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Renewable Energy Fund: Round 13 Application Summaries
App #13001 Standard Application
Project Type: Hydro, Other Energy Region: Bristol Bay
Applicant: Nushagak Electric & Telephone Cooperative Proposed Phase(s): Feasibility, Design
Applicant Type: Utility Recommended Phase(s): Feasibility
Nuyakuk River Hydroelectric Project (Run of River Project)
Project Description
The proposed Project is a new 10-12 MW run of river hydropower project consisting of an intake structure, power conduit, powerhouse
forebay, powerhouse, and tailrace channel approximately 4 miles downstream of the Tikchik Lake outlet above a natural falls on the
Nuyakuk River. Power from the Project would be available to the customers of the Cooperative and potentially other areas in the region.
The renewable power provided by the Project would represent a significant improvement in the current distribution system and minimize
the reliance of local communities on fossil fuels as their primary source of electricity. Currently, the population that would be served by
this Project relies wholly on diesel generation, which is barged upstream through the Nushagak River drainage to requisite locations.
The reduction (or elimination) of water transport of fuels will reduce the potential for negative environmental impacts due to spills. The
primary industry in the Project service area is related to commercial harvest and processing of salmon. The long-term demand for more
reliable, efficient, and cost-effective renewable electric power, dispatchable renewable thermal heat, high-speed broadband, along with
the likely limited resource impacts makes this Project a highly viable opportunity.Initially this project will replace up to 1.5 million gallons
of diesel fuel annually, eventually up to 2.5 million gallons per year of diesel fuel will be replaced with renewable hydro energy which will
provide electric power, heating, or thermal conversion to other useful energy needs. We believe the combination of renewable energy
and increased broadband access will provide the basis for economic and social improvement and growth in the region for generations to
come.
DNR/DMLW Feasibility Comments
"The Nuyakuk River is considered to be a Navigable Waterway by the State of Alaska and BLM. A plan amendment to the Wood Tikchik
State Park Management Plan would need to be completed, Legislative action (SB 91) finalized in 2019 called for a Plan Amendment for
this authorization to be consistent with the plan requirements.If DMLWs approach is similar to the Windy Corner project in Chugach
State Park, the intake and powerhouse facility would be authorized by DPOR and DMLW would help with process guidance; New
transmission lines would need to be authorized with an easement from DMLW if they fall on state land outside of the State Park. No
water right application on file yet, please submit application upon completing land exchange from Parks to DMLW. Flow Reservation
LAS 28250 issued to ADF&G includes this stretch of river."State Lands. Entire project occurs on mixed ownership lands, including some
lands within Wood TikChik State Park. Project also crosses navigable waters.
DNR/DGGS Feasibility Comments
The closest seismic source to the proposed project is the Quaternary active Holitna segment of the Denali fault. However, this fault is
located north of the project and likely should not affect the proposed project.The DMLW Mining section reviewed the AEA projects from a
mining stand point and did not note any issues that would affecting mining, since the majority of the projects are not on state owned land
and did not note any mining locations in the vicinity of the projects.We have no objection to any feasibility analysis proposed and would
need more information (likely derived from the feasibility and other planning analysis) to determine how public access afforded by RS
2477 ROWs and 17(b) easements could be affected by such projects as they move towards maturity. DNR - PAAD Unit
DNR/DGGS Geohazards Comments
All projects proposing the development of permanent structures should conduct a geotechnical site survey to determine the potential
detrimental effects from natural hazards such as flooding, earthquakes, active faults, tsunamis, landslides, volcanoes, liquefaction,
subsidence, storm surges, ice movement, snow avalanches, and erosion, and incorporate appropriate measures to mitigate the risks.
Projects may be required to perform a geohazards site survey as a condition of receiving construction permits, depending on location of
proposed site. Additional information on active faults is available in the Quaternary fault & fold digital database:
http://maps.dggs.alaska.gov/qff/, http://doi.org/10.14509/qff, and https://doi.org/10.14509/24956.
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Renewable Energy Fund: Round 13 Application Summaries
App #13001 Standard Application
Nuyakuk River Hydroelectric Project (Run of River Project)
Stage 3 Scoring Summary
Criterion (Max Score)Score Feasibility Analysis
1. Cost of Energy (35)12.43 Stage 2 Tech & Econ Score (100)53.58
2. Matching Resources (15)15.00 Benefit/Cost Ratio 0.25
3. Stage 2 Feasibility (20)13.39
4. Project Readiness (5)3.50 Project Rank
5. Benefits (15)1.13 Statewide (of 19 Standard applications)5
6. Local Support (5)5.00 Regional (of all applications)1
7. Sustainability (5)3.00 Stage 3 Ranking Score (100)56.45
Total Stage 3 Score (100)56.45
Funding & Cost Requested Recommended
Total Cost Through Construction $152,858,624 $152,858,624 Cost of Electricity $0.46/kWh
REF13 Grant Funds $2,000,000 $1,000,000 Price of Fuel $4.71/Gal
Matching Funds $10,280,000 $10,280,000 Household Energy Cost $6,323
AEA Review Comments & Recommendation Partial Funding
The applicant has requested $2,000,000 in grant monies from the REF program. AEA is recommending funding for the feasibility and
conceptual design portion of the project in the amount of $1,000,000, as indicated by the applicant in their application's budget schedule.
Such funding does address the applicant's concern over phase II of their project regarding limited possible and eligible sources of funds
for feasibility studies. The applicant is in a position to begin feasibility study work in the project site area owing to their securing of a
special use permit from the Alaska Dept. of Natural Resources' Div. of Parks & Outdoor Recreation. AEA understands there are risks
relating to the project regarding FERC permitting requirements and potential risks related to significant project cost overages. Owing to
this, AEA finds that it is prudent and appropriate at this time to recommend only funding the feasibility and conceptual design portion of
the proposed project.Project Concerns:-Local tribal groups and development organizations have indicated that they are concerned over
the potential environmental impacts of the project on the fish population, a primary source of economic activity in the region, and have
asked that these issues be resolved between involved parties prior to engaging in construction of the project. The impact of the project
on the regional fish habitat will likely be assessed as part of the feasibility study portion of the project. It is expected, and indicated as
part of the application, that the applicant will work together with these concerned organizations to alleviate their concerns. The applicant
has demonstrated their desire and ability to secure needed permits from all respective local, state, and federal agencies.-Owing to the
significant amount of transmission infrastructure which would be required to distribute the energy amongst the six identified
communities, it is not unreasonable to assume there is a risk of significant construction cost overages. Issues concerning right-of-way to
construction lines over private land is also a risk to the project.-The timeline to construct of 24 months may also be too optimistic when
noting issues with road construction and permafrost. It is probable that the proposed project will require a longer development
timeframe.-The five identified communities, with the exception of Aleknagik, have not provided any letters of support indicating their
desire to purchase hydro power from the proposed system (PSA).-The lack of storage for a run-of-river hydro, like the subject, will likely
result in a reduced diesel displacement, especially during periods of low hydro flow. Issues relating to integration of the existing
community power systems with the proposed project will likely require some complex engineering.-Agencies may require conditioning of
final project that will reduce and/or increase total project costs.
Election District: S-37 Bristol Bay/Aleutians/Upper Kuskokwim
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Renewable Energy Fund: Round 13 Application Summaries
App #13002 Standard Application
Project Type: Wind Energy Region: Lower Yukon-Kuskokwim
Applicant: Alaska Village Electric Cooperative Proposed Phase(s): Feasibility
Applicant Type: Utility Recommended Phase(s): Feasibility
Goodnews Bay Wind Energy Feasibility and Conceptual Design Project
Project Description
Alaska Village Electric Cooperative, Inc. (AVEC) is requesting $128,250 and will provide a match of $6,750 to conduct a wind power
feasibility and conceptual design project for the community of Goodnews Bay. AVEC, with the cooperation of the community, proposes to
assess the feasibility of wind resources suited to provide power to the community and to prepare a conceptual design of a wind facility.
DNR/DMLW Feasibility Comments
Not on state landNo real location. Feasibility Study, project adjacent to navigable waters.We have no objection to any feasibility analysis
proposed and would need more information (likely derived from the feasibility and other planning analysis) to determine how public
access afforded by RS 2477 ROWs and 17(b) easements could be affected by such projects as they move towards maturity. DNR -
PAAD Unit
DNR/DGGS Feasibility Comments
The DMLW Mining section reviewed the AEA projects from a mining stand point and did not note any issues that would affecting mining,
since the majority of the projects are not on state owned land and did not note any mining locations in the vicinity of the projects.
DNR/DGGS Geohazards Comments
All projects proposing the development of permanent structures should conduct a geotechnical site survey to determine the potential
detrimental effects from natural hazards such as flooding, earthquakes, active faults, tsunamis, landslides, volcanoes, liquefaction,
subsidence, storm surges, ice movement, snow avalanches, and erosion, and incorporate appropriate measures to mitigate the risks.
Projects may be required to perform a geohazards site survey as a condition of receiving construction permits, depending on location of
proposed site. Additional information on active faults is available in the Quaternary fault & fold digital database:
http://maps.dggs.alaska.gov/qff/, http://doi.org/10.14509/qff, and https://doi.org/10.14509/24956.
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Renewable Energy Fund: Round 13 Application Summaries
App #13002 Standard Application
Goodnews Bay Wind Energy Feasibility and Conceptual Design Project
Stage 3 Scoring Summary
Criterion (Max Score)Score Feasibility Analysis
1. Cost of Energy (35)13.43 Stage 2 Tech & Econ Score (100)66.33
2. Matching Resources (15)7.00 Benefit/Cost Ratio 0.15
3. Stage 2 Feasibility (20)16.58
4. Project Readiness (5)4.25 Project Rank
5. Benefits (15)2.50 Statewide (of 19 Standard applications)4
6. Local Support (5)5.00 Regional (of all applications)2
7. Sustainability (5)5.00 Stage 3 Ranking Score (100)58.77
Total Stage 3 Score (100)58.77
Funding & Cost Requested Recommended
Total Cost Through Construction $3,000,000 $3,000,000 Cost of Electricity $0.56/kWh
REF13 Grant Funds $128,250 $128,250 Price of Fuel $4.09/Gal
Matching Funds $6,750 $6,750 Household Energy Cost $6,832
AEA Review Comments & Recommendation Full Funding
The applicant is requesting REF Round 13 grant funding in the amount of $128,250 for the "feasibility and conceptual design" phase of
the proposed wind system project. The applicant is an established rural utility provider with knowledge and experience in the
development, and integration of wind-diesel systems in their service area. Prior wind resource study work has been completed prior to
this request, indicating the presence and viability of the renewable resource. It is anticipated that the applicant will utilize a portion of the
grant monies to determine site control, assess the integration of the proposed wind system with the existing diesel plant, and assess the
impact of proposed project on heat recovery due to reduced diesel generation. The applicant, as a revenue generating utility, does have
the ability to self-fund reasonable cost overruns. The applicant does indicate that if needed, they would be able to contribute additional
matching cash funds; this is a boon to the project. AEA recommends full funding in the amount of $128,250 for the requested feasibility
and conceptual design wind energy project.Project Concerns:No mention of integration challenges/risks. The applicant indicated high
penetration system for this project is considerably higher than that of other wind projects in AVEC portfolio. Likely that these integration
challenges will be identified and addressed as part of the feasibility study.No analysis concerning how the project will impact any existing
heat recovery systems. This will likely be a part of the feasibility study.Location not yet determined, will be determined by requested
feasibility study. Site selection and control to be established post-feasibility.
Election District: S-38 Lower Kuskokwim
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Renewable Energy Fund: Round 13 Application Summaries
App #13003 Standard Application
Project Type: Wind Energy Region: Lower Yukon-Kuskokwim
Applicant: Alaska Village Electric Cooperative Proposed Phase(s): Feasibility
Applicant Type: Utility Recommended Phase(s): Feasibility
Kotlik Wind Energy Feasibility and Conceptual Design Project
Project Description
Alaska Village Electric Cooperative, Inc. (AVEC) is requesting $237,500 and will provide a match of $12,500 to conduct a wind power
feasibility and conceptual design project for the community of Kotlik. AVEC, with the cooperation of the community, proposes to assess
the feasibility of wind resources suited to provide power to the community and to prepare a conceptual design of a wind facility.
