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HomeMy WebLinkAboutKodiak Electric Association - Terror Lake Hydroelectric Project 2015Kodiak, Alaska Third turbine increases renewable energy to 99.7 percent Quick Facts FERC Project Number: P-2743 Total Project Costs: $18,336,969 Funding: REF, Local, State, & Federal Funds Capital Costs Development: $959,903 Construction: $17,377,066 Project Specifi cations: Unit 3 Make/Model: Vertical Axis 6-Jet Pelton Output: 11.25 MW Hydraulic Capacity: 136 cubic feet per second (cfs) Static Head: 1,136 feet Reservoir Storage Volume: 118,000 acre feet Annual Energy Generated: 130,000,000 kWh Annual Facility Fuel Savings: 9,000,000 gallons Facility Capacity: 34.5 MW Diesel Fuel Off set (Unit 3) Estimated Annual: 827,076 gallons Actual Annual: 827,000 gallons Fuel Savings (Unit 3) Estimated Annual: $2,858,374.66 Actual Annual: $3,680,000 Terror Lake Unit 3 Hydroelectric Project Project Overview Over a period of several years and three grant applica- tions, the Kodiak Electric Association (KEA) part- nered with the Alaska Energy Authority to complete the feasibility, design, and construction of a third turbine in their existing hydroelectric plant. Th is third turbine is capable of producing an additional 11.25 megawatts for the facility, bringing capacity to 31 MW. Objectives Th e main objectives of this project were to expand the capacity of Terror Lake Hydroelectric facility and to reduce KEA’s dependence on diesel fuel by providing additional hydropower to cover peak loads and outage backup for the other two hydro turbine generator units. Economic Feasibility Th e third turbine became operational in January of 2014. Since then, it has generated 12,406 Megawatt hours of electricity and displaced 827,000 gallons of diesel fuel. Th is displacement has saved KEA $3,680,000. Over its 50-year projected lifespan, the project has a calculated benefi t/cost ratio of 2.21, meaning that the project will see a 221 percent return on investment. Project Specifi cations Terror Lake is KEA’s primary generation source and is located approximately 25 miles southwest of Ko- diak within the Kodiak National Wildlife Refuge. It provides power to both Kodiak and Point Lions. Th e original engineers of the Teror Lake facility had the foresight to design the facility for expansion to three turbines. Th e design assumed that one day additional capacity would be required. Th e third phase of the project involved the construction and installation of the third hydropower turbine-generator unit in Unit 3 6-Jet Pelton, photo courtesy of Naes.com. to 99 7 percent an empty bay in the Kodiak Island Powerhouse. Th e static head, or distance in elevation from the dam to the powerhouse, is 1,136 feet. Th e higher the static head, the more power produced. Th e dam itself is 193 feet high and 2,400 feet long. An attached 3,100-foot penstock connects the 5-mile power tunnel to the powerhouse. An 18.6 mile transmission line connects the switchyard near the powerhouse to the substation in Kodiak. Allocation of Funding Th e Alaska Energy Authority’s (AEA) Renewable Energy Fund contributed $4,224,418 for the feasibility, design, and construction of the project. A loan provid- ed by the Clean Renewable Energy Bond contributed $10,532,183 for feasibility, design and construction as well. Other state funding provided $3,580,368. Learning Experiences/Challenges 1. Th e facility was expected to be installed and placed into service by November of 2013. Due to construc- tion taking slightly longer than anticipated, the project did not become operational until January of 2014. Th e station is located about 25 miles from the city of Kodiak and is accesible only by air or boat so barging and fl ying in of materials had to be managed extremely effi ciently to complete the project in a timely manner. Community Benefi ts 1. Th is project has helped KEA realize their goal of a 95% renewable energy future. With the hydro project and Pillar Mountain wind project, KEA is producing energy with 99.7 percent renewables. Th e generation cost of electricity with the hydro project is 14 cents/ kWh instead of 28.9 cents/kWh with diesel fuel. In 2014, the Alaska Energy Authority and KEA received the State Leadership In Clean Energy award in recog- nition of the Pillar Mountain and Terror Lake facilities that adopt clean energy technologies and strengthen clean energy markets. KEA’s electric rates are one of the lowest of any electric cooperatives in Alaska. 2. Th anks to the installation of the third turbine-gen- erator unit, KEA is now able to support the increased electric load in the community and stably integrate additional renewable energy sources onto its isolated grid. It has also allowed for new economic develop- ment in Kodiak. Seafood companies are choosing Kodiak as their regional processing hub partly because the electricity required to process and freeze seafood products is aff ordable and stably-priced. Th e US Coast Guard Base is able to meet their federal facility re- newable energy requirements with KEA’s allocation of Renewable Energy Credits. Th e city is also installing a bigger, faster, more energy-effi cient electric crane at the local shipping port. All of these benefi ts stabilize and grow the City of Kodiak while supporting eco- nomic growth around the state. Project Contact Information Owner: Kodiak Electric Association (KEA) Phone: 907-486-7700 Engineer: Hatch Associates Phone: 907-561-2800 Contractor: NAES Power Contractors Phone: 1-724-453-2800 KEA contact: Alice Job, KEA Email: ajob@kodiak.coop Case Study Author: Zoe Tressel, AEA Website: Akenergyauthority.org Phone: 907-771-3000 Terror Lake Unit 3 Hydroelectric Project Terror Lake hydro facility, photo courtesy of AEA.Published August, 2015 “By generating additional hydropower capacity, this project also allows for increased wind generation in Kodiak.”