Transcript Dana Point Ocean Desalination Project

Dana Point Ocean
Desalination Project
Project Update
May 2007
Summary
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Construction of a 15 million gallon per day Dana
Point Ocean Desalination plant using a slant well
subsurface intake facility to produce about
16,000 AF per year is FEASIBLE
Project cost = $136 million
Cost of water = $1287 per acre foot
The project is sensitive to environmental issues
and supported by Surfrider Foundation and
others
Work completed is of benefit to the San Juan
Groundwater Basin
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Dana Point
Ocean
Desalination
Project
Facility
Layout
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Dana Point
Ocean
Desalination
Plant
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15 MGD meets about
half of the 2025
water demands for
Laguna Beach, San
Clemente and South
Coast WD
For all eight SOC
agencies, demands
are currently about
115 mgd; meets
about 13% of
demands
Dana Point Ocean
Desalination Plant
Service Area
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What we want from you?
Understanding of project potential and risk
 Info needed to enable decision by local
agencies to move project forward
 Interest in forming a JPA to move the
project forward
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Why Ocean Desalination?
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Supply Reliability
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New dependable potable water supply source
Independent of hydrologic cycle
Consistent with MET’s IRP
Delta export risks (Earthquakes, Fisheries)
Climate change
Threats to import supplies
System Reliability

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Local supply under local control
Supply at end of distribution system
 Emergency supply at constant delivery rate
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MET Funding
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Challenges to
Water from
Northern California
San Francisco Bay/
Sacramento - San
Joaquin River Delta
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Hub of State’s water system
Degraded ecosystem/fishery
Vulnerable levee system
Peat soils/drainage – DBP
precursors
Climate change, flood and
water supply impacts
State
Water
Project
Sacramento
Delta
San Francisco
Los
Angeles
Aqueduct
Los
Angeles
Colorado
River
Aqueduct
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Historical Island Flooding
(since 1960)
Sacramento
New
Hope
Brannan Island
Sherman Island
Bay
Area
Webb Tract
Holland
Tract
Tyler
Venice
McDonald
Tract
Stockton
Jones
Tract
162 Delta levee breaches have occurred in past
century
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Challenges to Water
from the Colorado River
 Growth in other
basin states
 Over allocation
 Climate change,
extended drought
 Mexico claims
 Salinity and water
quality
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South Orange
County
Challenges
 Imported water = 95%
of potable supplies
 Single water treatment
plant and two pipelines
serve more than
500,000 residents and
businesses
 Few local resources
 Emergency outage of
the import system could
cause significant
economic problems
Diemer Filtration Plant
Dana Point Ocean
Desalination Site
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Multi-year investigations
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2002 proposal to MET to preserve $250 per AF
incentive for 28,000 AF ($174 Million)
2005 test borings determined depth and verified
highly permeable alluvium at shoreline
2006 test slant well demonstration project
2006 SOCWA Outfall Capacity Study
2007 SDG&E electrical service study
2007 Groundwater modeling results: 30 mgd
ocean intake is feasible to produce 15 mgd of
potable water
 Drawdown
impacts to South Coast wells can be
mitigated
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Test Slant Well
Test Slant Well Drilling Site
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Test Slant Well Schematic
Ocean Surface
23o
Main Aquifer
40 to 130 feet ±
Infiltration
Test Slant Well
325 feet
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Subsurface Slant Well Intake
System Advantages
 Avoids ocean impacts from construction and
entrainment/impingement
 Provides pretreatment benefit and shock load
protection against red tides, storms, etc.
