HomeMy WebLinkAboutStebbins Wind App
2009
Alaska Village
Electric Cooperative
11/03/2009
Renewable Energy Fund Round 3
Stebbins 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.
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SECTION 2 – PROJECT SUMMARY
This is intended to be no more than a 1-2 page overview of your project.
2.1 Project Title – (Provide a 4 to 5 word title for your project)
Stebbins Bay 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.
Stebbins (pop. 577) is located on the northwest coast of Saint Michael Island, on Norton Sound.
It lies 8 miles north of Saint Michael and 120 miles southeast of Nome.
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.
AVEC proposes to install a wind meteorological (met) tower and complete geotechnical work to
determine the possibility of installing wind towers in Stebbins. The work will involve obtaining
a letter of non-objection for placement of the wind tower and geotechnical fieldwork,
permitting, transporting and installing a met tower at this location, 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.
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
Stebbins and Saint Michael once the communities are intertied. By integrating wind energy,
diesel fuel use for village power generation could be reduced between 52 and 35%. If the
conditions are suitable and wind turbines are installed, residents would benefit from reduced
power costs; the savings to the community could be between $477,370 and $318,246 annually.
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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
• Decreased coastal erosion due to climate change
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)
$5,690,800.
2.7.5 Estimated Direct Financial Benefit (Savings) To be determined
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.
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
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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
Stebbins.
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
Geotech Field Work: June 2011
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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 Stebbins and
the Stebbins Native Corporation.
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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
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
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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,
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 Stebbins 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.
Site Control/Access and Permitting. It is expected that the community would support erection
of the met tower. Consultation with the U.S. Fish and Wildlife Service would be conducted to
comply with the Endangered Species Act. AVEC would work openly with the agency and
conduct studies as appropriate.
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
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handle the Stebbin’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 Stebbins would not be difficult, since there is a good
dock in the community.
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.
According to the AEA Alaska high resolution wind resource map, Stebbins is rated as a class 4 to
5 wind regime. Correlating AVEC’s meteorlogic data from Shaktoolik, which is also in a 4 to 5
wind regime, we expect the annual wind resource to be 30% of installed wind turbine capacity.
Multiple wind turbines totaling 400 to 600 kW can be expected to produce in the range of
1,000,000 to 1,500,000 kWh per year. The appropriate total rating will be determined by this
feasibility study.
Solar power from photovoltaic solar arrays is a potential alternative, but has higher capital cost
and lower resource availability than wind in Stebbins.
The production of energy using ocean tidal motion is a newly developing possibility. Technology
to make use of tidal motion is under development. Even after initial development activities have
been completed, the sub-arctic maritime environment may provide additional challenges to the
use of this developing technology.
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.
AVEC currently provides power to the communities of Stebbins and Saint Michael with diesel
generators. The Stebbins power plant includes three CMS generator sets with a combined
capacity of 871 kW (one each 271 kW, 250 kW and 350 kW generator sets). All three generator
sets were installed in the early 1990s. There is a new 499 kW generator set on site that will be
installed in the near future. The Saint Michael power plant has a capacity of 1020 kW consisting
of a 499 kW, 314 kW and a 207 kW, installed in 2005, 2000 and 1995 respectively.
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The data indicates that peak demands in Stebbins have remained relatively constant over the
past five years with a maximum one-minute average peak of 328 kW occurring in 2002. Average
demand over the same period was approximately 165 kW. Similarly, Saint Michael demands
have remained constant with an average peak of 329 kW and an average demand of 173 kW.
According to the 2007 Statistical Report of the Power Cost Equalization Program Report, the
Stebbins plant generated 13.22 kWh for each gallon of fuel consumed in 2007. The Saint
Michael plant generated 13.89 kWh per gallon in 2007.
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.
Stebbins and Saint Michael use diesel and heating oil as primary energy resources. Diesel fuel
consumption for power generation in Stebbins in FY2007 was 103,720 gallons; in Saint Michael
diesel fuel consumption was 103,853 gallons.
If this study finds the wind resource suitable, 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.
Stebbins is located on Saint Michael Island, about 120 miles southeast of Nome. Average
summer temperatures range from 40 to 60° F; winter temperatures average -4 to 16 F°. Saint
Michael is located on the east coast of Saint Michael Island in Norton Sound. It lies 125 miles
southeast of Nome and 48 miles southwest of Unalakleet. Summer temperatures average 40 to
60; winters average -4 to 16. Extremes from -55 to 70 have been recorded.
In Stebbins, 42 percent of the population is below the poverty line, and the median household
income is $23,125—less than half of the State’s median household income of $59,036. In Saint
Michael, the median household income is $33,036, per capita income is $10,692, and 22.88
percent of residents live below the poverty level in Saint Michael.
The electricity consumption in Stebbins in 2007 was 1,371,190 kW while the consumption in
Saint Michael was 1,518,449 kW. The load of is highest during the winter months, with the bulk
of electricity consumed by residences and the school. If this study finds that winds are suitable,
the addition of wind turbines to the electric generation system could reduce the amount of
diesel fuel used for power generation and for heating.
