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2014-11-13 Work Session Kodiak Island Borough Assembly Work Session Thursday, November 13, 2014, 7:30 p.m., Borough Conference Room Work Sessions are informal meetings of the Assembly where Assembly members review the upcoming regular meeting agenda packet and seek or receive information from staff.Although additional items not listed on the work session agenda are discussed when introduced by the Mayor,Assembly,or staff,no formal action is taken at work sessions and items that require formal Assembly action are placed on regular Assembly meeting agenda. Citizen's comments at work sessions are NOT considered part of the official record.Citizen's comments intended for the"official record"should be made at a regular Assembly meeting. Page 1. CITIZENS' COMMENTS (Limited to Three Minutes per Speaker) 2. AGENDA ITEMS 2 - 254 a. Kodiak Regional Energy Plan - Erik O'Brien from SWAMC Feedback Form.pdf Volume 1 Resource Inventory.pdf Volume II Community Profiles.pdf SWAMC Enemy Presentation to Assy.pdf 255 - 274 b. Review of AML Resolutions AML Policy Packet Resolutions 2014.pdf 275 - 276 c. Clean Water Act Moratorium Letter Clean Water Act Moratorium Letter.pdf 277 d. Non-Profit Funding Process Nonprofit Funding Outline 10102014.pdf 278 e. Distribution Process of Legal Opinions to Mayor and Assembly. Distribution of Legal Opinions to the Mayor and Assembly.pdf 279 - 280 f. Clerk's Office Update to the Assembly OA 2014 November Clerk's Office Update.pdf 3. MANAGER'S COMMENTS 4. CLERK'S COMMENTS 5. MAYOR'S COMMENTS 6. ASSEMBLY MEMBERS COMMENTS Page 1 of 280 AGENDA ITEM #2.a. RESEARCH I ENGAGEMENT I PLANNING Before we move from research into planning,your feedback is important so we do arri not overlook any energy issues and opportunities in the Kodiak region.After reviewing the Phase I Resource Inventory(Vol. I)and Community Profiles(Vol. II), 70 m please use this form to provide corrections or suggestions. If you prefer,you can °220. fill this form out online at www.kodiakenergy.org/feedback ° IL W YOUR NAME: m 7 TITLE: � n ORGANIZATION: m What parts of the reports did you review? (Check all that apply) Vol I: O Executive Summary O Some other Chapters 0 All or Most OJ roVol II: 0 My Community's Profile 0 Some other Profiles 0 All or Most Other: m 0 a Did you find anything that was incorrect? If so, please explain: m m 0 0 Are there energy issues facing your community or region that you did not see mentioned? (Please use the back if you need more room.) 3 3 c 0 to Do you know of additional energy opportunities we should be aware of? '^ n__ _-_ai.. have _.i.o — - — ...or.._._._. Does your community or organization additional energy priorities or projects we should be aware of?(See first page of a community profile for a list of known priorities.) —OVER— Page 2 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Are you interested in attending the Regional Energy Summit in Kodiak in January 2015? Q Yes 0 No 0 Not Sure Who else from your community or organization should attend if possible? Use this Space for Additional Comments: Q Please Contact Me for Additional Feedback EMAIL: PHONE: Thanks for your input! Fax completed form to SWAMC at 1.888.356.1306 or mail to: 3300 Arctic Blvd, Ste. 203, Anchorage, Alaska 99503. Or scan and email the completed form to one of the project team members below. Erik O'Brien,SWAMC Jamie Hansen SWAMC Information Insights 907.562.7380 phone 907.450.2461 phone 888.356.1206 fax 907.450.2470 fax eobrien@swamc.org jamie@iiAlaska.com 20 Page 3 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. y �z as r --`..uw.—.: u., 7- ,�r' '" ag \3/4„, PHASEI-, Imo" LcaA .- REGIONAL ENERGY PLAN r, 4 .R- . Volume I: Resource"Inventory �r-p- Piee.red€ 3 aC - alas kaai Aut or', .; F July 2014 I , . y� - • • SWAMC " - ,. " 3300 Arctic Blvd.,Ste.203 t rre ' Anchorage,Alaska 99503 SWAMC Information Insights 21"2Frontstreet,ste.�00 I'nformationn Insights Fairbanks,Alaska 99701 vision+creativity=solutions Page 4 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC • AGENDA ITEM #2.a. ACKNOWLEDGMENTS I Pe would like to thank the fallowing individuals and organisations far shorhag their time. data and expertise. l heir assistance was invaluable. Alaska Community Development Corporation: Put Shii/lea Alaska Department of Commerce,Community,and Economic Development,Jane Sallncar Alaska Energy Authority:.IIan Badivieso. 4adrer dlsnvmr. Katie Connvov, Josh Croft. Jedediah Drolet. Cade Lister. David Lackord, Devanir Plemuvich. Sean Skating, Richard Stroanberg.lint f 2111 Alaska Housing Finance Corporation:Jirnnn'Orel Scott f1 Merman Alaska Village Electric Cooperative:Steve Gilbert Chugach Electric Association: Kate flyers City of Akhiok: Dan,LteCov City of Kodiak: Mark Kosuk City of Larsen Bay: Allen Panomorojf:Sr.. Bill Nelson City of Old Harbor: Russell Fox City of Ouzinkie: Dan Clarion City of Port Lions: Kathryn Adkins Kodiak Archipelago Rural Regional Leadership Forum: Roberta Townsend-fennel Kodiak Area Native Association: Trier Koine/is Kodiak College:Joseph Spear Kodiak Electric Association: parrot/Sean Kodiak Island Borough: Bob Pederson. Mark Kozak Kodiak Island Borough School District:Steward McDonald, Gregg hacker. Burry.11tenhal Kodiak Island I-lousing Authority: Afart,v Shuravlo//. Rick Lindholm Native Village of Karluk:Move,lanes Northwest Arctic Borough: Fred Smith Old Harbor Native Corporation: Cynthia nthia Berns Rural Alaska First:Jenne Yvon United States Coast Guard Kodiak Base: alike Brown Cover photos(from top):National Renewable Energy Laboratory,INN Electric Cooperative, National Renewable Energy Laboratory,Clickr Bee Page 5 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I CONTENTS Acronyms 5 Executive Summary 7 Energy Supply and Demand 7 Goals 8 Issues and Opportunities 8 Introduction 13 I( Regional Overview 15 Energy Issues 15 Economy 17 Climate 17 Demographics 18 2 I Energy Supply& Demand 24 Current Loads 24 Load Forecasts 30 3 I Energy Efficiency& Conservation 32 EE&C Opportunities 33 4 ( Fossil Fuels 44 Bulk Fuel 44 Diesel Efficiency& Heat Recovery 46 Fossil Fuel Exploration& Development 51 5 I Renewable Energy 52 Biomass 52 Geothermal 56 Hydroelectric Power 58 Solar 61 Wind Energy 64 6 I Emerging Technologies 69 Hydrokinetic 69 High Voltage Direct Current(HVDC)Transmission 71 Information Insights Resource Inventory I 1 Page 6 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan l Phase I,Vol.I 7 Energy Infrastructure 73 Transportation Infrastructure 73 Transmission Lines 76 8 I Project Financing 79 9 Stakeholder Outreach 92 Works Cited 97 Information Insights Resource Inventory I 2 Page 7 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I INDEX OF TABLES Table 1:What Other Regions Are Planning 14 Table 2:Renewable Energy Fund Projects in the Kodiak Region 16 Table 3:Climate and Heating Degree Days for Kodiak Region 18 Table 4:Kodiak Island Borough Demographics 18 Table 5:Population Trends by Community,2000-2013 19 Table 6:Current Electricity Generation and Sales in the Kodiak Region,2013 25 Table 7:Residential Energy Use per Home 28 Table 8:Estimated Annual Residential Energy Use by Community 28 Table 9'.Estimated Annual Community Space Heating Fuel Use 29 Table 10:Average Residential EE&C Savings per Household in the Kodiak Region . 