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HomeMy WebLinkAboutChakachamna West Cook Inlet RE Round III/� ALASENERGYHORITY KA Renewable Energy Fund Grant Application Round 3 SECTION 1 —APPLICANT INFORMATION Name (Name of utility, IPP, or government entity submitting proposal) TDX Power Type of Entity: Independent Power Producer Mailing Address Physical Address 4300 B Street, Anchorage, AK 99503 same Telephone Fax 1 Email 762-8450 278-2316 n oodman tdx ower.com 1.1 APPLICANT POINT OF CONTACT Name Title Nicholas Goodman CEO Mailing Address 4300 B Street, Anchorage, AK 99503 Telephone Fax Email 762-8450 278-2316 ngoodman@tdxpower.com 1.2 APPLICANT MINIMUM REQUIREMENTS Please check as appropriate. !f you do not to meet the minimum applicant requirements; your application will be rejected. 1.2.1 As an Applicant, we are: (put an X in the appropriate box) An electric utility holding a certificate of public convenience and necessity under AS 42.05, or X 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. AEA10-015 Grant Application Page 2 of 15 10/7/2009 alv)/@EDALASKA Renewable Energy Fund ® ENERGY AUTHORnY Grant Application Round 3 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) Type in your answer here and follow some format for rest of the application. West Cook Inlet Energy Cumulative Impacts 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. Answer here. Energy projects on the west side of Cook Inlet to include the Chakachamna Hydropower project at Lake Chakachamna, the Mt. Spurr geothermal project at Mt Spurr, coal energy development in the Beluga area, and a wind energy project on the divide between the McArthur and Chakachamna drainage basins. 2.3 PROJECT TYPE Put X in boxes as appropriate 2.3.1 Renewable Resource Type X Wind Biomass or Biofuels X Hydro, including run of river Transmission of Renewable Energy X Geothermal, including Heat Pumps Small Natural Gas Heat Recovery from existing sources Hydrokinetic Solar Storage of Renewable X Other (Describe) In -situ coal gasification 2.3.2 Proposed Grant funded Phase(s) for this Request (Check all that apply) Reconnaissance I Design and Permitting Feasibility X Construction and Commissioning Conceptual Design 2.4 PROJECT DESCRIPTION Provide a brief one paragraph description of your proposed project. The west side of Cook Tnlet contains several energv nroiects that may well nrovide the mniority of future electrical energy supply for the Railbelt region of Alaska where 70% of the Alaska populations resides. These projects include the Chakchamna hydropower project, Mt. Spurr geothermal project, in -situ coal gasification, and wind generation. While there are limited existing pioneer roads in the area of consideration, if any or all of the potential projects move forward, infrastructure needed for the development and operation of these projects could be significant. Funds provided under this application would be used to conduct field inventories of fisheries and wildlife resources in the area and their habitat. The project would evaluate the individual and cumulative infrastructure needs of the energy projects and the subsequent environmental impact that this infrastructure might have on area fisheries and wildlife. The largest majority of the funding will be utilized to inventory area fisheries, and their seasonal and aerial distribution throughout the study area. Infrastructure of concern which may impact these AEA10-015 Grant Application Page 3 of 15 10/7/2009 /ALASKA Renewable Energy Fund © ENERGY AUTHORITY Grant Application Round 3 resources include temporary and permanent access roads, bridges, airfields, and transmission lines. 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.) Benefits from the energy projects that would be developed in west Cook Inlet would provide economical renewable electrical energy for 70% of Alaska's population. These renewable projects will displace the need for existing nonrenewable thermal generation presently in use throughout southcentral Alaska. The funds provided under this grant will be used to inventory the fisheries and wildlife resources in the area and the impacts that the projects will need to address. Thus, the general public will not only receive long-term benefits from renewable energy resources, but fish and wildlife resources will be protected as well. Furthermore, Railbelt existing natural gas, coal, and oil that is presently being burned to provide energy to southcentral homes and businesses can be diverted for higher and better uses. The benefits will be long term cheaper electricity, and greater return on sale of non-renewable resources for other purposes. 