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HomeMy WebLinkAboutNew Stuyahok Wind App 2009 Alaska Village Electric Cooperative 11/03/2009 Renewable Energy Fund Round 3 New Stuyahok Wind Grant Application Tab 1 Grant Application Renewable Energy Fund Round 3 Grant Application AEA 10-015 Application Page 1 10/7/2009 SECTION 1 – APPLICANT INFORMATION Name (Name of utility, IPP, or government entity submitting proposal) Alaska Village Electric Cooperative, Incorporated Type of Entity: Electric Utility Mailing Address 4831 Eagle Street Anchorage, AK 99503 Physical Address Telephone (907) 561-1818 Fax (907) 561-2388 Email 1.1 APPLICANT POINT OF CONTACT Name Brent Petrie Title Manager, Community Development Key Accounts Mailing Address 4831 Eagle Street Anchorage, AK 99503 Telephone (907)565-5358 Fax (907)561-2388 Email BPetrie@avec.org 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 3 AEA10-015 Grant Application Page 2 of 17 10/7/2009 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) New Stuyahok Wind- Feasibility Analysis, Resources Assessment, and Conceptual Design 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. New Stuyahok (pop. 491) is located on the Nushagak River, about 12 miles upriver from Ekwok and 52 miles northeast of Dillingham. 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 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 X Feasibility Construction and Commissioning X Conceptual Design 2.4 PROJECT DESCRIPTION Provide a brief one paragraph description of your proposed project. A meterological (met) tower installed in New Stuyahok between 2003 and 2005 found that winds were class 3 (fair to good); however, placement of the met tower was hindered by the active runway at the time (location new airport has now been constructed out of town), and it is expected that the wind resource could be better. Before going forward with the final design and construction of wind turbines, AVEC would like to better determine the wind potential in the community. The work would involve permitting, purchasing, transporting, and installing a met tower, studying the wind resource for one year, and conducting a geotechnical investigation to determine the soil conditions and needed engineering at the site. A conceptual design will be created based on the outcome of the met tower recordings and geotechnical investigation. Renewable Energy Fund Grant Application Round 3 AEA10-015 Grant Application Page 3 of 17 10/7/2009 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 primary financial benefit from this project would be reduced fuel costs to the people of New Stuyahok. By integrating wind energy, diesel fuel use for village power generation in New Stuyahok could be reduced by 30%. If the conditions are suitable and wind turbines are installed, the residents of New Stuyahok would benefit from reduced power costs; the savings to the community could be about $164,000 annually. Other Benefits to the Alaskan Public: The anticipated benefits of installation of the wind turbines would be reducing the negative impact of the cost of energy by providing a renewable energy alternative. This project could help stabilize energy costs and provide long-term socio-economic benefits to village households. Locally produced, affordable energy will empower community residents and could help avert rural to urban migration. This project would have many environmental benefits resulting from a reduction of hydrocarbon use. These benefits include: • Reduced potential for fuel spills or contamination during transport, storage, or use (thus protecting vital water and subsistence food sources) • Improved air quality • Decreased contribution to global climate change from fossil fuel use 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. The total project cost for the project is $150,000 of which $142,500 is requested in grant funds. The remaining $7,500 will be matched in cash by AVEC. 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. $ 142,500 2.7.2 Other Funds to be provided (Project match) $ 7,500 2.7.3 Total Grant Costs (sum of 2.7.1 and 2.7.2) $ 150,000 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) $4,436,800 2.7.5 Estimated Direct Financial Benefit (Savings) $164,716 annually 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.) To be determined, based on avoided fuel costs. Renewable Energy Fund Grant Application Round 3 AEA10-015 Grant Application Page 4 of 17 10/7/2009 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 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. AVEC will provide overall project management and oversight. AVEC is the electric utility serving New Stuyahok. Brent Petrie, Manager, Community Development and Key Accounts will take the lead role as project manager. He has worked for Alaska Village Electric Cooperative since 1998, where he manages the development of alternatives to diesel generation for AVEC such as using hydro, wind or heat recovery. He also manages relationships with AVEC’s largest customers and is the project manager for AVEC’s many construction projects as an energy partner of the federally funded Denali Commission. Mr. Petrie has been employed in the energy and resource field for more than thirty years, having worked for the federal and state governments as consultant, planner and project manager. He has been a utility manager or management consultant since 1993. As General Manager of Iliamna- Newhalen-Nondalton Electric Cooperative from 1994 to 1998, he reported to a seven-member, elected board of directors, and served as project manager on its hydroelectric project development. He is an elected member of the Board of Directors of the Utility Wind Interest Group representing rural electric cooperatives and serves on the Power Supply Task force of the National Rural Electric Cooperative Association. Mr. Petrie has a Master’s Degree in Water Resource Management and a Bachelor's degree in Geography. His resume is attached. 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.) Authorization to Proceed: September 2010 Select Engineering Contractor: September 2010 Obtain Site Control/Right of Entry/Permits: September 2010 Ship Met Tower: September 2010 Erect Met Tower: September 2010 Complete Monitor Met Tower Data: October 2010-September 2011 Land and Regulatory Issues Memorandum: January 2011 Environmental and Permitting Memorandum: January 2011 Conceptual Business Plan: June 2011 Conceptual Operating Plan: June 2011 Renewable Energy Fund Grant Application Round 3 AEA10-015 Grant Application Page 5 of 17 10/7/2009 Geotech Field Work: June 2011 Geotech Report: August 2011 Alternatives Assessment: August 2011 Dismantle Met Tower: September 2011 Wind Resource Report: November 2011 Conceptual Design and Cost Estimate: November 2011 Final Combined Report: 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.) 1. Project scoping and contractor solicitation (September 1-September 15, 2010) AVEC will select a contractor for the wind feasibility, geotechnical analysis, and conceptual design immediately following AEA’s authorization to proceed. 2. Detailed energy resource analysis (September 1-October 31, 2010) To initiate the Wind Resource Analysis before winter, AVEC will ship and erect the met tower in October 2010. AVEC will immediately seek approvals from permitting agencies, starting the process before the grant is awarded to ensure that the met tower can be installed in the late fall. The earlier the met tower is collecting data, the earlier AVEC will have the wind resource data to ascertain the suitability of use this renewable resource. 3. Identification of land and regulatory issues (November 1, 2010-January 31, 2011) AVEC will conduct site control discussions with the land owner and detail site control needs in a memorandum. 