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HomeMy WebLinkAbout2022-04-13 AEA Agenda and docs 813 West Northern Lights Boulevard, Anchorage, Alaska 99503 T 907.771.3000 Toll Free 888.300.8534 F 907.771.3044 REDUCING THE COST OF ENERGY IN ALASKA AKENERGYAUTHORITY.ORG Alaska Energy Authority Board Meeting Wednesday April 13, 2022, 8:30 AM AGENDA- REVISED Dial 1 (888) 585-9008 and enter code 212-753-619# Public comment guidelines are below. 1. CALL TO ORDER 2. ROLL CALL BOARD MEMBERS 3. AGENDA APPROVAL 4. PRIOR MINUTES – March 2, 2022 5. PUBLIC COMMENTS (2 minutes per person) see call in number above 6. NEW BUSINESS A. Resolution 2022-02 Transfer of Assets to Utilities B. BPMC Required Project Work 7. OLD BUSINESS A. NONE 8. DIRECTOR COMMENTS A. Response to Board Questions B. Power Project Fund Loan Dashboard C. Renewable Energy Fund Grant Program –Round 14 Update D. Electric Utility Relief Program (EURP) Update E. Denali Commission Update F. Rural Update G. Railbelt Reliabiility Council (RRC) Update H. Legislative Update I. Community Outreach J. Articles of Interest K. Next Regularly Scheduled AEA Board Meeting Wednesday, May 25, 2022 9. EXECUTIVE SESSION – To discuss confidential attorney-client communications regarding early payment of Power Revenue Bonds, 10th Series (Transmission Projects), the immediate knowledge of which would have an adverse effect on Alaska Energy Authority. 10. BOARD COMMENTS 11. ADJOURNMENT Public Comment Guidelines Members of the public who wish to provide written comments, please email your comments to publiccomment@akenergyauthority.org by no later than 4 p.m. on the day before the meeting, so they can be shared with board members prior to the meeting. On the meeting day, callers will enter the teleconference muted. After board roll call and agenda approval, we will ask callers to press *9 on their phones if they wish to make a public comment. Alaska Energy Authority Page 2 of 2 This will initiate the hand-raising function. We will unmute callers individually in the order the calls were received. When an individual is unmuted, you will hear, “It is now your turn to speak.” Please identify yourself and make your public comments. 813 West Northern Lights Boulevard, Anchorage, Alaska 99503 T 907.771.3000 Toll Free 888.300.8534 F 907.771.3044 REDUCING THE COST OF ENERGY IN ALASKA AKENERGYAUTHORITY.ORG RGYAUTHORITY.ORG Alaska Energy Authority DRAFT BOARD MEETING MINUTES Wednesday, March 2, 2022 Anchorage, Alaska 1. CALL TO ORDER Chair Pruhs called the meeting of the Alaska Energy Authority to order on March 2, 2022, at 8:31 am. A quorum was established. 2. ROLL CALL BOARD MEMBERS Members present: Chair Dana Pruhs (Public Member); Vice-Chair Julie Sande (Commissioner DCCED); Albert Fogle (Public Member); Bill Kendig (Public Member); Anna MacKinnon (SOA-DOR); Bill Vivlamore (Public Member); and Randy Eledge (Public Member). Chair Pruhs welcomed Mr. Eledge as the newest Board member. Mr. Eledge briefly discussed his personal background and professional background. 3. AGENDA APPROVAL Curtis Thayer, Executive Director, suggested the addition of an Executive Session under Item 9F. to include the AIDEA/AEA Organizational Chart and an update on staffing. There was no objection to the friendly amendment to the agenda. MOTION: A motion was made by Mr. Kendig to approve the agenda as amended adding an Executive Session under Item 9F. to include the AIDEA/AEA Organizational Chart and an update on staffing. Motion seconded by Mr. Fogle. The motion to approve the agenda, as amended adding an Executive Session under Item 9F. to include the AIDEA/AEA Organizational Chart and an update on staffing, passed without objection. 4. PRIOR MINUTES – January 27, 2022 MOTION: A motion was made by Mr. Kendig to approve the prior minutes of January 27, 2022, as presented. Motion seconded by Mr. Fogle. The motion to approve the minutes of the January 27, 2022, minutes passed without objection. 5. PUBLIC COMMENTS (2 minutes per person) Chair Pruhs informed that each person is allowed two minutes to comment. He requested that Alaska Energy Authority Page 2 of 12 each person clearly state their name and affiliation. Chair Pruhs asked Jennifer Bertolini, AEA, to give directions for public comments. Ms. Bertolini directed that anyone online who wishes to make a public comment press star-nine and they will be notified when it is their turn to speak. There were no apparent members of the public online who wished to make a public comment. There were no members of the public in-person who wished to make a public comment. Chair Pruhs closed the public comment session. Chair Pruhs reminded staff to ensure that a microphone is set up at the back table to use for potential in-person public comments. 6. EXECUTIVE SESSION: Moved to Item 9F. 7. NEW BUSINESS A. Renewable Portfolio Standard (RPS) Presentation Chair Pruhs requested Mr. Thayer begin the presentation. Mr. Thayer stated that Governor Dunleavy has introduced two pieces of legislation for the Renewable Portfolio Standard (RPS). Ms. Bertolini apologized for interrupting and indicated that there is a member of the public who has their hand raised for public comment. Chair Pruhs noted that the public comment period is closed. Mr. Thayer continued that an RPS has been adopted in 30 states and two territories. Each RPS is different for a different market. Governor Dunleavy has introduced one bill in the House and one bill in the Senate. One hearing has occurred and two hearings are scheduled next week. Mr. Thayer discussed that the original bills were drafted without participation from the Regulatory Commission, AEA, or the utilities. Since then, meetings have occurred with the Governor and the Governor’s Office and the entities to review suggested amendments. Mr. Thayer explained that the presentation before the Board today was given to the Senate Energy Committee and promotes the independent long-term cost reduction with competitive markets. The goal is to transition to 30% renewable power by 2030 and to transition to 80% renewable power by 2040. Mr. Thayer discussed that the best way to diversify the supply is to expand the renewable energy portfolio, thus increasing Alaska’s energy security. Mr. Thayer noted that the National Renewable Energy Lab (NREL) developed five scenarios and determined that the Susitna-Watana Hydroelectric Project would reach the goal for the railbelt average from Homer to Fairbanks to utilize 80% renewable power by 2040. This is not a statewide program. Issues are being addressed as to how the utilities will share renewable energy in the different service territories. Mr. Thayer discussed that there are 90 days left in the session and the bill is highly complex. He commented that there are impassioned beliefs regarding renewables and indicated that 85% of the state’s energy needs come from one company in Cook Inlet. Mr. Thayer suggested that Alaska Energy Authority Page 3 of 12 diversification is necessary in Cook Inlet. He noted that other companies in the market left Cook Inlet due to regulatory actions by the Regulatory Commission of Alaska (RCA) who did not approve gas contracts for seven years. Mr. Thayer reviewed that the Dixon Diversion Project would increase renewable power by about 6% to 7%. Other projects include wind, solar, and tidal options. Both the wind and solar solutions need to utilize batteries. Staff is working with the utilities to determine the placement location of batteries. He discussed that the battery technology has changed. Mr. Thayer noted that there is no nuclear energy included in the bill. He stated that nuclear energy is technically not renewable. Per discussions with the Governor, nuclear will be included as clean energy in a separate bill. The State and military are reviewing the possibility of nuclear energy at Eielson Air Force Base. Mr. Kendig asked how this bill will affect rural communities and Power Cost Equalization (PCE). Mr. Thayer discussed that the prices of Fairbanks, Anchorage, and Juneau set the floor for the PCE. There is also a cap included in the legislation. Mr. Thayer noted that the goal for the RPS is not to raise the cost to the consumer. If the consumer cost is raised, that would affect the PCE. This is one of AEA’s concerns and AEA has recommended amendments to address these types of issues. There were no additional questions of comments. Chair Pruhs suggested that if the person in the public who has their hand raised is still on the line after Item 7. is completed, then Chair Pruhs will return to Item 5. for public comment. B. Annual Report Mr. Thayer discussed that the 2021 Annual Report has been provided to members and was due to the Legislature on March 1st. All electronic copies were sent on Monday. The hard copies are in the process of being mailed. Mr. Thayer expressed appreciation to the team, especially Brandy Dixon, AEA, for the in-house efforts in developing the annual report. Mr. Thayer discussed that the Annual Report walks through the last year’s activities, including financials, owned assets, work in rural Alaska, PCE Program, alternative energy, energy efficiency, and different technologies. The State’s electrical hydropower has been increased by 27% on a statewide basis. Wind energy capacity has increased 400% in the last decade. Mr. Thayer mentioned the Power Pledge Challenge (PPC), the Remote Alaska Communities Energy Efficiency Challenge (RACEE), the Village Energy Efficiency Program (VEEP), and the winding down of the Volkswagen Settlement funding. Mr. Thayer discussed the Alaska Commercial Property Assessed Clean Energy Program (C-PACE) will be migrating to the Municipality of Anchorage. He thanked T.W. Patch, AEA, for moving the program forward. Mr. Thayer noted that the Annual Report includes information regarding the electric vehicles (EV) infrastructure. He noted that the federal Infrastructure Investment and Jobs Act (IIJA) includes over $50 million for electric vehicles. AEA is working with DOT on a Memorandum of Understanding for their assistance with the back-office work and AEA’s work on the front-office side in order to secure and distribute the funds. A report with DOT is due by August 1st. Alaska Energy Authority Page 4 of 12 Chair Pruhs discussed the mention of changing battery technologies. He asked what timeframe is utilized by the co-ops who are fully engaged in the placement of these batteries, and what timeframe is the asset depreciated. Mr. Thayer stated that he would have to get and provide the depreciation schedule information to Chair Pruhs at a later date. Chair Pruhs asked if the batteries were lithium, lead-acids, or NiCd batteries. Mr. Thayer discussed that the batteries that are removed from vehicles are recycled into other types of electrical needs. Mr. Thayer noted that a battery for a car probably has a true life cycle of 20 years, which includes being recycled once. He noted that the Department of Energy is reviewing and studying the recycling and disposal aspects for these batteries. Mr. Thayer discussed that Tesla is beginning to replace batteries and to recycle the batteries into a secondary market. Mr. Thayer indicated that a Tesla battery has been recently brought online in Homer. Chair Pruhs asked for the total price. Mr. Thayer noted that the cost was close to $115 million. The service territory includes approximately 60,000 customers. Chair Pruhs requested additional information regarding the type of batteries, the lifespan of the batteries, the depreciation schedule, and the cost per meter. Mr. Thayer discussed that Chugach Electric Association (CEA) and Matanuska Electric Association (MEA) are reviewing the possibility of utilizing a battery at CEA’s offices located at International Airport Road and Minnesota Drive. The battery would be portable and would have a small footprint. There were no additional questions. Chair Pruhs noted that the meeting will return to Item 5. Public Comment. 5. PUBLIC COMMENTS (2 minutes per person) Ken Castner from Homer stated that he continues to have difficulty connecting to the meeting, even though he presses star-nine repeatedly. He thanked Chair Pruhs for letting him speak. Mr. Castner commented that the previous minutes indicated that after the Board returned from Executive Session, Chair Pruhs stated that no “official” business had been done and the minutes state that no “formal” business had been done. Mr. Castner commented that those two words may mean the same for the Board, but that the two words do not mean the same thing to him. Mr. Castner noted the discrepancy for the record. Mr. Castner provided his second comment for the previous meeting that Chair Pruhs stated, “That was a great presentation this morning from the utilities. I learned a lot.” Mr. Castner commented that it was good for the Board to learn a lot and that the public ought to hear the information as well. Mr. Castner does not know why AEA is taking presentations in Executive Session. Mr. Castner believes things of that nature need to be shared with the public. Mr. Castner provided his last comment regarding the vehicle batteries and noted that the oldest batteries are in the RAV 4 and are 30 years old. Mr. Castner has a friend in San Francisco that is still driving his car and his total maintenance bill over the course of 30 years is $52 dollars for a third-year capacitor burn out. Otherwise, he noted that it should be considered that these vehicles Alaska Energy Authority Page 5 of 12 are really maintenance free. Mr. Castner commented that HEA owns a big Tesla battery located in Soldotna and not in Homer. There being no other members of the public online or in-person wishing to make a public comment, Chair Pruhs closed the public comment period again. C. AEA Cash Movement Analysis and Insights Chair Pruhs indicated that his agenda does not include Item 7C. Mr. Thayer suggested reviewing AEA Cash Movement Analysis and Insights during Directors Comments. There was no objection. Chair Pruhs suggested to take a five-minute at-ease. There was no objection. Chair Pruhs returned the meeting to order and requested Mr. Thayer move to Item 9. Directors Comments. There was no objection. 8. OLD BUSINESS – None. 9. DIRECTOR COMMENTS A. Infrastructure Investment and Jobs Act (IIJA) Mr. Thayer noted that the information provided is the latest living document spreadsheet on the IIJA. Mr. Thayer stated that he is in meetings at least twice a week with the Governor’s Office reviewing the nuances of the bill and receiving guidance from the Federal Government on an irregular basis. Clarification and a path forward have been provided for the electric vehicle infrastructure program. The funding is available to Alaska through the Department of Transportation. Mr. Thayer discussed that there appears to be qualified funding available for infrastructure upgrades from Bradley Lake to Anchorage. AEA has submitted the request to the Governor’s Office as a potential program. Mr. Thayer discussed that there is money available to rural Alaska that needs a pass-through agency in which AEA can serve as that pass-through agency. Some of the funding requires a 20% match. AEA received a clarification regarding the utility match and noted that the money the utilities have allocated to Bradley Lake and others for the O&M, that becomes State money and will serve as a match. These issues are being reviewed by Legal and guidance is being sought from the Federal Government. Mr. Thayer indicated that every state has similar questions and clarifications. He noted that AEA staff members have been assigned different sections of the bill to track and update. A meeting on Friday will review the possibility of funding for tidal research for Cook Inlet power. B. Owned Assets Update Mr. Thayer discussed the provided Railbelt Owned Asset Update included in the packet. Staff has been working with the Intertie Operating Committee (IOC) on the Systems Studies Subcommittee Alaska Energy Authority Page 6 of 12 and the consultant to tune the Static VAR Compensator Power Oscillation Dampers. AEA is also working with Golden Valley Electric Association (GVEA) to transfer Cantwell Substation distribution equipment to GVEA. Snow Load Monitoring has continued to be an issue. The FY23 budget preparation is beginning for the Alaska Intertie. Work continues with MEA and GVEA on vegetation management plans that are due on April 1st. AEA is working with MEA in response to a section line easement road building request by DOT. Mr. Thayer reviewed that Bradley Lake is running at normal snowpack for the winter. He noted that Bob Day, Superintendent, has retired and a new Superintendent will begin in mid-March. The lake level was at its lowest point for this time of year in the last decade. Additional information is included in the report regarding normal year lake levels for Bradley Lake. Mr. Thayer noted that today is Kirk Warren’s last day with AEA, and he will begin his new role with the DOT as a Regional Supervisor of Maintenance and Operations. Mr. Thayer discussed that Bryan Carey, AEA, will step in as the Director of Owned Assets. Mr. Thayer informed that Mr. Carey has been with AEA for over 20 years. Mr. Thayer looks forward to working with Mr. Carey in his new role. There were no questions. C. Renewable Energy Fund (REF) i. Round 13 Update ii. Round 14 Mr. Thayer provided the update on Round 13 and 14 for the REF. The Legislature funded 11 projects in Round 13. There are 39 applicants for Round 14 for a total ask amount of $19.2 million. The Governor’s Budget includes $15 million for the round. Mr. Thayer believes that amount will be sufficient after the technical and economic analyses are completed and qualifications are reviewed. The Renewable Energy Fund Advisory Committee (REFAC) will then be consulted. The REFAC consists of four legislators and five public members and will provide recommendations to be submitted to the Legislature in early April. Mr. Thayer discussed that the process timeline normally begins earlier, but was delayed this year because the Department of Revenue (DOR) provided the information regarding the excess earnings later than anticipated. Ms. MacKinnon asked Mr. Thayer to provide the names of the four legislative representatives who serve on the REFAC. Mr. Thayer listed Representative Adam Wool, Representative Tiffany Zulkosky, Senator Natasha Von Imhof, and Senator David Wilson. Ms. MacKinnon asked who was placed on the Finance Committees for consideration for the projects. She noted that Mr. Thayer does not need to provide any additional information. Chair Pruhs asked if there is a procedure to assist the applications on the next round if they were found ineligible for qualification for this round. Mr. Thayer agreed. Chair Pruhs asked what AEA does to assist those applicants and help facilitate them to meet the criteria for the next round. Alaska Energy Authority Page 7 of 12 Mr. Thayer noted that staff initially reviews timeliness and completeness of the application. Staff works with communities to get to that point. If there is an economic or technical analysis needed, staff will work with communities to identify their weaknesses. AEA is very generous in trying to make projects work, especially for the smaller communities. There is also an appeal process available. Mr. Thayer explained that there were three out of the 39 applicants this year that were other State agencies looking for funding for solar or waste energy for their buildings. Those applicants were disqualified because of the concern that a State agency has a State budget approval process to follow through the Governor’s Office and Legislature. Mr. Thayer believes that the REF monies are available to communities and State agency requests are an inappropriate fit for the program. There were no additional questions. D. Power Cost Equalization (PCE) Statistical Report Mr. Thayer reviewed the PCE Statistical Report dated March 1, 2022. It has been provided to the Legislature. This is a public document and is posted on the website. This statistical report data is listed by community and there is also a report that is listed by utility. There were no questions. E. EURP Update Mr. Thayer discussed the Electric Utility Relief Program Update included in the Board packet. The program was established during the Governor’s declaration and at the request of the Department of Commerce, Community and Economic Development (DCCED) for AEA to distribute approximately $7 million to reimburse the utilities for residential debt associated with COVID-19. Approximately $3 million has been distributed. There were 35 applicants in Round 1. The program does not apply to commercial customers. Mr. Thayer noted that approximately 200 communities were anticipated to qualify for the program. Round 2 has begun and only one applicant has submitted. The deadline is March 15th. Staff will meet with the Governor’s Office and DCCED after the deadline to determine disposition of the balance of the funds. Ms. MacKinnon commented that she believes that the deadline for the original COVID-19 funding is possibly at the end of 2022. She noted that others should verify the specific timing. Mr. Thayer discussed that AEA was asked to administer the program and it has been successful with no issues. Included in the Board packet are letters to AEA thanking staff for their efforts in distributing the funds. Mr. Thayer explained that other COVID-19 funds were available to assist with residential debt and that entities could not apply twice for the same assistance. He gave the example that the City of Seward paid off bad debt with other COVID-19 utility relief monies and therefore, could not apply for this program. Mr. Thayer gave other similar examples. He stated that most of the electrical utilities’ bad debt from COVID-19 has been made whole. There were no additional questions. Alaska Energy Authority Page 8 of 12 MOTION: A motion was made by Mr. Fogle to enter into executive session to discuss confidential matters related to confidential personnel matters of the Authority. This is supported by the Open Meetings Act, AS 44.62.310, which allows a Board to consider confidential matters in executive session. In this case, the Board believes that these personnel matters are required by law to be confidential. Motion seconded by Mr. Kendig. The motion to enter into executive session to discuss confidential personnel matters passed without objection. F. EXECUTIVE SESSION: 9:14 am Discuss confidential matters related to personnel matters. FY2022 AIDEA / AEA Org Chart The Board reconvened its regular meeting at 9:57 am. Chair Pruhs advised that the Board did not take any formal actions on the matters discussed while in executive session. Mr. Thayer invited Dona Keppers, AEA, to discuss the one-page report entitled AIDEA & AEA Cash Movement Analysis and Insights that is included in the Board packets. Ms. Keppers reviewed the amounts and timing of AIDEA’s and AEA’s cash flows into the Alaskan economy. She commented that this is important to the mission of the agencies and the impact throughout the state. In FY21, both AIDEA and AEA generated approximately $200 million in cash movement, of which 96% was to Alaska vendors. There was approximately $97 million in AK CARES funding during the same time. Ms. Keppers discussed the specific accounts payable information for AEA, including the work for Bradley, the Intertie, PCE, and others grants and projects. For FY21, about 38% of the accounts payable activities is grant and project related. Ms. Keppers reviewed the general ledger entries shown at the bottom of the page. She noted that AEA’s activity each year is both high volume and high dollar. Ms. Keppers reiterated the importance of understanding the impact of the accounts payable section for shared services of AEA and AIDEA. Chair Pruhs asked what the typical time is to turn around an accounts payable invoice. Ms. Keppers explained that some of the accounts payable invoices have terms and sometimes it takes about three weeks. She discussed that staff reviews the accounts payable aging and utilizes metrics to measure performance and the size of the staff based on the volume. Ms. Keppers reviewed the increased shift in electronic banking for deposits and payments, and other pieces of automation. This has decreased the amount of time it takes for activities. The accounts payable are received both electronically and in paper form. Chair Pruhs asked if purchase orders (PO) or some types of authorization are primarily utilized when funds are spent. Ms. Keppers agreed. Chair Pruhs asked if the system allows AEA to attach the invoice to the payment authorization. Ms. Keppers agreed. She noted the goal is to continue to reduce the amount of paper invoicing received in accounts payable. The majority of the Alaska Energy Authority Page 9 of 12 invoices are received through an email address, which includes all supporting documentation. The information then moves through the business workflow and processes, including procurement, PO, and contract services. The information is archived electronically as it moves through the processed. Once the physical documents are archived, they are categorized in either record retention or to shred. Ms. Keppers discussed that the goal is to reduce the paper footprint and increase the electronic workflows within the systems. Mr. Vivlamore asked for the definition of an Alaskan vendor. Ms. Keppers explained that Alaskan vendors are defined as those that have Alaskan addresses. The AK CARES program included this requirement. Ms. Keppers noted there are vendors that have out of state corporate addresses, but their businesses are located in Alaska. Chair Pruhs asked if there is a goal to shorten the three-week turnaround for POs. Ms. Keppers discussed that staff is in the process of establishing the appropriate metrics and has the responsibility to pay on or before the terms that are agreed to within the contracts. The goal is to reduce the number of late payments. Chair Pruhs asked if there are any account payables (AP) that are related to the account receivables (AR) that cannot be paid until AEA gets the receivables. Ms. Keppers agreed and noted that the vendors are aware of those circumstances. There were no additional questions. G. Legislative Update Mr. Thayer discussed that the Legislature is in session and AEA was required to update the Legislature on the Capital Reserve Funds, Round 14 of the REF, Capital Project Status Report, and the Susitna-Watana Project. Also included in the Board packet is a letter to U.S. Department of Transportation (DOT) regarding Electric Vehicles (EV) Charging Program funds. Nothing in rural Alaska qualifies because it is for the highway system and the marine highway system. This is a cause of concern for AEA because it is exclusionary to rural areas including Bethel, Dillingham, Nome, Kotzebue, and others. Mr. Thayer noted that presentations that have been given or submitted to the Legislature are also included in the Board packet. Mr. Thayer reviewed that staff is currently tracking eight active bills and he is scheduled to testify on five bills this week and approximately the same amount of testimony next week. Mr. Thayer discussed that the Renewable Portfolio Standards is a Governor’s bill and AEA is carrying that legislation and responsible for participating in the hearings. There is a bill in the House and in the Senate regarding the Renewable Energy Fund extension that requests expiration in 2033. AEA is averaging two to three hearings a week on that legislation, and it should move through the process without any issues. Mr. Thayer stated that the Railbelt Energy Fund from the Legislature had $3.4 million of the funds swept in 2021. Mr. Thayer noted that the balance is now zero and some legislators see this fund as one that could be erased off of the books of the State. AEA has raised this issue and the sponsor will introduce to Committee to keep the Railbelt Energy Fund because the Power Sales Agreement for Bradley Lake was tied to the Railbelt Energy Fund in 1991, and is tied for another Alaska Energy Authority Page 10 of 12 20 years. Bradley Lake excess payments can go to required project work and if the required project work is not completed, the excess payments go into the Railbelt Energy Fund. If the Legislature eliminates the Railbelt Energy Fund, then AEA and the utilities have to reopen a 30-year-old document, and nobody wants to do that. Mr. Thayer discussed that the Legislature did not ask AEA if the fund was still active or the purpose of the fund, but now that the Legislature knows, staff anticipates they will maintain the Railbelt Energy Fund as an active fund with the State. Mr. Thayer stated that AEA is working with Representative Thompson in support of the bill regarding the PCE Endowment and community assistance, and up to $25 million for Rural Powerhouses, Renewable Energy Fund or to capitalize the Bulk Fuel Revolving Loan Fund. In the Governor’s budget this year, of that $25 million, there is $15 million for the Renewable Energy Fund and $10 million for Powerhouses, which is being federally matched with another $10 million. Mr. Thayer explained that Representative Thompson’s bill eliminates the cap of $25 million and includes Bulk Fuel within the qualifying definition. Mr. Thayer noted that bulk fuel in the state currently has $800 million in deferred maintenance. Mr. Kendig asked if Senator Hoffman is supportive of the Representative Thompson’s bill. Mr. Thayer noted that he does not know the answer and there is not a companion bill in the Senate. Mr. Thayer informed that another bill, HB371, was introduced to change Alaska Energy Authority’s name and duties. The bill would change the name to Alaska Energy and Broadband Authority. The bill sees the Authority as a vehicle for putting in a billion dollars of broadband and creating a broadband cost equalization program similar to PCE. Staff has been working on a bill analysis and the fiscal note would require at least a dozen new people to maintain and distribute funding for the new program. There have been no hearings held on the bill and there is no companion bill in the Senate. AEA has been responsive to the analysis, but AEA neither planned nor anticipated the bill. Chair Pruhs noted that Mr. Thayer mentioned $800 million in deferred maintenance for bulk fuel and asked what solution is planned. Mr. Thayer discussed that the solution is State funding. The last two years’ of the Governor’s budget included $5.5 million for bulk fuel. Both the powerhouses and bulk fuel qualify for federal matches. The $5.5 million in the budget this year was federally matched by $7.5 million, which means approximately $13 million went toward the $800 million in deferred maintenance. The number now is approximately $790 million. Chair Pruhs asked if there are hard facts behind the estimated amounts. He discussed that with 5% inflation, the cost would be $840 million with no real depreciation on the asset for the year, and with 7% inflation this year, the cost increases to about $900 million. He noted that Alaska is seeing a considerable increase in the cost of construction, as well as increased inflation across the country. Chair Pruhs expressed his concern about giving out a number that may not be accurate. He asked for the plan on how the funding of $5 million is going to affect the total cost. Mr. Thayer stated that the number given to the legislators is in excess of $800 million, so that they could understand the size of the problem. He noted that the match of $7.5 million is Alaska Energy Authority Page 11 of 12 approximately 1% of the problem. Mr. Thayer commented that the Governor or the Legislature needs to add a significant amount of money to this issue. He believes that Representative Thompson’s bill is trying to offer another revenue source so that the match of federal dollars can be utilized. Chair Pruhs reiterated the importance that staff be very clear regarding the accuracy of the number, that includes defendable information, inflation, and depreciation. Mr. Thayer discussed the amount is defendable. There is $400 million in bulk fuel in rural Alaska that is Coast Guard code compliant. The statute requires that the top 25 communities identified have a defined budget that is revised every year. There is a 10-year outlook of work that maintains an active estimate. There were no additional questions. H. Community Outreach Mr. Thayer discussed that community outreach is increasing now that mask mandates have lifted. The Governor is conducting an energy sustainability conference in May and AEA will participate. I. Articles of Interest Mr. Thayer introduced and welcomed Audrey Alstrom as the new Director of the Alternative Energy and Energy Efficiency Programs. He discussed her professional background. Mr. Thayer noted the articles of interest included in packet. J. Next Regularly Scheduled AEA Board Meeting Wednesday, April 13, 2022 Mr. Thayer advised that the next scheduled AEA Board meeting is Wednesday, April 13, 2022. 10. BOARD COMMENTS Chair Pruhs expressed appreciation to Mr. Thayer and staff. Chair Pruhs requested that Board business be conducted regarding Mr. Kendig becoming Vice- Chair. MOTION: A motion was made by Mr. Fogle to elect Mr. Kendig as Vice-Chair of the Alaska Energy Authority Board. Motion seconded by Mr. Vivlamore. The motion to elect Mr. Kendig as Vice-Chair of AEA was approved without objection. Chair Pruhs appointed Mr. Vivlamore to AEA Audit and Budget Subcommittee. Chair Pruhs thanked Mr. Vivlamore for taking the responsibility. There was no objection. Alaska Energy Authority Page 12 of 12 Chair Pruhs thanked Ms. Bertolini and the staff for their efficient work. 11. ADJOURNMENT There being no further business of the Board, the AEA meeting adjourned at 10:22 am. __________________________________________________ Curtis W. Thayer, Exceutive Director / Secretary 813 W Northern Lights Blvd, Anchorage, AK 99503  Phone: (907) 771-3000  Fax: (907) 771-3044  Email: info@akenergyauthority.org REDUCING THE COST OF ENERGY IN ALASKA AKENERGYAUTHORITY.ORG MEMORANDUM TO: Curtis W. Thayer, Executive Director THROUGH: Bryan Carey P.E., Director, Owned Assets FROM: David Lockard P.E., Infrastructure Engineer DATE: March 30th, 2022 RE: Transfer of Cantwell Substation Distribution Assets The Cantwell Substation and associated Cantwell distribution grid were constructed by Golden Valley Electric Association (GVEA) in the early 1980’s with funding from and at the direction of the Alaska Power Association (APA). Some of these assets, specifically the “Cantwell Distribution Line”, were transferred to GVEA in 1988 under the attached “Ownership Transfer Agreement for the Cantwell Distribution Line Project”. The 1988 Agreement did not specifically call out Cantwell distribution assets at the Cantwell Substation that are essential to the GVEA Cantwell distribution grid but not necessary to the operation of the Alaska Intertie. Aside from the 138/24.9kV transformer, this equipment operates at sub-transmission voltages. GVEA would like to maintain, repair and replace the Cantwell distribution equipment in order to serve its Cantwell customers. The expense of accomplishing those tasks should not be included in the Alaska Intertie budget, since the equipment is not necessary to the operation of the Intertie. The Intertie Management Committee has approved the transfer of this equipment. Dan Bishop, GVEA Manager of Engineering Services, has stated that the Cantwell distribution equipment listed in the spreadsheet is fully depreciated and at the end of its expected useful life. I agree. I recommend that the AEA Board approve this equipment transfer. ALASKA ENERGY AUTHORITY RESOLUTION NO. 2022-02 AUTHORIZATION FOR EXECUTIVE DIRECTOR TO TRANSFER CERTAIN EQUIPMENT IN CANTWELL, ALASKA TO GOLDEN VALLEY ELECTRIC ASSOCIATION WHEREAS, the Alaska Energy Authority (Authority) is a public corporation of the State of Alaska governed by a board of directors with the mission to “reduce the cost of energy in Alaska;” WHEREAS, the Authority through appropriations from the Alaska legislature for the construction of the Alaska Intertie has purchased and owns certain equipment used for the transmission and distribution of electricity in Cantwell, Alaska; WHEREAS, the Authority has no plans for the use of this equipment, which is located in an area where this equipment can be properly maintained and used by the local utility, Golden Valley Electric Association (GVEA); WHEREAS, the Authority has the statutory authority to convey any personal property owned by it in furtherance of its corporate purposes pursuant to AS 44.83.080(7) and 3 AAC 105.400-.480; WHEREAS, this equipment is now fully depreciated on the Authority’s financial statements; WHEREAS, the Intertie Management Committee (IMC) on March 25, 2022 approved by resolution the transfer of this equipment located in Cantwell, Alaska from the Authority to GVEA; WHEREAS, GVEA is willing to accept this equipment and assumes all liability, operation, and maintenance costs; and WHEREAS, the transfer of this equipment is in furtherance of the Authority’s corporate purposes. NOW, THEREFORE, BE IT RESOLVED, by the Board of Directors of the Alaska Energy Authority: 1. The Executive Director is hereby empowered to negotiate the transfer of the relevant equipment, located in Cantwell, Alaska, to GVEA. 2. The Executive Director of the Authority is hereby authorized to take such actions as may be necessary or convenient to carry out the purposes of this resolution in the name of and on behalf of the Authority. 3. This Resolution shall become effective immediately upon its passage and approval. The resolution was declared adopted on this the day of , 2022. ALASKA ENERGY AUTHORITY ___________________________________ Chairman ______________________________ Secretary CORPORATE SEAL Cantwell Substation Equipment Brief ListD 1 Circuit switcher (CWS‐1B1)161KV, 1200A, 3 phase, 60HZ, S&C Electric CompanyD 1 Transformer (CWS‐T1)5MVA, 138 ‐ 24.9Y/14.4KV with LTC, 60 HZD 3 Circuit reclosers (CWS‐1R1, CWS‐1R2, CWS‐1R3)24.9KV, 560A, 3 phase, 60HZ, McGraw‐EdisonD Distribution structure foundationsD Distribution electrical busD Distribution support structuresD Distribution electrical insulatorsD Distribution arrestersD Protective relays (mostly for transformer)D 25kV PTsD 25kV CTsD Switches CWS3S5, CWS3S6, CWS3S7, CWS2S8, CWS3S12, CWS3S13, CWS2S14, CWS3S9, CWS3S10, CWS2S11, CWS3S15, CWS3S16, CWS2S17D Station service transformerThe following equipment listed below shall remain a State owned assets:T 2 Motor operated disconnect switches (CWS‐4S1, CWS‐4S2)345kV, 1200A?, 3 phase, 60HZT Transmission structure foundationsT Transmission structures  T Transmission electrical busT Transmission electrical insulatorsT Transmission ArrestersT 138kV PTT&D 1 Control BuildingControl panels, battery and battery charger ‐ AC and DC panelboards, remote terminal unit, and communication equipmentT&D Standby GeneratorT&D Substation fenceT&D Ground GridT&D RTU and communications 1 IMC RESOLUTION NO. 22-01 Intertie Management Committee Resolution No. 22-01 Approval of Transfer of Certain State – Owned Cantwell Substation Assets INTRODUCTION The Intertie Management Committee (IMC) is responsible for the management, operation, maintenance, and improvement of the Alaska Intertie Project (Alaska Intertie), subject to the non-delegable duties of the Alaska Energy Authority (AEA). On June 23, 1988, AEA transferred AEA’s right title and interest in the Cantwell Distribution Line to Golden Valley Electric Association (GVEA). AEA and GVEA are entering into an Asset Transfer Agreement for certain other equipment in the Cantwell Substation, and are seeking the IMC’s approval. PURPOSE OF IMC RESOLUTION 22-01 This IMC Resolution 22-01 provides the consent of the IMC to the Asset Transfer Agreement of the equipment listed in attached Exhibit A. It specifically excludes certain assets identified in Exhibit A. IMC RESOLUTION NO. 22-1 WHEREAS, The Intertie Management Committee is responsible for the management, operation, maintenance, and improvement of the Alaska Intertie Project (Alaska Intertie), subject to the non-delegable duties of AEA. WHEREAS, AEA and GVEA have entered into an Asset Transfer Agreement for certain AEA owned assets listed in Exhibit A, and incorporated herein by this reference. WHEREAS, AEA and GVEA have requested that the IMC approve the proposed Asset Transfer Agreement that include certain assets and exclude other listed assets in Exhibit A. NOW, THEREFORE, IT IS RESOLVED THAT: SECTION 1. The foregoing statements and recitals are incorporated herein as if fully set forth. 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At its December 10, 2021 meeting, the BPMC approved Resolution No. 21 -02 that endorsed a plan to unconstrain the benefits of the Bradley Lake Hydroelectric Project (the “Project”) through the development of a series of projects, and related financing to increase the energy available to the Project’s utility purchases (“Purchasers”). The recent purchase by the Authority of the Sterling Substation to Quartz Creek Substation transmission line (“SSQ Line”) and its related financing is o ne of the initial steps taken by the BPMC and the Authority to resolve some of the Project’s transmission-related issues. Shovel-ready projects like the SSQ Line are designed to optimize the use of the Project with the goal being to minimize costs and stabilize rates for consumers while providing jobs and other economic development opportunities from the Kenai to Fairbanks; without a burden on the State’s budget. The BPMC and the Authority have determined that it is in the best interest of the Project, the Purchasers and the customers served by the Project to advance pay certain debt obligations on the SSQ Line transaction. PURPOSE OF BPMC RESOLUTION 22-03 BPMC Resolution 22-03 sets forth the intent of the BPMC to allow the prepayment of certain debt obligations that were necessary to purchase the SSQ Line. BPMC RESOLUTION NO. 22-03 WHEREAS, the Bradley Lake Project Management Committee (“BPMC”) receives its authority under the Bradley Lake Hydroelectric Project A greement for the Sale and Purchase of Electric Power (“Power Sales Agreement”). Page 2 of 3 – BPMC RESOLUTION 22-03 PROVIDING FOR ADVANCED PAYMENT FOR REQUIRED PROJECT WORK WHEREAS, the BPMC is responsible for the management, operation, maintenance, and improvement of the Bradley Lake Hydroelectric Project (the “Project”), subject to the non-delegable duties of the Alaska Energy Authority (the “Authority”). WHEREAS, the Project provides some of the lowest cost renewable energy on the Railbelt Electric System (“System”). WHEREAS, the BPMC has determined that it is prepared to take specific steps in order to begin the improvements and upgrades to the System that will cost effectively enable the development of resources that will enhance the deliverability of energy produced by the Project. WHEREAS, BPMC Resolution No. 20-05 and Resolution No. 20-06 collectively authorized the purchase of certain transmission rights and facilities including the Sterling to Quartz Creek transmission line (“SSQ Line”), which became part of the Project. WHEREAS the Department of Law (“DOL”) issued a memorandum dated November 10, 2020, and found that the definition of Required Project Work is broad enough to allow for the SSQ Line upgrades to be considered Required Project Work under the Power Sales Agreement, confirming the BPMC’s proposals. WHEREAS, the BPMC believes the transaction involving the purchase of the SSQ Line was an important initial step to enhance the deliverability of energy produced by the Project. WHEREAS, in order to advance the upgrade to the SSQ line, the BPMC considered and approved a budget amendment to its fiscal year 2022 budget providing a prepayment on the debt obligations for the SSQ Line. THEREFORE, BE IT RESOLVED THAT, the aforementioned comments and Recitals are incorporated and made part of this Resolution No. 22-03; BE IT ALSO RESOLVED THAT, Resolution 21-02 and its Recitals are incorporated into this Resolution 22-03 as if fully set forth; BE IT ALSO RESOLVED THAT, as part of the BPMC’s responsibilities for the management and improvement of the Project, the BPMC will use the funds available for essential and agreed-upon Required Project Work to fund the advanced debt payment; BE IT ALSO RESOLVED THAT, the BPMC approves the fiscal year 2022 budget amendment to provide the advanced debt payment, that such payment is considered debt service to be included in Annual Project costs, and such a payment be made before the end of fiscal year 2022; 25th MEMORANDUM State of Alaska Department of Law TO: FROM: Curtis Thayer Executive Director Alaska Energy Authority Stefan A. Saldanha Senior Assistant Attorney General Public Corporations and Governmental Affairs Section DATE: FILE NO.: TEL. NO.: SUBJECT: April 5, 2022 AN2015102406 (907) 269-6612 Bradley Lake Project - Whether early pay-down of financing for required project work can reduce excess payments to the state CONFIDENTIAL COMMUNICATION The Alaska Energy Authority (“AEA”) has asked the Department of Law how the early pay-down of financing for the Bradley Lake Hydroelectric Project (“Bradley Lake Project”) should be considered under the Power Sales Agreement (“PSA”). This is relevant for the calculation of payments to the state under the PSA (“Excess Payments”). For this question, we review the language of the PSA, legal advice provided by the legal counsel of the Bradley Project Management Committee (“BPMC”) and representations from AEA’s bond counsel. 1. Early pay-down of Financing Issue: Does the early pay-down of financing, with related fees and costs for required project work reduce Excess Payments under the PSA? In other words, may the utilities pay down the existing financing on the SQ line acquisition to avoid paying the state Excess Payments in this fiscal year? Short Answer: The PSA allows the BPMC to include debt service and related fees and costs in the annual project costs. As a result, since this debt service and the corresponding annual project costs are related to required project work, all amounts paid for the early pay-down can reduce the Excess Payments to zero pursuant to the PSA. 2. Excess payment calculation under PSA Curtis Thayer, Executive Director April 5, 2022 Re: Does the early pay-down reduce Excess Payments? Page 2 of 4 CONFIDENTIAL COMMUNICATION The PSA provides explicit rules for calculation of the Excess Payments which were intended: In recognition of the Railbelt Energy Council's commitment to continue efforts to obtain a satisfactory transmission intertie between Fairbanks and the Kenai Peninsula, and the Railbelt Energy Council's recognition of the importance of such an intertie to the well-being of the Railbelt region and the Purchasers' ratepayers, and in anticipation of legislative funding of such an Intertie.1 In addition, these payments were seen as a re-payment of the State’s appropriations totaling $163 million between 1979 and 1993 for design and construction costs of the Bradley Lake Project. As outlined in the PSA, the Excess Payments only begin once the initial project bonds are terminated and are designed to be in roughly the same annual amounts as paid by the Bradley Lake Project for the initial project bonds – “average annual debt service.” However, in recognition of certain circumstances, there are ways to reduce the Excess Payments. For example, there can be an Excess Payment reduction where the kilowatt hour rate, i.e., the power cost, from the Bradley Lake Project is high. The reduction in Excess Payments we analyze here has to do with other debt issued for the Bradley Lake Project. The PSA allows for the financing costs for certain critical, necessary, or required developments (“Required Project Work”) to reduce the Excess Payments. The language of the PSA explaining the annual calculation is there shall be added to and included in Annual Project Costs an amount (the "Excess Payment Amount") calculated as follows: (i) The average annual Debt Service on such retired Bonds, less (ii) any debt service included in Annual Project Costs that is associated with bonds or other debt issued to fund Required Project Work. In no event shall the Excess Payment Amount be negative.2 In the above section of the PSA, debt service is not a defined term, and we can use its general usage, which is according to Black’s Law Dictionary: 1. The funds needed to meet a long-term debt's annual interest expenses, principal payments, and sinking-fund contributions. 1 PSA, Sec. 29(a), p.28-29. 2 PSA, Sec. 29(b), p.29, Curtis Thayer, Executive Director April 5, 2022 Re: Does the early pay-down reduce Excess Payments? Page 3 of 4 CONFIDENTIAL COMMUNICATION 2. Payments due on a debt, including interest and principal.3 Additionally, Annual Project Costs is a defined term in the PSA meaning all of the costs resulting from the ownership, operation, maintenance of and renewals and replacements to the Project, properly incurred or paid during each Fiscal Year.4 The definition of Annual Project Costs includes a catch all: “Other amounts determined by the Committee to be necessary or appropriate to supplement and to be paid into the Funds established under the Bond Resolution.”5 3. The early pay-down with fees can reduce the Excess Payment to zero. On December 17, 2020, AEA issued $17 million in bonds to finance its transaction to purchase the Sterling to Quartz Creek transmission line (“SQ Line”) and other assets and agreements. In this case, the Department of Law concluded that this transaction was Required Project Work on May 20, 2020, and there was additionally an engineer’s opinion from EES Consulting, which supported this characterization, dated October 26, 2020. Under the financing terms for this transaction, there are several possible components to the prepayment of principal: prepaid principal, corresponding interest, prepayment fees and a make-whole premium. The make-whole premium is designed to cover the lender’s reinvestment losses. The participating utilities are proposing to make an early payment of principal, along with the corresponding fees and costs during the fiscal year ending June 30, 2022 (“FY22”). These amounts would equal the average annual debt service of $12.45 million so that the Excess Payment to the State would be zero in FY22. Based on the PSA’s language, debt service that is included in annual project costs that is associated with bonds issued to fund Required Project Work will reduce Excess Payments accordingly. It is our opinion that debt service included in Annual Project Costs as used in the PSA can also be considered to include prepayment fees and costs, assuming that the BPMC includes it in annual project costs, as allowed under the PSA. These fees are 3 Black's Law Dictionary (11th ed. 2019). 4 Sec. 8, PSA, p.13-14. 5 Sec. 8(a)(v), PSA, p.13. Curtis Thayer, Executive Director April 5, 2022 Re: Does the early pay-down reduce Excess Payments? Page 4 of 4 CONFIDENTIAL COMMUNICATION inherently part of the financing package and can be seen to be part of the servicing costs for this financing. As a result, we conclude that the early pay-down of this financing can be considered debt service that reduces the Excess Payment to zero. 4. Conclusion The early re-payments, including prepayment fees and costs, on the debt financing for the SQ line can be considered as debt service included in Annual Project Costs. Additionally, this financing funds Required Project Work on the Bradley Lake Project. So, this early payment amount could reduce the Excess Payments to zero for this fiscal year pursuant to the PSA. 813 W Northern Lights Blvd, Anchorage, AK 99503  Phone: (907) 771-3000  Fax: (907) 771-3044  Email: info@akenergyauthority.org REDUCING THE COST OF ENERGY IN ALASKA AKENERGYAUTHORITY.ORG RGYAUTHORITY.ORG Board Questions from March 3, 2022 AEA Board Meeting 1.Regarding BESS Batteries: Depreciation period for batteries. Lifespan. Battery worth Disposal Cost Attached : Grid Scale Battery Storage Article Cost Projections Article Spreadsheet of Alaska Energy Storage Systems, including Batteries and Flywheels Interesting Alaska specific data points: Homer Electric’s Soldotna BESS is rated at 96MWh/47MW. It was commissioned over the past few months and is now operating and responding to frequency deviations. Bradley Lake hydro has over 200GWh of energy storage between maximum and minimum lake levels. This is more than 2,000 as much as the Soldotna BESS. The Soldotna BESS can respond in fractions of a second, almost instantaneously, and at close to full capacity. Bradley Lake responds in minutes and at lower ramp rates. Combining these two response rates can be very valuable to Railbelt reliability and the potential for renewable energy integration. Chugach Electric anticipates installing a BESS of about 70MW capacity in the next year or two. GVEA, which installed its nominal 40MW Ni-Cad BESS in 2003, is planning an upgrade or replacement with a new lithium-ion BESS. There are more than 10 utility BESS systems in operation around Alaska, many of them funded by the Renewable Energy Fund. www.greeningthegrid.org | www.nrel.gov/usaid-partnership GRID INTEGRATION TOOLKIT Grid-Scale Battery Storage Frequently Asked Questions 1. For information on battery chemistries and their relative advantages, see Akhil et al. (2013) and Kim et al. (2018). 2. For example, Lew et al. (2013) found that the United States portion of the Western Interconnection could achieve a 33% penetration of wind and solar without additional storage resources. Palchak et al. (2017) found that India could incorporate 160 GW of wind and solar (reaching an annual renewable penetration of 22% of system load) without additional storage resources. What is grid-scale battery storage? Battery storage is a technology that enables power system operators and utilities to store energy for later use. A battery energy storage system (BESS) is an electrochemical device that charges (or collects energy) from the grid or a power plant and then discharges that energy at a later time to provide electricity or other grid services when needed. Several battery chemistries are available or under investigation for grid-scale applications, including lithium-ion, lead-acid, redox flow, and molten salt (including sodium-based chemistries).1 Battery chemistries differ in key technical characteristics (see What are key characteristics of battery storage systems?), and each battery has unique advantages and disadvantages. The current market for grid-scale battery storage in the United States and globally is dominated by lithium-ion chemistries (Figure 1). Due to tech- nological innovations and improved manufacturing capacity, lithium-ion chemistries have experienced a steep price decline of over 70% from 2010-2016, and prices are projected to decline further (Curry 2017). Increasing needs for system flexibility, combined with rapid decreases in the costs of battery technology, have enabled BESS to play an increasing role in the power system in recent years. As prices for BESS continue to decline and the need for system flexibility increases with wind and solar deployment, more policymakers, regulators, and utili- ties are seeking to develop policies to jump-start BESS deployment. Is grid-scale battery storage needed for renewable energy integration? Battery storage is one of several technology options that can enhance power system flexibility and enable high levels of renewable energy integration. Studies and real-world experience have demonstrated that interconnected power systems can safely and reliably integrate high levels of renewable energy from variable renewable energy (VRE) sources without new energy storage resources.2 There is no rule-of- thumb for how much battery storage is needed to integrate high levels of renewable energy. Instead, the appropriate amount of grid-scale battery storage depends on system-specific characteristics, including: •The current and planned mix of generation technologies •Flexibility in existing generation sources •Interconnections with neighboring power systems •The hourly, daily, and seasonal profile of electricity demand, and •The hourly, daily, and seasonal profile of current and planned VRE. In many systems, battery storage may not be the most economic resource to help integrate renewable energy, and other sources of system flexibility can be explored. Additional sources of system flexibility include, among others, building additional pumped-hydro storage or transmission, increasing conventional generation flexibility, and changing operating procedures (Cochran et al. 2014).Figure 1: U.S. utility-scale battery storage capacity by chemistry (2008-2017). Data source: U.S. Energy Information Administration, Form EIA-860, Annual Electric Generator ReportAnnual Installed CapacityChemistry Energy (MWh) Power (MW) Year Installed 0 50 100 150 200 250 '17'16'15'14'13'12'11'10'09'08 '17'16'15'14'13'12'11'10'09'08 Lithium-Ion Other Redox FlowLead-acid Sodium-based 2Grid-Scale Battery Storage: Frequently Asked Questions What are the key characteristics of battery storage systems? • Rated power capacity is the total possible instantaneous discharge capability (in kilowatts [kW] or megawatts [MW]) of the BESS, or the maximum rate of discharge that the BESS can achieve, starting from a fully charged state. • Energy capacity is the maximum amount of stored energy (in kilowatt-hours [kWh] or megawatt-hours [MWh]) • Storage duration is the amount of time storage can discharge at its power capacity before depleting its energy capacity. For example, a battery with 1 MW of power capacity and 4 MWh of usable energy capacity will have a storage duration of four hours. • Cycle life/lifetime is the amount of time or cycles a battery storage system can provide regular charging and discharging before failure or significant degradation. • Self-discharge occurs when the stored charge (or energy) of the battery is reduced through internal chemical reactions, or without being discharged to perform work for the grid or a customer. Self-discharge, expressed as a percentage of charge lost over a certain period, reduces the amount of energy available for discharge and is an important parameter to consider in batteries intended for longer-dura- tion applications. • State of charge, expressed as a percentage, represents the battery’s present level of charge and ranges from completely discharged to fully charged. The state of charge influences a battery’s ability to provide energy or ancillary services to the grid at any given time. • Round-trip efficiency, measured as a percentage, is a ratio of the energy charged to the battery to the energy discharged from the battery. It can represent the total DC-DC or AC-AC efficiency of the battery system, including losses from self-discharge and other electrical losses. Although battery manufacturers often refer to the DC-DC efficiency, AC-AC efficiency is typically more important to utilities, as they only see the battery’s charging and discharging from the point of interconnection to the power system, which uses AC (Denholm 2019). What services can batteries provide? Arbitrage: Arbitrage involves charging the battery when energy prices are low and discharging during more expensive peak hours. For the BESS operator, this practice can provide a source of income by taking advantage of electricity prices that may vary throughout the day. One extension of the energy arbitrage service is reducing renewable energy curtailment. System operators and project developers have an interest in using as much low-cost, emissions-free renewable energy generation as possible; however, in systems with a growing share of VRE, limited flexibility of conventional generators and temporal mismatches between renewable energy supply and electricity demand (e.g., excess wind 3. See Mills and Wiser (2012) for a general treatment on the concept of capacity credit. generation in the middle of the night) may require renewable generators to curtail their output. By charging the battery with low-cost energy during periods of excess renewable generation and discharging during periods of high demand, BESS can both reduce renewable energy curtailment and maximize the value of the energy developers can sell to the market. Another extension of arbitrage in power systems without electricity markets is load-leveling. With load-levelling, system opera- tors charge batteries during periods of excess generation and discharge batteries during periods of excess demand to more efficiently coordinate the dispatch of generating resources. Firm Capacity or Peaking Capacity: System operators must ensure they have an adequate supply of generation capacity to reliably meet demand during the highest-demand periods in a given year, or the peak demand. This peak demand is typically met with higher-cost generators, such as gas plants; however, depending on the shape of the load curve, BESS can also be used to ensure adequate peaking generation capacity. While VRE resources can also be used to meet this requirement, these resources do not typically fully count toward firm capacity, as their generation relies on the availability of fluctuating resources and may not always coincide with peak demand. But system operators can improve VRE’s ability to contribute to firm capacity requirements through pairing with BESS. Pairing VRE resources with BESS can enable these resources to shift their generation to be coincident with peak demand, improving their capacity value (see text box below) and system reliability.3 Operating Reserves and Ancillary Services: To maintain reliable power system operations, generation must exactly match electricity demand at all times. There are various categories of operating reserves and ancillary services that function on different timescales, from subsec- onds to several hours, all of which are needed to ensure grid reliability. BESS can rapidly charge or discharge in a fraction of a second, faster Firm Capacity, Capacity Credit, and Capacity Value are important concepts for understanding the potential contribution of utility-scale energy storage for meeting peak demand. Firm Capacity (kW, MW): The amount of installed capacity that can be relied upon to meet demand during peak periods or other high-risk periods. The share of firm capacity to the total installed capacity of a generator is known as its capacity credit (%).3 Capacity Value ($): The monetary value of the contribution of a generator (conventional, renewable, or storage) to balancing supply and demand when generation is scarce. 