $
NIA NIA $
NIA NIA $
NIA NIA $
$300 $21,300
$300
Work. $
provided by 300
Grantee
NIA NIA $0
NIA NIA $0
NIA NIA pO
NIA NIA
~~--~~N~~---+7-NI~~----~p~O----~ pO NIA NIA $0
TOTALS NIA
AEA 2014-006 Grant Application Page 22 of 27 7123/2013
Renewable Energy Fund Round VII
Grant Application -Standard Form
DESIGN AND PERMITTING PHASE
I ~ A L A-SIAft s
-=:1 ENERGY AUTHORITY
in'"'i~ti~l' ;%(~:~. 4's '' ; ,c,,J\i~1l.{~Ja *~~: .. : !i;~·x;
1.0 Projec, ,~:'~" •ll and Work con1trac~tor solicitation for 01 January .
planning and design 2014 $2,000 $2,000 Provided by $4,000
Grantee
2.0 Permit applications (as 01 February needed) 2014
3.0 Final environmental
assessment and mitigation 01 February
plans (as needed) 2014
4.0 Resolution of land use,
right of way issues (as 01 February
needed) 2014
5.0 Permit 01 '2()14
6.0 Final system design 01;t;~
7.0 Engineers cost estimate 01 May2014
8.0 Updated economic and 01 June financial analysis 2014
9.0 power sales
agreements with approved 01 July 2014 rates
10.0 Final ; and 01 July operational plan 2014
TOTALS
Direct Labor & Benefits
Travel & Per Diem
<&
Contractual Services
Other
TOTALS
AEA 2014-006 Grant Application
$0
$0
$0
$0
$47,000
$1,000
$500
$0
$0
$0
$0
$0
$0
$50,500
0
0
$3,000
$2,000
$1,000
$500
$0
$0
$0
$500
$500
$9,500
$7,000
NIA
NIA
N/A
$2,500
N.A
N.A
$~1.500
Page 23 of 27
Work& Fees
Provided by $3,000
Grantee
Cash
provided by $2,000
Grantee
Work
Provided by $1,000
Grantee
NIA $500
NIA $47,000
N/A $1,000
NIA $500
Work
Provided by $500
Grantee
Cash
I by $500
Work
Provided by $7,000
NIA ~0
NIA ~0
NIA ~0
Cash
provided by $53,000
Grantee
NIA ~0
NIA ~0
tRO 000
7123/2013
Renewable Energy Fund Round VII
Grant Application -Standard Form I = A I A£1'*4 t
~ENERGY AUTHORITY
.0 ~v• and•guvoithat all August 01, $0 $1,000
:are 2014
Work Provided
by Grantee $1,000
2.0 r i of bid
documents
3
'
0
. i 1 and award
4.1 Installing power plant
generators heat recovery
system and electric boiler as
well as :>.: loop to
i
4.2 "•o~o·l:, ·~ wind '"' ui, ,¥0 and
transmission line, to power
plant. Integrate switch gear.
5.0 uuv~•guv• I and testing
6. 0 Decommissioning old
systems
7.0 Final Acceptance,
Commissioning and Start-up
8.0 Operations Reporting
TOTALS
Direct Labor & Benefits
Travel & Per Diem (Admin)
nt
:&
Contractual Services
Construction
Other Land Value
TOTALS
AEA 2014-006 Grant Application
01. 2014 $O $3,000
01,2014 $O $1,000
August 01,
2015
$928,500 $278,700
August01,
2015
V¥0't2a1¥5
N/A-no old
systems to N/A be N/A
I
September
01,2015 $0 $5,500
~g1~ $0 $500
;928,500 ~279,700
$0 $79,700
$0 $5,000
$0 N/A
$0 N/A
$0 $5,500
N/A
$0 $200,000
Page 24of27
$3,000
$1,000
Land made
available by
Grantee &
Labor and
Equipment
provided by
Grantee
$1,167,200
Cash Provided
by Grantee
N/A
$5,500
$500
;1,178.200
$79,700
~~~,~~=~ou $5,000
N/A $0
N/A $0
~:~ra~;;;~uou $5,500
N/A ~~?R,~nn
Lan~ mad~y $200,000
$1,218,700
7/23/2013
Renewable Energy Fund Round VII
Grant Application -Standard Form I ~ A' AB¥iL
-=:J ENERGY AUTHORITY
p t M"l t ro1ec 1 es ones th t h ld b dd a s ou ea resse d" Bd tP In ume rooosa
Reconnaissance Feasibility Design and Construction Permitting
1. Project seeping and 1. Project seeping 1. Project seeping 1. Confirmation that all
contractor solicitation. and contractor and contractor design and feasibility
2. Resource solicitation. solicitation for requirements are
identification and 2. Detailed energy planning and complete.
