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HomeMy WebLinkAboutKISARALIK RIVER AND CHIKUMINUK LAKE RECONNAISSANCE AND PRELIMINARY HYDROPOWER FEASIBILITY STUDY 2011 KISARALIK RIVER AND CHIKUMINUK LAKE RECONNAISSANCE AND PRELIMINARY HYDROPOWER FEASIBILITY STUDY Prepared for: Association of Village Council Presidents Regional Housing Authority Revised Final Report May 2011 This page left blank intentionally. Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report May 2011 Disclaimer The findings, interpretations of data, recommendations, specifications or professional opinions presented in this report are based upon available information at the time the report was prepared. Studies described in this report were conducted in accordance with generally accepted professional engineering and geological practice, and in accordance with the requirements of the Client. There is no other warranty, either expressed or implied. The findings of this report are based on the readily available data and information obtained from public and private sources. MWH relied on this information provided by others and did not verify the applicability, accuracy or completeness of the data. Additional studies (at greater cost) may or may not disclose information that may significantly modify the findings of this report. MWH accepts no liability for completeness or accuracy of the information presented and/or provided to us, or for any conclusions and decisions that may be made by the Client or others regarding the subject site or project. The cost estimates developed for the report are prepared in accordance with the cost estimate classes defined by the Association for the Advancement of Cost Engineering. MWH has no control over costs of labor, materials, competitive bidding environments and procedures, unidentified field conditions, financial and/or market conditions, or other factors likely to affect the cost estimates contained herein, all of which are and will unavoidably remain in a state of change, especially in light of the high volatility of the market attributable to market events beyond the control of the parties. These estimates are a “snapshot in time” and that the reliability of this cost estimates will inherently degrade over time. MWH cannot and does not make any warranty, promise, guarantee, or representation, either express or implied that proposals, bids, project construction costs, or cost of operation or maintenance will not vary substantially from MWH’s good faith Class 5 cost estimate. This report was prepared solely for the benefit of the Client. No other entity or person shall use or rely upon this report or any of MWH's work product unless expressly authorized by MWH. Any use of or reliance upon MWH's work product by any party, other than the Client, shall be solely at the risk of such party. This page left blank intentionally Revised Final Report ES-1 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study EXECUTIVE SUMMARY The purpose of the study described in this report is to develop, consolidate, and present a body of information on candidate hydropower projects for serving the electrical demand in Bethel, and surrounding communities 1 . If the Client (the Association of Village Council Presidents Regional Housing Authority, or AVCP RHA), the grant funding agency (the Alaska Energy Authority, or AEA), or some other development organization, such as Calista Corporation, deems one or more of the projects worthy of further study, the next step would be to conduct a detailed feasibility study, which would include site investigations and formulation of preliminary designs. Candidate Sites for Hydropower Development The study focused on the hydropower development potential using the Kisaralik River and the Allen River draining Chikuminuk Lake. These candidates have been studied in the past, and appear to represent the best opportunities for providing hydropower generation to meet the electrical demand in Bethel and the surrounding communities. The hydropower generation potential could be developed in four discrete projects: one at the Chikuminuk Lake outlet and three on the Kisaralik River (Golden Gate Falls, Lower Falls and Upper Falls). It is possible that the three candidate Kisaralik projects could be optimized and consolidated into two projects, or even a single project, in further study. However, the intent was to develop reasonable project concepts with the budget available for the work, estimate the costs, assess environmental constraints, and provide decision-making information. The physical development arrangement of any of the four candidate sites would involve construction of a dam, spillway, diversion tunnel, fish handling facilities and a powerhouse. Each of the four sites could be developed with a concrete faced rockfill dam and a spillway channel cut through one of the dam abutments. It is anticipated that the spillway channel excavation could provide a source of materials for the dam. It is not known if fine grained materials exist within a reasonable haul distance, so the concrete faced rockfill type dam was adopted for this evaluation. Diversion of the river flow during construction of the dam would be accomplished by constructing a diversion tunnel around the dam site. The conceptual diversion tunnel arrangement accommodates using the diversion features as part of the power waterway, avoiding a separate tunnel, to minimize cost. A powerhouse would contain two Francis type turbines directly connected to a generator. Each project would need facilities to handle migratory or resident fish species. 1 The villages are Akiachak, Akiak, Eek, Kasigluk, Nunapitchuk, Quinhagak, Atmautluak, Oscarville, Napakiak, Kwethluk, Napaskiak, Tuluksak, and Tuntutuliak. See Figure 17 in the main body of the report. Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Salient characteristics for each candidate project are listed below: Site Average Flow (cfs) Reservoir Storage (AF) Dam Height (ft) Chikuminuk Lake 1,353 1,691,903 128 Kisaralik - Upper Falls 1,757 23,584 118 Kisaralik - Lower Falls 1,603 84,527 173 Kisaralik - Golden Gate Falls 833 64,629 204 Energy Generation The anticipated hydropower generation characteristics of each site, as developed for this study, are defined below. The Kisaralik River projects have limited storage, and therefore have a limited ability to regulate flows for delivering energy in a pattern that can be used by the regional demand. Much of the Kisaralik energy is available during the summer when the demand is low. Site Rated Head (ft) Generating Capacity (MW) Average Annual Energy Potential (GWh) 2022 Demand (GWh) Usable energy 2022 condition (GWh) Chikuminuk Lake 91 13.4 88.7 64.9 64.9 Kisaralik - Upper Falls 149 27.7 88.5 39.7 Kisaralik - Lower Falls 122 34.1 127.1 46.9 Kisaralik - Golden Gate Falls 78 27.0 94.4 38.8 Note: Demand is as measured at the hydro station to overcome long distance transmission line losses, assumed to be 3% greater than the local area busbar demand. Transmission Interconnection A major transmission line would be required for interconnecting the candidate projects with the Bethel area systems. The line is envisioned as a 138-kV, single-circuit line supported on X- braced H-style structures. The distances from the interconnection in the Bethel area to each site are as given in the following table: Site Distance (miles) Chikuminuk Lake 118 Kisaralik - Upper Falls 70 Kisaralik - Lower Falls 62 Kisaralik - Golden Gate Falls 57 Revised Final Report ES-2 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Access The sites are remote without existing permanent access. For the Kisaralik projects, transporting heavy materials and equipment to the sites would be done during the winter months via ice road from Bethel. During summer months, small equipment, supplies and personnel would be ferried in by aircraft. For Chikuminuk, a conventional road is anticipated. One or more construction period labor camps would be required. Long-term operation is assumed to rely on support by air. A permanent road is not planned. Regulatory and Environmental Constraints Development of any of the projects would require a FERC license. The Kisaralik River projects would be located within the Yukon Delta National Wildlife Refuge (YDNWR). Although not typically found in National Wildlife Refuges, hydroelectric projects may be permissible in the YDNWR, as there are no explicit prohibitions in the National Wildlife Refuge System Administration Act of 1966 or in the National Wildlife System Improvement Act of 1997. The permissibility of hydroelectric development construction and operation would be determined by the Secretary of the Interior on a case-by-case basis under existing law. It should be noted that development and operation of the Terror Lake Hydroelectric Project was determined to be permissible within Alaska’s Kodiak National Wildlife Refuge, despite public opposition; a 50-year FERC license for this project was issued in 1981. The Terror Lake Project went into service in 1985, and provides much of the electricity to the Community of Kodiak. The Chikuminuk Lake project would be located within a wilderness-designated area of Wood- Tikchik State Park. The park authorization legislation would need to be amended to specifically allow hydroelectric development at Chikuminuk Lake. This is viewed as a significant constraint. The Kisaralik River supports anadromous fish species. This is viewed as a significant licensing constraint. There is also significant recreational and commercial recreational use of the Kisaralik River. Project Development Schedule The absolute minimum time to implement any of the four candidate hydropower projects is 10 years. The projects would require a FERC license before construction could begin; the estimated minimum duration to acquire a FERC license for the candidate projects is five years. A two-year period following issuance of a license is expected for final design and bidding before construction can begin. The construction duration is estimated at three years. The above stated durations assume favorable conditions in terms of agency review, approvals in the licensing phase, and minimal issues during the construction phase. The actual development duration could be longer. Revised Final Report ES-3 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Opinion of Probable Cost The estimated cost of each project, if developed on a stand-alone basis, is as indicated in the following table. Site Construction Cost (2010 $ million) Total Project Cost (2010 $ million) Specific Cost (2010 $/kW) Chikuminuk Lake 410.9 507 37,836 Kisaralik - Upper Falls 392.9 487 17,581 Kisaralik - Lower Falls 337.0 418 12,258 Kisaralik - Golden Gate Falls 316.0 392 14,519 The stated costs are at the December 2010 price level without escalation or charges for interest during construction. The construction cost is the estimated amount for project and transmission line construction, plus procurement of the permanent turbine and generating equipment, but without an allowance for escalation of costs beyond 2010 during the course of the future construction period. The “total project cost” is the construction cost plus the estimated development costs, such as engineering, management, legal services and reserves, but again it does not include escalation or interest charges. The specific cost is the total project cost divided by the generating capacity of the facility. Economic Evaluation The net present value (NPV) of a diesel only future and alternatives with each of the candidate hydropower projects is presented in the following table: Power Supply Option 50-Year NPV ($ millions) % Grant Funding Required Diesel Only $909 NA Chikuminuk Lake $1,104 22 Kisaralik - Upper Falls $1,312 47 Kisaralik - Lower Falls $1,117 28 Kisaralik - Golden Gate Falls $1,155 26 The NPV considers the AEA demand projections, AEA economic evaluation criteria and the ability of the hydropower candidates to offset diesel generation. Of the four candidates, Chikuminuk Lake and Kisaralik River Lower Falls are the lowest cost alternatives to a diesel- only future. However, both of these exhibit an NPV that is somewhat greater than the diesel only future. The NPV is highly sensitive to the projection of diesel fuel. If the cost of diesel fuel escalates rapidly, the diesel only future could be a more expensive option. Implementation of one Revised Final Report ES-4 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study of the hydro options (particularly Chikuminuk) would provide isolation from unpredictable fuel cost escalation. Another consideration for future study if a project is advanced to a subsequent phase is to include electric heating sales. In the above table, the “Grant Funding Required” for the hydro options is the percentage of total project cost would need to be borne by funding without a repayment obligation to reduce the NPV to a level that is equivalent to the diesel only power supply option. Conclusion The Chikuminuk Lake project has been favored in previous studies. However, the distance from Bethel (of the candidates considered, it is farthest from Bethel), its location within a State park, and the significant alteration to an existing natural lake that would be required are significant impediments. The Chikuminuk Lake project has the advantage over the Kisaralik projects in that it can provide a relatively stable month-to-month energy delivery under a wide variety of hydrological conditions, and does not appear to have anadromous fish use. In addition, it appears that the Chikuminuk Lake project exhibits the lowest NPV of the possible hydropower options. Therefore, if studies are to continue, it may be prudent to consider the Chikuminuk Lake project. Additional study could be carried out to optimize the storage and generating capacity to best meet the Bethel area needs. Optimization of the project layout could identify a lower cost arrangement meeting the power and energy demands of the Bethel area. If the Chikuminuk Lake project is developed as an initial project, this would contribute to a potential significant reduction in the cost of a Kisaralik project as a future development. The substantial cost reduction would result from the investment made in the transmission line which could serve the Kisaralik projects. Implementation of the Chikuminuk project could result in the avoidance of about 55,000 tons of CO2 per year created by diesel-fueled generation. If the AVCP RHA or another entity wishes to proceed with further studies to refine the development concepts of any of the candidate projects, we recommend that future studies continue on a Chikuminuk project. The studies should be carried out in an incremental fashion to permit refined evaluation of economic feasibility. The activities suggested below are intended to provide the next level of initial information for evaluating project feasibility: • Market study, combined with a reservoir and power operation study, to determine the optimum size of a Chikuminuk project. • Pending a favorable outcome of the market and operation study, then: o Surface geological reconnaissance and mapping; o LIDAR survey and topographic map preparation; o Installation of a hydrometeorological recording station; Revised Final Report ES-5 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report ES-6 May 2011 o Prepare an environmental review of the site for the purposes of supporting a FERC Preliminary Application Document; o Preparation of preliminary engineering concept drawings and an AACE Class 4 cost estimate. The above information would provide a definitive basis for determining if it is justified to proceed with significant investments in FERC licensing. C:\Land Projects 2008\Kisaralik AK\dwg\Ex 01-17- Kisaralik AK regional map & TL.dwg, 2/18/2011 6:49:55 PM, PDF995.pc3KISARALIK RIVER AND CHIKUMINUK LAKEREGIONAL MAPEXHIBIT ES-1 18 FEB 201140000 FT20000020000SCALENOTES:1. SPATIAL REFERENCE: UTM ZONE 4, NAD83, FEET.2. VERTICAL DATUM IS NGVD.3. USGS 1:250,000 MAPS OF BETHEL, AK (1980) AND TAYLOR MOUNTAINS, AK (1954) .Kisaralik River and Chikuminuk LakeReconnaissance and Preliminary Hydropower Feasibility StudyCANDIDATE PROJECT LOCATIONLEGEND:PLACESCHIKUMINUKLAKEBETHELLOCATION MAPMAPPED AREABethelCANADAALASKAUNITED STATESRUSSIAAnchorageKuskokwim RiverBearing SeaGulf of AlaskaPacific OceanDillinghamKISARALIK RIVER(LOWER FALLS)KISARALIK RIVER(GOLDEN GATE FALLS)KISARALIK RIVER(UPPER FALLS)NOTE:THIS IS A PRELIMINARY CONCEPT SKETCH FOR FEASIBILITY STUDYPURPOSES ONLY. ALL DIMENSIONS AND ELEVATIONS AREAPPROXIMATE, AND WILL BE UPDATED AS PROJECT DESIGN STUDIESCONTINUE. ALL CONCEPTS AND DETAILS, SUCH AS DIMENSIONS ANDELEVATIONS, DEFINED ON DRAWINGS WOULD REQUIRE FURTHERREFINEMENT DURING A SUBSEQUENT DESIGN PHASE. Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Table of Contents EXECUTIVE SUMMARY .......................................................................................................... 1  Candidate Sites for Hydropower Development ........................................................................... 1  Energy Generation ....................................................................................................................... 2  Transmission Interconnection...................................................................................................... 2  Access .......................................................................................................................................... 3  Regulatory and Environmental Constraints ................................................................................. 3  Project Development Schedule .................................................................................................... 3  Opinion of Probable Cost ............................................................................................................ 4  Economic Evaluation ................................................................................................................... 4  Conclusion ................................................................................................................................... 5  1 Introduction ......................................................................................................................... 1-1  1.1 Scope of Work ................................................................................................................ 1-1  1.1.1 Hydrology Study ...................................................................................................... 1-1  1.1.2 Assess Existing Conditions ...................................................................................... 1-2  1.1.3 Develop Feasible Layout ......................................................................................... 1-2  1.1.4 Schedule and Costs .................................................................................................. 1-2  1.1.5 Geotechnical Analysis ............................................................................................. 1-2  1.1.6 Land Status and Transmission Line Routing ........................................................... 1-2  1.1.7 Environmental Permitting Analysis ......................................................................... 1-3  1.1.8 Economic Feasibility Analysis ................................................................................ 1-3  1.1.9 Regional Wholesale Utility Planning and Development ......................................... 1-3  1.2 Organization of the Report ............................................................................................. 1-3  2 Previous Studies .................................................................................................................. 2-1  3 Land Use and Environmental Constraints ....................................................................... 3-1  4 Hydrological Studies and Setting ....................................................................................... 4-1  4.1 Streamflow...................................................................................................................... 4-1  4.2 Flood Hydrology .......................................................................................................... 4-10  4.2.1 Probable Maximum Precipitation .......................................................................... 4-10  4.2.2 Chikuminuk Lake PMF.......................................................................................... 4-11  4.2.3 Kisaralik River PMF .............................................................................................. 4-13  4.2.4 Comparison to Previous Studies ............................................................................ 4-15  5 Physical Setting .................................................................................................................... 5-1  5.1 Location .......................................................................................................................... 5-1  5.2 Regional Physiology ....................................................................................................... 5-1  5.3 Regional Geology ........................................................................................................... 5-1  5.4 Regional Tectonics and Seismic Records ....................................................................... 5-3  6 Site Specific Geological Assessments ................................................................................. 6-1  Revised Final Report i May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Table of Contents (continued) Revised Final Report ii May 2011 6.1 Chikuminuk Lake ........................................................................................................... 6-1  6.1.1 Background on Site Geology ................................................................................... 6-1  6.1.2 Local Tectonic Conditions ....................................................................................... 6-2  6.1.3 Site Access ............................................................................................................... 6-3  6.1.4 Reservoir Water Tightness ....................................................................................... 6-4  6.1.5 Construction Materials ............................................................................................. 6-4  6.1.6 Transmission Line Alignment.................................................................................. 6-4  6.2 Upper Falls ..................................................................................................................... 6-4  6.2.1 Background on Site Geology ................................................................................... 6-5  6.2.2 Local Tectonic Conditions ....................................................................................... 6-6  6.2.3 Site Access ............................................................................................................... 6-6  6.2.4 Reservoir Water Tightness ....................................................................................... 6-7  6.2.5 Construction Materials ............................................................................................. 6-7  6.2.6 Transmission Line Alignment.................................................................................. 6-7  6.3 Lower Falls ..................................................................................................................... 6-8  6.3.1 Background on Site Geology ................................................................................... 6-8  6.3.2 Local Tectonic Conditions ....................................................................................... 6-9  6.3.3 Site Access ............................................................................................................... 6-9  6.3.4 Construction Materials ............................................................................................. 6-9  6.3.5 Transmission Line Alignment................................................................................ 6-10  6.4 Golden Gate Falls ......................................................................................................... 6-10  6.4.1 Background on Site Geology ................................................................................. 6-11  6.4.2 Local Tectonic Conditions ..................................................................................... 6-11  6.4.3 Site Access ............................................................................................................. 6-12  6.4.4 Construction Materials ........................................................................................... 6-13  6.4.5 Transmission Line Alignment................................................................................ 6-13  6.5 Summary ....................................................................................................................... 6-13  6.6 Recommendations ........................................................................................................ 6-14  7 Project Concepts .................................................................................................................. 7-1  7.1 Dam and Spillway .......................................................................................................... 7-1  7.2 Power Waterways ........................................................................................................... 7-3  7.3 Powerhouse ..................................................................................................................... 7-4  8 Transmission Line Planning ............................................................................................... 8-1  8.1 Route Alignment............................................................................................................. 8-1  8.2 Voltage Selection ............................................................................................................ 8-2  8.3 Transmission Line Compensation .................................................................................. 8-3  8.4 Structure Selection and Evaluation ................................................................................. 8-3  8.5 Road and Trail Access .................................................................................................... 8-5  8.6 Helicopter Construction .................................................................................................. 8-5  8.7 Foundations .................................................................................................................... 8-5  8.8 Conductor Selection ....................................................................................................... 8-6  8.9 Structure Erection ........................................................................................................... 8-6  8.10 Conductor and Overhead Ground Wire Stringing ....................................................... 8-6  Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Table of Contents (continued) Revised Final Report iii May 2011 8.11 Line Losses .................................................................................................................. 8-7  8.12 Budgetary Cost Estimates ........................................................................................... 8-7  9 Fish Passage Considerations .............................................................................................. 9-1  9.1 Chikuminuk Lake / Allen River Hydroelectric Project Fish Passage ............................ 9-1  9.1.1 Upstream Passage .................................................................................................... 9-1  9.1.2 Tailrace Barrier ........................................................................................................ 9-2  9.1.3 Downstream Fish Passage........................................................................................ 9-2  9.1.4 Fish Passage Facility Operation ............................................................................... 9-3  9.2 Kisaralik River Projects .................................................................................................. 9-3  9.2.1 Upstream Passage .................................................................................................... 9-3  9.2.2 Trap and Haul Facility ............................................................................................. 9-4  9.2.3 Downstream Fish Passage........................................................................................ 9-4  9.2.4 Fish Passage Facility Operation ............................................................................... 9-5  10 Environmental and Permitting Analysis ......................................................................... 10-1  10.1 Introduction ............................................................................................................... 10-1  10.2 FERC Preliminary Permitting ................................................................................... 10-1  10.3 FERC Licensing ........................................................................................................ 10-3  10.3.1 Project Management and Meetings .................................................................... 10-3  10.3.2 Early Licensing Activities .................................................................................. 10-4  10.3.3 Pre-Application Document, Schedule, and Notice of Intent .............................. 10-5  10.3.4 Scoping and Study Plan Approval ...................................................................... 10-6  10.3.5 Conduct Engineering and Environmental Studies .............................................. 10-6  10.3.6 Preliminary Licensing Proposal ........................................................................ 10-10  10.3.7 Development of the Final License Application ................................................ 10-10  10.3.8 Post-FLA Activities and Section 401 Water Quality Certification .................. 10-14  10.4 Other Permits and Approvals .................................................................................. 10-15  11 Energy Generation Estimates .......................................................................................... 11-1  12 Opinion of Probable Construction Cost .......................................................................... 12-1  12.1 Estimate Classification .............................................................................................. 12-1  12.2 Assumptions and Qualifications................................................................................ 12-2  13 Scheduling Summary ........................................................................................................ 13-1  14 Power Market and Economic Study ................................................................................ 14-1  14.1 Service Area .............................................................................................................. 14-1  14.2 Projections of Electric Load, Demand, and Generation Requirements ..................... 14-2  14.3 Fuel Price Projections and Other Economic Information ......................................... 14-5  14.4 Preliminary Economic Analysis of the Hydropower Options ................................... 14-7  14.5 Conclusion ............................................................................................................... 14-10  15 Regional Wholesale Utility Framework for Development and Operation .................. 15-1  16 References .......................................................................................................................... 16-1  Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Table of Contents (continued) Revised Final Report iv May 2011 16.1 Hydrology.................................................................................................................. 16-1  16.2 Geology ..................................................................................................................... 16-2  17 Exhibits ............................................................................................................................... 17-1  18 Public Meeting ................................................................................................................... 18-1  List of Figures Figure 1: Average Monthly Flow, 1954 – 1995 .......................................................................... 4-2  Figure 2: Flow Duration Curves, Monthly Data 1954 – 1995 ..................................................... 4-3  Figure 3: Chikuminuk Low, Average, High Monthly Flow (cfs) ................................................ 4-3  Figure 4: Upper Falls Low, Average, High Monthly Flow (cfs) ................................................. 4-4  Figure 5: Lower Falls Low, Average, High Monthly Flow (cfs)................................................. 4-4  Figure 6: Golden Gate Falls Low, Average, High Monthly Flow (cfs) ....................................... 4-5  Figure 7: PMF Routing for Chikuminuk Lake – 150-ft Spillway ............................................. 4-12  Figure 8: Flood Frequency for Kisaralik River at USGS Gage 15304200 ................................ 4-13  Figure 9: Transmission Line Route Map ..................................................................................... 8-2  Figure 10: Structure Types........................................................................................................... 8-4  Figure 11: Sectional Composite Pole ........................................................................................... 8-4  Figure 12: Monthly Demand Pattern ......................................................................................... 11-1  Figure 13: Chikuminuk Lake, Modeled Average Generation by Month ................................... 11-2  Figure 14: Upper Falls, Modeled Average Generation by Month ............................................. 11-3  Figure 15: Lower Falls, Modeled Average Generation by Month ............................................. 11-3  Figure 16: Golden Gate Falls, Modeled Average Generation by Month ................................... 11-4  Figure 17: Village Locations ..................................................................................................... 14-1  Figure 18: Comparative Future Production Costs of Alternatives ............................................. 14-9  List of Tables Table 1: USGS Gaging Station Summary ................................................................................... 4-1  Table 2: Flow (cfs) at Allen River Dam Site Below Chikuminuk Lake ...................................... 4-6  Table 3: Flow (cfs) at Kisaralik River Upper Falls Dam Site...................................................... 4-7  Table 4: Flow (cfs) at Kisaralik River Lower Falls Dam Site ..................................................... 4-8  Table 5: Flow (cfs) at Kisaralik River Golden Gate Falls Dam Site ........................................... 4-9  Table 6: Chikuminuk Lake Unit Hydrograph Parameters ......................................................... 4-11  Table 7: Chikuminuk Lake PMF Routing Summary ................................................................. 4-12  Table 8: 100-Year Flood and PMF Comparison ........................................................................ 4-14  Table 9: Kisaralik River Spillway Design Floods ..................................................................... 4-15  Table 10: Approximate Distance from Potential Hydropower Sites to Mapped Fault Traces (Miles) .................................................................................................................................... 5-3  Table 11: List of Key Seismic Events and Estimated Distance from the Potential Hydropower Sites ........................................................................................................................................ 5-5  Table 12: Comparison of Site Parameters ................................................................................. 6-13  Table 13: Kisaralik River Projects Flood and Elevation Planning Criteria ................................. 7-2  Table 15: Hydroelectric Project ................................................................................................... 8-3  Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Table of Contents (continued) Revised Final Report v May 2011 Table 16: Transmission Line Capacity Comparison .................................................................... 8-3  Table 17: Annual Line Loss (GWh) ............................................................................................ 8-7  Table 18: Budgetary Construction Cost, 2011 Dollars ................................................................ 8-9  Table 19: Summary of Cost Estimates ....................................................................................... 12-4  Table 20: Mid-Range Electric Load and Generation Requirements .......................................... 14-3  Table 21: High-Range Electric Load and Generation Requirements ........................................ 14-4  Table 22: Low-Range Electric Load and Generation Requirements ......................................... 14-5  Table 23: Assumptions used in Economic Evaluation .............................................................. 14-6  Table 24: Mid-Range, Economic Evaluation of Alternatives .................................................... 14-8  Table 25: High-Range, Economic Evaluation of Alternatives .................................................. 14-8  Table 26: Low-Range, Economic Evaluation of Alternatives ................................................... 14-8  List of Exhibits 1. Kisaralik River and Chikuminuk Lake Regional Map 2. Kisaralik River and Chikuminuk Lake Location Map 3. Kisaralik River and Chikuminuk Lake Drainage Basin Boundaries 4. Kisaralik River and Chikuminuk Lake Regional Geological Map 5. Chikuminuk Lake Conceptual Project Plan 6. Upper Falls Conceptual Project Plan 7. Lower Falls Conceptual Project Plan 8. Golden Gate Falls Conceptual Project Plan 9. Cost Estimates 10. Construction Schedule This page left blank intentionally. 1-1 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 1 Introduction The electrical supply in the Bethel area is heavily dependent on diesel generation. The cost of electricity production is high, given the market price of diesel fuel and the transportation costs associated with hauling diesel fuel to the point of use. Hydroelectric generating possibilities located to serve Bethel area electrical demands have been identified in previous studies (see below). Recently (in year 2010), the Association of Village Council Presidents Regional Housing Authority (AVCP RHA) received grant funding from the Alaska Energy Authority to conduct preliminary studies of candidate hydropower projects in southwest Alaska. This report documents the results of the studies. Harza (now known as MWH) previously conducted a preliminary study of Bethel area hydropower possibilities in 1982. The 1982 study identified seven possible locations following multiple screenings of 12 potential sites. The current study, as described in this report, addresses four of the identified project sites with respect to current construction, environmental, and geologic conditions. The evaluated project sites include one located at the outlet of Chikuminuk Lake on the Allen River, and three sites on the Kisaralik River located at Upper Falls, Lower Falls and Golden Gate Falls. The candidate projects could serve the Bethel and some surrounding communities in the lower Kuskokwim area, assuming a transmission line of approximately 57 to 118 miles in length can be constructed. The sites have been studied considering a target a generation capacity of about 15 to 30 megawatts (MW), which appears to be consistent with the anticipated needs of the communities, and is consistent with the water flow and hydropower capabilities of the sites. 1.1 Scope of Work The objective of this study is to develop a body of information on each candidate project, and to determine if there is an economically attractive option warranting further investigation. The scope includes the tasks described below. The work under each task is discussed in subsequent sections of this report. 1.1.1 Hydrology Study As part of the study, available USGS flow data from the Kuskokwim region were gathered, with a focus on the Kisaralik River and Chikuminuk Lake area. Flow data from selected USGS gaging stations were used to derive estimated monthly flows at each of the potential project sites. A planning-level power study model was used to determine average annual generation and the monthly distribution of generation for the candidate projects. 1-2 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 1.1.2 Assess Existing Conditions Available studies and documentation were gathered to enable a review of existing and past proposals for Kisaralik River and Chikuminuk projects. Two members of the MWH project study team – a civil engineer and an engineering geologist – performed a site reconnaissance. These tasks were the basis for the preliminary development of potential project layouts. 1.1.3 Develop Feasible Layout Preliminary layouts were developed based on the constraints, opportunities and risks identified during the review of previous reports and site visits, along with the review of available river flows determined during the hydrology study. This task did not involve any feature optimization studies or cost/economic comparisons between alternative designs; those detailed refinement studies would need to be performed under future phases of study, if any. 1.1.4 Schedule and Costs A generalized schedule was prepared to include licensing and permitting, design, bidding, and the major work packages; this provided the basis for estimating the construction duration for each of the four potential projects. The construction costs for the major work packages were estimated using MWH’s in-house cost database. Particular attention was given to those areas having the greatest likelihood of cost significance and impact. Cost estimates were checked against vendor quotes for major equipment based on the preliminary designs. The final estimate is presented as an AACE Class 5 cost estimate. 1.1.5 Geotechnical Analysis For this study, previous documentation was used to make a general assessment of geotechnical risks. Observations during the site visit – along with the review of previous reports – served as the basis for recommending future site investigations, should any of the projects move forward. 1.1.6 Land Status and Transmission Line Routing The projects would require overland transmission lines to interconnect with the load center in Bethel; land jurisdiction and land ownership are two important considerations that impact the cost and feasibility of developing a site. Transmission routing and land status issues are discussed in the study. 1-3 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 1.1.7 Environmental Permitting Analysis There are several regulatory approvals and permits necessary to facilitate approval of a hydroelectric project, which are described in this report. This study also summarizes the likely extent of issues surrounding fisheries, fish passage, terrestrial habitat, wetlands, cultural resources and other resource associated with the candidate project sites. Permits and approvals are evaluated for implications on schedule and cost. More in-depth studies would need to be performed (as a future study) if any of the projects are considered suitable for further consideration. 1.1.8 Economic Feasibility Analysis The economic feasibility analysis consists of assessing the cost of the future electric system considering a diesel only future in comparison with a future containing a candidate hydropower project. A regional power and energy requirements forecast was used to estimate the annual generation requirements. Based on the forecast, the net present value of the diesel only future was developed. Similarly, the net present value of a diesel and hydro future was developed to test the economic attractiveness of implementing candidate hydro projects. The general objective of the economic analysis was to determine if a candidate project appeared to have economic viability, and thus be considered for more detailed study. 1.1.9 Regional Wholesale Utility Planning and Development The opportunity for a shared electric power resource throughout the region suggests power supply development on a joint basis among the communities, utilities and other parties associated with the Kuskokwim region. A variety of entities will be involved, each with a unique perspective, including regional nonprofit organizations, tribal governments, investor-owned and rural electric utilities, and individual villages. The study has included identification of various options for the character of a wholesale entity, such as a joint action agency, generation and transmission cooperative, municipal authority, or other non-profit option. 1.2 Organization of the Report The report is organized to address the topics covered in the scope of work by subject, rather than by candidate project. For example, the hydrology section in this report documents the work that was done with respect to the hydrological studies for all four sites. Similarly, the description of the regional geological setting and the specifics relevant to each candidate site are discussed in a single section. The alternative to this approach would be to develop sections for each site independently, and describe all factors for each of the candidate sites, but the discussion becomes lengthy and repetitive. Organizing by subject rather than by site avoids the potential for inconsistent site by site descriptions and facilitated the reporting and review process. Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 1-4 May 2011 Therefore, the organization of the report is as follows: Section 2 Previous Studies Section 3 Land Use and Environmental Constraints Section 4 Hydrological Studies and Setting Section 5 Physical Setting Section 6 Site Specific Geological Assessments Section 7 Project Concepts Section 8 Transmission Line Planning Section 9 Fish Passage Considerations Section 10 Environmental and Permitting Analysis Section 11 Energy Generation Estimates Section 12 Opinion of Probable Construction Cost Section 13 Scheduling Summary Section 14 Economic Feasibility Review Section 15 Regional Wholesale Utility Planning and Development Section 16 References Section 17 Exhibits Section 18 Public Meeting 2-1 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 2 Previous Studies There have been numerous studies focusing on the potential for hydropower development in Alaska, dating back in 1948 when the United States Bureau of Reclamation (USBR) conducted its first statewide reconnaissance. Specific sites near the Bethel area have been the subject of studies since the mid-1970s. These studies include: A Regional Electric Power System for the Lower Kuskokwim Vicinity, A Preliminary Feasibility Assessment prepared for the United States Department of the Interior, by Robert W. Retherford Associates, July 1975. Small Hydroelectric Inventory of Villages served by Alaska Village Electric Cooperative, United States Department of Energy, Alaska Power Administration, December 1979. Small-scale Hydropower Reconnaissance Study, Southwest Alaska, Department of the Army, Alaska District, Corps of Engineers, Anchorage, Alaska, R.W. Beck and Associates, April 1981. Reconnaissance Study of the Kisaralik River Hydroelectric Power Potential and Alternate Electric Energy Resources in the Bethel Area, prepared for the Alaska Power Authority, by Robert W. Retherford Associates, March 1980. Application for Preliminary Permit, Kisaralik Hydroelectric Project, prepared for the Alaska Power Authority, by Robert W. Retherford Associates, April 1980. Bristol Bay Regional Power Plan, Detailed Feasibility Analysis, Interim Feasibility Assessment, Stone and Webster Engineering Corporation, July 1982. Bethel Area Power Plan, Feasibility Assessment, Harza Engineering Company, December 1982. The 1975 report included recommendations to proceed with studies for potential small-hydro sites near the villages surrounding Bethel and consider studies for the development of the Kisaralik River (Lower Falls) Hydroelectric Project. Two small-hydro studies were initiated and completed during the following six years. The 1979 Alaska Power Administration / Alaska Village Electric Cooperative studies did not identify any hydroelectric projects near the villages within the study region. The 1981 Corps of Engineers small-hydro inventory of southwestern Alaska identified several potential hydropower sites, but none were located in the Yukon-Kuskowim Delta area. These studies concluded that feasible development of small-hydro in the delta area is severely limited by the gentle gradients of the streams and rivers of the area. The 1980 reconnaissance level studies on the Kisaralik River (Lower Falls) Hydroelectric Project identified a development that would comprise a 300-foot high rockfill dam and spillway near Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 2-2 May 2011 Lower Falls on the Kisaralik River and an underground power station with two 15-MW units. The estimated average annual energy generation was 186,900 MWh. In April 1980, an application for a FERC preliminary permit for this project was submitted. The July 1982 report on the Bristol Bay regional power studies identified the Chikuminuk Lake Hydroelectric Project. This development would comprise a 100-foot high rockfill dam and spillway on the Allen River downstream of Chikuminuk Lake and a power station with two 8- MW units. The estimated average annual energy generation was 76,100 MWh. The December 1982 Harza report on potential sites for hydropower development in the Bethel area consisted of three successive screenings; the first screening was performed by utilizing available maps and published information. Two sites were identified from previous studies and ten sites were located on U.S. Geological Survey (USGS) topographic maps. The 12 preliminary sites were reduced to 7 sites on the basis of broad-scale engineering criteria. The second screening was conducted by evaluating the 7 sites based on estimated construction cost, developed by means of parametric cost curves. In the third screening, conceptual project plans were made for each of the 7 sites, and the sites were evaluated based on environmental, geologic and cost estimates based on quantity takeoffs. The preferred site was selected as having lower construction and economic costs and less environmental constraints on project development. In this study, the preferred site was deemed to be the Chikuminuk Lake site; the estimated firm, secondary and average energy production was 39, 21, and 60 GWh per year, respectively. 3-1 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 3 Land Use and Environmental Constraints There are several regulatory approvals and permits necessary to facilitate development of a hydroelectric project on the Kisaralik River or at Chikuminuk Lake. The governing approval process is licensing under Federal Energy Regulatory Commission (FERC) regulations. Key milestones2 of the FERC licensing process, which are detailed in Section 10 of this document, include the development of a Pre-Application document (PAD), filing a notice of intent (NOI), development and finalization of study plans in coordination with resource agencies, implementation of environmental studies, preparation of a Preliminary Licensing Proposal (PLP) or Draft License Application (DLA), preparation of a Final License Application (FLA), and issuance of a Section 401 (Clean Water Act) Water Quality Certification. Additional State and Federal permits would be required. These include a State fish habitat permit, a State water right, and a Federal dredge and fill permit. As described in Section 9, the Kisaralik River supports king, sockeye, pink, coho and chum salmon. Other important freshwater resident species include whitefish, sheefish, Alaska blackfish, burbot, northern pike, Dolly Varden, rainbow trout, and grayling. The effects of the hydroelectric project(s) on these fish species would be mitigated by the development of fish passage facilities (see Section 9). The Yukon Delta National Wildlife Refuge (YDNWR), in which the Kisaralik River hydroelectric project(s) would be located, supports one of the largest aggregations of water birds in the world. Nineteen species of raptors have been recorded on the refuge, including golden eagles, bald eagles, and peregrine falcons. The Kisaralik River is important for nesting raptors and supports one of the densest breeding populations of breeding golden eagles in North America. In recent years, caribou have migrated onto the eastern portions of the YDNWR during the fall and winter. The ancestral home of the Yup’ik Eskimo, the YDNWR includes more than 40 Yup’ik villages whose residents continue to live a largely subsistence lifestyle. Kisaralik River hydroelectric project development may be permissible in the YDNWR, as there are no explicit prohibitions in the National Wildlife Refuge System Administration Act of 1966 or in the National Wildlife System Improvement Act of 1997. The permissibility of hydroelectric project construction and operation would be determined by the Secretary of the Interior on a case-by-case basis under existing law. Salmon do not migrate into Chikuminuk Lake. While resident fish are not plentiful in the lake, rainbow trout, Arctic char, grayling, and lake trout are present. The effects of the hydroelectric project on these fish species would be mitigated by the development of fish passage facilities. Moose, caribou, black bear, and brown bear are present in the project vicinity. Chikuminuk Lake is within Wood-Tikchik State Park. The area proposed for hydroelectric development has been designated as “Wilderness”, meaning that it should have no man-made conveniences, except for the most primitive of trails, minimum trail maintenance, and signing. The extent to which hydroelectric development could be successful at Chikuminuk Lake will depend on the nature and types of facilities at or near the lake (or on Allen River) along with the Park’s desire to amend its management plan. Additionally, initial research indicates that one or more private in- holdings within the Park boundary may be impacted by a hydroelectric development. A detailed 2 Filing an application to obtain a FERC Preliminary Permit is an optional initial step, and not necessarily required, although it is a prudent action to maintain development rights to the site while studies are in progress. Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 3-2 May 2011 site control study for the entire project area (including potentially flooded areas and transmission line routes) should be conducted if feasibility-level analyses are pursued. 4-1 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 4 Hydrological Studies and Setting 4.1 Streamflow Long-term monthly flow data at the potential dam sites are necessary as the basic input data to power studies from which the energy generation estimates are developed. U.S. Geologic Survey (USGS) records indicate there has been one gaging station on the Kisaralik River, located near the potential Upper Falls dam site, which existed for a period of 8 years. At the outlet of Chikuminuk Lake, a USGS gage existed near the potential dam site on the Allen River for a period of about 3 years. Because the minimum desirable period of flow data record for power studies is 30 years, flow data extension was performed by correlation with other streamflow data in the region. The USGS has developed a collection of streamflow gaging station records that are relatively free of regulation and diversion influences, for the purpose of studying the variation of streamflow (Slack and Landwehr 1992). This collection of data at 1,659 qualifying gaging stations throughout the United States is called the Hydro-Climatic Data Network (HCDN). From among the HCDN stations, the two closest stations to the potential dam sites in the region were selected to be used for the flow data extension. As shown in Table 1, these gaging stations were on the Nuyakuk and Nushagak rivers. It is noted that MWH has measured the drainage area at the Allen River gage as 348 square miles instead of the 270 square miles given by the USGS. On a runoff per unit area basis, the 348 square mile drainage area is more appropriate for the recorded runoff. Table 1: USGS Gaging Station Summary The computer program HEC-4 Monthly Streamflow Simulation was used to perform the streamflow record extension. HEC-4 is a multiple correlation program specifically developed by the Hydrologic Engineering Center (HEC) of the U.S. Army Corps of Engineers for the purpose of fill-in and extension of monthly streamflow records (HEC 1971). The HEC-4 analysis results in monthly flow data sets at the USGS gaging stations that have been filled-in and extended to a common period of record. The period of record chosen for use in the power studies was the 42 calendar years, from 1954 through 1995, because a continuous flow record for this period was available at the Nuyakuk River station. The USGS gaging stations on the Allen River and Kisaralik River are essentially at the Chikuminuk Lake and Upper Falls dam sites, which means the HEC-4 results can be used without adjustment as reservoir inflows at these dam sites. After a review of available USGS Drainage Average Flood of Gage Gage Name Area Latitude Longitude Flow Record Available Number (sq.mi.)(cfs) (cfs)Period of Record 15304200 Kisaralik River near Akiak 265 60 o21'10" 159 o55'00" 882 5,520 8 years: Oct. 1979 - Sept 1987 15301500 Allen River near Aleknagik 348 (1) 60 o09'00" 158 o44'00" 1,494 7,930 3+ years: July 1963 - Sept 1966 15302000 Nuyakuk River near Dillingham 1,490 59 o56'08" 158 o11'16" 6,351 32,200 47 years: 1953 - 2009, intermittent 15302500 Nushagak River at Ekwok 9,850 59 o20'57" 157 o28'23" 23,511 117,000 16 years: Oct 1977 - Sept 1993 Note: (1) The drainage area listed by the USGS is 270 sq.mi., but the MWH measured drainage area is 348 sq. mi. 4-2 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report topographic maps and aerial photographs, the monthly flows at the Kisaralik River Upper Falls dam site were adjusted to the Lower Falls and Golden Gate Falls dam sites based on the ratio of drainage areas. The drainage areas are 264 square miles at the Upper Falls dam site, 510 square miles at the Lower Falls dam site, 559 square miles at the Golden Gate Falls dam site, and 348 square miles at the Chikuminuk Lake dam site. The resulting monthly flow data sets are provided below (Table 2 through Table 5 and Figure 1 through Figure 6). Figure 1: Average Monthly Flow, 1954 – 1995 4-3 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report Figure 2: Flow Duration Curves, Monthly Data 1954 – 1995 Figure 3: Chikuminuk Low, Average, High Monthly Flow (cfs) 4-4 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report Figure 4: Upper Falls Low, Average, High Monthly Flow (cfs) Figure 5: Lower Falls Low, Average, High Monthly Flow (cfs) 4-5 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report Figure 6: Golden Gate Falls Low, Average, High Monthly Flow (cfs) 4-6 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report Table 2: Flow (cfs) at Allen River Dam Site Below Chikuminuk Lake Year Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Annual 1954 457 386 279 267 507 3,511 2,642 866 1,422 1,016 471 407 1,020 1955 389 355 362 293 526 4,058 3,890 2,428 2,704 1,356 546 489 1,454 1956 449 344 340 283 523 4,780 3,073 2,161 2,776 1,448 570 461 1,436 1957 434 359 304 268 540 4,261 2,861 1,393 1,649 1,678 607 393 1,231 1958 347 393 374 355 667 4,853 3,455 2,444 1,610 977 506 550 1,381 1959 478 369 290 266 467 4,309 2,969 1,648 1,393 1,528 563 464 1,231 1960 432 387 301 261 501 4,656 3,327 2,196 2,245 1,376 601 461 1,398 1961 455 388 295 270 588 4,511 3,008 1,892 1,730 1,673 595 551 1,333 1962 485 374 287 277 505 4,647 3,240 2,107 2,387 1,186 534 539 1,383 1963 482 346 327 305 531 4,446 2,966 1,492 2,239 1,071 478 571 1,272 1964 474 406 314 255 339 4,870 2,908 1,986 2,039 1,571 625 520 1,360 1965 460 400 370 348 494 4,702 3,476 2,132 4,554 1,576 569 460 1,628 1966 400 350 300 260 367 3,900 3,226 2,010 2,300 1,731 618 405 1,325 1967 399 342 308 322 509 4,071 2,883 1,629 1,282 1,514 589 677 1,214 1968 499 363 327 266 457 3,849 2,918 2,047 2,221 1,407 503 539 1,286 1969 482 390 318 265 494 4,921 3,036 2,119 2,597 1,652 621 393 1,442 1970 384 361 284 269 521 4,622 3,186 2,449 1,578 1,226 510 586 1,335 1971 491 373 311 292 533 4,377 3,184 2,478 1,629 1,661 599 458 1,370 1972 447 367 312 261 410 4,340 3,522 2,496 3,338 1,403 611 408 1,495 1973 412 348 280 283 476 4,570 3,409 2,292 1,707 1,503 555 575 1,371 1974 490 395 343 283 499 4,207 2,831 2,127 1,378 1,495 561 471 1,260 1975 446 387 375 265 505 4,371 3,314 2,079 1,281 1,358 529 489 1,287 1976 468 381 288 266 450 4,174 3,061 2,159 1,892 1,664 610 439 1,324 1977 431 397 341 276 469 4,858 4,026 2,596 2,162 1,572 545 457 1,515 1978 452 386 288 292 783 4,516 3,185 1,965 2,237 1,274 543 470 1,368 1979 433 383 329 349 978 4,759 3,039 2,256 1,610 1,670 611 389 1,404 1980 372 379 296 374 1,011 4,912 3,202 2,463 1,617 1,678 617 437 1,451 1981 453 399 299 332 616 4,819 2,833 2,100 1,351 802 477 480 1,248 1982 444 365 362 301 540 4,815 3,332 2,166 2,151 1,246 578 457 1,399 1983 444 368 298 278 577 4,854 3,126 2,070 1,530 1,405 521 424 1,327 1984 389 359 323 304 536 4,103 3,271 2,058 1,513 921 461 564 1,237 1985 486 326 292 273 510 4,524 3,262 2,433 1,647 1,624 579 511 1,377 1986 469 384 277 277 486 3,871 3,623 2,510 2,811 1,569 652 482 1,455 1987 458 388 356 293 536 4,655 3,527 2,549 1,579 1,066 543 485 1,373 1988 445 359 290 289 710 4,912 3,239 2,316 1,993 901 560 560 1,383 1989 488 376 319 285 505 4,712 3,229 2,450 2,328 1,631 633 484 1,456 1990 476 338 278 395 890 4,251 2,905 1,251 1,466 1,425 576 505 1,232 1991 480 392 392 354 901 4,658 2,906 2,026 2,106 1,769 624 458 1,425 1992 448 391 294 312 666 4,228 3,402 2,413 1,573 856 497 581 1,309 1993 493 385 315 339 1,007 4,651 2,962 1,787 1,739 1,622 572 426 1,361 1994 416 382 280 355 859 4,793 3,275 2,124 1,389 1,653 614 487 1,389 1995 466 356 298 341 1,145 4,690 3,058 1,969 2,832 1,589 589 446 1,484 Average 448 373 315 298 598 4,490 3,185 2,098 1,990 1,413 566 486 1,358 Maximum 499 406 392 395 1,145 4,921 4,026 2,596 4,554 1,769 652 677 1,628 Minimum 347 326 277 255 339 3,511 2,642 866 1,281 802 461 389 1,020 4-7 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report Table 3: Flow (cfs) at Kisaralik River Upper Falls Dam Site Year Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Annual 1954 227 220 176 156 430 2,283 1,533 556 537 460 315 243 595 1955 211 198 165 193 1,244 2,618 1,876 1,036 1,035 608 214 154 799 1956 173 177 111 121 1,068 3,158 2,055 841 988 633 329 253 827 1957 200 174 154 145 429 2,492 2,017 631 574 835 934 496 758 1958 279 243 208 309 1,295 2,907 2,016 1,399 1,066 468 170 150 878 1959 183 177 151 126 581 2,541 1,777 538 649 797 621 324 707 1960 242 221 218 290 469 2,079 1,519 1,200 760 585 297 200 675 1961 188 197 155 158 504 1,482 1,374 733 746 1,097 493 273 619 1962 224 206 198 267 921 2,412 1,617 1,009 887 555 180 159 721 1963 171 192 153 197 1,155 3,075 1,954 495 884 491 159 111 754 1964 127 133 133 82 741 2,488 1,973 1,196 937 1,414 403 227 825 1965 206 180 108 150 1,043 2,869 1,806 598 961 1,497 401 252 842 1966 225 223 190 178 654 2,128 1,522 721 919 3,245 1,038 491 966 1967 291 233 162 261 1,148 2,779 1,754 733 630 833 289 234 781 1968 163 175 80 102 740 2,203 1,385 574 1,033 647 203 151 622 1969 156 171 143 147 615 2,260 1,952 800 794 2,581 2,212 803 1,057 1970 318 267 224 242 441 2,896 2,186 1,319 1,169 509 134 114 820 1971 120 134 62 85 928 3,133 2,336 1,481 1,046 1,420 679 359 986 1972 245 228 186 176 947 3,531 2,841 1,960 1,254 842 494 351 1,092 1973 303 261 207 248 854 2,522 1,873 1,045 1,004 704 231 182 788 1974 166 177 160 181 1,055 3,651 3,315 1,432 814 637 223 196 1,005 1975 204 203 120 106 497 2,461 1,516 900 745 528 242 181 643 1976 193 185 159 149 1,015 3,545 2,285 1,003 1,040 716 529 252 924 1977 234 210 181 174 834 2,908 2,258 1,761 1,416 875 517 349 980 1978 305 267 222 333 736 1,827 1,621 570 958 653 286 249 670 1979 206 201 134 149 921 2,786 1,872 935 761 2,606 2,020 713 1,113 1980 302 243 221 332 1,067 3,432 3,205 1,438 930 1,330 775 378 1,143 1981 297 274 233 322 1,918 2,869 1,980 1,082 638 463 276 171 880 1982 165 165 165 165 640 3,070 2,396 863 1,226 586 208 175 820 1983 172 170 160 163 1,115 2,625 1,509 716 435 681 303 241 693 1984 230 220 208 196 441 1,548 1,354 556 565 519 163 130 512 1985 127 125 121 125 568 2,301 2,070 1,388 971 1,026 319 240 786 1986 230 220 210 223 746 3,423 2,785 1,507 1,065 796 440 234 993 1987 220 210 200 197 1,374 3,069 2,189 1,059 755 500 220 169 850 1988 182 170 133 129 865 2,602 2,111 963 1,021 458 171 140 748 1989 166 164 151 177 861 2,475 1,698 1,312 1,752 943 448 361 878 1990 272 245 159 205 2,742 3,350 2,104 651 962 654 213 179 982 1991 189 162 137 191 892 3,452 2,704 1,090 826 3,284 720 272 1,167 1992 264 242 221 332 983 2,248 1,633 1,078 1,088 375 126 124 728 1993 139 133 145 151 514 1,000 1,117 560 1,362 2,019 1,901 437 792 1994 290 251 189 285 1,214 2,745 1,767 695 775 1,153 653 320 864 1995 249 228 130 171 817 2,442 2,133 1,031 1,252 959 425 359 852 Average 216 202 165 193 905 2,659 1,976 987 934 1,000 499 271 837 Maximum 318 274 233 333 2,742 3,651 3,315 1,960 1,752 3,284 2,212 803 1,167 Minimum 120 125 62 82 429 1,000 1,117 495 435 375 126 111 512 4-8 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report Table 4: Flow (cfs) at Kisaralik River Lower Falls Dam Site Year Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Annual 1954 437 423 339 300 828 4,394 2,950 1,070 1,033 885 606 468 1,146 1955 406 381 318 371 2,394 5,038 3,610 1,994 1,992 1,170 412 296 1,537 1956 333 341 214 233 2,055 6,078 3,955 1,619 1,901 1,218 633 487 1,592 1957 385 335 296 279 826 4,796 3,882 1,214 1,105 1,607 1,798 955 1,460 1958 537 468 400 595 2,492 5,595 3,880 2,692 2,052 901 327 289 1,691 1959 352 341 291 242 1,118 4,890 3,420 1,035 1,249 1,534 1,195 624 1,360 1960 466 425 420 558 903 4,001 2,923 2,309 1,463 1,126 572 385 1,299 1961 362 379 298 304 970 2,852 2,644 1,411 1,436 2,111 949 525 1,191 1962 431 396 381 514 1,772 4,642 3,112 1,942 1,707 1,068 346 306 1,388 1963 329 370 294 379 2,223 5,918 3,761 953 1,701 945 306 214 1,451 1964 244 256 256 158 1,426 4,788 3,797 2,302 1,803 2,721 776 437 1,588 1965 396 346 208 289 2,007 5,521 3,476 1,151 1,849 2,881 772 485 1,620 1966 433 429 366 343 1,259 4,095 2,929 1,388 1,769 6,245 1,998 945 1,859 1967 560 448 312 502 2,209 5,348 3,376 1,411 1,212 1,603 556 450 1,503 1968 314 337 154 196 1,424 4,240 2,665 1,105 1,988 1,245 391 291 1,197 1969 300 329 275 283 1,184 4,349 3,757 1,540 1,528 4,967 4,257 1,545 2,034 1970 612 514 431 466 849 5,573 4,207 2,538 2,250 980 258 219 1,577 1971 231 258 119 164 1,786 6,030 4,496 2,850 2,013 2,733 1,307 691 1,898 1972 472 439 358 339 1,823 6,796 5,468 3,772 2,413 1,620 951 676 2,102 1973 583 502 398 477 1,644 4,854 3,605 2,011 1,932 1,355 445 350 1,517 1974 319 341 308 348 2,030 7,026 6,380 2,756 1,567 1,226 429 377 1,934 1975 393 391 231 204 956 4,736 2,918 1,732 1,434 1,016 466 348 1,237 1976 371 356 306 287 1,953 6,822 4,398 1,930 2,002 1,378 1,018 485 1,779 1977 450 404 348 335 1,605 5,597 4,346 3,389 2,725 1,684 995 672 1,885 1978 587 514 427 641 1,416 3,516 3,120 1,097 1,844 1,257 550 479 1,290 1979 396 387 258 287 1,772 5,362 3,603 1,799 1,465 5,015 3,888 1,372 2,141 1980 581 468 425 639 2,053 6,605 6,168 2,767 1,790 2,560 1,492 727 2,199 1981 572 527 448 620 3,691 5,521 3,811 2,082 1,228 891 531 329 1,694 1982 318 318 318 318 1,232 5,908 4,611 1,661 2,359 1,128 400 337 1,579 1983 331 327 308 314 2,146 5,052 2,904 1,378 837 1,311 583 464 1,334 1984 443 423 400 377 849 2,979 2,606 1,070 1,087 999 314 250 985 1985 244 241 233 241 1,093 4,428 3,984 2,671 1,869 1,975 614 462 1,512 1986 443 423 404 429 1,436 6,588 5,360 2,900 2,050 1,532 847 450 1,911 1987 423 404 385 379 2,644 5,906 4,213 2,038 1,453 962 423 325 1,635 1988 350 327 256 248 1,665 5,008 4,063 1,853 1,965 881 329 269 1,439 1989 319 316 291 341 1,657 4,763 3,268 2,525 3,372 1,815 862 695 1,689 1990 523 472 306 395 5,277 6,447 4,049 1,253 1,851 1,259 410 344 1,889 1991 364 312 264 368 1,717 6,643 5,204 2,098 1,590 6,320 1,386 523 2,245 1992 508 466 425 639 1,892 4,326 3,143 2,075 2,094 722 242 239 1,400 1993 268 256 279 291 989 1,925 2,150 1,078 2,621 3,886 3,659 841 1,524 1994 558 483 364 548 2,336 5,283 3,401 1,338 1,492 2,219 1,257 616 1,662 1995 479 439 250 329 1,572 4,700 4,105 1,984 2,410 1,846 818 691 1,640 Average 415 388 318 371 1,742 5,118 3,803 1,900 1,798 1,924 961 522 1,610 Maximum 612 527 448 641 5,277 7,026 6,380 3,772 3,372 6,320 4,257 1,545 2,245 Minimum 231 241 119 158 826 1,925 2,150 953 837 722 242 214 985 4-9 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report Table 5: Flow (cfs) at Kisaralik River Golden Gate Falls Dam Site Year Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Annual 1954 479 464 371 329 907 4,816 3,234 1,173 1,133 970 664 513 1,256 1955 445 418 348 407 2,624 5,522 3,957 2,185 2,183 1,283 451 325 1,684 1956 365 373 234 255 2,253 6,662 4,335 1,774 2,084 1,335 694 534 1,745 1957 422 367 325 306 905 5,257 4,255 1,331 1,211 1,761 1,970 1,046 1,600 1958 589 513 439 652 2,732 6,132 4,253 2,951 2,249 987 359 316 1,853 1959 386 373 319 266 1,226 5,360 3,748 1,135 1,369 1,681 1,310 683 1,491 1960 510 466 460 612 989 4,386 3,204 2,531 1,603 1,234 627 422 1,424 1961 397 416 327 333 1,063 3,126 2,898 1,546 1,574 2,314 1,040 576 1,306 1962 473 435 418 563 1,943 5,088 3,411 2,128 1,871 1,171 380 335 1,522 1963 361 405 323 416 2,436 6,487 4,122 1,044 1,865 1,036 335 234 1,591 1964 268 281 281 173 1,563 5,248 4,162 2,523 1,977 2,983 850 479 1,741 1965 435 380 228 316 2,200 6,052 3,810 1,261 2,027 3,158 846 532 1,776 1966 475 470 401 375 1,380 4,489 3,211 1,521 1,939 6,845 2,190 1,036 2,038 1967 614 491 342 551 2,422 5,862 3,700 1,546 1,329 1,757 610 494 1,648 1968 344 369 169 215 1,561 4,647 2,922 1,211 2,179 1,365 428 319 1,312 1969 329 361 302 310 1,297 4,767 4,118 1,688 1,675 5,444 4,666 1,694 2,229 1970 671 563 473 510 930 6,109 4,611 2,782 2,466 1,074 283 240 1,729 1971 253 283 131 179 1,958 6,609 4,928 3,124 2,206 2,995 1,432 757 2,080 1972 517 481 392 371 1,998 7,448 5,993 4,134 2,645 1,776 1,042 740 2,303 1973 639 551 437 523 1,801 5,320 3,951 2,204 2,118 1,485 487 384 1,662 1974 350 373 338 382 2,225 7,702 6,993 3,021 1,717 1,344 470 413 2,120 1975 430 428 253 224 1,048 5,191 3,198 1,898 1,572 1,114 510 382 1,356 1976 407 390 335 314 2,141 7,478 4,820 2,116 2,194 1,510 1,116 532 1,950 1977 494 443 382 367 1,759 6,134 4,763 3,715 2,987 1,846 1,091 736 2,067 1978 643 563 468 702 1,553 3,854 3,419 1,202 2,021 1,377 603 525 1,414 1979 435 424 283 314 1,943 5,877 3,949 1,972 1,605 5,497 4,261 1,504 2,347 1980 637 513 466 700 2,251 7,240 6,761 3,033 1,962 2,806 1,635 797 2,410 1981 627 578 491 679 4,046 6,052 4,177 2,282 1,346 977 582 361 1,857 1982 348 348 348 348 1,350 6,476 5,054 1,820 2,586 1,236 439 369 1,730 1983 363 359 338 344 2,352 5,537 3,183 1,510 918 1,437 639 508 1,462 1984 485 464 439 413 930 3,265 2,856 1,173 1,192 1,095 344 274 1,080 1985 268 264 255 264 1,198 4,854 4,367 2,928 2,048 2,164 673 506 1,657 1986 485 464 443 470 1,574 7,221 5,875 3,179 2,247 1,679 928 494 2,095 1987 464 443 422 416 2,898 6,474 4,618 2,234 1,593 1,055 464 356 1,792 1988 384 359 281 272 1,825 5,489 4,453 2,031 2,154 966 361 295 1,577 1989 350 346 319 373 1,816 5,221 3,582 2,768 3,696 1,989 945 762 1,852 1990 574 517 335 432 5,784 7,067 4,438 1,373 2,029 1,380 449 378 2,071 1991 399 342 289 403 1,882 7,282 5,704 2,299 1,742 6,927 1,519 574 2,461 1992 557 510 466 700 2,074 4,742 3,445 2,274 2,295 791 266 262 1,535 1993 293 281 306 319 1,084 2,109 2,356 1,181 2,873 4,259 4,010 922 1,670 1994 612 529 399 601 2,561 5,790 3,727 1,466 1,635 2,432 1,377 675 1,822 1995 525 481 274 361 1,723 5,151 4,499 2,175 2,641 2,023 897 757 1,798 Average 455 426 349 406 1,910 5,609 4,168 2,082 1,970 2,109 1,053 572 1,765 Maximum 671 578 491 702 5,784 7,702 6,993 4,134 3,696 6,927 4,666 1,694 2,461 Minimum 253 264 131 173 905 2,109 2,356 1,044 918 791 266 234 1,080 4-10 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 4.2 Flood Hydrology The objective of the flood hydrology analysis is to develop inflow design floods for use in the preliminary design of spillways at each of the four potential dam sites. Based on the high value of the potential hydroelectric project facilities and the potential for downstream damages, the Probable Maximum Flood (PMF) was selected as the inflow design flood. For the potential Kisaralik River reservoirs, the PMF inflow volume is large in comparison to the reservoir flood control storage, which means the spillway must be sized such that the PMF peak outflow is equal to the PMF peak inflow. For the Kisaralik River, only the peak PMF inflow values at the dam sites must be known to size the spillways. For Chikuminuk Lake, the storage volume in the lake is so great that it will provide substantial attenuation of even the PMF, which means that the entire PMF inflow hydrograph must be developed from the Probable Maximum Precipitation (PMP) and routed through the reservoir for alternative spillway sizes. At the current early stage of studies, developing the PMF by approximate means is acceptable. If one of the hydroelectric alternatives advances to a more detailed phase of studies, the PMF should be determined in accordance with FERC PMF guidelines (FERC 2001). 4.2.1 Probable Maximum Precipitation The PMF inflow hydrograph is developed from the PMP. The 24-hour PMP for the Kisaralik and Chikuminuk watersheds is obtained from Weather Bureau Technical Paper No. 47 (Miller 1963), but a 72-hour PMP is not available in this document. The more recent PMP Hydrometeorological Reports, developed by the National Weather Service, all include a 72-hour general storm PMP. Because the drainage basins involved are large and because inflow volume is critical to sizing the Chikuminuk spillway, a 72-hour PMP was developed for Chikuminuk Lake. Based on guidance provided by the National Weather Service for Southeast Alaska in Hydrometeorological Report No. 54 (Schwartz and Miller 1983), the 72-hr/24-hr PMP depth ratio was estimated to be 1.70. The first 24-hours of the 72-hour PMP was assumed to include 40% of the 24-hour PMP and the last 24-hours of the 72-hour PMP was assumed to include 30% of the 24-hour PMP. Where total inflow volume is most critical, rather than the PMF peak inflow, a flood antecedent to the PMF can be used. For the Chikuminuk Lake PMF, the storm sequence was assumed to be, (1) a 24-hour, 100-year storm, followed by (2) 3 days with no rainfall, followed by (3) the 72-hour PMP (FERC 2001). Based on Technical Paper No. 47, the 24-hour, 10 square mile (point) PMP for the Chikuminuk Lake watershed would be 14.0 inches and the 6-hour point PMP is 9.0 inches. Using the 72- hr/24-hr ratio from above, the 72-hour point PMP would be 23.8 inches. Including areal reduction factors, the average rainfall over the 348 square mile watershed would be 12.4 inches for 24-hours and about 21.1 inches for 72-hours. Also from Technical Paper No. 47, the 100- year, 24-hour point rainfall is 3.5 inches for Chikuminuk Lake and 5.5 to 5.7 inches in the Kisaralik River watersheds. 4-11 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 4.2.2 Chikuminuk Lake PMF The PMF inflow flood development and flood routing was performed with the HEC-1 Flood Hydrograph Package (HEC 1998) using a unit hydrograph methodology. Lag time is the key parameter that determines the timing of runoff from rainfall. The unit hydrograph lag time was based on a relationship found to be representative for general storms in the Rocky Mountains (Cudworth 198 ). tim ationship is: 9 The lag e rel ܮ௚ ൌ6.8ቀ௅௅೎ೌ ௌబ.ఱ ቁ଴.ଷଷ where: Lg = lag time, in hours; L = length of the longest watercourse from the point of concentration to the boundary of the drainage basin, in miles; Lca = length along L from the point of concentration to a point opposite the centroid of the drainage basin, in miles; and S = slope of L, in feet per mile. The Chikuminuk Lake watershed was divided into four sub-basins, as shown on Exhibit 3, where sub-basin 4 is the Chikuminuk Lake surface itself. The unit hydrograph parameters are presented on Table 6 with the PMF routing results for four alternative spillway widths shown on Table 7. Base flow of 13.1 cfs/sq mi was determined from the highest average monthly flow during September, the likely month of the PMP. Table 6: Chikuminuk Lake Unit Hydrograph Parameters Sub-Basin Sub-Basin Sub-Basin Sub-Basin 1234 Drainage Area (sq.mi.) 89 68.8 149.8 40 Drainage Length L (mi.) 7.3 7 32.5 ----- Length to Centroid (mi.) 3 3 16 ----- Elev. Diff. to Divide (ft) 2,900 2,050 4,200 ----- Slope (ft/mile)397 293 129 ----- Lag (hours) 7.0 7.3 24.0 ----- Base flow (cfs)1,166 901 1,963 ----- Parameter 4-12 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report Table 7: Chikuminuk Lake PMF Routing Summary For a dam with a 150-ft spillway crest length, the inflow and outflow hydrographs are shown on Figure 7. The spillway head is the reservoir level minus the crest level of the spillway. Figure 7: PMF Routing for Chikuminuk Lake – 150-ft Spillway It is suggested that the Chikuminuk Lake dam spillway should not have a crest length not less than 100 feet, and a minimum of 150 feet in length would be preferable (a 200-ft-wide spillway is indicated on the concept sketches described later in this report). Spillway Peak Peak Peak Head on Run Crest Length Inflow Outflow Spillway Crest No. (feet) (cfs) (cfs) (feet) 1 50 110,000 9,830 13.9 2 100 110,000 17,000 12.6 3 150 110,000 22,600 11.6 4 200 110,000 27,300 10.9 0 2 4 6 8 10 12 0 20,000 40,000 60,000 80,000 100,000 120,000 0 50 100 150 200 250 300 Spillway Head (feet)Flow (cfs)Hours Inflow (cfs) Outflow (cfs) Spillway Head (feet) 4-13 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 4.2.3 Kisaralik River PMF The PMF peak flows for the Kisaralik River utilized site specific information and estimates of the relationship between the PMF and the more easily estimated 100-year flood. At USGS gage 15304200, Kisaralik River near Akiak, there are 8 years of annual peak flow data. The 100-year flood was estimated using the log-Pearson type III (LP3) distribution fitted to the peak flow data. For extension of the flood frequency curve, the log skew parameter is very important. The more positive the log skew parameter is, the larger the rare floods will be, whereas a negative log skew would result in much lower rare flood estimates. The calculated log skew at the gaging station is -1.53, while the regional mean provided in Bulletin 17B log skew is 0.7 (Interagency Committee on Water Data 1982). As a conservative measure due to the relatively short period of record, a log skew coefficient of 0.7 was used for flood frequency estimates, which results in a 100-year flood estimate of 9,600 cfs. The flood frequency plot for the gaging station is shown on Figure 8. Figure 8: Flood Frequency for Kisaralik River at USGS Gage 15304200 For the 48 adjacent United States area, maps of the ratio of the PMP for 10 square miles to the 100-year frequency rainfall (both for 24-hour durations) have been developed. These PMP/100- yr rainfall ratios range between 2 and 6 (Committee on Safety Criteria for Dams 1985). For the Kisaralik River and Chikuminuk Lake watersheds, the calculated ratios are 2.5 to 4.0. From hydrologic principles, it could be expected that the ratio of the PMF to the 100-year flood would be of similar magnitude, which has been confirmed in detailed PMF studies. MWH has performed detailed PMF studies in mountainous areas of western Washington at locations where 1,000 10,000 -3 -2 -1 0 1 2 3Peak Flow (cfs)Standard Normal Variable Return Period (Years) 20010050201052 500 4-14 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report exceptionally long USGS gaging records are available (MWH 2002a, and MWH 2002b). These long USGS gaging records provide both sufficient flood hydrograph data from which unit hydrographs can be calibrated and verified and enough years of data such that the 100-year flood can be determined with greater precision than normal. This data is summarized in Table 8. Flood routing was performed for both the 100-year rainfall and the PMP for the four sub-basins tributary to Chikuminuk Lake, with the results also summarized in Table 8. After reviewing the data in Table 8, and considering that the ratio of the PMP/100-yr rainfall ratio is about 2.5 for the Kisaralik River, a conservative ratio of 4.0 was selected for the PMF/100-yr peak flows. For a 100-year flood of 9,600 cfs at the Upper Falls dam site, the estimated peak PMF inflow would be 38,400 cfs. Studies in Western Washington have shown that the PMF peak plots at roughly the 107-year flood, as summarized in Table 8. This type of frequency estimate can be used as an approximate check of other PMF calculations. Using the regional log skew of 0.7, this method estimates a PMF peak flow of 34,000 cfs at the Upper Falls site. Table 8: 100-Year Flood and PMF Comparison The 100-year flood of 9,600 cfs was estimated for the Upper Falls dam site, which has a drainage area essentially the same as at the USGS gaging station. The 100-year flood estimates were then adjusted to the other two dam sites with a drainage area adjustment factor based on the ratio of the drainages areas (A) raised to a power as follows: Drainage area adjustment factor ൌቀ஺భ ஺మ ቁ௡ Based on flood-of-record for USGS gages in Southwest Alaska and a regression equation for estimating peak flows (Lamke 1979) the exponent n was estimated to be 0.88. Using this drainage area adjustment factor and a PMF/100-year flood ratio of 4.0 yields the spillway design USGS Peak of Peak of 24-Hr PMP/100-yr Peak of Site Gage Drainage 100-Year 100-Year 100-Yr 24-Hr Peak of Peak of Point 24-Hour PMF Peak 10 7-Year Number Location Years of Area Flood Flood Point Rain PMF PMF PMP Point Rain to 100-Year Flood Reference Record (sq.mi.) (cfs) (cfs/sq.mi.) (inches) (cfs) (cfs/sq.mi.) (inches) Ratio Flood Ratio (cfs) 1 USGS Gage - Cowlitz River at Packwood, WA 89 287 44,700 156 8.05 147,200 513 22.67 2.82 3.29 128,000 MWH, 2002a 2 USGS Gage - Cispus River near Randle, WA 68 321 27,200 85 7.46 86,000 268 21.28 2.85 3.16 81,000 MWH, 2002a 3 USGS Gage - Cowlitz River near Kosmos, WA 36 1,040 105,000 101 7.68 321,800 309 21.70 2.83 3.06 362,000 MWH, 2002a 4 USGS Gage - Nisqually River near National, WA 67 132 22,970 174 8.21 96,600 732 25.13 3.06 4.21 73,000 MWH, 2002b 5 USGS Gage - Mineral Creek near Mineral, WA 67 75.2 13,600 181 8.05 37,900 504 22.16 2.75 2.79 33,000 MWH, 2002b 6 USGS Gage - Nuyakuk River near Dillingham, AK 47 1,490 32,900 22 3.50 N/A N/A 14.00 4.00 N/A 54,000 This report 7 Chikuminuk - Sub-basin 1 None 89.0 10,700 120 3.50 47,500 534 14.00 4.00 4.44 N/A This report 8 Chikuminuk - Sub-basin 2 None 68.8 8,300 121 3.50 36,700 533 14.00 4.00 4.42 N/A This report 9 Chikuminuk - Sub-basin 3 None 149.8 7,700 51 3.50 36,000 240 14.00 4.00 4.68 N/A This report 10 Chikuminuk - Sub-basin 4 None 40.0 12,500 313 3.50 50,100 1,253 14.00 4.00 4.01 N/A This report 11 Chikuminuk - All sub-basins None 347.6 23,600 68 3.50 110,000 316 14.00 4.00 4.66 N/A This report 12 Kisaralik River - Upper Falls Dam Site and USGS Gage 8 264 9,600 36 5.50 38,400 145 14.00 2.55 4.00 34,000 This report 13 Kisaralik River - Lower Falls Dam Site None 510 17,100 34 5.70 68,400 134 14.00 2.46 4.00 N/A This report 14 Kisaralik River - Golden Gate Falls Dam Site None 559 18,600 33 5.70 74,400 133 14.00 2.46 4.00 N/A This report Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report floods presented in Table 9. The Kisaralik River spillway design floods are the peak of the PMF inflow flood. The estimated spillway design flood flows are appropriate for preliminary design. If studies of hydroelectric projects at any of the potential dam sites progress to more detailed phases, more detailed PMF studies should also be performed. Table 9: Kisaralik River Spillway Design Floods Drainage Spillway Dam Site Area Design Flood (sq.mi.) (cfs) Upper Falls 264 38,400 Lower Falls 510 68,400 Golden Gate Falls 559 74,400 4.2.4 Comparison to Previous Studies In the prior study for the Kisaralik River watersheds (Harza 1982), the PMF peak inflows were given as 254,000 cfs for the Upper Falls dam site, 341,000 cfs for the Lower Falls dam site, and 356,000 cfs for the Golden Gate Falls dam site. These PMF estimates were based on Creager’s formula (Creager and Justin 1950) and a Creager “C” value of 120. Flood estimates from the current study are several times lower. The original data used to develop the Creager formula was reviewed. For drainage areas similar to the watersheds in this study, many of the maximum flood flows were from Texas, which is subject to tropical storms and hurricanes from the Gulf of Mexico. It is noted that the 24-hr PMP for Texas is as high as 47 inches, in comparison to 14 inches for the Kisaralik River and Chikuminuk Lake. It is concluded that using the Creager formula with a “C” of 120 will result in a PMF peak several times too high for the Alaskan watersheds considered in this study. 4-15 May 2011 This page left blank intentionally. 5-1 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 5 Physical Setting As part of the current reconnaissance-level evaluation, MWH conducted limited geologic study including a brief geologic reconnaissance of the four sites. Two MWH engineers conducted a site visit to the Chikuminuk Lake by float plane on September 17, 2010. The engineers conducted site visits to the Upper Falls, Lower Falls, and Golden Gate Falls by helicopter on September 18, 2010. 5.1 Location The candidate hydropower and associated transmission facilities would be located in the area mapped on the Bethel USGS 1:250,000 scale topographic map (quadrangle map) and the far western portion of the Taylor Mountain map. The eastern two-thirds of this area is the relatively rugged terrain of the Kilbuck Mountains. In contrast, the far western portion is the Kuskokwim River lowland characterized by extensive lakes, bogs and wetlands. 5.2 Regional Physiology The four potential hydropower sites are located in the Kilbuck Mountains. The Kilbuck Mountains, along with the Ahklun Mountains to the south, comprise the southwestern portion of the Kuskokwim Mountain Range. Within the confines of the project areas, the Kilbuck Mountains vary from east to west. To the east, the Kilbuck Mountains are generally steeper and exhibit greater vertical relief. Slopes in the eastern Kilbuck Mountains are typically comprised of exposed rock, while the valleys are generally glacially widened with relatively flat bottoms. As they extend to the west, the Kilbuck Mountains have less relief and more gentle slopes. Rock exposures in this area are typically confined to areas of glaciations and promontories. While present throughout the area, recent glacial, alluvial, and colluvial deposits are more common in the western portion of the Kilbuck Mountains (Box et. al., 1993; Dusel-Bacon et. al., 1996). The Kuskokwim River lowland extends from the western edge of the Kilbuck Mountains to the Bering Sea. This physiographic area is characterized by low relief marshland and bog flats with numerous lakes, sloughs, and low-gradient, highly sinuous streams. It is estimated that approximately 40 to 50 percent of this region is covered by water (BLM, 1985). The Kuskokwim River and its southern tributaries have very low gradients, are slow moving, and are tidally influenced as far north as the mouth of the Tuluksak River. 5.3 Regional Geology The geology of southwest Alaska includes a collection of three primary rock groups: (1) continental margin rocks associated with the northern Kuskokwim Mountains and southwestern Alaska Range; (2) primarily Mesozoic accreted rock formations; and (3) younger sedimentary, volcanic and plutonic rocks. These primary rock groups are commonly overlain by recent, 5-2 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report unconsolidated alluvial and glacial till deposits and by Quaternary extrusive deposits in localized areas. Within the project area, continental margin rocks are primarily comprised of Precambrian metamorphic rocks. These rock units are believed to be some of the oldest rocks in Alaska. Exposures of these rocks are limited to isolated locations of the Kuskokwim Mountains and in fault contacts with accreted rock terranes. Prior to the early 1990s the accreted rock terranes of the area had been grouped undifferentially into the Gumek Formation as described by Hoare and Coonrad (1959). More recently these rock units have been subdivided by genetic relations and better defined by terranes collectively known as the Terranes of the Bristol Bay Region (Box et al., 1993; Decker et al., 1994). In the area of the envisioned project, these terranes include the Nyack, Togiak and Goodnews Terranes. The Nyack Terrane is mapped in the central portion of the Bethel quadrangle map and is located furthest west of the accreted terranes in the project area. The Nyack Terrance is comprised of Jurassic volcanic and sediment rocks of volcanic origin. Volcanic rocks of this terrane primarily consist of andesite, basalt and dacite. Sedimentary rocks typically consist of greywacke, siltstone, and conglomerate containing clasts of volcanic rocks. Rocks of the Nyack Terrane are generally lightly altered and contain minerals consistent with the lower green-schist metamorphic facies. The Togiak Terrane extends from the south-central portion of the Bethel quadrangle map in a northeastern direction to the northwest corner of the adjacent Taylor Mountain quadrangle map. The Togiak Terrane is comprised of late Triassic through early Cretaceous volcanic and volcanoclastic rocks. Near the project area, volcanic rocks consist primarily of dacite, and volcanoclastic rocks consist of breccias and sandstones. These rock units are consistent with weakly metamorphosed prehnite-pumpellyite or lower greenschist facies and display moderate to severe deformation. The Goodnews Terrane can be divided into two subterranes within the project area; the Nukluk Subterrane and the Tikchik Subterrane. The Nukluk Subterrane is present in a localized portion of the east-central Bethel quadrangle map. The Tikchik Subterrane is mapped surrounding Chikuminuk Lake within the western Taylor Mountain quadrangle map and the southeastern Bethel quadrangle map. Both the Nukluk and Tikchik Subterranes are structurally complex and to date, are not well defined. The Nukluk Subterrane primarily consists of limestone, laminated green or black mudstone, and basalt. The Tikchik Subterrane is described as a complex assemblage of clastic sedimentary rocks, chert, limestone, and mafic volcanic rocks ranging in age from Ordovician to early Cretaceous. The accreted terranes are overlain by a series of slightly younger sedimentary rocks of the Kuskokwim Group in many parts of southwestern Alaska. The Kuskokwim group is primarily comprised of sandstones, graywackes, conglomerates and other sedimentary rock types that are regionally deformed into open folds. The age of the Kuskokwim Group is believed to range from lower to upper Cretaceous. 