HomeMy WebLinkAboutNorth Slope Borough - Point Lay Heat Recovery Project - Sept 2016 - REF Grant 2195467; 7040027Point Lay, Alaska
Heat recovery project reduces local energy costs and emissions
Quick Facts
Total Project Costs: $435,503
Funding: Renewable Energy Fund & Local Match
Capital Costs
Design: $39,591
Construction: $395,912
Equipment
Generator Make/Model: Caterpillar 3508 (Marine)
Output: 682 BKW, or 915 BHP
Diesel Fuel Offset
Estimated Annual: 6,000 gallons
Actual Annual: 20,000 gallons
Aug. 2013-Dec. 2014: 20,000 gallons
Fuel Savings
Estimated Annual: $46,000
Actual Annual: $98,000
Aug. 2013-Dec. 2014: $98,000
Benefit/Cost Ratio: 1.37
Simple Payback: 4.4 years
Point Lay Heat Recovery Project
Project Overview
In partnership with the Alaska Energy Authority
(AEA), the North Slope Borough (NSB) designed and
constructed a heat recovery project in the community
of Point Lay, Alaska. The system connects the NSB
Health Clinic, Search & Rescue Office, and Police
Department to their diesel-generated power plant.
These buildings utilize recovered heat from the plant
that would otherwise be emitted into the atmosphere
via radiators.
Objectives
The project objectives were to deliver recovered heat
from the diesel plant to several buildings in Point Lay
and to reduce heating costs to the power house.
Heat Recovery-How it Works
As a rule of thumb, engines are 30 percent efficient.
That is, of the fuel energy input, 30 percent each goes
to horsepower, jacket water heat, and exhaust heat.
Ten percent goes to radiation and other losses. Jacket
water cools the engine by dissipating almost 28 per-
cent of the heat it generates. This heat is low grade and
is sent to the atmosphere using radiators or cooling
towers. Heat recovery is a unique system that takes
heat captured in the jacket water and harnesses it for
space heating. The jacket water loop is isolated from
the building heating loop by a heat exchanger so that
the heat recovery system does not impact engine per-
formance.
Economic Feasibility
The system became operational in August of 2013.
Between August 2013 and December 2014 it produced
2,153 MMBtu of thermal energy and displaced 20,000
gallons of diesel fuel. This displacement has saved
Point Lay $98,000. If the project continues to operate
at this level it will pay for itself in less than five years.
Diesel engine with attached
heat recovery system, photo
courtesy of AEA.
Allocation of Funding
The Alaska Energy Authority’s Renewable Energy
Fund granted $395,912 for the final design and con-
struction of the heat system. Local funds matched
$39,591 and contributed to the construction.
Relevant Information
The heat recovery system is designed to reduce the
amount of fuel consumed at the end user building and
is not intended to serve as a primary heat source. The
heating system in the end user building must be fully
operational, maintained, and set to operate at appro-
priate temperatures to allow the heat recovery system
to function. The amount of heat available for recovery
varies with the electrical load on the generators.
Learning Experiences/Challenges
The new Point Lay power plant and heat recovery
system was completely destroyed by fire in October of
2011 as it was nearing the completion of the construc-
tion phase. Luckily, the original power plant was still
in operation and was not damaged by the fire. The
cause of the fire appeared to be sparks from welding
that ignited during the night. Proper safety oversight
and burn permits could have prevented this. The
North Slope Borough and the construction contractor
were insured, but the rebuild of the system delayed the
project by two years.
Community Benefits
The primary community benefit of this project is the
lowered cost of heating the North Slope Borough com-
munity buildings. The savings to the community can
be added to the maintenance and equipment replace-
ment funds to offset future costs.
Other benefits include local construction jobs, a clean
energy source, increased heating reliability, increased
system-wide flexibility, less air pollution in the village
from decreased fuel use, lower probability of fuel spills
in the village, and reduced maintenance of heating
plants in each building.
Project Contact information
Parties Involved:
Richard San Jose, NSB project manager
Email: richard.sanjose@north-slope.org
Phone: 907-852-0489
David Hodges, NSB Dept. of Public Works
Email: dhodges@gci.net
Phone: 907-243-1940
Case Study Author:
Zoe Tressel, AEA
Website: Akenergyauthority.org
Phone: 907-771-3000
Portion of heat recovery system, photo courtesy of AEA.
Point Lay Powerhouse, photo courtesy of Skweskimos.com
Point Lay Heat Recovery Project
“Project benefits include local construction jobs, a clean energy source, increased heating reliability, increased
system-wide flexibility, and much more.”
Published August, 2015