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HomeMy WebLinkAboutReconnaissance Study of Energy Requirements and Alternatives Appendix L Saint Michael 1982-.. VIL-A _ 002 .. St. Mi -.. -.. - - - -.. -.. -.. .. .. -.. -.. .. .. .. -, .. - - -, . ~ .. .. " I I I I I I I RECONNAISSANCE STUDY OF ENERGY REQUIREMENTS AND ALTERNATIVES APPENDIX L: SAINT MICHAEL MAY 1982 I I I I I I I I I i I PiRlbY: I I lBIIlJ I I ! I !_ L--ALASKA POVJER AUTHORITY ---.J I o {;;J ~,oo'" VILLAGE SPECIFIC REPORT L. SAINT MICHAEL TABLE OF-CONTENTS Section A -SUMMARY OF FINOINGS AND RECOMMENDATIONS L-1 A.1 -General ............................................... L-1 A.2 -Alternative Plan Descriptions ......................... L-1 B -DEMOGRAPHIC AND ECONOMIC CONDITIONS ......................... L-5 B.1 -Location .............................................. L-5 B.2 -Population ............................................ L-5 B.3 -Economy ............................................... L-5 B.4 -Government............................................ L-6 B.5 -Transportation ........................................ L-6 C -COMMUNITY MEETING REPORT.................................... L-8 D -EXISTING POWER AND HEATING FACILITIES ....................... L-9 E -ENERGY BALANCE .............................................. L-10 F -ENERGY REQUIREMENTS FORECAST ................................ L-12 F.1 -Capital Projects Forecast ............................. L-12 F.2 -Population Forecast ................................... L-12 F.3 -Electrical Energy Forecast ............................ L-13 F.4 -Thermal Energy Forecast ............................... L-14 G -VILLAGE TECHNOLOGY ASSESSMENT ............................... L-18 H -ENERGY PLAN DESCRIPTIONS AND ASSUMPTIONS .................... L-20 H.1 -Base Case ............................................. L-20 H.2 -Alternative Plan "A" .................................. L-21 H.3 -Alternative Plan "B" .................................. L-22 I -ENERGY PLAN EVALUATIONS ..................................... L-24 1.1 -Base Case ............................................. L-27 1.2 -Alternative Plan "A" .................................. L-31 1.3 -Alternative Plan "B" .................................. L-36 TABLE OF CONTENTS (Continued) Section J -COMMENTS AND DISCUSSION Page L-37 J.l -Comments Received From ~r. Phil Kaluza................ L-38 J.2 -Comments Received From The Alaska Power Administration........................................ L-44 J.3 -Comments Received From The State of Alaska, Department of Fish and Game ........................... L-49 J.4 -Comments Received From U.S. Fish and Wildlife Service in Anchoraqe .................................. L-52 J.S -Comments Received ~rom U.S. Bureau of Land Management ............................................ L-S7 LI ST OF TABLES No. Tit 1 e 1 Comparative Estimated Electrical Energy Prices 2 3 4 5 6 For Base Case and Alternatives ...................... . Energy Use Profile for Saint Michael -1981 ............ . Village Electric Energy Use Forecast Net Thermal Requi rements ............................... . Village Technology Assessment .......................... . Estimated Costs of Saint Michael Base Case ............. . 7 Estimated Costs of Saint Michael Alternative Pl an "A" ............................................... . 8 Estimated Non-Electrical Benefits of Alternative L -3 L -10 L -15 L-17 L -19 L-25-26 L-28-29 Pl an "A" ................................................ L-30 9 Estimated Costs of Saint Michael Alternative Pl an "B" ............................................... . L-32-33 10 Estimated Non-Electrical Benefits of Alternative Pl an "B" ................................................ L-34 11 Estimated Non-Electrical Disbenefits of Alternative Pl an "8" ................................................ L-35 No. 1 2 3 LIST OF FIGURES Ti t 1 e Energy Cost Summary ................•...•......•..•...•.• En ergy Sa 1 ance ..•............•...............•.....•.... Electric Energy Use Forecast .•.•.••.•.•.•...•..•.....••• L-4 L-ll L-16 SAINT MICHAEL L-1 A -SUMMARY OF FINDINGS AND RECOMMENDATIONS A.1 -General After an analysis of the information gathered on the village of Saint Michael, the recommendations which seem most appropriate to the existing village conditions and the wishes of the village residents are as follows: 1. The undertaking of an aggressive energy audit program aimed at significantly reducing the energy required to keep residences heated. This program should address energy conservation needs of all types of homes in the village, not just those which are older. Additionally, it is not sufficient to provide only the energy audit service. Some follow-up work designed to demonstrate the proper way to implement the recommendations of the energy audit is important. 2. With respect to the electrical energy needs of the village of Saint Michael, it appears that the most significant step which can be taken to reduce the cost of electricity is the installation of a water jacket waste heat recovery system on the existing AVEC generators. The BIA school is near enough that heat piping could be extended to its boiler building. While it is not likely that the AVEC plant will be able to supply all of the heating needs of the school, it would replace the need for about 29,000 gallons of fuel oil per year by the turn of the century. For purposes of this study, it was assumed that a waste heat system could be installed in 1982. There was substantial interest expressed by village residents in the development of wind energy for Saint Michael. There was also a great desire for an aggressive energy audit and weatherization program. A.2 -Alternative Plan Descriptions A.2.1 -Base Case The base case study investigates the continued operation of the AVEC diesel generators, with no changes in operation except as required to serve additional load caused by village growth. This plan has a net present worth of $4,045,000 for the period 1982 through 2014. SAINT MICHAEL L-2 A.2.2 -Alternative Plan "A" In this alternative, AVEC diesel sets equipped with a waste heat recovery system are installed. The heat thus recovered is then used to supolement the school's heating requirements. This olan has a net present worth of $3,413,000 for the period 1982 through 2014. A.2.3 -Alternative Plan "8" In this alternative, in addition to the use of the AVEC diesel sets and waste heat system described in alternative "A" as the primary source of power for the village, it will be assumed that a 100 kW wind turbine will be installed near the village. At those times when there is sufficient wind to operate the wind turbine, the diesels will be able to throttle back and decrease their use of fuel. This plan has a net present worth of $3,688,000 for the period 1982 through 2014. Comparative prices of electric enerqy produced by the alternatives studied are shown on Tab 1 e 1. It shou 1 d be noted th at the energy cost fi gure in $/kWh is not necessarily the cost which would be billed to the ultimate customer. This figure, expressed in terms of 1981 dollars, does not take into account costs associated with distribution of energy within the village, which can add about $0.10/kWh to the customer's cost. The costs shown also do not indicate the effects of various government subsidy and grant programs which may be available. Figure 1 shows the comparative prices of various fuel resources available to Saint Michael. Year 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 Energy TABLE 1 COMPARATIVE ESTIMATED ELECTRICAL ENERGY PRICES FOR BASE CASE PLAN AND ALTERNATIVES Base Case Plan Alternative IIAII Production Energy Pri ce Energy Price ( MtJh) ($/kWh) ($/kWh) 363 0.40 0.37 377 0.40 0.37 389 0.39 0.37 400 0.39 0.36 422 0.39 0.35 428 0.39 0.35 431 0.40 0.35 435 0.40 0.35 438 0.40 0.35 460 0.40 0.35 463 0.41 0.34 468 0.41 0.35 473 0.42 0.35 478 0.42 0.35 479 0.42 0.35 485 0.43 0.35 488 0.43 0.35 491 0.44 0.36 498 0.44 0.36 508 0.45 0.36 Alternative IIBII Energy Pri ce ($/kWh) 0.37 0.37 0.37 0.36 0.35 0.35 0.35 0.35 0.35 0.35 0.34 0.35 0.35 0.35 0.35 0.35 0.35 0.36 0.39 0.40 Vl ):0 ...... z --i ::s:: ...... 0 ::c ):0 m r r I w SAINT MICHAEL L-4 180 ~----~-r--------r--------r--------.-----~~---- ~-----~~----~-----;------------------0.60 170 ~-------._-----J----'------------------------------ 1601-------~ --------+----0.5 5 150~ ------ ---050 1401---- 130 t------~-0.45 120 ~----+--- IIO~ -1-- C\ 2 .100 ...;..------ co \.Do 90~ ___ _ ~ \....J I-80 ~ VI o u I _ / :AS~ CASE ___ .j ____ ----~---------~~----AL~~ 11 I -0.40 ----.. --------~T.';':' ~r:~~~~~~~~~~~~~ __ -0.35 'ALT. "A"/ALT:f!/' - ---0.30 ----0,25 ?5 70 ~-----f------- ~ UJ .3 60~------r------~ 4--_-_-_-_-=--=--=-+-____ -+-______ t--_-_ 0.20 .- V'l o u >-d (% W Z w 50 ~----___l-----+------~--------1I------~ OIL AS USED AT ~ ~=O.35 A..SJJS~Q.4\l. rpO.35 -~~~_----1 0.15· -----~ --~~~ I 30 I------IL.---==----t----+-----t-----+---I., 0.10 WOOD 40 ~--------.