Transcript Combined Heat & Power

Resources for Clean
Energy (generation)
Project Evaluation and
Implementation
Patti Case, ETC Group
Electrical Generating Systems Association
Annual Fall Conference
Colorado Springs, CO
September 15, 2009
INTERMOUNTAIN CHP CENTER
www.intermountainCHP.org
On Deck
▪
▪
▪
▪
▪
What are the Clean Energy Application Centers
and what help can they offer?
Examples of CE-AC/supplier/end-user
collaborations
Stimulus & other funding for CHP, waste heat
recovery, and district energy
Other Colorado resources FYI
Colorado’s use of stimulus funds for energy
Origin of the Regional
Application Centers (2001)
▪
▪
Over 50 companies contributed
to National Roadmap:
◦
◦
Technology
Deployment
Determined need for a stronger
regional focus
◦
DOE/ORNL Working Group
suggests local “SWAT Teams”
◦
DOE EERE’s approach: CHP
Regional Application Centers
Eight Application Centers
Now Serve all 50 States
Northwest Region
www.chpcenternw.org
Midwest
www.chpcentermw.org
Northeast
www.northeastchp.org
Mid Atlantic
www.chpcenterma.org
Pacific
www.chpcenterpr.org
Intermountain
www.IntermountainCHP.org
(Contact info at end of
presentation)
Southeastern
www.chpcenterse.org
Gulf Coast
www.GulfCoastCHP.org
4
Contact Info
For Your Reference
▪
▪
▪
Pacific: Univ. of California, Tim Lipman, 510-642-4501, [email protected]
Intermountain: ETC Group, Patti Case, 801-278-1927, [email protected]
Gulf Coast: Houston Advanced Research Center, Dan Bullock, 281-364-6087,
▪
▪
▪
Midwest: University of Illinois, John Cuttica, 312-996-4382, [email protected]
Southeastern: North Carolina State University, Keith McAllister,
919-515-3933, [email protected]
Northeast: Pace University, Tom Bourgeois, 914-422-4013,
▪
Mid-Atlantic: Penn State University, Anthony Atchley, 814-865-2151,
▪
[email protected]
[email protected]
[email protected]
Northwest: Washington State University, David Sjoding, 360-956-2004,
[email protected]
INTERMOUNTAIN CHP CENTER
www.intermountainCHP.org
National Goal:
Double CHP by 2010
85 GW
in 2008
46 GW
in 1998
92
GW
in 2010
The CHP Regional Application
Centers are expanding in scope
▪
▪
Fall 2009, with our new round
of funding, the Centers will
now also cover:
◦
◦
Waste heat recovery
District energy
Names changing to “Clean
Energy Application Centers”
What We Actually Do
▪
▪
▪
Inform prospective CHP users on the benefits, business
model, and resources available for their specific
application
◦
Websites, workshops, trainings, webinars, advisory
Help potential projects “take the next step”
◦
Project feasibility screenings, permitting issues, tariffs/rate
assessments, equipment questions, convincing upper
management, 3rd party review of proposals…
Promote CHP as an effective clean energy policy
solution:
◦
Educate state policymakers and regulators, remove barriers
On-The-Ground Results and
Accomplishments
▪
Supported over 350 projects
representing over 1.3 GWs
CHP
◦
▪
7.7 million tons of CO2 avoided
Over 120 target market
workshops (9000 attendees)
◦
◦
◦
◦
◦
◦
◦
◦
◦
◦
◦
◦
◦
Hospitals and Healthcare
Waste Heat to Power
Manufacturing
Food Processing
Forest Products
Livestock
Waste Water Treatment
Energy Assurance
Multi-family housing
Federal Facilities
Municipalities
Premium Power
Gas Utility Clients
We are open to your suggestions
(& collaboration)
for our future target market
identification/education efforts
*Input from project developers/installers is important!*
10
Policymaker Education
Has Resulted In…
▪
◦
▪
▪
◦
◦
◦
New state CHP incentive programs
Connecticut Distributed Energy Incentive Program
Improved state interconnection standards
Inclusion of CHP in energy efficiency,
renewable portfolio standards, carbon
mitigation efforts, and regional power planning
Western Governors’ Association’s Clean and Diversified Energy
Initiative
Northwest Power Planning Council
North Carolina RPS
Site Assessments:
Different Levels of Assistance
▪
▪
▪
▪
Questionnaire
◦
(end user or CE-AC)
Level 1 Screening /
Walkthrough Analysis
◦
(CE-AC)
Level 2 Conceptual /
Financial Analysis
◦
(CE-AC or engineering firm)
Level 3 Investment Grade
◦
(engineering firm)
Example:
Ethan Allen Furniture Factory
▪
▪
▪
▪
Furniture manufacturer
since 1889
Employs 550 people in
VT & NH
Annual Energy Costs of
$1,500,000
Factory was planning
on closing and moving
offshore
Ethan Allen
▪
Center Recommendation:
▪
3 year payback, 10%
savings off energy costs
Co-funded by Vermont,
New Hampshire, & VT
Electric Co-op
Plant has stayed on
shore.
▪
▪
◦
Replace steam engine
with steam turbine using
biomass fired boiler
(cont’d)
Example:
Conant High School, Illinois
▪
▪
▪
450,000 sq. ft., 2,600 student high school
Technical assessment conducted in 2002
Two 400 kW engine generators with heat
recycling
Example:
Seaman Paper Company
▪
▪
▪
Tissue Paper Mfg.