Like all of Alaska, Stebbins and Saint Michael are 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. Residents rely on subsistence resources including
fish, seal, walrus, reindeer, and beluga whale. Subsistence food is gathered and harvested and
stored in refrigerators and freezers. Refrigeration is essential for the extended storage of
perishable food stuffs, and reliable electric service is essential for proper freeze storage of food.
Sources: Alaska Community Database.
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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
Renewable Energy Technology. AVEC plans to conduct a Feasibility Analysis, Resources
Assessment, and Conceptual Design to assess the possibility of using wind power in Stebbins. 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 permitting, 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 intertied Stebbins and Saint Michael system. If the wind is suitable for development,
the turbines will interconnect with a new intertie and power plant in Stebbins. It is expected
that wind-generated electrical energy will be delivered via the existing electrical distribution
grids in Stebbins and Saint Michael.
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 met tower and geotechnical work would occur at a location
between Stebbins and Saint Michael. In the past, the City of Stebbins signed a resolution in
support of seeking funding for a met tower (Attachment 6-Supplemental Materials). It is
expected that the community would support erection of the met tower and geotechnical field
work in this area.
To obtain permission to place met towers and complete geotechnical work, AVEC would travel
to community immediately following the Authorization to Proceed from AEA. AVEC would
discuss the project with community members and representatives from the Cities, Community
Associations (IRA), and the Native Corporations of Stebbins and Saint Michael.
4.3.3 Permits
Provide the following information as it may relate to permitting and how you intend to address
outstanding permit issues.
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• List of applicable permits
• Anticipated permitting timeline
• Identify and discussion of potential barriers
Consultation with the U.S. Fish and Wildlife Service in compliance with the Endangered Species
Act will be required to install the met tower. AVEC will work with the agency to ensure that the
requirements of the Act are met, while allowing for the success of the project.
An U.S. Army Corps of Engineers Wetlands Permit may be needed for the geotechnical work.
The Corps has a “Nationwide Permit” for survey work, including geotechnical 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
The purpose of this work is to gather background information to plan for future wind turbines.
A met tower would be installed, and geotechnical field work would be completed. As stated
above, compliance with the Endangered Species Act would be needed. Also a U.S. Army Corps
of Engineers Wetlands Nationwide Permit could be needed to conduct geotechnical work,
depending on if the work is within wetlands. Further work to comply with other environmental
laws, including the National Environmental Policy Act (if federal funding is sought for
construction), the Clean Water Act (for work in wetlands), and the National Historic Preservation
Act, would be conducted during the next stage of development, if the wind resource is suitable
for moving forward with the installation of turbines.
AVEC would obtain permission to place the met tower and conduct geotechnical fieldwork from
the land owner as a part of this project. The community has supported this project in the past,
and it is not expected that a right of entry will problematic. Further work to obtain a long term
lease would be needed if the study finds that the wind turbines are feasible.
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.
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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
AVEC plans to conduct a Feasibility Analysis, Resources Assessment, and Conceptual Design to
assess the possibility of using wind power near Stebbins. This work will cost $150,000. AVEC
requests $142,500 from AEA. AVEC will provide $7,500 as an in-kind 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 $220,800. AVEC would provide a 5% in-kind match ($11,040).
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 $5,470,000 assuming installation of four 100 kW wind
turbines or two 300 kW wind turbines. AVEC would provide a 10% cash match ($547,000). 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 Stebbins and Saint Michael, is a member owned
cooperative electric utility and typically owns and maintains the generation, fuel storage, and
distribution facilities in the villages it serves.
Stebbins includes 86 households and Saint Michael has 90 households. Both community have
facilities, including a health clinic, city office, tribal council office, and water treatment plant,
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which would purchase power from AVEC.
At this point in project development, the potential power price and rate of return on the project
is unknown.
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 annual fuel displacement: The possible displacement of diesel fuel used for village
power generation in Stebbins and Saint Michael currently totals over 207,573 gallons per year
(103,720 gal in Stebbins/103,853 gal in Saint Michael) at a cost of over $939,000. In 2008, AVEC
spent an average of $4.43 and $4.53 per gallon for the fuel for power generation in Stebbins and
Saint Michael, respectively. If the wind resource proves suitable and turbines are installed, the
residents of Stebbins would benefit from decreased fuel use; however, at this point in the
project the exact 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 Stebbins 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 14 of 16 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 wind turbines would 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
Stebbins 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.
With Denali Commission funding, AVEC prepared a Conceptual Design (CDR) Addendum in June
2007. The addendum updated critical elements of the CDR that could be used for design of the
proposed bulk fuel storage and power generation facilities. Important to this grant application,
the addendum reexamined the potential for and included a cost estimate for wind energy (2 to
4 turbines), a 10 mile intertie between Stebbins and Saint Michael, and heat recovery to serve
the school, the City’s water treatment plant and / or the Corporation’s office and store. The
wind feasibility project requested in this application would build upon the work that has been
completed in these communities in the past.
SECTION 8– LOCAL SUPPORT
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.
During the preparation of the CDR, AVEC visited Stebbins. The community fully supported the
construction of wind turbines in the community.
