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HomeMy WebLinkAbout13, UAMPS Kern River Waste Heat Project Workshop Item # 13 March 19, 2014 ProjectKern River Waste Heat –UAMPS UAMPS 2 moved into a study projectThe UAMPS Kern River Waste Heat Recovery Project has •generation resources prior to starting a study projectThe Resource Project is used to investigate possible •The District is in the Resource Project at UAMPS•Background / History ProjectKern River Waste Heat – New Information ProjectKern River Waste Heat –UAMPS 3 This project is entering the power sales contract phase•7,800 KWThis proposed generation will be sized at a capacity of •off waste heatThe Veyo site consists of three compressors that each give •Utahcompressor site of the Kern River natural gas pipeline in The Kern River Waste Heat project is located at the Veyo •Project Status– New Information ProjectKern River Waste Heat –UAMPS 4 enters the oil heaters thus closing the cycle-The cooled down oil re•The heat is transferred to the energy converter•flow design within the waste heat oil heaterBy cooling the exhausted gases, thermal oil is heated up in a counter •the energy converter The waste heat oil heater is connected to the vaporizer/preheaters of •installed on the exhaust side of each of the gas turbineThe heat recovery system will be composed of waste heat oil heater •exhaust gases The proposed heat recovery system will use the waste heat from •Waste Heat Technology– New Information ProjectKern River Waste Heat –UAMPS 5 New Information Oil HeaterWaste Heat Bypass/ Diverter Exhaust Stack ProjectKern River Waste Heat –UAMPS 6 New Information Waste Heat Thermal Oil Loop System in Generator YardGenerator Yard ProjectKern River Waste Heat –UAMPS 7 New Information SystemGenerator Yard Including Cooling Tower in Foreground ProjectKern River Waste Heat –UAMPS 8 New Information 7,800Total993Roger CarterWashington1,772Stephen HollabaughTruckee Donner163KummerKent Spring City338Jack TaylorSanta Clara1,752Mark MontgomeryLogan1,950Joel EvesLehi832Bruce RigbyKaysvilleEntitlement KWRepresentativeParticipant (City or PUD)ProjectKern River Waste Heat –UAMPS 9 Participants– New Information ProjectKern River Waste Heat –UAMPS 10 annually2% 2)O&M costs increase at —year) plant output degrades at 1/2 percent a 1—MWhFirst year cost: $55 per —MWh25 Year Average Cost: $63.32 per —:Outputs•assumptionstransmission costs, conservative Inputs: 25 year financing, fixed costs, operations, capacity factor, •Heat Recovery Pricing Model: (estimates the cost of the project)Proforma•Pricing Model– New Information Five-year Market 2012-17 (Exist)Trans Jordan - Land Fill GasStampede - Small HydroFallon Exchange for StampedePleasant Valley - WindPayson - Natural GasHorse Butte Wind - WindOpen Position-UAMPS Pool / Mkt Existing Portfolio2025-Resources (MWh) By Year 2014 180,000160,000140,000120,000100,00080,00060,00040,00020,0000 ProjectKern River Waste Heat –UAMPS 11 How this fits into portfolio– New Information Five-year Market 2012-17 (Exist)Five-year Market 2017-22 (New)Trans Jordan - Land Fill GasStampede - Small HydroFallon Exchange for StampedePleasant Valley - WindPayson - Natural GasHorse Butte Wind - WindOpen Position-UAMPS Pool / Mkt 2022 Market Purchase-with 20172025-Resources (MWh) By Year 2014 180,000160,000140,000120,000100,00080,00060,00040,00020,0000 ProjectKern River Waste Heat –UAMPS 12 New Information Five-year Market 2012-17 (Exist)Five-year Market 2017-22 (New)Trans Jordan - Land Fill GasStampede - Small HydroFallon Exchange for StampedePleasant Valley - WindPayson - Natural GasHorse Butte Wind - WindKern River Waste Heat 2017Open Position-UAMPS Pool / Mkt 2022 Market Purchase-2017with Kern River Waste Heat 2017 &2025-Resources (MWh) By Year 2014 180,000160,000140,000120,000100,00080,00060,00040,00020,0000 ProjectKern River Waste Heat –UAMPS 13 New Information ProjectKern River Waste Heat –UAMPS 14 to Bond CounselDistrict counsel completes legal opinion and forwards -5/20 •Contract Power Sales of approval Action Item, proposed -District Board meeting -4/16 •Project (tonight)River Waste Heat Workshop to discuss Kern –District Board meeting -3/19 •attendedGross Steve –attorneys Power Sales Contract review with participant -2/28 •– Fiscal Impact ProjectKern River Waste Heat –UAMPS 15 Cap and Trade sales represent a savings of $7 per MWh in 2018—enable us to sell more allocations in the Cap and Trade auction —will reduce the carbon in our portfolio—This generation is carbon free•$55 per MWh the first year (2017)—MWh over 25 years The 1,772 KW subscription is estimated to average $63 per •7% portion of the electric supply portfolioThe Kern River Waste Heat Project will represent a future • Recommendation ProjectKern River Waste Heat –UAMPS 16 Receive this report and provide feedback to staff•