analysis resource analysis design 2. Completion of bid
3. Land use, permitting, 3. Identification of 2. Permit documents
applications (as and environmental land and regulatory needed) 3. Contractor/vendor
analysis issues, selection and award
4. Preliminary design 4. Permitting and 3. Final 4. Construction Phases environmental analysis and cost environmental assessment and -
5. Cost of energy and analysis mitigation plans Each project will have
market analysis 5. Detailed analysis of (as needed) unique construction
6. Simple economic existing and future 4. Resolution of phases. limitations.
analysis energy costs and land use, right of and schedule
markets constraints which
7. Final report and
way issues should be identified 6. Assessment of recommendations alternatives 5. Permit approvals by the grantee
7. Conceptual design 6. Final system 5. Integration and
analysis and cost design testing
estimate 7. Engineers cost 6. Decommissioning old
8. Detailed economic estimate systems
and financial 8. Updated 7. Final Acceptance,
analysis economic and Commissioning and
9, Conceptual financial analysis Start-up
business and 9. Negotiated 8. Operations Reporting
operations plans power sales
10. Final report and agreements with
recommendations approved rates
10. Final business
and operational
plan
AEA 2014-006 Grant Application Page 25of 27 112312013
Renewable Energy Fund Round VII
Grant Application -Standard Form I ~ A I W$4, c
-=>ENERGY AUTHORITY
I SECTION 10-AUTHORIZED SIGNERS FORM
Community/Grantee Name: Alicia Andrew
Regular Election is held: I Date:
Authorized Grant Sianerlsl:
Printed Name Title Term
Alicia Andrew President, Karluk Tribal
Council
I authorize the above person(s) to sign Grant Documents:
(Highest ranking organization/community/municipal official)
Printed Name Title Term
Alicia Andrew President, Karluk Tribal
Council
Grantee Contact Information·
'l
I.......-
Mailing Address: Karluk Tribal Council
P.O. Box22
Karluk, AK 99608
Phone Number: (907) 241-2218
Fax Number: (907) 241-2208
E-mail Address: A96L YNN@AOL.COM
Federal Tax ID #: 92-0071173
Sigl)ptlye /J
:trV<J
Signature
_/;-/
--£><!
Please submit an updated form whenever there is a change to the above information.
AEA 2014-006 Grant Application Page 26of27 7/23/2013
Renewable Energy Fund Round VII
Grant Application -Standard Form I , AI Mj)'(bA s
~ENERGY AUTHORITY
SECTION 11-ADDITIONAL DOCUMENTATION AND CERTIFICATION
SUBMIT THE FOLLOWING DOCUMENTS WITH YOUR APPLICATION:
A. Contact information, resumes of Applicant's Project Manager, key staff, partners,
consultants, and suppliers per application form Section 3.1 and 3.4. Applicants
are asked to separate resumes submitted with applications, if the individuals do
not want their resumes posted.
B. Letters demonstrating local support per application form Section 8.
C. An electronic version of the entire application on CD per RFA Section 1.7.
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. 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 Alicia Andrew
Signature ~ ~
Title President
Date
AEA 2014·006 Grant Application Page 27 of27 7/23/2013
Renewable Energy Engineering, LLC.
· Mechanlcai Engineering, Energy E'lficiency Upgrades, Sustainable Energy Solutions
Renewable Energy Engineering, LLC -Call us today: 907-830-4076
We are located in Anchorage, Alaska. Renewable Energy Engineering,
LLC manages projects from high efficiency HVAC and plumbing to
sustainable and renewable energy design and planning. Let us save you
energy!
. Mechanical Engineering (HVAC)
• Electrical Engineering per Sub Consultant
• Energy Audits I Energy Efficiency Assessments, Feasibility Studies
• Engineering for Sustainable Energies such as Solar Thermal,
Photovoltaic, Wind, Hydro, Biomass, Geothermal, Waste Heat
Recovery
• Electrical Grid Analysis (per Sub Consultant)
• Layouts for Home Power, Backup Power, Grid Connected,
Off-grid, Energy Storage
• Grant Writing
• LEED Certification
We can get your community and your home up to speed when comes to
energy efficiency in mechanical and electrical systems.
We are dedicated to making a difference in Alaska's and the nation's
energy landscape.
Small scale or large scale application - We offer outstanding engineering
services for mechanical engineering and for the implementation of
renewable energy systems such as wind, solar-electric & solar-thermal,
hydro, wave, tidal, geothermal, biomass, and energy storage. Whether
studies, design bid build or design build, we can do it all.
We are licensed and insured in Alaska and ready to serve you!
Let's work together to get it done!
Renewable Energy Engineering, LLC.