Renewable Energy Fund
Grant Application Round 3
AEA10-015 Grant Application Page 15 of 16 10/7/2009
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
AVEC plans to conduct a Feasibility Analysis, Resources Assessment, and Conceptual Design to
assess the possibility of using wind power in Stebbins. This work will cost $150,000. AVEC
requests $142,500 from AEA. AVEC will provide $7,500 as cash contribution.
A detail of the grant budget follows. Also see Tab 4.
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 16 of 16 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
Tab 3
Cost Worksheet
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.1,000,000 to 1,500,000 kWh
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 6 generators in Stebbins and St Michaels
ii.Rated capacity of generators/boilers/other Diesel fired generators
iii.Generator/boilers/other type 271 kW, 350 kW, 250 kW, 499 kW, 314 kW and
207 kW.
iv.Age of generators/boilers/other 16, 16,18, 3, 8, and 13 years respectively.
v.Efficiency of generators/boilers/other Average efficiency for both villages: 13.92 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 combined)
c)Annual electricity production and fuel usage (fill in as applicable)(if system is part of the
Railbelt grid, leave this section blank)
i.Electricity [kWh]2,889,638
ii.Fuel usage
Diesel [gal]207,573 gal (103,720 gal in Stebbins/103,853 gal in St. Michaels)
Other
iii.Peak Load 657 kW (from August 2002-2007)
iv.Average Load 338 kW (from August 2002-2007)
v.Minimum Load
vi.Efficiency 13.76 kW/gal (from August 2002-2007)/13.92 kW/gal (from 2007)
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]
400 to 600 kW Wind
b)Proposed Annual electricity or heat production (fill in as applicable)
i.Electricity [kWh]1,000,000 to 1,500,000 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 Estimated:$5,470,000
b)Development cost Estimated: $220,800
c)Annual O&M cost of new system
d)Annual fuel cost
5.Project Benefits
a)Amount of fuel displaced for
i.Electricity 71,839 to 107,759 gal
ii.Heat
iii.Transportation
b)Price of displaced fuel $318,246 to $477,370
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 1.16 to 1.75 (assuming 20 year life)
Payback 11.46 to 17.19 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)
Stebbins 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
Tab 5
Delegation of Authority
Tab 6
Supplemental Materials
Stebbins IRA Letter of Support
City of Stebbins Resolution of Support
Stebbins Wind Resource Figure
Stebbins Conceptual Design Report
Addendum: Bulk Fuel and Power Systems
Upgrades
Pacific Ocean
Nome
Sitka
Kenai
Homer
Craig
Juneau
Palmer
Barrow
Haines
Kodiak
Valdez
Seward
Bethel
Cordova
Kotzebue
Sterling
Wrangell
Unalaska
Fairbanks
Anchorage
Ketchikan
North Pole
Dillingham
Petersburg
Metlakatla
170°0'0"W175°0'0"W
165°0'0"W
165°0'0"W
160°0'0"W
160°0'0"W 155°0'0"W
155°0'0"W
150°0'0"W
150°0'0"W
145°0'0"W
145°0'0"W
140°0'0"W
140°0'0"W
135°0'0"W 130°0'0"W 125°0'0"W 120°0'0"W
48°0'0"N50°0'0"N50°0'0"N66°0'0"N68°0'0"N70°0'0"N52°0'0"N52°0'0"N54°0'0"N54°0'0"N56°0'0"N56°0'0"N58°0'0"N58°0'0"N60°0'0"N60°0'0"N62°0'0"N62°0'0"N64°0'0"N64°0'0"N72°0'0"N74°0'0"N46°0'0"N205000
205000
455000
455000
705000
705000
955000
955000
1205000
1205000
1455000
1455000
1705000
1705000
1955000
1955000
2205000
22050005455000 54550005705000570500059550005955000620500062050006455000645500067050006705000695500069550007205000720500074550007455000770500077050007955000795500082050008205000Projection: UTM, Zone 4N, WGS84
Spatial Resolution of Wind Resource Data: 200m
This map was created by TrueWind Solutions using the MesoMap system and
historical weather data. Although it is believed to represent an accurate overall
picture of the wind energy resource, estimates at any location should be
confirmed by measurement.
