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Home My WebLink AboutBiomass Feas. Studies Public Fac. Interior Beaver Village 2014 REF Grant 7060933 Beaver Village Biomass Heat Pre-Feasibility Study Prepared for Interior Regional Housing Authority April 25, 2014 Prepared by: Energy Action Wynne Auld With Support from: Alaska Energy Authority 1231 W. Northern Lights #578 Anchorage, AK 99503 www.energyaction.info Contents Acknowledgements ....................................................................................................................................... 1 Community Contact Information .................................................................................................................. 1 Summary of Findings..................................................................................................................................... 1 Statement of Purpose ................................................................................................................................... 1 Community & Facility Information................................................................................................................ 2 Site Control ................................................................................................................................................... 4 Permitting ..................................................................................................................................................... 4 Alternatives Considered ............................................................................................................................ 5 Heat Load & Biomass Requirements ............................................................................................................ 7 Capital & Operating Costs ............................................................................................................................. 8 Estimate of Probable Cost ......................................................................................................................... 8 Financial Summary .................................................................................................................................. 10 Benefit/ Cost Model ................................................................................................................................ 11 Recommended Next Steps .......................................................................................................................... 12 Appendices .................................................................................................................................................. 12 Appendix A – Biomass Technology Appendix B -- Utility Receipts Appendix C -- Site Photos ii Acknowledgements Energy Action thanks the following representatives for their assistance with this assessment: Rhonda Pitka, Chief, Beaver Village Council Russell Snyder, Grants Coordinator, Interior Regional Housing Authority Steven J. Stassel, P.E., Gray Stassel Engineering Community Contact Information Beaver Village Council Contact: Rhonda Pitka, Chief PO Box 24029 Beaver, AK 99724 p. (907) 628-6126 f. (907) 628-6815 email: rpitka@beavercouncil.org Summary of Findings Community findings Facility findings Economic findings Recommendations Statement of Purpose Since 2008, the Alaskan Legislature has supported renewable electric and thermal energy projects through the Renewable Energy Grant Recommendation Program, administered by the Alaska Energy Authority. In Round 6 of the Program, the Interior Regional Housing Authority, which promotes community self-sufficiency through energy projects, received money to complete pre-feasibility studies of biomass heat for community buildings in seven villages. The following pre-feasibility study has been funded through that grant. Page 1 