5-3 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report A group of late Cretaceous and Quaternary basalt and pyroclastic rocks intrude the older continental, accreted terranes and the Kuskokwim Group. These more recent rocks are in dispersed locations throughout the project area. These rock occurrences are generally not located within the immediate area of the four potential project sites as part of this study. Unconsolidated Quaternary deposits comprise the entire western portion of the project area and are present locally within the Kilbuck Mountains. Within the Kuskokwim River Lowlands, Quaternary aged deposits are primarily mapped as alluvial and silt deposits, with some glacial outwash deposits occurring near the western edge of the Kilbuck Mountains. Within the Kilbuck Mountains, Quaternary deposit primarily consist of glacial till, which mantels most valley lowlands. Localized areas of recent alluvium and glacial outwash are also present in smaller deposits within the Kilbuck Mountains. Discontinuous areas of permafrost are present within the unconsolidated Quaternary deposits throughout the project area. 5.4 Regional Tectonics and Seismic Records Much of the topography and structure of the region can be attributed to a series of north- northeast and northwest trending faults. The primary north-northeast fault is considered to be The Denali fault system. In southwest Alaska, this system includes the Togiak-Tikchik, Holitna, Boss Creek and Hagermister Faults. A number of faults run sub-parallel to this fault system including the Milk Creek, Karl Creek, Golden Gate, Sawpit, and Iditarod-Nixon Faults. A series of smaller faults, including Trail Creek, Lake (or Fork) Creek, and Mount Oratia Faults, run sub- orthogonal to the larger and more continuous north-northwest trending faults. Table 10 presents a list of selected mapped faults and their approximate distance to the potential hydropower sites. Table 10: Approximate Distance from Potential Hydropower Sites to Mapped Fault Traces (Miles) Fault Chikuminuk Lake Site Upper Falls Site Lower Falls Site Golden Gate Falls Site Aniak-Thompson 20 21 30 43 East Kulukak 48 69 78 84 Golden Gate 55 11 4 0 Goodnews 35 32 39 45 Hagemeister 45 41 48 52 Karl Creek 54 13 6 0 Kulukak 63 70 78 84 Lake Creek 40 4 11 17 Milk Creek 20 23 30 34 Mt. Oratia 16 20 25 30 Sawpit 66 24 17 12 Togiak-Tikchik (Denali Fault System) 14 30 36 40 Trail Creek 34 13 14 17 5-4 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report Studies of faults and records of seismic events in southwest Alaska are somewhat limited in comparison to other areas of the country. Between about 1903 and about 1969, only events large enough to be detected from more populated areas of Alaska were noted in the historical record. During this time only one major earthquake was noted in the project area. This earthquake was located approximately 100 miles north of the Chikuminuk Lake site and had an estimated magnitude of 6.9. Since this time, the number of seismographs has continued to increase and the detection resolution of moderate and small events, having magnitudes less than about 5 have been noted within about 100 miles of the site. However, the lack of seismic resolution is far less than other more populated and more seismically active areas of the country. Given the lack of seismic instrumentation, assigning seismic events to specific faults or locations can be considered provisional at best. Geologic studies of the project area report that segments of the Denali Fault offset unconsolidated alluvial deposits in the Kuskokwim region suggesting recent activity (Stevens and Craw, 2003). Reports of physical evidence indicating Quaternary activity of other area faults are lacking; however, seismic data would suggest that some of the area faults are active. A list of recorded seismic events greater than 4.0 and their estimated distance to the potential hydropower sites is presented in Table 11. Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 5-5 May 2011 Table 11: List of Key Seismic Events and Estimated Distance from the Potential Hydropower Sites Seismic Event* Chikuminuk Lake Site Upper Falls Site Lower Falls Site Golden Gate Falls Site Date Richter Magnitude Distance** (Miles) 6/2/1903 6.9 97 111 113 113 2/21/1969 4.1 39 66 72 74 4/1/1970 4.1 101 48 40 35 4/8/1970 4.1 74 73 75 75 6/6/1970 4.3 82 118 123 125 6/16/1970 4.6 151 97 88 82 9/15/1970 4.1 103 81 78 75 3/8/1973 4.4 89 85 85 84 3/9/1973 4.1 81 60 59 58 4/22/1973 4.4 90 59 56 54 12/4/1978 4.1 77 23 18 15 1/30/1983 4.6 69 64 66 66 1/26/1991 4.4 140 107 102 98 5/16/1992 4.2 115 97 101 105 2/10/1994 4.4 37 48 57 63 5/27/2005 4.6 78 99 102 103 5/27/2005 4.7 78 111 116 117 6/8/2005 4.6 74 95 98 99 * Data Based on Alaska Earthquake Information Center Database queried on November 16, 2010. ** Distances are approximate. This page left blank intentionally. Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 6-1 May 2011 6 Site Specific Geological Assessments 6.1 Chikuminuk Lake Chikuminuk Lake is one of a series of lakes located in the northwest portion of Wood-Tikchik State Park, approximately 115 miles east-southeast of the community of Bethel. These lakes consist of landlocked fjords, with the lakes situated in the bases of relatively wide glaciated valleys. The mouth of this landlocked fjord is impeded at the southeast portion of the lake by a recessional moraine and shallow rock. A box canyon is present at the southeast corner of the lake that forms an outlet to the Allen River. The upper portions of the Allen River are confined to a box canyon, which is approximately 60 to 80 feet deep. The river is deflected to the southwest by a protruding ridgeline located approximately 2,500 feet downstream from Chikuminuk Lake. At this point, the Allen River makes a series of sharp turns as it meanders around the ridge before continuing southeast for approximately 11 miles, where it reaches Lake Chauekuktuli. The proposed layout at Chikuminuk Lake is shown in Exhibit 5 of this report. Construction of a hydropower facility at the Chikuminuk Lake is considered generally feasible from a geologic and geotechnical standpoint; however a number of factors could have significant impacts on the design and economics of the potential development. Some of the key factors are discussed in the following paragraphs. 6.1.1 Background on Site Geology The geologic assemblage of the Chikuminuk Lake site consists of Tikchik Subterrane, which is commonly described as a mélange of accreted rocks ranging in age from Paleozoic to Mesozoic. Locally, rock crops out in the banks of the Allen River within the box canyon. At these locations, the rock is chiefly composed of sandstone, greywacke, radiolarian chert, and shale. The rock is typically covered by a layer of glacial till that is variable in thickness in areas adjacent to the canyon. Exposed rock outcrops appear massive with no apparent predominate joints or bedding planes; however, localized areas of thinly bedded shale have been reported previously (Harza, 1982). It is expected that fresh rock, suitable for a dam foundation, could be exposed with relatively shallow excavations. In general, preliminary assessments of the rock formations indicate it would be suitable for support of the dam, tunnels, and structures associated with the project. Project areas located outside the box canyon are mantled by glacial soils including tills, outwash and moraine deposits. These soils likely range in thickness from a few feet to the west of the Allen River to tens of feet in the moraine deposits south east of the lake and in the upper slopes adjacent to the Allen River downstream of the box canyon. While no explorations were conducted nor samples were collected of the glacial soils during this reconnaissance, they are expected to consist of dense sand, gravel, cobble, and boulders. These materials, as well as rock excavated from the spillway and tunnel, may potentially be suitable for embankment dam fill, concrete aggregates, and general construction fill; however, further testing is recommended to confirm their composition and suitability for specific uses. Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 6-2 May 2011 Potential sources of fine grained soil suitable for the construction of a low permeability dam core were not observed at the site. Previous site evaluations identified only limited amounts of fine grained soil at a location downstream of the project site. However, fine grained soil deposits and low permeability till can occur in some terminal and recessional moraine deposits similar to those located to the east of the dam site. Subsurface investigations would be required to identify any fine grained soil or low permeability till in these deposits. Previous site investigations have indicated that localized areas of permafrost may be present within the glacial deposits northeast of the dam (Harza, 1982). Increasing the elevation of Chikuminuk Lake could cause permafrost to melt. Melting of the permafrost could potentially reduce the strength and increase the seepage characteristics of these soils, which currently form a natural berm across the eastern extent of the lake. Further investigations of these soils would be required to adequately assess the existence of permafrost and their potential impact on the project as the design of the Chikuminuk Lake site progresses. 3 The flow rate of the Allen River was too large to conduct a profile of the stream bed at the time of the site visit. Accordingly, there are no accurate assessments of channel shape, flow rate, or water depth available at the current time. Based on observation, the stream channel at the feasible dam locations is generally a flat-bottomed “U” shaped. Substrate material typically consists of gravel and cobble sized material with occasional locations of sand, silt and boulder up to several feet in diameter. Flow velocities of the Allen River near the outlet of Chikuminuk Lake are estimated to be on the order of 5 feet per second. Based on observed site conditions, the most appropriate locations for a stream gaging station would either be approximately 500 feet downstream of the proposed tunnel outlet, or at the location of the former gaging station located approximately 2,000 feet further downstream. 6.1.2 Local Tectonic Conditions Chikuminuk Lake is transected by two mapped faults. The potential for a seismic activity on these faults is not well understood at the present time. If active, earthquake related ground movements could displace a large volume of water resulting in a large standing wave, or seiche. This type of event could potentially overtop the dam, similar to the event that occurred at Hebgen Lake Dam in 1959. A concrete dam with an ogee crest would mitigate the risk associated with an earthquake induced seiche. Additional seismic evaluations regarding the seismic activity of faults in the Chikuminuk Lake are recommended to further evaluate the feasibility of a dam at this location. The western boundary of Chikuminuk Lake is bounded by the Togiak-Tikchik segment of the Denali Fault System, the largest strike-slip fault system in Alaska. Eastern and central segments 3 With the exception of the areas north of Nishlik Lake, it appears that permafrost only occurs in sporadic locations with the Wood-Tikchik State Park (AKDNR, 2002). Signs of permafrost were not immediately apparent in the area surrounding the conceptual Chikuminuk Lake Dam facilities. Currently, significant amounts of permafrost are not anticipated near the outlet of Chikuminuk Lake or the moraine deposits located immediately to the west; however, determining the presence and distribution of permafrost within this area should be conducted as part of a feasibility level study if more detailed evaluations of this site are conducted. Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 6-3 May 2011 of this fault system are known to be currently active. The most notable recent earthquake was a 7.8 magnitude event occurring along the Muldrow-Alsek segment of the fault in 2002. However, significant earthquakes exceeding magnitude 5 along the Togiak-Tikchik segment are noticeably absent from the recorded seismic record. There are insufficient data to determine conclusively whether or not the Togiak-Tikchik segment is currently active. A second unnamed reverse fault that transects the lake approximately eight miles west of the dam site has been mapped by Box et al (1993). This fault has been omitted from the work of others and, like the Togiak-Tikchik segment of the Denali Fault System, the time of its most recent activity is unknown. It is likely that this unnamed fault would displace in response to movement on the larger Togiak-Tikchik fault segment. MWH did not observe any evidence of displacement of Quaternary deposits that would indicate the presence of an active fault in the immediate vicinity of the potential hydropower facility. 6.1.3 Site Access The Chikuminuk Lake site is viewed as the most difficult to access of the four sites evaluated. Given that the site is located in a remote part of a State park, construction of access roads are expected to be challenging to permit. In addition, site access roads would cross extensive wetland area soft soil and rugged mountains making access road construction technically challenging as well. Alternatively, the site could be accessed entirely by air. Both alternatives are expected to have significant financial and scheduling impacts on the project. Currently, mechanized access to the Chikuminuk Lake site is limited to aircraft equipped with floats. The site is located within the Wood-Tikchik State Park, which does not allow access by helicopter. Furthermore, there are no existing roads leading to or near the site. In winter months, the site could potentially be accessed by ice roads along streams from the Dillingham area. Such a route would be approximately 175 miles long and would encounter numerous rapids and other obstacles. The feasibility of an ice road from Dillingham is uncertain. If overland roads can be permitted within the State park, a route to the Dillingham area would likely be on the order of 120 miles, while a route to the Bethel area would likely be approximately 130 miles long. Access to both locations would encounter difficult construction conditions, including mountainous terrain and very soft soil within lowland areas. This would be especially true for an access road from the Bethel area. Alternatively, a landing strip could be constructed on a relatively flat area located northeast of the proposed dam site. A runway of approximately 5,000 feet in length could be constructed at this location. Additional investigation is needed to conclusively determine the best construction and permanent access plan. Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 6-4 May 2011 6.1.4 Reservoir Water Tightness Preliminary water seepage analysis conducted by Harza, indicated that water losses through the moraine deposits would be on the order of 50 to 100 cubic feet per second for reservoir elevations between 620 and 660 feet. A slurry cutoff wall has been proposed to mitigate the seepage. This cutoff would extend from the left abutment across the Allen River valley to the northeast where it would tie into the hillside. If required, the trench could be thousands of feet in length and would be a significant part of construction costs. Additional investigations would be required to further evaluate the need and extent of a slurry cutoff trench at the Chikuminuk Lake site. This item has not been included in the estimated costs and does require further investigation. 6.1.5 Construction Materials Construction materials such as aggregate, common borrow, crushed rock, and riprap can be obtained from sources within the immediate area of the dam site. These materials will be required for the construction of concrete, roadways, landing strips, stream armor, and other project facilities. Sizable quantities of fine grained soil suitable for the construction of a low permeability embankment dam core have not been identified near the site. Importing fine grained soil for this purpose would likely make an embankment dam option prohibitively expensive. Further investigation of the recessional moraine deposits northeast of the dam site is recommended to identify potential low permeability soils if an embankment dam option is pursued for the Chikuminuk Lake site. 6.1.6 Transmission Line Alignment The path of the transmission line would transect rugged portions of the Kilbuck Mountains, and extensive swamps and bogs of the Kuskokwim River lowlands. Mountainous portions of the alignment, most notably the mountain pass crossing west of Chikuminuk Lake could potentially be exposed to landslides and avalanche hazards. The Kuskokwim River lowland will pose extensive constructability challenges as the lakes and bogs will make overland travel of construction equipment impractical during non-winter months. Discontinuous areas of permafrost may also be encountered within unconsolidated Quaternary deposits along the alignment. A detailed evaluation of permafrost areas and how they may impact transmission line support systems should be conducted during more detailed phases of design. 6.2 Upper Falls The Upper Falls site is located in the Kilbuck Mountains, on the upper reaches of the Kisaralik River. The site is located within a remote location of a United States Fish and Wildlife (USFW) refuge, approximately 25 river miles downstream of Kisaralik Lake and 70 miles east-southeast of the community of Bethel. The topography at the site is defined by a large glaciated valley to the south and east, and more mountainous terrain to the north and west. Upstream of the falls, the Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 6-5 May 2011 river is confined to a shallow “U” shaped depression along the northern extent of the glaciated valley. The falls mark a transition where the river begins to flow through more mountainous terrain. The falls are comprised of a series of two rapids formed by a differentially weathered rock outcrop that extends across the river. Locally, the falls are bound to the southeast by a relatively flat terrace, approximately 40 feet above the elevation of the river. The terrace extends to the southeast for 1,200 feet, where it meets the base of a small hill. Previous evaluations have concluded that rock is likely located within about 10 to 15 feet of the ground surface at this location (Harza, 1982). The falls are bound to the north by a mountain with a peak elevation of approximately 2,000 feet. The mountain slopes moderately toward the falls at an average rate of about 3 horizontal to 1 vertical (3H:1V). The substrate of the Kisaralik River at the location of the falls consists of scoured rock, cobbles and boulders to approximately 3 feet in diameter. The riverbed immediately upstream of the falls is predominately comprised of sand, gravel and cobbles, with occasional boulders up to about 2 feet in diameter. Stream flow rates are estimated to be approximately 7 feet per second. Due to high stream levels during the site visit, the profile of river at Upper Falls was not evaluated. Relatively straight alignments of the river are present within about 1,000 feet of the falls on both up and downstream sides. These alignments could potentially act as sites for a future gaging station. The proposed layout at Upper Falls is shown in Exhibit 6 of this report. A hydropower dam facility at the Upper Falls site is viewed as being generally feasible from a geologic and geotechnical standpoint. Some of the key factors are discussed in the following paragraphs. 6.2.1 Background on Site Geology The geology of the Upper Falls site is mapped as the Kuskokwim Formation, which is locally comprised of a lightly to moderately metamorphosed sequence of lower to upper Cretaceous sedimentary rocks (Hoare and Coonrad, 1959; Box et al, 1993; Wilson et al, 2007). The formation is gently to moderately folded regionally. A synclinal axis having a strike of approximately north 30 degrees east is mapped approximately 1 mile east of the falls. At the falls, the Kuskokwim Formation consists of an approximately 100-foot thick layer of shale sandwiched between two thinner layers of greywacke. The shale layer is thinly bedded, and is more susceptible to weathering. This is evidenced by the differential weathering of the two Upper Falls rapids. In contrast, the greywacke is strong, hard, and thickly bedded to massive. The bedding planes of both the shale and the greywacke dip steeply to the southeast at angles of 50 to 70 degrees. These bedding planes are consistent in both abutments and can be observed extending across the stream bed. No prominent joint sets were observed in either the shale or the greywacke outcrops. Excavated greywacke resulting from the dam and tunnels is likely to be suitable for construction purposes; however, the volume of suitable rock is expected to be limited given their relatively thin beds and their orientation with respect to dam layout and tunnel alignments. The estimated Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 6-6 May 2011 100-foot thick bed of shale is relatively soft and non-durable. This rock type is not expected to be suitable for construction purposes. Unconsolidated Quaternary glacial till deposits are mapped over the broad valley to the south and west of the site. The glacial till deposits are expected to be comprised of sand, cobbles, gravel, and boulders. Local deposits of alluvium, consisting of sand, gravel and cobbles, are present adjacent to the Kisaralik River on both upstream and downstream of the falls. Glacial and alluvial soils are likely a suitable source for concrete aggregates and general fill purposes. Localized areas of Quaternary igneous rocks have been mapped to the northwest of the project site. Most notably, Box et al (1993) have mapped a small deposit of basalt approximately 3 miles upstream of the site within left bank of the Kisaralik River. This area was not observed during the site visits and the condition of this rock is not known. This rock could potentially be a source for rockfill and riprap upon further investigation. 6.2.2 Local Tectonic Conditions Based on a review of readily available data, there are no mapped faults that transect the Upper Falls site or the envisioned reservoir. The two closest mapped faults are both approximately 10 miles from the site, which include the Lake Creek Fault (also referred to as the Fork Creek Fault) to the east-southeast, and an unnamed fault to the west. These faults are not currently known to be active. Further, MWH did not observe evidence of recent offset of recent deposits near the site during the cursory site visit. However a detailed evaluation of seismic study of the area should be conducted to confirm their inactivity during more detailed evaluations of the Upper Falls site. 6.2.3 Site Access Similar to the other sites evaluated, construction access to the site will be challenging. Construction access roads will be difficult to permit across national wildlife refuge lands. Furthermore, construction of a road across the Kuskokwim Lowlands will present significant technical challenges. If an access road cannot be constructed to the site, transport of equipment and materials would need to be airlifted to the site. It would be potentially feasible to access the site in winter month by utilizing ice roads, which could allow for winter time staging and reduce the need of an overland road during summer months. The Upper Falls site is located in a remote portion of the Yukon Delta Wildlife Refuge. Mechanized access to the site is currently limited to helicopters and float planes. Potential landing zones for helicopters are abundant on the terrace area near the left abutment of the dam, while landing zones on the right side of the river are limited to relatively small flat area on the adjacent hillside above the dam. Float planes can be landed in a small lake, approximately 1.5 miles southeast of the site. An airstrip could be constructed on a glacial till deposit located approximately 3 miles south of the site; an airstrip in excess of 5,000 feet could be constructed at this location. This location Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 6-7 May 2011 could be used to airlift construction equipment and materials to the site if an overland road cannot be established. In winter months, the site could potentially be accessed by an ice road along the Kisaralik. An ice road from Bethel would be approximately 115 miles long. Difficulties associated with this route would include the rapids at Golden Gate Falls and the potential for avalanches from steep slopes in the upper reaches of the river. Similar to the Chikuminuk Lake site, permitting an overland construction access road through the national wildlife refuge is expected to be difficult. If permitted, a construction road could potentially be constructed to the Bethel area. However, construction of a road would be very difficult due to the soft and boggy conditions within the Kuskokwim lowland areas. 6.2.4 Reservoir Water Tightness Previous studies have assumed that rock is located within about 15 feet of the ground surface across the length of the terrace located southwest of the dam site. Additional study would be required to confirm this presumption. There is a significant potential that this overburden soil could extend to much greater depths. Further, the overburden would be far more permeable than the anticipated rock. It is likely that a cutoff wall would need to be constructed to improve the water tightness of the reservoir at this location, adding a significant cost to the project. A subsurface exploration program would be required to determine the depth to rock at this location. 6.2.5 Construction Materials Course grained materials will be required for the construction of concrete, roadways, stream armor, and other project facilities. Materials such as sand, aggregate, and common borrow can be obtained from the alluvial and glacial till deposits adjacent to the dam site. Limited amounts of crushed rock and riprap could be obtained from the dam and tunnel excavation conducted in the two greywacke beds observed at the site. Additional unverified rock sources may be available from a basalt deposit located approximately 3 miles upstream of the site. More detailed evaluations will be required to verify that sufficient amounts of large rock for riprap can be obtained in the vicinity of the site. Fine grained soil, suitable for the construction of low permeability embankment dam core, have not been identified near the site. If required, fine grained soil would likely need to be imported from offsite sources. 6.2.6 Transmission Line Alignment The path of the transmission line would transect extensive swamps, bogs, and discontinuous permafrost of the Kuskokwim River Lowlands. The lowlands will pose extensive constructability challenges, as the lakes and bogs will make overland travel of construction equipment impractical during non-winter months. A detailed evaluation of permafrost areas, and how they Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 6-8 May 2011 may impact transmission line support systems, should be conducted during more detailed phases of design. 6.3 Lower Falls The Lower Falls site is located approximately 62 miles east-southeast of the community of Bethel, and approximately 35 river miles downstream of Kisaralik Lake. The site is situated in a steep sided, narrow valley, with mountains on either side extending approximately 1,200 feet above the elevation of the river. The Kisaralik River at this location exhibits a series of large sinuous turns as it makes its way through the Kilbuck Mountains. Valley slopes adjacent to Lower Falls dip downward toward the river at a rate of 1.6H:1V on the left side and 2.4H:1V on the right side. No signs of instability were observed in these slopes at the time of the site visit. At the potential dam location, the substrate of the Kisaralik River consists primarily of gravel, cobbles, and boulders up to 5 feet in diameter. At the deepest point of the channel, the river is estimated to be approximately 20 feet deep. Streamflow velocity at the time of the site visit was estimated to be on the order of 6 feet per second. A suitable location for a gaging station is located along a relatively straight portion of the river, approximately 3,200 feet upstream of the dam site. The proposed layout at Lower Falls is shown in Exhibit 7 of this report. The Lower Falls site is generally suitable for the construction of a hydropower facility from a geologic and geotechnical standpoint. Some key factors that could impact the design and economics of a dam at this location are discussed in the following paragraphs. 6.3.1 Background on Site Geology The geology of the Lower Falls site is mapped as Paleozoic and Mesozoic volcanoclastic sandstone and argillite of the Goodnews Terrane (Nukluk Subterrane). Rock outcrops observed at the site of the dam are comprised of lightly metamorphosed argillite and chert. These rocks are generally hard, strong, and moderately jointed to massive. Joint sets appear to be somewhat inconsistent, with strike generally within 30 degrees of north or east that dip steeply to the east and north, respectively. The rock can be observed outcropping in both sides of the valley, suggesting that the overburden is relatively thin on both abutments. Based on the observations made during the site visit, rock resulting from excavations of the dam, spillway, and tunnels would likely be suitable for construction purposes including rock fill, riprap, and aggregate. Unconsolidated Quaternary deposits at the site of the dam are limited to alluvium within the stream bed, and a small bench of alluvium located immediately downstream of the dam on the right side of the river. Additional alluvial deposits are present at a distance of approximately 2 miles either upstream or downstream of the dam site. These deposits would likely contain sand and gravel suitable for concrete aggregate and general fill purposes. Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 6-9 May 2011 No fine grained soil deposits suitable for use as a low permeability core were observed in the vicinity of the Lower Falls site. This material would likely need to be imported from other sources if an embankment dam is constructed at this location. 6.3.2 Local Tectonic Conditions A review of readily available data indicates that there are no mapped faults at the Lower Falls site. Faults within the local area include an unnamed fault, the Karl Creek Fault, and the Golden Gate Fault. These faults are located between 2 to 3 miles west of the site. Each of the faults consists of high angle reverse faults that dip in an easterly direction. The activity of these faults is not well understood at the present time. However, a detailed evaluation of seismic activity should be conducted to assess their most recent activity, and their potential impact on the site. 6.3.3 Site Access Site access to the Lower Falls dam will be difficult. The most feasible methods of accessing the site during construction will likely be by airplane or ice roads. While an overland road would be preferable, it would be difficult to construct across the Kuskokwim lowlands. Furthermore, overland roads are expected to be challenging to permit on refuge lands. The Lower Falls site is located in a national wildlife refuge within a remote roadless area of the Kilbuck Mountains. Currently, the site can only be accessed by helicopter and small boats that can be portaged around Golden Gate Falls. It is feasible that small jet boats could reach the falls, provided water flows through Golden Gate Falls are optimal. A small terrace, located approximately 500 feet upstream of the dam site, currently provides an adequate helicopter landing zone on the left bank of the Kisaralik River. Helicopter landing zones located on the right bank of the river are sparse. However, it is possible that a landing zone could be established on an alluvial deposit located downstream of the dam following some clearing. Airplane access could potentially be established within two miles downstream of the dam. A relatively long alluvial terrace at this location could accommodate an airstrip up to approximately 6,000 feet in length. Wider portions of this alluvial terrace could also provide areas for construction staging. During winter months, the site could be accessed using an ice road along the Kisaralik River. The upper portions of this alignment would potentially be subject to avalanches, and would likely encounter difficulties at Golden Gate Falls. 6.3.4 Construction Materials Construction materials such as aggregate, common borrow, crushed rock, and riprap can be obtained from sources within the immediate area of the dam site. Concrete sand and gravel can Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 6-10 May 2011 also be obtained from alluvial sources located approximately two miles from the site. These materials will be required for the construction of concrete, roadways, stream armor, and other project facilities. Suitable sources of fine grained material have not been identified within the immediate area of the site. This scarcity of fine grained material will likely exclude a zoned rock fill dam from consideration at this site. 6.3.5 Transmission Line Alignment The construction of transmission lines will be difficult due to the extensive swamps, bogs, and discontinuous permafrost of the Kuskokwim River lowlands. It is likely that construction equipment will not be able to access portions of the alignment, except during winter months. Access to the Kuskokwim River lowlands is likely to be restricted to helicopters in non-winter months. 6.4 Golden Gate Falls The Golden Gate Falls site is located in the far western portion of the Kilbuck Mountains, approximately 60 miles east-southeast of the Bethel area. Golden Gate Falls is made up a narrow gorge at the northern extent of Greenstone Ridge. The base of the falls is situated at an estimated elevation of 740 feet. The falls is bound to either side by mountains that extend upward to approximate elevations of 850 feet to the north and 1,350 feet to the south. Upstream of the falls, the Kisaralik River is situated in a moderately narrow valley with modest hills to the right of the river and more prominent mountains to the left. The Kisaralik River valley becomes more broad downstream of the falls, where an approximate 2,500-foot wide alluvial plan is located. The Kisaralik River is approximately 50 feet wide at the site of the falls. Flow velocities are estimated to be on the order of 10 feet per second. At the time of the site visit, river levels were too high to view the substrate of the stream channel; however, it is assumed that the substrate consists of scoured rock with boulders, on the order 1 to 2 feet in diameter, present along the sides of the channel. Potential stream gaging locations are present approximately 3,500 upstream on the falls. The proposed layout at Golden Gate Falls is shown in Exhibit 8 of this report. From a geological and geotechnical standpoint, the Golden Gate Falls site is considered generally feasible – provided the nearby Golden Gate and Karl Creek Faults are not active, or the traces of these faults can be determined to be outside the footprint of the project development. This and other factors that could have significant impacts on the design and economics of the potential development are discussed in the following paragraphs. Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 6-11 May 2011 6.4.1 Background on Site Geology The lower portions of right and left abutment are mapped as the late Cretaceous conglomerates and other sedimentary rocks of the Kuskokwim Formation. Locally, these rocks outcrop within the gorge, and are comprised primarily of moderately metamorphosed, clast-supported, pebble conglomerates, siltstone and argillite. Upper portions of the right abutment are mapped shale and siltstone of the Kuskokwim Group. The upper portions of the left abutment are mapped as late Mesozoic metamorphosed sedimentary and intrusive rocks of the Goodnews Terrane (Nukluk Subterrane). Rock outcrops of the Kuskokwim Formation observed at the lower elevations are typically hard, strong and massive. Previous investigations have indicated that schist and meta- chert can be observed at higher elevations on the left abutment, and clastic sedimentary rocks are present on the right abutment. The previous site evaluations have indicated a highly weathered zone of rock is present on the right abutment at elevations of 200 feet above the base of the gorge (Harza, 1982). These observations are consistent with the descriptions of the mapped rock units. Rock observed in both the left and right abutment is generally of good quality, with localized fractured zones of up to about 30-feet wide that are traceable across the riverbed. Two linear depressions were observed in the rock of the right bank, which likely act as secondary channels of the river during flood stages. Rock excavated from dam foundation and tunnels will likely produce aggregate suitable for construction purposes. Controlled blasting of this material could produce large sized riprap. Additional outcrops of rock are present both upstream and downstream of the dam site, which could be quarried for additional aggregate or riprap if needed. Unconsolidated Quaternary alluvial deposits were observed in gravel bars and stream banks of the Kisaralik River immediately upstream of the falls. In addition, extensive alluvial deposits are mapped downstream of the falls (Box et al, 1993). This alluvium primarily consists of sand and rounded gravel, with occasional cobbles to eight inches in diameter. The alluvial deposits would like be suitable for aggregate and general fill purposes. Similar to the other sites evaluated, there are no known fine grained soil deposits of any size near the Golden Gate site. It is likely that fine grained soil would need to be imported to the site. This would have a significant increase on the construction costs of an embankment dam constructed at the site. 6.4.2 Local Tectonic Conditions Two mapped faults are located immediately downstream of the Golden Gate Falls site (Box et al, 1993). While the locations of these faults are not well defined at this location, the Golden Gate Fault and the Karl Creek Fault are assumed to converge at a point approximately 1,500 feet downstream of the site. Where the faults are well defined, they display a high angle reverse displacement. The strike of the Golden Gate Fault, the western most of the two, is approximately 10 degrees east of north. The strike of the Karl Creek fault ranges from about 30 to 35 degrees east of north. Both faults dip in a southeastern direction. Large scale geologic mapping indicates that the Golden Gate and Karl Creek Faults are located very near the site. The activity and exact location of these faults are not known. No signs of Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 6-12 May 2011 recent fault movement were observed during the brief visit to the site; however a 4.1 magnitude event that occurred approximately 15 miles north of the site in 1978 indicates recent activity on nearby faults. Additional evaluations of these faults would be required to determine whether or not either of these faults is currently active. If either of the faults is active, it would likely have significant impacts on the constructability and safety of the envisioned facility. A seismic event on either of these faults could potentially result in severe ground accelerations given their close proximity to the site. Project facilities would need to be highly reinforced, increasing the construction costs of the project. Furthermore, if one of the faults is found to transect a portion of the site, offset along the fault could cause the proposed development to fail. If the faults are found to be inactive, the presence of a fault below the footprint of the dam could have implications on the structure’s water tightness. Depending on the lateral extent of open or unhealed apertures along the fault and the associated shear planes, an extensive grouting program may be required to limit seepage. It is recommended that further evaluations of the site’s seismic setting be conducted if development of the Golden Gate Falls site is considered. 6.4.3 Site Access Access to the Golden Gate Falls site is considered the most favorable of the four sites evaluated. However, construction access will still be very challenging. Construction access roads will be difficult to permit across national wildlife refuge lands, and the Kuskokwim River lowlands will present significant technical challenges. If an access road cannot be constructed to the site, equipment and materials would need to be airlifted to the site or transported by ice roads during the winter months. The Golden Gate Falls site is located in the Yukon Delta National Wildlife Refuge. There are no existing roads within this portion of the refuge. Mechanized access to the site is currently limited to helicopters and small boats. During periods of low flow, helicopters can land on gravel bars near the left bank of the Kisaralik River. A number of relatively small landing zones are present on the left bank of the river, downstream of the falls. Boats capable of negotiating shallow water can reach the lower portion of the falls. Depending on the water level and stream velocities, it is feasible that some jet boats could travel upstream of the falls. Construction access to the site will could include airplanes and ice roads during winter months. An airstrip could be constructed on the alluvial terraces located approximately 2.5 miles downstream of the site. This location could potentially accommodate a 6,500-foot airstrip on a terrace located to the south of the river. This location could also be used to for construction staging. It is likely that the site could be accessed by ice roads during winter months. An ice road from the site to Bethel along the Kisaralik River would be on the order 100 miles long. This alignment of the river is expected to be less susceptible to hazards such as avalanches in comparison to the sites located further upstream. Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 6-13 May 2011 Construction of an overland road is technically feasible. However, an overland road would likely be very difficult due to the extensive lakes and bog areas that separate the site from the Bethel area. In addition, since the area is located within a national wildlife refuge, permitting an access road is expected to be difficult. 6.4.4 Construction Materials Construction materials such as aggregate, common borrow, crushed rock, and riprap can be obtained from sources located in the immediate area of the dam site. These materials will be required for the construction of embankments, concrete, roadways, and riprap. However, large quantities of fine grained soil, suitable for the construction of a low permeability embankment dam core, have not been identified near the site. Importing fine grained soil for this purpose would likely make a zoned rockfill or embankment dam option prohibitively expensive if a suitable alternate permeability barrier cannot be identified. 6.4.5 Transmission Line Alignment Similar to the construction of access roads, the construction of transmission lines will be difficult due to the extensive swamps, bogs, and discontinuous permafrost of the Kuskokwim River lowlands. It is likely that construction equipment will not be able to access portions of the alignment except for during winter months. Access to the Kuskokwim River lowlands is likely to be restricted to helicopters in non-winter months. 6.5 Summary Each of the four sites evaluated is considered generally feasible for development from a geological and geotechnical standpoint. The site share similar difficulties with respect to lack of fine grained soils for use in a zoned rockfill dam (concepts described later consider a concrete faced rockfill dam). However, base on this cursory review, each site exhibits favorable conditions with respect to the other sites. For instance, the rock condition at the Lower Falls site appears to have the most favorable conditions for a dam foundation and tunneling, while the seismological risks appear to be lowest at the Upper Falls site. The Chikuminuk Lake site has the most abundant access to construction materials. To provide an objective comparison between sites with respect to geologic and geotechnical site aspects, the sites have been force ranked from 1 (most favorable) to 4 (least favorable) on the parameters of foundation conditions, seismology and faulting, and construction materials in Table 12. Table 12: Comparison of Site Parameters Site Parameter Foundation Conditions Seismology and Faulting Construction Materials Chikuminuk Lake 2 3 1 Upper Falls 4 1 4 Lower Falls 1 2 3 Golden Gate Falls 3 4 4 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 6-14 May 2011 6.6 Recommendations The following general recommendations are made for future geologic and geotechnical evaluations if one or more of the sites are selected for more detailed analyses: • Conduct a detailed seismic study of the area to determine the extent and activity of faults located within the project area. • Identify areas of suitable fine grain soils near the potential sites for considering a clay core dam. • Conduct laboratory testing on potential sand and gravel sources to determine their suitability as concrete aggregates. • Conduct subsurface investigations to determine the physical and strength parameters of rock and soil at the proposed locations of dams, spillways, tunnels, powerhouses, and ancillary project features. • Conduct permeability tests on subsurface materials to more accurately assess the water tightness of the formation and need for cutoff or consolidation grouting programs. • Perform a detailed geological reconnaissance of reservoir areas, transmission line alignments, and construction access road alignments to identify areas susceptible to landslides or other geologic hazards. 7-1 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 7 Project Concepts This section describes the project concepts developed for conceptual evaluation. The intent is to identify a functional concept for the purposes of a establishing a preliminary cost and a preliminary evaluation. No subsurface exploration, at-site mapping, detailed at-site reconnaissance, nor at-site environmental characterization has been carried out. If any concept is considered feasible for continued evaluation, it would be necessary to further define the concept and cost estimate for a definite determination of economic feasibility and budgeting. For relatively steep mountain streams, a concept that involves a diversion dam and a tunnel to a downstream powerhouse is sometimes feasible. A diversion project avoids the need to construct a relatively high dam with the associated construction and environmental costs. However, the Kisaralik River gradient is not sufficient to accommodate such a development, and it is necessary to construct dams to achieve the necessary head for hydropower generation. Further, the higher flows occur in the summer, and the construction of a dams and the formation of reservoirs may provide the ability to regulate streamflow and meet wintertime loads, when the electrical demand is greater. Low-head, run-of-river dams were also considered. However, a run-of-river project would not be capable of regulating flow or matching power and energy delivery with the wintertime peaks. Furthermore, the power and energy of low head dams is quite limited in relation to the amount of investment required for diversion, dam and powerhouse construction. Adding hydropower at existing low-head dams is being done in the lower 48 states, but a new low head dam for power production is generally cost prohibitive. The general layout concepts established for this study are presented in Exhibits 5 to 8. 