Key to Features
!(City
Road
Railroad
River / Stream
Federal Land
State / Local Park
Borough / Census Boundary
Urban Area
Waterbody
State Background
Canadian Province
Wind Resource of AlaskaWind Resource of Alaska
Power Density at 50 m
NREL Class W/m2
1- < 100
1+ 100 - 200
2 200 - 300
3 300 - 400
4 400 - 500
5 500 - 600
6 600 - 800
7 > 800 ±
0 170 340 510 68085
Kilometers
0 90 180 270 36045
Miles
Stebbins, Alaska CDR Addendum
Bulk Fuel and Power System Upgrades June, 2007
TABLE OF CONTENTS
1.0 INTRODUCTION..............................................................................................................................1
1.1 Purpose ...........................................................................................................................................1
1.2 Site Visits........................................................................................................................................1
1.3 Project Participants.........................................................................................................................1
2.0 EXISTING CONDITIONS ................................................................................................................2
2.1 Existing Tank Storage Capacity.....................................................................................................2
2.2 Existing Power Generation Capacity..............................................................................................2
3.0 FUEL STORAGE AND ELECTRICAL GENERATION CAPACITY RECOMMENDATIONS 3
3.1 Historical Fuel Usage .....................................................................................................................3
3.2 Historical Electric Demand.............................................................................................................3
3.3 Planned Infrastructure Improvements.............................................................................................3
3.3.1 Intertie to Saint Michael ..............................................................................................................3
3.3.2 Water and Sewer Improvements..................................................................................................3
3.3.3 Airport Improvements ................................................................................................................4
3.3.4 School Improvements.................................................................................................................4
3.3.5 Alternative Energy......................................................................................................................4
3.4 Projected Community Growth........................................................................................................5
3.5 Projected Electrical Demand at Design (2016) ..............................................................................5
3.6 Projected Fuel Demand at Design ..................................................................................................6
3.7 Recommended Fuel Storage Capacity............................................................................................7
4.0 FACILITY SITING AND DESIGN RECOMMENDATIONS.........................................................9
4.1 Site Control.....................................................................................................................................9
4.2 Geotechnical Conditions.................................................................................................................9
4.3 Borrow Sources ..............................................................................................................................9
4.4 Community Flood Data ..................................................................................................................9
4.5 Snow Drifting...............................................................................................................................10
5.0 PROPOSED IMPROVEMENTS.....................................................................................................11
5.1 Scope of Work..............................................................................................................................11
. i
Stebbins, Alaska CDR Addendum
Bulk Fuel and Power System Upgrades June, 2007
. ii
TABLES
Table 1 Contact Information ..................................................................................................... 1
Table 2 Existing Bulk Fuel Storage ........................................................................................... 2
Table 3 Estimated Current Annual Fuel Consumption ................................................................. 3
Table 4A – Historical Demand Data Based on PCE Records, Stebbins Alaska .................................. 5
Table 4B – Historical Demand Data Based on AVEC Records, St. Michael Alaska........................... 6
Table 6 Projected Fuel Consumption Increases ........................................................................... 7
Table 7 Estimated Fuel Consumption Year 2016 ........................................................................ 7
Table 8 - Recommended Fuel Storage Capacity............................................................................. 8
FIGURES
Figure 1 Location Map
Figure 2 Community Site Plan
PHOTOGRAPHS
Photograph 1 – Existing Tapraq Fuel Company Tank Farm
Photograph 2 – Existing Tapraq Fuel Company Tank Farm
Photograph 3 – Existing Tapraq Fuel Company Dispenser
Photograph 4 – Existing Bering Straights School District Tank Farm
Photograph 5 – Existing Alaska Village Electric Cooperative Tank Farm
Photograph 6 – Existing Alaska Village Electric Cooperative Power Plant
Photograph 7 – Existing Ferris General Store Tank Farm
Photograph 8 – Existing Ferris General Store Dispensers
APPENDICES
Appendix A Tank Summary Spreadsheet
Appendix B Site Control Documents
Appendix C Conceptual Design Drawings
Appendix D Construction Cost Estimate
Stebbins, Alaska CDR Addendum
Bulk Fuel and Power System Upgrades June, 2007
1.0 INTRODUCTION
1.1 Purpose
This addendum to the Stebbins Bulk Fuel Tank Farm and Power Plant Upgrade Conceptual Design Report
(CDR) was prepared by CRW Engineering Group, LLC (CRW) for the Alaska Village Electric Cooperative
(AVEC). The purpose of this addendum is to update critical elements of the CDR that will be used for
design of the proposed bulk fuel storage and power generation facilities.
1.2 Site Visits
Two site visits were conducted during development of this CDR addendum. The first site visit took place
September 26-29 and included AVEC Community Liaison Marie Becker and CRW engineers Jeff Stanley
and Karl Hulse. During the site visit existing fuel tanks were inspected, the power plant and electrical
distribution system components were documented, potential sites were evaluated, and meetings were held
with the City Council and school district representatives to discuss project objectives and Denali
Commission policies. Marie Becker visited the community a second time on December 7th, 2006 to present
a progress report to the community and secure site control documentation for the project.
1.3 Project Participants
Project participants identified during the site visit include: AVEC, the City of Stebbins (City), the Bering
Strait School District (BSSD), Tapraq Fuel Company, and the Ferris General Store.
Table 1 Contact Information
Entity Contact Address Phone Number
Alaska Village Electric
Cooperative (AVEC)
Brent Petrie
Manager, Community
Development and Key
Accounts
AVEC
4831 Eagle Street
Anchorage, AK 99503
907- 561-1818
907-562-4086 (fax)
City of Stebbins Robert Ferris Mayor
City of Stebbins
P.O. Box 22,
Stebbins, AK 99671
907- 934-3451
907-934-3452 (fax)
Bering Straits School
District
Bob Dickens, Facilities
Director
BSSD
P.O. Box 225
Unalakleet, AK 99684
907-624-4249
907-624-3524 (fax)
Tapraq Fuel Company Thomas Kirk, Manager General Delivery
Stebbins, AK 99671
907-934-3074
907-934-2399 (fax)
Ferris General Store Robert Ferris,
Owner
P.O. Box 1
Stebbins, AK 99671 907-934-3131
. 1
Stebbins, Alaska CDR Addendum
Bulk Fuel and Power System Upgrades June, 2007
2.0 EXISTING CONDITIONS
2.1 Existing Tank Storage Capacity
The following table summarizes the existing fuel storage capacities for the project participant. A more
detailed account of existing tankage in the community is provided in Appendix A.