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 2010 field program would require $4 million to effectively accomplish inventory and assessment objectives. We anticipate that $3.8 million would be utilized to inventory fishery and habitat resources throughout the west Cook Inlet area being considered for development. $100 thousand would be used to evaluate the quantity and distribution of wildlife in the area, and another $100 thousand would be used to purchase and install anemometers in high wind resource areas. 2.7 "' COST AND BENEFIT SUMARY Include a summary of grant request and yourproject's total costs and benefitsbelow. Grant Costs (Summary of funds requested) 2.7.1 Grant Funds Requested in this application. $ 5,000,000 2.7.2 Other Funds to be provided (Project match) $ 2.7.3 Total Grant Costs (sum of 2.7.1 and 2.7.2) $ 5,000,000 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 $5,000,000 including estimates through construction) 2.7.5 Estimated Direct Financial Benefit (Savings) $ 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.) AEA10-015 Grant Application Page 4 of 15 1017i2009 ALASKA Renewable Energy Fund 401) /GEWD ENERGY AUTHORITY Grant Application Round 3 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. Type in your answer here and follow same format for rest of the application. Mr. Eric Yould will be the overall project director. He will be supported by professional engineers and scientists from the firms of MWH Amaracus, and HDR. HDR will have the responsibility for designing the overall field inventory program, and MWH will provide the technical resources needed to assess the cumulative infrastructure needs in the area and the solutions needed to mitigate project impacts. Mr. Yould has helped develop several large renewable energy projects throughout Alaska Similarly, few other firms in Alaska can match the contributions of MWH and HDR in resource development projects in Alaska. Martina Dabo of TDX Power will be responsible for all wind energy activities, Nikolay Argirov of MWH will be responsible for engineering solutions, and Paul McLarnon of HDR will be directly responsible for all fisheries investigations. 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 asummary of dates below.) Receipt of grant funds March 2010 Design field program and apply for field permits March/April 2010 Procure fish tags, sonar equipment, anemometers, etc. April 2010 Procure camp lodging, air transport to support field activities May 2010 Conduct engineering assessment of infrastructure needs July 2010 Conduct Field program May thru Sept. 2010 Evaluate individual and cumulative infrastructure impacts October 2010 Provide final report to AEA November 2010 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.) See schedule above. 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 AEA10-015 Grant Application Page 5 of 15 10/7/2009 " ALASKA Renewable Energy Fund ENERGY AUTHORITY Grant Application Round 3 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. TDX Power will have overall responsibility for execution and management of the project. MWH Americas is the premier hydropower firm in the United States and will have responsibility for reviewing the infrastructure needs of the west Cook Inlet area. It will also be responsible for developing mitigation plans for any impacted resources. HDR is the premier fisheries consulting firm in Alaska and will be responsible for all fisheries investigations within the study area. TDX presently has existing contracts with each of these firms for the investigation of the Chakachamna hydropower project. 3.5 Project Communications Discuss how you plan to monitor the project and keep the Authority informed of the status. Standard project management practices will be used to monitor the progress of the project. TDX power already has a business relationship with its prime contractors, MWH and HDR and has established a program management process that requires weekly reporting of effort expended and requirements for allowing project personnel to expend efforts on its projects. Budgets are required in advance of Task assignments, and all work is tracked at the individual and cost expenditure level. Invoicing is required on a monthly basis, and expenditures are tracked against budget. No company is allowed to exceed their preapproved budget, and "burn rate" is shared with senior TDX management on a weekly basis. All of these tracking procedures can be utilized to keep the Authority informed of project progress. TDX Power would establish in advance a reporting system acceptable to the Authority. For this level of effort, we would want the system to be streamlined, but informative. Thus, each level of the Authority could receive the level of financial detail that they require. 