of 12 Community & Facility Information Beaver Village (population 77) is an Alaska Native village located on the north bank of the Yukon River, approximately 60 air miles southwest of Fort Yukon and 110 miles north of Fairbanks. It lies in the Yukon Flats National Wildlife Refuge. Imported goods are delivered by barge and plane, but fuel is received by plane only, because of the tank farm’s location in relation to the Yukon River’s current channel. The airport has a 3934’ x 75’ gravel runway. Beaver Village is governed by Beaver Village Council. Beaver Village Council owns and operates the project buildings, which are the Washateria/ Waterplant (“Washateria”) and MUF building, which houses the Clinic and Beaver Village Council office. These buildings were identified as biomass project buildings in a 2008 pre-feasibility study, “Preliminary Feasibility Assessment for High Efficiency, Low Emission Wood Heating in Beaver, Alaska,” by Juneau Economic Development Council. Fuel is purchased by Beaver Village Council from Beaver Joint Utilities for $9.00 per gallon (See Appendix B). Beaver Village Council owns Beaver Joint Utilities. Beaver Joint Utilities currently purchases fuel from Everts Air Fuel, Inc. for $4.83 per gallon (2013 Power Cost Equalization filing). The current going rate for cordwood is $250 -- $300 / cord. Many residents of Beaver use cordwood as a primary or secondary heat source. (Council meeting, personal conversation, March 27, 2013). Electricity is 85.94 cents per KWh for community facilities (See Appendix B). To mitigate flood risk, the recommended building elevation in Beaver is 365.5’. All project buildings evaluated in this study have building elevations that exceed the minimum. The Washateria is managed by operator Paul Patruska, who was present during the site visit and public meeting. The Washateria was built in 1978, and renovated in the early 1990s. In 2013, $100,000 of CIP grant monies were designated by the Alaska Legislature to improve the Washateria, including efficiency measures. Chief Rhonda Pitka has indicated that the Washateria will undergo a commercial energy audit to prioritize how the improvement dollars will be spent. The approximately 1,340 ft2 Washateria has two (2) fuel oil boilers, both Burnham V9A/V11 with 562,000 btu net output. The hi / lo setting is 180 d. / 160 d. F. These boilers are in fair condition and are slated to be replaced, according to the 2013 Capital Improvement Grant agreement with Beaver Village Council. The Washateria benefits from recovered heat, provided by the adjacent power plant. Temperature gauges on the heat recovery heat exchanger indicated the recovered heat system was operating properly at the time of the site visit. The consultant also compared the Beaver heat recovery utilization simulation worksheets to the reduction in annual fuel oil use between 2008 -- 2013. Actual reduction closely matched estimated fuel oil savings, which indicates the system is meeting modeled performance. The Washateria uses approximately 2,365 gallons of fuel oil per year. These gallons are used during the heating season, which may indicate they are primarily a function of space heat demand, rather than process heat such as domestic hot water and laundry. However, there may be some process heat demands for higher temperature water than recovered heat can provide, resulting in oil-fired heat. This oil consumption would likely remain steady, even with an operating biomass boiler system. Page 2 of 12 Within the Washateria, five zones deliver heat to various end uses, which include: dryers (1), building heat (2), domestic hot water generator (1), and garage heat (1). Hot water appliances include dryers, washers, faucets, unit heaters, baseboard piping, and flat plate and shell and tube heat exchangers. Several Amtrol boilermates generate domestic hot water. During the summer, the Washateria provides