7.1 Dam and Spillway For initial planning purposes in this study, the selection of the normal operating water level of the Kisaralik River reservoirs were selected based on the tailwater level of the identified upstream candidate dam site. Construction of all three projects would provide for the development of a total of 450 ft of drop from the Upper Falls reservoir level at El 1150 ft (as assumed in this study) to the El 700 tailwater level at Golden Gate Falls. Again, this would need to be reviewed and optimized if the project is deemed to be sufficiently attractive for future investigations. It is possible that two of the Kisaralik candidates could be combined into one larger development with a taller dam (for example, a taller Lower Falls dam to combine Lower and Upper Falls). The parameters used for the conceptual plan for the Kisaralik sites are indicated in Table 13. 7-2 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report Table 13: Kisaralik River Projects Flood and Elevation Planning Criteria Estimated Floods Elevations Site PMF 100 yr 25 yr Normal Max Reservoir Level Normal Min Reservoir Level Approximate Tailwater (cfs) (cfs) (cfs) (ft) (ft) (ft) Chikuminuk Lake 110,000 23,600 18,000 660 615 544 Upper Falls 38,400 9,600 7,340 1150 1078 960 Lower Falls 68,400 17,100 13,100 955 897 800 Golden Gate Falls 74,400 18,600 14,200 800 766 700 Given the remote location and constraints on access (i.e. high cost for hauling in large quantities of cement for a concrete dam), a concrete faced rockfill dam is judged to be the best solution for the Kisaralik sites. If the projects appear to be a favorable candidates for continued study, this selection would need to be reevaluated to determine the optimum dam type. For planning purposes, the dam has been dimensioned with upstream and downstream slopes of 1.7H:1.0V and a 20 ft crest with. The crest of the dam is set at 5 ft above the estimated PMF condition maximum reservoir level. An average concrete facing thickness of 2 ft is assumed. For foundation excavation, and average depth of 5 ft under the dam footprint is assumed. A grout curtain extending from the upstream toe to a depth of about 70% of the reservoir water depth is considered. The dimensioning would be optimized if the project is considered in a further study phase. The construction of the dam will require a substantial quantity of rockfill. For this reason, a channel cut through the abutment of the dam would be used as a spillway, and the excavated material would be used as the primary construction material source for the dam. The spillway would have a simple concrete weir control section. For this study, the spillways have been dimensioned to handle the estimated probable maximum peak inflow with a surcharge not exceeding 15 ft. River diversion for construction of the dam would be achieved by the construction of a diversion tunnel and rockfill cofferdams constructed upstream and downstream of the dam construction area. For planning purposes, diversion features were sized based on a 25-year recurrence flood peak and an allowable surcharge of approximately 30 ft. The diversion tunnel would be configured so it could be used as a permanent feature for supplying reservoir water to the hydroelectric generating units. This would be accomplished as follows. First, the diversion tunnel would be excavated, and rock support measures would be installed. It is not known if the tunnel would need to be concrete lined, but it is assumed that the tunnel would not be lined, and required watertightness can be achieved by grouting. A concrete plug and valve chamber with two butterfly valves would be constructed within the diversion tunnel. Two steel pipes would be installed within the tunnel, and would extend from the valve chamber to the downstream portal of the tunnel. For permanent post construction operation, discharge valves would be installed on the downstream end of the pipe, but during construction, the ends of the pipes would be left open to 7-3 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report permit diverting flow around the dam construction site. Once the dam is complete and the reservoir is ready for filling, operation of the butterfly valves will permit dewatering the pipes for the installation of the downstream discharge valves (one pipe would be dewatered at a time, while the other remains operational). This arrangement should permit a controlled filling of the reservoir, and could also permit future drawdown of the reservoir if it is necessary to do so for emergency or maintenance purposes. A stub would be provided from one of the two pipes to permit connection to a penstock. Closure of the discharge valves will permit pressurizing the tunnel for use in delivering water to the penstock. The feasibility and suitability of the arrangement described above would need to be further investigated if the project appears to be attractive and favorable for continued consideration. For example, the arrangement described above would create a pressurized tunnel under the dam, and further work is necessary to determine if the site conditions could accommodate the concept. The arrangement described above was developed for the purposes of initial evaluation, and must be proven out with further investigations. 7.2 Power Waterways The diversion tunnel system as described above would be used to deliver water from the reservoir to the generating units. Use of the diversion tunnel system will require the construction of a vertical tower style intake structure and will also require a penstock connected to one to the two steel diversion tunnel pipes. The intake tower would be constructed along the alignment of the diversion tunnel. The height of the tower would be determined by the required elevation of the diversion tunnel and the crest of the dam; the top of the tower would need to be above the maximum water level. The structure would include intake ports below the minimum reservoir level. The intake ports would be fitted with trashracks, with a trashrake provided. The intent would be to provide a means of clearing the intake from the top of the intake tower. 4 Water would be conveyed through to the generating units by passing through the intake ports, the intake tower, the diversion tunnel, then trough one of the butterfly valves and diversion discharge pipes. The discharge pipe would be pressurized, as a valve would be installed at the downstream end as described above. The penstock would extend from the source diversion tunnel pipe to a bifurcation in the powerhouse area for supply of water to two units. 4 Frazil ice and debris collecting on the intake trashrack are significant concerns that will require detailed study if the projects are to be taken to the next stage of development. To prevent frazil ice problems, some report that development of a strong and stable ice cover during the winter period is a solution. Should a cover fail to form, frazil ice generated in open water will probably reach the intake, potentially accumulating on trashracks and within water passages. The intakes are located in an open area where the intake approach velocities should be low, and formation of an ice cover should not be impeded. Intake location, configuration, performance criteria (such as maximum flow velocity) and miscellaneous systems (such as rakes, bubblers, heaters, etc.) will need to be evaluated. Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 7-4 May 2011 If it is necessary to dewater a diversion tunnel pipe and the penstock, the butterfly valve would be operated to a closed position, and the discharge valve would be used to drain the pipe and penstock. 7.3 Powerhouse For the purposes of comparison, each candidate project is configured with a two-unit powerhouse containing Francis type turbine generating units. The Francis type units provide a conventional solution to energy recovery for the prevailing hydraulic heads and flows. Francis units can provide an ability to follow varying discharge requirements, with reasonably good efficiency over a range from 100% design discharge down to about 50% of the design discharge. For Chikuminuk Lake, it is possible to adopt a horizontal shaft configuration with an elbow type draft tube, which reduces the massive concrete embedment that would be required for a vertical arrangement. For the Kisaralik sites, the units would probably need to be a vertical configuration due to size. Based on the size of units and the space required for balance of plant and equipment erection, a powerhouse with a footprint of 80 ft by 150 ft is assumed for each site. The ratings and key parameters for the major equipment are given in Table 14. Table 14: Generating Capacity Parameters Rated Head Station Rated Discharge Station Power Output Site (ft) (cfs) (MW) Chikuminuk Lake 91 2,023 13.4 Upper Falls 149 2,553 27.7 Lower Falls 121.5 3,853 34.1 Golden Gate Falls 78.4 4,728 27.0 8-1 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 8 Transmission Line Planning Hydropower development at the candidate sites would require construction of new overland transmission lines connecting the projects to the load center in Bethel. One of the goals of this study is to develop budgetary cost estimates for constructing a transmission line from Bethel, AK to one or more of the four potential hydroelectric sites, shown in Figure 9. Specific criteria for the actual conditions will be necessary for design; at present, typical criteria are used. 8.1 Route Alignment For the purposes of this study, it is assumed that all four potential hydroelectric sites may ultimately be developed and connected to the transmission line. An overview of the preliminary route alignment to serve the four potential hydroelectric sites is presented in Figure 9. The route commences at the Bethel Substation (Point A, Elevation 28 ft). It is assumed the substation will be located slightly south of Bethel. The route proceeds from the substation southeast across approximately 34 miles of wetlands to Point B. At Point B the transmission line climbs out of the wetlands and into the foothills of the Kilbuk Mountains and continues another 23 miles to Golden Gate Falls (Point C, Elevation 800 ft) the nearest potential hydroelectric site located on the Kisaralik River. From Point C the route proceeds 4.9 miles to Kisaralik Lower Falls (Point D, Elevation 950 ft), and then continues 7.5 miles to Kisaralik Upper Falls (Point F, Elevation 1,140 ft) and finally 48 miles to Chikuminuk Lake hydroelectric site (Point F, Elevation 670 ft). The section of transmission line located between points A and D is situated within the Yukon Delta Wildlife Refuge. 8-2 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report Figure 9: Transmission Line Route Map 8.2 Voltage Selection Two transmission voltage levels were investigated as part of the study effort. Voltage levels considered were 69 kV and 138 kV. It was assumed that ultimately that Section A-C would carry the peak output from all three Kisaralik River sites and possibly all four hydroelectric sites. The installed capacity for each hydroelectric site, as previously identified in this report, is listed in Table 15 along with the accumulated capacity. Table 16 was developed to allow selection of a transmission voltage based on the amount of power (MW) that must be transmitted, and the distance involved. For example, if it is necessary to transmit 120 MW across 60 miles, then 138 kV is required. If the requirement is only 50 MW, then 69 kV is satisfactory. If the Golden Gate Falls project, located about 60 miles from Bethel, is the only project developed, then 69 kV would be satisfactory. However, if a second hydroelectric project, say the Lower Falls project, is developed, then it will be necessary to increase the voltage of the transmission line voltage to 138 kV to satisfactorily transmit the 61.1 MW combined output of the two sites the 60 miles to Bethel. It is reasonable to assume that, as the power demand in the Bethel region increases, more than one of the hydroelectric projects will be developed, and their combined output capacity will exceed the transmission capability of a 69 kV line. Therefore, it is recommended that any transmission line be constructed at the 138 kV voltage level. This basic analysis did not consider stability aspects of the transmission lines or the existing community electrical systems. 8-3 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report Table 15: Hydroelectric Project Golden Gate Falls Lower Falls Upper Falls Chikuminuk Lake Installed Capacity 27 MW 34.1 MW 27.7 MW 13.4 MW Accumulated Capacity 27 MW 61.1 MW 88.8 MW 102.2 MW Accumulated Distance 57 mi 61.9 mi 69.4 mi 117.4 mi Table 16: Transmission Line Capacity Comparison Line Voltage 40 Miles 60 Miles 80 Miles 100 Miles 120 Miles 138kV 140 MW 120 MW 100 MW 80MW 60MW 69KV 65 MW 50 MW 30 MW 20 MW ---- 8.3 Transmission Line Compensation For long transmission lines that are either lightly or heavily loaded, it is typically necessary to add capacitors on heavily loaded lines and reactors on lightly loaded lines to maintain line voltage within acceptable limits. The Anchorage-Fairbanks Intertie is equipped with a static- VAR compensation station, which combines both capacitors and reactors that are automatically controlled to maintain acceptable voltage limits. If the proposed transmission line is not extended past Upper Falls, it is not expected that any significant compensation would need to be installed at the substations. If the transmission line is extended to Chikuminuk Lake, it may be necessary to install reactive compensation in the substations to maintain acceptable voltage limits when the line is energized but not supplying load. 8.4 Structure Selection and Evaluation A single structure type was selected for evaluation as part of the study. This structure is the X- braced H-frame structure, shown in Figure 10, using sectionalized composite poles. The typical sections comprising a composite pole are shown in Figure 11. The sections are numbered to facilitate assembly. Composite poles are typically about one-third the weight of an equivalent wood pole, and 60 to 70% of the weight of steel poles. The budgetary construction cost associated for this structure will also be representative of other structures, such as the X-frame steel tower (Figure 10) or the un-braced H-frame. H-frames are simple, standard structures that are used throughout the electric utility industry. Several utilities in Alaska use direct embedded H-frame structures for their transmission lines. 8-4 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report Figure 10: Structure Types Figure 11: Sectional Composite Pole To determine the number of structures required, an average distance between structures (or average span length) is assumed based on prevalent terrain. An average span length of 1000 feet is used in the relatively flat wetland portions of the route, while an average span length of 800 8-5 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report feet is used in mountainous terrain, where irregular ground profile limits structure placement. Span length is a function of structure height, wind loading, ice loading, and ground profile. Typically structure heights will be in the range of 70 to 90 feet. An extreme wind loading of 100 mph has been assumed. Extreme ice loading is assumed at one inch radial ice with a 40 mph wind. These criteria are typical of those used in transmission line design in Alaska. It is anticipated that some adverse climatological conditions, such as localized rime icing, may be encountered at elevations in excess of 1000 ft. Such impacts are beyond the scope of this study. 8.5 Road and Trail Access From reviewing topographic maps, it does not appear there are any trails that could be utilized for constructing the transmission line. While no permanent roads will be built for maintaining the transmission line, temporary roads will need to be built along the corridor. This could include a primitive travel way in mountainous terrain and ice roads in the marshy wetland areas to allow movement of construction and maintenance equipment when terrain permits. In the marshy wetlands east of Bethel, approximately 34 miles of ice roads will need to be constructed to access the Kibuk Mountain foothills. Typically, government agencies will require twelve inches of frost in the ground and twelve inches of snow cover before allowing construction activity to proceed on wetlands. In a typical winter season, construction activities requiring ice road access probably would not commence until December and would need to end by mid-April to prevent damage to the vegetation. It is anticipated that ice roads would be built in December to allow construction activities to begin the first of January. 8.6 Helicopter Construction It is anticipated that one large Skycrane type helicopter and one smaller Astar helicopter would be used to assist with the transmission line construction. The helicopters would be used to transport equipment, materials, structures and personnel. The use of helicopters increases construction efficiencies and extends the construction window by allowing construction to continue after ice roads become usable in the spring. 8.7 Foundations H-frame structures can be direct-embedded in good native granular type soils, where the active layer is shallow. Direct-embedment is typically the most cost-effective foundation. In poor soils, they can be direct-embedded using gravel or rock backfill, or inserted in pipe-piles that are driven into good soils below the marshy soil layers and backfilled with gravel or other selected materials. Pipe-piles are typically used because of their omni-directional strength. Once the pipe- piles are installed, the soil inside the pipe-pile is removed with an auger to the appropriate depth, and the structure legs are placed in the pipe-piles and backfilled with gravel in much the same manner as if the structure legs were direct-embedded. Pile-driving equipment is typically heavy and travels slowly along the right-of-way. A typical steel pipe-pile foundation would be of 8-6 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report appropriate diameter, 40 feet in length, with a one-half inch wall thickness, driven to depth of 35 feet. 8.8 Conductor Selection A single conductor size, 556.5 ACSR, was evaluated. 556.5 ACSR is a typical conductor size used for 138kV transmission line and based on the distance from project sites to Bethel and power to be transmitted, 556.5 ACSR is a reasonable conductor size to use to develop a conceptual level budgetary cost analysis. Detailed design may determine that a different conductor size will provide optimum performance. However, the impact of changing from 556.5 ACSR to a different conductor size will result in only a very nominal change in the overall transmission line cost. ACSR is a type of overhead conductor that is composed of aluminum outer strands to provide good electrical conductivity and steel inter strands to provide strength. 8.9 Structure Erection The basic method for structure erection assumes the use of sectional poles and involves delivering the butt section of the structure to the site location prior to, or at the time of, the foundation completion. The butt section of the pole is inserted immediately after the foundation is completed; the remainder of the pole is attached to the butt section at a later time. This method is suitable for both pipe-pile and direct-embedment foundations. Final structure assembly can be completed at a later date by the erection crew. The remaining pole sections, crossarms, and other H-frame structure components can be delivered unassembled by vehicle, and final assembly of the structure is accomplished on-site with the aid of a crane. Alternatively, the remaining portions of the H-frame structure can be assembled at a marshalling area, transported and installed with the assistance of a helicopter; this would involve lowering the upper position of the H-frame onto the previously installed butt sections. This method increases efficiency because the erection crew need not be dispatched until several structures are ready for final assembly. It is not unreasonable to expect that a helicopter could deliver, at a minimum, 2-3 structures per hour, assuming a well-organized operation. It is assumed that a combination of ground base erection and helicopter erection will be used to construct the transmission line. 8.10 Conductor and Overhead Ground Wire Stringing Installation of conductor and standard ground wire (OGW) or optical overhead ground wire (OPGW), which contains a communication cable, involves installing travelers on the insulator string, pulling in a pilot line, then pulling in, splicing and sagging the conductor and OWG/OPGW. Later operations include tensioning and attaching the conductor to insulators, and OGW/OPGW to their supports, and installing vibration dampers if required. In some areas along the corridor, the conductor and overhead ground wire may be installed using a helicopter. It is assumed both OGW and OPGW are required to adequately protect the line conductors from lightning strikes. 8-7 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 8.11 Line Losses An approximate calculation for annual line losses using 556.5 ACSR conductor was made for seven development alternatives. These calculations are based on average annual hourly load current. The results are as shown in Table 17. Line losses are a function of the conductor size and distance. The smaller the conductor or the greater the distance the power must be transmitted, the higher the losses. Line losses are also proportional to the square of electric current flowing through the conductor. If the current is doubled, line losses will increase by a factor of four. Table 17: Annual Line Loss (GWh) Chikuminuk Lake Upper Falls Lower Falls Golden Gate Falls Golden Gate+Lower Golden Gate+Lower +Upper All Four Projects 0.7 0.3 0.6 0.3 1.7 3.2 6.0 8.12 Budgetary Cost Estimates This section presents the assumptions and summarizes the project cost estimates prepared for this report based on the criteria presented above. Project costs are in 2011 dollars, and include all costs required to obtain environmental permits and plan, develop, engineer, build, operate and maintain the transmission line. Right-of-way acquisition and costs are not included 5 . Budgetary cost estimates developed are consistent with those anticipated for a conceptual level analysis. Cost estimates were prepared as indicated in Table 18. The transmission line was broken down into five individual subsections as shown in Figure 9. Using the span length data, the number of tangent, angle and deadend structures for each subsection was determined. This information was used to calculate the number of poles, foundations, crossarms and insulators required along with required amount of conductor and overhead ground wire and their respective corresponding costs. The 34 mile section from Bethel to the Kilbuk Mountains (Section A-C, Figure 9) crosses marshy wetlands. It is assumed that two driven pile foundations, included in the Special Foundation row in Table 18, will be required for each structure for the entire length of this section. Once in the mountains (Section C-F) the majority of the poles will be direct buried, however, it is assumed that 25 percent of the structures will require special foundations, such as driven pile, drilling and blasting of holes or drilling and grouting of anchor bolts. These are also included as additional costs in Table 18 under the row heading Special Foundations. 5 At this point, no specific right of way costs are included as a transmission cost. The overall project cost estimate contains an allowance of about 2 percent of the construction cost for right of way acquisition. This will need further investigation in a subsequent phase if any of the projects are advanced for further study. Individual Projects Combined Projects 8-8 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report A separate row for Material Transportation is included in Table 18. The estimated transportation cost for shipping materials from Seattle to Bethel by ocean barge, offloading cargo from the ocean barge to river barges at Bethel and then transporting and offloading materials at a staging area on the east bank of the Kuskokwim River, perhaps at Napaskiak. It is assumed that a transmission line could be built to Golden Gate Falls, Lower Falls, and/or Upper Falls in a single winter/spring construction season. It is assumed that an ice road must be built between Point A and B to construct a transmission line to any of these three sites It is assumed that two winter/spring construction seasons are needed to construct a transmission line to the Chikuminuk Lake hydroelectric site. It is assumed that an ice road must be built between Point A and B for both construction seasons to support construction of the transmission line. Labor-plus-equipment costs are entered into Table 18 on a per mile basis. To develop construction cost the transmission line has been divided into the five sections described below: 1. Section A-B is 34 miles in length and cross the marshy wetlands between Bethel and the foothills of the Kilbuk Mountains. It is assumed this section of line will be constructed from an ice road using a combination of ground erection and helicopter erection. 2. Section B-C is 23 miles in length and extends between Point B and the Golden Gate hydroelectric site (Point C). This section of line is assumed to be constructed using both ground erection and helicopter erection and assumes an ice road has been constructed between points A and B. 3. Section C-D is 4.9 miles in length and extends from Golden Gate site to the Lower Falls project site. This section of line is assumed to be constructed using a combination of ground and helicopter erection and assumes an ice road has been constructed between points A-B. 4. Section D-E is 7.5 miles in length and extends from the Lower Falls project site to the Upper Falls site. This section of line is assumed to be constructed using a combination of ground and helicopter erection and assumes an ice road has been constructed between points A-B. 5. Section E-F is 48 miles in length and extends from the Upper Falls project site to the Chikuminuk Lake hydroelectric site. This section of line is assumed to be constructed using a combination of ground and helicopter erection and assumes an ice road has been constructed between points A and B. 8-9 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report Table 18: Budgetary Construction Cost, 2011 Dollars X‐Braced H‐Frame 795 ACSR   Design Span ft.1000 FT  Sections A‐C, 800 Ft Sections C‐F A‐BB‐CC‐DD‐EE‐FTotal Section Attributes Section length (miles)34 23 4.9 7.5 48 117.4 Accumulated length (miles)34 57 61.9 69.4 117.4 117.4 Tangent Str.165 110 27 37 289 628 Small Angle Str.431161 Medium Angle Str.211561 Large  Angle Str.111561 Double  Deadends862210 Poles, Total 375 253 69 113 662 1472 Tangent Poles 330 220 54 74 578 1256 Small Angle Poles1293318 Medium Angle Poles 6 3 3 15 18 45 Large  Angle Poles 3 3 3 15 18 42 Double Deadends Poles 24 18 6 6 30 84 Materials Quantities Conductor, 1000 ft. 565.5 382.5 81.5 124.7 798.3 1952.6 OHGW, 1000 ft. 188.5 127.5 27.2 41.6 266.1 650.9 OPGW, 1000 ft 188.5 127.5 27.2 41.6 266.1 650.9 CrossArms 369 250 66 98 644 1427 X‐Braces 342 229 57 77 596 1301 Insulators 1287 885 261 465 2274 5172 Special Foundations 375 63 17 28 166 649 Materials Costs, Total 11,415,501$     5,721,756$          1,464,333$          2,328,946$          14,132,170$        35,062,707$           Material  Cost, Poles 2,940,000$        1,983,520$          540,960$              885,920$              5,190,080$          11,540,480$           Material  Cost, Conductor 1,266,693$        856,881$              182,553$              279,418$              1,788,273$          4,373,817$             Material  Cost, OHGW 316,673$           214,220$              45,638$                69,854$                447,068$              1,093,454$             Material  Cost, OPGW 650,989$           446,634$              98,464$                150,024$              924,314$              2,270,424$             Material  Cost, CrossArms 743,904$           504,000$              133,056$              197,568$              1,298,304$          2,876,832$             Material  Cost, X‐Braces 574,560$           384,720$              95,760$                129,360$              1,001,280$          2,185,680$             Material  Cost, Insulators 432,432$           297,360$              87,696$                156,240$              764,064$              1,737,792$             Material  Cost, Misc. Hardware 84,000$              56,672$                15,456$                25,312$                148,288$              329,728$                 Special Foundations 2,437,500$        409,500$              110,500$              182,000$              1,079,000$          4,218,500$             Material  Transportation 1,968,750$        568,250$              154,250$              253,250$              1,491,500$          4,436,000$             Labor + Equip, Total 19,995,600$     13,518,200$        2,908,710$          4,416,250$          33,665,488$        74,504,248$           Labor + Equip  Cost per Mile 552,900$           552,900$              552,900$              552,900$              657,906$               X‐Brace  Labor 1,197,000$        801,500$              199,500$              269,500$              2,086,000$          4,553,500$             Labor + Equip + Material, Total 31,411,101$     19,239,956$        4,373,043$          6,745,196$          47,797,658$        109,566,955$         10% Engr. Admin Inspection 3,141,110$        1,923,996$          437,304$              674,520$              4,779,766$          10,956,695$           Section Cost, Total 34,552,211$     21,163,952$        4,810,347$          7,419,716$          52,577,424$        120,523,650$         20% Contingency 6,910,442$        4,232,790$          962,069$              1,483,943$          10,515,485$        24,104,730$           Section Cost with Contingency, Total 41,462,654$     25,396,742$        5,772,416$          8,903,659$          63,092,909$        144,628,380$         Cost per Mile  1,219,490$        1,104,206$          1,178,044$          1,187,154$          1,314,436$           Accumulated  Total   41,462,654$     66,859,396$        72,631,812$        81,535,471$        144,628,380$      Accumulated Average Cost Per Mile 1,219,490$        1,172,972$          1,173,373$          1,174,863$          1,231,928$           5 5 4 28 45 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 8-10 May 2011 A review of the information in Table 18 establishes that cost of constructing a transmission line using braced H-frame construction is approximately $1.17 million per mile between points A and E, and approximately $1.3 million per mile from Point E to Point F. The cost of constructing a similar transmission line between Bethel and Donlin Creek mine site was estimated at approximately $750,000 in a 2004 study, but this was for a line that was built along the Kuskokwim River and did not require the construction of an ice road. Adjusting the $750,000 from this 2004 dollar figure to 2011 dollars and adding in the cost of the ice road, a cost of approximately $1.025 million per mile is obtained. This compares reasonably with the budgetary estimate cost derived in this study of $1.17 million per mile. The difference of $145,000 is mainly due to the increased cost of logistical support required to supply and construct a transmission line that will terminate at a hydroelectric site that is located, at a minimum, of 57 miles distance from the Kuskokwim River. The cost of constructing a transmission line using X-frame steel structures would be similar cost to the braced H-frame line. When using X-structures, four steel piling must be driven at every structure: two for foundations, and two for anchors. However, smaller piles can typically be used, which offset the cost of driving the two additional piles. Transmission lines constructed using un-braced H-frames are generally only a few percent less expensive than lines using X- braced H-frames. This is because un-braced H-frames are not structurally as strong as a braced H-frame, so the distance between structures must be decreased and more structures must be installed (or a stronger, and thus heavier and more expensive, pole must be used). While installing more structures is typically not an issue where there is relative easy access to the transmission line corridor, it does become an issue when delivering and erecting structures with the aid of a helicopter or transporting structure materials long distances over an ice road. The ultimate decision of which type of structure or combination of structure types will used to construct the transmission line will be determined one of the projects moved to the design phase. 9-1 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 9 Fish Passage Considerations In accordance with the Fishway Act of the Alaska Statutes, new facilities constructed across streams frequented by salmon or other fish shall be provided “…with a durable and efficient fishway and a device for efficient passage for downstream migrants.” The following sections present concepts for upstream fish passage (fishway) and downstream passage for juvenile out- migrants as required by AS 16.05.841. Concepts herein are developed based on limited physical and biological information. The preference would be to incorporate means that involve limited or no human intervention or maintenance. The intent in this section is to provide a basis for estimating an appropriate cost. If any of the projects are advanced to a further phase of study, fish passage considerations and the formulation of appropriate fish handling concepts will be of critical importance. 9.1 Chikuminuk Lake / Allen River Hydroelectric Project Fish Passage This section presents potential fish passage concepts for the Allen River below Chikuminuk Lake. Fish passage facilities would provide passage for adult fish migrating upstream from the river into the lake and for juvenile or resident fish moving downstream past the dam. Fish species reported at this site include primarily resident species. Presence of anadromous species has not been documented in Chikuminuk Lake or the Allen River at the base of the dam (ADFG, 1964). Fish passage criteria for the design of these facilities would meet current ADFG and NOAA Fisheries guidelines. 9.1.1 Upstream Passage Upstream fish passage would be provided from the tailwater pool at the base of Chikuminuk Dam at the farthest upstream point in the Allen River. This assumes that a nominal minimum flow would be maintained in this reach. This location would collect fish in a holding pond for loading into a fish transport truck for transport into the lake. The low level outlet would be configured to direct flow into a small tailrace area fish ladder to promote fish attraction into a trapping and holding facility. Based on the assumption that passage would be primarily for resident species, the holding facility would contain only two ponds (6 ft wide, 40 ft long, 3 to 5 ft depth) with mechanical crowders that will guide fish into a hopper. The transfer hopper would hoist fish up to a fish transport truck allowing a water to water transfer of fish. Cold weather operation would include a metal structure to enclose the working areas. One, or more, fish transport trucks would be required to transport fish from the trap facility to the lake. 9-2 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 9.1.2 Tailrace Barrier A tailrace barrier would be installed approximately at the bank line at the powerhouse. At an average approach velocity of 1 fps a wetted area of about 1,400 sf would be provided. The barrier would consist of a bar rack constructed of either polyethylene or steel with a maximum of 1 in clear space between bars. Final spacing may be reduced based on the final target fish species. Due to the narrow spacing required to preclude fish from passing through the rack, and depending upon the actual physical arrangement and site conditions, debris may need to be managed with a mechanical trash rack installed to clean the upstream side and reduce the tailwater impact on the turbine. 9.1.3 Downstream Fish Passage Downstream passage or out migrating juveniles or resident species would include a floating surface collector (FSC) located near the intake to take advantage of the natural currents. A FSC system would operate over the full fluctuation of the reservoir. The downstream passage system includes the FSC, a fish transfer or locking system, an evaluation structure and a release structure downstream of the adult collection system. The FSC provides attraction flow using low head submersible pumps installed in a floating fixed panel fish screen structure. The intent of the FSC is to provide favorable currents near the outlet of the reservoir that will guide fish away from the intake. Guide nets are deployed in peak seasons to isolate the intake and physically guide the fish closer to the FSC. Nets would be lowered during cold weather. A net transition structure between the guide nets and FSC transitions from the porous net to the FSC and allows a gradual transition of velocities into the structure. The FSC is constructed similar to a ship dry dock with the screening equipment enclosed within the hull. The hull size from similar installations would be about 60 ft wide by 135 ft long. For this site it is assumed that an attraction flow of 500 cfs would be provided through two submersible low head pumps. Once inside the FSC screening structure fish are guided to the aft end of the vessel into a higher velocity channel that serves to trap the fish and committing them to the bypass system. Fish collected on the FSC can be held in holding ponds or can be directly transferred into a multi chamber fish lock that would collect fish and then lower them to near tailwater levels using screened drains. The lock would be constructed of reinforced concrete adjacent to the intake tower. Once at the lower level fish are released into a 36 inch diameter transport pipeline that would be constructed through the dam within the lining of the power tunnel. On the downstream side of the dam fish can be routed into an evaluation and holding facility for monitoring and enumeration or directly release to the river. To avoid the possibility of entrainment into the adult collection system the release point is assumed to be located downstream of the powerhouse. 9-3 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 9.1.4 Fish Passage Facility Operation The fish passage facilities would be operated to coincide with the migration timing for target species. The upstream passage structures would be designed for cold weather and ice in the river. The FSC can be de-ballasted up when not in operation to minimize the draft in the lake ice. The structure would need special design features to manage ice forces and snow. 9.2 Kisaralik River Projects This section identifies potential upstream passage alternatives for the Kisaralik River projects. Fish passage components would include: • Trap and haul system for upstream adult passage • Tailrace barrier • Floating surface collector for downstream juvenile passage Fish species reported in this section of the Kisaralik River include both anadromous and resident species. Chinook (king) and coho (silver) are the primary commercial species. Fish passage criteria for the design of these facilities would be required to meet current ADFG and NOAA Fisheries guidelines. 9.2.1 Upstream Passage Volitional upstream passage is not considered feasible due to the overall vertical rise and the fluctuation in lake levels. Alternately, a trap and haul system would be constructed downstream of the powerhouse tailrace area. This facility would include a fish collection weir that would also serve as a tailrace barrier, trapping and holding ponds, enumeration and evaluation features and a fish loading structure. The tailrace fish barrier would serve as a barrier to upstream fish movement and to guide fish to a fish ladder entrance. The barrier would be located upstream of the spillway discharge to avoid high flow and debris limitations. Assuming a design flow of 2,100 to 4400 cfs, either a velocity barrier or rack barrier would be possible. For the purpose of this study a rack barrier is assumed. A design approach velocity of 1 fps would require 2100 sf to 4400 of wetted rack area or 10 ft high and 210 to 440 ft wide. The rack is assumed vertical but can be angled to increase the wetted area if channel depth is limited. Bar spacing would be 1 inch. Due to the narrow spacing required to preclude fish from passing through the rack, debris will need to be managed with a mechanical trash rack installed to clean the upstream side and reduce the tailwater impact on the turbine. The rack would be constructed on a base slab with structural supports at about 10 ft on center. Its alignment would be dependent on the channel width but should be angled to the alignment of the channel to help guide fish to the ladder entrance. 9-4 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 9.2.2 Trap and Haul Facility A fish ladder would collect fish from the barrier and elevate them into concrete holding ponds. Depending on the management requirements at the site, fish would exit the ladder into an evaluation station or through a sorting system. For transport of fish into the river above the dam, only two holding ponds (8 ft wide, 100 ft long, 3 to 5 ft depth) would be provided. If the facility is to collect hatchery stock in the future, additional ponds and holding area would likely be required. Ponds would be equipped with mechanical crowders that will guide fish into a hopper. The transfer hopper would hoist fish up to a fish transport truck allowing a water to water transfer of fish. This facility is assumed to operate all year and would include a metal structure to enclose the working areas. A fish transport truck would be required to transport trapped fish from the trap facility to the reservoir. After being loaded from the hopper, the truck would use a new project roadway from the trap-and-haul facility to release the fish into the reservoir at a location sufficiently upstream of the guide nets, or at any other location that provides convenient access and sufficient protection of the fish. 9.2.3 Downstream Fish Passage Downstream passage or out migrating juveniles or resident species would include a floating surface collector (FSC) located near the intake to take advantage of the natural currents. This type of surface collector is not a full exclusionary screen but they have been shown to provide capture efficiencies approaching 90%. A FSC system would allow full fluctuation of the reservoir. The downstream passage system includes the FSC, a fish hopper or locking system, an evaluation structure and a release structure downstream of the adult collection system. The FSC provides attraction flow using low head submersible pumps installed in a floating fixed panel fish screen structure. The intent of the FSC is to provide favorable currents that will guide fish away from the intake. Guide nets are deployed in peak seasons to isolate the intake and physically guide the fish closer to the FSC. Nets would be lowered during cold weather. A net transition structure between the guide nets and FSC transitions from the porous net to the FSC and allows a gradual transition of velocities into the structure. The FSC is constructed similar to a ship dry dock with the screening equipment enclosed within the hull. The hull size from similar installations would be about 60 ft wide by 135 ft long. It is assumed that an attraction flow of 500 cfs to 1,000 cfs would be provided through four submersible low head pumps. Once inside the FSC screening structure, fish are guided to the aft end of the vessel into a higher velocity channel that serves to trap the fish and committing them to the bypass system. Fish collected on the FSC can be held in holding ponds or can be directly transferred into a multi chamber fish lock that would collect fish and then lower them to near tailwater levels using screened drains. The lock would be constructed of reinforced concrete adjacent to the intake tower. Once at the lower level fish are released into a 36 inch diameter transport pipeline that would be constructed through the dam within the lining of the power tunnel. On the downstream side of the dam fish can be routed into an evaluation and holding facility for monitoring and Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 9-5 May 2011 enumeration or directly release to the river. To avoid the possibility of entrainment into the adult collection system the release point is assumed to be located downstream of the powerhouse. 9.2.4 Fish Passage Facility Operation The fish passage facilities would be operated to coincide with the migration timing for target species. The upstream passage structures would be designed for cold weather and ice in the river. The FSC can be de-ballasted up when not in operation to minimize the draft in the lake ice. The structure would need special design features to manage ice forces and snow. This page left blank intentionally. 10-1 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 10 Environmental and Permitting Analysis 10.1 Introduction There are several regulatory approvals and permits necessary to facilitate development of a hydroelectric project at either the Kisaralik River or Chikuminuk Lake sites. The governing approval process is licensing under Federal Energy Regulatory Commission (FERC) regulations. FERC is responsible for issuing licenses to both private entities, such as corporations, and public entities, such as states or municipalities, for the purpose of constructing, operating, and maintaining dams, water conduits, reservoirs, power houses, transmission lines, or other works associated with hydroelectric projects. New, non-Federal hydroelectric projects in Alaska are subject to FERC regulations, unless there are no Federal lands and no navigable waterways involved. The regulatory approval and permit processes need to be evaluated for implications on schedule and cost, and how information needed for permits and environmental studies could potentially be bundled together into parallel work efforts. The timing of studies and the preparation of permit packages would need to be oriented around fieldwork seasons. However, it is generally prudent to start permitting consultation work early to ensure that required studies can be conducted at proper times. 