----. - __ .;;;;;;;;;;;;;J~~~':':h::~~":":F~~;J~L-'OIL AS USED AT ",=0.65 201---__ -__ -_-_--:_ -:::::;~-W~(O~OD~~AS~DE~L~IV~ER~ED:--r~~~:lL::1 0,05 10 1-------'----........ __..--+_ OIL AS DEUVERED 1 1~80 1985 1990 1995 2000 ST. MICHAEL -FIGURE SAINT MICHAEL L-5 B -DEMOGRAPHIC AND ECONOMIC CONDITIONS B.1 -Location The village of Saint Michael is located on the east coast of St. ~lichael Island in Norton Sound. It is 48 miles southwest of Unalakleet and 125 miles southeast of Nome. B.2 -Population Date: Population: 1970 207 1980 239 The population of Saint Michael declined after the gold rush era, but has resumed a gradual increase in the past 30 years. The 1980 U. S. Census shows 239 people. About 95 percent of the residents are Yupik Eskimo. B.3 -Economy The Saint ~Iichael economy is based on subsistence food harvest supplemented by part-time wage earnings. The city of Saint Michael employs a clerk, chief of police and two policemen, two AVEC plant operators, two water plant operators and one alternate health aide. The state of Alaska employs a food stamp agent and an airport maintenance worker, both part-time. The U.S. Postal Service employs a postmaster. The BIA grade school employs four teachers, four aides, two maintenance persons and one cook. The REAA high school has three teachers, one aide, one cook and one maintenance person. Head Start employs two teachers and one janitor. Norton Sound Regional Health Corporation employs one health aide. Saint Michael Native Corporation employs a bookkeeper, who is shared with Tachik Native Store. The Native Store employs two additional people. The other local store, the Alaska Commercial Company, employs four people. Black Navigation Company employs five local persons in its shipyard, and others as needed for loading; other employees are based at the Company's Nenana shipyard and occasionally work at Saint ~lichael. The local Chevron dealer has three full-time employees and hires an additional three in the summer. There is one Wien agent and SAINT MICHAEL L-6 one Munz aqent in town. About 10 to 15 residents fish for herring commercially. Native residents of Saint ~ichael are shareholders in the Sai()t Michael Native Corporation. This organization was incorporated in accordance with the terms of the Alaska Nat i ve Cl aims Sett 1 ement Act (A~ICSA). The proposed sale of federal off-shore oil development leases in the Norton Basin. scheduled for late 1982. are in an area 50 miles northwest of the village. B.4 -Government Saint Michael was incorporated in 1969. The city qovernment functions under the authority of a mayor elected from the seven-member city council. Regular elections are held annually in November. Saint Michael is a participant in the State of Alaska's Revenue Sharing Proqram. which provided $14.182 in shared revenue for fiscal year 1980. As a second class city. Saint Michael is able to assume diverse powers. including levying taxes. Voters in Saint Michael aporoved a 2 percent sales tax. which is the only city tax levied in the village. For nonmunicioal proqrams and services. Saint Michael's native population is represented by a seven-member IRA council. The council administers a variety of federal proqrams. includinq local health care. employment assistance. college assistance. social services and tribal operations. In Saint Michael. many of these services are providerl by reqional orqanizations such as Kawerak. Inc. and the Norton Sound Health Corooration. B.5 -Transportation Saint ~ichael is accessible only by air and sea. as there are no roads connecting the village to any other area. It is near the Yukon River delta and has a qood natural harbor. Saint Michael is a transfer point where the cargo on large barges from Dutch Harbor and Seattle is transferred to river barqes or shipped to other Norton Sound villaqes. Rarqe service is provided on a frequent basis by Black Navigation. Fuel is barged in bulk to the Chevron fuel tanks on "Standard Oi 1 Point." just east of the villaqe. The BIA cargo ship North Star III stops once a year to bring SAINT MICHAEL L-7 fuel and supplies to the RIA school. Most residents own small boats used for huntino, fishing and travel. The ice-free season at Saint Michael is generally from early June until mid-November. The north/south dirt runway is 2,500 feet 10no and located north of the city. There are plans to extend it to 3,000 feet in the spring of 1982. Wien Air Alaska, throuoh its subcontractor, Ryan Air Service, ooerates scheduled flights to Saint Michael from Unalakleet; and Munz Northern Airlines flies to Saint Michael from Nome on a reou1ar basis. Charter and freight service is provided by Ryan Air Service from Unalakleet and Berinq Air, Seward Peninsula F1yino Service and Foster Aviation from Nome. There are no cars or trucks in Saint Michael, but there are many a11- terrain vehicles and snowmachines. A system of boardwalks connects most structures in the village, as the ground is extremely wet during the summer. Areas not served by the boardwalk, such as the airport, are difficult to get to or from during the summer from some parts of town. A road was constructed in 1980 from the airport to a new DOT/PF maintenance facility. SAINT MICHAEL L-8 C -COMMUNITY MEETING REPORT Field personnel arrived in Saint Michael the evening of January 25, 1982. The following day, the mayor arranged a meeting of the village council. The meeting was held the afternoon of the 26th in the REAA high school multipurpose room. Including the council members, the meeting was attended by about 17 people. In addition to personnel visiting Saint Michael for this reconnaissance, there was an energy auditor from Nome who was contracted to perform energy audits on 15 homes. The auditor was invited to the council meeting to describe the energy audit program. There was some criticism from some council members who felt that it was not adequate that only 15 houses in Saint Michael were being audited. They felt that virtually all of the homes in the village should be examined. Field personnel explained the energy reconnaissance study and asked meeting attendees to discuss their ideas about the energy needs and resources of Saint Michael. Most discussion centered about the needs of home heating and the poor construction found in some of the HUD-built homes. With regard to electricity supplies in Saint Michael, there was some discussion of the high cost of electricity supplied by AVEC. Many of those present at the meeting expressed a great deal of interest in wind energy for Saint Michael. Some village council members discussed what they.felt were priority items for the future of Saint Michael. These included running water systems, sewage systems, expansion of the airport, and improved boardwalk systems. There was some interest expressed in the use of coal for heating. It was acknowledged that the coal would likely have to be barged down from Nenana and that facilities for storing the coal when it was unloaded from the barge would be required. The meeting lasted about an hour and a half. SAINT MICHAEL L-9 D -EXISTING POWER AND HEATING FACILITIES Presently, all of Saint Michael's electricity is provided by AVEC. The AVEC plant has one 160 kW generator, one 105 kW generator, and one 75 kW generator. The BIA school has a backup generator, which is not used frequently. i~ost of the commercial and public buildings in the village are heated with gun-fired oil burners. Over half of the residences are heated with wood, which must be gathered from 10 to 12 miles away. Saint Michael was exceptional among villages studied in that some of the most recent homes were built with gun-fired furnaces. These units are much more fuel efficient than the old oil stoves or pot-type burners. SAINT MICHAEL L-10 E -ENERGY BALANCE In Saint Michael, as in most other villages studied, most of the energy consumed was put to use heating homes and the schools. Data gathered by field staff show the following uses: TABLE 2 ENERGY USE PROFILE FOR SAINT MICHAEL -1981 Tota 1 Heat Content Type of Fuel Cost End Uses Quant ity (10 9 Btu) Fuel Oi 1 $1.34/gal Space Heating 65,000 gal 9.0 (From Water Heating Chevron) Cooking Fuel Oil $1.42/gal Heating 30,000 gal 4.1 (BIA School) Fuel Oil $1. 