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HomeMy WebLinkAboutPackers Creek Hydro-Grant AppRd4 ALASKA RENEWABLE ENERGY FUND GRANT APPLICATION Round IV – FY 2012 For PHASE 2 OF PACKERS CREEK HYDROPOWER PROJECT Submitted to Alaska Energy Authority 813 West Northern Lights Boulevard Anchorage, Alaska 9503 By Chignik Lagoon Power Utility PO Box 130 Chignik Lagoon, Alaska 99565 September 15, 2010 Renewable Energy Fund Round IV Grant Application Packers Creek Hydroelectric Project – Construction AEA 11-005 Application Page 1 of 21 7/21/2010 SECTION 1 – APPLICANT INFORMATION Name (Name of utility, IPP, or government entity submitting proposal) CHIGNIK LAGOON POWER UTILITY Type of Entity: PUBLIC ELECTRIC UTILITY Mailing Address PO BOX 31 CHIGNIK LAGOON, AK 99565 Physical Address CHIGNIK LAGOON COMMUNITY BULDING Telephone 907-840-2277 Fax 907-840-2217 Email dianaloumoore@gmail.com 1.1 APPLICANT POINT OF CONTACT / GRANTS MANAGER Name Diana Moore Title Utility Manager, Hydropower Project Manager Mailing Address PO Box 31, Chignik Lagoon, AK 99565 Telephone 907-840-2277 Fax 907-840-2217 Email dianaloumoore@gmail.com 1.2 APPLICANT MINIMUM REQUIREMENTS Please check as appropriate. If you do not to meet the minimum applicant requirements, your application will be rejected. 1.2.1 As an Applicant, we are: (put an X in the appropriate box) X An electric utility holding a certificate of public convenience and necessity under AS 42.05, or An independent power producer in accordance with 3 AAC 107.695 (a) (1), or A local government, or A governmental entity (which includes tribal councils and housing authorities); YES 1.2.2. Attached to this application is formal approval and endorsement for 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. (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. Renewable Energy Fund Grant Application Round IV Packers Creek Hydroelectric Project – Construction AEA11-005 Grant Application Page 2 of 13 7/21/2010 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) Packers Creek Hydroelectric Project 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. The project would be located on the Packers Creek, located directly behind the village of Chignik Lagoon. The project is located within sections 5 and 8 of township 45 south, range 59 west, of the Seward Meridian. 2.3 PROJECT TYPE Put X in boxes as appropriate 2.3.1 Renewable Resource Type Wind Biomass or Biofuels X Hydro, including run of river Transmission of Renewable Energy Geothermal, including Heat Pumps Small Natural Gas 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) Reconnaissance Design and Permitting Feasibility X Construction and Commissioning Conceptual Design 2.4 PROJECT DESCRIPTION Provide a brief one paragraph description of your proposed project. Proposed project is a high head run-of-river hydroelectric power plant on Packers Creek in Chignik Lagoon with an installed capacity of 145 kW. Project will include a 9 foot tall timber dam, 3,220 foot long 16 inch diameter penstock and access trail; 400 square foot power house; 1,500 foot long access road with a bridge across Packers Creek to the powerhouse; and a 1,700 foot long overhead power line extension to the existing distribution system. Renewable Energy Fund Grant Application Round IV Packers Creek Hydroelectric Project – Construction AEA11-005 Grant Application Page 3 of 13 7/21/2010 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.) The Chignik Lagoon Power Utility generators use approximately 45,000 gallons of diesel fuel per year. The project will meet an estimated 94% of Chignik Lagoon’s existing electrical demand, and offset use of 43,950 gallons of diesel generation fuel. An additional amount of interruptible electric space heat will be available to offset further heating oil usage. Additional Public Benefits would be fewer pollutants discharged into the air, less risk for environmental liability, lower cost electricity allowing for potential future construction of a freezer plant to expand the existing local economy. 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. Chignik Lagoon Power Utility requests $2,440,000 in grant funds for construction of the project. Local match will consist of other grants, cash, equipment usage, labor, housing and other in-kind support totaling $60,000. 