10.2 FERC Preliminary Permitting A FERC preliminary permit, issued for up to three years, does not authorize construction; rather, it maintains priority of application for license (i.e., guaranteed first-to-file status) while the permittee studies the site and prepares to apply for a license. The permittee must submit periodic reports on the status of its studies. It is not necessary to obtain a preliminary permit in order to apply for or receive a FERC license. An application for a preliminary permit must include the following: • Initial Statement • Exhibit 1 • Exhibit 2 • Exhibit 3 The Initial Statement includes the applicant name, location of the proposed project, a discussion of whether or not the applicant is claiming “municipal preference” under section 7(a) of the Federal Power Act (FPA), and the proposed term of the permit (not to exceed 36 months). If the applicant is a municipality, it must submit copies of applicable State or local laws or a municipal charter or, if such laws or documents are not clear, any other appropriate legal authority, evidencing that the municipality is competent under such laws to engage in the business of development, transmitting, utilizing, or distributing power. 10-2 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report Exhibit 1 must contain a description of the proposed project, specifying and including, to the extent possible: (1) The number, physical composition, dimensions, general configuration and, where applicable, age and condition, of any dams, spillways, penstocks, powerhouses, tailraces, or other structures, whether existing or proposed, that would be part of the project; (2) The estimated number, surface area, storage capacity, and normal maximum surface elevation (mean sea level) of any reservoirs, whether existing or proposed, that would be part of the project; (3) The estimated number, length, voltage, interconnections, and, where applicable, age and condition, of any primary transmission lines whether existing or proposed, that would be part of the project; (4) The total estimated average annual energy production and installed capacity (provide only one energy and capacity value), the hydraulic head for estimating capacity and energy output, and the estimated number, rated capacity, and, where applicable, the age and condition, of any turbines and generators, whether existing or proposed, that would be part of the project works; (5) All lands of the United States that are enclosed within the proposed project boundary; and (6) Any other information demonstrating in what manner the proposed project would develop, conserve, and utilize in the public interest the water resources of the region. Exhibit 2 is a description of studies conducted or to be conducted with respect to the proposed project, including field studies. Exhibit 2 must supply the following information: • Study Plan containing a description of: (i) Any studies, investigations, tests, or surveys that are proposed to be carried out, and any that have already taken place, for the purposes of determining the technical, economic, and financial feasibility of the proposed project, taking into consideration its environmental impacts, and of preparing an application for a license for the project; and (ii) The approximate locations and nature of any new roads that would be built for the purpose of conducting the studies. • Work Plan and Schedule containing: (i) A description, including the approximate location, of any field study, test, or other activity that may alter or disturb lands or waters in the vicinity of the proposed project, including floodplains and wetlands; measures that would be taken to minimize any such disturbance; and measures that would be taken to restore the altered or disturbed areas; and (ii) A proposed schedule (a chart or graph may be used), the total duration of which does not exceed the proposed term of the permit, showing the intervals at which the studies, investigations, tests, and surveys are proposed to be completed. • Statement of Costs and Financing, specifying and including, to the extent possible: (i) The estimated costs of carrying out or preparing the studies, investigations, tests, surveys, maps, plans or specifications identified under paragraph (c) of this section; and (ii) The expected sources and extent of financing available to the applicant to carry out or prepare the studies, investigations, tests, surveys, maps, or plans. Exhibit 3 must include a map or series of maps, to be prepared on United States Geological Survey topographic quadrangle sheets or similar topographic maps of a State agency, if available. The maps must show: (1) The location of the project as a whole with reference to the affected stream or other body of water and, if possible, to a nearby town or any permanent monuments or objects that can be noted on the maps and recognized in the field; (2) The relative locations and physical interrelationships of the principal project features; (3) A proposed 10-3 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report boundary for the project, enclosing any dam, reservoir, water conveyance facilities, powerplant, transmission lines, and other appurtenances; (4) Areas within or in the vicinity of the proposed project boundary which are included in or have been designated for study for inclusion in the National Wild and Scenic Rivers System; and (5) Areas within the project boundary that, under the provisions of the Wilderness Act, have been designated as wilderness area, recommended for designation as wilderness area, or designated as wilderness study area. 10.3 FERC Licensing Successful FERC licensing requires careful upfront planning and extensive consultation. At the outset, “the applicant’s”6 goals and objectives (drivers) for FERC licensing must be identified. These goals and objectives may include efficiency in terms of costs and schedule, helping to keep the licensing on track to fit the applicant’s and Federal Energy Regulatory Commission (FERC) requirements. There would need to be participation by a variety of Federal, State, and local agencies. Non-governmental entities, tribes, and the general public may also participate. The applicant may choose to use one of three FERC licensing processes. The default process is the Integrated Licensing Process (ILP). FERC regulations allow use of the Traditional Licensing Process (TLP) or Alternative Licensing Process (ALP) if a waiver is granted. FERC licensing work may be divided into the following tasks: • Project Management and Meetings • Early Licensing Activities • Development of Pre-Application Document (PAD), Schedule, and Notice of Intent (NOI) • Scoping and Study Plan Approval • Conduct Engineering and Environmental Studies • Preliminary Licensing Proposal (PLP) • Development of Final License Application (FLA) • Post-FLA Activities and Section 401 Water Quality Certification. These tasks are discussed in detailed below. 10.3.1 Project Management and Meetings A FERC licensing process is dynamic and requires flexibility. An effective FERC licensing project manager will spend time coordinating the work of various team members, communicating regularly with FERC licensing experts, quality assurance advisors, and task leaders to ensure that budgets and schedules are in line with estimates. As it is challenging to anticipate all issues during the initial scoping phase, an effective project manager would need to keep the applicant informed of tasks that may require greater or reduced effort over time. A prime objective may be to eliminate any surprises in the budget, and to revisit study strategies as 6 The term “applicant” is used to refer to whatever entity is established or designated as the entity to acquire the FERC license. 10-4 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report needed to keep the process on track. Coordination will help ensure that task leaders are focused on the resolution of issues. Such an approach would save the applicant money, both in the effort applied in the licensing services and in the form of the mitigation proposals forwarded to FERC in the Final License Application. The Project Manager, FERC licensing expert, and study leads typically participate in key internal team meetings and selected meetings with the resource agencies. Much of the meeting effort can be accomplished through teleconferences to save money. For public and/or resource agency meetings, the applicant and/or its consultants would need to prepare agendas, handout materials, and draft and final meeting summaries. 10.3.2 Early Licensing Activities Early licensing activities “set the stage” for the subsequent FERC licensing effort. Activities may include identification of licensing goals and objectives, anticipated and desired outcomes, and any lessons-learned from relevant proceedings (such as previous FERC licensing efforts in the vicinity). It is important that all license team members develop a collective understanding of the applicant’s licensing goals and objectives, applicable regulations, agency and stakeholder group positions, and specific circumstances and issues relating to the project. Other early licensing activities may include: • Assembling a project “library” with license materials • Preparing written documentation of all proposed project facilities • Assembling a GIS database • Assembling historic and natural resources files • Identifying and reviewing all relevant resource agency management plans • Agreeing upon an approach to information management and document control • Identifying a project schedule, protocols, licensing proposal, and internal evaluation process • Identifying staffing needs, a risk assessment, and recommendations In developing FERC licensing goals, the applicant should consider: • Existing policies and procedures • Expectations related to protection, mitigation, and enhancement (PM&E) measures • How the future power and energy is to be used • Potential for developing additional capacity at the plant in the future • Watershed management plans • Recreation and access needs • Importance of receiving a FERC license in a timely fashion • Importance of maintaining establishing and/or maintaining good relationships with resource agencies, tribes, and the public • Security risks and concerns • Dam safety concerns 10-5 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report The applicant would need to identify potential stakeholders and the current status of relationships for licensing of the project. Potential stakeholders may include: • U.S. Fish and Wildlife Service (USFWS) • U.S. Department of Interior (USDOI) • U.S. Geological Survey (USGS) • U.S. Army Corps of Engineers (USACE) • U.S. Environmental Protection Agency (USEPA) • U.S. Federal Energy Regulatory Commission (FERC) • Alaska Department of Fish and Game (ADF&G) • State Fish and Game Advisory Committees • Alaska Department of Natural Resources (ADNR) • ADNR State Historic Preservation Office (SHPO) • Alaska Department of Environmental Conservation (ADEC) • City of Bethel and the surrounding villages • Yukon Kuskokwim Health Corporation (YKHC) • Association of Village Council Presidents (AVCP) • Association of Village Council Presidents Regional Housing Authority (AVCP RHA) • The Nature Conservancy of Alaska • Waterfowl Conservation Committee • Regional Subsistence Advisory Council • Kuskokwim Fisheries Working Group • Orutsaramiut Native Council • Cenaliulriit local Coastal Zone Management Council • Possibly the communities in the Bristol Bay region (for the Chikuminuk Lake project) 10.3.3 Pre-Application Document, Schedule, and Notice of Intent As described above, the default process for FERC licensing is the Integrated Licensing Process (ILP). The purpose of the ILP is to provide an efficient and timely licensing process that ensures appropriate resource protections through coordination of FERC’s processes with those of Federal and State agencies that have authority to condition hydropower licenses. The ILP requires submittal of a Pre-Application Document (PAD). Based on information collected during early licensing, the PAD will include: existing project facility, location, and operating descriptions; existing environmental information; a process plan and schedule; interest statements; and draft study plans negotiated with stakeholders. The applicant may wish to contact a few select resource agencies for information that would be cited and used in the PAD (a standard questionnaire can be used to query the agencies). Use of the Traditional Licensing Process (TLP) may be preferable to the applicant, FERC, and other stakeholders. The ILP is best suited to controversial projects where study plans and results are likely to be disputed, while the TLP is best suited to non-controversial projects where study plans and results are unlikely to be disputed. The TLP typically requires less FERC input and 10-6 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report stakeholder input prior to License Application filing than does the ILP, resulting in lower costs and fewer scheduling conflicts for applicants. The applicant would need to notify FERC of its intent to file for a license at the time it files a PAD. This Notice of Intent (NOI) may include a request to serve as a non-Federal representative for Endangered Species Act and National Historic Preservation Act consultations. By obtaining this authority, the applicant can facilitate closure on issues and consultation with USFWS and SHPO. The NOI may also include a request to use the TLP, as opposed to the ILP. Newspaper notices are required to accompany publication of the PAD/NOI. 10.3.4 Scoping and Study Plan Approval Within 60 days of the NOI and filing of the PAD, FERC will issue a notice of commencement of proceeding in the Federal Register. Assuming the ILP is used, FERC will also issue Scoping Document 1. This would initiate the ILP’s Study Plan Approval and Scoping Process. Activities include assisting FERC with the development of a scoping document, site visit and scoping meeting, review of PAD comments and study requests from agencies, development of formal study plans, and participation in a study plan meeting to finalize study plans for FERC approval. 10.3.5 Conduct Engineering and Environmental Studies Multidisciplinary studies would be required to evaluate project effects. These required studies may include: • Hydrologic information development • Engineering analyses, designs, and drawing preparation • Water quality assessment (temperature, dissolved oxygen, etc.) • Fish community survey and/or habitat assessment • Fish entrainment mortality study (desktop) • Fish stranding study • Macroinvertebrate and/or unionid surveys • Botanical and/or wildlife surveys, including wetlands and rare, threatened, and endangered species • Wildlife habitat mapping • Archaeological and historical resource surveys • Recreation inventory and opportunity identification • Land management study • Visual resource inventory and impact assessment Based on a review of existing information for the Kisaralik and Chikuminuk Lake areas, it is anticipated that the several biological and social resource issues will arise during licensing, including project effects on fisheries, threatened and endangered species, land use, recreation, cultural resources, and socioeconomics. 10-7 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report The Kisaralik River sites are within the Yukon Delta National Wildlife Refuge (YDNWR). While the Kisaralik River was evaluated for Wild and Scenic River designation, it is not included on the National Park Service’s Nationwide Rivers Inventory. The Kisaralik supports king, sockeye, pink, coho and chum salmon, each of which is vital to the region’s economy. Other important freshwater resident species include several species of whitefish, sheefish, Alaska blackfish, burbot, northern pike, Dolly Varden, rainbow trout, and grayling. The effects of the hydroelectric projects on these fish species would be mitigated by the development of fish passage facilities (see Section 9). As described on USFWS website (http://yukondelta.fws.gov), the YDNWR supports one of the largest aggregations of water birds in the world. Over one million ducks and half a million geese breed here annually and in some summers, up to a third of the continent's northern pintails can be found on the refuge. In addition, nearly 40,000 loons, 40,000 grebes, 100,000 swans and 30,000 cranes return to the refuge each spring to nest. Millions of shorebirds use the refuge for both breeding and staging. In terms of both density and species diversity, the delta is the most important shorebird nesting area in the country. The refuge hosts approximately 80 percent of the continental breeding population of black brant and nearly all emperor geese. Cackling Canada and Pacific greater white-fronted geese number over 175,000 and 420,000, respectively. Principal species of ducks that occur on the refuge include northern pintail, greater scaup, and wigeon. The formerly abundant spectacled eiders (federally threatened) have declined precipitously over the last 25 years. Nineteen species of raptors have been recorded on the refuge, including golden eagles, bald eagles, and peregrine falcons. The Kisaralik River is among the most important areas on the refuge for nesting raptors, and supports one of the densest breeding populations of breeding golden eagles in North America. Historically, caribou occurred on the Yukon-Kuskokwim Delta in large numbers and were the most abundant ungulate. Numbers peaked in the 1860s and during this period, caribou ranged over much of the refuge. Caribou subsequently disappeared from the region with the exception of small, remnant herds in the Kilbuck and Andreafsky Mountains. In recent years, up to 40,000 animals from the Mulchatna Caribou Herd have migrated onto the eastern portions of the refuge during the fall and winter period. The ancestral home of the Yup’ik Eskimo, the YDNWR includes more than 40 Yup’ik villages whose residents continue to live a largely subsistence lifestyle (USFWS Informational Brochure for the YDNWR, dated February 2003). As is the case on most other Alaskan refuges, management activities on the YDNWR focus on projects related to wildlife and habitat monitoring rather than on any form of habitat manipulation. The information resulting from monitoring forms the heart of the YDNWR's management program: an information exchange with the 25,000 residents that live in small isolated villages within the refuge boundary. Through organized groups such as the Waterfowl Conservation Committee, the Regional Subsistence Advisory Council, the State Fish and Game Advisory Committees, and the Kuskokwim Fisheries Working Group, YDNWR staff and area residents discuss concerns and address resource problems. The YDNWR provides some of the nation's most productive subarctic goose habitat. Surveys and studies related to the productivity of goose and other waterfowl provide much of the information used to carry out the refuge's management activities. This work is conducted by YDNWR staff, in partnership with the 10-8 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report Service's Migratory Bird Management office, the USGS Biological Resources Division, various universities, and other partners. The work described above is conducted with the help of tools to transport biologists and others to the far reaches of the refuge. Aircraft, boats and snowmachines make it possible to carry out day-to-day responsibilities (see “Management” page of USFWS website, http://yukondelta.fws.gov). Although not typically found in National Wildlife Refuges, hydroelectric projects may be permissible in the YDNWR, as there are no explicit prohibitions in the National Wildlife Refuge System Administration Act of 1966 or in the National Wildlife System Improvement Act of 1997. The permissibility of hydroelectric development construction and operation would be determined by the Secretary of the Interior on a case-by-case basis under existing law. It should be noted that development and operation of the Terror Lake Hydroelectric Project was determined to be permissible within Alaska’s Kodiak National Wildlife Refuge, despite public opposition; a 50-year FERC license for this project was issued in 1981. The Terror Lake Project went into service in 1985, and provides much of the electricity to the Community of Kodiak. All YDNWR lands are open to all hunting consistent with State and Federal regulations. A State of Alaska hunting license is required for all hunting activities on the refuge. Opportunities for big game hunting are limited because of low populations, reflective of the available habitat on the refuge for these species. Several big game guides do provide opportunities for bear, caribou, and muskox hunting. Waterfowl hunting is allowed with appropriate State and Federal Duck Stamps along with a State of Alaska hunting license. Subsistence fishing far exceeds sport fishing use throughout the refuge, although all of Yukon Delta’s waters are open to fishing consistent with State and Federal regulations. A State of Alaska fishing license is required to fish on the refuge. Several rivers provide angling opportunities for all five North American species of Pacific salmon, rainbow trout, grayling and other species. Aircraft, power-boats and river rafts are the most common vehicles for accessing the refuge to fish. YDNWR lands are open to trapping of furbearing animals consistent with State and Federal regulations. Appropriate State of Alaska trapping licenses are required (see “Visiting the Refuge” page of USFWS website, http://yukondelta.fws.gov). Chikuminuk Lake lies within the Upper Tikchik Lakes unit of Wood-Tikchik State Park. The lake is quite far up in the watershed, and this area has been designated as “Wilderness”. As described in the 2002 “Wood-Tikchik State Park Management Plan”: “Units designated Wilderness should have no man-made conveniences within their boundaries, except for the most primitive of trails, minimum trail maintenance, and signing. Developments or other improvements will be undertaken only where it has been determined that significant threats to public safety exist or to reduce adverse impacts on the area's resources and values and after consultation with the Park Management Council.” The Wilderness land use designation presents a potential major issue for future hydroelectric development. The 2002 Woods-Tikchik State Park Management Plan states: “Chikuminuk Lake has also been considered in the past for hydroelectric development, although it has not received the legislative recognition of Lake Elva and Grant Lake. Hydroelectric development at sites other than Lake Elva and Grant Lake is incompatible with the special park purpose management mandated by the Legislature and therefore already prohibited by law. The park enabling legislation must be amended to 10-9 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report specifically allow hydroelectric development at Chikuminuk Lake.” The extent to which hydroelectric development could be successful at Chikuminuk Lake will depend on the nature and types of facilities at or near the lake (or on Allen River) along with the Park’s desire to amend its management plan. The Bureau of Reclamation requested USFWS views on the effects of a proposed hydroelectric just below Chikuminuk Lake in 1963. In its letter response to this request, dated May 1, 1964, Mr. Harry Rietze, Regional Director, stated that, on the basis of preliminary information, it is probable that a dam at the outlet of Chikuminuk Lake would have little effect on anadromous fish other than that caused by the dewatering of the lower sections of the Allen River which are used for spawning by sockeye salmon. Further, Mr. Rietze stated that if the project were authorized, detailed studies would be needed to determine the exact status of anadromous fish in the project area, to develop measures to preserve the spawning habitat in the lower Allen River, and to identify and mitigate other adverse environmental effects, should they occur. There are concentrations of brown bear in the Upper Tikchik Lakes unit of the Wood-Tikchik State Park, probably because of the area's remoteness, its freedom from disruptions, adequate food sources, and good habitat. The Mulchatna caribou herd migrates through this management unit. Salmon do not migrate into Chikuminuk Lake 7 . Without the salmon's significant contribution to the lakes’ and rivers’ food chains (in the form of eggs, young rearing fish, and carcasses), resident fish are not plentiful. Nonetheless, the area is fished for rainbow trout, Arctic char, grayling, and lake trout. The effects of the hydroelectric projects on these fish species would be mitigated by the development of fish passage facilities (see Section 9). The management unit also includes the upper Allen River, which drains Chikuminuk Lake south into Chauekuktuli Lake. The glacial waters of Milk Creek, entering Chikuminuk Lake from the mountains to the west, impart a silty appearance to the lake's water. Vegetation is mostly open, being composed of low-growing tundra species. Valleys and other protected areas support taller growth, such as willow, alder and cottonwood. The main use of this unit is by hunters in the fall who are primarily targeting moose and caribou. Because of dangerous rapids on the Allen River, Chikuminuk Lake is very rarely used as a staging point for longer trips. Subsistence use also occurs, although it is thought to be quite limited. Most villagers using the lakes and rivers in the unit are from Koliganek, New Stuyahok and Ekwok. They harvest moose, caribou, trout, black bear, brown bear, and furbearers, although these species are much more readily accessible along the Nushagak River and on the lower Nuyakuk River. The unit offers opportunities for hiking around the lakes because of the higher elevations and minimal brush. The upper Allen River can be explored on foot from Chikuminuk Lake. Nonetheless, little recreation occurs in this unit because of its remote location and the expense of air charter. There are three private parcels in this unit. Two are located along the eastern border of the park and one at the outlet of Chikuminuk Lake. The use of a motorized boat is prohibited on Chikuminuk Lake. This is the only lake in the park that is non-motorized. The restriction is intended to provide park visitors with a unique wilderness experience on a large lake in the park. This regulation does not affect the use of aircraft to take off and land on Chikuminuk Lake (2002 “Wood-Tikchik State Park Management Plan”). 7 Although it is believed that salmon do not migrate into the lake, future study of a hydropower project would need to address impacts to downstream conditions with respect salmon (as well as other species). 10-10 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 10.3.6 Preliminary Licensing Proposal Following completion of engineering and environmental studies, the applicant may file for comment a Preliminary Licensing Proposal (PLP). This document describes existing and proposed project facilities, project lands, and project waters. The PLP describes the existing and proposed project operation and maintenance plan, which includes protection, mitigation, and enhancement (PM&E) measures. As these PM&E measures may impose financial and operational obligations on the applicant, they should be agreed to only if reasonable. The PLP includes a draft environmental analysis by resource area, and maps depicting resource conditions. Reviewers, including FERC staff, have 90 days to submit comments, including recommendations on whether FERC should prepare an environmental impact statement (EIS) or an environmental assessment (EA). Ideally, the project would qualify for an EA and result in a FERC Finding of No Significant Impact (FONSI). The applicant could elect to file a Draft License Application (DLA) instead of a PLP, if the ILP is employed. The PLP is intended to save time and money relative to the DLA by requiring only items of potential interest to stakeholders. It should be noted that the items not included in the PLP are required for the Final License Application (FLA), and preparing them early in the licensing process may be beneficial to the applicant. 10.3.7 Development of the Final License Application In a parallel process to the development of the PLP, the applicant will prepare the engineering and environmental exhibits for use in the FLA. Under FERC’s 18 CFR Part 4.41 Regulations: the Exhibits Required for Major Unconstructed Project, the applicant must assemble the following: • Initial Statement • Exhibit A (Description of the Project) • Exhibit B (Project Operation and Resource Utilization) • Exhibit C (Construction Schedule) • Exhibit D (Costs and Financing) • Exhibit E (Environmental Report) • Exhibit F (General Design Drawings) • Supporting Design Report (Part of Exhibit F Filing) • Exhibit G (Map of the Project) The Initial Statement includes the applicant name, location of the proposed project, the statutory or regulatory requirements of the State in which the project would be located, and the steps that the applicant will take to comply with these statutory or regulatory requirements. Exhibit A is a description of the project. The description is to contain information on: (1) The physical composition, dimensions, and general configuration of dams, spillways, penstocks, powerhouses, tailraces, or other structures; (2) The normal maximum water surface area and normal maximum water surface elevation (mean sea level), and gross storage capacity of 10-11 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report impoundments; (3) The number, type, and rated capacity of any turbines or generators; (4) The number, length, voltage, and interconnections of primary transmission lines; (5) The description of mechanical, electrical, and transmission equipment appurtenant to the project; and (6) a listing of all lands of the United States (if any). Exhibit B is a statement of project operation and resource utilization. The information is to be provided for the operation of the reservoirs, dams, gates, emergency spillways, primary transmission lines, and powerhouse. Information to be documented in Exhibit B includes: • Automated and manual operational characteristics • An estimate of the annual plant factor • A statement of how the project will be operated during adverse, mean, and high water years • An estimate of the dependable capacity and average annual energy production in kilowatt-hours • The minimum, mean, and maximum recorded flows, in cubic feet per second, of the facility (with a specification of any adjustment made for evaporation, leakage minimum flow releases [including duration of releases] or other reductions in available flow) • Monthly flow duration curves indicating the period of record and the gaging stations used in deriving the curves; and a specification of the critical streamflow used to determine the dependable capacity • An area-capacity curve showing the gross storage capacity and usable storage capacity of the impoundment, with a rule curve showing the proposed operation of the impoundment and how the usable storage capacity is to be utilized • The estimated minimum and maximum hydraulic capacity of the powerplant in terms of flow and efficiency (cubic feet per second at one-half, full, and best gate), and the corresponding generator output in kilowatts • A tailwater rating curve with a curve showing powerplant capability versus head and specifying maximum, normal, and minimum heads • A statement of system and regional power needs and the manner in which the power generated at the project is to be utilized, including the amount of power to be used on- site, if any, supported by the following data: (i) Load curves and tabular data, if appropriate; (ii) Details of conservation and rate design programs and their historic and projected impacts on system loads; and (iii) The amount of power to be sold and the identity of proposed purchaser(s) • A statement of AVCP RHA’s plans for future development of the project, or of another existing or proposed water power project, on the affected stream or other body of water, indicating the approximate location and estimated installed capacity of the proposed developments. Exhibit C is a proposed construction schedule for the project. The required information may be supplemented with a bar chart. The construction schedule must contain: (1) The commencement and completion dates of construction; (2) The commencement date of first commercial operation of each major facility and generating unit; and (3) If any portion of the proposed project consists of previously constructed, unlicensed water power structures or facilities, a chronology of 10-12 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report original completion dates of those structures or facilities specifying dates (approximate dates must be identified as such) of: (i) Commencement and completion of construction or installation; (ii) Commencement of first commercial operation; and (iii) Any additions or modifications other than routine maintenance. Exhibit D is a statement of project costs and financing. The exhibit will contain: (1) A statement of estimated costs of any new construction, modification, or repair, including: (i) The cost of any land or water rights necessary to the development; (ii) The total cost of all major project works; (iii) Indirect construction costs such as costs of construction equipment, camps, and commissaries; (iv) Interest during construction; and (v) Overhead, construction, legal expenses, and contingencies; (2) If any portion of the proposed project consists of previously constructed, unlicensed water power structures or facilities, a statement of the original cost of those structures or facilities specifying for each, to the extent possible, the actual or approximate total costs (approximate costs must be identified as such) of: (i) Any land or water rights necessary to the existing project works; (ii) All major project works; and (iii) Any additions or modifications other than routine maintenance; (3) If the applicant is a licensee applying for a new license, and is not a municipality or a State, an estimate of the amount which would be payable if the project were to be taken over pursuant to Section 16 U.S. C. 807, upon expiration of the license in effect including: (i) Fair value; (ii) Net investment; and (iii) Severance damages; (4) A statement of the estimated average annual cost of the total project as proposed, specifying any projected changes in the costs (life-cycle costs) over the estimated financing or licensing period if the applicant takes such changes into account, including: (i) Cost of capital (equity and debt); (ii) local, State, and Federal taxes; (iii) Depreciation or amortization, (iv) Operation and maintenance expenses, including interim replacements, insurance, administrative and general expenses, and contingencies; and (v) The estimated capital cost and estimated annual operation and maintenance expense of each proposed environmental measure; (5) A statement of the estimated annual value of project power based on a showing of the contract price for sale of power or the estimated average annual cost of obtaining an equivalent amount of power (capacity and energy) from the lowest cost alternative source of power, specifying any projected changes in the costs (life-cycle costs) of power from that source over the estimated financing or licensing period if the applicant takes such changes into account; (6) A statement describing other electric energy alternatives, such as gas, oil, coal, and nuclear-fueled powerplants and other conventional and pumped storage hydroelectric plants; (7) A statement and evaluation of the consequences of denial of the license application and a brief perspective of what future use would be made of the proposed site if the proposed project were not constructed; (8) A statement specifying the sources and extent of financing and annual revenues available to the applicant to meet the costs identified; (9) An estimate of the cost to develop the license application; and (10) The on-peak and off-peak values of project power, and the basis for estimating the values, for projects which are proposed to operate in a mode other than run-of-river. Exhibit E is the environmental report. Using materials generated for the PLP (or DLA), Exhibit E should be prepared by staff skilled in preparing environmental analyses in a manner understandable by FERC, to minimize the chances of later, costly additional information requests. Exhibit E is to include: 10-13 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report • Description of river basin and tributaries, topography, climate, major land uses, and economic activities • Geographic and temporal scope of cumulative effects • Identification of applicable laws (Clean Water Act, Endangered Species Act, National Historic Properties Act, etc.) • Description of project facilities (from Exhibits A and B) • Proposed action including cost estimates for construction, operation, and maintenance of any proposed facilities or environmental measures (and possible alternatives that were considered) • Affected environment and environmental effects on resources including: o Geology and soils o Water use and quality (in parallel and consistent with requirements for the 401 water quality certification application) o Fish and aquatic resources o Wildlife and botanical resources o Wetlands, riparian, and littoral habitats o Rare, threatened, and endangered species o Recreation resources o Aesthetics o Land use o Cultural resources o Socioeconomics o Tribal resources • Economic analysis (mostly derived from Exhibit B and F) • Proposed protection, mitigation, and enhancement (PM&E) measures • Economic analysis including annualized, current, cost-based information • Consistency with comprehensive plans • Functional design drawings of environmental measures. Exhibit F consists of general design drawings of the principal project works described in Exhibit A and supporting information used as the basis of design. The Exhibit F drawings must show all major project structures in sufficient detail to provide a full understanding of the project, including: (i) Plans (overhead view); (ii) Elevations (front view); (iii) Profiles (side view); and (iv) Sections. A Supporting Design Report (SDR) is to be provided as part of Exhibit F. The SDR should include: (i) An assessment of reservoir rim stability based on geological and subsurface investigations, including documentation regarding investigations of soils and rock borings, and tests associated with the structures; (ii) Copies of boring logs, geology reports and laboratory test reports; (iii) An identification of all borrow areas and quarry sites and an estimate of required quantities of suitable construction material; (iv) Stability and stress analyses for all major structures and critical abutment slopes under all probable loading; and (v) The bases for determination of seismic loading and the Spillway Design Flood, in sufficient detail to permit independent staff evaluation. 10-14 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report Exhibit G is a map of the project that is to conform to the specifications of 18 CRF 4.39. Exhibit G depicts the project location and principal features, project boundary, impoundments, and Federal and non-Federal land ownership. 10.3.8 Post-FLA Activities and Section 401 Water Quality Certification Within 14 days of the FLA filing date, FERC issues a public notice of the tendering in the Federal Register, which includes a preliminary schedule for processing of the application. FERC staff may request additional information or documents it considers relevant for an informed decision on the FLA. The information requested must take the form, and must be submitted within the time FERC prescribes. Once FERC has determined that the FLA meets all filing requirements, studies have been completed, any deficiencies have been resolved, and no additional information is required, a notice of acceptance and ready for environmental analysis (REA) is issued. The REA Notice solicits comments, protests, and interventions; recommendations; preliminary terms and conditions; and preliminary fishway prescriptions, including all supporting documentation. The REA Notice also will include an updated schedule for FLA processing. Comments, protests, interventions, recommendations, and preliminary terms and conditions or preliminary fishway prescriptions must be filed with 60 days of the REA Notice. The applicant will then have 45 days to respond to submitted comments. No later than 60 days following the REA Notice, the applicant must file a copy of the 401 Water Quality Certification; a copy of the request for certification, including proof of the date on which the ADEC received the request for certification; or evidence of waiver of water quality certification. The applicant may wish to file its request for certification during development of the FLA, since the State may take up a year to process the application. The application can make extensive use of FLA documents. Following completion of the 401 Water Quality Certification process, FERC will prepare an EA or EIS. As described above (PLP), the project would ideally qualify for an EA and result in a FERC Finding of No Significant Impact (FONSI). FERC is required under Section 10(j) of the FPA to include in any license fish and wildlife measures for the protection, mitigation of damages to, and enhancement of fish and wildlife resources potentially affected by the project based on recommendations from the National Marine Fisheries Service, the USFWS, and State fish and wildlife agencies, unless it finds the measures to be inconsistent with the FPA or other applicable law. In connection with its environmental review of an application for license, FERC analyzes all recommended conditions timely filed by fish and wildlife agencies. The agency must specifically identify and explain the recommendations and the relevant resource goals and objectives and their evidentiary or legal basis. FERC staff may seek clarification of any recommendation from the appropriate fish and wildlife agency. If FERC staff finds any recommendation inconsistent with the FPA or other applicable law, the staff will make a preliminary determination, after which the staff shall attempt to reach with the agencies a mutually acceptable resolution of any such inconsistency. 10-15 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report Any entity, affected resource agency, or Indian tribe may file comments in response to the preliminary determination of inconsistency within the allotted time frame. A fish and wildlife agency may request a meeting, teleconference, or other procedure to attempt to resolve any preliminary determination of inconsistency. FERC staff will attempt to resolve the differences with the resource agencies, giving due weight to the expertise and responsibilities of the agencies. FERC is ultimately responsible for ensuring that each license contains conditions that adequately protect, mitigate for damages to, and enhance fish and wildlife resources in the project area. If FERC decides to use its own conditions in lieu of those recommended by the agencies, then FERC must be prepared to demonstrate that: 1) the agency recommendation is inconsistent with the purpose of the FPA or other applicable law; and, 2) the license conditions selected by FERC adequately protect fish and wildlife. The final step in the licensing process is the issuance of FERC’s decision on the license, which it makes as expeditiously as possible, consistent with its statutory responsibilities. The license order, which contains the terms and conditions under which the project must be operated, typically contains the following: • Description of the project works licensed; • Description of the project operation; • Discussion and findings of the issues raised in the proceeding • Term of license • Environmental conditions; • Engineering conditions; and • Administrative compliance conditions. The license becomes final 30 days after the order for a license is issued, unless requests for rehearings and subsequent appeals are filed. Even if a request for rehearing and judicial review is filed, the license goes into effect when issued, unless FERC orders otherwise. After licensing, FERC administers the license through its ongoing monitoring of the licensee's compliance with the terms and conditions of the license. The FERC Division of Hydropower Administration and Compliance (DHAC) has the primary responsibility for this task. FERC is empowered to monitor and investigate compliance and to issue formal orders directing compliance with license terms and conditions. Additionally, FERC can impose appropriate fines or revoke a license when it can be shown that the licensee violated a license or compliance order. 