HomeMy WebLinkAboutEva Creek Wind Turbine Purchase 2010 Application
Renewable Energy Fund Round IV
Grant Application
AEA 11-005 Application Page 1 of 45 7/21/2010
Application Forms and Instructions
The following forms and instructions are provided to assist you in preparing your application for
a Renewable Energy Fund Grant. An electronic version of the Request for Applications (RFA)
and the forms are available online at: http://www.akenergyauthority.org/RE_Fund-IV.html
Grant Application
Form
GrantApp4.doc Application form in MS Word that includes an outline
of information required to submit a complete
application. Applicants should use the form to assure
all information is provided and attach additional
information as required.
Application Cost
Worksheet
Costworksheet4.doc Summary of Cost information that should be
addressed by applicants in preparing their application.
Grant Budget Form GrantBudget4.doc A detailed grant budget that includes a breakdown of
costs by milestone and a summary of funds available
and requested to complete the work for which funds
are being requested.
Grant Budget Form
Instructions
GrantBudgetInstructions4.pdf Instructions for completing the above grant budget
form.
• If you are applying for grants for more than one project, provide separate application
forms for each project.
• Multiple phases for the same project may be submitted as one application.
• If you are applying for grant funding for more than one phase of a project, provide
milestones and grant budget for completion of each phase.
• If some work has already been completed on your project and you are requesting
funding for an advanced phase, submit information sufficient to demonstrate that the
preceding phases are satisfied and funding for an advanced phase is warranted.
• If you have additional information or reports you would like the Authority to consider in
reviewing your application, either provide an electronic version of the document with
your submission or reference a web link where it can be downloaded or reviewed.
REMINDER:
• Alaska Energy Authority is subject to the Public Records Act AS 40.25, and materials
submitted to the Authority may be subject to disclosure requirements under the act if no
statutory exemptions apply.
• All applications received will be posted on the Authority web site after final
recommendations are made to the legislature.
• In accordance with 3 AAC 107.630 (b) Applicants may request trade secrets or
proprietary company data be kept confidential subject to review and approval by the
Authority. If you want information is to be kept confidential the applicant must:
o Request the information be kept confidential.
o Clearly identify the information that is the trade secret or proprietary in their
application.
o Receive concurrence from the Authority that the information will be kept
confidential. If the Authority determines it is not confidential it will be treated as a
public record in accordance with AS 40.25 or returned to the applicant upon
request.
Renewable Energy Fund
Grant Application Round IV
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SECTION 1 – APPLICANT INFORMATION
Name (Name of utility, IPP, or government entity submitting proposal)
Golden Valley Electric Association
Type of Entity:
Non-Profit Cooperative Electric Utility
Mailing Address
P.O. Box 71249
Fairbanks, AK 99707
Physical Address
758 Illinois Street
Fairbanks, AK 99701
Telephone
452-1151
Fax
Email
1.1 APPLICANT POINT OF CONTACT / GRANTS MANAGER
Name
Mike Wright
Greg Wyman
Title
VP, Transmission & Distribution
Manager of Construction Services
Mailing Address
P.O. Box 71249
Fairbanks, Alaska 99707
Telephone
(907)451-5679
(907) 451-5629
Fax
Email
mjw@gvea.com
gew@gvea.com
1.2 APPLICANT MINIMUM REQUIREMENTS
Please check as appropriate. If you do not to meet the minimum applicant requirements, your
application will be rejected.
1.2.1 As an Applicant, we are: (put an X in the appropriate box)
X An electric utility holding a certificate of public convenience and necessity under AS
42.05, or
An independent power producer in accordance with 3 AAC 107.695 (a) (1), or
A local government, or
A governmental entity (which includes tribal councils and housing authorities);
Yes 1.2.2. Attached to this application is formal approval and endorsement for its project by
its board of directors, executive management, or other governing authority. If the
applicant is a collaborative grouping, a formal approval from each participant’s
governing authority is necessary. (Indicate Yes or No in the box )
Yes 1.2.3. As an applicant, we have administrative and financial management systems and
follow procurement standards that comply with the standards set forth in the grant
agreement.
Yes 1.2.4. If awarded the grant, we can comply with all terms and conditions of the attached
grant form. (Any exceptions should be clearly noted and submitted with the
application.)
Yes
1.2.5 We intend to own and operate any project that may be constructed with grant
funds for the benefit of the general public.
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SECTION 2 – PROJECT SUMMARY
This is intended to be no more than a 1-2 page overview of your project.
2.1 Project Title – (Provide a 4 to 5 word title for your project)
Eva Creek Wind Turbine Purchase
2.2 Project Location –
Include the physical location of your project and name(s) of the community or communities that will
benefit from your project.
The project site is located on the east side of the Nenana River near Ferry, Alaska. It
will benefit members of the GVEA Cooperative in the communities served by GVEA.
These communities include Cantwell, Healy, Ferry, Anderson, Nenana, Ester, Fox,
Fairbanks, Ft. Wainwright, North Pole, Eielson AFB, Salcha, Ft. Greely, and Delta
Junction.
2.3 PROJECT TYPE
Put X in boxes as appropriate
2.3.1 Renewable Resource Type
X Wind Biomass or Biofuels
Hydro, including run of river Transmission of Renewable Energy
Geothermal, including Heat Pumps Small Natural Gas
Heat Recovery from existing sources Hydrokinetic
Solar Storage of Renewable
Other (Describe)
2.3.2 Proposed Grant Funded Phase(s) for this Request (Check all that apply)
Reconnaissance Design and Permitting
Feasibility X Construction and Commissioning
Conceptual Design
2.4 PROJECT DESCRIPTION
Provide a brief one paragraph description of your proposed project.
GVEA plans to award the EPC contract and a Wind Turbine Purchase contract in April,
2011. The Wind Turbine Purchase contract will require a 10% down payment based on
discussions with possible wind turbine suppliers. GVEA will be purchasing 12 – 24 wind
turbines depending on the results of a wind turbine evaluation. The turbines under
review are sized from 1 – 2.2 MW. The total planned output of the Eva Creek Project is
24 MW.
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2.5 PROJECT BENEFIT
Briefly discuss the financial and public benefits that will result from this project, (such as reduced fuel
costs, lower energy costs, etc.)
The overall benefit of the Eva Creek Wind project is the reduced reliance on oil fired
generation for GVEA and its members. The cost of power from the project will be rate
neutral or result in a slight reduction of the cost of power based on the current and
projected price of oil. If carbon taxes are implemented in the future the cost saving to
GVEA and its member will increase based on the amount of fossil fuel that is off-set by
the wind farm and the tax rate. The reduction in oil fired local generation in Fairbanks
also helps with the air quality issues currently facing the Fairbanks North Star Borough.
2.6 PROJECT BUDGET OVERVIEW
Briefly discuss the amount of funds needed, the anticipated sources of funds, and the nature and source
of other contributions to the project.
The total estimated cost of the project is $93,300,000. GVEA has been awarded
$2,000,000 REF Round I Funds. The estimated cost of the wind turbine purchase is
$37,702,600 based on a year 2008 proposal. GVEA is requesting and additional grant
for $1,463,200 towards the wind turbine purchase. GVEA has been approved for
$93,000,000 in Clean Renewable Energy Bond (CREB) financing which will be used for
the balance of the project. The actual cost for the turbine purchase can not be
determined until the turbine selection is final.
2.7 COST AND BENEFIT SUMARY
Include a summary of grant request and your project’s total costs and benefits below.
Grant Costs
(Summary of funds requested)
2.7.1 Grant Funds Requested in this application. $ 1,463,200
2.7.2 Other Funds to be provided (Project match) $ 36,329,400
2.7.3 Total Grant Costs (sum of 2.7.1 and 2.7.2) $ 37,702,600
Project Costs & Benefits
(Summary of total project costs including work to date and future cost estimates to get to a fully
operational project)
2.7.4 Total Project Cost (Summary from Cost Worksheet
including estimates through construction)
$ 93,300,000
2.7.5 Estimated Direct Financial Benefit (Savings) $7.8 - $10.3million (fuel)
2.7.6 Other Public Benefit (If you can calculate the benefit in
terms of dollars please provide that number here and
explain how you calculated that number in your application
(Section 5.)
$ Approximately 50,000
tons of CO2 offset per
year
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SECTION 3 – PROJECT MANAGEMENT PLAN
Describe who will be responsible for managing the project and provide a plan for successfully
completing the project within the scope, schedule and budget proposed in the application.
3.1 Project Manager
Tell us who will be managing the project for the Grantee and include contact information, a
resume and references for the manager(s). If the applicant does not have a project manager
indicate how you intend to solicit project management support. If the applicant expects project
management assistance from AEA or another government entity, state that in this section.
Greg Wyman – Project Manager – gew@gvea.com – (907) 451-5629
Mike Wright – Project Sponsor – mjw@gvea.com – (907) 451-5679
A firm with wind farm construction/project management experience will be hired to act
as the owners-engineer to assist with project management. A firm with wind turbine
economic experience will be hired to assist with the selection and to negotiate the
purchase contract.
3.2 Project Schedule
Include a schedule for the proposed work that will be funded by this grant. (You may include a
chart or table attachment with a summary of dates below.)
GVEA intends to execute a contract for the purchase of wind turbines and towers in the
second quarter of 2011. The following is a complete project schedule:
2009: Initial decision to proceed to detailed feasibility phase
3/2010 – 11/2010: Complete initial feasibility assessment as follows:
• Complete initial project wind turbine layout using typical WTG
• Determine additional meteorological tower layout requirements
• Determine estimated project production based on preliminary information
• Determine all land requirements for access, electrical, roads, and other
infrastructure.
• Determine electrical interconnect requirements and location
• Determine permit requirements for avian study (consideration is given to
conduct preliminary Avian assessment to help determine final permitting
requirements), wet lands, other constraints and noise analysis requirements.