3Grid-Scale Battery Storage: Frequently Asked Questions than conventional thermal plants, making them a suitable resource for short-term reliability services, such as Primary Frequency Response (PFR) and Regulation. Appropriately sized BESS can also provide longer-duration services, such as load-following and ramping services, to ensure supply meets demand. Transmission and Distribution Upgrade Deferrals: The electricity grid’s transmission and distribution infrastructure must be sized to meet peak demand, which may only occur over a few hours of the year. When anticipated growth in peak electricity demand exceeds the existing grid’s capacity, costly investments are needed to upgrade equipment and develop new infrastructure. Deploying BESS can help defer or circum- vent the need for new grid investments by meeting peak demand with energy stored from lower-demand periods, thereby reducing congestion and improving overall transmission and distribution asset utilization. Also, unlike traditional transmission or distribution investments, mobile BESS installations can be relocated to new areas when no longer needed in the original location, increasing their overall value to the grid. Black Start: When starting up, large generators need an external source of electricity to perform key functions before they can begin generating electricity for the grid. During normal system conditions, this external electricity can be provided by the grid. After a system failure, however, the grid can no longer provide this power, and generators must be started through an on-site source of electricity, such as a diesel generator, a process known as black start. An on-site BESS can also provide this service, avoiding fuel costs and emissions from conventional black-start generators. As system-wide outages are rare, an on-site BESS can provide additional services when not performing black starts. Table 1 below summarizes the potential applications for BESS in the electricity system, as well as whether the application is currently valued in U.S. electricity markets (Denholm 2018). Figure 2 shows the cumulative installed capacity (MW) for utility-scale storage systems in the United States in 2017 by the service the systems provide. Where should batteries be located? Utility-scale BESS can be deployed in several locations, including: 1) in the transmission network; 2) in the distribution network near load centers; or 3) co-located with VRE generators. The siting of the BESS has important implications for the services the system can best provide, and the most appropriate location for the BESS will depend on its intended-use case. In many cases, a BESS will be technically capable of providing a broad range of services in any of the locations described in the next section. Therefore, when siting storage, it is important to analyze the costs and benefits of multiple locations to determine the optimal siting to meet system needs. Considering all combinations of services the BESS can provide at each potential site will provide a better understanding of the expected revenue streams (see What is value-stacking?) and impact on the grid. In the Transmission Network BESS interconnected to the transmission system can provide a broad range of ancillary and transmission-related services. These systems can be deployed to replace or defer investments of peaking capacity, provide operating reserves to help respond to changes in generation and demand, or they can be used to defer transmission system upgrades in regions experiencing congestion from load or generation growth. Figure 3 below shows the configuration of a utility-scale storage system interconnected at the transmission substation level. In the Distribution Network Near Load Centers Storage systems located in the distribution network can provide all of the services as transmission-sited storage, in addition to several services related to congestion and power quality issues. In many areas, it may be difficult to site a conventional generator near load in order to provide peaking capacity, due to concerns about emissions or land use. Due to their lack of local emissions and their scalable nature, BESS systems can be co-located near load with fewer siting challenges than conventional generation. Placing storage near load can reduce transmission and distribution losses and relieve congestion, helping defer transmission and distribution upgrades. Distribution-level BESS systems can also provide local power quality services and support improved resilience during extreme weather events. Most storage systems in the United States provide operating reserves and ancillary services. Despite this current focus, the total U.S. market for these services is limited, and utility-scale storage may begin providing more firm and peak capacity in the near future. Nameplate Capacity 0 100 200 300 400 500 600 Operating Reserves and Ancillary Services Arbitrage, RE Curtailment Reduction and Load-levelling Firm Capacity or Peaking Capacity Transmission and Distribution Upgrade Deferrals Black Start Figure 2: U.S. Utility-scale battery storage capacity by service. Data source: U.S. Energy Information Administration, Form EIA-860, Annual Electric Generator Report 4Grid-Scale Battery Storage: Frequently Asked Questions Co-Located with VRE Generators Renewable resources that are located far from load centers may require transmission investments to deliver power to where it is needed. Given the variable nature of VRE resources, the transmission capacity used to deliver the power may be underutilized for large portions of the year. A BESS can reduce the transmission capacity needed to integrate these resources and increase the utilization of the remaining capacity by using storage to charge excess generation during periods of high resource availability and discharge during periods of low resource availability. The same BESS can be used to reduce the curtailment of VRE gen- eration, either due to transmission congestion or a lack of adequate demand, as well as provide a broad range of ancillary services. What is value-stacking? What are some examples of value-stacking opportunities and challenges? BESS can maximize their value to the grid and project developers by providing multiple system services. As some services are rarely called for (i.e., black start) or used infrequently in a given hour (i.e., spinning reserves), designing a BESS to provide multiple services enables a higher overall battery utilization. This multi-use approach to BESS is known as value-stacking. For example, a BESS project can help defer the need for new transmission by meeting a portion of the peak demand with stored energy during a select few hours in the year. When not meeting peak demand, the BESS can earn revenue by providing operating reserve services for the transmission system operator. Table 1: Applications of Utility-Scale Energy Storage Application Description Duration of Service Provision Typically Valued in U.S. Electricity Markets? Arbitrage Purchasing low-cost off-peak energy and selling it during periods of high prices. Hours Yes Firm Capacity Provide reliable capacity to meet peak system demand. 4+ hours Yes, via scarcity pricing and capacity markets, or through resource adequacy payments. Operating Reserves • Primary Frequency Response Very fast response to unpredictable variations in demand and generation. Seconds Yes, but only in a limited number of markets. • Regulation Fast response to random, unpredictable variations in demand and generation. 15 minutes to 1 hour Yes • Contingency Spinning Fast response to a contingency such as a generator failure. 30 minutes to 2 hours Yes • Replacement/ Supplemental Units brought online to replace spinning units. Hours Yes, but values are very low. • Ramping/Load Following Follow longer-term (hourly) changes in electricity demand. 30 minutes to hours Yes, but only in a limited number of markets. Transmission and Distribution Replacement and Deferral Reduce loading on T&D system during peak times. Hours Only partially, via congestion prices. Black-Start Units brought online to start system after a system-wide failure (blackout). Hours No, typically compensated through cost-of-service mechanisms. 5Grid-Scale Battery Storage: Frequently Asked Questions Some system services may be mutually exclusive depending on the BESS design (e.g., a short duration storage device used to supply regulating reserves would have limited value for deferring transmission or distribution upgrades). Even if a BESS is technically capable of pro- viding multiple services, the additional cycling of the battery (charging and discharging) may degrade the battery and shorten its lifetime and economic viability. Finally, a BESS can only provide a limited duration of any set of services before it runs out of charge, which means batteries must prioritize the services they provide.4 Regulators have a variety of options to enable BESS to maximize its economic potential through val ue-stacking. For example, the California Public Utilities Commission (CPUC) developed categories of services BESS can provide based on their importance for reliability and location on the grid, as well as 12 rules for utilities when procuring services from BESS (CPUC 2018). The CPUC rules: • Dictate that BESS projects can only provide services at the voltage level to which they are interconnected or higher, but not lower5; • Prioritize reliability services over non-reliability services and ensure storage cannot contract for additional services that would interfere with any obligation to provide reliability services; • Require that a BESS project comply with all performance and avail- ability requirements for services it provides and that noncompliance penalties be communicated in advance; • Require that a BESS project inform the utility of any services it currently provides or intends to provide; and • Take measures to prevent double compensation to BESS projects for services provided. 4. ANSI C84.1: Electric Power Systems and Equipment–Voltage Ratings (60 Hz) defines a low-voltage system as having a nominal voltage less than 1 kV and medium voltage as having a nominal voltage between 1 kV and 100 kV. 5. BESS interconnected at the distribution level can provide distribution or transmission level services, but BESS interconnected at the transmission level can only provide transmission-level services. These CPUC rules are just one example of how regulators can help ensure BESS projects can select the most cost-effective combinations of services to provide without negatively impacting the reliability of the grid. How are BESS operators compensated? BESS operators can be compensated in several different ways, including in the wholesale energy market, through bilateral contracts, or directly by the utility through a cost-of-service mechanism. In a wholesale energy market, the BESS operator submits a bid for a specific service, such as operating reserves, to the market operator, who then arranges the valid bids in a least-cost fashion and selects as many bids as necessary to meet the system’s demands. If the BESS operator’s bid is selected and the BESS provides the service, the operator will receive compensation equal to the market price. This process ensures transparent prices and technology-agnostic consideration; however, many services are currently not available in the market, such as black start or transmission and distribution upgrade deferrals. Alternatively, BESS operators can enter into bilateral contracts for services directly with energy consumers, or entities which procure energy for end-con- sumers. This process does not ensure transparency and contracts can differ widely in both prices and terms. Finally, some BESS are owned directly by the utilities to whom they provide services, such as upgrade deferrals. In these cost-of-service cases, the utility pays the BESS operator at the predetermined price and recovers the payments through retail electricity rates. In some jurisdictions, however, BESS may be prevented from extracting revenues through both wholesale markets and cost-of-service agreements (Bhatnagar et al. 2013). - + batteries =~~~ inverter/charger set-up transformer tie-line status info BMS* *Battery Management System systemoperator set points DC LV AC MV AC Figure 3: Key components of BESS interconnected at the transmission substation level. LV AC represents a low-voltage AC connection, while MV AC represents a medium-voltage AC connection.4 Source: Denholm (2019) 6Grid-Scale Battery Storage: Frequently Asked Questions How does the value of batteries change with renewable energy deployment and increased VRE penetration? The amount of renewable energy on the grid can influence the value and types of the services provided by a BESS. Increased levels of renewable energy may increase the need for frequency control services to manage increased variability and uncertainty in the power system. Increased levels of VRE penetration can also change the shape of the net load, or the load minus the VRE generation, influencing BESS projects that provide load following, arbitrage, peaking capacity, or similar services. Models of the California system have shown a strong relationship between solar PV deployment and BESS’ ability to replace conventional peaking capacity, also known as the BESS capacity credit (Denholm and Margolis 2018). As the shape of the load curve affects the ability of storage to provide peaking capacity, resources such as PV that cause load peaks to be shorter will enable shorter duration batteries, which are less expensive, to displace conventional peaking capacity. Initially, low levels of PV penetration may flatten the load curve, reducing BESS’ ability to cost-effectively offset the need for conventional peaking plants.6 At higher levels of solar PV penetration, however, the net load curve becomes peakier, increasing the ability and value of BESS to reduce peak demand. Figure 4 illustrates how increasing levels of PV generation change the shape of the net load, causing it to become peakier. The shaded areas above and under the net load curves indicate BESS charging and discharging, while the text boxes show the amount of net load peak reduction (MW) and the total amount of energy met by BESS during the net load peak (MWh). 6. This is demonstrated by Denholm and Margolis (2018) for the California system. What are the key barriers to BESS deployment? Barriers to energy storage deployment can be broadly grouped into three different categories: regulatory barriers, market barriers, and data and analysis capabilities. 1. Regulatory Barriers • Lack of rules and regulations to clarify the role of BESS. Although storage may be technically able to provide essential grid services, if no regulations or guidelines explicitly state that storage can provide these services, utilities and market operators may be unwilling to procure services from BESS. Furthermore, without a guarantee that services provided by a BESS project will be compensated, storage developers and financing institutions may be unwilling to make the necessary capital investments. Federal Energy Regulatory Commission (FERC) Order 841 addressed this issue in U.S. wholesale markets and directed market operators to develop rules governing storage’s participation in energy, capacity, and ancillary service markets. Among other requirements, the rules must ensure open and equal access to the market for storage systems, taking into consideration their unique operating and technical characteristics (FERC 2018). • Restrictions or lack of clarity around if and how storage can be used across generation, transmission, and distribution roles. The variety of different services storage can provide often cuts across multiple markets and compensation sources. For instance, frequency regulation may be compensated in a wholesale market, but transmission or distribution investment deferrals may be compensated as a cost of service by the utility or system operator. In some jurisdictions, providing services across different compensation sources is restricted by regulation. Limiting the services batteries can provide based on where the service is provided or how it is compensated can influence how often they are utilized and whether they remain an economic investment (Bhatnagar 2013). 2. Market Barriers • Lack of markets for system services. A lack of markets for services that batteries are uniquely suited to provide can make it difficult for developers to include them as potential sources of income when making a business case, deterring investment. For example, in most U.S. Independent System Operator (ISO) markets, generators are currently expected to provide inertial and governor response during frequency excursions without market compensation. Although BESS can provide the same services, currently there is no way for BESS to seek market compensation for doing so. Furthermore, the price formation for a service may have evolved for conventional generators, meaning the presence 0 6 12 18 24 60,000 50,000 Net Demand (MW)Hour of Day 40,000 30,000 20,000 10,000 0 PV Penetration 0% PV 20% PV 10,385 MWh, 4296 MW 4,841 MWh, 2019 MW Figure 4: Change in California net load shape due to PV. Adapted from Denholm and Margolis (2018) 7Grid-Scale Battery Storage: Frequently Asked Questions of batteries in the market could distort prices, affecting storage systems and conventional generators alike (Bhatnagar 2013). • Lack of discernment in quality and quantity of services procured. For some services, such as frequency regulation, the speed and accuracy of the response is correlated to its overall value to the system. Battery systems can provide certain services much faster and more accurately than conventional resources, which may not be reflected in compensation for the service. Markets can provide fair compensation to BESS by aligning compensation schemes with the quality of service provided, as is mandated by FERC Order 755, which requires compensation for frequency regulation that reflects “the inherently greater amount of frequency regulation service being provided by faster-ramping resources” (FERC 2011). Similarly, BESS can be uniquely suited to provide up- or down-regulation, given their larger operating range over which to provide regulating reserves (due to their lack of a minimum stable level and ability to provide up- and down-regulation in excess of their nameplate capacity, based on whether they are charging or discharging) (Denholm 2019). These unique features of BESS are not necessarily reflected in the procurement requirements and compensation of such services, diminishing BESS’ economic viability. 3. Data and Analysis Capabilities Battery storage systems are an emerging technology that exhibit more risk for investors than conventional generator investments. These risks include the technical aspects of battery storage systems, which may be less understood by stakeholders and are changing faster than for other technologies, as well as potential policy changes that may impact incentives for battery deployment. Given the relatively recent and limited deployment of BESS, many stakeholders may also be unaware of the full capabilities of storage, including the ability of a BESS to provide multiple services at both the distribution and transmission level. At the same time, traditional analysis tools used by utilities may be inadequate to fully capture the value of BESS. For example, production cost models typically operate at an hourly resolution, which does not capture the value of BESS’ fast-ramping capa- bilities. The gaps in data and analysis capabilities and lack of adequate tools can deter investments and prevent battery storage from being considered for services that can be provided by better understood conventional generators (Bhatnagar et al. 2013). What are some real-world examples of batteries providing services and value- stacking? There are several deployments of BESS for large-scale grid applications. One example is the Hornsdale Power Reserve, a 100 MW/129 MWh lithium-ion battery installation, the largest lithium-ion BESS in the world, which has been in operation in South Australia since December 2017. The Hornsdale Power Reserve provides two distinct services: 1) energy arbitrage; and 2) contingency spinning reserve. The BESS can bid 30 MW and 119 MWh of its capacity directly into the market for energy arbitrage, while the rest is withheld for maintaining grid frequency during unexpected outages until other, slower generators can be brought online (AEMO 2018). In 2017, after a large coal plant tripped offline unexpectedly, the Hornsdale Power reserve was able to inject several megawatts of power into the grid within milliseconds, arresting the fall in grid frequency until a gas generator could respond. By arresting the fall in frequency, the BESS was able to prevent a likely cascading blackout. Another example of value-stacking with grid-scale BESS is the Green Mountain Power project in Vermont. This 4 MW lithium-ion project began operation in September 2015 and is paired with a 2 MW solar installation. The installation provides two primary functions: 1) backup power and micro-grid capabilities; and 2) demand charge reductions. The solar-plus-storage system enables the utility to create a micro-grid, which provides power to a critical facility even when the rest of the grid is down. The utility operating the BESS also uses it to reduce two demand charges: an annual charge for the regional capacity market and a monthly charge for the use of transmission lines. Sandia National Laboratories estimated that reducing the annual demand charge for a single year saved the utility over $200,000 (Schoenung 2017). References AEMO (Australian Energy Market Operator). Hornsdale Wind Farm 2 FCAS Trial. Knowledge Sharing Paper. Melbourne, Australia: AEMO. https://www.aemo.com.au/-/media/Files/Electricity/NEM/Strategic- Partnerships/2018/HWF2-FCAS-trial-paper.pdf. Akhil, Abbas, Georgianne Huff, Aileen Currier, Benjamin Kaun, Dan Rastler, Stella Bingquing Chen, Andrew Cotter, et al. Electricity Storage Handbook. SAND2013-5131. DOE, EPRI, NRECA. July 2013. https:// www.sandia.gov/ess-ssl/lab_pubs/doeepri-electricity-storage-handbook/. Bhatnagar, Dhruv, Aileen Currier, Jacquelynne Hernandez, Ookie Ma, and Kirby Brendan. Market and Policy Barriers to Energy Storage Deployment. SAND2013-7606. Albuquerque, NM: Sandia National Laboratories. September 2013. https://www.sandia.gov/ess-ssl/publica- tions/SAND2013-7606.pdf. Cochran, Jaquelin, Mackay Miller, Owen Zinaman, Michael Milligan, Doug Arent, Bryan Palmintier, Mark O’Malley, et al. “Flexibility in 21st Century Power Systems.” NREL/TP-6A20-61721. 21st Century Power Partnership. Golden, CO: NREL. May 2014. https://www.nrel.gov/docs/ fy14osti/61721.pdf. CPUC (California Public Utilities Commission). Decision on Multiple-Use Application Issues. Rulemaking 15-03-011. January 17, 2018. http://docs.cpuc.ca.gov/PublishedDocs/Published/G000/M206/ K462/206462341.PDF. Curry, Claire. “Lithium-Ion Battery Costs and Market.” Market Report. Bloomberg New Energy Finance. July 5, 2017. https://data.bloomberglp. com/bnef/sites/14/2017/07/BNEF-Lithium-ion-battery-costs-and- market.pdf. 8Grid-Scale Battery Storage: Frequently Asked Questions Jennifer E. Leisch, Ph.D. USAID-NREL Partnership Manager U.S. Agency for International Development Tel: +1-303-913-0103 | Email: jleisch@usaid.gov Ilya Chernyakhovskiy Energy Analyst National Renewable Energy Laboratory Tel: +1-303-275-4306 Email: ilya.chernyakhovskiy@nrel.gov The Grid Integration Toolkit provides state-of-the-art resources to assist developing countries in integrating variable renewable energy into their power grids. Greening the Grid is supported by the U.S. Agency for International Development. The USAID-NREL Partnership addresses critical challenges to scaling up advanced energy systems through global tools and technical assistance, including the Renewable Energy Data Explorer, Greening the Grid, the International Jobs and Economic Development Impacts tool, and the Resilient Energy Platform. More information can be found at: www.nrel.gov/usaid-partnership. www.greeningthegrid.org | www.nrel.gov/usaid-partnership This work was authored, in part, by the National Renewable Energy Laboratory (NREL), operated by Alliance for Sustainable Energy, LLC, for the U.S. Department of Energy (DOE) under Contract No. DE-AC36-08GO28308. Funding provided by the United States Agency for International Development (USAID) under Contract No. IAG-17-2050. The views expressed in this report do not necessarily represent the views of the DOE or the U.S. Government, or any agency thereof, including USAID. Denholm, Paul. “Greening the Grid: Utility-Scale Battery Storage.” Webinar. Clean Energy Solutions Center. February 28, 2019. https://cleanenergysolutions.org/training/ greening-grid-utility-scale-battery-storage. Denholm, Paul. “Batteries and Storage: Truly a Game Changer?” presented at the JISEA 2018 Annual Meeting in Golden, CO. April 4, 2018. https://www.jisea.org/assets/pdfs/denholm-jisea-2018.pdf. Denholm, Paul, and Robert Margolis. The Potential for Energy Storage to Provide Peaking Capacity in California under Increased Penetration of Solar Photovoltaics. NREL/TP-6A20-70905. Golden, CO: NREL. March 2018. https://www.nrel.gov/docs/fy18osti/70905.pdf. FERC. Electric Storage Participation in Markets Operated by Regional Transmission Organizations and Independent System Operators. Order No. 841. Issued February 15, 2018. https://www.ferc.gov/whats-new/ comm-meet/2018/021518/E-1.pdf. FERC. Frequency Regulation Compensation in the Organized Wholesale Power Markets. Order No. 755. Issued October 20, 2011. https://www. ferc.gov/whats-new/comm-meet/2011/102011/E-28.pdf. Kim, Dae Kyeong, Susumu Yoneoka, Ali Zain Banatwala, and Yu-Tack Kim. Handbook on Battery Energy Storage System. Manila, Philippines: Asian Development Bank. December 2018. https://www.adb.org/ publications/battery-energy-storage-system-handbook. Lew, D., G. Brinkman, E. Ibanez, A. Florita, M. Heaney, B.-M. Hodge, M. Hummon, et al. The Western Wind and Solar Integration Study Phase 2. NREL/TP-5500-55588. Golden, CO: NREL. September 2013. https:// www.nrel.gov/docs/fy13osti/55588.pdf. Mills, Andrew, and Ryan Wiser. Changes in the Economic Value of Variable Generation at High Penetration Levels: A Pilot Case Study of California. LBNL-5445E. Berkeley, CA: Lawrence Berkeley National Laboratory. June 2012. https://emp.lbl.gov/sites/all/files/lbnl-5445e.pdf. Palchak, David, Jaquelin Cochran, Ali Ehlen, Brendan McBennett, Michael Milligan, Ilya Chernyakhovskiy, Ranjit Deshmukh, et al. Pathways to Integrate 175 Gigawatts of Renewable Energy into India’s Electric Grid, Vol. I—National Study. Golden, CO: NREL. June 2017. https://www.nrel.gov/docs/fy17osti/68530.pdf. Schoenung, Susan, Raymond H. Byrne, Todd Olinsky-Paul, and Daniel R. Borneo. Green Mountain Power (GMP): Significant Revenues from Energy Storage. Albuquerque, NM: Sandia National Laboratories. May 2017. https://www.sandia.gov/ess-ssl/publications/SAND2017-6164.pdf. Written by Thomas Bowen, Ilya Chernyakhovskiy, Paul Denholm, National Renewable Energy Laboratory NREL/TP-6A20-74426 | September 2019 NREL prints on paper that contains recycled content. NREL is a national laboratory of the U.S. Department of Energy Office of Energy Efficiency & Renewable Energy Operated by the Alliance for Sustainable Energy, LLC This report is available at no cost from the National Renewable Energy Laboratory (NREL) at www.nrel.gov/publications. Contract No. DE-AC36-08GO28308 Technical Report NREL/TP-6A20-75385 June 2020 Cost Projections for Utility-Scale Battery Storage: 2020 Update Wesley Cole and A. Will Frazier National Renewable Energy Laboratory NREL is a national laboratory of the U.S. Department of Energy Office of Energy Efficiency & Renewable Energy Operated by the Alliance for Sustainable Energy, LLC This report is available at no cost from the National Renewable Energy Laboratory (NREL) at www.nrel.gov/publications. Contract No. DE-AC36-08GO28308 National Renewable Energy Laboratory 15013 Denver West Parkway Golden, CO 80401 303-275-3000 • www.nrel.gov Technical Report NREL/TP-6A20-75385 June 2020 Cost Projections for Utility-Scale Battery Storage: 2020 Update Wesley Cole and A. Will Frazier National Renewable Energy Laboratory Suggested Citation Cole, Wesley, and A. Will Frazier. 2020. Cost Projections for Utility-Scale Battery Storage: 2020 Update. Golden, CO: National Renewable Energy Laboratory. NREL/TP-6A20-75385. https://www.nrel.gov/docs/fy20osti/75385.pdf NOTICE This work was authored by the National Renewable Energy Laboratory, operated by Alliance for Sustainable Energy, LLC, for the U.S. Department of Energy (DOE) under Contract No. DE-AC36-08GO28308. Funding provided by the U.S. Department of Energy Office of Energy Efficiency and Renewable Energy Solar Energy Technologies Office. The views expressed herein do not necessarily represent the views of the DOE or the U.S. Government. This report is available at no cost from the National Renewable Energy Laboratory (NREL) at www.nrel.gov/publications. U.S. Department of Energy (DOE) reports produced after 1991 and a growing number of pre-1991 documents are available free via www.OSTI.gov. Cover Photos by Dennis Schroeder: (clockwise, left to right) NREL 51934, NREL 45897, NREL 42160, NREL 45891, NREL 48097, NREL 46526. NREL prints on paper that contains recycled content. iii This report is available at no cost from the National Renewable Energy Laboratory at www.nrel.gov/publications. Acknowledgments We are grateful to ReEDS modeling team for their input on this work. We also thank David Feldman (NREL), Ryan Hledik (Brattle), Cara Marcy (EPA), Vignesh Ramasamy (NREL), and Daniel Steinberg (NREL) for providing input and feedback on this report. This report was jointly funded by the EERE Office of Strategic Programs, Solar Energy Technologies Office, Water Power Technology Office, and Wind Energy Technology Office, under contract number DE- AC36-08GO28308. All errors and omissions are the sole responsibility of the authors. iv This report is available at no cost from the National Renewable Energy Laboratory at www.nrel.gov/publications. Executive Summary In this work we describe the development of cost and performance projections for utility-scale lithium-ion battery systems, with a focus on 4-hour duration systems. The projections are developed from an analysis of 19 publications that consider utility-scale storage costs. The suite of publications demonstrates varied cost reductions for battery storage over time. Figure ES-1 shows the low, mid, and high cost projections developed in this work (on a normalized basis) relative to the published values. Figure ES-2 shows the overall capital cost for a 4-hour battery system based on those projections, with storage costs of $144/kWh, $208/kWh, and $293/kWh in 2030 and $88/kWh, $156/kWh, and $219/kWh in 2050. Battery variable operations and maintenance costs, lifetimes, and efficiencies are also discussed, with recommended values selected based on the publications surveyed. Figure ES-1. Battery cost projections for 4-hour lithium-ion systems, with values relative to 2019. The high, mid, and low cost projections developed in this work are shown as the bolded lines. Figure ES-2. Battery cost projections for 4-hour lithium ion systems. 0 0.2 0.4 0.6 0.8 1 2015 2020 2025 2030 2035 2040 2045 20504-hr Battery Cost Projections (relative to 2019)High Mid Low Published Values 0 50 100 150 200 250 300 350 400 450 2015 2020 2025 2030 2035 2040 2045 20504-hour Battery Capital Cost (2019$/kWh)High Mid Low v This report is available at no cost from the National Renewable Energy Laboratory at www.nrel.gov/publications. Table of Contents 1 Background ........................................................................................................................................... 1 2 Methods ................................................................................................................................................. 1 3 Results and Discussion ....................................................................................................................... 4 4 Summary ............................................................................................................................................. 11 References ................................................................................................................................................. 12 Appendix .................................................................................................................................................... 14 List of Figures Figure ES-1. Battery cost projections for 4-hour lithium-ion systems, with values relative to 2019. ......... iv Figure ES-2. Battery cost projections for 4-hour lithium ion systems. ........................................................ iv Figure 1. Battery cost projections for 4-hour lithium-ion systems, with values relative to 2019. ................ 5 Figure 2. Battery cost projections for 4-hour lithium ion systems. ............................................................... 6 Figure 3. Battery cost projections developed in this work (bolded lines) relative to published cost projections. ............................................................................................................................... 7 Figure 4. Current battery storage costs from studies published in 2018 or later. .......................................... 8 Figure 5. Cost projections for power (left) and energy (right) components of lithium-ion systems. ............ 9 Figure 6. Cost projections for 2-, 4-, and 6-hour duration batteries using the mid cost projection. ............. 9 Figure 8. Comparison of cost projections developed in this report (solid lines) against the values from the 2019 cost projection report (Cole and Frazier 2019) (dashed lines). ..................................... 15 Figure 9. Comparison of cost projections developed in this report (solid lines) the values from the 2019 cost projection report (Cole and Frazier 2019) (dashed lines), with all values normalized to the “Mid” cost projection in the year 2019. ........................................................................... 15 List of Tables Table 1. List of publications used in this study to determine battery cost and performance projections. .... 1 Table 2. Values from Figure 1 and Figure 2, which show the normalized and absolute storage costs over time. Storage costs are overnight capital costs for a complete 4-hour battery system. .......... 14 1 This report is available at no cost from the National Renewable Energy Laboratory at www.nrel.gov/publications. 1 Background Battery storage costs have changed rapidly over the past decade. In 2016, the National Renewable Energy Laboratory (NREL) published a set of cost projections for utility-scale lithium-ion batteries (Cole et al. 2016). Those 2016 projections relied heavily on electric vehicle battery projections because utility-scale battery projections were largely unavailable for durations longer than 30 minutes. In 2019, battery cost projections were updated based on publications that focused on utility-scale battery systems (Cole and Frazier 2019). This report updates the cost projections published in 2019. The projections in this work focus on utility-scale lithium-ion battery systems for use in capacity expansion models. NREL utilizes the Regional Energy Deployment System (ReEDS) (Cohen et al. 2019) and the Resource Planning Model (RPM) (Mai et al. 2013) for capacity expansion modeling, and the battery cost projections developed here are designed to be used in those models. Additionally, the projections are intended to inform the cost projections published in the Annual Technology Baseline (NREL 2019). 2 Methods The cost and performance projections developed in this work use a literature-based approach in which projections are generally based on the low, median, and highest values from the literature. Table 1 lists 19 publications that are used in this work, though the projections rely primarily on those published in 2018 or 2019. Table 1. List of publications used in this study to determine battery cost and performance projections. Author or Organization Citation Avista Avista (2017) BNEF BNEF (2019) Brattle Hledik et al. (2018) CAISO Energy and Environmental Economics, Inc. (2017) DNV GL DNV GL (2017) EIA EIA (2020) EPRI EPRI (2018) IEA IEA (2019) IRENA IRENA (2017) Lazard Lazard (2018) and Lazard (2019) Navigant Navigant (2017) NIPSCO NIPSCO (2018) NYSERDA NYSERDA (2018) Platt River Power Authority Aquino et al. (2017) PNNL Mongird et al. (2019) PSE PSE (2017) Schmidt et al. Schmidt et al. (2019) Wood Mackenzie Wood Mackenzie & Energy Storage Association (2019) 2 This report is available at no cost from the National Renewable Energy Laboratory at www.nrel.gov/publications. There are a number of challenges inherent in developing cost and performance projections based on published values. First among those is that the definition of the published values is not always clear. For example, dollar year, duration, depth-of-discharge, lifetime, and O&M are not always defined in the same way (or even defined at all) for a given set of values. As such, some of the values presented here required interpretation from the sources specified. Second, many of the published values compare their published projection against projections produced by others, and it is unclear how much the projections rely upon one-another. Thus, if one projection is used to inform another, that projection might artificially bias our results (toward that particular projection) more than others. Third, because of the relatively limited dataset for actual battery systems and the rapidly changing costs, it is not clear how different battery projections should be weighted. For example, should projections published in 2018 be given higher weight than those published in 2016? Or are some organizations better at making projections and therefore should be given higher weight? In the interest of providing a neutral survey of the current literature, all cost projections included in this report are weighted equally. Only storage projections published in 2017 or later were considered. Many of the newest projections, however, are simply a compilation of older projections (just like this report). For example, Comello and Reichelstein (2019) relies on publications produced in 2017 or earlier, and Nian, Jindal, an Li (2019) use Cole et al. (2016) and IRENA (2017) for their cost projections. Thus, many of the latest papers with cost projections would create known redundancies (per the second challenge listed above) and were therefore excluded from this work. All cost values were converted to 2019$ using the consumer pricing index. In cases where the dollar year was not specified, the dollar year was assumed to be the same as the publication year. We only used projections for 4-hour lithium-ion storage systems. We define the 4-hour duration as the output duration of the battery, such that a 4-hour device would be able to discharge at rated power capacity for 4-hours. In practice that would mean that the device would charge for more than 4 hours and would nominally hold more than its rated energy capacity in order to compensate for losses during charge and discharge. We report our price projections as a total system overnight capital cost expressed in units of $/kWh. However, not all components of the battery system cost scale directly with the energy capacity (i.e., kWh) of the system (Feldman et al. Forthcoming). For example, the inverter costs scale according to the power capacity (i.e., kW) of the system, and some cost components such as the developer costs can scale with both power and energy. By expressing battery costs in $/kWh, we are deviating from other power generation technologies such as combustion turbines or solar photovoltaic plants where capital costs are usually expressed as $/kW. We use the units of $/kWh because that is the most common way that battery system costs have been expressed in published material to date. The $/kWh costs we report can be converted to $/kW costs simply by multiplying by the duration (e.g., a $300/kWh, 4-hour battery would have a power capacity cost of $1200/kW). To develop cost projections, storage costs were normalized to their 2019 value such that each projection started with a value of 1 in 2019. We chose to use normalized costs rather than absolute costs because systems were not always clearly defined in the publications. For example, it is not clear if a system is more expensive because it is more efficient and has a longer lifetime, 3 This report is available at no cost from the National Renewable Energy Laboratory at www.nrel.gov/publications. or if the authors simply anticipate higher system costs. With the normalized method, many of the difference matter to a lesser degree. Additionally, as will be shown in the results section, the 2019 benchmark cost that we have chosen for our current cost of storage is lower than nearly all the 2019 costs for projections published in 2017. By using normalized costs, we can more easily use these 2017 projections to inform cost reductions from our lower initial point. If a publication began its projections after 2019, the 2019 value was estimated using linear extrapolation from the nearest value. For example, if the 2020 price was $500/kWh and the 2021 price was $480/kWh, then the 2019 price was assumed to be $520/kWh. Because projections tend to have more rapid declines in the early years, the linear approach will tend to underestimate the 2019 value, which in turn will overestimate the normalized values. If publications only provided values for specific years (e.g., 2018, 2020, and 2030), linear interpolation was used to fill in values for in-between years in order to create yearly projections.1 In order to define our low, mid, and high projections, we only considered cost projections published in 2018 and later. Projections published in 2017 are still shown in many figures in the results section, and we used the 2017-vintage data as a benchmark for the projections that we developed. We felt that the later vintage publications would provide a better assessment on anticipated storage cost reductions than those published in earlier years. We defined our low, mid, and high projections as the minimum, median, and maximum point, respectively in 2020, 2025, and 2030. Defining the 2050 points was more challenging because only four datasets extended to 2050. Of the three datasets, they showed a 19%, 25%, 27%, and 39% cost reduction from 2030 to 2050. The 39% reduction was used from the low case, while 25% was used for the mid and high cases. In other words, the low case was assumed to decline by 39% from 2030 to 2050, while the mid and high cases were assumed to decline by 25% from 2030 to 2050. Points in between 2018, 2020, 2025, 2030, and 2050 were set based on linear interpolation between years with values assigned. To convert these normalized low, mid, and high projections into cost values, the normalized values were multiplied by the 4-hour battery storage cost from Feldman et al. (Forthcoming) to produce 4-hour battery systems costs. To estimate the costs for other storage durations (i.e., durations other than 4 hours), we assign separate energy costs and power costs such that Total Cost ($/kWh) = Energy Cost ($/kWh) + Power Cost ($/kW) / Duration (hr) To break apart the total cost into energy and power components, we used the 4-hour and 2-hour cost estimates from Feldman et al. (Forthcoming). By using the total cost for two distinct durations, we could calculate the energy and power costs. We could also check these energy and power costs against the 1-hour and 0.5-hour cost estimates that were also included in Feldman et 1 There was one exception to this linear interpolation. Because the projection from Schmidt et al. (2019) drove some of the low-cost projection in this work, we interpolated their values using a fourth-order polynomial in order to get a better estimates for their pre-2035 values. 4 This report is available at no cost from the National Renewable Energy Laboratory at www.nrel.gov/publications. al. (Forthcoming). We assume that the relative cost reductions developed for the total battery system cost apply equally to the energy and power components of the battery. The method employed in this work relies solely on literature projections. It does not take into account other factors that might impact costs over time, such as materials availability, market size, and policy factors. Unless these and other factors are not captured in the work surveyed, then they will not be reflected in the projection produced here. 3 Results and Discussion The normalized cost trajectories with the low, mid, and high projections are shown in Figure 1. The high projection follows the highest cost trajectory (of 2018 vintage or newer) through 2030. It then receives the 25% cost reduction from 2030 through 2050 as described in the methods section. The mid and low projections have initial slopes being steeper than later slopes, indicating that most publications see larger cost reductions in the near-term that then slow over time. By 2030, costs are reduced by 63%, 47%, and 26% in the low, mid, and high cases, respectively, and by 2050 are reduced by 78%, 60%, and 44%, respectively. 5 This report is available at no cost from the National Renewable Energy Laboratory at www.nrel.gov/publications. Figure 1. Battery cost projections for 4-hour lithium-ion systems, with values relative to 2019. The high, mid, and low cost projections developed in this work are shown as the bolded lines. The upper figure shows the full range of cost projections used in this work, while the lower figure shows only those cost projections published after 2017. Figure values are included in the Appendix. The resulting total system cost for a 4-hour device is shown in Figure 2. The 2019 starting point of $380/kWh is taken from Feldman et al. (Forthcoming). Although there is uncertainty in the 2019 cost (which is discussed later), we use a single cost for 2019 for convenience as we apply these costs in our long-term planning models (applying the same costs in 2019 means that the 2019 solution will not change as we shift from a “high” to a “mid” to a “low” cost projection for storage). By definition, the projections follow the same trajectories as the normalized cost values. Storage costs are $124/kWh, $207/kWh, and $338/kWh in 2030 and $76/kWh, $156/kWh, and $258/kWh in 2050. Costs for each year and each trajectory are included in the Appendix. 0 0.2 0.4 0.6 0.8 1 2015 2020 2025 2030 2035 2040 2045 20504-hr Battery Cost Projections (relative to 2019)High Mid Low Published Values 0 0.2 0.4 0.6 0.8 1 2015 2020 2025 2030 2035 2040 2045 20504-hr Battery Cost Projections (relative to 2019)High Mid Low Published Values 2018-19 only 6 This report is available at no cost from the National Renewable Energy Laboratory at www.nrel.gov/publications. Figure 2. Battery cost projections for 4-hour lithium ion systems. These values represent overnight capital costs for the complete battery system. Figure values are included in the Appendix. Figure 3 shows how the absolute cost projections from Figure 2 compare to the published cost projection values. Because we chose to develop our projections based on the normalized cost values, they do not necessarily line up with the published cost projections. Many of the published cost projections never even reach the starting point that we have selected, while a few others are at some point lower than our low projection. Some of that discrepancy is due to the vintage of the projection. Cost projections published in 2017 tend to be higher than those published in 2018 or later. The lower plot in Figure 3 shows that the cost projections tend to be better aligned on an absolute basis when only the more recent cost projections are considered. 0 50 100 150 200 250 300 350 400 450 2015 2020 2025 2030 2035 2040 2045 20504-hour Battery Capital Cost (2019$/kWh)High Mid Low 7 This report is available at no cost from the National Renewable Energy Laboratory at www.nrel.gov/publications. Figure 3. Battery cost projections developed in this work (bolded lines) relative to published cost projections. The upper figure shows the full range of cost projections used in this work, while the lower figure shows only those cost projections published after 2017. Cost values above $800/kWh are not shown. One of the key assumptions in our projections is the choice of the starting point. A higher or lower starting point would shift the set of projections up or down relative to the change in magnitude of the starting point. To better assess the quality of our starting point, we compared the value from Feldman et al. (Forthcoming) with other values published in 2018 or later (shown in Figure 4). We did not consider older reported values because of the rapid changes in battery costs. This comparison increases our confidence that the starting value we have selected is reasonable, although it does demonstrate that there is considerable uncertainty (±$100/kWh) in the current price of battery storage systems. 0 100 200 300 400 500 600 700 800 2015 2020 2025 2030 2035 2040 2045 20504-hour Battery Capital Cost ($/kWh)High Mid Low Values Published in 2017-2019 0 100 200 300 400 500 600 700 800 2015 2020 2025 2030 2035 2040 2045 20504-hour Battery Capital Cost ($/kWh)Values Published in 2018 or 2019 High Mid Low 8 This report is available at no cost from the National Renewable Energy Laboratory at www.nrel.gov/publications. Figure 4. Current battery storage costs from studies published in 2018 or later. The NREL value (Feldman et al. Forthcoming) was selected as the 2019 starting cost for this work. One of the other challenges with using the normalized cost reductions to develop our projections is that projections that start at a higher value than our starting point might see greater cost reduction potential, and thus have a high percent reduction but still never have a low $/kWh cost. Conversely, projections that start lower than our starting point might have smaller cost reduction potential on a percentage basis but achieve very low $/kWh costs. However, we still prefer to use the normalized cost reduction numbers because of the large discrepancy in starting costs across published projections, and because it helps to obviate the challenge of different cost and system definitions in the different publications. Figure 5 shows the cost projections for the power and energy components of the battery. The breakdown of power and energy is derived from Feldman et al. (Forthcoming) as described in the methods section. These components are combined to give a total system cost, where the system cost (in $/kWh) is the power component divided by the duration plus the energy component. 0 100 200 300 400 500 600 700 Current 4-hour battery cost ($/kWh) 9 This report is available at no cost from the National Renewable Energy Laboratory at www.nrel.gov/publications. Figure 5. Cost projections for power (left) and energy (right) components of lithium-ion systems. Note the different units in the two plots. These power and energy costs can be used to specify the capital costs for other durations. Figure 6 shows the cost projections for 2-, 4-, and 6-hour duration batteries (using the mid projection only). On a $/kWh basis, longer duration batteries have a lower capital cost, and on a $/kW basis, shorter duration batteries have a lower capital cost. Figure 6 (left) also demonstrates why it is critical to cite the duration whenever providing a capital cost in $/kWh or $/kW. Figure 6. Cost projections for 2-, 4-, and 6-hour duration batteries using the mid cost projection. Left shows the values in $/kWh, while right shows the costs in $/kW. To fully specify the cost and performance of a battery storage system for capacity expansion modeling tools, additional parameters besides the capital costs are needed. Figure 6 shows the range of variable operations and maintenance (VOM), fixed operations and maintenance (FOM), 0 50 100 150 200 250 300 350 2015 2025 2035 2045Cost of Capacity Components (2019$/kW)Low High Mid 0 50 100 150 200 250 300 350 2015 2025 2035 2045Cost of Energy Components (2019$/kWh)High Low Mid 4-hour 0 100 200 300 400 500 2015 2025 2035 2045Battery Capital Cost (2019$/kWh)2-hour 6-hour 0 500 1000 1500 2000 2500 2015 2025 2035 2045Battery Capital Cost(2019$/kW)2-hour 4-hour 6-hour 10 This report is available at no cost from the National Renewable Energy Laboratory at www.nrel.gov/publications. lifetime, and round-trip efficiency 2 assumptions from the publications surveyed. The rightmost point in the figure shows the value that we have selected to represent our 4-hour battery system. The VOM is generally taken to be zero or near zero, and we have adopted zero for the VOM. This VOM is defined to coincide with an assumed one cycle per day and a given calendar lifetime. Cycling more than once per day might reduce that lifetime, so cycles beyond once per day should see a non-zero VOM. We have allocated the all operating costs (at the one-cycle-per-day level) to the FOM. By putting the operations and maintenance costs in the FOM rather than the VOM we in essence assume that battery performance has been guaranteed over the lifetime, such that operating the battery does not incur any costs to the battery operator. The FOM has a much broader range of values. One of the primary differences in the level of FOM was whether augmentation or performance maintenance were included in the cost. For example, DNV GL (2017) reports a $6/kW-yr FOM and a $7.5/kWh-yr capacity maintenance cost to address degradation (values in 2017$). Lower FOM numbers typically include only simple maintenance while higher FOM numbers include some capacity additions or replacements to deal with degradation. We have adopted a FOM value from the high end and assume that the FOM cost will counteract degradation such that the system will be able to perform at rated capacity throughout its lifetime. The FOM value selected is 2.5% of the $/kW capacity cost for a 4-hour battery. We assume that this FOM is consistent with providing approximately one cycle per day. If the battery is operating at a much higher rate of cycling, then this FOM value might not be sufficient to counteract degradation. 2 Round-trip efficiency is defined as the system efficiency through a charge/discharge cycle. For example, it would include losses associated with cooling systems or battery control equipment. 11 This report is available at no cost from the National Renewable Energy Laboratory at www.nrel.gov/publications. Figure 7. Variable O&M (top right), fixed O&M (top left), lifetime (bottom right), and round-trip efficiency (bottom left) from various published sources. The values selected for this study are the right- most values shown. The lifetime we selected is 15 years, which is near the median of the published values. The round-trip efficiency is chosen to be 85%, which is well aligned with published values. 4 Summary Battery storage costs have evolved rapidly over the past several years, necessitating an update to storage cost projections used in long-term planning models and other activities. This work documents the development of these projections, which are based on recent publications of storage costs. The projections show a wide range of storage costs, both in terms of current costs as well as future costs. Although the range in projections is considerable, all projections do show a decline in capital costs, with cost reductions by 2025 of 6-48%. The cost projections developed in this work utilize the normalized cost reductions across the literature, and result in 26-63% capital cost reductions by 2030 and 44-78% cost reductions by 0 1 2 3 4 5 6 4-hr Battery VOM ($/MWh)0 5 10 15 20 25 30 35 40 45 4-hr Battery FOM ($/kW-yr)0 5 10 15 20 25 Lifetime (years)60% 65% 70% 75% 80% 85% 90% 95% 100%Round-trip Efficiency 12 This report is available at no cost from the National Renewable Energy Laboratory at www.nrel.gov/publications. 2050. The cost projections are also accompanied by assumed operations and maintenance costs, lifetimes, and round-trip efficiencies, and these performance metrics are benchmarked against other published values. References Aquino, Todd, Mathew Roling, Chris Baker, and Lukas Rowland. 2017. “Battery Energy Storage Technology Assessment.” https://www.prpa.org/wp-content/uploads/2017/10/HDR- Battery-Energy-Storage-Assessment.pdf. 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Wood Mackenzie & ESA. 2019. “U.S. Energy Storage Monitor: Q4 2018.” 14 This report is available at no cost from the National Renewable Energy Laboratory at www.nrel.gov/publications. Appendix Table 2 includes the values that are plotted in Figure 1 and Figure 2. Figure 9 and Figure 10 show the comparison of the projections developed in this work relative to the projections that were produced in last year’s report (Cole and Frazier 2019). Although 4-hour costs did not change much from last year’s report, the relative distribution between the power and energy costs did change. Thus, 2-hour or 6-hour battery costs calculated using data from this year’s report will show greater differences than the 4-hour batteries. Table 2. Values from Figure 1 and Figure 2, which show the normalized and absolute storage costs over time. Storage costs are overnight capital costs for a complete 4-hour battery system. Normalized Cost Reduction 4-hour Storage Costs (2019$/kWh) Year Low Mid High Low Mid High 2019 1.00 1.00 1.00 393 393 393 2020 0.78 0.94 0.97 306 370 383 2021 0.73 0.89 0.95 286 351 372 2022 0.68 0.84 0.92 266 331 362 2023 0.62 0.79 0.90 245 312 352 2024 0.57 0.74 0.87 225 293 341 2025 0.52 0.70 0.84 205 273 331 2026 0.49 0.66 0.82 193 260 323 2027 0.46 0.63 0.80 181 247 316 2028 0.43 0.60 0.78 169 234 308 2029 0.40 0.56 0.76 156 221 300 2030 0.37 0.53 0.74 144 208 293 2031 0.36 0.52 0.74 142 205 289 2032 0.35 0.52 0.73 139 203 285 2033 0.35 0.51 0.72 136 200 282 2034 0.34 0.50 0.71 133 198 278 2035 0.33 0.50 0.70 130 195 274 2036 0.32 0.49 0.69 127 192 271 2037 0.32 0.48 0.68 125 190 267 2038 0.31 0.48 0.67 122 187 263 2039 0.30 0.47 0.66 119 185 260 2040 0.30 0.46 0.65 116 182 256 2041 0.29 0.46 0.64 113 179 252 2042 0.28 0.45 0.63 111 177 249 2043 0.27 0.44 0.62 108 174 245 2044 0.27 0.44 0.61 105 172 241 2045 0.26 0.43 0.60 102 169 238 2046 0.25 0.42 0.60 99 166 234 2047 0.25 0.42 0.59 96 164 230 15 This report is available at no cost from the National Renewable Energy Laboratory at www.nrel.gov/publications. Normalized Cost Reduction 4-hour Storage Costs (2019$/kWh) 2048 0.24 0.41 0.58 94 161 227 2049 0.23 0.40 0.57 91 159 223 2050 0.22 0.40 0.56 88 156 219 Figure 8. Comparison of cost projections developed in this report (solid lines) against the values from the 2019 cost projection report (Cole and Frazier 2019) (dashed lines). Figure 9. Comparison of cost projections developed in this report (solid lines) the values from the 2019 cost projection report (Cole and Frazier 2019) (dashed lines), with all values normalized to the “Mid” cost projection in the year 2019. 0 50 100 150 200 250 300 350 400 450 2015 2020 2025 2030 2035 2040 2045 20504-hour Battery Capital Cost ($/kWh)Low Mid High Low-2016 Mid-2016 High-2016 0.00 0.20 0.40 0.60 0.80 1.00 1.20 2015 2020 2025 2030 2035 2040 2045 20504-hour Battery Capital Cost (normalized)Low Mid High Low-2016 Mid-2016 High-2016 Alaska Energy Storage ProjectsProject Name City Owner ManufacturerCost in millions TechnologyAC‐AC Roundtrip Efficiency (estimated)Peak Charge/ Dis. Rate (MW)Energy Storage Capacity (kWh)Ratio of energy to power (MWh/MW)Design Discharge Rate and PeriodDeep discharge cyclesProjected life in years Purpose StatusYear Constructed CommentsBuckland Box Power ProjectBuckland City of Buckland Lithium Ion battery 80‐90% 0.5 196 2.3 10 Integrate wind turbines and Box Solar project into village grid.2019Cordova BESS Cordova Cordova Electric SAFT/ABB Lithium Ion battery 80‐90% 1.0 1,000 1.0 10 hydro integration and diesel savingsOperating 2019Deering City of Deering Lithium Ion battery 80‐90% 0.2 98 1.9 10 Integrate wind turbines and solar panels into village grid2019Battery Energy Storage System (BESS) Fairbanks GVEA Saft $35 13,760 Ni‐Cad batteries 73% 40.0 6,7505.927MW for 15 minutes 20‐30 spinning reserve Operating 2003 total weight 1,500 tonsUsibelli Flywheel Healy Usibelli Coal MineGE power converterlow‐speed flywheel 5.2 260 20.0 5.2MW for three secondsUnlimited 40 years and countingIntegrating a 6MW dragline into the GVEA gridOperating 1978 The flywheel weighs 40 tonsHughes Solar‐Diesel MicrogridHughes City of Hughes Lithium Ion battery 80‐90% 120kWh Integrate a 120kW solar PV systemKodiak Wind‐Diesel‐Hydro‐Battery SystemKodiak KEA Younikos lithium‐ion battery 80‐90% 3.0 750 4.0 3MW for 15 minutesWind integration Operating 2017 Lithium ion batteries replaced a 2012 valve‐regulated lead acid battery project.  Jennifer Richcreek has more info.Kodiak Electric Flywheel SystemKodiak KEA ABB $3.0 Two 1.0 MWs flywheels80‐90% 2.0 Unlimited 20 Frequency support Operating 2015 powers and stores energy from one of the largest port cranes in Alaska.  Also provides frequency support for wind farm.Kokhanok wind‐diesel‐battery systemKokhanok Kokhanok Village CouncilEnersys DM $0.1 valve‐regulated lead‐acid battery75‐85% 1.3 336 3.9 1,200 8 Integration of wind system.  Diesels off operation.Not operating 2010 diesel off operation intended but not achieved aside from under test conditions. KEA Battery System #1 Kotzebue Kotzebue Electric Assoc.Premium Power$1.0 zinc‐bromine flow battery63% 0.5 3,700 0.1 10,000 Not operating 2011/12 This battery was installed but did not function as intended.  It was shipped back to the manufacturer.KEA Battery System #2 Kotzebue Kotzebue Electric Assoc.SAFT/ABB lithium‐ion battery 80‐90% 1.2 950 1.3 1MW for 40 minutes10 provide grid stability and time shift electrical generationOperating 2015 Operational in 2016.  KEA considering diesels off operation 8/16 but not done yet.Metlakatla battery systemMetlakatla MP&L Exide valve‐regulated lead‐acid battery75‐85% 1.0 1,400 0.7 1MW for 75 minutes8 hydro backup Operating 1997 batteries replaced in 2009 after 12 years of operationHEA BESSSoldotna HEA Tesla $38? lithium‐ion battery 80‐90% 46.5 93,000 0.5 spinning reserve Construction 2021 Tesla Megapack BatteriesSt. Paul Flywheel Energy Storage ProjectSt. Paul TDX Corp Beacon $0.4 flywheel 95% 0.2 30 5.3 160kW for 11 minutesUnlimited 20 Improve Not operating2012 Flywheel suffered bearing failureWales Wind‐Battery SystemWales AVEC Saft Nickel‐Cadmium battery65% 156 0.0 Stabilize the grid and allow diesels off operationNot operating 2001 diesel off operation intended but not achieved aside from under test conditionsFuture projectsAnchorage Area Battery Anchorage Lithium Ion 80‐90% 69.0 Contingency reserves for the loss of the Kenai intertie and other N‐1 events.  Also system regulating reserves.Proposed Proposed BESS is described in the 2017 Railbelt Transmission Plan, which is available on the AEA website.  