34 Table 11:Participation in Residential Energy Efficiency Programs,2003-2014 35 Table 12:Estimated Energy Savings and Potential from Residential EE&C 35 Table 13:Participation in Public and Commercial Energy Audit Programs 37 Table 14:VEEP Participation by Region,2005-2013 38 Table 15:Savings Potential for Public and Commercial Facilities 40 Table 16:Savings from Energy Efficient Lighting Upgrades in Small Communities 41 Table 17:Average Savings from Implemented LED Street Lighting Retrofits by Community Size 42 Table 18:Savings per Community from Water and Sewer Efficiency Measures 42 Table 19:Bulk Fuel Used or Purchased by Community 46 Table 20:Village Power System Assessment,2012 48 Table 21:Heat Recovery by Community 49 Table 22:Diesel Efficiency Savings Potential by Community 50 Table 23:Fish Oil Resource Potential by Community 53 Table 24:Existing and Proposed Hydroelectric Projects by Community 59 Table 25:KIHA Solar Hot Water Installation in Kodiak Region 62 Table 26:Solar PV Energy Output in City of Kodiak 63 Table 27:Current Wind Energy Projects in Region 65 Table 28:Wind Resource Assessment Data 66 Table 29:Wind Penetration Levels 67 Table 30:USACE Marine Facility Data,Kodiak Region 74 Table 31:Current Port and Harbor Projects,Kodiak Region 74 Table 32:Barge Landing Improvement Needs,Kodiak Region 74 Table 33:Airport Capacity:Current and Planned Design Aircraft 76 Table 34:Current and Proposed Transmission Lines to Non-Road Connected Villages 77 Table 35:2009 Transmission Screening Study Results for Kodiak Village Pairs 77 Table 36:State Funding Options for Energy Projects . 79 Information Insights Resource Inventory 13 Page 8 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Table 37:Federal Funding Options for Energy Projects 84 Table 38:Federal Tax Incentives for Renewable Energy 90 Table 39:April Leadership Forum Responses 93 Table 40:Status of Goals from the 2009 Kodiak Island Borough Regional Energy Plan.. 94 INDEX OF FIGURES Figure 1:KIB Population,2004-2013 Figure 2:KIBSD Students(Pre-K to 12th),FY2005-2014 19 Figure 3:Communities in the Kodiak Region 22 Figure 4:Land Status in the Kodiak Region 23 Figure 5:Kodiak region generation 24 Figure 6: Rural only generation 24 Figure 7:Population Projection,2012 to 2042 30 Figure 8:Retail Prices for#1 Heating Oil Fuel,January 2014 44 Figure 9:Diesel Efficiency in the Kodiak Region(kWh/gallon) 47 Figure 10:Diesel Efficiency at Different Load Sizes,FY2013 PCE Data 47 Information Insights Resource Inventory 14 Page 9 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.' ACRONYMS AC Alternating Current ACDC Alaska Community Development Corporation ACEP Alaska Center for Energy and Power ADOLWD Alaska Deparment of Labor and Workforce Development AEERLP Alaska Energy Efficiency Revolving Loan Fund Program ARIS Alaska Retrofit Information System (ARTS) AEA Alaska Energy Authority .AHFC Alaska Housing Finance Corporation AIDEA Alaska Industrial Development and Export Authority ALARI Alaska Local and Regional Information ANTHC Alaska Native Tribal Health Consortium ASHP Air Source Heat Pump AVTEC Alaska's Institute of Technology—ADOLAVDProgram B/C Benefit-cost ratio BEES Alaska Building Energy Efficiency Standard BFU Bulk Fuel Upgrade BTU British Thermal Unit CBEA Commercial Building Energy Audit CCHRC Cold Climate Housing Research Center CHP Combined Heat and Power COP Coefficient of Performance DCCED Alaska Department of Commerce. Community.and Economic Development EDA United States Economic Development Administration EECBG Energy Efficiency and Conservation Block Grant Program EETF Emerging Energy Technology Fund EIS Environmental Impact Statement ESCO Energy Savings Company ESPC Energy Savings Performance Contracting FERC Federal Energy Regulatory Commission GSHP Ground Source Heat Pump Information Insights Resource Inventory 15 Page 10 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol. ISER Institute of Social and Economic Research—University of Alaska HER AHFC's Home Energy Rebate program HVDC High-Voltage Direct Current KANA Kodiak Area Native Association KEA Kodiak Electric Association KIB Kodiak Island Borough KIBSD Kodiak Island Borough School District kW Kilowatt kWh Kilowatt hour kV Kilovolt LED Light-Emitting Diode LNG Liquified Natural Gas MMBTU One million BTUs MW Megawatt MWh Megawatt hour NA Not Applicable NAHASDA Native American Housing Assistance and Self Determination Act of 1996 O&M Operations and maintenance PCE Power Cost Equalization PV Photovoltaic Solar System RAFS Rural Alaska Fuel Services REAL Retrofit Energy Assessment for Loan Program (AHFC) REF Renewable Energy Fund(AEA grant program) RPSU Rural Power System Upgrade(AEA program) SCADA Supervisory Control and Data Acquisition SWATP Southwest Alaska Transportation Plan UA University of Alaska UAA/UAF University of Alaska Anchorage/University of Alaska Fairbanks ULSD Ultra Low Sulfur Diesel USACE United States Army Corps of Engineers USCG United States Coast Guard VEEP Village Energy Efficiency Program Wx Weatherization Information Insights - Resource Inventory 16 Page 11 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I EXECUTIVE SUMMARY The Kodiak Regional Energy Plan is part ofa statewide effort led by the Alaska Energy Authority to identify energy projects that will reduce the long-term cost of power and dependence on fossil fuels in Alaska.The process will look at the total mix of energy needs in the Kodiak region, including electricity,heating and transportation,and consider all local and regional energy resources, including efficiency and conservation. This document represents the first step in the planning process. It provides an inventory of energy-related resources and projects in the region, including notes on energy technologies, project economics,funding options, and community-specific issues and opportunities. While this inventory represents a snapshot in time, it has been designed as a tool to focus conversations on the most technically feasible and economically realistic projects given the region's mix of energy resources and the current state of technology. The next step is for community and regional leaders,residents,utilities, industry representatives, and other key stakeholders to engage in dialog about their priorities for addressing energy needs in the region.The project team encourages readers to provide updated information about energy use and