42/ga 1 Power Generation 5:;,000 gal 7.6 (AVEC) >'lotor Gaso 1 i ne $1.36/gal Transportation 10,000 gal 1.2 Propane $1.38/1b Cooking 9,000 lb 0.2 81 azo S6.90/gal Cooking 200 gal neg. Wood $250/cord Home Heating 105 cords 1.8 Water Heating Cooking ENERGY RESOURCE • END USE Wo.o.D 11.8) (1.8) RESIDENTIAL SPACE HEATING (9.0) (72) FUEL 0.1 L AVEC Po.WER (240.) GENERATlo.N (7.6\ (1.6\ SCHo.o.L (7.4) HEATI NG (BIA and REAA) ( 7.4) (18) Go.V'T. a Co.MM'L HEATING ( 1.8) GASo.LI NE (1·2) (2) TRANSPo.RTATlo.N (12) PRo.PANE (02.1 (0.2) Co.o.KING 1021 No.TES' ALL UNITS IN 10.9 BTU/YR. FIGURE 2 SYSTEM LDSSES (54) "- USEABLE HEAT (3.6) / SYSTEM Lo.SSES ( 6.11 ELECTRICITY (15 x 10.9 ) SYSTEM LOSSES (26\ '" USEABLE HEAT (48) / SYSTEM LO~SES (Ill ) '"---L. USEABLE ~EAT (0.71 -} GiRl ST. MICHAEL ENERGY BALANCE (1981) -----------.d .cIUS ... ME"'C.a" INCOAPOh,,'ED I (J') )::0 ...... :z -i ::s:: ...... n ::I: )::0 m r r I F -ENERGY REQUIREMENTS FORECAST F.1 -Capital Projects Forecast F.1.1 -Scheduled Capital Projects (a) 1982 -Community buildina SAINT MICHAEL L-12 (b) 1982 -Extension of airport runway and addition of liahts (c) 1982 -Hook-up city-wide telephone (d) 1982 -New water tank F.1.2 -Potential Developments (a) Improve and extend boardwalk (b) Shed at runway where people can await planes (c) Road to Stebbins (d) Road to city dumo site (e) Harbor development (f) Additional housing (q) Water/sewer system (h) Building for city's heavy equipment (i) Norton Sound OCS development F.1.3 -Economic Forecast Saint Michael has a subsistence economy with some waae earners and commercial fishermen. In summer 1982, ARCO plans to drill a cost well 80 miles from Saint Michael in Norton Sound; if oil and gas are discovered, there could be extensive economic arowth in the area. Saint Michael is a deep water port and residents are very interested in the possibility of the port being used as a staging area for oil develooment and of beinq hired to work in the oil fields. F.2 -Population Forecast The annual arowth rate in Saint Michael from 1970 to 1980 was 1.4 oercent. Oil development is difficult to predict. For purposes of this study, 1.0 percent of the growth rate is attributable to oil development. The population table below was calculated on the basis of 2.5 percent annual growth rate. SAINT MICHAEL L-13 1960 1970 1980 1981' 1991 1996 2001 Popul at ion N/A 207 239 277 313 354 400 #Residences N/A 44 73 84 95 107 121 #Commerc i a 1 N/A N/A 12 14 16 16 16 #Gov't/Other N/A N/A 20 22 24 24 24 F.3 -Electrical Energy Forecast Saint ~ichael has been served by AVEC since the 1960's and as such has had a chance to grow into what may be considered a "saturated" condition with regard to residential electricity consumption. nata provided by AVEC indicates that residential energy use in Saint Michael is very frugal: an average of about 1,100 kWh/year for I'lhat may be termed the "typical" home. It is anticipated that network television will be introduced to Saint Michael in 1982. The inevitable use of television in the homes will have a significant impact on the energy use of the "tyoical" village home. It is expected that over the period 1982 to 1985, the per-residence use will increase from its present level to about 1,650 kWh/year. Consumption of other non-residential users is not exoected to chanae with time as that of the residential users did. The annual usaqe of the schools, the stores, and other Dublic buildinqs will likely not vary with time. The exoected electrical energy uses of non-residential customers are shown in th~ table below: Loads kWh per year kW Demand B IA Schoo 1 127,000 40 RE,ll,A School 36,000 20 St r eet L i g ht s 4,000 15 Communications 80,000 10 Public Buildinqs 2,nOO each x 7 3 each x 7 Runway Liahts (1982) 50n 8 In those cases where electricity can be produced it a cost significantly less than that of heat delivered by fuel oil, it can be expected that there will be some conversion to electric space heating, driving electric demand up. In the study of Saint ~ichael, no alternatives were discovered to have such an impact. SAINT MICHAEL L-14 The village energy consumption and power demand are shown in Table 3 and Figure 3. F.4 -Thermal Energy Forecast In the village of Saint Michael, the largest single user of heating energy is the school system. It is estimated that the BIA school alone consumes 30,000 gallons of fuel oil annually. while the REAA school consumes about 24,000 gallons per year. With regard to residential energy use, the greatest proportion goes toward space heating. with incidental amounts being used for cooking and water heating. It is estimated that if the IItypical ll Saint r~ichael home had to rely on fuel oil for its heating requirements, it would require about 900 gallons of fuel oil per year. It is hoped that new ilomes will be built to be more efficient in their use of heating energy than those presently existing. For purposes of this study. it was assumed that any home built after 1985 would be 30 percent more efficient in its use of heating energy than those presently existing. This is certainly an attainable reduction in energy use. Better design and more rigorous construction inspection could help meet such a goal. The remainder of the space heating requirements are taken up by the various commercial and governmental consumers. A summary of heat use projections is given in Table 4. The figures given in this table are expressed in terms of net thermal energy. Net thermal energy is the energy actually delivered to an end use, such as building heating, after all conversion losses have occurred. TABLE 3 VILLAGE ELECTRIC ENERGY USE FORECAST Res 1 dent1 a' Scfioo1s . Other Tota' , Year kW MWn ~g ~n ~g Hilh ~g f41R'· 1982 44 98 60 163 46 102 150 363 1983 55 112 60 163 46 102 161 377 1984 56 124 60 163 46 102 162 389 1985 66 135 60 163 46 102 172 400 1986 67 139 60 163 57 120 184 422 1987 70 145 60 163 57 120 187 428 1988 72 148 60 163 57 120 189 431 1989 74 152 60 163 57 120 191 435 1990 75 155 60 163 57 120 192 438 1991 76 157 60 163 65 140 201 460 1992 78 160 60 163 65 140 203 463 1993 80 165 60 163 65 140 205 468 1994 82 170 60 163 65 140 207 473 1995 85 175 60 163 65 140 210 478 1996 86 176 60 163 65 140 211 479 1997 88 182 60 163 65 140 213 485 1998 90 185 60 163 65 140 215 488 1999 91 188 60 163 65 140 216 491 2000 94 195 60 163 65 140 219 498 2001 97 200 60 163 65 140 222 508 Ul ;t:.. ..... :z -I 3:: 0- n :c ;t:.. I"TI r r I (J'1 300 200 -o z « ~ I.&J o 100 a - SAINT ~·lICHAEL L-16 tOOO 900 -800 ,VILLAGE POWER DEMAN (KW) -700 ~ ~ ~ - bOO z 0 -t- Il. 500 ~ ~ \ ~ ~ -\ .---- \ ~ ~ -- /' " ~ .. en z 0 400 (.) )- (!) ~ ....-- ", '" .-~ \..VILLAGE ENERGY CONSUMPTION (MWh) a: I.&J 300 z I.&J .- -200 100 o 1980 1985 1990 1995 2000 ST. MICHAEL -FIGURE 3 SAINT MICHAEL L-17 TABLE 4 NET THE Rl1AL REQUI R~MENTS Electricity Residential Schools Other Total Year (l09Stu ) (l09Stu ) (109Stu) (109Stu ) (109Btu ) 1982 1.2 3.6 4.2 0.7 9.7 1983 1.3 3.8 4.2 0.7 10.0 1984 1.3 3.9 4.2 0.7 10.1 1985 1.4 4.0 4.2 0.7 10.3 1986 1.4 4.1 4.2 0.8 10.5 1987 1.5 4.2 4.2 0.8 10.7 1988 1.5 4.3 4.2 0.8 10.8 1989 1.5 4.3 4.2 0.8 10.8 1990 1.5 4.4 4.2 0.8 10.9 1991 1.6 4.4 4.2 1.0 11. 2 1992 1.6 4.5 4.2 1.0 11. 3 1993 1.6 4.6 4.2 1.0 11. 4 1994 1.6 4.7 4.2 1.0 11. 5 1995 1.6 4.8 4.2 1.0 11.6 1996 1.6 4.8 4.2 1.0 11.6 . 1997 1.6 5.0 4.2 1.0 11.8 1998 1.7 5.0 4.2 1.0 11.9 1999 1.7 5.1 4.2 1.0 12.0 2000 1.7 5.2 4.2 1.0 12.1 2001 1.7 5.3 4.2 1.0 12.2 SAINT MICHAEL L-18 G -VILLAGE TECHNOLOGY ASSESSMENT l. Coal. There presently exist no practical means to provide coal to Saint Michael. Additionally, the village lacks sufficient numbers of skilled personnel to staff a coal-fired power plant. No consideration of this alternative is warranted. 2. Wood. Natural supplies of wood in the Saint Michael area are sparse to ~extent that the use of wood as a power generation fuel is likely to be impractical. Wood has and will continue to playa role in home heating in Saint Michael. 3. Geothermal. There are no known geothermal resources in the Saint Michael area. No further consideration of the geothermal alternative is warranted. 4. Hydroelectric. There are no river drainages in the Saint Michael area suitable for hydroelectric development. No further consideration of this alternative is warranted. 5. Photovoltaic. This technology is presently too expensive to consider for Alaska utility use. 6. Wind. It is likely that there is a significant wind resource available at Saint Michael, since the village is exposed to winds developed across the long stretches of water of the Bering Sea and Norton Sound. Wind data are available for Nome and Unalakleet; but, in order to adequately assess the wind energy potential at Saint Michael, detailed measurements must be made there. In lieu of site specific wind data for Saint Michael, wind data taken at Unalakleet was analyzed. It was estimated that a well-chosen site near Saint Michael could provide enough wind to permit wind turbine with a 25 percent plant factor. 