· · MechimicaiEngineering, Energy Efficiency Upgrades, Sustainable Energy Solutions
CURRENT PROJECTS
Grant writing for Karluk, AK
Feasiblity Study and Design of 50kW Wind Park and Waste Heat
Recovery Upgrade in Karluk, AK
-This $1,000,000 project includes 4 Gaia Wind Turbines, 0.6 mile long
transmission line to power plant, electric boiler to utilize wind excess
energy, 2 generator heat recovery units, 1000 ft hydronic loop to connect
community buildings to waste heat recovery loop.
-1 wind monitoring tower was installed on the 1000 ft high mountain, data
will be recorded over one year and then analyze with the data processing
software
Design Services for Pilot Point, AK
Design of 1 OOkW Wind Park-Pilot Point, Ak
-This $1,300,000 project includes up to 8 Gaia Wind Turbines, 1.3 mile
long transmission line to power plant, electric boiler for wind excess energy
-REE also designed a new central heating system for main community
facilities, a 1300 ft hydronic heating loop to connect all community
buildings
-3 wind monitoring towers was installed, data is being collected over one
year and then analyze with the data processing software
-REE also provided an electrical grid assessment for the village
Building Energy Audits
Karluk Residential Building Energy Audit
This costumer was paying over $7000 in energy costs per year.
The building energy audit measured the entire house electrical and thermal
usage; itemized the energy used by heating, water heating, cooking &
refrigeration, light, entertainment, etc; The audit identified short term and
long term energy saving measures to reduce the home owner's energy bill.
Mechanical Engineering Projects
Teaming up with Q Engineers, REE provides design services for:
Cordova Fish Processing Plants in Kenai, Cordova
Mclaughing Gym in Bear Valley, Anchorage
Castable Ceramics Commercial Building
2
Renewable Energy Engineering, LLC.
Mechanical Ellgineering,Energy Efficiency Upgrades, sllstainabhi Energy Solutions
Energy Audits/Energy Efficiency Upgrades
We provide building energy inspections with the goal of reducing the
building energy consumption and building operating cost.
The building envelope heat loss is analyzed and the efficiency of the
existing mechanical and electrical systems is considered. We use the
latest energy modeling software. All the data is analyzed in the
comprehensive spreadsheets.
We can determine the energy upgrades that make sense for the building
and we can show the payback for each of those energy upgrade items.
Based on our recommendations, the building owner/project manager can
decide which energy upgrades shall be implemented.
Every building is different and unique, however, there are upgrades that
are readily available for most energy upgrade projects:
-Increase building insulation in roof/attic, and walls. Did you know that in
most buildings, the wall area is 4 times bigger that the roof area?
Therefore, increasing the wall insulation is very important. Also, most
buildings are designed by default to contain many thermal bridges, which
cause immense heat loss. Install air gaps in walls and consider integrating
a continuous layer of insulation such as ridged foam board.
-Tighten up the building envelope to reduce the infiltration heat loss. The
blower door test will tell you how much negative pressure the building can
hold. The higher this number the tighter the building is constructed.
-Use Low E windows. In Alaska, you want as many windows on the south
side, very few on the north side of the building. Low E windows permit
solar heat to enter a house, but block indoor radiant heat from escaping.
Low E coatings placed on the inside of the window pane can reduce the
radiant heat loss by 50%. Multiple panes and a space between the panes
filled with argon or krypton gas can also reduce the heat loss.
3
Renewable Energy Engineering, LLC.
Mechanical Engineerill9, Energy Efficiency Upgrades, Sustainable Energy Solutions
Sliding windows close less tightly than fixed windows. Metal-frame
windows conduct more heat than fiber-glass or vinyl windows. Much of the
window heat loss can be reduced by setting back the window in the wall.
Thicker walls allow setting back the window. This will reduce the effect of
cold air blowing directly over the exterior window pane. Further, the
energy loss at night can be reduced by installing exterior insulated window
shades. Window shades installed on the inside can cause icing issues.
The windows should have a label issued by the National Fenestration
Rating Council (FFRC). A U-factor (overall thermal performance) of 0.25
or less is desirable. The solar heat gain coefficient (heat transmission from
sunlight) should be greater than 0.6. The energy star label is also useful,
but having this label does not always mean that the window performs well
in our cold climate zone.
-Install a high efficiency heating system. Condensing gas boilers with
radiant floor systems can be up to 95% efficient. Condensing oil boilers
can be up to 91% efficient. Use an indirect fired hot water tank to make
domestic hot water. Utilize solar thermal collector preheating of domestic
water.
-Reduce pump energy: Consider variable frequency drive pumps (VFD)
-Modulate hydronic heating supply temperature based on the outdoor
temperature and allow for night set back; Modulate boiler output to match
heating demand and to run the boiler at best efficiency.