3.6 Project Risk Discuss potential problems and how you would address them. The major issue that will need to be addressed is that of receiving funding fare enough in advance to allow the procurement of the necessary permits and equipment to accomplish the intended work. TDX had anticipated accomplishing this field program during the summer of 2009, but lacked the funding to proceed. Nevertheless, TDX did buy much of the equipment, designed the program, and secured the necessary permits to accomplish the program. Hence, most of this effort has already been accomplished for the 2010 field season and this will be beneficial in eliminating the potential timing problem. Other issues that could arise could entail marshaling the requisite field personal to accomplish the assignments. However, in addition to the professional staff available within our consulting team, Tyonek native corporation is prepared to make shareholders available to assist with much of the field work. Other roadblocks could entail logistical support needed to support the field effort. It should be pointed out, however, that ours is a totally Alaska team that has performed this type of work on numerous occasions and that we will not be tied to any single transportation mode that might be impacted by inclement weather or other field impediment. TDX also has a good working relationship with CIRI and with Ormat and will be in a good position to work through any problems that associated with their respective energy projects. AEA10-015 Grant Application Page 6 of 15 10/7/2009 /®ALASKA Renewable Energy Fund 41111117) ENERGY AUTHORITY Grant Application Round 3 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 extentlamount 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. The Chakaehamna hydropower project is one being brought forward by TDX Power. The project could develop roughly 300 MW of power at a 50% plant factor. TDX Power would also be responsible for developing the wind resource in the region. It is too early to say just how much energy can be economically developed in the region, but 100 MW at a 30% penetration rate is not unreasonable. Ormat has several leases for development of the Mount Spurr geothermal potential and has expressed interest in developing approximately 100 MW with a 95% pant factor. Similarly, CIRI has indicated its intent to develop an initial 100 MW "in situ" coal gasification plant which we presume would also be base loaded. A wind farm of approximately 100 MW rated capacity could generate between 260,000 and 400,000 MWh annually in wind classes 4-6 and wind plant capacity factors between 30-45%. Several potential locations have been screened, some might not be viable due to inaccessibility of terrain, where others lend themselves for further investigation. Thus, the four projects should be capable of initial generation of roughly over 3.5 billion kwh of electricity for the Railbelt. This compares favorably with the existing 5 billion kwh electrical energy demand within the Railbelt today. Furthermore, the projects have the potential for future expansion if economics dictates. Maps indicating the wind resource in the area are shown below. AEA10-015 Grant Application Page 7 of 15 10/7/2009 /® ALASKA Renewable Energy Fund ® ENERGY AUTHORITY Grant Application Round 3 Power density color code most liken does not correspond with amount of W/mA2. Wind resource indication seems to correspond with high resolution wind map, therefore labeled wind speeds are anticipated, based on high resolution wind map. AEA10-015 Grant Application Page 8 of 15 10/7/2009 /ENDALASKA Renewable Energy Fund ® ENERGY AUTHORITY Grant Application Round 3 A" !6 -4 4.2 Existing Energy System 4.2.1 Basic configuration of Existing Energy System Briefly discuss the basic configuration of the existing energy system. Include information about the number, size, age, efficiency, and type of generation. The preponderance of existing Railbelt generation is natural gas fired units in the Cook Inlet area. Much of this generation is reaching its economic life and much of the delivery system is not sufficient to provide for future peak demands. There is also minor coal generation in the system, some hydro, and some oil fired generation in the Fairbanks area. It is not anticipated that the hydropower nor the coal generation would be displaced by the new generation at west Cook Inlet. In addition, area utilities are in the process of developing new gas fired generation to replace existing thermal generation, but all remain uncertain on where future gas supplies will come from. 