DNR/DMLW Feasibility Comments
Insufficient information to review. Request for funding for feasibility study. No location selected for placement of meteorological study
tower at this time. DMLW permit required if DNR managed land selected.Native lands with easments.We have no objection to any
feasibility analysis proposed and would need more information (likely derived from the feasibility and other planning analysis) to
determine how public access afforded by RS 2477 ROWs and 17(b) easements could be affected by such projects as they move
towards maturity. DNR - PAAD Unit
DNR/DGGS Feasibility Comments
The DMLW Mining section reviewed the AEA projects from a mining stand point and did not note any issues that would affecting mining,
since the majority of the projects are not on state owned land and did not note any mining locations in the vicinity of the projects.
DNR/DGGS Geohazards Comments
The closest seismic source to the proposed project is the Kaltag fault (see Quaternary fault & fold digital database:
http://maps.dggs.alaska.gov/qff/, http://doi.org/10.14509/qff, and https://doi.org/10.14509/24956). However, this fault is located north of
the project and likely should not affect the proposed project.All projects proposing the development of permanent structures should
conduct a geotechnical site survey to determine the potential detrimental effects from natural hazards such as flooding, earthquakes,
active faults, tsunamis, landslides, volcanoes, liquefaction, subsidence, storm surges, ice movement, snow avalanches, and erosion,
and incorporate appropriate measures to mitigate the risks. Projects may be required to perform a geohazards site survey as a condition
of receiving construction permits, depending on location of proposed site. Additional information on active faults is available in the
Quaternary fault & fold digital database: http://maps.dggs.alaska.gov/qff/, http://doi.org/10.14509/qff, and https://doi.org/10.14509/24956.
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Renewable Energy Fund: Round 13 Application Summaries
App #13003 Standard Application
Kotlik Wind Energy Feasibility and Conceptual Design Project
Stage 3 Scoring Summary
Criterion (Max Score)Score Feasibility Analysis
1. Cost of Energy (35)14.21 Stage 2 Tech & Econ Score (100)57.42
2. Matching Resources (15)7.00 Benefit/Cost Ratio 0.25
3. Stage 2 Feasibility (20)14.36
4. Project Readiness (5)1.67 Project Rank
5. Benefits (15)2.50 Statewide (of 19 Standard applications)6
6. Local Support (5)5.00 Regional (of all applications)3
7. Sustainability (5)5.00 Stage 3 Ranking Score (100)54.73
Total Stage 3 Score (100)54.73
Funding & Cost Requested Recommended
Total Cost Through Construction $3,100,000 $3,100,000 Cost of Electricity $0.58/kWh
REF13 Grant Funds $237,500 $237,500 Price of Fuel $4.60/Gal
Matching Funds $12,500 $12,500 Household Energy Cost $7,223
AEA Review Comments & Recommendation Full Funding
The applicant is requesting REF Round 13 grant funds in the amount of $237,500 to fund the feasibility and conceptual design phase of
the proposed 300-kW wind energy project. The proposed project will utilize the installation of a met tower in the community to assess
the feasibility of a future wind energy resource. The applicant is an established and experienced regulated rural utility provider, there
does not appear to be any issues with the operations and maintenance of the proposed wind system. The applicant has also indicated
its ability to self-fund potential cost-overruns, this is a boon to the proposed project. Additionally, the applicant has indicated its
monetary support of future phases, should the wind resource prove feasible, with a proposed 10% cash match for the future design and
construction phases. The existing diesel power plant will be continually maintained and operated in conjunction with the proposed wind
system to provide backup electrical generation should the wind system fail to meet the required load. AEA recommends full funding for
the proposed project in the amount of $237,500.Project Concerns:Met tower installation timeframe as indicated in the proposed project
schedule seems a bit short. There is a risk that this portion of the project could take longer than anticipated.Met tower site selection has
not yet been finalized. Major landholders in the community have expressed support for the project, however, this is a risk to the project if
the applicant cannot secure a site for the met tower.The proposed project is contingent on the presence of a sustainable and viable
renewable wind resource in the area. The assessment of such is to be the primary aim of the proposed feasibility and conceptual
design phase.
Election District: T-39 Bering Straits/Yukon Delta
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Renewable Energy Fund: Round 13 Application Summaries
App #13004 Heat Application
Project Type: HeatSolar, HeatRecovery, HeatPump,
HeatOther
Energy Region: Railbelt
Applicant: University of Alaska Anchorage Proposed Phase(s): Recon, Feasibility
Applicant Type: Governmental Entity Recommended Phase(s): Feasibility
Building Integrated Technologies Potential in Alaska
Project Description
In this project, we will develop numerical models for the assessment of the potential of building integrated technologies (such as solar-
thermal, thermal storage, thermal storage coupled with airsource heat pump, solar-thermal coupled with thermal storage) in reducing the
energy consumption of residential buildings in Alaska. The models will then be used to assess fossil-basedenergy use reduction in
Utqiagvik, Kaktovik and Kotzebue for existing residential buildings. Through transient modeling, we will investigate the energy
contribution of each component in residential buildings. We will use TRNSYS (transient system simulation tool) simulation software
todevelop the models and simulate different scenarios. The evaluation of different scenarios enables quantification of the contribution of
each renewable energy component (and their combinations) to the overall building energy consumption. The work will provide possible
improvements that can bemade to decrease energy consumption of existing residential buildings by retrofitting them with renewable
energy technologies. In the second part of the project, we will investigate the potential of integrating renewable energy technologies to
new buildings in Alaska. First, we will investigatethe passive design parameters such as building envelope and fenestration for
improving energy efficiency. Next, we will incorporate renewable energy of technologies and determine the overall energy contributions
to the building energy consumption. Such theoretical simulation models allow for easy design changes and forecasting the impact of
these design changes which will allowbuilders to make decisions without physical construction or spending much time to gather data.
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Renewable Energy Fund: Round 13 Application Summaries
App #13004 Heat Application
Building Integrated Technologies Potential in Alaska
Stage 3 Scoring Summary
Criterion (Max Score)Score Feasibility Analysis
1. Cost of Energy (35) Stage 2 Tech & Econ Score (100)
2. Matching Resources (15) Benefit/Cost Ratio
3. Stage 2 Feasibility (20)
4. Project Readiness (5) Project Rank
5. Benefits (15) Statewide (of 4 Heat applications)
6. Local Support (5) Regional (of all applications)
7. Sustainability (5) Stage 3 Ranking Score (100)
Total Stage 3 Score (100)
Funding & Cost Requested Recommended
Total Cost Through Construction $105,872 $ Cost of Electricity $/kWh
REF13 Grant Funds $69,349 $0 Price of Fuel $/Gal
Matching Funds $36,523 $0 Household Energy Cost
AEA Review Comments & Recommendation Did Not Pass Stage 1
Election District: I-17 University
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Renewable Energy Fund: Round 13 Application Summaries
App #13005 Standard Application
Project Type: Wind, Solar Energy Region: Bristol Bay
Applicant: Naknek Electric Association, Inc.Proposed Phase(s): Feasibility
Applicant Type: Utility Recommended Phase(s): Feasibility
Naknek Service Area Wind and Solar Power Feasibility and Conceptual Design
Project Description
Naknek Electric Association (NEA) proposes to assess, via a feasibility study and conceptual design process, the technical and
economic practicality of constructing a wind farm and expanding its solar PV capacity to create a medium-to-high penetration wind-solar-
diesel hybrid power system to meet its approximate mean 2 MW baseload power demand. NEA envisions that the much higher
additional summer demand of 10 to 13 MW for seafood processing activities would likely continue to be met with diesel engine
generators.
DNR/DMLW Feasibility Comments
State school site, land conveyed to DOT via omnibis Act. DOT has entered into a management agreement with the local school district
but title remains with DOT.We have no objection to any feasibility analysis proposed and would need more information (likely derived
from the feasibility and other planning analysis) to determine how public access afforded by RS 2477 ROWs and 17(b) easements could
be affected by such projects as they move towards maturity. DNR - PAAD Unit
DNR/DGGS Feasibility Comments
The DMLW Mining section reviewed the AEA projects from a mining stand point and did not note any issues that would affecting mining,
since the majority of the projects are not on state owned land and did not note any mining locations in the vicinity of the projects.
DNR/DGGS Geohazards Comments
All projects proposing the development of permanent structures should conduct a geotechnical site survey to determine the potential
detrimental effects from natural hazards such as flooding, earthquakes, active faults, tsunamis, landslides, volcanoes, liquefaction,
subsidence, storm surges, ice movement, snow avalanches, and erosion, and incorporate appropriate measures to mitigate the risks.
Projects may be required to perform a geohazards site survey as a condition of receiving construction permits, depending on location of
proposed site. Additional information on active faults is available in the Quaternary fault & fold digital database:
http://maps.dggs.alaska.gov/qff/, http://doi.org/10.14509/qff, and https://doi.org/10.14509/24956.
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Renewable Energy Fund: Round 13 Application Summaries
App #13005 Standard Application
Naknek Service Area Wind and Solar Power Feasibility and Conceptual Design
Stage 3 Scoring Summary
Criterion (Max Score)Score Feasibility Analysis
1. Cost of Energy (35)15.37 Stage 2 Tech & Econ Score (100)50.33
2. Matching Resources (15)9.00 Benefit/Cost Ratio 0.63
3. Stage 2 Feasibility (20)12.58
4. Project Readiness (5)4.83 Project Rank
5. Benefits (15)1.00 Statewide (of 19 Standard applications)7
6. Local Support (5)2.00 Regional (of all applications)2
7. Sustainability (5)4.33 Stage 3 Ranking Score (100)53.45
Total Stage 3 Score (100)53.45
Funding & Cost Requested Recommended
Total Cost Through Construction $12,262,000 $12,262,000 Cost of Electricity $0.49/kWh
REF13 Grant Funds $103,500 $103,500 Price of Fuel $3.82/Gal
Matching Funds $11,500 $11,500 Household Energy Cost $7,814
AEA Review Comments & Recommendation Full Funding
The applicant is requesting $103,500 for feasibility and conceptual design. AEA recommends full funding. The public benefits appear
favorable to advancing the integration of renewable energy sources across Alaska and the data relating to the continued research and
feasibility studies will be a valued resource for similar future projects in the region.Project Concerns:Vague and/or inaccurate electric and
thermal load data poses a risk as to the accuracy of the modeling for the proposed project. Naknek does has a proven wind resource
and electric load data, however, thermal load data is lacking.Potential for environmental impact on bird populations near coastal
area.Applicant did not indicate risks concerning integration with existing diesel system. Loss of heat sales to Bristol Bay Borough
School owing to loss of heat recovery from proposed system is a risk.
Election District: S-37 Bristol Bay/Aleutians/Upper Kuskokwim
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Renewable Energy Fund: Round 13 Application Summaries
App #13006 Heat Application
Project Type: HeatBiofuel Energy Region: Yukon-Koyuk/Upper Tanana
Applicant: Alaska Gateway School District Proposed Phase(s): Construction
Applicant Type: Governmental Entity Recommended Phase(s): Construction
Walter Northway School Wood Chip Heating System
Project Description
The Northway School Woodchip Heating Project proposes Phase IV Construction funding in the amount of $650,000 and will construct a
biomass wood chip district heating system to service the Northway School and Garage. This project will replace about 23,166 gallons of
imported heating fuel which is approximately 90% of the current usage. This system will use approximately 280 tons(25% moisture) per
year of locally harvested woodchips. This project will create local wood harvesting employment/small business opportunities, providing a
use for wood that is harvested to protect communities from wildfire while decreasing the community's dependence on expensive
imported diesel.