4. Permitting and environmental analysis (November 1, 2010-January 31, 2011) AVEC will discuss the project with regulatory agencies to determine permitting requirements. Need permits and any studies (i.e. bird studies) will be documented in a memorandum. 5. Detailed analysis of existing, future energy costs and markets (February 1-March 30, 2011) AVEC will draft a memorandum documenting the existing and future energy costs and markets in New Stuyahok. The information will be based on AVEC records and community plans. A community meeting will be held to determine future energy markets. 6. Conceptual business and operations plans (April 1-June 30, 2011) Draft business and operational plans will be developed working with the City of New Stuyahok and New Stuyahok, Limited. 7. Assessment of alternatives (June 1, 2011-August 30, 2011) A draft wind resource report will be written using the first 3 quarters of collected met tower data. A geotechnical field work will be completed, and a report would be written during this time. A draft Alternatives Assessment Memorandum will be drafted detailing the reasonable Renewable Energy Fund Grant Application Round 3 AEA10-015 Grant Application Page 6 of 17 10/7/2009 alternatives and the preferred alternative using the wind and geotechnical data. It is expected that alternatives will vary in number and size of wind turbines and their configuration. A final Alternatives Assessment will incorporate the last three months of the wind monitoring findings and specify the alternative to bring forward to conceptual design. 8. Detailed economic and financial analysis (September 1-October 31, 2011) An economic and financial analysis which examines potential final design and construction costs, operating and maintenance costs, user rates, and other funding mechanisms will be developed. 9. Conceptual design analysis and cost estimate (October 1-December 31, 2011) The met tower would be dismantled and the Draft Wind Resource Report would be finalized by incorporating the last 3 months of data. A conceptual design and cost estimate will be prepared for the preferred alternative. 10. Final report and recommendations (December 31, 2011) All of the memoranda and reports written for the project will be combined in a final report and submitted to AEA. The Final Report will include final drafts of the following: • Land and Regulatory Issues Memorandum • Environmental and Permitting Memorandum • Existing and Future Energy Costs and Markets Memorandum • Conceptual Business Plan • Conceptual Operating Plan • Wind Resource Report • Geotechnical Report • Alternatives Assessment • Economic and Financial Analysis • Conceptual Design Analysis and Cost Estimate 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. AVEC will use a project management approach that has been used to successfully design and construct wind turbines throughout rural Alaska: A team of AVEC staff and external consultants. AVEC staff and their role on this project includes: • Meera Kohler, President and Chief Executive Officer, will act as Project Executive and will maintain ultimate authority programmatically and financially. • Brent Petrie, manager of the community development group, will be the project manager. Together with his group, Brent will provide coordination of the installation of the met tower, geotechnical work, and conceptual design. The group’s resources include a project coordinator, contracts clerk, accountant, engineer, and a community liaison. • Debbie Bullock, manager of administrative services, will provide support in accounting, Renewable Energy Fund Grant Application Round 3 AEA10-015 Grant Application Page 7 of 17 10/7/2009 payables, financial reporting, and capitalization of assets in accordance with AEA guidelines. An AVEC project manager will lead this project. The project manager will be responsible for: • Obtaining site control/access and permits for the installation of the met tower and geotechnical work • Selecting, coordinating, and managing the engineering consultant • Communicating with Teller residents to ensure that the community is informed Contractors for this project would include: • Wind Resource Consultant. AVEC will employ a wind resource consultant who will: o Supervise the installation of the met tower o Consult on the operation and maintenance of the tower o Draft the wind resource report • Engineering consultant. AVEC will employ an engineering consultant who will: o Provide final design and engineering specifications for the wind turbines. Construction Contractor Construction of the wind turbines, pads, and access roads (as needed) Selection Process for Contractors: The engineering consultant selection will be based upon technical competencies, past performance, written proposal quality, cost, and general consensus from the technical steering committee. The selection of the consultant will occur in strict conformity with corporate procurement policies, conformance with OMB circulars, and DCAA principles. 3.5 Project Communications Discuss how you plan to monitor the project and keep the Authority informed of the status. AVEC will assign a deputy project manager to the project. One responsibility of the project manager will be to compile periodic progress reports for use by the Authority. Weekly and monthly project coordination meetings will be held with the project team to track progress and address issues as they arise. 3.6 Project Risk Discuss potential problems and how you would address them. Because the City of New Stuyahok, Stuyahok Limited (village corporation), and the Native Village of New Stuyahok have been involved in the planning of this project and because this project could provide relief for high power costs, the community is very supportive of this project. Site Control/Access. Currently the old airport site belongs to Alaska Department of Transportation and Public Facilities (DOT&PF). AVEC has been working with New Stuyahok, Limited to assist with obtaining the land from the State. This process should be completed before the grant funds are in place. AVEC should have an agreement in place with New Stuyahok Limited to place the met tower on the old runway and to conduct geotechnical work at the old airport before the grant is awarded. Renewable Energy Fund Grant Application Round 3 AEA10-015 Grant Application Page 8 of 17 10/7/2009 Weather. Weather could delay geotechnical field work; however, an experienced consultant, familiar with Alaskan weather conditions, would be selected. It unlikely that a delay in the total project schedule would occur if the field work is delayed. The met tower would be installed to handle the New Stuyahok’s winter weather conditions. The met tower would be monitored to ensure the met tower is up and functioning. Logistics. Transport of the met tower to New Stuyhok would not be difficult, provided the tower is ready to be shipped before freeze up and the last barge. The tower could also be flown in, if needed. 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. Based on a study completed by V3 Energy, LLC in 2008, New Stuyahok has fair to good (Class 3) potential for wind power development. When the study was completed, the airport limited the location of the wind meterological tower. Since then the airport has be relocated farther out of town and V3 Energy suspects that the wind resource could be better by placing the turbines at the Old Airport Site. More information is needed to determine whether wind energy is the best alternative energy resource for the community. Solar power from photovoltaic solar arrays is a potential alternative, but has higher capital cost and lower resource availability than wind in New Stuyahok. An in-stream hydrokinetic turbine, similar to what was tested in Ruby, Alaska by the Yukon River Inter-Tribal Council in the summer of 2008, may be an energy option in the future, but this technology is in the planning and development stage. 