-Install heat recovery systems to use the heat in the building exhaust air
streams to preheat the incoming cold air.
-Replace all incandescent lighting with fluorescent or LED lighting. Replace
outdated T12 commercial fluorescent light fixtures with magnetic ballasts
with new T8 and T5 fixtures with electronic ballasts.
-Upgrade ventilation system to only provide what is really required
Installing variable flow boxes will allow the system to modulate the air flow
based on the actual demand, which will save fan power. Clean/replace
filters frequently.
4
Renewable Energy Engineering, LLC.
Mechanical Engineering, Energy Eifidencl' Upgrades, Sustainable Energy Solutions
t-leating Ventilation Air Conditioning Plumbing
We provide the full spectrum of building mechanical engineering:
-Heating Design: We calculate the heat loss and heat demand of your
building and size the heating system. Together with the building
owner/developer, we determine the type of heating fuel that will be utilized
(Oil, natural gas, propane, electricity).
A heated floor makes sense! Whether new built or remodel, deciding for a
hydronic heated floor system increases comfort and saves energy. Did
you know that high efficient condensing boilers depend on a low heating
return temperature in order to operate in the high efficient range? Radiant
floors are perfect for that because of the low supply and return
temperatures (120 deg F and 90 deg F.)
-Plumbing Design: Domestic cold water and hot water: Solar thermal
collectors can be used for preheating. Evacuated tube collector are 90%
efficient and do work in Alaska. It makes sense to combine building
heating and domestic water heating in one boiler.
-Ventilation Design. Ventilation is important in any climate because it
replaces stale indoor air with fresh outdoor air, and flushes out potential
pollutants caused by combustion appliances or offgassing materials. Did
you know that ventilation is essential in cold climates, where homes are
often built tighter and allow less natural air leakage? Ventilation also
controls indoor humidity, which is created by activities like cooking,
showering, and breathing. If moist air is not exhausted, it can build up to
damaging levels, penetrate different parts of the home, such as the walls
and roof, and potentially cause moisture problems like mold and rot. You
can add mechanical ventilation through fans, vent hoods, or with a heat-
recovery ventilator (HRV), depending on the nature of the situation. We
design variable and constant flow air conditioning ventilation systems. We
make sure to provide only as much ventilation and outdoor air as needed
in the building. Heat recovery on the exiting exhaust air streams pays
back quickly. The heat is used to preheat the cold incoming outdoor air. A
product called Solarwall can be used for preheating cold incoming outdoor
a1r.
5
Renewable Energy Engineering, LLC.
· Mechanical Engineering, Energy ·Efficiency Upgrades, Sustainable Energy Soiutions
LEED Green Building Certification
We provide LEED certification for buildings.
LEED certification provides independent, third-party verification that a
building project is environmentally responsible, profitable and a healthy
place to live and work. It makes sure that a building, home or community
was designed and built using strategies aimed at achieving high
performance in key areas of human and environmental health: sustainable
site development, water savings, energy efficiency, materials selection and
indoor environmental quality.
Feasibility Studies
We can provide Energy Feasibility Studies.
A feasibility study looks at the different on-site renewable energy
technologies available to see which, if any, could be used. This could be a
wind park study or village heating system upgrade study, or any other
energy efficiency upgrade. The renewable energy feasibility study takes
into account many factors such as location, building orientation, building
size, demand for particular energy at any given time, degree days, wind
speeds, availability of biomass fuels, planning issues etc. Our Energy
Feasibility Studies can be used a as a single source for all the critical
information you need to make an informed decision about some
opportunity, risk, or option. The Energy Feasibility Study Report can be
used by anyone as a quick self-study guide.
Grant Writing
We can help you with your grant application.
There are many grant money opportunities available for business,
education, research, non-profits, tribes, communities, etc. We can help
you with your grant writing whether you are applying for money from
government entities, businesses, private foundations or trusts. Those
applying for grants include non-profit organizations, educational
institutions, and individuals as well as government entities.
6
Renewable Energy Engineering, LLC.
Mechanical Engineering, Energy Efficiency Upgrades, Sustainable Energy Solutions ·
Biomass Energy
We provide feasibility studies and design services for biomass heat. Our
experience covers small to large biomass energy systems using cord
wood, pellets, or chips. In order the determine the right system for your
application, some first general questions one should look into are:
-How much heating capacity is needed?
-What local biomass source is available/Does it have to be shipped
in/What is the closest supply location?
-Is there any existing structure that can house the new biomass boiler?
-How much biomass storage do I need and how do I protect it from the
elements?
-Are you planning on training operators for the system operation and
maintenance?