DNR/DMLW Feasibility Comments
Project is likely within a DOT Airport property. Applicant will need to work with DOT or their designee to obtain landowner authorization.
If biomass is desired from DNR managed lands, applicant will need to work with Forestry.We have no objection to any feasibility analysis
proposed and would need more information (likely derived from the feasibility and other planning analysis) to determine how public
access afforded by RS 2477 ROWs and 17(b) easements could be affected by such projects as they move towards maturity. DNR -
PAAD Unit
DNR/DGGS Feasibility Comments
The DMLW Mining section reviewed the AEA projects from a mining stand point and did not note any issues that would affecting mining,
since the majority of the projects are not on state owned land and did not note any mining locations in the vicinity of the projects.
DNR/DGGS Geohazards Comments
All projects proposing the development of permanent structures should conduct a geotechnical site survey to determine the potential
detrimental effects from natural hazards such as flooding, earthquakes, active faults, tsunamis, landslides, volcanoes, liquefaction,
subsidence, storm surges, ice movement, snow avalanches, and erosion, and incorporate appropriate measures to mitigate the risks.
Projects may be required to perform a geohazards site survey as a condition of receiving construction permits, depending on location of
proposed site. Additional information on active faults is available in the Quaternary fault & fold digital database:
http://maps.dggs.alaska.gov/qff/, http://doi.org/10.14509/qff, and https://doi.org/10.14509/24956.
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Renewable Energy Fund: Round 13 Application Summaries
App #13006 Heat Application
Walter Northway School Wood Chip Heating System
Stage 3 Scoring Summary
Criterion (Max Score)Score Feasibility Analysis
1. Cost of Energy (35)16.22 Stage 2 Tech & Econ Score (100)84.54
2. Matching Resources (15)7.00 Benefit/Cost Ratio 1.42
3. Stage 2 Feasibility (20)21.14
4. Project Readiness (5)4.10 Project Rank
5. Benefits (15)7.25 Statewide (of 4 Heat applications)1
6. Local Support (5)5.00 Regional (of all applications)1
7. Sustainability (5)4.50 Stage 3 Ranking Score (100)69.70
Total Stage 3 Score (100)69.70
Funding & Cost Requested Recommended
Total Cost Through Construction $793,500 $793,500 Cost of Electricity $0.59/kWh
REF13 Grant Funds $650,000 $650,000 Price of Fuel $2.45/Gal
Matching Funds $62,375 $62,375 Household Energy Cost $8,246
AEA Review Comments & Recommendation Full Funding
The applicant is seeking a request for REF grant monies in the amount of $650,000 for the construction of a biomass boiler to be
integrated into the Walter Northway School site with the goal of displacing the use of more costly heating fuel. The applicant is
experienced in the development, construction, and operation of biomass boilers. The applicant currently owns and operates a biomass
mass boiler at a location within the local district. AEA recommends full funding in the requested amount of $650,000 for the proposed
project.Project Concerns:The applicant indicated (see section 3.1 of application) procurement and construction schedule appears
unrealistically short. The applicant indicates 5 months for procurement and 4 months for construction/installation of boiler.Applicant
indicated they were not yet certain as to which type of boiler would be procured (see section 5.4.4 of application).Labor allocation is not
specified, it is not clear if any critical positions required for the project development/construction would be over-subscribed. This is not
expected to be a major risk to the project.This project is recommended for full funding of $650,000.
Election District: C-6 Eielson/Denali/Upper Yukon/Border
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Renewable Energy Fund: Round 13 Application Summaries
App #13007 Standard Application
Project Type: Wind Energy Region: Aleutians
Applicant: City of Unalaska Department of Public Utilities Proposed Phase(s): Feasibility, Design
Applicant Type: Utility Recommended Phase(s): Feasibility
City of Unalaska Wind Power Feasibility and Final Design
Project Description
City of Unalaska (COU) proposes a two-phase project: feasibility/conceptual design to determine best method to integrate wind power
with the planned geothermal power project (to be operational in 2024), followed by final design and permitting. COU initiated a self-
funded wind study in 2017 to identify prospective wind power sites and collect high quality wind data. Four met towers were installed
(two 60-meter at two primary sites of interest, one 34-meter at an auxiliary site, and one 10-meter at a reference site). As of Sept. 2020,
the two 60-meter towers remain operational and a wind resource report documenting the project is presently in draft form. COU
anticipates installing 2 to 5 MW wind turbine capacity. Construction funding will be explored during the feasibility/conceptual phase.
Options include bank financing or grant funding. Wind and geothermal power will enable COU to attain its near-term goal of achieving a
100% renewable energy-powered community with its longer-term goal of becoming a world leader in operating a carbon-free economy.
DNR/DMLW Feasibility Comments
Potential exist for Temporary Water Use Authorizations as a consequence of dewatering activites resulting from excavation operations
associated with construction of foundations for wind generatiors. There are exisitng water rights for public water supply and power under
ADL 47232 and ADL 400616. Native LandsWe have no objection to any feasibility analysis proposed and would need more information
(likely derived from the feasibility and other planning analysis) to determine how public access afforded by RS 2477 ROWs and 17(b)
easements could be affected by such projects as they move towards maturity. DNR - PAAD Unit
DNR/DGGS Feasibility Comments
The DMLW Mining section reviewed the AEA projects from a mining stand point and did not note any issues that would affecting mining,
since the majority of the projects are not on state owned land and did not note any mining locations in the vicinity of the projects.
DNR/DGGS Geohazards Comments
All projects proposing the development of permanent structures should conduct a geotechnical site survey to determine the potential
detrimental effects from natural hazards such as flooding, earthquakes, active faults, tsunamis, landslides, volcanoes, liquefaction,
subsidence, storm surges, ice movement, snow avalanches, and erosion, and incorporate appropriate measures to mitigate the risks.
Projects may be required to perform a geohazards site survey as a condition of receiving construction permits, depending on location of
proposed site. Additional information on active faults is available in the Quaternary fault & fold digital database:
http://maps.dggs.alaska.gov/qff/, http://doi.org/10.14509/qff, and https://doi.org/10.14509/24956.
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Renewable Energy Fund: Round 13 Application Summaries
App #13007 Standard Application
City of Unalaska Wind Power Feasibility and Final Design
Stage 3 Scoring Summary
Criterion (Max Score)Score Feasibility Analysis
1. Cost of Energy (35)9.83 Stage 2 Tech & Econ Score (100)54.33
2. Matching Resources (15)9.00 Benefit/Cost Ratio 0.54
3. Stage 2 Feasibility (20)13.58
4. Project Readiness (5)5.00 Project Rank
5. Benefits (15)2.33 Statewide (of 19 Standard applications)9
6. Local Support (5)1.00 Regional (of all applications)1
7. Sustainability (5)2.83 Stage 3 Ranking Score (100)46.41
Total Stage 3 Score (100)46.41
Funding & Cost Requested Recommended
Total Cost Through Construction $15,866,000 $14,100,000 Cost of Electricity $0.36/kWh
REF13 Grant Funds $1,143,900 $139,000 Price of Fuel $3.05/Gal
Matching Funds $127,100 $13,900 Household Energy Cost $4,997
AEA Review Comments & Recommendation Partial Funding
The applicant has indicated a grant fund request in the amount of $1,143,900 for use as part of the proposed project's "Feasibility and
Conceptual Design" and "Final Design and Permitting" phases. AEA recommends partial funding for the proposed project. It is
recommended the feasibility and conceptual design (CDR) phase, requested at $139,000, be funded prior to funding the final design
phase. It is expected that the applicant's cash match for the partial feasibility portion will be reduced to $13,900 (10% of cost). Cash
match expected as applicant indicated that they would self-fund a 10% cash match for both the CDR ($13,900) and the final design
phase ($113,200); with the final design phase not recommended, only the CDR phase match would be available.The integration of the
Geothermal plant, expected on-line in 2024, with the proposed wind system, potential ESS, and the existing diesel plant is complex and
will likely require some study as part of the initial feasibility phase to gauge the requirements for integration. Additionally, the load which
the geothermal plant could meet is to be determined and it is likely that the joint-venture between Ounalashka Corporation and Chena
Power (OCCP) will have more accurate estimates as to generational capacity for the Geothermal system as the project progresses. As
the feasibility portion of the requested phases is anticipated to finish in April 2022, this allows more time for other components of the
project to develop and will refine the scope of the proposed wind system.Successful completion of the feasibility CDR will allow for a
determination to be made on the selection of the generational capacity of the proposed wind system. At present, the applicant has
provided a range of 2 to 5 MW.Project Concerns:While applying for a feasibility study and final design funding request, the applicant left
blank those sections relating to the sustainability (section 7) of the project. Logistical, business, and financial arrangements for operating
and maintaining the project throughout its lifetime and selling energy from the completed project was not addressed. There is not
anticipated to be a 14th REF funding round. Although specific information isn’t available at this time, there should be some
consideration and discussion of these topics because they are important in determining the projects long term success.The applicant did
not address the size of the wind system, turbine type, and other technical aspects in the application as they have not yet been
evaluated. It is expected that items relating to proposed system performance, operations and maintenance costs, fuel costs and basic
operation of the system will be addressed as part of the feasibility study. This should have been addressed at least high level for this
application.If geothermal power plant fails to materialize, the proposed system integration and project will be all the more critical in
transforming current power generation from fossil fuel sources to renewables.Potential cost overruns are a risk to the project and the
ability of the applicant, subject to their board's approval, to self-fund these overages is a boon to the project. The amount of overage,
however, which the applicant could self-fund is unknown and likely limited in scope.While future phase funding sources will be further
explored as part of the proposed feasibility and final design portion of the project, this is a risk to the project.
Election District: S-37 Bristol Bay/Aleutians/Upper Kuskokwim
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Renewable Energy Fund: Round 13 Application Summaries
App #13008 Standard Application
Project Type: Hydro Energy Region: Bristol Bay
Applicant: City of Chignik Proposed Phase(s): Design
Applicant Type: Local Government Recommended Phase(s): Design
Chignik Hydroelectric Dam Project
Project Description
The City of Chignik is seeking funding to complete final design and permitting for a run of the river hydroelectric dam project that will
enable the city to eliminate dependency on diesel fuel for electricity generation. The establishment of the project will supply year round
electrical generationfor the community. The City, Tribal Council, Borough, CE2 Engineers, and the Alaska Native Tribal Health
Consortium are in a collaborative venture to manage the project successfully with ANTHC taking the lead on project management. CE2
Engineers will be continually involved to conduct work on the project following the completion of the feasibility study in September 2014.
The final feasibility report recommends the installation of a 385 kW generator with ananticipated capacity factor of 63%. The final report
of the feasibility study models this system and it was determined that the City would see an annual reduction in diesel fuel use by 63,500
gallons annually. The study indicates that “based on current electric demand...[this] has potential todisplace 184,000 gallons of diesel
fuel annually.” The system is projected to run primarily as a diesel-free system with the exception of two periods in the year where water
flow is projected to be too low. During FY15, the city spent about $250K on diesel fuel to generate electricity. Through thisproject, the
city will see substantial enhancements in the areas of water supply delivery, reduced dependence on fossil fuels, and reduced
maintenance of electric generation infrastructure. The City of Chignik is already a FERC license holder for the hydroelectric project
which can significantly reduce the permitting timeline.
DNR/DMLW Feasibility Comments
A DMLW Water Resources authorization is recognized to be required. City of Chignik holds title to most affected uplands, remaining
potentially impacted parcel owned by Chignik Lagoon Native Corporation. Consistent with the resource agency meeting notes from
October 16, 2013, please work with DMLW's Water Resource section and either file for an amendment to existing water right (LAS
27818) or apply for an additional water right.Bristol Bay Native Corp./City of ChinikWe have no objection to any feasibility analysis
proposed and would need more information (likely derived from the feasibility and other planning analysis) to determine how public
access afforded by RS 2477 ROWs and 17(b) easements could be affected by such projects as they move towards maturity. DNR -
PAAD Unit
DNR/DGGS Feasibility Comments
The DMLW Mining section reviewed the AEA projects from a mining stand point and did not note any issues that would affecting mining,
since the majority of the projects are not on state owned land and did not note any mining locations in the vicinity of the projects.