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. It is anticipated that the proposed west Cook Inlet projects would displace much of the existing natural gas fired generation. This should prolong the life of this resource for heating and other electric power generation within the Railbelt area. Conversely, the new projects could preclude the need for more significant importation of natural gas to the Cook Inlet area in the event that AEA10-015 Grant Application Page 9 of 15 10/7/2009 /© ALASKA Renewable Energy Fund 4EV) ENERGY AUTHORITY Grant Application Round 3 new gas is not found in the area. 4.2.3 Existing Energy Market Discuss existing energy use and its market. Discuss impacts your project may have on energy customers. The existing target market is the utility sector. At the present time, this market demand is approximately 5 billion kwh annually and growing at a rate of approximately 1.2% annually. It is anticipated that the four projects being contemplated from the west Cook Inlet area can be readily absorbed into the system on day one of their availability. 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 Chakachamna Hydropower: 300 MW, 50% CF, 1.5 billion kwh, no anticipated barriers; readily absorbed into the system by way of 345 kv transmission system West Foreland Wind: 100 MW, 30% CF, 263 million kwh, proven technology with no barriers; readily absorbed into the system by way of 345 kv transmission system Mt. Spurr Geothermal: 100 MW, 95% CF, 800 million kwh, proven technology, but resource needs to be proven up; readily absorbed into the system by way of 345 kv transmission system Beluga In -situ Coal Gasification: 100 MW, 95% CF, 800 million kwh, but resource and technology needs to be proven to be economical feasible; readily absorbed into the system by way of 345 kv transmission system 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. Chakachamna, Mt. Spurr, and West Foreland Wind projects would all be located on state land, but a small portion of the Chakachamna project would also entail some federal land. Transmission lines may cross CIRI land. The CIRI coal gasification project would be located on CIRI land. The hydro, wind, and geothermal projects would all require lease agreements with the state or federal governments, and perhaps with CIRI for transmission line right of ways. The Coal gasification project would be located on CIRI land, thus representing no access issues, but transmission of power form the generation site would require lease agreements with federal and state land owners. AEA10-015 Grant Application Page 10 of 15 10/7/2009 ®ALASM Renewable Energy Fund Grant Application Round 3 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 Permits needed to conduct the requisite field activities have already been identified and draft permit applications have been prepared. Primary agencies requiring permits are the Alaska Department of Fish and Game, Alaska Department of Natural Resources, Costal Zone Management Commission, US National Park Service, and US Bureau of Land Management. 4.3.4 Environmental Address whether the following environmental and land use issues apply, and if so how they will be addressed: Threatened or Endangered species • Habitat issues Wetlands and other protected areas • Archaeological and historical resources • Land development constraints • Telecommunications interference • Aviation considerations Visual, aesthetics impacts • .Identify and discuss other potential barriers There are no endangered or threatened species in the study area. There are numerous biological and land use issues that will be addressed through the permitting process. TDX has successfully accomplished previous field seasons in the study area and has been successful in satisfying the environmental considerations imposed by the appropriate resource management agencies. 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 • Projected capital cost of proposed renewable energy system Projected development cost of proposed renewable energy system AEA10-015 Grant Application Page 11 of 15 10/7/2009 ®ALASHKA Renewable Energy Fund Grant Application Round 3 The only cost information for which TDX has reliable information at this time is that for he Chakachamna hydropower project. We anticipate the cost of that project to be $1.6 billion in 2007 dollars. This figure includes all infrastructure and transmission line cost and a 20% contingency factor. We anticipate that the project would be financed through a mechanism similar to that of the Bradley Lake hydropower project: partial state equity contribution, and revenue bond debt financing. 