resources in the region and to tell us about additional projects that should be assessed. At the end of Phase II we will use the input gathered to identify broadly supported strategies and a list of fundable projects that can reduce energy costs in the region while developing local and regional energy resources. ENERGY SUPPLY AND DEMAND Current Energy Use The total amount of electricity generated in the Kodiak region was just over 157,000 MWh in FY2013, 94% from renewable energy(77%hydropower, 17%wind energy). Diesel accounted for the remaining 6%, consuming 615,000 gallons of fuel. Looking only at rural communities not on the Kodiak Electric Association(KEA)grid,diesel generation accounted for two-thirds of electricity produced and hydropower one-third. Total installed capacity for electric generation in the region was 63.1 MW in 2010(1). It is more difficult to estimate heating and transportation energy use. Residential heating (including space heating and domestic hot water) is estimated at over 460,000 MMBTU region wide, requiring 3.3 million gallons if all homes heated only with fuel oil. Without an inventory of public and commercial buildings, no estimate can be made for non-residential heating. A conservative estimate of transportation fuel use is 700,000 gallons(350 gallons per household or 120 gallons per person)based on data in the 2010 Alaska Energy Pathway report. Bulk fuel purchase data in Kodiak and other regions suggests that actual energy used for aviation,marine, on-road and off-road transportation is likely to be substantially higher. Information Insights Resource Inventory 17 Page 12 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Executive Summary Forecast Energy planners should conservatively assume a modest load growth due to projected population growth at the borough level and a continued trend in increasing household energy use due to changes in consumer habits. This could be offset by energy efficiency and conservation measures if public outreach and regional EE&C coordination are adopted as energy strategies.A survey of industrial energy users about business plans and forecasts that may impact load growth(or shrinkage)has not been done,but should be included in Phase II. GOALS Setting energy goals is an ongoing and iterative process.Community and regional leaders worked together to define energy goals and strategies as part of the 2009 Kodiak Island Borough Regional Energy Plan. Many of these goals were reaffirmed in April 2014 during a regional energy planning session at the Kodiak Archipelago Rural Regional Leadership Forum. These are summarized in the Stakeholder Outreach section in Table 40. Phase II of this project will focus on additional stakeholder outreach, including plans for a region wide Energy Summit, with the goal of developing common energy goals and strategies with widespread support. ISSUES AND OPPORTUNITIES Regional Energy Issues For planning purposes the Kodiak region is often divided in two: the more urban communities on the road system in northeast Kodiak Island and the five small rural communities not connected to Kodiak or each other by road. In between is the village of Port Lions, which is connected to the Kodiak grid by intertie but not by road.The challenges faced by the two areas are similar, varying mostly in degree,and they are similar to issues faced elsewhere in rural Alaska and in the state as a whole: • High and volatile fuel prices,even in regional hub cities like Kodiak • Dependence on expensive fuel oil for space heating • Aging and inefficient housing stock contributing to high heating costs • Rough terrain that increases the cost and technical challenge of building roads and energy infrastructure • Majority of rural communities served by"islanded micro-grids" making it difficult to create economies of scale or a truly"regional"energy plan • Declining population trends in many com munities • Technical challenges in integrating variable resources like wind with small diesel loads • Logistical challenges in delivering supplies and equipment to remote project locations • The absence of deepwater docks and protected moorage in several communities • Patchwork of land ownership—federal, state,tribal and Alaska Native Corporation lands— creating permitting challenges and uncertainty for project developers • Small percentage of land in private ownership which limits economic growth Information Insights Resource Inventory 18 Page 13 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Executive Summary • Heat recovery systems largely missing from the region's diesel power plants • Other diesel infrastructure in fair or poor condition • Uncertainty about the future availability of natural gas Regional Recommendations Specific opportunities for the communities on the Kodiak road system and individual rural communities are included in Community Profiles. Opportunities at the regional level have been organized into 12 strategies: STRATEGY#1:ENDORSE DEVELOPMENT OF COMMUNITY-SUPPORTED RENEWABLE ENERGY PROJECTS Prioritize development of renewable energy projects that have strong public support and have passed preliminary feasibility screens.Increase the potential for state or federal funding by actively supporting community projects at the regional level, prioritizing energy projects in regional economic development and comprehensive plans and on capital projects priority lists. STRATEGY#2:DO WHOLE VILLAGE RETROFITS OF 100%DIESEL-DEPENDENT COMMUNITIES Undertake whole village energy retrofits for the region's smallest communities,especially those that lack near-term renewable energy solutions. Where energy is most expensive, it makes the most sense to maximize efficiency. STRATEGY#3: BUILD CONSENSUS THROUGH COMMUNITY VISIONING Conduct community-level strategic planning in communities that have yet to identify an energy project or strategy with widespread community support.Assistance with community planning and visioning is available from AEA program staff,the DOE Office of Indian Energy START Alaska Program (for tribal entities), UAF's Community Partnerships for Self-Reliance and Sustainability, among others. STRATEGY#4.STUDY FEASIBILITY OF RENEWABLE RESOURCES COMMUNITIES ARE INTERESTED IN Pursue reconnaissance or feasibility studies of renewable resources that have yet to be assessed but which communities have expressed interest in,such as wind studies in Akhiok and Karluk and biomass feasibility in Kodiak or Afognak. STRATEGY#5: SUPPORT RURAL COMMUNITIES IN WRITING SUCCESSFUL GRANT AND LOAN APPLICATIONS Provide technical support at the regional level, including grant writing assistance and assistance with loan applications, for rural communities in order to increase successful applications to the Renewable Energy Fund (REF)and other energy programs. Kodiak is a resource rich area which could be expected to produce a