2.7 COST AND BENEFIT SUMARY Include a summary of grant request and your project’s total costs and benefits below. Grant Costs (Summary of funds requested) 2.7.1 Grant Funds Requested in this application. $ 2,440,000 2.7.2 Other Funds to be provided (Project match) $ 60,000 2.7.3 Total Grant Costs (sum of 2.7.1 and 2.7.2) $ 2,500,000 Project Costs & Benefits (Summary of total project costs including work to date and future cost estimates to get to a fully operational project) 2.7.4 Total Project Cost (Summary from Cost Worksheet including estimates through construction) $2,500,000 2.7.5 Estimated Direct Financial Benefit (Savings) $187,300 per year PW of benefits: $5,745,348 2.7.6 Other Public Benefit (If you can calculate the benefit in terms of dollars please provide that number here and explain how you calculated that number in your application (Section 5.) Excess hydro power to space heat to offset estimated 5,000 gallons of heating oil use, stabilize local energy costs, improve air quality, encourage local economic development. Renewable Energy Fund Grant Application Round IV Packers Creek Hydroelectric Project – Construction AEA11-005 Grant Application Page 4 of 13 7/21/2010 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. Diana Moore, manager of the Chignik Lagoon Power Utility, will be the project manager. The Chignik Public Utility would advertise for, and hire a construction manager to oversee contractor construction. The design team of Polarconsult would provide project inspection at key intervals. Additional project management support may be solicited from AEA to assist in selection of construction manager. 3.2 Project Schedule Include a schedule for the proposed work that will be funded by this grant. (You may include a chart or table attachment with a summary of dates below.) Under an existing grant, Chignik Lagoon is finishing the design process and has applied for all permits. The requested grant would be used to complete the following activities. CONSTRUCTION Ø Hire Project Manager January 2011 Ø Contract Bidding and Award March 2011 Ø Contractor Material Purchases and Mobilize May 2011 Ø Construct Access Road and Power line June 2011 Ø Construct Powerhouse July 2011 Ø Construct Access Trail, Intake and Penstock September 2011 Ø Install Switchgear, Controls and Turbine November 2011 Ø Project Start-up December 2011 3.3 Project Milestones Define key tasks and decision points in your project and a schedule for achieving them. The Milestones must also be included on your budget worksheet to demonstrate how you propose to manage the project cash flow. (See Section 2 of the RFA or the Budget Form.) The following milestones are proposed: PERMITTING Ø Land Authorizations Ø Receive State Permits Ø Receive Federal Permits CONSTRUCTION Ø Advertise for Construction Ø Award Construction Contract ADMINISTRATION Ø Advertise and hire Project Manager Ø Monthly/quarterly reports as required by AEA Renewable Energy Fund Grant Application Round IV Packers Creek Hydroelectric Project – Construction AEA11-005 Grant Application Page 5 of 13 7/21/2010 3.4 Project Resources Describe the personnel, contractors, 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. The Chignik Lagoon Power Utility will advertise for a project manager to oversee the construction of the new hydroelectric plant. Submitted resumes will be reviewed and phone interviews conducted of potential candidates. Most qualified person will be hired. Chignik Lagoon Power Utility will advertise for bids to construct the new plant. Bids will be received and reviewed to determine if complete and contractor has required experience to complete the work. Construction contract will be awarded to the best qualified, lowest cost contractor. Project manager hired for the project will provide on site inspection of contractor construction and submit project status and grant reports. Polarconsult will supply interim construction inspection services as required. Resume for Mike Dahl, Polarconsult’s project manager is attached. 3.5 Project Communications Discuss how you plan to monitor the project and keep the Authority informed of the status. The project manager hired for the project will prepare monthly project status reports. Reports will be submitted to the Authority. 3.6 Project Risk Discuss potential problems and how you would address them. This project utilizes proven technology and construction methods. Primary risk will be unanticipated ground conditions which may cause cost overruns. Potential problems with the construction will be reviewed by the project manager and forwarded to Polarconsult for recommendations if required. Contractor will be notified in writing of the corrective action to be taken through a response to a request for information or a negotiated contract modification. Renewable Energy Fund Grant Application Round IV Packers Creek Hydroelectric Project – Construction AEA11-005 Grant Application Page 6 of 13 7/21/2010 SECTION 4 – PROJECT DESCRIPTION AND TASKS · Tell us what the project is and how you will meet the requirements outlined in Section 2 of the RFA. · The level of information will vary according to phase(s) of the project you propose to undertake with grant funds. · If you are applying for grant funding for more than one