7. Fuel Oil. This resource is available by tanker ship and is the primary fuel used in Saint Michael. It is presently used for space heating and diesel generation. Table 5 presents the results of the preliminary evaluation of resources and technologies as applied to the community. Methods and criteria used in developing this table are covered in Section C of the main report. The results of this preliminary assessment were used as guidance in development of plans evaluated in the final stages of the study. SAINT MICHAEL L-20 H -ENERGY PLAN DESCRIPTIONS AND ASSUMPTIONS H.I -Base Case In this case, the village is provided with electrical enerqy by AVEC. Load forecasts show that by 1986 the existing units will not be adequate to serve Saint Michael's load. It is assumed that in 1982 these units will be replaced with 250 kW machines which will be adequate throughout the study period. Assumptions used in calculatinq enerqy cost information are as follows: -In 1982, the existing units will be replaced with two 250 kW units. Purchase price of these units is estimated to be $300/kW. It is estimated that installation costs associated with these generators are- $500/kW, for a total installed cost of $800/kw. -As long as AVEC operates the plant (and this is assumed to be the case throuahout the study period), each diesel set will require an overhaul costing one third of the unit's purchase price every seven years ($IOO/kW every seven years). -AVEC plant operators will carry out routine maintenance on the units. This service is valued at $44,000 per year. -Fuel consumption rate is assumed to be 8 kWh/cal. -Annual costs of the diesel sets are calculated as follows: (1) The initial cost of the diesel sets is amortized over 20 years. The real discount rate (net from inflation) is assumed to be 3 percent annually. (2) The annual costs of the overhaul work are the result of the establishment of a sinking fund designed to provide $IOO/kW every seven years. (3) General operations and maintenance adds $44,000 to the annual expenses. -Annual variable costs associated with diesel set ooeration are calculaterl as follows: (1) Fuel in 1982 is assumed to cost $1.65/qal wit~ its real (1981) price rising 2.60 percent annually to $2.69 per qallon by the year 2001, and remaining constant thereafter. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11: 12. 13. 14. 15. 16. 17. 18. 19. 20. 21. TABLE 5 VILLAGE TEC:-;~;OLOGY ASSESSr~ENT FOR SAINT MICHAEL TECHNOLOGY Electric Coal Fi red Steam * 4 1 a Wood Fired Steam * 4 1 a Geothenna 1 * 1 1 1 Oi esel (base) * 4 2 2 Gas Turbine * 4 2 2 Hydroel ectri c * 5 1 1 Wind * 3 1 1 Photovoltaic * 3 2 2 Heati ng· Diesel Waste Heat Recovery * 4 2 2 Electric Resistan~e * 5 2 2 Passive Solar * 5 2 2 Wood * 4 2 1 Coal * 4 2 1 Oil (base) * 4 2 1 Other Coal Gasification * * 3 1 a Wood Gasification -Di esel * 1 1 1 Biogas * * 3 2 2 Waste Fired Boiler * * 4 1 a Peat * * 4 1 a Bi nary Cycle Generator * 1 2 2 Conservation * * 5 2 2 NOTE: Higher numbers are more favorable. S.AINT f'wlICHAEL L-19 a a a a a a a a a a a a a 2 3 5 a 18 3 1 1 7 2 53 1 1 a a 7 1 33 a a a a a a a 1 3 5 2 29 2 a a 3 J 2 23 1 3 3 7 2 61 2 4 4 a 1 2 23 a 4 3 3 2 36 4 3 2 1 2 22 3 3 1 5 2 45 3 4 4 1 7 2 65 1 a a a a a a a a a a a a a 2 a a a a a 1 a a a a a a a a a a a 3 3 5 2 35 4 4 3 9 2 100 SAINT MICHAEL L-22 H.3 -.Alternative Plan "B" Alternative "B" uses the AVEC diesel sets and waste heat system as described in alternative "A" as the primary sources of village power. In addition to this eauipment, there will be assumed to be a 100 kW wind turbine installed near the village. When there is sufficient wind to operate the wind turbine, its electrical output will be fed into the Saint Michael power system. For purposes of this study, this wind turbine will be assumed to have a plant factor of 25 percent, with an availability of 90 oercent. The expected annual output of the turbine is then: 100 kW x 8760 hr/yr x 0.25 x 0.90 = 197,100 kWh/yr This represents about 60 percent of Saint Michaelis electrical energy use in 1982, which would result in a sizeable reduction in fuel use. Assumptions made when calculating future costs of the diesel/wind turbine system were as follows: -The diesel/waste system available would be that used in alternative "A". -The capital cost associated with the purchase of a larqe wind turbine system such as the one described in this alternative is ~2,6Cn/k~. The costs associated with installation of the wind turbine are also $2,600/kW, for a total installed cost of $5,20(l/k1,.l, or $520,000. -This capital cost will be amortized over a period of 15 years. The real discount rate (net from inflation) is assumed to be 3 oercent annually. This represents an annual cost of about $44,000. Operations and ~aintenance of the wind turbine will require the attention of skilled personnel brought in from Anchorage. It is estimated that this service will reauire four visits per year, each visit costing about $3,000. Total O&M charges are therefore $12,000 per year. -Total costs associated with the ooeration of the wind turbine are $56,000 per year. -The on-line date of the wind turbine will be delayed until such time as the savings in fuel use by the AVEC generators is sufficient to pay for the wind turbine. This ~ill occur when the orice reaches the level as calculated below: 197,100 k1,.lh/yr 8.0 kWh/gal $S6,OOO/yr 23,464 gal/yr = 24,600 oal/yr of displaced fuel = S2.27/aal SAINT MICHAEL L-21 Data regardinq the costs of this alternative are given in Section I. It should be noted that the eneray cost figure in $/kWh is not necessarily the cost which would be billed to the ultimate customer. This figure, expressed in terms of 1981 dollars, does not take into account costs associated with distribution of energy within the village, which can add about $0.10/kWh to the customer's cost. The costs shown also do not indicate the effects of various government subsidy and grant programs which may be available. H.2 -Alternative Plan "A" Alternative "A" uses the diesel sets as described in the hase case except that equipment is installed to recover otherwise wasted water jacket heat. This heat is then distrihuted throuqh pipes in utilidors to the BIA school. It is not likely that the waste heat system could completely fill all the heating requirements of the school, but it would significantly reduce the oil consumed by the school. With the enerqy forecasts as shown in Section F, the waste heat system will be able to provide the heat equivalent of about 21,000 Cla110ns of fuel in 1982. By the end of the study period, as qenerator output incrpases, this available waste heat will increase to the equivalent of about 24,000 gallons of fuel oil. While it is not certain that such a system could entirely take over the heating loads of all the buildings that it served, it would reduce the total consumption by the amounts note~ above. Assumptions made when calculating the future costs of the diesel/waste heat system were as follows: -The diesel system used in this study is the same as that described in the base case analysis. -Beqininq in 19P2, a water jacket waste heat recovery system will be installed at the generator building. It is estimated that the waste heat system will cost one-half of the installed value of the generators, or 5400/kW. In this case, the cost is estimated at $200,000. -The $200,000 cost of the waste heat system is amortized over 10 years. The real discount rate (net from inflation) is assumed to be 3 percent annually. At the end of this first 10 year period, the system wi 11 be replaced in its entirety. -The waste heat system is not expected to affect the annual costs associated with AVEC operation and maintenance or overhaul expenses. A tabulation showinq the costs associated with this system's operation is shown in Section I. SAINT MICHAEL L-24 I -ENERGY PLAN EVALUATIONS TABLE 6 l 5T JtlA TELl COSTS Or SAINT ~1ICIIAFL I3ASE CASE FUll COSTS SYSTEt1 ADD I T IOtJS FIXEU COSTS Enor~y lliesel Fuel Fuel Capital Ann ua I Overhaul Total Fixed I'roduct i 011 Fuel Used x Price Costs Costs Costs + Fund + O&J1 Costs YeLlr 0111h) ~~~ __ <1i~ ( $1,000) Component (~I,OOO) ( $1,000) ($1,000) ( $1,000) ($1,000) -------------- 1982 361) 45 1.46 66 0 I nsta II two new AVEC 400 27 7 44 78 250 k\~ diesel generator 1983 380 48 1.50 72 sets 27 7 44 78 1984 390 49 1.53 75 27 7 44 78 1985 400 50 1.57 78 27 7 44 78 1966 420 52 1.61 84 27 7 44 78 1987 430 54 1.66 90 27 7 44 78 1988 430 54 1.70 92 27 7 44 78 1989 441) 55 1.74 96 27 7 44 78 1990 440 55 1.79 98 27 7 44 78 1991 460 58 1.84 107 27 7 44 78 1992 460 58 1.88 109 27 7 44 78 1993 470 59 1.93 114 27 7 44 78 1994 470 59 1.98 117 27 7 44 78 1995 4ao 60 2.1)3 123 27 7 44 78 1996 4aO 60 2.09 125 27 7 44 78 1997 4aO 60 2.14 128 27 7 44 78 1998 490 61 2.20 134 27 7 44 78 1999 490 61 2.25 137 27 7 44 78 2000 500 62 2 •. 31 143 27 7 44 78 (/) 2001 510 64 2 •. 