greater yield of successful project applications than regions with fewer renewable energy options. To date,successful REF applications from the region have been submitted by KEA and AVEC,both entities with substantial organizational leadership and capacity. In some regions, such as Lake& Peninsula and Northwest Arctic Boroughs,borough governments help bridge the capacity gap by taking an active role in rural energy project development and financing resulting in a large number of funded projects. Information Insights Resource Inventory 19 Page 14 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Executive Summary STRATEGY:#6:REPAIR AND MAINTAIN CURRENT INFRASTRUCTURE Repair and maintain current energy infrastructure to ensure it operates efficiently and with minimal environmental risks. Pursue advanced operator training to improve maintenance planning and performance. Rural utilities can work with the program managers at AEA to design and prioritize system upgrades to diesel powerhouses,hydro power plants and bulk fuel upgrades. Funders want to see that diesel systems are well maintained and operating efficiently before funding new renewable generation projects. STRATEGY#7:MAXIMIZE DIESEL EFFICIENCY AND HEAT RECOVERY Maximize diesel efficiency and heat recovery throughout the region.The cheapest kilowatt or gallon of fuel is the one you don't have to buy. By cutting down on the amount of fuel oil needed to meet a community's electrical needs, improvements to diesel efficiency lead directly to lower electrical costs. Increasing diesel efficiency by 10%regionwide would save 60,000 gallons of fuel annually that do not need to be purchased,shipped or stored. Savings to utilities would total $215,000 per year. Heat recovery can lower community heating costs by reducing the fuel used to heat public buildings near the power plant.This is a resource that is essentially untapped in the region and which offers a potential revenue stream to local utilities. STRATEGY#8:ENCOURAGE EE&C OF HOMES AND BUSINESSES Encourage energy efficiency and conservation(EE&C)of homes and businesses through a mixture of active public outreach, education and technical assistance, and smart meter technologies.Maximizing residential energy efficiency regionwide would save over$2 million annually at current fuel prices. Businesses use anywhere from 22 to 72 percent of the electricity produced by community utilities. Encourage local business owners to apply for existing audit and revolving loan programs to fund commercial audits and finance recommended building improvements. STRATEGY#9:MAXIMIZE ENERGY EFFICIENCY OF PUBLIC INFRASTRUCTURE Maximize energy efficiency of public facilities by taking advantage of AHFC public facility audits and investing in the most cost-effective recommendations. Conduct an inventory of public outdoor lighting throughout the region and apply for a single grant to replace all conventional lights with LED lighting in rural communities. Cost savings should be available in procurement, logistics and installation by doing the retrofits as one project. Work with ANTHC to identify funding options for completing audits of rural sanitation systems. STRATEGY#10:ADDRESS MARINE INFRASTRUCTURE NEEDS Study the feasibility of dock and harbor projects to improve barge access for fuel delivery to Akhiok, Karluk and Larsen Bay. Update previous cost estimates if available and prioritize economically and technically feasible projects in regional transportation plans. STRATEGY#11.ADDRESS RURAL UTILITY ISSUES AND NEEDS THROUGH COLLABORATION Consider forming a Regional Electric Utility Association or informal regional energy steering committee to address common interests and needs, share information,and engage in ongoing planning. Services could include: Coordinating training needs, providing backup or substitute Information Insights Resource Inventory 110 Page 15 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Executive Summary operators,remote monitoring using SCADA to improve diesel efficiency, collective bulk fuel bidding,quarterly or semi-annual forum for discussion of common issues and solutions. STRATEGY#12: MONITOR EMERGING ENERGY TECHNOLOGIES Monitor ongoing demonstration projects and other developments in emerging energy technologies that hold promise for the region, including tidal and wave power, low-power HVDC transmission, flywheel energy storage, and seawater heat pumps, as well as improvements in wind-diesel integration for small loads and wind to heat applications. Data Gaps Data gaps are identified throughout the resource inventory and community profiles. The most significant are in areas needed to assess total energy use in the region. While data is abundant on the electricity side,not enough is known to estimate non-residential heating or transportation energy demand on either a community or regional basis. Energy end use models for different climate zones and regions cannot be applied with good results without a building inventory for the region, including building type and size.An inventory that includes preliminary benchmark data on energy use would provide a strong foundation for developing a regional EE&C strategy or"roadmap"to guide public investment,as well as a baseline for evaluating results. Fuel price data that includes the date fuel was delivered to the community would materially improve future price forecasts for rural Alaska and result in more accurate project evaluation. This will become more important when priority projects are evaluated for economic and technical feasibility in Phase III. Fuel price and project modeling are explained in detail in the"Economic Modeling&Methodologies"appendix to the Bristol Bay Regional Energy Plan Phase t report. Given the technical challenges of integrating renewable technologies into diesel-powered micro- grids,an analysis of small-scale wind and solar projects already installed in rural Alaska would help utilities and energy planners identify the most successful approaches. More information on projects currently using excess electrical generation for space and hot water heating in rural Alaska would improve benefit-cost modeling for renewable generation projects with excess capacity. In lieu of performance and cost data on specific technologies, a set of standard assumptions from AEA on modeling for thermal load conversion would be useful. Factors for Success Energy planning and project development is a slow and iterative process. It requires clear-eyed vetting in which risks are analyzed as well as benefits.The following lessons learned about developing successful energy projects come from regional energy planners and project developers at the 2013 Alaska Rural Energy Conference: Information Insights Resource Inventory 111 Page 16 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Executive Summary I TO BE SUCCESSFUL... 