phase of a project provide a plan and grant budget form for completion of each phase. · 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. Past studies (USACE, 1982 and Polarconsult, 1995) considered run-of-river hydroelectric projects of 150 to 200 kW installed capacity. The current project design recommends a 170 kW installation. This configuration would have a 94% capacity factor, providing 527,200 kWh of energy in an average water year of the 540,000 kWh demand. Plant would displace 43,933 gallons of diesel generation annually. The plant has an additional 892,800 kWh or excess energy available to offset existing oil fire space heat or hot water heat. This excess energy would be utilized by installation of load bank and electric heating coils or heaters in public buildings. 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. Chignik Lagoon Power Utility generates electricity with diesel fired generators and operates a 3 phase overhead 7.2/12.47 kV distribution system to serve the community. The existing system has an efficiency of about 12 kWh per gallon of fuel based on FY 2009 operations data. 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. Chignik Lagoon relies exclusively on diesel fuel for their electric generation and heating needs. This project would allow the existing diesel power plant to be shut down for much of the year. During cold or dry periods, the diesels would run in parallel with or instead of the hydro. The existing diesel plant would remain unchanged, and would provide a backup for periods when the hydro is unavailable. O&M costs for the existing diesel plant will be significantly reduced, and extend their useful life. Reduced fuel usage for power generation will result in reduced potential hazards from hydrocarbon storage and transport. 4.2.3 Existing Energy Market Renewable Energy Fund Grant Application Round IV Packers Creek Hydroelectric Project – Construction AEA11-005 Grant Application Page 7 of 13 7/21/2010 Discuss existing energy use and its market. Discuss impacts your project may have on energy customers. Electrical power is supplied to commercial businesses, residences, city buildings, streetlights, docks, and the school. This project will have a profound impact on the community by lowering energy costs and make the use of electrical space heating feasible. Lower and more stable energy prices will tend to increase electrical demand in the community. Commercial enterprises in Chignik Lagoon particularly suffer under the current energy costs as they are not eligible for PCE subsidized rates. Lower energy costs will help to encourage commercial activity in the community, which will tend to increase electrical demand. 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 Ø Run of the river hydroelectric project with a timber dam, penstock and pelton wheel turbine. Ø Installed capacity of 170 kW to carry entire community electric load and supply interruptible electric space heat. Ø Capacity factor: 94% Ø Annual generation: 527,200 kWh Ø Anticipated barriers: None Ø Integration concept: Switchgear will allow hydro to run solo or in parallel with existing diesel plant. Load governor utilized to direct excess hydro energy to interruptible electric space heating loads at the school and community buildings. Ø Delivery Method: New power line to tie hydro powerhouse into existing distribution grid. 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. The project will be developed on land owned by the Chignik Lagoon Native Corporation. The power line and access road to the project will be within a combination of existing public road right-of-ways and new right-of-ways on Chignik Lagoon Native Corporation Lands. The project is not located on disputed state land selections by the University. Draft property descriptions have been supplied to the Native Corporation and meetings are being conducted to finalize acquisition. 4.3.3 Permits Renewable Energy Fund Grant Application Round IV Packers Creek Hydroelectric Project – Construction AEA11-005 Grant Application Page 8 of 13 7/21/2010 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 All permits applications for the project have been filed for in July and August 2010, including: Ø FERC finding of non-jurisdiction Ø Coastal Zone Management Consistency Review Compliance/DCOM permits Ø DNR water rights Ø ADF&G fish habitat permit, Ø Corps of Engineers wetlands permits The project schedule assumes permitting can be completed by the early spring of 2011. Prior experience has been that this schedule is viable unless agencies require extensive resource studies. The City and its consultant will work closely with the agencies to expedite the completion of permitting. Unforeseen requirements or conditions pertaining to fish passage on Packers Creek could