37 152 27 7 44 78 )::0 ~ 0 Repl ace 1982 generators ..:::; 2002-2014 510 64 2.27 152 with same 400 27 7 44 78 -I 3: ~ ("") :c )::0 rTJ r r I N U1 TABLE 6 (Cont'd) Total Discounted Fuel Fixed Annua I Annual Energy Costs + Costs r.osts Costs Costs Year ($1,000) ( Sl l 000) ($1,000) ($1,000) ($/kWh) 1982 66 78 144 139.8 0.40 19A3 72 78 150 141.4 0.40 1984 75 78 153 140.0 0.39 1985 70 78 156 13A.6 0.39 1986 84 78 162 139.7 0.39 1987 90 78 162 140.7 0.39 1988 92 78 170 138.2 0.40 1989 96 78 174 137.4 0.40 1990 98 78 176 134.9 0.40 1991 107 78 185 137.7 0.40 1992 109 78 187 135.1 0.41 1993 114 78 192 134.7 0.41 1994 117 78 195 132.8 0.42 1995 123 78 201 132.9 0.42 1996 125 78 203 130.3 0.42 1997 128 78 206 128.4 0.43 1998 134 78 212 128.3 0.43 1999 137 78 215 126.3 0.44 2000 143 78 221 126.0 0.44 2001 152 78 230 127.4 0.45 2002-2014 152 78 230 1,354.0 0.45 Total net present worth $4,045 A I I costs shown in thousands of dollars Note 1: Note 2: Note 3: Diesel fuel use Is calculated at a consumption rate of 8 kl4h produced per gallon of fuel used. Diesel fuel price is expressed in terms of 1981 dol lars, with prices escalatod at 2.6 percent above general inflation. Total annual fixed costs include funds for equipment amortization (calculated at 3%), a sinking fund for equipment overhaul and replacement, and goneral O&M work. Vl ):>0 ...... :z -l ::s: ...... n $ IT1 r r I N '" SAINT MICHAEL L-23 ThiS is the price (in 1~81 dollars) which fuel is expected to reach in the year 2000. The waste system will not be replaced at the end of its second economic life in the year 2002. A tabulation of the costs associated with the implementation of this alternative is shown in Section I. SAINT MICHAEL L-27 1.1 -Base Case 1.1.1 -Social and Environmental Evaluation Because the AVEC generators are already in place, there is no possibility of local employment for plant construction work. However, there is the need for one or two Saint Michael residents to serve as operating personnel. For repair and overhaul work requiring highly skilled personnel, AVEC usually brings personnel in from Anchorage. Diesel plant equipment is relatively benign environmentally. Diesel engines emit small quantities of carbon monoxide, carbon dioxide, water vapor, nitrous oxides (NO x )' sulfur dioxide (SU2), and unburned hydrocarbons. With the small installation at Saint Michael, there will not likely be any noticeable buildup of any of these pollutants. The engine lubricating oil must be changed periodically and the waste oil disposed of properly. In remote villages such as Saint Michael, this can be a significant problem. Diesel engines are significant sources of noise, but with proper siting and with adequate muffler systems, this problem can be minimized. In Saint Michael, the AVEC plant is far enough away from residences that the noise problem should not be important. I.l.2 -Technical Evaluation Diesel systems are typically the best understood means of producing electricity available to bush villages today. Nevertheless, diesel engines require frequent attention and regular maintenance which requires highly skilled personnel. AVEC maintains a staff of trained diesel mechanics at Anchorage and is able to respond fairly well to problems as they occur. TAEH.f 7 l ST I r~1\f II) COSTS Of' SA I NT M ICIIAEL ALTEHNA1IV[ PLI\tI "A" FlJLL COSTS SYSTEt·l ADUITI@S f' I XElJ CUSTS [n()r~y Diesel --Fuor-Fuel Capital Ann ua I Overhaul Total Fixed Product ion fuel Used x Pr ice Costs ('.os ts Costs + Fund + OM,1 Costs Year WWh) (I,OOO!,Jal) ($/Sjal ) ($1,000) Com[>onent ~~ ($ 1, 000) (s. I, 000) ( $1, 000) ($1,000) 1982 360 45 1.46 66 0 Instal I two new AVEC 600 50 7 44 101 250 kW diesel generator 1983 380 48 1.50 72 sets equipped with waste 50 7 44 101 heat recovery systems 1984 390 49 1.53 75 50 7 44 101 19B~ 400 50 1.57 78 50 7 44 101 19B6 420 52 1.61 84 50 7 44 101 1981 430 54 1.66 90 50 7 44 101 198!l 430 54 1.70 92 50 7 44 101 198') 440 55 1.74 96 50 7 44 101 1990 440 55 1.79 98 50 7 44 101 1991 460 58 1.84 107 50 7 44 101 1992 460 58 1.88 109 o Replace 1982 waste 200 50 7 44 101 heat system 1993 470 59 1.93 114 50 7 44 101 1994 470 59 1.98 117 50 7 44 101 1995 480 60 2.03 123 50 7 44 101 1996 480 60 2.09 125 50 7 44 101 1997 480 60 2.14 128 50 7 44 101 1998 490 61 2.20 134 50 7 44 101 1999 490 61 2.25 137 50 7 44 101 2000 ~OO 62 2.31 143 50 7 44 101 2001 510 64 2.37 152 o neplace 1982 generators 600 50 7 44 101 VJ :l>o and 1992 waste heat -. 2002-2014 510 64 2.37 152 system 50 7 44 101 z -t 3: -. n :c :l>o /"T1 r- r- I N ex> · TA8LE 7 (Cont'd) Total Discounted Fuel Fixed Annual Annual Ener-yy Costs + Costs Costs Costs Costs Year ($1,000) ($1,000) ($1,000) ($1,000) ($/kWh) 1982 66 101 167 162.1 0.37 1983 72 101 173 163.1 0.37 1984 75 101 176 161.1 0.37 1985 78 101 179 159.0 0.36 1986 84 101 185 159.6 0.35 1987 90 101 191 160.0 0.35 1988 92 101 193 156.9 0.35 1989 96 101 197 155.5 0.35 1990 98 101 199 152.5 0.35 1991 107 101 208 154.8 0.35 1992 109 101 210 151.7 0.34 1993 114 10 I 215 150.8 0.34 1994 117 101 218 148.5 0.35 1995 123 101 224 148. 1 0.35 199G 125 101 226 145.1 0.35 1997 128 101 229 142.7 0.35 1998 134 101 235 142.2 0.35 1999 137 101 238 139.8 0.35 2000 143 101 244 139.2 0.35 2001 157 101 253 140.1 0.35 2002 152 101 253 1,490.0 0.35 through 2014 TOTAL $ 4,523 Total present worth of non-el ectr I cal benef i ts $( 1,110) Net present worth $ 3,413 (j') )::. ...... :z -I ----- All costs shown in thousands of dollars ::s:: ....... ("") Note 1 : Diesel fuel is calculated at a consumption rate of 8 kWh produced per gallon of fuel used. :J: use )::. Note 2: Diesel fuel price Is eXfJressed in terms of 1981 dollars, with prices escalated at 2.6 percent above general inflation. I'Tl Note 3: Total annual fixed costs include funds for equlproent amortization (calculated at 3%), a sinking fund for equipment r- overhaul and replacement, and general OM1 work. r- I N lO SAINT MICHAEL L-30 TABLE 8 ESTIt~ATED NON-ELECTRICAL BENEFITS FOR ALTERNATIVE PLAN "A" Total Annual Benefits Discounted Year {SQace Heating Fuel Saving} Benefits 1982 31 30. 1 1983 33 31.1 1984 34 31.1 1985 36 32.0 1986 39 33.6 1987 42 35.2 1988 42 34.2 1989 44 34.7 1990 45 34.5 1991 48 35.7 1992 51 36.8 1993 52 36.5 1994 53 36.1 1995 57 37.7 1996 58 37.2 1997 60 37.4 1998 62 37.5 1999 62 36.4 2000 67 38.2 2001 69 38.2 2002 through 69 406.0 20 TOTAL: $1 ,100 All cost figures shown are in thousands of dollars. SAINT MICHAEL L-31 1.2 -Alternative Plan "A" I.2.1 -Social and Environmental Evaluation If this alternative were to be implemented, there would be the possibility that some local construction employment would be generated. There would be a need for skilled workers such as welders, carpenters, and plumbers, as well as general laborers. The installation and operation of a waste heat system will have no noticeable environmental impact. The reduction of fuel oil burned by those buildings served by the waste heat system may result in a lessening of airborne pollutants. 1.2.2 -Technical Evaluation The waste heat system described is a very simple measure which could be put in place in one construction season and show immediate savings to the village utility system. Design of waste heat systems is well understood, and there is little to go wrong in their operation. TABLE 9 I: ST lilA TLIl CU:.iTS 01-SAINT MICIIAEcL AL TEHNA T I VL PLAN "Il" FUEL cosrs :';YSTE~1 AOO I T I OI~S FIXElJ COSTS Lnoruy Diesol --Fuor-fuel Capital Annua I Overhaul Total Fixed [)roduct ion Fuel Used Costs Costs Costs + Fund + O&~1 Costs YE:dr U1lill) (1,000 ($1,000) ~onent ($1,000) ($1,000) ($1,000) ($1,000) ($1,000) ------- 1982 360 4~ 1.46 66 0 Insta [ I two new AVEC 600 50 7 44 101 250 kW diesel sets with 1'l1n 380 48 1.50 72 waste" hoat systems 50 7 44 101 1984 390 49 1.53 75 50 7 44 101 19B~ 400 50 1.57 7B 50 7 44 101 19Bb 420 52 1.61 84 50 7 44 101 1987 430 54 1.66 90 50 7 44 101 1988 430 54 1.70 92 50 7 44 101 1989 440 55 1.74 96 50 7 44 101 1990 440 55 1.79 98 50 7 44 101 1991 460 58 1.84 107 50 7 44 101 1992 460 58 1.88 109 0" Replace 1982 waste heat 200 50 7 44 101 system 1993 470 59 1.93 114 50 7 44 101 1994 471) 59 1.98 117 50 7 44 101 1995 480 60 2.03 123 50 7 44 101 199b 480 60 2.09 125 50 7 44 101 1997 4HO 60 2. 14 128 50 7 44 101 1998 490 61 2.20 134 50 7 44 101 1999 490 61 2.25 137 50 7 44 101 2000 500 37 2.31 85 o Install new IOu k\~ wind 520 94 7 56 157 turbine 2001 510 39 2.37 93 94 7 56 157 Vl :t:o o Repl ace 1982 diesel 400 ..... :z 2002-2014 510 39 2.37 93 generators 71 7 56 134 -I 3: ..... CJ :::r:: :t:o IT1 r r I w N TA8LE 9 (Cont'd) Total Discounted Fuel Fixed Annual Annua I Energy Costs + Costs Costs Costs Costs Year ( $1,000) ($1,000) ($1,000) ($1,000) ($/kWh) 1982 66 101 167 162. 1 0.37 1983 72 101 173 163.1 0.37 1984 75 101 176 161.1 0.37 1985 78 101 179 159.0 0.36 1986 B4 101 185 159.6 0.35 1987 90 101 191 160.0 0.35 198tl 92 101 193 156.9 0.35 1989 96 101 197 155.5 0.35 1990 98 101 199 152.5 0.35 1991 107 101 208 154.8 0.35 1992 109 10 I 210 151.7 0.34 1993 114 101 215 150.8 0.34 1994 117 101 218 148.5 0.35 1995 123 101 224 148. I 0.35 1996 125 101 226 145.1 0.35 1997 128 101 229 142.7 0.35 1991) 134 101 235 142.2 0.35 1999 137 101 238 139.8 0.35 2000 05 157 242 138.0 0.39 2001 93 157 250 138.4 0.40 2002-2014 93 134 227 1,336.7 0.40 TOTAL $4,367 Total present worth of non-electrical benefits $ (704 ) Total present worth of non-electrical disbenefits $ 25 Net present worth $3,688 ------- All costs shown in thousands of dollars Note 1: tlote 2: Note 3: IJioscl fuel use is calcula"ted at a consumption rate of 8 k~lh prouuced per gallon of fuel used. Diesel fuel price is expressed in ternlS of 1981 dollars, with prices escalated at 2.6 percent above general inflation. Totdl annual fixed costs include funds for equipment amortization (calculated at 3%), a sinking fund for equipr,lent overhau I and rep I acement, and genera I O&~, work. (/) l=-...... ::z -i ::s:: ...... n :J: l=-rn r r I w W SAINT MICHAEL L-34 TABLE 10 ESTIr-tATED NON-ELECTRICAL BENEFITS FOR ALTERNATI VE PLAN "B" Total Annual Benefits Discounted Year (SEace Heating Fue1 Saving) Benefits 1982 31 30.1 1983 33 31.1 1984 34 31.1 1985 36 32.0 1986 39 33.6 1987 42 35.2 1988 42 34.2 1989 44 34.7 1990 45 34.5 1991 48 35.7 1992 51 36.8 1993 52 36.5 1994 53 36.1 1995 57 37.7 1996 58 37.2 1997 60 37.4 1998 62 37.5 1999 62 36.4 2000 67 38.2 2001 69 38.2 TOTAL: $ 704 All cost figures shown are in thousands of dollars. SAINT MICHAEL L-35 TABLE 11 ESTIMATED NON-ELECTRICAL DISBENEFITS OF ALTERNATIVE PLAN "B" Year 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 through 2014 Total Annual Disbenefits Fuel Which Must Be Purchased To Make Up Lost Waste Heat 22 23 Discounted Disbenefits 12.5 12.7 TOTAL: $~25::..;..