Loading...
HomeMy WebLinkAboutProposal for the Cordova Hydropower and Storage Assessment Projects - Sep 2020 - REF Grant 7013013September 28, 2020 Mr. Clay Koplin Cordova Electric Cooperative Via email: ckoplint['�'}r,cordovaelectric.com Subject: Alaska Energy Authority Renewable Energy Fund Application, Rev 01 Re: Proposal for the Hydropower and Storage Assessment Projects Dear Mr. Koplin: McMillen Jacobs Associates (McMillen Jacobs) prepared a scope of work and budget for eligible renewable energy projects that could be funded by the Alaska Energy Authority (AEA) through their Renewable Energy Fund (REF). This letter proposal is to presents a scope of work designed to further define and develop eligible storage -based renewable energy projects in the Cordova region. McMillen Jacobs' proposed work tasks are presented in the following paragraphs and the budget estimate for engineering are provided as Attachments A to this document. PROJECT UNDERSTANDING The AEA is seeking applications for eligible renewable energy projects through REF. The application period opened on July 20, 2020 and will close on September 28, 2020. AEA will evaluate all applications received and will consult with the Renewable Energy Fund Advisory Committee (REFAC) to make final recommendations to the Alaska State Legislature for Fiscal Year 2022 funding. All funding decisions, including if there will be any funding available, will be made by the legislature. CEC is in the process of completing an application to submit to AEA and has named McMillen Jacobs as their teaming partner to complete engineering design for eligible renewable energy projects. Snyder Falls Creek, Raging Creek, Humpback Creek, and Power Creek were recommended by CEC as eligible renewable energy projects (Projects) for additional evaluation. As part of this analysis, CEC would like the feasibility analysis to consider a pumped storage alternative and other storage alternatives into the Projects. This would consist of adding storage reservoirs, which could be used to pump excess water up to during the spring runoff, then be able to generate with the stored water through the winter and peak fish plants operation during the summer. A storage -based hydro project may also enable CEC to significantly reduce reliance on diesel generation. The overall project goal is to characterize the four hydro site opportunities more accurately for adding hydro storage to the CEC grid, and decide which of the four alternatives are the most feasible. CEC has asked McMillen Jacobs to develop a scope and budget to complete a feasibility level analysis and cost estimate of the Projects. The focus of this analysis is to develop a more defined project McMillen Jacobs Associates 1 Rev. No. 01/September 2020 arrangement and associated capital cost estimate to incorporate into CEC's long-term community energy planning work efforts. WORK TASKS The following paragraphs represent the proposed work tasks for the Project. Task 1 — Site Overview — Hydropower and Storage Assessment Report This work task consists of the following: • Project Kickoff Meeting. This work task consists of a kickoff meeting with CEC and McMillen Jacobs via teleconference. The purpose of the kickoff meeting is to formally initiate the Project, review the previous studies completed by McMillen Jacobs, and discuss any informational requests. • Site visit to Cordova, AK to visit up to four sites. • Review of available hydrology/topography of the four recommended Projects (Snyder Falls Creek, Raging Creek, Humpback Creek, and Power Creek). • Recommendations of potential configurations and recommended further studies of the proposed sites. • Desktop review of other alternative sites in the region. • Summary of the four Projects developed in Tasks 3 through 6 in a Site Evaluation Matrix. • Summarize the findings and recommendations of Tasks 3 through 6 in a Hydropower and Storage Assessment Report that will incorporate a summary of the Snyder Falls Creek work completed to date, the analysis and results of the Raging Creek, Humpback Creek, Power Creek, and one potential project found in the desktop review. Assumptions: The following assumptions were made when developing the engineering scope of work for Task 1: • The site visit assumes that up to three engineers (Project Manager [PM], mechanical engineer, and geotechnical engineer) will travel to and from Boise, ID to Cordova, AK. • Airfare assumed to be $2,200 per person. • Lodging rate assumed to be $140 per night based upon maximum per diem rates outside the continental United States for Cordova, Alaska. Six overnight stays assumed per person. • Daily meal rate assumed to be $85 per day based upon maximum per diem rates outside the continental United States for Cordova, Alaska. Seven days assumed per person. • The site visit will take two travel days and up to 5 working days to complete the site visit, which allows flexibility for inclement weather. Deliverables: The following deliverables will be provided to CEC as part of this work task: • Draft Hydropower and Storage Assessment Report, PDF format. • Final Hydropower and Storage Assessment Report, PDF format. McMillen Jacobs Associates 2 Rev. No. 01/September 2020 Task 2 — LiDAR Mapping This work task consists of a subconsultant to complete LiDAR mapping of up to four Project sites. The work will be performed by aircraft and will be bounded by an Area of Interest (AOI) encompassing the extents of each proposed Project. A ground survey crew will be used to calibrate the data collected from LiDAR