HomeMy WebLinkAboutBiomass_Project_Planning est 2005PLANNING FOR A BIOMASS HEATING
PROJECT
EXECUTIVE SUMMARY
Alaska's forests offer an abundant source of renewable, local fuel which can be
used to generate heat and poker. Biomass resources have the potential remedy
problems such as high fuel costs in rural communities "-bile also strengthening
I
ocal economies. Proper sustainable foresting practices Neill provide communities
i�-ith an inexhaustible fuel source chile also improving forest health and wildlife
habitat.
Deciding to utilize biomass resources for cleat and/ or poNver is an exciting step
-Cnr n nnm n„<n<i-c- —A +i,<c �nn<c-�.n <.-,�i 1-me . l n� <. min<- r,< ci-<nnc and
Lvi u i,v,,...,La.iiLy, uLau uii.� ui,i.i0avu "Ill i,v a .. cliCiib I II I.iuu� 4ue.�LIv110 u.i
considerations as well as significant planning.
Communities, land owners and developers interested in developing a biomass
project M11 often want to know:
`How to determine if there is a usable biomass resource in the area.
What feasibility studies need to be conducted?
What permits are involved in approving a harvesting plan and biomass heating
system?
How to finance a project.
What tvpe of biomass system is right for a community-?
How quickly an investment in biomass Nv ill pay itself off?
What are the maintenance and operation requirements of a biomass system.'
Can Blnw-lass be used to generate electricity as well as heat?
This Guide intends to answer these questions and provide the required tools to
create a successful regional biomass heating system. This Toolkit is organized
into ten sections:
I. Project Scope and Team
II. Public Outreach and Community Involvement
ill.'Resource Assessment
V. Svstem Design
krr L -
vl. 1 easIUIIIav vLuuac0
VI1. Permitting and Development
IIX. Financing
IX. Construction, Operation and Maintenance
X. Contextual Case Studies
Our hopes is that this Guide N,-ill provide the basic background information
needed to develop a regional biomass heating system and give some background
on developing biomass technologies. The guide N611 direct people to the
appropriate resources to find out more information and begin an endeavor of
their own.
The folloyying planning phases do not always proceed in the order indicated
thrn,ighn,it this g„ ide and there is often overlap in timing. However, the phases
are here to provide guidance and to identify what can be expected when moving
from the scoping phase through subsequent phases of a biomass project.
T. PROJECT SCOPE & PROJECT TEAM
Time line here
Biomass projects always start Nyith a vision, whether it is to reduce
ul Ian�F ; coil +,. is to -,'j' local and e. -abl r
.ppein ae.1c-.. �. _ 1 1 _e1ti nr w _iL Ze - .-- ..uu r2 1�.,�;.�_2 resource.
When initiating a biomass project, it is important to define the project
!] object-,
., l,- 'rll; n Ike jnn++i, nm n,n fi,nn cJnrl
scope and Ou�eVuv V3 early on. l llis all L11 prod l l w rl uluul lv�ll
with clear objectives, to star on tract: as it progresses, and to identify
,,r�iect Qans- A significant Dart of this process is to determine yv-hich
I uildings in the community- Nvjll be included in the heating project and
how many BTU's they require.
nl 4 +l,o mnct ink,,. h unt blµt nffp�, n� erinnker� onmr,nn ntc of
V 11 �. lJl Lill. 111VJ1 tl , rPva_e.. �.�
o+;+„+;n(r n rnn o, vnl',ln on circ7v 7,rMoof- is i(1Pntif\-ina :i nrnipot oh'1m nlnn
Institu�ing a ll n O�uvIl. energ.i l)lroj v I -I .l�l..I �.b .. t,�_J- I Y_"__•
The champion can take the form of an individual but often manifests
itself as an organization such as a non-profit for a Native Corporation.
Tlie cunoecc of mnct rural energy cx-stems rely on the chamninn s a_1-lty
to leverage resources, use their influence to gather support and provide
the needed momentum behind a project. This may involve advocating
till a �J1 V�el, L, l,iJ iJ iiiiiici Liiig i,viii iii iirii l'v . e,i, 11 ig, .D.. uvv. ig .. pr��c .,�
y%rith local entities, connecting w-ith permitting and funding agencies, and
making sure the project is on task and moving forward according the
schedule. This indi-v iduai or entity may alreaciv be a iocai'leader.
However, they may also be a local resident that is interested in biomass
development or an individual affiliated with a local government entity or
organization.