DNR/DGGS Geohazards Comments
See general DGGS comment on hazards. The coastal area in this region is subject to potential tsunami hazard, see
https://doi.org/10.14509/29675 and https://earthquake.alaska.edu/sites/all/tsuMap/html/tsunami.html.All projects proposing the
development of permanent structures should conduct a geotechnical site survey to determine the potential detrimental effects from
natural hazards such as flooding, earthquakes, active faults, tsunamis, landslides, volcanoes, liquefaction, subsidence, storm surges, ice
movement, snow avalanches, and erosion, and incorporate appropriate measures to mitigate the risks. Projects may be required to
perform a geohazards site survey as a condition of receiving construction permits, depending on location of proposed site. Additional
information on active faults is available in the Quaternary fault & fold digital database: http://maps.dggs.alaska.gov/qff/,
http://doi.org/10.14509/qff, and https://doi.org/10.14509/24956.
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Renewable Energy Fund: Round 13 Application Summaries
App #13008 Standard Application
Chignik Hydroelectric Dam Project
Stage 3 Scoring Summary
Criterion (Max Score)Score Feasibility Analysis
1. Cost of Energy (35) Stage 2 Tech & Econ Score (100)24.67
2. Matching Resources (15) Benefit/Cost Ratio 0.57
3. Stage 2 Feasibility (20)
4. Project Readiness (5) Project Rank
5. Benefits (15) Statewide (of 19 Standard applications)
6. Local Support (5) Regional (of all applications)
7. Sustainability (5) Stage 3 Ranking Score (100)
Total Stage 3 Score (100)
Funding & Cost Requested Recommended
Total Cost Through Construction $7,438,000 $7,438,000 Cost of Electricity $0.42/kWh
REF9 Grant Funds $1,276,656 $0 Price of Fuel $3.94/Gal
Matching Funds $00 $0 Household Energy Cost $5,826
AEA Review Comments & Recommendation Did Not Pass Stage 2
Application did not meet the minimum score of 40 points in stage 2. The application will not proceed to stage 3 per Section 4 – “Stage
2”, of the REF Process Manual.Project Concerns:The applicant did not address heat loss from the proposed system. The proposed
hydro plant is anticipated to displace substantially more power than the city load requires. Some of this load could be use to power
electric boilers in community buildings to utilize the excess hydro power for heating purposes. Heat loss from diesel-off time due to the
hydro is a risk to the project. Run-of-river hydro with little storage will not allow for diesels-off in periods of low water flow (i.e. winter
months).Lack of local knowledge concerning operation and maintenance of hydro systems. Diesel O&M knowledge/experience cannot
be readily applied to hydro O&M. There will be added O&M costs for hydro. O&M costs are not clear and many differing values have
been stated in the application. Schedule appears too compressed. Dispersal of grant funds would likely not occur until Aug 2021 at the
earliest. Final design cost of ~$1.27M does not align with the ANTHC (2018) stated cost of $379,829.Applicant does not indicate ability
to self-fund cost overruns. Applicant indicates potential PSA with local fish processor, however, no letters of support or MOUs provided.
Election District: S-37 Bristol Bay/Aleutians/Upper Kuskokwim
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Renewable Energy Fund: Round 13 Application Summaries
App #13009 Standard Application
Project Type: Geothermal Energy Region: Bering Straits
Applicant: Kawerak, Inc.Proposed Phase(s): Feasibility
Applicant Type: Other Recommended Phase(s): Feasibility
Pilgrim Hot Springs Geothermal Power Plant Conceptual Design
Project Description
The “Pilgrim Hot Springs Geothermal Power Plant Conceptual Design” project will allow stakeholders in the Bering Strait Region the
chance to design an on-site power and heat production facility for Pilgrim Hot Springs. The property is owned by Unaatuq, LLC, a
consortium of seven regional and local entities, including five Alaska Native Corporations, one Tribal Consortium (Kawerak), and a non-
profit regional CDQ corporation. Kawerak acts as a co-managing owner ofthe property, along with Bering Straits Native Corporation, and
will manage the Renewable Energy Fund grant and project activities. Kawerak, Inc. will work with the Alaska Center for Energy and
Power as their main technical contractor, and hire a full-service engineering firm to provide various task as described in the scope of
work. By providing sustainable, clean energy to Pilgrim HotSprings using the existing and abundant geothermal resource on site,
business development activities may continue to grow and bring economic benefit to all residents of the Bering Strait Region.
DNR/DMLW Feasibility Comments
New info - Project does not appear to be tied to Rock Creek Mine at this time and appears to be entirely on non-State land. TWUP
would likely still be needed. Exempt from water use act if > 120 degrees celsius. Water resources for possible cooling fluids would
require water rights. Revise TWUP to TWUA. Power use for proposed Rock Creek Mine and others. Rock Creek Mine is not in
operation, and is looking for buyers. Project will require TWUP for drilling and water rights depending on the temperature of the
geothermal resource.Unaatuq LLCWe have no objection to any feasibility analysis proposed and would need more information (likely
derived from the feasibility and other planning analysis) to determine how public access afforded by RS 2477 ROWs and 17(b)
easements could be affected by such projects as they move towards maturity. DNR - PAAD Unit
DNR/DGGS Feasibility Comments
Pilgrim Hot Springs has been known to be a major geothermal anomaly, and suspected for decades of hosting a significant moderate-
temperature geothermal resource. Earlier exploration (?70s and early ?80s) failed to find the upflow zone which produces the surface
springs. Location of and drilling into the upflow zone is essential for an understanding of this resource that is an adequate basis for
development decisions. This project suggests a stepwise progression, with drilling following geophysical surveys, which in turn followed
geological surveys. The surveys are proceeding under Phase I of this project, although results are not given. This proposal is for Phase
II, drilling and results of phase I are needed to fully evaluate. The timeline given in the proposal states that this Phase II drilling will be
done between about February and November of 2012.The DMLW Mining section reviewed the AEA projects from a mining stand point
and did not note any issues that would affecting mining, since the majority of the projects are not on state owned land and did not note
any mining locations in the vicinity of the projects.
DNR/DGGS Geohazards Comments
All projects proposing the development of permanent structures should conduct a geotechnical site survey to determine the potential
detrimental effects from natural hazards such as flooding, earthquakes, active faults, tsunamis, landslides, volcanoes, liquefaction,
subsidence, storm surges, ice movement, snow avalanches, and erosion, and incorporate appropriate measures to mitigate the risks.
Projects may be required to perform a geohazards site survey as a condition of receiving construction permits, depending on location of
proposed site. Additional information on active faults is available in the Quaternary fault & fold digital database:
http://maps.dggs.alaska.gov/qff/, http://doi.org/10.14509/qff, and https://doi.org/10.14509/24956.
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Renewable Energy Fund: Round 13 Application Summaries
App #13009 Standard Application
Pilgrim Hot Springs Geothermal Power Plant Conceptual Design
Stage 3 Scoring Summary
Criterion (Max Score)Score Feasibility Analysis
1. Cost of Energy (35) Stage 2 Tech & Econ Score (100)42.46
2. Matching Resources (15) Benefit/Cost Ratio 1.01
3. Stage 2 Feasibility (20)
4. Project Readiness (5) Project Rank
5. Benefits (15) Statewide (of 19 Standard applications)
6. Local Support (5) Regional (of all applications)
7. Sustainability (5) Stage 3 Ranking Score (100)
Total Stage 3 Score (100)
Funding & Cost Requested Recommended
Total Cost Through Construction $9,005,721 $9,005,721 Cost of Electricity $/kWh
REF9 Grant Funds $368,822 $0 Price of Fuel $/Gal
Matching Funds $136,893 $0 Household Energy Cost $7,531
AEA Review Comments & Recommendation Did Not Pass Stage 2
It is determined that the project is not technically and economically feasible, as per regulation 3 AAC 107.645. As such, this application
will not be proceeding to stage 3 of the evaluation process. Project Concerns:-Project is predicated on a future, non-existent tourist
community. Tourist demand is not fully developed and is subject to seasonality and volatility owing to issues related to COVID-19 and/or
other travel restrictions.-No thermal or electrical loads indicated. Generational capacity is based on resource, not future load demand.-
Integration is not adequately addressed. Applicant indicates induction generators, but synchronous generators would be more
appropriate.-Diesel generation is not addressed in the application although it would be required, even with geothermal generation.
Displaced diesel is assumed at 100% of geothermal production. This is incorrect, as supplemental integrated diesel power would be
required at the site for peak load assistance and as backup.-Total project costs are not wholly addressed; the geothermal power plant is
a smaller aspect of the overall project. Note items such as road maintenance, improvements construction (e.g. wellness retreat), full
and part time labor costs, state approved runway construction (if part of development strategy), and others are all additional costs which
would likely be incurred by the applicant as part of the overall project site development. -Native village relocation has not been simple,
based on past occurrences within the State. It would be reasonable to assume that the potential relocation of the dispersed community
of Mary's Igloo would be a major undertaking, likely adding significant costs to the project.
Election District: T-39 Bering Straits/Yukon Delta
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Renewable Energy Fund: Round 13 Application Summaries
App #13010 Standard Application
Project Type: Hydro Energy Region: Southeast
Applicant: Inside Passage Electric Cooperative Proposed Phase(s): Design
Applicant Type: Utility Recommended Phase(s): Design
Water Supply Creek Hydro Final Design - Hoonah, AK
Project Description
IPEC is requesting $461,474 in grant funding to prepare the final design for Water Supply CreekHydro (WSCH). IPEC plans to hire
HDR-Alaska to do this work. IPEC will provide labor, and laboroverhead, travel, meals & lodging, and legal expenses in the amount of
$75,000 as in-kind match.IPEC staff regularly provides administrative and technical support for consultants as part of itsannual labor
budget.HDR prepared a conceptual design report for IPEC in 2011, then in December 2019, a feasibilitystudy specific to WSCH. The
December 2019 study is included with this application. The nextstep is final design and permitting, and once it is complete, the Water
Supply Creek Hydro projectwill be "shovel-ready."
DNR/DMLW Feasibility Comments
Water right application on file (LAS 32100). Recommend completing a Hazard Potential Classification and Jurisdictional Review form for
submittal to DNR's Dam Safety Program.Native LandsWe have no objection to any feasibility analysis proposed and would need more
information (likely derived from the feasibility and other planning analysis) to determine how public access afforded by RS 2477 ROWs
and 17(b) easements could be affected by such projects as they move towards maturity. DNR - PAAD Unit
DNR/DGGS Feasibility Comments
The DMLW Mining section reviewed the AEA projects from a mining stand point and did not note any issues that would affecting mining,
since the majority of the projects are not on state owned land and did not note any mining locations in the vicinity of the projects.
DNR/DGGS Geohazards Comments
See general DGGS comment on hazards. The closest seismic source to the proposed project is the Fairweather fault (see Quaternary
fault & fold digital database: http://maps.dggs.alaska.gov/qff/, http://doi.org/10.14509/qff, and https://doi.org/10.14509/24956). This fault
has been active in the last 150 years.All projects proposing the development of permanent structures should conduct a geotechnical site
survey to determine the potential detrimental effects from natural hazards such as flooding, earthquakes, active faults, tsunamis,
landslides, volcanoes, liquefaction, subsidence, storm surges, ice movement, snow avalanches, and erosion, and incorporate
appropriate measures to mitigate the risks. Projects may be required to perform a geohazards site survey as a condition of receiving
construction permits, depending on location of proposed site. Additional information on active faults is available in the Quaternary fault &
fold digital database: http://maps.dggs.alaska.gov/qff/, http://doi.org/10.14509/qff, and https://doi.org/10.14509/24956.