imagery. The vertical accuracy of the resultant imagery will be within 10 cm RSME. If a ground survey crew is unable to reach each Project site, the LiDAR will be validated based on ground points in Cordova, AK which would provide a vertical accuracy of 10-15 cm RSME. The data will be transmitted to CEC and McMillen Jacobs in both point cloud and digital elevation model format. Assumptions: The following assumptions were made when developing the engineering scope of work for Task 2: • Coordination hours with McMillen Jacobs and the survey subconsultant have been assumed for McMillen Jacobs' Project Manager, Mechanical/Civil Engineer, and Senior CADD. • Due to the dense vegetation at each Project site, a resolution of 20 points per square meter (ppsm) is assumed to be required for this work Deliverables: The following deliverables will be provided to CEC as part of this work task: • LiDAR Survey Files, AutoCAD, latest format. Task 3 — Snyder Falls Creek Hydroelectric Project In October 2013 McMillen Jacobs completed a Feasibility Study of the Snyder Falls Creek Hydroelectric Project. McMillen Jacobs completed this Project in 2013 for CEC. The purpose of the report was to present a feasibility level discussion of the construction approach and estimated project cost for the proposed Snyder Falls Hydroelectric Project. The budget associated with this task represents the labor to develop the 2013 feasibility study for CEC and includes an additional budget to reevaluate the 2013 findings with more accurate LiDAR data. A summary of the 2013 study and any updates to the site configuration and analysis will be summarized in Task 1. GR1--A1(0Uk11V ' PRIP9 SFC ' 4/1,06¢ Assumptions: The following assumptions were made when developing the engineering scope of work for Task 3: • LiDAR will be completed for the Snyder Falls Creek site in Task 2. Deliverables. - The following deliverables will be provided to CEC as part of this work task: • Analysis and findings will be summarized in the Task 1 Deliverable. McMillen Jacobs Associates Rev. No. 01/September 2020 Task 4 — Raging Creek Hydroelectric Project CEC would like to advance the Raging Creek Hydroelectric Project with the goal of constructing a larger hydro facility with storage on their grid and moving the City of Cordova's forward to a 100% renewable generation profile. CEC has asked McMillen Jacobs to develop a scope and budget to complete a feasibility level analysis and cost estimate of the Raging Creek Hydroelectric Project. The focus of this analysis is to develop a more defined project arrangement and associated capital cost estimate to incorporate into CEC's long-term community energy planning work efforts. As part of this analysis, CEC would like the feasibility analysis to consider a pumped storage alternative into the Raging Creek Hydroelectric Project. This would consist of adding a secondary storage reservoir, which could be used to pump excess water up to during the spring runoff, then be able to generate with the stored water through the winter and peak fish plant operation during the summer. This work task consists of the review and development of the overall Raging Creek Hydroelectric Project. This will include conceptual level layout of dams, generation facilities, conveyance, transmission, and access roads to the site to support the cost estimate development. The analysis will include preliminary sizing and placement of key features, identification of potential fatal flaws, comparison of key Project alternatives for the purpose of planning and the development of initial cost estimates for the Project alternatives. The conceptual design development will include general analysis of the proposed facility components such as the size of the powerhouse, pump station, penstock/tunnel, transmission, dam, and reservoir. McMillen Jacobs will utilize information we have obtained through numerous hydropower and pumped storage projects. A preliminary evaluation of suitable dam types will be investigated. The dam types that will be investigated include, but are not limited to, rockfill dam, concrete/gravity/RCC dam, and a concrete arch dam. This task includes examination of available soil information, geological maps, and other available information to support recommendations on the Project configuration and geotechnical development of the dam design. The investigation will include review of the Project site to identify geotechnical risks and potential fatal flaws. The analysis will identify and recommend future geotechnical studies to support the final Project design. This task will also include the conceptual, feasibility level cost estimate for up to three Project alternative configurations. The cost estimate will be based upon similar projects and historical construction costs. The Project construction approach will be determined based upon site access, readily available construction materials, and standard construction practices, materials, and equipment. A basic alternatives analysis of the three alternatives will be performed, comparing the costs and benefits of each Project and the ability of the alternative to meet CEC's goals. McMillen Jacobs will recommend one alternative configuration from the analysis and will review the alternative with CEC. A report will be prepared and submitted to CEC in Task 1 documenting the engineering analysis, construction approach, and cost estimate. The cost estimates will use data obtained by McMillen Jacobs for our self -executed construction work in Alaska, as well our database of