Table 2 Existing Bulk Fuel Storage
Owner Gasoline
(Gallons Gross)
Diesel
(Gallons Gross)
Total Gross Storage
(Gallons)
AVEC 0 107,900 107,900
BSSD 0 81,900 81,900
City of Stebbins 0 21,000 21,000
Tapraq Fuel Company 52,500 74,300 126,800
Ferris General Store 0 27,000 27,000
Grand Total 364,600
2.2 Existing Power Generation Capacity
The Stebbins power plant is owned and operated by AVEC. The plant consists of a 1980’s vintage butler
building with separate crew quarters and a storage module constructed on an elevated timber deck
supported by wooden posts and pads. Based upon data obtained from Mr. Mark Bryan, AVEC Operations
Manager, the Stebbins power plant includes three CMS generator sets with a combined capacity of 871 kW
(one each 271 kW, 250 kW and 350 kW generator sets). All three generator sets were installed in the early
1990’s. Reportedly, there is a new 499 kW generator set on site that will be installed in the near future.
According to historic AVEC records and PCE data, the power plant generates an average of 13.25 kWh per
gallon of diesel consumed.
. 2
Stebbins, Alaska CDR Addendum
Bulk Fuel and Power System Upgrades June, 2007
3.0 FUEL STORAGE AND ELECTRICAL GENERATION CAPACITY
RECOMMENDATIONS
3.1 Historical Fuel Usage
Average annual fuel consumption in Stebbins was calculated based upon information provided by project
participants as well as local fuel barge service companies (Delta Western and Crowley). The estimated
current annual fuel consumption is presented in Table 3.
Table 3 Estimated Current Annual Fuel Consumption
Fuel
Product
AVEC
(Power
Generation)
City of Stebbins BSSD
Tapraq
(Retail
Sales)
Ferris
(Retail
Sales)
Totals
Unleaded
Gas -- -- -- 50,000 -- 50,000
Diesel
Fuel 105,000 20,000 56,000 74,000 15,000 270,000
3.2 Historical Electric Demand
Historical AVEC and PCE report data was analyzed to determine trends in the community’s energy
consumption. The data indicates that peak demands in Stebbins have remained relatively constant over the
past five years with a maximum one-minute average peak of 328 kW occurring in 2002. Average demand
over the same period was approximately 165 kW.
3.3 Planned Infrastructure Improvements
Future infrastructure improvement projects can affect community electrical demands and must be
considered when sizing the proposed power plant. The scope and anticipated impact of planned
infrastructure improvements are discussed in the following sections.
3.3.1 Intertie to Saint Michael
As currently envisioned, the proposed project will include a 10-mile long, 15 kV intertie to Saint Michael
and a prime power plant in Stebbins, which will supply power to both communities. The current average
electrical demand in St. Michael is approximately 170 kW. Assuming that St Michael’s demand for power
will increase linearly with their historical population growth rate (2.3%), it is estimated that the tie line will
impose a 217 kW (1,901,000 kWh) average demand in the design year 2016.
3.3.2 Water and Sewer Improvements
The City currently has no piped water or sewer systems; residents haul water from a watering point located
at the washeteria and deposit honeybucket waste in bunkers. The City, in conjunction with the Alaska
. 3
Stebbins, Alaska CDR Addendum
Bulk Fuel and Power System Upgrades June, 2007
Native Tribal Health Consortium (ANTHC) has secured funds to construct a new water treatment plant and
reservoir. Based on information obtained from the ANTHC design engineer, the new water system
infrastructure will impose an additional 30 kW (262,800 kWh) electrical demand and consume
approximately 25,000-gallons of additional heating oil in the design year. Long term plans include
construction of a piped water and vacuum sewer system to serve the majority of households in the
community, and electrical demand is expected to increase incrementally as households are connected to the
system. The construction schedule for the piped system is undetermined at this time, and is unlikely to
significant impact community electrical demand prior to 2016.
3.3.3 Airport Improvements
The Alaska Department of Transportation and Public Facilities was contacted regarding planned airport
improvements in Stebbins. According to Mr. Roger Maggard, State Airport Development Manager,
Stebbins is on the Department’s list to receive a runway extension project but the community’s priority
score is low. If and when the extension project does occur it would most likely include additional
navigational aids and runway lights. The installation of intermittent (radio controlled) runway lights and a
continuous 500W beacon would result in an estimated 3 kW increase in average demand, consuming an
estimated 24,000 kWh per year.
3.3.4 School Improvements
According to BSSD, there are no scheduled improvements to the school facilities in Stebbins that would
have a significant impact on either power or fuel consumption. However, to account for unplanned
improvements we recommend that a 10% contingency (6,000-gallons) be added to the school’s current
consumption.