Please see Appendix B for a listing of potential environmental assessment,
permitting and licensing areas.
• Prepare initial development and construction scope to minimize risk
• Refine development schedule and capital cost estimate
• Refine project operating and financial model Identify required information
specification for WTG and any other major equipment (transformers,
switchgear) commitments.
• Establish definitive plan, schedule and budget for development to major
equipment commitments
• Additional meteorological towers are erected, most likely multiple towers at
hub height.
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• Refine cost effectiveness of project in reducing GVEA fuel and overall power
costs
• Prepare final project evaluation results for final presentation to management.
5/2010: Board commitment to proceed to the development phase and the following
development activities are initiated:
• Permitting, Environmental Impact, Avian (incorporate all prior study
information into plan) and Noise studies effort are initiated as required for
project permitting.
• Interconnect plan is developed.
• Required land acquisition/royalty agreements are initiated.
• Project civil and electrical design effort is initiated.
• A definitive development and construction strategy is defined.
• Wind turbine, major equipment suppliers and contractors are engaged to
develop a supplier and contracting plan.
3/2011: All of the conditions precedents have been achieved for a decision to proceed
to construction:
• 12 months of additional meteorological data has been acquired with micro
siting met towers, correlated to long term sites, a definitive WTG layout
has been made and definitive production estimates have been developed.
A net energy production assessment is completed.
• All environmental permits have been negotiated or substantially complete.
• All required land acquisition/royalty agreements are in place or
substantially complete.
• Project civil and electrical design is complete based on assumed turbine
type, subject to minor modifications with alternative turbine selection.
• The project procurement plan is in place and the following agreements
may be ready for execution:
• Wind Turbine Supply and Erection
• Transformer and Switchgear (Unless included in construction
contracts)
• Substation and Transmission Construction
• Engineering, Balance of Plant and Construction
• A definitive capital cost budget and operating/financial model have been
refined that reflect the appropriate returns for the investment based on all
information acquired to date.
7/2011: Detailed engineered civil and electrical design is completed
7/2011: Begin civil/electrical underground construction to engineered design
4/2012: Begin major equipment delivery
6/2012: Complete project civil and electrical underground construction
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8/2012: Complete:
• WTG erection and commissioning
• Electrical construction and electrical commissioning including substation
and transmission interconnect
9/2012: Commercial Operation
• All equipment installed and engineer sign off for proper installation and
operation
• All infrastructure support services (O&M building, Operations center,
SCADA system, internal utility support systems, and trained technicians
with proper vehicles, tools and spare parts supply) in place
Final turbine supply operation criterions’ testing begin and is completed according to
wind turbine supply agreement for availability and power performance.
3.3 Project Milestones
Define key tasks and decision points in your project and a schedule for achieving them. The
Milestones must also be included on your budget worksheet to demonstrate how you propose to
manage the project cash flow. (See Section 2 of the RFA or the Budget Form.)
EVA Creek 24 MW Wind Project Milestones
The following typical milestone schedule follows that is based on a 33 month
development plan for commercial operation of a potential project at Eva Creek for
operation in September 2011:
1/2009: Initial decision to proceed to detailed feasibility phase (assuming funding)
4/2010: Complete initial feasibility assessment
5/2010: Final management commitment is to proceed to the development phase.
3/2011: All of the conditions precedents have been achieved for a decision to proceed
to construction. Major equipment orders are placed
7/2011: Detailed engineered civil and electrical design is completed
7/2012: Begin civil/electrical underground construction to engineered design
4/2012: Begin major equipment delivery
6/2012: Complete project civil and electrical underground construction
8/2012: Complete WTG erection and commissioning
9/2012: Commercial Operation
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3.4 Project Resources
Describe the personnel, contractors, equipment, and services you will use to accomplish the
project. Include any partnerships or commitments with other entities you have or anticipate will
be needed to complete your project. Describe any existing contracts and the selection process
you may use for major equipment purchases or contracts. Include brief resumes and references
for known, key personnel, contractors, and suppliers as an attachment to your application.
GVEA personnel and contracted consultants will be working on this project. The GVEA
team includes:
• Kathryn K. Lamal, Vice President of Power Supply, GVEA
• Mike Wright, PE, Vice President of Transmission and Distribution, GVEA
• Tim DeVries, PE, Manager of Engineering Services, GVEA
• Paul Morgan, GVEA Wind Specialist and Alternative Energy Team member
• Daniel R. Bishop, PE, GVEA Senior Engineer
• Henri Dale, PE, GVEA Power System Manager
• Greg Wyman, PE, GVEA Manager of Construction Services
GVEA will coordinate all resources for the project, contracting equipment or personnel
as needed. GVEA anticipates selecting a turbine vendor who will provide overall WTG
design, an engineering firm to assist with civil and electrical design and civil/electrical
contractors for construction. The vendors, engineers and contractors will be selected as
needed within the project timeline.
3.5 Project Communications
Discuss how you plan to monitor the project and keep the Authority informed of the status.
GVEA proposes to provide quarterly progress reports and more if needed and
appropriate during the actual construction and installation of the wind turbine farm. Greg
Wyman will be the point of contact for all progress reports and communication about the
project. Any unexpected delays, issues, problems and/or concerns will be
communicated to ensure AEA is apprised and can offer a perspective on an appropriate
resolution or project adjustment.
Communication through quarterly reports will:
• Detail project activities completed to date,
• Identify existing or potential problems not previously anticipated,
• Outline the activities targeted for the next reporting period, and
• Provide project photos to demonstrate progress on the project especially when it
gets to the construction phase.
The quarterly report will also account for expenditures to date and identify
discrepancies between budget and new cost estimates.
Other required reporting requested by AEA will be accommodated.
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3.6 Project Risk
Discuss potential problems and how you would address them.
The greatest risk of any wind project is the availability of wind, and in this instance we
know we have a consistent wind resource as a result of our six years of work studying
wind resources in the GVEA service area. Meteorological towers which have been on-
site since 2003 demonstrate we have a good wind capacity factor of 33 - 36% at Eva
Creek. The latest modeling for wind at 80 meters has a 38 – 40% gross capacity factor.
The construction risks associated with the Eva Creek Wind Project will be similar to
the risks of any construction project in Alaska. There is nothing we have uncovered
through feasibility studies and our understanding and experience in working during the
Interior’s limited construction season that we believe will pose problems to prevent a
successful installation. With funding we can move ahead relatively quickly to secure the
required permits and mitigate concerns.
Environmental issues can be a potential problem; however, in this case GVEA has
recent experience obtaining permits in the proposed project area during the permitting
process for the Northern Intertie. Specific permitting and environmental issues are
discussed in Section 4.
The location of the proposed wind project will make construction more of a
challenge. GVEA will need to make road improvements as part of the project. GVEA’s
construction experience with the Northern Intertie will likewise prove valuable during this
project.
Availability of large WTG’s is also a risk factor. GVEA has been and will continue to
be in discussions with WTG vendors to ensure availability if this grant application is
approved.
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Grant Application Round IV
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SECTION 4 – PROJECT DESCRIPTION AND TASKS
• Tell us what the project is and how you will meet the requirements outlined in Section 2 of
the RFA.
• The level of information will vary according to phase(s) of the project you propose to
undertake with grant funds.
• If you are applying for grant funding for more than one phase of a project provide a
plan and grant budget form for completion of each phase.
• If some work has already been completed on your project and you are requesting funding for
an advanced phase, submit information sufficient to demonstrate that the preceding phases
are satisfied and funding for an advanced phase is warranted.
4.1 Proposed Energy Resource
Describe the potential extent/amount of the energy resource that is available.
Discuss the pros and cons of your proposed energy resource vs. other alternatives that may be
available for the market to be served by your project.
The Eva Creek Wind Project is planned to be a 24 MW wind farm located on the east
side of the Nenana River near Ferry, Alaska, in the GVEA service territory in the Interior.
Preliminary wind resource studies indicate that the gross capacity factor for this project
would be approximately 36% with a net capacity factor of approximately 33%. This
capacity factor translates into an annual energy production of 68.5 GWh. Current
modeling of the wind resource at 80 meters results in a gross capcity factor of 38 – 40%.
[Note: Benefits are addressed in Section 2 above.] The Eva Creek Wind project
would provide clean, renewable energy that would (a) reduce the emission of
greenhouse gasses, (b) help GVEA meet its renewable energy pledge of 20% by 2014,
and (c) support Federal facilities in GVEA’s service area meet their green mandates.
Furthermore, the cost of production (including capital recovery) would likely be below the
variable cost of generation for many of GVEA’s existing generation resources.
The Eva Creek project would be subject to intermittent energy generation that would
necessitate daily resource regulation planning which would likely result in periodic
inefficiencies in operation of its existing assets.
GVEA has a diversified mix of generation as discussed previously in this application.
Other alternatives to wind in GVEA service territory are biomass; hydro, solar and
geothermal. The proposed projects are relatively small and will not be sufficient to meet
GVEA renewable energy pledge. The cost of power may also come in close to avoided
cost which would provide no rate relief to GVEA’s members. Solar is too costly at this
time; however, GVEA does support small scale solar projects through the SNAP
program. GVEA has received grants to study hydro resources along the Nenana and
Tanana rivers which proved to not be commercially viable. GVEA does support the
renewed study of the Susitna Hydro project and would enter into a power sales
agreement if the project were to move forward. There has recently been the
development of a small geothermal plant at the Chena Hot Springs Resort east of
Fairbanks; however, it is over 30 miles to the nearest GVEA electrical facilities.
GVEA has contacted or has been contacted by several firms to determine if a Power
Purchase Agreement for non-GVEA owned wind farm would be more cost effective than
building our own plant. All the proposals received exceeded our estimated cost of power
from the Eva Creek Project.