completed hydroelectric projects in Alaska. McMillen Jacobs Associates 4 Rev No 01/September 2020 Assumptions: The following assumptions were made when developing the engineering scope of work for Task 4: A total of three project alternative configurations will be developed and analyzed. A Class 4 Opinion of Probable Construction Costs (OPCC) will be prepared in accordance with the hydropower industry criteria established by the Association for the Advancement of Cost Engineering (AACE). The construction season near Cordova, Alaska is assumed to be approximately June through October. Deliverables: The following deliverables will be provided to CEC as part of this work task: 0 Analysis and findings will be summarized in the Task 1 Deliverable. Task 5 — Humpback Creek Hydroelectric Project Storage Assessment Humpback Creek Hydroelectric Project is an existing run -of -river hydro project which has been in operation since 1989. The Project is a Federal Energy Regulatory Commission (FERC) licensed project P-8889. CEC would like to assess the feasibility of adding storage upstream of the existing Humpback Creek Project site using the updated LiDAR collected in Task 2. The addition of storage will not necessarily result in a capacity change, just a storage shift, allowing for flexibility in the power output of the existing powerhouse and stored energy for the grid. The proposed storage site is located upstream of the existing project site on native corporation lands. The addition of storage at Humpback Creek could result in a non -capacity change to add energy storage to the grid at relatively low cost. From CEC perspective, it is critical to identify the basin geometry and grade in detail to quantify storage potential and required coffer dam height. The Humpback Creek project is a good candidate for a FERC non -jurisdictional determination, if necessary. An additional pumped storage alternative may be considered for this site, including a pumping station downstream of the existing facility. The analysis will include preliminary sizing and placement of key features, identification of potential fatal flaws, comparison of up to two key Project alternatives, one storage option and one pumped storage option, for the purpose of planning and the development of initial cost estimates for the Project alternatives. The conceptual design development will include general analysis on facility components such as the size of the dam and will be based on information McMillen Jacobs has obtained through numerous hydropower projects. A preliminary evaluation of suitable dam types will be investigated. An energy and operations model will be developed to quantify the benefits of the proposed storage and/or pumped storage components to existing operations. This task includes examination of available soil information, geological maps, and other available information to provide recommendations on the Project configuration and geotechnical development of the dam design. The investigation will include review of the Project site to identify geotechnical risks and McMillen Jacobs Associates 5 Rev. No. 01/September 2020 potential fatal flaws. The analysis will identify and recommend future geotechnical studies to support the final Project design. It is anticipated that quantification of the bedrock depth at the proposed storage site is critical to understanding costs for this task. In addition to the geotechnical development discussed above, a seismic refraction survey will be performed at the proposed dam site to provide further information on the rock properties of the basin and bedrock depths. This task will also include the conceptual, feasibility level cost estimate for the proposed Project. The cost estimate will be based upon similar projects and historical construction costs. The Project construction approach will be determined based upon site access, readily available construction materials, and standard construction practices, materials, and equipment. McMillen Jacobs will recommend a Project configuration to CEC. A report will be prepared and submitted to CEC in Task 1 documenting the engineering analysis, construction approach, and cost estimate. The cost estimate will use data obtained by McMillen Jacobs for our self -executed construction work in Alaska, as well as our database of completed hydroelectric projects in Alaska. Assumptions: The following assumptions were made when developing the engineering scope of work for Task 5: Up to two project alternative configurations will be developed and analyzed, one storage only configuration and if determined feasible, one pumped storage configuration. A Class 4 Opinion of Probable Construction Costs (OPCC) will be prepared in accordance with the hydropower industry criteria established by the Association for the Advancement of Cost Engineering (AACE). The construction season near Cordova, Alaska is assumed to be approximately June through October. Deliverables: The following deliverables will be provided to CEC as part of this work task: • Analysis will be summarized in the Task 1 Deliverable. Task 6 — Power Creek Hydroelectric Project Storage Assessment Power Creek Hydroelectric Project is an existing run -of -river hydro project which has been in operation since November 2001, providing on average 65% of Cordova's energy. Similar to Humpback Creek, CEC would like to assess the feasibility of adding storage upstream of the existing Power Creek Project site using the updated LiDAR collected in Task 2. The storage component is anticipated to be