AEA LOAN DASHBOARD REPORTAEA POWER PROJECT LOAN FUNDYEAR TO DATE07/01/2021LOAN ACTIVITY EARNINGSSTART DATELOAN CATEGORYSTARTING BALANCEFUNDS DISBURSEDPAYMENTS RECEIVEDENDING BALANCEINTEREST RECEIVEDLATE FEES RECEIVEDINTEREST + LATE FEES20AEA POWER PROJECT FUND LOANS 26,505,547 1,402,659 (643,157) 27,265,049 178,671 3,270 181,941 TOTAL # OF PPF LOANS0LOAN PROGRAM SUMMARY# OF DELINQUENT PPF LOANSOutstanding Loans per Trial Balance27,265,048.54$ -$ Uncommitted Cash Balance10,089,334.45$ LOANS DELINQUENT AMOUNT ($)Loan Commitments1,319,508.21$ 0.000%Total Loan Program38,673,891.20$ % OF DELINQUENT LOANS TO PORTFOLIO BALANCE02/28/2022END DATE FISCAL YEAR-TO-DATE LOAN PORTFOLIO ACTIVITY (07/01/2021 - 02/28/2022 )Waterfall Creek Hydro - King Cove, AlaskaPrint Date: 3/7/2022Page 1 of 2 AEA POWER PROJECT FUND LOANS BY ENERGY REGION & PROJECT TYPEOUTSTANDING BALANCES & NEW ACTIVITYENERGY REGIONAEA PPF LOAN BALANCEREMAINING LOAN COMMITMENTSNEW APPLICATIONS IN PROCESS# OF AEA PPF LOANSTOTALALEUTIANS2,434,397 - 65,000 4 2,499,397 BERING STRAITS- - - - - BRISTOL BAY433,129 - 514,500 2 947,629 COPPER RIVER/ CHUGACH- - - - - FISCAL YEAR-TO-DATE LOAN PORTFOLIO ACTIVITY ( - )KODIAK- - - 1 - LOWER YUKON-KUSKOKWIM591,734 341,465 - 3 933,199 NORTH SLOPE- - - - - NORTHWEST ARCTIC- - - - - RAILBELT3,500,880 - - 3 3,500,880 SOUTHEAST19,152,734 - - 2 19,152,734 27893070.2YUKON-KOYUKUK/ UPPER TANANA1,152,175 978,043 2,258,829 5 4,389,047 10422145.3758569.3627,265,049 1,319,508 2,838,329 20 31,422,886 TOTALBIOMASS$85,641DIESEL$1,444,237HYDRO$22,837,413SOLAR$530,003TRANSMISSION$1,966,667TANK FARM$2,258,829WIND$2,300,095AEA PPF LOANS BY PROJECT TYPE - NEW & OUTSTANDING BALANCEBIOMASS1DIESEL6HYDRO6SOLAR1TRANSMISSION1TANK FARM1WIND4AEA PPF LOANS BY PROJECT TYPEPrint Date: 3/7/2022Page 2 of 2 813 W Northern Lights Blvd, Anchorage, AK 99503  Phone: (907) 771-3000  Fax: (907) 771-3044  Email: info@akenergyauthority.org REDUCING THE COST OF ENERGY IN ALASKA AKENERGYAUTHORITY.ORG TO: Curtis Thayer, Executive Director THROUGH: TW, Patch, Director of Planning FROM: Conner Erickson, Planning Manager DATE: March 30, 2022 RE: Renewable Energy Fund Grant – Round 14 Update Round 14 (FY2023) As of the January 18th, 2022 deadline for applications, AEA received a total of 39 REF applications for a total request of $19.2 million in REF funds. On January 28th, 2022, and in accordance with Alaska Statute AS 42.45.045(d)(3), AEA provided an update regarding the status of the current Round 14 Renewable Energy Fund (REF) solicitation to the Alaska State Legislature. As per 3 AAC 107.635 – “Acceptance of applications for consideration; eligibility review”, AEA in its initial, stage 1 review of those received applications rejected 10 applications on the basis of ineligible applicants, late applications, and being substantially incomplete, as summarized in Table 1 below. Upon AEA’s issuance of the rejection letters to those 10 applicants in late January, AEA received an appeal from a sole applicant. AEA’s decision to cease further consideration of the application, upon further review and agreement from AEA’s Executive Director as allowed per 3 AAC 107.650(b), was upheld owing to the application being duplicative and substantially incomplete. The remaining 29 applications account for a total request of $18.7 million in REF funds, as indicated in Table 2 below. Table 1 Rd 14 Rejections - Per 3 AAC 107.635 - Eligibility Review Reason for Denial No. of Applications REF Funding Requested ($) Ineligible Applicant 4 532,500$ Late Application 4 735,000$ Substantially Incomplete 2 342,525$ Total 10 1,610,025$ Alaska Energy Authority Page 2 of 2 The evaluation process is now in the stage 2 (3 AAC 107.645) and stage 3 (3 AAC 107.655) scoring reviews. All reviews by the State of Alaska Dept. of Natural Resources (DNR) have been completed. The DNR reviews those submitted applications for their potential impact on State owned land and resources. All reviews have also been completed by the contracted economists. The contracted economists provide cost-benefit analyses and reviews concerning the economic feasibility of those submitted applications. Owing to those stage 2 and 3 scoring reviews which have been completed, one application has been subject to a reduction in its grant request by $1 million, reducing overall grants funds requested to $17.7 million. The per project cap for REF funding is $2 million for high cost energy areas and this project was awarded $1 million in grant funds in round 13, thus limiting its request for the current Round 14 to $1 million. Additionally, owing to further review of the applications, one application was found to be an ineligible project. The applicant was sent a notice of rejection and has since appealed. This appeal is currently under review. Should the appeal be denied, this will reduce the overall grant request by $375,000. The remaining stage 2 and 3 scoring reviews will take place through April 11th, and it is anticipated, based on past rounds, that a portion of those remaining applications will be rejected owing to items concerning economic and/or technical feasibility. Consultation with REFAC on AEA’s Recommendations of Applications to the Legislature AEA is currently coordinating a meeting with the REFAC members for April 14th or April 15th, in fulfillment of AS 42.45.045(e). Upon the solicitation of the REFAC’s counsel, AEA will forward on its recommendations to the Legislature for their consideration of award and appropriation within the FY2023 budget. AEA’s transmittal of its recommendations to the Legislature is anticipated for April 18th. It should be noted that any and all REF appropriations are at the full discretion of the Legislature. Attachments • Round 14 Project Description Summaries Table 2 Rd 14 Summary of Applications by Energy Region - Post Stage 1 Review Energy Region No. of Applications REF Funding Requested ($) Aleutians 1 321,000$ Bering Straits 1 2,000,000$ Bristol Bay 2 2,495,500$ Kodiak 1 172,600$ Lower Yukon-Kuskokwim 7 1,988,392$ Northwest Arctic 3 3,192,435$ Railbelt 11 6,334,707$ Southeast 1 62,368$ Yukon-Koyukuk/Upper Tanana 2 2,135,000$ Total 29 18,702,002$ App NumberApplicant NameProject Title Community (Nearest)Project Phase(s) Applicant TypeEnergy Region Election District Grant Funds RequestedTechnologyProject Description14001Nushagak Electric & Telephone Cooperative Nuyakuk River Hydroelectric Project DillinghamFeasibility and Conceptual Design Utility Bristol Bay 37-S $ 2,000,000.00 HydroThe 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 fall 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 upgrade to 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 opportunity14002Alaska Village Electric CooperativeHoly Cross Solar Energy & Battery Storage Feasibility Study Project Holy CrossFeasibility and Conceptual Design UtilityYukon-Koyukuk/Upper Tanana 37-S $ 135,000.00 SolarAlaska Village Electric Cooperative, Inc. (AVEC) is requesting $135,000 through an Alaska Energy Authority (AEA) Renewable Energy Fund (REF) grant to conduct a feasibility study for local solar energy and battery storage potential in Holy Cross, Alaska. The proposed project involves analyzing solar data, examining potential location alternatives, and creating a conceptual design for local solar energy and battery storage. Like many communities in Alaska, Holy Cross experiences high and unstable energy costs. The community depends on diesel fuel to power the three local generators responsible for all available energy in Holy Cross. Solar energy has proven a viable energy resource through projects in the similar communities of Eagle and Kaltag. Dependent on the results of the proposed feasibility study, AVEC would secure funding to prepare a final design, complete permitting, and develop solar energy in Holy Cross.14003 Point MacKenzie Solar Point MacKenzie Solar Point MackenzieReconnaissance; Feasibility and Conceptual Design; Final Design and Permitting; ConstructionIndependent Power Producer Railbelt 8-D $ 1,000,000.00 SolarThis will be a Solar PV Facility, with installed capacity of 5.9 MW, highly reliable and most available in the summer months, with 500 MWh average to be delivered each month. A 6 MegaWatt DC/5 Megawatt AC utility-scale solar farm is planned for the proposed system. The system will be interconnected to the CEA power grid via a medium-voltage line extension to the site feeding the two Y-Y 2.5 MVA transformers. Each of the two transformers will feed one of the two 4,000 Amp service MDP’s with backfeed rated circuit breakers for collecting solar inverters. The 5 Megawatt of AC rated inverters will be interconnected to the MDP’s by 480V 3 phase. The solar inverters will collect the 6 MegaWatt of 480 Watt solar modules for conversion to AC power. The solar modules will be mounted in a fixed position on a ground-mounted racking system positioned in rows to maximize the use of the land available for the greatest overall efficiency. The DC wiring will be operating at approximately 1,200 Volts DC per string providing 6 million KWh annually.14004Alaska Village Electric CooperativePilot Station Wind Energy Feasibility Study & Conceptual Design Project Pilot StationFeasibility and Conceptual Design UtilityLower Yukon-Kuskokwim 39-T $ 229,500.00 WindAlaska Village Electric Cooperative, Inc. (AVEC) is requesting $229,500 and will provide a match of $25,500 to conduct a wind power and wind-to-heat feasibility and conceptual design project for the community of Pilot Station. AVEC, with the cooperation of the community, would assess the feasibility of wind resources suited to provide power to the community and prepare a conceptual design of a wind facility.14005 City of OuzinkieOuzinkie Wind Energy Feasibility and Conceptual Design Project OuzinkieFeasibility and Conceptual Design Local Government Kodiak 32-P $ 172,600.00 WindThe City of Ouzinkie is requesting $172,600 to conduct a wind power feasibility and conceptual design project for the community of Ouzinkie. The City 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. The City would provide an in-kind match of $14,400 and Ouzinkie Tribe will provide $50,000 cash match for the project. Ouzinkie Native Corporation (ONC) would provide contracting and project management assistance at no cost.14006City of Homer, Department of Public Works Homer Energy Recovery Project HomerFinal Design and Permitting; Construction Local Government Railbelt 31-P $ 492,500.00 HydroIn the City of Homer, there exist three pressure control facilities located in the City's distribution system. This a mission critical pipeline where the City manages pressure for the potable water supply from the treatment plant to residences and business customers. These pressure control facilities are currently venting excess pressure that the City wants to recover and use to produce renewable energy. The proposed project will create a flow bypass around the existing pressure control valve at each site to flow through an energy recovery system. This system shall utilize an integrated solution, a pressure recovery valve that will generate a new source of renewable energy, reduce Homer's carbon footprint, save water and extend the life of its infrastructure. The proposed project shall have a capacity of 19 kW and generate 93,000 kwh that will be used to reduce operating costs for the City's Department of Public Works.14007 Northwest Arctic BoroughDesign and Permitting for Solar PV and Battery Storage for Ambler, Kiana, Noorvik, and SelawikAmbler /Kiana /Noorvik /Selawik Final Design and Permitting Local Government Northwest Arctic 40-T $ 590,000.00 SolarThe Northwest Arctic Borough (NAB) is requesting $590,000 for the Phase Ill Final Design and Permitting for four high penetration distributed solar PV, Battery, and diesel hybrid systems for the communities of Ambler, Kiana, Noorvik, and Selawik. The intent of this project is to leverage the economies of scale for the design of the systems to significantly reduce the project development costs and improve the project economics. The economies of scale will also be leveraged in the future construction phase of the systems through equipment procurement and construction contracts. Based on Hybrid Optimization for Multiple Energy Resources (HOMER) software modeling and AEA's B/C Ratio model, when constructed these systems will displace about 102,099 gallons of imported diesel fuel annually and will result in about 3717 hours of diesels-off operation in the communities, saving the communities about $486,152 during the 1 ˢᵗ year of operation. Lifetime savings for the project are estimated at $13,458,097. In addition to reducing the cost of electrical generation, the installation of the batteries will dramatically increase the efficiency and resilience of the power generation system by providing spinning reserve and significantly reducing brown-outs and black-outs. This project will leverage the key learnings from other high penetration systems operating and in development in the Northwest Arctic Borough, including Kotzebue, Deering, Buckland, Shungnak, and Noatak.14008Alaska Electric & Energy Cooperative, Inc. AEEC Ninilchik Wind NinilchikFeasibility and Conceptual Design Utility Railbelt 31-P $ 192,000.00 WindHomer Electric Association, Inc. (HEA) through its generation subsidiary Alaska Electric & Energy Cooperative, Inc. (AEEC) plans to construct a 30 MW wind energy generation facility located on the Kenai peninsula. The project will consist of 9 wind turbines disbursed throughout the site and electrically interconnected to the HEA transmission system. In addition to turbines, the project will need to construct turbine access roads and crane pads, plus connect the turbines through an electrical collector system. The proposed project will study the feasibility of locating the wind energy generation facility in the western Kenai Peninsula south of Ninilchik and north of Happy Valley.14009Alaska Electric & Energy Cooperative, Inc. AEEC Summit Lake Wind Moose PassFeasibility and Conceptual Design Utility Railbelt 29-O $ 232,000.00 WindHomer Electric Association, Inc. (HEA) through its generation subsidiary Alaska Electric & Energy Cooperative, Inc. (AEEC) plans to construct a 30-MW wind energy generation facility located on the Kenai peninsula. The project will consist of 9 wind turbines disbursed throughout the site and electrically interconnected to the HEA transmission system. In addition to turbines, the project will need to construct turbine access roads and crane pads, plus connect the turbines through an electrical collector system. The proposed project will study the feasibility of locating the wind energy generation facility in the northeastern Kenai Peninsula on the mountain ridgelines above Summit Lake to the east of the Seward Highway.14010Alaska Electric & Energy Cooperative, Inc. AEEC East Foreland/Nikiski Wind NikiskiFeasibility and Conceptual Design Utility Railbelt 29-O $ 200,000.00 WindHomer Electric Association, Inc. (HEA) through its generation subsidiary Alaska Electric & Energy Cooperative, Inc. (AEEC) plans to construct a 30 MW wind energy generation facility located on the Kenai peninsula. The project will consist of 9 wind turbines disbursed throughout the site and electrically interconnected to the HEA transmission system. In addition to turbines, the project will need to construct turbine access roads and crane pads, plus connect the turbines through an electrical collector system. The proposed project will study the feasibility of locating the wind energy generation facility in the East Foreland / Nikiski Industrial Area, in Nikiski, Alaska. 14011Alaska Electric & Energy Cooperative, Inc. AEEC Caribou Hills Wind Ninilchik/Fox RiverFeasibility and Conceptual Design Utility Railbelt 31-P $ 209,600.00 WindHomer Electric Association, Inc. (HEA) through its generation subsidiary Alaska Electric & Energy Cooperative, Inc. (AEEC) plans to construct a 30 MW wind energy generation facility located on the Kenai peninsula. The project will consist of 9 wind turbines disbursed throughout the site and electrically interconnected to the HEA transmission system. In addition to turbines, the project will need to construct turbine access roads and crane pads, plus connect the turbines through an electrical collector system. The proposed project will study the feasibility of locating the wind energy generation facility in the Caribou Hills on the southern Kenai Peninsula.14012Alaska Electric & Energy Cooperative, Inc. AEEC/KPB CPL Landfill Gas CHP Project Soldotna Final Design and Permitting Utility Railbelt 31-P $ 884,986.00 Biomass,() gg y gyp ,( ) p g()ppthe installation of a Combined Heat & Power Project at the KPB’s Central Peninsula Landfill (CPL). The proposed Project would generate electricity from collected landfill gas and initially supplemented with pipeline natural gas to generate up to 1.6 MW of power. The waste heat fromthe electric reciprocating engine generator would be captured and utilized to operate the CPL’s leachate evaporator which is currently fueled by natural gas from the ENSTAR system. Thus, eliminating or significantly reducing the CPL’s natural gas bill required to evaporate leachate.14015 City of Kotzebue Kotzebue Wind to Heat System KotzebueFeasibility and Conceptual Design; Final Design and Permitting; Construction Local Government Northwest Arctic 40-T $ 702,435.00 Wind (to heat)This project would utilize 213,000 KWH of excess wind energy from the non-profit Kotzebue Electric Association, Inc.’s (KEA) wind turbines in the form of heat delivered to the Water Treatment Plant (WTP). This utilizes wind energy that would otherwise be wasted. The proposed project will provide public benefits to both the local electric utility and individual rate payers in the form of additional revenue for KEA and reduced water utility bills for community members due to the avoided diesel fuel use. This project would make the local utility financially stronger, keep money that would have otherwise have gone to the fuel provider circulating within the community,and reduce both fuel costs and fuel use. As KEA adds more turbines, solar, and batteries to their grid over the next two to three years, the amount of recovered heat available from the power plant will decrease significantly, raising the price of operating the WTP. This rise in costs can be mitigated and reversed with the addition of an electric boiler, control panels, and a transformer to allow curtailed wind to be utilized and sold at a discounted rate to the city. The newly constructed WTP includes space for a future electric boiler with hydronics already installed to accommodate a project like this.14016 Kwig Power Company Kwigillingok Wind Turbine Upgrade Kwigillingok Construction UtilityLower Yukon-Kuskokwim 38-S $ 278,176.00 WindKwig Power Company s existing hybrid renewable system is due for upgrades and expansion. Its five wind turbines still have 1980s era blades installed, which are inefficient and not optimized for the rough conditions of southwest Alaska. KPC proposes to upgrade these turbines by acquiring four (4) sets of SERI Thin Airfoil blades. The new blades will increase energy production through improved aerodynamic efficiency allowing the rotors to harvest more energy from a given rotor area and through improved peak stall characteristics which will allow an increase of rotor RPM from 50 to 56 or 60 RPM. In addition, we must purchase our own up-tower crane to service our turbines/blades.14017Native Village of Kwinhagak Kwinhagak Reconnaissance Study Quinhagak Reconnaissance Local GovernmentLower Yukon-Kuskokwim 38-S $ 81,000.00 SolarReconnaissance Study will focus on collecting and analyzing Kwinhagak s solar resources along with its current electric and thermal load data and diesel-wind system. This baseline data will then be used to create a conceptual design for an energy system that incorporates wind/solar/battery with the current wind-diesel system. Estimated costs and financing will also be included in the final Reconnaissance Study Report.14018Kotzebue Electric Association, Inc.Kotzebue Wind to PV Transition Utilizing Existing Wind Infrastructure Kotzebue Construction Utility Northwest Arctic 40-T $ 1,900,000.00 SolarKotzebue Electric Association (KEA) built the first utility-scale wind farm in Alaska beginning in the late-1990s. KEA has been operating a fleet of 66kW wind turbines that are now obsolete and not cost effective to operate and maintain in comparison to the two EWT 900kW turbines. The nonfunctioning 66kW turbines are a negative aspect of renewable energy and KEA is planning to retire the fleet. Unfortunately there is not a suitable small-scale (~50kW) wind turbine available on the US market to replace the 66kW turbines.Though the existing 66kW wind turbines are being retired, the installed power transformers, underground power lines, fiber optic communications, control shelters, SCADA and access roads are still useful for a PV power installation. KEA will convert eight, existing 66kW wind turbine installations into 66kW PV arrays.KEA intends to leave the wind turbine 12” steel piling foundations in place to allow for future testing of small scale (~50-300kW) wind turbines and other energy technologies in a true Arctic environment in cooperation with NREL, UAF-ACEP and other interested entities.14019 Native Village of EklutnaEklutna Village Solar Energy Project - Feasibility StudyNative Village of Eklutna (Palmer proxy)Feasibility and Conceptual Design Local Government Railbelt 12-F $ 22,500.00 Solarg,gg g y , yVillage of Eklutna, with assistance from Eklutna, Onc., are pursuing a “next use” of these properties to incorporate a long-term, renewable energy source providing income to NVE and Eklutna, Inc by increasing benefits to shareholders and providing employment to tribal member within walking distance from their homes. This project would be a source of pride for shareholders and would allow Eklutna to expand its ongoing relationship with Matanuska Electric Association. NVE is requesting support to assess Eklutna, Inc. lands for redevelopment for solar energy deployment. 14020Puvurnaq Power CompanyKongiganak Wind Upgrade with Airfoil Blades for Turbines Kongiganak Construction UtilityLower Yukon-Kuskokwim 38-S $ 328,716.00 Windqpygy y pg p ,optimized for the rough conditions of southwest Alaska. PPC proposes to upgrade these turbines by acquiring four (4) blade sets of SERI Thin Airfoil blades to add to the two it has already received funding to purchase. The new blades will increase energy production through improved aerodynamic efficiency allowing the rotors to harvest more energy from a given rotor area and through improved peak stall characteristics which will allow an increase of rotor RPM from 50 to 56 or 60 RPM. In addition, we must purchase our own up-tower crane to service our turbines/blades.14021Akiachak Native Community Akiachak Wind Feasibility AkiachakReconnaissance; Feasibility and Conceptual Design Local GovernmentLower Yukon-Kuskokwim 38-S $ 371,000.00 WindThe Reconnaissance Study phase of this project will focus on collecting data and analyzing Akiachak’s current diesel system and wind and solar resources along with electric and thermal load data. These baseline data will then be used to create a conceptual design for an energy system that integrates wind/solar/battery with the current diesel system. A detailed cost estimate and financing plan will also be included in the final Reconnaissance Study Report.For the Phase II portion, we seek to investigate the economic viability of installing wind turbine generators for electrical generation facilities. AC is proposing to install a reference 50-meter meteorological tower as well as a LIDAR meterological unit to simultaneously collect and correlate wind data across the community at heights greater than or equal to 50 meters. The monitoring program will evaluate specific sites in and around Akiachak and can be easily expanded to surrounding communities through redeployment of the Lidar unit, and continued use of the Akiachak reference station. The monitoring program in Akiachak will continue for 12 months. Monthly wind resource reports will be produced with a final report summarizing the data 14022Chugach Electric Association, Inc. On behalf of the Bradley Lake Management Committee (BPMC) Dixon Diversion Feasibility Project Fritz Creek/ Fox RiverFeasibility and Conceptual Design Utility Railbelt 32-P $ 1,000,000.00 HydroDixon Diversion would be an expansion to the Bradley Lake Hydroelectric Project. Two project alternatives are currently being studied. The primary option would build a tunnel to divert water from the Dixon Glacier watershed to Bradley Lake to increase the energy output of the existing Bradley Lake power plant. The other alternative would transport water by tunnel to a new power plant located on the Lower Martin River. Either alternative would generate enough energy annually to be among the largest hydroelectric projects in Alaska. The diversion project would generate an estimated 168,000 MWh annually, which would increase Bradley Lake’s energy output by about 44 percent. This application uses the first option of diverting water to Bradley Lake for the estimated project costs and energy generation. The Martin River alternative is likely to have similar but higher costs and energy generation.14024 Naterkaq Light PlantNaterkaq Light Plant Battery Installation and Integration Chefornak Construction UtilityLower Yukon-Kuskokwim 38-S $ 325,000.00 StorageNaterqak Light Plant (NLP) is constructing a high penetration wind diesel battery system. NLP is requesting a grant of $355,000 to complete and improve the battery installation and optimize its performance. Intelligent Energy Systems (iES) has teamed with Hatachi Energy Grid Edge Solutions to furnish, install and integrate a 500kW/713 kWh battery energy storage system into the community of Chefornak’s electrical grid. NLP has contracted with Intelligent Energy Systems (iES) of Anchorage, which haS in turn teamed with Hatachi Energy Grid Edge Solutions to furnish, install, and integrate a 500kW/713 kWh battery energy storage system into the community of Chefornak’s electrical grid. Combined iES and Hatachi Energy represent the most experienced team in Alaska to successfully deliver this project successfully. NLV is requesting a grant of $352,000 from round 14 of the REF to complete and improve the performance of the overall project.14025 City of Pilot PointPilot Point Comprehensive Community Wind/Solar/Storage & Heat Project Pilot Point Construction Local Government Bristol Bay 37-S $ 495,500.00 StoragePurchase and install 16 Xalt Energy XPANDXMP111E Battery modules (180kW/176 kWh battery system, with expansion to 300 kW/352 kWh+) energy storage system (BESS). This will be integrated into and accommodates existing infrastructure installed in 2019 consisting of two 100 kW XANT wind turbines and 16 installed ETS heaters in community. Another 10 ETS already purchased by the community will be installed/integrated in homes in Pilot Point. Due to the remoteness and complex integration of this system, post-installation support is required and included in this project.14026 Nome Joint Utility System Nome Battery Energy Storage System Nome Construction Utility Bering Straits 39-T $ 2,000,000.00 StorageNome Joint Utility System (NJUS) proposes construction of a 2 MW/2 MWh battery energy storage system (BESS) to improve utilization (net capacity factor) of its two EWT DW52-900 wind turbines and to enable future expansion of renewable energy, including additional wind turbine, and wind-to-heat systems in the community. A BESS will allow NJUS to operate a smaller and more efficient diesel generator with the wind turbines and will eventually enable occasional diesels-off operation where power will be provided solely by wind turbines and the BESS.14027Inside Passage Electric CooperativeJenny Creek Hydro Reconnaissance - Kake IPEC Kake Reconnaissance Utility Southeast 35-R $ 62,368.00 HydroInside Passage Electric Cooperative (IPEC) is the local electric provider for Kake, AK. We recently completed the Gunnuk Creek hydro project in Kake, and we are now looking to add additional renewable energy resources to IPEC's generation mix at Kake. IPEC has spent the past decade working to identify renewable energy projects for the benefit of its member-consumers in order to reduce rates, and to reduce carbon emissions from diesel generation. Jenny Creek, located approximately .75 miles from the Kake boat harbor, has long been identified as a potential site for a new run-of-river hydro project. IPEC desires to perform a reconnaissance level study to help decide if further investigation of Jenny Creek's potential is warranted. IPEC plans to work with HDR Engineering, Inc. (HDR) to accomplish this. 14028 City of Nenana Nenana Biomass District Heat System Nenana Construction Local Government Railbelt 6-C $ 676,121.00 BiomassThe Nenana Biomass District Heat System will provide heat to the water treatment plant, fire department, K12 school, and the biomass facility itself. Each of these buildings provide services to the residents of the City of Nenana and the members of the Nenana Native Association. The boiler, a building frame, and structural insulated panels (SIP) have already been purchased for the project. The demolition, sitework, foundation work, installation of district heat piping, and engineering for the building have all been completed. Floor slabs have begun to be poured and work has commenced on erecting the building frame.14029Golden Valley Electric AssociationInterior Alaska Wind Energy Resource Assessmentpy ( )Deltana Area (Delta Junction)Donnelly Dome (Fort Greely)Pedro Dome (Fox)Wickersham Dome (Fox)Reconnaissance; Feasibility and Conceptual Design Utility Railbelt 9-E $ 1,425,000.00 WindFunds from this project will be used to complete wind resource assessments at up to five sites in Interior Alaska (3-5 sites depending on grant funding). Each location will host 1-2 masts with multiple sensors at various elevations to provide quality/representative data for use in a site resource model and bank ready feasibility study. Data collection will continue for a minimum of two years. Data and final reports will be used to document, model, support financing and encourage economically competitive development of utility scale wind projects with a target size of about to 100 MW per site.14031 Atmautluak Tribal UtilitiesAtmautluak Light Plant Battery, Thermal Stove, and Metering Installation Atmautluak Construction UtilityLower Yukon-Kuskokwim 38-S $ 375,000.00 StorageAtmautluak Light Plant (ALP) is a standalone diesel generating and electrical distribution utility which provides electricity to the Village of Atmautluak. In 2019, ALP received a grant of $2,900,000 from the USDA High Energy Cost Program to construct a 200 kW wind heat system and integrate the energy into their power system. This system is currently under construction and the funds have been used to install 2, Frontier 24-100 kW wind turbines on 40 meter tilt-up towers; upgrade .5 miles of electrical distribution to interconnect the wind farm; and install a wind diesel supervisory control system, a 200 kW load balancing boiler, and 20 electric thermal storage devices to capture surplus wind energy to displace heating fuel. Construction began in Fall 2021. The wind turbines and powerline have been constructed. The project was subjected to a number of unpredictable cost increases, mostly due to supply chain uncertainties. ALP is requesting $375,000 to complete the installation and integration of the 250kW/377kWh battery energy storage system and 20 electric thermal stoves to enable upwards of 3,200 hours of diesel off operation annually.This AEA funding will also provide ALP with two years of ongoing technical assistance and an advanced monitoring system to ensure overall power productivity, improve system reliability, grid stability, increase renewable availability and optimize overall power system operations. In sum, the award will enable ALP to produce 40,000 surplus kWh of wind energy annually, displace 30,000 gallons of diesel fuel used for power generation (equivalent to a savings of $105,000 at $3.50/gal), and generate deferred diesel operational savings of $28,800 annually (at $9 per operating hour). This is an annual benefit of $133,800. Additionally, the wind system has the potential to produce an additional 66,000 kWh of surplus electricity, which is available to displace 14034 City of GalenaGalena Community Scale Solar PV and Battery Project GalenaFinal Design and Permitting; Construction Local GovernmentYukon-Koyukuk/Upper Tanana 39-T $ 2,000,000.00 SolarGalena Community Scale Solar PV and Battery Project proposes to install a 1.2 MW solar photovoltaic (PV) and 500 kW/800 kWh battery energy storage system (BESS). This project will be integrated into the City of Galena's existing stand-alone diesel electric generation and distribution grid and save the community over 80,000 gallons of diesel fuel annually and over 2,000,000 gallons over the projected 25-year life of the installation. The project will be installed on City land above certified flood level and will use a combination of contracted and local labor. This clean energy initiative will build on recent efforts that include a large-scale biomass district heating system, powerplant upgrades to automated switchgear, improved diesel generator controls and higher efficiency engines, transformer upgrades and changeouts that have already saved several thousand gallons of fuel annually, LED lighting improvements, and a highly trained workforce. The community has already secured $1.5 million to initiate this project and is seeking $2 million from the AEA Renewable Energy Fund. If awarded, it is expected that final design, permitting, and long lead-time equipment procurement will occur in 2022 and early 2023, construction will commence in summer of 2023, and system performance verification and reporting 14035 City of False PassUNGA Man Creek Hydroelectric Project False Pass Final Design and Permitting Local Government Aleutians 37-S $ 321,000.00 HydroUnga Man Creek Hydro Project is a proposed 180 kW run-of-river project on Unga Man Creek north of False Pass. The recommended project configuration would include 4,400 feet of 24-inch HDPE penstock to convey 18 cubic feet per second of water from a diversion structure upstream of the east fork confluence at elevation 260 feet down to a powerhouse at elevation 70 feet, near the existing road bridge. The project would provide 83% of the utility’s electricity at generation or ~588,000 kWh annually based on a typical year. 813 W Northern Lights Blvd, Anchorage, AK 99503  Phone: (907) 771-3000  Fax: (907) 771-3044  Email: info@akenergyauthority.org REDUCING THE COST OF ENERGY IN ALASKA AKENERGYAUTHORITY.ORG MEMORANDUM TO: Curtis W. Thayer, Executive Director FROM: TW patch, Director of Planning DATE: March 30, 2022 RE: Electric Utility Relief Program (EURP) Below is an update on the Electric Utility Relief Program (EURP) Round 1 – See attached Spreadsheet Round 2 • Electric Utility Relief Program Round 2 opened on February 15, 2022 for accepting applications and closed on March 15, 2022 at 4:30 pm. • 6 applications received from the following communities: o Alaska Power & Telephone o Alaska Village Electric o Birch Creek Tribe o Nanek Electric o Chignik Lake o Nelson Lagoon • Total requested amount $42,860.14. • Final Review for this round should be completed by March 29, 2022 barring any delay in response by applicants and approved amount paid shortly thereafter. • Anticipated close to program by April 15, 2022. UtilityName GrantNumberRequestedAmountStatusDisbursedAmountAkiachak Native Community Electric Company 9220019 6,773.42$                 Disbursed 6,773.42$                     Program Amount 6,830,000.00$          Alaska Electric Light and Power Company 9220025 192,283.53$             Disbursed 104,822.21$                 Total Amount Requested 4,862,572.81$          Alaska Power Company 9220008 21,664.33$               Disbursed 15,134.89$                   Number of Grants 35Barrow Utilities and Electric Cooperative, INC. 9220018 10,689.16$               Disbursed 2,029.52$                     Beaver Joint Utilities 9220012 3,551.14$                 Denied‐$                               Disbursed 31Chugach Electric Association 9220009 1,649,384.00$         Disbursed 1,023,269.64$             Disbursed Amount 2,956,178.49$          City and Borough of Wrangell, AK 9220023 11,559.12$               Disbursed 3,704.27$                     City of Chignik 9220021 8,110.70$                 Disbursed 8,110.70$                     Withdrawn 2City of Hughes Power & Light Company 9220003 37,314.59$               Disbursed 8,775.51$                     Withdrawn Amount 41,569.58$                City of Nikolai 9220013 9,408.47$                 Disbursed 9,408.47$                     Golden Valley Electric Association, Inc. 9220024 1,025,576.00$         Disbursed 403,574.10$                 Denied 2Golovin Power 9220016 2,616.55$                 Disbursed 2,616.35$                     Denied Amount 27,023.80$                Homer Electric Association 9220022 711,053.06$             Disbursed 594,565.17$                 Inside Passage Electric Cooperative 9220010 5,546.48$                 Disbursed 5,315.95$                     Total Funds Remaining 3,873,821.51$          Kotzebue Electric Association Inc. 9220011 7,354.65$                 Disbursed 5,690.85$                     Percentage Funds Remaining 57%Kwig Power Company 9220004 29,952.12$               Disbursed 29,952.12$                   Manokotak Power Company 9220035 39,814.66$               Disbursed 21,152.21$                   Matanuska Electric Association, Inc. 9220005 39,025.21$               Disbursed 37,802.96$                   McGrath Light & Power 9220031 207,795.67$             Disbursed 41,402.45$                   Middle Kuskokwim Electric Cooperative, Inc. 9220030 26,711.91$               Disbursed 5,589.81$                     Naterkaq Light & Power 9220034 25,300.78$               Disbursed 19,091.51$                   Nome Joint Utility System 9220028 41,349.28$               Withdrawn‐$                               North Slope Borough 9220020 549,036.93$             Disbursed 503,134.37$                 Nushagak Electric & Telephone Cooperative Inc. 9220036 7,703.18$                 Disbursed 7,703.13$                     Pedro Bay Village Council ‐ Electric Utility 9220029 3,721.11$                 Disbursed 3,208.72$                     Pelican Utility District 9220015 13,312.03$               Disbursed 13,312.03$                   Petersburg Borough 9220007 32,250.49$               Disbursed 17,298.71$                   Puvurnaq Power Company 9220017 23,472.66$               Denied‐$                               Rampart Village Council 9220026 7,561.22$                 Disbursed 7,120.65$                     Takotna Community Assn. 9220014 23,142.17$               Disbursed 23,142.17$                   TDX Adak Generating, LLC 9220033 1,071.66$                 Disbursed 1,071.66$                     TDX Manley Generating, LLC 9220027 220.30$                    Withdrawn‐$                               TDX Sand Point Generating, LLC 9220032 8,379.34$                 Disbursed 1,526.84$                     Twin Hills Village Council 9220006 61,225.00$               Disbursed 12,292.08$                   Unalakleet Valley Electric Co‐operative 9220001 18,641.89$               Disbursed 17,586.02$                   4,862,572.81$          2,956,178.49$          ELECTRIC UTILITY RELIEF PROGRAM Rnd 1AS OF 3/16/22 @ 9:00 am Disbursed Amount$2,956,178.49Total Funds Remaining$3,873,821.51 Disbursed AmountTotal Funds Remaining Award No Project Name DC Funding Perf. Period Beg Perf. Period Thru Actions Since Last Report Estimated Jobs Created Permanent Jobs Created 01432-10 BFU - Tatitlek 1,472,000 6/1/2013 5/30/2022 None 30 2 01474-08 BFU - Chalkytsik 517,500 6/16/2015 12/31/2022 None 30 2 01485-05 START Communities Tech Asst 375,000 11/1/2015 3/30/2023 None 2 0 01492-09 BFU - Beaver 608,000 7/6/2016 12/31/2022 None 5 2 01500-07 Bulk Fuel Operator Training 1,010,000 9/1/2016 6/30/2022 None 3 0 01515-08 Circuit Rider Program 1,200,000 1/1/2017 12/31/2022 None 3 0 01516-07 RPSU - Maintenance & Improvement 748,776 10/1/2016 12/31/2022 None 20 0 01523-07 Miscellaneious Small M&I Projects 1,220,000 6/1/2017 12/31/2022 None 20 0 01525-06 Power Plant Operator Training 647,514 8/15/2017 6/30/2022 None 3 0 01544-04 Itinerant Utility Training 500,000 3/1/2018 6/30/2022 None 3 0 01548-07 RPSU M&I - Statewide 3,090,000 5/1/2018 9/30/2023 None 20 0 01551-06 RPSU - Venetie 250,000 5/1/2018 12/31/2022 None 5 2 01557-02 Barge Headers and Fill Lines 3,976,820 10/1/2018 12/31/2022 None 60 0 01571-02 BFU - Nunapitchuk 3,522,546 8/15/2019 12/31/2023 None 30 2 01574-02 RPSU - Nikolai 1,733,740 8/1/2019 3/31/2023 None 5 2 01575-04 RPSU - Nelson Lagoon 135,455 8/1/2019 12/31/2022 Extend Period of Performance 5 2 01576-03 RPSU - Rampart 1,733,740 8/1/2019 3/31/2023 None 5 2 01577-04 RPSU - Napaskiak 335,455 8/1/2019 9/30/2022 None 26 2 01592-02 BFU - Scammon Bay 300,000 2/17/2020 5/5/2022 Extend Period of Performance 5 2 01600-01 VEEP - Statewide 875,000 6/15/2020 12/31/2022 None 3 0 01610-03 BFU - Ekwok 100,000 9/1/2020 6/30/2022 Extend Period of Performance 30 2 01611-00 Engineering Library 100,000 9/1/2020 6/30/2022 None 1 0 01618-00 Fivemile Creek Hydroelectric Project 2,880,000 9/1/2020 12/31/2022 None 65 2 01628-01 Craig High School Biomass Project 440,417 11/1/2020 12/31/2022 None 8 2 01645-00 O&M Manual Conversion and Training 75,000 4/1/2021 9/30/2022 None 4 0 01646-00 Bulk Fuel Inventory and Assessment 480,000 4/1/2021 12/31/2023 None 20 0 01647-01 Port Heiden Electrical Distribution Upgrades 1,905,600 4/1/2021 12/31/2024 Extend Period of Performance / Add Funds 8 0 01666-00 DOE Littoral Power Systems Hydrokinetic Project 80,642 11/15/2021 12/31/2022 None 1 0 Total Funding for Active DC Awards:30,313,205 Less Total Spending on Active DC Awards:(11,559,060) Total Funding Remaining on Active DC Awards:18,754,145 Active Denali Commission Awards As of 04/04/2022 813 W Northern Lights Blvd, Anchorage, AK 99503  Phone: (907) 771-3000  Fax: (907) 771-3044  Email: info@akenergyauthority.org REDUCING THE COST OF ENERGY IN ALASKA AKENERGYAUTHORITY.ORG RGYAUTHORITY.ORG TO: Curtis Thayer, Executive Director FROM: Tim Sandstrom, Chief Operating Officer DATE: April 13, 2022 SUBJECT: AEA Rural Programs & Projects Highlights Training Highlight AEA, with funding partner the Denali Commission, provided training at the Seward AVTEC facility for 219 power plant and bulk fuel operators over the last five years. This training is fundamental to maximizing the useful life of rural energy infrastructure. It also develops well-paying local jobs in rural communities. Two new powerhouse modules for 2022 - 23 construction Powerhouse modules for Nikolai and Nelson Lagoon will be bid and constructed in Anchorage. After completion and testing they will be shipped to the respective sites installed and commissioned. Extensive onsite training is conducted with the local operators and utility managers before turning the project over to the community. The estimated cost is $11.25 MM for the two projects. This reflects a price increase of approximately 50% over the last powerhouse modules. The cost increase can be directly linked to inflation, logistics delays, and work force shortages. Bulk Fuel Inventory & Assessment Currently developing the survey questions and scoring methodology. RFP is in draft form and will be published this spring. The project will also include a fuel sampling program to gain data on what types of fuels are being used in each facility and a relative assessment of the fuel quality available in rural Alaska (major concern for newer engines). Part of the delay is developing a methodology to bring the expected costs down, in order to facilitate a more comprehensive inventory. Initial community to be assessed will come from the Denali Commission priority list we are currently working with, and others identified through the M&I Program. 813 W Northern Lights Blvd, Anchorage, AK 99503  Phone: (907) 771-3000  Fax: (907) 771-3044  Email: info@akenergyauthority.org REDUCING THE COST OF ENERGY IN ALASKA AKENERGYAUTHORITY.ORG RGYAUTHORITY.ORG MEMORANDUM TO: Curtis W. Thayer, Executive Director FROM: Bryan Carey, P.E., Director, Owned Assets DATE: March 30, 2022 RE: Railbelt Reliability Council After nearly two years of work by Railbelt stakeholders the first meeting of the Railbelt Reliability Council (RRC) was held in March 2022 and the foundational documents were submitted to the Regulatory Commission of Alaska on March 25 for certification. The RRC Board contains Railbelt utilities, small & large consumers, Independent Power Producers, environmental, non-affiliated, and Alaska Energy Authority representatives. The voting Board members are: Julie Estey (Chair), Suzanne Settle (Vice-chair) Brian Hickey, Frank Perkins, David B. Thomas, Dave Burlingame, Lou Florence, Bryan Carey, Joel Groves, Verdi di Suvero, Paul Morrison, Chris Rose, and William Koegel . It is expected that by the end of 2022 the RRC will be approved by the RCA and the hiring of the Chief Executive Officer and staff be in process. The first significant item of work will be the creation of an Integrated Resource Plan (IRP) for the Railbelt. The IRP will take several years with input from stakeholders on various transmission and generation projects along the Railbelt to determine the desired future mix of generation and transmission projects. The RCA will be using the IRP project list for approving future utility projects. Standardization of interconnection requirements will more enable project development in areas of resource rich (wind, solar, gas, hydro) to provide energy to the entire Railbelt. From:Curtis W. Thayer To:David Scott; melissa.kookesh@alaska.gov Cc:Jennifer L. Bertolini; Curtis W. Thayer Subject:RE: Stedman request Date:Thursday, March 31, 2022 1:46:29 PM Attachments:image001.png image002.png Stedman Request PCE Data IPEC 2010-2021.xlsx David, This is likely more information then you needed---but let me know if you have any questions. Curtis Best Regards, Curtis W. Thayer Executive Director 813 W Northern Lights Boulevard, Anchorage AK 99503 (907) 771-3009 (office) (907) 744-4704 (cell) cthayer@akenergyauthority.org From: David Scott <David.Scott@akleg.gov> Sent: Friday, March 25, 2022 4:15 PM To: melissa.kookesh@alaska.gov Cc: Curtis W. Thayer <cthayer@akenergyauthority.org> Subject: Stedman request CAUTION: This email originated from outside of the organization. Do not click links or open attachments unless you recognize the sender and know the content is safe. Hi Melissa & Curtis: Senator Stedman is requesting to receive the data (in excel if possible) for IPEC that is in the attached report. Can we please get the data from 2010 up to the most recent available? Thanks, Dave David Scott Office of Senator Stedman 465-3712 PCE DATA - Inside Passage Electric (IPEC) - 2010 THRU 2021 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 A B C D H I K L M N O P Q R T Year Utility/Community Last Reported Residential Rate (based on 500 kWh) Last PCE Rate Applied Residential Customers Community Facilities Eligible PCE kWh - Residential Eligible PCE kWh - Community Facilities Total Eligible PCE kWh PCE Payments Made Total kWh Sold Total Fuel Used Diesel (Gallons) Total Fuel Used Diesel (Cost) Avg Price of Fuel ($/gal) Total kWh Generated (Diesel) 2021 Angoon PCE 0.61$ 0.32$ 200 8 613,324 169,634 782,958 209,942$ 1,598,471 125,526 249,274$ 1.99$ 1,804,812 Chilkat Valley PCE 0.61$ 0.32$ 218 1 592,612 22,474 615,086 165,859$ 1,170,440 - $ -$ -- Hoonah PCE 0.61$ 0.32$ 410 27 1,438,885 589,378 2,028,263 545,184$ 4,338,853 220,011 431,834$ 1.96$ 3,202,358 Kake PCE 0.61$ 0.32$ 237 14 809,657 188,752 998,409 267,452$ 1,992,988 115,213 229,518$ 1.99$ 1,735,436 Klukwan PCE 0.61$ 0.32$ 50 9 176,215 79,800 256,015 68,649$ 430,716 - $ -$ -- Utility Company Total 1,115 59 3,630,693 1,050,038 4,680,731 1,257,086$ 9,531,468 460,750 910,626$ 1.98$ 6,742,606 2020 Angoon PCE 0.60$ 0.33$ 195 8 583,441 186,588 770,029 268,609$ 1,518,280 119,701 324,598$ 2.71$ 1,717,656 Chilkat Valley PCE 0.60$ 0.33$ 211 1 569,144 1,495 570,639 204,882$ 1,099,212 - $ -$ -- Hoonah PCE 0.60$ 0.33$ 392 27 1,439,416 615,497 2,054,913 717,931$ 4,283,328 234,537 637,745$ 2.72$ 3,436,087 Kake PCE 0.60$ 0.33$ 237 15 766,406 180,127 946,533 330,644$ 1,967,777 148,456 402,756$ 2.71$ 2,276,881 Klukwan PCE 0.60$ 0.33$ 48 7 174,349 78,960 253,309 88,371$ 439,728 - $ -$ -- Utility Company Total 1,083 58 3,532,756 1,062,667 4,595,423 1,610,437$ 9,308,325 502,694 1,365,098$ 2.72$ 7,430,624 2020 Angoon PCE 0.60$ 0.34$ 196 8 596,805 227,406 824,211 285,268$ 1,525,400 124,458 351,176$ 2.82$ 1,717,656 Chilkat Valley PCE 0.60$ 0.34$ 214 1 543,983 1,372 545,355 189,202$ 1,102,959 - $ -$ -- Hoonah PCE 0.60$ 0.34$ 382 27 1,359,108 608,052 1,967,160 681,485$ 4,026,944 263,981 740,627$ 2.81$ 3,436,087 Kake PCE 0.60$ 0.34$ 247 15 758,073 185,962 944,035 327,248$ 1,891,144 153,514 432,531$ 2.82$ 2,276,881 Klukwan PCE 0.60$ 0.34$ 47 9 178,361 78,120 256,481 88,731$ 436,887 - $ -$ -- Utility Company Total 60 3,436,330 1,100,912 4,537,242 1,571,934$ 8,983,334 541,953 1,524,334$ 2.81$ 7,430,624 2018 Angoon PCE 0.56$ 0.31$ 193 8 616,778 221,842 838,620 255,108$ 1,581,236 120,226 294,298$ 2.45$ 1,792,705 Chilkat Valley PCE 0.56$ 0.31$ 210 1 564,530 1,436 565,966 172,074$ 1,070,801 - $ -$ -- Hoonah PCE 0.56$ 0.31$ 377 28 1,384,370 630,574 2,014,944 613,082$ 4,198,932 246,002 603,533$ 2.45$ 3,486,555 Kake PCE 0.56$ 0.31$ 238 15 787,631 192,659 980,290 298,322$ 1,968,818 152,721 372,245$ 2.44$ 2,242,369 Klukwan PCE 0.56$ 0.31$ 48 9 179,428 79,660 259,088 78,784$ 460,990 - $ -$ -- Utility Company Total 1,066 61 3,532,737 1,126,171 4,658,908 1,417,370$ 9,280,777 518,949 1,270,077$ 7.34$ 7,521,629 2017 Angoon PCE 0.53$ 0.29$ 199 8 637,647 201,605 839,252 237,010$ 1,598,233 126,487 271,940$ 2.15$ 1,832,776 Chilkat Valley PCE 0.53$ 0.29$ 214 1 561,013 1,399 562,412 159,481$ 1,108,722 - $ -$ -- Hoonah PCE 0.53$ 0.29$ 387 28 1,401,108 618,634 2,019,742 573,051$ 4,228,766 233,786 496,226$ 2.12$ 3,546,296 Kake PCE 0.53$ 0.29$ 245 14 832,783 202,815 1,035,598 293,382$ 1,991,469 169,760 365,590$ 2.15$ 2,229,319 Klukwan PCE 0.53$ 0.29$ 49 9 179,816 78,120 257,936 73,012$ 438,378 - $ -$ -- Utility Company Total 1,094 60 3,612,367 1,102,573 4,714,940 1,335,936$ 9,365,568 530,033 1,133,756$ 2.14$ 7,608,391 PCE DATA - Inside Passage Electric (IPEC) - 2010 THRU 2021 1 A B C D H I K L M N O P Q R T Year Utility/Community Last Reported Residential Rate (based on 500 kWh) Last PCE Rate Applied Residential Customers Community Facilities Eligible PCE kWh - Residential Eligible PCE kWh - Community Facilities Total Eligible PCE kWh PCE Payments Made Total kWh Sold Total Fuel Used Diesel (Gallons) Total Fuel Used Diesel (Cost) Avg Price of Fuel ($/gal) Total kWh Generated (Diesel) 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 2016 Angoon PCE 0.47$ 0.24$ 196 8 646,158 230,281 876,439 237,341$ 1,587,342 126,011 322,921$ 2.56$ 1,826,961 Chilkat Valley PCE 0.47$ 0.24$ 216 1 536,941 1,198 538,139 145,774$ 1,129,877 - $ -$ -- Hoonah PCE 0.47$ 0.24$ 391 28 1,431,233 556,575 1,987,808 538,322$ 4,197,469 223,262 579,792$ 2.60$ 3,307,649 Kake PCE 0.47$ 0.24$ 247 14 862,343 223,058 1,085,401 294,458$ 2,002,393 170,593 436,930$ 2.56$ 2,294,968 Klukwan PCE 0.47$ 0.24$ 48 9 168,423 66,998 235,421 63,712$ 382,281 - $ -$ -- Utility Company Total 1,098 60 3,645,098 1,078,110 4,723,208 1,279,606$ 9,299,362 519,866 1,339,643$ 2.58$ 7,429,578 2015 Angoon PCE 0.59$ 0.37$ 200 8 640,012 238,475 878,487 339,194$ 1,613,326 130,963 477,228$ 3.64$ 1,842,917 Chilkat Valley PCE 0.59$ 0.37$ 204 1 522,260 1,082 523,342 201,778$ 1,082,198 - $ -$ -- Hoonah PCE 0.59$ 0.37$ 391 28 1,433,055 570,293 2,003,348 772,418$ 4,323,699 314,793 1,146,242$ 3.64$ 4,734,244 Kake PCE 0.59$ 0.37$ 229 16 854,510 212,208 1,066,718 412,721$ 2,379,443 201,609 736,280$ 3.65$ 2,739,418 Klukwan PCE 0.59$ 0.37$ 48 9 163,515 65,905 229,420 88,374$ 345,076 - $ -$ -- Utility Company Total 1,072 62 3,613,352 1,087,963 4,701,315 1,814,485$ 9,743,742 647,365 2,359,749$ 3.65$ 9,316,579 2014 Angoon PCE 0.62$ 0.40$ 196 8 645,313 207,929 853,242 343,660$ 1,571,232 130,625 507,538$ 3.89$ 1,797,775 Chilkat Valley PCE 0.62$ 0.40$ 207 1 517,848 949 518,797 208,570$ 1,065,433 - $ -$ -- Hoonah PCE 0.62$ 0.40$ 372 28 1,419,497 584,832 2,004,329 805,765$ 4,265,453 314,168 1,224,178$ 3.90$ 4,654,869 Kake PCE 0.62$ 0.40$ 230 15 847,737 226,350 1,074,087 437,736$ 2,758,557 220,851 863,502$ 3.91$ 3,078,307 Klukwan PCE 0.62$ 0.40$ 49 9 157,706 64,362 222,068 89,235$ 352,516 - $ -$ -- Utility Company Total 1,054 61 3,588,101 1,084,422 4,672,523 1,884,966$ 10,013,191 665,644 2,595,218$ 3.90$ 9,530,951 2013 Angoon PCE 199 8 675,988 214,574 890,562 380,598$ 1,600,238 133,093 557,471$ 4.19$ 1,823,517 Chilkat Valley PCE 0.68$ 0.46$ 206 1 544,126 789 544,915 233,374$ 1,100,020 - $ -$ -- Hoonah PCE 0.68$ 0.46$ 371 28 1,449,839 557,663 2,007,502 858,064$ 4,274,532 315,632 1,322,017$ 4.19$ 4,659,732 Kake PCE 0.68$ 0.46$ 236 15 905,211 230,706 1,135,917 485,361$ 2,672,032 205,961 862,556$ 4.19$ 2,952,396 Klukwan PCE 0.68$ 0.46$ 49 9 165,142 65,911 231,053 98,677$ 334,431 - $ -$ -- Utility Company Total 1,061 61 3,740,306 1,069,643 4,809,949 2,056,074$ 9,981,253 654,686 2,742,045$ 4.19$ 9,435,645 2012 Angoon PCE 198 8 693,284 248,094 941,378 397,755$ 1,815,648 139,419 553,914$ 3.97$ 2,033,389 Chilkat Valley PCE 0.63$ 0.42$ 203 1 554,558 915 555,473 234,912$ 1,111,104 - $ -$ -- Hoonah PCE 0.63$ 0.42$ 368 32 1,447,813 567,425 2,015,238 852,696$ 4,344,829 328,490 1,306,174$ 3.98$ 4,803,438 Kake PCE 0.63$ 0.42$ 235 16 893,785 238,531 1,132,316 479,138$ 2,609,982 216,348 862,275$ 3.99$ 2,886,541 Klukwan PCE 0.63$ 0.42$ 46 9 170,451 64,227 234,678 99,133$ 365,384 - $ -$ -- Utility Company Total 1,050 66 3,759,891 1,119,192 4,879,083 2,063,635$ 10,246,947 684,257 2,722,363$ 3.98$ 9,723,368 PCE DATA - Inside Passage Electric (IPEC) - 2010 THRU 2021 1 A B C D H I K L M N O P Q R T Year Utility/Community Last Reported Residential Rate (based on 500 kWh) Last PCE Rate Applied Residential Customers Community Facilities Eligible PCE kWh - Residential Eligible PCE kWh - Community Facilities Total Eligible PCE kWh PCE Payments Made Total kWh Sold Total Fuel Used Diesel (Gallons) Total Fuel Used Diesel (Cost) Avg Price of Fuel ($/gal) Total kWh Generated (Diesel) 62 63 64 65 66 67 68 69 70 71 72 73 2011 Angoon PCE 0.61$ 0.38$ 193 8 657,310 226,279 883,589 324,662$ 1,825,732 141,499 435,543$ 3.08$ 2,052,011 Chilkat Valley PCE 0.61$ 0.38$ 200 1 571,769 1,030 572,799 207,094$ 1,207,436 - -$ -$ - Hoonah PCE 0.61$ 0.38$ 353 32 1,437,333 540,738 1,978,071 719,741$ 4,361,553 325,172 1,004,066$ 3.09$ 4,760,212 Kake PCE 0.61$ 0.38$ 226 13 835,925 172,646 1,008,571 377,050$ 2,285,784 186,054 574,210$ 3.09$ 2,581,902 Klukwan PCE 0.61$ 0.38$ 49 8 172,657 56,420 229,077 83,605$ 375,753 - -$ -$ - Utility Company Total 1,021 62 3,674,994 997,113 4,672,107 1,712,151$ 10,056,258 652,725 2,013,819$ 3.09$ 9,394,125 2010 Angoon PCE 0.57$ 194 7 599,310 207,930 807,240 258,263$ 1,739,193 137,730 348,708$ 2.53$ 1,953,750 Chilkat Valley PCE 0.57$ 36.30$ 204 1 581,995 987 582,982 172,742$ 1,163,542 - -$ -$ - Hoonah PCE 0.57$ 36.30$ 358 28 1,420,263 497,121 1,917,384 567,816$ 4,274,752 330,476 864,850$ 2.62$ 4,702,798 Kake PCE 0.57$ 36.30$ 221 12 831,966 82,500 914,466 295,143$ 2,197,459 189,678 495,702$ 2.61$ 2,501,933 Klukwan PCE 0.57$ 36.30$ 47 7 159,521 31,314 190,835 62,828$ 370,507 - -$ -$ - Utility Company Total 1,024 55 3,593,055 819,852 4,412,907 1,356,792$ 9,745,453 657,884 1,709,260$ 2.60$ 9,158,481 ELECTRIC VEHICLE INFRASTRUCTURE Curtis W. Thayer Executive Director House Energy Committee March 29, 2022 ALASKA ENERGY AUTHORITY AEA EV Mission Statement Lead the effort to minimize barriers that inhibit EV adoption in Alaska. Dimond Center EV Car Show and Ride & Drive, Anchorage, AK AEA EV Infrastructure | House Energy Committee| March 22, 2022 02 Working Group Technical Sessions EV Car Show / Ride and Drive School bus in Tok Transit bus in Juneau MOA box truck Installation of L2 and DCFC EV Program Overview Alaska’s First Electric School Bus, Tok, AK Capital Transit Battery-Electric Bus, Juneau, AK 03 Lack of charging infrastructure Range anxiety High demand charges Cold climate performance Market availability of electric AWD, SUVs, and trucks Barriers to EV Adoption in Alaska Dimond Center EV Car Show and Ride & Drive, Anchorage, AK AEA EV Infrastructure | House Energy Committee| March 22, 2022 04 Existing and Planned EV Fast-Charging Locations Glenn Highway -Chugiak –94 miles from Trapper Creek Parks Highway -Trapper Creek –95 mi from Cantwell -Cantwell –38 miles from Healy -Healy –110 miles from Fairbanks Seward Highway Seward –46 miles from Cooper Landing Sterling Highway Homer –76 miles from Soldotna Soldotna –46 miles from Cooper Landing Cooper Landing –95 miles from Anchorage Seward Highway Anchorage –27 miles from Chugiak (50-12 kW CSS and CHAdeMo) AEA EV Infrastructure | House Energy Committee| March 22, 2022 05 Two sites completed in Anchorage 2021 Linny Pacillo Parking Garage Snowden Administration Building Two more sites planned for 2022-2023 AEA office parking lot Ted Stevens Anchorage International Airport State and Federal SEP funds Level 2 Chargers At State Facilities EV Level 2 Charger, Linny Pacillo Parking Garage, Anchorage, AKEV Level 2 Charger, Snowden Building, Anchorage, AK EV Charging and Fueling Infrastructure Program -$2.5 Billion State, local, tribal governments, port authorities, metropolitan planning organizations Partnerships with private entities Procurement, installation, 5 years O&M 80% federal share 20% match from applicant or private entity 50% Alternative Fuel Corridors Publicly accessible Priority for rural areas, underserved communities, areas with limited access to infrastructure Procurement, installation, 5 years O&M Also preconstruction, planning, feasibility, public education $15 million cap per project 80% federal share 20% match from private entity 50% Community Grant Program AEA EV Infrastructure | House Energy Committee| March 22, 2022 07 >$50 Million for Alaska FY22-FY26 -$7.8 million in FY22 EV Fast-charging Installations -4 Combined Charging System Connectors ->150 kW each -< 50 miles apart -Within 1 mile of highway Designated Alternative Fuel Corridors -Until fully built out Interstate Highway System Priority Implementation Plan due August 1, 2022 Federal Share –80% Private entity or other –20% NEVI Formula Program AEA EV Infrastructure | House Energy Committee| March 22, 2022 08 National EV Infrastructure (NEVI) Formula Program Schedule 09 NEVI Formula Program Timeline AFC Nominations Due NEVI Implementation Plan Due DOT/DOE Joint Office Approves Plan MAY 13, 2022 AUG. 1, 2022 SEPT. 30, 2022 AEA EV Infrastructure | House Energy Committee| March 22, 2022 10 Submitted comments to the Federal Highway Administration (FHWA) Request for information (RFI) Memorandum of Agreement (MOA) with Departments of Motor Vehicles (DMV) for data sharing MOA with Department of Transportation & Public Facilities (DOT&PF) Stakeholder outreach (utilities, municipalities, other interested parties) Interagency coordination (DEC, DMV, DOA DOT&PF, and DNR Parks) Gather baseline data (registered EVs, existing and planned Electric Vehicle Supply Equipment) Request For Proposal (RFP) for EV contractor out to bid Release RFI/RFP for interested site hosts Nominate Alternative Fuel Corridors Continue interagency coordination, stakeholder outreach, data compilation NEVI Implementation Plan due 8/1/2022 AEA EV Program Planning Activities AEA EV Infrastructure | House Energy Committee| March 22, 2022 11 813 W Northern Lights Blvd. Anchorage, AK 99503 Main: (907) 771-3000 Fax: (907) 771-3044 akenergyauthority.org @alaskaenergyauthority @alaskaenergyauthority Alaska Energy Authority 12 From:Curtis W. Thayer To:Laib.Allensworth@akleg.gov; Tyler.Newcombe@akleg.gov; Emma Torkelson Cc:Jennifer L. Bertolini; Curtis W. Thayer Subject:Alaska Energy Authority--REF Projects by Energy Region + Rd14 Summary - REF Ext Bill - Senate Finance Committee Request Date:Wednesday, March 23, 2022 12:15:56 PM Attachments:REF_PROJECTS_BY_ENERGY_REGION_AND_RD14_SUMMARY.xlsx image002.png image003.png Attached is a summary of all REF projects by Energy Region, along with a summary of those Rd14 applications under review, as requested by the Senate Finance Committee for the REF Extension bill. Those REF projects under development are denoted by blue highlight. Please let me know if you need anything else. Thank you---Curtis Best Regards, Curtis W. Thayer Executive Director 813 W Northern Lights Boulevard, Anchorage AK 99503 (907) 771-3009 (office) (907) 744-4704 (cell) cthayer@akenergyauthority.org Energy RegionPJ CodeLocationCodeAEA Project Name Community NameHouseDistrictSenate District PopulationPopulationCount YR.Native Corporation Electric Utility Budget Spent Budget Spent403038 100Adak Diesel Hybrid - ClosedAdak Aleutians 37 S 298 2019 Aleut Corporation Individual Generators76,369.00 76,369.00 5,756.00 5,756.00407106100Adak Hydro Power Generator R9-ClosedAdak Aleutians 37 S 298 2019 Aleut Corporation Individual Generators----406010105Akutan Geothermal Development Prj - ClosedAkutan Aleutians 37 S 990 2019 Aleut Corporation Individual Generators5,463,792.00 5,463,792.00 441,689.85 881,759.17407061 105Loud Creek Hydro-ClosedAkutan Aleutians 37 S 990 2019 Aleut Corporation Individual Generators206,295.92 206,295.92 - -407062 105Town Crk Hydro-Design for Repairs/Upgrades -ClosedAkutan Aleutians 37 S 990 2019 Aleut Corporation Individual Generators162,000.00 162,000.00 - -407072 105Akutan Hydroelectric System Repair/Upgrade-ClosedAkutan Aleutians 37 S 990 2019 Aleut Corporation Individual Generators1,391,000.00 1,391,000.00 135,633.35 135,633.35403039 124Atka Hydro Dispatched Excess Elect. Power-CLOSEDAtka Aleutians 37 S 50 2019 Aleut Corporation Individual Generators56,702.31 56,702.31 16,179.09 16,179.09407033 124Chuniisax Cr Hydroelectric Construction - ClosedAtka Aleutians 37 S 50 2019 Aleut Corporation Individual Generators996,000.00 996,000.00 1,918,891.00 1,953,836.59403069 167Cold Bay Waste Heat Recovery Project - ClosedCold Bay Aleutians 37 S 60 2019 Aleut Corporation City of Seward17,524.50 17,524.50 1,188.75 1,188.75410061 167Cold Bay Electric Utility Wind Energy R4-ClosedCold Bay Aleutians 37 S 60 2019 Aleut Corporation City of Seward57,591.91 57,591.91 7,987.00 7,987.00410079 210False Pass Wind Energy Project R4-CLOSEDFalse Pass Aleutians 37 S 42 2019 Aleut Corporation City of Diomede68,653.75 68,653.75 5,000.00 5,000.00407090278Waterfall Creek Hydroelectric Project - ClosedKing Cove Aleutians 37 S 919 2019 Aleut Corporation Homer Electric Association, Incorporated2,800,000.00 2,800,000.00 1,500,000.00 2,746,513.24410070341Nelson Lagoon Wind Energy Project R4-ClosedNelson Lagoon Aleutians 37 S 30 2019 Aleut Corporation Homer Electric Association, Incorporated75,756.47 75,756.47 7,260.00 7,260.00410028 351Nikolski Wind Integration Construction - ClosedNikolski Aleutians 37 S 17 2019 Aleut Corporation North Slope Borough Power and Lights Systems409,430.00 409,430.00 41,500.00 69,082.24410029 408St. George Wind Farm Construction-ClosedSaint George Aleutians 37 S 59 2019 Aleut Corporation Golden Valley Electric Association, Incorporated1,485,167.34 1,485,167.34 - -403040411Saint Paul Fuel Economy Upgrade R3-CLOSEDSaint Paul Aleutians 37 S 385 2019 Aleut Corporation City and Borough of Wrangell98,149.00 98,149.00 19,238.52 19,238.52409023 411St. Paul Wind Diesel Project R3 - ClosedSaint Paul Aleutians 37 S 385 2019 Aleut Corporation City and Borough of Wrangell1,790,301.15 1,790,301.15 191,605.61 191,605.61407051 414Aleutians East Borough Feasibility Study - ClosedSand Point Aleutians 37 S 897 2019 Aleut Corporation City of Peterburg25,000.00 25,000.00 15,000.00 15,177.25410050414Sand Point Wind-ClosedSand Point Aleutians 37 S 897 2019 Aleut Corporation City of Peterburg639,494.85 639,494.85 437,900.00 437,900.00410100414Sand Point Excess Wind Utilization - ClosedSand Point Aleutians 37 S 897 2019 Aleut Corporation City of Peterburg307,120.00 307,120.00 79,550.51 79,550.51403032 471Unalaska Heat Recovery Construction-CLOSEDUnalaska Aleutians 37 S 4,592 2019 Aleut Corporation1,300,000.00 1,300,000.00 - -407116471Unalaska Wind - FeasibilityUnalaska Aleutians 37 S 4,592 2019 Aleut Corporation139,000.00 - - -17,565,348.20 17,426,348.20 4,824,379.68 