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4.2 Existing Energy System
4.2.1 Basic configuration of Existing Energy System
Briefly discuss the basic configuration of the existing energy system. Include information about
the number, size, age, efficiency, and type of generation.
GVEA is a not-for-profit, rural electric cooperative providing electric service to a large
area in the interior of Alaska, including residents in the Fairbanks, Delta, Nenana, Healy,
and Cantwell areas. The GVEA mission statement is “To provide our member-owners
and communities with quality electric service, quality customer service and innovative
energy solutions at fair and reasonable prices.” To meet this objective, GVEA relies on
its self-owned generation, transmission, and distribution facilities described in this
section and depicted in Figure 2-1. It also participates in firm and non-firm power
purchase exchanges.
GVEA currently operates and maintains 3,047 miles of transmission and distribution
lines and 36 substations. GVEA transmission facilities extend as far south as Healy,
north to the Ft. Knox substation, and southeast to the Jarvis Creek substation and to
Alyeska Pump Station 9. The system is interconnected with Fort Wainwright, Eielson Air
Force Base, the University of Alaska-Fairbanks, and the electric utilities in the Railbelt by
way of the Anchorage-to-Healy Intertie (AH Intertie). GVEA is the northern control point
for the AH Intertie, which has a maximum rating of 79 MW of transfer capability. The AH
Intertie is owned by the State of Alaska and operated under multi-party agreements.
Currently GVEA has a total firm capacity resources of 258.6 MW (peak winter
ratings), comprised of 217.6 MW of self-owned generation capacity, 20 MW from Bradley
Lake, and 21 MW of firm energy purchases from Aurora Energy. The primary
characteristics of these resources are shown in Table 2-1. As seen in the table, GVEA’s
existing capacity is a mixture of combustion turbine (190.6 MW), coal (27 MW),
contracted hydroelectric capacity (20 MW) and contracted coal (21 MW). Most units
have already achieved a long service life with all combustion turbine units except for the
new combined-cycle plant on-line prior to 1977, and the coal (Healy) facility has been in
operation since 1967. The Bradley Lake hydroelectric facility is relatively new, however,
as it came on-line in 1991 and, as with most hydroelectric facilities, is expected to have a
unit life of 50 years or more. As shown in Figure 2-1, the GVEA generating plants are
dispersed in and around Fairbanks, with the exception of the Healy coal unit and Bradley
Lake.
Table 2-1 also lists the fuel type and heat rate of the GVEA resources. GVEA’s
combustion turbine capacity operates on heavy atmospheric gas oil (HAGO) with the
exception of the John Brown unit, which operates on No. 1 diesel fuel. The full load, net
plant heat rates for the combustion turbine units range from a low of 6,638 Btu/kWh for
North Pole 1X1 combined cycle plant, to 14,587 Btu/kWh for Zehnder 2. GVEA also
owns and operates two 2.8 MW diesel generators used for peaking and black start
situations.
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Table 2-1
GVEA-Owned Capacity and Bradley Lake Contracted Capacity
GVEA Generation Resources
Characteristics Location Type
Year
Installed Fuel
Capacity
(January)
Full Load
NPHR
(Btu/kWh)(4)
North Pole 1 North Pole CT
Frame 7
1976 HAGO 63.6 MW 10,085
North Pole 2 North Pole CT
Frame 7
1977 HAGO 65.5 MW 9,886
Zehnder 1 Headquarters CT
Frame 5
1971 HAGO 19.6 MW 14,325
Zehnder 2 Headquarters CT
Frame 5
1972 HAGO 18.8 MW 14,587
John Brown Delta CT
Frame 5
1976 De#1 23.1 MW 13,587
Healy 1 Healy ST-Coal 1967 Coal 27.0 MW 11,501
Bradley Lake Homer Hydro 1991 Hydro 20.0 MW 0.0
BESS Fairbanks Energy
Storage
2003 Battery 46 MW
(for 5 min)
NA
North Pole 1x1 North Pole CC-
LM6000
April,
2006
Naphtha 59.9 MW 6,638
Aurora Fairbanks ST - Coal 21.0 / 4 MW -
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4.2.2 Existing Energy Resources Used
Briefly discuss your understanding of the existing energy resources. Include a brief discussion of
any impact the project may have on existing energy infrastructure and resources.
The interaction of net plant heat rate and fuel cost generally determine the dispatch
order on a utility system. Following the principles of economic dispatch, the North Pole
CT units are operated at a higher capacity factor than the Zehnder units or John Brown.
GVEA combustion turbine operation is also economically dispatched against the
availability of economy power sales from Chugach Electric or Anchorage Municipal Light
& Power over the Anchorage – Healy Intertie. Healy 1 has a full load, net plant heat rate
estimated to be 13,596 Btu/kWh, although its low fuel cost results in a base load
dispatch of the facility during the year. GVEA also purchases 100% of the output as base
load from the Aurora Energy coal plant located in Fairbanks. Under the operating
agreement for Bradley Lake, Chugach Electric dispatches the hydro facility but GVEA is
afforded scheduling flexibility and is able to largely use the Bradley Lake energy in a
peak shaving mode where it has the greatest value.
The principal value of a wind project in the GVEA system is to displace higher
electric energy resources. The energy from the proposed Eva Creek Project will be used
to off-set combustion turbine energy. Reducing emissions from fossil fuels with a
renewable resource is a major benefit of the project. The reduction in emissions will be
from reduced oil consumption by GVEA’s combustion turbine. Wind power will not be
able to eliminate all CT energy as some level of CT generation will be required to provide
regulation due to the variability of wind. An additional goal of this project is to reduce the
cost of power to the rate payer. Regulation costs in order to integrate a large scale wind
project such as EVA Creek into the GVEA system may be expensive due to the weak
nature of the interconnected Railbelt grid. The reduction in capital costs to the rate
GVEA’s rate base through a grant will improve the cost benefit to the rate payer.
4.2.3 Existing Energy Market
Discuss existing energy use and its market. Discuss impacts your project may have on energy
customers.
GVEA sells over 1.3 billion kWh of electricity a year. The majority of this energy comes
from burning fossil fuel as discussed previously. Energy sales are split evenly among
residential, commercial and industrial loads. The impact of this project will be the
reduction of fossil fuel burned by GVEA to generate electric energy with a secondary
goal of also reducing the overall cost of power to all ratepayers.
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4.3 Proposed System
Include information necessary to describe the system you are intending to develop and address
potential system design, land ownership, permits, and environmental issues.
4.3.1 System Design
Provide the following information for the proposed renewable energy system:
• A description of renewable energy technology specific to project location
• Optimum installed capacity
• Anticipated capacity factor
• Anticipated annual generation
• Anticipated barriers
• Basic integration concept
• Delivery methods
The Eva Creek Wind project is proposed to have a capacity of 24 MW. The estimated
capacity factor for this project is 36.2% (gross) and 32.6% (net), resulting in an annual
energy generation of 68.5 GWh. Current modeling with 80 meter towers indicates that
the gross capacity factor may reach 38 – 40%.
Anticipated barriers include the high capital cost (on the order of $4000/kW) and
potential permitting issues as discussed in Section 4.3.3.
Basic integration concept – the project will operate intermittently depending on wind
resource to displace the cost of otherwise operating less economical hydrocarbon fuel
combustion turbines. However, the intermittent nature of the wind resource will
necessitate system regulation requirements and associated costs of implementation.
Cost of regulation includes the cost of always maintaining the ability to pick up or drop
generation on fast-reacting combustion turbines. The cost of regulation may vary
significantly depending on factors such as wind variability, system load, available system
resources, fuel costs, etc. A study will be conducted to determine the possibility of using
GVEA’s Battery Energy Storage System to provide regulation.
Delivery methods – energy will be generated and delivered into the existing GVEA
system. The proposed collection substation will be constructed adjacent to the Northern
Intertie.
4.3.2 Land Ownership
Identify potential land ownership issues, including whether site owners have agreed to the
project or how you intend to approach land ownership and access issues.
The land identified for the GVEA Eva Creek wind generation farm is currently owned
by the following agencies and entities.
• State of Alaska, Department of Natural Resources (DNR)
• State of Alaska, DOT
• University of Alaska
• Private Land Owners
• Unpatented State Mining Claims
• Alaska Railroad Corporation
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The State of Alaska, DNR, is the largest land owner in the area. GVEA has met with
DNR on a preliminary basis and they are supportive of this project. No formal land use or
permit applications have been submitted.
There is an existing 100-foot wide access road (Ferry Road/Eva Creek Road).
Portions of the existing road will serve well as is and other portions will need to be
upgraded or widened to accommodate trucks transporting equipment to the site. GVEA
will work with the State of Alaska DNR and DOT on the road use and any necessary
changes to the existing road. The Alaska Railroad will be the access point to the project
and will be involved in material staging.
The other land owners have not been contacted at this point.
4.3.3 Permits
Provide the following information as it may relate to permitting and how you intend to address
outstanding permit issues.
• List of applicable permits
• Anticipated permitting timeline
• Identify and discussion of potential barriers
The GVEA staff has identified a number of permits required before we can proceed with
the project. Listed below are the areas and the Government Agencies involved:
• List of applicable permits
State of Alaska, DNR
State Historical Preservations Office (SHPO)
Fish & Game
Forestry
DEC (road work)
DOT/PF
Alaska Railroad (ARRC)
Federal Aviation Administration (FAA)
U.S. Army Corp of Engineers (USACE)
Wetlands
River Crossing
Easements (Private land owners)
Potential barriers include:
Historically, the biggest detraction of wind energy projects from an environmental
standpoint is the effect on avian mortality. Much of this detraction has been remedied
through the design and use of turbine blades that spin slower. Depending on the location
of the project, noise can also be an issue. Critics of wind energy projects have raised
concerns that the noise emitted from operation of a wind turbine constitutes a nuisance
or harms wildlife. Some states have enacted statutes prescribing allowable noise levels
that must be met by a project.