 Functions as a ocean water intrusion barrier
 Cost-effective technology and potential lower
life-cycle costs compared to conventional
intake systems
 Work to date supported by environmental
organizations
 Letter of Support from Surfrider Foundation
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Drilling Site on Doheny Beach
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Dual Rotary Drill Rig
Test Slant Well
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Testing Set Up
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Dual Rotary Drill Rig
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Welding Screen
Joints
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Feedwater
Supply Facilities
Desalination Plant Site
Subsurface Slant Wells and
Buried Collector Intake System
SOCWA Outfall
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Key Findings from Engineering
Feasibility Report - 1
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Project Sized at 15 million gallons/day (MGD)
Distribution of water to South Coast, San
Clemente, San Juan Capistrano, MNWD and
Laguna Beach is FEASIBLE
Subsurface intake system is the lowest cost and
least impacting feedwater supply option
Makes good use of existing facilities
 Concentrate
disposal capacity available in SOCWA
Ocean Outfall
 System integration is straightforward
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Key Findings from Engineering
Feasibility Report - 2
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Subsurface water is naturally filtered;
treatment before reverse osmosis
membranes is not necessary – saves $30
million capital and $50 million life cycle
Groundwater Modeling predicts low iron and
manganese levels – treatment not needed
Extended pump test and pilot plant is
necessary to verify findings and to complete
check on groundwater modeling work
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Key Findings from Engineering
Feasibility Report - 3
Capital Cost
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Estimated Base Cost
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Contingency Allowance
Total Budgetary Cost
O&M Cost
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Energy Purchases
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Other O&M Costs
Total O&M Cost
$104 M
$32 M
$136 M
$7.0 M/yr
$4.7 M/yr
$11.7 M/yr
Notes: (1) Electrical energy at 11.5¢ (SDG&E applicable rate)
(2) Land and site preparation in contingency
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Unit Project Costs
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Project Yield
 Capacity
at 15 MGD
 Yield at 95% Load Factor = 15,962 afy
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Cost Per Acre-Foot of Yield(1)
 Capital
 Energy
 O&M
Total
$552/af
$438/af
$297/af
$1287/af
Notes: (1) i = 5%, n = 30 years
(2) Electrical energy at 11.5¢ (SDG&E applicable rate)
(3) Land and site preparation in contingency
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Project Costs vs Future MET Treated
Water Rate
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How do future projected MET treated water
rates compare with the ocean desalination
project costs
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MET rates are anticipated to escalate at 4% to
6% per year for next 10 years
 Projected rates beyond 2016 are subject to
many issues – CALFED (Delta fix), replacement
and refurbishment costs, power costs,
environmental mitigation, etc.
 Hard to predict future MET rates
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MET Treated Water Rate
2000
1800
Historical
1600
Projection
1400
Long-Term
Projection = 2.5%/yr
1200
1000
800
600
400
Historical Rate = 5%/yr
200
0
1955
1965
1975
1985
1995
2005
2015
2025
2035
2045
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Project Unit Costs vs MET Rate
1800
1600
1400
$/AF
1200
1000
Project Unit Cost $/AF
$1287
-250
$1037
MET Rate
800
600
400
200
0
2010
$718 (T1+Cap+RTS)
Note: Unit cost is for a $136 M 15 m gd facility. Assum es MET
$250/af subsidy. Assum es long-term inflation at 2.5% on all
O&M except energy w hich is based on long-term estim ates
2015
2020
2025
2030
2035
2040
2045
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Project Unit Costs vs MET Rate
1800
1600
1400
$/AF
1200
1000
Project Unit Cost $/AF
$1287
-250
$1037
$319 per AF
800
200
Reliability Premium
$718 (T1+Cap+RTS)
600
400
MET Rate
= $56 M (present value)
Note: Unit cost is for a $136 M 15 m gd facility. Assum es MET
$250/af subsidy. Assum es long-term inflation at 2.5% on all
O&M except energy w hich is based on long-term estim ates
0
2010
2015
2020
2025
2030
2035
2040
2045
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Project Unit Costs vs MET Rates
1800
3%
1600
Project Unit Cost $/AF
2.5%
1400
$/AF
1200
1000
$1287
-250
$1037
2%
MET Rate +/- 0.5%
800
600
$718 (T1+Cap+RTS)
400
200
0
2010
2015
2020
2025
2030
2035
2040
2045