Discuss role of developer introduce ATNU s to the picture
Developing a project team early on will help when developing the scope
and objectives. The project team xv ill vai-y based on size and specifics of
a project, yet it most often includes:
project developer
city- government
state, federal, or private division of forestry
tribal government
village corporation
local regional partner organizations
II. PUBLIC OUTREACH J COMMUNITY
TNVOT VE.MF,NT
Without the support of the community, it Nyill be extremely difficult to implement
a biomass system. Providing opportunities for early and meaningful public
involvement during the planning, permitting and construction pleases is crucial
tnbac x%nrl ing ono -on -
for a SLcCeSSfl1 biomass project. Holding OmmLmltc nPei,
one xv ith landowners and providing a period of public comment are opportune
ways for project developers to both educate the community on the project and
better understand the communities concerns. This can be a time and resource
intensive process, but is necessary for providing the community kith project
information, addressing public concerns and ensuring that the project is suitable
for the community. Possible methods of public involvement include:
• Public forums and meetings
• Community workshops
• Formal public hearings
• Public education campaigns
it '�l i-..� t 1. � the champion + rally - support for the project Small
i� xxiu vc the rOic of ulc coolie ivn �O iui v .�u i � ivi the project.
communities often have complex social dynamics and these are an important
consideration xxithin the project. Haring a champ_ ion xtiith leverage N,y ithin a
comml_ ,iity Nv111 assist in this process.
III- RESOURCE ASSESSMENT AND
SUSTAINABLE SUPPLY
1UC! R F T 'R 'F q � T'R C F
1
One of the first steps of deciding xx-hether a biomass project is the right fit
for a community is understanding what natural resources are available and if
they can be harvested and transported in an environmentalh and economically
feasible manner. A community must understand which forest resources are
available to them and take several factors into account including but not limited
to:
• -Land o .-nership
• -Forest Density (tons per acre)
• -Forest Composition
•-Regrmyth Rate
• -Sustainable supply-
• -Harvest cost
• -Proximity to village
• -Transportation of resource reference design and construction
section)
Several entities exist that are capable to performing these surreys, and in some
cases, there in information already available in databases. These studies xcili
most llhely include Gi l S based forest inventory and imagery as �1"211 as physical
forest surveys. If the land is onmed by federal or state entities, they NNU often
partner with the project and help to perform these surveys and explore the
nntinnc of n hnr�-Pctina plan, Thhere dire -also mangy options for prig atelv n��ned nr
.. . .� _ . - a r r
nntix-P rnrnnrntinn lnnd_
STATE:
Biomass resources on state-owned land fall under the jurisdiction of the
Department of Natural Resources (DNR). If a community has access to state land
and is interested in developing a harvesting plan of a biomass resource, then can
contact the state inventory director to begin a resource assessment, and 'discuss
the options of harvesting on this land,
nut in contact for Doug Hanson at DNR-Forestry here
FEDER AT
Bureau of Land Management (BLM' oversees the natural resources oil the
National SN-stem of rublic Lands . If it is possible for these lands to provide the
material necessary to sustain a biomass operation there is currentl`v' an
encouragement from the National level to do so. Most of the remaining BLM
lands are not immediately adiacent to rural communities but some are fairly
close. If a community is close to BLM land and is interested in exploring the
possibility of harvesting material for biomass applications, they can contact their
local BLM Field Office. Once a community has expressed interest, the BLM office
kill work to quantify the resource available, prepare the necessary environmental
ncc cmontc and if it i� a :labia option, .'Pin a nthnrl to �,�� 1 I I ___l ____
u,Sessm,n.nt1s, and i � � r i , develop in. hrvi or
onmmvfnity to harvest the material. (This usually results in a Stewardship_
contract between the community and the BLM.
(lnsertjzeld office contacts% Eric Geisler contact here).
NATIVE CORPORATION LAND/ NATIVE CORP.
In preN ious projects, the state division of forestry- has offered technical assistance
fnr nrniaotc nn nrivntP lnnrl nr lnnd ni�,-nPd by n Nntivo ('nrnnrntinn, Tn
eANlnre this oNtio'n onntnet Tlnµin N,-inµinn (iictod nhove), Nnn-an'ernment
a�
::++1-...+ 1. +1-,villa-
entities+n t�niri-i�m�cc roc�iirno �ri�
aloV exist that ����oriV N�'itll illes o asses ui�.0 viviiluoo
develop a sustainable harvesting plan.
Discuss the detail's of this option:
r�"""" _1iEti�tilLEt4i jtii�diicg�nrjesii�tiity
L_*_ ; , a
The D1Vlt o Qf\lsion of frestry o11Cr5 a steVVardSllip prdllhllfbrant k4:011LaCL JC11
graham).
insert Alaska Wood Energy Associates, contact Bill Wall
and Tanana Cheijs Forestry Department, contact Will Putnam
However, just because studies demonstrate a good supply of wood does not mean
that it has an ideal biomass resource infrastructure that is suitable for
development. There are many other factors to consider.