3.3.5 Alternative Energy
Diesel generator sets are typically considered the simplest and most reliable method of power production in
rural communities. However, rising fuel costs and mounting regulatory concern over fuel spills and power
plant emissions warrant a close evaluation of potential alternative energy sources. With proper planning,
design and management, today’s alternative energy technologies could reduce the region’s dependence
upon fossil fuels in the future. Brief discussions of several applicable fuel-saving technologies are
provided below.
Heat Recovery
Heat recovery technology provides a means of reclaiming energy lost to heat during the burning of fossil
fuels. Heat recovery systems in rural Alaska typically consist of a heat exchanger connected to the liquid
cooling system of power plant diesel generator sets. The exchanger draws heat from the engine cooling
system to supplement heat-reliant processes in the power plant and adjacent buildings. Common
implementations include pre-heating hydronic system return fluid to reduce boiler firing frequency, and
heating raw water to enhance water treatment.
Recovered heat from the existing power plant is only used to heat the crew quarters module as there are no
other public facilities in close proximity to the power plant. The proposed power plant could potentially
supply recovered heat to the school, City-owned water treatment plant and/or the Corporation store and
office buildings. Due to the complexity and uncertainties associated with successful implementation of a
. 4
Stebbins, Alaska CDR Addendum
Bulk Fuel and Power System Upgrades June, 2007
heat recovery system (power plant components, piping, heat receptor mechanical upgrades, energy sales
agreements, etc.), the potential for diesel avoidance is not included in the tank farm capacity calculations.
Wind Turbine Power Generation
According to the Wind Energy Resource Atlas published by the U.S. Department of Energy, Stebbins is
designated as a Class 4-5 wind zone on a scale of 1 to 7. This designation indicates that the potential for
beneficial use of wind as an energy resource in the community is good. As such, the proposed power plant
module switchgear should be configured to integrate wind turbines in the future. Due to the uncertain
nature of the wind resource, and the potential lag between construction of the tank farm and wind turbine
facilities, the potential for diesel avoidance due to wind turbines is not considered in the tank farm capacity
calculations.
3.4 Projected Community Growth
Historical census data shows that the population of Stebbins has risen steadily over the past six decades
(2.8% annually from 98 in 1940 to 596 in 2006). Over the past ten years, the growth rate has averaged
just over 3% per year.
For the purposes of this CDR, an average population growth rate of 3% was assumed, resulting in a
design population of 801 in 2016. Assuming that the average household size remains at 4.45 residents
per house, approximately 46 new homes will be constructed by the design year. The resulting increases
in electricity and heating oil demand will be approximately 50 kW (438,000 kWh) and 46,000-gallons
per year (respectively). Further, assuming a linear relationship between gasoline consumption and
population growth, the community will require approximately 17,000-gallons of additional gasoline for
motorized transportation in the design year.
3.5 Projected Electrical Demand at Design (2016)
A summary of the community’s electrical demands and peak loads during previous years is shown in
Tables 4A and 4B. Peaking Factors based upon historic annual average to peak loads are also shown.
Table 4A – Historical Demand Data Based on PCE Records, Stebbins Alaska
Year
Annual
Consumption
(kWh)
[Column C]
Annual Average
Load (kW)
[Column D]
Annual Peak Load
(kW)
Peaking Factor
[D] / [C]
2003 1,313,000 150 290 1.9
2004 1,466,500 167 319 1.9
2005 1,450,000 165 294 1.8
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Stebbins, Alaska CDR Addendum
Bulk Fuel and Power System Upgrades June, 2007
Table 4B – Historical Demand Data Based on AVEC Records, St. Michael Alaska
Year
[Column B]
Annual Average
Load (kW)
[Column C]
Annual Peak Load
(kW)
Peaking Factor
[C] / [B]
FY 2003 157 319 2.0
FY 2004 164 319 1.9
FY 2005 165 318 1.9
The annual kWh consumption in the 2004 PCE report was used as a baseline value for estimating
future demands. Anticipated future loads from section 3.3 were added to this baseline to establish the
average demand at design (see Table 5). Peak demand in the design year was calculated by applying a
peaking factor of 1.9.
Table 5 – Projected Electrical Demands
Baseline Consumption (Stebbins) 1,466,500 kWh
Estimated Increase (10-year outlook and intertie) 2,625,800 kWh
Estimated Annual Consumption (2016) 4,092,300 kWh
Projected Average Demand1 467 kW
Projected Peak Demand 888 kW
Key:
1 – The projected average demand includes the combined loads from Stebbins and St. Michael
3.6 Projected Fuel Demand at Design
Due to the combined effects of upcoming capital improvements and anticipated community growth,
Stebbin’s annual fuel consumption is expected to be on the order of 600,000-gallons (approximately
750 gallons per capita) by the year 2016. Table 6 presents the anticipated effects of capital
improvement projects and community growth on annual fuel consumption. The additional amounts
shown for Tapraq Fuel and Ferris General Store are proportioned based on the current throughput of
each facility. Table 7 estimates the annual fuel consumption for the design year.