1 , Energy projects must be Energy projects must have Energy planners must have ', j ▪ Economically viable • A local champion • • Hope and optimism • Technologically feasible • Long-term, reliable and • Manyconversations with I •".Supported by the local sustainable fuel stakeholders i community, resource sources - i 1. owners, utility operators, - . - t and state and locale. governing entities Information Insights Resource Inventory 112 Page 17 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. • Kodiak Regional Energy Plan I Phase I,Vol.I INTRODUCTION The goal of the Kodiak Regional Energy Plan is to identify local, subregional and regional energy projects that reduce the long-term cost of power and dependence on fossil fuels.The final report will feature a prioritized list of projects the State can support and an action plan designed to capitalize on the programs and funding sources available. The process will look at the total mix of energy needs in the Kodiak region, including electricity, heating and transportation,and consider all local and regional energy resources, including efficiency and conservation. The project is part of a statewide effort led by the Alaska Energy Authority that builds off work begun with the Alaska Energy Pathway series. The regional planning process for Kodiak has been organized in three phases: Phase I includes preliminary planning, resource inventory and data collection. Phase II will include drafting the plan based on community input and stakeholder engagement. Phase III involves the economic and technical analysis of projects identified in the first two phases for which there is significant local support. The Phase I report is the result of over half a year of data collection. In preparation for community and regional discussions,the report has been designed as a tool to focus conversations on technically feasible, economically realistic and ultimately fundable projects given the region's energy resource mix and the current state of technology. While the report itself represents a snapshot in time of projects, resources and technologies with the potential to meet the region's energy needs,the plan that develops through community and regional engagement will continue to evolve. Ultimately, this data collection effm7 is to determine what energy programs will be viable in the different communities, and what solutions communities would like for solving their energy needs. The most efficient, sustainable program will be the program most likely to gain support for finding. - Deborah 1/0„41J.4 Regional Planners Meeting, June 2012 Information Insights Resource Inventory 113 Page 18 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan l Phase I,Vol.1 Introduction Table 1:What Other Regions Are Planning This partial list of recommendations from Phase I and Il regional energy planning documents shows the diversity of approaches being considered in different regions to the energy opportunities and challenges that exist in Rural Alaska. Aleutian&Pribilof • Diesel Efficiency& Heat Recovery Islands • \Veatherization and Energy Efficiency • Wind-diesel Integration • Stakeholder Forum • Maximize Economic Impact and Jobs Copper River • Transmission Study • Develop In-region EE&C Approach • Biomass&Natural Gas • Wind&Solar Reconnaissance Studies Interior • Efficiency First! EE Standards for New Construction • 100%Power Plant Operator Training Goal • Biomass Assessments&Projects • Greenhouse Pilot Project Northwest Arctic • Vision: 75% Decrease of Imported Fossil Fuels by 2030 • Wind Projects • Solar PV on all Water& Sewer Facilities • Smart Meters in Every Home Southeast • Regional EE&C Program • Reconnaissance Study and Standards for New Hydro Development • Consider Heat Pumps and Biomass for Heating Sources:(2)(3)(4)(5)(6).Note:In some cases these are preliminary recommendations by regional energy planners that have not yet been discussed,adopted or revised by stakeholders in the region. Information Insights Resource Inventory 114 Page 19 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I REGIONAL OVERVIEW The Kodiak Island Archipelago lies 30 miles off the coast of Alaska on the western side of the Gulf of Alaska.The string of islands of which Kodiak Island is the largest stretches about 180 miles and covers 5,000 square miles. Located at the northeast tip of Kodiak Island,the City of Kodiak is about 250 air miles south of Anchorage.The city is connected to surrounding communities(Chiniak, Womens Bay, Kodiak Station and the U.S.Coast Guard Kodiak Base) on the east side of Kodiak Island by 140 miles of state roads. Five other communities(Akhiok, Karluk, Larsen Bay, Old Harbor and Port Lions) are located on the island,while Ouzinkie is on the west coast of Spruce Island,just across Ouzinkie Narrows from Kodiak. Air and marine taxi are the only forms of transportation to these six villages. For planning purposes the Kodiak region is often divided in two: the more urban communities on the road system, powered by the KEA grid and the five rural communities not connected to Kodiak or each other by road. These are powered by`micro-grids"each serving a single community. In the middle is the City of Port Lions,which is connected to the Kodiak grid by intertie but not by road. Unincorporated settlements not currently served by an electric utility are not addressed in this study. ENERGY ISSUES The challenges faced by the communities on the road system and by rural villages are similar, varying mostly in degree.They are similar to issues faced elsewhere in rural Alaska and in the state as a whole. • Fuel oil prices have risen sharply in the past decade and continue to he volatile, challenging planning efforts and creating economic hardship in all communities,but especially those most dependent on fossil fuels for electric generation. • Without access to natural gas or other inexpensive heating fuels, the region is largely dependent on fuel oil for space heating resulting in high heating costs for homes and businesses even in regional hub communities like Kodiak. Alaska's cold climate and the region's aging housing stock(built mostly in the 1970s and '80s)contribute to high costs. • Logistical challenges in the delivery of supplies,personnel and equipment to remote project locations drive up construction and maintenance costs for energy projects, especially in communities without good barge access. • The absence of deepwater docks and protected moorage in several communities increases freight costs,limiting competition for bulk fuel delivery and driving up energy costs. • The region is characterized by steep mountainous terrain increasing the cost and technical challenge of building roads,transmission lines and other energy projects. The rough terrain Information Insights Resource Inventory 115 Page 20 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Regional