Other environmental concerns with the permitting of wind projects involve wildlife
issues where a project may disturb wildlife habitat. In addition, because the development
of a site often requires grading and construction, erosion issues and the effect of the
construction on habitats and riparian zones may have to be addressed.
• It is anticipated that permitting will take at least one year and is scheduled for
completion in 2011.
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• Ferry Road will require realignment and grading, taking improvements outside the
100 foot right-of-way, it is unknown at this time whether there will be opposition to
this re-alignment. This May GVEA held an informal meeting in the community
which was well attended to discuss the potential project. Ferry is a community of
approximately 20 households. In addition, there are a number of seasonal cabins
located in the area.
• As with all Wind projects, the avian interaction will be closely looked at; however,
the US Fish and Wildlife has expressed support for renewable energy projects
and their willingness to work with GVEA. GVEA conducted an extensive avian
study which included this area as part of the Northern Intertie project.
4.3.4 Environmental
Address whether the following environmental and land use issues apply, and if so how they will
be addressed:
• Threatened or Endangered species
• Habitat issues
• Wetlands and other protected areas
• Archaeological and historical resources
• Land development constraints
• Telecommunications interference
• Aviation considerations
• Visual, aesthetics impacts
• Identify and discuss other potential barriers
Any potential issues and mitigating measures with respect to the following will be
identified during the agency review and public comment period through the State permit
process.
• Threatened or endangered species – unlikely in this area based on the work
conducted for the Northern Intertie project.
• Habitat issues – little impact to wildlife habitat, hunting activities may be slightly
impacted, but we have had some discussions with local residents and don’t
believe access will be limited.
• Wetlands and other protected areas – no protected areas but some areas of ridge
top wetlands will require an individual permit.
• Archaeological and historical resources – Surveys have been done at the current
met (meteorological) sites and no significant findings have been found. Individual
WTG tower sites will be examined.
• Land development constraints – dependant on public comment and DNR
stipulations.
• Telecommunications interference – Area is outside of microwave and cell
corridors, no interference is expected.
• Aviation consideration – The area does not affect commercial traffic, but is in an
area between Fairbanks and Healy, subject to both private and military low flying
aircraft. Based on public and FAA comments, measures may be taken to mitigate.
• Visual, aesthetics impacts – area falls about 12 miles east of the transportation
corridor and may be visible along ridge tops. Public comment will be taken as part
of the permitting process.
Avian study - Area has previously been identified as a major Sandhill Crane migration
route and will require further study to mitigate any impacts.
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4.4 Proposed New System Costs and Projected Revenues
(Total Estimated Costs and Projected Revenues)
The level of cost information provided will vary according to the phase of funding requested and
any previous work the applicant may have done on the project. Applicants must reference the
source of their cost data. For example: Applicants Records or Analysis, Industry Standards,
Consultant or Manufacturer’s estimates.
4.4.1 Project Development Cost
Provide detailed project cost information based on your current knowledge and understanding of
the project. Cost information should include the following:
• Total anticipated project cost, and cost for this phase
• Requested grant funding
• Applicant matching funds – loans, capital contributions, in-kind
• Identification of other funding sources
• Projected capital cost of proposed renewable energy system
• Projected development cost of proposed renewable energy system
Total anticipated project cost - $93,300,000
Design costs - $3,000,000
Construction costs - $90,300,000
Requested grant funding - $1,463,200
Applicant matching funds - $36,329,400 (for this application)
Other funding sources
• $2,000, 000 REF Grant (design and construction)
• CREB funding for the balance of the project
4.4.2 Project Operating and Maintenance Costs
Include anticipated O&M costs for new facilities constructed and how these would be funded by
the applicant.
(Note: Operational costs are not eligible for grant funds however grantees are required to meet
ongoing reporting requirements for the purpose of reporting impacts of projects on the
communities they serve.)
The following table summarizes the estimated annual operating costs for the project for
the first five years of operation. Subsequent year costs are escalated at 2.5%. Note that
the first two years of operation are assumed to be under manufacturer warranty, as
indicated by a lower WTG maintenance cost than subsequent years. This estimate was
prepared by Sterling Energy for our 2008 grant application. In our current financial
model we are using a more conservative O&M rate of $1,000,000 for the first year with
2.5% per year escalator.
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O&M Cost Details ($)
Year 1 Year 2 Year 3 Year 4 Year 5
Labor Support / Supplies $342,116 $342,116 $418,346 $418,346 $418,346
Required Equipment Costs $3,592 $3,592 $7,926 $7,926 $7,926
Parts Usage After Warranty $99,575 $99,575 $99,575
O&M Facilities $16,460 $16,460 $16,460 $16,460 $16,460
O&M Transmission $34,000 $34,000 $34,000 $34,000 $34,000
O&M Electrical Usage $8,000 $8,000 $8,000 $8,000 $8,000
Subtotal Annual Cost $404,168 $404,168 $584,307 $584,307 $584,307
Cost per Turbine 16 WTGs $25,261 $25,261 $36,519 $36,519 $36,519
Parts Initial Purchase for Stock Year 3 $799,035
Cost per Turbine $49,940
Annual G&A Costs $100,000
Costs quoted in year 2008 prices Annual cost escalator: 2.50%
4.4.3 Power Purchase/Sale
The power purchase/sale information should include the following:
• Identification of potential power buyer(s)/customer(s)
• Potential power purchase/sales price - at a minimum indicate a price range
• Proposed rate of return from grant-funded project
GVEA members will purchase the power generated by the Eva Creek Wind Project.
GVEA’s financial modeling indicates that the cost of power from the wind farm will be
less than our current avoided cost of energy which is approximately 0.10/kWh. The
estimated cost – benefit ratio of the project is 1.2 based on 17 years, 2% CREB
financing and $7.8 million in annual savings. The return will vary and be directly related
to the cost of fossil fuels and any potential carbon taxes.
4.4.4 Project Cost Worksheet
Complete the cost worksheet form which provides summary information that will be considered
in evaluating the project.
Download the form, complete it, and submit it as an attachment. Document any conditions or
sources your numbers are based on here.
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SECTION 5– PROJECT BENEFIT
Explain the economic and public benefits of your project. Include direct cost savings,
and how the people of Alaska will benefit from the project.
The benefits information should include the following:
• Potential annual fuel displacement (gal and $) over the lifetime of the evaluated
renewable energy project
• Anticipated annual revenue (based on i.e. a Proposed Power Purchase Agreement price,
RCA tariff, or cost based rate)
• Potential additional annual incentives (i.e. tax credits)
• Potential additional annual revenue streams (i.e. green tag sales or other renewable
energy subsidies or programs that might be available)
• Discuss the non-economic public benefits to Alaskans over the lifetime of the project
Potential annual fuel displacement (gal and $) over the lifetime of the evaluated
renewable energy project:
Potential fuel savings will be dependant on what power is displaced by the wind energy.
GVEA’s NPP GT 1 & 2 use 4,952,000 gallons of HAGO ($2.08/gal) to produce
68,000MWhrs for an annual savings of $10,300,000. NPEP uses 4,195,000 gallons of
naphtha ($1.87/gal) to produce 68,000MWhrs for an annual savings of $7,845,000.
GVEA’s members will save between $157 and $206 million dollars over the 20 year life
of the project based on current fuel prices. Essentially fuel savings will be somewhere
between 84 to 100 million gallons.
Potential additional annual incentives:
There may be additional future savings to GVEA when carbon tax legislation is
developed. The savings will be dependent on the tax rate and fuel source offset by the
wind energy.
Discuss the non-economic public benefits to Alaskans over the lifetime of the
project:
Wind is increasingly seen as an important renewable energy source to harness to
mitigate the negative impacts of fossil based fuels. Although in some instances
aesthetics of windmills has caused community issues and turbine design initially affected
avian populations, the improvements in design and careful consideration of location
provide a relatively quiet and a clean source of power.
Nationwide electric customers are supporting their utilities efforts in developing
renewable energy; and GVEA has had an active Green Power committee which helped
shape the board’s renewable energy strategy for the cooperative. GVEA met 2007 board
goals of its Green Power Pledge to use 10% of the 2007 peak system load (223 MW)
with renewable sources and has committed to meet a 20% goal by 2014. GVEA takes
pride in being responsive to its membership when it can incorporate new ideas without
excessive cost to its membership.
GVEA is in the unique position of having six years of reliable data on the feasibility of
Eva Creek as a site for what is likely to be the United States’ largest Arctic wind
generation project.
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In addition to the benefit of reducing our carbon footprint through the integration of
renewable energy sources into our system and the benefit of reduced costs to our
members, there are other benefits to the state of Alaska as a whole.
For example, with the investment in this infrastructure and the lessons learned from
completion of this first major Arctic wind generation project in America, GVEA
contributes to the understanding of the challenges of such construction in northern
climates. Any future installation should be easier because of this “model” project. Of
special significance to Alaska, is the capability to expand the system at Eva Creek to
provide additional renewable energy to Railbelt Utilities at a cost far less than the initial
investment. The Eva Creek site can accommodate expansion; it will have already been
permitted and early operation will work out and resolve any unanticipated issues.
Another benefit is the ability of the Interior and Fairbanks to build an image of a clean
energy destination which has had an impact elsewhere on attracting conventions,
travelers, new residents and businesses to an area.
Finally, this project will develop a skilled workforce to operate and maintain wind
generation systems.
SECTION 6– SUSTAINABILITY
Discuss your plan for operating the completed project so that it will be sustainable.
Include at a minimum:
• Proposed business structure(s) and concepts that may be considered.
• How you propose to finance the maintenance and operations for the life of the project
• Identification of operational issues that could arise.