6,573,667.32403070139Brevig Mission Water System Heat Recovery-ClosedBrevig Mission Bering Straits 39 T 451 2019 Bering Straits Native CorporationPaxson Lodge113,076.49 113,076.49 20,574.69 20,574.69410077 202Elim Wind Feasibility R4-ClosedElim Bering Straits 39 T 351 2019 Bering Straits Native CorporationCircle Electric , LLC73,234.00 73,234.00 3,854.00 3,854.00410080 224Gambell Wind Energy Recovery RD5-CLOSEDGambell Bering Straits 39 T 667 2019 Bering Straits Native Corporation Copper Valley Electric Association, Incorporated239,950.00 239,950.00 12,645.00 12,645.00407107 296Koyuk Water System Heat Recovery R9Koyuk Bering Straits 39 T 348 2019 Bering Straits Native CorporationAlaska Village Electric Cooperative90,922.00 81,023.70 910.00 8,393.74410075 296Koyuk Wind Feasibility R4-ClosedKoyuk Bering Straits 39 T 348 2019 Bering Straits Native CorporationAlaska Village Electric Cooperative16,142.00 16,142.00 850.00 850.00406013 354Pilgrim Hot Springs Geothermal Assess R3,R4-ClosedNome Bering Straits 39 T 3,6902019 Bering Straits Native CorporationKipnuk Light Plant1,943,410.72 1,943,410.72 2,313,093.00 2,313,093.00409017 354Nome Banner Peak Wind Farm Trans Const-ClosedNome Bering Straits 39 T 3,6902019 Bering Straits Native CorporationKipnuk Light Plant801,000.00 801,000.00 89,000.00 122,871.43410030354Nome/Newton Peak Wind Farm Construction-ClsdNome Bering Straits 39 T 3,6902019 Bering Straits Native CorporationKipnuk Light Plant8,069,000.00 8,069,000.00 1,159,641.56 1,159,641.56403062 415Savoonga Heat Recovery System R6 CLOSEDSavoonga Bering Straits 39 T 735 2019 Bering Straits Native Corporationn/a425,234.32 425,234.32 10,452.57 10,452.57410053 423Shaktoolik Wind-ClosedShaktoolik Bering Straits 39 T 272 2019 Bering Straits Native Corporation Barrow Utilities and Electric Cooperative Incorporated2,465,633.00 2,465,633.00 374,280.00 374,280.00410081 423Shaktoolik Surplus Wind Energy Recovery RD5-CLOSEDShaktoolik Bering Straits 39 T 272 2019 Bering Straits Native Corporation Barrow Utilities and Electric Cooperative Incorporated239,230.00 239,230.00 12,645.00 12,645.00403055 425Shishmaref Heat Recovery Project R5ShishmarefBering Straits 39 T 577 2019 Bering Straits Native CorporationMatanuska Electric Association, Incorporated310,841.00 42,418.32 16,360.00 13,741.72407108 425Shishmaref Wind Feasibility&Conceptual Design R9ShishmarefBering Straits 39 T 577 2019 Bering Straits Native CorporationMatanuska Electric Association, Incorporated152,000.00 625.00 8,000.00 251.00403065 436Stebbins Heat Recovery Project R6-ClosedStebbins Bering Straits 39 T 618 2019 Bering Straits Native CorporationHomer Electric Association, Incorporated1,319,088.00 1,319,088.00 72,825.00 72,825.00410066436Stebbins/St Michael Wind Feas.FD&Permitting-CLOSEDStebbins Bering Straits 39 T 618 2019 Bering Straits Native CorporationHomer Electric Association, Incorporated479,750.00 479,750.00 170,000.00 171,348.43410054451Teller Wind Analysis-ClosedTellerBering Straits 39 T 235 2019 Bering Straits Native CorporationAnchorage Municipal Light and Power98,165.00 98,165.00 - -410031 470Unalakleet Wind Farm Construction - ClosedUnalakleet Bering Straits 39 T 721 2019 Bering Straits Native Corporation4,000,000.00 4,000,000.00 619,807.00 619,807.00407105 477Wales Water System Heat Recovery R9-CLOSEDWales Bering Straits 39 T 150 2019 Bering Straits Native Corporation69,905.00 63,510.00 - -20,906,581.53 20,470,490.55 4,884,937.82 4,917,274.14407034153Indian Creek Hydro Feasibility StudyChignik Bristol Bay37 S 95 2019 Bristol Bay Native CorporationMatanuska Electric Association, Incorporated198,513.12 198,513.12 - -407036154Chignik Lagoon Hydroelectric Final Design - ClosedChignik Lagoon Bristol Bay37 S 81 2019 Bristol Bay Native CorporationIndividual Generators150,000.00 150,000.00 - -407091 154Packer's Creek Hydroelectric Project - ClosedChignik Lagoon Bristol Bay37 S 81 2019 Bristol Bay Native CorporationIndividual Generators4,346,196.00 4,346,196.00 1,046,938.04 1,046,938.04410033 155Chignik Lake Area Wind-Hydro Final Design-ClosedChignik Lake Bristol Bay37 S 57 2019 Bristol Bay Native CorporationAlaska Power Company74,850.60 74,850.60 9,854.30 9,854.30410088 196Egegik Wind Feasibility Study R6-ClosedEgegik Bristol Bay37 S 85 2019 Bristol Bay Native CorporationG & K, Incorporated60,000.00 60,000.00 16,377.52 16,377.52408002 256Kvichak River - Ocean & River Energy-ClosedIgiugig Bristol Bay37 S 56 2019 Bristol Bay Native CorporationIndividual Generators704,905.21 704,905.21 - -410098 256Igiugig Wind Resource Feasibility & CDR-CLOSEDIgiugig Bristol Bay37 S 56 2019 Bristol Bay Native CorporationIndividual Generators80,000.00 80,000.00 30,000.00 30,000.00410089 291Kokhanok - High-penetration Wind Energy R6Kokhanok Bristol Bay37 S 157 2019 Bristol Bay Native CorporationNorth Slope Borough Power and Lights Systems185,000.00 96,139.78 5,000.00 -407111 292Nuyakuk River Hydro - Conceptual DesignKoliganek Bristol Bay37 S 195 2019 Bristol Bay Native CorporationTDX Adak Generating, LLC1,000,000.00 - - -410072 292New Koliganek Wind & Heat Recovery Feasb-ClosedKoliganek Bristol Bay37 S 195 2019 Bristol Bay Native CorporationTDX Adak Generating, LLC77,853.48 77,853.48 2,575.00 2,575.00402026301Lake & Peninsula Borough Wood Boilers R1,R4-CLOSEDLake & Peninsula Borough Bristol Bay1,622 2019 Bristol Bay Native CorporationUngusrag Power Company280,421.41 280,421.41 18,386.64 18,386.64407035 301Nushagak Area Hydropower Project R3-ClosedLake & Peninsula Borough Bristol Bay1,622 2019 Bristol Bay Native CorporationUngusrag Power Company1,873,223.18 1,873,223.18 - -410032 301Lake Pen Borough Wind Feasibility Study-ClosedLake & Peninsula Borough Bristol Bay1,622 2019 Bristol Bay Native CorporationUngusrag Power Company184,000.00 184,000.00 40,000.00 60,562.47410087 307Levelock Wind Reconnaissance Study R6-ClosedLevelock Bristol Bay37 S 70 2019 Bristol Bay Native CorporationAlaska Village Electric Cooperative10,000.00 10,000.00 1,636.00 1,636.00403068 344New Stuyahok Heat Recovery R6 - ClosedNew Stuyahok Bristol Bay37 S 476 2019 Bristol Bay Native CorporationAlaska Village Electric Cooperative484,897.27 484,897.27 62,000.00 59,931.12409025 344New Stuyahok Wind-Feasibility Analysis R3-ClosedNew Stuyahok Bristol Bay37 S 476 2019 Bristol Bay Native CorporationAlaska Village Electric Cooperative142,500.00 142,500.00 8,885.00 8,885.00407103 375Pedro Bay/Knutson Creek Hydroelectric Project R6Pedro BayBristol Bay37 S 36 2019 Bristol Bay Native CorporationMatanuska Electric Association, Incorporated290,000.00 249,620.95 2,500.00 2,577.98409026 380Pilot Point Wind Power & Heat R3 - ClosedPilot Point Bristol Bay 37 S 81 2019 Bristol Bay Native Corporation Golden Valley Electric Association, Incorporated1,421,240.00 1,421,240.00 111,659.76 111,659.76407073 391Port Alsworth Hydroelectric Construction R3-ClosedPort Alsworth Bristol Bay37 S 226 2019 Cook Inlet Region, IncorporatedAlaska Power Company----407098 391Tazimina Hydroelectric Project Capacity Inc-ClosedPort Alsworth Bristol Bay37 S 226 2019 Cook Inlet Region, IncorporatedAlaska Power Company160,000.00 160,000.00 34,923.45 34,923.45403056456Togiak Waste Heat Recovery ProjectTogiak Bristol Bay37 S 873 2019 Bristol Bay Native Corporation443,030.00 146,158.60 15,000.00 15,000.00407114334Naknek Wind and Solar - FeasibilityNaknek Bristol Bay37 S 488 2019 Bristol Bay Native CorporationAlaska Village Electric Cooperative103,500.00 - - -410062 394Port Heiden Wind Turbine Project R4-ClosedPort Heiden Bristol Bay37 S 105 2019 Bristol Bay Native CorporationMetlakatla Power and Light----12,270,130.27 10,740,519.60 1,405,735.71 1,419,307.28407071 149Chenega Bay Hydro Design and Permitting - ClosedChenega Bay Copper River/Chugach 32 P 0 0 Chugach Alaska Corporation Individual Generators242,231.05 242,231.05 34,932.95 34,932.95410096157Chisana Mountain Wind Feasibility - ClosedChisana Copper River/Chugach 3 2019 Ahtna, Incorporated Igiugig Electric Company67,364.12 67,364.12 29,795.47 29,795.47402028 158Chistochina Central Wood Heating Construction-ClsdChistochina Copper River/Chugach 6 C 83 2019 Ahtna, Incorporated Copper Valley Electric Association, Incorporated500,000.00 500,000.00 12,000.00 61,107.97407058 159Fivemile Creek Hydroelectric Project R2,R4Chitina Copper River/Chugach 6 C 85 2019 Ahtna, Incorporated Alaska Power Company4,095,660.72 538,319.22 3,000,000.00 347,870.70403028 173Cordova Heat Recovery Construction - CLOSEDCordova Copper River/Chugach 32 P 2,343 2019 Chugach Alaska Corporation Alaska Power Company1,780,000.00 1,780,000.00 1,990,000.00 2,017,652.00407037 173Humpback Creek Hydroelectric Construction-ClosedCordova Copper River/Chugach 32 P 2,343 2019 Chugach Alaska Corporation Alaska Power Company4,000,000.00 4,000,000.00 3,400,238.00 3,402,483.00RENEWABLE ENERGY PROJECTS BY ENERGY REGION (*Projects highlighted in blue denote those in-development)As of October 31, 2021Renewable Energy Fund Community ContributionsAleutiansAleutians TotalBering StraitsBering Straits TotalBristol BayBristol Bay TotalCopper River/Chugach 407066173Humpback Creek Hydro Rehabilitation R3 - ClosedCordova Copper River/Chugach 32 P 2,343 2019 Chugach Alaska Corporation Alaska Power Company4,000,000.00 4,000,000.00 5,805,000.00 6,186,291.00407119 173Cordova Hydro Storage Assessment - FeasibilityCordova Copper River/Chugach 32 P 2,343 2019 Chugach Alaska Corporation Alaska Power Company294,642.00 - - -402027 207Cordova Wood Processing Plant Construction-ClosedEyak Copper River/Chugach 0 0 Chugach Alaska Corporation Middle Kuskokwim Electric Cooperative, Incorporated136,760.00 136,760.00 - -402115 207Eyak Biomass Feasibility Study R4-ClosedEyak Copper River/Chugach 0 0 Chugach Alaska Corporation Middle Kuskokwim Electric Cooperative, Incorporated63,998.83 63,998.83 3,000.00 9,235.50402030234Gulkana Central Wood Heating Construction ClosedGulkana Copper River/Chugach 6 C 111 2019 Ahtna, Incorporated City of Golovin500,000.00 500,000.00 - -402019 274KennyLakeSchool Wood Fired BoilerR0,R1,R4-CLOSEDKenny Lake Copper River/Chugach 6 C 305 2019 Ahtna, Incorporated Matanuska Electric Association, Incorporated648,381.23 648,381.23 17,472.04 17,472.04402029 274Kenny Lake Wood-INACTIVE DONT USEKenny Lake Copper River/Chugach 6 C 305 2019 Ahtna, Incorporated Matanuska Electric Association, Incorporated----402127 324Mentasta Comm. Fac Woody Biomass Space Heat-CLOSEDMentasta Lake Copper River/Chugach 6 C 122 2019 Ahtna, Incorporated Copper Valley Electric Association, Incorporated460,000.00 460,000.00 50,000.00 50,000.00403057 448Tatitlek Heat Recovery Project R5-CLOSEDTatitlek Copper River/Chugach 32 P 98 2019 Chugach Alaska Corporation n/a263,444.55 263,444.55 5,273.05 5,273.05410052 448Tatitlek High Penetration Wind Diesel-ClosedTatitlek Copper River/Chugach 32 P 98 2019 Chugach Alaska Corporation n/a51,974.47 51,974.47 48,187.67 56,435.47402138 449Wood Boiler for the Native Vllg of Tazlina-CLOSEDTazlina Copper River/Chugach 6 C 271 2019 Ahtna, Incorporated n/a270,807.00 270,807.00 5,167.00 5,167.00407038 474Allison Lake Hydro Prj Feas. & Construction-ClosedValdez Copper River/Chugach 9 E 3,876 2019 Chugach Alaska Corporation10,288,009.00 10,288,009.00 8,309.09 8,309.0927,663,272.97 23,811,289.47 14,409,375.27 12,232,025.24407059 288Terror Lake Hydroelectric Project-ClosedKodiak Island Borough Kodiak 13,001 2019 Koniag, Incorporated Inside Passage Electric Cooperative3,976,258.68 3,976,258.68 7,815,346.50 7,815,346.50407068 288Terror Lake Unit 3 Hydro Project R3 - ClosedKodiak Island Borough Kodiak 13,001 2019 Koniag, Incorporated Inside Passage Electric Cooperative248,160.00 248,160.00 200,000.00 200,000.00410025 288Pillar Mtn. Wind PH III Kodiak - ClosedKodiak Island Borough Kodiak 13,001 2019 Koniag, Incorporated Inside Passage Electric Cooperative4,000,000.00 4,000,000.00 1,000,000.00 1,000,000.00410082 288Pillar Mountain High Penetration Wind RD5 - ClosedKodiak Island Borough Kodiak 13,001 2019 Koniag, Incorporated Inside Passage Electric Cooperative7,800,000.00 7,800,000.00 7,800,000.00 7,800,000.00407039 368Old Harbor Hydroelectric R1,R4-CLOSEDOld HarborKodiak 32 P 203 2019 Koniag, Incorporated Alaska Village Electric Cooperative462,500.00 462,500.00 37,500.00 50,954.0016,486,918.68 16,486,918.68 16,852,846.50 16,866,300.50410078 103Akiachak Wind Feasibility&Conceptual Design-ClosedAkiachak Lower Yukon‐Kuskokwim 38 S 724 2019 Calista Corporation n/a110,000.00 110,000.00 18,373.44 18,373.44403063 125Atmautluak Washeteria Heat Recovery - ClosedAtmautluak Lower Yukon‐Kuskokwim 38 S 338 2019 Calista Corporation Elfin Cove Utility Commission349,999.97 349,999.97 10,744.00 10,744.00410065 125Atmautluak Wind Renewable Energy R4-ClosedAtmautluak Lower Yukon‐Kuskokwim 38 S 338 2019 Calista Corporation Elfin Cove Utility Commission100,000.00 100,000.00 - -402134133Bethel Heat Recovery Assess&Concept Design-CLOSEDBethel Lower Yukon‐Kuskokwim 38 S 6,259 2019 Calista Corporation n/a645,613.00 623,079.00 34,503.00 34,503.00410034133Bethel Renewable Energy Project R1-ClosedBethel Lower Yukon‐Kuskokwim 38 S 6,259 2019 Calista Corporation n/a2,598,320.00 2,598,320.00 199,889.00 223,299.00410086133Bethel Renewable Energy Project - ClosedBethel Lower Yukon‐Kuskokwim 38 S 6,259 2019 Calista Corporation n/a197,170.18 197,170.18 34,794.74 34,794.74410076148Chefornak Wind Feasibility R4-CLOSEDChefornak Lower Yukon‐Kuskokwim 38 S 457 2019 Calista Corporation Pedro Bay Village130,522.02 130,522.02 8,205.00 8,205.00403071 150Chevak Water & Vacuum Plant Heat RecoveryChevak Lower Yukon‐Kuskokwim 39 T 1,0142019 Calista Corporation Individual Generators558,800.00 549,987.34 16,765.00 10,991.97410084150Chevak Wind Energy Recovery RD5-CLOSEDChevak Lower Yukon‐Kuskokwim 39 T 1,0142019 Calista Corporation Individual Generators240,260.00 240,260.00 12,641.00 12,641.00410067 195Eek Wind Feasibility R4-ClosedEek Lower Yukon‐Kuskokwim 38 S 349 2019 Calista Corporation BC Hydro114,718.00 114,718.00 6,225.00 6,225.00403072 203Emmonak Heat Recovery System-ClosedEmmonak Lower Yukon‐Kuskokwim 39 T 836 2019 Calista Corporation City of Nikolai684,311.77 684,311.77 20,677.00 20,677.00410055 203Emmonak/Alakanuk Wind & Transmission - ClosedEmmonak Lower Yukon‐Kuskokwim 39 T 836 2019 Calista Corporation City of Nikolai8,000,000.00 8,000,000.00 888,889.00 891,627.00410040 249Hooper Bay Wind Farm Construction - ClosedHooper Bay Lower Yukon‐Kuskokwim 39 T 1,239 2019 Calista Corporation Copper Valley Electric Association, Incorporated60,179.25 60,179.25 - -407120293Airfoil for Wind Turbines - ConstructionKongiganak Lower Yukon‐Kuskokwim 38 S 544 2019 Calista Corporation Alaska Village Electric Cooperative108,000.00 - - -410035 293Kongiganak Wind Farm Construction - ClosedKongiganak Lower Yukon‐Kuskokwim 38 S 544 2019 Calista Corporation Alaska Village Electric Cooperative1,699,791.57 1,699,791.57 1,475,169.97 1,475,169.97410099 293Kongiginak Wind Heat Elect. Thermal Storage-ClosedKongiganak Lower Yukon‐Kuskokwim 38 S 544 2019 Calista Corporation Alaska Village Electric Cooperative274,735.01 274,735.01 9,000.00 9,000.00410068 299Kwethluk Wind Feasibility R4-ClosedKwethluk Lower Yukon‐Kuskokwim 38 S 814 2019 Calista Corporation Napakiak Ircinraq Power Company44,098.22 44,098.22 5,747.65 5,747.65410036300Kwigillingok Wind Farm Construction-ClosedKwigillingokLower Yukon‐Kuskokwim 38 S 374 2019 Calista Corporation City of Akiak1,600,000.00 1,600,000.00 1,600,000.00 1,600,000.00403066315Marshall Heat Recovery-W ater Treatment Plant-ClsdMarshall Lower Yukon‐Kuskokwim 38 S 471 2019 Calista Corporation City of Buckland177,702.30 177,702.30 6,000.00 6,000.00410069 315Marshall Wind Feasibility-ClosedMarshall Lower Yukon‐Kuskokwim 38 S 471 2019 Calista Corporation City of Buckland111,150.00 111,150.00 6,985.00 6,985.00410038 322Mekoryuk Wind Farm Construction-ClosedMekoryuk Lower Yukon‐Kuskokwim 38 S 206 2019 Calista Corporation Inside Passage Electric Cooperative3,155,765.00 3,155,765.00 390,493.00 390,493.00410083 322Mekoryuk Surplus Wind Energy Recovery RD5-CLOSEDMekoryuk Lower Yukon‐Kuskokwim 38 S 206 2019 Calista Corporation Inside Passage Electric Cooperative264,459.00 264,459.00 13,919.00 13,919.00410097 332Mountain Village Wind Feasibility & CDR-ClosedMountain VillageLower Yukon‐Kuskokwim 39 T 808 2019 Calista Corporation Aniak Light and Power Company95,893.00 95,893.00 5,047.00 5,047.00410063 338Napaskiak Wind, Power and Heat Recovery R4-ClosedNapaskiak Lower Yukon‐Kuskokwim 38 S 440 2019 Calista Corporation Alaska Village Electric Cooperative61,224.39 61,224.39 3,688.00 3,688.00403074365Nunam Iqua Heat Recovery CLOSEDNunam Iqua Lower Yukon‐Kuskokwim 39 T 213 2019 Calista Corporation Kwethluk Incorporated450,000.00 450,000.00 - -403064401Kwinhagak Heat Recovery - Water Treatment - ClosedQuinhagak Lower Yukon‐Kuskokwim 38 S 716 2019 Calista Corporation City of Seward668,350.00 668,350.00 21,435.39 21,435.39410037 401Quinhagak Wind Farm Construction-ClosedQuinhagak Lower Yukon‐Kuskokwim 38 S 716 2019 Calista Corporation City of Seward3,437,322.00 3,437,322.00 381,924.00 381,924.00403059 407Russian Mission Heat Recovery System R5 - ClosedRussian Mission Lower Yukon‐Kuskokwim 38 S 350 2019 Calista Corporation Cordova Electric Cooperative, Incorporated552,157.06 552,157.06 32,000.10 32,000.10403073 409St. Mary's Heat Recovery System-ClosedSaint Mary's Lower Yukon‐Kuskokwim 39 T 555 2019 Calista Corporation Golden Valley Electric Association, Incorporated735,200.00 735,200.00 24,142.39 24,142.39407110 409Mountain Village-St. Mary's Wind IntertieR9-CLOSEDSaint Mary's Lower Yukon‐Kuskokwim 39 T 555 2019 Calista Corporation Golden Valley Electric Association, Incorporated2,042,431.00 2,042,431.00 3,117,266.00 3,117,266.00410064 409St. Mary's/ Pitka's Point Wind - ClosedSaint Mary's Lower Yukon‐Kuskokwim 39 T 555 2019 Calista Corporation Golden Valley Electric Association, Incorporated4,624,094.00 4,624,094.00 34,444.00 34,444.00402137 417Scammon Bay Community Facilities Heat Recovery-ClsScammon Bay Lower Yukon‐Kuskokwim 39 T 593 2019 Calista Corporation Matanuska Electric Association, Incorporated34,660.01 34,660.01 1,740.36 1,740.36407092 417Scammon Bay Hydro Design & Engineering R5-ClosedScammon Bay Lower Yukon‐Kuskokwim 39 T 593 2019 Calista Corporation Matanuska Electric Association, Incorporated79,636.86 79,636.86 2,792.63 2,792.63410071 417Scammon Bay Wind Feasibility R4-ClosedScammon Bay Lower Yukon‐Kuskokwim 39 T 593 2019 Calista Corporation Matanuska Electric Association, Incorporated142,500.00 142,500.00 16,441.00 16,441.00403058 432Sleetmute Heat Rec PowerPlant to WaterPlant CLOSEDSleetmute Lower Yukon‐Kuskokwim 37 S 95 2019 Calista Corporation Homer Electric Association, Incorporated126,682.00 126,682.00 6,667.00 6,667.00410039 458Toksook Bay Wind Farm Expansion Construct.-ClosedToksook Bay Lower Yukon‐Kuskokwim 38 S 667 2019 Calista Corporation1,037,750.00 1,037,750.00 10,988.47 10,988.47403075 463Tuntutuliak Heat Recovery-ClosedTuntutuliakLower Yukon‐Kuskokwim 38 S 464 2019 Calista Corporation71,638.58 71,638.58 1,600,000.00 1,600,000.00410051 463Tuntutuliak High Penetration Wind Diesel-ClosedTuntutuliakLower Yukon‐Kuskokwim 38 S 464 2019 Calista Corporation1,760,000.00 1,760,000.00 164,340.00 201,492.00407112 232Goodnews Bay Wind - FeasiblityGoodnews Bay Lower Yukon‐Kuskokwim 38 S 284 2019 Calista Corporation Homer Electric Association, Incorporated128,250.00 - - -411005 308Lime Village Photovoltaic Systm Retrofit R4-ClosedLime Village Lower Yukon‐Kuskokwim 37 S 15 2019 Calista Corporation Alaska Village Electric Cooperative----37,273,384.19 37,005,787.53 10,181,937.14 10,239,464.11402025 1000Biomass-fired Organic Rankine Cycle System-ClosedStatewide Projects & Studies Non Specified 0 0 Non Specified1,895,725.00 1,895,725.00 3,195,277.82 3,195,277.824030541000Organic Rankine Cycle Field Testing R4Statewide Projects & Studies Non Specified 0 0 Non Specified472,787.00 472,787.00 - -407078 1001AVTEC Hydroelectric Training Facility R4-ClosedStatewide TrainingNon Specified 0 0 Non Specified----407075 1100Battle Creek Diversion R4 -Also SEE PJ 270011AEA Owned Projects Non Specified 0 0 Non Specified500,000.00 500,000.00 21,975.00 21,975.002,868,512.00 2,868,512.00 3,217,252.82 3,217,252.82410073 264Kaktovik Wind Diesel R4 - ClosedKaktovik North Slope 40 T 235 2019 Arctic Slope Regional CorporationChugach Electric Association, Incorporated131,859.00 131,859.00 13,041.00 13,041.00403029 357North Pole Heat Recovery Construction - ClosedNorth Pole North Slope 3 B 2,091 2019 Doyon, Limited Alaska Village Electric Cooperative817,291.63 817,291.63 204,322.90 204,322.90409027 386Point Hope Wind Turbine Design - ClosedPoint Hope North Slope 40 T 775 2019 Arctic Slope Regional CorporationHomer Electric Association, Incorporated124,048.42 124,048.42 13,783.16 13,783.16403036 387Point Lay Wind Generation Design R4-ClosedPoint Lay North Slope 40 T 299 2019 Arctic Slope Regional Corporation Golden Valley Electric Association, Incorporated390,546.90 390,546.90 39,591.00 39,591.00409029 387Point Lay Wind Diesel Generation Project R3-ClosedPoint Lay North Slope 40 T 299 2019 Arctic Slope Regional Corporation Golden Valley Electric Association, Incorporated114,845.38 114,845.38 12,760.60 12,760.60403037 476Wainwright Wind Turbine Design R4-ClosedWainwright North Slope 40 T 553 2019 Arctic Slope Regional Corporation- - 13,694.99 13,694.99409028 476Wainwright Wind Diesel Generation Prj. R3-ClosedWainwright North Slope 40 T 553 2019 Arctic Slope Regional Corporation123,255.02 123,255.02 6,447.70 6,447.70409021 128Atqasuk Transmission Line-CLOSEDUtqiagvik North Slope 40 T 5,4002019 Arctic Slope Regional CorporationU.S. Coast Guard Generator367,304.67 367,304.67 8,573,143.00 8,573,143.002,069,151.02 2,069,151.02 8,876,784.35 8,876,784.35Copper River/Chugach TotalKodiakKodiak TotalLower Yukon-KuskokwimLower Yukon‐Kuskokwim TotalNorthwest ArcticNon SpecifiedNon Specified TotalNorth SlopeNorth Slope Total 403033 114Ambler Heat Recovery Construction - CLOSEDAmblerNorthwest Arctic 40 T 263 2019 NANA Regional CorporationIndividual Generators434,928.09 434,928.09 66,659.53 66,659.53411002 114Ambler Solar PV Construction - ClosedAmblerNorthwest Arctic 40 T 263 2019 NANA Regional CorporationIndividual Generators20,122.00 20,122.00 2,012.00 2,012.00410058 141Buckland Wind Farm Construction - PJ 410042-ClosedBuckland Northwest Arctic 40 T 509 2019 NANA Regional CorporationAlaska Power Company----409024 282Kivalina Wind-Intertie Feas Analys&CDes R3-ClosedKivalina Northwest Arctic 40 T 427 2019 NANA Regional Corporation Golden Valley Electric Association, Incorporated177,005.00 177,005.00 9,317.00 9,317.00402117 295Kotzebue Paper & Wood Waste to Energy R4-CLOSEDKotzebue Northwest Arctic 40 T 3,112 2019 NANA Regional CorporationKWIG Power Company66,578.25 66,578.25 3,838.34 3,838.34403034295Kotzebue Electric Heat Recovery ConstructionKotzebue Northwest Arctic 40 T 3,112 2019 NANA Regional CorporationKWIG Power Company915,627.00 824,064.30 300,000.00 305,794.14407121 295Kotzebue Energy Storage - DesignKotzebue Northwest Arctic 40 T 3,112 2019 NANA Regional CorporationKWIG Power Company325,000.00 - - -409022 295High Penetration Wind-Battery-Diesel R3-ClosedKotzebue Northwest Arctic 40 T 3,112 2019 NANA Regional CorporationKWIG Power Company8,000,000.00 8,000,000.00 2,884,170.00 2,884,170.00410041 295Kotzebue Wind-Grant tranferred to PJ 409022Kotzebue Northwest Arctic 40 T 3,112 2019 NANA Regional CorporationKWIG Power Company----403067 356Noorvik Heat Recovery - Water Treatment Plant-ClsdNoorvikNorthwest Arctic 40 T 651 2019 NANA Regional CorporationAlaska Village Electric Cooperative985,805.00 985,805.00 29,580.00 29,580.00410060356Noorvik Wind Farm Constructino - PJ 410042-ClosedNoorvikNorthwest Arctic 40 T 651 2019 NANA Regional CorporationAlaska Village Electric Cooperative----402031 362Upper Kobuk River Biomass R4 - ClosedNorthwest Arctic Borough Northwest Arctic 7,715 2019 NANA Regional CorporationKodiak Electric Association, Incorporated771,666.95 771,666.95 312,915.00 312,915.00407040362Cosmos Hills Hydroelectric Feasibility-ClosedNorthwest Arctic Borough Northwest Arctic 7,715 2019 NANA Regional CorporationKodiak Electric Association, Incorporated1,025,000.00 1,025,000.00 50,722.00 50,722.00410042 362Buckland/Deering/Noorvik Wind Farm Const-ClsdNorthwest Arctic Borough Northwest Arctic 7,715 2019 NANA Regional CorporationKodiak Electric Association, Incorporated10,738,438.91 10,738,438.91 154,777.12 154,777.12410074418Selawik Hybrid Wind Diesel Syst Turbine R4-ClsdSelawik Northwest Arctic 40 T 832 2019 NANA Regional CorporationMatanuska Electric Association, Incorporated75,420.00 75,420.00 7,540.00 7,540.00410059 180Deering Wind Farm Construction - PJ 410042-ClosedDeering Northwest Arctic 40 T 166 2019 NANA Regional CorporationLevelock Electric Coop----407118 426Shungnak Heat Recovery - Design/ConstructionShungnak Northwest Arctic 40 T 253 2019 NANA Regional CorporationHomer Electric Association, Incorporated1,303,607.00 - - -24,839,198.20 23,119,028.50 3,821,530.99 3,827,325.13402032 117Anch. Landfill Gas Elect Const.-Biofuels-CLOSEDAnchorage Railbelt 12;13;1 F;G;H;I;J;K;L;M;N 291,845 2019 Cook Inlet Region, Incorporated Individual Generators2,000,000.00 2,000,000.00 1,423,866.00 1,423,866.00407084144Jack River Hydro Project R4 - ClosedCantwell Railbelt 6 C 190 2019 Ahtna, Incorporated Kodiak Electric Association, Incorporated30,000.00 30,000.00 1,500.00 1,500.00411003 183McKinley Village Solar Thermal Const - ClosedDenali ParkRailbelt 186 2019 Doyon, Limited Native Village of Chenega190,000.00 190,000.00 3,600.00 20,878.92402033 208Delta Junction Wood Chip Heating Feasibilit-ClosedFairbanks North Star BoroughRailbelt 95,8982019 Doyon, Limited Alaska Power Company2,000,000.00 2,000,000.00 - -410022 208Delta Junction Wind Assessment& Avian Study-ClosedFairbanks North Star BoroughRailbelt 95,8982019 Doyon, Limited Alaska Power Company65,412.09 65,412.09 184,567.79 184,567.79410027 208Delta Area Wind Turbines - ClosedFairbanks North Star BoroughRailbelt 95,8982019 Doyon, Limited Alaska Power Company2,000,000.00 2,000,000.00 801,500.00 954,534.37410045 208Coal Mine Road Wind Farm Final Design- see 410022Fairbanks North Star BoroughRailbelt 95,8982019 Doyon, Limited Alaska Power Company----407052 228California Creek Hydro Feasibility - ClosedGirdwood Railbelt 0 0 Not recognized under ANCSAAlaska Village Electric Cooperative27,300.00 27,300.00 2,700.00 2,700.00402021 317Susitna Valley HS Wood Heat - Biomass-ClosedMatanuska‐Susitna Borough Railbelt 106,4382019 Cook Inlet Region, IncorporatedManokotak Power Company- - 7,045.74 7,045.74407030317Fishhook Hydro Hatcher PH 1 -Closed See PJ 407031Matanuska‐Susitna Borough Railbelt 106,4382019 Cook Inlet Region, IncorporatedManokotak Power Company----407031 317Fishhook Hydro Hatcher Pass Construction-ClosedMatanuska‐Susitna Borough Railbelt 106,4382019 Cook Inlet Region, IncorporatedManokotak Power Company----407080317Hunter Creek Hydroelectric Project R4 - ClosedMatanuska‐Susitna Borough Railbelt 106,4382019 Cook Inlet Region, IncorporatedManokotak Power Company84,000.00 84,000.00 16,000.00 16,000.00407082 317Eska Creek Hydroelectric Project R4 - ClosedMatanuska‐Susitna Borough Railbelt 106,4382019 Cook Inlet Region, IncorporatedManokotak Power Company14,407.70 14,407.70 2,881.54 2,881.54407053 342Nenana Hydrokinetic Construction-CLOSEDNenana Railbelt 6 C 362 2019 Doyon, Limited Golden Valley Electric Association, Incorporated450,000.00 450,000.00 - -410046348Nikiski Wind Farm Construction - ClosedNikiski Railbelt 29 O 4,5102019 Cook Inlet Region, IncorporatedMatanuska Electric Association, Incorporated2,102.87 2,102.87 18,925.88 18,925.88402116393Port Graham Biomass Waste Heat Demo PrjR4-CLOSEDPort Graham Railbelt 32 P 180 2019 Chugach Alaska Corporation Homer Electric Association, Incorporated58,600.00 58,600.00 14,119.00 14,119.00406012 992Mount Spurr Geothermal Project R3, R4-ClosedRailbelt Region Railbelt 0 0 Cook Inlet Region, Incorporated1,993,158.00 1,993,158.00 2,158,603.00 2,549,052.00407023 992Cresent Lk/Cr Low Impact Hydro Assess - ClosedRailbelt Region Railbelt 0 0 Cook Inlet Region, Incorporated23,273.04 23,273.04 13,318.27 13,318.27407025 992Grant Lk/Cr Low Impact Hydro Assessment - ClosedRailbelt Region Railbelt 0 0 Cook Inlet Region, Incorporated50,000.00 50,000.00 25,000.00 25,000.00407026992Ptarmingan Lk/Ck Low Impact Hydro Assess - ClosedRailbelt Region Railbelt 0 0 Cook Inlet Region, Incorporated4,684.35 4,684.35 13,671.08 13,671.08407041 992South Fork Hydroelectric Const - CancelledRailbelt Region Railbelt 0 0 Cook Inlet Region, Incorporated----407042 992Grant Lake Hydroelectric Facility-ClosedRailbelt Region Railbelt 0 0 Cook Inlet Region, Incorporated2,000,000.00 2,000,000.00 500,000.00 500,000.00407043 992Whittier Creek Hydroelectric Reconnaissance-ClosedRailbelt Region Railbelt 0 0 Cook Inlet Region, Incorporated39,471.00 39,471.00 34,285.00 34,285.00407077 992StetsonCrkDiversion/CooperLakeDamFacilities-ClosedRailbelt Region Railbelt 0 0 Cook Inlet Region, Incorporated3,594,979.60 3,594,979.60 3,594,979.50 3,594,979.50408005 992Cook Inlet Tidal Generation Project R4-CLOSEDRailbelt Region Railbelt 0 0 Cook Inlet Region, Incorporated----409031 992CEA Transmis Line to Renewable Energy Res. -ClosedRailbelt Region Railbelt 0 0 Cook Inlet Region, Incorporated----410043 992Nikolaevsk Wind Farm Final Design - CancelledRailbelt Region Railbelt 0 0 Cook Inlet Region, Incorporated----410044992EVA Creek Wind Turbine Purchase-CLOSEDRailbelt Region Railbelt 0 0 Cook Inlet Region, Incorporated3,463,200.00 3,463,200.00 24,031,049.51 24,031,049.51406023 420Seldovia Ground Source Heat Pump-CLOSEDSeldovia Railbelt 32 P 226 2019 Cook Inlet Region, Incorporated Copper Valley Electric Association, Incorporated311,753.20 311,753.20 48,964.43 48,964.43406011 421AK SeaLifeCenter PH II Seawater Heat PumpR3-ClosedSeward Railbelt 29 O 2,545 2019 Chugach Alaska Corporation Homer Electric Association, Incorporated286,580.00 286,580.00 - 426,720.00407044421Fourth of July Creek Hydroelectric-ClosedSeward Railbelt 29 O 2,545 2019 Chugach Alaska Corporation Homer Electric Association, Incorporated20,000.00 20,000.00 20,000.00 20,016.92407109 421Heat Pump System for City of Seward R9Seward Railbelt 29 O 2,545 2019 Chugach Alaska Corporation Homer Electric Association, Incorporated725,000.00 88,000.00 157,497.00 81,284.31407060997Carlson Creek Hydro-ClosedSouthcentral Alaska Railbelt 0 0 Cook Inlet Region, Incorporated8,811.26 8,811.26 2,202.82 2,202.82407087 171CVEA Allison Crk Hydroelectric-DoNotUse-See 407038Copper CenterRailbelt 6 C 323 2019 Ahtna, Incorporated n/a----19,442,733.11 18,805,733.11 33,076,276.56 33,987,563.08402131 120Angoon Low-Income Housing Pellet Heat - ClosedAngoon Southeast 35 R 404 2019 Sealaska Corporation Individual Generators240,592.00 240,592.00 51,592.00 60,013.31403035 120Angoon Heat Recovery-Not Active/ClosedAngoon Southeast 35 R 404 2019 Sealaska Corporation Individual Generators----407074120Thayer lake Hydroelectric Project R4Angoon Southeast 35 R 404 2019 Sealaska Corporation Individual Generators8,055,716.90 1,736,323.20 1,577,593.31 1,327,593.31406015 428Japonski Island Boathouse Heat Pump R4-ClosedCity and Borough of Sitka Southeast 35 R 8,532 2019 Sealaska Corporation Homer Electric Association, Incorporated----406016428Sitka Centennial Hall&Library Feas/HeatPump-ClosedCity and Borough of Sitka Southeast 35 R 8,532 2019 Sealaska Corporation Homer Electric Association, Incorporated262,600.00 262,600.00 4,626.81 4,626.81406017 428Sitka Wastewater Treatment Plant Feas R4 ClosedCity and Borough of Sitka Southeast 35 R 8,532 2019 Sealaska Corporation Homer Electric Association, Incorporated16,699.14 16,699.14 2,376.48 2,376.48407049 428Takatz Lake Hydroelectric Feasibility-ClosedCity and Borough of Sitka Southeast 35 R 8,532 2019 Sealaska Corporation Homer Electric Association, Incorporated1,919,069.04 1,919,069.04 231,768.00 231,768.00407088 428Sitka Blue Lake Hydroelectric Project-ClosedCity and Borough of Sitka Southeast 35 R 8,532 2019 Sealaska Corporation Homer Electric Association, Incorporated4,000,000.00 4,000,000.00 89,355,487.00 90,312,930.71407055 488Wrangell Hydro Based Electric Boiler Const.-ClosedCity and Borough of WrangellSoutheast 36 R 2,4002019 Sealaska Corporation1,862,387.13 1,862,387.13 76,357.87 76,357.87407086488Wrangell Electric Vehicle Feasibility Study-ClosedCity and Borough of WrangellSoutheast 36 R 2,4002019 Sealaska Corporation25,000.00 25,000.00 428.48 428.48402035 489Yakutat Biomass Feas. & District HeatingLoop-ClsdCity and Borough of YakutatSoutheast 32 P 540 2019 Sealaska Corporation249,600.00 249,600.00 6,621.76 6,621.76402114176Craig Biomass Fuel Dryer Project R4 - CLOSEDCraig Southeast 35 R 1,0742019 Sealaska Corporation Homer Electric Association, Incorporated350,000.00 350,000.00 250,000.00 262,989.06407015 201Elfin Cove Hydroelectric Project-ClosedElfin Cove Southeast 35 R 16 2019 Sealaska Corporation Inside Passage Electric Cooperative346,639.61 346,639.61 80,093.90 99,093.90407024235Falls Cr Low Impact Hydro Assessment - ClosedGustavus Southeast 33Q537 2019 Sealaska Corporation City of Ruby50,000.00 50,000.00 25,000.00 25,000.00407045 235Falls Creek Hydroelectric Construction-ClosedGustavus Southeast 33Q537 2019 Sealaska Corporation City of Ruby750,000.00 750,000.00 - -402034236Haines Ctrl Wood Heating Sys Constr(LIHP)-ClosedHaines Borough Southeast 2,516 2019 Sealaska Corporation Alaska Village Electric Cooperative188,620.00 188,620.00 36,500.00 36,500.00402036236Haines Borough Municipal Buildings Biomass CLOSEDHaines Borough Southeast 2,516 2019 Sealaska Corporation Alaska Village Electric Cooperative409,331.18 409,331.18 122,139.21 122,139.21407079 236Connelly Lake Hydroelectric Project R4-ClosedHaines Borough Southeast 2,516 2019 Sealaska Corporation Alaska Village Electric Cooperative468,000.00 468,000.00 118,844.37 118,844.37407081 236Schubee Lake Hydroelectric Project R4 - ClosedHaines Borough Southeast 2,516 2019 Sealaska Corporation Alaska Village Electric Cooperative74,191.47 74,191.47 18,935.06 18,935.06407083 236Haines Excursion Inlet Hydro Project R4 - ClosedHaines Borough Southeast 2,516 2019 Sealaska Corporation Alaska Village Electric Cooperative78,384.40 78,384.40 8,418.43 8,418.43402133 248Hoonah Biomass District Heating Loop-ClosedHoonah Southeast 35 R 782 2019 Sealaska Corporation North Slope Borough Power and Lights Systems40,000.00 40,000.00 10,000.00 10,365.00403053 248Hoonah Heat Recovery Project R4-ClosedHoonah Southeast 35 R 782 2019 Sealaska Corporation North Slope Borough Power and Lights Systems472,963.89 472,963.89 - -407070248Hoonah - IPEC Hydro Project R3-ClosedHoonah Southeast 35 R 782 2019 Sealaska Corporation North Slope Borough Power and Lights Systems850,000.00 850,000.00 450,000.00 450,000.00407100248Gartina Falls Hydroelectric Project - ClosedHoonah Southeast 35 R 782 2019 Sealaska Corporation North Slope Borough Power and Lights Systems6,694,000.00 6,694,000.00 - -407117 248Water Supply Creek Hydro - Final DesignHoonah Southeast 35 R 782 2019 Sealaska Corporation North Slope Borough Power and Lights Systems461,474.00 - - -402135 254Hydaburg Schools Wood Fired Boiler-CLOSEDHydaburg Southeast 36 R 397 2019 Sealaska Corporation Alaska Village Electric Cooperative620,977.00 620,977.00 56,573.95 56,573.95406008 260Juneau Airport Ground Source Heat Pump - ClosedJuneau Southeast 33;34Q0 0 Sealaska Corporation Chugach Electric Association, Incorporated513,000.00 513,000.00 513,000.00 513,000.00406009 260Juneau Ground Source Heat Pump Constr(Aq Ctr)-ClsdJuneau Southeast 33;34Q0 0 Sealaska Corporation Chugach Electric Association, Incorporated1,450,000.00 1,450,000.00 500,000.00 500,000.00409030260Snettisham Trans Ln Avalanche Mitigation R4-ClosedJuneau Southeast 33;34Q0 0 Sealaska Corporation Chugach Electric Association, Incorporated2,000,000.00 2,000,000.00 500,000.00 500,000.00SoutheastNorthwest Arctic TotalRailbeltRailbelt Total App Number Applicant Name Project Title Project Phase(s)Energy Region Senate District House District Election District Grant Funds Requested Technology Community (Nearest)Status 14001 Nushagak Electric & Telephone Cooperative Nuyakuk River Hydroelectric Project Feasibility and Conceptual Design Bristol Bay S 37 37-S 2,000,000$ Hydro Dillingham Economic & Technical Review 14002 Alaska Village Electric Cooperative Holy Cross Solar Energy & Battery Storage Feasibility Study Project Feasibility and Conceptual Design Yukon-Koyukuk/Upper Tanana S 37 37-S 135,000$ Solar Holy Cross Economic & Technical Review 14003 Point MacKenzie Solar Point MacKenzie Solar Reconnaissance; Feasibility and Conceptual Design; Final Design and Permitting; Construction Railbelt D 8 8-D 1,000,000$ Solar Point Mackenzie Economic & Technical Review 14004 Alaska Village Electric Cooperative Pilot Station Wind Energy Feasibility Study & Conceptual Design Project Feasibility and Conceptual Design Lower Yukon-Kuskokwim T 39 39-T 229,500$ Wind Pilot Station Economic & Technical Review 14005 City of Ouzinkie Ouzinkie Wind Energy Feasibility and Conceptual Design Project Feasibility and Conceptual Design Kodiak P 32 32-P 172,600$ Wind Ouzinkie Economic & Technical Review 14006 City of Homer, Department of Public Works Homer Energy Recovery Project Final Design and Permitting; Construction Railbelt P 31 31-P 492,500$ Hydro Homer Economic & Technical Review 14007 Northwest Arctic Borough Design and Permitting for Solar PV and Battery Storage for Ambler, Kiana, Noorvik, and Selawik Final Design and Permitting Northwest Arctic T 40 40-T 590,000$ Solar Ambler / Kiana / Noorvik / Selawik Economic & Technical Review 14008 Alaska Electric & Energy Cooperative, Inc.AEEC Ninilchik Wind Feasibility and Conceptual Design Railbelt P 31 31-P 192,000$ Wind Ninilchik Economic & Technical Review 14009 Alaska Electric & Energy Cooperative, Inc.AEEC Summit Lake Wind Feasibility and Conceptual Design Railbelt O 29 29-O 232,000$ Wind Moose Pass Economic & Technical Review 14010 Alaska Electric & Energy Cooperative, Inc.AEEC East Foreland/Nikiski Wind Feasibility and Conceptual Design Railbelt O 29 29-O 200,000$ Wind Nikiski Economic & Technical Review 14011 Alaska Electric & Energy Cooperative, Inc.AEEC Caribou Hills Wind Feasibility and Conceptual Design Railbelt P 31 31-P 209,600$ Wind Ninilchik/Fox River Economic & Technical Review 14012 Alaska Electric & Energy Cooperative, Inc.AEEC/KPB CPL Landfill Gas CHP Project Final Design and Permitting Railbelt P 31 31-P 884,986$ Biomass Soldotna Economic & Technical Review 14015 City of Kotzebue Kotzebue Wind to Heat System Feasibility and Conceptual Design; Final Design and Permitting; Construction Northwest Arctic T 40 40-T 702,435$ Wind (to heat)Kotzebue Economic & Technical Review 14016 Kwig Power Company Kwigillingok Wind Turbine Upgrade Construction Lower Yukon-Kuskokwim S 38 38-S 278,176$ Wind Kwigillingok Economic & Technical Review 14017 Native Village of Kwinhagak Kwinhagak Reconnaissance Study Reconnaissance Lower Yukon-Kuskokwim S 38 38-S 81,000$ Solar Quinhagak Economic & Technical Review 14018 Kotzebue Electric Association, Inc. Kotzebue Wind to PV Transition Utilizing Existing Wind Infrastructure Construction Northwest Arctic T 40 40-T 1,900,000$ Solar Kotzebue Economic & Technical Review 14019 Native Village of Eklutna Eklutna Village Solar Energy Project - Feasibility Study Feasibility and Conceptual Design Railbelt F 12 12-F 22,500$ Solar Native Village of Eklutna Economic & Technical Review 14020 Puvurnaq Power Company Kongiganak Wind Upgrade with Airfoil Blades for Turbines Construction Lower Yukon-Kuskokwim S 38 38-S 328,716$ Wind Kongiganak Economic & Technical Review 14021 Akiachak Native Community Akiachak Wind Feasibility Reconnaissance; Feasibility and Conceptual Design Lower Yukon-Kuskokwim S 38 38-S 371,000$ Wind Akiachak Economic & Technical Review 14022 Chugach Electric Association, Inc. On behalf of the Bradley Lake Management Committee (BPMC)Dixon Diversion Feasibility Project Feasibility and Conceptual Design Railbelt P 32 32-P 1,000,000$ Hydro Fritz Creek/ Fox River Economic & Technical Review 14024 Naterkaq Light Plant Naterkaq Light Plant Battery Installation and Integration Construction Lower Yukon-Kuskokwim S 38 38-S 325,000$ Storage Chefornak Economic & Technical Review 14025 City of Pilot Point Pilot Point Comprehensive Community Wind/Solar/Storage & Heat Project Construction Bristol Bay S 37 37-S 495,500$ Storage Pilot Point Economic & Technical Review 14026 Nome Joint Utility System Nome Battery Energy Storage System Construction Bering Straits T 39 39-T 2,000,000$ Storage Nome Economic & Technical Review 14027 Inside Passage Electric Cooperative Jenny Creek Hydro Reconnaissance - Kake IPEC Reconnaissance Southeast R 35 35-R 62,368$ Hydro Kake Economic & Technical Review 14028 City of Nenana Nenana Biomass District Heat System Construction Railbelt C 6 6-C 676,121$ Biomass Nenana Economic & Technical Review 14029 Golden Valley Electric Association Interior Alaska Wind Energy Resource Assessment Reconnaissance; Feasibility and Conceptual Design Railbelt E 9 9-E 1,425,000$ Wind Murphy Dome (Fairbanks) Deltana Area (Delta Junction) Donnelly Dome (Fort Greely) Pedro Dome (Fox) Wickersham Dome (Fox)Economic & Technical Review 14031 Atmautluak Tribal Utilities Atmautluak Light Plant Battery, Thermal Stove, and Metering Installation Construction Lower Yukon-Kuskokwim S 38 38-S 375,000$ Storage Atmautluak Economic & Technical Review REF Round 14 Application Summary 1 of 2 4/4/2022 1:56 PM App Number Applicant Name Project Title Project Phase(s)Energy Region Senate District House District Election District Grant Funds Requested Technology Community (Nearest)Status 14034 City of Galena Galena Community Scale Solar PV and Battery Project Final Design and Permitting; Construction Yukon-Koyukuk/Upper Tanana T 39 39-T 2,000,000$ Solar Galena Economic & Technical Review 14035 City of False Pass UNGA Man Creek Hydroelectric Project Final Design and Permitting Aleutians S 37 37-S 321,000$ Hydro False Pass Economic & Technical Review TOTAL 18,702,002$ 2 of 2 4/4/2022 1:56 PM From:Curtis W. Thayer To:Rep. Calvin Schrage; Rep. Zack Fields; Representative Tiffany Zulkosky; Rep. Chris Tuck; Rep. George Rauscher; Rep. James Kaufman; Rep. Matt Claman Cc:akis.gialopsos@alaska.gov; Jennifer L. Bertolini; Kookesh, Melissa M (CED); TW Patch; Curtis W. Thayer Subject:AEA Responses to 3-8-22 House Energy Committee - HB301 Date:Wednesday, March 23, 2022 11:05:48 AM Attachments:2022.03.22 AEA Response on HB 301 RPS to House Energy Committee (Final).pdf State Renewable Portfolio Standards and Goals.pdf Working Paper No 2019-62-Energy Policy Institute.pdf image001.png image002.png Rep Schrage, Attached is the Alaska Energy Authority’s response to the several questions that were posed at the March 8 committee hearing regarding HB 301. Please let me know if you need any additional information. Curtis Best Regards, Curtis W. Thayer Executive Director 813 W Northern Lights Boulevard, Anchorage AK 99503 (907) 771-3009 (office) (907) 744-4704 (cell) cthayer@akenergyauthority.org . Alaska Energy Authority Page 1 of 8 March 22, 2022 The Honorable Calvin Schrage Chairman, House Energy Committee Alaska State Legislature State Capitol Room 104 Juneau, AK 99801 Re: House Bill 301, AEA Responses to Committee Member Questions Dear Representative Schrage, The propose of this letter is to provide you with responses to the questions asked of the Alaska Energy Authority (AEA) during our presentation to the House Energy Committee on March 8, 2022 regarding House Bill 301 – Utilities: Renewable Portfolio Standard. Please see the request in bold and our response immediately below the request. 1. What is the funding mechanism for the Dixon Diversion project? The Dixon Diversion Project study is in the very early stages of consideration and studies of project feasibility as regards cost to develop, license, and construct are ongoing. If the project is determined technically feasible and economically meritorious through licensing, construction, and operation. The estimated cost projection for licensing and study of the Dixon Diversion Project is $12 million. The Railbelt utilities and AEA are continuing to engineer the project and are examining how best to finance project costs. It is anticipated that costs will be borne by the State and the utilities. Currently, the total cost of studies, licensing, feasibility analysis, engineering, and subsequent construction is estimated between $400 and $600 million. Once constructed the diversion will provide the power equivalent to as many as 25,000 homes. Bradley Lake currently provides the power equivalent to more than 54,000 homes. 2. What are the fuel cost savings associated with Slides 12 and 13? Slides 12 and 13 show theoretical dispatch charts for how an 80% RPS would function under peak load in a high-hydro scenario and in a high-wind and solar scenario. These scenarios were produced by the National Renewable Energy Laboratory (NREL) and published in the Alaska Railbelt RPS feasibility study in February. NREL would need to perform an economic analysis to determine the fuel cost savings for this theoretical 24-hour period. Alaska Energy Authority Page 2 of 8 While not specific to slides 12 and 13, the average fuel cost savings for a 24-hour period can be calculated fairly easily based on NREL’s annual fuel cost savings figures. Using AEA’s estimates of $16.60/MMBTU blended fuel prices, NREL predicts an annual fuel cost savings of $426 million to $506 million in 2040. Dividing this range by 365 days results in an estimated daily fuel savings of $1.17 million to $1.39 million in an 80% RPS scenario. In the theoretical peak demand scenarios shown in the slides, this range would be higher than the average day, but the exact amount is a question that should be directed to the report authors. 3. Please provide a breakdown of other states’ RPS Programs and what their benchmarks are as they compare to those in HB 301. More than half of RPS states have set long-term targets (2030 or beyond). The proposed 2030 and 2035 targets in SB 179 are on the low end of these targets. For example, for the 2030 timeframe, Maine has set a target of 80%,1 Nevada has set a target of 50%,2 and Hawaii has a target of 40%.3 Of states and territories with 2040 targets or beyond, the proposed 2040 target is slightly below average. For example, the 2040 target of 80% is above Oregon (50% by 2040)4 and slightly above Massachusetts (80% by 2050),5 but below New Mexico 1 https://www.maine.gov/energy/initiatives/renewable-energy/renewable-portfolio-standards 2 https://programs.dsireusa.org/system/program/detail/373/energy-portfolio-standard 3 https://programs.dsireusa.org/system/program/detail/606 4 https://programs.dsireusa.org/system/program/detail/2594 5 https://www.eia.gov/state/analysis.php?sid=MA Proposed benchmarks compared to select final targets across the country. NREL fuel cost savings chart from pg. 30 of their report. Alaska Energy Authority Page 3 of 8 (100% by 2045),6 below Virginia (100% by 2045 or 2050),7 and below fellow islanded locales like Hawaii (100% by 2045),8 Guam (100% by 2045),9 and Puerto Rico (100% by 2050).10 Note that the Oregon RPS is an outlier in that it contains a long-term target, but was passed 15 years ago, thus it is significantly lower than other long-term targets. The chart on the right is provided by Berkeley Labs. This data is approximately one year old and does not reflect recent updates, but it helps to visualize the proposed targets. Please also see attachment 1. 4.In reference to slide six, is data available from other states on the economic impacts, specifically impacts on ratepayers? Data on economic impacts can be grouped into three categories: 1.The incremental cost to implement the RPS is generally understood as the difference in rates (up or down) as the RPS ramps up compared to the base case. 2.The temporary economic impacts of significant infrastructure projects throughout the lifetime of the RPS. 3.The lasting economic impact of the completed RPS in terms of fuel cost savings, economic growth, and ancillary impacts on society. In addition to the answers below, additional information on the economic case for the RPS can be found in the Governor’s February 15, 2022 letter to the Regulatory Commission of Alaska.11 Category #1: Incremental costs during RPS ramp-up In 2019, RPS compliance costs averaged 2.6% across the country.12 However, states with the most significant increases, including New Jersey and Massachusetts, have solar carve-outs built into their RPS – a primary driver of higher incremental costs not found in HB 301. Many also exclude conventional hydro, which is currently the cheapest form of power in the Railbelt by a significant margin. This is not the case with the proposed Alaska RPS. This is also average and does not reflect the entire nation. In Maine, modeling sponsored by the state energy office shows negligible consumer rate impacts despite their very high target of 100% renewable energy by 2050.13 6 https://www.utilitydive.com/news/threes-company-new-mexico-joins-california-hawaii-in-approving-100- clea/550390/ 7 https://programs.dsireusa.org/system/program/detail/22133/renewable -portfolio-standard 8 https://programs.dsireusa.org/system/program/detail/606 9 https://www.eia.gov/state/analysis.php?sid=GQ 10 https://www.energy.gov/oe/puerto-rico-grid-resilience-and-transitions-100-renewable-energy-study-pr100 11 http://rca.alaska.gov/RCAWeb/ViewFile.aspx?id=377B67BC-2A41-429F-B208-28DD6EC952DC 12 https://eta-publications.lbl.gov/sites/default/files/rps_status_update-2021_early_release.pdf 13 https://www.maine.gov/energy/sites/maine.gov.energy/files/inline- files/GEO_State%20of%20Maine%20Renewable%20Energy%20Goals%20Market%20Assessment_Final_March%20 2021_1.pdf (pg. 62) Alaska Energy Authority Page 4 of 8 In Colorado, Tri-State Generation and Transmission Association, which supplies 17 Colorado cooperatives, announced they would achieve 50% renewable power by 2024 while cutting wholesale rates by 8%.14 In the similarly fuel-dependent state of Hawaii,15 a 100% RPS has existed since 2015. Despite major efforts to meet renewable targets in a state with similar infrastructure issues, Hawaii’s rate increases since 2015 are almost identical to those in Alaska at 29.8% and 28.5% respectively. While there is a wide range of opinions on whether rates will slightly decrease or slightly increase during the RPS as we develop much-needed infrastructure. Category #2: Temporary economic impacts The impact of new infrastructure projects, while not the aim of RPS policy, should also be considered. In the mid-2000’s, Montana passed a small, 15% RPS. Despite its very small goal and “negligible” impact on rates, it resulted in $423 million in investment, 482 temporary construction jobs, and 26.5 full-time jobs.16 In Colorado, 6,000 renewable energy jobs were created in the four years that followed the passage of their RPS ballot initiative.17 A 2016 NREL study found that RPS’s supported about 200,000 jobs and $20 billion in GDP output at the time.18 They also determined that 4.7 million to 11.5 million renewable energy jobs will be needed to meet RPS demands across the country (partially offset by contractions in other areas).19 Category #3: Lasting economic impacts after RPS completion One of the primary drivers of this RPS is the cost savings that will be achieved by diversifying from a fuel source that has increased by 270% since 1991. Obtaining data from other states on this category is not possible because none have completed a high-percentage RPS nor do they share our challenges in terms of fuel prices and isolation. Instead, we rely on modeling such as the data provided by NREL which indicates an annual fuel cost savings of $426 million to $506 million by 2040 in perpetuity. Further modeling suggests that the capital costs of the proposed RPS will equate to less than half of the potential fuel savings. Less expensive electricity also has the potential to drive industry investment in the Railbelt, creating jobs as well as population and GDP growth. Other ancillary economic benefits have also been posited in other states. For example, a 2019 study of RPS policy in the Rust Belt estimated health benefits of 8 to 14 cents/kWh.20 A 2016 NREL study estimated 2.4 to 5.0 cents/kWh in air quality impacts.21 14 https://www.denverpost.com/2020/10/07/tri-state-rates-renewable-energy/ 15 https://www.eia.gov/state/data.php?sid=HI#Prices 16 https://leg.mt.gov/content/Committees/Interim/2013-2014/Energy-and- Telecommunications/Legislation/RPSFinal.pdf 17 https://cnee.colostate.edu/wp-content/uploads/2015/11/Blue-Print-for-the-New-Energy-Economy-Colorado.pdf (pg. 29) 18 https://www.nrel.gov/docs/fy16osti/65005.pdf 19 https://www.osti.gov/servlets/purl/1344104 20 https://iopscience.iop.org/article/10.1088/1748-9326/ab31d9/pdf 21 https://www.osti.gov/servlets/purl/1344104 Alaska Energy Authority Page 5 of 8 Please also see attachment 2. 5. Is there is information about Pumped Storage capacity in Alaska? In addition to building pumped storage capacity, battery energy storage systems (BESS), located strategically in each of the three Railbelt regions, are fully capable of loading variable renewables, especially when backed up by thermal generation which will continue to exist even after 2040. NREL’s Railbelt feasibility study determined that a 46 MW, 8-hour battery will be required in Fairbanks (a significant upgrade over GVEA’s existing BESS22), a 46.5 MW 4-hour battery will be required in Homer (already in place23), and a 70 MW 4-hour battery will be required in Anchorage.24 Regardless of what mix of pumped storage or BESS systems are utilized, NREL found that resource adequacy and operational reliability are fully achievable under an 80% renewable scenario.25 “All modeled scenarios can achieve 80% renewable energy while maintaining a balance of supply and demand with no unserved energy or reserve shortages during normal operations. The system can also serve load under severe outage conditions in all cases, although the 80% RPS may not be achieved if very long outages were to occur on some parts of the grid. This finding depends on the continued use of best practices and the engineering approaches historically deployed by Alaska’s Railbelt utilities, particularly about the use of state-of-the-art (but proven) technologies.” 6. Have there been any studies on what Alaska’s Energy Composition should be and whether there was a study that might have established a prior baseline. AEA has participated in several studies to varying degrees that address Alaska’s Energy Composition. Those studies include: 1. Alaska Railbelt Electrical Grid Authority Study (September 12, 2008) 2. Alaska Energy: A First Step Toward Energy Independence (January 2009) 3. Alaska Railbelt Integrated Resource Plan (RIRP) Study (February 2010) 4. Alaska Energy Pathway: Toward Energy Independence (July 2010) 5. The Alaska Affordable Energy Strategy (2017) 6. Renewable Energy Atlas of Alaska (2019) 22 https://gvea.com/battery-system/ 23 https://www.homerelectric.com/my -cooperative/power-generation/battery-energy-storage-system-has- arrived/ 24 https://www.nrel.gov/docs/fy22osti/81698.pdf (pg. 16) 25 Ibid. (pg. 20) Alaska Energy Authority Page 6 of 8 7.Is there funding requests on this year’s (infrastructure) projects and whether the effects on ratepayers was quantified? The Bradley Lake Hydroelectric Project Power Sales Agreement (PSA) provides for payment to be made by the purchasing utilities after the bonded debt for construction of the project is retired. The purpose of excess payments is to provide a means whereby the necessary costs for modernization or repairs on the existing project can be funded jointly by those purchasing power from the project so that continuing necessary maintenance and upgrades can be readily funded by the purchasers. These excess payments are estimated to fund project improvements totaling $225 million, which is close to the $261 million as shown on page 15 of the AEA presentation made to the committee on March 8, 2022. Required Project Work is defined in the PSA to mean “…repairs, maintenance, renewals, replacements, improvements or betterments required by federal or state law … to keep the project in good and efficient operating condition, consistent with sound economics for the project and the purchasers and national standards for the industry.” Upgraded transmission lines, a battery for grid stabilization, and the study of benefits and costs for an alternative pathway to move power north by means of an alternative pathway off the Kenai Peninsula are not expected to have a significant cost to ratepayers over time and should provide both stability and reliability benefits. This Required Project Work is necessary for greater penetration of renewable energy resources in Alaska’s Railbelt energy portfolio. This Required Project Work will result in one of the most significant improvements to the electrical transmission system in Alaska’s history. This work will eliminate the constraints on exiting transmission systems and stabilize rates for consumers throughout the Railbelt by increasing the deliverability of energy from the Project while providing jobs and other economic development opportunities from the Kenai to Fairbanks without any burden on the State’s budget. A “win-win” for all Alaskans. 8.How would the entire state see a benefit since the bill is by its text impacts only Railbelt electric utilities? The Administration has introduced several energy bills and funding proposals targeted at different areas of Alaska. For example, the Governor’s budget included a significant $15 million recapitalization of the Renewable Energy Fund. The Governor has also made significant efforts to protect Power Cost Equalization and enshrine it in the Constitution. This year, the Governor introduced HB 299, An Act relating to microreactors, to develop a path forward for microreactors with the stated goal of reducing power costs and providing cleaner power in rural Alaska. While the currently proposed projects are urban or semi-urban (Eielson and Valdez), the Administration believes the primary use case for microreactors will ultimately be rural Alaska. There has been some understandable confusion over the rural impacts of HB 299. AEA agrees that a microreactor being built in a truly rural location is not feasible because on-site teams will likely always be a requirement no matter how safe the technology may be. However, a microreactor could be built in proximity to a rural hub city that desires to pursue such a project. That microreactor could supply power to more remote villages via high-voltage DC transmission lines or be used to convert hydrogen into ammonia fuel. Providing rural communities with options should be one of the primary goals of this HB 299. Alaska Energy Authority Page 7 of 8 9.What would the potential carbon reductions would look like over time given the percentage of renewable energy to be achieved by stated times set out in HB 301 to be achieved by certain dates. The NREL feasibility study did not analyze carbon reductions as the Governor did not introduce the RPS for this purpose. While most Alaskans, including the Governor, support cleaner air, the primary goals of HB 301 are energy independence and long-term cost reductions by reducing our reliance on an expensive and unpredictable energy source and by utilizing a larger fraction of the abundant renewable energy sources available in the Railbelt region. It should be noted that NREL’s research did include estimates for the reduction of fuel that would be achieved by 2040.26 If desired, these numbers could be compared to U.S. Energy Information Administration data on emissions27 and used to estimate carbon reductions, however, AEA would respectfully recommend reaching out to the report authors to make these scientific calculations. 10.Please provide a breakdown of electricity generation within the Railbelt by fuel type and utility service area. I hope you will find this information to be useful. Please do not hesitate to contact me if you have further questions. Best Regards, Curtis W. Thayer Executive Director Attachments: 1.National Conference of State Legislature, State Renewable Energy Portfolio Standards and Goals (August 13, 2021) 26 https://www.nrel.gov/docs/fy22osti/81698.pdf (pg. 30) 27 https://www.eia.gov/environment/emissions/co2_vol_mass.php Railbelt Energy Generation By Fuel Source, By Utility / Service Area Fuel Source Type CEA (MWh)% of Total Energy GVEA (MWh)% of Total Energy HEA (MWh)*% of Total Energy MEA (MWh)% of Total Energy Railbelt (MWh)% of Total Energy Non-Renewable 1,039,087 75%1,153,284 90%444,331 91%739,461 88%3,376,164 85% Coal - 0%544,222 43%- 0%183 0%544,405 14% Diesel - 0%173,832 14%122 0%- 0%173,954 4% Naptha - 0%385,999 30%- 0%- 0%385,999 10% Natural Gas 1,039,087 75%49,231 4%444,209 91%739,278 88%2,271,805 57% Renewable 337,317 25%123,408 10%42,182 9%98,103 12%601,010 15% Hydro 291,355 21%73,531 6%41,953 9%96,795 12%503,634 13% Solar - 0%656 0%229 0%1,308 0%2,193 0% Wind 45,962 3%49,220 4%- 0%- 0%95,182 2% Total 1,376,405 100%1,276,692 100%486,513 100%837,564 100%3,977,174 100% Notes: *Solar figure for HEA is applying an assumption that 100% of the "consumer generation", as listed under purchased power for its submitted RCA annual report, is solar power Source: 2020 Railbelt Utility Annual Reports to the RCA Alaska Energy Authority Page 8 of 8 2.Working Paper, No. 2019-62, Energy Policy Institute at the University of Chicago, Do Renewable Portfolio Standards Deliver? (April 2019) Cc: House Energy Committee Vasilios Gialopos, Legislative Director From:Curtis W. Thayer To:Rep. Zack Fields; TW Patch Cc:Rep. Calvin Schrage; Kookesh, Melissa M (CED); Jennifer L. Bertolini; Curtis W. Thayer Subject:RE: energy generation by source for railbelt Date:Tuesday, March 22, 2022 2:59:41 PM Attachments:image003.png image004.png image002.png We had included your response in overall document responded to the other questions from the committee. However, I believe this what you are looking for: Best Regards, Curtis W. Thayer Executive Director 813 W Northern Lights Boulevard, Anchorage AK 99503 (907) 771-3009 (office) (907) 744-4704 (cell) cthayer@akenergyauthority.org From: Rep. Zack Fields <Rep.Zack.Fields@akleg.gov> Sent: Tuesday, March 22, 2022 2:40 PM To: Curtis W. Thayer <cthayer@akenergyauthority.org>; TW Patch <TPatch@akenergyauthority.org> Cc: Rep. Calvin Schrage <Rep.Calvin.Schrage@akleg.gov>; Kookesh, Melissa M (CED) <melissa.kookesh@alaska.gov> Subject: RE: energy generation by source for railbelt CAUTION: This email originated from outside of the organization. Do not click links or open attachments unless you recognize the sender and know the content is safe. Hi Curtis & TW, I’m following up on this request for data on railbelt electricity generation. Do you have that data available to share with me? Zack From: Rep. Zack Fields Sent: Wednesday, March 16, 2022 2:52 PM To: Curtis W. Thayer <cthayer@akenergyauthority.org> Cc: Rep. Calvin Schrage <Rep.Calvin.Schrage@akleg.gov> Subject: energy generation by source for railbelt Hi Curtis, In the context of the RPS bill, I was hoping to understand the breakdown of electricity generation within the railbelt, broken down by type (gas, coal, wind, solar, hydro, ….). Does AEA have that? If AEA also this generation % breakdown by utility service area, that would be useful too. Thank you, Zack Representative Zack Fields House District 20 From:Curtis W. Thayer To:Senator Natasha Vonlmhof Cc:Curtis W. Thayer; Jennifer L. Bertolini Subject:AEA & IIJA Date:Monday, March 21, 2022 2:02:38 PM Attachments:image001.png image002.png Infrastructure Investment and Jobs Act - H.R. 3684 - AEA Summary - Feb 2 2022_.xlsx Per our conversation, the list is ever evolving as we receive additional information from the Feds. Curtis Best Regards, Curtis W. Thayer Executive Director 813 W Northern Lights Boulevard, Anchorage AK 99503 (907) 771-3009 (office) (907) 744-4704 (cell) cthayer@akenergyauthority.org Infrastructure Investment and Jobs Act - H.R. 3684 - AEA Summary Updated: 02/02/2022 Page 1 of 4 4/4/2022 Section (IIJA) Program Title Technology Program Description/Notes Aggregate Federal Funding Appropriation Estimated Funding for AK State of AK Match Requirement Notes on AK Funding Estimate 11109 Surface Transportation Block Grant Electric Vehicles - Betsy In addition to standard eligible infrastructure projects, this section adds the installation of electric vehicle charging infrastructure and vehicle-to-grid infrastructure as eligible projects. Total Federal Appropriation =$273,150,000,000 28.74% of base appropriation for Surface Transportation Block Program Total appropriation by FY: FY22: $52,488,065,375 FY23: $53,537,826,683 FY24: $54,608,583,217 FY25: $55,700,754,881 FY26: $56,814,769,844 $990,000,000 DOTPF DOTPF may have higher priority eligible infrastructure projects than EVSE. The State is required to allocate a proportion of funds on certain types of projects as well as by population and to prioritize some geographic locations. Projects also need to be included in the STIP. Amount AK will receive was based on 2% more than AK's FY21 apportionment with penalties, and 1% more than previous FY. 28.74% of base appropriation allocated for Surface Transportation Block Program. 