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Stebbins, Alaska CDR Addendum
Bulk Fuel and Power System Upgrades June, 2007
Table 6 Projected Fuel Consumption Increases
Anticipated Growth Factors
Participant Intertie to Saint Michael Water / Sewer Improvements Airport Improvements School Improvements Community Growth Subtotal AVEC 136,0001 19,0001,2 2,0001,2 -- 31,0001,3 188,000
City of Stebbins -- 25,0002 -- -- -- 25,000
BSSD -- -- -- 6,0002 -- 6,000
Tapraq Fuel -- -- -- -- 37,000 (DF)3
17,000 (Gas)3
37,000 (DF)
17,000 (Gas)
Ferris General
Store -- -- -- -- 9,0003 9,000
Grand Total 265,000 Diesel
17,000 Gasoline
Key: 1 – Assumes generator efficiency of 14 kWh / Gallon.
2 – For additional information see section 3.3.2 – 3.3.4
3 – For additional information see section 3.4.
Table 7 Estimated Fuel Consumption Year 2016
Diesel Fuel Gasoline
Current Annual Consumption
(Table 3) 270,000 50,000
Projected Fuel Consumption
Increase (Table 6) 265,000 17,000
Sub-Total 535,000 67,000
Estimated Combined Fuel Consumption in Design Year: 602,000 gallons
3.7 Recommended Fuel Storage Capacity
The proposed fuel storage capacities for facilities within the scope of this CDR are listed in Table 8.
The recommended capacities are based upon estimated fuel consumption at design (year 2016) and a
minimum of 13-months storage. Additional space within the proposed tank farms has been provided
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Stebbins, Alaska CDR Addendum
Bulk Fuel and Power System Upgrades June, 2007
for future tanks to accommodate the next 20 years of growth. Conceptual drawings for the proposed
facilities are provided in Appendix C.
Table 8 - Recommended Fuel Storage Capacity
Key: 1 – Proposed storage based upon projected 13 month consumption at design.
Participant
Current
Consumption
(Table 3)
Projected
Increase
(Table 6)
Future
Annual
Consumption
13-Month
Consumption
Proposed Gross
Storage1
Proposed Net
Storage2
AVEC 105,000 188,000 293,000 317,000 351,000 316,0003
City of
Stebbins 20,000 25,000 45,000 49,000 54,000 48,6004
BSSD 56,000 6,000 62,000 67,000 81,000 73,0005
Tapraq Fuel
Company
74,000 (DF)
50,000 (Gas)
37,000 (DF)
17,000 (Gas)
111,000 (DF)
67,000 (Gas)
120,000 (DF)
73,000 (Gas)
137,500 (DF)
83,500 (Gas)
124,000 (DF)6
75,000 (Gas)6
Ferris General
Store 15,000 9,000 24,000 26,000 29,500 26,6007
2 – Net storage assumed to be 90% of gross.
3 – Includes thirteen 27,000-gallon horizontal diesel tanks.
4 – Includes two 27,000-gallon horizontal diesel tanks
5 – Includes three 27,000-gallon horizontal tanks.
6 – Includes eight 27,000-gallon horizontal tanks (5 diesel and 3 gasoline) and one 5,000-gallon dual product dispensing tank.
7 – Includes one 27,000-gallon double wall horizontal tank and one 2,500-gallon protected dispensing tank.
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Stebbins, Alaska CDR Addendum
Bulk Fuel and Power System Upgrades June, 2007
4.0 FACILITY SITING AND DESIGN RECOMMENDATIONS
4.1 Site Control
The proposed sites for the AVEC, City and Tapraq tank farms and the AVEC power plant are within Tract
B, SNC Subdivision, Plat No. 2004-12. Title for this site is vested in the Stebbins Native Corporation. An
existing, City-owned road right of way (ROW) for Caribou Street crosses the proposed site; a portion of
that ROW will need to be vacated and a new ROW to the east of the site will need to be established. In an
initial effort to establish site control, a Memorandum of Agreement (MOA) was developed between AVEC,
the Stebbins Native Corporation, the City of Stebbins and Tapraq Fuel Company; a copy of the signed
MOA is included in Appendix B.
The proposed site for the BSSD tank farm is located on Lot 2, U.S.S. 2049, which is owned by the State of
Alaska Department of Education and Early Development. The proposed site for the Ferris General Store
tank farm is owned by Robert Ferris. A site control opinion prepared by Rick Elliot Land Consultant is
included in Appendix B.
4.2 Geotechnical Conditions
A geotechnical investigation has not been completed for this project. However, Duane Miller and
Associates, in conjunction with the Alaska Native Tribal Health Consortium (ANTHC), completed a
subsurface investigation near the proposed co-located tank farm site in March, 2000. A total of ten test
holes were drilled in the area and soil samples were taken for gradation and consolidation tests. Test hole
depths varied from 6.5 feet to 49 feet. The general soil profile in the area consists of 1 ft to 3 ft of organic
silts overlaying five to ten feet of sand, followed by silt and sandy silt to depth. All but one boring was
frozen to depth. Groundwater was not encountered.