• A description of operational costs including on-going support for any back-up or existing
systems that may be require to continue operation
• Commitment to reporting the savings and benefits
The Eva Creek Wind Project will become a portion of GVEA generation mix with GVEA
operating and maintaining the equipment. It will require additional employees to be hired
which will be incorporated into our existing Healy staff. We will also contract with the
turbine vendor for some maintenance requirements which will be negotiated in the turbine
purchase agreement. The O&M costs for the project will be rolled up into the capital costs
which will result in a per kWh charged that GVEA intends to flow through COPA much
like Bradley Lake costs.
There may be some O&M issues that will have time delays due to the availability of a
crane large enough to work the turbine if removal is necessary; however, turbines are a
mature technology at this time and are quite robust with availability factors greater than
98%. GVEA intends to construct O&M facilities adjacent to the substation collection point
so there will be the availability on site repairs.
This project is not required to meet GVEA’s capacity requirements so there is no back-
up generation required by the project. GVEA will operate a gas turbine to provide any
regulation for the project.
GVEA will be reporting to its members annually on the savings from this project and
are willing to report back to AEA as required. It may be that we will develop a website
that is able to display real time generation and accumulated output from the project.
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SECTION 7 – READINESS & COMPLIANCE WITH OTHER GRANTS
Discuss what you have done to prepare for this award and how quickly you intend to proceed
with work once your grant is approved.
Tell us what you may have already accomplished on the project to date and identify other grants
that may have been previously awarded for this project and the degree you have been able to
meet the requirements of previous grants.
GVEA has been recording wind data at the EVA Creek Project site for seven years. The
following is a list of activities accomplished since February 2009:
Grantee: Golden Valley Electric Association
Project Name: Eva Creek Wind Farm Feasibility
Grant # 2195425
Period of Report: _2/21/09_______to__8/31/10______
Project Activities Completed:
• Digging of test pits along the Ferry Road and potential on-site borrow areas for
material suitability.
• Conducted public stakeholder meeting with residents and mining claim holders in
Healy, AK.
• Completed field studies and radar tracking of avian migration for phase II of the
Avian study for the proposed Eva Creek wind Farm.
• Attended the 2010 AWEA conference in Dallas, TX and met with several vendors
and contractors to elicit interest in Balance of Plant contracts and acceptable
turbine manufacturers.
• Developed scope of work and cost breakdown for Grant.
• Conducted stakeholder meetings with ARRC and Metallica Resources.
• Initial permit meetings with Alaska DNR.
• Power Engineers completed Transient Stability Analysis and Two Minute Mean
Wind Speed analysis.
• Met with Darren Scott in Kodiak regarding logistics, construction and integration of
their 4.5MW wind farm.
• Met with Stantec Engineering in Portland on wind development and tour of
several large wind farms under construction in Eastern Oregon and Washington
with an emphasis on logistics.
• Conducted field studies and draft report for Phase I of the Avian interaction with
the proposed Eva Creek.
• Contracted with AeroMetric to map proposed site from previous photography.
• Retained Natural Power Consultants, LLC to conduct a site screening and
constraint assessment.
• Site visit and geotechnical investigation with Golder Associates, Inc. for potential
borrow areas and road construction suggestions.
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• Initiate Phase II of the avian study for spring migration using radar and field
observation.
• Contracted with Power Engineers to design transmission line tie-in and
substation.
• Conducted site visit with V-Bar meteorologist and Natural Power Consultants to
verify suitability of preliminary turbine layout. Possible alternative access routes
were evaluated and eliminated from consideration.
• Evaluated suitability of Walker Dome for possible wind farm location. Wind data
indicated an excellent wind resource; however, the cost to install infrastructure (ie.
roads, transmission line and terrain) was determined to offset the higher capacity
factor.
• Completed a fluid dynamics modeling of wind flow at Eva Creek to be used in
energy yield analysis of suitable WTG’s.
• Completion of project planimetric mapping and geo-referenced photos for project
planning.
GVEA intends to continue working in the design phase for the EVA Creek project and
will go out to bid for the turbines and construction during the first quarter of 2011. If the
prices come in at the engineers estimate and the Board gives its approval the funds
requested in this grant will be spent in April of 2011 for a down payment on the wind
turbines with progress payments taking place over the following 12 months.
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SECTION 8– LOCAL SUPORT
Discuss what local support or possible opposition there may be regarding your project. Include
letters of support from the community that would benefit from this project.
GVEA has regularly monitored the interest of its members to green power. The
following table from our latest survey identifies an increased commitment to power
generated from environmentally sound sources:
Member Interest in/Commitment to Green Power
2003 vs. 2000
34%
38%
58%
26%
43%
22%
22%
18%
14%
17%
14%
22%
24%40%
5%
3%
0% 20% 40% 60% 80% 100%
You strongly consider
environmental impact
when making product
purchases - 2000
You strongly consider
environmental impact
when making product
purchases - 2003
It means a lot to you if
electricity comes from
environmentally sound
sources - 2000
It means a lot to you if
electricity comes from
environmentally sound
sources - 2003
Strongly
Agree
Somewhat
Agree
Neutral/
DK
Disagee
The Eva Creek Project will be constructed in a remote area. The nearest community of
about a dozen families is Ferry. We have met twice with the local residents of Ferry to
share what is going on with this project. There have been no complaints at this time.
There will be a public process as part of the permit process where we will gain any
further questions and mitigate any of their concerns.
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SECTION 9 – GRANT BUDGET
Tell us how much you want in grant funds Include any investments to date and funding sources,
how much is being requested in grant funds, and additional investments you will make as an
applicant.
Include an estimate of budget costs by milestones using the form – GrantBudget3.doc
The following spreadsheet is a record of cost to date towards construction and design of
the Eva Creek Wind Project with respect to Grant # 2195425. GVEA has spend
additional funds over $1,000,000 collecting wind data. The attached grant budget form
includes the breakdown for the requested round IV grant funds and indicates milestones
tied to the overall Eva Creek Wind Project.
Grantee: Golden Valley
Electric Association Project: Eva Creek Wind Farm Feasibility
Period: __6/8/10_____to__8/16/10___ Grant Number: 2195425
A B C D= B + C E = A - D
Budget Summary TOTAL
GRANT
BUDGET
PRIOR
EXPENDITURE
S
EXPENDITURE
S THIS
PERIOD
TOTAL
EXPENDITURE
S
GRANT
BALANCE
BY TASK OR MILESTONE
Milestone 1 $1,054,900 217,541.33
121,493.24 - $0
Milestone 2 $390,000 34,139.01
55,677.52 - $0
Unallocated * $855,100 189,166.37 $2,000,000
TOTAL $2,000,000 $189,166 $0 $0 $0
BY BUDGET CATEGORIES
Direct Labor & Benefits $115,000 20,143.03
8,534.95 - $0
Travel $25,000 3,866.16
1,504.20 - $0
Contractual Services $2,160,000 193,532.14
111,454.09 - $0
TOTAL $0 $0 $0 $0 $0
BY FUND SOURCES
Grant Funds $2,000,000 189,166.37 - - $0
Grantee Match - Cash $300,000 28,374.96 - - $0
Grantee Match - In Kind - $0
Other Contributions - $0
TOTAL $0 $0 $0 $0 $0
Note: Highlighted totals were changed between Milestones from June 2010 billing. These numbers are
correct. See original backup for details. ABR invoices are avian studies.
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SECTION 9 – ADDITIONAL DOCUMENTATION AND CERTIFICATION
SUBMIT THE FOLLOWING DOCUMENTS WITH YOUR APPLICATION:
A. Contact information, resumes of Applicant’s Project Manager, key staff, partners,
consultants, and suppliers per application form Section 3.1 and 3.4.
B. Cost Worksheet per application form Section 4.4.4.
C. Grant Budget Form per application form Section 9.
D. Letters demonstrating local support per application form Section 8.
E. An electronic version of the entire application on CD per RFA Section 1.6.
F. Authorized Signers Form.
G. Governing Body Resolution or other formal action taken by the applicant’s
governing body or management per RFA Section 1.4 that:
- Commits the organization to provide the matching resources for project at the
match amounts indicated in the application.
- Authorizes the individual who signs the application has the authority to
commit the organization to the obligations under the grant.
- Provides as point of contact to represent the applicant for purposes of this
application.
- Certifies the applicant is in compliance with applicable federal, state, and local,
laws including existing credit and federal tax obligations.
H. CERTIFICATION
The undersigned certifies that this application for a renewable energy grant is truthful
and correct, and that the applicant is in compliance with, and will continue to comply
with, all federal and state laws including existing credit and federal tax obligations.
Print Name Michael J Wright
Signature
Title VP, Transmission and Distribution
Date September 14, 2010
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A. Resumes of Applicant’s Project Manager, key staff, partners, consultants, and
suppliers per application form Section 3.1 and 3.4
Kathryn King Lamal CPG #8090 Vice President of Power Supply
Golden Valley Electric Association, Inc
ACADEMIC MS, Geology, Western Washington University, Bellingham,
Washington, 1983
BACKGROUND BS, Geology, University of Washington, Seattle, Washington 1980
South Dakota School of Mines and Technology, Rapid City, South
Dakota, 1979
Appalachian State University, Boone, North Carolina 1973-1978
CURRENT Golden Valley Electric Association, Inc., Vice President for
PPOSITION Power Supply February 2001 to present. Responsible for
operations of all power plants, power purchases, fuel
purchases and for Dispatch Center. Project Sponsor for the design
and construction of the North Pole Expansion Project- a 60 MW
combined cycle power plant in North Pole, Alaska
PAST
EXPERIENCE Golden Valley Electric Association, Inc., Environmental Officer –
1993 to February 2001Environmental Officer was responsible for all
aspects of all environmental programs (air, water, waste, risk
management) for the generation, transmission, and distribution
business functions of utility.