11401 Grants for Charging and Fueling Infrastructure Electric Vehicles - Betsy Alternative Fuel Corridor Redesignation Within 180 days of enactment, the Transportation Secretary is required to consult with federal agencies, state and local officials, as well as other entities to redisgnate highway corridors as Alternative Fuel Corridor Ready (corridor with EV DC fast chargers or alternative fueling stations located no more than 50 miles apart) or Corridor Pending (corridor that is targeted to achieve Corridor Ready status, but does not yet meet the criteria). Alternate Fuel Corridor Grants Within a year of enactment, a grant program will be established for state, local, and tribal governments, port authorities or metropolitan planning organizations to work with private entities to acquire, install, and operate and maintain alternative fuel infrastructure along FHWA-designated Alternative Fuel Corridors for 5 years. Community Grants 50% of program funds will be set-aside annually for competitive grants to expand publically-accessible alternative fuel infrastructure with priority to rural, underserved communities, and multi-unit dwellings. Community grants can also be used for preconstruction work, such as, planning, feasibility analysis, environmental review, revenue forecasting, preliminary design and engineering; and up to 5% can be used for public education and outreach. Community grants are capped at $15M per project. Total: $2,500,000,000 FY22: $300,000,000 FY23: $400,000,000 FY24: $500,000,000 FY25: $600,000,000 FY26: $700,000,000 Competitive application process Administration's goal is to have 500,000 EV charging stations to meet projected 2030 EV market. Based on population, AK would need 1,097 charging stations to meet that goal. Federal share not to exceed 80% total project costs; Private Entities (subgrantees) required to provide 20% match. No State match requirement. However, AEA estimates a need for $200,000 annually for staff time for planning and preparation of grant applications; procurements; distributing the funds; and managing subgrants/projects. About half of these funds can only be used for purposes of EV charging infrastructure development along designated alternative fuel corridors (AFCs). It is important for the State to get clarification on flexibility of AFC criteria and then decide to nominate the National Highway System highways and ferry/port terminals, and other roads if allowed, as Corridor Pending to make full use of these funds. Alaska currently has one Corridor Pending highway route from Anchorage to Fairbanks and no Corridor Ready routes. 11507 Denali Commission Rural - Tim For an additional amount for "Denali Commission", $75,000,000 to remain available until expended: Provided further, that such amount is designated by the Congress as being for an emergency requirement pursuant to section 4112(a) of H. Con. Res. 71 (115th Congress), the concurrent resolution on the budget for fiscal year 2018 and to section 251(b) of the Balanced Budget and Emergency Control Act of 1985. $75,000,000 $75,000,000 $15,000,000 40101 Grid Resilience and Reliability Transmission - Kirk $5B to be allocated FY2022 to FY2026, with $2.5B as competitive Federal Grant Program and $2.5B for formula-based State/Tribal Grant Program, for grid resiliency and reliability initiatives. activities, technologies, equipment, and hardening measures to reduce the likelihood and consequences of disruptive events, including: weatherization technologies and equipment; fire-resistant technologies and fire prevention systems; monitoring and control technologies; the undergrounding of electrical equipment; utility pole management; the relocation of power lines or the reconductoring of power lines with low-sag, advanced conductors; vegetation and fuel-load management; the use or construction of distributed energy resources for enhancing system adaptive capacity during disruptive events (including microgrids and battery-storage subcomponents); adaptive protection technologies; advanced modeling technologies; hardening of power lines, facilities, substations, of other systems; and the replacement of old overhead conductors and underground cables. Federal Grant Program - Competitive Program Grant program set aside for activities that are supplemental to existing hardening efforts planned for any given year; and reduce the risk of any power lines owned or operated by the eligible entity causing a wildfire; or increase the ability of the eligible entity to reduce the likelihood and consequences of disruptive events. Eligible entities include: electric grid operator; electricity storage operator; electricity generator; transmission owner or operator; distribution provider; fuel supplier; and any other relevant entity. Must submit a report detailing past, current, and future efforts by the eligible entity to reduce the likelihood and consequences of disruptive events. Grant amounts cannot exceed total amount the eligible entity has spent in the previous 3 years on efforts to reduce the likelihood and consequences of disruptive events. Priority will be given to projects that generate the greatest community benefit (whether rural or urban) in reducing the likelihood and consequences of disruptive events. Small utility (<4M MWh annually) set aside of a minimum of 30% of program funds. Small utility (<4M MWh annually) required to match 1⁄3 of the amount of the grant. $2,500,000,000 30% minimum set-aside for small utilities (<4M MWh annually) Competitive application process Small utility match = 1/3 Small utility match = 1/3 Eligible entities include: electric grid operator; electricity storage operator; electricity generator; transmission owner or operator; distribution provider; fuel supplier. AEA would be eligible as owner of Bradley Lake Hydro Project and transmission lines. At least 30% of program funds will be set aside for small utilities. Grant amounts cannot exceed total amount the eligible entity has spent in the previous 3 years on efforts to reduce the likelihood and consequences of disruptive events. Infrastructure Investment and Jobs Act - H.R. 3684 - AEA Summary Updated: 02/02/2022 Page 2 of 4 4/4/2022 Section (IIJA) Program Title Technology Program Description/Notes Aggregate Federal Funding Appropriation Estimated Funding for AK State of AK Match Requirement Notes on AK Funding Estimate 40101 Grid Resilience and Reliability Transmission - Kirk $5B to be allocated, with $2.5B eligible for use by States for FY2022 to FY2026, for grid resiliency and reliability initiatives. activities, technologies, equipment, and hardening measures to reduce the likelihood and consequences of disruptive events, including: weatherization technologies and equipment; fire-resistant technologies and fire prevention systems; monitoring and control technologies; the undergrounding of electrical equipment; utility pole management; the relocation of power lines or the reconductoring of power lines with low-sag, advanced conductors; vegetation and fuel-load management; the use or construction of distributed energy resources for enhancing system adaptive capacity during disruptive events (including microgrids and battery-storage subcomponents); adaptive protection technologies; advanced modeling technologies; hardening of power lines, facilities, substations, of other systems; and the replacement of old overhead conductors and underground cables. State/Tribal Grant Program - Formula Based 50% formula-based set aside for states and tribes to issue grants to eligible entities. Grant funding allocations are based on total population; total area; areas with low ratio of electricity customers to power lines; probability of disruptive events during previous 10 years based on federally declared disasters or emergencies; number and severity of events; amount of funds expended over past 10 years on percapita basis to mitigate or reduce severity or consequences over previous 10 years; among other factors. State/Tribe must submit a plan each FY for disbursing the funds. Small utilitiy set aside (<4M MWh annually) cannot be less than the percentage of all customers in the State/Tribe that are served by those eligible entities. 15% match requirement for State or Tribe. Small utility (<4M MWh annually) required to match 1⁄3 of the amount of the grant. $2,500,000,000 Not estimated 15% state match requirement and Small utility match = 1/3 State Cost Share = 15% Formula-based grant requiring 15% state match and 1/3 match from small utilities. The State/Tribe must submit a plan with the application. The State/Tribe may use up to 5% for providing technical assistance and administration expenses. Utility contributions to Bradley Lake transmission projects should count as State match funds. 40103 Energy Infrastructure Federal Financial Assistance Program - Program Upgrading Our Electric Grid and Ensuring Reliability and Resiliency Transmission $5B for FY2022 to FY2026 to create the "Program Upgrading Our Electric Grid and Ensuring Reliability and Resiliency". The purpose of the program being to "to demonstrate innovative approaches to transmission, storage, and distribution infrastructure to harden and enhance resilience and reliability; and to demonstrate new approaches to enhance regional grid resilience, implemented through States by public and rural electric cooperative entities on a cost-shared basis." Competitive application program for Federal Assistance. Eligible entities include: State; combination of 2 or more States; Indian Tribe; unit of local government; and public utility commission. $5,000,000,000 Competitive application process 20% match requirement as per 42 U.S. Code § 16352 State Cost Share: 20% 40103 Energy Improvement in Rural or Remote Areas, and Energy Infrastructure Resilience Framework Rural $1B for FY2022 to FY2026 to supplement the "Program Upgrading Our Electric Grid and Ensuring Reliability and Resiliency" with specific guidance relating to Federal financial assistance for rural and remote areas (city, town, or unincorporated area with less than <10K inhabitants). Such eligible projects include but are not limited to: "overall cost-effectiveness of energy generation, transmission, or distribution systems; siting or upgrading transmission and distribution lines; and reducing greenhouse gas emissions from energy generation by rural or remote areas." $1,000,000,000 Competitive application process 20% match requirement as per 42 U.S. Code § 16352 State Cost Share = 20% 40106 Transmission Facilitation Program Transmission - Kirk $50M for FY2022 to FY2026 for the establishment of a "Transmission Facilitation Fund" by which the DOE shall facilitate the construction of electric power transmission lines and related facilities. In addition to the 5 year $10M appropriation, the program will also establish a $2.5B revolving loan fund that allows DOE to serve as an “anchor tenant” for a new transmission line or an upgrade of an existing line. DL: eligible transmission lines required to have capacity of 1GW if new. Upgrades to existing lines or new lines in existing corridors must have 500MW capacity. These minimums are much greater than currently contemplated transmission line upgrades in Alaska. The only exceptions are an HVDC line from the North Slope to the Railbelt or a connection to Canada. This should be confirmed with the Railbelt utilities. $50,000,000 Competitive application process 100% match Loan program (100% match) - subject to some potential loan forgiveness clauses. Infrastructure Investment and Jobs Act - H.R. 3684 - AEA Summary Updated: 02/02/2022 Page 3 of 4 4/4/2022 Section (IIJA) Program Title Technology Program Description/Notes Aggregate Federal Funding Appropriation Estimated Funding for AK State of AK Match Requirement Notes on AK Funding Estimate 40109 State Energy Program AEEE - Taylor Allocates $500M, distributed in accordance with the applicable distribution formula in effect for 01/01/2021. Funds are to be made available for, but not limited to, "[...] the electrification of, State government vehicles, fleet vehicles, taxis and ridesharing services, mass transit, school buses, ferries, and privately owned passenger and medium- and heavy-duty- vehicles." SEP funding for AK for FY2021 was $445,730 of a total $56M, or 0.79%. At $100M per annum, it is estimated AK will receive $795,946/yr ($3.98M total). $500,000,000 $3,979,732 None required Changes some of the regulation of the SEP for this bill and going forward: ‘‘(7) the mandatory conduct of activities to support transmission and distribution planning, including— ‘‘(A) support for local governments and Indian Tribes; ‘‘(B) feasibility studies for transmission line routes and alternatives; ‘‘(C) preparation of necessary project design and permits; and ‘‘(D) outreach to affected stakeholders.’’ 40331 Hydroelectric Production incentives Hydro - Bryan $125M for FY2022 to remain available until expended for DOE to make incentive payments for electric energy generated and sold by a qualified hydroelectric facility during the incentive period. "Payments made by the Secretary under this section to the owner or operator of a qualified hydroelectric facility shall be based on the number of kilowatt hours of hydroelectric energy generated by the facility during the incentive period. For any such facility, the amount of such payment shall be 1.8 cents per kilowatt hour (adjusted as provided in paragraph (2) [for inflation]), subject to the availability of appropriations under subsection (g), except that no facility may receive more than $1,000,000 in 1 calendar year." $125,000,000 Competitive application process Incentive payments capped at $1M per year for 10 years, or $10M total for a single qualifying facility. Incentive program based on energy generation; cost share is 100% with incentive acting only as a discount towards hydro facility O&M costs. 40332 Hydroelectric Efficiency improvement incentives Hydro - Bryan $75M for FY2022 to remain available until expended for DOE to make incentive payments to the owners or operators of hydroelectric facilities at existing dams to be used to make capital improvements in the facilities that are directly related to improving the efficiency of such facilities by at least 3 percent. Incentive payments under this section shall not exceed 30 percent of the costs of the capital improvement concerned and not more than 1 payment may be made with respect to improvements at a single facility. No payment in excess of $5,000,000 may be made with respect to improvements at a single facility. $75,000,000 Competitive application process Incentive payment capped at 30% of capital cost of improvement(s), not to exceed $5M. As pursuant to 42 U.S. Code § 15882 State Cost Share is total capital cost of improvement(s). Incentive payment can be construed as a percentage discount to overall project cost. Incentive payment increases with capital cost, capped at 30%, not to exceed $5M. Utility contributions to Bradley should count as state match funds. 40333 Maintaining and Enhancing Hydroelectricity Incentives Hydro - Bryan $553.6M for FY2022 to remain available until expended for DOE to make payments to the owners or operators of qualified hydroelectric facilities at existing dams to be used to make improvements related to dam safety, grid resiliency, and environmental improvements. Incentive payments under this section shall not exceed 30 percent of the costs of the capital improvement concerned and not more than 1 payment may be made with respect to improvements at a single facility. No payment in excess of $5,000,000 may be made with respect to improvements at a single facility. $553,600,000 Competitive application process Incentive payment capped at 30% of capital cost of improvement(s), not to exceed $5M. Incentive payment increases with capital cost, capped at 30%, not to exceed $5M. Utility contributions to Bradley should count as state match funds. 40334 Pumped Storage Hydropower Wind and Solar Integration and System Reliability Initiative AEEE - Audrey $10M for FY2022 to FY2026 for purposes of no later than 09/30/2023 the DOE "enter[ing] into an agreement with an eligible to provide financial assistance to the eligible entity to carry out project design, transmission studies, power market assessments, and permitting for a pumped storage hydropower project to facilitate the long duration storage of intermittent renewable electricity." Eligibility for assistance is subject to a potential project being "(i) designed to provide not less than 1,000MW of storage capacity; (ii) be able to provide energy and capacity of use in more than 1 organized electricity market; (iii) be able to store electricity generated by intermittent renewable electricity projects located on Tribal land; and (iv) have received a preliminary permit from FERC." $10,000,000 Competitive application process 100% match State Cost Share = 100% 40502 Energy Efficiency Revolving Loan Fund Grant Program Energy Efficiency - Taylor $250M to be allocated for FY2022, available until expended. Maximum of $15M in grant funds to be allocated to each State to establish OR utilize an existing revolving loan fund for purposes of conducting commercial and residential energy audits and commercial and residential energy upgrades and retrofits. Additional funding may be available for those priority states which "are among the 15 States with the highest annual per-capita combined residential and commercial sector energy consumption, per the EIA; or the 15 States with the highest annual per-capita energy-related carbon dioxide emissions by State, per the EIA". While State matching funds are not required, the leveraging of private capital via the grant funds is highly encouraged. $250,000,000 $795,946 None required This program flows through SEP and will be subject to the same reporting requirements/platform. AHFC may be interested, still awaiting answer as of 01/28/2022. AEA/AIDEA would need to administer a Commercial Loan/Grant program. Infrastructure Investment and Jobs Act - H.R. 3684 - AEA Summary Updated: 02/02/2022 Page 4 of 4 4/4/2022 Section (IIJA) Program Title Technology Program Description/Notes Aggregate Federal Funding Appropriation Estimated Funding for AK State of AK Match Requirement Notes on AK Funding Estimate 40503 Energy Auditor Training Grant Program Energy Efficiency - Taylor $40M to be allocated for FY2022 to FY 2026. Grant allocation to States is subject to formula calculation based on population and shall not exceed $2M. Grants to be made available to States to "train individuals to conduct energy audits or surveys of commercial and residential buildings." $40,000,000 $2,000,000 None required $2M is maximum amount per State. This program flows through SEP and will be subject to the same reporting requirements/platform. AHFC may be interested, answer expected week of 11/22 40552 Energy Efficiency and Conservation Block Grant Program Energy Efficiency - Taylor $550M to be allocated for FY2022, until expended. Funding amount calculated per formula. Adding "programs for financing energy efficiency, renewable energy, and zero-emission transportation (and associated infrastructure), capital investments, projects, and programs, which may include loan programs and performance contracting programs, for leveraging of additional public and private sector funds, and programs that allow rebates, grants, or other incentives for the purchase and installation of energy efficiency, renewable energy, and zero-emission transportation (and associated infrastructure) measures" to EECBG program. $550,000,000 $1,925,000 None required NASEO reports 68% going to the 10 largest city or boroughs in the state direct from DOE. 28% to smaller cities, to be run through AEA. 2% to tribes (last time that was direct from DOE, and 2% for competitive projects. 41007 Renewable Energy Projects AEEE - Audrey This section plans to administer funding for RE projects through DOE, EERE and other federal agencies. Similar to other DOE RE programs, the match requirement and state applicant eligibility is defined on a case by case basis, depending on the agency that the funds are administered through. More information should become available on these programs as the adminstration plan is revealed by DOE. The Funding Opportunity Working Group will continue to monitor the relevant offices for funding announcements. Funding appears to be focused heavily on Research and Development type projects. Geothermal: $84,000,000 for FY 2022 - 2025 Wind Energy: $100,000,000 for FY 2022 - 2025 Solar Energy: $80,000,000 for FY 2022 - 2025 Competitive application process Varies depending on program Section J Title VIII National Electric Vehicle Formula Program Electric Vehicles - Betsy Formula based funds under Section 104(c) of title 23 USC for the development of publically available networked EV charging infrastructure along deisgnated alternative fuel corridors. Must develop a plan for disbursing the funds and developing the charging network and submit to Department of Transportation for approval. If the plan is not submitted or approved, the funds for that FY will be provided to localities within the state or disbursed to other states if they cannot be used by the localities. $5,000,000,000 total $300,000,000 for Federal Joint Office 10% set aside for assistance grants for States and localities Remaining funds follow base apportionment under Section 104(c) of title 23 USC. $51,000,000 $1,500,000 Federal share not to exceed 80% total project costs; State or Private Entities (subgrantees) can provide 20% match. State will need to fund planning, interagency coordination, stakeholder outreach, GIS support, and reporting prior to federal funding being available. If 10% set aside for assistance is apportioned to AK and state required to provide 20% match, then state would need $1,500,000. These funds can only be used for purposes of EV charging infrastructure development. Amount AK will receive was estimated from AK's FY21 apportionment after penalties applied to 90% of the funds. The AK funding estimate does not include the 10% set aside for assistance grants to states and localities because it is not clear if that will be competitive or apportioned. These funds can only be used for purposes of EV charging infrastructure development along designated alternative fuel corridors (AFCs) until they are fully built out. It is important for the State to get clarification on flexibility of AFC criteria and then decide to nominate the National Highway System highways and ferry/port terminals and other roads if allowed as Corridor Pending to make full use of these funds. Alaska currently has one Corridor Pending highway route from Anchorage to Fairbanks and no Corridor Ready routes. HB 301 OVERVIEW T.W. Patch, JD Director of Planning House Energy Committee March 8, 2022 ALASKA ENERGY AUTHORITY Railbelt Energy –AEA owns the Bradley Lake Hydroelectric Project, the Alaska Intertie, and the Sterling to Quartz Creek Transmission Line —all of which benefit Railbelt consumers by reducing the cost of power. Power Cost Equalization (PCE) –PCE reduces the cost of electricity in rural Alaska for residential customers and community facilities, which helps ensure the sustainability of centralized power. Rural Energy –AEA constructs bulk fuel tank farms, diesel powerhouses, and electrical distribution grids in rural villages. AEA supports the operation of these facilities through circuit rider and emergency response programs. Alternative Energy and Energy Efficiency –AEA provides funding, technical assistance, and analysis on alternative energy technologies to benefit Alaskans. These include biomass, hydro, solar, wind, and others. Grants and Loans –AEA provides loans to local utilities, local governments, and independent power producers for the construction or upgrade of power generation and other energy facilities. Energy Planning –In collaboration with local and regional partners, AEA provides economic and engineering analysis to plan the development of cost-effective energy infrastructure. AEA Programs and Services AEA works to diversify Alaska’s energy portfolio, engages on energy planning and policy, invests in Alaska’s energy infrastructure, and provides rural Alaska with technical and community assistance. AEA HB 301 Overview | House Energy Committee | March 8, 2022 02 What is a Renewable Portfolio Standard? Renewable Portfolio Standard (RPS) A requirement on retail electric suppliers… To supply a minimum percentage or amount of their retail load… With eligible sources of renewable energy Typically Backed with incentives of some form (financial or other) Often Accompanied by a tradable renewable energy certificate (REC) program to facilitate compliance Never Designed the same in any two states AEA HB 301 Overview | House Energy Committee | March 8, 2022 03 House Bill 301 House Bill (HB) 301 promotes energy independence, long-term cost reductions, and competitive markets in Alaska’s Railbelt. HB 301 aligns Alaska with 30 states and two territories in creating a renewable portfolio standard on the Railbelt. A key element of the Governor’s RPS is a firm commitment to transition to 30% renewable power by 2030 and 80% by 2040. Expanding our renewable energy portfolio is the best way to diversify our supply thus increasing Alaska’s energy security. AEA HB 301 Overview | House Energy Committee | March 8, 2022 04 Prior Legislative Action AN ACT DECLARING A STATE ENERGY POLICY. Be it enacted by the Legislature of the State of Alaska *Section 1. The uncodified law of the State of Alaska is amended by adding a new section to read: LEGISLATIVE INTENT. It is the intent of the legislature that (1) the state achieve a 15 percent increase in energy efficiency on a per capita basis between 2010 and 2020; (2) the state receive 50 percent of its electric generation from renewable and alternative energy sources by 2025; (3) the state work to ensure a reliable in-state gas supply for residents of the state; (4) the power project fund (AS 42.45.010) serve as the main source of state assistance for energy projects; (5) the state remain a leader in petroleum and natural gas production and become a leader in renewable and alternative energy development. Section 2. Permanent law. See Table of Disposition of Acts. Approved: June 16, 2010 2010 Temporary Special Acts and Resolves, An Act Declaring a State Energy Policy, Chapter 82 Effective: September 14, 2010 AEA HB 301 Overview | House Energy Committee | March 8, 2022 05 Recent Evolution RPS Standards and Goals RPS policies exist in 30 States and DC; apply to 58% of total U.S. retail electricity sales JANUARY 2012 Source: N.C. Solar Center at N.C. State University, Database of State Incentives for Renewables and Efficiency (accessed July 2012). (Correction: Amended source corrects the source listed in original publication of February 3, 2012.) Note: The map includes West Virginia as a State with a Renewable Portfolio Standard, although the Interstate Renewable Energy Council categorizes it as a goal State rather than an RPS State. Source: Database of State Incentives for Renewable Energy & Efficiency® September 2020 SEPTEMBER 2020 AEA HB 301 Overview | House Energy Committee | March 8, 2022 06 HOW DO WE GET THERE U.S.AK 34% 58% 6%2% AK* Energy Production Profile by Source (%) Oil and Gas Coal Renewable Energy (Biomass, Solar, Wind) Hydroelectric (*With Susitna-Watana) Nuclear Power AEA HB 301 Overview | House Energy Committee | March 8, 2022 08 Soldotna Homer Seward Location –The Bradley Lake Hydroelectric Project is located 27‐air miles northeast of Homer on the Kenai Peninsula Benefits –Provide low cost energy to 550,000+ members of Chugach Electric Association, City of Seward, Golden Valley Electric Association, Homer Electric Association, and Matanuska Electric Association Annual Energy Production –~10% of Railbelt electricity at 4.5 cents/kWh (or ~54,400 homes/year) and over $20 million in savings per year to Railbelt utilities from Bradley Lake versus natural gas Status –Energized in 1991 Dam Height –125 feet Dam Elevation –1,190 Feet Reservoir Length –4 miles Reservoir Width –1.3 miles Installed Capacity –120 MW Annual Energy –400,000 MWh Cost –~$400 Million Bradley Lake Hydroelectric Project Hydroelectric power is Alaska’s largest source of renewable energy —and Bradley Lake is Alaska’s largest hydro facility. AEA HB 301 Overview | House Energy Committee | March 8, 2022 09 Installed Capacity –≤ 180 MW Annual Energy –100,000- 500,000 MWh Cost –~$160-500 Million Location –The Dixon Diversion Project is located five miles southwest of Bradley Lake Studying Two Options – -Alternative 1 –Tunnel to Bradley Lake -Alternative 2 –Run-of-River Powerhouse on Martin River Benefits –Could provide annual electric energy for 17,000-40,000 homes on the Railbelt. (Bradley Lake Hydroelectric Project: 54,000 homes) Status –Alternative analysis underway Dixon Diversion Project The proposed Dixon Diversion Project would expand the size of the largest hydro project in Alaska —the Bradley Lake Hydroelectric Project. Soldotna Homer Seward 10 $345,000 $1.5 Million $2.5 Million Feasibility Design and Hydrology Environmental Studies Draft License Amendment Detailed Geotechnical Investigations Operations/Power Modeling Environmental Assessment Fiscal Year 2024 Detailed mapping/topography License Amendment Consultations Environmental Studies Hydrology Studies Initial Geotechnical Investigations Preliminary Design Fiscal Year 2023 Establish river gauge Initiate Bradley Lake FERC License Amendment Alternatives Analysis Report (Conceptual Design Fiscal Year 2022 Dixon Diversion: Next Steps AEA HB 301 Overview | House Energy Committee | March 8, 2022 11 Peak Demand Scenario on Coldest Day of Year —Hydro AEA HB 301 Overview | House Energy Committee | March 8, 2022 12 Peak Demand Scenario on Coldest Day of Year —Wind & Solar AEA HB 301 Overview | House Energy Committee | March 8, 2022 13 Railbelt Infrastructure Upgrades The Bradley Lake Hydroelectric Project is managed by the Bradley Lake Project Management Committee (BPMC), which is comprised of a member from each of the five participating Railbelt utilities —Chugach Electric Association, Golden Valley Electric Association, Homer Electric Association, Matanuska Electric Association, Seward Electric Association —and AEA. AEA and the BPMC have identified several opportunities to optimize the value provided by the project to more than 550,000 Alaskans along the Railbelt. These projects will remove transmission constraints, improve grid resiliency, and allow for better use of the Bradley Project’s potential by increasing its ability to deliver more low-cost, renewable energy throughout the Railbelt grid and enhance our ability to utilize that power most flexibly and cost-effectively. The Railbelt region of the State has seen significant changes to its energy infrastructure in the last 10 years. As a result of these changes transmission enhancements are necessary. AEA HB 301 Overview | House Energy Committee | March 8, 2022 14 Project Name Scope Schedule Budget Upgrade Transmission Line from Bradley Junction to Soldotna Construction of a second 115 kV transmission line from Bradley Junction to the Soldotna Substation 2022-2029 $66 Million Upgrade Transmission Line from Soldotna to Sterling Upgrade of the transmission line from 115 kV to 230 kV from the Soldotna Substation to the Sterling Substation in accordance with the results of engineering studies 2022-2029 $17 Million Upgrade Transmission Line from Sterling to Quartz Creek Upgrade of the transmission line between the Sterling Substation and Quartz Creek Substation (SSQ Line) from 115 kV to 230 kV 2022-2029 $53 Million Battery Energy Storage Systems for Grid Stabilization Upgrade to existing BESS system in Fairbanks, and also new BESS systems in the Kenai, and Central regions of the grid 2019-2025 $115 Million Study of Alternative Path to Export Energy Off Kenai Peninsula Study the feasibility of the best alternative transmission line path to deliver Bradley Project energy off the Kenai Peninsula 2022-2024 $10 Million Required Project Work Summary Total $261 MillionAEA HB 301 Overview | House Energy Committee | March 8, 2022 15 Constructed in the mid-1980s, the Alaska Intertie is a 170 mile-long, 345 kilovolt (kV) transmission line from Willow to Healy Operated by AEA and Railbelt utilities, the transmission line improves reliability within Railbelt system Allows Golden Valley Electric Association (GVEA) to connect to and benefit from lower cost power Between 2008 and 2018, the Intertie provided an average annual cost savings of $30 million to GVEA customers Alaska Intertie 16 Maximizing Clean Energy for the Railbelt Bradley Lake Expansion (Spillway Raise) –$4 million Bradley-Soldotna 115kV Line –$66 million Soldotna-Quartz Creek (and Substation) –$70 million Bernice Lake-Beluga HVDC –$185 million Dave’s Creek-University 230kV Line –$58 million Grid Stabilization –$115 million 17 2019 Abeyance Rescinded 2017 Licensing Abeyance Susitna-Watana Hydroelectric Project History AEA HB 301 Overview | House Energy Committee | March 8, 2022 18 Cook Inlet Natural Gas Value into the Future Opportunities: Home heating on the Railbelt (including potential future expansion) Power generation fuel on an as-needed basis and gas storage (CINGSA) Industrial customers in the Cook Inlet -Combined heat and power applications stand alone customers -Possibility for green hydrogen production -In-state industrial use -Potential pipeline transport for minerals extraction AEA HB 301 Overview | House Energy Committee | March 8, 2022 19 813 W Northern Lights Blvd. Anchorage, AK 99503 Main: (907) 771-3000 Fax: (907) 771-3044 akenergyauthority.org @alaskaenergyauthority @alaskaenergyauthority Alaska Energy Authority AEA provides energy solutions to meet the unique needs of Alaska’s rural and urban communities. 20 APPENDIX Susitna-Watana Hydroelectric Project Timeline AEA HB 301 Overview | House Energy Committee | March 8, 2022 22 CAPITAL BUDGET Curtis W. Thayer Executive Director Senate and House Finance Committee March 7, 2022 ALASKA ENERGY AUTHORITY AEA Active Projects and Services AEA Capital Budget Presentation | Senate and House Finance Committee| March 7, 2022 02 Program Funding Sources FY2023 Proposed Electrical Emergencies State General Fund $ 200.0 Strategic Plan for Railbelt Assets Fiscal Year 2022 Supplemental General Fund 2,500.0 Bulk Fuel Tank Farm Upgrades State Match 5,500.0 Bulk Fuel Tank Farm Upgrades Federal Receipt Authority 7,500.0 Renewable Energy Fund (REF)PCE Excess Earnings via REF Capitalization 15,000.0 Rural Power System Upgrades PCE Excess Earnings 10,000.0 Rural Power System Upgrades Federal Receipt Authority 10,000.0 Volkswagen Settlement Interest Earnings Receipt Authority (Statutory Designated)400.0 Electric Vehicle Infrastructure Fiscal Year 2022 Supplemental General Fund 1,500.0 Total $ 52,600.0 FY2023 Capital Budget Overview (Thousands) AEA Capital Budget Presentation | Senate and House Finance Committee| March 7, 2022 03 AEA provides support when an electric utility has lost, or will lose ability to generate or transmit power In the Fiscal Year 2022, $200,000 was appropriated. During the last five years there have been four electrical emergencies on average The average cost of an electrical emergency assistance is approximately $45,000 eachState General Fund: $200,000CAPITAL REQUEST: Electrical Emergency Response AEA Capital Budget Presentation | Senate and House Finance Committee| March 7, 2022 04 Develop an updated Railbelt Integrated Resource Plan Focus on un-constraining transmission congestion on the bulk power system Utilize the least cost power opportunities on the interconnected transmission system FY22 Supplemental General Fund: $2.5 Million CAPITAL REQUEST: Strategic Plan For Railbelt Assets AEA Capital Budget Presentation | Senate and House Finance Committee| March 7, 2022 05 ~400 rural bulk fuel facilities Goal —code compliant fuel storage facilities and prevention of spills and contamination Aging infrastructure, erosion, and catastrophic failure Active projects —8 full and 18 Maintenance and Improvement Deferred maintenance unmet $800 million State Match: $5.5 MillionFederal Receipt Authority:$7.5 Million CAPITAL REQUEST: Bulk Fuel Tank Farm Upgrades AEA Capital Budget Presentation | Senate and House Finance Committee| March 7, 2022 06 REF incentivizes the development of qualifying and competitively selected renewable energy projects Since inception, the program to date has awarded 244 grants totaling $275 million; 99 projects are in operation, 27 are in development Legislature approved all 11 AEA-recommended projects as submitted for Round 13, for a total of $4.75 million in available grant funds Solicited for Round 14; application deadline was January 18, 2022; 39 applicants —$15 million in Governor’s Fiscal Year 2023 proposed budget Alaska Statute 42.45.085(B)(PCE Excess Earnings) REF program sunsets on June 30, 2023 PCE Excess Earnings: $15 Million CAPITAL REQUEST: Renewable Energy Fund (REF) AEA Capital Budget Presentation | Senate and House Finance Committee| March 7, 2022 07 ~197 eligible communities Goal —improve power system efficiency, safety, and reliability Aging infrastructure and Operation and Maintenance Active projects —11 full and 40 Maintenance and Improvement / Diesel Emissions Reduction Act Deferred maintenance unmet is over $300 million Alaska Statute 42.45.085(B) (PCE Excess Earnings) PCE Excess Earnings: $10 Million Federal Receipt Authority: $10 Million CAPITALREQUEST: Rural Power System Upgrades AEA Capital Budget Presentation | Senate and House Finance Committee| March 7, 2022 08 VW Trust Agreement requires consistency with the terms of the agreement approved by the Trustee Allocation of VW Trust Interest Earnings is estimated at $400,000: -School Bus Replacement –65% -DERA Diesel Genset Replacement –15% -Electric Vehicle Infrastructure –15% -Public Transit Bus Replacement –5%Receipt Authority (Statutory Designated): $400,000 CAPITAL REQUEST: Volkswagen (VW) Settlement Interest Earnings AEA Capital Budget Presentation | Senate and House Finance Committee| March 7, 2022 09 Build out of Phase 2 and 3 of an EV fast-charging network on Alaska’s highway system and community-based Level 2 EV chargers to resolve range anxiety Capital request would be used to leverage federal match FY22 Supplemental General Fund: $1.5 Million CAPITAL REQUEST: Electric Vehicle Infrastructure AEA Capital Budget Presentation | Senate and House Finance Committee| March 7, 2022 10 813 W Northern Lights Blvd. Anchorage, AK 99503 Main: (907) 771-3000 Fax: (907) 771-3044 akenergyauthority.org @alaskaenergyauthority @alaskaenergyauthority Alaska Energy Authority AEA provides energy solutions to meet the unique needs of Alaska’s rural and urban communities. 11 From:Curtis W. Thayer To:Rep. Calvin Schrage Cc:"Rep. Bryce Edgmon"; Rep. Chris Tuck; Representative Tiffany Zulkosky; Rep. Matt Claman; Rep. George Rauscher; Rep. Zack Fields; Rep. James Kaufman; Curtis W. Thayer; Jennifer L. Bertolini; TW Patch Subject:AEA 2022.03.01 HB 358 Energy Committee Response.docx Date:Wednesday, March 2, 2022 12:51:27 PM Attachments:2022.03.01 HB 358 Energy Committee Response.pdf image001.png image002.png Mr., Chairman, Attached is the Energy Committee’s request for a “look back” regarding the cost of administering the Renewable Energy Grant Fund program. Please let me know if you need any additional information. Appreciate your efforts in advancing this legislation. Curtis Best Regards, Curtis W. Thayer Executive Director 813 W Northern Lights Boulevard, Anchorage AK 99503 (907) 771-3009 (office) (907) 744-4704 (cell) cthayer@akenergyauthority.org From: Jennifer L. Bertolini <JBertolini@akenergyauthority.org> Sent: Wednesday, March 2, 2022 12:43 PM To: Curtis W. Thayer <cthayer@akenergyauthority.org> Subject: 2022.03.01 HB 358 Energy Committee Response.docx 813 W Northern Lights Blvd, Anchorage, AK 99503  Phone: (907) 771-3000  Fax: (907) 771-3044  Email: info@akenergyauthority.org REDUCING THE COST OF ENERGY IN ALASKA AKENERGYAUTHORITY.ORG RGYAUTHORITY.ORG Renewable Energy Grant Fund 3 YR Look Back Alaska Energy Authority (AEA) program administration includes:  Program Management and oversight  Grant Management  Project Management  Technical Support  Accounting Support The costs of administrering the program are dependent on:  Program funding levels  Volume of active projects in a given year  Technical oversight required for new and existing Out year costs are dependent on those factors and therefore not known at this time. Alaska Energy Authority Renewable Energy Grant (38 Active Grants) Administrative Expenses YOY 2019-2021 No.Name FY19 FY20 FY21 72000 Travel 6,610.02$ 1,500.65$ 164.00$ 73000 Contractual 1,042,410.56$ 887,931.88$ 1,030,923.82$ 74000 Supplies 7,441.95$ 4,517.66$ 14,413.59$ 75000 Equipment & Other 1,759.67$ 2,311.09$ 1,728.89$ TOTAL 1,058,222.20$ 896,261.28$ 1,047,230.30$ Alaska Energy Authority Page 2 of 2 Renewable Energy Grant Fund FY 2021 Detail No.Name Net Change Balance 70000 State AR Expense 71002 Personal Services 72000 Travel 72508 Field Per Diem-In State 164.00 164.00 73000 Contractual 73115 Other Professional Services 104,282.28 104,282.28 73116 Other Professional Servc.-SOA 101,035.86 101,035.86 73141 Legal Services-SOA 1,232.79 1,232.79 73150 AIDEA Staff-Prof Services 786,335.38 786,335.38 73301 Telephone, Internet, and Cable 17,162.76 17,162.76 73302 Postage 1,997.90 1,997.90 73460 Freight & Express Charges 19.52 19.52 73502 Advertising/Printing/Binding 4,157.03 4,157.03 73503 Subscriptions & Info Services 6,731.24 6,731.24 73600 Building Utilities 6,520.38 6,520.38 73710 Other R&M 665.42 665.42 73900 Building Other 256.10 256.10 73903 Employee Tuition & Fees 264.66 264.66 73905 Recording Fees 262.50 262.50 74000 Supplies 74220 Stationery & Office Supplies 8,019.78 8,019.78 74221 Food Supplies 240.79 240.79 74560 Computer Commodities 3,031.42 3,031.42 74760 Vehicle R&M and Gas 779.74 779.74 74800 Materials & Supplies-Warehouse 1,726.69 1,726.69 74910 Other Supplies 615.17 615.17 75000 Equipment & Other 75050 Office Equipment & Furniture 1,728.89 1,728.89 79999 General & Admin Exp, Total 1,047,230.30 1,047,230.30 From:Curtis W. Thayer To:David Scott; melissa.kookesh@alaska.gov Cc:Jennifer L. Bertolini; Curtis W. Thayer Subject:RE: Stedman request Date:Thursday, March 31, 2022 1:46:29 PM Attachments:image001.png image002.png Stedman Request PCE Data IPEC 2010-2021.xlsx David, This is likely more information then you needed---but let me know if you have any questions. Curtis Best Regards, Curtis W. Thayer Executive Director 813 W Northern Lights Boulevard, Anchorage AK 99503 (907) 771-3009 (office) (907) 744-4704 (cell) cthayer@akenergyauthority.org From: David Scott <David.Scott@akleg.gov> Sent: Friday, March 25, 2022 4:15 PM To: melissa.kookesh@alaska.gov Cc: Curtis W. Thayer <cthayer@akenergyauthority.org> Subject: Stedman request CAUTION: This email originated from outside of the organization. Do not click links or open attachments unless you recognize the sender and know the content is safe. Hi Melissa & Curtis: Senator Stedman is requesting to receive the data (in excel if possible) for IPEC that is in the attached report. Can we please get the data from 2010 up to the most recent available? Thanks, Dave David Scott Office of Senator Stedman 465-3712 PCE DATA - Inside Passage Electric (IPEC) - 2010 THRU 2021 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 A B C D H I K L M N O P Q R T Year Utility/Community Last Reported Residential Rate (based on 500 kWh) Last PCE Rate Applied Residential Customers Community Facilities Eligible PCE kWh - Residential Eligible PCE kWh - Community Facilities Total Eligible PCE kWh PCE Payments Made Total kWh Sold Total Fuel Used Diesel (Gallons) Total Fuel Used Diesel (Cost) Avg Price of Fuel ($/gal) Total kWh Generated (Diesel) 2021 Angoon PCE 0.61$ 0.32$ 200 8 613,324 169,634 782,958 209,942$ 1,598,471 125,526 249,274$ 1.99$ 1,804,812 Chilkat Valley PCE 0.61$ 0.32$ 218 1 592,612 22,474 615,086 165,859$ 1,170,440 - $ -$ -- Hoonah PCE 0.61$ 0.32$ 410 27 1,438,885 589,378 2,028,263 545,184$ 4,338,853 220,011 431,834$ 1.96$ 3,202,358 Kake PCE 0.61$ 0.32$ 237 14 809,657 188,752 998,409 267,452$ 1,992,988 115,213 229,518$ 1.99$ 1,735,436 Klukwan PCE 0.61$ 0.32$ 50 9 176,215 79,800 256,015 68,649$ 430,716 - $ -$ -- Utility Company Total 1,115 59 3,630,693 1,050,038 4,680,731 1,257,086$ 9,531,468 460,750 910,626$ 1.98$ 6,742,606 2020 Angoon PCE 0.60$ 0.33$ 195 8 583,441 186,588 770,029 268,609$ 1,518,280 119,701 324,598$ 2.71$ 1,717,656 Chilkat Valley PCE 0.60$ 0.33$ 211 1 569,144 1,495 570,639 204,882$ 1,099,212 - $ -$ -- Hoonah PCE 0.60$ 0.33$ 392 27 1,439,416 615,497 2,054,913 717,931$ 4,283,328 234,537 637,745$ 2.72$ 3,436,087 Kake PCE 0.60$ 0.33$ 237 15 766,406 180,127 946,533 330,644$ 1,967,777 148,456 402,756$ 2.71$ 2,276,881 Klukwan PCE 0.60$ 0.33$ 48 7 174,349 78,960 253,309 88,371$ 439,728 - $ -$ -- Utility Company Total 1,083 58 3,532,756 1,062,667 4,595,423 1,610,437$ 9,308,325 502,694 1,365,098$ 2.72$ 7,430,624 2020 Angoon PCE 0.60$ 0.34$ 196 8 596,805 227,406 824,211 285,268$ 1,525,400 124,458 351,176$ 2.82$ 1,717,656 Chilkat Valley PCE 0.60$ 0.34$ 214 1 543,983 1,372 545,355 189,202$ 1,102,959 - $ -$ -- Hoonah PCE 0.60$ 0.34$ 382 27 1,359,108 608,052 1,967,160 681,485$ 4,026,944 263,981 740,627$ 2.81$ 3,436,087 Kake PCE 0.60$ 0.34$ 247 15 758,073 185,962 944,035 327,248$ 1,891,144 153,514 432,531$ 2.82$ 2,276,881 Klukwan PCE 0.60$ 0.34$ 47 9 178,361 78,120 256,481 88,731$ 436,887 - $ -$ -- Utility Company Total 60 3,436,330 1,100,912 4,537,242 1,571,934$ 8,983,334 541,953 1,524,334$ 2.81$ 7,430,624 2018 Angoon PCE 0.56$ 0.31$ 193 8 616,778 221,842 838,620 255,108$ 1,581,236 120,226 294,298$ 2.45$ 1,792,705 Chilkat Valley PCE 0.56$ 0.31$ 210 1 564,530 1,436 565,966 172,074$ 1,070,801 - $ -$ -- Hoonah PCE 0.56$ 0.31$ 377 28 1,384,370 630,574 2,014,944 613,082$ 4,198,932 246,002 603,533$ 2.45$ 3,486,555 Kake PCE 0.56$ 0.31$ 238 15 787,631 192,659 980,290 298,322$ 1,968,818 152,721 372,245$ 2.44$ 2,242,369 Klukwan PCE 0.56$ 0.31$ 48 9 179,428 79,660 259,088 78,784$ 460,990 - $ -$ -- Utility Company Total 1,066 61 3,532,737 1,126,171 4,658,908 1,417,370$ 9,280,777 518,949 1,270,077$ 7.34$ 7,521,629 2017 Angoon PCE 0.53$ 0.29$ 199 8 637,647 201,605 839,252 237,010$ 1,598,233 126,487 271,940$ 2.15$ 1,832,776 Chilkat Valley PCE 0.53$ 0.29$ 214 1 561,013 1,399 562,412 159,481$ 1,108,722 - $ -$ -- Hoonah PCE 0.53$ 0.29$ 387 28 1,401,108 618,634 2,019,742 573,051$ 4,228,766 233,786 496,226$ 2.12$ 3,546,296 Kake PCE 0.53$ 0.29$ 245 14 832,783 202,815 1,035,598 293,382$ 1,991,469 169,760 365,590$ 2.15$ 2,229,319 Klukwan PCE 0.53$ 0.29$ 49 9 179,816 78,120 257,936 73,012$ 438,378 - $ -$ -- Utility Company Total 1,094 60 3,612,367 1,102,573 4,714,940 1,335,936$ 9,365,568 530,033 1,133,756$ 2.14$ 7,608,391 PCE DATA - Inside Passage Electric (IPEC) - 2010 THRU 2021 1 A B C D H I K L M N O P Q R T Year Utility/Community Last Reported Residential Rate (based on 500 kWh) Last PCE Rate Applied Residential Customers Community Facilities Eligible PCE kWh - Residential Eligible PCE kWh - Community Facilities Total Eligible PCE kWh PCE Payments Made Total kWh Sold Total Fuel Used Diesel (Gallons) Total Fuel Used Diesel (Cost) Avg Price of Fuel ($/gal) Total kWh Generated (Diesel) 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 2016 Angoon PCE 0.47$ 0.24$ 196 8 646,158 230,281 876,439 237,341$ 1,587,342 126,011 322,921$ 2.56$ 1,826,961 Chilkat Valley PCE 0.47$ 0.24$ 216 1 536,941 1,198 538,139 145,774$ 1,129,877 - $ -$ -- Hoonah PCE 0.47$ 0.24$ 391 28 1,431,233 556,575 1,987,808 538,322$ 4,197,469 223,262 579,792$ 2.60$ 3,307,649 Kake PCE 0.47$ 0.24$ 247 14 862,343 223,058 1,085,401 294,458$ 2,002,393 170,593 436,930$ 2.56$ 2,294,968 Klukwan PCE 0.47$ 0.24$ 48 9 168,423 66,998 235,421 63,712$ 382,281 - $ -$ -- Utility Company Total 1,098 60 3,645,098 1,078,110 4,723,208 1,279,606$ 9,299,362 519,866 1,339,643$ 2.58$ 7,429,578 2015 Angoon PCE 0.59$ 0.37$ 200 8 640,012 238,475 878,487 339,194$ 1,613,326 130,963 477,228$ 3.64$ 1,842,917 Chilkat Valley PCE 0.59$ 0.37$ 204 1 522,260 1,082 523,342 201,778$ 1,082,198 - $ -$ -- Hoonah PCE 0.59$ 0.37$ 391 28 1,433,055 570,293 2,003,348 772,418$ 4,323,699 314,793 1,146,242$ 3.64$ 4,734,244 Kake PCE 0.59$ 0.37$ 229 16 854,510 212,208 1,066,718 412,721$ 2,379,443 201,609 736,280$ 3.65$ 2,739,418 Klukwan PCE 0.59$ 0.37$ 48 9 163,515 65,905 229,420 88,374$ 345,076 - $ -$ -- Utility Company Total 1,072 62 3,613,352 1,087,963 4,701,315 1,814,485$ 9,743,742 647,365 2,359,749$ 3.65$ 9,316,579 2014 Angoon PCE 0.62$ 0.40$ 196 8 645,313 207,929 853,242 343,660$ 1,571,232 130,625 507,538$ 3.89$ 1,797,775 Chilkat Valley PCE 0.62$ 0.40$ 207 1 517,848 949 518,797 208,570$ 1,065,433 - $ -$ -- Hoonah PCE 0.62$ 0.40$ 372 28 1,419,497 584,832 2,004,329 805,765$ 4,265,453 314,168 1,224,178$ 3.90$ 4,654,869 Kake PCE 0.62$ 0.40$ 230 15 847,737 226,350 1,074,087 437,736$ 2,758,557 220,851 863,502$ 3.91$ 3,078,307 Klukwan PCE 0.62$ 0.40$ 49 9 157,706 64,362 222,068 89,235$ 352,516 - $ -$ -- Utility Company Total 1,054 61 3,588,101 1,084,422 4,672,523 1,884,966$ 10,013,191 665,644 2,595,218$ 3.90$ 9,530,951 2013 Angoon PCE 199 8 675,988 214,574 890,562 380,598$ 1,600,238 133,093 557,471$ 4.19$ 1,823,517 Chilkat Valley PCE 0.68$ 0.46$ 206 1 544,126 789 544,915 233,374$ 1,100,020 - $ -$ -- Hoonah PCE 0.68$ 0.46$ 371 28 1,449,839 557,663 2,007,502 858,064$ 4,274,532 315,632 1,322,017$ 4.19$ 4,659,732 Kake PCE 0.68$ 0.46$ 236 15 905,211 230,706 1,135,917 485,361$ 2,672,032 205,961 862,556$ 4.19$ 2,952,396 Klukwan PCE 0.68$ 0.46$ 49 9 165,142 65,911 231,053 98,677$ 334,431 - $ -$ -- Utility Company Total 1,061 61 3,740,306 1,069,643 4,809,949 2,056,074$ 9,981,253 654,686 2,742,045$ 4.19$ 9,435,645 2012 Angoon PCE 198 8 693,284 248,094 941,378 397,755$ 1,815,648 139,419 553,914$ 3.97$ 2,033,389 Chilkat Valley PCE 0.63$ 0.42$ 203 1 554,558 915 555,473 234,912$ 1,111,104 - $ -$ -- Hoonah PCE 0.63$ 0.42$ 368 32 1,447,813 567,425 2,015,238 852,696$ 4,344,829 328,490 1,306,174$ 3.98$ 4,803,438 Kake PCE 0.63$ 0.42$ 235 16 893,785 238,531 1,132,316 479,138$ 2,609,982 216,348 862,275$ 3.99$ 2,886,541 Klukwan PCE 0.63$ 0.42$ 46 9 170,451 64,227 234,678 99,133$ 365,384 - $ -$ -- Utility Company Total 1,050 66 3,759,891 1,119,192 4,879,083 2,063,635$ 10,246,947 684,257 2,722,363$ 3.98$ 9,723,368 PCE DATA - Inside Passage Electric (IPEC) - 2010 THRU 2021 1 A B C D H I K L M N O P Q R T Year Utility/Community Last Reported Residential Rate (based on 500 kWh) Last PCE Rate Applied Residential Customers Community Facilities Eligible PCE kWh - Residential Eligible PCE kWh - Community Facilities Total Eligible PCE kWh PCE Payments Made Total kWh Sold Total Fuel Used Diesel (Gallons) Total Fuel Used Diesel (Cost) Avg Price of Fuel ($/gal) Total kWh Generated (Diesel) 62 63 64 65 66 67 68 69 70 71 72 73 2011 Angoon PCE 0.61$ 0.38$ 193 8 657,310 226,279 883,589 324,662$ 1,825,732 141,499 435,543$ 3.08$ 2,052,011 Chilkat Valley PCE 0.61$ 0.38$ 200 1 571,769 1,030 572,799 207,094$ 1,207,436 - -$ -$ - Hoonah PCE 0.61$ 0.38$ 353 32 1,437,333 540,738 1,978,071 719,741$ 4,361,553 325,172 1,004,066$ 3.09$ 4,760,212 Kake PCE 0.61$ 0.38$ 226 13 835,925 172,646 1,008,571 377,050$ 2,285,784 186,054 574,210$ 3.09$ 2,581,902 Klukwan PCE 0.61$ 0.38$ 49 8 172,657 56,420 229,077 83,605$ 375,753 - -$ -$ - Utility Company Total 1,021 62 3,674,994 997,113 4,672,107 1,712,151$ 10,056,258 652,725 2,013,819$ 3.09$ 9,394,125 2010 Angoon PCE 0.57$ 194 7 599,310 207,930 807,240 258,263$ 1,739,193 137,730 348,708$ 2.53$ 1,953,750 Chilkat Valley PCE 0.57$ 36.30$ 204 1 581,995 987 582,982 172,742$ 1,163,542 - -$ -$ - Hoonah PCE 0.57$ 36.30$ 358 28 1,420,263 497,121 1,917,384 567,816$ 4,274,752 330,476 864,850$ 2.62$ 4,702,798 Kake PCE 0.57$ 36.30$ 221 12 831,966 82,500 914,466 295,143$ 2,197,459 189,678 495,702$ 2.61$ 2,501,933 Klukwan PCE 0.57$ 36.30$ 47 7 159,521 31,314 190,835 62,828$ 370,507 - -$ -$ - Utility Company Total 1,024 55 3,593,055 819,852 4,412,907 1,356,792$ 9,745,453 657,884 1,709,260$ 2.60$ 9,158,481 ELECTRIC VEHICLE INFRASTRUCTURE Curtis W. Thayer Executive Director House Energy Committee March 29, 2022 ALASKA ENERGY AUTHORITY AEA EV Mission Statement Lead the effort to minimize barriers that inhibit EV adoption in Alaska. Dimond Center EV Car Show and Ride & Drive, Anchorage, AK AEA EV Infrastructure | House Energy Committee| March 22, 2022 02 Working Group Technical Sessions EV Car Show / Ride and Drive School bus in Tok Transit bus in Juneau MOA box truck Installation of L2 and DCFC EV Program Overview Alaska’s First Electric School Bus, Tok, AK Capital Transit Battery-Electric Bus, Juneau, AK 03 Lack of charging infrastructure Range anxiety High demand charges Cold climate performance Market availability of electric AWD, SUVs, and trucks Barriers to EV Adoption in Alaska Dimond Center EV Car Show and Ride & Drive, Anchorage, AK AEA EV Infrastructure | House Energy Committee| March 22, 2022 04 Existing and Planned EV Fast-Charging Locations Glenn Highway -Chugiak –94 miles from Trapper Creek Parks Highway -Trapper Creek –95 mi from Cantwell -Cantwell –38 miles from Healy -Healy –110 miles from Fairbanks Seward Highway Seward –46 miles from Cooper Landing Sterling Highway Homer –76 miles from Soldotna Soldotna –46 miles from Cooper Landing Cooper Landing –95 miles from Anchorage Seward Highway Anchorage –27 miles from Chugiak (50-12 kW CSS and CHAdeMo) AEA EV Infrastructure | House Energy Committee| March 22, 2022 05 Two sites completed in Anchorage 2021 Linny Pacillo Parking Garage Snowden Administration Building Two more sites planned for 2022-2023 AEA office parking lot Ted Stevens Anchorage International Airport State and Federal SEP funds Level 2 Chargers At State Facilities EV Level 2 Charger, Linny Pacillo Parking Garage, Anchorage, AKEV Level 2 Charger, Snowden Building, Anchorage, AK EV Charging and Fueling Infrastructure Program -$2.5 Billion State, local, tribal governments, port authorities, metropolitan planning organizations Partnerships with private entities Procurement, installation, 5 years O&M 80% federal share 20% match from applicant or private entity 50% Alternative Fuel Corridors Publicly accessible Priority for rural areas, underserved communities, areas with limited access to infrastructure Procurement, installation, 5 years O&M Also preconstruction, planning, feasibility, public education $15 million cap per project 80% federal share 20% match from private entity 50% Community Grant Program AEA EV Infrastructure | House Energy Committee| March 22, 2022 07 >$50 Million for Alaska FY22-FY26 -$7.8 million in FY22 EV Fast-charging Installations -4 Combined Charging System Connectors ->150 kW each -< 50 miles apart -Within 1 mile of highway Designated Alternative Fuel Corridors -Until fully built out Interstate Highway System Priority Implementation Plan due August 1, 2022 Federal Share –80% Private entity or other –20% NEVI Formula Program AEA EV Infrastructure | House Energy Committee| March 22, 2022 08 National EV Infrastructure (NEVI) Formula Program Schedule 09 NEVI Formula Program Timeline AFC Nominations Due NEVI Implementation Plan Due DOT/DOE Joint Office Approves Plan MAY 13, 2022 AUG. 1, 2022 SEPT. 30, 2022 AEA EV Infrastructure | House Energy Committee| March 22, 2022 10 Submitted comments to the Federal Highway Administration (FHWA) Request for information (RFI) Memorandum of Agreement (MOA) with Departments of Motor Vehicles (DMV) for data sharing MOA with Department of Transportation & Public Facilities (DOT&PF) Stakeholder outreach (utilities, municipalities, other interested parties) Interagency coordination (DEC, DMV, DOA DOT&PF, and DNR Parks) Gather baseline data (registered EVs, existing and planned Electric Vehicle Supply Equipment) Request For Proposal (RFP) for EV contractor out to bid Release RFI/RFP for interested site hosts Nominate Alternative Fuel Corridors Continue interagency coordination, stakeholder outreach, data compilation NEVI Implementation Plan due 8/1/2022 AEA EV Program Planning Activities AEA EV Infrastructure | House Energy Committee| March 22, 2022 11 813 W Northern Lights Blvd. Anchorage, AK 99503 Main: (907) 771-3000 Fax: (907) 771-3044 akenergyauthority.org @alaskaenergyauthority @alaskaenergyauthority Alaska Energy Authority 12 From:Curtis W. Thayer To:Laib.Allensworth@akleg.gov; Tyler.Newcombe@akleg.gov; Emma Torkelson Cc:Jennifer L. Bertolini; Curtis W. Thayer Subject:Alaska Energy Authority--REF Projects by Energy Region + Rd14 Summary - REF Ext Bill - Senate Finance Committee Request Date:Wednesday, March 23, 2022 12:15:56 PM Attachments:REF_PROJECTS_BY_ENERGY_REGION_AND_RD14_SUMMARY.xlsx image002.png image003.png Attached is a summary of all REF projects by Energy Region, along with a summary of those Rd14 applications under review, as requested by the Senate Finance Committee for the REF Extension bill. Those REF projects under development are denoted by blue highlight. Please let me know if you need anything else. Thank you---Curtis Best Regards, Curtis W. Thayer Executive Director 813 W Northern Lights Boulevard, Anchorage AK 99503 (907) 771-3009 (office) (907) 744-4704 (cell) cthayer@akenergyauthority.org Energy RegionPJ CodeLocationCodeAEA Project Name Community NameHouseDistrictSenate District PopulationPopulationCount YR.Native Corporation Electric Utility Budget Spent Budget Spent403038 100Adak Diesel Hybrid - ClosedAdak Aleutians 37 S 298 2019 Aleut Corporation Individual Generators76,369.00 76,369.00 5,756.00 5,756.00407106100Adak Hydro Power Generator R9-ClosedAdak Aleutians 37 S 298 2019 Aleut Corporation Individual Generators----406010105Akutan Geothermal Development Prj - ClosedAkutan Aleutians 37 S 990 2019 Aleut Corporation Individual Generators5,463,792.00 5,463,792.00 441,689.85 881,759.17407061 105Loud Creek Hydro-ClosedAkutan Aleutians 37 S 990 2019 Aleut Corporation Individual Generators206,295.92 206,295.92 - -407062 105Town Crk Hydro-Design for Repairs/Upgrades -ClosedAkutan Aleutians 37 S 990 2019 Aleut Corporation Individual Generators162,000.00 162,000.00 - -407072 105Akutan Hydroelectric System Repair/Upgrade-ClosedAkutan Aleutians 37 S 990 2019 Aleut Corporation Individual Generators1,391,000.00 1,391,000.00 135,633.35 135,633.35403039 124Atka Hydro Dispatched Excess Elect. Power-CLOSEDAtka Aleutians 37 S 50 2019 Aleut Corporation Individual Generators56,702.31 56,702.31 16,179.09 16,179.09407033 124Chuniisax Cr Hydroelectric Construction - ClosedAtka Aleutians 37 S 50 2019 Aleut Corporation Individual Generators996,000.00 996,000.00 1,918,891.00 1,953,836.59403069 167Cold Bay Waste Heat Recovery Project - ClosedCold Bay Aleutians 37 S 60 2019 Aleut Corporation City of Seward17,524.50 17,524.50 1,188.75 1,188.75410061 167Cold Bay Electric Utility Wind Energy R4-ClosedCold Bay Aleutians 37 S 60 2019 Aleut Corporation City of Seward57,591.91 57,591.91 7,987.00 7,987.00410079 210False Pass Wind Energy Project R4-CLOSEDFalse Pass Aleutians 37 S 42 2019 Aleut Corporation City of Diomede68,653.75 68,653.75 5,000.00 5,000.00407090278Waterfall Creek Hydroelectric Project - ClosedKing Cove Aleutians 37 S 919 2019 Aleut Corporation Homer Electric Association, Incorporated2,800,000.00 2,800,000.00 1,500,000.00 2,746,513.24410070341Nelson Lagoon Wind Energy Project R4-ClosedNelson Lagoon Aleutians 37 S 30 2019 Aleut Corporation Homer Electric Association, Incorporated75,756.47 75,756.47 7,260.00 7,260.00410028 351Nikolski Wind Integration Construction - ClosedNikolski Aleutians 37 S 17 2019 Aleut Corporation North Slope Borough Power and Lights Systems409,430.00 409,430.00 41,500.00 69,082.24410029 408St. George Wind Farm Construction-ClosedSaint George Aleutians 37 S 59 2019 Aleut Corporation Golden Valley Electric Association, Incorporated1,485,167.34 1,485,167.34 - -403040411Saint Paul Fuel Economy Upgrade R3-CLOSEDSaint Paul Aleutians 37 S 385 2019 Aleut Corporation City and Borough of Wrangell98,149.00 98,149.00 19,238.52 19,238.52409023 411St. Paul Wind Diesel Project R3 - ClosedSaint Paul Aleutians 37 S 385 2019 Aleut Corporation City and Borough of Wrangell1,790,301.15 1,790,301.15 191,605.61 191,605.61407051 414Aleutians East Borough Feasibility Study - ClosedSand Point Aleutians 37 S 897 2019 Aleut Corporation City of Peterburg25,000.00 25,000.00 15,000.00 15,177.25410050414Sand Point Wind-ClosedSand Point Aleutians 37 S 897 2019 Aleut Corporation City of Peterburg639,494.85 639,494.85 437,900.00 437,900.00410100414Sand Point Excess Wind Utilization - ClosedSand Point Aleutians 37 S 897 2019 Aleut Corporation City of Peterburg307,120.00 307,120.00 79,550.51 79,550.51403032 471Unalaska Heat Recovery Construction-CLOSEDUnalaska Aleutians 37 S 4,592 2019 Aleut Corporation1,300,000.00 1,300,000.00 - -407116471Unalaska Wind - FeasibilityUnalaska Aleutians 37 S 4,592 2019 Aleut Corporation139,000.00 - - -17,565,348.20 17,426,348.20 4,824,379.68 6,573,667.32403070139Brevig Mission Water System Heat Recovery-ClosedBrevig Mission Bering Straits 39 T 451 2019 Bering Straits Native CorporationPaxson Lodge113,076.49 113,076.49 20,574.69 20,574.69410077 202Elim Wind Feasibility R4-ClosedElim Bering Straits 39 T 351 2019 Bering Straits Native CorporationCircle Electric , LLC73,234.00 73,234.00 3,854.00 3,854.00410080 224Gambell Wind Energy Recovery RD5-CLOSEDGambell Bering Straits 39 T 667 2019 Bering Straits Native Corporation Copper Valley Electric Association, Incorporated239,950.00 239,950.00 12,645.00 12,645.00407107 296Koyuk Water System Heat Recovery R9Koyuk Bering Straits 39 T 348 2019 Bering Straits Native CorporationAlaska Village Electric Cooperative90,922.00 81,023.70 910.00 8,393.74410075 296Koyuk Wind Feasibility R4-ClosedKoyuk Bering Straits 39 T 