Overview and large distances between communities has resulted in few interconnections and preponderance of"island systems" making it difficult to create a truly`regional"energy plan. • Declining population trends in many communities of the region create uncertainty and make it challenging to project future energy demand. • Small populations with no ability to share capacity among communities make it difficult to achieve economies of scale in energy systems. The small electrical loads of many communities create technical challenges for integrating variable resources like wind without complex control and energy storage systems.These costs challenge the economics of often already marginal projects. • The patchwork of land ownership—including federal, state,tribal and Alaska Native Corporation lands—creates permitting challenges and uncertainty for would-be energy project developers. Only a small percentage of land in the region is in private ownership. This limits economic growth and potential commercial energy loads making it more difficult to achieve economies of scale in electrical generation and distribution. • Heat recovery systems are largely missing from the region's diesel power plants.Some other diesel infrastructure is in fair or poor condition. • Popular state and federally funded energy programs like the Renewable Energy Fund, Home Energy Rebate program, Village Energy Efficiency Program, and DOE START, have been little used by rural communities in the Kodiak region. Though the Kodiak region is small compared with other regions,the area is rich in resources so the small number of successful REF applications is somewhat surprising. To date,only three separate projects have received funding from the region. • Uncertainty about the future availability of natural gas complicates long-term energy planning scenarios in the region as in the rest of the state. Table 2:Renewable Energy Fund Projects in the Kodiak Region REF Round Project Title Stage Applicant 1 Old Harbor Hydroelectric Feasibility AVEC 0, 1 Pillar Mountain Wind Project Construction KEA 2 Terror Lake Unit 3 Hydroelectric Project Feasibility KEA 3 Terror Lake Unit 3 Hydroelectric Project Final Design KEA 4 Terror Lake Unit 3 Hydroelectric Project Construction KEA 4 Old Harbor Hydroelectric Feasibility AVEC 5 Pillar Mountain Wind Project Construction KEA Source:(7)Notes:A number of projects in recent rounds have been recommended for funding by AEA but not funded by the state legislature due to funding limits and projects receiving a lower relative rank in AEA recommendations.These includes feasibility studies for wind in Karluk,a biomass project in Kodiak,and an intertie between Ouzinkie and Kodiak in Round 6,and final design for Old Harbor Hydro and a flywheel for the Kodiak Pier Crane in Round 7. Information Insights Resource Inventory 116 Page 21 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Regional Overview ECONOMY The City of Kodiak serves as the major supply and transportation hub for the archipelago's villages and communities and is the economic hub for the region's fishing and tourism industries. The Port of Kodiak, which is the largest in Alaska,has two boat harbors and three deep draft piers that accommodate ferries,cruise ships,container ships,military vessels and a variety of large commercial fishing vessels. Employment in the Kodiak region is dominated by the fishing industry. In 2012,36 percent of the jobs in the region were in seafood-related activities(8). All communities in the region practice subsistence fishing and with,the exception of Karluk,have a relatively high number of commercial fishing permit holders.The other major employer in the region is the U.S. Coast Guard with Kodiak Base having 1,000 active duty personnel and an additional 130 support jobs. Similar to other regions in Alaska, a large portion of total jobs are in local government(14 percent)and service industries,which include health care(9 percent)and retail sales(8 percent). A closer look at the communities off the Kodiak road system,shows most business licenses are in the service industry(food,gear, and fuel)and hospitality/tourism (lodges and charters)(9). The 2013 unemployment rate in the Borough was 5.6 percent compared with 6.5 percent for the state as a whole. From 2008 to the present the annual unemployment rate in the borough has been below the state's unemployment rate(10). CLIMATE The Kodiak region has a maritime climate with mild winters and cool summers.The normal temperature range in Kodiak is narrow: 25°F to 60°F. Precipitation is moderate.Strong storms are common from December to February. Outdoor temperature has a strong effect on energy demands in a region. Heating degree days are a measure developed to relate daily temperatures to the fuel needed to heat buildings. A higher number of heating degree days means a larger difference between the outside temperature and a comfortable inside temperature(65°F), resulting in a higher demand for energy. Heating degree days are used to determine the climate zone of a region and to compare different locations. Mean annual temperature and heating degree days for the Kodiak region are shown in Table 3. These are based on a 30-year period from 1981 to 2010. The cut off between climate zone 7 and 8 is 9,000 heating degree days,placing the Kodiak region on the margin. AHFC's Building Energy Efficiency Standard places Kodiak in climate zone 7. The sites listed in the table are on the northern and eastern edges of the Kodiak region.Given the strong maritime influence throughout the region,only minor variations in mean annual temperatures and heating degree days are found. In Kodiak the heating degree days are just at or under 9,000. By comparison,the heating degree days in Anchorage are above 10,000 and in Barrow are over 19,000. Information Insights Resource Inventory 117 Page 22 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.1 Regional Overview Table 3:Climate and Heating Degree Days for Kodiak Region Mean Annual Heating Degree Temp Days(Base 65°F) Climate Zone Kodiak 41°F 8794 7 Kitoi Bay 41°F 8923 7 Ouzinkie 40°F 9068 7 Source:(11).Note:The Alaska Energy End Use study includes the Kodiak region in Climate Zone 6(the same zone as Southeast Alaska)for the purposes of estimated building energy use because of the region's maritime climate. DEMOGRAPHICS An overview'of demographics in the Kodiak Island Borough(KIB)is presented in Table 4. Demographics for individual communities are included in their community profile in Volume II of this report. Table 4:Kodiak Island Borough Demographics Population 13,592 Gender Female 47% Male 53% Race White 55.3% Alaska Native 13.2% Asian 19.6% Two or more races 7.6% Age Under 18 years 28.6% 18 to 64 years 64.6% Over 65 years 6.7% Median Age 32.5 Sources:(12)(13) Population Trends The borough's population has hovered