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HomeMy WebLinkAboutKwigillingok Wind Diesel Smart Grid 08-2015-WKwigillingok, Alaska Kwigillingok reduces energy costs by fifty percent. Quick Facts Total Project Costs: $3.2 million Capital Costs Design: $208,204 Construction: $2,991,796 Equipment Specifications Make/Model: (5) Wind Matic 17-S Rated Capacity: 95 kW Net Capacity Factor: 24.5% Rotor Diameter: 17 meters Hub Height: 24.4 meters Total Rated Capacity: 475 kW Diesel Fuel Offset Estimated Annual: 81,500 gallons Actual Annual: 14,000 gallons Feb. 2012-Dec. 2014: 24,000 gallons Fuel Savings Estimated Annual: $350,000 Actual Annual: $58,000 Feb. 2012-Dec. 2014: $102,000 Benefit/Cost Ratio: 1.63 Kwigillingok Wind-Diesel Smart Grid Project Overview In partnership with the Alaska Energy Authority (AEA), Kwigillingok Power Company (KPC) com- pleted the construction of a wind to heat project in Kwigillingok, Alaska. Five WindMatic turbines were installed in addition to 27 Electric Thermal Storage (ETS) residential heating units, a load regulator, and a Smart Grid control system. Objectives The objectives of this project were to provide the com- munity of Kwigillingok with a renewable, reliable, and cost effective energy source that would help displace and offset the expensive costs of heating fuel. Economic Feasibility The project became operational in February of 2012. Between February of 2012 and December of 2014, the turbines generated 293 megawatt-hours of electric- ity and 306 MMBtu of thermal energy. This allowed KPC to displace 24,000 gallons of diesel fuel, saving the community $102,000 in reduced energy costs. The project was estimated to have a benefit/cost ratio greater than 1 but has not performed as designed. Project Specifications The Smart Grid control system is a unique aspect of this project. A network of advanced meters receives information about the availability of excess wind energy. If available, the system transfers excess en- ergy from the turbines to Electric Thermal Stoves in peoples’ homes at a reduced rate. The meters commu- nicate wirelessly, provide a user interface for custom- ers, and account for energy sold at different rates. The Smart Grid enables 27 ETS stoves to capture and store excess energy for heating village residences. For resi- dents who have the ETS stoves in their homes, heating costs are reduced by 50 percent. Wind Matic 17-S Tur- bines, photo courtesy of AEA. “Utility manag- ers now have reliable access to real- time mechanical help from engineers and suppliers all over the world.” Allocation of Funding The Alaska Energy Authority’s Renewable Energy Fund contributed $1.6 million for design and con- struction of the project. The Department of Com- merce, Community, and Economic Development (DCCED) also contributed $1.6 million for the same project phases. Learning Experiences/Challenges One turbine experienced a drive train failture during operation. Because of this, there are four turbines cur- rently operating. Although this was a setback, contin- ued maintenance and developer involvement will aid these communities in preserving project longevity. Community Benefits With roughly 29 percent of village residents living be- low the poverty level and unemployment approaching 50 percent, Kwigillingok struggles under the burden of high energy costs. Before AEA’s Power Cost Equaliza- tion program, electricity costs $0.65/kWh (over four times the cost in urban Alaska) and heating oil has cost up to $9/gallon in recent years. Harnessing the local wind resource has enabled those with ETS stoves to substantially reduce their heating costs. As wind speed changes, Kwigillingok can control the power flows in its system by turning parts of the sys- tem on and off. They can also configure various com- ponents to minimize diesel generator use and optimize wind energy distribution. This project also provides several part and full-time jobs through the Chaninik Wind Group (CWG). The CWG is a nonprofit corporation formed by the villages of Kwigillingok, Kongiganak, Tuntutuliak, and Kipnuk with a goal to reduce the consumption of fossil fuels by 40% and replace fossil fuel consumption with wind energy production. CWG community members in all four villages went through wind turbine training to construct and maintain their separate wind projects. When residents pay their individual energy bills, more of their money now stays with KPC instead of going to outside fuel oil companies. This keeps money closer to home where it can help foster the local economy. With the Smart Grid installatio, utility managers have reliable access to real-time mechanical help from engineers and suppliers all over the world. Expensive support trips back and forth to villages have been practically eliminated. Project Contact Information Parties Involved: William Igkurak, Kwigillingok Power Co. Email: wmigkurak@att.net Phone: 907-276-6222 Case Study Author: Zoe Tressel, AEA Website: Akenergyauthority.org Phone: 907-771-3000 Kwigillingok Wind-Diesel Smart Grid Community member wind turbine training, photo courtesy of NREL. WindMatic 17-S turbine, photo courtesy of AEA. Published August, 2015