Did you know the in many countries the fire departments appreciate the
communities cleaning out their forests by removing dead trees and
branches, thereby reducing the fire hazard. That means free biomass that
can be transformed to wood ships or pellets.
Every system has its pros and cons. Let us help you with the technical
details! Make the right decision and save fuel oil by switching over to using
biomass!
We have a lot of knowledge in fossil combustion technology. A good
portion of the biomass heat systems available in the USA were invented in
Europe, especially in Germany. Our engineer was trained in Germany in
Energy Engineering Technologies also including thermodynamics,
combustion technology, power plant operation and controls, power from
biomass, wind, hydro and solar power plants.
7
Renewable Energy Engineering, LLC.
· Mechanical Engineering, Energy.Efficiency Upgrades, Sustainable Energy Solutions
Wind Power
We provide wind energy design for small and large wind power
applications. It is important to pick the right wind turbine type for the
unique on-site wind parameters. First, the wind speed is evaluated with
monitoring towers. The data is analyzed with the latest wind data
processing software. We simulate the users power demand and determine
the appropriate wind power capacity. We calculate the expected wind
turbine output based on the manufacturer specifications and the on-site
wind parameters. We consider several wind turbine manufactures and
various combinations of wind turbines to find the most cost effective and
most productive solution for you. There are many smart decisions to be
made to pick the right place for a wind park, the right type of tower
foundation, the appropriate tower height, the transmission line back to the
power plant, the switch gear, and battery system, use of excess energy.tc.
The taller the tower the better!
Wind increases exponentially
with height, therefore higher
towers make sense because
their cost is justified through
increased power production.
Those taller towers also allow
larger turbines to enter the
market and allow installing
them in less turbulent winds, which decreases wear and fatigue. The 80-
m tower is about standard in the USA. In Europe, the 100-m tower is
standard. The extra 20m will make best use of the larger rotors. Of
course, cranes are needed to erect taller towers. In Europe there is a
sophisticated infrastructure and cranes can be transported by road to the
wind park site. In Alaska however, especially in the remote villages, there
is limited road access. Most equipment needs to be barged or flown
in. For small wind farms in remote villages, smaller towers with tilt-up kits
may be the way to go. Those can be easily taken down for maintenance
as well.
8
Renewable Energy Engineering, LLC.
· Mechanical Erigineeiiiig, Energy Efficiency Upgrades, sustainable Energy Solutions
Hydropower -Small System under 30 MW
We provide hydro power design & system layout. We can help you with
you with the hydroelectric design and consulting services including,
engineering, project planning, project management and supervision in all
phases of small hydroelectric power development including hydraulic
design, hydroelectric dams, intakes, spillways, tunnels, penstocks,
electromechanical equipment, power transmission lines and electrical
substations.
Our company would provide hydropower engineering, civil, structural and
mechanical design, feasibility studies, site investigations, cost estimates,
contract documents, bid evaluations, environmental impact assessments
and reports, project management, project planning and on-site
inspections. We use sub consultants for electrical, structural and civil . . . engmeenng serv1ces.
Hydropower systems provide reliable continuous power for communities
and cities. They are dependent on specific combinations of geography,
demand, and land-use issues.
9
Renewable Energy Engineering, LLC.
Mechanical Engineering, Energy Efficiency Upgrades, Sustainable Energy Solutions ··
Solar Heating
Solar Heating Does Work in Alaska!
We tested the Ovendrop evacuated tube collector in South Pole. While flat
collectors lose most of the absorbed heat in the cold climate zone
temperature conditions, the evacuate tube design keeps most of the heat
energy inside the heat pipe making those collectors about 90%
efficient. We have designed the system layout of several installations in
Alaska.
We can help you save energy.
A Typical Residential System Design
Description
The solar closed-loop heating system
consists of the pump and control station,
one or two evacuated tube
collector(s), and a glass lined tank with
two internal coils and an electric
backup element. An expansion tank is
also needed. Propylene glycol antifreeze
is filled into the closed loop system
through the fill and flush valve. Cold water is piped to the solar tank. An
anti-scald valve must be installed for hot water mixing to hot water fixtures
if the solar tank high limit in the controller is set above 120 F. The top coil
is piped to the boiler in the manner of a standard indirect water heater.
10
Renewable Energy Engineering, LLC.
Mechanical Engineering, Energy EfliciellcyUpgrades, Sustainable Energy Solutions
11
Renewable Energy Engineering, LLC.
Mechanical Engineering, Energy Efficiency Upgrades, SustaillaoleEnergy Solutions
Solar Power
Solar Power does work in Alaska! Tests were performed in South Pole
to get photovolatic panel operating results in extreme cold climate
conditions. Michael Hauke traveled to the Amundsen Scott South Pole
Station as a building inspector. He performed a feasibility study for using
solar power to partially replace fuel oil. See pictures and link to full report
below.