348 2019 Bering Straits Native CorporationAlaska Village Electric Cooperative16,142.00 16,142.00 850.00 850.00406013 354Pilgrim Hot Springs Geothermal Assess R3,R4-ClosedNome Bering Straits 39 T 3,6902019 Bering Straits Native CorporationKipnuk Light Plant1,943,410.72 1,943,410.72 2,313,093.00 2,313,093.00409017 354Nome Banner Peak Wind Farm Trans Const-ClosedNome Bering Straits 39 T 3,6902019 Bering Straits Native CorporationKipnuk Light Plant801,000.00 801,000.00 89,000.00 122,871.43410030354Nome/Newton Peak Wind Farm Construction-ClsdNome Bering Straits 39 T 3,6902019 Bering Straits Native CorporationKipnuk Light Plant8,069,000.00 8,069,000.00 1,159,641.56 1,159,641.56403062 415Savoonga Heat Recovery System R6 CLOSEDSavoonga Bering Straits 39 T 735 2019 Bering Straits Native Corporationn/a425,234.32 425,234.32 10,452.57 10,452.57410053 423Shaktoolik Wind-ClosedShaktoolik Bering Straits 39 T 272 2019 Bering Straits Native Corporation Barrow Utilities and Electric Cooperative Incorporated2,465,633.00 2,465,633.00 374,280.00 374,280.00410081 423Shaktoolik Surplus Wind Energy Recovery RD5-CLOSEDShaktoolik Bering Straits 39 T 272 2019 Bering Straits Native Corporation Barrow Utilities and Electric Cooperative Incorporated239,230.00 239,230.00 12,645.00 12,645.00403055 425Shishmaref Heat Recovery Project R5ShishmarefBering Straits 39 T 577 2019 Bering Straits Native CorporationMatanuska Electric Association, Incorporated310,841.00 42,418.32 16,360.00 13,741.72407108 425Shishmaref Wind Feasibility&Conceptual Design R9ShishmarefBering Straits 39 T 577 2019 Bering Straits Native CorporationMatanuska Electric Association, Incorporated152,000.00 625.00 8,000.00 251.00403065 436Stebbins Heat Recovery Project R6-ClosedStebbins Bering Straits 39 T 618 2019 Bering Straits Native CorporationHomer Electric Association, Incorporated1,319,088.00 1,319,088.00 72,825.00 72,825.00410066436Stebbins/St Michael Wind Feas.FD&Permitting-CLOSEDStebbins Bering Straits 39 T 618 2019 Bering Straits Native CorporationHomer Electric Association, Incorporated479,750.00 479,750.00 170,000.00 171,348.43410054451Teller Wind Analysis-ClosedTellerBering Straits 39 T 235 2019 Bering Straits Native CorporationAnchorage Municipal Light and Power98,165.00 98,165.00 - -410031 470Unalakleet Wind Farm Construction - ClosedUnalakleet Bering Straits 39 T 721 2019 Bering Straits Native Corporation4,000,000.00 4,000,000.00 619,807.00 619,807.00407105 477Wales Water System Heat Recovery R9-CLOSEDWales Bering Straits 39 T 150 2019 Bering Straits Native Corporation69,905.00 63,510.00 - -20,906,581.53 20,470,490.55 4,884,937.82 4,917,274.14407034153Indian Creek Hydro Feasibility StudyChignik Bristol Bay37 S 95 2019 Bristol Bay Native CorporationMatanuska Electric Association, Incorporated198,513.12 198,513.12 - -407036154Chignik Lagoon Hydroelectric Final Design - ClosedChignik Lagoon Bristol Bay37 S 81 2019 Bristol Bay Native CorporationIndividual Generators150,000.00 150,000.00 - -407091 154Packer's Creek Hydroelectric Project - ClosedChignik Lagoon Bristol Bay37 S 81 2019 Bristol Bay Native CorporationIndividual Generators4,346,196.00 4,346,196.00 1,046,938.04 1,046,938.04410033 155Chignik Lake Area Wind-Hydro Final Design-ClosedChignik Lake Bristol Bay37 S 57 2019 Bristol Bay Native CorporationAlaska Power Company74,850.60 74,850.60 9,854.30 9,854.30410088 196Egegik Wind Feasibility Study R6-ClosedEgegik Bristol Bay37 S 85 2019 Bristol Bay Native CorporationG & K, Incorporated60,000.00 60,000.00 16,377.52 16,377.52408002 256Kvichak River - Ocean & River Energy-ClosedIgiugig Bristol Bay37 S 56 2019 Bristol Bay Native CorporationIndividual Generators704,905.21 704,905.21 - -410098 256Igiugig Wind Resource Feasibility & CDR-CLOSEDIgiugig Bristol Bay37 S 56 2019 Bristol Bay Native CorporationIndividual Generators80,000.00 80,000.00 30,000.00 30,000.00410089 291Kokhanok - High-penetration Wind Energy R6Kokhanok Bristol Bay37 S 157 2019 Bristol Bay Native CorporationNorth Slope Borough Power and Lights Systems185,000.00 96,139.78 5,000.00 -407111 292Nuyakuk River Hydro - Conceptual DesignKoliganek Bristol Bay37 S 195 2019 Bristol Bay Native CorporationTDX Adak Generating, LLC1,000,000.00 - - -410072 292New Koliganek Wind & Heat Recovery Feasb-ClosedKoliganek Bristol Bay37 S 195 2019 Bristol Bay Native CorporationTDX Adak Generating, LLC77,853.48 77,853.48 2,575.00 2,575.00402026301Lake & Peninsula Borough Wood Boilers R1,R4-CLOSEDLake & Peninsula Borough Bristol Bay1,622 2019 Bristol Bay Native CorporationUngusrag Power Company280,421.41 280,421.41 18,386.64 18,386.64407035 301Nushagak Area Hydropower Project R3-ClosedLake & Peninsula Borough Bristol Bay1,622 2019 Bristol Bay Native CorporationUngusrag Power Company1,873,223.18 1,873,223.18 - -410032 301Lake Pen Borough Wind Feasibility Study-ClosedLake & Peninsula Borough Bristol Bay1,622 2019 Bristol Bay Native CorporationUngusrag Power Company184,000.00 184,000.00 40,000.00 60,562.47410087 307Levelock Wind Reconnaissance Study R6-ClosedLevelock Bristol Bay37 S 70 2019 Bristol Bay Native CorporationAlaska Village Electric Cooperative10,000.00 10,000.00 1,636.00 1,636.00403068 344New Stuyahok Heat Recovery R6 - ClosedNew Stuyahok Bristol Bay37 S 476 2019 Bristol Bay Native CorporationAlaska Village Electric Cooperative484,897.27 484,897.27 62,000.00 59,931.12409025 344New Stuyahok Wind-Feasibility Analysis R3-ClosedNew Stuyahok Bristol Bay37 S 476 2019 Bristol Bay Native CorporationAlaska Village Electric Cooperative142,500.00 142,500.00 8,885.00 8,885.00407103 375Pedro Bay/Knutson Creek Hydroelectric Project R6Pedro BayBristol Bay37 S 36 2019 Bristol Bay Native CorporationMatanuska Electric Association, Incorporated290,000.00 249,620.95 2,500.00 2,577.98409026 380Pilot Point Wind Power & Heat R3 - ClosedPilot Point Bristol Bay 37 S 81 2019 Bristol Bay Native Corporation Golden Valley Electric Association, Incorporated1,421,240.00 1,421,240.00 111,659.76 111,659.76407073 391Port Alsworth Hydroelectric Construction R3-ClosedPort Alsworth Bristol Bay37 S 226 2019 Cook Inlet Region, IncorporatedAlaska Power Company----407098 391Tazimina Hydroelectric Project Capacity Inc-ClosedPort Alsworth Bristol Bay37 S 226 2019 Cook Inlet Region, IncorporatedAlaska Power Company160,000.00 160,000.00 34,923.45 34,923.45403056456Togiak Waste Heat Recovery ProjectTogiak Bristol Bay37 S 873 2019 Bristol Bay Native Corporation443,030.00 146,158.60 15,000.00 15,000.00407114334Naknek Wind and Solar - FeasibilityNaknek Bristol Bay37 S 488 2019 Bristol Bay Native CorporationAlaska Village Electric Cooperative103,500.00 - - -410062 394Port Heiden Wind Turbine Project R4-ClosedPort Heiden Bristol Bay37 S 105 2019 Bristol Bay Native CorporationMetlakatla Power and Light----12,270,130.27 10,740,519.60 1,405,735.71 1,419,307.28407071 149Chenega Bay Hydro Design and Permitting - ClosedChenega Bay Copper River/Chugach 32 P 0 0 Chugach Alaska Corporation Individual Generators242,231.05 242,231.05 34,932.95 34,932.95410096157Chisana Mountain Wind Feasibility - ClosedChisana Copper River/Chugach 3 2019 Ahtna, Incorporated Igiugig Electric Company67,364.12 67,364.12 29,795.47 29,795.47402028 158Chistochina Central Wood Heating Construction-ClsdChistochina Copper River/Chugach 6 C 83 2019 Ahtna, Incorporated Copper Valley Electric Association, Incorporated500,000.00 500,000.00 12,000.00 61,107.97407058 159Fivemile Creek Hydroelectric Project R2,R4Chitina Copper River/Chugach 6 C 85 2019 Ahtna, Incorporated Alaska Power Company4,095,660.72 538,319.22 3,000,000.00 347,870.70403028 173Cordova Heat Recovery Construction - CLOSEDCordova Copper River/Chugach 32 P 2,343 2019 Chugach Alaska Corporation Alaska Power Company1,780,000.00 1,780,000.00 1,990,000.00 2,017,652.00407037 173Humpback Creek Hydroelectric Construction-ClosedCordova Copper River/Chugach 32 P 2,343 2019 Chugach Alaska Corporation Alaska Power Company4,000,000.00 4,000,000.00 3,400,238.00 3,402,483.00RENEWABLE ENERGY PROJECTS BY ENERGY REGION (*Projects highlighted in blue denote those in-development)As of October 31, 2021Renewable Energy Fund Community ContributionsAleutiansAleutians TotalBering StraitsBering Straits TotalBristol BayBristol Bay TotalCopper River/Chugach 407066173Humpback Creek Hydro Rehabilitation R3 - ClosedCordova Copper River/Chugach 32 P 2,343 2019 Chugach Alaska Corporation Alaska Power Company4,000,000.00 4,000,000.00 5,805,000.00 6,186,291.00407119 173Cordova Hydro Storage Assessment - FeasibilityCordova Copper River/Chugach 32 P 2,343 2019 Chugach Alaska Corporation Alaska Power Company294,642.00 - - -402027 207Cordova Wood Processing Plant Construction-ClosedEyak Copper River/Chugach 0 0 Chugach Alaska Corporation Middle Kuskokwim Electric Cooperative, Incorporated136,760.00 136,760.00 - -402115 207Eyak Biomass Feasibility Study R4-ClosedEyak Copper River/Chugach 0 0 Chugach Alaska Corporation Middle Kuskokwim Electric Cooperative, Incorporated63,998.83 63,998.83 3,000.00 9,235.50402030234Gulkana Central Wood Heating Construction ClosedGulkana Copper River/Chugach 6 C 111 2019 Ahtna, Incorporated City of Golovin500,000.00 500,000.00 - -402019 274KennyLakeSchool Wood Fired BoilerR0,R1,R4-CLOSEDKenny Lake Copper River/Chugach 6 C 305 2019 Ahtna, Incorporated Matanuska Electric Association, Incorporated648,381.23 648,381.23 17,472.04 17,472.04402029 274Kenny Lake Wood-INACTIVE DONT USEKenny Lake Copper River/Chugach 6 C 305 2019 Ahtna, Incorporated Matanuska Electric Association, Incorporated----402127 324Mentasta Comm. Fac Woody Biomass Space Heat-CLOSEDMentasta Lake Copper River/Chugach 6 C 122 2019 Ahtna, Incorporated Copper Valley Electric Association, Incorporated460,000.00 460,000.00 50,000.00 50,000.00403057 448Tatitlek Heat Recovery Project R5-CLOSEDTatitlek Copper River/Chugach 32 P 98 2019 Chugach Alaska Corporation n/a263,444.55 263,444.55 5,273.05 5,273.05410052 448Tatitlek High Penetration Wind Diesel-ClosedTatitlek Copper River/Chugach 32 P 98 2019 Chugach Alaska Corporation n/a51,974.47 51,974.47 48,187.67 56,435.47402138 449Wood Boiler for the Native Vllg of Tazlina-CLOSEDTazlina Copper River/Chugach 6 C 271 2019 Ahtna, Incorporated n/a270,807.00 270,807.00 5,167.00 5,167.00407038 474Allison Lake Hydro Prj Feas. & Construction-ClosedValdez Copper River/Chugach 9 E 3,876 2019 Chugach Alaska Corporation10,288,009.00 10,288,009.00 8,309.09 8,309.0927,663,272.97 23,811,289.47 14,409,375.27 12,232,025.24407059 288Terror Lake Hydroelectric Project-ClosedKodiak Island Borough Kodiak 13,001 2019 Koniag, Incorporated Inside Passage Electric Cooperative3,976,258.68 3,976,258.68 7,815,346.50 7,815,346.50407068 288Terror Lake Unit 3 Hydro Project R3 - ClosedKodiak Island Borough Kodiak 13,001 2019 Koniag, Incorporated Inside Passage Electric Cooperative248,160.00 248,160.00 200,000.00 200,000.00410025 288Pillar Mtn. Wind PH III Kodiak - ClosedKodiak Island Borough Kodiak 13,001 2019 Koniag, Incorporated Inside Passage Electric Cooperative4,000,000.00 4,000,000.00 1,000,000.00 1,000,000.00410082 288Pillar Mountain High Penetration Wind RD5 - ClosedKodiak Island Borough Kodiak 13,001 2019 Koniag, Incorporated Inside Passage Electric Cooperative7,800,000.00 7,800,000.00 7,800,000.00 7,800,000.00407039 368Old Harbor Hydroelectric R1,R4-CLOSEDOld HarborKodiak 32 P 203 2019 Koniag, Incorporated Alaska Village Electric Cooperative462,500.00 462,500.00 37,500.00 50,954.0016,486,918.68 16,486,918.68 16,852,846.50 16,866,300.50410078 103Akiachak Wind Feasibility&Conceptual Design-ClosedAkiachak Lower Yukon‐Kuskokwim 38 S 724 2019 Calista Corporation n/a110,000.00 110,000.00 18,373.44 18,373.44403063 125Atmautluak Washeteria Heat Recovery - ClosedAtmautluak Lower Yukon‐Kuskokwim 38 S 338 2019 Calista Corporation Elfin Cove Utility Commission349,999.97 349,999.97 10,744.00 10,744.00410065 125Atmautluak Wind Renewable Energy R4-ClosedAtmautluak Lower Yukon‐Kuskokwim 38 S 338 2019 Calista Corporation Elfin Cove Utility Commission100,000.00 100,000.00 - -402134133Bethel Heat Recovery Assess&Concept Design-CLOSEDBethel Lower Yukon‐Kuskokwim 38 S 6,259 2019 Calista Corporation n/a645,613.00 623,079.00 34,503.00 34,503.00410034133Bethel Renewable Energy Project R1-ClosedBethel Lower Yukon‐Kuskokwim 38 S 6,259 2019 Calista Corporation n/a2,598,320.00 2,598,320.00 199,889.00 223,299.00410086133Bethel Renewable Energy Project - ClosedBethel Lower Yukon‐Kuskokwim 38 S 6,259 2019 Calista Corporation n/a197,170.18 197,170.18 34,794.74 34,794.74410076148Chefornak Wind Feasibility R4-CLOSEDChefornak Lower Yukon‐Kuskokwim 38 S 457 2019 Calista Corporation Pedro Bay Village130,522.02 130,522.02 8,205.00 8,205.00403071 150Chevak Water & Vacuum Plant Heat RecoveryChevak Lower Yukon‐Kuskokwim 39 T 1,0142019 Calista Corporation Individual Generators558,800.00 549,987.34 16,765.00 10,991.97410084150Chevak Wind Energy Recovery RD5-CLOSEDChevak Lower Yukon‐Kuskokwim 39 T 1,0142019 Calista Corporation Individual Generators240,260.00 240,260.00 12,641.00 12,641.00410067 195Eek Wind Feasibility R4-ClosedEek Lower Yukon‐Kuskokwim 38 S 349 2019 Calista Corporation BC Hydro114,718.00 114,718.00 6,225.00 6,225.00403072 203Emmonak Heat Recovery System-ClosedEmmonak Lower Yukon‐Kuskokwim 39 T 836 2019 Calista Corporation City of Nikolai684,311.77 684,311.77 20,677.00 20,677.00410055 203Emmonak/Alakanuk Wind & Transmission - ClosedEmmonak Lower Yukon‐Kuskokwim 39 T 836 2019 Calista Corporation City of Nikolai8,000,000.00 8,000,000.00 888,889.00 891,627.00410040 249Hooper Bay Wind Farm Construction - ClosedHooper Bay Lower Yukon‐Kuskokwim 39 T 1,239 2019 Calista Corporation Copper Valley Electric Association, Incorporated60,179.25 60,179.25 - -407120293Airfoil for Wind Turbines - ConstructionKongiganak Lower Yukon‐Kuskokwim 38 S 544 2019 Calista Corporation Alaska Village Electric Cooperative108,000.00 - - -410035 293Kongiganak Wind Farm Construction - ClosedKongiganak Lower Yukon‐Kuskokwim 38 S 544 2019 Calista Corporation Alaska Village Electric Cooperative1,699,791.57 1,699,791.57 1,475,169.97 1,475,169.97410099 293Kongiginak Wind Heat Elect. Thermal Storage-ClosedKongiganak Lower Yukon‐Kuskokwim 38 S 544 2019 Calista Corporation Alaska Village Electric Cooperative274,735.01 274,735.01 9,000.00 9,000.00410068 299Kwethluk Wind Feasibility R4-ClosedKwethluk Lower Yukon‐Kuskokwim 38 S 814 2019 Calista Corporation Napakiak Ircinraq Power Company44,098.22 44,098.22 5,747.65 5,747.65410036300Kwigillingok Wind Farm Construction-ClosedKwigillingokLower Yukon‐Kuskokwim 38 S 374 2019 Calista Corporation City of Akiak1,600,000.00 1,600,000.00 1,600,000.00 1,600,000.00403066315Marshall Heat Recovery-W ater Treatment Plant-ClsdMarshall Lower Yukon‐Kuskokwim 38 S 471 2019 Calista Corporation City of Buckland177,702.30 177,702.30 6,000.00 6,000.00410069 315Marshall Wind Feasibility-ClosedMarshall Lower Yukon‐Kuskokwim 38 S 471 2019 Calista Corporation City of Buckland111,150.00 111,150.00 6,985.00 6,985.00410038 322Mekoryuk Wind Farm Construction-ClosedMekoryuk Lower Yukon‐Kuskokwim 38 S 206 2019 Calista Corporation Inside Passage Electric Cooperative3,155,765.00 3,155,765.00 390,493.00 390,493.00410083 322Mekoryuk Surplus Wind Energy Recovery RD5-CLOSEDMekoryuk Lower Yukon‐Kuskokwim 38 S 206 2019 Calista Corporation Inside Passage Electric Cooperative264,459.00 264,459.00 13,919.00 13,919.00410097 332Mountain Village Wind Feasibility & CDR-ClosedMountain VillageLower Yukon‐Kuskokwim 39 T 808 2019 Calista Corporation Aniak Light and Power Company95,893.00 95,893.00 5,047.00 5,047.00410063 338Napaskiak Wind, Power and Heat Recovery R4-ClosedNapaskiak Lower Yukon‐Kuskokwim 38 S 440 2019 Calista Corporation Alaska Village Electric Cooperative61,224.39 61,224.39 3,688.00 3,688.00403074365Nunam Iqua Heat Recovery CLOSEDNunam Iqua Lower Yukon‐Kuskokwim 39 T 213 2019 Calista Corporation Kwethluk Incorporated450,000.00 450,000.00 - -403064401Kwinhagak Heat Recovery - Water Treatment - ClosedQuinhagak Lower Yukon‐Kuskokwim 38 S 716 2019 Calista Corporation City of Seward668,350.00 668,350.00 21,435.39 21,435.39410037 401Quinhagak Wind Farm Construction-ClosedQuinhagak Lower Yukon‐Kuskokwim 38 S 716 2019 Calista Corporation City of Seward3,437,322.00 3,437,322.00 381,924.00 381,924.00403059 407Russian Mission Heat Recovery System R5 - ClosedRussian Mission Lower Yukon‐Kuskokwim 38 S 350 2019 Calista Corporation Cordova Electric Cooperative, Incorporated552,157.06 552,157.06 32,000.10 32,000.10403073 409St. Mary's Heat Recovery System-ClosedSaint Mary's Lower Yukon‐Kuskokwim 39 T 555 2019 Calista Corporation Golden Valley Electric Association, Incorporated735,200.00 735,200.00 24,142.39 24,142.39407110 409Mountain Village-St. Mary's Wind IntertieR9-CLOSEDSaint Mary's Lower Yukon‐Kuskokwim 39 T 555 2019 Calista Corporation Golden Valley Electric Association, Incorporated2,042,431.00 2,042,431.00 3,117,266.00 3,117,266.00410064 409St. Mary's/ Pitka's Point Wind - ClosedSaint Mary's Lower Yukon‐Kuskokwim 39 T 555 2019 Calista Corporation Golden Valley Electric Association, Incorporated4,624,094.00 4,624,094.00 34,444.00 34,444.00402137 417Scammon Bay Community Facilities Heat Recovery-ClsScammon Bay Lower Yukon‐Kuskokwim 39 T 593 2019 Calista Corporation Matanuska Electric Association, Incorporated34,660.01 34,660.01 1,740.36 1,740.36407092 417Scammon Bay Hydro Design & Engineering R5-ClosedScammon Bay Lower Yukon‐Kuskokwim 39 T 593 2019 Calista Corporation Matanuska Electric Association, Incorporated79,636.86 79,636.86 2,792.63 2,792.63410071 417Scammon Bay Wind Feasibility R4-ClosedScammon Bay Lower Yukon‐Kuskokwim 39 T 593 2019 Calista Corporation Matanuska Electric Association, Incorporated142,500.00 142,500.00 16,441.00 16,441.00403058 432Sleetmute Heat Rec PowerPlant to WaterPlant CLOSEDSleetmute Lower Yukon‐Kuskokwim 37 S 95 2019 Calista Corporation Homer Electric Association, Incorporated126,682.00 126,682.00 6,667.00 6,667.00410039 458Toksook Bay Wind Farm Expansion Construct.-ClosedToksook Bay Lower Yukon‐Kuskokwim 38 S 667 2019 Calista Corporation1,037,750.00 1,037,750.00 10,988.47 10,988.47403075 463Tuntutuliak Heat Recovery-ClosedTuntutuliakLower Yukon‐Kuskokwim 38 S 464 2019 Calista Corporation71,638.58 71,638.58 1,600,000.00 1,600,000.00410051 463Tuntutuliak High Penetration Wind Diesel-ClosedTuntutuliakLower Yukon‐Kuskokwim 38 S 464 2019 Calista Corporation1,760,000.00 1,760,000.00 164,340.00 201,492.00407112 232Goodnews Bay Wind - FeasiblityGoodnews Bay Lower Yukon‐Kuskokwim 38 S 284 2019 Calista Corporation Homer Electric Association, Incorporated128,250.00 - - -411005 308Lime Village Photovoltaic Systm Retrofit R4-ClosedLime Village Lower Yukon‐Kuskokwim 37 S 15 2019 Calista Corporation Alaska Village Electric Cooperative----37,273,384.19 37,005,787.53 10,181,937.14 10,239,464.11402025 1000Biomass-fired Organic Rankine Cycle System-ClosedStatewide Projects & Studies Non Specified 0 0 Non Specified1,895,725.00 1,895,725.00 3,195,277.82 3,195,277.824030541000Organic Rankine Cycle Field Testing R4Statewide Projects & Studies Non Specified 0 0 Non Specified472,787.00 472,787.00 - -407078 1001AVTEC Hydroelectric Training Facility R4-ClosedStatewide TrainingNon Specified 0 0 Non Specified----407075 1100Battle Creek Diversion R4 -Also SEE PJ 270011AEA Owned Projects Non Specified 0 0 Non Specified500,000.00 500,000.00 21,975.00 21,975.002,868,512.00 2,868,512.00 3,217,252.82 3,217,252.82410073 264Kaktovik Wind Diesel R4 - ClosedKaktovik North Slope 40 T 235 2019 Arctic Slope Regional CorporationChugach Electric Association, Incorporated131,859.00 131,859.00 13,041.00 13,041.00403029 357North Pole Heat Recovery Construction - ClosedNorth Pole North Slope 3 B 2,091 2019 Doyon, Limited Alaska Village Electric Cooperative817,291.63 817,291.63 204,322.90 204,322.90409027 386Point Hope Wind Turbine Design - ClosedPoint Hope North Slope 40 T 775 2019 Arctic Slope Regional CorporationHomer Electric Association, Incorporated124,048.42 124,048.42 13,783.16 13,783.16403036 387Point Lay Wind Generation Design R4-ClosedPoint Lay North Slope 40 T 299 2019 Arctic Slope Regional Corporation Golden Valley Electric Association, Incorporated390,546.90 390,546.90 39,591.00 39,591.00409029 387Point Lay Wind Diesel Generation Project R3-ClosedPoint Lay North Slope 40 T 299 2019 Arctic Slope Regional Corporation Golden Valley Electric Association, Incorporated114,845.38 114,845.38 12,760.60 12,760.60403037 476Wainwright Wind Turbine Design R4-ClosedWainwright North Slope 40 T 553 2019 Arctic Slope Regional Corporation- - 13,694.99 13,694.99409028 476Wainwright Wind Diesel Generation Prj. R3-ClosedWainwright North Slope 40 T 553 2019 Arctic Slope Regional Corporation123,255.02 123,255.02 6,447.70 6,447.70409021 128Atqasuk Transmission Line-CLOSEDUtqiagvik North Slope 40 T 5,4002019 Arctic Slope Regional CorporationU.S. Coast Guard Generator367,304.67 367,304.67 8,573,143.00 8,573,143.002,069,151.02 2,069,151.02 8,876,784.35 8,876,784.35Copper River/Chugach TotalKodiakKodiak TotalLower Yukon-KuskokwimLower Yukon‐Kuskokwim TotalNorthwest ArcticNon SpecifiedNon Specified TotalNorth SlopeNorth Slope Total 403033 114Ambler Heat Recovery Construction - CLOSEDAmblerNorthwest Arctic 40 T 263 2019 NANA Regional CorporationIndividual Generators434,928.09 434,928.09 66,659.53 66,659.53411002 114Ambler Solar PV Construction - ClosedAmblerNorthwest Arctic 40 T 263 2019 NANA Regional CorporationIndividual Generators20,122.00 20,122.00 2,012.00 2,012.00410058 141Buckland Wind Farm Construction - PJ 410042-ClosedBuckland Northwest Arctic 40 T 509 2019 NANA Regional CorporationAlaska Power Company----409024 282Kivalina Wind-Intertie Feas Analys&CDes R3-ClosedKivalina Northwest Arctic 40 T 427 2019 NANA Regional Corporation Golden Valley Electric Association, Incorporated177,005.00 177,005.00 9,317.00 9,317.00402117 295Kotzebue Paper & Wood Waste to Energy R4-CLOSEDKotzebue Northwest Arctic 40 T 3,112 2019 NANA Regional CorporationKWIG Power Company66,578.25 66,578.25 3,838.34 3,838.34403034295Kotzebue Electric Heat Recovery ConstructionKotzebue Northwest Arctic 40 T 3,112 2019 NANA Regional CorporationKWIG Power Company915,627.00 824,064.30 300,000.00 305,794.14407121 295Kotzebue Energy Storage - DesignKotzebue Northwest Arctic 40 T 3,112 2019 NANA Regional CorporationKWIG Power Company325,000.00 - - -409022 295High Penetration Wind-Battery-Diesel R3-ClosedKotzebue Northwest Arctic 40 T 3,112 2019 NANA Regional CorporationKWIG Power Company8,000,000.00 8,000,000.00 2,884,170.00 2,884,170.00410041 295Kotzebue Wind-Grant tranferred to PJ 409022Kotzebue Northwest Arctic 40 T 3,112 2019 NANA Regional CorporationKWIG Power Company----403067 356Noorvik Heat Recovery - Water Treatment Plant-ClsdNoorvikNorthwest Arctic 40 T 651 2019 NANA Regional CorporationAlaska Village Electric Cooperative985,805.00 985,805.00 29,580.00 29,580.00410060356Noorvik Wind Farm Constructino - PJ 410042-ClosedNoorvikNorthwest Arctic 40 T 651 2019 NANA Regional CorporationAlaska Village Electric Cooperative----402031 362Upper Kobuk River Biomass R4 - ClosedNorthwest Arctic Borough Northwest Arctic 7,715 2019 NANA Regional CorporationKodiak Electric Association, Incorporated771,666.95 771,666.95 312,915.00 312,915.00407040362Cosmos Hills Hydroelectric Feasibility-ClosedNorthwest Arctic Borough Northwest Arctic 7,715 2019 NANA Regional CorporationKodiak Electric Association, Incorporated1,025,000.00 1,025,000.00 50,722.00 50,722.00410042 362Buckland/Deering/Noorvik Wind Farm Const-ClsdNorthwest Arctic Borough Northwest Arctic 7,715 2019 NANA Regional CorporationKodiak Electric Association, Incorporated10,738,438.91 10,738,438.91 154,777.12 154,777.12410074418Selawik Hybrid Wind Diesel Syst Turbine R4-ClsdSelawik Northwest Arctic 40 T 832 2019 NANA Regional CorporationMatanuska Electric Association, Incorporated75,420.00 75,420.00 7,540.00 7,540.00410059 180Deering Wind Farm Construction - PJ 410042-ClosedDeering Northwest Arctic 40 T 166 2019 NANA Regional CorporationLevelock Electric Coop----407118 426Shungnak Heat Recovery - Design/ConstructionShungnak Northwest Arctic 40 T 253 2019 NANA Regional CorporationHomer Electric Association, Incorporated1,303,607.00 - - -24,839,198.20 23,119,028.50 3,821,530.99 3,827,325.13402032 117Anch. Landfill Gas Elect Const.-Biofuels-CLOSEDAnchorage Railbelt 12;13;1 F;G;H;I;J;K;L;M;N 291,845 2019 Cook Inlet Region, Incorporated Individual Generators2,000,000.00 2,000,000.00 1,423,866.00 1,423,866.00407084144Jack River Hydro Project R4 - ClosedCantwell Railbelt 6 C 190 2019 Ahtna, Incorporated Kodiak Electric Association, Incorporated30,000.00 30,000.00 1,500.00 1,500.00411003 183McKinley Village Solar Thermal Const - ClosedDenali ParkRailbelt 186 2019 Doyon, Limited Native Village of Chenega190,000.00 190,000.00 3,600.00 20,878.92402033 208Delta Junction Wood Chip Heating Feasibilit-ClosedFairbanks North Star BoroughRailbelt 95,8982019 Doyon, Limited Alaska Power Company2,000,000.00 2,000,000.00 - -410022 208Delta Junction Wind Assessment& Avian Study-ClosedFairbanks North Star BoroughRailbelt 95,8982019 Doyon, Limited Alaska Power Company65,412.09 65,412.09 184,567.79 184,567.79410027 208Delta Area Wind Turbines - ClosedFairbanks North Star BoroughRailbelt 95,8982019 Doyon, Limited Alaska Power Company2,000,000.00 2,000,000.00 801,500.00 954,534.37410045 208Coal Mine Road Wind Farm Final Design- see 410022Fairbanks North Star BoroughRailbelt 95,8982019 Doyon, Limited Alaska Power Company----407052 228California Creek Hydro Feasibility - ClosedGirdwood Railbelt 0 0 Not recognized under ANCSAAlaska Village Electric Cooperative27,300.00 27,300.00 2,700.00 2,700.00402021 317Susitna Valley HS Wood Heat - Biomass-ClosedMatanuska‐Susitna Borough Railbelt 106,4382019 Cook Inlet Region, IncorporatedManokotak Power Company- - 7,045.74 7,045.74407030317Fishhook Hydro Hatcher PH 1 -Closed See PJ 407031Matanuska‐Susitna Borough Railbelt 106,4382019 Cook Inlet Region, IncorporatedManokotak Power Company----407031 317Fishhook Hydro Hatcher Pass Construction-ClosedMatanuska‐Susitna Borough Railbelt 106,4382019 Cook Inlet Region, IncorporatedManokotak Power Company----407080317Hunter Creek Hydroelectric Project R4 - ClosedMatanuska‐Susitna Borough Railbelt 106,4382019 Cook Inlet Region, IncorporatedManokotak Power Company84,000.00 84,000.00 16,000.00 16,000.00407082 317Eska Creek Hydroelectric Project R4 - ClosedMatanuska‐Susitna Borough Railbelt 106,4382019 Cook Inlet Region, IncorporatedManokotak Power Company14,407.70 14,407.70 2,881.54 2,881.54407053 342Nenana Hydrokinetic Construction-CLOSEDNenana Railbelt 6 C 362 2019 Doyon, Limited Golden Valley Electric Association, Incorporated450,000.00 450,000.00 - -410046348Nikiski Wind Farm Construction - ClosedNikiski Railbelt 29 O 4,5102019 Cook Inlet Region, IncorporatedMatanuska Electric Association, Incorporated2,102.87 2,102.87 18,925.88 18,925.88402116393Port Graham Biomass Waste Heat Demo PrjR4-CLOSEDPort Graham Railbelt 32 P 180 2019 Chugach Alaska Corporation Homer Electric Association, Incorporated58,600.00 58,600.00 14,119.00 14,119.00406012 992Mount Spurr Geothermal Project R3, R4-ClosedRailbelt Region Railbelt 0 0 Cook Inlet Region, Incorporated1,993,158.00 1,993,158.00 2,158,603.00 2,549,052.00407023 992Cresent Lk/Cr Low Impact Hydro Assess - ClosedRailbelt Region Railbelt 0 0 Cook Inlet Region, Incorporated23,273.04 23,273.04 13,318.27 13,318.27407025 992Grant Lk/Cr Low Impact Hydro Assessment - ClosedRailbelt Region Railbelt 0 0 Cook Inlet Region, Incorporated50,000.00 50,000.00 25,000.00 25,000.00407026992Ptarmingan Lk/Ck Low Impact Hydro Assess - ClosedRailbelt Region Railbelt 0 0 Cook Inlet Region, Incorporated4,684.35 4,684.35 13,671.08 13,671.08407041 992South Fork Hydroelectric Const - CancelledRailbelt Region Railbelt 0 0 Cook Inlet Region, Incorporated----407042 992Grant Lake Hydroelectric Facility-ClosedRailbelt Region Railbelt 0 0 Cook Inlet Region, Incorporated2,000,000.00 2,000,000.00 500,000.00 500,000.00407043 992Whittier Creek Hydroelectric Reconnaissance-ClosedRailbelt Region Railbelt 0 0 Cook Inlet Region, Incorporated39,471.00 39,471.00 34,285.00 34,285.00407077 992StetsonCrkDiversion/CooperLakeDamFacilities-ClosedRailbelt Region Railbelt 0 0 Cook Inlet Region, Incorporated3,594,979.60 3,594,979.60 3,594,979.50 3,594,979.50408005 992Cook Inlet Tidal Generation Project R4-CLOSEDRailbelt Region Railbelt 0 0 Cook Inlet Region, Incorporated----409031 992CEA Transmis Line to Renewable Energy Res. -ClosedRailbelt Region Railbelt 0 0 Cook Inlet Region, Incorporated----410043 992Nikolaevsk Wind Farm Final Design - CancelledRailbelt Region Railbelt 0 0 Cook Inlet Region, Incorporated----410044992EVA Creek Wind Turbine Purchase-CLOSEDRailbelt Region Railbelt 0 0 Cook Inlet Region, Incorporated3,463,200.00 3,463,200.00 24,031,049.51 24,031,049.51406023 420Seldovia Ground Source Heat Pump-CLOSEDSeldovia Railbelt 32 P 226 2019 Cook Inlet Region, Incorporated Copper Valley Electric Association, Incorporated311,753.20 311,753.20 48,964.43 48,964.43406011 421AK SeaLifeCenter PH II Seawater Heat PumpR3-ClosedSeward Railbelt 29 O 2,545 2019 Chugach Alaska Corporation Homer Electric Association, Incorporated286,580.00 286,580.00 - 426,720.00407044421Fourth of July Creek Hydroelectric-ClosedSeward Railbelt 29 O 2,545 2019 Chugach Alaska Corporation Homer Electric Association, Incorporated20,000.00 20,000.00 20,000.00 20,016.92407109 421Heat Pump System for City of Seward R9Seward Railbelt 29 O 2,545 2019 Chugach Alaska Corporation Homer Electric Association, Incorporated725,000.00 88,000.00 157,497.00 81,284.31407060997Carlson Creek Hydro-ClosedSouthcentral Alaska Railbelt 0 0 Cook Inlet Region, Incorporated8,811.26 8,811.26 2,202.82 2,202.82407087 171CVEA Allison Crk Hydroelectric-DoNotUse-See 407038Copper CenterRailbelt 6 C 323 2019 Ahtna, Incorporated n/a----19,442,733.11 18,805,733.11 33,076,276.56 33,987,563.08402131 120Angoon Low-Income Housing Pellet Heat - ClosedAngoon Southeast 35 R 404 2019 Sealaska Corporation Individual Generators240,592.00 240,592.00 51,592.00 60,013.31403035 120Angoon Heat Recovery-Not Active/ClosedAngoon Southeast 35 R 404 2019 Sealaska Corporation Individual Generators----407074120Thayer lake Hydroelectric Project R4Angoon Southeast 35 R 404 2019 Sealaska Corporation Individual Generators8,055,716.90 1,736,323.20 1,577,593.31 1,327,593.31406015 428Japonski Island Boathouse Heat Pump R4-ClosedCity and Borough of Sitka Southeast 35 R 8,532 2019 Sealaska Corporation Homer Electric Association, Incorporated----406016428Sitka Centennial Hall&Library Feas/HeatPump-ClosedCity and Borough of Sitka Southeast 35 R 8,532 2019 Sealaska Corporation Homer Electric Association, Incorporated262,600.00 262,600.00 4,626.81 4,626.81406017 428Sitka Wastewater Treatment Plant Feas R4 ClosedCity and Borough of Sitka Southeast 35 R 8,532 2019 Sealaska Corporation Homer Electric Association, Incorporated16,699.14 16,699.14 2,376.48 2,376.48407049 428Takatz Lake Hydroelectric Feasibility-ClosedCity and Borough of Sitka Southeast 35 R 8,532 2019 Sealaska Corporation Homer Electric Association, Incorporated1,919,069.04 1,919,069.04 231,768.00 231,768.00407088 428Sitka Blue Lake Hydroelectric Project-ClosedCity and Borough of Sitka Southeast 35 R 8,532 2019 Sealaska Corporation Homer Electric Association, Incorporated4,000,000.00 4,000,000.00 89,355,487.00 90,312,930.71407055 488Wrangell Hydro Based Electric Boiler Const.-ClosedCity and Borough of WrangellSoutheast 36 R 2,4002019 Sealaska Corporation1,862,387.13 1,862,387.13 76,357.87 76,357.87407086488Wrangell Electric Vehicle Feasibility Study-ClosedCity and Borough of WrangellSoutheast 36 R 2,4002019 Sealaska Corporation25,000.00 25,000.00 428.48 428.48402035 489Yakutat Biomass Feas. & District HeatingLoop-ClsdCity and Borough of YakutatSoutheast 32 P 540 2019 Sealaska Corporation249,600.00 249,600.00 6,621.76 6,621.76402114176Craig Biomass Fuel Dryer Project R4 - CLOSEDCraig Southeast 35 R 1,0742019 Sealaska Corporation Homer Electric Association, Incorporated350,000.00 350,000.00 250,000.00 262,989.06407015 201Elfin Cove Hydroelectric Project-ClosedElfin Cove Southeast 35 R 16 2019 Sealaska Corporation Inside Passage Electric Cooperative346,639.61 346,639.61 80,093.90 99,093.90407024235Falls Cr Low Impact Hydro Assessment - ClosedGustavus Southeast 33Q537 2019 Sealaska Corporation City of Ruby50,000.00 50,000.00 25,000.00 25,000.00407045 235Falls Creek Hydroelectric Construction-ClosedGustavus Southeast 33Q537 2019 Sealaska Corporation City of Ruby750,000.00 750,000.00 - -402034236Haines Ctrl Wood Heating Sys Constr(LIHP)-ClosedHaines Borough Southeast 2,516 2019 Sealaska Corporation Alaska Village Electric Cooperative188,620.00 188,620.00 36,500.00 36,500.00402036236Haines Borough Municipal Buildings Biomass CLOSEDHaines Borough Southeast 2,516 2019 Sealaska Corporation Alaska Village Electric Cooperative409,331.18 409,331.18 122,139.21 122,139.21407079 236Connelly Lake Hydroelectric Project R4-ClosedHaines Borough Southeast 2,516 2019 Sealaska Corporation Alaska Village Electric Cooperative468,000.00 468,000.00 118,844.37 118,844.37407081 236Schubee Lake Hydroelectric Project R4 - ClosedHaines Borough Southeast 2,516 2019 Sealaska Corporation Alaska Village Electric Cooperative74,191.47 74,191.47 18,935.06 18,935.06407083 236Haines Excursion Inlet Hydro Project R4 - ClosedHaines Borough Southeast 2,516 2019 Sealaska Corporation Alaska Village Electric Cooperative78,384.40 78,384.40 8,418.43 8,418.43402133 248Hoonah Biomass District Heating Loop-ClosedHoonah Southeast 35 R 782 2019 Sealaska Corporation North Slope Borough Power and Lights Systems40,000.00 40,000.00 10,000.00 10,365.00403053 248Hoonah Heat Recovery Project R4-ClosedHoonah Southeast 35 R 782 2019 Sealaska Corporation North Slope Borough Power and Lights Systems472,963.89 472,963.89 - -407070248Hoonah - IPEC Hydro Project R3-ClosedHoonah Southeast 35 R 782 2019 Sealaska Corporation North Slope Borough Power and Lights Systems850,000.00 850,000.00 450,000.00 450,000.00407100248Gartina Falls Hydroelectric Project - ClosedHoonah Southeast 35 R 782 2019 Sealaska Corporation North Slope Borough Power and Lights Systems6,694,000.00 6,694,000.00 - -407117 248Water Supply Creek Hydro - Final DesignHoonah Southeast 35 R 782 2019 Sealaska Corporation North Slope Borough Power and Lights Systems461,474.00 - - -402135 254Hydaburg Schools Wood Fired Boiler-CLOSEDHydaburg Southeast 36 R 397 2019 Sealaska Corporation Alaska Village Electric Cooperative620,977.00 620,977.00 56,573.95 56,573.95406008 260Juneau Airport Ground Source Heat Pump - ClosedJuneau Southeast 33;34Q0 0 Sealaska Corporation Chugach Electric Association, Incorporated513,000.00 513,000.00 513,000.00 513,000.00406009 260Juneau Ground Source Heat Pump Constr(Aq Ctr)-ClsdJuneau Southeast 33;34Q0 0 Sealaska Corporation Chugach Electric Association, Incorporated1,450,000.00 1,450,000.00 500,000.00 500,000.00409030260Snettisham Trans Ln Avalanche Mitigation R4-ClosedJuneau Southeast 33;34Q0 0 Sealaska Corporation Chugach Electric Association, Incorporated2,000,000.00 2,000,000.00 500,000.00 500,000.00SoutheastNorthwest Arctic TotalRailbeltRailbelt Total App Number Applicant Name Project Title Project Phase(s)Energy Region Senate District House District Election District Grant Funds Requested Technology Community (Nearest)Status 14001 Nushagak Electric & Telephone Cooperative Nuyakuk River Hydroelectric Project Feasibility and Conceptual Design Bristol Bay S 37 37-S 2,000,000$ Hydro Dillingham Economic & Technical Review 14002 Alaska Village Electric Cooperative Holy Cross Solar Energy & Battery Storage Feasibility Study Project Feasibility and Conceptual Design Yukon-Koyukuk/Upper Tanana S 37 37-S 135,000$ Solar Holy Cross Economic & Technical Review 14003 Point MacKenzie Solar Point MacKenzie Solar Reconnaissance; Feasibility and Conceptual Design; Final Design and Permitting; Construction Railbelt D 8 8-D 1,000,000$ Solar Point Mackenzie Economic & Technical Review 14004 Alaska Village Electric Cooperative Pilot Station Wind Energy Feasibility Study & Conceptual Design Project Feasibility and Conceptual Design Lower Yukon-Kuskokwim T 39 39-T 229,500$ Wind Pilot Station Economic & Technical Review 14005 City of Ouzinkie Ouzinkie Wind Energy Feasibility and Conceptual Design Project Feasibility and Conceptual Design Kodiak P 32 32-P 172,600$ Wind Ouzinkie Economic & Technical Review 14006 City of Homer, Department of Public Works Homer Energy Recovery Project Final Design and Permitting; Construction Railbelt P 31 31-P 492,500$ Hydro Homer Economic & Technical Review 14007 Northwest Arctic Borough Design and Permitting for Solar PV and Battery Storage for Ambler, Kiana, Noorvik, and Selawik Final Design and Permitting Northwest Arctic T 40 40-T 590,000$ Solar Ambler / Kiana / Noorvik / Selawik Economic & Technical Review 14008 Alaska Electric & Energy Cooperative, Inc.AEEC Ninilchik Wind Feasibility and Conceptual Design Railbelt P 31 31-P 192,000$ Wind Ninilchik Economic & Technical Review 14009 Alaska Electric & Energy Cooperative, Inc.AEEC Summit Lake Wind Feasibility and Conceptual Design Railbelt O 29 29-O 232,000$ Wind Moose Pass Economic & Technical Review 14010 Alaska Electric & Energy Cooperative, Inc.AEEC East Foreland/Nikiski Wind Feasibility and Conceptual Design Railbelt O 29 29-O 200,000$ Wind Nikiski Economic & Technical Review 14011 Alaska Electric & Energy Cooperative, Inc.AEEC Caribou Hills Wind Feasibility and Conceptual Design Railbelt P 31 31-P 209,600$ Wind Ninilchik/Fox River Economic & Technical Review 14012 Alaska Electric & Energy Cooperative, Inc.AEEC/KPB CPL Landfill Gas CHP Project Final Design and Permitting Railbelt P 31 31-P 884,986$ Biomass Soldotna Economic & Technical Review 14015 City of Kotzebue Kotzebue Wind to Heat System Feasibility and Conceptual Design; Final Design and Permitting; Construction Northwest Arctic T 40 40-T 702,435$ Wind (to heat)Kotzebue Economic & Technical Review 14016 Kwig Power Company Kwigillingok Wind Turbine Upgrade Construction Lower Yukon-Kuskokwim S 38 38-S 278,176$ Wind Kwigillingok Economic & Technical Review 14017 Native Village of Kwinhagak Kwinhagak Reconnaissance Study Reconnaissance Lower Yukon-Kuskokwim S 38 38-S 81,000$ Solar Quinhagak Economic & Technical Review 14018 Kotzebue Electric Association, Inc. Kotzebue Wind to PV Transition Utilizing Existing Wind Infrastructure Construction Northwest Arctic T 40 40-T 1,900,000$ Solar Kotzebue Economic & Technical Review 14019 Native Village of Eklutna Eklutna Village Solar Energy Project - Feasibility Study Feasibility and Conceptual Design Railbelt F 12 12-F 22,500$ Solar Native Village of Eklutna Economic & Technical Review 14020 Puvurnaq Power Company Kongiganak Wind Upgrade with Airfoil Blades for Turbines Construction Lower Yukon-Kuskokwim S 38 38-S 328,716$ Wind Kongiganak Economic & Technical Review 14021 Akiachak Native Community Akiachak Wind Feasibility Reconnaissance; Feasibility and Conceptual Design Lower Yukon-Kuskokwim S 38 38-S 371,000$ Wind Akiachak Economic & Technical Review 14022 Chugach Electric Association, Inc. On behalf of the Bradley Lake Management Committee (BPMC)Dixon Diversion Feasibility Project Feasibility and Conceptual Design Railbelt P 32 32-P 1,000,000$ Hydro Fritz Creek/ Fox River Economic & Technical Review 14024 Naterkaq Light Plant Naterkaq Light Plant Battery Installation and Integration Construction Lower Yukon-Kuskokwim S 38 38-S 325,000$ Storage Chefornak Economic & Technical Review 14025 City of Pilot Point Pilot Point Comprehensive Community Wind/Solar/Storage & Heat Project Construction Bristol Bay S 37 37-S 495,500$ Storage Pilot Point Economic & Technical Review 14026 Nome Joint Utility System Nome Battery Energy Storage System Construction Bering Straits T 39 39-T 2,000,000$ Storage Nome Economic & Technical Review 14027 Inside Passage Electric Cooperative Jenny Creek Hydro Reconnaissance - Kake IPEC Reconnaissance Southeast R 35 35-R 62,368$ Hydro Kake Economic & Technical Review 14028 City of Nenana Nenana Biomass District Heat System Construction Railbelt C 6 6-C 676,121$ Biomass Nenana Economic & Technical Review 14029 Golden Valley Electric Association Interior Alaska Wind Energy Resource Assessment Reconnaissance; Feasibility and Conceptual Design Railbelt E 9 9-E 1,425,000$ Wind Murphy Dome (Fairbanks) Deltana Area (Delta Junction) Donnelly Dome (Fort Greely) Pedro Dome (Fox) Wickersham Dome (Fox)Economic & Technical Review 14031 Atmautluak Tribal Utilities Atmautluak Light Plant Battery, Thermal Stove, and Metering Installation Construction Lower Yukon-Kuskokwim S 38 38-S 375,000$ Storage Atmautluak Economic & Technical Review REF Round 14 Application Summary 1 of 2 4/4/2022 1:56 PM App Number Applicant Name Project Title Project Phase(s)Energy Region Senate District House District Election District Grant Funds Requested Technology Community (Nearest)Status 14034 City of Galena Galena Community Scale Solar PV and Battery Project Final Design and Permitting; Construction Yukon-Koyukuk/Upper Tanana T 39 39-T 2,000,000$ Solar Galena Economic & Technical Review 14035 City of False Pass UNGA Man Creek Hydroelectric Project Final Design and Permitting Aleutians S 37 37-S 321,000$ Hydro False Pass Economic & Technical Review TOTAL 18,702,002$ 2 of 2 4/4/2022 1:56 PM From:Curtis W. Thayer To:Rep. Calvin Schrage; Rep. Zack Fields; Representative Tiffany Zulkosky; Rep. Chris Tuck; Rep. George Rauscher; Rep. James Kaufman; Rep. Matt Claman Cc:akis.gialopsos@alaska.gov; Jennifer L. Bertolini; Kookesh, Melissa M (CED); TW Patch; Curtis W. Thayer Subject:AEA Responses to 3-8-22 House Energy Committee - HB301 Date:Wednesday, March 23, 2022 11:05:48 AM Attachments:2022.03.22 AEA Response on HB 301 RPS to House Energy Committee (Final).pdf State Renewable Portfolio Standards and Goals.pdf Working Paper No 2019-62-Energy Policy Institute.pdf image001.png image002.png Rep Schrage, Attached is the Alaska Energy Authority’s response to the several questions that were posed at the March 8 committee hearing regarding HB 301. Please let me know if you need any additional information. Curtis Best Regards, Curtis W. Thayer Executive Director 813 W Northern Lights Boulevard, Anchorage AK 99503 (907) 771-3009 (office) (907) 744-4704 (cell) cthayer@akenergyauthority.org . Alaska Energy Authority Page 1 of 8 March 22, 2022 The Honorable Calvin Schrage Chairman, House Energy Committee Alaska State Legislature State Capitol Room 104 Juneau, AK 99801 Re: House Bill 301, AEA Responses to Committee Member Questions Dear Representative Schrage, The propose of this letter is to provide you with responses to the questions asked of the Alaska Energy Authority (AEA) during our presentation to the House Energy Committee on March 8, 2022 regarding House Bill 301 – Utilities: Renewable Portfolio Standard. Please see the request in bold and our response immediately below the request. 1. What is the funding mechanism for the Dixon Diversion project? The Dixon Diversion Project study is in the very early stages of consideration and studies of project feasibility as regards cost to develop, license, and construct are ongoing. If the project is determined technically feasible and economically meritorious through licensing, construction, and operation. The estimated cost projection for licensing and study of the Dixon Diversion Project is $12 million. The Railbelt utilities and AEA are continuing to engineer the project and are examining how best to finance project costs. It is anticipated that costs will be borne by the State and the utilities. Currently, the total cost of studies, licensing, feasibility analysis, engineering, and subsequent construction is estimated between $400 and $600 million. Once constructed the diversion will provide the power equivalent to as many as 25,000 homes. Bradley Lake currently provides the power equivalent to more than 54,000 homes. 2. What are the fuel cost savings associated with Slides 12 and 13? Slides 12 and 13 show theoretical dispatch charts for how an 80% RPS would function under peak load in a high-hydro scenario and in a high-wind and solar scenario. These scenarios were produced by the National Renewable Energy Laboratory (NREL) and published in the Alaska Railbelt RPS feasibility study in February. NREL would need to perform an economic analysis to determine the fuel cost savings for this theoretical 24-hour period. Alaska Energy Authority Page 2 of 8 While not specific to slides 12 and 13, the average fuel cost savings for a 24-hour period can be calculated fairly easily based on NREL’s annual fuel cost savings figures. Using AEA’s estimates of $16.60/MMBTU blended fuel prices, NREL predicts an annual fuel cost savings of $426 million to $506 million in 2040. Dividing this range by 365 days results in an estimated daily fuel savings of $1.17 million to $1.39 million in an 80% RPS scenario. In the theoretical peak demand scenarios shown in the slides, this range would be higher than the average day, but the exact amount is a question that should be directed to the report authors. 3. Please provide a breakdown of other states’ RPS Programs and what their benchmarks are as they compare to those in HB 301. More than half of RPS states have set long-term targets (2030 or beyond). The proposed 2030 and 2035 targets in SB 179 are on the low end of these targets. For example, for the 2030 timeframe, Maine has set a target of 80%,1 Nevada has set a target of 50%,2 and Hawaii has a target of 40%.3 Of states and territories with 2040 targets or beyond, the proposed 2040 target is slightly below average. For example, the 2040 target of 80% is above Oregon (50% by 2040)4 and slightly above Massachusetts (80% by 2050),5 but below New Mexico 1 https://www.maine.gov/energy/initiatives/renewable-energy/renewable-portfolio-standards 2 https://programs.dsireusa.org/system/program/detail/373/energy-portfolio-standard 3 https://programs.dsireusa.org/system/program/detail/606 4 https://programs.dsireusa.org/system/program/detail/2594 5 https://www.eia.gov/state/analysis.php?sid=MA Proposed benchmarks compared to select final targets across the country. NREL fuel cost savings chart from pg. 30 of their report. Alaska Energy Authority Page 3 of 8 (100% by 2045),6 below Virginia (100% by 2045 or 2050),7 and below fellow islanded locales like Hawaii (100% by 2045),8 Guam (100% by 2045),9 and Puerto Rico (100% by 2050).10 Note that the Oregon RPS is an outlier in that it contains a long-term target, but was passed 15 years ago, thus it is significantly lower than other long-term targets. The chart on the right is provided by Berkeley Labs. This data is approximately one year old and does not reflect recent updates, but it helps to visualize the proposed targets. Please also see attachment 1. 4.In reference to slide six, is data available from other states on the economic impacts, specifically impacts on ratepayers? Data on economic impacts can be grouped into three categories: 1.The incremental cost to implement the RPS is generally understood as the difference in rates (up or down) as the RPS ramps up compared to the base case. 2.The temporary economic impacts of significant infrastructure projects throughout the lifetime of the RPS. 3.The lasting economic impact of the completed RPS in terms of fuel cost savings, economic growth, and ancillary impacts on society. In addition to the answers below, additional information on the economic case for the RPS can be found in the Governor’s February 15, 2022 letter to the Regulatory Commission of Alaska.11 Category #1: Incremental costs during RPS ramp-up In 2019, RPS compliance costs averaged 2.6% across the country.12 However, states with the most significant increases, including New Jersey and Massachusetts, have solar carve-outs built into their RPS – a primary driver of higher incremental costs not found in HB 301. Many also exclude conventional hydro, which is currently the cheapest form of power in the Railbelt by a significant margin. This is not the case with the proposed Alaska RPS. This is also average and does not reflect the entire nation. In Maine, modeling sponsored by the state energy office shows negligible consumer rate impacts despite their very high target of 100% renewable energy by 2050.13 6 https://www.utilitydive.com/news/threes-company-new-mexico-joins-california-hawaii-in-approving-100- clea/550390/ 7 https://programs.dsireusa.org/system/program/detail/22133/renewable -portfolio-standard 8 https://programs.dsireusa.org/system/program/detail/606 9 https://www.eia.gov/state/analysis.php?sid=GQ 10 https://www.energy.gov/oe/puerto-rico-grid-resilience-and-transitions-100-renewable-energy-study-pr100 11 http://rca.alaska.gov/RCAWeb/ViewFile.aspx?id=377B67BC-2A41-429F-B208-28DD6EC952DC 12 https://eta-publications.lbl.gov/sites/default/files/rps_status_update-2021_early_release.pdf 13 https://www.maine.gov/energy/sites/maine.gov.energy/files/inline- files/GEO_State%20of%20Maine%20Renewable%20Energy%20Goals%20Market%20Assessment_Final_March%20 2021_1.pdf (pg. 62) Alaska Energy Authority Page 4 of 8 In Colorado, Tri-State Generation and Transmission Association, which supplies 17 Colorado cooperatives, announced they would achieve 50% renewable power by 2024 while cutting wholesale rates by 8%.14 In the similarly fuel-dependent state of Hawaii,15 a 100% RPS has existed since 2015. Despite major efforts to meet renewable targets in a state with similar infrastructure issues, Hawaii’s rate increases since 2015 are almost identical to those in Alaska at 29.8% and 28.5% respectively. While there is a wide range of opinions on whether rates will slightly decrease or slightly increase during the RPS as we develop much-needed infrastructure. Category #2: Temporary economic impacts The impact of new infrastructure projects, while not the aim of RPS policy, should also be considered. In the mid-2000’s, Montana passed a small, 15% RPS. Despite its very small goal and “negligible” impact on rates, it resulted in $423 million in investment, 482 temporary construction jobs, and 26.5 full-time jobs.16 In Colorado, 6,000 renewable energy jobs were created in the four years that followed the passage of their RPS ballot initiative.17 A 2016 NREL study found that RPS’s supported about 200,000 jobs and $20 billion in GDP output at the time.18 They also determined that 4.7 million to 11.5 million renewable energy jobs will be needed to meet RPS demands across the country (partially offset by contractions in other areas).19 Category #3: Lasting economic impacts after RPS completion One of the primary drivers of this RPS is the cost savings that will be achieved by diversifying from a fuel source that has increased by 270% since 1991. Obtaining data from other states on this category is not possible because none have completed a high-percentage RPS nor do they share our challenges in terms of fuel prices and isolation. Instead, we rely on modeling such as the data provided by NREL which indicates an annual fuel cost savings of $426 million to $506 million by 2040 in perpetuity. Further modeling suggests that the capital costs of the proposed RPS will equate to less than half of the potential fuel savings. Less expensive electricity also has the potential to drive industry investment in the Railbelt, creating jobs as well as population and GDP growth. Other ancillary economic benefits have also been posited in other states. For example, a 2019 study of RPS policy in the Rust Belt estimated health benefits of 8 to 14 cents/kWh.20 A 2016 NREL study estimated 2.4 to 5.0 cents/kWh in air quality impacts.21 14 https://www.denverpost.com/2020/10/07/tri-state-rates-renewable-energy/ 15 https://www.eia.gov/state/data.php?sid=HI#Prices 16 https://leg.mt.gov/content/Committees/Interim/2013-2014/Energy-and- Telecommunications/Legislation/RPSFinal.pdf 17 https://cnee.colostate.edu/wp-content/uploads/2015/11/Blue-Print-for-the-New-Energy-Economy-Colorado.pdf (pg. 29) 18 https://www.nrel.gov/docs/fy16osti/65005.pdf 19 https://www.osti.gov/servlets/purl/1344104 20 https://iopscience.iop.org/article/10.1088/1748-9326/ab31d9/pdf 21 https://www.osti.gov/servlets/purl/1344104 Alaska Energy Authority Page 5 of 8 Please also see attachment 2. 5. Is there is information about Pumped Storage capacity in Alaska? In addition to building pumped storage capacity, battery energy storage systems (BESS), located strategically in each of the three Railbelt regions, are fully capable of loading variable renewables, especially when backed up by thermal generation which will continue to exist even after 2040. NREL’s Railbelt feasibility study determined that a 46 MW, 8-hour battery will be required in Fairbanks (a significant upgrade over GVEA’s existing BESS22), a 46.5 MW 4-hour battery will be required in Homer (already in place23), and a 70 MW 4-hour battery will be required in Anchorage.24 Regardless of what mix of pumped storage or BESS systems are utilized, NREL found that resource adequacy and operational reliability are fully achievable under an 80% renewable scenario.25 “All modeled scenarios can achieve 80% renewable energy while maintaining a balance of supply and demand with no unserved energy or reserve shortages during normal operations. The system can also serve load under severe outage conditions in all cases, although the 80% RPS may not be achieved if very long outages were to occur on some parts of the grid. This finding depends on the continued use of best practices and the engineering approaches historically deployed by Alaska’s Railbelt utilities, particularly about the use of state-of-the-art (but proven) technologies.” 6. Have there been any studies on what Alaska’s Energy Composition should be and whether there was a study that might have established a prior baseline. AEA has participated in several studies to varying degrees that address Alaska’s Energy Composition. Those studies include: 1. Alaska Railbelt Electrical Grid Authority Study (September 12, 2008) 2. Alaska Energy: A First Step Toward Energy Independence (January 2009) 3. Alaska Railbelt Integrated Resource Plan (RIRP) Study (February 2010) 4. Alaska Energy Pathway: Toward Energy Independence (July 2010) 5. The Alaska Affordable Energy Strategy (2017) 6. Renewable Energy Atlas of Alaska (2019) 22 https://gvea.com/battery-system/ 23 https://www.homerelectric.com/my -cooperative/power-generation/battery-energy-storage-system-has- arrived/ 24 https://www.nrel.gov/docs/fy22osti/81698.pdf (pg. 16) 25 Ibid. (pg. 20) Alaska Energy Authority Page 6 of 8 7.Is there funding requests on this year’s (infrastructure) projects and whether the effects on ratepayers was quantified? The Bradley Lake Hydroelectric Project Power Sales Agreement (PSA) provides for payment to be made by the purchasing utilities after the bonded debt for construction of the project is retired. The purpose of excess payments is to provide a means whereby the necessary costs for modernization or repairs on the existing project can be funded jointly by those purchasing power from the project so that continuing necessary maintenance and upgrades can be readily funded by the purchasers. These excess payments are estimated to fund project improvements totaling $225 million, which is close to the $261 million as shown on page 15 of the AEA presentation made to the committee on March 8, 2022. Required Project Work is defined in the PSA to mean “…repairs, maintenance, renewals, replacements, improvements or betterments required by federal or state law … to keep the project in good and efficient operating condition, consistent with sound economics for the project and the purchasers and national standards for the industry.” Upgraded transmission lines, a battery for grid stabilization, and the study of benefits and costs for an alternative pathway to move power north by means of an alternative pathway off the Kenai Peninsula are not expected to have a significant cost to ratepayers over time and should provide both stability and reliability benefits. This Required Project Work is necessary for greater penetration of renewable energy resources in Alaska’s Railbelt energy portfolio. This Required Project Work will result in one of the most significant improvements to the electrical transmission system in Alaska’s history. This work will eliminate the constraints on exiting transmission systems and stabilize rates for consumers throughout the Railbelt by increasing the deliverability of energy from the Project while providing jobs and other economic development opportunities from the Kenai to Fairbanks without any burden on the State’s budget. A “win-win” for all Alaskans. 8.How would the entire state see a benefit since the bill is by its text impacts only Railbelt electric utilities? The Administration has introduced several energy bills and funding proposals targeted at different areas of Alaska. For example, the Governor’s budget included a significant $15 million recapitalization of the Renewable Energy Fund. The Governor has also made significant efforts to protect Power Cost Equalization and enshrine it in the Constitution. This year, the Governor introduced HB 299, An Act relating to microreactors, to develop a path forward for microreactors with the stated goal of reducing power costs and providing cleaner power in rural Alaska. While the currently proposed projects are urban or semi-urban (Eielson and Valdez), the Administration believes the primary use case for microreactors will ultimately be rural Alaska. There has been some understandable confusion over the rural impacts of HB 299. AEA agrees that a microreactor being built in a truly rural location is not feasible because on-site teams will likely always be a requirement no matter how safe the technology may be. However, a microreactor could be built in proximity to a rural hub city that desires to pursue such a project. That microreactor could supply power to more remote villages via high-voltage DC transmission lines or be used to convert hydrogen into ammonia fuel. Providing rural communities with options should be one of the primary goals of this HB 299. Alaska Energy Authority Page 7 of 8 9.What would the potential carbon reductions would look like over time given the percentage of renewable energy to be achieved by stated times set out in HB 301 to be achieved by certain dates. The NREL feasibility study did not analyze carbon reductions as the Governor did not introduce the RPS for this purpose. While most Alaskans, including the Governor, support cleaner air, the primary goals of HB 301 are energy independence and long-term cost reductions by reducing our reliance on an expensive and unpredictable energy source and by utilizing a larger fraction of the abundant renewable energy sources available in the Railbelt region. It should be noted that NREL’s research did include estimates for the reduction of fuel that would be achieved by 2040.26 If desired, these numbers could be compared to U.S. Energy Information Administration data on emissions27 and used to estimate carbon reductions, however, AEA would respectfully recommend reaching out to the report authors to make these scientific calculations. 10.Please provide a breakdown of electricity generation within the Railbelt by fuel type and utility service area. I hope you will find this information to be useful. Please do not hesitate to contact me if you have further questions. Best Regards, Curtis W. Thayer Executive Director Attachments: 1.National Conference of State Legislature, State Renewable Energy Portfolio Standards and Goals (August 13, 2021) 26 https://www.nrel.gov/docs/fy22osti/81698.pdf (pg. 30) 27 https://www.eia.gov/environment/emissions/co2_vol_mass.php Railbelt Energy Generation By Fuel Source, By Utility / Service Area Fuel Source Type CEA (MWh)% of Total Energy GVEA (MWh)% of Total Energy HEA (MWh)*% of Total Energy MEA (MWh)% of Total Energy Railbelt (MWh)% of Total Energy Non-Renewable 1,039,087 75%1,153,284 90%444,331 91%739,461 88%3,376,164 85% Coal - 0%544,222 43%- 0%183 0%544,405 14% Diesel - 0%173,832 14%122 0%- 0%173,954 4% Naptha - 0%385,999 30%- 0%- 0%385,999 10% Natural Gas 1,039,087 75%49,231 4%444,209 91%739,278 88%2,271,805 57% Renewable 337,317 25%123,408 10%42,182 9%98,103 12%601,010 15% Hydro 291,355 21%73,531 6%41,953 9%96,795 12%503,634 13% Solar - 0%656 0%229 0%1,308 0%2,193 0% Wind 45,962 3%49,220 4%- 0%- 0%95,182 2% Total 1,376,405 100%1,276,692 100%486,513 100%837,564 100%3,977,174 100% Notes: *Solar figure for HEA is applying an assumption that 100% of the "consumer generation", as listed under purchased power for its submitted RCA annual report, is solar power Source: 2020 Railbelt Utility Annual Reports to the RCA Alaska Energy Authority Page 8 of 8 2.Working Paper, No. 2019-62, Energy Policy Institute at the University of Chicago, Do Renewable Portfolio Standards Deliver? (April 2019) Cc: House Energy Committee Vasilios Gialopos, Legislative Director From:Curtis W. Thayer To:Rep. Zack Fields; TW Patch Cc:Rep. Calvin Schrage; Kookesh, Melissa M (CED); Jennifer L. Bertolini; Curtis W. Thayer Subject:RE: energy generation by source for railbelt Date:Tuesday, March 22, 2022 2:59:41 PM Attachments:image003.png image004.png image002.png We had included your response in overall document responded to the other questions from the committee. However, I believe this what you are looking for: Best Regards, Curtis W. Thayer Executive Director 813 W Northern Lights Boulevard, Anchorage AK 99503 (907) 771-3009 (office) (907) 744-4704 (cell) cthayer@akenergyauthority.org From: Rep. Zack Fields <Rep.Zack.Fields@akleg.gov> Sent: Tuesday, March 22, 2022 2:40 PM To: Curtis W. Thayer <cthayer@akenergyauthority.org>; TW Patch <TPatch@akenergyauthority.org> Cc: Rep. Calvin Schrage <Rep.Calvin.Schrage@akleg.gov>; Kookesh, Melissa M (CED) <melissa.kookesh@alaska.gov> Subject: RE: energy generation by source for railbelt CAUTION: This email originated from outside of the organization. Do not click links or open attachments unless you recognize the sender and know the content is safe. Hi Curtis & TW, I’m following up on this request for data on railbelt electricity generation. Do you have that data available to share with me? Zack From: Rep. Zack Fields Sent: Wednesday, March 16, 2022 2:52 PM To: Curtis W. Thayer <cthayer@akenergyauthority.org> Cc: Rep. Calvin Schrage <Rep.Calvin.Schrage@akleg.gov> Subject: energy generation by source for railbelt Hi Curtis, In the context of the RPS bill, I was hoping to understand the breakdown of electricity generation within the railbelt, broken down by type (gas, coal, wind, solar, hydro, ….). Does AEA have that? If AEA also this generation % breakdown by utility service area, that would be useful too. Thank you, Zack Representative Zack Fields House District 20 From:Curtis W. Thayer To:Senator Natasha Vonlmhof Cc:Curtis W. Thayer; Jennifer L. Bertolini Subject:AEA & IIJA Date:Monday, March 21, 2022 2:02:38 PM Attachments:image001.png image002.png Infrastructure Investment and Jobs Act - H.R. 3684 - AEA Summary - Feb 2 2022_.xlsx Per our conversation, the list is ever evolving as we receive additional information from the Feds. Curtis Best Regards, Curtis W. Thayer Executive Director 813 W Northern Lights Boulevard, Anchorage AK 99503 (907) 771-3009 (office) (907) 744-4704 (cell) cthayer@akenergyauthority.org Infrastructure Investment and Jobs Act - H.R. 3684 - AEA Summary Updated: 02/02/2022 Page 1 of 4 4/4/2022 Section (IIJA) Program Title Technology Program Description/Notes Aggregate Federal Funding Appropriation Estimated Funding for AK State of AK Match Requirement Notes on AK Funding Estimate 11109 Surface Transportation Block Grant Electric Vehicles - Betsy In addition to standard eligible infrastructure projects, this section adds the installation of electric vehicle charging infrastructure and vehicle-to-grid infrastructure as eligible projects. Total Federal Appropriation =$273,150,000,000 28.74% of base appropriation for Surface Transportation Block Program Total appropriation by FY: FY22: $52,488,065,375 FY23: $53,537,826,683 FY24: $54,608,583,217 FY25: $55,700,754,881 FY26: $56,814,769,844 $990,000,000 DOTPF DOTPF may have higher priority eligible infrastructure projects than EVSE. The State is required to allocate a proportion of funds on certain types of projects as well as by population and to prioritize some geographic locations. Projects also need to be included in the STIP. Amount AK will receive was based on 2% more than AK's FY21 apportionment with penalties, and 1% more than previous FY. 28.74% of base appropriation allocated for Surface Transportation Block Program. 