-=-2 __ _ All cost figures shown are in thousands of dollars. ~AINT MIC~AEL L-3n 1.3 -Alternative Plan flBfI I.3.1 -Social and Environmental Evaluation If this alternative were to be implemented, it is possible that some local work crews could assist in the construction of the wind turbine tower, foundation, and auxiliary equipment. There would be a need for skilled workers, riqqers, and electricians, as well as general laborers. Wind turbine equipment is considered to be environmentally safe. There are, however, a number of items which should be considered in this regard. First, there is the possibility that children, or others, may climb towers which are not secured against such activity, thus exposinq themselves to the danger of a fall. Second, in the event that a wind turbine blade should fail in operation, it could be thrown several hundred feet. Larqe machines, such as those considered in this analysis, have blades weighing several tons. There is also the possibility of interference with television sianals and the qeneration of noise. These last considerations are qenerally not threatening to human life, but may be annoyinq. I.3.2 -Technical Evaluation Given the nresent state of wind turbine develooment and a lack of detailed information regarding winds in Saint Michael, it does not seem warranted to oursue a proqram of immediately installing a larqe wind turbine. If wind data can be collected to suoport this study's estimate of a 2S percent olant factor, it would be wise to proceed with further study. The first step is the establishment of a sophisticated anemometry site at Saint Michael to monitor winds with sufficient accuracy and frequency to establish the frequency distribution of the various wind speed occurrences. SAINT MICHAEL L-37 J -COMMENTS AND DISCUSSION SA I NT MI CHAEL L -38 J.l -Comments Received From Mr. Phil Kaluza Eric P. Yould Alaska Power Authority 334 West 5th Ave. Anchorage, AK 99501 Dear r~r. Yould, SAINT MICHAEL L-39 REL:EJVt:D APR -9 1982 ALASKA POWER AUTHORllY I would like to make several comments concerning the Reconnaissance Studies recently drafted for the villages in the Bering Straits Region. In nearly all of the villages studied a 100K\'J wind turbine was used as an a1ternative for deisel generation. I question the practicality of such a large wind system for several reasons. Several of the villages studied ( Brevig Mission, Golovin) do not even have village wide elec- tricity and are so small that if and when they do undergo an electrification project the demand would be much less than the output of the wind system. I futher question the practicality of such a large wind system in that it would provide an all or nothing approach to the reliability of wind generated electricity. In comparsion, several smaller wind systems could be installed using primarily local manpower which could be trained to maintain and repair the smaller systems. This would help eliminate the need for those costly maintenance trips from Anchorage or out of state personnel. The smaller systems would provide a far better reliability factor and possibily a better system for load management. The use of such a large wind system as an alternative will certainly set any potential of wind energy on a back burner. Also concerning the wind generator alternative the research group decided not to incorporate into the alternative a \vaste heat recovery system for the diesel generator. Apparently they can not see the potential of a combonation of many small scale alternatives. Another area covered in the report was the energy efficiency of the housing stock.In several reports the researchers estimated 20-30% energy savings through weatherization. As a certified state energy auditor and having traveled to many of the villages in the study I would agree there is much room for improvement, even in the recently built houses, but 20 or 30 percent is nothing. An aggressive retrofit program could cut the energy loss by 80 or 90 percent. This could be done through a loan pro~ram that village homeowners would be eligible for. Sincerely, Phil Kaluza Box 843 Nome, AK 99762 SAINT MICHAEL L-40 ACRES' RESPONSE 1. Comment: "In nearly all the villages studied, a 100 kW wind turbine was used as an alternative for diesel generation. I question the practicality of such a large wind system ... " Response: The relatively large wind turbine was chosen for use in this study for a number of reasons: 1. Economy. As turbine size increases, advantage can be taken of their economy of scale: costs in terms of $/kWh at the turbine equipment tend to decrease. For a given aggregate wind turbine capacity at any particular site, the site specific items such as foundations, control equipment, and electrical hookups are simplified and made less expensive. The problems associated with maintaining one 100 kW machine as opposed to, say ten-10 kW units, are minimized. It is worth noting that the larger units have room inside the generator nacelle to work on equipment out of the weather. On-site repair work on smaller units can be expected to be performed by workers exposed to high winds and low temperatures. 2. Appropriateness of Size. At a site with a mean wind speed of 15 mph, a 100 kW wind turbine with an 8 mph cut-in and a 25 mph rated speed will produce a mean power output 1 ess than 20 kW, not even enough to power a typical Bering Straits REAA high school. A number of smaller wind turbines with a similar aggregate capacity and wind speed/power characteristic. would not do much better. 3. Reliability. To date, only very small-scale wind turbines have been tried in Alaska with very rare successes. Two weeks after being put into operation. the State's $100,000 10-kW demonstration project at Skagway was shut down due to a blade failure. Many other small-scale projects have been subject to similar defects. The 100 kW units have such large costs (on an absolute basis) that substantial engineering efforts can be carried out without drastically increasing the $/kW costs. The development programs undertaken by the Department of Energy and NASA using large machines have been largely successful. It is expected that a well designed large turbine would be more reliable than a number of small units. SAINT MICHAEL L-41 4. l"1anufacturer's Support. It has been the unfortunate history of wlnd turblnes that many manufacturers start up a business, inflate advertising claims, sell a few machines which cannot, for wtlatever reason, perform satisfactorily, and promptly go out of business, leaving their customer with no source of information or repair parts. Only large, well-established companies can raise the capital needed to tool up for production of large units. Presently, large units are manufactured by well-known firms such as Westinghouse and Boeing. It is presumed that these firms will exist into the foreseeable future to support their wind turbines. With a few exceptions, the same cannot be said for makers of the small units. Larger manufacturers typically have more depth in their engineering departments to address problems as they develop. No change in report text is needed. 2. Comment: "Several of the villages studied (Brevig Mission, Golovin) do not even have village-wide electricity ... " Response: All villages studied, including Brevig Mission and Golovin had, or were in the very final stages of getting, village- wide electric system installations. . No change in report text is needed. 3. Comment: " ... demand would be much less than the output of the wind system. " Response: This is not true. A 100-kW wind turbine will rarely put out that lTluch power. In winds of less than 18 mph, the wind turbine described under Comment No.1 above will not produce more power than could be used by the typical village school (20 kW). As refrigerators and TV's become more and more popular, it is highly probable that even the 100 kW unit will be able to provide but a fraction of a village's needs. Only rarely will there be a surplus. No change in the report text is needed. 4. Comment: " ... such a large wind turbine ... would provide an all or nothing approach to the reliability of wind generated e 1 ec t ric it y . " SAINT MICHAEL L-42 Response: While it is true that if one large wind turbine were used and it were out of commission, no wind-generated power would be available, it is not thought that this disadvantage is sufficient to make the small units' higher costs attractive. No change in the report text is needed. 