Dames & Moore, Inc. Senior Environmental Geologist and
Operations Manager for the Geosciences Group, Fairbanks (1991-
1993) Joined Dames & Moore in May 1991 to start-up the Dames
& Moore branch office in Fairbanks. Directed the Geosciences
group in the Fairbanks office and was responsible for office
operations, marketing, proposal preparation, project management,
cost tracking, report preparation, editorial revisions,
maintenance of strict quality assurance standards, and providing
technical service to clients.
Shannon & Wilson, Inc. Fairbanks (1989-1991)
Environmental Geologist responsible for groundwater studies,
hazardous materials investigations, underground storage tank
investigation, pre-acquisition site assessments.
University of Alaska Fairbanks, Fairbanks (1984-1989)
Instructor for the Mining Technology Program, classes taught
included Geology 101, Field Methods, Rock and Mineral
Identification, Introduction to Mining and Mine Safety.
Self-Employed Geologic Consultant (1989)
Geologist responsible for hard rock exploration in the Fairbanks
Mining District
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U.S. Bureau of Mines, Fairbanks (1988-1989)
Geologist for critical and strategic mineral exploration in Alaska,
planning and implementing field work including reconnaissance,
bulk sampling, field and prospecting mapping, synthesizing data,
report preparation.
Self-employed Geologic Consultant (1983-1987)
Geologist responsible for hard rock and placer gold exploration,
mineral assessment, land and geophysical surveys, fluid inclusion
research, report preparation.
Houston International Minerals, Anchorage (1982)
Geologist responsible for gold exploration in interior Alaska.
Chandalar Development Corporation, Bellevue, Washington (1981)
Mining and exploration geologist, Little Squaw Gold Mines, Brooks
Range, Alaska
PROFESSIONAL Certified Professional Geologist with the American Institute of
AFFILIATIONS Professional Geologists, CPG#8090
Licensed Geologist in the State of Alaska
Director, Renewable Energy Alaska Project
Director, Alaska Natural Gas Development Authority
Member appointed by Governor Palin, Alaska Climate Change
Mitigation Advisory Group
Member, Alaska Coal Association
Member, Alaska Miners Association
Member, Alaska Outdoor Council
Member, Resource Development Council
Member, AOPA
Member, Alaska Airmen’s Association
Member, Alaska Experimental Aircraft Association
PUBLICATIONS Ashworth [Lamal], K.K., 1983, Genesis of Gold Deposits of the
Little Squaw Mines, Chandalar Mining District, Alaska, Unpub. MS
thesis, Western Washington University.
Barker, J.C. and Lamal, K.K., 1988, Placer Platinum-Group Metals
Offshore of the Goodnews Bay Ultramafic Complex, Southeast
Alaska; U.S. Bureau of Mines, Open File Report 53-88, 60p.
Barker, J.C. and Lamal, K.K., 1990, Offshore Extensions of
Platiniferous Bedrock and Associated Sedimentation of the
Goodnews Bay Ultramafic Complex, Alaska; Marine Mining, Vol.8,
pp. 365-390.
Dillon, J.T., Lamal, K.K., and Huber, J., 1989, Source of gold
deposits of the upper Koyukuk and Chandalar Districts, Alaska, in:
Mull, C.G. and Adams, K.E., eds. Dalton Highway, Yukon River to
Prudhoe Bay, Alaska, Bedrock Geology of the Eastern Koyokuk
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Basin, central Brooks Range, and East Central Arctic Slope: Alaska
Division of Geological and Geophysical Surveys, Guidebook 7, Vol.
1.
Lamal, K.K., Steigers, W.D., and Sherman, L., 1999, Visibility
Monitoring Program Associated with the Healy Clean Coal Project
Near Denali National Park and Preserve, Healy, Alaska; Paper 99-
702, Air and Waste Management Association Proceedings, June
1999.
Lamal, K.K., Hakkarinen, C. and Podrez, M., 1999, Case Study on
the Use of ISCPRIME; Paper 99-703, Air and Waste Management
Association Proceedings, June 1999.
Lamal, K.K., Cahill, C., Edwards, A., Guay, G., 2001, Baseline
Visibility in Alaska, Paper B-2, Electric Utility Environmental
Conference Proceedings, January 2001.
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Michael J. Wright, PE Golden Valley Electric Association
Vice President, Transmission & Distribution
Responsible for overall management of operations, maintenance, engineering and new
construction for GVEA’s electric transmission and distribution systems. Member of the
Economic Dispatch Committee tasked reviewing GVEA’s generation and transmission
assets to assure reliability and adequacy. Involved with the following system studies:
Integrated Resource Plans, Load Forecasts, Rate Studies, Long Range Plan and
Construction Work Plans. Negotiated power sales agreements with Pogo Mine and
Alyeska Pump 9. Develop and track budgets and participate in corporate strategic
planning.
Mike Wright has 18 years of utility experience in engineering, operations and
management. He joined Golden Valley as an Engineer in 1990 after earning his
BSEE Degree from the University of Alaska. Mike accepted the position of Line
Superintendent in 1995 with the responsibilities of supervising right-of-way
maintenance and line activities. He took over responsibility of the Electric Shop in
1998 and assumed the position of Operations Manager. Mike was promoted to his
current position of Vice President of Transmission & Distribution in 2001 and is
responsible for overall leadership of the Engineering, New Construction and
Operations Departments.
• Operations Manager
Managed and supervised line maintenance and operations, electric shop maintenance
and right-of-way maintenance activities. The electric shop duties include programming
electric meters, installation of commercial meters and field auditing of commercial
accounts. Developed and tracked section budgets and work plans. Investigated and
resolve customer concerns.
• Engineer I & II
Design and project management responsibilities for projects that increased the
reliability of GVEA’s transmission and distribution system. Examples of projects
include addition of capacitor banks, reclosers and standby generation, Cantwell-
McKinley Village distribution line and ash pump and controls at the Healy Power Plant.
Performed load flow, fault current and sectionalizing studies on GVEA’s transmission
and distribution system. The studies were performed to determine the adequacy of
system capacity and protection. Problems were identified and solutions were
generated. Provided customer support through review of new commercial loads,
assisting with code questions, and answering or investigating power quality issues.
Registered professional Engineer.
University of Alaska Fairbanks
Student Assistant IV, UAF Power Plant
Calculated available fault currents of the 4160V-distribution system, which identified
equipment that required upgrading. Performed coordination studies, which determined
that fault protection was adequate for equipment and the distribution feeders.
Prepared and reviewed system drawings. Worked as an electrician apprentice.
Successfully installed new switchboards and station service equipment. Troubleshot
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and replaced failed station service transformer. Prepared Motor Control Center
preventive maintenance program.
US Air Force
Electronic Warfare System Specialist
Maintained airborne electronic equipment. Supervised flight-line maintenance of
equipment on RC135 and TR-1 aircraft. Evaluator for Airborne Maintenance
Technicians. Conducted a quality control program for a 45-man maintenance unit.
Developed and conducted unit training program which was required to support a test
program for a prototype weapon system.
EDUCATION & TRAINING
Currently enrolled in MBA program at UAF – 33 out of 51 credits completed
EE from UAF – 1990
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Daniel R. Bishop, PE
2809 Waldheim Dr.
Fairbanks, AK 99709 Golden Valley Electric
Association, Inc.
Senior Engineer & Engineer II, 8/1997 – present
• Responsible for design and project management for North Pole
Industrial Substation, Healy Substation Expansion, and Gold Hill
Substation expansion projects. The combined value of these projects
is approximately $8,000,000.
• Project manager for GVEA’s: 1) 2002-2005 Construction Work Plan, 2)
Borrower’s Environmental Report, 3) 2001 Power Requirements Study
and 2001 & 2005 Integrated Resource Plans, and 4) AP8 Loan
Application.
• Performed power flow, relay coordination, and fault current calculations
manually and using PSSE, Aspen One-liner, and Synergee software
packages (electrical analytical software packages).
• Responsible for design and project management for an upgrade of the
Healy Power Plant’s generator protective relays.
• Project manager for GVEA’s Healy Wind Demonstration (1998-2000).
• Initiated and lead the first stage of GVEA’s wind resource evaluation
project. GVEA hired AWSTrueWind to use advanced numerical
meteorological simulations to prospect for wind resources. GVEA
since installed meteorological instrumentation to verify the wind
resources at sites identified using this study.
• Presented the results of GVEA’s Healy Wind Demonstration Project at
the 2000 UWIG meeting in Anchorage, Alaska. Also represented
GVEA at Utility Wind Interest Group meetings in 2001 and 2002.
Dryden & LaRue Inc., Anchorage
Project Engineer, 7/1990 – 8/1997
• Responsible for much of the design and project management for the 138 kV
transmission line from Fairbanks to the Ft. Knox gold mine. Client: Golden
Valley Electric Association
• Responsible for plans, specifications, cost estimates, and field inspection of a
138 kV transmission line reroute along Turnagain Arm. Included coordination
with personnel from Chugach State Park, the Alaska Railroad, and the U.S.
Army's Defense Fuels Agency to accommodate the requirements of these
agencies. Also included supervision of civil engineering and surveying
subcontractors. Clients: Chugach Electric Association and State of Alaska
DOT/PF
• Field Engineer for installation of remote data acquisition systems on the
Anchorage-Fairbanks Intertie. Client: Golden Valley Electric Association
• Assisted in the design of substations and Static VAR Compensation stations.
Clients: Kodiak Electric Association, Chugach Electric Association, City of
Seward, Alaska Energy Authority, Asea Brown Boveri.
• Wrote and modified computer programs in FORTRAN, AutoLisp, and Basic.
Institute of Arctic Biology, University of Alaska, Fairbanks
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Engineering Lab Technician and Student Assistant IV, 1984-1990
• Developed electronics and software for microcomputer-based control and
instrumentation systems.