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Renewable Energy Fund: Round 13 Application Summaries
App #13010 Standard Application
Water Supply Creek Hydro Final Design - Hoonah, AK
Stage 3 Scoring Summary
Criterion (Max Score)Score Feasibility Analysis
1. Cost of Energy (35)12.38 Stage 2 Tech & Econ Score (100)85.83
2. Matching Resources (15)11.00 Benefit/Cost Ratio 1.35
3. Stage 2 Feasibility (20)21.46
4. Project Readiness (5)5.00 Project Rank
5. Benefits (15)5.25 Statewide (of 19 Standard applications)2
6. Local Support (5)5.00 Regional (of all applications)1
7. Sustainability (5)5.00 Stage 3 Ranking Score (100)70.09
Total Stage 3 Score (100)70.09
Funding & Cost Requested Recommended
Total Cost Through Construction $5,984,099 $5,984,099 Cost of Electricity $0.59/kWh
REF13 Grant Funds $461,474 $461,474 Price of Fuel $2.79/Gal
Matching Funds $75,000 $75,000 Household Energy Cost $6,297
AEA Review Comments & Recommendation Full Funding
The applicant is requesting REF Round 13 grant funds in the amount of $461,474 for the "final design and permitting" phase of the
proposed run-of-river hydro project in Hoonah, AK. The applicant is an experienced and technically knowledgeable rural utility which
owns and operates several hydro plants in the region, including Gartina Falls near the project site. Owing to this, the applicant has also
demonstrated technical knowledge concerning the integration of hydro generation into their community diesel plants. For this particular
request, it is assumed that the integration of the proposed plant will be determined as part of the requested phase.The applicant has
demonstrated substantial support for the project. The applicant has already completed the prior reconnaissance and feasibility phases,
the latter being recently completed in 2019. The quote for the requested final design and permitting phase, as prepared by the
applicant-selected engineering firm, appears detailed and reasonable.The applicant has also demonstrated its ability to utilize multiple
funding sources in funding projects like the subject. The completed feasibility portion of the proposed project was partially funded
through a $30k grant via the Alaska Native Tribal Health Consortium. The applicant has also stated that they have, although limited, the
ability to self-fund reasonable cost overruns through allocations from their general fund. This is a boon to the project.The proposed
project seeks to displace diesel powered electric generation within the community, further incorporating renewable energy generation
into the local grid, advancing the goal of the REF. AEA is recommending full funding for the proposed project in the amount of
$461,474.Project Concerns:Run-of-river hydro and absence of storage reduces diesel displacement during the winter months when
water flow is low.Ability for the applicant to self-fund cost overruns is limited, as substantial debt service obligations may affect its
financial position.Loss of heat recovery is not specifically addressed as part of the application, and this could be a risk to the subject as
additional fuel may be required to replace the loss of heat recovery from the diesel gensets. The local native tribe, Hoonah Indian
Association, is in the process of installing a biomass heat loop within the community to assist in the offset of heat loss from displaced
diesel generation. Loss of heat recovery is not anticipated to be significant as diesel generation will still be required to meet the
community load.
Election District: R-35 Sitka/Petersburg
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Renewable Energy Fund: Round 13 Application Summaries
App #13011 Heat Application
Project Type: HeatRecovery Energy Region: Northwest Artic
Applicant: City of Shungnak Proposed Phase(s): Design, Construction
Applicant Type: Local Government Recommended Phase(s): Design, Construction
Shungnak Heat Recovery Expansion
Project Description
The proposed project will expand the heat recovery system in Shungnak, AK to provide heat for the health clinic, cookhouse community
center, VPSO housing, and community store, displacing an estimated 14,036 gallons of fuel oil being used annually in these community
facilities, for an estimated cost savings of $115,797 per year at the current fuel price of $8.25 per gallon. The heat recovery system
currently serves the collective heating needs of the water treatment plant and city office. This proposed expansion is possible due to
AVEC replacing all of its diesel generators with models that include marine manifolds, which will significantly increase the amount of
recovered heat available.
DNR/DMLW Feasibility Comments
No NRO involvementNative Town/Shungnak/NANA/IsingnakmuntWe have no objection to any feasibility analysis proposed and would
need more information (likely derived from the feasibility and other planning analysis) to determine how public access afforded by RS
2477 ROWs and 17(b) easements could be affected by such projects as they move towards maturity. DNR - PAAD Unit
DNR/DGGS Feasibility Comments
The DMLW Mining section reviewed the AEA projects from a mining stand point and did not note any issues that would affecting mining,
since the majority of the projects are not on state owned land and did not note any mining locations in the vicinity of the projects.
DNR/DGGS Geohazards Comments
All projects proposing the development of permanent structures should conduct a geotechnical site survey to determine the potential
detrimental effects from natural hazards such as flooding, earthquakes, active faults, tsunamis, landslides, volcanoes, liquefaction,
subsidence, storm surges, ice movement, snow avalanches, and erosion, and incorporate appropriate measures to mitigate the risks.
Projects may be required to perform a geohazards site survey as a condition of receiving construction permits, depending on location of
proposed site. Additional information on active faults is available in the Quaternary fault & fold digital database:
http://maps.dggs.alaska.gov/qff/, http://doi.org/10.14509/qff, and https://doi.org/10.14509/24956.
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Renewable Energy Fund: Round 13 Application Summaries
App #13011 Heat Application
Shungnak Heat Recovery Expansion
Stage 3 Scoring Summary
Criterion (Max Score)Score Feasibility Analysis
1. Cost of Energy (35)22.81 Stage 2 Tech & Econ Score (100)73.50
2. Matching Resources (15)0.00 Benefit/Cost Ratio 1.03
3. Stage 2 Feasibility (20)18.38
4. Project Readiness (5)5.00 Project Rank
5. Benefits (15)3.25 Statewide (of 4 Heat applications)2
6. Local Support (5)5.00 Regional (of all applications)1
7. Sustainability (5)5.00 Stage 3 Ranking Score (100)64.44
Total Stage 3 Score (100)64.44
Funding & Cost Requested Recommended
Total Cost Through Construction $1,303,607 $1,303,607 Cost of Electricity $0.73/kWh
REF13 Grant Funds $1,303,607 $1,303,607 Price of Fuel $8.25/Gal
Matching Funds $00 $00 Household Energy Cost $11,601
AEA Review Comments & Recommendation Full Funding
The applicant is requesting REF Round 13 grant funds in the amount of $1,303,607 to fund the final design and permitting, and
construction of the proposed heat recovery system upgrade. The applicant has not indicated any matching funds, although ANTHC has
self-funded the feasibility portion of the proposed project. Heat distribution infrastructure within the village and the existing diesel power
plant are the target improvements for the heat recovery upgrades and additions. The applicant is proposing these heat recovery system
upgrades in an effort to maximize the benefit which would be provided by the local utility as it replaces its existing diesel gensets with
new gensets equipped with marine manifolds.A heat sales agreement exists between the applicant and the local utility. A revised heat
sales agreement will be developed to continue to provide monetary incentive to the local utility to provide ongoing support in maintaining
and operating the heat recovery system. The local utility currently maintains 30 local heat recovery system in those communities in
which it operates. With the exception of these revenues earned by the utility to provide ongoing maintenance and support, there are no
anticipated additional funds required for the proposed project. The proposed project is estimated to significantly reduce the cost
incurred by the applicant for heating village improvements. AEA is recommending full funding for this project in the amount of
$1,303,607.Project concerns:There is a risk to the project concerning potential cost overruns. The applicant's proposed project
development and operations partner, ANTHC, is experienced in the pursuit of grant and loan sources. While several funding sources
are identified, the inability of the applicant to self-fund any potential cost overruns is a risk to the project.The applicant indicated revised
heat sales agreement with the local utility is paramount to the success of this project. If an agreement fails to materialize there will be
little to no benefit realized by the local community.The applicant indicates that the community is anticipated to construct a PV solar and
battery storage system. There is a risk that such renewable energy offset of diesel production could impact heat recovery of the
proposed project. Applicant indicated preliminary analysis indicates that high levels of solar production would occur during those
months where heating is not required, thus limiting the impact on the proposed project. Further analysis with the solar system in
production would be required to measure the impact of heat recovery loss.
Election District: T-40 Arctic
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Renewable Energy Fund: Round 13 Application Summaries
App #13012 Standard Application
Project Type: Geothermal Energy Region: Aleutians
Applicant: University of Alaska Fairbanks, Alaska Division
of Geological & Geophysical Surveys
Proposed Phase(s): Recon, Feasibility
Applicant Type: Other Recommended Phase(s): 0
Engineering Alaska's Geothermal Energy- HSBV, Akutan
Project Description
Although previous studies have been conducted to evaluate and characterize geothermalresources in the State of Alaska, there still
exist extensive disagreements on the commercialpotential of Alaska geothermal energy. The objective of this collaborative study is to
establish asystematic engineering solution/workflow to develop Alaska geothermal resources. This projectintegrates laboratory
experiments, field characterizations, and numerical modeling for advancingthe physical understanding of Alaska geothermal resources
and guiding future geothermalresearch and development in the state. Hot Springs Bay Valley (located adjacent to the City ofAkutan), a
geothermal area with high temperature gradients will be used as a case study toexecute and validate the workflow proposed in this
project. Eventually, the engineering workflowdeveloped and validated in this project will be applied to the other geothermal sites across
thestate, thus making contributions to the renewable energy inventory of Alaska.
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Renewable Energy Fund: Round 13 Application Summaries
App #13012 Standard Application
Engineering Alaska's Geothermal Energy- HSBV, Akutan
Stage 3 Scoring Summary
Criterion (Max Score)Score Feasibility Analysis
1. Cost of Energy (35) Stage 2 Tech & Econ Score (100)
2. Matching Resources (15) Benefit/Cost Ratio
3. Stage 2 Feasibility (20)
4. Project Readiness (5) Project Rank
5. Benefits (15) Statewide (of 19 Standard applications)
6. Local Support (5) Regional (of all applications)
7. Sustainability (5) Stage 3 Ranking Score (100)
Total Stage 3 Score (100)
Funding & Cost Requested Recommended
Total Cost Through Construction $947,156 $ Cost of Electricity $/kWh
REF13 Grant Funds $851,263 $0 Price of Fuel $/Gal
Matching Funds $95,893 $0 Household Energy Cost
AEA Review Comments & Recommendation Did Not Pass Stage 1
Election District: S-37 Bristol Bay/Aleutians/Upper Kuskokwim
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Renewable Energy Fund: Round 13 Application Summaries
App #13013 Standard Application
Project Type: Hydro, Storage Energy Region: Copper River/Chugach
Applicant: Cordova Electric Cooperative, Inc.Proposed Phase(s): Recon, Feasibility
Applicant Type: Utility Recommended Phase(s): Recon, Feasibility
Cordova Hydro Storage Assessment Project
Project Description
Cordova Electric Cooperative (CEC) is requesting $295,000 to conduct an analysis of the hydroelectric resources in the area, per AEA
recommendation in attached letter AEA Regional Hydro Resource Assessment dated April13, 2017. CEC intends to collect LIDAR
imagery and develop feasibility assessments on at least four potential storage locations. The results of this analysis will inform the
strategic direction of CEC in the short and long term. The priority assessment is for storage capacity upstream of the existing Humpback
Creek Hydroelectric Project. The potential storage location is on private lands with low permitting and regulatory overheads and is a low-
cost, high value supplement to the existing infrastructure. The next priority is at the Raging Creek hydroelectric site, for which CEC has
already conducted a desktop feasibility assessment. Raging Creek would be a long-term hydro prospect that faces moderate permitting
and regulatory barriers that has the potential to bring CEC to 100% renewable. A more comprehensive feasibility assessment would be
conducted as part of this application. The last two locations and reports includes an updated feasibility report on Snyder Falls and a pre-
feasibility on storage potential at Power Creek would. To maximize the LIDAR equipment, McMillen-Jacobs professional staff
mobilization, and helicopter support, CEC proposes to conduct aerial reconnaissance of Boy Scout Lake, No Name Lake #1, and No
Name Lake #2, per AEA recommendation.