During the 2008-09 summer, a new test project saw photovoltaic (PV)
panels installed on the roof of Altie Meadows, the central power building
for the summer camp utilities. Six 175W Sharp modules were installed ... 2
facing west, and one each facing north, south, east, and up. They were
closely monitored to determine the output of each panel 24/? ... during the
initial period of installation they averaged a total of 65 kWH weekly.
As a part of the study, the potential fuel savings was determined, assuming
that all available roof and wall areas on station structures were outfitted
with similar panel installations ... the numbers indicated that a maximum
annual fuel savings of 25% could be achieved ... and a payback period of
less than 2 years (material cost only) assuming a delivered fuel cost of $30
per gallon and an output of 13.04 kWH per gallon. In summary, about 2400
gallons of fuel per year would be saved for each 100 solar panels that
were installed.
12
Renewable Energy Engineering, LLC.
· MechanicaiEnglneefing, Energ)fEifidency Upgrades, Sustainable Energy Solutions
Michael also worked in Germany and Spain on solar power plant
research projects. He worked with the German Society for
Aeronautics and Astronautics (DGLR) and at the PlataformaSolar
in Almeria, Spain.
Engineers at PlataformaSolar are testing various solar power
plant concepts including solar towers, solar parabolic troughs,
solar dishes, and more. Michael's task was to analyze options to
minimize the heat loss of the parabolic trough in the water/steam
parabolic trough solar power plant.
13
Renewable Energy Engineering, LLC.
MechanicafE!lgllleerlng, Energy EffiCiellcy Upgrades, sustainable Energy Solutions
Heat Pumps
We offer heat pump design & layout. Heat pumps use electric energy to
make heat for a building. With power factors of 1 :3 to 1:4, they can make
3 to 4 times as much heat energy. It makes a lot of sense if the electricity
is provided by a renewable energy source such as wind, solar, hydro, etc.
Groundwater Heat Pump (GWHP) or open-loop systems are the most
established of the ground-source heat pump systems. These systems
require careful consideration of groundwater flow, well design, heat
exchanger selection and disposal.
Open Loop System Options:
1. In residential design and in small commercial applications, groundwater
is directly used in heat pump units. It is very susceptible to water quality
induced problems, the most common of which is scaling of the refrigerant-
to-water heat exchangers. This design is recommended in only the
smallest applications in which practicality or economics precludes the use
of an isolation heat exchanger and/or groundwater quality is excellent (the
determination of which requires extensive testing). The standing column
system has been installed in many locations in the northeast portion of the
U.S. Like the direct groundwater system, it is subject to water quality
induced problems. Standing column systems are used in locations
underlain by hard rock geology; where wells do not produce sufficient
water for conventional open loop systems and where water quality is
excellent. Depths of wells are 1 000 to 1500 ft and the systems operate at
temperatures between those of open and closed loop systems. In colder
climates, this sometimes precludes the use of a heat exchanger to isolate
the groundwater.
2. Indirect open loop systems employ a heat exchanger between the
building loop and the ground water. This eliminates exposure of any
building components to the ground water and allows the building loop and
ground water loops to be operated at different flows for optimum system
performance. Water can be disposed of in an injection well or to a surface
body if one is available. These systems offer energy efficiency comparable
14
Renewable Energy Engineering, LLC.
Mechariicai'Englneerillg, Energy Efficiency Upgrades, Sustainable Energy Solutions ·· ·· · ·
to closed loop systems at substantially reduced capital cost. Thus, water
quality and geology limitations are eliminated.
Open loop system design is one in which the performance of the system is
optimized based on the power requirements of the well pump, loop pump
and heat pumps. In a system of this configuration, it is apparent that the
greater the ground water flow, the more favorable will be the temperatures
at which the heat pumps will operate. As the ground water flow is
increased, the improvement in heat pump performance is increasingly
compromised by rising well pump power. At some point, increasing well
pump power overshadows the improvement in heat pump performance
and the total system performance begins to decline. The task in open loop
design is to gather enough information about the well pump, loop pump
and heat pumps to permit the identification of these trends and to select
the optimum system performance point.
One has to elevate the well pump power required to produce a range of
groundwater flows and combine that with the heat pump performance at
those same groundwater flows. The optimum relationship between
pumping power and heat pump performance is established at the design
condition and system performance at off peak conditions is maintained by
accurate well pump control.
15
lL ); '' . . \. ,, I I I 00 rq.~l lr,. !l IV/ [~ 1.-U~
SI-P l 6 2013 LV
AIDEA September 9th, 2013
AEA
The Alaska Energy Authority
813 W Northern Lights Blvd
Anchorage, AK 99508
RE: ReD,ewable Energy Fund Round 7-Karluk Feasibility Study and Design for
Integration of Wind Energy and Waste Heat Recovery
To Whom it May Concern,
Please find attached the Karluk Tribal Council's grant application for the integration of
wind energy and waste heat recovery.