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. Generator details are: Type Capacity Age (years) CMS 499 5 DD 207 14 CMS 250 19 Renewable Energy Fund Grant Application Round 3 AEA10-015 Grant Application Page 9 of 17 10/7/2009 The peak demand reported in the 2007 at the power plant is 265 kW. The overall average plant load in 2007 was 143 kW per hour. The plant generated 13.67 kWh for each gallon of fuel consumed in 2007. Design and permitting of a new power plant, along with new fuel storage facilities and a dispensing area, will be completed in December 2008. A new power plant has been designed and will be constructed concurrently with the wind turbines. 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. New Stuyhok uses diesel and heating oil as the primary energy resources. Annual diesel fuel consumption for power generation in New Stuyhok in 2007 was 87,967 gallons. Installation of wind turbines in the community would decrease the amount of diesel fuel used for power generation. 4.2.3 Existing Energy Market Discuss existing energy use and its market. Discuss impacts your project may have on energy customers. New Stuyahok is located on the Nushagak River, 52 miles northeast of Dillingham, about 12 miles upriver from Ekwok and 50 miles downriver from Koliganek. Average summer temperatures range from 37 to 66° F; winter temperatures average 4 to 30° F. The village is categorized as a “distressed” community by the Denali Commission; the median household income is $26,042—less than half of the State’s median household income of $59,036. The electricity consumption in New Stuyahok in FY2007 was 1,206,029 kWh. The load of is highest during the winter months, with the bulk of electricity consumed by residences and the school. AVEC expects the addition of wind turbines to the electric generation system to reduce the amount of diesel fuel used for power generation and for heating. New Stuyahok is an isolated village, relying on air transportation for delivery of medical goods and transport of sick or injured individuals, or mothers nearing childbirth. Reliable electric service is essential to maintaining vital navigation aids for the safe operation of aircraft. Runway lights, automated weather observation stations, VASI lights, DME’s and VOR’s are all powered by electricity. Emergency medical service is provided in a health clinic by a health aide. Medical problems and emergencies must be relayed by telephone or by some other communication means for outside assistance. Operation of the telephone system requires electricity. Reliable telephone service requires reliable electric service. In New Stuyahok, water is obtained from a well and is treated. The majority of the community, facilities, and the school are connected to a piped water and sewer system. Reliable electric service is required for the continuous operation of the water and wastewater systems and to prevent freezing of the systems which will cause extensive damage and interruptions in service. Renewable Energy Fund Grant Application Round 3 AEA10-015 Grant Application Page 10 of 17 10/7/2009 Like all of Alaska, New Stuyahok is subject to long periods of darkness. Reliable electric service is essential for the operation of home lighting, streetlights, and security lighting. Outside lighting ensures the safety of children. According to the New Stuyahok Comprehensive Plan, residents of New Stuyahok rely on subsistence resources gathered from the Nushagak-Mulchatna watershed. Subsistence food is gathered and harvested and stored in refrigerators and freezers. A new community freezer facility was under construction by the Tribe in October 2008. Refrigeration is essential for the extended storage of perishable food stuffs. Reliable electric service is essential for proper freeze storage of food. Sources: U.S. Census Bureau, Census 2000; Statistical Report of the Power Cost Equalization Program, Fiscal Year 2007, Alaska Energy Authority 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 Alternative Energy Technology. AVEC plans to conduct a Feasibility Analysis, Resources Assessment, and Conceptual Design to assess the possibility of using wind power in New Stuyahok. If the wind resource proves suitable, wind turbines would be installed. Optimum installed capacity/Anticipated capacity factor/Anticipated annual generation. The purpose of this work is to gather background information to plan a future alternative energy facility. The capacity is unknown at this time. Anticipated barriers. The potential barriers to success of this project include logistics, site access and weather. The barriers are minor and do not pose a threat to the completion of this project, tasks which must be accomplished. Basic integration concept/Delivery methods. Conceptual design, to be completed as a part of this project, would detail how power from a wind turbine would be integrated and delivered into the existing system. If the wind is suitable for development, the turbines will interconnect with the power plant. It is expected that wind-generated electrical energy will be delivered via the existing electrical distribution. Renewable Energy Fund Grant Application Round 3 AEA10-015 Grant Application Page 11 of 17 10/7/2009 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 proposed location of the wind turbines is at and adjacent to the old airport. The land is currently owned by the Alaska Department of Transportation and Public Facilities (DOT&PF) and New Stuyahok Limited. The City of New Stuyahok and Stuyahok Limited have signed a Memorandum of Agreement and Joint Resolution stating that if either entity receives title to the old airport land the appropriate party will make the site available to AVEC by deed or long term lease for the construction of wind turbines (See Tab 6-Supplemental Materials). AVEC has been assisting New Stuyahok Limited through the process of obtaining the old airport land from the State of Alaska. This process should be completed by September 2011. AVEC would then obtain a non-objection letter from New Stuyahok Limited for the placement of the met tower and geotechnical field work at the site. 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 U.S. Fish and Wildlife Service concurred that the placement of wind turbines will have no affect on threatened or endangered species (See Tab 6-Supplemental Materials). An U.S. Army Corps of Engineers (Corps) Wetlands Permit may be needed for the geotechnical work. The Corps has a “Nationwide Permit” for survey work, including geotech field work. This permit usually takes no more than three weeks to obtain. (Because a Corps’ Nationwide Permit exists, a State of Alaska Department of Natural Resources, Division of Coastal and Ocean Management Coastal Project Questionnaire and Enforceable Policies Consistency Determination is not needed.) 