DNR/DMLW Feasibility Comments
No water use permits or authorizations are required for the feasibility study.Multiple Sites, Native Lands and Forest Service Lands.
Waters within the project area may be navigable.We have no objection to any feasibility analysis proposed and would need more
information (likely derived from the feasibility and other planning analysis) to determine how public access afforded by RS 2477 ROWs
and 17(b) easements could be affected by such projects as they move towards maturity. DNR - PAAD Unit
DNR/DGGS Feasibility Comments
The DMLW Mining section reviewed the AEA projects from a mining stand point and did not note any issues that would affecting mining,
since the majority of the projects are not on state owned land and did not note any mining locations in the vicinity of the projects.
DNR/DGGS Geohazards Comments
See general DGGS comment on hazards. The coastal area in this region is subject to potential tsunami hazard, see
https://doi.org/10.14509/27241 and https://earthquake.alaska.edu/sites/all/tsuMap/html/tsunami.html.All projects proposing the
development of permanent structures should conduct a geotechnical site survey to determine the potential detrimental effects from
natural hazards such as flooding, earthquakes, active faults, tsunamis, landslides, volcanoes, liquefaction, subsidence, storm surges, ice
movement, snow avalanches, and erosion, and incorporate appropriate measures to mitigate the risks. Projects may be required to
perform a geohazards site survey as a condition of receiving construction permits, depending on location of proposed site. Additional
information on active faults is available in the Quaternary fault & fold digital database: http://maps.dggs.alaska.gov/qff/,
http://doi.org/10.14509/qff, and https://doi.org/10.14509/24956.
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Renewable Energy Fund: Round 13 Application Summaries
App #13013 Standard Application
Cordova Hydro Storage Assessment Project
Stage 3 Scoring Summary
Criterion (Max Score)Score Feasibility Analysis
1. Cost of Energy (35)13.25 Stage 2 Tech & Econ Score (100)78.17
2. Matching Resources (15)15.00 Benefit/Cost Ratio 0.99
3. Stage 2 Feasibility (20)19.54
4. Project Readiness (5)5.00 Project Rank
5. Benefits (15)3.33 Statewide (of 19 Standard applications)1
6. Local Support (5)4.00 Regional (of all applications)1
7. Sustainability (5)5.00 Stage 3 Ranking Score (100)70.13
Total Stage 3 Score (100)70.13
Funding & Cost Requested Recommended
Total Cost Through Construction $52,961,078 $70,000,000 Cost of Electricity $0.39/kWh
REF13 Grant Funds $294,642 $294,642 Price of Fuel $2.80/Gal
Matching Funds $150,000 $150,000 Household Energy Cost $6,740
AEA Review Comments & Recommendation Full Funding
The applicant, CEC, is requesting REF Round 13 grant funds in the amount of $294,642 for "reconnaissance" and "feasibility and
conceptual design" phases of the proposed project. CEC is looking to assess the feasibility of four potential hydro storage sites. The
primary assessment is to secure storage capacity upstream of the existing hydro site at Humpback Creek. Supplemental feasibility
analysis for potential hydro generation at two sites (Raging Creek & Snyder Falls) with an additional three sites anticipated for aerial
reconnaissance including geotechnical and other field observations is also part of the planned project. The project schedule and budget
is reasonable and detailed. CEC has sufficient technical and operational knowledge to maintain and operate the future hydro plants that
may result from this grant request. CEC, in tandem with the contracted engineering company, McMillen Jacobs has sufficient
experience and knowledge in reconnaissance and feasibility work to begin work on the requested phases. CEC has already expended
a significant amount of its own funds on feasibility and reconnaissance work of approximately $444,000. Owing to CEC's current hydro-
diesel-battery system, CEC is dedicated to exploring further integration of renewable energy generation into its grid, supporting the goal
of the REF program. CEC has indicated its support of future phases through a combination of proprietary, native, and federal funds.
CEC's ability to self-fund cost overruns, for this phase or future phases, is a boon to the proposed project. CEC has demonstrated
satisfactory grant reporting performance in prior REF rounds. AEA recommends full funding for the proposed project in the amount of
$294,642.Project Concerns:Land access issues for Raging Creek may prove to result in a long lead time to development if the site is
selected for hydro development.LIDAR based reconnaissance may prove to require more time than scheduled due to issues with LIDAR
surveying during precipitation.
Election District: P-32 Kodiak/Cordova/Seldovia
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Renewable Energy Fund: Round 13 Application Summaries
App #13014 Standard Application
Project Type: Wind Energy Region: Lower Yukon-Kuskokwim
Applicant: Puvurnaq Power Company Proposed Phase(s): Construction
Applicant Type: Utility Recommended Phase(s): Construction
Improved airfoil for wind turbines in Kongiganak
Project Description
The Puvurnaq Power Company has been operating five Windmatic 17S wind turbine for the last eight years. These wind turbines that
were originally designed and manufactured in Denmark in the 1980’s. They previously operated in California, and refurbished to their
original specification and reinstalled in the village of Kongiganak. The turbines nacelles have received a number of improvements,
however the turbine blades are of the original turbine blade design of the mid-1980’s. In the 1990’s, the U.S. Solar Energy Research
Institute (SERI), which subsequently became the National Renewable Energy Laboratory (NREL), commenced a program to design and
test and improved airfoil specifically for these types of Danish wind turbines, of which there were some 7000 installed in California. The
SERI airfoils were developed to provide aerodynamic performance improvements over original equipment blades supplied with the
Windmatic, Vestas and other fixed pitch, stall regulated turbines. The outcome of the NREL/SERI program was the development and
testing of new family of airfoils with improved performance in three primary areas. These are:• Restrained peak power for greater drive
train life • Reduced sensitivity to turbulence• Significantly improved annual energy productionIn each test instance of stall regulated
machines the annual energy output was increasing by 20 to 30%, while not causing increased loading on the tower, gearbox and drive
train. Over 80 sets of these blades were installed on various wind farms in California. Puvurnaq is requesting $98,000 from the REF
program to purchase and install two sets of the advanced SERI Thin Airfoils. The Puvurnaq Power Company (PPC) staff will retrofit two
of their five 95 kW windmatic turbines with these blades. It is estimated that PPC will provide an inkind match of $9,000 which
represents the labor and equipment to install and test the blade sets. The blades were manufactured by one of the largest blade
manufacturer in China, AVIC Huiteng Windpower, under the design supervision of James Tangler the NREL design engineer. The
turbine blades utilize a tip break design for emergency overspeed protection, which should improve overspeed protection compared to
the air brake design on the current wind turbine blades. Purvurnaq Power Company proposes to acquire these blade sets and install
them on two of its wind turbine in Kongiganak. The Puvurnaq Power maintenance crew has access to an uptower service crane, which
will enable local perform the retrofit using local personnel. Purvurnaq will undertake a program to evaluate the performance of these new
airfoils, comparing performance to the non-retrofitted turbines, and comparing the previous four year average production, in order to
validate the anticipated improved performance in the Alaskan environment and wind conditions.The following measurements and data
will be recorded: Cut in speedMaximum kW outputPower curveAverage kWTotal kWh
DNR/DMLW Feasibility Comments
Native LandsWe have no objection to any feasibility analysis proposed and would need more information (likely derived from the
feasibility and other planning analysis) to determine how public access afforded by RS 2477 ROWs and 17(b) easements could be
affected by such projects as they move towards maturity. DNR - PAAD Unit
DNR/DGGS Feasibility Comments
The DMLW Mining section reviewed the AEA projects from a mining stand point and did not note any issues that would affecting mining,
since the majority of the projects are not on state owned land and did not note any mining locations in the vicinity of the projects.
DNR/DGGS Geohazards Comments
All projects proposing the development of permanent structures should conduct a geotechnical site survey to determine the potential
detrimental effects from natural hazards such as flooding, earthquakes, active faults, tsunamis, landslides, volcanoes, liquefaction,
subsidence, storm surges, ice movement, snow avalanches, and erosion, and incorporate appropriate measures to mitigate the risks.
Projects may be required to perform a geohazards site survey as a condition of receiving construction permits, depending on location of
proposed site. Additional information on active faults is available in the Quaternary fault & fold digital database:
http://maps.dggs.alaska.gov/qff/, http://doi.org/10.14509/qff, and https://doi.org/10.14509/24956.
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Renewable Energy Fund: Round 13 Application Summaries
App #13014 Standard Application
Improved airfoil for wind turbines in Kongiganak
Stage 3 Scoring Summary
Criterion (Max Score)Score Feasibility Analysis
1. Cost of Energy (35)15.95 Stage 2 Tech & Econ Score (100)89.50
2. Matching Resources (15)7.00 Benefit/Cost Ratio 2.02
3. Stage 2 Feasibility (20)22.38
4. Project Readiness (5)4.33 Project Rank
5. Benefits (15)10.00 Statewide (of 19 Standard applications)3
6. Local Support (5)1.00 Regional (of all applications)1
7. Sustainability (5)4.50 Stage 3 Ranking Score (100)69.66
Total Stage 3 Score (100)69.66
Funding & Cost Requested Recommended
Total Cost Through Construction $117,000 $117,000 Cost of Electricity $0.65/kWh
REF13 Grant Funds $108,000 $108,000 Price of Fuel $4.93/Gal
Matching Funds $9,000 $9,000 Household Energy Cost $8,111
AEA Review Comments & Recommendation Full Funding
The applicant is requesting $108,000 in REF Round 13 grant funds to retrofit two sets of new airfoils, to increase wind generational
capacity, on two of its existing wind turbines. The proposed project budget and schedule appear reasonable and are adequately
supported. The applicant has a proven track record of providing needed maintenance on its existing wind system as well as providing
system data to AEA, regarding previously funded projects. AEA recommends full funding in the amount of $108,000 for the proposed
project.**Note on Funding Request**On Dec 3, 2020 the applicant was contacted to clarify a matter concerning the funding amounts.
The applicant did clarify, through correspondence with the AEA grant manager, that the correct value is $117,000 ($98k for 2 foils + $24k
for shipping + $9k for installation). The applicant is offering installation as an in-kind match. The total revised grant request for this
application is $108,000. Full funding in the revised requested amount of $108,000 recommended.Project concerns:Applicant schedule
appears too condensed, grant receipt, procurement, shipping, and installation are likely to require more than nine months. Any
disruptions resulting from shipping, a more common occurrence owing to growing demand for delivery services logistics companies from
COVID-19, will likely result in project being delayed from stated schedule.Largest risk is the new blades would not produce as much
additional marginal power as was anticipated. This would impact project economics across all aspects. Another risk is potential issues
with maintaining and/or repairing the new technology airfoils. No backup data regarding the proposed airfoil types has been provided,
there is limited support which indicates efficiency and/or capacity gains from applying this new airfoil technology.The applicant should
take precautions in the installation phase so as to not void the limited manufacturer warranty, if applicable.
Election District: S-38 Lower Kuskokwim
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Renewable Energy Fund: Round 13 Application Summaries
App #13015 Standard Application
Project Type: Hydro Energy Region: Southeast
Applicant: Burro Creek Holdings, LLC Proposed Phase(s): Feasibility, Design
Applicant Type: IPP Recommended Phase(s): Feasibility, Design
Burro Creek Hydro Project
Project Description
Develop a 2 MW run-of-river hydro project on private property at Burro Creek, south of Skagway. Transmit electricity to markets in
Skagway (and possibly Haines) via a submarine cable.