between 13,000 and 14,000 for the past 10 years with an overall growth of3 percent(10). By contrast, the school population in the Kodiak Island Borough School District(KIBSD)shows a 7 percent decline over roughly the same period. This decline, though not evident every year, is indicative of a trend seen throughout rural Alaska of families moving out of rural Alaska to the state's urban centers. In 2013,the City of Kodiak accounted for 46 percent of the KIB population. Adding in other communities along the road system—Chiniak, Kodiak Station, and VVomens Bay—brings that figure closer to 60 percent of the region's population. The trends for both general and school populations mask variations among individual communities. Looking at Table 5,which shows population change by community since the 2000 census,the most significant declines have been in villages of 100 to 250,while a few of the smallest communities—Akhiok and Karluk—have seen their populations increase significantly in recent years as families that had moved away earlier in the decade moved hack(14).Many villages have taken active steps since the early 2000s to encourage economic development in order to stem or reverse population losses. Information Insights Resource Inventory 118 Page 23 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Regional Overview Figure 1:KIB Population,2004-2013 Figure 2:KIBSD Students(Pre-K to 12th),FY2005-2014 14,400 -------- ___ ____ ____ .. g 2,800 -- -.__ 14,030 =° 14,000 - 0 o 2,701 13,600 -- -- _-_, 13,824 v 2,600 -o 13,200 13,411 _.__ __. ____ _. '^ 13,220 2,524 12,800 ----- ___ ________ __. 2,400 -._.,- , _.r_-1 2004 2006 2008 2010 2012 2005 2007 2009 2011 2013 Table 5:Population Trends by Community,2000-2013 2000 2013 Change nvg Annual Population Census Est. Since 2000 Growth Borough 13,913 13,824 -0.64% -0.05% Roadbelt' 8,914 8,363 -6.18% -0.44% 201 to 500 Old Harbor 237 225 -5.06% -036% 100 to 200 Port Lions 256 188 -25.56% -1.90% Ouzinkie 225 185 -17.78% -1.27% Under 100 Larsen Bay 115 88 -23.48% -1.68% Akhiok 80 \_____/\ // 85 6.25% 0.45% Under 50 Karluk CDP 27 43 59.26% 4.23% Source:(15).Notes: 1/Includes City of Kodiak,Kodiak Station,Womens Bay and Chiniak. Information Insights Resource Inventory ) 19 Page 24 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Regional Overview Capacity Building Opportunities for Small Communities Small communities in rural Alaska face multiple challenges. For communities that wish to build local capacity to develop their renewable resources or develop a community vision of a sustainable future, there are several programs designed to help. COMMUNITY PARTNERSHIPS FOR SELF-RELIANCE&SUSTAINABILITY Community Partnerships for Self-Reliance and Sustainability(CPSS)is collaboration between the Alaska Native Science Commission(ANSC)and the University of Alaska to partner with selected rural communities to refine and implement their visions of self-reliance in the face of major challenges from rising fuel costs,climate warming, declining state and federal budgets and many social and cultural changes. CPSS creates liaison teams that match the needs of communities with the research expertise at the University of Alaska. Communities that participated in the first round of partnerships include Igiugig in the Bristol Bay region, Koyukuk and Nikolai in the Interior,and Newtok in Western Alaska.Contact Dr. Todd Brinkman at UAF for more information. DOE OFFICE OF INDIAN ENERGY The Department of Energy's Office of Indian Energy(DOE-01E)offers several programs to assist tribes and Alaska Native organizations in building capacity to develop energy resources on their lands. The START Alaska program provides community-based strategic planning and technical assistance for the purposes of developing clean energy projects, including energy storage and energy efficiency projects.The START program offers hands-on technical support with clean energy project development and financing. It pairs tribal leaders with experts at DOE,NREL, and others who have experience relevant to the tribe's project development stage and technology. There is a competitive application process with successful applicants chosen yearly. A total of 10 communities have received START Alaska grants in 2012 and 2013, including four communities in the Interior(Minto, Koyukuk, Arctic Village and Venetie),two in Western Alaska(Shishmaref, Teller)two in Southeast(Kake, Yakutat)and two in the Yukon-Kuskokwim Delta(Quinhagak,Kongiganak).To date, no Kodiak area tribes or Native corporations have participated.More information: http://energy.gov/indianenervy/resources/start-program In addition to the START program, DOE-01E offers other grant programs: • EERE Tribal Energy Program: Promotes tribal energy sufficiency and spurs increased deployment of clean energy and energy efficiency on Indian lands by soliciting applications from Indian Tribes,Tribal Energy Resource Development Organizations,and Tribal Consortia to: (I) install clean energy and energy efficiency retrofit projects for tribal buildings; and (2)deploy clean energy systems on a community scale. For more information on these programs and others offered through the Tribal Energy Program, visit: http://appsl.eere.energv.eov/tribalenergv/financial opoortunities.cfm Information Insights Resource Inventory 120 Page 25 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Regional Overview DOI OFFICE OF INDIAN ENERGY AND ECONOMIC DEVELOPMENT The Department of Interior's(DOI)Office of Indian Energy and Economic Development also offers grant programs aimed at promoting economic self-sufficiency of Indian communities through the development of energy resources. • Tribal Energy Development and Capacity-Building(TEDC): Provides grants for Tribes needing assistance in assessing,developing,or obtaining the managerial and technical capacity needed to develop energy resources on Indian land. Examples of previously funded activities include evaluating the environmental effects of energy resource development projects,establishing or managing energy development-related departments and negotiating and reviewing leases, business agreements,or rights-of-way. • IEED Grant Program to Assess,Evaluate,and Promote Development of Tribal Energy and Mineral Resources: Solicits grant proposals for projects that explore for energy and mineral resources, inventory or assess known resources,or perform feasibility or market studies about the use and development of known energy and mineral resources on Indian lands. Information Insights Resource Inventory 121 Page 26 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Voll Regional Overview Figure 3:Communities in the Kodiak Region ' fi. ex 6'E Kenai Peninsula Borough a 5 1 /r .,_( ot t .. *. ' ..kk, Le ,. 4?.#' g;y 9- Vii t "1,•k( em- r4.g ,F �14-s .,.. . Aleneva o tw C,(-4 4 , i ."