TRANSPORTING MATERIALS
Transportation of materials from these lands in areas where no roads exist can
present operational challenges, therefore each area Nall present unique
circumstances, but many will have similar solutions. Winter access ism possible in
lilan: cases and Y'1Uter LLClrlJport may be CL viable soptloll for Some (Refe1eTj ljce
c,k-ctc�m rlAcian cP�tinn ac x% ac nPrmittina cPotinnl
SOCIAL RESOURCES
Community support, a dependable champion, and a responsible developer are
just as important as a natural resources. (See Project Scope and Community
Involvement.)
Workers will be needed for both haryestin; yN"ood and running the equinnietlt.
This can be a desirable aspect of the nro;ect as It NNill create local obs. Ensuri lng
th�it thare ire rnpnble and be an important step.
HARVEST pIAN
Once resources have been assessed, a sustainable, long-term harvest plan must
be developed as well as a support structure to ensure that this plan will be
enforced for vears to come.
*Alaska Department of natural resources: Stewardship ulannina
ants
TIMBER SALES AGREEMENT
(See system desiizn).
ITT. FEASIBILITY STUDIES
Once a resource is assessed, the project developer x iii �Nani io deiei`iuiiie y,iietlier
^t rrr-.i�nt t.nii 1,o - —s ;i^]n ^- A ^nnr.i:mino��t' rn�ii +';n Qn-rn nnr, ider-atir�nc
or lll%L a yll V�l.VI VV III "L llS�U)IV, _11VI l.1.V 11V 11111.U11,' iVullS llli. IJVIllV VVS1S 1.1 V%L1U
in these studies Neill include:
TECHNICAL FEASIBILITY
• A sustainable source of biomass is available (see Forest Resources above)
• The project permits and other authorizations can reasonably be obtained
A site is available and suitable for the proposed ha: estir�g s; stem
The project technical and environmental rill:s are reasonable
• The proposed biomass system can reliably produce and deliver heat or
ener-- as planned
• Transporting harvesting equipment to site and transporting harvested
biomass to a facility is feasible
ECONOMIC FEASIBILITY
• The project is shown to be economically feasible
• The project has an adequate financing plan
• A metric for net simple payback (NSP) has been calculated
Many of the financial resources listed in (section below) include funding for these
studies.
YII. SYSTEM DESIGN
BUSINESS PLAN
who Neill open the system?
Native corporation/ private owner?
who is responsible for maintenance?
is there an opportunity for expansion?
HARVESTING SYSTEM
1_V11J1UCLaL1V11J
-har<-est7ng equipment
-transportation of �,\Tood to facility
-On Road vs. Off Road system: discuss options available to both types of
communities and road alternatives (ie. ice roads, barging on riser etc.)
BOILER SYSTEM
Various types of wood fired boilers exist on the market. Different models utilize
different resources and have distinct advantages and trade-offs. Choosing the
right system for a community is an important process and requires a
consideration of different technologies as well as materials and resources availble
in a commlumty. The tWO most common systems are stick or cord wood fired
1-inilr�rc �anrl rl�i7� i-ir�rl hnilPrc
STICK FIRED BOILERS: Burn minimally processed round or split wood.
Wnnd is celerterl h-,- diameter and trimmers fnr length nr split, The b»rner is
manually fed and started.
Advantages: Low unit costs for wood. not subject to equipment breakdowns
";caA%T11Arit""A1Q- gi-i(It hnilPrc mT7ct hP mam7al1v fPrl to meat (Ipmanrl whin' can
i 1 ]__-'__-_-__i___ months.
it ml l__-______�'_� L__
De up to e%ery 4 hours during v6nLer months. ihis can -e remedied UV
installing an additional boiler, but this will greatly heighten the project cost.
Because these boilers are particular about the size and shape of wood they burn,
much of the available biomass cannot be used.
Best Use:
CHIP FIRED BOILERS: Chip boilers burn chiped-up wood from any size or
part of a tree. Chipped biomass is stored and then fed and burned by the boiler
a17tomati_ea11y.
Advantages: Almost all available biomass can be utilized « th this type of
boiler, The .System is almnct fi111v mtnmaterl ,end rin rein for long periods of
time kith no supervision
Disadvantages: Fuel is more expensive on a unit basis as it must be processed.
Because the system is highly mechanized more skilled labor is needed for repairs
and there are more potential failure points.
Vest TTse;
Reference the Buyers Guide to Small Commercial BCS.
DISTRI13 _ TION & BUILDING INTEGRATION
Combined Heat and Power (CHP) systems:
Introduce and explain technology in development, suggest that expansion of
operation may be possible and this should be something that is considered in the
design process.