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 Renewable Energy Fund Grant Application Round 3 AEA10-015 Grant Application Page 12 of 17 10/7/2009 Threatened or Endangered species. The U.S. Fish and Wildlife Service concurred that the placement of wind turbines (and therefore a met tower) will have no affect on threatened or endangered species (See Tab 6-Supplemental Materials). The met tower would be marked to help birds to avoid collisions. During a meeting regarding this project (October 16, 2008), the U.S. Fish and Wildlife did not express special concerns regarding impacts to birds by the wind turbines. Construction would be timed to avoid impacts to migratory birds in compliance with the Migratory Bird Treaty Act. Habitat issues. New Stuyahok is not within any State refuges, sanctuaries, or critical habitat areas, federal refuges or wilderness areas, or national parks. In addition, New Stuyahok is not within or near any critical habitat for threatened or endangered species. Wetlands and other protected areas. Depending on the outcome of this feasibility study, wind turbines could be placed in wetland locations. An U.S. Army Corps of Engineers’ wetlands permit would be needed. Archaeological and historical resources. The met tower would be placed and geotechnical work would be conducted at the old airport. Compliance with the National Historic Preservation Act with the State Historic Preservation Officer would be conducted if the outcome of this study finds that wind power is feasible in New Stuyahok. Land development constraints. The City of New Stuyahok and Stuyahok Limited have stated that the Old Airport is the best location for the wind turbines. Although the land currently belongs to the DOT&PF, AVEC is assisting Stuyahok Limited to obtain the land from the State. The City and Corporation have signed a MOA agreeing to deed or lease the old airport land to AVEC for the wind turbines, if DOT&PF give them the land (Tab 6-Supplemental Materials). Aviation considerations. The met tower and geotechnical work would be located approximately 2.5 miles from the active airport and outside any important operational aircraft area. Visual, aesthetics impacts. Although the met tower and geotechnical work is proposed on a hill that would be visible from much of the community, residents has stated that the Old Airport is the best location for the turbines, and therefore this study. 4.4 Proposed New System Costs and Projected Revenues (Total Estimated Costs and Projected Revenues) The level of cost information provided will vary according to the phase of funding requested and any previous work the applicant may have done on the project. Applicants must reference the source of their cost data. For example: Applicants Records or Analysis, Industry Standards, Consultant or Manufacturer’s estimates. 4.4.1 Project Development Cost Provide detailed project cost information based on your current knowledge and understanding of the project. Cost information should include the following: • Total anticipated project cost, and cost for this phase • Requested grant funding • Applicant matching funds – loans, capital contributions, in-kind • Identification of other funding sources Renewable Energy Fund Grant Application Round 3 AEA10-015 Grant Application Page 13 of 17 10/7/2009 • Projected capital cost of proposed renewable energy system • Projected development cost of proposed renewable energy system AVEC plans to conduct a Feasibility Analysis, Resources Assessment, and Conceptual Design to assess the possibility of using wind power in New Stuyahok. This work will cost $150,000. AVEC requests $142,500 from AEA. AVEC will provide 7,500 as a cash contribution. If the wind resource proves suitable, the next phase of this project would be Final Design and Permitting (Phase III). Although it is difficult to determine without an assessment of the resource and what type, size, and number of turbine would be needed, AVEC expects that Final Design and Permitting would cost $210,000. AVEC would provide a 5% in-kind match ($10,500). It is possible that the funding for this work could come from the AEA Renewable Energy Program, the Denali Commission, a USDA Rural Utility Service program, or another grant program. The final phase of this project would be Construction and Commissioning (Phase IV). AVEC estimates that this phase could cost $4,436,800 assuming installation of three Northwind 100 wind turbines. AVEC would provide a 10% cash match ($443,680). It is possible that the funding for this work could come from the AEA Renewable Energy Program, the Denali Commission, a USDA Rural Utility Service program, or another grant program. 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.) The met tower would require monthly monitoring and data management. It is expected that this will cost $1,000. The cost will be funded by this grant award. 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 AVEC, the existing electric utility serving New Stuyahok, is a member owned cooperative electric utility and typically owns and maintains the generation, fuel storage, and distribution facilities in the villages it serves. New Stuyahok includes 99 households and community facilities, including a health clinic, city office, tribal council office, and water treatment plant, which purchase power from AVEC. At this point in project development, the potential power price and rate of return on the project is unknown. Renewable Energy Fund Grant Application Round 3 AEA10-015 Grant Application Page 14 of 17 10/7/2009 4.4.4 Project Cost Worksheet Complete the cost worksheet form which provides summary information that will be considered in evaluating the project. Please see attachment. 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 Potential Fuel Displacement: The exact amount of fuel displacement at this point in the project is not known. However, some estimates are made here. The diesel fuel used for village power generation in New Stuyahok currently totals over 91,726 gallons per year at a cost of over $418,723. Integrating wind energy could reduce diesel consumption by 30% or 34,604 gallons per year. This could save the community up to $164,000 annually. Greater amounts of displaced fuel are possible if electric heating is used to displace heating fuel. Potential annual fuel displacement: In 2008, AVEC spent an average of $4.76 per gallon for the fuel for power generation. If the wind resource proves suitable and turbines are installed, the residents of New Stuyahok would benefit from decreased fuel use; however, at this point in the project the amount of fuel displacement is unknown. Anticipated annual revenue/Potential additional annual incentives/Potential additional annual revenue streams. Because this project is in the feasibility and concept design stage, revenue and incentives are unknown. Non-economic public benefits. If wind energy is feasible in New Stuyahok and wind turbines are installed in the community, energy costs could stabilize and long-term socio-economic benefits could result. Wind power would have many environmental benefits resulting from a reduction of hydrocarbon use, including reduced potential for fuel spills or contamination, improved air quality, and decreased contribution to global climate change from fossil fuel use. 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. Renewable Energy Fund Grant Application Round 3 AEA10-015 Grant Application Page 15 of 17 10/7/2009 • 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 Business Plan Structures and Concepts which may be considered: The New Stuyahok Bulk Fuel Facility Business Operating Plan (August 2007) identifies the operation, maintenance, and sustainability of the New Stuyahok bulk fuel facilities. The wind turbines, if feasible, will be incorporated into this plan. In summary, the plan will specify that: The wind turbines will be incorporated into AVEC’s power plant operation. Local plant operators provide daily servicing. AVEC technicians provide periodic preventative or corrective maintenance and are supported by AVEC headquarters staff, purchasing, and warehousing. How O&M will be financed for the life of the project: The costs of operations and maintenance will be funded through ongoing energy sales to the villages. Operational issues which could arise: There are no known operational issues. Operating costs: AVEC’s existing NW100 wind turbines at other sites require two maintenance visits a year. Those visits currently cost AVEC $3,500 per turbine per year. The new Northwind 100 model requires only one maintenance visit each year. Therefore, the two new turbines at New Stuyahok will require a combined annual maintenance cost of $3,500. Commitment to reporting the savings and benefits: AVEC is fully committed to sharing the savings and benefits accrued from this project information with their shareholders and AEA. 