10.4 Other Permits and Approvals In addition to a FERC license and 401 Water Quality Certification, the following permits and approvals would likely be required in order to develop a hydroelectric project at either the Kisaralik River or Chikuminuk Lake sites. Among these are: 10-16 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report • State of Alaska Water Right • USACE 404 Permit • Storm Water Management and Discharge Permit (402 Clean Water Act) • Fish Habitat Permit • Alaska Coastal Zone Management Program Consistency Determination A hydroelectric project would require a State of Alaska Water Right from the ADNR. A water right is a legal right to use surface or ground water under the Alaska Water Use Act. A water right allows a specific amount of water from a specific water source to be diverted, impounded, or withdrawn for a specific use. When a water right is granted, it becomes appurtenant to the land where the water is being used for as long as the water is used. To obtain a water right the applicant will need to submit an application for water rights to the ADNR office in the area of the water use. The fee for application processing will be determined at a pre-application meeting with the Water Resources Section. After the application is processed, the applicant may be issued a permit to divert the water for electric power generation. Once the applicant has established the full amount of water to be used beneficially and has complied with all of the permit conditions, a certificate of appropriation may be issued. This is the legal document that establishes water rights. The USACE issues permits under Section 404(a) of the Clean Water Act (i.e., USACE 404 Permit) for the “discharge of dredged or fill” material into “waters of the United States”. Individual Permits are issued following a full public interest review of an individual application for a Department of the Army permit. A public notice (usually 30 days in length) is distributed to all known interested persons. The permit decision is generally based on the outcome of a public interest balancing process, where the benefits of the project are weighed against the detriments. A permit will be granted unless the proposal is found to be contrary to the public interest or fails to comply with the USEPA’s 404(b)(1) Guidelines. The 404(b)(1) Guidelines allow the USACE to permit only the least environmentally damaging practicable alternative. Processing time usually takes 90 to 120 days, unless a public hearing is required or an EIS must be prepared. On April 10, 2008, the USACE and the USEPA published a new rule, entitled “Compensatory Mitigation for Losses of Aquatic Resources; Final Rule.” The rule addresses the sequence for mitigating impacts to aquatic resources that result from work authorized by permit under the Corps’ Regulatory Program. All steps to avoid and/or minimize impacts to aquatic resources must be taken before proposing compensatory mitigation to offset project impacts. The rule establishes standards and criteria for all types of compensatory mitigation, including mitigation banks. To offset authorized unavoidable impacts to waters of the US, permit applicants are required to describe how they will avoid, minimize and compensate for impacts to waters of the US. Under the USEPA’s Construction General Permit (CGP), all developers that propose to disturb one or more actress of land surface must submit a Notice of Intent (NOI) to USEPA and prepare a Storm Water Pollution Prevention Plan (SWPPP) under direction of the ADEC (i.e., Storm Water Management and Discharge Permit, under 402 Clean Water Act). SWPPP development includes the following phases: site evaluation and assessment; planning, design, Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 10-17 May 2011 and selection of best management practices; notice of intent; construction and implementation; final stabilization and termination; and notice of termination. Alteration of stream bank and/or shoreline areas along the Kisaralik River, Chikuminuk Lake, or the Allen River would trigger the need to obtain a Fish Habitat Permit from the ADF&G Habitat Division. Alaska Statute 16.05.841 (Fishway Act) requires that an individual or government agency notify and obtain authorization from the ADF&G Habitat Division for activities within or across a stream used by fish if it is determined that such uses or activities could represent an impediment to the efficient passage of fish. For example, water withdrawals; stream realignment or diversion; dams; and construction, placement, deposition, or removal of any material or structure below ordinary high water all require approval. Alaska Statute 16.05.871 (Anadromous Fish Act) requires that an individual or government agency provide prior notification and obtain permit approval from the ADF&G Habitat Division “to construct a hydraulic project or use, divert, obstruct, pollute, or change the natural flow or bed” of a specified waterbody. All activities within or across a specified anadromous waterbody and all instream activities affecting a specified anadromous waterbody require approval, including construction; road crossings; gravel removal; mining; water withdrawals; the use of vehicles or equipment in the waterway; stream realignment or diversion; bank stabilization; blasting; and the placement, excavation, deposition, or removal of any material. Application instructions and specific requirements for fish habitat permits may be obtained from the ADF&G Division of Habitat office in Anchorage. No application fee is required. Public notice and hearings are not usually required. The State of Alaska uses a multiple agency coordinated system for reviewing and processing all resource-related permits that are required for proposed projects in or affecting coastal areas of Alaska. This system, call “project consistency review”, is based on the federally-approved Alaska Coastal Management Program (ACMP). Consistency Determination review is triggered by submittal of a Coastal Project Questionnaire (CPQ) to the ADNR Division of Coastal and Ocean Management, which is available online. The statewide standards (11 AAC 112) and coastal district enforceable policies of the ACMP provide direction for coastal uses, including energy facilities (see Section 230). Using the statewide standards and local enforceable policies, the ACMP evaluates the effects a project will have on the coastal resources and uses. Projects must be consistent with the requirements found in the standards and enforceable policies. This page left blank intentionally. 11-1 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 11 Energy Generation Estimates Based on the preliminary design at each site (installed capacity and dam height), a planning-level energy model was be prepared to determine average annual generation and the monthly distribution of generation for each site. The Kisaralik River projects have limited storage, and therefore have a limited ability to regulate flows for meeting future demand. The energy model is based on the flow data discussed earlier in the report, which are available on a monthly timestep for 42 years – January, 1954 through December, 1995. In addition to the flow data, model input includes the monthly distribution of energy demand, compensation flow (assume to be 0 cfs for this initial study), and information about the relationship between reservoir elevation, volume, and area. The assumed shape of the demand curve (based on previous Bethel power studies) is shown in Figure 12. Peak monthly demand is assumed in December and January, and the month with lowest demand is June. Figure 12: Monthly Demand Pattern Other basic assumptions include headloss (2%), turbine efficiency (90%), and generator efficiency (95.5%). Based on these inputs and assumptions, the results of the energy study are shown in the table and figures (Figure 13 to Figure 16) below. 11-2 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report Site Min /Rated/ Max Head (ft) Generating Capacity (MW) Average Annual Energy (GWh) Capacity Factor Chikuminuk Lake 59 / 91 / 114 13.4 88.6 76% Upper Falls 96.8 / 149 / 186.2 27.7 88.5 37% Lower Falls 79 / 121.5 / 151.9 34.1 127.1 43% Golden Gate Falls 51 / 78.4 / 98 27.0 94.4 40% Figure 13: Chikuminuk Lake, Modeled Average Generation by Month 0 2 4 6 8 10 12 14 16 18 20 Energy by Month (GWh)90% Reliable (Annual Basis)Secondary Energy Year 2022 Projected Demand 11-3 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report Figure 14: Upper Falls, Modeled Average Generation by Month Figure 15: Lower Falls, Modeled Average Generation by Month 0 2 4 6 8 10 12 14 16 18 20 Energy by Month (GWh)90% Reliable (Annual Basis)Secondary Energy Year 2022 Projected Demand 0 2 4 6 8 10 12 14 16 18 20 Energy by Month (GWh)90% Reliable (Annual Basis)Secondary Energy Year 2020 Projected Demand Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 0 2 4 6 8 10 12 14 16 18 20 Energy by Month (GWh)90% Reliable (Annual Basis)Secondary Energy Year 2022 Projected Demand Figure 16: Golden Gate Falls, Modeled Average Generation by Month 11-4 May 2011 12-1 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 12 Opinion of Probable Construction Cost This section of the report describes estimating methodology and the estimating basis used to arrive at the estimated capital cost of the projects, or Opinion of Probable Construction Cost (OPCC or “estimate”). The OPCC is intended to be an indication of fair market value, based on the current level of design, and is not necessarily a predictor of lowest bid. The following sections outline the specific estimating methodology employed by the estimating team during the development of the cost opinion. In addition, significant OPCC assumptions/exclusions and qualifications are also detailed to define and document the pricing basis. 12.1 Estimate Classification MWH classifies all cost estimating opinions in accordance with the criteria established by the Association for the Advancement of Cost Engineering’s (AACE) cost estimating classification system referred to as Standard Practice 18R-97. The AACE Cost Estimate Classification System maps the various stages of project cost estimating together with a generic maturity and quality matrix, which can be applied across a wide variety of industries and capital infrastructure. The following table summarizes the typical estimating methodology employed relative to AACE cost estimate classification: AACE Class System Methodology  5 Spreadsheet Parametric/Stochastic  4 Spreadsheet Semi‐detailed Unit Price  3 IPE/TL Detailed Crew Analysis  2 IPE/TL Detailed Crew Analysis w/ Budget Quotes  1* IPE/TL Detailed Crew Analysis w/ Firm Quotes  * Class 1 OPCCs are reserved for actual contractor proposals that factor in final subcontractor quotes and firm vendor materials pricing. The following table provides some basic guidance regarding expected estimating accuracy and contingency level recommendation relative to estimate class and input design definition: AACE Class Design Accuracy Range Typical Contingency  5 <5% ‐35% to +50% 20% to 40%  4 <15% ‐25% to +35% 10% to 30%  3 10%‐40% ‐15% to +20% 5% to 20%  2 50%‐99% ‐10% to +15% 0% to 10%  1* 100% +/‐5% 0% to 5%  *Class 1 estimates are reserved for actual contractor proposals that rely on finalized bidding documents and access to all pre-tender addendums. 12-2 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report Directs costs, representing the project’s fixed physical scope, are estimated for major equipment using a parametric approach. Quantities were developed by scaling the furnished drawings. Class 5 and 4 cost opinions typically apply all-in unit prices against the line item quantities. Indirect costs representing the contractor’s time related variable field management expenses or general conditions costs are factored to Class 4 and 5 OPCCs in a top-down approach as a function of running direct costs. Estimate add-ons representing the contractor’s allowances for home office overhead expenses, sales taxes, insurance costs, risk provision and fee are added to the cost estimate as a function of running direct costs. Allowances are added to the OPCC to anticipate expenses for known but undefined scope items. Contingency is added to the cost estimate to account for unknown risks or unforeseen market conditions. It should be noted that unprecedented market volatility has been a significant factor in contractor pricing over the last several years. Current market conditions have shown an aggressive approach to pricing, with contractors assuming more risk to win project work. Consequently, while the market price may be significantly under the reported “fair valuation” of the OPCC, owners need to be aware of the increased potential for claims and other compensation demands that contractors may employ to offset aggressive bidding strategies. 12.2 Assumptions and Qualifications The following generic assumptions are incorporated into the OPCC: • Competitive bid conditions will prevail at tender (e.g. +3 bidders), • Standard industry commercial terms will attach to all procurements, • Stable market conditions will prevail without significant geo-political events or economic disruptions, • An optimized contracting strategy will be employed to efficiently sequence and coordinate the work scope, • No trade discounts were considered, and • Bulk material quantities are based on manual quantity take-offs. The following specific assumptions are incorporated into the OPCC: • Pricing basis is Q4 2010, • All material delivered to the projects sites will by winter ice roads 8 , • The diversion tunnels are sized for a 25 year flood event, • It is assumed the rock at the sites is suitable to make concrete aggregates, • Labor and equipment rates are Alaska rates, and • Outside work such as the dam and concrete work will be done in the late spring through early fall. 8 An allowance for a permanent access road is included for Chikuminuk as ice road access is probably not feasible; allowances for airstrips are included for all sites. 12-3 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report The following labor assumptions are incorporated into the OPCC: • Local wage determination: Alaska camp job rates, • Productivity adjustment to U.S. Alaska camp job, • Generally shift basis: 10 hrs/shift, 1 shift/day, 6 days/week, and • Some of the work will be 10 hrs night shift, 6 days/week. The developed estimate excludes the following: • Non-conventional environmental mitigation measures, • Non-conventional heritage and cultural mitigation measures, • Removal of unforeseen underground obstructions, • Hazardous material remediation or disposal, • Permits beyond those normally needed for the type of project, • Special inspections and testing, and • Cost associated with loss of revenue or power production. The following bidding assumptions were considered in the development of this OPCC: • Actual bid prices may increase for fewer bidders or decrease for greater number of bidders, • The prime contractor will self-perform all work scope except for major equipment, such as turbines and generators, and • Builder’s Risk Insurance will be available to the contractor. The following standard project risks can influence bid results: • Special phasing constraints, • Onerous contract terms and conditions, • Owner reputation for processing changed conditions claims, and • Owner reputation for prompt payment. The following allowances are included as “Project Administration and Management”: • Planning and licensing at 1.5% of the estimated capital cost, • Design phase engineering at 3.0% of the of the estimated capital cost, • Construction phase engineering at 2.0% of the of the estimated capital cost, • Construction management at 5.0% of the of the estimated capital cost, • Miscellaneous Owner’s “soft” costs at 2.0% of the of the estimated capital cost, • Land acquisition, land rights and environmental mitigation at 2.0% of the estimated capital cost, and Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 12-4 May 2011 • Scope contingency at 10% of the of the estimated civil component and 5.0% of the estimated equipment and transmission capital cost9 . Based on the assumptions described above, the estimated project cost is indicated in Table 19. Additional detail is given in Exhibit 9. Table 19: Summary of Cost Estimates Description CHIKUMINUK KISARALIK RIVER KISARALIK RIVER KISARALIK RIVER LAKE UPPER FALLS LOWER FALLS GOLDEN GATE FALLS Direct Costs General $9,125,500 $9,125,500 $9,125,500 $9,125,500 Site Access Roads and Winter Ice Roads $18,221,000 $10,886,000 $10,202,000 $9,686,000 Rockfill Dam $24,713,325 $62,303,875 $18,342,625 $15,459,625 Spillway $4,946,900 $5,642,800 $23,006,800 $19,689,550 Fish Passage System $35,715,000 $36,025,000 $36,350,000 $35,905,000 Waterways $24,128,450 $28,277,500 $25,549,000 $25,401,500 Powerhouse $36,864,750 $48,105,500 $47,055,500 $44,805,500 Transmission Line $141,600,000 $84,000,000 $74,400,000 $68,400,000 Total Direct Cost $295,314,925 $284,366,175 $244,031,425 $228,472,675 Indirect Cost $26,550,000 $25,560,000 $21,960,000 $20,520,000 Markups $89,000,000 $83,000,000 $71,000,000 $67,000,000 Total Construction Cost $410,864,925 $392,926,175 $336,991,425 $315,992,675 Administration and Management Planning and Licensing $6,160,000 $5,890,000 $5,060,000 $4,740,000 Engineering $12,330,000 $11,790,000 $10,110,000 $9,480,000 Engineering During Construction $8,220,000 $7,860,000 $6,740,000 $6,320,000 Construction Oversight & Management $20,550,000 $19,650,000 $16,850,000 $15,800,000 Miscellaneous Owner's Soft Costs $8,220,000 $7,860,000 $6,740,000 $6,320,000 Land Acquisition, Rights and Mitigation $8,220,000 $7,860,000 $6,740,000 $6,320,000 Scope Contingency On Civil $24,030,000 $27,530,000 $23,010,000 $21,720,000 Scope Contingency On Equipment $8,530,000 $5,880,000 $5,350,000 $4,940,000 Interest During Construction Owner's Construction Contingency/Mgt Reserve Total Administration & Management $96,260,000 $94,320,000 $80,600,000 $75,640,000 TOTAL COST $507,000,000 $487,000,000 $418,000,000 $392,000,000 9 An allowance of 12.5% was applied to Chikuminuk to account for the possibility of extensive seepage control measures referenced in Section 6.1.4. 13-1 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 13 Scheduling Summary Although a detailed schedule has not been developed, it is estimated that planning, regulatory work, design procurement, and construction can be accomplished in 10 years if the project is pursued aggressively. The major focus during the first five years would be licensing and design. Of this, the first 3 years is estimated for FERC licensing and related activities. This would begin with obtaining a Preliminary Permit from FERC (1 mo), followed by developing a Pre-Application Document (3 mo), performing required environmental studies (1 yr), and preparing a Preliminary Licensing Proposal (PLP) (6 mo). After the PLP is complete, the Final License Application will be completed (6 mo), along with the Section 401 Water Quality Certification (2 yrs). The estimated durations assume the involvement of a firm experienced with FERC regulations, and good coordination with FERC legal counsel. For the design process, preliminary engineering, including subsurface exploration and topographic mapping, can proceed in conjunction with FERC regulatory activities. Once the licensing activities are completed, the bulk of the design work can begin. MWH anticipates most of the engineering design work will be done during the two years following the issuance of the license (mid-2016 through late-2018). This work involves the design of the structures and preparation of documents for construction services and equipment procurement. The procurement will be done in three parts: civil/structural work, water-to-wire equipment package, and miscellaneous works. Assumptions include the involvement of a design engineer to prepare the design and procurement documents, and to assist in the procurement process, as well as a full-time administrator to manage the designer, the procurement, and the overall project. Actual construction could be carried out in approximately three years. Successful completion within a 3-year window is based on a contractor receiving full authorization to proceed prior to the winter, with enough time to bring in the necessary equipment and supplies to the site via ice road. After establishing the ice road and setting up labor camps, first year activities include constructing the diversion tunnel, completing the dam foundation preparation, and excavating the powerhouse area. During the second year, work will include executing the cofferdam closure, excavating the spillway, building the intake tower, and creating the powerhouse substructure. In the third year, the dam and spillway will be completed, along with the powerhouse. Throughout the construction period, work will be conducted to build the transmission line. Target completion is in late 2021 as presented in Exhibit 10. This page left blank intentionally. 14-1 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 14 Power Market and Economic Study The power market study provides an overview of the electric service conditions and characteristics of the Bethel region under study. The market study includes a forecast of estimated energy and demand requirements of the villages that are likely candidates for interconnection in and around Bethel, Alaska. In addition to the forecast of energy and capacity requirements, the power market study provides expected generation requirements and an economic evaluation of the four potential hydropower sites. 14.1 Service Area The service area anticipated for the proposed hydroelectric facilities includes villages located in close proximity to Bethel, Alaska in the Kuskokwim River region of Alaska. The villages are Akiachak, Akiak, Eek, Kasigluk, Nunapitchuk, Quinhagak, Atmautluak, Oscarville, Napakiak, Kwethluk, Napaskiak, Tuluksak, Tuntutuliak. The locations are indicated in Figure 17. Figure 17: Village Locations With the sole exception of a relatively modest generation contribution from wind power, all electric power for the villages is supplied by diesel generation facilities. 14-2 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report The villages under consideration for the hydropower system currently have limited interconnections. Most of the villages have relatively small loads, and meet their requirements on a stand-alone basis. Interconnections have been developed for Bethel and the two adjoining villages of Oscarville and Napakiak to share power supply from Bethel, and between Kasigluk and Nunapitchuk. 14.2 Projections of Electric Load, Demand, and Generation Requirements Estimates of the electric requirements for the villages under consideration for the hydropower alternatives under investigation have been prepared. The load forecasts were developed from two primary sources: the Alaska Energy Authority (AEA) Power Cost Equalization (PCE) program reports for Bethel and the neighboring candidate villages, and the State of Alaska Department of Labor and Workforce Development. The forecast is based on annual energy requirements of residents averaged over recent reporting periods from PCE records, and the Bethel Region Census Area population growth estimates prepared by Department of Labor and reported in the December issue of Alaska Economic Trends. The population estimates issued in late-2010 estimated the average annual growth in population of 1.4% per year from 2009 to 2034 for the region. That population projection is used as the basis for a mid-range, or “most likely,” projection of electric energy and capacity requirements. Estimates for low-range (1% annual population growth rate) and high-range (2% annual population growth rate) loads have developed using lower and higher estimates of population growth, respectively. Projections are provided in Table 20 to Table 22. 14-3 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report Table 20: Mid-Range Electric Load and Generation Requirements Community 2010 (est.) 2011 2022 2026 2031 2032 2036 2041 2051 2061 2071 Akiachak 1,673 1,696 1,977 2,090 2,240 2,272 2,402 2,574 2,958 3,400 3,907 Akiak 924 937 1,092 1,154 1,237 1,254 1,326 1,422 1,634 1,877 2,157 Eek 743 754 878 929 995 1,009 1,067 1,144 1,315 1,511 1,736 Kasigluk/Nunapitchuk 2,529 2,564 2,988 3,159 3,386 3,433 3,630 3,891 4,471 5,138 5,905 Quinhagak 1,833 1,858 2,165 2,289 2,454 2,488 2,631 2,820 3,241 3,724 4,279 Atmautluak 513 520 606 641 687 697 736 789 907 1,042 1,198 Bethel/Oscarville/Napakiak 39,358 39,909 46,504 49,163 52,703 53,440 56,497 60,564 69,597 79,978 91,907 Kwethluk 1,200 1,217 1,418 1,499 1,607 1,629 1,722 1,846 2,122 2,438 2,802 Napaskiak 818 830 967 1,022 1,095 1,111 1,174 1,259 1,447 1,662 1,910 Tuluksak 571 579 675 714 765 776 820 879 1,010 1,161 1,334 Tuntutuliak 782 793 924 976 1,047 1,061 1,122 1,203 1,382 1,588 1,825 Total 50,944 51,657 60,193 63,635 68,216 69,171 73,127 78,391 90,083 103,520 118,961 Community 2010 (est.) 2011 2022 2026 2031 2032 2036 2041 2051 2061 2071 Akiachak 424 430 501 530 568 576 609 653 751 862 991 Akiak 234 238 277 293 314 318 336 361 414 476 547 Eek 189 191 223 236 253 256 271 290 333 383 440 Kasigluk/Nunapitchuk 641 650 758 801 859 871 921 987 1,134 1,303 1,498 Quinhagak 465 471 549 581 623 631 667 715 822 945 1,086 Atmautluak 130 132 154 163 174 177 187 200 230 264 304 Bethel/Oscarville/Napakiak 9,984 10,124 11,797 12,472 13,370 13,557 14,332 15,364 17,655 20,289 23,315 Kwethluk 304 309 360 380 408 413 437 468 538 618 711 Napaskiak 208 210 245 259 278 282 298 319 367 422 485 Tuluksak 145 147 171 181 194 197 208 223 256 294 338 Tuntutuliak 198 201 234 248 266 269 285 305 351 403 463 Total 12,923 13,104 15,270 16,143 17,305 17,547 18,551 19,886 22,852 26,261 30,178 Community 2010 (est.) 2011 2022 2026 2031 2032 2036 2041 2051 2061 2071 Akiachak 1,833 1,858 2,165 2,289 2,454 2,488 2,630 2,820 3,240 3,724 4,279 Akiak 1,060 1,075 1,253 1,325 1,420 1,440 1,522 1,632 1,875 2,155 2,476 Eek 781 792 923 976 1,046 1,061 1,122 1,202 1,382 1,588 1,825 Kasigluk/Nunapitchuk 2,834 2,873 3,348 3,540 3,794 3,848 4,068 4,360 5,011 5,758 6,617 Quinhagak 1,947 1,975 2,301 2,432 2,607 2,644 2,795 2,996 3,443 3,957 4,547 Atmautluak 604 612 714 754 809 820 867 929 1,068 1,227 1,410 Bethel/Oscarville/Napakiak 41,758 42,342 49,339 52,161 55,915 56,698 59,941 64,256 73,840 84,854 97,510 Kwethluk 1,418 1,438 1,676 1,772 1,899 1,926 2,036 2,182 2,508 2,882 3,312 Napaskiak 973 987 1,150 1,215 1,303 1,321 1,397 1,497 1,721 1,977 2,272 Tuluksak 718 728 848 897 961 975 1,031 1,105 1,270 1,459 1,677 Tuntutuliak 1,003 1,017 1,185 1,253 1,343 1,362 1,440 1,544 1,774 2,039 2,343 Total 54,929 55,698 64,902 68,614 73,553 74,583 78,848 84,524 97,131 111,619 128,268 Bethel Area Community Energy Requirements Forecast, MWh/yr. Bethel  Area Community Capacity Requirements Forecast, kW Bethel Area Community Generation Requirements Forecast, Busbar MWh/yr 14-4 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report Table 21: High-Range Electric Load and Generation Requirements Community 2010 (est.) 2011 2022 2026 2031 2032 2036 2041 2051 2061 2071 Akiachak 1,683 1,717 2,134 2,310 2,551 2,602 2,816 3,109 3,790 4,620 5,632 Akiak 929 948 1,179 1,276 1,409 1,437 1,555 1,717 2,093 2,552 3,110 Eek 748 763 948 1,027 1,133 1,156 1,251 1,382 1,684 2,053 2,503 Kasigluk/Nunapitchuk 2,544 2,594 3,226 3,492 3,855 3,932 4,256 4,699 5,729 6,983 8,512 Quinhagak 1,843 1,880 2,338 2,531 2,794 2,850 3,085 3,406 4,152 5,061 6,169 Atmautluak 516 526 654 708 782 798 864 953 1,162 1,417 1,727 Bethel/Oscarville/Napakiak 39,591 40,383 50,211 54,350 60,007 61,207 66,252 73,148 89,167 108,694 132,497 Kwethluk 1,207 1,231 1,531 1,657 1,829 1,866 2,020 2,230 2,718 3,314 4,039 Napaskiak 823 839 1,044 1,130 1,247 1,272 1,377 1,520 1,853 2,259 2,754 Tuluksak 575 586 729 789 871 888 962 1,062 1,294 1,578 1,923 Tuntutuliak 786 802 997 1,079 1,192 1,216 1,316 1,453 1,771 2,159 2,631 Total 51,245 52,270 64,991 70,348 77,670 79,224 85,754 94,680 115,414 140,689 171,499 Community 2010 (est.) 2011 2022 2026 2031 2032 2036 2041 2051 2061 2071 Akiachak 427 435 541 586 647 660 714 789 962 1,172 1,429 Akiak 236 240 299 324 357 364 395 436 531 647 789 Eek 190 193 241 260 288 293 317 350 427 521 635 Kasigluk/Nunapitchuk 645 658 818 886 978 998 1,080 1,192 1,453 1,771 2,159 Quinhagak 468 477 593 642 709 723 783 864 1,053 1,284 1,565 Atmautluak 131 134 166 180 198 202 219 242 295 359 438 Bethel/Oscarville/Napakiak 10,043 10,244 12,737 13,787 15,222 15,527 16,807 18,556 22,620 27,573 33,612 Kwethluk 306 312 388 420 464 473 512 566 690 841 1,025 Napaskiak 209 213 265 287 316 323 349 386 470 573 699 Tuluksak 146 149 185 200 221 225 244 269 328 400 488 Tuntutuliak 199 203 253 274 302 308 334 369 449 548 668 Total 13,000 13,260 16,487 17,846 19,703 20,097 21,754 24,018 29,278 35,690 43,506 Community 2010 (est.) 2011 2022 2026 2031 2032 2036 2041 2051 2061 2071 Akiachak 1,843 1,880 2,338 2,531 2,794 2,850 3,085 3,406 4,152 5,061 6,169 Akiak 1,067 1,088 1,353 1,464 1,617 1,649 1,785 1,971 2,402 2,928 3,570 Eek 786 802 997 1,079 1,191 1,215 1,315 1,452 1,770 2,158 2,630 Kasigluk/Nunapitchuk 2,850 2,907 3,615 3,913 4,320 4,407 4,770 5,266 6,420 7,826 9,539 Quinhagak 1,959 1,998 2,484 2,689 2,969 3,028 3,278 3,619 4,412 5,378 6,555 Atmautluak 608 620 771 834 921 939 1,017 1,122 1,368 1,668 2,033 Bethel/Oscarville/Napakiak 42,005 42,845 53,272 57,663 63,665 64,938 70,291 77,607 94,603 115,320 140,575 Kwethluk 1,427 1,455 1,809 1,959 2,162 2,206 2,387 2,636 3,213 3,917 4,775 Napaskiak 979 998 1,241 1,344 1,484 1,513 1,638 1,808 2,205 2,687 3,276 Tuluksak 722 737 916 991 1,095 1,117 1,209 1,334 1,627 1,983 2,417 Tuntutuliak 1,009 1,029 1,280 1,385 1,530 1,560 1,689 1,865 2,273 2,771 3,378 Total 55,254 56,359 70,076 75,852 83,747 85,422 92,464 102,087 124,444 151,696 184,917 Bethel Area Community Energy Requirements Forecast, MWh/yr. Bethel  Area Community Capacity Requirements Forecast, kW Bethel Area Community Generation Requirements Forecast, Busbar MWh/yr 14-5 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report Table 22: Low-Range Electric Load and Generation Requirements 14.3 Fuel Price Projections and Other Economic Information The preliminary economic evaluation included several assumptions regarding fuel prices and other economic factors associated with power system operation in the Bethel region. The assumptions of the economic evaluation are shown in Table 23. Community 2010 (est.) 2011 2022 2026 2031 2032 2036 2041 2051 2061 2071 Akiachak 1,666 1,683 1,878 1,954 2,054 2,074 2,158 2,269 2,506 2,768 3,058 Akiak 920 929 1,037 1,079 1,134 1,145 1,192 1,253 1,384 1,529 1,689 Eek 740 748 834 868 913 922 959 1,008 1,113 1,230 1,359 Kasigluk/Nunapitchuk 2,519 2,544 2,838 2,953 3,104 3,135 3,262 3,429 3,787 4,184 4,621 Quinhagak 1,825 1,844 2,057 2,140 2,250 2,272 2,364 2,485 2,745 3,032 3,349 Atmautluak 511 516 576 599 630 636 662 696 768 849 938 Bethel/Oscarville/Napakiak 39,203 39,595 44,175 45,968 48,313 48,796 50,778 53,368 58,951 65,119 71,932 Kwethluk 1,195 1,207 1,347 1,401 1,473 1,488 1,548 1,627 1,797 1,985 2,193 Napaskiak 815 823 918 955 1,004 1,014 1,055 1,109 1,225 1,354 1,495 Tuluksak 569 575 641 667 701 708 737 775 856 945 1,044 Tuntutuliak 779 786 877 913 960 969 1,008 1,060 1,171 1,293 1,429 Total 50,743 51,250 57,178 59,500 62,535 63,160 65,725 69,077 76,304 84,287 93,106 Community 2010 (est.) 2011 2022 2026 2031 2032 2036 2041 2051 2061 2071 Akiachak 423 427 476 496 521 526 548 575 636 702 776 Akiak 233 236 263 274 288 291 302 318 351 388 428 Eek 188 190 212 220 231 234 243 256 282 312 345 Kasigluk/Nunapitchuk 639 645 720 749 787 795 828 870 961 1,061 1,172 Quinhagak 463 468 522 543 571 576 600 630 696 769 850 Atmautluak 130 131 146 152 160 161 168 176 195 215 238 Bethel/Oscarville/Napakiak 9,945 10,044 11,206 11,661 12,256 12,379 12,881 13,538 14,955 16,519 18,248 Kwethluk 303 306 342 355 374 377 393 413 456 504 556 Napaskiak 207 209 233 242 255 257 268 281 311 343 379 Tuluksak 144 146 163 169 178 180 187 196 217 240 265 Tuntutuliak 198 199 223 232 243 246 256 269 297 328 362 Total 12,872 13,001 14,505 15,094 15,864 16,022 16,673 17,523 19,357 21,382 23,619 Community 2010 (est.) 2011 2022 2026 2031 2032 2036 2041 2051 2061 2071 Akiachak 1,825 1,844 2,057 2,140 2,249 2,272 2,364 2,485 2,745 3,032 3,349 Akiak 1,056 1,067 1,190 1,238 1,302 1,315 1,368 1,438 1,588 1,754 1,938 Eek 778 786 877 913 959 969 1,008 1,059 1,170 1,293 1,428 Kasigluk/Nunapitchuk 2,822 2,851 3,180 3,310 3,478 3,513 3,656 3,842 4,244 4,688 5,179 Quinhagak 1,940 1,959 2,186 2,274 2,390 2,414 2,512 2,640 2,917 3,222 3,559 Atmautluak 602 608 678 705 741 749 779 819 905 999 1,104 Bethel/Oscarville/Napakiak 41,593 42,009 46,868 48,771 51,259 51,771 53,873 56,621 62,545 69,089 76,317 Kwethluk 1,413 1,427 1,592 1,657 1,741 1,758 1,830 1,923 2,124 2,347 2,592 Napaskiak 969 979 1,092 1,136 1,194 1,206 1,255 1,319 1,457 1,610 1,778 Tuluksak 715 722 806 839 881 890 926 974 1,075 1,188 1,312 Tuntutuliak 999 1,009 1,126 1,172 1,232 1,244 1,294 1,360 1,503 1,660 1,834 Total 54,713 55,260 61,651 64,155 67,427 68,102 70,867 74,482 82,274 90,882 100,390 Bethel Area Community Energy Requirements Forecast, MWh/yr. Bethel  Area Community Capacity Requirements Forecast, kW Bethel  Area Community Generation Requirements Forecast, Busbar MWh/yr 14-6 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report Table 23: Assumptions used in Economic Evaluation General: Source Discount Rate, % 3.0 AEA Interest Rate 6.5 AEA General  Inflation 0 AEA Diesel Efficiency, kWh/gal.13 AEA Diesel O&M, c/kWh 0.02 AEA  R4 Diesel Standby, c/kWH 0.025 Estimated Village Non‐fuel Costs, c/kWh 5.86 PCE Report, weighted Transmission  O&M, % CapEx 1.5 AEA Hydroelectric O&M, c/kWh 0.02 AEA Regional  Intertie, $$16,200,000 AEA Fuel Price Forecast AEA EIA  mid AEA R4 analysis, Bethel  region, adj. for village variation Supply Option:Capital  Cost Life, yr. Base  Case ‐ Continued Diesel N/A Overhaul Chikuminuk $332,268,122 50   Transmission $174,731,878 50   Kisaralik Upper Falls $382,888,840 50   Transmission $104,111,160 50 Kisaralik Lower Falls $325,715,159 50   Transmission $92,284,841 50 Kisaralik Golden Gate  Falls $307,147,400 50   Transmission $84,852,600 50 4.40 4.50 4.60 4.70 4.80 4.90 5.00 5.10 5.20 5.30 202220242026202820302032203420362038204020422044Diesel Fuel Prince (2010$/gal)Diesel Fuel Price Projection 14-7 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report The fuel price forecast is the most fundamental projection for comparing hydropower options to the continued operation of diesel (or other fossil-fuel) generation. AEA prepares fuel cost estimates for analysts evaluating potential State-funded renewable energy projects. EIA projections and regional characteristics help characterize regional fuel costs. The result is a series of price forecasts by location within the state that are used in comparing project economics. For purposes of the preliminary hydropower study, a weighted average of the fuel prices for all villages was developed using the specific fuel prices weighted by the share of generation for each of the villages. With Bethel as the largest power supplier to the region, the weighting takes into account the relative proportion of generation provided by Bethel and the significance of the price of fuel to Bethel to the region, but adjusts for the share of generation provided by others. The weighted fuel price is then considered in the economic analysis for the determination of the diesel-only generation scenario. Another factor of significance is the cost of interconnection to provide villages access to the hydropower facility. The AEA has supplied documentation indicating that interconnecting the utilities with a 34.5 kV transmission system will require 27 miles of structure and conductor, at a cost of $600,000 per mile. This estimate has been accepted for analysis purposes, pending additional cost estimates. Finally, the hydropower facilities and interconnecting transmission system capital costs have been prepared by MWH and Dryden & LaRue, and incorporated directly. For each hydropower scenario, the development cost is amortized over 50 years. In the economic evaluation, the net present value (NPV) of each project is calculated based on 50 years of operation, 2022 through 2071. 14.4 Preliminary Economic Analysis of the Hydropower Options A preliminary economic evaluation of the four hydropower options has been prepared to estimate the relative costs of providing the region’s power using either the existing or alternative generation facilities. The evaluation model develops the annual operating cost under a series of generation scenarios. The calculated NPVs for each alternative and growth scenario are shown in Table 24 to Table 26. The “Diesel Only” scenario assumes that diesel generation remains the primary power supply for Bethel and the villages. It is assumed that capacity will be available to meet all village loads throughout the period. A modest wind power project offsets a portion of the generation requirements, and is assumed to be available both with and without the hydropower facilities. The other four scenarios treat each of the individual hydroelectric sites as independent, stand- alone projects. On an average basis, the energy available for each of the candidate hydro projects more than meets the electric energy requirements of the villages. However, an examination of the seasonal availability of hydropower generation shows that much of the energy generation is available during the summer when the demand does not exist (with the exception of Chikuminuk Lake). This constraint is considered in the economic calculations. 14-8 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report For the purposes of preliminary evaluation, there has been no consideration of displaced heating fuel by resistance space heating or electric heat pump utilities, which may be considered for the use of surplus energy and could improve the NPV economic indicator. Table 24: Mid-Range, Economic Evaluation of Alternatives Table 25: High-Range, Economic Evaluation of Alternatives Table 26: Low-Range, Economic Evaluation of Alternatives The results indicate, as would be expected, that the economic benefits of the hydropower alternatives are greater with higher load growth. However, the diesel only option still has a smaller net present value of costs over the 50-year assessment, although the difference between diesel-only and hydropower is somewhat less in the high population growth scenario. This is due to relatively stable costs of hydropower, varying primarily due to supplemental diesel that may be required during peak demand periods; the diesel-only is impacted more by the high population growth scenario because the cost rises proportionally with the additional demand, and therefore additional fuel required. 1 5 10 15 20 30 40 50 Power Supply Option 50‐Year PV 2022 2026 2031 2036 2041 2051 2061 2071 Diesel  Only $909,204,063 $24,657,346 $27,231,250 $30,667,335 $32,914,337 $35,299,967 $40,598,798 $46,687,989 $53,685,429 Chikuminiuk $1,103,670,047 $38,195,628 $38,325,533 $38,498,410 $39,912,022 $41,834,048 $46,203,147 $51,409,618 $57,578,362 Kisaralik ‐ Upper Falls $1,312,106,582 $44,367,642 $45,765,259 $47,675,153 $49,149,201 $50,719,726 $54,342,707 $58,756,048 $64,077,638 Kisaralik ‐ Lower Falls $1,116,965,826 $37,004,790 $38,281,791 $40,049,138 $41,521,079 $43,091,605 $46,714,586 $51,127,927 $56,449,517 Kisaralik ‐ Golden Gate  Falls $1,154,747,415 $38,223,756 $39,636,652 $41,564,603 $43,038,917 $44,609,443 $48,232,424 $52,645,765 $57,967,355 Year 1 5 10 15 20 30 40 50 Power Supply Option 50‐Year PV 2022 2026 2031 2036 2041 2051 2061 2071 Diesel  Only $1,119,615,294 $26,639,242 $30,126,675 $34,948,811 $38,636,886 $42,681,674 $52,078,020 $63,532,113 $77,494,589 Chikuminiuk $1,286,663,252 $38,376,705 $38,881,595 $41,568,982 $44,780,562 $48,434,173 $57,075,365 $67,896,702 $81,375,626 Kisaralik ‐ Upper Falls $1,484,843,984 $45,673,982 $47,672,620 $50,493,791 $53,071,906 $56,309,889 $64,145,779 $74,039,417 $86,441,437 Kisaralik ‐ Lower Falls $1,261,254,461 $38,311,130 $40,189,152 $42,867,776 $45,288,391 $47,951,186 $54,473,008 $63,052,578 $74,140,531 Kisaralik ‐ Golden Gate  Falls $1,314,271,493 $39,530,096 $41,544,013 $44,383,241 $46,806,228 $49,746,749 $57,089,864 $66,490,726 $78,399,971 Year 1 5 10 15 20 30 40 50 Power Supply Option 50‐Year PV 2022 2026 2031 2036 2041 2051 2061 2071 Diesel  Only $793,844,259 $23,412,090 $25,447,678 $28,094,528 $29,559,887 $31,079,221 $34,354,347 $37,972,123 $41,968,399 Chikuminiuk $1,013,753,215 $38,081,855 $38,169,470 $38,284,009 $38,404,391 $38,527,800 $40,155,011 $42,239,527 $44,725,055 Kisaralik ‐ Upper Falls $1,234,084,524 $43,546,848 $44,590,331 $45,981,388 $46,940,874 $47,941,094 $50,157,226 $52,716,009 $55,653,292 Kisaralik ‐ Lower Falls $1,039,126,630 $36,269,988 $37,106,863 $38,355,373 $39,312,753 $40,312,972 $42,529,105 $45,087,888 $48,025,170 Kisaralik ‐ Golden Gate  Falls $1,076,725,357 $37,402,962 $38,461,724 $39,870,838 $40,830,591 $41,830,810 $44,046,943 $46,605,726 $49,543,008 Year 14-9 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report To provide an indication of the possible impact on electricity rates, the average production costs of each of the option is shown in Figure 18. Figure 18: Comparative Future Production Costs of Alternatives - 0.20 0.40 0.60 0.80 1.00 Rate in $/kWhDiesel System: Average rate ($/kWh) Busbar Cost Non-fuel expenses, weighted - 0.20 0.40 0.60 0.80 1.00 Rate in $/kWhWith Chikuminuk: Average rate ($/kWh) Busbar cost Non-fuel expenses, weighted - 0.20 0.40 0.60 0.80 1.00 Rate in $/kWhWith Kisaralik Upper Falls: Average rate ($/kWh) Busbar cost Non-fuel expenses, weighted - 0.20 0.40 0.60 0.80 1.00 Rate in $/kWhWith Kisaralik Lower Falls: Average rate ($/kWh) Busbar cost Non-fuel expenses, weighted - 0.20 0.40 0.60 0.80 1.00 Rate in $/kWhWith Kisaralik Golden Gate Falls: Average rate ($/kWh) Busbar cost Non-fuel expenses, weighted Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 14-10 May 2011 14.5 Conclusion In all three demand scenarios, the diesel only future has the lowest NPV and from an economic viewpoint, would be the preferred lowest cost choice. Of the hydro options, Chikuminuk Lake has the lowest NPV. Chikuminuk Lake exhibits the lowest NPV because it does have the capability of displacing most of the diesel generation, whereas the Kisaralik generation availability profile requires a substantial diesel generation supply. 