DNR/DMLW Feasibility Comments
A water use application is on file (LAS 29573). Please be sure final design water use requirements are consistent with filed
application.Burrow Creek Holdings LLC, Lands have been selected by the State under GS-5450We have no objection to any feasibility
analysis proposed and would need more information (likely derived from the feasibility and other planning analysis) to determine how
public access afforded by RS 2477 ROWs and 17(b) easements could be affected by such projects as they move towards maturity. DNR
- PAAD Unit
DNR/DGGS Feasibility Comments
The DMLW Mining section reviewed the AEA projects from a mining stand point and did not note any issues that would affecting mining,
since the majority of the projects are not on state owned land and did not note any mining locations in the vicinity of the projects.
DNR/DGGS Geohazards Comments
See general DGGS comment on hazards. The closest seismic source to the proposed project is the Dalton section of the Denali fault
(see Quaternary fault & fold digital database: http://maps.dggs.alaska.gov/qff/, http://doi.org/10.14509/qff, and
https://doi.org/10.14509/24956). This fault has been active in the last 15,000 years. The coastal area in this region is subject to potential
tsunami hazard, see https://doi.org/10.14509/30029 and https://earthquake.alaska.edu/sites/all/tsuMap/html/tsunami.html.All projects
proposing the development of permanent structures should conduct a geotechnical site survey to determine the potential detrimental
effects from natural hazards such as flooding, earthquakes, active faults, tsunamis, landslides, volcanoes, liquefaction, subsidence,
storm surges, ice movement, snow avalanches, and erosion, and incorporate appropriate measures to mitigate the risks. Projects may
be required to perform a geohazards site survey as a condition of receiving construction permits, depending on location of proposed
site. Additional information on active faults is available in the Quaternary fault & fold digital database: http://maps.dggs.alaska.gov/qff/,
http://doi.org/10.14509/qff, and https://doi.org/10.14509/24956.
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Renewable Energy Fund: Round 13 Application Summaries
App #13015 Standard Application
Burro Creek Hydro Project
Stage 3 Scoring Summary
Criterion (Max Score)Score Feasibility Analysis
1. Cost of Energy (35) Stage 2 Tech & Econ Score (100)53.17
2. Matching Resources (15) Benefit/Cost Ratio 1.56
3. Stage 2 Feasibility (20)
4. Project Readiness (5) Project Rank
5. Benefits (15) Statewide (of 19 Standard applications)
6. Local Support (5) Regional (of all applications)
7. Sustainability (5) Stage 3 Ranking Score (100)
Total Stage 3 Score (100)
Funding & Cost Requested Recommended
Total Cost Through Construction $19,172,000 $19,172,000 Cost of Electricity $/kWh
REF9 Grant Funds $586,000 $0 Price of Fuel $/Gal
Matching Funds $26,000 $0 Household Energy Cost $4,885
AEA Review Comments & Recommendation Did Not Pass Stage 2
Items of concern:A similar 5MW project in Southeast Alaska (Hiilangaay), being developed by a utility (AP&T), has a final project cost of
$31M. Given the high fixed costs for hydro projects, project components being sized for a 7M hydro site, and the submersible
transmission cable the total project costs for the proposed are likely to be $25-30M at a minimum.The demand factors for this project are
uncertain. Local power demand appears stable and AP&T, the local utility, has not pursued the development of other studied hydro sites
due to lack of demand, such as Schubee and Connolly lakes. Applicant project would have to be significantly below the cost to develop
these alternate sites, if it were to be a viable economic option. Additionally, West Creek, with road access to the north was studied for a
25MW hydro project. Owing to lack of power demand, however, this project has also not been pursued.Electrification of the municipal
dock is unlikely due to the load required by the cruise ships. The load which the cruise ships would require is greater than that existing
community as a whole (10-25MW per ship). There are also significant technical problems concerning the receipt of the shore power by
the cruise ships, such as placement of power hook-ups and issues concerning load ramping to prevent local grid blackouts. Cruise ship
diesel generation would not be able to be 100% offset due to high load requirements. Hydro power via AP&T assets provides the
majority (99%) of power generation within the Skagway area. It is unlikely this project would displace any existing diesel generation if at
all. Displacement of diesel consumption by cruise ships, if possible, would only occur in the summer months and is temporal in nature.
Inability of project to store energy would not allow it to assist in the small diesel generation by the local utility. AP&T only fires their
diesel plant during limited periods of high demand during the winter months when the run-of-river hydro sites are experiencing low flow
rates.
Election District: Q-33 Downtown Juneau/Douglas/Haines/Skagway
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Renewable Energy Fund: Round 13 Application Summaries
App #13016 Standard Application
Project Type: Hydro, Storage Energy Region: Southeast
Applicant: Community of Elfin Cove Non-Profit Corporation,
Elfin Cove Utility Commission
Proposed Phase(s): Design
Applicant Type: Utility Recommended Phase(s): Design
Elfin Cove Hydro Final Permitting and Design
Project Description
The project will include a run-of-river hydroelectric plant between Crooked Creek and Jim's Lake (upper system) and a storage
hydroelectric project between Jim's Lake and tidewater (lower system). Our FERC License Application considers two development
options:The Full Development Option would feature a 35-kW upper system and 105 kW lower system for 140 kW of generating capacity,
supplying 90% of the utility’s annual energy demand.The Phased Development Option would defer installation of power recovery
equipment on the upper system to the future (only the water diversion would be initially built), providing 105 kW of generating capacity
and supplying 82% of the utility’s annual energy demand.At this time we expect to proceed with the phased development option, as it is
the more economic of the two. Accordingly, this application describes the phased development option.
DNR/DMLW Feasibility Comments
The Elfin Cove Utility Commission (Community of Elfin Cove) has submitted two Applications for Water Rights (LAS 29817 and LAS
29818). The Elfin Cove Utility Commission may need to apply for a Temporary Water Use Authorization prior to the construction phase
of the project. The DMLW Water Resources Section recommends the applicant consult with our Southeast Office to determine specific
water use authorization requirements. May need a shoreland public easement. Withdrawn for Power ProjectWe have no objection to any
feasibility analysis proposed and would need more information (likely derived from the feasibility and other planning analysis) to
determine how public access afforded by RS 2477 ROWs and 17(b) easements could be affected by such projects as they move
towards maturity. DNR - PAAD Unit
DNR/DGGS Feasibility Comments
The DMLW Mining section reviewed the AEA projects from a mining stand point and did not note any issues that would affecting mining,
since the majority of the projects are not on state owned land and did not note any mining locations in the vicinity of the projects.
DNR/DGGS Geohazards Comments
See general DGGS comment on hazards. The closest seismic source to the proposed project is the Fairweather fault (see Quaternary
fault & fold digital database: http://maps.dggs.alaska.gov/qff/, http://doi.org/10.14509/qff, and https://doi.org/10.14509/24956). This fault
has been active in the last 150 years.All projects proposing the development of permanent structures should conduct a geotechnical site
survey to determine the potential detrimental effects from natural hazards such as flooding, earthquakes, active faults, tsunamis,
landslides, volcanoes, liquefaction, subsidence, storm surges, ice movement, snow avalanches, and erosion, and incorporate
appropriate measures to mitigate the risks. Projects may be required to perform a geohazards site survey as a condition of receiving
construction permits, depending on location of proposed site. Additional information on active faults is available in the Quaternary fault &
fold digital database: http://maps.dggs.alaska.gov/qff/, http://doi.org/10.14509/qff, and https://doi.org/10.14509/24956.
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Renewable Energy Fund: Round 13 Application Summaries
App #13016 Standard Application
Elfin Cove Hydro Final Permitting and Design
Stage 3 Scoring Summary
Criterion (Max Score)Score Feasibility Analysis
1. Cost of Energy (35) Stage 2 Tech & Econ Score (100)40.33
2. Matching Resources (15) Benefit/Cost Ratio 0.73
3. Stage 2 Feasibility (20)
4. Project Readiness (5) Project Rank
5. Benefits (15) Statewide (of 19 Standard applications)
6. Local Support (5) Regional (of all applications)
7. Sustainability (5) Stage 3 Ranking Score (100)
Total Stage 3 Score (100)
Funding & Cost Requested Recommended
Total Cost Through Construction $5,909,500 $5,909,500 Cost of Electricity $0.65/kWh
REF9 Grant Funds $130,000 $0 Price of Fuel $4.15/Gal
Matching Funds $32,500 $0 Household Energy Cost $8,007
AEA Review Comments & Recommendation Did Not Pass Stage 2
The application did meet the minimum score of 40 points in stage 2, by a margin of 0.33 points. It is the determination of AEA that the
application does not reflect a prudent allocation of limited grant monies. The proposed project does not yield sufficient benefits to
substantiate its costs. The application will not proceed to stage 3 per Section 4 – “Stage 2”, of the REF Process Manual.Project
concerns:-Future funding sources are noted but not specific in identifying clear loan/grant programs or private options. Applicant does
state that cost savings are a priority and has demonstrated their ability to service debt (e.g. ongoing bulk diesel fuel facility surcharge). -
Contingency of 18% for construction cost is not sufficient. Capital and operational costs are frequently greater than estimated and are
likely underestimated for this project.-Small drainage area at project site poses a risk owing to possible low rainfall. Low rainfall years
would not be offset by high rainfall years as the load is limited.-Grantee has been a recipient of AEA funds in the past, and has
experienced some long grant close-out timeframes.
Election District: R-35 Sitka/Petersburg
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Renewable Energy Fund: Round 13 Application Summaries
App #13017 Standard Application
Project Type: Hydro Energy Region: Bristol Bay
Applicant: Pedro Bay Village Council Proposed Phase(s): Construction
Applicant Type: Utility Recommended Phase(s): Construction
KNUTSON CREEK HYDRO PROJECT CONSTRUCTION
Project Description
The proposed project is an approximately 150 kW run-of-river hydroelectric project on Knutson Creek near Pedro Bay. The hydro project
will provide nearly all (~98%) of the electricity needs of the village, as well as providing a significant amount of interruptible energy to
heat the tribal council building and other community buildings in the village.
DNR/DMLW Feasibility Comments
Water permit. No additional authorizations needed. Knutson Creek within the area that the project lies is not considered navigable for
title purposes. An application for a water use is on file (LAS 33115). No additional authorizations are required. Native/Pedro Bay
Association. Knutson Creek May be navigable waters We have no objection to any feasibility analysis proposed and would need more
information (likely derived from the feasibility and other planning analysis) to determine how public access afforded by RS 2477 ROWs
and 17(b) easements could be affected by such projects as they move towards maturity. DNR - PAAD Unit
DNR/DGGS Feasibility Comments
The DMLW Mining section reviewed the AEA projects from a mining stand point and did not note any issues that would affecting mining,
since the majority of the projects are not on state owned land and did not note any mining locations in the vicinity of the projects.
DNR/DGGS Geohazards Comments
See general DGGS comments on hazards. The closest seismic source to the proposed project is the Lake Clark fault (see Quaternary
fault & fold digital database: http://maps.dggs.alaska.gov/qff/, http://doi.org/10.14509/qff, and https://doi.org/10.14509/24956). The
relative activity of this structure is unknown.All projects proposing the development of permanent structures should conduct a
geotechnical site survey to determine the potential detrimental effects from natural hazards such as flooding, earthquakes, active faults,
tsunamis, landslides, volcanoes, liquefaction, subsidence, storm surges, ice movement, snow avalanches, and erosion, and incorporate
appropriate measures to mitigate the risks. Projects may be required to perform a geohazards site survey as a condition of receiving
construction permits, depending on location of proposed site. Additional information on active faults is available in the Quaternary fault &
fold digital database: http://maps.dggs.alaska.gov/qff/, http://doi.org/10.14509/qff, and https://doi.org/10.14509/24956.