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. AVEC will initiate construction of a new power plant near the proposed wind turbines site during the summer 2010. The new power plant, funded by a grant from the Denali Commission, will include a secondary load controller and other components needed to connect with wind turbines. The power plant will be completed by the end of 2010. 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 City of New Stuyahok, the New Stuyahok Tribal Council, Stuyahok Limited, and the Southwest Regional School District (SWSD) have expressed support for the project. Support letters from the City and Corporation are fund in Tab 6-Supplemental Materials. The New Stuyahok Comprehensive Plan (October 2005), states that the high cost of fuel and energy is one Renewable Energy Fund Grant Application Round 3 AEA10-015 Grant Application Page 16 of 17 10/7/2009 of the major regional challenges in the area and that to respond to this challenge the community and region must promote lower energy costs. The City and Corporation have signed a MOA agreeing to deed or lease the old airport land to AVEC for the wind turbines, if DOT&PF give them the land (Tab 6-Supplemental Materials). 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 The total project cost for the project is $150,000 of which $142,500 is requested in grant funds. The remaining $7,500 will be matched in cash by AVEC. A detail of the costs is: Milestone Grant Request AVEC Cash Match Total Cost 1. Project scoping and contractor solicitation $1,900 $100 $2,000 2. Detailed energy resource analysis $9,500 $500 $10,000 3. Identification of land and regulatory issues $1,900 $100 $2,000 4. Permitting and environmental analysis $1,900 $100 $2,000 5. Detailed analysis of existing/future energy costs and markets $9,500 $500 $10,000 6. Conceptual business and operations plans $9,500 $500 $10,000 7. Assessment of alternatives $69,350 $3,650 $73,000 8. Detailed economic and financial analysis $6,650 $350 $7,000 9. Conceptual design analysis and cost estimate $29,450 $1,550 $31,000 10. Final report and recommendations $2,850 $150 $3,000 TOTALS $142,500 $7,500 $150,000 Renewable Energy Fund Grant Application Round 3 AEA10-015 Grant Application Page 17 of 17 10/7/2009 SECTION 9 – ADDITIONAL DOCUMENTATION AND CERTIFICATION SUBMIT THE FOLLOWING DOCUMENTS WITH YOUR APPLICATION: A. 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 CD per RFA Section 1.6. F. 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. F. CERTIFICATION The undersigned certifies that this application for a renewable energy grant is truthful and correct, and that the applicant is in compliance with, and will continue to comply with, all federal and state laws including existing credit and federal tax obligations. Print Name Meera Kohler Signature Title President and CEO Date November 10, 2009 Tab 2 Resumes Renewable Energy Fund Round 3 Project Cost/Benefit Worksheet RFA AEA10-015 Application Cost Worksheet Page 1 10-7-09 Please note that some fields might not be applicable for all technologies or all project phases.The level of information detail varies according to phase requirements. 1.Renewable Energy Source The Applicant should demonstrate that the renewable energy resource is available on a sustainable basis. Annual average resource availability.Wind -undetermined Unit depends on project type (e.g. windspeed, hydropower output, biomasss fuel) 2.Existing Energy Generation and Usage a)Basic configuration (if system is part of the Railbelt1 grid, leave this section blank) i.Number of generators/boilers/other 3 generator ii.Rated capacity of generators/boilers/other Diesel generators iii.Generator/boilers/other type 499 kW CMS; 207 kW DD; 250kW CMS iv.Age of generators/boilers/other 6 years; 15 years; 20 years v.Efficiency of generators/boilers/other Total efficiency: 13.63 kW/gal b)Annual O&M cost (if system is part of the Railbelt grid, leave this section blank) i.Annual O&M cost for labor ii.Annual O&M cost for non-labor $170,000 Total labor and non-labor c)Annual electricity production and fuel usage (fill in as applicable)(if system is part of the Railbelt grid, leave this section blank) i.Electricity [kWh]1,180,622 kWh ii.Fuel usage Diesel [gal]91,726 gal Other iii.Peak Load 265.40 kW iv.Average Load 143 kW v.Minimum Load vi.Efficiency 13.67 kW/gal vii.Future trends d)Annual heating fuel usage (fill in as applicable) i.Diesel [gal or MMBtu] ii.Electricity [kWh] iii.Propane [gal or MMBtu] iv.Coal [tons or MMBtu] v.Wood [cords, green tons, dry tons] vi.Other 1 The Railbelt grid connects all customers of Chugach Electric Association,Homer Electric Association,Golden Valley Electric Association,the City of Seward Electric Department, MatanuskaElectric Association and Anchorage Municipal Light and Power. Renewable Energy Fund Round 3 Project Cost/Benefit Worksheet RFA AEA10-015 Application Cost Worksheet Page 2 10-7-09 3.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) [kWh or MMBtu/hr] Wind 300 kW b)Proposed Annual electricity or heat production (fill in as applicable) i.Electricity [kWh]473,040 kWh ii.Heat [MMBtu] c)Proposed Annual fuel Usage (fill in as applicable) i.Propane [gal or MMBtu] ii.Coal [tons or MMBtu] iii.Wood [cords, green tons, dry tons] iv.Other 4.Project Cost a)Total capital cost of new system $4,436,800 b)Development cost c)Annual O&M cost of new system $10,500 d)Annual fuel cost 5.Project Benefits a)Amount of fuel displaced for i.Electricity 34,604 gal ii.Heat iii.Transportation b)Price of displaced fuel $164,716 (@4.76/gal) c)Other economic benefits d)Amount of Alaska public benefits 6.Power Purchase/Sales Price a)Price for power purchase/sale 7.Project Analysis a)Basic Economic Analysis Project benefit/cost ratio 0.7424 (assuming facility life is 20 years) Payback 26.94 years (simple) Tab 4 Grant Budget Form Renewable Energy Fund Grant Round III Grant Budget Form 10-7-09 1. Project scoping and contractor solicitation September 15, 2010 $1,900 $100 Cash $2,000 2. Detailed energy resource analysis October 31, 2010 $9,500 $500 Cash $10,000 3. Identification of land and regulatory issues January 31, 2011 $1,900 $100 Cash $2,000 4. Permitting and environmental analysis January 31, 2011 $1,900 $100 Cash $2,000 5. Detailed analysis of existing/ future energy costs and markets March 30, 2011 $9,500 $500 Cash $10,000 6. Conceptual business and operations plans (details below)June 30, 2011 $9,500 $500 Cash $10,000 7. Assessment of alternatives (details below)August 30, 2011 $69,350 $3,650 Cash $73,000 8. Detailed economic and financial analysis October 31, 2011 $6,650 $350 Cash $7,000 9. Conceptual design analysis and cost estimate (details below)December 31, 2011 $29,450 $1,550 Cash $31,000 10. Final report and recommendations December 31, 2011 $2,850 $150 Cash $3,000 TOTALS $142,500 $7,500 $150,000 Budget Categories: Direct Labor & Benefits $5,000 $5,000 Travel & Per Diem $2,000 $2,000 Equipment Materials & Supplies $500 $500 Contractual Services $142,500 $142,500 Construction Services Other TOTALS $142,500 $7,500 $150,000 Milestone Details Milestone 6 includes a conceptual business plan ($10,000) and a conceptual operations plan ($10,000) Milestone 7 includes a Draft Wind Resource Report ($6,000), geotechnical work ($65,000), and Alternatives Assessment Memo ($2,000) Milestone 9 includes Met Tower Monitoring and Dismantling ($20,000), Final Wind Resource Report ($1,000), and Conceptual Design and Cost Estimate ($10,000) New Stuyahok Wind Feasibility Milestone or Task Anticipated Completion Date TOTALS RE- Fund Grant Funds Grantee Matching Funds Source of Matching Funds: Cash/In- kind/Federal Grants/Other State 1 Tab 5 Delegation of Authority Tab 6 Supplemental Materials • City of New Stuyahok Letter of Support • Stuyahok Limited Letter of Support • New Stuyahok Wind Resource Report July 2008 • USFWS Concurrence of No Affect on Threatened or Endangered Species • Memorandum of Agreement and Joint Resolution Concerning Future Use of Airport Land In New Stuyahok New Stuyahok, Alaska Wind Resource Report By: Douglas Vaught, P.E., V3 Energy, LLC, Eagle River, AK July 2008 revision Photo © Doug Vaught V3 Energy LLC 1 of 21 New Stuyahok, Alaska Wind Resource Report Summary Information New Stuyahok has fair to good potential for wind power development, provided a slightly better location for wind turbines is found than the meteorological tower test site. Note however that the test site appeared to be adversely affected by the presence of nearby trees with respect to measured turbulence. Data Synopsis Wind power class Class 3 – Fair Wind speed annual average (30 meters) 5.46 m/s Maximum wind speed measured 33.6 m/s, November 2004 Mean wind power density (30 meters) 232 W/m2 (measured) Weibull distribution parameters k = 1.76, c = 6.29 m/s Roughness Class 4.39 m (suburban) Power law exponent 0.382 (high wind shear) Turbulence Intensity 0.151 (moderate to high) Data start date October 10, 2003 Data end date July 7, 2005 Community Profile Current Population:472 (2005 State Demographer est.) Pronunciation/Other Names:(STEW-yuh-hawk) Incorporation Type:2nd Class City Borough Located In:Unorganized School District:Southwest Region Schools Regional Native Corporation:Bristol Bay Native Corporation Location: New Stuyahok is located on the Nushagak River, about 12 miles upriver from Ekwok and 52 miles northeast of Dillingham. The village has been constructed at two elevations -- one 25 feet above river level, and one about 40 feet above river level. It lies at approximately 59.452780° North Latitude and - 157.311940° West Longitude. (Sec. 29, T008S, R047W, Seward Meridian.) New Stuyahok is located in the Bristol Bay Recording District. The area encompasses 32.6 sq. miles of land and 2.0 sq. miles of water. History: The present location is the third site that villagers can remember. The village moved downriver to the Mulchatna area from the "Old Village" in 1918. During the 1920s and 30s, the village was engaged in herding reindeer for the U.S. government. However, by 1942 the herd had dwindled to nothing; the village had been subjected to flooding; and the site was too far inland even to receive barge service. So in 1942, the village moved downriver again to its present location. Stuyahok appropriately means "going downriver place." The first school was built in 1961. A post office was also established during that year. An airstrip was built soon thereafter, and the 1960s saw a 40% increase in the village population. The City was incorporated in 1972. Culture: New Stuyahok is a southern Yup'ik Eskimo village with Russian Orthodox influences. Residents practice V3 Energy, LLC 2 of 21 New Stuyahok, Alaska Wind Resource Report a fishing and subsistence lifestyle. Economy: The primary economic base in New Stuyahok is the salmon fishery; forty-three residents hold commercial fishing permits. Many trap as well. The entire community relies upon subsistence foods. Subsistence items are often traded between communities. Salmon, moose, caribou, rabbit, ptarmigan, duck and geese are the primary sources of meat. Facilities: Water is derived from a well and is treated. A new well is under development. The majority of the community (94 homes), facilities and the school are connected to a piped water and sewer system installed in 1971 and have complete plumbing. Some residents use individual wells and septic tanks; six homes are without complete plumbing. A Master Plan has been funded. Transportation: Air transport is most frequently used to reach the community. Regular and charter flights are available from Dillingham. The State-owned gravel airstrip is 1,800' long by 50' wide and lighted. It is located on a hilltop; windy conditions often preclude landing. The community has requested funds for construction of a crosswind landing strip. There are no docking facilities. Goods are lightered on a regular basis during the summer. Skiffs, ATVs and snowmachines are prevalent forms of local transportation. Climate: New Stuyahok is located in a climatic transition zone. The primary influence is maritime, although a continental climate affects the weather. Average summer temperatures range from 37 to 66; winter temperatures average 4 to 30. Annual precipitation ranges from 20 to 35 inches. Fog and low clouds are common during the summer; strong winds often preclude access during the winter. The River is ice-free from June through mid-November. (Above information from State of Alaska Department of Commerce, Community and Economic Development website, www.dced.state.ak.us) Tower Sensor Information Channel Sensor type Height Multiplier Offset Orientation 1 NRG #40 anemometer 30 m 0.765 0.35 north 2 NRG #40 anemometer 20 m 0.765 0.35 north 7 NRG #200P wind vane 30 m 0.351 090 west 9 NRG #110S Temp C 2 m 0.136 -86.383 N/A Site Information and Location Site number 0064 Site Description New Stuyahok - AVEC Latitude/longitude N 59° 27.115’; W 157° 19.427’ Site elevation 125 meters Datalogger type NRG Symphonie Tower type NRG 30-meter tall tower, 152 mm (6-in) diameter V3 Energy, LLC 3 of 21 New Stuyahok, Alaska Wind Resource Report Data Quality Control Data was filtered to remove presumed icing events that yield false zero wind speed data. Data that met the following criteria were filtered: wind speed < 1 m/s, wind speed standard deviation = 0, and temperature < 2 °C. Note that wind speed data recovery during the months of June, July and August was 100%, but during the winter months of November through March larger amounts data was filtered, with December being the most ice prone as far as data loss is concerned. Temperature data recovery was 100 percent, indicating full functioning of the temperature sensor. Data was synthesized to replace data removed due to icing events; the synthesized data set is used in this report. 