15-1 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 15 Regional Wholesale Utility Framework for Development and Operation A range of possibilities exists for the development and operation of a hydroelectric project to serve the shared energy requirements of the region. The preliminary feasibility analysis addresses the service area for the proposed hydroelectric facilities to include the community of Bethel, Alaska and villages located in close proximity to Bethel in the Kuskokwim River region of Alaska. The villages under consideration for the hydropower system currently operate under varying utility ownership conditions and operating responsibilities. There currently exist only limited interconnections among the utilities serving Bethel and the villages. Consequently, for each hydroelectric alternative evaluated, a set of common facilities are required that contribute to the energy supply that would serve to offset diesel generation at Bethel and the nearby villages. These common facilities will include the dam or other impoundment structure, penstock, powerhouse, and primary substation at the proposed hydropower site, the bulk delivery 138 kV transmission line, and the secondary 34.5 kV sub- regional interconnection system among the villages. These common facilities will therefore be a shared resource of the communities served, with opportunities for utilization, and obligations for financial support, shared by the communities on a basis acceptable to the recipients and of a legal and structural nature that will support both the financial and on-going operational commitments necessary to accomplish successful hydroelectric power supply. A regional hydroelectric power generation and transmission facility is, of course, a significant capital investment with a long service life. As with most renewable energy projects, the cost is “front-loaded”, such that the majority of the cost burden over the life of the resource is established in the financing of the construction of the facilities. The variable costs of the resource -- operations, maintenance, renewals and replacements -- are negligible relative to the repayment of funds required or acquired for the initial construction, unless the project is fully grant funded. Consequently, in order to secure financing and successfully complete the installation of the facilities and place the system in operation, assurances must be provided of both the strength of commitment to the development of the facilities and to the efficient and equitable year-over-year delivery of the beneficial hydroelectric energy. Organizational Issues: In any consideration of a development and operating framework, there are various organizational issues that relate not only to the stages of development, but to the long-term operation and maintenance of a regionally shared energy project. These issues must be addressed in one fashion or another to provide the broad assurances necessary to support a large capital investment to serve multiple parties. A detailed review of the various organizational issues to be addressed in the consideration of regional resource development and operation has been provided in a study completed by Black and Veatch in 2008 for the Railbelt region of Alaska, the Railbelt Electrical Grid Authority (REGA) Study. While the REGA study focused on the formation of a new entity for the Railbelt, the issues are relevant for any structural arrangement for the development and operation of 15-2 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report commonly held and jointly shared electric generation and transmission facilities. Figure 25 of the REGA study at page 75 generalizes the issues into several categories: For the purposes of the preliminary hydropower feasibility study, one is well to substitute the term Development and Operational Framework within the box entitled Formation of New Regional Entity since each of the factors must be addressed for effective implementation of a regionally shared resource. The scope of responsibility is the first, and most fundamental, category to be addressed in characterizing a development and operational framework. Most, if not all, of the remaining issues will be influenced and resolved by a hierarchy of activities flowing from identified responsibilities, or the allocation of responsibilities. For example, if the framework includes the institutional condition of ownership of the resource by a single entity, several material matters naturally follow such as due diligence and oversight of operations, insurance, budgeting, and accomplishing repairs and replacements. If held jointly, rather than singly, the multiple parties jointly holding ownership will be jointly liable for those ownership responsibilities. Likewise, governance and operational issues flow from the scope of responsibilities established within the framework, and may vary between singular, joint or shared ownership. For a project of the size suggested by the capital costs of the Kisaralik or Chikuminuk facilities and transmission system, the second most important category involves tax and legal issues associated with financing options and opportunities. For the situation faced by village utilities organized as a combination of village or municipal operating entities, cooperatives, and investor- owned utilities, the ability to finance the project is of paramount concern. The development and 15-3 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report operating arrangement must take into account the various conditions associated with tax-exempt debt, government obligations, private activity bonding, and other provisions associated with financing vehicles for both short- and long-term issuances. The third most important category relates to issues involving tariff and contractual requirements which encompasses the question of who pays for what portion of the regional resource cost, how that cost is collected, the obligations of the parties relative to the operation of the beneficial generation (e.g., backup power supply, voltage support, etc.) and the necessary contributions to system upkeep and/or upgrades. Dealing with the balance of categories will be influenced by the choices and direction taken in addressing these three most critical areas of consideration. Current Regional Power Supply Structures: A variety of legal structures are available to participants of a regional generation and transmission facility, some of which are currently in effect within Alaska for power supply or utility-related projects among public power entities. These have been formed solely with the intent to develop and operate resources to be shared among multiple utilities, and include: • Generation and Transmission Cooperatives: Several utilities in Alaska have formed generation and transmission cooperatives at various times to provide for common facility ownership and operation. The Alaska Electric Generation and Transmission Cooperative had been formed initially for the joint ownership and operation of a generation facility to serve two non-interconnected utilities. AEG&T has since included membership of both municipal and cooperative utilities. Various levels of ownership and operating responsibilities, and resource access have been established under the G&T framework, including multiple classes of participation representing levels of responsibility. The G&T framework provides an avenue for federal financial support through the Rural Utilities Service or other financing vehicles, and accommodates a wide range of operating arrangements and ownership liabilities based on allocations or entitlements to the resources jointly held by agreement of the participants. A G&T is authorized to provide wholesale power, only, with individual member utilities responsible for distribution activities. Calista Corporation has previously established a G&T entitled Nuvista to provide wholesale power throughout the region served by the corporation. • State Ownership: The Alaska Intertie and the Bradley Lake Hydroelectric Project are two current examples of transmission and power supply facilities owned by the State of Alaska providing service to multiple parties. In this arrangement, the state took responsibility for licensing, construction and administration of the facilities on the basis of the complete or partial financial contribution of the state to the project. The Intertie and Bradley Lake are contractually operated by the utility participants that provide operations and maintenance funds, and share responsibilities for scheduling and maintenance of the facilities under contract to the State. Operating procedures and guidelines are established jointly, in some cases with veto power retained by the state on certain matters. Rights to use of the facilities or energy available are established by agreements among the parties. Existing or new systems provided by others that are 15-4 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report associated with the development and operation of the resource are assigned to the joint use, with compensation. Management Committees composed of representatives of the participating utilities share governance with the State. The power provided through a state-owned facility is at wholesale, with distribution responsibilities retained by the participating utilities. • Joint Action Agency: The Four Dam Pool Power Agency is an example of a joint action agency that was formed under state law that collectively acquired four hydroelectric resources and transmission facilities previously owned by the State of Alaska for wholesale power supply. The Agency included utilities operating in five unique distribution service territories and expanded the original system with a major intra- regional transmission interconnection. The JAA structure included governance by a management committee composed of representatives of the participating utilities and joint responsibility for all operating and ownership decisions. The action to expand the capability of the resource by transmission investments was by joint interest, and the Agency re-financed the initial acquisition with bonded indebtedness. The JAA structure is currently in effect for the Southeast Alaska Power Agency. The JAA structure allows for allocation of operating responsibility among participants by agreement of the participants, with a common ownership of the facilities, joint liability for ownership obligations, and contractual arrangements among the parties for certain operating functions. Rights to use of the jointly held assets are subject to agreements among the participants. A joint action agency is a public power entity, formed by and among public utilities such as municipalities and cooperatives. Other Potential Structures: While certain structures have been established in Alaska for the sole purposes of developing and operating electric generation and transmission facilities for the joint purposes of several utilities, the options are not limiting. It is conceivable that a different, and perhaps unique, approach could be taken in the case of a Kisaralik or Chikuminuk project, or for a combination of two projects. One factor of consideration is that Bethel is currently served by a non-public entity. As a result certain structures such as a Joint Action Agency may be constrained. There are a number of potential permutations, however, such as: • State Ownership, Energy Sales to a Village Cooperative: Under this structure, the state could license, own and operate the resource as a State asset, but the output would be sold to a single cooperative formed by the 12 village utilities to schedule and distribute the power. The cooperative could collectively operate the village systems as a single unit upon interconnection. Hydroelectric power could also then could be sold directly by the State to Bethel Utilities, and avoid issues associated with the cooperative reselling power, while the cooperative and Bethel Utilities would jointly schedule power for the most economic dispatch. • State Ownership, Energy Sales to a G&T: The framework for development and operation with a structure containing both state ownership of the facility would suggest the responsibility for licensing, owning and operating the facility would reside with a state agency, while a new wholesale G&T is formed for the purchase and sale of power at a common wholesale power rate to the individual utilities and Bethel Utilities. The G&T Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 15-5 May 2011 could provide the scheduling services, and contract with the state for other operating activities such as powerhouse operations and line maintenance. • A Kisaralik/Chikuminuk G&T: The Nuvista G&T, or a newly formed stand-alone generation and transmission cooperative could be responsible for licensing, financing, owning and operating the jointly held facilities. A strong long-term power sales agreement from the G&T to Bethel Utilities could help to secure federal financial support through the Rural Utilities Service, or other funding sources, including grants and power project development funds. The G&T would have the option, in this instance, of expanding membership and developing additional regional resources to serve beyond Bethel and adjacent villages region. The entire scope of responsibility for development of the resource from planning and design, FERC licensing, construction and operation would be the purview of the G&T, with governance by a board of directors representing the participants. • Expanded Role of an Existing Power Supply Entity: Expanding the role of Alaska Village Electric Cooperative to provide power, either as a developer and operator of the new hydroelectric and transmission facilities to serve those villages currently included in the AVEC system, or a purchaser and reseller of power provided from a state-owned facility could potentially be an option. The Bethel utility and village systems not currently part of the AVEC system could be either restructured to be included in the AVEC system, or be subject to power sales agreements. Currently, AVEC operates meets the needs of the 53 cooperative member villages under a common administrative rate and fuel costs by village, adjusted for the PCE contribution from the state. A development structure based on an expanded role of AVEC would suggest a two-tiered pricing system to allocate costs of the hydroelectric facility to the beneficiaries. Implications Relative to Kisaralik/Chikuminuk Preliminary Feasibility: The broad range of options for the development and operation of a new hydroelectric facility and transmission system for Bethel and the nearby villages, and the level of estimated capital costs for construction of the facilities, suggests that any further investigation of feasibility include a firm delineation of participants and agreement on participant responsibilities in the context of sources and access to construction funds. Once a determination is made of the most viable structure in support of favorable financing terms and conditions, the operational matters of shared beneficial use of the facilities, cost recovery methodologies and mechanisms, and other functional requirements can be addressed by logical extension of the fundamental structure. This page left blank intentionally. 16-1 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 16 References 16.1 Hydrology Creager, William P., and Joel D. Justin, 1950. Hydroelectric Handbook, Second Edition, John Wiley & Sons. Committee on Safety Criteria for Dams, 1985. Safety of Dams, Flood and Earthquake Criteria, Water Science and Technology Board, Commission on Engineering and Technical Systems, National Research Council, published by National Academy Press. Cudworth Jr., Arthur G., 1989. Flood Hydrology Manual, A Water Resources Technical Publication, U.S. Bureau of Reclamation, Department of the Interior. Federal Energy Regulatory Commission, 2001. Engineering Guidelines for the Evaluation of Hydropower Projects, Chapter VIII, “Determination of the Probable Maximum Flood”, September. Harza Engineering Company, 1982. Bethel Area Power Plan, Feasibility Assessment, prepared for the Alaska Power Authority, December. Hydrologic Engineering Center, 1971. HEC-4 Monthly Streamflow Synthesis, User’s Manual, U.S. Army Corps of Engineers, December. Hydrologic Engineering Center, 1998. HEC-1 Flood Hydrograph Package, User’s Manual, U.S. Army Corps of Engineers, June. Interagency Committee on Water Data, 1982. Guidelines for Determining Flood Flow Frequency, Bulletin 17B, Hydrology Subcommittee, U.S. Geological Survey, Department of the Interior. Lamke, R.D., 1979. Flood Characteristics of Alaskan Streams, Water Resources Investigations 78-129, U.S. Geological Survey, Department of the Interior. Miller, John F., 1963. Probable Maximum Precipitation and Rainfall-Frequency for Alaska, Technical Paper No. 47, U.S. Weather Bureau, U.S. Department of Commerce. MWH, 2002a. Mossyrock and Mayfield Dams, Probable Maximum Flood Study, prepared for Tacoma Power, July. MWH, 2002b. Alder and LaGrande Dams, Probable Maximum Flood Study, prepared for Tacoma Power, December. Schwartz, Francis K., and John F. Miller, 1983. Probable Maximum Precipitation and Snowmelt Criteria for Southeast Alaska, Hydrometeorological Report No. 54, Office of Hydrology, National Weather Service, U.S. Department of Commerce. Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 16-2 May 2011 Slack, J.R., and J.M. Landwehr (1992), “Hydro-Climatic Data Network (HCDN): A U.S. Geological Survey streamflow data set for the United States for the study of climate variations, 1874-1988”, U.S. Geological Survey Open-File Report 92-129. 16.2 Geology Alaska Department of Natural Resources (AKDNR), 2002. “Wood-Tikchik State Park Management Plan”. Beikman, Helen M. (Compiler), 1974. Preliminary Geologic Map of the Southwest Quadrant of Alaska. USGS Miscellaneous Field Studies Map MF 611. 1:1,000,000. Box, Stephen E., Moll-Stalcup, Elizabeth J., Frost, Thomas P., and Murphy, John M., 1993. Preliminary Geologic Map of the Bethel and Southern Russian Mission Quadrangles, Southwest Alaska. USGS Miscellaneous Field Studies MF-2226. 1:250,000. BLM, 1985. Extract of Alaska’s Kuskokwim Region: A History. Decker, J., Bergman, S., Blodgett, R., Box, S., Budtzen, T., Clough, J. Coonrad, C. Gilbert, W., Miller, M., Murphy, J., Robinson, M., Wallace, W., 1994. The Geology of North America. Volume G-1, Chapter 9: The Geology of Southwest Alaska. The Geologic Society of America. Dusel-Bacon, Cynthia, Doyle, Elizabeth O., and Box, Stephan E. 1996. Distribution, Facies, Ages, and Proposed Tectonic Associations of Regionally Metamorphosed Rocks in Southwestern Alaska and the Alaska Peninsula. USGS Professional Paper 1497-B. Harza, 1982. Bethel Area Power Plan Feasibility Assessment. Hoare, J.M. and Coonrad, W. L., 1959. Geology of the Bethel Quadrangle, Alaska. USGS Miscellaneous Geologic Investigations I-285. 1:250,000. Stevens, De Anne S. P. and Craw, Patty A., 2003. Geologic Hazards in and Near the Northern Portion of the Bristol Bay Basin. Alaska Division of Geological and Geophysical Surveys, Miscellaneous Publication 132. Wilson, F. H., Hults, C. P., Mohadjer, S. and Coonrad, W. L. (Compilers), 2007. Reconnaissance Geologic Map for the Kuskokwim Region of Southwest Alaska (Draft). USGS 1:500,000. 17-1 May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Revised Final Report 17 Exhibits 1. Kisaralik River and Chikuminuk Lake Regional Map 2. Kisaralik River and Chikuminuk Lake Location Map 3. Kisaralik River and Chikuminuk Lake Drainage Basin Boundaries 4. Kisaralik River and Chikuminuk Lake Regional Geological Map 5. Chikuminuk Lake Conceptual Project Plan 6. Upper Falls Conceptual Project Plan 7. Lower Falls Conceptual Project Plan 8. Golden Gate Falls Conceptual Project Plan 9. Cost Estimates 10. Construction Schedule This page left blank intentionally. C:\Land Projects 2008\Kisaralik AK\dwg\Ex 01-17- Kisaralik AK regional map & TL.dwg, 2/18/2011 6:48:21 PM, PDF995.pc3KISARALIK RIVER AND CHIKUMINUK LAKEREGIONAL MAPEXHIBIT 01 18 FEB 201140000 FT20000020000SCALENOTES:1. SPATIAL REFERENCE: UTM ZONE 4, NAD83, FEET.2. VERTICAL DATUM IS NGVD.3. USGS 1:250,000 MAPS OF BETHEL, AK (1980) AND TAYLOR MOUNTAINS, AK (1954) .Kisaralik River and Chikuminuk LakeReconnaissance and Preliminary Hydropower Feasibility StudyCANDIDATE PROJECT LOCATIONLEGEND:PLACESLOCATION MAPMAPPED AREABethelCANADAALASKAUNITED STATESRUSSIAAnchorageKuskokwim RiverBearing SeaGulf of AlaskaPacific OceanDillinghamCHIKUMINUKLAKEBETHELKISARALIK RIVER(LOWER FALLS)KISARALIK RIVER(GOLDEN GATE FALLS)KISARALIK RIVER(UPPER FALLS)NOTE:THIS IS A PRELIMINARY CONCEPT SKETCH FOR FEASIBILITY STUDYPURPOSES ONLY. ALL DIMENSIONS AND ELEVATIONS AREAPPROXIMATE, AND WILL BE UPDATED AS PROJECT DESIGN STUDIESCONTINUE. ALL CONCEPTS AND DETAILS, SUCH AS DIMENSIONS ANDELEVATIONS, DEFINED ON DRAWINGS WOULD REQUIRE FURTHERREFINEMENT DURING A SUBSEQUENT DESIGN PHASE. C:\Land Projects 2008\Kisaralik AK\dwg\Ex 02 - Kisaralik AK Location Map.dwg, 2/18/2011 6:46:32 PM, PDF995.pc3KISARALIK RIVER AND CHIKUMINUK LAKELOCATION MAPEXHIBIT 02 18 FEB 201120000 FT10000010000SCALENOTES:1. SPATIAL REFERENCE: UTM ZONE 4, NAD83, FEET.2. VERTICAL DATUM IS NGVD.3. 100-FEET INTERVAL CONTOURS CREATED FROM USGS STDS DEMS FOR THE BETHELB3, B4, C3, C4 (AK) AND TAYLOR MOUNTAINS A7, A8, B7, B8, C7, C8 (AK) 15-MINUTE MAPS.KISARALIK RIVER(GOLDEN GATE FALLS)KISARALIK RIVER(UPPER FALLS)KISARALIK RIVER(LOWER FALLS)CHIKUMINUK LAKEUSGS 15304200 KISARALIK RNR AKIAK AKUSGS 15301500 ALLEN RNR ALEKNAGIK AKCANDIDATE PROJECT LOCATIONLEGEND:GAGING STATIONPLACESLOCATION MAPMAPPED AREABethelCANADAALASKAUNITED STATESRUSSIAAnchorageKuskokwim RiverBearing SeaGulf of AlaskaPacific OceanDillinghamKisaralik River and Chikuminuk LakeReconnaissance and Preliminary Hydropower Feasibility StudyNOTE:THIS IS A PRELIMINARY CONCEPT SKETCH FOR FEASIBILITY STUDYPURPOSES ONLY. ALL DIMENSIONS AND ELEVATIONS AREAPPROXIMATE, AND WILL BE UPDATED AS PROJECT DESIGN STUDIESCONTINUE. ALL CONCEPTS AND DETAILS, SUCH AS DIMENSIONS ANDELEVATIONS, DEFINED ON DRAWINGS WOULD REQUIRE FURTHERREFINEMENT DURING A SUBSEQUENT DESIGN PHASE. C:\Land Projects 2008\Kisaralik AK\dwg\Ex 03 - Kisaralik Drainage Basin Boundaries.dwg, 2/18/2011 6:54:52 PM, PDF995.pc3KISARALIK RIVER AND CHIKUMINUK LAKEDRAINAGE BASIN BOUNDARIESEXHIBIT 03 18 FEB 201130000 FT15000015000SCALENOTES:CANDIDATE PROJECT LOCATIONLEGEND:KISARALIK RIVER(UPPER FALLS)CHIKUMINUK LAKEGAGING STATIONPLACESUSGS 15304200 KISARALIK RNR AKIAK AKUSGS 15301500 ALLEN RNR ALEKNAGIK AKLOCATION MAPMAPPED AREABethelCANADAALASKAUNITED STATESRUSSIAAnchorageKuskokwim RiverBearing SeaGulf of AlaskaPacific OceanDillingham1. SPATIAL REFERENCE: UTM ZONE 4, NAD83, FEET.2.VERTICAL DATUM IS NGVD.3. 100-FEET INTERVAL CONTOURS CREATED FROM USGS STDS DEMS FOR THE BETHEL B3, B4, C3, C4 (AK)AND TAYLOR MOUNTAINS A7, A8, B7, B8, C7, C8 (AK) 15-MINUTE MAPS.BASIN BOUNDARYSUBBASIN BOUNDARYSUBBASIN 1SUBBASIN 3SUBBASIN 2SUBBASIN 4NOTE:THIS IS A PRELIMINARY CONCEPT SKETCH FOR FEASIBILITY STUDYPURPOSES ONLY. ALL DIMENSIONS AND ELEVATIONS AREAPPROXIMATE, AND WILL BE UPDATED AS PROJECT DESIGN STUDIESCONTINUE. ALL CONCEPTS AND DETAILS, SUCH AS DIMENSIONS ANDELEVATIONS, DEFINED ON DRAWINGS WOULD REQUIRE FURTHERREFINEMENT DURING A SUBSEQUENT DESIGN PHASE.Kisaralik River and Chikuminuk LakeReconnaissance and Preliminary Hydropower Feasibility StudyKISARALIK RIVER(GOLDEN GATE FALLS)KISARALIK RIVER(LOWER FALLS) C:\Land Projects 2008\Kisaralik AK\dwg\Ex 04 - Kisaralik AK Regional Geologic Map.dwg, 2/18/2011 6:59:02 PM, PDF995.pc3KISARALIK RIVER AND CHIKUMINUK LAKEREGIONAL GEOLOGIC MAPEXHIBIT 04 18 FEB 201120000 FT10000010000SCALENOTES:1. SPATIAL REFERENCE: UTM ZONE 4, NAD83, FEET.3. VERTICAL DATUM IS NGVD.4. 100-FEET INTERVAL CONTOURS CREATED FROM USGS STDS DEM s FOR THE BETHEL B3,B4, C3, C4 (AK) AND TAYLOR MOUNTAINS A7, A8, B7, B8, C7, C8 (AK) 15-MINUTE MAPS.5. GEOLOGIC DATA HAS BEEN INTERPRETED BASED ON THE WORK OF WILSON ET AL,2007; DECKER ET AL, 1994; BOX ET AL, 1993; HARZA, 1982; BEIKMAN, 1974; AND HOOREAND CONRAD, 1959. ACTUAL FIELD DATA IS LIMITED TO OBSERVATIONS MADE AT THELOCATIONS OF THE POTENTIAL HYDROELECTRIC SITES. CONTACTS AND DATALOCATIONS SHOULD BE CONSIDERED APPROXIMATE.KISARALIK RIVER(GOLDEN GATE FALLS)KISARALIK RIVER(UPPER FALLS)KISARALIK RIVER(LOWER FALLS)CHIKUMINUK LAKELEGEND AND SYMBOLS:UNCONSOLIDATED QUATERNARY DEPOSITSKUSKOKWIM GROUPTOGIAK TERRANE - HAGEMEISTER SUBTERRANEGOODNEWS TERRANE - NUKLUK SUBTERRANEGOODNEWS TERRANE - TIKCHIK SUBTERRANEAPPROXIMATE CONTACTFAULT - ARROWS INDICATE DIRECTIONOF MOVEMENT WHERE KNOWNREVERSE FAULT - TEETH INDICATEUP-THROWN BLOCKKQHgNlTcQQQQQQQKKKKKKKKKKKKKKKKNlNlNlNlHgHgHgHgHgHgHgHgTcTcTcTcTcTcKKTcQQQANIAK-THOMPSONCREEK FAULTUNNAMEDFAULTUNNAMEDFAULTUNNAMEDFAULTMILK CREEKFAULTLAKE (FORK)CREEK FAULTTRAIL CREEKFAULTKisaralik River and Chikuminuk LakeReconnaissance and Preliminary Hydropower Feasibility Study C:\Land Projects 2008\Kisaralik AK\dwg\Ex 05 - Chikuminuk - conceptual project plan.dwg, 2/18/2011 7:01:54 PM, PDF995.pc3CHIKUMINUK LAKE HYDROELECTRIC PROJECTCONCEPTUAL PROJECT PLANEXHIBIT 05 18 FEB 2011NOTES:1. SPATIAL REFERENCE: UTM ZONE 4, NAD83, FEET.2. VERTICAL DATUM IS NGVD.3. 50-FEET INTERVAL CONTOURS CREATED FROM USGS STDS DEMS FOR THE TAYLORMOUNTAINS A7, A8 (AK) 15-MINUTE MAPS.VICINITY MAPDAM SITEPOWERHOUSECONCRETE FACEDROCKFILL DAMCREST EL. 676.0FLOWDIVERSIONINTAKEINTAKE TOWER AND FLOATINGSURFACE COLLECTORSPILLWAY OGEECREST EL. 660.0;200 FT. LENGTHNORMAL MAX. RESERVOIREL. 660.0MAX. RESERVOIREL. 671.0COFFERDAMTAILRACE FISHBARRIERVALVE CHAMBERLOG BOOMGUIDE NET(SEASONAL)VALVE CHAMBERACCESS TUNNELMAINTENANCE,SWITCHYARD, AND FISHHANDLING FACILITIES YARDTWIN STEEL PIPES(INSIDE TUNNEL)PENSTOCK(IN TUNNEL)SPILLWAY CHUTE250 FT1250125SCALEDIVERSIONTUNNELNOTE:THIS IS A PRELIMINARY CONCEPT SKETCH FOR FEASIBILITY STUDYPURPOSES ONLY. ALL DIMENSIONS AND ELEVATIONS AREAPPROXIMATE, AND WILL BE UPDATED AS PROJECT DESIGN STUDIESCONTINUE. ALL CONCEPTS AND DETAILS, SUCH AS DIMENSIONS ANDELEVATIONS, DEFINED ON DRAWINGS WOULD REQUIRE FURTHERREFINEMENT DURING A SUBSEQUENT DESIGN PHASE.Kisaralik River and Chikuminuk LakeReconnaissance and Preliminary Hydropower Feasibility Study C:\Land Projects 2008\Kisaralik AK\dwg\Ex 06-07-08 - Kisaralik conceptual project plans.dwg, 2/18/2011 7:09:33 PM, PDF995.pc3KISARALIK RIVER UPPER FALLSHYDROELECTRIC PROJECTCONCEPTUAL PROJECT PLANEXHIBIT 06 18 FEB 2011CONCRETE FACEDROCKFILL DAMCREST EL. 1170.0FLOWSITE PLANRESERVOIR MAPNOTES:1. SPATIAL REFERENCE: UTM ZONE 4, NAD83, FEET.2. VERTICAL DATUM IS NGVD.3. 50-FEET INTERVAL CONTOURS CREATED FROM USGS STDS DEMSFOR THE BETHEL B3, B4, C3, C4 (AK) 15-MINUTE MAPS.SPILLWAY OGEECREST EL. 1150.0;175 FT. LENGTHSPILLWAY CHUTEPOWERHOUSEDIVERSIONTUNNELNORMAL MAX. RESERVOIREL. 1150.0MAX. RESERVOIREL. 1165.0COFFERDAMVALVECHAMBERDIVERSIONINTAKEINTAKE TOWER ANDFLOATING SURFACECOLLECTORTAILRACE FISHBARRIERLOG BOOMGUIDE NET(SEASONAL)VALVE CHAMBERACCESS TUNNELMAINTENANCE,SWITCHYARD, ANDFISH HANDLINGFACILITIES YARDTWIN STEEL PIPES(INSIDE TUNNEL)PENSTOCK(IN TUNNEL)250 FT1250125SCALENOTE:THIS IS A PRELIMINARY CONCEPT SKETCH FOR FEASIBILITY STUDYPURPOSES ONLY. ALL DIMENSIONS AND ELEVATIONS AREAPPROXIMATE, AND WILL BE UPDATED AS PROJECT DESIGN STUDIESCONTINUE. ALL CONCEPTS AND DETAILS, SUCH AS DIMENSIONS ANDELEVATIONS, DEFINED ON DRAWINGS WOULD REQUIRE FURTHERREFINEMENT DURING A SUBSEQUENT DESIGN PHASE.Kisaralik River and Chikuminuk LakeReconnaissance and Preliminary Hydropower Feasibility Study C:\Land Projects 2008\Kisaralik AK\dwg\Ex 06-07-08 - Kisaralik conceptual project plans.dwg, 2/18/2011 7:07:56 PM, PDF995.pc3KISARALIK RIVER LOWER FALLSHYDROELECTRIC PROJECTCONCEPTUAL PROJECT PLANEXHIBIT 07 18 FEB 2011NOTES:CONCRETE FACEDROCKFILL DAMCREST EL. 975.0F L O W SITE PLANRESERVOIR MAPDIVERSIONTUNNELSPILLWAY OGEECREST EL. 955.0;150 FT. LENGTHSPILLWAY CHUTEPOWERHOUSENORMAL MAX. RESERVOIREL. 955.0MAX. RESERVOIREL. 970.0DIVERSION TUNNELOUTLETCOFFERDAMCREST EL. 860.0VALVE CHAMBERDIVERSIONINTAKEINTAKE TOWER ANDFLOATING SURFACECOLLECTORTAILRACE FISHBARRIERLOG BOOMGUIDE NET(SEASONAL)VALVE CHAMBERACCESS TUNNELMAINTENANCE,SWITCHYARD, ANDFISH HANDLINGFACILITIES YARDTWIN STEEL PIPES(INSIDE TUNNEL)PENSTOCK (IN TUNNEL)250 FT1250125SCALE1. SPATIAL REFERENCE: UTM ZONE 4, NAD83, FEET.2. VERTICAL DATUM IS NGVD.3. 50-FEET INTERVAL CONTOURS CREATED FROM USGS STDS DEMSFOR THE BETHEL B3, B4, C3, C4 (AK) 15-MINUTE MAPS.NOTE:THIS IS A PRELIMINARY CONCEPT SKETCH FOR FEASIBILITY STUDYPURPOSES ONLY. ALL DIMENSIONS AND ELEVATIONS AREAPPROXIMATE, AND WILL BE UPDATED AS PROJECT DESIGN STUDIESCONTINUE. ALL CONCEPTS AND DETAILS, SUCH AS DIMENSIONS ANDELEVATIONS, DEFINED ON DRAWINGS WOULD REQUIRE FURTHERREFINEMENT DURING A SUBSEQUENT DESIGN PHASE.Kisaralik River and Chikuminuk LakeReconnaissance and Preliminary Hydropower Feasibility Study C:\Land Projects 2008\Kisaralik AK\dwg\Ex 06-07-08 - Kisaralik conceptual project plans.dwg, 2/18/2011 7:09:01 PM, PDF995.pc3KISARALIK RIVER GOLDEN GATE FALLSHYDROELECTRIC PROJECTCONCEPTUAL PROJECT PLANEXHIBIT 08 18 FEB 2011FLOWSITE PLANRESERVOIR MAPNOTES:CONCRETE FACEDROCKFILL DAMCREST EL. 820.0SPILLWAY OGEECREST EL. 800.0;325 FT. LENGTHSPILLWAY CHUTENORMAL MAX. RESERVOIREL. 800.0MAX. RESERVOIREL. 815.0COFFERDAMPOWERHOUSEINTAKE TOWER ANDFLOATING SURFACECOLLECTORTAILRACE FISHBARRIERVALVE CHAMBERLOG BOOMGUIDE NET(SEASONAL)MAINTENANCE,SWITCHYARD, ANDFISH HANDLINGFACILITIES YARDTWIN STEEL PIPES(INSIDE TUNNEL)PENSTOCK(IN TUNNEL)250 FT1250125SCALEDIVERSION INTAKE1. SPATIAL REFERENCE: UTM ZONE 4, NAD83, FEET.2. VERTICAL DATUM IS NGVD.3. 50-FEET INTERVAL CONTOURS CREATED FROM USGS STDS DEMSFOR THE BETHEL B3, B4, C3, C4 (AK) 15-MINUTE MAPS.DIVERSION TUNNELTAILRACE FISHBARRIERNOTE:THIS IS A PRELIMINARY CONCEPT SKETCH FOR FEASIBILITY STUDYPURPOSES ONLY. ALL DIMENSIONS AND ELEVATIONS AREAPPROXIMATE, AND WILL BE UPDATED AS PROJECT DESIGN STUDIESCONTINUE. ALL CONCEPTS AND DETAILS, SUCH AS DIMENSIONS ANDELEVATIONS, DEFINED ON DRAWINGS WOULD REQUIRE FURTHERREFINEMENT DURING A SUBSEQUENT DESIGN PHASE.Kisaralik River and Chikuminuk LakeReconnaissance and Preliminary Hydropower Feasibility Study  MWH 3/22/2011  Grand Total Price:507,000,000$ Item #Description Quantity UOM Unit Price Total Price Comments Direct Costs  GENERAL $9,125,500 1 Mobilization/Demobilization 1                       LS $0 $0 This cost is in the indirect cost 2 Set‐Up Temporary Camp/Staging 5                       MO $100,000 $500,000 3 Set‐Up Project 4                       YR $50,000 $200,000 4 Maintain Project 24                     MO $5,000 $120,000 5 Clear Camp, Shops, Office and Staging Aeas 28                     AC $6,000 $168,000 6 Set‐Up Camp, Shops, and Office Utilities 1                       LS $1,750,000 $1,750,000 7 Set‐Up Camp, Shops, Office, etc 1                       LS $850,000 $850,000 8 Operate Man Camp 150,750           M‐D $30 $4,522,500 9 Resident Engineer Office 53                     MO $5,000 $265,000 10 Final Site Cleanup, Seeding & Planting 1                       LS $750,000 $750,000 ROADS AND AIRSTRIPS $18,221,000 Site Access Roads  and Airstrip  $5,430,000 1 Road from Camp to Intake Structure 0.40                 Miles $225,000 $90,000 2 Road from Camp to Powerhouse Area 0.20                 Miles $150,000 $30,000 3 Road from Camp to Dam and Spillway 0.40                 Miles $150,000 $60,000 4 Bridge over River 1.00                 LS $250,000 $250,000 5 Airstrip and Connecting Road 1.00                 LS $5,000,000 $5,000,000 Winter Ice Roads $12,791,000 1 Ice Road Permits and Surveying 1.00                 LS $500,000 $500,000 Overland route from Dillingham 2 First Time Clearing and Bushing Road Alignment 130.00             Miles $15,000 $1,950,000 3 Added for Mountain Terrain 40.00               Miles $15,000 $600,000 4 Road Construction 130.00             Miles $60,000 $7,800,000 5 Added for Mountain Terrain 40.00               Miles $15,000 $600,000 6 Road Maintenance 520.00             Mile‐yr $1,500 $780,000 7 Load Trucks ‐ 550 loads  550.00             Loads $250 $137,500 8 Haul 550.00             Loads $520 $286,000 9 Unload Trucks 550.00             Loads $250 $137,500 ROCKFILL DAM $24,713,325 1 Upstream Rockfill Cofferdam 30,000 CY $25.00 $750,000 2 Downstream Rockfill Cofferdam 18,000 CY $25.00 $450,000 3 Cofferdam Impervious Membrane 2,000 CY $10.00 $20,000 4 Dam Area Excavation 161,000 CY $30.00 $4,830,000 5 Dam Foundation Clean‐up 261,000 SF $2.50 $652,500 6 Dam Plinth Excavation 4,214 CY $30.00 $126,420 7 Plinth Foundation Clean‐up 23,000 SF $5.50 $126,500 8 Plinth Concrete 5,300 CY $650.00 $3,445,000 9 Drill Grout Holes 11,400 LF $20.00 $228,000 10 Dam Grouting 227 Holes $115.00 $26,105 11 Dam Rolled Rockfill 557,500 CY $12.00 $6,690,000 About half will come from the spillway excavation 12 Dam Upstream Filter 37,100 CY $20.00 $742,000 13 Upstream Concrete Facing 10,600 CY $600.00 $6,360,000 14 Road Base on Top of Dam 560 CY $30.00 $16,800 15 Dam Instrumentation 1 LS $250,000.00 $250,000 SPILLWAY $4,946,900 1 Spillway Area Excavation 278,150 CY $15.00 $4,172,250 2 Drill Grout Holes 2,300 LF $20.00 $46,000 3 Spillway Ogee Area Grouting 50 Holes $115.00 $5,750 4 Spillway Ogee Concrete 420 CY $600.00 $252,000 5 Spillway Ogee Concrete Wing Walls 88 CY $550.00 $48,400 6 Spillway Area Rockbolts 750 EA $350.00 $262,500 7 Spillway Area Misc Shotcrete 200 CY $800.00 $160,000 FISH PASSAGE SYSTEM $35,715,000 1 Upgrade Road to Upstream Guide Nets 0.70 LF $150,000.00 $105,000 2 Upstream Guide Nets 800.00 LF $400.00 $320,000 3 Upstream Floating Surface Collection System 1.00 LS $27,000,000.00 $27,000,000 4 Upstream Adult Release Structure 1.00 LS $10,000.00 $10,000 5 Downstream Fish Barrier 350.00 LF $400.00 $140,000 6 Downstream Adult Holding and Loading system 1.00 LS $8,000,000.00 $8,000,000 7 Juvenile Release Structure 1.00 LS $10,000.00 $10,000 8 Fish Transfer Pipe 1300.00 LF $100.00 $130,000 WATERWAYS $24,128,450 KISARALIK RIVER & CHIKUMINUK LAKE HYDROELECTRIC PROJECTS RECONNAISSANCE AND PRELIMINARY HYDROPOWER FEASIBILITY STUDY Chikuminuk Lake Site Opinion of Probable Construction Cost Currency: USD-United States-DECEMBER 2010 Dollar Prepared by MWH Americas, Inc. 3/22/2011 Page 1 EXHIBIT 9 Page 1 of 12  MWH 3/22/2011  Grand Total Price:507,000,000$ Item #Description Quantity UOM Unit Price Total Price Comments KISARALIK RIVER & CHIKUMINUK LAKE HYDROELECTRIC PROJECTS RECONNAISSANCE AND PRELIMINARY HYDROPOWER FEASIBILITY STUDY Chikuminuk Lake Site Opinion of Probable Construction Cost Currency: USD-United States-DECEMBER 2010 Dollar Diversion Tunnel 25 ft Dia by 1000 LF $9,199,000 1 Road to Upstream Portal 1                       LS $30,000 $30,000 2 Road to Downstream Portal 1                       LS $30,000 $30,000 3 Upstream Portal Area Excavation 3,500               CY $20 $70,000 4 Downstream Portal Area Excavation 2,500               CY $20 $50,000 5 Excavate Diversion Tunnel 1,000               LF $4,500 $4,500,000 6 Upstream Diversion Concrete Gate Structure 610                   CY $600 $366,000 7 Upstream Diversion Gates 2                       EA $155,000 $310,000 8 Line the Diversion Tunnel 5,250               CY $700 $3,675,000 9 Downstream Diversion Concrete Structure 280                   CY $600 $168,000 Intake Tower $11,643,500 1 Intake Tower Area Excavation 27,500             CY $25 $687,500 2 Intake Tower Area Rockbolts 200                   EA $350 $70,000 3 Intake Tower Area Backfill 12,000             CY $15 $180,000 4 Intake Tower Concrete 12,700             CY $600 $7,620,000 5 Intake Gates Operating 4                       EA $323,000 $1,292,000 6 Intake Gates Bulkhead 4                       EA $136,000 $544,000 7 Tie Intake Tower into Diversion Tunnel 1                       LS $500,000 $500,000 Tower sits on top of diversion tunnel portal 8 Bypass Penstock & Diversion Tunnel Plug 1                       LS $750,000 $750,000 Unit Penstock Tunnels to Power Tunnel $3,285,950 1 Tunnel Excavation ‐ 14 ft horseshoe  110 lf ea.1,760               CY $165 $290,400 2 Rockbolts 185                   EA $350 $64,750 3 Shotcrete 40                     CY $800 $32,000 4 Steel Penstock Lining 320                   TN $8,400 $2,688,000 100 lf of power tunnel plus the penstocks 5 Backfill Concrete 614                   CY $200 $122,800 6 High Pressure Grouting 220                   LF $250 $55,000 7 Contact Grouting 220                   LF $150 $33,000 POWERHOUSE $36,864,750 Structure $7,814,750 1 Powerhouse Excavation 34,000            CY $30 $1,020,000 2 Tailrace Excavation 5,000              CY $20 $100,000 3 Rockbolts 320                  EA $350 $112,000 4 Shotcrete 40                    CY $800 $32,000 5 Powerhouse 1th Stage Concrete 7,600              CY $600 $4,560,000 6 Powerhouse 2th Stage Concrete 500                  CY $500 $250,000 7 Transformer Slab Concrete 200                  CY $400 $80,000 8 Backfill around Powerhouse 250                  CY $15 $3,750 9 Buy Draft Dube Gates, Guides and Hoist 2                      Sets $67,500 $135,000 10 Install Draft Tube Gates, Guides and Hoist 2                      Sets $11,000 $22,000 11 Lighting, Roofing, Drainage, HVAC, Arch., etc 1                      LS $1,500,000 $1,500,000 Electrical and Mechanical Equipment $29,050,000 1 Turbines and Generators 2                      EA $4,900,000 $9,800,000 2 Spherical Valves 2                      EA $1,300,000 $2,600,000 3 Transformers 6                      EA $1,500,000 $9,000,000 Water to wire package is estimated at $25.6 million 4 Mechanical Systems 1                      LS $1,400,000 $1,400,000 5 Electrical Systems 1                      LS $1,900,000 $1,900,000 6 Powerhouse Bridge Crane 1                      LS $900,000 $900,000 7 Spare Parts 1                      LS $350,000 $350,000 8 Switchyard 1                      LS $3,000,000 $3,000,000 9 Testing, Startup and Commissioning Plant 1                      LS $100,000 $100,000 TRANSMISSION LINE $141,600,000 1 Transmission Line 118                  Miles $1,200,000 $141,600,000 Sub Total Directs: 295,314,925 Indirect Costs Project Management 295,000,000$    2.5%7,375,000 Safety 295,000,000$    0.5%1,475,000 Administration, Office, Shops, etc.295,000,000$    5.0%14,750,000 Equipment Costs 295,000,000$    1.0%2,950,000 Sub Total Indirects: 26,550,000 Sub Total Directs + Indirects:$321,864,925  Markups  Subcontractor Markups   0.0%$0 In subcontract price Sales Tax on Electrical and Mechanical Equip 0.0%$0 No state sales tax  State Sales Taxes on All Other Items 0.0%$0 No state sales tax  Prime Contractor OH&P on Subs 171,000,000$    5.0%$8,550,000 Prepared by MWH Americas, Inc. 3/22/2011 Page 2 EXHIBIT 9 Page 2 of 12  MWH 3/22/2011  Grand Total Price:507,000,000$ Item #Description Quantity UOM Unit Price Total Price Comments KISARALIK RIVER & CHIKUMINUK LAKE HYDROELECTRIC PROJECTS RECONNAISSANCE AND PRELIMINARY HYDROPOWER FEASIBILITY STUDY Chikuminuk Lake Site Opinion of Probable Construction Cost Currency: USD-United States-DECEMBER 2010 Dollar  Prime Contractor OH&P on Self‐Perform 125,000,000$    15.0%$18,750,000  Contractor Insurance Program 411,000,000$   2.5%$10,275,000 Performance/Payments Bonds, Genl Liability, & Bldr's Risk  Escalation   0.0%Excluded Estimating Accuracy Contingency 295,000,000$   5.0%$14,750,000 Undefined Items Contingency 295,000,000$   12.5%$36,875,000 A larger number is used to account for seepage control Sub Total Markups: $89,000,000 Total Estimated Construction Costs: $410,900,000 Administration & Management  Planning and Licensing 410,900,000$   1.5%$6,160,000 Engineering 410,900,000$    3.0%$12,330,000  Engineering During Construction 410,900,000$     2.0%$8,220,000  Construction Oversight & Mgt 410,900,000$    5.0%$20,550,000  Misc Owner's Soft Costs 410,900,000$    2.0%$8,220,000  Land Acquisition, Rights and Mitigation 410,900,000$    2.0%$8,220,000  Scope Contingency On Civil 240,250,000$    10.0%$24,030,000 Quantity growth and scope growth on civil work Scope Contingency On Equip and Transmission 170,650,000$   5.0%$8,530,000 Market and scope growth  Interest During Construction 410,900,000$    0.0%$0 Excluded  Owner's Construction Contingency/Mgt Reserve 410,900,000$    0.0%$0 Excluded Sub Total Project Administrative Expenses: $96,260,000 Grand Total:  $507,000,000 Cost Range: $460,000,000 $630,000,000 ‐10% +25% Total Contingency:$84,185,000 17% OPCC Disclaimer The client hereby acknowledges that MWH has no control over the costs of labor, materials, competitive bidding environments, unidentified field conditions, financial and/or commodity market conditions, or any other factors likely to affect the OPCC of this project, all of  which are and will unavoidably remain in a state of change, especially in light of high market volatility attributable to Acts of God and other market forces or events beyond the control of the parties. As such, Client recognizes that this OPCC deliverable is based on normal  market conditions, defined by stable resource supply/demand relationships, and does not account for extreme inflationary or deflationary market cycles. Client further acknowledges that this OPCC is a "snapshot in time" and that the reliability of this OPCC will degrade over  time. Client agrees that MWH cannot and does not make any warranty, promise, guarantee or representation, either express or implied that proposals, bids, project construction costs, or cost of O&M functions will not vary significantly from MWH's good faith Class 5 OPCC.        AACE International CLASS 5 Cost Estimate ‐ Class 5 estimates are generally prepared based on very limited information, and subsequently have wide accuracy ranges. As such, some companies and organizations have elected to determine that due to the inherent inaccuracies,  such estimates cannot be classified in a conventional and systemic manner. Class 5 estimates, due to the requirements of end use, may be prepared within a very limited amount of time and with little effort expended— sometimes requiring less than an hour to prepare. Often,  little more than proposed plant type, location, and capacity are known at the time of estimate preparation. (AACE International Recommended Practices and Standards).                                                                                                                                                                            Prepared by MWH Americas, Inc. 3/22/2011 Page 3 EXHIBIT 9 Page 3 of 12  MWH 3/22/2011  Grand Total Price:487,000,000$ Item #Description Quantity UOM Unit Price Total Price Comments Direct Costs  GENERAL $9,125,500 1 Mobilization/Demobilization 1                       LS $0 $0 This cost is in the indirect cost 2 Set‐Up Temporary Camp/Staging 5                       MO $100,000 $500,000 3 Set‐Up Project 4                       YR $50,000 $200,000 4 Maintain Project 24                     MO $5,000 $120,000 5 Clear Camp, Shops, Office and Staging Aeas 28                     AC $6,000 $168,000 6 Set‐Up Camp, Shops, and Office Utilities 1                       LS $1,750,000 $1,750,000 7 Set‐Up Camp, Shops, Office, etc 1                       LS $850,000 $850,000 8 Operate Man Camp 150,750           M‐D $30 $4,522,500 9 Resident Engineer Office 53                     MO $5,000 $265,000 10 Final Site Cleanup, Seeding & Planting 1                       LS $750,000 $750,000 ROADS AND AIRSTRIPS $10,886,000 Site Access Roads  and Airstrip  $5,680,000 1 Road from Camp to Intake Structure 1.00                 Miles $225,000 $225,000 2 Road from Camp to Powerhouse Area 0.20                 Miles $150,000 $30,000 3 Road from Camp to Dam and Spillway 0.50                 Miles $150,000 $75,000 4 Bridge over River 1.00                 LS $350,000 $350,000 5 Airstrip and Connecting Road 1.00                 LS $5,000,000 $5,000,000 Winter Ice Roads $5,206,000 1 Ice Road Permits and Surveying 1.00                 LS $250,000 $250,000 2 First Time Clearing and Bushing Road Alignment 60.00               Miles $15,000 $900,000 3 Added for Mountain Terrain 9.00                 Miles $15,000 $135,000 4 Build Ice Road ‐ 4 Winters 240.00             Miles $12,500 $3,000,000 5 Maintain Ice Road ‐ 4 Winters 240.00             Miles $1,500 $360,000 6 Load Trucks ‐ 550 loads  550.00             Loads $250 $137,500 7 Haul 550.00             Loads $520 $286,000 8 Unload Trucks 550.00             Loads $250 $137,500 ROCKFILL DAM $62,303,875 1 Upstream Rockfill Cofferdam 40,000 CY $25.00 $1,000,000 2 Downstream Rockfill Cofferdam 30,000 CY $25.00 $750,000 3 Cofferdam Impervious Membrane 3,000 CY $10.00 $30,000 4 Dam Area Excavation 190,000 CY $30.00 $5,700,000 5 Dam Foundation Clean‐up 733,300 SF $2.50 $1,833,250 6 Dam Plinth Excavation 6,900 CY $30.00 $207,000 7 Plinth Foundation Clean‐up 37,000 SF $5.50 $203,500 8 Plinth Concrete 7,500 CY $650.00 $4,875,000 9 Drill Grout Holes 8,400 LF $20.00 $168,000 10 Dam Grouting 175 Holes $115.00 $20,125 11 Dam Rolled Rockfill 2,470,000 CY $12.00 $29,640,000 12 Dam Upstream Filter 190,000 CY $20.00 $3,800,000 13 Upstream Concrete Facing 23,000 CY $600.00 $13,800,000 14 Road Base on Top of Dam 900 CY $30.00 $27,000 15 Dam Instrumentation 1 LS $250,000.00 $250,000 SPILLWAY $5,642,800 1 Spillway Area Excavation 320,000 CY $15.00 $4,800,000 2 Drill Grout Holes 950 LF $20.00 $19,000 3 Spillway Ogee Area Grouting 20 Holes $115.00 $2,300 4 Spillway Ogee Concrete 600 CY $600.00 $360,000 5 Spillway Ogee Concrete Wing Walls 90 CY $550.00 $49,500 6 Spillway Area Rockbolts 720 EA $350.00 $252,000 7 Spillway Area Misc Shotcrete 200 CY $800.00 $160,000 FISH PASSAGE SYSTEM $36,025,000 1 Upgrade Road to Upstream Guide Nets 0.70 LF $150,000.00 $105,000 2 Upstream Guide Nets 1600.00 LF $400.00 $640,000 3 Upstream Floating Surface Collection System 1.00 LS $27,000,000.00 $27,000,000 4 Upstream Adult Release Structure 1.00 LS $10,000.00 $10,000 5 Downstream Fish Barrier 350.00 LF $400.00 $140,000 6 Downstream Adult Holding and Loading system 1.00 LS $8,000,000.00 $8,000,000 7 Juvenile Release Structure 1.00 LS $10,000.00 $10,000 8 Fish Transfer Pipe 1200.00 LF $100.00 $120,000 WATERWAYS $28,277,500 Diversion Tunnel 25 ft Dia by 1300 LF $11,084,000 KISARALIK RIVER & CHIKUMINUK LAKE HYDROELECTRIC PROJECTS RECONNAISSANCE AND PRELIMINARY HYDROPOWER FEASIBILITY STUDY Kisaralik River Upper Falls Site Opinion of Probable Construction Cost Currency: USD-United States-DECEMBER 2010 Dollar Prepared by MWH Americas, Inc. 3/22/2011 Page 4 EXHIBIT 9 Page 4 of 12  MWH 3/22/2011  Grand Total Price:487,000,000$ Item #Description Quantity UOM Unit Price Total Price Comments KISARALIK RIVER & CHIKUMINUK LAKE HYDROELECTRIC PROJECTS RECONNAISSANCE AND PRELIMINARY HYDROPOWER FEASIBILITY STUDY Kisaralik River Upper Falls Site Opinion of Probable Construction Cost Currency: USD-United States-DECEMBER 2010 Dollar 1 Road to Upstream Portal 1                       LS $30,000 $30,000 2 Road to Downstream Portal 1                       LS $30,000 $30,000 3 Upstream Portal Area Excavation 3,500               CY $20 $70,000 4 Downstream Portal Area Excavation 2,500               CY $20 $50,000 5 Excavate Diversion Tunnel 1,100               LF $4,500 $4,950,000 6 Upstream Diversion Concrete Gate Structure 610                   CY $600 $366,000 7 Upstream Diversion Gates 2                       EA $155,000 $310,000 8 Line the Diversion Tunnel 7,300               CY $700 $5,110,000 9 Downstream Diversion Concrete Structure 280                   CY $600 $168,000 Intake Tower and Bridge $5,696,000 1 Intake Tower Area Excavation 2,000               CY $20 $40,000 2 Intake Tower Concrete 3,400               CY $800 $2,720,000 The tower is 200 ft high 3 Intake Tower Bridge 300                   LF $2,000 $600,000 4 Intake Gates Operating 4                       EA $323,000 $1,292,000 5 Intake Gates Bulkhead 4                       EA $136,000 $544,000 6 Tie Intake Tower into Diversion Tunnel 1                       LS $500,000 $500,000 Tower sits on top of diversion tunnel portal Unit Penstock Tunnels to Diversion Tunnel $11,497,500 1 Tunnel Excavation ‐ 14 ft horseshoe  150 lf ea.6,400               CY $165 $1,056,000 May be done at the end of  the powerhouse shafts 2 Rockbolts 650                   EA $350 $227,500 3 Shotcrete 80                     CY $800 $64,000 4 Steel Penstock Lining 1,100               TN $8,400 $9,240,000 5 Backfill Concrete 2,200               CY $200 $440,000 6 High Pressure Grouting 800                   LF $250 $200,000 7 Contact Grouting 800                   LF $150 $120,000 8 Diverson Tunnel Plug 1                       LS $150,000 $150,000 POWERHOUSE $48,105,500 Structure $14,505,500 1 Powerhouse Excavation 70,000            CY $30 $2,100,000 2 Tailrace Excavation 25,000            CY $20 $500,000 3 Rockbolts 600                  EA $350 $210,000 4 Shotcrete 80                    CY $800 $64,000 5 Powerhouse 1th Stage Concrete 15,000            CY $600 $9,000,000 6 Powerhouse 2th Stage Concrete 800                  CY $500 $400,000 7 Transformer Slab Concrete 400                  CY $400 $160,000 8 Backfill around Powerhouse 500                  CY $15 $7,500 9 Buy Draft Dube Gates, Guides and Hoist 4                      Sets $67,500 $270,000 10 Install Draft Tube Gates, Guides and Hoist 4                      Sets $11,000 $44,000 11 Lighting, Roofing, Drainage, HVAC, Arch., etc 1                      LS $1,750,000 $1,750,000 Electrical and Mechanical Equipment $33,600,000 1 Turbines and Generators 2                      EA $5,600,000 $11,200,000 2 Spherical Valves 2                      EA $1,600,000 $3,200,000 3 Transformers 6                      EA $1,500,000 $9,000,000 Water to wire package is $26 million 4 Mechanical Systems 1                      LS $1,600,000 $1,600,000 5 Electrical Systems 1                      LS $2,100,000 $2,100,000 6 Powerhouse Bridge Crane 1                      LS $1,500,000 $1,500,000 7 Spare Parts 1                      LS $800,000 $800,000 8 Switchyard 1                      LS $4,000,000 $4,000,000 9 Testing, Startup and Commissioning Plant 1                      LS $200,000 $200,000 TRANSMISSION LINE $84,000,000 1 Transmission Line 70                    Miles $1,200,000 $84,000,000 Sub Total Directs: 284,366,175 Indirect Costs Project Management 284,000,000$    2.5%7,100,000 Safety 284,000,000$    0.5%1,420,000 Administration, Office, Shops etc.284,000,000$    5.0%14,200,000 Equipment Costs 284,000,000$    1.0%2,840,000 Sub Total Indirects: 25,560,000 Sub Total Directs + Indirects:$309,926,175  Markups  Subcontractor Markups   0.0%$0 In subcontract price Sales Tax on Electrical and Mechanical Equip 0.0%$0 No state sales tax State Sales Taxes on All Other Items 0.0%$0 No state sales tax  Prime Contractor OH&P on Subs 118,000,000$    5.0%$5,900,000  Prime Contractor OH&P on Self‐Perform 167,000,000$    15.0%$25,050,000 Prepared by MWH Americas, Inc. 3/22/2011 Page 5 EXHIBIT 9 Page 5 of 12  MWH 3/22/2011  Grand Total Price:487,000,000$ Item #Description Quantity UOM Unit Price Total Price Comments KISARALIK RIVER & CHIKUMINUK LAKE HYDROELECTRIC PROJECTS RECONNAISSANCE AND PRELIMINARY HYDROPOWER FEASIBILITY STUDY Kisaralik River Upper Falls Site Opinion of Probable Construction Cost Currency: USD-United States-DECEMBER 2010 Dollar  Contractor Insurance Program 392,000,000$   2.5%$9,800,000 Performance/Payments Bonds, Genl Liability, & Bldr's Risk  Escalation  0.0%Excluded Estimating Accuracy Contingency 284,000,000$   5.0%$14,200,000 Undefined Items Contingency 284,000,000$   10.0%$28,400,000 Sub Total Markups: $83,000,000 Total Estimated Construction Costs: $392,900,000 Administration & Management  Planning and Licensing 392,900,000$   1.5%$5,890,000 Engineering 392,900,000$    3.0%$11,790,000  Engineering During Construction 392,900,000$     2.0%$7,860,000  Construction Oversight & Mgt 392,900,000$    5.0%$19,650,000  Misc Owner's Soft Costs 392,900,000$    2.0%$7,860,000  Land Acquisition, Rights and Mitigation 392,900,000$    2.0%$7,860,000  Scope Contingency On Civil 275,300,000$    10.0%$27,530,000 Quantity growth and scope growth on civil work Scope Contingency On Equip and Transmission 117,600,000$   5.0%$5,880,000 Market and scope growth  Interest During Construction 392,900,000$    0.0%$0 Excluded  Owner's Construction Contingency/Mgt Reserve 392,900,000$    0.0%$0 Excluded Sub Total Project Administrative Expenses: $94,320,000 Grand Total:  $487,000,000 Cost Range: $440,000,000 $610,000,000 ‐10% +25% Total Contingency:$76,010,000 16% OPCC Disclaimer The client hereby acknowledges that MWH has no control over the costs of labor, materials, competitive bidding environments, unidentified field conditions, financial and/or commodity market conditions, or any other factors likely to affect the OPCC of this project, all of  which are and will unavoidably remain in a state of change, especially in light of high market volatility attributable to Acts of God and other market forces or events beyond the control of the parties. As such, Client recognizes that this OPCC deliverable is based on normal  market conditions, defined by stable resource supply/demand relationships, and does not account for extreme inflationary or deflationary market cycles. Client further acknowledges that this OPCC is a "snapshot in time" and that the reliability of this OPCC will degrade over  time. Client agrees that MWH cannot and does not make any warranty, promise, guarantee or representation, either express or implied that proposals, bids, project construction costs, or cost of O&M functions will not vary significantly from MWH's good faith Class 5 OPCC.     