present a technical or financial barrier to the project, but these are considered unlikely based on meetings with Alaska Department of Fish and Game. 4.3.4 Environmental Address whether the following environmental and land use issues apply, and if so how they will be addressed: · Threatened or Endangered species · Habitat issues · Wetlands and other protected areas · Archaeological and historical resources · Land development constraints · Telecommunications interference · Aviation considerations · Visual, aesthetics impacts · Identify and discuss other potential barriers There are no significant environmental impacts associated with this project. Packer’s creek is not listed as an anadromous fish stream, and the majority of the bypass reach of Packers Creek is upstream of a 40 foot high waterfall. The project does not cross any wetlands. There are no known Archeological sites in the project footprint. The landowners is in full support of the project. There are no telecommunications or airport impacts. The project footprint is being limited and all cut and fill slopes to be revegetated with native species to reduce visual impacts. 4.4 Proposed New System Costs and Projected Revenues (Total Estimated Costs and Projected Revenues) The level of cost information provided will vary according to the phase of funding requested and any previous work the applicant may have done on the project. Applicants must reference the Renewable Energy Fund Grant Application Round IV Packers Creek Hydroelectric Project – Construction AEA11-005 Grant Application Page 9 of 13 7/21/2010 source of their cost data. For example: Applicants Records or Analysis, Industry Standards, Consultant or Manufacturer’s estimates. 4.4.1 Project Development Cost Provide detailed project cost information based on your current knowledge and understanding of the project. Cost information should include the following: · Total anticipated project cost, and cost for this phase · Requested grant funding · Applicant matching funds – loans, capital contributions, in-kind · Identification of other funding sources · Projected capital cost of proposed renewable energy system · Projected development cost of proposed renewable energy system Total project cost through construction: $2,500,000 Grant funding requested (Construction): $2,440,000 Local match, as cash and in-kind services: $60,000 Estimated capital cost of the project: $2,500,000 Estimated remaining development cost (construction): $2,500,000 (Cost estimates based on 2010 Polarconsult Design) 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.) Total annual O&M costs for the project are estimated as $10,500. O&M costs will be paid through the utility's electric rates. 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 electric utility will own the project. Power will be sold to utility customers. With the requested grant, electric rates in the community would decrease from the existing rates of $0.50 per kWh to about $0.20 to 22 per kWh. This reduced rate would cover all utility expenses, such as operation, maintenance, repair, general, and administrative costs. These rates do not consider PCE subsidies to residential / community accounts. 4.4.4 Project Cost Worksheet Complete the cost worksheet form which provides summary information that will be considered in evaluating the project. Download the form, complete it, and submit it as an attachment. Document any conditions or sources your numbers are based on here. Renewable Energy Fund Grant Application Round IV Packers Creek Hydroelectric Project – Construction AEA11-005 Grant Application Page 10 of 13 7/21/2010 The Cost Worksheet is attached at the end of this application. Sources of data: Chignik Lagoon Power Utility records, 1982 US Army Corps of Engineers Feassibility Report, 1995 Polarconsult Feasibilitiy report, and 2010 Project Design, Polarconsult Alaska. 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 (gal and $) 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 Annual fuel displacement / Lifetime (50-year) fuel displacement: - 49,100 gallons for electrical generation (2,454,850 gallons over life) - 13,000 gallons for space/water heating (650,000 gallons over life) Annual Revenue/Savings (using $4.26 per gallon fuel cost, less than mid range EIA fuel projections developed by AEA.) - $187,156 avoided fuel (electricity) - $ 55,380 avoided fuel (heating) Chignik Lagoon will pursue sales of green tags for energy from the project and other revenue streams that may be available to help offset the cost of the project and future utility costs. Non-economic benefits of the project to Alaskans include: - Stable and reasonable energy costs will also make Chignik Lagoon a more desirable place to live, and will help to attract local economic activity such as tourism, fishing, etc. The hydro will bolster the sustainability of the community for the long term. Commercial enterprises in Chignik Lagoon will benefit from lower energy costs. Lower energy costs will make local businesses such as stores, restaurants, and lodges more competitive and will increase Chignik Lagoon's sustainability and long term viability as a community. Affordable energy, and the local economic activity it will encourage and support, will help considerably in our long term efforts to help the community thrive. 