30 m anemometer 20 m anemometer Wind vane Temperature Year Month Records Recovery Records Recovery Records Recovery Records Recovery Rate (%) Rate (%) Rate (%) Rate (%) 2003 Oct 3,021 99.9 3,020 99.9 2,761 91.3 3,024 100 2003 Nov 4,274 98.9 4,202 97.3 3,871 89.6 4,320 100 2003 Dec 4,383 98.2 4,331 97.0 4,088 91.6 4,464 100 2004 Jan 4,190 93.9 4,189 93.8 4,456 99.8 4,464 100 2004 Feb 3,825 91.6 4,040 96.7 3,609 86.4 4,176 100 2004 Mar 4,338 97.2 4,330 97.0 4,303 96.4 4,464 100 2004 Apr 4,280 99.1 4,278 99.0 4,272 98.9 4,320 100 2004 May 4,458 99.9 4,457 99.8 4,456 99.8 4,464 100 2004 Jun 4,320 100 4,320 100 4,320 100 4,320 100 2004 Jul 4,464 100 4,464 100 4,464 100 4,464 100 2004 Aug 4,464 100 4,464 100 4,464 100 4,464 100 V3 Energy, LLC 4 of 21 New Stuyahok, Alaska Wind Resource Report 2004 Sep 4,286 99.2 4,275 99.0 4,274 98.9 4,320 100 2004 Oct 4,346 97.4 4,347 97.4 4,343 97.3 4,464 100 2004 Nov 3,868 89.5 3,906 90.4 3,111 72.0 4,320 100 2004 Dec 3,478 77.9 3,630 81.3 2,797 62.7 4,464 100 2005 Jan 4,102 91.9 4,081 91.4 4,201 94.1 4,464 100 2005 Feb 3,894 96.6 3,913 97.0 3,894 96.6 4,032 100 2005 Mar 4,205 94.2 4,226 94.7 4,200 94.1 4,464 100 2005 Apr 4,195 97.1 4,256 98.5 4,196 97.1 4,320 100 2005 May 4,464 100 4,464 100 4,464 100 4,464 100 2005 Jun 4,320 100 4,320 100 4,320 100 4,320 100 2005 Jul 912 100 912 100 912 100 912 100 All data 88,087 96.3 88,425 96.7 85,776 93.8 91,488 100 Measured Wind Speeds The 30 meter anemometer wind speed average for the reporting period is 5.46 m/s and the 20 meter anemometer wind speed average is 4.67 m/s. 30 m anemometer 20 m anemometer Month Mean Max SD Weibull k Weibull c Mean Max Std. Dev. (m/s) (m/s) (m/s) (m/s) (m/s) (m/s) (m/s) Jan 7.44 19.5 3.10 2.54 8.36 6.43 16.8 2.81 Feb 6.52 20.9 3.58 1.90 7.35 5.59 17.6 3.12 Mar 6.06 21.3 3.34 1.88 6.81 5.31 18.1 2.94 Apr 5.97 20.0 3.51 1.76 6.71 5.19 17.3 3.08 May 4.56 19.5 3.08 1.52 5.07 3.95 15.9 2.59 Jun 4.68 17.6 2.94 1.63 5.23 3.98 14.4 2.44 Jul 3.98 15.9 2.22 1.89 4.49 3.40 12.9 1.92 Aug 4.38 14.6 2.49 1.84 4.93 3.68 12.6 2.16 Sep 4.58 13.1 2.76 1.68 5.12 3.87 11.5 2.51 Oct 5.99 20.7 2.98 2.08 6.74 5.11 17.0 2.64 Nov 5.58 21.9 3.09 1.87 6.29 4.69 18.7 2.74 Dec 5.85 20.9 3.31 1.83 6.58 4.99 19.0 2.98 All data 5.46 21.9 3.26 1.77 6.29 4.67 19.0 2.87 V3 Energy, LLC 5 of 21 New Stuyahok, Alaska Wind Resource Report Daily Wind Profile The daily wind profile indicates that the lowest wind speeds of the day occur in the morning hours of 3 to 6 a.m. and the highest wind speeds of the day occur during the afternoon and evening hours of 1 to 6 p.m. The daily variation of wind speed is minimal on an annual basis but more pronounced on a monthly basis. V3 Energy, LLC 6 of 21 New Stuyahok, Alaska Wind Resource Report Time Series of Wind Speed Averages As expected, higher winds occur during the winter and spring months of October through April while lower winds occur during the summer and autumn months, although the seasonal differential in New Stuyahok is more pronounced than observed in coastal villages. V3 Energy, LLC 7 of 21 New Stuyahok, Alaska Wind Resource Report Wind Shear Profile The power law exponent was calculated at 0.382, indicating high wind shear at the New Stuyahok test site, as noted in the second graph below. There is a possibility though that the presence of trees near the meteorological tower test site may have affected the 20 meter anemometer more significantly than the 30 m anemometer, resulting in a higher shear power law exponent than one might expect. In the village of Koliganek, upriver from New Stuyahok, a more open wind test site measured a wind shear of power law exponent of 0.227, which although moderately high itself, is more likely representative of New Stuyahok than the measured exponent of 0.382. If in fact the real shear exponent in New Stuyahok is lower than measured, the 50 meter wind power density listed in the data synopsis on page one of this report will be biased high and a 50 meter wind power density of approximately 375 to 400 W/m2 is likely more realistic. The practical application of this data is that a higher turbine tower height is desirable as there will be a substantial gain in wind speed/power recovery with additional height. A tower height/power recovery/ construction cost tradeoff study is advisable. V3 Energy, LLC 8 of 21 New Stuyahok, Alaska Wind Resource Report V3 Energy, LLC 9 of 21 New Stuyahok, Alaska Wind Resource Report Probability Distribution Function The probability distribution function provides a visual indication of measured wind speeds in one meter per second “bins”. Note that most wind turbines do not begin to generate power until the wind speed at hub height reaches 4 m/s. The black line in the graph is a best fit Weibull distribution. At the 30 meter level, measured Weibull parameters are k = 1.76 (indicates a moderate distribution of wind speeds) and c = 6.29 (scale factor). The PDF information is shown visually in another manner in the second graph, the Cumulative Distribution Function. V3 Energy, LLC 10 of 21 New Stuyahok, Alaska Wind Resource Report V3 Energy, LLC 11 of 21 New Stuyahok, Alaska Wind Resource Report Wind Roses New Stuyahok winds are highly directional with, as the wind frequency rose indicates, north- northwest (NNW) and east-northeast (ENE) winds predominating. This observation is reinforced with reference to the power density rose below. The power producing winds in New Stuyahok are nearly exclusively NNW and ENE. The practical application of this information is that site(s) should be selected with relatively few obstructions from west to north to southeast to minimize wind turbulence at the turbines. Note also that a wind threshold of 4 m/s was selected for the definition of calm winds. This wind speed represents the cut-in wind speed of most wind turbines. By this definition, Naknek experienced 36 percent calm conditions during the measurement period (see wind frequency rose below). Wind Frequency Rose (30 meters) V3 Energy, LLC 12 of 21 New Stuyahok, Alaska Wind Resource Report Wind Power Density Rose Wind Power Density Roses by Month V3 Energy, LLC 13 of 21 New Stuyahok, Alaska Wind Resource Report Turbulence Intensity The turbulence intensity (TI) is minimally acceptable for all wind directions, with a mean turbulence intensity during the twenty-one month reporting period of 0.150 at 30 meters (threshold wind speed is 4 m/s). V3 Energy, LLC 14 of 21 New Stuyahok, Alaska Wind Resource Report IEC Turbulence Intensity Standards The turbulence intensities at 30 meters at the New Stuyahok project test site do not meet International Electrotechnical Commission (IEC) Category A standards in the northeast to southeast quadrant and IEC Category A in the southeast to southwest quadrant. This is less important in the SE to SW quadrant as the wind rarely blows from this direction, but is more so important in the NE to SE quadrant as significant power producing winds blow from the NE at this site. V3 Energy, LLC 15 of 21 New Stuyahok, Alaska Wind Resource Report Turbulence Table Bin Bin Endpoints Records Standard Deviation Mean Standard Deviation Characteristic Midpoint Lower Upper In of Wind Speed Turbulence of Turbulence Turbulence (m/s) (m/s) (m/s) Bin (m/s) Intensity Intensity Intensity 1 0.5 1.5 5336 0.477 0.505 0.300 0.805 2 1.5 2.5 8533 0.556 0.285 0.149 0.434 3 2.5 3.5 10788 0.591 0.200 0.092 0.292 4 3.5 4.5 11573 0.654 0.165 0.069 0.235 5 4.5 5.5 11508 0.750 0.152 0.057 0.208 6 5.5 6.5 10122 0.887 0.149 0.048 0.197 7 6.5 7.5 8555 1.012 0.146 0.042 0.188 8 7.5 8.5 6830 1.153 0.145 0.040 0.185 9 8.5 9.5 5137 1.335 0.150 0.037 0.186 10 9.5 10.5 3683 1.501 0.151 0.033 0.184 11 10.5 11.5 2697 1.668 0.153 0.030 0.183 12 11.5 12.5 1783 1.818 0.153 0.030 0.182 13 12.5 13.5 1241 1.996 0.154 0.032 0.186 14 13.5 14.5 835 2.159 0.155 0.028 0.183 15 14.5 15.5 517 2.342 0.157 0.026 0.183 16 15.5 16.5 285 2.500 0.157 0.022 0.179 17 16.5 17.5 192 2.562 0.151 0.023 0.174 18 17.5 18.5 129 2.652 0.148 0.024 0.172 V3 Energy, LLC 16 of 21 New Stuyahok, Alaska Wind Resource Report 19 18.5 19.5 64 2.795 0.148 0.020 0.168 20 19.5 20.5 35 3.014 0.152 0.019 0.171 21 20.5 21.5 17 3.306 0.158 0.021 0.179 22 21.5 22.5 6 3.483 0.160 0.016 0.177 Air Temperature and Density Over the reporting period, New Stuyahok had an average temperature of 1.7° C. The minimum recording temperature during the measurement period was -32.9° C and the maximum temperature was 28.5° C. Consequent to New Stuyahok’s cool temperatures, the average air density of 1.275 kg/m3 is approximately five percent higher than the standard air density of 1.217 kg/m3 (at 14.5° C temperature and 100.46 kPa pressure at 70 m elevation). Temperature