5. Comment:" several smaller wind systems could be installed using primarily local manpower which could be trained to maintain and repair the smaller systems." Response: The availability of people with the required maintenance skills is something which varies widely from village to village. Except for a few notable cases, most diesel plants visited in rural Alaska are not good examples of the labors of highly skilled maintenance personnel. If these diesel plants show what can be accomplished by "local manpower," it is not likely that even the simplest wind turbines could be maintained to provide reliable service. Equipment such as gearboxes, generators, and inverters would still require attention by personnel from outside the village. The large units are not so dissimilar and local workers could be trained to perform routine maintenance tests such as lubrication, inspection, expendable parts replacement, etc. As noted before, the large units have room to work inside their generator nacelles out of the weather. This is far less likely to lead to maintenance errors and should be far safer for the serviceman than clinging to a small system's tower (in safety belt) in a cold breeze. No change in report text is needed. 6. Comment: "The use of such a large wind system as an alternative will certainly set any potential of wind energy on a back burner. " Response: This opinion is diametrically opposite that of Acres' staff, who believe that one well-designed and properly functioning wind turbine system which is capable of supplying significant amounts of electrical energy to a power system will do more to promote the use of wind power than will a collection of marginally engineered and poorly supported machine installations such as already exist in the State. No change in the report text is needed. 7. Comment:" the research group decided not to incorporate [a wind turbine] into the alternative [using] a waste heat recovery system for the diesel generator. Apparently, they cannot see the potential of a combination of many small-scale alternatives." SAINT MICHAEL L-43 Response: In fact, Acres does recognize the combination of any number of power producing technologies, but only where appropriate. A diesel set is a much more efficient generator of heat than it is of electricity. In power systems where both diesel/waste heat and ·wind turbine systems are in use, as wind turbine output increases, the waste heat output diminishes accordingly. The relationship is generally such that revenues lost from reduced waste heat sales are not recovered in fuel savings, resulting in a net increased system cost with greater wind turbine output. Very appropriate combinations of small-scale and renewable technologies are those of wind and hydro, or solar photovoltaic and hydro, and similar combinations in which the increased output of one element does not degrade the performance of the others. Unfortunately, few such combinations were found which were appropriate to the economic needs of the village. No change in the report text is needed. 8. Comment: "An aggressive retrofit program could cut the energy loss by 80 or 90 percent." Response: Without having access to the assumptions used to arrive at the 80 to 90 percent figure, it is not possible to comment on the validity of these figures. New housing designs, while improvements over past efforts, are not expected to be much more than 25 -30 percent more efficient than existing housing. Presently, there is no indication that the State is prepared to embark on an "aggressive retrofit program." No change in the report text is needed. SAINT MICHAEL L-44 J.2 -Comments Received From The Alaska Power Administration , LOriginal Letter Retyped Here For Clarity] Mr. Eric P. Yould Executive Director Alaska Power Authority 334 West 5th Avenue, Second Floor Anchorage, Alaska 99802 Dear Mr. Yould: SAINT MICHAEL L-45 April 12, 1982 We have reviewed the two draft sets of reconnaissance reports of energy requirements and alternatives for numerous small Alaskan villages, transmitted to us by your March 3 letter. One was prepared by Acres American, Inc. and one by Northern Technical Services (NORTEC). We agree with the recommendations in the Acres summary report (pp. 0-6 and 0-7), and the individual village NORTEC reports. However, there appears to be a discrepancy in that the recommendations of the NORTEC summary report are not presented in the same priority as some of the individual reports. Specifically the individual reports recommend investigation before specific action is taken on new projects, while the summary report recommends immediate"installation of central diesel generators in eight villages. We offer a few general comments for consideration. There appears to be a disparity between the two reports in that Acres assumed that conservation was not within the scope of consideration while NORTEC did. Neither put a "value" on conservation in terms of energy reduction. A summary comparison of energy cost per kWh for each generation technology would enhance the Acres report. Presentation of costs in terms of kWh units and a summary by technologies would also enhance the NORTEC report. Neither report addresses actual present and projected electric power costs with or without consideration of the residential subsidy under AS 44.83.162. SAINT MICHAEL L-46 Extending a single energy cost for a given technology to several communities leads to risk of invalid comparison based on local conditions. 2 The description of each technology in each report is a good approach to inform lay consumers of the basic parameters. It is good to see a description of the state-of-the art of technologies that are not yet practical for power generation in remote locations such as wind, biomass, and geothermal. Thanks for the opportunity to comment. Sincerely, Robert J. Cross Administrator FSUMMERS:gs:sr 3/18/82 Yould Letter FLOYD4 SAINT MICHAEL L-47 ACRES' RESPONSE 1. Comment:" Acres assumed that conservation was not within the scope of consideration." Response: No such assumption was ever made either explicitly or implicitly. In a number of village reports, the primary recommendation was that aggressive energy audit programs be undertaken forthwith. It was repeatedly noted that village residents were more concerned about the costs of home heating and the inefficiencies of their homes than they were about the supply of electricity within their village. While the study of the means necessary to achieve any meaningful savings of space heating energy was beyond the scope of the study, the effects of such savings were incorporated where appropriate. It was assumed that new housing designs which would be implemented in the villages after 1985 would be 25 to 30 percent more efficient than existing units. No "value" was placed on such improvements for the reason noted above. It is the opinion of Acres' staff that electrical energy conservation is a function of electric energy cost and is inversely related to disposable income: consumers will purchase and use those electricity-consuming devices for which they feel a need or desire. As the real cost of using these items increases, their use will likely (but not necessarily) decrease. The incorporation of so-called energy efficient lights or motors is not expected to have perceptible impact on any village's energy or demand forecast. No comment or change in report text is needed. 2. Comment: "A summary compari son of energy cost per kWh for each gener at i on techno logy wou 1 d enh ance the Acres report." Response: Without site-specific parameters such as fuels costs, construction costs, and annual O&M charges, such a summary would be meaningless. Not all technologies are appropriate or available to all villages. Even where two villages may share access to a particular technology, such as diesel generation, local conditions including fuel costs, fuel consumption rates, and O&M considerations may make comparisons invalid. The comment is noted to be contradictory to the later comment that "Extending a single energy cost for a given technology to several communities leads to risk of invalid comparison based on local conditions." No comment or change in report text is needed. SAINT MICHAEL L-48 3. Comment: "Neither report addresses actual present and projected electric power costs with or without consideration of the residential subsidy under AS 44.83.162.11 Response: This omission is deliberate at the direction of the Alaska Power Authority. Study costs given are busbar costs calculated without governmental subsidy. The availability of a subsidy does not affect the economics of a power production facility; it merely shifts the burden of paying the operation costs to the government. It is also worth noting that the subs i dy programs are cont i nued from year to year at the pleasure of the legislature. No comment or change in report text is needed. J.3 -Comments Received From The State of Alaska Department of Fish and Game SAINT MICHAEL L-49 (PEP \ BT ,n:vr OF FISH :\ ,n G.