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Ocean Desal Costs
Technology advancements will lower desalination
capital and O&M costs
 Membrane and energy recovery technology
 More
efficient and fouling resistant membranes are in
R&D and commercialization (e.g. UCLA, others)
 Improvements expected in pumping/energy recovery
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Advanced design solutions
 Larger
diameter vessels will reduce RO membrane
system and facility capital costs
 Other
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Energy Use Metrics
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Comparative Energy Requirements
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Desal + Distribution
 Imported water to SOC
 SWP GW-Ag Transfers
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3800 kwhr/af
3240 kwhr/af
3840 kwhr/af
Comparative Energy Use Metrics
 Desal
per capita
1.5 kwhr/day
 Personal Computer (4hrs) 1.1 kwhr/day
 Refrigerator
8.0 kwhr/day
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Dana Point Ocean Desalination Project
Energy Use by Unit Process
3000
Current
Technology
2000
1000
Pro
duc
tP
um
pin
g
is p
osa
l
Bri
n
eD
y
eco
v er
w/R
RO
Ca
rtri
dge
F
i lte
rs
0
Fe
edw
ate
r
kW-Hr/AF
4000
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KWHR/AF
per AF
kw-hr
4000
3500
3000
2500
Comparative Energy Requirements
for SWP, Water Transfers, & Ocean
Desalination at Project Site
2000
1500
1000
500
0
SWP
CV Ag Transfer
Desal
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Green Energy for Desal
Solar requires 2.3 acres and $8 to $10M
investment to develop 1 megawatt of
power for 6 hours per day
 SDG&E is working on attaining 20%
renewable energy portfolio by 2012
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Peak System Demand is 4290 MW in 2015
 Dana Point Desal Project is 8 MW = 0.2%
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Dana Point Ocean Desalination Project
A Multiple Purpose Project
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New south of Delta dependable water supply
Cost is fairly expensive
Protection from outage of regional system
 Benefits
equivalent to a supply rate of 23 cfs or a
storage volume of 1425 AF (31 day outage)
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Water quality benefit for recycling opportunities
Provides ocean water intrusion barrier for the
San Juan Groundwater Basin
 Especially
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helpful during extended droughts
Environmentally acceptable project
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Agencies involved to date:
 Federal Agencies
o
o
o
o
U.S. Bureau of Reclamation
U.S. EPA
U.S. Fish and Wildlife Service
U.S. Army Corps of Engineers
 State Agencies
o
o
o
o
o
o
California Department of Water Resources
California Department of Parks and Recreation
California Coastal Commission
California State Lands Commission
California Department of Fish and Game
SWRCB and San Diego Regional Water Quality Control Board
 Local and Regional Agencies
o
o
o
o
o
o
o
o
o
South Coast Water District
Laguna Beach County Water District
City of San Clemente
Moulton Niguel Water District
City of Dana Point
South Orange County Wastewater Authority
San Juan Basin Authority
County of Orange
Metropolitan Water District of Southern California
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Next Steps
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Outreach, Briefings and Formation of Joint
Powers Agency (JPA)
Extended Pumping Test and Pilot Plant Process
Study
 Cost: $3.6 to $4.2 Million
 Duration: 3½ years
 Schedule: June 2007 through Dec 2010
 Accept DWR grant of $1.5 M
 Seek Federal and Other funding
 JPA funding to initiate CEQA and Permitting
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Cost for Next Steps
 Local
agency costs for extended
pump test and pilot plant construction
and operation estimated between
$100,000 to $350,000 per year per
agency over next 3 years (depends
on outside funding and number of
agencies)
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Project Timeline
South OC Water Reliability Study
2001-04
Pre-Feasibility Study
2002-03
Hydrogeology Investigation
2004-05
Test Slant Well/System Modeling
2005-06
Engineering Feasibility Report
2006-07
Formation of Joint Powers Agency
2007-08
Agreements/Pilot Plant and Testing
2007-10
Project CEQA/NEPA, Permits
2008-12
Design/Build/Operate contract on-line
2012-15
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Project Funding and Grants
Goal is to get the local cost of the desal
water close to the cost of MET water
Work to obtain greater MET participation
Support efforts for tax credit bonds
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New Water Supply Coalition
 MET Board action to sponsorship Federal
legislation
Work to procure Federal and State grants
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