potable water to the MUF building via an underground utilidor. The utilidor exits the Washateria on the northeast corner of the boiler room, and has 5 access points en route to its terminus on the southeast corner of the MUF building. Potable water enters the MUF building from the access point on the eastern edge of the MUF building. The potable water line is drained during the winter to avoid freezing. The utilidor reportedly has adequate space for additional pipe, such as heat distribution from the biomass boiler project. The MUF building was built in 2003 and weatherized by Tanana Chiefs Conference in 2013. Maintenance personnel for this building were not present during the site visit. New boilers were installed in 2008. It is not clear why new boilers were installed five years after construction. The approximately 5,600 ft2 building has two (2) fuel oil boilers, both Energy Kinetics 2000 AK-2 model, with up to 206,000 btu net output. The MUF building uses approximately 1,675 gallons of fuel oil per year. These boilers are programmed with a unique operating system package, which includes a Digital Energy Manager that controls the zone circulators, inducer, and boiler protection system. Space within the boiler room is constrained. However, it appears that there is sufficient space to integrate the biomass boiler. Four zones deliver heat to various end uses, which include: upstairs (1), utilidor (1), downstairs (1), old bath (1). Hot water appliances include domestic hot water faucets and baseboard heat. The baseboards were in poor condition, as protection shields were missing in several locations and fins were bent. A 40 gallon Weil McClain indirect hot water heater is also located in the boiler room. The hot water heater does not operate in the winter, because it has no access to running water. A fuel oil day tank is filled manually by Beaver Village maintenance employee(s). Periodically the heating system goes down, and workers heat their spaces with electric resistance heaters. Additionally, periodically the electricity at the power plant goes out. At these times, the MUF building is not occupied. A stand-alone biomass boiler building could be located on the east-side of the Washateria, as noted in the 2008 pre-feasibility study. Page 3 of 12 Site Control The proposed project site, lot 10, block 6, of U.S. Survey 4895 in the Fairbanks Recording District is vested in the “Village of Beaver”. This site is located directly behind the Washateria. The project buildings, the Washateria and MUF, are also vested in the “Village of Beaver,” respectively located on lots 11 & 9 of U.S. Survey 4895 in the Fairbanks Recording District. Permitting Applicable project permitting is considered below: • The Alaska Department of Public Safety Division of Fire and Life Safety Firemarshall must approve the project plans before construction is started. Mechanical and electrical review is limited to that which is necessary to confirm compliance with fire and life safety requirements. • Commercial harvests associated with the project may or may not be required to comply with the Alaska Forest Practices and Resources Act. While most commercial operations are required to comply, commercial operations of minor or small scale are sometimes exempted. The Act addresses forest management along water bodies, erosion mitigation, and reforestation. • The 40CFR63 NESHAP Rule may apply to the project. The Rule does not apply to a hot water heater, which is defined in Subpart 6J as a boiler with a heat input capacity is less than 1.6 million Btu/hr and that does not generate steam. However, boilers using a combination of water and glycol should consult the EPA for case by case review of the project. • If State or Federal money is used to construct the project, the Alaska Department of Natural Resources Office of History and Archaeology, State Historic Preservation Office