located upstream of the existing site on United States Forest Service lands. There may be storage potential where the canyon narrows into vertical rock walls with an upstream basin behind. An additional pumped storage alternative may be considered for this site, including a pumping station downstream of the existing facility. McMillen Jacobs Associates 6 Rev. No. 01/September 2020 The analysis will include preliminary sizing and placement of key features, identification of potential fatal flaws, comparison of key Project alternatives for the purpose of planning and the development of initial cost estimates for the Project alternatives. The conceptual design development will include general analysis of the facility components such as the size of the dam and will be based on information McMillen Jacobs has obtained through numerous hydropower projects. A preliminary evaluation of suitable dam types will be investigated. This task includes examination of available soil information, geological maps, and other available information to provide recommendation on the Project configuration and geotechnical development of the dam design. An energy and operations model will be developed to quantify the benefits of the proposed storage and/or pumped storage components to existing operations. The investigation will include review of the Project site to identify geotechnical risks and potential fatal flaws. The analysis will identify and recommend future geotechnical studies to support the final Project design. This task will also include the conceptual, feasibility level cost estimate for the up to two Project configurations, one storage only configuration and one pumped storage configuration. The cost estimate will be based upon similar projects and historical construction costs. The Project construction approach will be determined based upon site access, readily available construction materials, and standard construction practices, materials, and equipment. McMillen Jacobs will recommend a Project configuration to CEC. A report will be prepared and submitted to CEC in Task 1 documenting the engineering analysis, construction approach, and cost estimate. The cost estimates will use data obtained by McMillen Jacobs for our self -executed construction work in Alaska, as well our database of completed hydroelectric projects in Alaska. Assumptions: The following assumptions were made when developing the engineering scope of work for Task 6: Up to two project alternative configurations will be developed and analyzed, one storage only configuration and if determined feasible, one pumped storage configuration. A Class 4 Opinion of Probable Construction Costs (OPCC) will be prepared in accordance with the hydropower industry criteria established by the Association for the Advancement of Cost Engineering (AACE). The construction season near Cordova, Alaska is assumed to be approximately June through October. Deliverables: The following deliverables will be provided to CEC as part of this work task: • Analysis will be summarized in the Task 1 Deliverable. McMillen Jacobs Associates 7 Rev. No, 01/September 2020 Task 7 — Project Review Meeting A design review meeting will be scheduled to review and discuss the Draft report with CEC. McMillen Jacobs will provide written responses to CEC comments and provided meeting minutes documenting the meeting discussion. Comments will be incorporated, and the Final Report issued under Task 1. Assumptions: The following assumptions were made when developing the engineering scope of work for Task 7: • The meeting with CEC will be a conference call meeting. • CEC will have two weeks to review the Draft report. Deliverables: The following deliverables will be provided to CEC as part of this work task; • Meeting Minutes, PDF format. BUDGET ESTIMATE The budget estimate for McMillen Jacobs to provide support to CEC for the Hydropower and Storage Assessment Projects is presented in the attached Table 1 and the detailed estimates are provided in Attachment A. The work will be executed on a lump sum basis. Table 1 —Pricing for Hydroelectric and Storage Assessment Project Task No. 1 Description Site Overview — Hydropower and Storage Assessment Report Total Price $94,717.00 2 LiDAR Mapping $58,285.00 3 Snyder Falls Creek Hydroelectric Project , 4 Raging Creek Hydroelectric Project $62,192.00 5 Humpback Creek Hydroelectric Project Storage Assessment $68,088.00 6 Power Creek Hydroelectric Project $44,736.00 7 Project Review Meeting $5,560.00 Total -$429;9 LESS S�CPA�PDl� SCHEDULE 99 6� 44. &4 Z ^' ?6/2 b7 A detailed schedule will be developed after CEC receives grant funds and provides McMillen Jacobs with notice to proceed (NTP) for the Project. McMillen Jacobs Associates 8 Rev. No 01/September 2020 We appreciate the opportunity to continue to work with CEC on the Hydropower and Storage Assessment Projects. If you have any questions or need additional information, please contact me at (208) 342-4214. Sincerely, 14 , 1A, vt� Morton D. McMillen, P.E. Executive Vice President cc: Mara McMillen President, McMillen, LLC File Jodi Burns Project Manager McMillen Jacobs Associates 9 Rev, No. 01/September 2020 Attachment A Budget Estimates Rev 01 / September 2020 10 McMillen Jacobs Associates i 6 1' ;s i� i E�: I ;pa Inn Mim s 6 4 ti C C N d son m U S All 1 g � wtll1� N 11II w ^ ICI o r 3 0 U Y � U W N 5y�i r C L � Q tll � y _ G w y d ^ v u Q f m 2 01 � , s Mru dui 1 CE Ul a i 1 a i i 4R �.e Lu sy! i 3tu � II a 3 4 e1 yl ■A e ■ �j � f =1 milli —4 f ii I? 8 E3i �e t? 9 ia" iI jk s �: i