HomeMy WebLinkAboutAttachment B Cost Worksheet Chigniks Renewable Energy Fund
RFA AEA 09-004 Application Cost Worksheet revised 9/26/08 Page 1
Attachment B - Application Cost Worksheet
Chigniks Hydro/Wind Update & Integrate Feasibility Studies
Please note that some fields might not be applicable for all technologies or all project
phases. 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. Chignik Wind Resource Assessment – Wind Power
Class 6, mean annual wind speed = 15.1 mph
Chignik (Indian Creek) draft Feasibility Study & EIS
= kWh of average annual hydro production capacity
Unit depends on project type (e.g. windspeed, hydropower output, biomasss fuel)
2. Existing Energy Generation
a) Basic configuration (if system is part of the Railbelt1 grid, leave this section blank)
i. Number of generators/boilers/other
ii. Rated capacity of generators/boilers/other
iii. Generator/boilers/other type
iv. Age of generators/boilers/other
v. Efficiency of generators/boilers/other
b) Annual O&M cost (if system is part of the Railbelt grid, leave this section blank)
i. Annual O&M cost for labor Potentially avoided diesel O&M (labor + non-labor) is
approximately $21,000 per year
ii. Annual O&M cost for non-labor See (2)(b)(i) above
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] Chignik = 584,718 kWh (FY07 PCE)
Chignik Lagoon = 540,361 kWh (FY07 PCE)
Chignik Lake
ii. Fuel usage
Diesel [gal] Chignik = 66,378 gallons (FY07 PCE)
Chignik Lagoon = 47,370 gallons (FY07 PCE)
Chignik Lake
Other
1 The Railbelt grid connects all customers of Chugach Electric Association, Homer Electric Associatio n, Golden
Valley Electric Association, the City of Seward Electric Department, Matanuska Electric Association and Anchorage
Municipal Light and Power.
Renewable Energy Fund
RFA AEA 09-004 Application Cost Worksheet revised 9/26/08 Page 2
iii. Peak Load
iv. Average Load
v. Minimum Load
vi. Efficiency Chignik = 0.11 – 0.10 gallons/kWh (PCE Data)
Chignik Lagoon = 0.088 – 0.083 gallons/kWh (PCE data)
vii. Future trends Assume forward looking efficiency on the order of 0.083 gallons per kWh
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
3. Proposed System Design
a) Installed capacity This grant request seeks funding for optimization stud y of
hydro/wind/intertie integration
Hydro electric capacity is expected to be on the order of
500kW
Wind turbine capacity is expected to be on the order of
100kW
b) Annual renewable electricity generation
i. Diesel [gal or MMBtu]
ii. Electricity [kWh] Approximately 1,000,000 kWhs per year for the intertied
system of Chignik and Chignik Lagoon
iii. Propane [gal or MMBtu]
iv. Coal [tons or MMBtu]
v. Wood [cords, green tons, dry tons]
vi. Other
4. Project Cost
a) Total capital cost of new system $7,500,000
b) Development cost $650,000 (relatively low development cost due to
existing resource assessments, draft feasibility and
EIS report, and in-kind contributions by Borough)
c) Annual O&M cost of new system $250,000
d) Annual fuel cost The hydro/wind renewable project will not incur fuel
Renewable Energy Fund
RFA AEA 09-004 Application Cost Worksheet revised 9/26/08 Page 3
costs per se.
5. Project Benefits
a) Amount of fuel displaced for
i. Electricity Annual avoided diesel fuel for electricity is expected to be on the order of
110,000 gallons
ii. Heat Renewable electric heat (hydro + wind) is expected to eventually displace on
the order of 50,000 gallons of heating oil due to convenience and perception
of competitive price consistent with experience of Four Dam Pool and other
utilities with state supported hydroelectric projects.
iii. Transportation
b) Price of displaced fuel The long run price of diesel/heating oil for the Chigniks
is estimated at $4.36 per gallon.
c) Other economic benefits Up to a 50% reduction in the price of electricity for
commercial fishing enterprises, fish processing,
tourism and other commercial ventures
d) Amount of Alaska public benefits Local schools will save up to 50% in the price of
electricity compared to diesel generated electricity
6. Power Purchase/Sales Price
a) Price for power purchase/sale na
7. Project Analysis
a) Basic Economic Analysis
Project benefit/cost ratio Project benefit cost ratio based on a 5% real discount rate is estimated
on the order of 1.39
Payback
PLEASE SEE ATTACHED SPREADSHEETS FROM THE LAKE & PENINSULA BOROUGH
ENERGY PLAN SCREENING STUDY FOR ADDITIONAL DETAIL ON THE ECONOMIC
ANALYSIS OF HYDRO AND WIND OPPORTUNITIES IN THE CHIGNIKS