should review project plans to determine whether historic, prehistoric, or archaeological resources are likely to be affected. The Office also offers suggestions to mitigate potential effects on resources. Page 4 of 12 Proposed Biomass System The proposed system is a 425,000 btu cordwood boiler with hydronic heat storage, to be located in a stand-alone project building on the east side of the Washateria. The proposed site is owned and controlled by Beaver Village, has sufficient space for the project, and offers good access to the building mechanical rooms via an existing utilidor. The project was modeled with the following assumptions: • Annual consumption of 4,040 gallons of fuel oil (2,365 gallons at the Washateria and 1,675 gallons at the MUF), 85% of which serves space heat load, 15% of which serves domestic hot water • 425,000 btu cordwood boiler with 1,830 gallons of water storage, delta T = 45°F • Maximum 4 firings per day, with additional heat demand served by oil. Each firing requires 20 minutes labor • Annual inflation o Biomass O&M and scheduled repairs – 1.5% o Cordwood – 1% o Oil O&M and scheduled repairs – 1.5% o Oil – 1.7%, according to average rate for project in ISER Round 7 model • Input prices, year 1 o Cordwood -- $300/cord o Oil -- $9.00/gal o Loaded labor rate -- $24.25/ hr Alternatives Considered • The MUF and Washateria could be heated with individual biomass systems, but this design would raise capital cost and reduce economic viability. Since the buildings are both owned by Beaver Village and are located in close proximity to each other, only a single heating system serving both buildings has been evaluated. Page 5 of 12 Page 6 of 12 Heat Load & Biomass Requirements FUEL ENERGY VALUES Gross btu/unit Net btu/unit Net boiler efficiency $/unit $/mmbtu (net) Oil (gal)134,000 111,220 83%$9.00 80.92$ Biomass, 20% MC* (cord) 20,000,000 15,400,000 77%$300 19.48$ *MC is Moisture Content. Moisture in biomass fuel evaporates and absorbs energy in combustion, thereby decreasing the net energy value of the fuel. CURRENT ANNUAL FUEL USE & COST Facility Fuel Type Ave. Use $ / gal Annual Fuel Cost Washateria Fuel oil (gal)2,365 9.00$ 21,285$ MUF Fuel oil (gal)1,675 9.00$ 15,075$ Total 4,040 36,360$ PROJECTED ANNUAL FUEL USE & COST, BIOMASS PROJECT Facility Fuel Type Ave. Use Cost $ / unit Annual Fuel Cost Washateria/ MUF Biomass (cords, 20% MC)34 300$ 10,200$ Washateria / MUF Fuel oil supplement (gal)133 9.00$ 1,193$ Total $ 11,393 * Fuel oil offset =97% OPERATING REQUIREMENTS Facility Labor / hr Annual Biomass O&M Cost Washateria/ MUF 24.25$ 6,188$ 765 Biomass Firings / yr Page 7 of 12 Capital & Operating Costs Estimate of Probable Cost Forced Account Summary Site & Foundation Work $13,295 Biomass boiler building $63,437 Biomass heat system $70,065 End-user building integration $28,735 Miscellaneous $6,000 Overhead $18,060 Freight $19,909 CONSTRUCTION SUB-TOTAL $219,500 Design & Construction Admin $24,000 Construction Management $20,000 PROJECT SUB-TOTAL $263,500 Contingency @ 20%$52,700 Admin @ 4%$10,540 TOTAL PROJECT COST $326,740 Page 8 of 12 Forced Account Detail ITEM QUAN UNIT UNIT MATL UNIT LAB LAB LABOR CONTR FREIGHT TOTAL UNIT TOTAL COST COST HRS HRS RATE COST COST COST COST WT WT(#) SITE & FOUNDATION WORK Site prep (layout, excavation, backfill, compaction, grading)1 lump $5,000 $5,000 0.00 0 Rigid Insulation (2"x24"x96")36 ea.$15.00 $540 0.25 9.00 $95 $855 $1,395 1.00 36 Concrete footing (8" deep x 12" spread)2.5 cu.yd.$525.00 $1,313 2 5.0 $95 $475 $1,788 125 313 Concrete foundation 7.15 cu.yd.$525.00 $3,754 2 14.3 $95 $1,359 $5,112 125 894 BIOMASS BOILER BUILDING Sill plate - 2" x 6" x 20" PT 58 ea.$20 $1,160 0.75 2 $95 $190 $1,350 51 2958 SIP exterior walls -- 4' x 10' pkg R-value 6.5 24 ea.$500 $12,000 8.8 211 $95 $20,064 $32,064 4 96 SIP roof -- 4' x 10' pkg R-value 6.5 15 ea.