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 Our estimates for the Chakachamna hydropower project anticipate an annual operating cost of $30 million. We cannot address the operational costs of the other three west Cook Inlet energy options at this time 4.4.3 Power Purchase/Sale The power purchase/sale information should include the following: Identification of potentialpowerbuyer(s)/customer(s) • Potential power purchase/sales price at a minimum indicate a price range Proposed rate of return from grant -funded project We anticipate that power sales from the Chakachamna project would be cost based with no return on investment. We cannot speak to the financial plans for the other three energy projects at this time. Nevertheless, Chakachamna and most probably the other three projects would be sold to the six Railbelt utilities through power sales agreements. 4.4.4 Project Cost Worksheet Complete the cost worksheet form which provides summary information that will be considered in evaluating the project. Download the form, complete it, and submit it as an attachment. Document any conditions or sources your numbers are based on here. See attached. AEA10-015 Grant Application Page 12 of 15 10/7/2009 ®ALASKA Renewable Energy Fund Grant Application Round 3 Explain the economic and p and how the people of Alaska The benefits information should • Potential annual fuel dis renewable energy proje • Anticipated. annual reve RCA tariff, or cost based ublic benefits of your project. Include direct cost savings, will benefit from the project. include the following: placement (gal and $) over the lifetime of the evaluated ct nup (based on i.e. a Proposed Power Purchase Agreement price, rate) lal:incentives (i.e. tax credits) ial, revenue;streams,(i.e. green tag sales or other' renewable irams that might be available) lic public benefits to Alaskans over the lifetime of the project Over a 100 year period and assuming a thermal plant efficiency of 9,000 BTU/kwh, the four projects would displace 3.1 TCF of natural gas. At a present day cost of $10/mcf, this equates to $31 billion in fuel savings. SECTION-6— SUSTAINABILITY' Discuss your plan for operating the completed project so that it will be sustainable. Include at a minimum: • Proposed business structures) and, concepts that may be considered. •` How you propose to finance the maintenance and operations for the life of the project • Identification of operational issues that could arise. • A description of 'operational costs including on -going support for any back-up or existing systems that may be require to continue operation • Commitment to reporting the savings and benefits Chakachamna would be owned by the State of Alaska that would enter into a development arrangement with TDX power. It is anticipated that TDX would operate the project on behalf of the State, but that is a decision for future policy makers. It is anticipated that both the Mt Spurr and CIRI projects would be privately owned and financed and the wind project could be developed through any of a number of business structures, perhaps by TDX. 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. TDX has spent several million dollars on the project to date. It has receive one $100 thousand grant from the state for which TDX performed successfully. AEA10-015 Grant Application Page 13 of 15 10/7/2009 ALASKA Renewable Energy Fund /® ENERGY AUTHORITY Grant Application Round 3 SECTION 8— LOCAL SUPORT Discuss what local support or possible oppositionthere may be regarding your project. Include letters of support from the community that would benefit from this project. There has been strong local, legislative, environmental, and utility support for the Chakachamna hydropower project. It is premature to anticipate the support for the other three projects under consideration other than to say that there is general support for area geothermal and wind projects and non polluting thermal projects. SECTION 9— GRANT BUDGETr 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 Provide a narrative summary regarding funding sources and your financial commitment to the project. 