The Karluk Tribal Council has hired Renewable Energy Engineering, LLC (REE,LLC) to
seek grant funding for renewable energy and energy efficiency upgrade projects through
the Renewable Energy Fund. REE, LLC has long supported mechanical, energy
conservation, and renewable energy projects in Alaska.
Alicia Andrew, the president of the Karluk Tribal Council, is authorized to commit this
organization to the obligations under the grant. Alicia Andrew will serve as the
authorized name point of contact to represent the applicant for purposes of this
application.
The Karluk Tribal Council is in compliance with all federal, state and local laws
including existing credit and federal tax obligations.
By the authority granted by the Board, let this letter serve as formal approval and
endorsement for the Karluk Wind Energy and Waste Heat Recovery Project and as a
commitment to provide project resource contributions as indicated in the application.
Enclosed are the following documents:
• Grant Application
• Contact information, resumes of Applicants Project Manager, key staff,
partners and consultants and suppliers
• Letters demonstrating local support
• Electronic version of application
Sincerely, ~ (" -::il:t1_ (
Alicia Andrew President
Email: karlukiracouncil@aol.com
Karluk IRA Tribal Council
P.O. Box22
Karluk, Alaska 99608
Ph(907)241-2218 fax(907)241-2208
Relevant Organizational Experience
Renewable Energy Engineering, LLC (REE) has been providing engineering services for
Karluk and other Alaskan villages.
REE, LLC provides design and planning services for high efficient HV AC and plumbing to
sustainable energy systems. The following quality energy services are offered:
• Mechanical Engineering for Buildings including HV AC, Heating, Plumbing, Ventilation &
Air Conditioning,
• Waste Heat Recovery
• Energy Studies, Feasibility Studies, Energy Assessments, Energy Audits
• Home Power, Backup Power, Grid Connected, Off-grid, Energy Storage
• Graot Writing, LEED Green Building Certification
• Sustainable Energy Engineering such as Solar thermal, Photovoltaic, Wind,
• Hydro, Biomass, Geothermal, Wave Energy, Heat Pumps
REE is dedicated to making a difference in Alaska's and the nation's energy landscape.
Small scale or large scale application -REE offers outstaoding engineering services for
mechanical engineering and for the implementation of renewable energy systems such as wind,
solar-electric & solar-thermal, hydro, wave, tidal, geothermal, biomass, and energy storage. The
founder of the Renewable Energy Engineering, LLC obtained his energy education and work
experience in Europe where those technologies are common practices. 9 years of construction
engineering experience in Alaska add to this knowledge. Overall 13 years of work experience.
Whether studies, design bid build or design build, REE cao get the job done. REE is licensed aod
insured in Alaska.
Q Engineers, Inc. will work as a sub-consultant to REE. Q Engineers, Inc. is licensed and
insured in Alaska.
Electrical aod Mechanical Engineering for new, renovations aod general upgrades to buildings to
include HVAC, plumbing, electrical, aod data systems. Q Engineers specializes in federal, state
and city government projects with a team of mechanical and electrical engineers highly
experienced in operating in government-structured contracts. Q Engineers has executed
numerous design-build projects for government aod private owners, working directly with
contractors to design medical, industrial aod residential facilities.
Alaska Wind Industries, Inc.
Alaska Wind Industries, Inc. will integrate the wind turbine system.
Standard Steel Inc. dba Alaskan Wind Industries, is the leading and most experienced renewable
energy general contractor for wind turbines ranging SkW and 50kW for the State of Alaska.
AKWI is a specialty contractor offering structural steel erection, welding services, tower
climbing maintenance and wind turbine installations for all of Alaska. As a specialty contractor
with years of working knowledge with rigging, structural systems and welding -this company
has completed competent, safe, and successful implement of wind turbines throughout Alaska.
This firm is certified in tower and rescue climbing for all types of tower maintenance, met tower
installations and wind turbine tower construction. AKWI provides full turn key projects.
To make sure all systems are placed correctly, AKWI provides trained site assessors to properly
evaluate landscapes. To request a site assessment, please click here. Further, AKWI maintains a
direct line to the world's leading manufacturers of small distributed wind energy systems. AKWI
effectively keeps up to date on the industries changes which limits the exposure of producers
from untested systems that are not ready for our Alaskan environment. Alaskan Wind Industries
is known for their technical assistance, extreme financial support and unbeatable customer
support.
AKWI has certified electricians with long term experience that can connect the wind turbines to
the grid and switch gear.
