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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: Elfin Cove Hydroelectric Project
The Applicant should demonstrate that the renewable energy resource is available on a
sustainable basis.
Estimated annual average resource
availability.
320,000 kWh/year for average water year
Unit depends on project type (e.g. windspeed, hydropower output, biomass fuel)
2. Existing Energy Generation and Usage
a) Basic configuration (if system is part of the Railbelt1 grid, leave this section blank)
i. Number of generators/boilers/other 3
ii. Rated capacity of
generators/boilers/other
67, 101, 179 kW (peak)
iii. Generator/boilers/other type Diesel generators
iv. Age of generators/boilers/other All are < 10 years old
v. Efficiency of generators/boilers/other annual efficiency is about 11-12 kWh/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 FY 09 $ 21,650
ii. Annual O&M cost for non-
labor
FY 09 $165,221 (90% of this amount is fuel)
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] 340,000 kWh
ii. Fuel usage
Diesel
[gal]
31,500 gal
Other none
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 Associati on 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
iii. Peak Load 236 kW
iv. Average Load June-Aug.: 85 kW, Sept-May 43 kW
v. Minimum Load 18 kW
vi. Efficiency 12 kwh/gal
vii. Future trends Future load growth without hydro is stable. With hydro, will likely
increase.
d) Annual heating fuel usage (fill in as applicable)
i. Diesel [gal or MMBtu] Unknown
ii. Electricity [kWh] Unknown (any usage is included in c)
iii. Propane [gal or MMBtu] zero
iv. Coal [tons or MMBtu] zero
v. Wood [cords, green tons, dry
tons]
unknown
vi. Other zero
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]
80 kW installed capacity – run of river hydro
50% capacity factor
estimates
b) Proposed Annual electricity or heat production (fill in as applicable)
i. Electricity [kWh] 320,000 kWh/year
ii.Heat [MMBtu] -
c) Proposed Annual fuel Usage (fill in as applicable)
i. Propane [gal or MMBtu] 0
ii. Coal [tons or MMBtu] 0
iii. Wood [cords, green tons, dry
tons]
0
iv. Other 0
4. Project Cost
a) Total capital cost of new system $1,800,000
Renewable Energy Fund
Round 3
Project Cost/Benefit
Worksheet
RFA AEA10-015 Application Cost Worksheet Page 3 10-7-09
b) Development cost $ 500,000 (includes $100,000 already
committed)
c) Annual O&M cost of new system $ 6,700
d) Annual fuel cost Zero
5. Project Benefits
a) Amount of fuel displaced for
i. Electricity 25,600 gallons
ii. Heat Unknown (likely some)
iii. Transportation N/A
b) Price of displaced fuel $ 6.18 / gal (estimated price in 2013 when
project is commissioned. Based on mid-range
EIA forecast as compiled by AEA in 2008.
c) Other economic benefits $ other economic benefits, such as carbon taxes,
etc. are embedded in the fuel cost.
d) Amount of Alaska public
benefits
$0 in quantifiable economic terms
6. Power Purchase/Sales Price
a) Price for power purchase/sale Estimated utility rate to customers is $0.20 – 0.30
/kWh. This assumes 100% grant-funded
construction and includes revenue requirements
for all utility costs.
7. Project Analysis
a) Basic Economic Analysis
Project benefit/cost ratio With 50 year life, $4,400,000 / 2,000,000 = 2.16
Payback $2,000,000 / 158,200 = 12.6 years