Alaska Village Electric Coop., Anchorage
Summer Laborer, 1981
• Assisted in the installation of village electric systems and fuel tank farms.
EDUCATION
University of Alaska, Fairbanks, Alaska, Master of Science in Electrical
Engineering, 1990
Degree Emphasis: Control Systems & Instrumentation
University of Alaska, Fairbanks, Alaska, Bachelor of Science in Electrical
Engineering, 1985
PROFESSIONAL REGISTRATION
• AK Professional Electrical Engineer #8476 (received in 1993)
PROFESSIONAL AFFILIATION
• Institute of Electrical and Electronic Engineers
COMMUNITY SERVICE
• Science Fair Judge 1997-2008
• Road Commissioner, Jones Rd. Service Area – 1990, 2001-2008
OTHER INTERESTS:
• Licensed private pilot (inactive)
• Licensed Airframe and Powerplant mechanic (inactive)
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Henri F. Dale, P.E.
Box 71249
Fairbanks, AK 99707
Home Telephone: (907) 479-2703 Work Telephone: (907) 452-1151
Golden Valley Electric Association, Inc.
Power System Manager
EXPERIENCE:
As Power Systems Manager ensured continuous operation and dispatch of
electrical energy for GVEA while maintaining maximum economy and reliability.
Responsible for implementation, administration, and negotiations of power
contracts and liquid fuel contracts. Responsible for day-to-day system operation
including scheduling of generation, switching, clearances, and scheduling facility
outages for contractors and association personnel. Responsible for forecasting
system loads and growth for planning and budgetary purposes. Supervised seven
SCADA System Dispatchers and two Control Systems Engineers. Has held the
chairmanship of the Intertie Operating Committee for several years which
manages the budget and operations of the Intertie between Anchorage and
Fairbanks as well as several of its subcommittees. Also member of the Bradley
Project Management Committees’ Budget and O&D (Operations and Dispatch)
subcommittees. Have recently been involved in developing reliability standards to
bring Railbelt operations more closely in alignment with national (NERC)
standards.
As SCADA/System Dispatcher was responsible for coordinating real time
operation of electrical distribution and transmission facilities. This included
maintaining adequate system generation and specified voltage levels while striving
for lowest possible cost compatible with stipulated system reliability security
parameters and contractual obligations. Directed field crews during trouble calls
and through switching orders. Performed short term load forecasting and brokered
bulk power sales. The position oversaw Assistant Dispatchers when assigned to
the same shift. Special projects included setting up dispatcher training programs,
long term production costing utilizing fuel, purchase power, and owned generators
coordination to provide lowest cost/highest reliability operation.
As Supervisor, System Operations in Alaska's largest electric utility, was
responsible for coordinating the restoration of the system following disturbances,
scheduling generation to meet forecasted consumer load as well as contractual
obligations for fuel and economy sales with other utilities, supervised and
scheduled 10 Power Control Dispatchers (distribution, transmission and
generation), and assisted in contract negotiations for power sales and dispatch
agreements for foreign units.
As Power System Application Specialist at a generation, transmission, and
distribution electric utility was in charge of software and hardware for their
SCADA/EMS system. The hardware included redundant master stations, 40+
microprocessor based RTU's and associated microwave and leased line
communication channels. This position covered a period of time, which included
FAT testing at the vendors to installation, commissioning and finally full operating
capability. Analysis of system disturbances as well as review of system studies by
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consultants commonly required written reports from the specialist. The position
supervised two assistant dispatchers to work on special projects as assigned.
Instructed junior/senior level electrical engineering courses at the University of
Alaska in Fairbanks. The classes were required core course for power
engineering majors. The classes had laboratory sections and Graduate Teaching
Assistants assigned to the instructor.
University of Alaska Fairbanks Geophysical Institute Computer Programmer
internationally recognized scientific institute. Projects resulted in various journal
articles on radiative transfer algorithms.
Taught and maintained Physics Laboratories for three and a half academic years
at two universities.
EDUCATION
1988 Master of Science of Electrical Engineering Degree, (M.E.E.),
University of Alaska Fairbanks.
1981 Master of Science Degree, (M.S.), University of Washington, Seattle,
WA. Physics.
1980 Bachelor of Science Degree (B.S.), Cum Laude, University of Alaska
Fairbanks. Physics.
1980 Bachelor of Science Degree (B.S.), Cum Laude, University of Alaska
Fairbanks. Mathematics.
PROFESSIONAL DEVELOPMENT
Alaska Natural Gas Development Authority, Open Season
Forums/Workshops, 2008, Anchorage, AK
Power Engineers, Protection & Control Technical Seminar, 2007.
Anchorage, AK
KW Consulting, Bills, Bucks and Business – Utility Accounting, 2007.
Fairbanks, AK
Electric Utility Consultants Inc, Strategies for Bidding Ancillary Services in
LMP Markets, 2007, Indianapolis IN
Electric Utility Consultants Inc, Power Risk Issues Symposium, 2005.
Phoenix AZ
Electric Utility Consultants Inc, Resource Adequacy, 2004. San Francisco,
CA
GSC Energy, Risk Management and Hedging Seminar, 2004. Fairbanks, AK
Northwest Public Power Association, Strategic or Business Planning, 2002.
Fairbanks, AK
Michelle Johnson SPHR, Progressive Discipline, 2001. Fairbanks, AK
UAF/TVC, The Roles Supervisors Play, 2001. Fairbanks, AK
Franklin Covey, Project Management, 2001. Fairbanks, AK
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Leighton & Kidd, POWER SYSTEM OPERATION video training course,
1991.
Leighton & Kidd, DISTRIBUTION SYSTEM OPERATION video training
course, 1991.
Western Area Power Administration, Division of Operation and Maintenance,
GENERATION DISPATCHING COURSE, 1991. Denver, CO.
Western Area Power Administration, Division of Operation and Maintenance,
TRANSMISSION DISPATCHING COURSE, 1990. Denver, CO
Landis & Gyr, MPS 9000-S RTU and 5100 RTU Hardware Maintenance
Class, 1987. Fairbanks, AK
Oregon State University, Endeavors for Excellence Professional
Development Seminar, "Supervision: The Constructive use of Authority",
1986. Fairbanks, AK
Motorola National Service Training, Certificate of Achievement, Principles
and Servicing of STARPOINT/STARPLEX Microwave Systems, 1985.
Fairbanks, AK
Digital Equipment Corporation, DECnet Management, 1985. New Bedford,
MA
Moore Systems/Landis & Gyr, TG8500 Master Station Hardware
Maintenance Class, 1984. San Jose, CA
Digital Equipment Corporation, VAX/VMS System Management, 1984. New
Bedford, MA
RECOGNITION
• Registered Professional Electrical Engineer in the State of Alaska.
• Co-authored: "A Practical and Cost Effective Approach to a Dispatcher
Training Simulator", which was presented at the PICA'87 conference in
Montreal Canada.
• Co-authored: "A new look at the Discrete Ordinate Method for Radiative
Transfer Calculations in Anisotropically Scattering Atmospheres. II.
Intensity Computations.", Journal of Atmospheric Sciences, Vol. 30, No.
12, Dec. '81.
• Recipient, 1976-1977 and 1978-1979 Outstanding Student Dept. of
Physics, University of Alaska, Fairbanks.
• Private Pilot Certificate; SEL, SES, High Performance.
• Medic First Aid (CPR and AED inclusive)
PERSONAL
Birth date: March 21, 1957
Birthplace: Fairbanks, AK
Marital Status: Married
Interests: Outdoors, Aviation, Alaska
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Paul Park, P.E. Golden Valley Electric Association
485 Marshall Drive Mechanical Engineer
Fairbanks, Alaska 99712
(907) 452-4798
tar@acsalaska.net
11/2004 to present
Worked with GVEA NPEP team overseeing the design and construction of new 60 MW
combined cycle power plant ($85 M) consisting of a 50 MW GE LM6000, HRSG, and 25
MW Thermodyn steam turbine. After the EPC contractor left the job at 40% completion,
completed the project with replacement contractor as Project Engineer/Site
Representative. Acting in this position, initial process engineering was reviewed and
corrected; detailed engineering was driven to completion. Plant controls and
instrumentation were a focus area due to least detailed design from the EPC.
Coordinated and supported an OSHA Process Hazard Analysis for the gas turbine
naphtha fuel supply system. Procured instruments and equipment, resolved field
construction difficulties, provided support for engineering questions, and assisted
commissioning efforts with startup contractor. Assumed startup and operator training
leadership after startup contractor left jobsite. Supported startup by writing detailed
operational instructions, troubleshooting process issues, and training plant personnel in
operation of the facility. Interacted with major equipment suppliers to resolve equipment
problems, gather information to complete O&M Manuals and drawings, and settle
warranty claims. Generated punch list items for main contractor and subs and followed
punch list through to closeout.
Acting as plant engineer following startup, operational problems have been analyzed
and resolved, some through equipment/control revisions and others through operational
changes. Responsible for writing Plant Operating Manuals, organizing equipment
documentation and drawings, and assisting operations. Initiated a Management of
Change program, control room and floor operator daily log sheets, and Safe Work
Permit program.
United States Army Corp of Engineers 8/2002 to11/2004
Mechanical Engineer - Fairbanks, Alaska
Responsible for quality assurance on the mechanical systems installed in the new
Bassett military hospital ($180 M). Interact with general contractor quality control and
sub contractors to verify contract requirements and design drawings are followed.
Duties include daily inspection and surveillance at jobsite, contract specification and
drawing interpretation, material verification, equipment submittal review, and site safety
recommendations. Responsible for reviewing monthly contractor pay estimate and
adjusting as necessary to reflect actual progress. Actively participated in Preparatory,
Initial, Follow-up, and quality control mutual understanding meetings with general
contractor and subs.