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. AEA10-015 Grant Application Page 14 of 15 10/7/2009 /ALASKA Renewable Energy Fund ® ENERGY AUTHORITY Grant Application Round 3 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 � l i � IA n l ft DOA Ip r, nn 1 v IIVA►' WWII 7 lhr �S/l/ r t Signature Title CEO Date l' tw• AEA10-015 Grant Application Page 15 of 15 10/7/2009 /© ALASKA Renewable Energy Fund Round 3 © ENERGY AUTHORITY Project Cost/Benefit Worksheet 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. Hydro 1,500,000 MWh/year+ Geothermal 800,000 MWh/year + Wind 263,000MWh/year= 2,563,000 Unit depends on project type (e.g. 2. Existing Energy Generation and Usage a) -Basic configuration (if system is part of the Railbelt' grid, leave this section blank) i. Number of generators/boilers/other n/a ii. Rated capacity ofgenerators/boilers/other n/a `iii. Generator/boilers/other type n/a iv. Age of generators/boilers/other n/a v. Efficiency of generators/boilers/other n/a b) Annual O&M cost (if system is part of the Railbelt grid, leave this section blank) i. Annual O&M cost for labor n/a ii. Annual O&M cost for non -labor n/a 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] n/a ii. Fuel usage Diesel [gal] Other iii. Peak Load - iv. Average Load v. Minimum Load vi. Efficiency vii. Future trends d) Annual heating fuel usage (fill in as applicable) i. Diesel [gal or MMBtu] n/a ii. Electricity [kWh] iii. Propane [gal or MMBtu] iv. Coal [tons or MMBtu] v. Wood [cords, green tons, dry tons] 1 The Railbelt grid connects all customers of Chugach Electric Association, Homer Electric Association, Golden Valley Electric Association, the City of Seward Electric Department, Matanuska Electric Association and Anchorage Municipal Light and Power. RFA AEA10-015 Application Cost Worksheet Page 1 10-7-09 ,® ALASKA Renewable Energy Fund Round 3 ® ENERGY AUTHORITY Project Cost/Benefit Worksheet vi. Other 3. Proposed System Design Capacity and Fuel Usage (Include any projections for continued use of non-renewable fuels) a) Proposed renewable capacity Hydro 1,500,000 MWh/year+ Geothermal 800,000 (Wind, Hydro, Biomass, other) MWh/year + Wind 263,o0oMWh/year= 2,563,000 [kWh or MMBtu/hr] MWh/year b) Proposed Annual electricity or heat production (fill in as applicable) i. Electricity [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 b) Development cost c) Annual O&M cost of new system d) Annual fuel cost 5. Project Benefits $3.5M $1.5M NA NA a) Amount of fuel displaced for i. Electricity 2,563,000 MWh/year ii.Heat iii. Transportation b) Price of displaced fuel c) Other economic benefits d) Amount of Alaska public benefits 6. Power Purchase/Sales Price a) Price for power purchase/sale NA 7. Project Analysis a) Basic Economic Analysis Project benefit/cost ratio NA RFA AEA10-015 Application Cost Worksheet Page 2 10-7-09 /® ALASKA Renewable Energy Fund Round 3 ® ENERGY AUTHORITY Project Cost/Benefit Worksheet Payback RFA AEA10-015 Application Cost Worksheet Page 3 10-7-09 Q Q _. 0 0 3 N N 3 (Q � NID 0 to fn o. 7 Q N Q QCD CD 0 N 3 N O CD m 0 3 0 CD 0 3 N CD (D (D 0 0 91 CA w fU 0 n CD TI (D 9) N 6 T. ca v C Q CD D 0 D Q n 0 7 f/1 c O 0 o c < m a w m .O o m e it w N N 0 •• 3 D to CO tU W 0 C N N to � � � � � j 3 �'N �}%✓ v o c N � tU w C O 3 3 In y - O N 3 D.fr��L'�'4. to di (fl 69 Sfl H3 H3 H3 ffi EA EA EA ffl {p 6A {p fA N- s�5 fn 42 O 3 W O O O tit24„ i h[ W A O Vl U• Ut W N Ut 1"' 0 3 3 3 3 3 3_ 3 3 3 3 3 42,-ME`,. j j O j j O O O O O 3 0 � o ❑ � ❑ z N" 't - S jm^ _e4 �ly3j} lw R -31 Ivnt 4"K1:s` i�' n t wu v, w o 0 o cn o 0 0 o q,fj _ 3 3 3 `� ,'�"'' 03 _3 3 _3 3 3 3 3 3 3 S4 O•• 3, O O _ O O _ O _ O _ O _ O _ O _ O _ :fE w W C Q A T1 O 0 V 0 10 November 2009 The Alaska Energy Authority 813 West Northern Lights Blvd. Anchorage, AK 99503 RE: Renewable Energy Fund To whom it may concern: As CEO of TDX Power, I authorize the application for project funding for the West Cook Inlet Energy Impacts and the match amounts indicated in the application; and I will serve as the authorized individual named as point of contact to represent the applicant for purposes of this application; and TDX Power is in compliance with all federal, state, and local laws including existing credit and federal tax obligations. Sincerely, TDX Power, Inc. 4300 B Street Anchorage, Alaska 99503 907-762-8450 Fax 907-278-2332 TDX Nick Goodman — Project Manager Mr. Goodman has over 10 years experience in the electric power industry, with special emphasis on renewable energy development. As CEO of TDX Power, Mr. Goodman has been instrumental in developing several projects which successfully bring alternative energy solutions to rural Alaskan communities, decreasing their dependency on diesel based power and increasing their savings through the use of wind diesel, hydroelectric and wind power plants. He excels in putting together top project management teams to implement the latest in distributed energy technologies and successfully implementing those projects in remote, harsh