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Renewable Energy Fund: Round 13 Application Summaries
App #13017 Standard Application
KNUTSON CREEK HYDRO PROJECT CONSTRUCTION
Stage 3 Scoring Summary
Criterion (Max Score)Score Feasibility Analysis
1. Cost of Energy (35) Stage 2 Tech & Econ Score (100)28.33
2. Matching Resources (15) Benefit/Cost Ratio 0.34
3. Stage 2 Feasibility (20)
4. Project Readiness (5) Project Rank
5. Benefits (15) Statewide (of 19 Standard applications)
6. Local Support (5) Regional (of all applications)
7. Sustainability (5) Stage 3 Ranking Score (100)
Total Stage 3 Score (100)
Funding & Cost Requested Recommended
Total Cost Through Construction $6,927,870 $6,927,870 Cost of Electricity $0.82/kWh
REF9 Grant Funds $1,710,000 $0 Price of Fuel $2.60/Gal
Matching Funds $5,000 $0 Household Energy Cost $7,117
AEA Review Comments & Recommendation Did Not Pass Stage 2
Application did not meet the minimum score of 40 points in stage 2. The application will not proceed to stage 3 per Section 4 – “Stage
2”, of the REF Process Manual.Project concerns:Cost estimate likely significantly low for whole project. Breaking project up over many
years with multiple mobilization and longer project management have much higher costs. Funding to complete project not identified so
break of many years before construction can resume if ever. Most recent cost estimate not provided, no supporting documentation
outlining cost estimate. $15k for annual O&M on hydro and diesel appears low.Applicant has not yet provided AEA with final
deliverables for Design and Permitting funding from 2013 AEA REF Round 6. Grant period of performance is being extended to end of
March 2021. This may be an indication to AEA that the proposed schedule is likely too condensed.As evidenced by the school closure
in 2011, due to low enrollment, market demand in the local area appears to be trending downward.Comments concerning funding of
future phases of construction are non-descript. Applicant states they have ability to service debt through own revenue, however, the
amount of debt service which could be taken on is unknown and insufficient to fund entire project.
Election District: S-37 Bristol Bay/Aleutians/Upper Kuskokwim
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Renewable Energy Fund: Round 13 Application Summaries
App #13018 Standard Application
Project Type: Storage Energy Region: Northwest Artic
Applicant: Kotzebue Electric Association, Inc.Proposed Phase(s): Design
Applicant Type: Utility Recommended Phase(s): Design
Kotzebue Community-Scale Energy Storage System
Project Description
It is the Kotzebue Electric Association (KEA) Board of Director’s goal to achieve 50% renewable energy generation by 2025. To achieve
this goal, a community-scale Battery Energy Storage System (BESS) is necessary to manage variable generation from wind and solar
power. KEA installed and began operating a small lithium-ion BESS in 2015 that has been successful in allowing KEA to capture more
renewable energy, improve system reliability (outage mitigation) and reduce diesel importation. To reduce diesel importation by 50%,
maintain system reliability and capture more renewable energy, KEA proposes to construct a community scale BESS. The proposed
BESS will allow for 100+% renewable power generation from renewable resources (diesel-free power generation) and maximum use of
KEA’s wind and solar assets.
DNR/DMLW Feasibility Comments
No NRO involvementPrivate/Municipal/Power PlantWe have no objection to any feasibility analysis proposed and would need more
information (likely derived from the feasibility and other planning analysis) to determine how public access afforded by RS 2477 ROWs
and 17(b) easements could be affected by such projects as they move towards maturity. DNR - PAAD Unit
DNR/DGGS Feasibility Comments
The DMLW Mining section reviewed the AEA projects from a mining stand point and did not note any issues that would affecting mining,
since the majority of the projects are not on state owned land and did not note any mining locations in the vicinity of the projects.
DNR/DGGS Geohazards Comments
All projects proposing the development of permanent structures should conduct a geotechnical site survey to determine the potential
detrimental effects from natural hazards such as flooding, earthquakes, active faults, tsunamis, landslides, volcanoes, liquefaction,
subsidence, storm surges, ice movement, snow avalanches, and erosion, and incorporate appropriate measures to mitigate the risks.
Projects may be required to perform a geohazards site survey as a condition of receiving construction permits, depending on location of
proposed site. Additional information on active faults is available in the Quaternary fault & fold digital database:
http://maps.dggs.alaska.gov/qff/, http://doi.org/10.14509/qff, and https://doi.org/10.14509/24956.
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Renewable Energy Fund: Round 13 Application Summaries
App #13018 Standard Application
Kotzebue Community-Scale Energy Storage System
Stage 3 Scoring Summary
Criterion (Max Score)Score Feasibility Analysis
1. Cost of Energy (35)14.29 Stage 2 Tech & Econ Score (100)48.54
2. Matching Resources (15)13.00 Benefit/Cost Ratio 0.85
3. Stage 2 Feasibility (20)12.13
4. Project Readiness (5)3.07 Project Rank
5. Benefits (15)1.50 Statewide (of 19 Standard applications)8
6. Local Support (5)0.00 Regional (of all applications)2
7. Sustainability (5)3.77 Stage 3 Ranking Score (100)51.52
Total Stage 3 Score (100)51.52
Funding & Cost Requested Recommended
Total Cost Through Construction $3,675,000 $3,675,000 Cost of Electricity $0.41/kWh
REF13 Grant Funds $325,000 $325,000 Price of Fuel $5.49/Gal
Matching Funds $100,000 $100,000 Household Energy Cost $7,264
AEA Review Comments & Recommendation Full Funding with Special Provision
KEA is requesting grant monies in the amount of $325,000 for the final design and permitting phase of the integration of a BESS into
their local wind-solar-diesel power system. The scope of work relating to the use of grant monies as stated in the application is
concerning a system power flow study and a techno-economic study. These studies will be utilized in selecting the appropriate BESS
requirements for achieving 100% renewable energy penetration. KEA is an established utility with experience in developing and
operating a grid with multiple generation sources. KEA has demonstrated a commitment to integrating renewable energy system in their
grid through the development of both wind and solar systems at project site. KEA has also demonstrated experience in procurement
and operation of a small-scale BESS through their 2015 BESS implementation. AEA recommendation is full funding of $325,000 with
special provisions for the proposed project.Project Concerns:KEA did not adequately provide a sufficient amount of data relating to the
performance of their existing solar, wind, and BESS systems. This is a risk to the project as it does not provide sufficient evidence as to
the potential performance of the proposed system. A study assessing potential performance prior to the implementation of the 2015
BESS was provided, however, current performance data would be more helpful in this application.KEA's provided schedule seems a bit
tight considering that both the technical and economic studies are proposed to be conducted simultaneously. There is a risk that the
labor required to conduct these studies may become over-encumbered.KEA's stated O&M appears on the low end of the spectrum, with
$5,000 estimated yielding less than 100 man-hours per year.Anticipated diesel savings are likely under-estimated.Final design should
consider the integration of indicated those future wind turbines replacing the aging existing turbines.It is an assumption that the final
design will lend itself to the selection of the appropriate model BESS for KEA's existing grid.Significant cost overruns, while unlikely, are
a risk to the project as to extent of the overrun could affect the future financial position of the applicant.
Election District: T-40 Arctic
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Renewable Energy Fund: Round 13 Application Summaries
App #13019 Heat Application
Project Type: Biomass Energy Region: Railbelt
Applicant: City of Nenana Proposed Phase(s): Construction
Applicant Type: Local Government Recommended Phase(s): 0
NENANA BIOMASS AND WASHETERIA
Project Description
The city of Nenana is making remarkable strides towards the construction of a multi-purpose biomass facility. When completed, the
project will meet multiple needs within the city. For instance, it will supplement the heating requirements of municipal buildings and
house a washeteria (public showers, laundry, water filling station). The facility and operation will support local employment, support and
improve community sanitation, potentially revitalize local milling industry and the biproducts of the wood combustion will be a major
source of marketable biochar – a soil amendment that helps to increase soil fertility for agriculture
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Renewable Energy Fund: Round 13 Application Summaries
App #13019 Heat Application
NENANA BIOMASS AND WASHETERIA
Stage 3 Scoring Summary
Criterion (Max Score)Score Feasibility Analysis
1. Cost of Energy (35) Stage 2 Tech & Econ Score (100)
2. Matching Resources (15) Benefit/Cost Ratio
3. Stage 2 Feasibility (20)
4. Project Readiness (5) Project Rank
5. Benefits (15) Statewide (of 4 Heat applications)
6. Local Support (5) Regional (of all applications)
7. Sustainability (5) Stage 3 Ranking Score (100)
Total Stage 3 Score (100)
Funding & Cost Requested Recommended
Total Cost Through Construction $1,048,000 $ Cost of Electricity $/kWh
REF13 Grant Funds $894,000 $0 Price of Fuel $/Gal
Matching Funds $00 $0 Household Energy Cost
AEA Review Comments & Recommendation Did Not Pass Stage 1
Election District: C-6 Eielson/Denali/Upper Yukon/Border
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Renewable Energy Fund: Round 13 Application Summaries
App #13020 Standard Application
Project Type: Wind, Solar, Storage Energy Region: Lower Yukon-Kuskokwim
Applicant: Akiachak Ltd.Proposed Phase(s): Recon
Applicant Type: Utility Recommended Phase(s): Recon
Akiachak Reconnaissance Study
Project Description
Reconnaissance Study will focus on collecting and analyzing Akiachak's current diesel system and its wind and solar resources along
with its electric and thermal load data. This baseline data will then be used to create a conceptual design for an energy system that
incorporates wind/solar/battery with the current diesel system. A proposed costs and financing will also be included in the final
Reconnaissance Study Report.
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Renewable Energy Fund: Round 13 Application Summaries
App #13020 Standard Application
Akiachak Reconnaissance Study
Stage 3 Scoring Summary
Criterion (Max Score)Score Feasibility Analysis
1. Cost of Energy (35) Stage 2 Tech & Econ Score (100)
2. Matching Resources (15) Benefit/Cost Ratio
3. Stage 2 Feasibility (20)
4. Project Readiness (5) Project Rank
5. Benefits (15) Statewide (of 19 Standard applications)
6. Local Support (5) Regional (of all applications)
7. Sustainability (5) Stage 3 Ranking Score (100)
Total Stage 3 Score (100)
Funding & Cost Requested Recommended
Total Cost Through Construction $91,000 $ Cost of Electricity $/kWh
REF13 Grant Funds $91,000 $0 Price of Fuel $/Gal
Matching Funds $00 $0 Household Energy Cost
AEA Review Comments & Recommendation Did Not Pass Stage 1
Election District: S-38 Lower Kuskokwim
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Renewable Energy Fund: Round 13 Application Summaries
App #13021 Standard Application
Project Type: Wind, Solar, Storage Energy Region: Bristol Bay
Applicant: City of Port Heiden Proposed Phase(s): Recon
Applicant Type: Utility Recommended Phase(s): Recon
Port Heiden Reconnaissance study
Project Description
Reconnaissance Study will focus on collecting and analyzing Port Heiden's current diesel system and its wind and solar resources along
with Its electric and thermal load data. This baseline data will then be used to create a conceptual design for an energy system that
incorporates wind/solar/battery with the current diesel system. A proposed costs and financing will also be included in the final
Reconnaissance Study Report.
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Renewable Energy Fund: Round 13 Application Summaries
App #13021 Standard Application
Port Heiden Reconnaissance study
Stage 3 Scoring Summary
Criterion (Max Score)Score Feasibility Analysis
1. Cost of Energy (35) Stage 2 Tech & Econ Score (100)
2. Matching Resources (15) Benefit/Cost Ratio
3. Stage 2 Feasibility (20)
4. Project Readiness (5) Project Rank
5. Benefits (15) Statewide (of 19 Standard applications)
6. Local Support (5) Regional (of all applications)
7. Sustainability (5) Stage 3 Ranking Score (100)
Total Stage 3 Score (100)
Funding & Cost Requested Recommended
Total Cost Through Construction $91,000 $ Cost of Electricity $/kWh
REF13 Grant Funds $91,000 $0 Price of Fuel $/Gal
Matching Funds $00 $0 Household Energy Cost
AEA Review Comments & Recommendation Did Not Pass Stage 1
Election District: S-37 Bristol Bay/Aleutians/Upper Kuskokwim
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