4.3 Borrow Sources
Three potential borrow sources, known locally as borrow pits #1, #2, and the Clear Lake pit, are located
within reasonable proximity to the City of Stebbins. Borrow pits #1 and #2 are located on the hill just east
of town. The Clear Lake source is located adjacent to the road to St. Michael and is reportedly the most
accessible. Access to this pit is via a narrow gravel road, which leaves the St. Michael-Stebbins Road and
extends approximately 550 feet southwest. Reportedly, material in the pit consists of moderately frost
susceptible silty / sandy gravel. Test results of samples from the Clear Lake source indicate a degradation
value of 78 and a Los Angeles Abrasion loss of 25 percent. The coarse Sulfate Soundness result was 0.5
and the fine was 8.2. These values suggest that material from the clear lake site should be acceptable for the
construction of surface coarse aggregate and embankment. Sands may be available along the beach or via
screening at existing pits. Beach sources will likely require additional permitting prior to use. The
subsurface rights to all pits are owned by the Bering Straights Native Corporation; royalty charges range
from $2 to $3 per cubic yard.
4.4 Community Flood Data
Vertical control for the conceptual drawings in this addendum is based upon the 2004 Stebbins Community
Map prepared by Kawerak Inc. and the Alaska Department of Community and Economic Development
(DCED). The vertical control for the finalized community maps is the monument designated “TR15, TRB
ANCSA 14(c)” with a recorded elevation of 18.58 feet above mean sea level (MSL). Based upon this
datum, the approximate elevation of the proposed co-located tank farm site is 18 feet MSL. The U.S.
Army Corps of Engineers (USACOE) report “Alaska Communities Flood Hazard Data 2000” has a 100
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Stebbins, Alaska CDR Addendum
Bulk Fuel and Power System Upgrades June, 2007
year flood elevation of 27.32 feet MSL. The USACOE report entitled “Stebbins, Alaska Storm Damage
Reduction Reconnaissance Report, July 1988” includes a regression analysis that estimates the 50-year
flood elevation at approximately 23.3 feet MSL. The community’s flood gauge is located on the southwest
corner of the teacher’s housing, a part of the old BIA school.
4.5 Snow Drifting
Verifiable information on the prevailing wind direction in Stebbins is limited. Based upon the orientation
of the airport runway, the prevailing wind direction in Stebbins appears to be northeast - southwest. The
proposed facilities (tanks, standby generator module, crew quarters, etc.) were situated to minimize impacts
from snow drifting.
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Stebbins, Alaska CDR Addendum
Bulk Fuel and Power System Upgrades June, 2007
5.0 PROPOSED IMPROVEMENTS
5.1 Scope of Work
The proposed Scope of Work for bulk fuel tank farm and power plant upgrades is provided below.
Conceptual design drawings for the proposed improvements are provided in Appendix C. A
construction cost estimate for the project (developed by CE2 Engineers) is included in Appendix D.
Bulk Fuel System
AVEC Tank Farm – Construct a new bulk fuel tank farm with thirteen 27,000-gallon single wall,
horizontal AST’s. The tanks will be placed within a lined timber-dike wall containment basin. A
new barge header with one 750-foot long, 4-inch diameter, buried pipeline will be installed to fill
the facility.
Tapraq / City Tank Farm – Construct a new co-located bulk fuel tank farm with ten 27,000-gallon
single wall, horizontal AST’s and one 5,000-gallon, dual product dispensing tank. The tanks will
be placed within a lined timber-dike wall containment basin. Diesel tanks within the facility will be
filled via a new 4-inch diameter, 100-foot long spur line from the AVEC tank farm fill line. A
second barge header and 750-foot long, 4-inch diameter, buried pipeline will be installed to fill the
facility’s gasoline tanks.
School Tank Farm – Construct a new bulk fuel tank farm at the school with three 27,000-gallon
single wall, horizontal ASTs. The tanks will be placed within a lined timber-dike wall containment
basin. A new single product barge header will be installed within the diked area for filling the
tanks.
Ferris General Store Tank Farm – Install one 27,000-gallon double wall, horizontal AST and one
2,500-gallon protected dispensing tank at the Ferris General Store. The tank will be filled via a new
single product barge header installed near the tank farm.
Dispensers – Install one dual product retail dispenser and one single product fleet dispenser at the
tank farm for Tapraq Fuel Co. and the City (respectively), and one single product retail dispenser at
the Ferris General Store. All dispensers will be mechanical and manually operated unless
otherwise requested. No remote consoles, pre-paid card readers or other sophisticated systems are
planned.
Install new electrical controls and lighting improvements as required.
Provide all EPA required spill contingency equipment.
Power System
Power Plant – Fabricate and install a new modularized power plant. The facility will include eight
modules (3 engine units, 1 control unit, 1 crew quarters, 1 heated storage unit, 1 cold storage unit
and one lube storage unit). A separate heat recovery unit will be attached to one of the generator
modules. The plant will be constructed on an elevated pile foundation. A fully enclosed breezeway
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Stebbins, Alaska CDR Addendum
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. 12
will provide access between individual modules. Module design and generator set / switchgear
specifications will be provided by AVEC.
Heat Recovery System – Install new insulated circulating glycol lines to serve the school, the City’s
water treatment plant and / or the Corporation’s office and store.
Electrical Intertie – Construct a new 10-mile long, 15 kV overhead primary power transmission line
from Stebbins to Saint Michael.
Distribution System – Upgrade the existing distribution system in Stebbins as necessary to connect
the proposed power plant and intertie.
Alternative Energy - Install two to four wind turbines near Stebbins and connect them to the
proposed intertie.