environments. At Tin City Long Range Radar Station, Mr. Goodman assisted the US Air Force in developing a conceptual design for the first UASF high penetration wind diesel power generation facility. He led the successful competitive bidding effort for EPC contract to develop and operate this critical, must run hybrid renewable plant, and worked successfully with USAF to develop repetitive design for multiple follow on wind diesel projects. He has also been instrumental in developing Alaska s largest hydro -electrical power project, as well as Alaska s largest wind power project. Clint (Jito) Coleman — Director of Engineering, Renewable Energy Clint (Jito) Coleman joined TDX Power in 2009 and has been active in the distributed energy business for over 35 years. Sole owner or co -inventor on five US Patents in wind turbines, Mr. Coleman has diverse experience in all phases of renewable energy systems' design, development and deployment across a variety of environments, including remote installations in the harsh Alaskan arctic and Antarctica. Mr. Coleman is currently engaged in product and project development as well as innovative renewable system applications incorporating the latest SmartGrid and MicroGrid concepts. As Ch of Engineer and then President of Northern Power Systems from 1950-2005, Mr. Coleman was instrumental in establishing the company's reputation as a world leader in the remote power arena, as well as one of the leading companies supplying the distributed generation marketplace. At Northern Power, Mr. Coleman was also instrumental in the controls and integration of Alaska's first high penetration wind diesel project with TDX on St. Paul island, Mr. Coleman has been intimately involved in the development, design, implementation and operations of numerous renewable and hybrid electrical power systems for all branches of the military. He is currently leading the engineering efforts at Tin City, Alaska and leading the design and deployment for two remote ACMIs power systems in Alaska and other ACMI and TACTS sites in the US. Northern Power Systems, under Mr. Coleman's direction, has been the sole source to the Air Force for numerous sites in Antarctica including the Nuclear Test Ban Monitoring sites in the Dry Valleys and a plus runway lighting, microwave power systems and the Black Island satellite communication hub. He also led Northern in the development of advanced wind diesel systems at numerous sites around the world and coordinated with research and product development activities supported by National Renewable Energy Lab and Department Of Energy. Martina Dabo — Design Manager (Electrical), Project Manager Ms. Dabo has a Master of Science degree with Distinction in Renewable Energy Technologies from the University of Ulster, UK, She has been a Project Manager for over ten years, and served as the Wind Program Manager for the State of Alaska for two years. Ms. Dabo has been instrumental in developing a comprehensive wind diesel/hybrid power program for the State of Alaska, partnering with the U.S. Department of Energy, the National Renewable Energy Lab, the University of Alaska and utility companies to design wind diesel farms, write policies to control the RFP process for bidding on alternative energy projects, and training engineers across the country on designing and maintaining wind diesel power plants. She presented and published numerous papers on wind - diesel hybrid systems nationally and abroad and developed a wind -diesel system study for the entire state of Alaska to determine feasibility and viability of wind -diesel projects throughout rural Alaska. Currently Ms. Dabo manages multiple projects for TDX Power with budgets up to $4M, and routinely consults with senior management on bidding new projects for the company. She has also established a new division within TDX Power known as the Village Power Group. From conception to design, Ms. Dabo has spearheaded this division, streamlining roles and responsibilities of utilities across the state. This will not only allow TDX Power to operate more efficiently and cost-effectively, but will also enable TDX Power to position itself as a world leader in wind diesel energy programs, ultimately expanding their reach well beyond Alaska s borders into hybrid energy programs throughout the world over the coming decades. Ms. Dabo is a successful project manager, technical consultant and powerful ally in the wind diesel industry because of her unique blend of technical expertise and senior level management skills wh ch allow her to manage all aspects of a projeces lifecycle, from conception to completion.