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 Renewable Energy Fund Grant Application Round IV Packers Creek Hydroelectric Project – Construction AEA11-005 Grant Application Page 11 of 13 7/21/2010 · 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 The hydro would be operated by the existing certificated electric utility. Maintenance and operations of the hydro would be paid through electricity rates. No operational issues are expected. Operating costs would include continuing (decreased) O&M costs for the diesel plant, and costs to operate and maintain the hydro. We estimate $10,500 annually for hydro O&M and $11,600 annually for hydro repair and replacement (R&R). The R&R budget is an annualized value over the 50-year life of the project. Annual R&R costs would be lower in the early years of the project and higher in the later years of the project. The Chignik Lagoon Power Utility will report the savings and benefits of this project to AEA for the life of the project. 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. Chignik Lagoon Power Utility paid for a Feasibility study in 1982 and 1995 to evaluate the project. More recently, design and permitting work for the hydro is currently underway with a Denali Commission grant managed by AEA. The ongoing phase of the project includes the recently completed permit applications and 35% design for the project. Under the current work, Chignik Lagoon obtained a detailed LIDAR topographic survey of the project site, which our engineering consultant is using to complete project design drawings. These are scheduled to be completed this fall, and will allow the project construction to be put out to bid this winter. Applications have been filed for all major permits needed for the project, and the city has funds under its existing grant to advance these permit applications until the requested funds are available in July 2011. The requested funds would be used to complete the construction of the project. Chignik Lagoon has been very successful in managing our existing grant funds. We are fully meeting the requirements of the grant for the current work. 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 community of Chignik Lagoon has been supportive of this project since the US Army Corps of Engineeers study in 1982 showed its economic viability and still strongly supports this hydroelectric project. Renewable Energy Fund Grant Application Round IV Packers Creek Hydroelectric Project – Construction AEA11-005 Grant Application Page 12 of 13 7/21/2010 SECTION 9 – GRANT BUDGET 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. Include an estimate of budget costs by milestones using the form – GrantBudget3.doc Investment to Date: - Chignik Lagoon has expended in-kind services over the past 22 years to advance the project – discussions with state/federal agencies, etc. - Community and grant funds for 1982 and 1995 studies - $60,000 for 2010 project design, and permitting (under way) (combination of city funds and Denali Commission grant) Requested Grant Funds Total project cost through construction: $2,500,000 Grant funding requested (design/permitting): $2,440,000 Local match, as cash and in-kind services: $ 60,000 I2 ALASKA f c ENERGYAUTHoRTTY Renewable Energy Fund Grant Application Round lV Packers Creek Hydroelectric Project - Construction SEGTION 9 - ADDITIONAL DOCUMENTATION AND CERTIFICATION SUBMITTHE FOLLOWING DOCUMENTS WITH YOUR APPLICATION: A. Gontact information, resumes of Applicant's Project Manager, key staff, partners, consultants, and suppliers per application form Section 3.1 and 3.4. B. Cost Worksheet per application form Section 4.4.4. C. Grant Budget Form per application form Section 9. D. Letters demonstrating local support per application form Section 8. E. An electronic version of the entire application on GD per RFA Section 1.6. F. Authorized Signers Form. G. 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 proiect 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 federaltax obligations. H. GERTIFICATION 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. Print Name Clem Grunert Signature (Nry>t ,H,m*S- Title Chignik Lagoon Power Utility President Date September 15,2010 AEAI 1-005 Grant Application Page 13 of 13 7t21t2010