WILLIAMS ALASKA PETROLEUM 3/2000 to 8/2002
Project Engineer -North Pole, Alaska
Involved in conceptual development and detailed project scope generation. Responsible
for outlining project design deliverables and directing consultants' efforts in completing
design packages. Design duties involved piping design, instrumentation selection, and
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P&ID development. Project management duties included presenting design scopes to
management, preparing estimates and AFE’s, management of change (MOC)
documentation, equipment file and project records, and design reviews. Participated in
Process Hazard Analysis reviews and Process Startup Safety Reviews. Interacted with
all refinery departments including process, maintenance, operations, quality, and
shipping as project customers.
Projects included corroded piping replacements, crude tower modifications, product
filtering installation, and upgrading the burners in process heaters. Safety projects
involved fall protection in pipe racks, additional handrail and grating for storage tanks,
and a fall protection system for wastewater lagoons. Performed various data gathering
tasks around units and tank farm. Detailed evaluations were completed for various
operational problems around the refinery including a potential line over-pressure
condition, pressure vessel ASME code interpretations, reducing piping bottlenecks, and
a pump suction problem on a kerosene loading system. Participated in the refinery's
wastewater environmental team and fall protection task force.
Process duties included determining frictional losses in piping systems and specifying
pumps, generating equipment and instrument spec sheets, and applying Williams'
technical specifications. Operational problems were analyzed and recommendations
communicated to refinery leadership. Accepted solutions were implemented as
additional assigned projects.
WILLIAMS ALASKA PETROLEUM 10/1992 to 3/2000
Process Operator - North Pole, Alaska
Performed all necessary activities required to keep refinery units and tank farm
operating in all weather conditions. Responsible for monitoring equipment, product
distribution to tankage, safe operation of fired process heaters and industrial boilers,
unit startup and shutdowns, and responding to plant emergencies. Participated in
turnarounds, PHAs, maintenance work, and operator training.
AFFILIATIONS
American Society of Mechanical Engineers member #6510531, 2003/5 Local
Secretary
UAF – Adjunct Instructor for TVC’s Process Technology Department
Fairbanks Economic Development Corporation – Gasification/Synthetic Fuels
Committee
PROFESSIONAL REGISTRATIONS
State of Alaska Professional Mechanical Engineer – AEL M 12032
EDUCATION
University of Alaska - Fairbanks, Fairbanks, Alaska
Bachelor of Science Degree in Mechanical Engineering (12/99)
Renewable Energy Fund
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Greg Wyman Golden Valley Electric Association
Manager of Construction Services
Employment
history
1971 – 1989 Stutzmann Engineering Associates, Inc, Fairbanks,
Alaska
Staff Engineer
Field Surveyor, 1971 – 1973, Property Surveying
Draftsman/Designer, 1973 – 1977, Land Development and Civil Design
Project Coordinator, 1977 – 1980, Assign Work to crews, coordinate
with property owners and government agencies.
Project manager, 1980 – 1989, Oversee design and surveying of
subdivisions, road construction and building projects.
1989 - 1999 Golden Valley Electric Association, Inc. Fairbanks,
Alaska
Senior Engineer
Management of Staking and Right-of-Way Processes
Project Management for New Line Extensions and Large Projects
Business Planning
1999 - Present Golden Valley Electric Association, Inc. Fairbanks,
Alaska
Manager of Construction Services
Management of New Construction Projects
Business Unit Planning
Northern Intertie Project Management
Relevant
experience
Relevant
experience
(continued)
Project Management
Compile construction contracts for transmission and distribution
line construction. Plan and coordinate feasibility studies, project
costs and resource requirements for variety of projects. Develop
and design projects and supervise technical staff in production of
plans and specifications. Review and evaluate bid proposals,
recommend and award projects. Monitor construction of projects
to insure compliance with design and contract specifications.
Verify work performed and approve progress payments based on
satisfactory completion.
Administration
Broad general experience in managing files, correspondence and
reports to insure smooth handling of projects. Prepare and
evaluate cost estimates and monthly project reports. Evaluate
workflow and new construction service processes. Compile
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Education
Capital Budget for construction projects and new construction
sections.
Human Relations
Extensive experience in consulting with members and
government agency personnel to determine needs, resources and
feasibility for a wide range of projects. Coordinate closely with
individual groups and agencies for permitting on large projects.
Able to handle difficult and stressful situations with tact and
diplomacy. Skilled in managing and directing employees.
1977 University of Alaska, Fairbanks, Alaska
B.S. Civil Engineering
1998 University of Alaska, Fairbanks, Alaska
M.S. Engineering Management
Professional
memberships
.
American Society of Civil Engineers; National Society of Professional
Engineers; International Right-of-Way Association
Community
activities
Past President, Fairbanks Curling Club; Past Vice President,
Fairbanks Golf and Country Club
Extracurricular
activities
Certified NAUI Sport Scuba Diver
Accreditations Professional Engineer – State of Alaska Registration CE–5358
Professional Land Surveyor – State of Alaska Registration LS-8688
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B. Project Cost/Benefit Worksheet
1. Renewable Energy Source
The Applicant should demonstrate that the renewable energy resource is available on a
sustainable basis.
Annual average resource availability. 38 - 40 % Gross output based on wind speed
Unit depends on project type (e.g. windspeed, hydropower output, biomasss fuel)
2. Existing Energy Generation and Usage
a) Basic configuration (if system is part of the Railbelt1 grid, leave this section blank)
i. Number of generators/boilers/other
ii. Rated capacity of generators/boilers/other
iii. Generator/boilers/other type
iv. Age of generators/boilers/other
v. Efficiency of generators/boilers/other
b) Annual O&M cost (if system is part of the Railbelt grid, leave this section blank)
i. Annual O&M cost for labor
ii. Annual O&M cost for non-labor
c) Annual electricity production and fuel usage (fill in as applicable) (if system is part of the
Railbelt grid, leave this section blank)
i. Electricity [kWh]
ii. Fuel usage
Diesel [gal]
Other
iii. Peak Load
iv. Average Load
v. Minimum Load
vi. Efficiency
vii. Future trends
d) Annual heating fuel usage (fill in as applicable)
i. Diesel [gal or MMBtu]
ii. Electricity [kWh] Will depend on turbine’s cold weather package
iii. Propane [gal or MMBtu]
iv. Coal [tons or MMBtu]
v. Wood [cords, green tons, dry tons]
vi. Other
3. Proposed System Design Capacity and Fuel Usage
1 The Railbelt grid connects all customers of Chugach Electric Association, Homer Electric Association, Golden Valley Electric
Association, the City of Seward Electric Department, Matanuska Electric Association and Anchorage Municipal Light and Power.
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(Include any projections for continued use of non-renewable fuels)
a) Proposed renewable capacity
(Wind, Hydro, Biomass, other)
[kW or MMBtu/hr]
Greater than 33%
b) Proposed annual electricity or heat production (fill in as applicable)
i. Electricity [kWh] 68,000,000 @ 33% Capacity Factor and 98% availability
ii. Heat [MMBtu]
c) Proposed annual fuel usage (fill in as applicable)
i. Propane [gal or MMBtu]
ii. Coal [tons or MMBtu]
iii. Wood [cords, green tons, dry tons]
iv. Other
4. Project Cost
a) Total capital cost of new system $93,300,000
b) Development cost $ 3,000,000
c) Annual O&M cost of new system $ 1,000,000 with 2.5% escalator per year
d) Annual fuel cost
5. Project Benefits
a) Amount of fuel displaced for
i. Electricity 4.2 - 5.0 million gal of oil per year
ii. Heat
iii. Transportation
b) Current price of displaced fuel $1.87 – $2.08/gal
c) Other economic benefits Potential GHG reduction credits
d) Alaska public benefits 50,000 tons/year CO2 production offset
6. Power Purchase/Sales Price
a) Price for power purchase/sale
7. Project Analysis
a) Basic Economic Analysis
Project benefit/cost ratio 1.2 (2% CREB interest, 17 year life, $7,843,000 annual savings)
Payback (years)
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C. Grant Budget Form
Milestone or Task
Anticipated
Completion
Date
RE- Fund
Grant Funds
Grantee
Matching
Funds
Source of
Matching
Funds:
Cash/In-
kind/Federal
Grants/Other
State
Grants/Other
TOTALS
Phase IV Construction $ $ $
Wind Turbine Order Placed
(Milestone) April 2011 $ $ 3,770,260 Cash, CREB
Financing $ 3,770,260
Progress Payment July 2011 $ 1,463,200 $ 2,307,060 Cash, CREB
Financing $ 3,770,260
Progress Payment Nov 2011 $ $ 3,770,260 Cash, CREB
Financing $ 3,770,260
Progress Payment Feb 2012 $ $ 3,770,260 Cash, CREB
Financing $ 3,770,260
1 month prior to Delivery May 2012 $ $ 7,540,520 Cash, CREB
Financing $ 7,540,520
Delivery Jun 2012 $ $11,310,780 Cash, CREB
Financing $11,310,780
Turbine Completion
(Milestone) Aug 2012 $ $ 2,827,695 Cash, CREB
Financing $ 2,827,695
Final Project Acceptance
(Milestone) Sep 2012 $ $ 942,565 Cash, CREB
Financing $ 942,565
$
$
TOTALS $
Budget Categories:
Direct Labor & Benefits $ $ $
Travel & Per Diem $ $ $
Equipment $ 1,463,200 $ 32,469,140 $33,932,340
Materials & Supplies $ $ $
Contractual Services $ $ 3,770,260 $ 3,770,260
Construction Services $ $ $
Other $ $ $
TOTALS $ 1,463,200 $ 36,239,400 $ 37,702,600
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F. Governing Body Resolution
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