AT 'DV
HARVESTING AND TRANSPORTATION
If State agencies are involved in the project, the developer N611 need to fill out a
Detailed Plan of Operations (DPO) for the State's DNR Division of Foresty. After
the DPO is submitted, it is circulated internally to other permit granting state
agencies to ensure that the harvest end of the project is issued all the proper
permits.
DNR office of I-IaIDitat :::an,�A" l::ent ails Y it r_rmittin�
"ba"b
title 16 fish habitat permits.
Ice Rridge/ Road construction
Environmental Impacts statement
DNR: project specific permits- usually for a timber sale: 3-10 yrs.
CONSTRUCTION
Fire 'Marshall review- of proposal Permit
Building permit (not necessary in certain circumstances in very rural areas).
AIR QUALITY
Because biomass burners emit particulate matter into the air, air quality permits
must be obtained in some cases. The Alaska Department of Environmental
Conservation (DEC) issues these permits. The permitting process gill depend on
tf1P amount of emissions created by a commt_]nitc's biomass system. This
information can most likely be obtained by the boiler manufacturer. Small-scale
systems that have ven- low emissions N611 often require no state permit at all.
Larger systems need a minor permit to authorize construction of the facility-
while veiv large systems NN-ill require this minor permit as well as an operating
permit to monitor emissions. For larger systems who need assistance N\-ith the
permitting process, the DEC offers private contracting.
i,__,t_ 4 as �_ , ,)
(u��Ltctti ��7i(L J-uu�en .-��5-J��GJJ
-i i 17T rXT A XT0TXT�('_'
r 1 0 1. 11\1 X-L 11 11t7
Create :Master Chart for both state and federal fundim
"TATE FUNDING
AEA Renewable Energy Fund Grant
Denali Commission
uvlily nuiai iievelop1 ent- (Hnch de Ldese� iyuv�is o cuwc p-royi u—n—t- re I
L rl l »mot nnrr i 1 o f fi " r " v i'u.i'uc u2i%ctvyii «i « wr i lJ�iw t�ow'i2 vJ J ui7t,.tiity uv� /
-B&I loan program
-REAP loan
_T2FAP grant
'n. �.1.
For the most up-to-date information on USDA Rural development
funding programs, or to request an application, Contact Chad Stovall
(i;LULuue MIS l
T-)NTp_ f f rS�Ct n lT r r�� �P +p( 1lYl] 1l aCC1Ct?Tl P (not finding) such
ui ♦ iviv i♦ vi va 1. F v..-�.�-
as resource assessments and sustainable planning assistance
FEDERAL FUNDING
-DOE: tribal energy
-DOE: Regional Biomass Energy Partnership
-1vaTionai i oresi 3ei�TCe: i UR-grants (prot'itiitS TaU: niauTSoil)
-B_('ya U program ( I IS I1 A farm hi I I 1
Private Financing (PPT)
X. CONSTRUCTION OPERATION &
A/LA-INTENANCE
labor force
-Energy- sales agreement (if a private organization is handling the resource side)
-Land secured
-Boiler operations functioning
-Wood energy- business model/ plan functioning
-
Ll cl Inn llb allU cap al.l L� Vu11%A111b IUill.LIv111118
-technical supported
-boiler is being fed.
C ASE. STTTDY — FORT YUKON
Location:
Utility Provider:
Project Timeframe:
Energy Champion:
Project Overview:
Local Cooperating Organizations:
Project Site:
Permitting:
Su-p-piier:
Operation/Maintenance:
Lessons Learned:
Power Generation:
Savings:
Cost:
Funding:
Important Considerations:
CASE STUDY — CITY OF CRAIG
CASE STUDY -- TANANA
The following publications and websites were used when compiling
this information:
ADDITIONAL USEFUL AGENCIES & ORGANIZATION
STATE:
T)NP • T)PnartmPnr of 'Forestry
AEA
AIDEA
ACEP
AVZ
FEDEF?AL:
BLM
USDA
TJ.tiC'nA r-»ral decelnpment
Peital3itiilg Ageiliic� z�viataii i`aiivi aaiatirrii:
GLOSSARY
Biomass
Biopmver
Biofuels
Hvdronic Svstems
Combined Heat and Poxver (CHP) systems
Gasification
Chip -fed Svstems
GIs
Pellet Fed Svstems
Organic Rank -line Cycle (ORC) fluid systems
Stewardship Contract
Sustainability
BLM Lands
Glossary of Acronyms
CHP - Combined Heat and Poker
GIS - Geographic Information System
ORC - Oraganic Rani line CVcle
BLM - Bureau of Land Management
REAP - Renewable Ener�,�- Alaska Project
REAP (USDA rural development) - Rural Energy for America Program