11401 Grants for Charging and Fueling Infrastructure Electric Vehicles - Betsy Alternative Fuel Corridor Redesignation Within 180 days of enactment, the Transportation Secretary is required to consult with federal agencies, state and local officials, as well as other entities to redisgnate highway corridors as Alternative Fuel Corridor Ready (corridor with EV DC fast chargers or alternative fueling stations located no more than 50 miles apart) or Corridor Pending (corridor that is targeted to achieve Corridor Ready status, but does not yet meet the criteria). Alternate Fuel Corridor Grants Within a year of enactment, a grant program will be established for state, local, and tribal governments, port authorities or metropolitan planning organizations to work with private entities to acquire, install, and operate and maintain alternative fuel infrastructure along FHWA-designated Alternative Fuel Corridors for 5 years. Community Grants 50% of program funds will be set-aside annually for competitive grants to expand publically-accessible alternative fuel infrastructure with priority to rural, underserved communities, and multi-unit dwellings. Community grants can also be used for preconstruction work, such as, planning, feasibility analysis, environmental review, revenue forecasting, preliminary design and engineering; and up to 5% can be used for public education and outreach. Community grants are capped at $15M per project. Total: $2,500,000,000 FY22: $300,000,000 FY23: $400,000,000 FY24: $500,000,000 FY25: $600,000,000 FY26: $700,000,000 Competitive application process Administration's goal is to have 500,000 EV charging stations to meet projected 2030 EV market. Based on population, AK would need 1,097 charging stations to meet that goal. Federal share not to exceed 80% total project costs; Private Entities (subgrantees) required to provide 20% match. No State match requirement. However, AEA estimates a need for $200,000 annually for staff time for planning and preparation of grant applications; procurements; distributing the funds; and managing subgrants/projects. About half of these funds can only be used for purposes of EV charging infrastructure development along designated alternative fuel corridors (AFCs). It is important for the State to get clarification on flexibility of AFC criteria and then decide to nominate the National Highway System highways and ferry/port terminals, and other roads if allowed, as Corridor Pending to make full use of these funds. Alaska currently has one Corridor Pending highway route from Anchorage to Fairbanks and no Corridor Ready routes. 11507 Denali Commission Rural - Tim For an additional amount for "Denali Commission", $75,000,000 to remain available until expended: Provided further, that such amount is designated by the Congress as being for an emergency requirement pursuant to section 4112(a) of H. Con. Res. 71 (115th Congress), the concurrent resolution on the budget for fiscal year 2018 and to section 251(b) of the Balanced Budget and Emergency Control Act of 1985. $75,000,000 $75,000,000 $15,000,000 40101 Grid Resilience and Reliability Transmission - Kirk $5B to be allocated FY2022 to FY2026, with $2.5B as competitive Federal Grant Program and $2.5B for formula-based State/Tribal Grant Program, for grid resiliency and reliability initiatives. activities, technologies, equipment, and hardening measures to reduce the likelihood and consequences of disruptive events, including: weatherization technologies and equipment; fire-resistant technologies and fire prevention systems; monitoring and control technologies; the undergrounding of electrical equipment; utility pole management; the relocation of power lines or the reconductoring of power lines with low-sag, advanced conductors; vegetation and fuel-load management; the use or construction of distributed energy resources for enhancing system adaptive capacity during disruptive events (including microgrids and battery-storage subcomponents); adaptive protection technologies; advanced modeling technologies; hardening of power lines, facilities, substations, of other systems; and the replacement of old overhead conductors and underground cables. Federal Grant Program - Competitive Program Grant program set aside for activities that are supplemental to existing hardening efforts planned for any given year; and reduce the risk of any power lines owned or operated by the eligible entity causing a wildfire; or increase the ability of the eligible entity to reduce the likelihood and consequences of disruptive events. Eligible entities include: electric grid operator; electricity storage operator; electricity generator; transmission owner or operator; distribution provider; fuel supplier; and any other relevant entity. Must submit a report detailing past, current, and future efforts by the eligible entity to reduce the likelihood and consequences of disruptive events. Grant amounts cannot exceed total amount the eligible entity has spent in the previous 3 years on efforts to reduce the likelihood and consequences of disruptive events. Priority will be given to projects that generate the greatest community benefit (whether rural or urban) in reducing the likelihood and consequences of disruptive events. Small utility (<4M MWh annually) set aside of a minimum of 30% of program funds. Small utility (<4M MWh annually) required to match 1⁄3 of the amount of the grant. $2,500,000,000 30% minimum set-aside for small utilities (<4M MWh annually) Competitive application process Small utility match = 1/3 Small utility match = 1/3 Eligible entities include: electric grid operator; electricity storage operator; electricity generator; transmission owner or operator; distribution provider; fuel supplier. AEA would be eligible as owner of Bradley Lake Hydro Project and transmission lines. At least 30% of program funds will be set aside for small utilities. Grant amounts cannot exceed total amount the eligible entity has spent in the previous 3 years on efforts to reduce the likelihood and consequences of disruptive events. Infrastructure Investment and Jobs Act - H.R. 3684 - AEA Summary Updated: 02/02/2022 Page 2 of 4 4/4/2022 Section (IIJA) Program Title Technology Program Description/Notes Aggregate Federal Funding Appropriation Estimated Funding for AK State of AK Match Requirement Notes on AK Funding Estimate 40101 Grid Resilience and Reliability Transmission - Kirk $5B to be allocated, with $2.5B eligible for use by States for FY2022 to FY2026, for grid resiliency and reliability initiatives. activities, technologies, equipment, and hardening measures to reduce the likelihood and consequences of disruptive events, including: weatherization technologies and equipment; fire-resistant technologies and fire prevention systems; monitoring and control technologies; the undergrounding of electrical equipment; utility pole management; the relocation of power lines or the reconductoring of power lines with low-sag, advanced conductors; vegetation and fuel-load management; the use or construction of distributed energy resources for enhancing system adaptive capacity during disruptive events (including microgrids and battery-storage subcomponents); adaptive protection technologies; advanced modeling technologies; hardening of power lines, facilities, substations, of other systems; and the replacement of old overhead conductors and underground cables. State/Tribal Grant Program - Formula Based 50% formula-based set aside for states and tribes to issue grants to eligible entities. Grant funding allocations are based on total population; total area; areas with low ratio of electricity customers to power lines; probability of disruptive events during previous 10 years based on federally declared disasters or emergencies; number and severity of events; amount of funds expended over past 10 years on percapita basis to mitigate or reduce severity or consequences over previous 10 years; among other factors. State/Tribe must submit a plan each FY for disbursing the funds. Small utilitiy set aside (<4M MWh annually) cannot be less than the percentage of all customers in the State/Tribe that are served by those eligible entities. 15% match requirement for State or Tribe. Small utility (<4M MWh annually) required to match 1⁄3 of the amount of the grant. $2,500,000,000 Not estimated 15% state match requirement and Small utility match = 1/3 State Cost Share = 15% Formula-based grant requiring 15% state match and 1/3 match from small utilities. The State/Tribe must submit a plan with the application. The State/Tribe may use up to 5% for providing technical assistance and administration expenses. Utility contributions to Bradley Lake transmission projects should count as State match funds. 40103 Energy Infrastructure Federal Financial Assistance Program - Program Upgrading Our Electric Grid and Ensuring Reliability and Resiliency Transmission $5B for FY2022 to FY2026 to create the "Program Upgrading Our Electric Grid and Ensuring Reliability and Resiliency". The purpose of the program being to "to demonstrate innovative approaches to transmission, storage, and distribution infrastructure to harden and enhance resilience and reliability; and to demonstrate new approaches to enhance regional grid resilience, implemented through States by public and rural electric cooperative entities on a cost-shared basis." Competitive application program for Federal Assistance. Eligible entities include: State; combination of 2 or more States; Indian Tribe; unit of local government; and public utility commission. $5,000,000,000 Competitive application process 20% match requirement as per 42 U.S. Code § 16352 State Cost Share: 20% 40103 Energy Improvement in Rural or Remote Areas, and Energy Infrastructure Resilience Framework Rural $1B for FY2022 to FY2026 to supplement the "Program Upgrading Our Electric Grid and Ensuring Reliability and Resiliency" with specific guidance relating to Federal financial assistance for rural and remote areas (city, town, or unincorporated area with less than <10K inhabitants). Such eligible projects include but are not limited to: "overall cost-effectiveness of energy generation, transmission, or distribution systems; siting or upgrading transmission and distribution lines; and reducing greenhouse gas emissions from energy generation by rural or remote areas." $1,000,000,000 Competitive application process 20% match requirement as per 42 U.S. Code § 16352 State Cost Share = 20% 40106 Transmission Facilitation Program Transmission - Kirk $50M for FY2022 to FY2026 for the establishment of a "Transmission Facilitation Fund" by which the DOE shall facilitate the construction of electric power transmission lines and related facilities. In addition to the 5 year $10M appropriation, the program will also establish a $2.5B revolving loan fund that allows DOE to serve as an “anchor tenant” for a new transmission line or an upgrade of an existing line. DL: eligible transmission lines required to have capacity of 1GW if new. Upgrades to existing lines or new lines in existing corridors must have 500MW capacity. These minimums are much greater than currently contemplated transmission line upgrades in Alaska. The only exceptions are an HVDC line from the North Slope to the Railbelt or a connection to Canada. This should be confirmed with the Railbelt utilities. $50,000,000 Competitive application process 100% match Loan program (100% match) - subject to some potential loan forgiveness clauses. Infrastructure Investment and Jobs Act - H.R. 3684 - AEA Summary Updated: 02/02/2022 Page 3 of 4 4/4/2022 Section (IIJA) Program Title Technology Program Description/Notes Aggregate Federal Funding Appropriation Estimated Funding for AK State of AK Match Requirement Notes on AK Funding Estimate 40109 State Energy Program AEEE - Taylor Allocates $500M, distributed in accordance with the applicable distribution formula in effect for 01/01/2021. Funds are to be made available for, but not limited to, "[...] the electrification of, State government vehicles, fleet vehicles, taxis and ridesharing services, mass transit, school buses, ferries, and privately owned passenger and medium- and heavy-duty- vehicles." SEP funding for AK for FY2021 was $445,730 of a total $56M, or 0.79%. At $100M per annum, it is estimated AK will receive $795,946/yr ($3.98M total). $500,000,000 $3,979,732 None required Changes some of the regulation of the SEP for this bill and going forward: ‘‘(7) the mandatory conduct of activities to support transmission and distribution planning, including— ‘‘(A) support for local governments and Indian Tribes; ‘‘(B) feasibility studies for transmission line routes and alternatives; ‘‘(C) preparation of necessary project design and permits; and ‘‘(D) outreach to affected stakeholders.’’ 40331 Hydroelectric Production incentives Hydro - Bryan $125M for FY2022 to remain available until expended for DOE to make incentive payments for electric energy generated and sold by a qualified hydroelectric facility during the incentive period. "Payments made by the Secretary under this section to the owner or operator of a qualified hydroelectric facility shall be based on the number of kilowatt hours of hydroelectric energy generated by the facility during the incentive period. For any such facility, the amount of such payment shall be 1.8 cents per kilowatt hour (adjusted as provided in paragraph (2) [for inflation]), subject to the availability of appropriations under subsection (g), except that no facility may receive more than $1,000,000 in 1 calendar year." $125,000,000 Competitive application process Incentive payments capped at $1M per year for 10 years, or $10M total for a single qualifying facility. Incentive program based on energy generation; cost share is 100% with incentive acting only as a discount towards hydro facility O&M costs. 40332 Hydroelectric Efficiency improvement incentives Hydro - Bryan $75M for FY2022 to remain available until expended for DOE to make incentive payments to the owners or operators of hydroelectric facilities at existing dams to be used to make capital improvements in the facilities that are directly related to improving the efficiency of such facilities by at least 3 percent. Incentive payments under this section shall not exceed 30 percent of the costs of the capital improvement concerned and not more than 1 payment may be made with respect to improvements at a single facility. No payment in excess of $5,000,000 may be made with respect to improvements at a single facility. $75,000,000 Competitive application process Incentive payment capped at 30% of capital cost of improvement(s), not to exceed $5M. As pursuant to 42 U.S. Code § 15882 State Cost Share is total capital cost of improvement(s). Incentive payment can be construed as a percentage discount to overall project cost. Incentive payment increases with capital cost, capped at 30%, not to exceed $5M. Utility contributions to Bradley should count as state match funds. 40333 Maintaining and Enhancing Hydroelectricity Incentives Hydro - Bryan $553.6M for FY2022 to remain available until expended for DOE to make payments to the owners or operators of qualified hydroelectric facilities at existing dams to be used to make improvements related to dam safety, grid resiliency, and environmental improvements. Incentive payments under this section shall not exceed 30 percent of the costs of the capital improvement concerned and not more than 1 payment may be made with respect to improvements at a single facility. No payment in excess of $5,000,000 may be made with respect to improvements at a single facility. $553,600,000 Competitive application process Incentive payment capped at 30% of capital cost of improvement(s), not to exceed $5M. Incentive payment increases with capital cost, capped at 30%, not to exceed $5M. Utility contributions to Bradley should count as state match funds. 40334 Pumped Storage Hydropower Wind and Solar Integration and System Reliability Initiative AEEE - Audrey $10M for FY2022 to FY2026 for purposes of no later than 09/30/2023 the DOE "enter[ing] into an agreement with an eligible to provide financial assistance to the eligible entity to carry out project design, transmission studies, power market assessments, and permitting for a pumped storage hydropower project to facilitate the long duration storage of intermittent renewable electricity." Eligibility for assistance is subject to a potential project being "(i) designed to provide not less than 1,000MW of storage capacity; (ii) be able to provide energy and capacity of use in more than 1 organized electricity market; (iii) be able to store electricity generated by intermittent renewable electricity projects located on Tribal land; and (iv) have received a preliminary permit from FERC." $10,000,000 Competitive application process 100% match State Cost Share = 100% 40502 Energy Efficiency Revolving Loan Fund Grant Program Energy Efficiency - Taylor $250M to be allocated for FY2022, available until expended. Maximum of $15M in grant funds to be allocated to each State to establish OR utilize an existing revolving loan fund for purposes of conducting commercial and residential energy audits and commercial and residential energy upgrades and retrofits. Additional funding may be available for those priority states which "are among the 15 States with the highest annual per-capita combined residential and commercial sector energy consumption, per the EIA; or the 15 States with the highest annual per-capita energy-related carbon dioxide emissions by State, per the EIA". While State matching funds are not required, the leveraging of private capital via the grant funds is highly encouraged. $250,000,000 $795,946 None required This program flows through SEP and will be subject to the same reporting requirements/platform. AHFC may be interested, still awaiting answer as of 01/28/2022. AEA/AIDEA would need to administer a Commercial Loan/Grant program. Infrastructure Investment and Jobs Act - H.R. 3684 - AEA Summary Updated: 02/02/2022 Page 4 of 4 4/4/2022 Section (IIJA) Program Title Technology Program Description/Notes Aggregate Federal Funding Appropriation Estimated Funding for AK State of AK Match Requirement Notes on AK Funding Estimate 40503 Energy Auditor Training Grant Program Energy Efficiency - Taylor $40M to be allocated for FY2022 to FY 2026. Grant allocation to States is subject to formula calculation based on population and shall not exceed $2M. Grants to be made available to States to "train individuals to conduct energy audits or surveys of commercial and residential buildings." $40,000,000 $2,000,000 None required $2M is maximum amount per State. This program flows through SEP and will be subject to the same reporting requirements/platform. AHFC may be interested, answer expected week of 11/22 40552 Energy Efficiency and Conservation Block Grant Program Energy Efficiency - Taylor $550M to be allocated for FY2022, until expended. Funding amount calculated per formula. Adding "programs for financing energy efficiency, renewable energy, and zero-emission transportation (and associated infrastructure), capital investments, projects, and programs, which may include loan programs and performance contracting programs, for leveraging of additional public and private sector funds, and programs that allow rebates, grants, or other incentives for the purchase and installation of energy efficiency, renewable energy, and zero-emission transportation (and associated infrastructure) measures" to EECBG program. $550,000,000 $1,925,000 None required NASEO reports 68% going to the 10 largest city or boroughs in the state direct from DOE. 28% to smaller cities, to be run through AEA. 2% to tribes (last time that was direct from DOE, and 2% for competitive projects. 41007 Renewable Energy Projects AEEE - Audrey This section plans to administer funding for RE projects through DOE, EERE and other federal agencies. Similar to other DOE RE programs, the match requirement and state applicant eligibility is defined on a case by case basis, depending on the agency that the funds are administered through. More information should become available on these programs as the adminstration plan is revealed by DOE. The Funding Opportunity Working Group will continue to monitor the relevant offices for funding announcements. Funding appears to be focused heavily on Research and Development type projects. Geothermal: $84,000,000 for FY 2022 - 2025 Wind Energy: $100,000,000 for FY 2022 - 2025 Solar Energy: $80,000,000 for FY 2022 - 2025 Competitive application process Varies depending on program Section J Title VIII National Electric Vehicle Formula Program Electric Vehicles - Betsy Formula based funds under Section 104(c) of title 23 USC for the development of publically available networked EV charging infrastructure along deisgnated alternative fuel corridors. Must develop a plan for disbursing the funds and developing the charging network and submit to Department of Transportation for approval. If the plan is not submitted or approved, the funds for that FY will be provided to localities within the state or disbursed to other states if they cannot be used by the localities. $5,000,000,000 total $300,000,000 for Federal Joint Office 10% set aside for assistance grants for States and localities Remaining funds follow base apportionment under Section 104(c) of title 23 USC. $51,000,000 $1,500,000 Federal share not to exceed 80% total project costs; State or Private Entities (subgrantees) can provide 20% match. State will need to fund planning, interagency coordination, stakeholder outreach, GIS support, and reporting prior to federal funding being available. If 10% set aside for assistance is apportioned to AK and state required to provide 20% match, then state would need $1,500,000. These funds can only be used for purposes of EV charging infrastructure development. Amount AK will receive was estimated from AK's FY21 apportionment after penalties applied to 90% of the funds. The AK funding estimate does not include the 10% set aside for assistance grants to states and localities because it is not clear if that will be competitive or apportioned. These funds can only be used for purposes of EV charging infrastructure development along designated alternative fuel corridors (AFCs) until they are fully built out. It is important for the State to get clarification on flexibility of AFC criteria and then decide to nominate the National Highway System highways and ferry/port terminals and other roads if allowed as Corridor Pending to make full use of these funds. Alaska currently has one Corridor Pending highway route from Anchorage to Fairbanks and no Corridor Ready routes. HB 301 OVERVIEW T.W. Patch, JD Director of Planning House Energy Committee March 8, 2022 ALASKA ENERGY AUTHORITY Railbelt Energy –AEA owns the Bradley Lake Hydroelectric Project, the Alaska Intertie, and the Sterling to Quartz Creek Transmission Line —all of which benefit Railbelt consumers by reducing the cost of power. Power Cost Equalization (PCE) –PCE reduces the cost of electricity in rural Alaska for residential customers and community facilities, which helps ensure the sustainability of centralized power. Rural Energy –AEA constructs bulk fuel tank farms, diesel powerhouses, and electrical distribution grids in rural villages. AEA supports the operation of these facilities through circuit rider and emergency response programs. Alternative Energy and Energy Efficiency –AEA provides funding, technical assistance, and analysis on alternative energy technologies to benefit Alaskans. These include biomass, hydro, solar, wind, and others. Grants and Loans –AEA provides loans to local utilities, local governments, and independent power producers for the construction or upgrade of power generation and other energy facilities. Energy Planning –In collaboration with local and regional partners, AEA provides economic and engineering analysis to plan the development of cost-effective energy infrastructure. AEA Programs and Services AEA works to diversify Alaska’s energy portfolio, engages on energy planning and policy, invests in Alaska’s energy infrastructure, and provides rural Alaska with technical and community assistance. AEA HB 301 Overview | House Energy Committee | March 8, 2022 02 What is a Renewable Portfolio Standard? Renewable Portfolio Standard (RPS) A requirement on retail electric suppliers… To supply a minimum percentage or amount of their retail load… With eligible sources of renewable energy Typically Backed with incentives of some form (financial or other) Often Accompanied by a tradable renewable energy certificate (REC) program to facilitate compliance Never Designed the same in any two states AEA HB 301 Overview | House Energy Committee | March 8, 2022 03 House Bill 301 House Bill (HB) 301 promotes energy independence, long-term cost reductions, and competitive markets in Alaska’s Railbelt. HB 301 aligns Alaska with 30 states and two territories in creating a renewable portfolio standard on the Railbelt. A key element of the Governor’s RPS is a firm commitment to transition to 30% renewable power by 2030 and 80% by 2040. Expanding our renewable energy portfolio is the best way to diversify our supply thus increasing Alaska’s energy security. AEA HB 301 Overview | House Energy Committee | March 8, 2022 04 Prior Legislative Action AN ACT DECLARING A STATE ENERGY POLICY. Be it enacted by the Legislature of the State of Alaska *Section 1. The uncodified law of the State of Alaska is amended by adding a new section to read: LEGISLATIVE INTENT. It is the intent of the legislature that (1) the state achieve a 15 percent increase in energy efficiency on a per capita basis between 2010 and 2020; (2) the state receive 50 percent of its electric generation from renewable and alternative energy sources by 2025; (3) the state work to ensure a reliable in-state gas supply for residents of the state; (4) the power project fund (AS 42.45.010) serve as the main source of state assistance for energy projects; (5) the state remain a leader in petroleum and natural gas production and become a leader in renewable and alternative energy development. Section 2. Permanent law. See Table of Disposition of Acts. Approved: June 16, 2010 2010 Temporary Special Acts and Resolves, An Act Declaring a State Energy Policy, Chapter 82 Effective: September 14, 2010 AEA HB 301 Overview | House Energy Committee | March 8, 2022 05 Recent Evolution RPS Standards and Goals RPS policies exist in 30 States and DC; apply to 58% of total U.S. retail electricity sales JANUARY 2012 Source: N.C. Solar Center at N.C. State University, Database of State Incentives for Renewables and Efficiency (accessed July 2012). (Correction: Amended source corrects the source listed in original publication of February 3, 2012.) Note: The map includes West Virginia as a State with a Renewable Portfolio Standard, although the Interstate Renewable Energy Council categorizes it as a goal State rather than an RPS State. Source: Database of State Incentives for Renewable Energy & Efficiency® September 2020 SEPTEMBER 2020 AEA HB 301 Overview | House Energy Committee | March 8, 2022 06 HOW DO WE GET THERE U.S.AK 34% 58% 6%2% AK* Energy Production Profile by Source (%) Oil and Gas Coal Renewable Energy (Biomass, Solar, Wind) Hydroelectric (*With Susitna-Watana) Nuclear Power AEA HB 301 Overview | House Energy Committee | March 8, 2022 08 Soldotna Homer Seward Location –The Bradley Lake Hydroelectric Project is located 27‐air miles northeast of Homer on the Kenai Peninsula Benefits –Provide low cost energy to 550,000+ members of Chugach Electric Association, City of Seward, Golden Valley Electric Association, Homer Electric Association, and Matanuska Electric Association Annual Energy Production –~10% of Railbelt electricity at 4.5 cents/kWh (or ~54,400 homes/year) and over $20 million in savings per year to Railbelt utilities from Bradley Lake versus natural gas Status –Energized in 1991 Dam Height –125 feet Dam Elevation –1,190 Feet Reservoir Length –4 miles Reservoir Width –1.3 miles Installed Capacity –120 MW Annual Energy –400,000 MWh Cost –~$400 Million Bradley Lake Hydroelectric Project Hydroelectric power is Alaska’s largest source of renewable energy —and Bradley Lake is Alaska’s largest hydro facility. AEA HB 301 Overview | House Energy Committee | March 8, 2022 09 Installed Capacity –≤ 180 MW Annual Energy –100,000- 500,000 MWh Cost –~$160-500 Million Location –The Dixon Diversion Project is located five miles southwest of Bradley Lake Studying Two Options – -Alternative 1 –Tunnel to Bradley Lake -Alternative 2 –Run-of-River Powerhouse on Martin River Benefits –Could provide annual electric energy for 17,000-40,000 homes on the Railbelt. (Bradley Lake Hydroelectric Project: 54,000 homes) Status –Alternative analysis underway Dixon Diversion Project The proposed Dixon Diversion Project would expand the size of the largest hydro project in Alaska —the Bradley Lake Hydroelectric Project. Soldotna Homer Seward 10 $345,000 $1.5 Million $2.5 Million Feasibility Design and Hydrology Environmental Studies Draft License Amendment Detailed Geotechnical Investigations Operations/Power Modeling Environmental Assessment Fiscal Year 2024 Detailed mapping/topography License Amendment Consultations Environmental Studies Hydrology Studies Initial Geotechnical Investigations Preliminary Design Fiscal Year 2023 Establish river gauge Initiate Bradley Lake FERC License Amendment Alternatives Analysis Report (Conceptual Design Fiscal Year 2022 Dixon Diversion: Next Steps AEA HB 301 Overview | House Energy Committee | March 8, 2022 11 Peak Demand Scenario on Coldest Day of Year —Hydro AEA HB 301 Overview | House Energy Committee | March 8, 2022 12 Peak Demand Scenario on Coldest Day of Year —Wind & Solar AEA HB 301 Overview | House Energy Committee | March 8, 2022 13 Railbelt Infrastructure Upgrades The Bradley Lake Hydroelectric Project is managed by the Bradley Lake Project Management Committee (BPMC), which is comprised of a member from each of the five participating Railbelt utilities —Chugach Electric Association, Golden Valley Electric Association, Homer Electric Association, Matanuska Electric Association, Seward Electric Association —and AEA. AEA and the BPMC have identified several opportunities to optimize the value provided by the project to more than 550,000 Alaskans along the Railbelt. These projects will remove transmission constraints, improve grid resiliency, and allow for better use of the Bradley Project’s potential by increasing its ability to deliver more low-cost, renewable energy throughout the Railbelt grid and enhance our ability to utilize that power most flexibly and cost-effectively. The Railbelt region of the State has seen significant changes to its energy infrastructure in the last 10 years. As a result of these changes transmission enhancements are necessary. AEA HB 301 Overview | House Energy Committee | March 8, 2022 14 Project Name Scope Schedule Budget Upgrade Transmission Line from Bradley Junction to Soldotna Construction of a second 115 kV transmission line from Bradley Junction to the Soldotna Substation 2022-2029 $66 Million Upgrade Transmission Line from Soldotna to Sterling Upgrade of the transmission line from 115 kV to 230 kV from the Soldotna Substation to the Sterling Substation in accordance with the results of engineering studies 2022-2029 $17 Million Upgrade Transmission Line from Sterling to Quartz Creek Upgrade of the transmission line between the Sterling Substation and Quartz Creek Substation (SSQ Line) from 115 kV to 230 kV 2022-2029 $53 Million Battery Energy Storage Systems for Grid Stabilization Upgrade to existing BESS system in Fairbanks, and also new BESS systems in the Kenai, and Central regions of the grid 2019-2025 $115 Million Study of Alternative Path to Export Energy Off Kenai Peninsula Study the feasibility of the best alternative transmission line path to deliver Bradley Project energy off the Kenai Peninsula 2022-2024 $10 Million Required Project Work Summary Total $261 MillionAEA HB 301 Overview | House Energy Committee | March 8, 2022 15 Constructed in the mid-1980s, the Alaska Intertie is a 170 mile-long, 345 kilovolt (kV) transmission line from Willow to Healy Operated by AEA and Railbelt utilities, the transmission line improves reliability within Railbelt system Allows Golden Valley Electric Association (GVEA) to connect to and benefit from lower cost power Between 2008 and 2018, the Intertie provided an average annual cost savings of $30 million to GVEA customers Alaska Intertie 16 Maximizing Clean Energy for the Railbelt Bradley Lake Expansion (Spillway Raise) –$4 million Bradley-Soldotna 115kV Line –$66 million Soldotna-Quartz Creek (and Substation) –$70 million Bernice Lake-Beluga HVDC –$185 million Dave’s Creek-University 230kV Line –$58 million Grid Stabilization –$115 million 17 2019 Abeyance Rescinded 2017 Licensing Abeyance Susitna-Watana Hydroelectric Project History AEA HB 301 Overview | House Energy Committee | March 8, 2022 18 Cook Inlet Natural Gas Value into the Future Opportunities: Home heating on the Railbelt (including potential future expansion) Power generation fuel on an as-needed basis and gas storage (CINGSA) Industrial customers in the Cook Inlet -Combined heat and power applications stand alone customers -Possibility for green hydrogen production -In-state industrial use -Potential pipeline transport for minerals extraction AEA HB 301 Overview | House Energy Committee | March 8, 2022 19 813 W Northern Lights Blvd. Anchorage, AK 99503 Main: (907) 771-3000 Fax: (907) 771-3044 akenergyauthority.org @alaskaenergyauthority @alaskaenergyauthority Alaska Energy Authority AEA provides energy solutions to meet the unique needs of Alaska’s rural and urban communities. 20 APPENDIX Susitna-Watana Hydroelectric Project Timeline AEA HB 301 Overview | House Energy Committee | March 8, 2022 22 CAPITAL BUDGET Curtis W. Thayer Executive Director Senate and House Finance Committee March 7, 2022 ALASKA ENERGY AUTHORITY AEA Active Projects and Services AEA Capital Budget Presentation | Senate and House Finance Committee| March 7, 2022 02 Program Funding Sources FY2023 Proposed Electrical Emergencies State General Fund $ 200.0 Strategic Plan for Railbelt Assets Fiscal Year 2022 Supplemental General Fund 2,500.0 Bulk Fuel Tank Farm Upgrades State Match 5,500.0 Bulk Fuel Tank Farm Upgrades Federal Receipt Authority 7,500.0 Renewable Energy Fund (REF)PCE Excess Earnings via REF Capitalization 15,000.0 Rural Power System Upgrades PCE Excess Earnings 10,000.0 Rural Power System Upgrades Federal Receipt Authority 10,000.0 Volkswagen Settlement Interest Earnings Receipt Authority (Statutory Designated)400.0 Electric Vehicle Infrastructure Fiscal Year 2022 Supplemental General Fund 1,500.0 Total $ 52,600.0 FY2023 Capital Budget Overview (Thousands) AEA Capital Budget Presentation | Senate and House Finance Committee| March 7, 2022 03 AEA provides support when an electric utility has lost, or will lose ability to generate or transmit power In the Fiscal Year 2022, $200,000 was appropriated. During the last five years there have been four electrical emergencies on average The average cost of an electrical emergency assistance is approximately $45,000 eachState General Fund: $200,000CAPITAL REQUEST: Electrical Emergency Response AEA Capital Budget Presentation | Senate and House Finance Committee| March 7, 2022 04 Develop an updated Railbelt Integrated Resource Plan Focus on un-constraining transmission congestion on the bulk power system Utilize the least cost power opportunities on the interconnected transmission system FY22 Supplemental General Fund: $2.5 Million CAPITAL REQUEST: Strategic Plan For Railbelt Assets AEA Capital Budget Presentation | Senate and House Finance Committee| March 7, 2022 05 ~400 rural bulk fuel facilities Goal —code compliant fuel storage facilities and prevention of spills and contamination Aging infrastructure, erosion, and catastrophic failure Active projects —8 full and 18 Maintenance and Improvement Deferred maintenance unmet $800 million State Match: $5.5 MillionFederal Receipt Authority:$7.5 Million CAPITAL REQUEST: Bulk Fuel Tank Farm Upgrades AEA Capital Budget Presentation | Senate and House Finance Committee| March 7, 2022 06 REF incentivizes the development of qualifying and competitively selected renewable energy projects Since inception, the program to date has awarded 244 grants totaling $275 million; 99 projects are in operation, 27 are in development Legislature approved all 11 AEA-recommended projects as submitted for Round 13, for a total of $4.75 million in available grant funds Solicited for Round 14; application deadline was January 18, 2022; 39 applicants —$15 million in Governor’s Fiscal Year 2023 proposed budget Alaska Statute 42.45.085(B)(PCE Excess Earnings) REF program sunsets on June 30, 2023 PCE Excess Earnings: $15 Million CAPITAL REQUEST: Renewable Energy Fund (REF) AEA Capital Budget Presentation | Senate and House Finance Committee| March 7, 2022 07 ~197 eligible communities Goal —improve power system efficiency, safety, and reliability Aging infrastructure and Operation and Maintenance Active projects —11 full and 40 Maintenance and Improvement / Diesel Emissions Reduction Act Deferred maintenance unmet is over $300 million Alaska Statute 42.45.085(B) (PCE Excess Earnings) PCE Excess Earnings: $10 Million Federal Receipt Authority: $10 Million CAPITALREQUEST: Rural Power System Upgrades AEA Capital Budget Presentation | Senate and House Finance Committee| March 7, 2022 08 VW Trust Agreement requires consistency with the terms of the agreement approved by the Trustee Allocation of VW Trust Interest Earnings is estimated at $400,000: -School Bus Replacement –65% -DERA Diesel Genset Replacement –15% -Electric Vehicle Infrastructure –15% -Public Transit Bus Replacement –5%Receipt Authority (Statutory Designated): $400,000 CAPITAL REQUEST: Volkswagen (VW) Settlement Interest Earnings AEA Capital Budget Presentation | Senate and House Finance Committee| March 7, 2022 09 Build out of Phase 2 and 3 of an EV fast-charging network on Alaska’s highway system and community-based Level 2 EV chargers to resolve range anxiety Capital request would be used to leverage federal match FY22 Supplemental General Fund: $1.5 Million CAPITAL REQUEST: Electric Vehicle Infrastructure AEA Capital Budget Presentation | Senate and House Finance Committee| March 7, 2022 10 813 W Northern Lights Blvd. Anchorage, AK 99503 Main: (907) 771-3000 Fax: (907) 771-3044 akenergyauthority.org @alaskaenergyauthority @alaskaenergyauthority Alaska Energy Authority AEA provides energy solutions to meet the unique needs of Alaska’s rural and urban communities. 11 From:Curtis W. Thayer To:Rep. Calvin Schrage Cc:"Rep. Bryce Edgmon"; Rep. Chris Tuck; Representative Tiffany Zulkosky; Rep. Matt Claman; Rep. George Rauscher; Rep. Zack Fields; Rep. James Kaufman; Curtis W. Thayer; Jennifer L. Bertolini; TW Patch Subject:AEA 2022.03.01 HB 358 Energy Committee Response.docx Date:Wednesday, March 2, 2022 12:51:27 PM Attachments:2022.03.01 HB 358 Energy Committee Response.pdf image001.png image002.png Mr., Chairman, Attached is the Energy Committee’s request for a “look back” regarding the cost of administering the Renewable Energy Grant Fund program. Please let me know if you need any additional information. Appreciate your efforts in advancing this legislation. Curtis Best Regards, Curtis W. Thayer Executive Director 813 W Northern Lights Boulevard, Anchorage AK 99503 (907) 771-3009 (office) (907) 744-4704 (cell) cthayer@akenergyauthority.org From: Jennifer L. Bertolini <JBertolini@akenergyauthority.org> Sent: Wednesday, March 2, 2022 12:43 PM To: Curtis W. Thayer <cthayer@akenergyauthority.org> Subject: 2022.03.01 HB 358 Energy Committee Response.docx 813 W Northern Lights Blvd, Anchorage, AK 99503  Phone: (907) 771-3000  Fax: (907) 771-3044  Email: info@akenergyauthority.org REDUCING THE COST OF ENERGY IN ALASKA AKENERGYAUTHORITY.ORG RGYAUTHORITY.ORG Renewable Energy Grant Fund 3 YR Look Back Alaska Energy Authority (AEA) program administration includes:  Program Management and oversight  Grant Management  Project Management  Technical Support  Accounting Support The costs of administrering the program are dependent on:  Program funding levels  Volume of active projects in a given year  Technical oversight required for new and existing Out year costs are dependent on those factors and therefore not known at this time. Alaska Energy Authority Renewable Energy Grant (38 Active Grants) Administrative Expenses YOY 2019-2021 No.Name FY19 FY20 FY21 72000 Travel 6,610.02$ 1,500.65$ 164.00$ 73000 Contractual 1,042,410.56$ 887,931.88$ 1,030,923.82$ 74000 Supplies 7,441.95$ 4,517.66$ 14,413.59$ 75000 Equipment & Other 1,759.67$ 2,311.09$ 1,728.89$ TOTAL 1,058,222.20$ 896,261.28$ 1,047,230.30$ Alaska Energy Authority Page 2 of 2 Renewable Energy Grant Fund FY 2021 Detail No.Name Net Change Balance 70000 State AR Expense 71002 Personal Services 72000 Travel 72508 Field Per Diem-In State 164.00 164.00 73000 Contractual 73115 Other Professional Services 104,282.28 104,282.28 73116 Other Professional Servc.-SOA 101,035.86 101,035.86 73141 Legal Services-SOA 1,232.79 1,232.79 73150 AIDEA Staff-Prof Services 786,335.38 786,335.38 73301 Telephone, Internet, and Cable 17,162.76 17,162.76 73302 Postage 1,997.90 1,997.90 73460 Freight & Express Charges 19.52 19.52 73502 Advertising/Printing/Binding 4,157.03 4,157.03 73503 Subscriptions & Info Services 6,731.24 6,731.24 73600 Building Utilities 6,520.38 6,520.38 73710 Other R&M 665.42 665.42 73900 Building Other 256.10 256.10 73903 Employee Tuition & Fees 264.66 264.66 73905 Recording Fees 262.50 262.50 74000 Supplies 74220 Stationery & Office Supplies 8,019.78 8,019.78 74221 Food Supplies 240.79 240.79 74560 Computer Commodities 3,031.42 3,031.42 74760 Vehicle R&M and Gas 779.74 779.74 74800 Materials & Supplies-Warehouse 1,726.69 1,726.69 74910 Other Supplies 615.17 615.17 75000 Equipment & Other 75050 Office Equipment & Furniture 1,728.89 1,728.89 79999 General & Admin Exp, Total 1,047,230.30 1,047,230.30 DATE DESCRIPTION AUDIENCE LOCATION TEAM MEMBERMarch 29, 2022 Legislative Hearing House Bill 271: AIDEA: Membership; Responsibilities Virtual Curtis W. ThayerMarch 25, 2022 AEA Dixon Overview Bradley Lake Project Management Committee In Person Bryan CareyMach 23, 2022 Attendee Thayer Creek Hydroelectric Funders Summit Virtual Curtis W. ThayerMarch 17, 2022 Legislative HearingSenate Finance Committee - Senate Bill 202: Renewable Energy Grant FundVirtual Curtis W. ThayerMarch 17, 2022 Legislative HearingHouse Energy Committee - House Bill 301: Utilities - Renewable Portfolio StandardVirtual Curtis W. ThayerMarch 16, 2022 AttendeeDepartment of Commerce, Community and Economic Development Budget OverviewVirtual Curtis W. ThayerMarch 15, 2022 AttendeeStatewide Comprehensive Economic Development Strategy Committee Kick-Off MeetingVirtual Curtis W. ThayerMarch 10, 2022 Attendee Special Bradley Lake Project Management Committee Meeting Virtual Curtis W. ThayerMarch 10, 2022 Legislative HearingHouse Ways & Means - House Bill 223: Repealing Funds, Accounts, and ProgramsVirtual Curtis W. ThayerMarch 10, 2022 Legislative HearingHouse Ways & Means Committee - House Bill 301: Renewable Energy PortfolioVirtual Curtis W. ThayerMarch 9, 2022 Media InterviewImpact of high oil and gas prices on Remote Villages for Alaska's News SourcesPhone Curtis W. ThayerMarch 9, 2022 AEA EV Update Presentation Alaska Municipal League Virtual Curtis W. ThayerMarch 8, 2022 House Bill 301 Overview Presentation House Energy Committee Virtual Curtis W. ThayerMarch 7, 2022 Capital Budget Presentation Senate and House Finance Committee Virtual Curtis W. ThayerMarch 3, 2022 Legislative HearingHouse Energy Committee - House Bill 247 and House Bill 358: Power Cost Equalization Fund; Renewable Energy Grant FundVirtual Curtis W. ThayerMarch 1, 2022 Brief RemarksAlaska Sustainable Energy Conference: Pre-Event Virtual Workshop Series - Hydrogen in AlaskaVirtual Curtis W. ThayerFebruary 25. 2022 AEA EV Partnership Presentation Department of Transportation In Person Curtis W. ThayerFebruary 23. 2022 AEA SB 179 PresentationSenate Labor & Commerce Committee - Senate Bill 179: Utilities: Renewable Portfolio StandardVirtualCurtis W. Thayer T.W. PatchFebruary 22, 2022 Legislative Hearing Senate Finance Budget Subcommittee Virtual Curtis W. ThayerAEA COMMUNITY OUTREACHUpdated on March 30, 2022 (6-Month Look Back)813 W Northern Lights Blvd, Anchorage, AK 99503 • Phone: (907) 771‐3000 • Fax: (907) 771‐3044 • Email: info@akenergyauthority.org • Web: akenergyauthority.org DATE DESCRIPTION AUDIENCE LOCATION TEAM MEMBERFebruary 21, 2022 Legislative HearingSenate Labor and Commerce Committee - Renewable Portfolio Standards BillVirtual Curtis W. ThayerFebruary 18, 2022 Seward Infrastructure Projects City of Seward Seward, AK Curtis W. ThayerFebruary 15, 2022 Legislative Hearing House Energy Committee - House Bill 247: Power Cost Equalization Virtual Curtis W. ThayerFebruary 11, 2022 Presenter NASEO Regional IIJA Roundtable Washington, DC Curtis W. ThayerFebruary 9, 2022 Attendee Southeast Conference Mid-Session Conference Juneau, AK Tim SandstromFebruary 9, 2022 Legislative HearingSenate Finance Committee - Senate Bill 154: Capital Budget (Supplemental) Virtual Curtis W. ThayerFebruary 9, 2022 AEA Update Presentation Southeast Conference Mid-Session Conference Virtual Curtis W. ThayerFebruary 9, 2022 AEA Dixon Overview Presentation Multi-Agency Partners Virtual Bryan CareyFebruary 9, 2022 Media Interview Summer Construction Forecast for Alaska Public Media Phone Tim SandstromFebruary 9, 2022 Speaker Alaska Forum on the Environment Virtual David LockardFebruary 8-11, 2022 Attendee NASEO Energy Policy Outlook Conference Washington, DC Curtis W. ThayerFebruary 7-8, 2022 AEA UpdateAlaska Congressional Delegation Meeting: Senator Murkowski, Senator Sullivan, and Congressman YoungWashington, DC Curtis W. ThayerFebruary 4, 2022 Legislative Hearing Senate Finance Committee Senate Bill 164 - Capital Budget Virtual Curtis W. ThayerFebruary 3, 2022 Legislative Hearing House Finance Committee - Infrastructure Investment and Jobs Act Virtual Curtis W. ThayerFebruary 2, 2022 AEA Update Presentation Alaska Power Association Legislative Conference Virtual Curtis W. ThayerFebruary 2, 2022 Legislative Hearing House Bill 283 and 285 Virtual Curtis W. ThayerFebruary 1-2, 2022 ModeratorAlaska Sustainable Energy Conference: Pre-Event Virtual Workshop Series - Nuclear Energy in AlaskaVirtual David LockardFebruary 1, 2022 Brief RemarksAlaska Sustainable Energy Conference: Pre-Event Virtual Workshop Series - Nuclear Energy in AlaskaVirtual Curtis W. ThayerJanuary 26, 2022 Attendee NASEO Regional Board Meeting Virtual Curtis W. ThayerJanuary 19, 2022 Attendee Anchorage C-PACE New Year ReceptionCowork by RSD Anchorage, AKCurtis W. ThayerT.W. PatchJanuary 20, 2022 Railbelt Meeting Berkshire Hathaway Energy/Utilities Virtual Curtis W. ThayerJanuary 19, 2022 Media InterviewInfrastructure Bill and Its Opportunities for Alaska for Alaska BusinessPhone Curtis W. ThayerJanuary 18, 2022 AEA EV Program Update Utilities Virtual Betsy McGregorJanuary 14, 2022 AEA Update Commissioner Corri Feige, Department of Natural Resources Phone Curtis W. ThayerJanuary 12, 2022 House Bill 223 Representative Kaufman Phone Curtis W. ThayerJanuary 11, 2022 AEA EV Program Update Department of Transportation Anchorage, AK Curtis W. ThayerAEA Community OutreachPage 2 of 3 DATE DESCRIPTION AUDIENCE LOCATION TEAM MEMBERJanuary 10, 2022 AEA Overview Denali Commission VirtualCurtis W. ThayerTim SandstromDecember 29, 2021 Media InquirySolar Energy Projects and REF for Arctic Sounder and Anchorage Daily NewsEmail Curtis W. ThayerDecember 16, 2021 AEA Owned-Assets Seward Electric Virtual Curtis W. ThayerDecember 14, 2021 AEA Overview McKinley Capital Management, LLC Virtual Curtis W. ThayerDecember 3, 2021 Media Inquiry Future State of Energy Policies for The Associated Press Email Curtis W. ThayerNovember 30, 2021 AEA Overview Sustainable Energy Class at UAF Bristol Bay Campus Virtual Taylor AsherNovember 18, 2021 AEA Overview Alaska Government Finance Officers AssociationHotel Captain Cook Anchorage, AKCurtis W. ThayerNovember 16, 2021 PCE OverviewAlaska Municipal League 71st Annual Local Government ConferenceHotel Captain Cook Anchorage, AKT.W. PatchNovember 15, 2021 AEA OverviewAlaska Municipal League 71st Annual Local Government ConferenceHotel Captain Cook Anchorage, AKTim SandstromNovember 11, 2021 Media Inquiry Electric Vehicles (EV) for Anchorage Daily News Email Curtis W. ThayerNovember 9, 2021AIDEA and AEA — Advancing Prosperity for AlaskansGreater Fairbanks Chamber of CommerceEvent Center & LoungeFairbanks, AKCurtis W. ThayerAlan WeitznerNovember 4, 2021 Media Inquiry EV Infrastructure for Anchorage Daily News Phone Curtis W. ThayerNovember 4, 2021 Media Inquiry Renewable Energy Projects for Alaska Economic Report Phone Curtis W. ThayerNovember 3, 2021 Media Inquiry Dixon Expansion Project for Petroleum News Phone Curtis W. ThayerNovember 2, 2021 Media Inquiry Renewable Energy for Alaska Economic Report Phone/Email Curtis W. ThayerOctober 27, 2021 Media Inquiry AEA Quote for FreeWire Technologies White Paper Email Curtis W. ThayerOctober 25-28, 2021 Presenter and Attendee 2021 Electrify Alaska! ConferenceThe Cordova Center Cordova, AKTaylor AsherConner EricksonOctober 19, 2021 Media Inquiry EV Supply and Use in Alaska for Alaska Business Email Curtis W. ThayerOctober 11-15, 2021 Attendee Regulatory Training for Public Utilities Albuquerque, New Mexico Curtis W. ThayerOctober 4, 2021 Media Inquiry EV Charger and Infrastructure for Alaska Economic Report Email Curtis W. ThayerAEA Community OutreachPage 3 of 3 DATE DESCRIPTION AUDIENCE LOCATION TEAM MEMBERMarch 29, 2022 Legislative Hearing House Bill 271: AIDEA: Membership; Responsibilities Virtual Curtis W. ThayerMarch 25, 2022 AEA Dixon Overview Bradley Lake Project Management Committee In Person Bryan CareyMach 23, 2022 Attendee Thayer Creek Hydroelectric Funders Summit Virtual Curtis W. ThayerMarch 17, 2022 Legislative HearingSenate Finance Committee - Senate Bill 202: Renewable Energy Grant FundVirtual Curtis W. ThayerMarch 17, 2022 Legislative HearingHouse Energy Committee - House Bill 301: Utilities - Renewable Portfolio StandardVirtual Curtis W. ThayerMarch 16, 2022 AttendeeDepartment of Commerce, Community and Economic Development Budget OverviewVirtual Curtis W. ThayerMarch 15, 2022 AttendeeStatewide Comprehensive Economic Development Strategy Committee Kick-Off MeetingVirtual Curtis W. ThayerMarch 10, 2022 Attendee Special Bradley Lake Project Management Committee Meeting Virtual Curtis W. ThayerMarch 10, 2022 Legislative HearingHouse Ways & Means - House Bill 223: Repealing Funds, Accounts, and ProgramsVirtual Curtis W. ThayerMarch 10, 2022 Legislative HearingHouse Ways & Means Committee - House Bill 301: Renewable Energy PortfolioVirtual Curtis W. ThayerMarch 9, 2022 Media InterviewImpact of high oil and gas prices on Remote Villages for Alaska's News SourcesPhone Curtis W. ThayerMarch 9, 2022 AEA EV Update Presentation Alaska Municipal League Virtual Curtis W. ThayerMarch 8, 2022 House Bill 301 Overview Presentation House Energy Committee Virtual Curtis W. ThayerMarch 7, 2022 Capital Budget Presentation Senate and House Finance Committee Virtual Curtis W. ThayerMarch 3, 2022 Legislative HearingHouse Energy Committee - House Bill 247 and House Bill 358: Power Cost Equalization Fund; Renewable Energy Grant FundVirtual Curtis W. ThayerMarch 1, 2022 Brief RemarksAlaska Sustainable Energy Conference: Pre-Event Virtual Workshop Series - Hydrogen in AlaskaVirtual Curtis W. ThayerFebruary 25. 2022 AEA EV Partnership Presentation Department of Transportation In Person Curtis W. ThayerFebruary 23. 2022 AEA SB 179 PresentationSenate Labor & Commerce Committee - Senate Bill 179: Utilities: Renewable Portfolio StandardVirtualCurtis W. Thayer T.W. PatchFebruary 22, 2022 Legislative Hearing Senate Finance Budget Subcommittee Virtual Curtis W. ThayerAEA COMMUNITY OUTREACHUpdated on March 30, 2022 (6-Month Look Back)813 W Northern Lights Blvd, Anchorage, AK 99503 • Phone: (907) 771‐3000 • Fax: (907) 771‐3044 • Email: info@akenergyauthority.org • Web: akenergyauthority.org DATE DESCRIPTION AUDIENCE LOCATION TEAM MEMBERFebruary 21, 2022 Legislative HearingSenate Labor and Commerce Committee - Renewable Portfolio Standards BillVirtual Curtis W. ThayerFebruary 18, 2022 Seward Infrastructure Projects City of Seward Seward, AK Curtis W. ThayerFebruary 15, 2022 Legislative Hearing House Energy Committee - House Bill 247: Power Cost Equalization Virtual Curtis W. ThayerFebruary 11, 2022 Presenter NASEO Regional IIJA Roundtable Washington, DC Curtis W. ThayerFebruary 9, 2022 Attendee Southeast Conference Mid-Session Conference Juneau, AK Tim SandstromFebruary 9, 2022 Legislative HearingSenate Finance Committee - Senate Bill 154: Capital Budget (Supplemental) Virtual Curtis W. ThayerFebruary 9, 2022 AEA Update Presentation Southeast Conference Mid-Session Conference Virtual Curtis W. ThayerFebruary 9, 2022 AEA Dixon Overview Presentation Multi-Agency Partners Virtual Bryan CareyFebruary 9, 2022 Media Interview Summer Construction Forecast for Alaska Public Media Phone Tim SandstromFebruary 9, 2022 Speaker Alaska Forum on the Environment Virtual David LockardFebruary 8-11, 2022 Attendee NASEO Energy Policy Outlook Conference Washington, DC Curtis W. ThayerFebruary 7-8, 2022 AEA UpdateAlaska Congressional Delegation Meeting: Senator Murkowski, Senator Sullivan, and Congressman YoungWashington, DC Curtis W. ThayerFebruary 4, 2022 Legislative Hearing Senate Finance Committee Senate Bill 164 - Capital Budget Virtual Curtis W. ThayerFebruary 3, 2022 Legislative Hearing House Finance Committee - Infrastructure Investment and Jobs Act Virtual Curtis W. ThayerFebruary 2, 2022 AEA Update Presentation Alaska Power Association Legislative Conference Virtual Curtis W. ThayerFebruary 2, 2022 Legislative Hearing House Bill 283 and 285 Virtual Curtis W. ThayerFebruary 1-2, 2022 ModeratorAlaska Sustainable Energy Conference: Pre-Event Virtual Workshop Series - Nuclear Energy in AlaskaVirtual David LockardFebruary 1, 2022 Brief RemarksAlaska Sustainable Energy Conference: Pre-Event Virtual Workshop Series - Nuclear Energy in AlaskaVirtual Curtis W. ThayerJanuary 26, 2022 Attendee NASEO Regional Board Meeting Virtual Curtis W. ThayerJanuary 19, 2022 Attendee Anchorage C-PACE New Year ReceptionCowork by RSD Anchorage, AKCurtis W. ThayerT.W. PatchJanuary 20, 2022 Railbelt Meeting Berkshire Hathaway Energy/Utilities Virtual Curtis W. ThayerJanuary 19, 2022 Media InterviewInfrastructure Bill and Its Opportunities for Alaska for Alaska BusinessPhone Curtis W. ThayerJanuary 18, 2022 AEA EV Program Update Utilities Virtual Betsy McGregorJanuary 14, 2022 AEA Update Commissioner Corri Feige, Department of Natural Resources Phone Curtis W. ThayerJanuary 12, 2022 House Bill 223 Representative Kaufman Phone Curtis W. ThayerJanuary 11, 2022 AEA EV Program Update Department of Transportation Anchorage, AK Curtis W. ThayerAEA Community OutreachPage 2 of 3 DATE DESCRIPTION AUDIENCE LOCATION TEAM MEMBERJanuary 10, 2022 AEA Overview Denali Commission VirtualCurtis W. ThayerTim SandstromDecember 29, 2021 Media InquirySolar Energy Projects and REF for Arctic Sounder and Anchorage Daily NewsEmail Curtis W. ThayerDecember 16, 2021 AEA Owned-Assets Seward Electric Virtual Curtis W. ThayerDecember 14, 2021 AEA Overview McKinley Capital Management, LLC Virtual Curtis W. ThayerDecember 3, 2021 Media Inquiry Future State of Energy Policies for The Associated Press Email Curtis W. ThayerNovember 30, 2021 AEA Overview Sustainable Energy Class at UAF Bristol Bay Campus Virtual Taylor AsherNovember 18, 2021 AEA Overview Alaska Government Finance Officers AssociationHotel Captain Cook Anchorage, AKCurtis W. ThayerNovember 16, 2021 PCE OverviewAlaska Municipal League 71st Annual Local Government ConferenceHotel Captain Cook Anchorage, AKT.W. PatchNovember 15, 2021 AEA OverviewAlaska Municipal League 71st Annual Local Government ConferenceHotel Captain Cook Anchorage, AKTim SandstromNovember 11, 2021 Media Inquiry Electric Vehicles (EV) for Anchorage Daily News Email Curtis W. ThayerNovember 9, 2021AIDEA and AEA — Advancing Prosperity for AlaskansGreater Fairbanks Chamber of CommerceEvent Center & LoungeFairbanks, AKCurtis W. ThayerAlan WeitznerNovember 4, 2021 Media Inquiry EV Infrastructure for Anchorage Daily News Phone Curtis W. ThayerNovember 4, 2021 Media Inquiry Renewable Energy Projects for Alaska Economic Report Phone Curtis W. ThayerNovember 3, 2021 Media Inquiry Dixon Expansion Project for Petroleum News Phone Curtis W. ThayerNovember 2, 2021 Media Inquiry Renewable Energy for Alaska Economic Report Phone/Email Curtis W. ThayerOctober 27, 2021 Media Inquiry AEA Quote for FreeWire Technologies White Paper Email Curtis W. ThayerOctober 25-28, 2021 Presenter and Attendee 2021 Electrify Alaska! ConferenceThe Cordova Center Cordova, AKTaylor AsherConner EricksonOctober 19, 2021 Media Inquiry EV Supply and Use in Alaska for Alaska Business Email Curtis W. ThayerOctober 11-15, 2021 Attendee Regulatory Training for Public Utilities Albuquerque, New Mexico Curtis W. ThayerOctober 4, 2021 Media Inquiry EV Charger and Infrastructure for Alaska Economic Report Email Curtis W. ThayerAEA Community OutreachPage 3 of 3 Page 2Alaska Legislative Digest No. 7/2022 Renewable energy standards, SB 172, up for hearing in Senate Labor and Commerce The governor’s SB 172, setting minimum renewable energy standards for Alaska electric utilities, was up for its first hearing last Thursday in the Senate Labor and Commerce Committee. This bill sets manda- tory standards to be met similar to those in 30 states and two U.S. territories. Standards would be en- forced by the Regulatory Commission of Alaska, or RCA, Curtis Thayer, executive director of the Alaska Energy Authority, told the committee. Gov. Mike Dunleavy wants utilities to make firm commitments to achieve 30 percent of power supplied by renewables statewide by 2030 and 80 percent by 2040. Thirty percent by 2030 is quite doable because the state is basically at 27 percent now with existing hydro and wind power, Thayer said, but the committee asked questions about how 80 percent can be achieved in the next 18 years. Construction of the Susitna hydro project would be a big step, getting the state from 27 percent to 58 percent. There are a lot of ways it could be done, including expansion of the existing Bradley Lake hydro project near Homer. Bradley Lake now supplies 10 percent of the South- central-Interior “railbelt” needs and an expansion could increase supply 16 percent to 17 percent, Thayer said. However, upgrades of transmission lines are needed to efficiently move expanded Bradley Lake or other renewable power. Bradley Lake now provides about 18 percent of power needs in Interior Alaska but the “line loss” of power transported over aged transmission lines results in costs of $500,000 annually to consumers along the railbelt, Thayer told the committee. Before introducing SB 172 the governor consulted with the Department of Energy’s National Renew- able Energy Laboratory, or NREL, who had developed a plan as to how 80 percent can be achieved, Thayer said. NREL will speak at a future hearing on the bill. The state now has renewable energy “goals” set in 2010 that include 50 percent renewable by 2025, but SB 172 puts teeth into this because the bench- marks will be set as requirements by the RCA. Utilities have yet to weigh in on this bill. The companion house bill, HB 301, is in the House Energy Committee and has not yet had a hearing. Microreactors still several years away even if Legislature approves HB 299 or SB 177 Legislators are very interested in the new-technology advanced microreactors, the governor’s HB 299 and SB 177 would streamline state permitting, and there are proposals for siting the facilities in Alaska, a 5 megawatt unit is proposed for Eielson Air Force Base and a larger unit in Valdez by Copper Valley Electric Assoc. However, it will be several years before one can be built because companies must still obtain licenses for the technology from the U.S. Nuclear Regulatory Commission, University of Alas- ka scientists told the Senate Labor and Commerce Committee Thursday. The cost of the power is still unknown. Right now Bradley Lake hydro is the cheapest in the state at 4 cents/kilowatt hour followed by natural gas at 7 cents to 9 cents/ kilowatt hour. Fire Island wind power is generated for 9.7 cents/ kilowatt hour, the Alaska Energy Authority told the Senate committee. . . . Energy . . . Page 2Alaska Legislative Digest No. 8/2022 . . . Infrastructure . . . – Continued on bottom, page 3 Guidelines on infrastructure funding coming, but slowly – Continued from top, page 1 The bulk of the new federal IIJA money is in transportation with much of it in established formula pro- grams in which there is little flexibility. Alaska is expected to get $664.3 million in federal Fiscal Year 2022, or FFY 2022 (Oct. 1-Sept. 30). That’s a $115.4 million increase from the $548.9 million allocated in FFY 2021. However, the $664.3 million expected next year will increase when an expected additional allocation of money for bridges, ferries and emergency relief and other adjustments are added. The in- crease is now estimated at $100 million but it may well be more, possibly an added $140 million to $150 million. DOT&PF expects to get a better estimate from the federal government on or before March 11, the data the continuing resolution expires and Congress is expected to pass the full year appropriation. Most of the money is in core federal highways program Meanwhile, most of the $664.3 million, or $337.3 million, is in the core federal national highway construction program where projects are listed in the five-year Surface Transportation and Improvement Program, or STIP. In addition to the national highways money there is a $8.9 million increase in surface transportation block grants (STGB), which has flexibility to make changes. Most new, non-formula pro- grams for Alaska in the IIJA (where the state has flexibility) are in the STGB program, which for Alaska include some new things like ice roads, seasonal road maintenance and rural ports and barge landings. However, a point made by DOTPF is that there is only a 6.7 percent increase in the block