$55m/yr sales and over
$3.2m/yr energy costs
Center Recommendation:
◦
◦
▪
Replace oil fired boiler
with biomass boiler
Use steam turbine to
generate power
<3 yr. payback
ARRA Funds for CHP
Q: Are there ARRA funds for CHP projects?
▪ Sorry, deadline for solicitation has passed
Q: Results/winners?
▪ We haven’t heard yet (October 2009)
Q: Any other ARRA funding expected for
CHP?
▪ No national-level solicitations that we are aware of
Q: Are you always this unhelpful?
▪ No. We’ll tell you about other incentives and some
state funds available
Submitted
• Colorado Lumber Mill
– Proposal for 7 MW biomass fired CHP system
submitted with technical assistance from
Intermountain Center
• Multiple, proprietary projects submitted
with assistance from NW Center
• AZ project did not submit due to “made in
America” requirements
18
Kulzer Energy Park
▪
$4 million for Stevens County, WA
project from USFS for 2-4 MWc CHP
system with specialty beam mill and
biochar production system
▪
Tied to healthy forests and rebuilding carbon content in area
farms
Bonus Depreciation
▪
ARRA extended the five-year bonus
depreciation schedule through 2010 and
includes CHP, thereby allowing 50
percent of the depreciation value to be
taken in the first year and the remainder
over the following four years
Non-ARRA Incentives for CHP
(But stimulating none-the-less)
▪
▪
▪
▪
USDA REAP grants
◦
For projects in rural areas
Business Energy
Investment Tax Credit
◦
10-30% tax credit
Or: Dept. of Treasury
Renewable Energy Grants
◦
Yes, CHP does count
State-specific incentives
◦
Ex. Colorado Carbon Fund
CHP Investment Tax Credit
Energy Improvement and Extension Act of 2008 (EIEA)
▪
▪
10% credit for cost of first 15 MW
To Qualify
◦
◦
◦
◦
20% electricity, 20% thermal
◦
60 percent efficient on a lower heating value basis, if 90
percent of the system's energy source is biomass
<50 MW
Taxpayer constructed (or original equip. owner)
placed in service after October 3, 2008, and before January
1, 2017
Microturbines and Fuel Cells
▪
▪
▪
▪
▪
▪
ITC Extended to 2016
Micro turbines 10% up to 2 MW, capped at
$200/kW
Fuel Cells 30%, at least .5 kW, capped at $1,500
per 0.5 kW
To Qualify
◦
◦
Micro turbines 26% electric-only generation efficiency
Fuel Cells 30% electric-only generation efficiency
All may receive grant in lieu of ITC (Treasury is
not yet accepting applications)
http://www.epa.gov/chp/incentives/index.html
Colorado: NEED Grants
(New Energy Economic Development)
▪
▪
▪
▪
Commercial/industrial/public sectors
For energy efficiency and renewable energy
projects
$2m in funding for this round
◦ No max per projects
1st deadline was August 28th (but 2 other
rounds will follow)
Still the best source for
all incentive information:
DSIRE Database
(Database of State Incentives for
Renewables & Efficiency)
www.DSIREUSA.org
Also check…
-EPA CHP Partnership
www.epa.gov/chp
- Clean Energy Application Centers
(see websites or just call)
INTERMOUNTAIN CHP CENTER
Text
www.intermountainCHP.org
text
25
New Colorado Industrial
Energy Efficiency Program
Launching This Fall
Voluntary
commitments to
reduce energy
intensity
Assessments,
technical assistance,
goal-setting, trainings,
public recognition
INTERMOUNTAIN CHP CENTER
Textwww.intermountainCHP.org
text
26
New Colorado Industrial
Energy Efficiency Program (cont’d)
▪
▪
▪
▪
Stems from Gov. Ritter’s Colorado
Climate Action Plan
Governor’s Energy Office, SWEEP,
ETC Group, Colo State Univ.
One of 12 state/regional industrial
EE programs selected to receive
funding from DOE ITP solicitation
Will promote upcoming ISO
energy management standard
50001
Industrial Assessment Centers
▪
▪
▪
Energy, waste, and productivity assessments to small and midsized manufacturers
Funded by DOE
INTERMOUNTAIN CHP CENTER
Assistance provided www.intermountainCHP.org
by upper-level engineering students
28
Colorado
Governor’s Energy Office (GEO)
▪
▪
Home Weatherization: $80m over 3 years
Energy Efficiency and Conservation Block
Grants (EECBG): $45m over 3 years
◦
◦
▪
Most to cities/counties, some to state
State: local code development & training, residential EE,
“Greening Main Street” (commercial EE), & more
State Energy Program…
CO State Energy Program
$50m over 3 years, from ARRA funds
▪
▪
▪
▪
▪
▪
▪
Financing and Capital Grants
21% Renewable Energy Programs
12% Residential Programs
11% Commercial Buildings Programs
10% Greening Government Programs
3% Public Information & Outreach
1% Utility and Transmission Programs
42%
Questions?
Patti Lynn Case
[email protected]
801-278-1927
Director, Intermountain Clean Energy
Application Center
www.intermountainCHP.org
Vice President, ETC Group
www.etcgrp.com
31