$500 $7,500 1.2 11 $95 $1,045 $8,545 4 60 SIP fasteners / hardware / framing anchors 1 lump $400 $400 0 0 $95 $0 $400 500 500 SIP caulk, sealant, expanding foam 1 lump $250 $250 20 20 $95 $1,900 $2,150 150 150 Roof, Metal -- 3' x 10' Delta rib roofing 22 ea.$37 $814 1.0 22 $95 $2,090 $2,904 96 2112 Siding, Metal, plus trim -- 3' x 10' Delta rib roofing 32 ea.$37 $1,184 1.0 32 $95 $3,040 $4,224 96 3072 Fasteners 1 lump $250 $250 0 0 $95 $0 $250 100 100 Windows 1 ea.$250 $250 1.5 2 $95 $143 $393 75 75 Man-door w/ hardware 1 lump $275 $275 3.0 3 $95 $285 $560 75 75 Overhead garage door 1 lump $1,000 $1,000 6 6 $95 $570 $1,570 250 250 Drywall -- 4' x 10' 24 ea.$20 $480 0.33 8 $95 $752 $1,232 50 1200 Interior paint -- 5 gal 1 ea.$40 $40 4 4 $95 $380 $420 42 42 Fire protection 1 lump $200 $200 0.25 0 $100 $25 $225 5 5 Wood storage shed 200 sq ft $12 $2,400 0.25 50 $95 $4,750 $7,150 12 2400 BIOMASS HEAT SYSTEM Boiler -- GARN 2000 1 ea.$15,745 $15,745 16 16 $95 $1,520 $17,265 2200 2200 Pipe/Valves/Ftgs/Gauges 1 lump $5,000 $5,000 54 54 $100 $5,400 $10,400 800 800 Circ pump 2 ea.$2,000 $4,000 3 6 $100 $600 $4,600 60 120 Plate HXR, ( 300 MBh @ 20F)2 ea.$2,500 $5,000 8 16 $100 $1,600 $6,600 250 500 Toyostove 1 ea.$2,500 $2,500 4 4 $95 $380 $2,880 250 250 Misc Strut & Pipe Hangers 1 lump $1,000 $1,000 18 18 $95 $1,710 $2,710 500 500 Tank Insulation 1 lump $1,200 $1,200 3 3 $95 $285 $1,485 50 50 Stack -- 6" dia double wall UL listed + supporting infrastructure 1 lump $2,770 $2,770 4 4 $95 $380 $3,150 3.8 4 Ventilation 1 lump $500 $500 5 5 $95 $475 $975 50 50 BTU meter 0 ea.$2,500 $0 18 0 $95 $0 $0 0 0 Electrical 1 lump $10,000 $10,000 100 100 $100 $10,000 $20,000 750 750 INTEGRATION Insulpex -- 1 1/2" pre insulated PEX 200 lf $55 $11,000 0.08 15 $95 $1,425 $12,425 35 7000 PEX accessories -- 2 lump $500 $1,000 4.00 8 $95 $760 $1,760 200 400 Pipe penetration exclosure 2 lump $1,250 $2,500 5 10 $95 $950 $3,450 200 400 Temp controls 2 lump $750 $1,500 8 16 $100 $1,600 $3,100 200 400 Electrical work 2 lump $2,500 $5,000 15 30 $100 $3,000 $8,000 200 400 MISCELLANEOUS Misc Hardware 1 lump $2,500 $2,500 0 0 $95 $0 $2,500 500 500 Misc Tools & Safety Gear 1 lump $1,500 $1,500 0 0 $95 $0 $1,500 1446 1446 Consumables, Gases, Etc.1 lump $2,000 $2,000 0 0 $95 $0 $2,000 1500 1500 OVERHEAD ROW Legal Work 0 lump $0 $0 0 Rent Heavy Equip 1 lump $1,500 $1,500 0 Misc Tool Rent 1 lump $1,250 $1,250 0 Commission System & Training 20 hr 1 20 $90 $1,800 $1,800 0 Superintendent Overhd Off-Site 40 hr 1 40 $90 $3,600 $3,600 0 Superintendent Overhd On-Site 40 hr 1 40 $90 $3,600 $3,600 0 Crew Travel Time 10 hr 1 10 $90 $900 $900 0 Crew Airfares 2 trips $350 $700 $700 0 Crew Per Diem 41 mn.dy.$42 $1,710 $1,710 0 Housing Rent 2 mo.$1,500 $3,000 $3,000 0 FREIGHT 31,607 Ground Freight 3600 lb.$1.24 $4,464 Barge 31607 lb.$0.30 $9,482 Barge Freight Tool Mob & Demob 2 lump $1,500 $3,000 Misc Small Freight & Gold Streaks 1 lump $3,000 $3,000 CONSTRUCTION SUB-TOTAL $108,524 814 $77,907 $13,160 $19,946 $219,537 Engineering (Design & CCA)1 lump $24,000 Construction Management 1 lump $20,000 PROJECT SUB-TOTAL $108,524 $77,907 57,160$ $19,946 $263,537 Contingency 20 %$52,707 Admin Fee 4 %$10,541 CONSTRUCTION TOTAL $326,786 Page 9 of 12 Financial Analysis Financial Summary The project is considered financially //// at this time, with a Benefit / Cost ratio of //// • B/C: /// • Simple Payback Period: /// • Net present value: /// Page 10 of 12 Benefit/ Cost Model The following model was designed by University of Alaska Anchorage Institute of Social and Economic Research, for use by the Alaska Energy Authority. The model was adapted to include a fuel oil supplement to the biomass heat system. The model has been completed by the consultant, according to the aforementioned assumptions. ///// Page 11 of 12 Recommended Next Steps ////// Appendices Appendix A – Biomass Technology Appendix B -- Utility Receipts Appendix C -- Site Photos Page 12 of 12