grant category in the IIJA compared with a 17.2 percent increase for the core national highway program. The one federal program with flexibility was given only a modest increase. It was also pointed out that the 6.7 percent increase appears offset by the estimated of 7.5 percent inflation this year. Bridges, ferry system, electric vehicle charging Outside of funds for the traditional highway program, what is known now is that $45 million will be available this year in new money for bridges and $25 million to $35 million to support ferry system op- erations. DOT&PF also told the Finance Committee that it was recently notified that $7.8 million will be available for an electric vehicle network. However, to obtain the electric vehicle money the state (like- ly the Alaska Energy Authority in coordination with DOT&PF) must develop an EV Deployment Plan showing the highway corridors with the charging stations. A complication is that the stations must be no more than 50 miles apart, which is a challenge for Alaska with its long-distance highways. An addition- al technical complication is that electricity supplied will have to be “stepped down” from high-voltage transmission to 240 volts for auto recharging. Charging sites must also contain, at minimum, 3 chargers and have a minimum “up” time for continuous service. The state is exploring exceptions to these rules due to extreme conditions in Alaska. Another new program in transportation this year is $17.9 million for a new “PROTECT” program intended to add resiliency to transportation infrastructure against natural Page 3Alaska Legislative Digest No. 8/2022 . . . Education/ Energy . . . events and extreme weather, such as protecting highways from climate-related rockfalls, coastal flooding, and earthquakes and to offer similar protection to communities, such as evacuation routes and access to emergency facilities. Guidance is expected on how these funds can be used including whether they can be available to communities, DOT&PF said. Rural lawmakers are interested in development of rural community docks, and these are eligible and fall under the $142 million available for transportation block grants ($7.1 million up from $133.3 million this year). The money can be used anywhere in the state, but it’s not a big pool of cash. “This is far more modest than what I expected,” Rep. Bryce Edgmon, I-Dillingham, said in the House Finance meeting. James Marks, DOT&PF’s director of planning, responded: “There will be a lot of money available through other avenues, outside the federal highway program, under which Alaska will benefit including the discretionary grants, one or two of which are virtually guaranteed.” House Democrats’ objections to pre-K bill a puzzle to supporters – Continued from bottom, page 1 The objections by several House Democrats to the bills expanding pre-K and early reading instruc- tion, in HB 185, are a puzzle to fellow Democrats who are supporters, like Sen. Tom Begich, D-Anch., and Rep. Chris Tuck, D-Anch., both sponsors of the bills. Rural legislators are objecting, they say, because the bills continue a framework of urban bias in education. However, they have not yet made counter-proposals other than those in another bill allowing tribal compacting for schools. That bill is also active in the Senate. There’s also worry about how the education department will implement the bill through regulations. Also, it’s possible some House members hope to leverage Senate Republicans and the governor on an inflation adjustment to the Base Student Allocation, the funding formula for schools, in HB 272 and 273. Senate President Peter Micciche and Majority Leader Shelly Hughes, as well as the governor, are supporters of the pre-K and reading bill. In the Senate’s work on its version of early learn- ing, SB 111, efforts are underway to put more support for indigenous language instruction in the bill. Support for expansion of CTE education in Senate Finance In last Friday’s overview session on SB 111 several senators, and education Commissioner Johnson, voiced support for Career and Technical Education, or CTE, in K-12 because of its track record in pro- ducing a higher overall graduation rate, particularly in rural schools. Sen. Click Bishop, R-Fairbanks, said there will be support for CTE in the budget when it comes before the committee. Sen. Natasha von Imhof said she supports a reintroduction of employer tax credits to support regional training centers. Infrastructure: New money added for resiliency – Continued from page 2 ‘Pretty dramatic increases’: High fuel prices expected to hit rural Alaska hard https://www.alaskasnewssource.com/2022/03/10/pretty-dramatic-increases-high-fuel-prices-expected-hit-rural-alaska-hard/ 1/3 JUNEAU, Alaska (KTUU) - High prices for gasoline, diesel and heating oil are expected to hit rural Alaska hard as communities make bulk fuel purchases. In Western Alaska, all goods are either delivered by barge or by plane. Fuel surcharges are added to shipping costs and those are projected to shoot up with the higher cost of energy. The first spring barge is set to come to Western Alaska in two weeks. Mike Poston, director of sales at Vitus Energy, LLC., explained that crude oil prices are 50% higher than they were in June last year. “The market should plan for increases in energy prices well over $1.50 per gallon higher than last fall,” he said through a prepared statement on March 1. ‘Pretty dramatic increases’: High fuel prices expected to hit rural Alaska hard https://www.alaskasnewssource.com/2022/03/10/pretty-dramatic-increases-high-fuel-prices-expected-hit-rural-alaska-hard/ 2/3 Eight days later, Vitus Energy said there had been another increase of 54 cents to the price per gallon of diesel and gasoline. “What we’re seeing is about the time the barges are going to load up and sail out west to begin deliveries, (it) looks like it’s going to be right at the peak of the market,” Poston said. “Or at least, so far, that looks like it’s going to be the peak of the market.” This price hike is occurring at exactly the wrong time for rural Alaska. Fuel will soon start to be delivered for use in summer. Tribal organizations, village corporations and local governments are also planning bulk fuel purchases that need to be made well in advance of fall deliveries for next winter. Poston said he’s hearing concern from small communities making fuel orders at these high price points with no sign that they will drop significantly. “We hear things like, ‘That’s going to blow our budget,’” he said. “We hear things like, ‘Oh my, that’s horrible.’” Eugene Asicksik, president of the Shaktoolik Native Corp., has been in conversations with members of the Norton Sound Economic Development Corp. about ordering a year’s worth of fuel to be delivered by supertanker to Shaktoolik and nearby communities. The order is set to be made by the end of the month, Asicksik said. He added that gasoline in Shaktoolik is already selling at $4.96 per gallon with tax. “The way projections are going, I would say you could just about double that,” he said. For dozens of communities, power bills could increase by 50%. The Alaska Village Electric Cooperative is the utility for 58 communities across rural Alaska, including the hub community of Bethel. The cooperative burns over 8 million gallons of diesel a year to power those communities. Bill Stamm, CEO of the cooperative, said it buys fuel futures, a million gallons at a time, to lock in a price for the months ahead. “We are buying at a fixed rate, in the anticipation that the rates, when we actually need the fuel, will be higher,” he said. “We’ve been doing a little bit of that and watching the crazy market as things go up and down with the cost of fuel recently.” ‘Pretty dramatic increases’: High fuel prices expected to hit rural Alaska hard https://www.alaskasnewssource.com/2022/03/10/pretty-dramatic-increases-high-fuel-prices-expected-hit-rural-alaska-hard/ 3/3 With the roller coaster in daily oil prices that shot up above $125 a barrel on Tuesday, and back down a little on Wednesday, Stamm stressed that making bulk fuel purchases is a “daily gamble.” But, there is help out there. The Alaska Department of Commerce, Community and Economic Development has a revolving loan fund for communities with 2,000 or fewer people to help make bulk fuel buys. The Power Cost Equalization program helps rural Alaska residents pay for their higher energy costs. Curtis Thayer, head of the Alaska Energy Authority, said there are no cash flow problems in getting relief out to eligible Alaskans. He, too, has been hearing stories from communities grappling with the impacts of higher fuel costs. “They’re seeing some pretty dramatic increases,” he said. The House of Representatives is debating whether to pay a $1,300 “energy relief check” in addition to a $1,250 Permanent Fund dividend. Across the Capitol, legislators expect a larger PFD will be paid in 2022 than in recent years. Gov. Mike Dunleavy spoke about higher fuel prices on Tuesday and their impact on rural Alaska. He said the PFD is the best way to disburse relief. Copyright 2022 KTUU. All rights reserved. Energy, Sanitation, Roads & More https://digital.akbizmag.com/issue/march-2022/energy-sanitation-roads-more/ 1/10 Since the Infrastructure Investment and Jobs Act (IIJA) was enacted in 2021, State of Alaska officials have been trying to understand how best to harness the windfall of federal resources. In January, department heads were completing written analyses of potential projects that could benefit from IIJA funds. So far, there are a lot of unknowns at the state level and for entities the bill affects, such as the Denali Commission and tribal governments. The IIJA mainly directs money to the state through existing channels, and it also sets up new and competitive funding sources and streamlines permitting for certain types of projects. “The majority of these funds will come through existing federal programs, but the legislation did establish a number of new discretionary grant programs for which Alaska should be competitive,” says Governor Mike Dunleavy’s Deputy Communications Director Jeff Turner. “It’s important to remember that only a portion of the money Alaska is expected to receive will come directly to the State, as many discretionary grant programs are open to tribes, local governments, and other entities.” The existing federal programs include the US Department of Transportation’s Surface Transportation Board, the Federal Aviation Administration’s Airport Improvement Program, the largely federally funded Village Safe Water program, and other similar programs. Energy, Sanitation, Roads & More https://digital.akbizmag.com/issue/march-2022/energy-sanitation-roads-more/ 2/10 The Alaska Legislature must authorize any funding coming directly to the State, but Turner says state officials were still awaiting guidance from federal officials about how to implement that authorization. As a result, some of the funding is unlikely to be allocated in this quarter. “We will continue to develop projections as information becomes available, but [the Dunleavy administration] will seek appropriation authority from the legislature for any new infrastructure funds we expect to receive in FY23 during the upcoming session,” he says. Energy, Sanitation, Roads & More https://digital.akbizmag.com/issue/march-2022/energy-sanitation-roads-more/ 3/10 Finding Clarity Some portions of the IIJA are unclear, and part of the work state leaders are doing is simply finding out what’s expected. “We saw a section of the bill that says they will be making determinations at one date but taking public comment at a later date,” says Alaska Energy Authority (AEA) Executive Director Curtis W. Thayer. “Due to its complexity and interrelated programs, each time we read the law we find additional nuances.” One crucial area Thayer is seeking clarity on has to do with electric vehicle (EV) charging infrastructure programs. The act includes $7.5 billion to build a network of EV fast-charging stations across the nation to support the Biden administration’s goal of having 500,000 EV charging stations to meet the projected 2030 EV market. Energy, Sanitation, Roads & More https://digital.akbizmag.com/issue/march-2022/energy-sanitation-roads-more/ 4/10 Figuring out where to place stations along an EV charging corridor is already difficult, Thayer says. For instance, the stretch of highway between Girdwood and Cooper Landing needs somewhere to recharge, but power is not available in Turnagain Pass. A larger puzzle is trying to understand how rural Alaska, far from the highway system, benefits from the EV funding program. Formula funds earmarked for each state to use on certain types of projects are available for EV charging stations connected to the highway system. Whether it also covers charging stations in communities off the highway system, like Nome or Kotzebue, Thayer can’t be sure. AEA sent a letter seeking clarification. Building Roads and Bridges The language in other areas of the IIJA seems straightforward. Alaska Department of Transportation and Public Facilities (DOT&PF) Commissioner Ryan Anderson says some funding was already rolling out in January, such as a $45 million bridge package. Anderson says the formula funds the state typically receives from the federal government—for building roads and bridges or making road corridors safer— will increase by between 20 and 30 percent, beginning this year. “We will spend those funds, starting this federal fiscal year. We have the shovel-ready projects those funds will get spent on,” he says. An uncomfortable reality that DOT&PF faces, however, is the likely effect that inflation will have on the additional funds. Although the IIJA provides a 30 to 40 percent increase in yearly transportation funding, the department anticipates higher steel and other material costs in the coming season may eat into the bonus. Discretionary funds are a different story, however. For those funds, Alaska competes like any other state. “There is a lot of money in the act for those discretionary grant funds,” Anderson says. A lot of the discretionary spending is in ports and harbors, so he hopes that critical projects, such as the roughly $1.6 billion project to modernize and repair the Port of Alaska in Anchorage, will obtain some of those discretionary funds. Energy, Sanitation, Roads & More https://digital.akbizmag.com/issue/march-2022/energy-sanitation-roads-more/ 5/10 “I would think the importance of that port to the Alaska transportation system—it’s critical for everyone, Anchorage, Fairbanks, and beyond to get their food and freight and everything else—will help,” Anderson says. Another bright spot is aviation. Airport construction spending will see a dramatic increase—more than 40 percent for some projects and up to 80 percent more funding for others. Anderson says the department will consult the Aviation Advisory Board regarding aviation priorities. Anderson is hopeful the IIJA will expedite construction on some projects and help the state get preliminary work done on others. “We’re already looking at advancing projects from 2023 to 2022 as a result of this act; that’s a real positive,” he says. The state generally funds projects according to the State Transportation Improvement Plan, or STIP, which defines the scope of projects, details their funding needs, and ranks them according to priority. The current four-year plan is about to expire and a new STIP is being created, Anderson says. That document will help determine where the infrastructure spending goes. Anderson says public comments will help make those decisions —a process that has already begun. The state conducted a survey in November, asking residents what transportation modes they use most often, what modes they prioritize, and where they would like to see improvements in the coming year. More than 1,700 Alaskans took the survey. Anderson says the state will consider those responses and other public comments in determining where to focus infrastructure spending. DOT&PF is also creating an interactive map on its website which will allow residents to drop a pin on a project or area that needs to be addressed and then comment in more detail about their selection Energy Boost For energy infrastructure, Thayer says the IIJA “cuts both ways.” While there are exciting possibilities, some aspects are disappointing. Energy, Sanitation, Roads & More https://digital.akbizmag.com/issue/march-2022/energy-sanitation-roads-more/ 6/10 For example, the AEA is interested in diverting more water into Bradley Lake north of Homer. The project would redirect water from Dixon Glacier to increase the annual energy output of Bradley Lake, already the largest source of hydroelectric power in the state. The diversion project has an estimated cost of about $250 million, but the IIJA includes only $200 million throughout the nation for hydroelectric projects. Similarly, needed power system upgrades in rural Alaska total about $300 million, and bulk fuel tank upgrade projects tally another $800 million. The IIJA funds neither of those project types. However, the IIJA could underwrite needed upgrades to the transmission line connecting Bradley Lake to Fairbanks. Those upgrades would allow the Bradley Lake diversion project to move forward, Thayer says—if the diversion project went forward prior to the transmission line upgrades, he explains, existing transmission lines wouldn’t be able to carry the extra power. Despite not having funds for rural bulk fuel and power systems from the IIJA, Thayer says AEA plans to go ahead with several upgrades anyway, using state funding. “Each year we identify communities for power system and bulk fuel tank upgrades,” he says. “We’re looking to our partners, the Denali Commission, to see if they can help us with that funding.” Energy, Sanitation, Roads & More https://digital.akbizmag.com/issue/march-2022/energy-sanitation-roads-more/ 7/10 Tossing Honeybuckets Standing to gain a clear benefit from the bill are rural Alaskans in communities currently lacking piped water and sewer. The IIJA aims to ensure those communities finally obtain modern plumbing. “We’re extremely excited about it,” says David Beveridge, the senior director of environmental health and engineering for Alaska Native Tribal Health Consortium (ANTHC). The IIJA includes $3.5 billion nationwide to improve and provide sanitation infrastructure for tribes across the nation. Beveridge says that number represents the entire need outlined through the Indian Health Service national data system. ANTHC and project managers with Village Safe Water work with communities to identify needs, determine project costs, and relay that data to Indian Health Service each year. Energy, Sanitation, Roads & More https://digital.akbizmag.com/issue/march-2022/energy-sanitation-roads-more/ 8/10 Beveridge says sanitation funds are spread over all five years. Alaska has about thirty communities currently without water and sewer service—most have a washeteria where people get water for home use, take showers, and wash clothing. That number is dynamic, he says; efforts to bring water and sewer service to some of those communities are already underway. ANTHC and other agencies have been working for decades to put honeybuckets in a museum, as the saying goes; these remaining communities represent the most difficult to provide service to, either due to geology—poor drainage, high water tables, or other issues—or geography, where homes are distant from each other. “Basically, to carry out these projects in the past, we’ve had to have a piecemeal approach. We get a couple million dollars a year, and it takes ten years to address it,” Beveridge says. Sanitation funding went first to projects where the per-home cost was relatively low. IIJA funding allows for a higher cost per home, allowing the projects to move forward, he says. Energy, Sanitation, Roads & More https://digital.akbizmag.com/issue/march-2022/energy-sanitation-roads-more/ 9/10 The sanitation funding also helps communities where the water and sewer system need repairs. Beveridge says almost every rural community needs some sort of upgrade to its sanitation system, so it’s likely the funding will ultimately be spent in all 190 rural communities ANTHC has in its inventory. These projects are vital, Beveridge says, because they have a direct effect on health. A study by ANTHC and the US Centers for Disease C ontrol and Prevention tracked hospitalization rates for infants in villages where fewer than 10 percent of homes have water service. The study found infants in communities without water service were eleven times more likely to be hospitalized with pneumonia compared to infants in the rest of the United States. They were also five times more likely to be hospitalized with a lower respiratory tract infection and five times more likely to be hospitalized with Respiratory Syncytial Virus, or RSV. “It’s really important that these facilities are constructed in the communities and that they continue to be in use, producing good water,” Beveridge says. Readying a Workforce With infrastructure cash already flowing, Associated General Contractors of Alaska (AGC) Executive Director Alicia Amberg says builders are making sure to have enough workers to bring these projects to fruition. “When the pandemic hit, Alaska was still pulling out of a recession. A lot of the workforce that many rely on in Alaska had moved to the Lower 48, particularly to the Pacific Northwest, which was seeing a boom,” Amberg says. Now Alaska is slightly behind the curve in terms of workforce readiness. Through a partnership with the Construction Industry Progress Fund, AGC of Alaska hopes to encourage more Alaskans to find work in the construction industry. “We launched this campaign in 2021 and have expanded the program and marketing budget significantly in 2022,” Amberg says. The campaign includes videos of craftworkers explaining why a career in construction has been helpful and how they have contributed to the nation’s economic recovery and remained an essential worker during the pandemic. Energy, Sanitation, Roads & More https://digital.akbizmag.com/issue/march-2022/energy-sanitation-roads-more/ 10/10 “We hope these videos will reach our target audience of recent high school grads looking for a viable long-term career path that doesn’t include college debt; we’re also hoping it reaches those who may have been looking for a career change or lost their job because of the pandemic and want a stable position within the Alaska construction industry,” Amberg says. “We’re also hoping to target influencers of people within those demographics,” she adds, “which includes parents, grandparents, career counselors, and others who have an influence on the decisions that younger students are making when considering their future.” With so much infrastructure cash sloshing around for the next five years, the construction sector can make a strong case for workers to follow the money. FOR IMMEDIATE RELEASE March 28, 2022 Railbelt Reliability Council Submits Application to the RCA After years of effort, the Railbelt Reliability Council (RRC), has filed an application with the Regulatory Commission of Alaska (RCA) to become the Electric Reliability Organization (ERO) for the largest interconnected electric system in the state, serving Alaskans from Homer to Fairbanks. “I am humbled to file this application on behalf of the diverse and dedicated group of stakeholders who comprise the RRC and the hundreds of thousands of Alaskans we collectively represent,” said Julie Estey, Director of External Affairs and Strategic Affairs with Matanuska Electric Association and Chair of the RRC. “With this submission we commit to continued collaboration, transparency, technical excellence, independence and inclusion as we work to meet the changing needs of the Railbelt electric system and the homes and businesses it serves.” The Railbelt Reliability Council is a diverse consortium of stakeholders interested in the Railbelt electric system, including electric utilities, independent power producers, state agencies, consumer and environmental advocates and independent members. If certified by the RCA as the ERO, the RRC will establish and enforce clear rules of reliable operation for all entities connected to the electrical network to maintain the current high level of reliability for electric power consumers and protect the system against cyber-attacks, natural disasters and other threats. The RRC will also conduct a public integrated resource planning process for the entire Railbelt. The resulting Integrated Resource Plan (IRP) will ensure the system’s evolving infrastructure needs are contemplated on a regional basis and that the plan is informed by a variety of perspectives. The RRC Implementation Committee, an informal group of volunteers, initially began work in July 2020 with the goal of forming the RRC as an ERO applicant. Throughout the 20-month process of developing this new organization, the Committee has been rooted in openness, collaboration, and technically strong work products that balance the diverse interests of the membership. “The RRC Implementation Committee was a collective of almost 30 volunteers that spent thousands of hours drafting the documents that will facilitate regional planning and reliability of the state’s largest electric grid,” said Suzanne Settle, Vice President of Energy, Land and Resources for Cook Inlet Regional Corporation (CIRI) and RRC Vice Chair. “Collectively, we are striving to generate synergies through regional planning that will ultimately lower the cost of electricity in support of a prosperous economy.” Concurrent to the RRC effort, the Regulatory Commission of Alaska (RCA) developed regulations that provide oversight of the ERO. These new regulations primarily address ERO application, governance, and reporting requirements along with provisions to ensure the necessary processes and technical skills. The requirement to form an ERO for the Railbelt was created by the legislature through passage of Senate Bill 123 in 2020. After more than a year and a half of pre-organizational meetings, the RRC Implementation Committee incorporated the RRC and the new corporation met for the first time on March 14 to install board members, elect officers and adopt corporate documents. On March 23, the RRC voted to approve and submit its ERO application to the RCA. The application can be found on the RCA website following this link: Regulatory Commission of Alaska - Docket: E-22-001. “The concept of a collaborative structure that brings a variety of diverse perspectives together for the benefit of the entire region has been discussed for decades and we couldn’t be happier to achieve this critical milestone,” said Estey. “The RRC appreciates the RCA’s consideration of our application and, if approved, we stand ready to fulfill the critical mission of the state’s first ERO.” Primary Contact: Julie Estey, RRC Chair (907) 355-4447 or julie.estey@mea.coop. More information: https://alaskapower.org/rrc/ 813 W Northern Lights Blvd, Anchorage, AK 99503  Phone (907) 771-3000  Fax: (907) 771-3044  Email: info@akenergyauthority.org REDUCING THE COST OF ENERGY IN ALASKA AKENERGYAUTHORITY.ORG RGYAUTHORITY.ORG PRESS RELEASE Brandy M. Dixon Communications Director (907) 771-3078 FOR IMMEDIATE RELEASE March 17, 2022 AEA Accepting Applications for Village Energy Efficiency Program Grants Energy Efficiency Grants Available for Rural Alaska (Anchorage) – The Alaska Energy Authority (AEA) is soliciting grant applications from eligible communities under a new Village Energy Efficiency Program (VEEP) initiative, funded by $500,000 from the Denali Commission. The Alaska Legislature established the VEEP grant program in 2010 to reduce per capita consumption through energy efficiency. The goal of VEEP is to implement energy and cost- saving efficiency measures in buildings and facilities in small, high-energy-cost Alaska communities. “Many rural Alaska communities have some of the highest fuel and energy costs in the nation,” said AEA Executive Director Curtis W. Thayer. “This funding will help communities improve energy efficiencies and lower energy costs while supporting community health and public safety. We are grateful to the Denali Commission for their continued support of AEA’s efforts to reduce energy costs for Alaskans.” Alaska communities with a population no greater than 8,000 residents are invited to apply. Recipients can use VEEP funding for a variety of needs, such as conducting energy audits, installing energy efficiency measures in public buildings and facilities such as heating and ventilation systems, electric systems, as well as street trail lighting, or other public infrastructure. Funds can also be used to establish energy conservation workplace policies, design and adopt programs for employees, and/or conduct public education to increase the implementation of efficiency measures in the community. The deadline to apply for VEEP funding is April 26, 2022. To view the funding opportunity announcement and grant application, visit akenergyauthority.org/veep. The Alaska Energy Authority is a public corporation of the state. Its mission is to reduce the cost of energy in Alaska. ### Page 2Alaska Legislative Digest No. 7/2022 Renewable energy standards, SB 172, up for hearing in Senate Labor and Commerce The governor’s SB 172, setting minimum renewable energy standards for Alaska electric utilities, was up for its first hearing last Thursday in the Senate Labor and Commerce Committee. This bill sets manda- tory standards to be met similar to those in 30 states and two U.S. territories. Standards would be en- forced by the Regulatory Commission of Alaska, or RCA, Curtis Thayer, executive director of the Alaska Energy Authority, told the committee. Gov. Mike Dunleavy wants utilities to make firm commitments to achieve 30 percent of power supplied by renewables statewide by 2030 and 80 percent by 2040. Thirty percent by 2030 is quite doable because the state is basically at 27 percent now with existing hydro and wind power, Thayer said, but the committee asked questions about how 80 percent can be achieved in the next 18 years. Construction of the Susitna hydro project would be a big step, getting the state from 27 percent to 58 percent. There are a lot of ways it could be done, including expansion of the existing Bradley Lake hydro project near Homer. Bradley Lake now supplies 10 percent of the South- central-Interior “railbelt” needs and an expansion could increase supply 16 percent to 17 percent, Thayer said. However, upgrades of transmission lines are needed to efficiently move expanded Bradley Lake or other renewable power. Bradley Lake now provides about 18 percent of power needs in Interior Alaska but the “line loss” of power transported over aged transmission lines results in costs of $500,000 annually to consumers along the railbelt, Thayer told the committee. Before introducing SB 172 the governor consulted with the Department of Energy’s National Renew- able Energy Laboratory, or NREL, who had developed a plan as to how 80 percent can be achieved, Thayer said. NREL will speak at a future hearing on the bill. The state now has renewable energy “goals” set in 2010 that include 50 percent renewable by 2025, but SB 172 puts teeth into this because the bench- marks will be set as requirements by the RCA. Utilities have yet to weigh in on this bill. The companion house bill, HB 301, is in the House Energy Committee and has not yet had a hearing. Microreactors still several years away even if Legislature approves HB 299 or SB 177 Legislators are very interested in the new-technology advanced microreactors, the governor’s HB 299 and SB 177 would streamline state permitting, and there are proposals for siting the facilities in Alaska, a 5 megawatt unit is proposed for Eielson Air Force Base and a larger unit in Valdez by Copper Valley Electric Assoc. However, it will be several years before one can be built because companies must still obtain licenses for the technology from the U.S. Nuclear Regulatory Commission, University of Alas- ka scientists told the Senate Labor and Commerce Committee Thursday. The cost of the power is still unknown. Right now Bradley Lake hydro is the cheapest in the state at 4 cents/kilowatt hour followed by natural gas at 7 cents to 9 cents/ kilowatt hour. Fire Island wind power is generated for 9.7 cents/ kilowatt hour, the Alaska Energy Authority told the Senate committee. . . . Energy . . . Page 2Alaska Legislative Digest No. 8/2022 . . . Infrastructure . . . – Continued on bottom, page 3 Guidelines on infrastructure funding coming, but slowly – Continued from top, page 1 The bulk of the new federal IIJA money is in transportation with much of it in established formula pro- grams in which there is little flexibility. Alaska is expected to get $664.3 million in federal Fiscal Year 2022, or FFY 2022 (Oct. 1-Sept. 30). That’s a $115.4 million increase from the $548.9 million allocated in FFY 2021. However, the $664.3 million expected next year will increase when an expected additional allocation of money for bridges, ferries and emergency relief and other adjustments are added. The in- crease is now estimated at $100 million but it may well be more, possibly an added $140 million to $150 million. DOT&PF expects to get a better estimate from the federal government on or before March 11, the data the continuing resolution expires and Congress is expected to pass the full year appropriation. Most of the money is in core federal highways program Meanwhile, most of the $664.3 million, or $337.3 million, is in the core federal national highway construction program where projects are listed in the five-year Surface Transportation and Improvement Program, or STIP. In addition to the national highways money there is a $8.9 million increase in surface transportation block grants (STGB), which has flexibility to make changes. Most new, non-formula pro- grams for Alaska in the IIJA (where the state has flexibility) are in the STGB program, which for Alaska include some new things like ice roads, seasonal road maintenance and rural ports and barge landings. However, a point made by DOTPF is that there is only a 6.7 percent increase in the block grant category in the IIJA compared with a 17.2 percent increase for the core national highway program. The one federal program with flexibility was given only a modest increase. It was also pointed out that the 6.7 percent increase appears offset by the estimated of 7.5 percent inflation this year. Bridges, ferry system, electric vehicle charging Outside of funds for the traditional highway program, what is known now is that $45 million will be available this year in new money for bridges and $25 million to $35 million to support ferry system op- erations. DOT&PF also told the Finance Committee that it was recently notified that $7.8 million will be available for an electric vehicle network. However, to obtain the electric vehicle money the state (like- ly the Alaska Energy Authority in coordination with DOT&PF) must develop an EV Deployment Plan showing the highway corridors with the charging stations. A complication is that the stations must be no more than 50 miles apart, which is a challenge for Alaska with its long-distance highways. An addition- al technical complication is that electricity supplied will have to be “stepped down” from high-voltage transmission to 240 volts for auto recharging. Charging sites must also contain, at minimum, 3 chargers and have a minimum “up” time for continuous service. The state is exploring exceptions to these rules due to extreme conditions in Alaska. Another new program in transportation this year is $17.9 million for a new “PROTECT” program intended to add resiliency to transportation infrastructure against natural Page 3Alaska Legislative Digest No. 8/2022 . . . Education/ Energy . . . events and extreme weather, such as protecting highways from climate-related rockfalls, coastal flooding, and earthquakes and to offer similar protection to communities, such as evacuation routes and access to emergency facilities. Guidance is expected on how these funds can be used including whether they can be available to communities, DOT&PF said. Rural lawmakers are interested in development of rural community docks, and these are eligible and fall under the $142 million available for transportation block grants ($7.1 million up from $133.3 million this year). The money can be used anywhere in the state, but it’s not a big pool of cash. “This is far more modest than what I expected,” Rep. Bryce Edgmon, I-Dillingham, said in the House Finance meeting. James Marks, DOT&PF’s director of planning, responded: “There will be a lot of money available through other avenues, outside the federal highway program, under which Alaska will benefit including the discretionary grants, one or two of which are virtually guaranteed.” House Democrats’ objections to pre-K bill a puzzle to supporters – Continued from bottom, page 1 The objections by several House Democrats to the bills expanding pre-K and early reading instruc- tion, in HB 185, are a puzzle to fellow Democrats who are supporters, like Sen. Tom Begich, D-Anch., and Rep. Chris Tuck, D-Anch., both sponsors of the bills. Rural legislators are objecting, they say, because the bills continue a framework of urban bias in education. However, they have not yet made counter-proposals other than those in another bill allowing tribal compacting for schools. That bill is also active in the Senate. There’s also worry about how the education department will implement the bill through regulations. Also, it’s possible some House members hope to leverage Senate Republicans and the governor on an inflation adjustment to the Base Student Allocation, the funding formula for schools, in HB 272 and 273. Senate President Peter Micciche and Majority Leader Shelly Hughes, as well as the governor, are supporters of the pre-K and reading bill. In the Senate’s work on its version of early learn- ing, SB 111, efforts are underway to put more support for indigenous language instruction in the bill. Support for expansion of CTE education in Senate Finance In last Friday’s overview session on SB 111 several senators, and education Commissioner Johnson, voiced support for Career and Technical Education, or CTE, in K-12 because of its track record in pro- ducing a higher overall graduation rate, particularly in rural schools. Sen. Click Bishop, R-Fairbanks, said there will be support for CTE in the budget when it comes before the committee. Sen. Natasha von Imhof said she supports a reintroduction of employer tax credits to support regional training centers. Infrastructure: New money added for resiliency – Continued from page 2 ‘Pretty dramatic increases’: High fuel prices expected to hit rural Alaska hard https://www.alaskasnewssource.com/2022/03/10/pretty-dramatic-increases-high-fuel-prices-expected-hit-rural-alaska-hard/ 1/3 JUNEAU, Alaska (KTUU) - High prices for gasoline, diesel and heating oil are expected to hit rural Alaska hard as communities make bulk fuel purchases. In Western Alaska, all goods are either delivered by barge or by plane. Fuel surcharges are added to shipping costs and those are projected to shoot up with the higher cost of energy. The first spring barge is set to come to Western Alaska in two weeks. Mike Poston, director of sales at Vitus Energy, LLC., explained that crude oil prices are 50% higher than they were in June last year. “The market should plan for increases in energy prices well over $1.50 per gallon higher than last fall,” he said through a prepared statement on March 1. ‘Pretty dramatic increases’: High fuel prices expected to hit rural Alaska hard https://www.alaskasnewssource.com/2022/03/10/pretty-dramatic-increases-high-fuel-prices-expected-hit-rural-alaska-hard/ 2/3 Eight days later, Vitus Energy said there had been another increase of 54 cents to the price per gallon of diesel and gasoline. “What we’re seeing is about the time the barges are going to load up and sail out west to begin deliveries, (it) looks like it’s going to be right at the peak of the market,” Poston said. “Or at least, so far, that looks like it’s going to be the peak of the market.” This price hike is occurring at exactly the wrong time for rural Alaska. Fuel will soon start to be delivered for use in summer. Tribal organizations, village corporations and local governments are also planning bulk fuel purchases that need to be made well in advance of fall deliveries for next winter. Poston said he’s hearing concern from small communities making fuel orders at these high price points with no sign that they will drop significantly. “We hear things like, ‘That’s going to blow our budget,’” he said. “We hear things like, ‘Oh my, that’s horrible.’” Eugene Asicksik, president of the Shaktoolik Native Corp., has been in conversations with members of the Norton Sound Economic Development Corp. about ordering a year’s worth of fuel to be delivered by supertanker to Shaktoolik and nearby communities. The order is set to be made by the end of the month, Asicksik said. He added that gasoline in Shaktoolik is already selling at $4.96 per gallon with tax. “The way projections are going, I would say you could just about double that,” he said. For dozens of communities, power bills could increase by 50%. The Alaska Village Electric Cooperative is the utility for 58 communities across rural Alaska, including the hub community of Bethel. The cooperative burns over 8 million gallons of diesel a year to power those communities. Bill Stamm, CEO of the cooperative, said it buys fuel futures, a million gallons at a time, to lock in a price for the months ahead. “We are buying at a fixed rate, in the anticipation that the rates, when we actually need the fuel, will be higher,” he said. “We’ve been doing a little bit of that and watching the crazy market as things go up and down with the cost of fuel recently.” ‘Pretty dramatic increases’: High fuel prices expected to hit rural Alaska hard https://www.alaskasnewssource.com/2022/03/10/pretty-dramatic-increases-high-fuel-prices-expected-hit-rural-alaska-hard/ 3/3 With the roller coaster in daily oil prices that shot up above $125 a barrel on Tuesday, and back down a little on Wednesday, Stamm stressed that making bulk fuel purchases is a “daily gamble.” But, there is help out there. The Alaska Department of Commerce, Community and Economic Development has a revolving loan fund for communities with 2,000 or fewer people to help make bulk fuel buys. The Power Cost Equalization program helps rural Alaska residents pay for their higher energy costs. Curtis Thayer, head of the Alaska Energy Authority, said there are no cash flow problems in getting relief out to eligible Alaskans. He, too, has been hearing stories from communities grappling with the impacts of higher fuel costs. “They’re seeing some pretty dramatic increases,” he said. The House of Representatives is debating whether to pay a $1,300 “energy relief check” in addition to a $1,250 Permanent Fund dividend. Across the Capitol, legislators expect a larger PFD will be paid in 2022 than in recent years. Gov. Mike Dunleavy spoke about higher fuel prices on Tuesday and their impact on rural Alaska. He said the PFD is the best way to disburse relief. Copyright 2022 KTUU. All rights reserved. Energy, Sanitation, Roads & More https://digital.akbizmag.com/issue/march-2022/energy-sanitation-roads-more/ 1/10 Since the Infrastructure Investment and Jobs Act (IIJA) was enacted in 2021, State of Alaska officials have been trying to understand how best to harness the windfall of federal resources. In January, department heads were completing written analyses of potential projects that could benefit from IIJA funds. So far, there are a lot of unknowns at the state level and for entities the bill affects, such as the Denali Commission and tribal governments. The IIJA mainly directs money to the state through existing channels, and it also sets up new and competitive funding sources and streamlines permitting for certain types of projects. “The majority of these funds will come through existing federal programs, but the legislation did establish a number of new discretionary grant programs for which Alaska should be competitive,” says Governor Mike Dunleavy’s Deputy Communications Director Jeff Turner. “It’s important to remember that only a portion of the money Alaska is expected to receive will come directly to the State, as many discretionary grant programs are open to tribes, local governments, and other entities.” The existing federal programs include the US Department of Transportation’s Surface Transportation Board, the Federal Aviation Administration’s Airport Improvement Program, the largely federally funded Village Safe Water program, and other similar programs. Energy, Sanitation, Roads & More https://digital.akbizmag.com/issue/march-2022/energy-sanitation-roads-more/ 2/10 The Alaska Legislature must authorize any funding coming directly to the State, but Turner says state officials were still awaiting guidance from federal officials about how to implement that authorization. As a result, some of the funding is unlikely to be allocated in this quarter. “We will continue to develop projections as information becomes available, but [the Dunleavy administration] will seek appropriation authority from the legislature for any new infrastructure funds we expect to receive in FY23 during the upcoming session,” he says. Energy, Sanitation, Roads & More https://digital.akbizmag.com/issue/march-2022/energy-sanitation-roads-more/ 3/10 Finding Clarity Some portions of the IIJA are unclear, and part of the work state leaders are doing is simply finding out what’s expected. “We saw a section of the bill that says they will be making determinations at one date but taking public comment at a later date,” says Alaska Energy Authority (AEA) Executive Director Curtis W. Thayer. “Due to its complexity and interrelated programs, each time we read the law we find additional nuances.” One crucial area Thayer is seeking clarity on has to do with electric vehicle (EV) charging infrastructure programs. The act includes $7.5 billion to build a network of EV fast-charging stations across the nation to support the Biden administration’s goal of having 500,000 EV charging stations to meet the projected 2030 EV market. Energy, Sanitation, Roads & More https://digital.akbizmag.com/issue/march-2022/energy-sanitation-roads-more/ 4/10 Figuring out where to place stations along an EV charging corridor is already difficult, Thayer says. For instance, the stretch of highway between Girdwood and Cooper Landing needs somewhere to recharge, but power is not available in Turnagain Pass. A larger puzzle is trying to understand how rural Alaska, far from the highway system, benefits from the EV funding program. Formula funds earmarked for each state to use on certain types of projects are available for EV charging stations connected to the highway system. Whether it also covers charging stations in communities off the highway system, like Nome or Kotzebue, Thayer can’t be sure. AEA sent a letter seeking clarification. Building Roads and Bridges The language in other areas of the IIJA seems straightforward. Alaska Department of Transportation and Public Facilities (DOT&PF) Commissioner Ryan Anderson says some funding was already rolling out in January, such as a $45 million bridge package. Anderson says the formula funds the state typically receives from the federal government—for building roads and bridges or making road corridors safer— will increase by between 20 and 30 percent, beginning this year. “We will spend those funds, starting this federal fiscal year. We have the shovel-ready projects those funds will get spent on,” he says. An uncomfortable reality that DOT&PF faces, however, is the likely effect that inflation will have on the additional funds. Although the IIJA provides a 30 to 40 percent increase in yearly transportation funding, the department anticipates higher steel and other material costs in the coming season may eat into the bonus. Discretionary funds are a different story, however. For those funds, Alaska competes like any other state. “There is a lot of money in the act for those discretionary grant funds,” Anderson says. A lot of the discretionary spending is in ports and harbors, so he hopes that critical projects, such as the roughly $1.6 billion project to modernize and repair the Port of Alaska in Anchorage, will obtain some of those discretionary funds. Energy, Sanitation, Roads & More https://digital.akbizmag.com/issue/march-2022/energy-sanitation-roads-more/ 5/10 “I would think the importance of that port to the Alaska transportation system—it’s critical for everyone, Anchorage, Fairbanks, and beyond to get their food and freight and everything else—will help,” Anderson says. Another bright spot is aviation. Airport construction spending will see a dramatic increase—more than 40 percent for some projects and up to 80 percent more funding for others. Anderson says the department will consult the Aviation Advisory Board regarding aviation priorities. Anderson is hopeful the IIJA will expedite construction on some projects and help the state get preliminary work done on others. “We’re already looking at advancing projects from 2023 to 2022 as a result of this act; that’s a real positive,” he says. The state generally funds projects according to the State Transportation Improvement Plan, or STIP, which defines the scope of projects, details their funding needs, and ranks them according to priority. The current four-year plan is about to expire and a new STIP is being created, Anderson says. That document will help determine where the infrastructure spending goes. Anderson says public comments will help make those decisions —a process that has already begun. The state conducted a survey in November, asking residents what transportation modes they use most often, what modes they prioritize, and where they would like to see improvements in the coming year. More than 1,700 Alaskans took the survey. Anderson says the state will consider those responses and other public comments in determining where to focus infrastructure spending. DOT&PF is also creating an interactive map on its website which will allow residents to drop a pin on a project or area that needs to be addressed and then comment in more detail about their selection Energy Boost For energy infrastructure, Thayer says the IIJA “cuts both ways.” While there are exciting possibilities, some aspects are disappointing. Energy, Sanitation, Roads & More https://digital.akbizmag.com/issue/march-2022/energy-sanitation-roads-more/ 6/10 For example, the AEA is interested in diverting more water into Bradley Lake north of Homer. The project would redirect water from Dixon Glacier to increase the annual energy output of Bradley Lake, already the largest source of hydroelectric power in the state. The diversion project has an estimated cost of about $250 million, but the IIJA includes only $200 million throughout the nation for hydroelectric projects. Similarly, needed power system upgrades in rural Alaska total about $300 million, and bulk fuel tank upgrade projects tally another $800 million. The IIJA funds neither of those project types. However, the IIJA could underwrite needed upgrades to the transmission line connecting Bradley Lake to Fairbanks. Those upgrades would allow the Bradley Lake diversion project to move forward, Thayer says—if the diversion project went forward prior to the transmission line upgrades, he explains, existing transmission lines wouldn’t be able to carry the extra power. Despite not having funds for rural bulk fuel and power systems from the IIJA, Thayer says AEA plans to go ahead with several upgrades anyway, using state funding. “Each year we identify communities for power system and bulk fuel tank upgrades,” he says. “We’re looking to our partners, the Denali Commission, to see if they can help us with that funding.” Energy, Sanitation, Roads & More https://digital.akbizmag.com/issue/march-2022/energy-sanitation-roads-more/ 7/10 Tossing Honeybuckets Standing to gain a clear benefit from the bill are rural Alaskans in communities currently lacking piped water and sewer. The IIJA aims to ensure those communities finally obtain modern plumbing. “We’re extremely excited about it,” says David Beveridge, the senior director of environmental health and engineering for Alaska Native Tribal Health Consortium (ANTHC). The IIJA includes $3.5 billion nationwide to improve and provide sanitation infrastructure for tribes across the nation. Beveridge says that number represents the entire need outlined through the Indian Health Service national data system. ANTHC and project managers with Village Safe Water work with communities to identify needs, determine project costs, and relay that data to Indian Health Service each year. Energy, Sanitation, Roads & More https://digital.akbizmag.com/issue/march-2022/energy-sanitation-roads-more/ 8/10 Beveridge says sanitation funds are spread over all five years. Alaska has about thirty communities currently without water and sewer service—most have a washeteria where people get water for home use, take showers, and wash clothing. That number is dynamic, he says; efforts to bring water and sewer service to some of those communities are already underway. ANTHC and other agencies have been working for decades to put honeybuckets in a museum, as the saying goes; these remaining communities represent the most difficult to provide service to, either due to geology—poor drainage, high water tables, or other issues—or geography, where homes are distant from each other. “Basically, to carry out these projects in the past, we’ve had to have a piecemeal approach. We get a couple million dollars a year, and it takes ten years to address it,” Beveridge says. Sanitation funding went first to projects where the per-home cost was relatively low. IIJA funding allows for a higher cost per home, allowing the projects to move forward, he says. Energy, Sanitation, Roads & More https://digital.akbizmag.com/issue/march-2022/energy-sanitation-roads-more/ 9/10 The sanitation funding also helps communities where the water and sewer system need repairs. Beveridge says almost every rural community needs some sort of upgrade to its sanitation system, so it’s likely the funding will ultimately be spent in all 190 rural communities ANTHC has in its inventory. These projects are vital, Beveridge says, because they have a direct effect on health. A study by ANTHC and the US Centers for Disease C ontrol and Prevention tracked hospitalization rates for infants in villages where fewer than 10 percent of homes have water service. The study found infants in communities without water service were eleven times more likely to be hospitalized with pneumonia compared to infants in the rest of the United States. They were also five times more likely to be hospitalized with a lower respiratory tract infection and five times more likely to be hospitalized with Respiratory Syncytial Virus, or RSV. “It’s really important that these facilities are constructed in the communities and that they continue to be in use, producing good water,” Beveridge says. Readying a Workforce With infrastructure cash already flowing, Associated General Contractors of Alaska (AGC) Executive Director Alicia Amberg says builders are making sure to have enough workers to bring these projects to fruition. “When the pandemic hit, Alaska was still pulling out of a recession. A lot of the workforce that many rely on in Alaska had moved to the Lower 48, particularly to the Pacific Northwest, which was seeing a boom,” Amberg says. Now Alaska is slightly behind the curve in terms of workforce readiness. Through a partnership with the Construction Industry Progress Fund, AGC of Alaska hopes to encourage more Alaskans to find work in the construction industry. “We launched this campaign in 2021 and have expanded the program and marketing budget significantly in 2022,” Amberg says. The campaign includes videos of craftworkers explaining why a career in construction has been helpful and how they have contributed to the nation’s economic recovery and remained an essential worker during the pandemic. Energy, Sanitation, Roads & More https://digital.akbizmag.com/issue/march-2022/energy-sanitation-roads-more/ 10/10 “We hope these videos will reach our target audience of recent high school grads looking for a viable long-term career path that doesn’t include college debt; we’re also hoping it reaches those who may have been looking for a career change or lost their job because of the pandemic and want a stable position within the Alaska construction industry,” Amberg says. “We’re also hoping to target influencers of people within those demographics,” she adds, “which includes parents, grandparents, career counselors, and others who have an influence on the decisions that younger students are making when considering their future.” With so much infrastructure cash sloshing around for the next five years, the construction sector can make a strong case for workers to follow the money. FOR IMMEDIATE RELEASE March 28, 2022 Railbelt Reliability Council Submits Application to the RCA After years of effort, the Railbelt Reliability Council (RRC), has filed an application with the Regulatory Commission of Alaska (RCA) to become the Electric Reliability Organization (ERO) for the largest interconnected electric system in the state, serving Alaskans from Homer to Fairbanks. “I am humbled to file this application on behalf of the diverse and dedicated group of stakeholders who comprise the RRC and the hundreds of thousands of Alaskans we collectively represent,” said Julie Estey, Director of External Affairs and Strategic Affairs with Matanuska Electric Association and Chair of the RRC. “With this submission we commit to continued collaboration, transparency, technical excellence, independence and inclusion as we work to meet the changing needs of the Railbelt electric system and the homes and businesses it serves.” The Railbelt Reliability Council is a diverse consortium of stakeholders interested in the Railbelt electric system, including electric utilities, independent power producers, state agencies, consumer and environmental advocates and independent members. If certified by the RCA as the ERO, the RRC will establish and enforce clear rules of reliable operation for all entities connected to the electrical network to maintain the current high level of reliability for electric power consumers and protect the system against cyber-attacks, natural disasters and other threats. The RRC will also conduct a public integrated resource planning process for the entire Railbelt. The resulting Integrated Resource Plan (IRP) will ensure the system’s evolving infrastructure needs are contemplated on a regional basis and that the plan is informed by a variety of perspectives. The RRC Implementation Committee, an informal group of volunteers, initially began work in July 2020 with the goal of forming the RRC as an ERO applicant. Throughout the 20-month process of developing this new organization, the Committee has been rooted in openness, collaboration, and technically strong work products that balance the diverse interests of the membership. “The RRC Implementation Committee was a collective of almost 30 volunteers that spent thousands of hours drafting the documents that will facilitate regional planning and reliability of the state’s largest electric grid,” said Suzanne Settle, Vice President of Energy, Land and Resources for Cook Inlet Regional Corporation (CIRI) and RRC Vice Chair. “Collectively, we are striving to generate synergies through regional planning that will ultimately lower the cost of electricity in support of a prosperous economy.” Concurrent to the RRC effort, the Regulatory Commission of Alaska (RCA) developed regulations that provide oversight of the ERO. These new regulations primarily address ERO application, governance, and reporting requirements along with provisions to ensure the necessary processes and technical skills. The requirement to form an ERO for the Railbelt was created by the legislature through passage of Senate Bill 123 in 2020. After more than a year and a half of pre-organizational meetings, the RRC Implementation Committee incorporated the RRC and the new corporation met for the first time on March 14 to install board members, elect officers and adopt corporate documents. On March 23, the RRC voted to approve and submit its ERO application to the RCA. The application can be found on the RCA website following this link: Regulatory Commission of Alaska - Docket: E-22-001. “The concept of a collaborative structure that brings a variety of diverse perspectives together for the benefit of the entire region has been discussed for decades and we couldn’t be happier to achieve this critical milestone,” said Estey. “The RRC appreciates the RCA’s consideration of our application and, if approved, we stand ready to fulfill the critical mission of the state’s first ERO.” Primary Contact: Julie Estey, RRC Chair (907) 355-4447 or julie.estey@mea.coop. More information: https://alaskapower.org/rrc/ 813 W Northern Lights Blvd, Anchorage, AK 99503  Phone (907) 771-3000  Fax: (907) 771-3044  Email: info@akenergyauthority.org REDUCING THE COST OF ENERGY IN ALASKA AKENERGYAUTHORITY.ORG RGYAUTHORITY.ORG PRESS RELEASE Brandy M. Dixon Communications Director (907) 771-3078 FOR IMMEDIATE RELEASE March 17, 2022 AEA Accepting Applications for Village Energy Efficiency Program Grants Energy Efficiency Grants Available for Rural Alaska (Anchorage) – The Alaska Energy Authority (AEA) is soliciting grant applications from eligible communities under a new Village Energy Efficiency Program (VEEP) initiative, funded by $500,000 from the Denali Commission. The Alaska Legislature established the VEEP grant program in 2010 to reduce per capita consumption through energy efficiency. The goal of VEEP is to implement energy and cost- saving efficiency measures in buildings and facilities in small, high-energy-cost Alaska communities. “Many rural Alaska communities have some of the highest fuel and energy costs in the nation,” said AEA Executive Director Curtis W. Thayer. “This funding will help communities improve energy efficiencies and lower energy costs while supporting community health and public safety. We are grateful to the Denali Commission for their continued support of AEA’s efforts to reduce energy costs for Alaskans.” Alaska communities with a population no greater than 8,000 residents are invited to apply. Recipients can use VEEP funding for a variety of needs, such as conducting energy audits, installing energy efficiency measures in public buildings and facilities such as heating and ventilation systems, electric systems, as well as street trail lighting, or other public infrastructure. Funds can also be used to establish energy conservation workplace policies, design and adopt programs for employees, and/or conduct public education to increase the implementation of efficiency measures in the community. The deadline to apply for VEEP funding is April 26, 2022. To view the funding opportunity announcement and grant application, visit akenergyauthority.org/veep. The Alaska Energy Authority is a public corporation of the state. Its mission is to reduce the cost of energy in Alaska. ###