\ .~a: Apri 1 8, 1982 Alaska Power Authority 334 West 5th Avenue Anchorage, Alaska 99501 OFFICE Of THE COf.;7!.IISSIOflER Attention: Eric P. Yould, Executive Director Gentlemen: SAINT MICHAEL L-50 JA Y S. H:.r.~:":O/:D. GO'r'ERiiOR P.O. BOX 3-2000 JUNEA U, ALASKA 99802 PHONE. 465-4100 RECEIVt:O .t"oR 1 2 1982 ALASKA POWER AUTI-!ORITY The Alaska Department of Fish and Game has reviewed the Power Authority's Draft FY 82 Energy Requirement Reconnaissance Reports for several Alaska co~munities. We have no com~ents to offer at this time. We wish, however, to review subsequent studies as they become available. I~ Ronald O. Skoog --r-Commissioner SAINT MICHAEL L~' ACRES' RESPONSE No comment or change in report text is needed. J.4 -Comments Received From U. S. Fish and Wildlife Service in Anchorage ~AINT rVlICHAEL L-52 SAINT MICHAEL L-53 L·nited States DeDanment of the Interior ... M~. E~ic P. Yould ~xecutive Direc~or Aiaska Power Authority 33 4 West 5th Ave~~e An~~orage, Alas~a 99501 =:ear :·!r. Yould: FISH .-\ND WILDLIFE 5ER VICE Western Alask~ Ecological Services 733 \-1. 4th Avenue, Suite 101 Anchora~e, Alaska 99501 BE C E IV E 0 (907) 271-4575 APR -91982 ~,SKA POWER AUTHORJrt f1 APR 1982 We have revie~ed the Alaska Power Authority's (APA) Draft FY 1982 Energy ?econ~a!ssance ?eports. If the conclusions and reco~endations stated in tte individual'repo~ts beco~e ~tose of the APA, and if the APA undertakes feas!- b!lity studies !,! :ulfill:.:ent of the recomne~ded alternatives, then the U.S. F!sh a~d ~i:ildli:~e Service (?IlS) requests that the infor:::ation and studies out~ined below te =ade a part of the :easibility studies. ',o[i :hout current si te-specific resource infcr::ation and a more cc~plete cescr!ntion 0: the proposed project, it is difficult to assess .... hat impacts, !: a~y, will occur to fish a~d wildlife resources and associated habitat. =n:or::ation should be acquired and studies co~ducted to identify the fish and ~ildlife resources of the study area, identify adverse project i~pacts to those resources, assess al~ernatives to the proposed action and devise a ~!tigatio~ plan t~at would prevent a net loss to fish and wildlife resources. Specific info~ation to be collected and stUdies to be conducted which the TiS feels are necessa~J to adequately assess potential impacts incl~de the following: 1. Plans for construction activities and project features to mini~ize danage to fish, wildlife, and their habitats should be devised, e.g., erosion control, revegetation, trans~ission line siting, construction t!ming, siting the powerhouse, diversion weir, and penstock abcve sal~on s~awning habitat, etc. 2. I.osses 0: fish and , .. ildlife habitat should oe held to a rum;::n;'1:, and ~easures ~o nitigate unavo~dable losses and er~~~nce resources sh~uld be devised. 3. If there is to be a diversion of ~ater or if s~cstantial ~ater tenperat~re fluctutations are i~minent, then these factors should be addressed because of their possible influence on water quality and fish ~E~i~at. Aquatic data collection should at least include t~e follo.;ing: , / I / / / / r I SAINT MICHAEL L-54 ?2.ge 2 (a) Ide~ti:ication of species composition and distribution of residen~ and anadromous fish within and downstream of the pro- ject area. Stanjard sampling methods suci as fyke netting and ciC'_':.ow trapping, as ... .-ell as visual observation of spa .. ming and/or redds, should be used. (b) Sur'leying and mapping 0: fish spawning, rearing, and ove:-- ~intering habitat as defined in the FWS Instrea~ Flow Tectni:ues 0:-similar guidelines. (c) H~:-vest levels and SUbsistence use data, if applicable. I: should se inc:.l::!bent upon the APA to docu:nent animal species ,,-i t~in the project 8oundary. If it is deter:nined that i:npacts to te:-rest:-ial :na:nr.lals or bird habitat is i2ninent, the APA should gather habitat and population infor- mation in a ~anner consistent 1;ith the FWS' ~abitat Evaluation Procedures. 4. ~errestrial data collection should include the fOllowing: (a) '>'eri:1ication of ga.-c.e and r:on-game species use and occu::'rence wi:hin the project area. 1 . ;·;aru:le. 1 s • a. ~istorical and current harvest levels and subsistence use da:a. b. Si:e-specific wildlife observations, including wild- life si 5 n, ~enning sites, feeding sites, migration ::'outes, winter use areas, and calving areas. ~. Birds. Raptor nesting surveys within the project area. (b) Description of vegetation, cover typing, and areal extent 0: each type. ':'he ? .. is req~ests that bald eagle surveys be undertaken. If nest si tes are encQur_tered, the APA should notify the F'w"S. The FlvS seeks "to ::aintain a 330-foot protec:ive zone around all active and inactive nests. Cocpliance with p::'ovisions of the 3ald Eagle Protecton Act is nar.dato~-. ~e =equest ~~at the following be accomplished during the course of the st'ldies: 1. ~u::,ing t~e period of project planning, the APA should co~sult ~ith f9~era:, state, and local agencies having an interest in the fis~ ar:d wildlife resources of the project area, including t~e ?ish and ·,';::d:'i:e Service, pr:o:-to F:"epa:ri::lg a:1 J" e:lvi:-o:,,_~enta: ::-~.po!'"ts. 2. '='::9 :'.P:'_ 3::a11 investigate and doc\L.lent tr.e possible presence of any eniangered or threateced s~ecies in the project area. If endangered of t:'reateC'_ed species are :e:er:.lined to be present, t:1e T .. ,-S should ':Je ~c:i=iej. / , i ./ f " I / f 7 .! • SAINT MICHAEL L-55 ~~e A?A stall design and cJnduct at p~oject cost, as soon as p~a8- :i:::'8.ble, preparatory studies in cooperatio:1 <:ith the F':lS and the Alzska Ijepart::len t of Fish and Game. Tnese studies s!-Jall include, but :1ot be limited to, the above aquatic and terrestrial data. The s:~jies stall also identify and evaluate general measu~es to avoid, offset, and/or reduce adverse project-caused impacts on fish and ,;<;ildlife resources. Info::::ation frJm these fish and , .. ildl::e ~elated stucies shall be provided to tne concer:1ed state and federal ~esource e.ge!1cies. Future cJ~respondence on this, or other projects proposed by the APA should include a clea~ me.p, in sufficient detail to show the exact loce.tion 0: the project.I'his I-rill enable the F'tlS to accurately determi!1e ",;het!',er or not Interior ma!1aged lands are involved. It is :he :iesire 0: the F'I'lS to work wi th the APA to resolve a:r.y concerns relating to fish, wildlife, and other resources. If it is determined that the project will result in :-esource ir:lpacts, the F'ors ifill assist the APA i:J. ztteopti:1g' :0 ::1O:1ify the project to alleviate or ni tigate any aiverse effec':s. Please :eel free to contact me if you have any questions regarding our suggested fee.sibility studies. Sincerely, ~k-V~l Field Supervisor SAINT MICHAEL L-56 ACRES' RESPONSE 1. Comment: "Without current site-specific resource information and a more complete description of the proposed project, it is difficult to assess what impacts, if any, will occur to fish and wildlife resources and associated habitat. Information should be acquired and studies conducted to identify the fish and wildlife resources of the study area, identify adverse project impacts to those resources, assess alternatives to the proposed action and devise a mitigation plan that would prevent a net loss to fish and wildlife resources." Response: The reconnaissance study scope does not provide for any but the most general identification of sites, definition of project design characteristics, and assessment of environmental consequences. The level of study effort suggested in the USF&WS letter is appropriate to a feasibility-level study of a project. No change in report text is required. SAINT MICHAEL L-57 J.S -Comments Received From U.S. Bureau of Land Management (BLM) SAINT MICHAEkck.,s~ IT nitcd States Deoartment of the Interior . BUREAU OF LAND MANAGEMENT ;~chorage District Office 4700 East 72nd Avenue Anchorage, Alaska 99507 Mr. Eric P. Yould Alaska Power Authority 334 west 5th Avenue Anchorage, AK 99501 Dear ~r. Yould; RECEiVED APR -81982 'Af)S'I..A POWER AUTHORITY APR 6 1982 'Reference your letter dated 3 1·1arch 1982 in which you requested comments concerning your draft FY1982 energy reconnaissance reports. This agency agrees with the contractors basic conclusions that further feasibility studies of hydro power potential should be evalu- ated at applicable locations. Generally there is little or no BLH land involved at any sites. Most locations are native selected or other non-ELM land. h'hen actual . construction plans formulate land use and otmership will be ceterr:J.ined on a case by case basis. The opportunity to co=ent on this report is appreciated. Should you have further questions feel free to contact me. SAINT MICHAEL L-59 ACRES' RESPONSE No comment or change in report text is needed.