A & J Mechanical
Jim Scott with A & J Mechanical will install the waste heat recovery system. Jim has a long
tracking record for mechanical contracting work in Alaska. He has installed heating, plumbing
and waste heat recovery systems in Alaska. Jim has over 35 year construction experience with
mechanical systems. He has worked as plumbing project supervisor for Klebs Mechanical for 5
years. He worked 4 years with Athna Construction and was owner of Scott Mechanical
Construction for over 17 years.
His licenses include, State of Alaska Mechanical Administrator, State of Alaska Journeyman
Plumber, Municipality of Anchorage Journeyman Plumber/Contractor, City of Fairbanks Master
Plumber.
The waste heat recovery equipment will be provided by S .F. Griggs and Associates, who have a
long track record on selling waste heat recovery systems. S.F. Griggs latest project involves a
$36,000,000 waste heat recovery application in Seattle.
In 2009, the Karluk Tribal council was awarded a $30,000 for conducting a village energy study
which has been completed. The study was focused on the building energy audits.
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Alutiiq Power Co.
P.O. Box42
Karluk, Alaska 99608
Phone 907-241-2228 Fax 907-241-2213
August 8, 2012
Alaska Energy Authority
813 West Northern Lights Blvd.
Anchorage, Alaska 99503
RE: Renewable Energy Fund Round 6 Application of Karluk Tribal Council
Dear Review Committee:
The Karluk Tribal Council owns and runs the Alutiiq Power Co. which operates the Karluk power
plant.
The Alutiiq Power Co. is pleased to support the renewable energy power development and
energy efficiency upgrades -specifically the integration of wind turbines and power plant
generator waste waste heat recovery. Our commitment is expressed in our willingness to
coordinate and share information with the Ak. Energy Authority, AEA and Renewable Energy
Engineering, LLC {project engineering consultant).
The Karluk Tribal Cound11s a federally-recognized native tribe. As AEA is aware, increasing fuel
costs and fuel transportation in rural Alaska are driving local residents to leave their
communities and shifting development. Most houses in Karluk elettric heaters are used as
supplementary heat source. In some of the houses electric heaters are the only heat source,
resulting in l_ligh energy bills. The average household energy costs are estimated to be in excess
of $4,549 per year exclusive of firewood and propane. With the current fuel price of $4.92 per
gallon, and an electricity base cost of $0.71/kWh, the community struggles greatly with the
increasing energy costs they have to pay each year, making lt hard to survive as a small tribe.
Karluk knows that the only solution is to invest in a more economical and sustainable energy
infrastructure. However, due to its size,Karluk relies on federal funding to make it happen.
The Alutiiq Power Co. believes that the most important benefit of the project will be that the
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availability of sustainable and affordable energy will improve the living conditions or residents,
support economic development, and encourage younger members of the tribe to remain In the
community of Karluk.
To address this rural crisis, the Alutiiq Power Co. would support a safer, more reliable, and
renewable power source to provide heat and electricity to the customers of Karluk. Stabilizing
and lowering the cost of electrifying the community wlll have a positive effect on Karluk and
encourage economic investment. It is our firm belief that a hybrid wind-diesel system with
waste heat recovery can be developed that would make Karluk a viable place to live and work.
With support of AEA, Karluk could confirm that hydroelectric power Is a feasibility option for
the community. With continued rising diesel fuel costs, this system would significantly benefit
the community of Karluk.
Sincerely,
~~~
Kodiak Island Borough
August 14, 2012
Alaska Energy Authority
813 West Northern Lights Boulevard
Anchorage, AK 99503
Office of the Borough Mayor
710 Mill Bay Road
Kodiak, Alaska 99615
Phone (907) 486-9310 Fax (907) 486-9391
Re: Renewable Energy Fund Round 6 Application of Karluk Tribal Council
Dear Review Committee:
The Kodiak Island Borough supports the Karluk Tribal Council's application for the renewable
energy power development and energy efficiency upgrades. This is a critical project for Karluk
due to the increasing fuel costs in rural Alaska. These costs are driving local residents to leave
their communities and shifting development.
For a village like Karluk, most houses supplement their heat source with electric heaters and in
some homes that is the only heat source. This results in high energy bills and village residents
struggling with the increasing costs they pay each year, and making it hard to survive as a small
tribal village.
The solution is investing in a more economical and sustainable energy infrastructure to make
Karluk a viable place to live and work. The Kodiak Island Borough and the Karluk Tribal Council
would very much appreciate your favorable consideration of this critical energy power
development and energy efficiency upgrades. This system would significantly benefit the
community of Karluk.
Sincerely,
KODIAK ISLAND BOROUGH
Jerome M. Selby
Borough Mayor