Air Density Month Mean Min Max Std. Dev. Mean Min Max (°C) (°C) (°C) (°C) (kg/m³) (kg/m³) (kg/m³) Jan -12.0 -31.1 2.7 7.37 1.341 1.269 1.446 Feb -6.5 -32.9 5.5 9.02 1.314 1.256 1.457 Mar -6.3 -29.9 6.6 7.72 1.313 1.251 1.439 Apr -0.1 -24.1 16.0 6.93 1.283 1.210 1.405 May 8.5 -2.6 20.2 3.86 1.243 1.193 1.294 Jun 12.6 0.9 27.2 4.70 1.225 1.165 1.277 Jul 15.1 4.8 28.5 4.26 1.214 1.160 1.259 Aug 14.8 2.8 27.3 4.50 1.216 1.165 1.268 Sep 6.3 -4.9 17.2 4.57 1.253 1.205 1.305 Oct 1.8 -11.5 11.3 4.43 1.273 1.230 1.338 Nov -3.3 -23.5 8.4 7.24 1.298 1.243 1.402 Dec -10.0 -31.5 3.9 8.32 1.331 1.263 1.448 All data 1.7 -32.9 28.5 11.11 1.275 1.160 1.457 V3 Energy, LLC 17 of 21 New Stuyahok, Alaska Wind Resource Report Air Density DMap The DMap below is a visual indication of the daily and seasonal variations of air density (and temperature). Air densities higher than standard will yield higher turbine power than predicted by the turbine power curves, while densities lower than average will yield lower turbine power than predicted. Density variance from standard is accounted for in the turbine performance predictions. V3 Energy, LLC 18 of 21 New Stuyahok, Alaska Wind Resource Report Temperature Conversion Chart °C to °F °C °F °C °F °C °F -40 -40.0 -10 14.0 20 68.0 -39 -38.2 -9 15.8 21 69.8 -38 -36.4 -8 17.6 22 71.6 -37 -34.6 -7 19.4 23 73.4 -36 -32.8 -6 21.2 24 75.2 -35 -31.0 -5 23.0 25 77.0 -34 29.2 -4 24.8 26 78.8 -33 -27.4 -3 26.6 27 80.6 -32 -25.6 -2 28.4 28 82.4 -31 -23.8 -1 30.2 29 84.2 -30 -22.0 0 32.0 30 86.0 -29 -20.2 1 33.8 31 87.8 -28 -18.4 2 35.6 32 89.6 -27 -16.6 3 37.4 33 91.4 -26 -14.8 4 39.2 34 93.2 -25 -13.0 5 41.0 35 95.0 -24 -11.2 6 42.8 36 96.8 -23 -9.4 7 44.6 37 98.6 -22 -7.6 8 46.4 38 100.4 -21 -5.8 9 48.2 39 102.2 -20 -4.0 10 50.0 40 104.0 -19 -2.2 11 51.8 41 105.8 -18 -0.4 12 53.6 42 107.6 -17 1.4 13 55.4 43 109.4 -16 3.2 14 57.2 44 111.2 -15 5.0 15 59.0 45 113.0 -14 6.8 16 60.8 46 114.8 -13 8.6 17 62.6 47 116.6 -12 10.4 18 64.4 48 118.4 -11 12.2 19 66.2 49 120.2 V3 Energy, LLC 19 of 21 New Stuyahok, Alaska Wind Resource Report Wind Speed Conversion Chart, m/s to mph m/s mph m/s mph m/s mph m/s mph m/s mph 0.5 1.1 10.5 23.5 20.5 45.9 30.5 68.2 40.5 90.6 1.0 2.2 11.0 24.6 21.0 47.0 31.0 69.3 41.0 91.7 1.5 3.4 11.5 25.7 21.5 48.1 31.5 70.5 41.5 92.8 2.0 4.5 12.0 26.8 22.0 49.2 32.0 71.6 42.0 93.9 2.5 5.6 12.5 28.0 22.5 50.3 32.5 72.7 42.5 95.1 3.0 6.7 13.0 29.1 23.0 51.4 33.0 73.8 43.0 96.2 3.5 7.8 13.5 30.2 23.5 52.6 33.5 74.9 43.5 97.3 4.0 8.9 14.0 31.3 24.0 53.7 34.0 76.1 44.0 98.4 4.5 10.1 14.5 32.4 24.5 54.8 34.5 77.2 44.5 99.5 5.0 11.2 15.0 33.6 25.0 55.9 35.0 78.3 45.0 100.7 5.5 12.3 15.5 34.7 25.5 57.0 35.5 79.4 45.5 101.8 6.0 13.4 16.0 35.8 26.0 58.2 36.0 80.5 46.0 102.9 6.5 14.5 16.5 36.9 26.5 59.3 36.5 81.6 46.5 104.0 7.0 15.7 17.0 38.0 27.0 60.4 37.0 82.8 47.0 105.1 7.5 16.8 17.5 39.1 27.5 61.5 37.5 83.9 47.5 106.3 8.0 17.9 18.0 40.3 28.0 62.6 38.0 85.0 48.0 107.4 8.5 19.0 18.5 41.4 28.5 63.8 38.5 86.1 48.5 108.5 9.0 20.1 19.0 42.5 29.0 64.9 39.0 87.2 49.0 109.6 9.5 21.3 19.5 43.6 29.5 66.0 39.5 88.4 49.5 110.7 10.0 22.4 20.0 44.7 30.0 67.1 40.0 89.5 50.0 111.8 Distance Conversion m to ft m ft m ft 5 16 35 115 10 33 40 131 15 49 45 148 20 66 50 164 25 82 55 180 30 98 60 197 V3 Energy, LLC 20 of 21 New Stuyahok, Alaska Wind Resource Report V3 Energy, LLC 21 of 21 Selected definitions (courtesy of Windographer® software by Mistaya Engineering Inc.) Wind Power Class The wind power class is a number indicating the average energy content of the wind resource. Wind power classes are based on the average wind power density at 50 meters above ground, according to the following table. Source: Wind Energy Resource Atlas of the United States (http://rredc.nrel.gov/wind/pubs/atlas/tables/A-8T.html) Wind Power Class Description Power Density at 50m (W/m2) 1 Poor 0-200 2 Marginal 200-300 3 Fair 300-400 4 Good 400-500 5 Excellent 500-600 6 Outstanding 600-800 7 Superb 800-2000 Windographer classifies any wind resource with an average wind power density above 2000 W/m2 as class 8. Probability Distribution Function The probability distribution function f(x) gives the probability that a variable will take on the value x. It is often expressed using a frequency histogram, which gives the frequency with which the variable falls within certain ranges or bins. Wind Turbine Power Regulation All wind turbines employ some method of limiting power output at high wind speeds to avoid damage to mechanical or electrical subsystems. Most wind turbines employ either stall control or pitch control to regulate power output. A stall-controlled turbine typically has blades that are fixed in place, and are designed to experience aerodynamic stall at very high wind speeds. Aerodynamic stall dramatically reduces the torque produced by the blades, and therefore the power produced by the turbine. On a pitch-controlled turbine, a controller adjusts the angle (pitch) of the blades to best match the wind speed. At very high wind speeds the controller increasingly feathers the blades out of the wind to limit the power output. 2009-0005 United States Department of the Interior FISH AND WILDLIFE SERVICE Anchorage Fish and Wildlife Field Office 605 West 4th Avenue, Room G-61 Anchorage, Alaska 99501-2249 In reply, refer to: AFWFO Robin Reich Solstice Environmental Consulting 11760 Woodbourne Drive Anchorage, AK 99516 Re: Bulk Fuel Storage, Power System Upgrades, and Wind Power Development in New Stuyahok (Consultation # 2009-0005) Dear Ms. Reich, Pursuant to section 7 of the Endangered Species Act of 1973, (16 U.S.C. 1531 et seq., as amended; ESA), the Service is responding to your request for concurrence with the determination that power upgrades in the village of New Stuyahok will have no effect on threatened or endangered species. This project, which received initial funding from the Denali Commission, comprises: 1) installation of twenty 27,000 gallon, two 22,300 gallon, one 8,000 gallon, one 5,000 gallon fuel tanks and a power plant on 2.46 acres; 2) installation and operation of three Northwind 100 wind turbines on 100 ft2 pads. Our records indicate that there are no federally listed or proposed species and/or designated or proposed critical habitat within the action area of the proposed project. In view of this, requirements of section 7 of the ESA have been satisfied. However, obligations under section 7 of the ESA must be reconsidered if new information reveals project impacts that may affect listed species or critical habitat in a manner not previously considered, if this action is subsequently modified in a manner which was not considered in this assessment, or if a new species is listed or critical habitat is determined that may be affected by the identified action. This letter relates only to federally listed or proposed species and/or designated or proposed critical habitat under our jurisdiction. It does not address species under the jurisdiction of National Marine Fisheries Service, or other legislation or responsibilities under the Fish and Wildlife Coordination Act, Clean Water Act, National Environmental Policy Act, Migratory Birds Treaty Act, Marine Mammal protection Act, or Bald and Golden Eagle Protection Act. This concludes section 7 consultation on the Bulk Fuel Storage, Power System Upgrades, and Wind Power Development in New Stuyahok. Thank you for your cooperation in meeting our joint responsibilities under section 7 of the ESA. If you have any questions, please contact me at (907) 271-1467. In future correspondences regarding this consultation please refer to consultation numbers 2009-0005. Sincerely, Ellen W. Lance Endangered Species Biologist T:\s7\2009 sec 7\No Affect\2009-0005_new stuyahok wind.doc