AACE International CLASS 5 Cost Estimate ‐ Class 5 estimates are generally prepared based on very limited information, and subsequently have wide accuracy ranges. As such, some companies and organizations have elected to determine that due to the inherent inaccuracies,  such estimates cannot be classified in a conventional and systemic manner. Class 5 estimates, due to the requirements of end use, may be prepared within a very limited amount of time and with little effort expended— sometimes requiring less than an hour to prepare.  Often, little more than proposed plant type, location, and capacity are known at the time of estimate preparation. (AACE International Recommended Practices and Standards).                                                                                                                                                                            Prepared by MWH Americas, Inc. 3/22/2011 Page 6 EXHIBIT 9 Page 6 of 12  MWH 3/22/2011  Grand Total Price:418,000,000$ Item #Description Quantity UOM Unit Price Total Price Comments Direct Costs  GENERAL $9,125,500 1 Mobilization/Demobilization 1                       LS $0 $0 This cost is in the indirect cost 2 Set‐Up Temporary Camp/Staging 5                       MO $100,000 $500,000 3 Set‐Up Project 4                       YR $50,000 $200,000 4 Maintain Project 24                     MO $5,000 $120,000 5 Clear Camp, Shops, Office and Staging Aeas 28                     AC $6,000 $168,000 6 Set‐Up Camp, Shops, and Office Utilities 1                       LS $1,750,000 $1,750,000 7 Set‐Up Camp, Shops, Office, etc 1                       LS $850,000 $850,000 8 Operate Man Camp 150,750           M‐D $30 $4,522,500 9 Resident Engineer Office 53                     MO $5,000 $265,000 10 Final Site Cleanup, Seeding & Planting 1                       LS $750,000 $750,000 ROADS AND AIRSTRIPS $10,202,000 Site Access Roads  and Airstrip  $5,680,000 1 Road from Camp to Intake Structure 1.00                 Miles $225,000 $225,000 2 Road from Camp to Powerhouse Area 0.20                 Miles $150,000 $30,000 3 Road from Camp to Dam and Spillway 0.50                 Miles $150,000 $75,000 4 Bridge over River 1.00                 LS $350,000 $350,000 5 Airstrip and Connecting Road 1.00                 LS $5,000,000 $5,000,000 Winter Ice Roads $4,522,000 1 Ice Road Permits and Surveying 1.00                 LS $250,000 $250,000 2 First Time Clearing and Bushing Road Alignment 51.00               Miles $15,000 $765,000 3 Added for Mountain Terrain 6.00                 Miles $15,000 $90,000 4 Build Ice Road ‐ 4 Winters 204.00             Miles $12,500 $2,550,000 5 Maintain Ice Road ‐ 4 Winters 204.00             Miles $1,500 $306,000 6 Load Trucks ‐ 550 loads  550.00             Loads $250 $137,500 7 Haul 550.00             Loads $520 $286,000 8 Unload Trucks 550.00             Loads $250 $137,500 ROCKFILL DAM $18,342,625 1 Upstream Rockfill Cofferdam 40,000 CY $25.00 $1,000,000 2 Downstream Rockfill Cofferdam 30,000 CY $25.00 $750,000 3 Cofferdam Impervious Membrane 3,000 CY $10.00 $30,000 4 Dam Area Excavation 66,000 CY $30.00 $1,980,000 5 Dam Foundation Clean‐up 254,000 SF $2.50 $635,000 6 Dam Plinth Excavation 3,300 CY $30.00 $99,000 7 Plinth Foundation Clean‐up 17,000 SF $5.50 $93,500 8 Plinth Concrete 3,700 CY $650.00 $2,405,000 9 Drill Grout Holes 8,400 LF $20.00 $168,000 10 Dam Grouting 175 Holes $115.00 $20,125 11 Dam Rolled Rockfill 400,000 CY $12.00 $4,800,000 From spillway excavation 12 Dam Upstream Filter 41,000 CY $20.00 $820,000 13 Upstream Concrete Facing 8,800 CY $600.00 $5,280,000 14 Road Base on Top of Dam 400 CY $30.00 $12,000 15 Dam Instrumentation 1 LS $250,000.00 $250,000 SPILLWAY $23,006,800 1 Spillway Area Excavation 1,440,000 CY $15.00 $21,600,000 2 Drill Grout Holes 1,000 LF $20.00 $20,000 3 Spillway Ogee Area Grouting 20 Holes $115.00 $2,300 4 Spillway Ogee Concrete 500 CY $600.00 $300,000 5 Spillway Ogee Concrete Wing Walls 90 CY $550.00 $49,500 6 Spillway Area Rockbolts 2,500 EA $350.00 $875,000 7 Spillway Area Misc Shotcrete 200 CY $800.00 $160,000 FISH PASSAGE SYSTEM $36,350,000 1 Upgrade Road to Upstream Guide Nets 1.50 LF $300,000.00 $450,000 2 Upstream Guide Nets 1600.00 LF $400.00 $640,000 3 Upstream Floating Surface Collection System 1.00 LS $27,000,000.00 $27,000,000 4 Upstream Adult Release Structure 1.00 LS $10,000.00 $10,000 5 Downstream Fish Barrier 350.00 LF $400.00 $140,000 6 Downstream Adult Holding and Loading system 1.00 LS $8,000,000.00 $8,000,000 7 Juvenile Release Structure 1.00 LS $10,000.00 $10,000 8 Fish Transfer Pipe 1000.00 LF $100.00 $100,000 WATERWAYS $25,549,000 Diversion Tunnel 25 ft Dia by 1100 LF $11,084,000 KISARALIK RIVER & CHIKUMINUK LAKE HYDROELECTRIC PROJECTS RECONNAISSANCE AND PRELIMINARY HYDROPOWER FEASIBILITY STUDY Kisaralik River Lower Falls Site Opinion of Probable Construction Cost Currency: USD-United States-DECEMBER 2010 Dollar Prepared by MWH Americas, Inc. 3/22/2011 Page 7 EXHIBIT 9 Page 7 of 12  MWH 3/22/2011  Grand Total Price:418,000,000$ Item #Description Quantity UOM Unit Price Total Price Comments KISARALIK RIVER & CHIKUMINUK LAKE HYDROELECTRIC PROJECTS RECONNAISSANCE AND PRELIMINARY HYDROPOWER FEASIBILITY STUDY Kisaralik River Lower Falls Site Opinion of Probable Construction Cost Currency: USD-United States-DECEMBER 2010 Dollar 1 Road to Upstream Portal 1                       LS $30,000 $30,000 2 Road to Downstream Portal 1                       LS $30,000 $30,000 3 Upstream Portal Area Excavation 3,500               CY $20 $70,000 4 Downstream Portal Area Excavation 2,500               CY $20 $50,000 5 Excavate Diversion Tunnel 1,100               LF $4,500 $4,950,000 6 Upstream Diversion Concrete Gate Structure 610                   CY $600 $366,000 7 Upstream Diversion Gates 2                       EA $155,000 $310,000 8 Line the Diversion Tunnel 7,300               CY $700 $5,110,000 9 Downstream Diversion Concrete Structure 280                   CY $600 $168,000 Intake Tower and Bridge $5,316,000 1 Intake Tower Area Excavation 1,000               CY $20 $20,000 2 Intake Tower Concrete 2,950               CY $800 $2,360,000 The tower is 175 ft high 3 Intake Tower Bridge 300                   LF $2,000 $600,000 4 Intake Gates Operating 4                       EA $323,000 $1,292,000 5 Intake Gates Bulkhead 4                       EA $136,000 $544,000 6 Tie Intake Tower into Diversion Tunnel 1                       LS $500,000 $500,000 Shaft 50 ft down to diversion tunnel Unit Penstock Tunnels to Diversion Tunnel $9,149,000 1 Tunnel Excavation ‐ 14 ft horseshoe  150 lf ea.4,800               CY $165 $792,000 2 Rockbolts 500                   EA $350 $175,000 3 Shotcrete 80                     CY $800 $64,000 4 Steel Penstock Lining 880                   TN $8,400 $7,392,000 5 Backfill Concrete 1,680               CY $200 $336,000 6 High Pressure Grouting 600                   LF $250 $150,000 7 Contact Grouting 600                   LF $150 $90,000 8 Diverson Tunnel Plug 1                       LS $150,000 $150,000 POWERHOUSE $47,055,500 Structure $14,505,500 1 Powerhouse Excavation 70,000            CY $30 $2,100,000 2 Tailrace Excavation 25,000            CY $20 $500,000 3 Rockbolts 600                  EA $350 $210,000 4 Shotcrete 80                    CY $800 $64,000 5 Powerhouse 1th Stage Concrete 15,000            CY $600 $9,000,000 6 Powerhouse 2th Stage Concrete 800                  CY $500 $400,000 7 Transformer Slab Concrete 400                  CY $400 $160,000 8 Backfill around Powerhouse 500                  CY $15 $7,500 9 Buy Draft Dube Gates, Guides and Hoist 4                      Sets $67,500 $270,000 10 Install Draft Tube Gates, Guides and Hoist 4                      Sets $11,000 $44,000 11 Lighting, Roofing, Drainage, HVAC, Arch., etc 1                      LS $1,750,000 $1,750,000 Electrical and Mechanical Equipment $32,550,000 1 Turbines and Generators 2                      EA $4,450,000 $8,900,000 2 Spherical Valves 2                      EA $1,800,000 $3,600,000 3 Transformers 6                      EA $1,500,000 $9,000,000 Water to wire package is $27 million 4 Mechanical Systems 1                      LS $1,600,000 $1,600,000 5 Electrical Systems 1                      LS $2,100,000 $2,100,000 6 Powerhouse Bridge Crane 1                      LS $1,750,000 $1,750,000 7 Spare Parts 1                      LS $900,000 $900,000 8 Switchyard 1                      LS $4,500,000 $4,500,000 9 Testing, Startup and Commissioning Plant 1                      LS $200,000 $200,000 TRANSMISSION LINE $74,400,000 1 Transmission Line 62                    Miles $1,200,000 $74,400,000 Sub Total Directs: 244,031,425 Indirect Costs Project Management 244,000,000$    2.5%6,100,000 Safety 244,000,000$    0.5%1,220,000 Administration, Office, Shops etc.244,000,000$    5.0%12,200,000 Equipment Costs 244,000,000$    1.0%2,440,000 Sub Total Indirects: 21,960,000 Sub Total Directs + Indirects:$265,991,425  Markups  Subcontractor Markups   0.0%$0 In subcontract price Sales Tax on Electrical and Mechanical Equip 0.0%$0 No state sales tax State Sales Taxes on All Other Items 0.0%$0 No state sales tax  Prime Contractor OH&P on Subs 107,000,000$    5.0%$5,350,000  Prime Contractor OH&P on Self‐Perform 137,000,000$    15.0%$20,550,000 Prepared by MWH Americas, Inc. 3/22/2011 Page 8 EXHIBIT 9 Page 8 of 12  MWH 3/22/2011  Grand Total Price:418,000,000$ Item #Description Quantity UOM Unit Price Total Price Comments KISARALIK RIVER & CHIKUMINUK LAKE HYDROELECTRIC PROJECTS RECONNAISSANCE AND PRELIMINARY HYDROPOWER FEASIBILITY STUDY Kisaralik River Lower Falls Site Opinion of Probable Construction Cost Currency: USD-United States-DECEMBER 2010 Dollar  Contractor Insurance Program 337,000,000$   2.5%$8,425,000 Performance/Payments Bonds, Genl Liability, & Bldr's Risk  Escalation   0.0%Excluded Estimating Accuracy Contingency 244,000,000$   5.0%$12,200,000 Undefined Items Contingency 244,000,000$   10.0%$24,400,000 Sub Total Markups: $71,000,000 Total Estimated Construction Costs: $337,000,000 Project Administration & Management  Planning and Licensing 337,000,000$   1.5%$5,060,000 Engineering 337,000,000$    3.0%$10,110,000  Engineering During Construction 337,000,000$     2.0%$6,740,000  Construction Oversight & Mgt 337,000,000$    5.0%$16,850,000  Misc Owner's Soft Costs 337,000,000$    2.0%$6,740,000  Land Acquisition, Rights and Mitigation 337,000,000$    2.0%$6,740,000  Scope Contingency On Civil 230,050,000$    10.0%$23,010,000 Quantity growth and scope growth on civil work Scope Contingency On Equip and Transmission 106,950,000$   5.0%$5,350,000 Market and scope growth  Interest During Construction 337,000,000$    0.0%$0 Excluded  Owner's Construction Contingency/Mgt Reserve 337,000,000$    0.0%$0 Excluded Sub Total Project Administrative Expenses: $80,600,000 Grand Total:  $418,000,000 Cost Range: $380,000,000 $520,000,000 ‐10% +25% Total Contingency:$64,960,000 16% OPCC Disclaimer The client hereby acknowledges that MWH has no control over the costs of labor, materials, competitive bidding environments, unidentified field conditions, financial and/or commodity market conditions, or any other factors likely to affect the OPCC of this project, all of  which are and will unavoidably remain in a state of change, especially in light of high market volatility attributable to Acts of God and other market forces or events beyond the control of the parties. As such, Client recognizes that this OPCC deliverable is based on normal  market conditions, defined by stable resource supply/demand relationships, and does not account for extreme inflationary or deflationary market cycles. Client further acknowledges that this OPCC is a "snapshot in time" and that the reliability of this OPCC will degrade over  time. Client agrees that MWH cannot and does not make any warranty, promise, guarantee or representation, either express or implied that proposals, bids, project construction costs, or cost of O&M functions will not vary significantly from MWH's good faith Class 5 OPCC.     AACE International CLASS 5 Cost Estimate ‐ Class 5 estimates are generally prepared based on very limited information, and subsequently have wide accuracy ranges. As such, some companies and organizations have elected to determine that due to the inherent inaccuracies,  such estimates cannot be classified in a conventional and systemic manner. Class 5 estimates, due to the requirements of end use, may be prepared within a very limited amount of time and with little effort expended— sometimes requiring less than an hour to prepare.  Often, little more than proposed plant type, location, and capacity are known at the time of estimate preparation. (AACE International Recommended Practices and Standards).                                                                                                                                                                            Prepared by MWH Americas, Inc. 3/22/2011 Page 9 EXHIBIT 9 Page 9 of 12  MWH 3/22/2011  Grand Total Price:392,000,000$ Item #Description Quantity UOM Unit Price Total Price Comments Direct Costs  GENERAL $9,125,500 1 Project Mobilization/Demobilization 1                       LS $0 $0 This cost is in the indirect cost 2 Set‐Up Temporary Camp/Staging 5                       MO $100,000 $500,000 3 Set‐Up Project 4                       YR $50,000 $200,000 4 Maintain Project 24                     MO $5,000 $120,000 5 Clear Camp, Shops, Office and Staging Aeas 28                     AC $6,000 $168,000 6 Set‐Up Camp, Shops, and Office Utilities 1                       LS $1,750,000 $1,750,000 7 Set‐Up Camp, Shops, Office, etc 1                       LS $850,000 $850,000 8 Operate Man Camp 150,750           M‐D $30 $4,522,500 9 Resident Engineer Office 53                     MO $5,000 $265,000 10 Final Site Cleanup, Seeding & Planting 1                       LS $750,000 $750,000 ROADS AND AIRSTRIPS $9,686,000 Site Access Roads  and Airstrip  $5,680,000 1 Road from Camp to Intake Structure 1.00                 Miles $225,000 $225,000 2 Road from Camp to Powerhouse Area 0.20                 Miles $150,000 $30,000 3 Road from Camp to Dam and Spillway 0.50                 Miles $150,000 $75,000 4 Bridge over River 1.00                 LS $350,000 $350,000 5 Airstrip and Connecting Road 1.00                 LS $5,000,000 $5,000,000 Winter Ice Roads $4,006,000 1 Ice Road Permits and Surveying 1.00                 LS $250,000 $250,000 2 First Time Clearing and Bushing Road Alignment 45.00               Miles $15,000 $675,000 3 Added for Mountain Terrain ‐                    Miles $15,000 $0 4 Build Ice Road ‐ 4 Winters 180.00             Miles $12,500 $2,250,000 5 Maintain Ice Road ‐ 4 Winters 180.00             Miles $1,500 $270,000 6 Load Trucks ‐ 550 loads  550.00             Loads $250 $137,500 7 Haul 550.00             Loads $520 $286,000 8 Unload Trucks 550.00             Loads $250 $137,500 ROCKFILL DAM $15,459,625 1 Upstream Rockfill Cofferdam 33,000 CY $25.00 $825,000 2 Downstream Rockfill Cofferdam 20,000 CY $25.00 $500,000 3 Cofferdam Impervious Membrane 2,500 CY $10.00 $25,000 4 Dam Area Excavation 53,000 CY $30.00 $1,590,000 5 Dam Foundation Clean‐up 204,000 SF $2.50 $510,000 6 Dam Plinth Excavation 3,100 CY $30.00 $93,000 7 Plinth Foundation Clean‐up 17,000 SF $5.50 $93,500 8 Plinth Concrete 3,700 CY $650.00 $2,405,000 9 Drill Grout Holes 8,400 LF $20.00 $168,000 10 Dam Grouting 175 Holes $115.00 $20,125 11 Dam Rolled Rockfill 385,000 CY $12.00 $4,620,000 From spillway excavation 12 Dam Upstream Filter 25,400 CY $20.00 $508,000 13 Upstream Concrete Facing 6,400 CY $600.00 $3,840,000 14 Road Base on Top of Dam 400 CY $30.00 $12,000 15 Dam Instrumentation 1 LS $250,000.00 $250,000 SPILLWAY $19,689,550 1 Spillway Area Excavation 1,205,000 CY $15.00 $18,075,000 2 Drill Grout Holes 2,300 LF $20.00 $46,000 3 Spillway Ogee Area Grouting 90 Holes $115.00 $10,350 4 Spillway Ogee Concrete 1,083 CY $600.00 $649,800 5 Spillway Ogee Concrete Wing Walls 88 CY $550.00 $48,400 6 Spillway Area Rockbolts 2,000 EA $350.00 $700,000 7 Spillway Area Misc Shotcrete 200 CY $800.00 $160,000 FISH PASSAGE SYSTEM $35,905,000 1 Upgrade Road to Upstream Guide Nets 0.70 LF $150,000.00 $105,000 2 Upstream Guide Nets 1200.00 LF $400.00 $480,000 3 Upstream Floating Surface Collection System 1.00 LS $27,000,000.00 $27,000,000 4 Upstream Adult Release Structure 1.00 LS $10,000.00 $10,000 5 Downstream Fish Barrier 350.00 LF $400.00 $140,000 6 Downstream Adult Holding and Loading system 1.00 LS $8,000,000.00 $8,000,000 7 Juvenile Release Structure 1.00 LS $10,000.00 $10,000 8 Fish Transfer Pipe 1600.00 LF $100.00 $160,000 WATERWAYS $25,401,500 Diversion Tunnel 25 ft Dia by 1200 LF $11,936,500 RECONNAISSANCE AND PRELIMINARY HYDROPOWER FEASIBILITY STUDY KISARALIK RIVER & CHIKUMINUK LAKE HYDROELECTRIC PROJECTS Kisaralik River Golden Gate Falls Site Opinion of Probable Construction Cost Currency: USD-United States-DECEMBER 2010 Dollar Prepared by MWH Americas, Inc. 3/22/2011 Page 10 EXHIBIT 9 Page 10 of 12  MWH 3/22/2011  Grand Total Price:392,000,000$ Item #Description Quantity UOM Unit Price Total Price Comments RECONNAISSANCE AND PRELIMINARY HYDROPOWER FEASIBILITY STUDY KISARALIK RIVER & CHIKUMINUK LAKE HYDROELECTRIC PROJECTS Kisaralik River Golden Gate Falls Site Opinion of Probable Construction Cost Currency: USD-United States-DECEMBER 2010 Dollar 1 Road to Upstream Portal 1                       LS $30,000 $30,000 2 Road to Downstream Portal 1                       LS $30,000 $30,000 3 Upstream Portal Area Excavation 3,500               CY $20 $70,000 4 Downstream Portal Area Excavation 2,500               CY $20 $50,000 5 Excavate Diversion Tunnel 1,200               LF $4,500 $5,400,000 6 Upstream Diversion Concrete Gate Structure 610                   CY $600 $366,000 7 Upstream Diversion Gates 2                       EA $155,000 $310,000 8 Line the Diversion Tunnel 7,875               CY $700 $5,512,500 9 Downstream Diversion Concrete Structure 280                   CY $600 $168,000 Intake Tower and Bridge $4,316,000 1 Intake Tower Area Excavation 1,000               CY $20 $20,000 2 Intake Tower Concrete 1,700               CY $800 $1,360,000 The tower is 100 ft high 3 Intake Tower Bridge 300                   LF $2,000 $600,000 4 Intake Gates Operating 4                       EA $323,000 $1,292,000 5 Intake Gates Bulkhead 4                       EA $136,000 $544,000 6 Tie Intake Tower into Diversion Tunnel 1                       LS $500,000 $500,000 Shaft 50 ft down to diversion tunnel Unit Penstock Tunnels to Diversion Tunnel $9,149,000 1 Tunnel Excavation ‐ 14 ft horseshoe  150 lf ea.4,800               CY $165 $792,000 2 Rockbolts 500                   EA $350 $175,000 3 Shotcrete 80                     CY $800 $64,000 4 Steel Penstock Lining 880                   TN $8,400 $7,392,000 5 Backfill Concrete 1,680               CY $200 $336,000 6 High Pressure Grouting 600                   LF $250 $150,000 7 Contact Grouting 600                   LF $150 $90,000 8 Diverson Tunnel Plug 1                       LS $150,000 $150,000 POWERHOUSE $44,805,500 Structure $14,405,500 1 Powerhouse Excavation 70,000            CY $30 $2,100,000 2 Tailrace Excavation 20,000            CY $20 $400,000 3 Rockbolts 600                  EA $350 $210,000 4 Shotcrete 80                    CY $800 $64,000 5 Powerhouse 1th Stage Concrete 15,000            CY $600 $9,000,000 6 Powerhouse 2th Stage Concrete 800                  CY $500 $400,000 7 Transformer Slab Concrete 400                  CY $400 $160,000 8 Backfill around Powerhouse 500                  CY $15 $7,500 9 Buy Draft Dube Gates, Guides and Hoist 4                      Sets $67,500 $270,000 10 Install Draft Tube Gates, Guides and Hoist 4                      Sets $11,000 $44,000 11 Lighting, Roofing, Drainage, HVAC, Arch., etc 1                      LS $1,750,000 $1,750,000 Electrical and Mechanical Equipment $30,400,000 1 Turbines and Generators 2                      EA $4,400,000 $8,800,000 2 Spherical Valves 2                      EA $1,500,000 $3,000,000 3 Transformers 6                      EA $1,500,000 $9,000,000 Water to wire package is $26 million 4 Mechanical Systems 1                      LS $1,600,000 $1,600,000 5 Electrical Systems 1                      LS $2,100,000 $2,100,000 6 Powerhouse Bridge Crane 1                      LS $1,500,000 $1,500,000 7 Spare Parts 1                      LS $700,000 $700,000 8 Switchyard 1                      LS $3,500,000 $3,500,000 9 Testing, Startup and Commissioning Plant 1                      LS $200,000 $200,000 TRANSMISSION LINE $68,400,000 1 Transmission Line 57                    Miles $1,200,000 $68,400,000 Sub Total Directs: 228,472,675 Indirect Costs Project Management 228,000,000$    2.5%5,700,000 Safety 228,000,000$    0.5%1,140,000 Administration, Office, Shops etc.228,000,000$    5.0%11,400,000 Equipment Costs 228,000,000$    1.0%2,280,000 Sub Total Indirects: 20,520,000 Sub Total Directs + Indirects:$248,992,675  Markups  Subcontractor Markups   0.0%$0 In subcontract price Sales Tax on Electrical and Mechanical Equip 0.0%$0 No state sales tax State Sales Taxes on All Other Items 0.0%$0 No state sales tax  Prime Contractor OH&P on Subs 99,000,000$      5.0%$4,950,000  Prime Contractor OH&P on Self‐Perform 130,000,000$    15.0%$19,500,000 Prepared by MWH Americas, Inc. 3/22/2011 Page 11 EXHIBIT 9 Page 11 of 12  MWH 3/22/2011  Grand Total Price:392,000,000$ Item #Description Quantity UOM Unit Price Total Price Comments RECONNAISSANCE AND PRELIMINARY HYDROPOWER FEASIBILITY STUDY KISARALIK RIVER & CHIKUMINUK LAKE HYDROELECTRIC PROJECTS Kisaralik River Golden Gate Falls Site Opinion of Probable Construction Cost Currency: USD-United States-DECEMBER 2010 Dollar  Contractor Insurance Program 315,000,000$   2.5%$7,875,000 Performance/Payments Bonds, Genl Liability, & Bldr's Risk  Escalation   0.0%Excluded Estimating Accuracy Contingency 228,000,000$   5.0%$11,400,000 Undefined Items Contingency 228,000,000$   10.0%$22,800,000 Sub Total Markups: $67,000,000 Total Estimated Construction Costs: $316,000,000 Project Administration & Management Planning and Licensing 316,000,000$   1.5%$4,740,000  Engineering 316,000,000$    3.0%$9,480,000  Engineering During Construction 316,000,000$     2.0%$6,320,000 Construction Oversight & Mgt 316,000,000$    5.0%$15,800,000  Misc Owner's Soft Costs 316,000,000$    2.0%$6,320,000  Land Acquisition, Rights and Mitigation 316,000,000$    2.0%$6,320,000  Scope Contingency On Civil 217,200,000$    10.0%$21,720,000 Quantity growth and scope growth on civil work Scope Contingency On Equip and Transmission 98,800,000$     5.0%$4,940,000 Market and scope growth  Interest During Construction 316,000,000$    0.0%$0 Excluded  Owner's Construction Contingency/Mgt Reserve 316,000,000$    0.0%$0 Excluded Sub Total Project Administrative Expenses: $75,640,000 Grand Total:  $392,000,000 Cost Range: $350,000,000 $490,000,000 ‐10% +25% Total Contingency:$60,860,000 16% OPCC Disclaimer The client hereby acknowledges that MWH has no control over the costs of labor, materials, competitive bidding environments, unidentified field conditions, financial and/or commodity market conditions, or any other factors likely to affect the OPCC of this project, all of  which are and will unavoidably remain in a state of change, especially in light of high market volatility attributable to Acts of God and other market forces or events beyond the control of the parties. As such, Client recognizes that this OPCC deliverable is based on normal  market conditions, defined by stable resource supply/demand relationships, and does not account for extreme inflationary or deflationary market cycles. Client further acknowledges that this OPCC is a "snapshot in time" and that the reliability of this OPCC will degrade over  time. Client agrees that MWH cannot and does not make any warranty, promise, guarantee or representation, either express or implied that proposals, bids, project construction costs, or cost of O&M functions will not vary significantly from MWH's good faith Class 5 OPCC.     AACE International CLASS 5 Cost Estimate ‐ Class 5 estimates are generally prepared based on very limited information, and subsequently have wide accuracy ranges. As such, some companies and organizations have elected to determine that due to the inherent inaccuracies,  such estimates cannot be classified in a conventional and systemic manner. Class 5 estimates, due to the requirements of end use, may be prepared within a very limited amount of time and with little effort expended— sometimes requiring less than an hour to prepare.  Often, little more than proposed plant type, location, and capacity are known at the time of estimate preparation. (AACE International Recommended Practices and Standards).                                                                                                                                                                            Prepared by MWH Americas, Inc. 3/22/2011 Page 12 EXHIBIT 9 Page 12 of 12 IDTask Name1Engineering Planning and FERC Activities2Project Management and Meetings3Acquire Preliminary Permit4Preliminary Permit Period5Early Licensing Activities6Development of Pre-Application Document (PAD), Schedule, and Notice of Intent (NOI)7Scoping and Study Plan Approval8Conduct Engineering and Environmental Studies9Preliminary Licensing Proposal (PLP)10Development of Final License Application (FLA)11Post-FLA Activities and Section 401 Water Quality Certification.1213Design14Preliminary Engineering15Initial Subsurface Investigations16Topographic Mapping17Preliminary Design and Equipment Specs18Equipment Procurement19Design-Level Site Investigations20Final Design and Specifications21Bidding and Award of Main Civil Contract2223Construction24Ice Road Access25Ice Road Access26Ice Road Access27Ice Road Access28Labor Camp29Diversion Tunnel30Dam Foundation Preparation (Abtmnts)31Cofferdam Closure32Complete Dam Foundation Prep (River)33Spillway Excavation / Dam Fill34Intake Tower35Complete Spillway / Dam36Powerhouse Excavation37Powerhouse Substructure38Install Embedded and Rotating Parts39Complete Powerhouse40Testing and Startup41Transmission Line42Demobilization43Commercial OperationProject Management and MeetingsAcquire Preliminary PermitPreliminary Permit PeriodEarly Licensing ActivitiesDevelopment of Pre-Application Document (PAD), Schedule, and Notice of Intent (NOI)Scoping and Study Plan ApprovalConduct Engineering and Environmental StudiesPreliminary Licensing Proposal (PLP)Development of Final License Application (FLA)Post-FLA Activities and Section 401 Water Quality Certification.Preliminary EngineeringInitial Subsurface InvestigationsTopographic MappingPreliminary Design and Equipment SpecsEquipment ProcurementDesign-Level Site InvestigationsFinal Design and SpecificationsBidding and Award of Main Civil ContractIce Road AccessIce Road AccessIce Road AccessIce Road AccessLabor CampDiversion TunnelDam Foundation Preparation (Abtmnts)Cofferdam ClosureComplete Dam Foundation Prep (River)Spillway Excavation / Dam FillIntake TowerComplete Spillway / DamPowerhouse ExcavationPowerhouse SubstructureInstall Embedded and Rotating PartsComplete PowerhouseTesting and StartupTransmission LineDemobilization9/162011201220132014201520162017201820192020202120222023TaskMilestoneSummaryEXHIBIT 10Project: Schedule v4Date: Tue 3/22/11 18-1 Revised Final Report May 2011 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study 18 Public Meeting A presentation was made to the general public on March 9, 2011 to describe the preliminary studies relating to the Kisaralik and Chikuminuk hydropower projects. The presentation was part of an AVCP RHA workshop held from March 8 to 10, 2011. Approximately 100 to 120 persons were in attendance. • Ron Hoffman of AVCP RHA opened the meeting at approximately 3 pm. He introduced the speakers, provided background on efforts to date on alternative energy, need for solutions, intent for the meeting, and the process to be followed in making public comments after the formal presentation by MWH. • MWH representatives Bob Gilfilan and Patrick Hartel provided an overview and powerpoint presentation on their findings of the “Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study”. Report findings indicate that all four hydropower sites: three on the Kisaralik River of Golden Gate Falls, Lower Falls, and Upper Falls, and one site on the Allen River outfall of Chikuminuk Lake, are all feasible and have potential. The estimated useable energy 2022 potential is 38.8, 46.9, 39.7, and 64.9 GWh respectively, compared to an estimated energy demand for the region of 64.9 GWh. All four sites have the challenge of being 57 miles (Golden Gate Falls) to 118 miles (Chikuminuk Lake) distant from Bethel, and are located in some type of state wilderness or federal preserve. The Chikuminuk Lake option is the most advantageous of the sites due to a relatively stable month to month energy delivery potential, lack of anadromous fish, and having the lowest discounted net present cost value of all the possible hydropower siting options. Total cost estimates (design & construction) range from $378M for Golden Gate Falls to $483M 10 for the Chikuminuk Lake option without any grant funding of any kind to augment the financing. A map handout, and full size maps were available at the meeting. • Public comments and/or questions were taken from 10 individuals. There were 6 positive comments noted in support for Chikuminuk Lake option. There were 6 negative comments against a Kisaralik river option. There were no negative comments for a Chikuminuk Lake option. One comment was to “stop studying stuff and do something”. • George Guy and Christine Klein representing Nuvista Power & Electric Cooperative gave an update and summary of next steps. This included organization intent and members, previous 20 to 30 Calista/AVCP region studies from 1950 on, current stakeholder collaboration, and steps being taken to find and act on alternative energy solution(s) due to high electric and heating costs in region. Noted tasks underway and planned: 1. Obtaining grant funding for further work; 10 Note that some information in the handouts (e.g. cost information) may not exactly match information contained in other sections of this final report. Revisions to the costs were made to address reviewer comments following the public meeting. Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study 18-2 Revised Final Report May 2011 2. Hiring a position dedicated to these efforts at Nuvista with AEA help; 3. Begin Region-wide Comprehensive Alternative Energy Plan, to include plans and actions of sub-region areas that may already be underway; and 4. Complete a detailed feasibility study, FERC applications, public meetings, and preliminary design at a cost of $17.6M in a request from Alaska State Legislature for further investigation of a Chikuminuk Lake hydropower option. • Handouts of the powerpoint presentation and bibliography of past reports were handed out. Public comments were received from 6 individuals and consisted of clarification questions, general thoughts, and support. It was noted that Yukon River area also villages in need, and the possibilities for development of natural gas was brought up. • Numerous thank you’s and supportive comments were offered. • Mr. Hoffman closed and adjourned the meeting for the day at approximately 5 pm. Handouts follow this page. -, 15th Annual AVCP Housing Authority Conference ~2011 /Ndro ''''~'J/ #IVillage ITribal Name \Name of Member ISignatlpe..JJ ... 1 1~/,~,;'~;":S(;;::.-~~;~:~';';;3f1!1iPC :M~~r;;'~Li;:;:;~,J;;r:j,:,;~,2>";;):~~)~::G01~~~~~~~~:'):i2;'>+)~::(!;e,:~7];;:;{~~ 3 IAlakanuk IAlakanuk Traditional Council ~/C~",",17,/(;.I /2..,....(u -. 4 IAnchorage ICalista Corporation I u ~r"-----u 7/ 5 IAtmautluak IAtmautluak Tradtional Council INelson Nicholai Date IP.M.: 3/9/2011 3/9/2011 3/912011 3/9/2011 3/9/2011 24 IKongiganak IKongiginak Traditional Council ]OPet(;Dtmiel SF-a.w XJ4v1:dl::J?J 'J'-,./).J:::!'"~~~ 22 IKasigluk IKasigluk Traditional Council INastasia Evan"I h.AUl"j-f~Jf~ 25 1~J{0,t1ik f~C;~e~t~,.,:'"1.',~-'.':IBqJ,~~~~pirezitR;;~._.~~U ~JL3t-L~~ 26 IKotlik IKotlik Tribal Council IMichael Hunt Sr I 11.t::/G1 t../.JI..;? 3/9/2011 3/9/2011 3/9/2011 3/9/2011 3/9/2011 3/912011 3/912011 3/9/2011 3/9/2011 3/912011 3/9/2011 3/9/2011 3/9/2011 3/9/2011 3/9/2011 3/9/2011 3/9/2011 3/9/2011 3/9/2011 3/9/2011 3/9/2011 3/9/2011 3/912011 3/912011 3/912011 3/9/2011 3/9/2011 31912011 3/9/2011 3/9/2011 ~ .. '--"' ~~,N.-- f nt1JD(}L,/<1~ 1j)/~L/~~Nick Andrew Sr Moses Littlefish Johnny Friend 36 INewtok INewtok Traditonal Council IGeorge Tom 7 l'cnef~'f$Jc.S:/,:;)·:b':{;tJ;'tt;£;lffiPC M~Ii:t:J.;~~:;~;\;j;;)'-;)n!!f(h{t:-,;:!:A{{ITTQ~Ji,Y I{uJi)li,*.~~_/~-="{. 20 IHooper Bay INative Village ofPaimiut I I -U 6 IBethel INapaimute Traditional Council IBrook Kristovich I ~ 27 IKotlik IVillage ofBillmoore Slough 23 IKipnuk IKipnuk Tradional Council IJames-Mesak f '1-vt/--1 ,W'~~,~ 8 Chefornak Chefornak Traditional Council J 9 .en-evak~f;~i;;£;.!ii';;\JiJ:>;~hA;;{;IJIPcoM~k!V'.:;;:;/ 29 ILower Kalskag INative Village of Lower Kalskag 32 IMekoryuk INative Village of Mekoryuk I I /1 34 INapakiak INapakiak IRA Council IWillie Kernak 35 INapaskiak INapaskiak Tribal Council IChris Larson 14 lEek lEek Traditional Council IAnnie Pete I (}l.-1 '-1,AJI lJ,-j;: 33 INapakiak·,.IIHPC M¢iP-O~~»:F·,;;:·;i>;::/'i:.:';.~?('2:;:\);·.d,g~1;·:M 9~g~,;t(:;:~;j:-;',;::':::::--~v~7:.J!TI1l~ 31 IMarshall IOhogamuit Traditional Council 30 IMarshall INative Village of Marshall 28 IKwigillingok IKwigillingok IRA Council 16 IGeorgetown IGeorgetown Tribal Council I I /l 17 IGoodnews Bay INative Village of Goodnews Bay IJack Stewart JR I /"">,//)J:.-.~A 19 IHooper Bay INative Village of Hooper Bay IDavid Bunyan I ~v/1-~ 18 IHamilton IHamilton Tribal Council I I ~1J-..,.~ 10 Chevak Chevak Traditonal Council Pete Slats 11 Chuathbaluk Chuathbaluk Traditional Council Lucy Simeon 15 IEmmonak IChuloonawick Tradtional Council IBambi Akers I~-~ 12 Crooked Creek Crooked Creek Traditional Council 13 '.IHPC Membej;:!t&~:,,;r;;T!';~;\;:,..·;wmi:#D'P;Bt(:)~!~:;';\'>~;;;i;;;i::y;;(i Sign in Sheet 38 INightmute IUmkumiut Tribal Council IPeter Dull Sr 37 INightmute INightmute Traditional Council IAndrew George , 15th Annual AVCP Housing Authority Conference 3l812011 ..N~-y 43 IPilot Station IPilot Station Traditional Council INicky Myers fJ./~I 3/9/2011 3/9/2011 3/9/2011 3/9/2011 3/9/2011 3/9/2011 3/9/2011 3/9/2011 3/9/2011 ;::s-..&l£~a VI-:;'~t..J L .P(,".:A I, If)f Jimmy Steven,Sr.1~~~~ ';I Ubfu11h;CbaJjak::;.?~;\h)\~ii(J!::fjkDjL"'J~.(~~~ 41 INunapitchuk INunapitchak IRA Council 44 IPitka's Point IPitka's Point Village Council IAnna L Tinker 42 Ioscarville IOscarville Traditional Council 39 Nunam Iqua Nunam Iqua Traditonal Council 40 NtrilapIfcp,*::rnPC:M~ti;:!:;~'li ' 45 'Platinum IPlatinum Traditional Council 46 IRed Devil IRed Devil Traditional Council 3/9/2011 47 IRussian Mission IRussian Mission Tradtional Council 3/9/2011 59 IUpper Kalskag IUpper Kalskag Traditional Council IWilliamAlexie 58 [Upper"KalSkag ,;;i;;<!Y:IYWc.~eIIJl;eI::11 lL:o.x:eep Ste~ves'=,~(~A;Duul......., 57 'Tununak ITununak IRA Council IGeorge B Hooper Sr 1..L:1~£J ~~) 56 I Tuntutuliak ITuntutuliak Traditional Council IRon Simon I if /__ 3/9/2011 3/912011 3/9/2011 3/9/2011 3/9/2011 3/9/2011 3/9/2011 3/9/2011 3/912011 3/9/2011 3/9/2011 3/9/2011 / 48 1Scammon Bay IScammon Bay Traditional Council IClifford Kaganak Sr I P1rM ~~ 49 St.Mary's Sebastian Cowboy 50 St:~'s '?:',.~,,',''Norpert B~':~:::S0:~):~;;;'L:{v;:;:,;(};t,:~')1.-.r.'-of 0 52 Stony River Stony River Traditional Council 53 Toksook Bay Nunakauyak Traditonal Council 51 1St.Mary's IYupiit of Andreafski IDarryl Sipary I D~j/{A'c.-:- 55 I~+;;~~1:';:1;"""":'":"..:,.'";~..In:mC'"i..o-.i1.._',..-'1;1'"..~-,'c'L .•>RY'f. 'i";&-unlluL'UW1JIo;;l::;:~";;~!S;l;;'<lor;;M.tauJJql .~,"'",cUCY PRJe;"l:':1"....~.......,,~- 54 ITuluksak ITuluksak Native Community IMoses K Peter I e-;7jf~xfJA>.- 60 IAkiachak I Akiachak IRA 3/9/2011 61 IBethel lONe 62 IEmmonak IEmmonak Traditional Council 3/9/2011 3/9/2011 63 IKwethluk IKwethluk IRA 64 ILime Village ILime Village Traditonal Council ILorraine Long 65 IMountain Village IMountain Village Tradtional Council II It ~>l-..A'I __J 3/9/2011 3/9/2011 3/9/2011 66 IQuinhagak IQuinhagak IRA IJoshuaCleveIaDd \l Il..---}~-'~ 67 I Sleetmute ISleetmute I I (//J •A 3/9/2011 3/9/2011 68 1I}K';'.4-lC.I klJk~:--/l/L~t!~--[\'(;;A-~LI....'A-j,~I ~_'-~j 69 1::A1~~JC Il(.IJ-C(2LV~c!.:Jy){)I fl--m.~C4./\.llG{)r~r~~~ 70 1./4kJ~I J~~~r-J?~u..~~1Cf.;.-~C--L?f7 ~')~-'1~nJ~~~~,~ 3/9/2011 3/9/2011 3/9/2011 71 r<f--f'C(\Al'~\<X.>i..ct I \'\);(CsJr--<J .I A-\e.-X \AJ-e..y-ioO\IV IIM.J.L;f f /OIJ j /.1 72 I AnlCt.,,\L I\C\-r-,\fJvtL -r-t\L~C1,\-A'1iWl(,~On-'tb'-('i YVI~}.-TG:~."V1 (~-~,fiYV\4.AI'" 3/9/2011 3/9/2011 '-/)-~ Sign in Sheet 73 I ~II "11\.""A 61 -'\k. 74 1/Nh-t(,vl-Ct/tllAer:-k.. 75 )n 'i;.~\I'\.'J\J.Ci ~ 76 I/J JL-IA.",1-.,_.b 77 la ,z'c ri:.....-,1/ 78 I t (• 79 80 81 82 83 84 , 15th Annual AVCP Housing Authority Conference aJ812011 ,/tItd.4'1 f}~4-,~ (OW'fiv~&\..1<..::rJ1..ft-I Fa-/lLj/{"/f-MllOre..I ~1/11~(J ATT Tt "bA-}~)COU-1'1.dzt --l/L1.~-/{lt'x ~---T~~~,~>'..AJ -L'f'5X SiDI"I4i?,'(\l'Vf'"-;C-.I /tJte-e--C0~((/}'.'"~~l)C::::::S -c'~~ L-to\.I W~l~n~.I <t'\.~--y--L. L ,Ii I 2.d:~A(e)f;-.;>I //Z->IA ---- u I~~l~~ C/(/ Sign in Sheet 3/9/2011 3/9/2011 3/9/2011 3/9/2011 3/9/2011 3/9/2011 3/9/2011 3/9/2011 3/9/2011 3/9/2011 3/9/2011 3/9/2011 p.ftVl. This page left blank intentionally. Association of Village Council Presidents Regional Housing Authority (AVCP RHA) asked MWH to evaluate four potential hydropower sites (three on the Kisaralik River and one at Chikuminuk Lake) for potential to serve electrical demand for the following communities: Bethel, Akiachak, Akiak, Eek, Kasigluk, Nunapitchuk, Quinhagak, At- mautluak, Oscarville, Napakiak, Kwethluk, Napaskiak, Tuluksak, Tuntutuliak. Project Features at all four sites would include: Dam Spillway Potential Reservoir Areas Diversion Tunnel Fish Passage Facilities Transmission Lines Powerhouse (with 2 Francis type turbines) Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Overview Project Overview Meeting Handouts and Presentation Page 1 Revised Final Report May 2011 Project Result Summary The Chikuminuk Lake site appears to be the best available site given that it has: 1) potential to meet year-round demand; 2) best long-term value; 3) fewer apparent environmental impacts. Development of a hydropower site requires a multi-year licensing process led by the Federal Energy Regulatory Commission (FERC), which allows for extensive stake- holder input. 1 Kisaralik River and Chikuminuk Lake Reconnaissance and Preliminary Hydropower Feasibility Study Public Meeting 9 March 2011 Introductions • MWH Study Manager: Patrick (Pat) Hartel • MWH Public Meeting Facilitator: Bob Gilfilian 9 March 2011 2 Project Overview – AVCP RHA asked MWH to evaluate four potential hydropower sites (three on the Kisaralik River and one at Chikuminuk Lake) for potential to serve electrical demand for Bethel and surrounding communities – MWH prepared a Draft Report of the results. A summary is to be t d h t ll f bli i t th t ill b i l d d i thpresented here to allow for public input that will be included in the Final Report – Development period: 10 years minimum 9 March 2011 3 Regional Map 9 March 2011 4 Evaluation Process – Hydrological Evaluation • potential power generation based on available water and terrain • flood magnitudes for construction planning and design – Geological Evaluation f d ti diti•foundation conditions • construction material sources and potential hazards – Licensing Evaluation • land ownership and environmental impacts – Conceptual Design Feature Layouts – Project Cost Estimates and Cost of Electricity – Recommendations 9 March 2011 5 Hydrological Evaluation 9 March 2011 6 Meeting Handouts and Presentation Page 3 Revised Final Report May 2011 2 Hydrological Evaluation 9 March 2011 7 Hydrological Evaluation – Chikuminuk Lake • Drainage basin analyses indicate average available flows to generate approximately 65 GWh (initial year) of usable annual energy, with 13 MW of generating capacity • Large water storage area allows for potential year-round power gg pyp production – Kisaralik River Sites (three sites) • Potential power generation depends on whether one or multiple sites are developed • Drainage basin analyses indicate average available flows to generate approximately 40 GWh of usable annual energy at each site, with about 30 MW of generating capacity at each site • Smaller water storage areas limit production to summer season when there is less demand 9 March 2011 8 Geological Evaluation – Literature Reviews and a Site Visit indicate: • Good potential for source materials at all four sites (cheaper for construction) • Some potential hazards to consider during design at all four sites (earthquake, fault lines, etc)(q, ,) • Need for additional investigation to validate reconnaissance information, but no “show-stoppers” identified at this time 9 March 2011 9 Environmental / Licensing Constraints – Hydropower projects require federal licenses that take several years to obtain, allowing for stakeholder input. – Licensing constraints are thought to include: • Chikuminuk Lake G ti it i l t d i ild di td fWd–Generation site is located in a wilderness-designated area of Wood- Tikchik State Park and private in-holdings may also be impacted – Fish use is not well known and will need to be documented, but initial indications are that salmon are not present • Kisaralik River – Generation sites are located in Yukon Delta National Wildlife Refuge – Extensive salmon use – Extensive commercial and recreational use – Additional study is needed on both site control (land ownership) and environmental impact issues 9 March 2011 10 Licensing Constraint Evaluation 9 March 2011 11 FERC Licensing Process • Development of Pre-Application Document (PAD), Schedule, and Notice of Intent (NOI) • Scoping and Study Plan Approval •Conduct Engineering and Environmental Studies•Conduct Engineering and Environmental Studies • Preliminary Licensing Proposal (PLP) • Development of Final License Application (FLA) • Post-FLA Activities and Section 401 Water Quality Certification. 9 March 2011 12 Meeting Handouts and Presentation Page 4 Revised Final Report May 2011 3 Conceptual Design Feature Layouts – Conceptual design layouts were developed for all four sites to include: • Dam (approximately 100-200 feet high) • Potential Reservoir Areas •Spillway•Spillway • Diversion Tunnel • Powerhouse (with 2 Francis type turbines) • Fish Passage Facilities • Transmission Line (approximately 55-120 miles) – Layouts for Chikuminuk Lake and Kisaralik River Golden Gate Falls are shown on the next two slides 9 March 2011 13 Conceptual Design Feature Layouts 9 March 2011 14 Conceptual Design Feature Layouts 9 March 2011 15 Conceptual Design Feature Layouts 9 March 2011 16 Project Cost Estimates • Approximate construction cost estimates (in 2010 dollars) were developed based on the conceptual design layouts to facilitate decision-making •“Parametric”type estimate; not feasible to do a 9 March 2011 17 Parametric type estimate; not feasible to do a detailed estimate at this stage • Potential for high variability between an early stage estimate and the actual cost of the constructed facility. Project Cost Estimates 9 March 2011 18 Meeting Handouts and Presentation Page 5 Revised Final Report May 2011 4 Project Cost Estimates 9 March 2011 19 Economic Evaluation – Input and Assumptions 9 March 2011 20 Economic Evaluation – Input and Assumptions 9 March 2011 21 Economic Evaluation 9 March 2011 22 Economic Modeling 9 March 2011 23 Economic Evaluation 9 March 2011 24 Meeting Handouts and Presentation Page 6 Revised Final Report May 2011 5 Economic Modeling – Regional energy demand was modeled and comparisons for the four hydropower projects were made with a diesel- only future by calculating 50-year Net Present Values (NPV) to allow for direct comparisons (2010 $ basis) 9 March 2011 25 Power Supply Option 50‐year NPV Project Cost Annual Energy Diesel Only $909M  Kisaralik ‐Golden Gate Falls $1,128M $378M Partially meets demandKisaralik‐Lower Falls $1,096M $408M Kisaralik ‐Upper Falls $1,296M $479M Chikuminuk Lake $1,057M $483M Fully meets demand through about 2040 Economic Modeling 9 March 2011 26 Recommendations – All four hydropower projects are likely to take approximately 10 years to license and construct – All four projects have varying development challenges; however Chikuminuk Lake appears to be the best candidate for f rther st d based on best economic al ecandidate for further study based on best economic value and less apparent environmental constraints – If Chikuminuk Lake is pursued, next steps could include: • Further economic and hydrological studies to confirm project feasibility and optimize project size • Land ownership research for site and transmission line • Data collection for detailed environmental and engineering needs (fish studies, stream gaging, drilling, mapping) • License application work 9 March 2011 27 Questions / Comments? – [INSERT SITE VISIT PICTURES] 9 March 2011 28 Meeting Handouts and Presentation Page 7 Revised Final Report May 2011 Meeting Handouts and Presentation Page 8 Revised Final Report May 2011 Meeting Handouts and Presentation Page 9 Revised Final Report May 2011