� Port luons`"� ', >*CI`� ., K1C t c r Ss:g rF }4'; '*` ,s may . Kodknk station kt . Womens Bay ' r a u E y iw 3 it r+ l Kodiak,Isla.rd.Bbiough r`ek ;� lAW �..iitla sen Dope',e', ' ,"' -,tt •:e+Cnmak ,He � � to +� + f O..� .� .r;=. yp ffl , c [1 x., City Census Designated Place r '0, Source (16} Information Insights Resource Inventory 122 Page 27 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Regional Overview Figure 4:Land Status in the Kodiak Region {{Generalized Land Status , X31KOJixk National Wildlife Refuge LL� t nl''''''ns uxmine Rat+9a ®Ne'_Lwponnan o'.nml e US 4ryuxad Cenaenoton Frsemenl I=Alaska Mamma Nasonal r�'� - - VMJIJeRaNae �Nat!N CNpnlal!ns SNeeep `]Al""Masnrr Natonal'.tnk:M noon tyme ConwYea Land, aZ Retuga 5uen,vS'J,anp S ne ComeYeo Q Ak'm celM,e on tMnep .g Oql ©0.E Pt'''."'ids �. � vekv'etata VaM1s a. atip-a Q State 9elwep t�Qaetrnenl Lanar Jam' o,�t '``,, rn Si' . s� / \. .M <`. T Vgna4 d • t'''' ISIaeM�, ax OfSSrY u t} •I = Sit tiee ,t 'f p5 "1... Cr 5r L. 44 t\( 2 n. by q A 4 a.t Ypa Ay.a Y;151 ta `µaF �'" ',,,-1,1i. r T F r',?T°f iiio` ^ It 5y cr,• .? 1�, 'x.✓•y Sr:A:4 r' -cull.-"'-`b,`a„'S-�,Fv. «0 d • •a th foe C''' q ,.jr:wF tr ..''''''el. • Source:(17) Information Insights Resource Inventory I 23 Page 28 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I 2 I ENERGY SUPPLY & DEMAND CURRENT LOADS The ability to estimate total energy use and to project future demand is a necessary step in energy planning. While electrical generation and use data is readily available for electricity thanks to state utility regulation and the PCE program,not enough data exists on heating and transportation energy to quantify it with confidence for planning purposes on a community or regional scale. Electric Energy Supply Total installed capacity for electric generation in the Kodiak region was 63.1 MW in 2010(1).In 2013,the total amount of electricity generated in the region was 157,003 MWh. Renewable generation accounted for 94%of all power produced in the region, including 77%from hydropower and 17%from wind energy. Diesel accounted for the remaining 6%of generation, consuming 615.000 gallons of diesel fuel. The diesel vs. renewable picture is a little different when looking at communities not on KEA's grid. In FY2013, diesel accounted for two-thirds of electrical generation and hydropower for one- third.There are no utility-scale wind projects in these communities. Electrical Generation,FY2013(MINN 154,309 D Wind 26;893'••` ❑ Hydro ■ Diesel Rural Generation,FY2013 (MWh) 0 Wind o Hydro 830 ■Diesel �,._t . 754 .`' 17x3:) I 1,046 MWh Hydro °846 1,921 MWh Diesel 515,' I# t 2,967 274' 264 g .� — KEA Grid Villages Akhiok Karluk Larsen Bay Old Harbor Ouzinkie Figure 5:Kodiak region generation Figure 6:Rural only generation Information Insights Resource Inventory 124 Page 29 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC 0 0 a x X CD tO Kodiak Regional Energy Plan I Phase I,Vol.I Energy Supply&Demand O 7 c7 M 7 Table 6:Current ElectricityGeneration and Sales in the Kodiak Region,2013 n 8 Fuel Used TI Generated(kWh)' Sold(kWh)' j (Gallons) N Utilities Diesel Renewable Total Residential Public Facility' Commercial. Utility Use Total i 7 _ Kodiak Grid' 7,051,089 147,258,210 154,309,299 '1 14,214,052 11,782,347 63,282,898 - 89,279,297 490,000 Rl Akhiok3 273,600 - 273,600 129,786 45,381 81,390 4,788 261,345 26,505 O Karluk 263,781 - 263,781 ; 112,631 17,928 109,632 2,986 243,177 ' 23,759 W Larsen Bay 22,672 807,425 830,097 i 169,763 125,930 452,156 20,791 768,640 2,245 C Old Harbor 845,627 - 845,627 I 386,479 199,407 189,299 29,104 804,289 58,192 Ouzinkie 515,092 238,736 753,828 i 308,609 141,409 240,135 36,020 726,173 40,800 3 3 Port Lions' - - - 'i 689,545 171,444 248,829 - 1,109,818 0 Total Rural(MWh) 1,921 1,046 2,967 il 1,797 701 1,321 94 3,913 151,501 Total(MWh) 8,698 148,304 157,003 16,011 12,484 64,604 94 16,011 641,501 g Source:(18)(19)(20).Notes:1/Generation and fuel use data reported for entire Kodiak grid.Sales data reported for City of Kodiak and Port Lions only,3/Annualized based O on 4 months of data(Oct.2013-Jan.2014).4/Government buildings are included under Commercial for PCE communities and under Public Facilities for Kodiak and Port Lions. n Iv 0 com GJ z 0 0 01 NJ Y CO o y Information Insights Resource Inventory 125 m t, it N 93 AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Energy Supply&Demand Electric Energy Demand Among rural communities including Port Lions,residential sales accounted for 46%of kWh sold, commercial sales 33%,and public facilities 18%. while 2%was used for power generation. There are some significant differences among communities in how electricity is being used, which may suggest where to focus energy efficiency,and conservation efforts: Akhiok Sales(estimated),FY2014(KWh) Karluk Electric Sales,FY2013(KWh) 81390 88 45,381_ �\ � ":. 42% _ 5- '"'✓"/ 1% 17% 129,786 17,928 31 50% 8% \ 116% \ 466 Larsen Bay Electric Sales,FY2013(KWh) Old Harbor Electric Sales,FY2013(KWh) 189,299 ; 29,104 r 452156 o�. 199,407_ ",a.. 25% s 4% 169,763 20,791 386,479 125,930 22% 3% 48% 16% Ouzinkie Electric Sales,FY2013(KWh) x,240,135 36,020 141,409 19% 308,609 43% o Residential •Public Facility ®Commercial/Govt. ■Utility Use Information Insights Resource Inventory 126 Page 31 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Energy Supply&Demand City of Kodiak Sales,FY2013(MWh) Port Lions Electric Sales,FY2013(KWh) fei sf •%v ""� 171,444 248,829' 2t22.221;i22,2,216.9-, 16% v 22°2r., -2 63,28322222' 14tp- ,214 t .sc_. 7,1% ) 16% 2. rf i178 689,5452% a Residential■Public Facilities/Govt. a Commercial Average annual use by customer type and community also reveals differences in end use demand within the region.Potential strategies for maximizing energy efficiency efforts,based on annual use data,are described in detail in Volume II. Average Annual Use by Customer Type(kWh) a Residential ■Public Facility a Commercial 20,000 --- -- WO 15,000 •". ___ _.__ _.____. 10,000 _ w 5,000 -(1+ _.._ - _ • _ Afi r Akhiok Karluk Larsen Bay Old Harbor Ouzinkie Port Lions Rural Average Annual Use by Customer Type(MWh) 0 Residential ®Public Facilities 0 Commercial 140,000 — -- __ .__125,344___.__..._. 120,000 _...__ :.:. 113,614_._ _- ____ 100,000 - -- - --- ---- 80,000 �h. 60,000 z 40,000 - - 20,000 — - - , } 12,558 12,929_.. 5,214_ + 5,354 0 Kodiak Rural Average Information Insights Resource Inventory I 27 Page 32 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Energy Supply&Demand Sources:(18)(19)(20).Notes:In Kodiak and Port Lions,government facilities are grouped under Public Facilities.In PCE communities,government facilities are grouped under commercial accounts. Heating Energy Use Energy demand for space and hot water heating is less well documented and requires some modeling. Using housing stock and energy efficiency data from the 2013 Alaska Housing Assessment and data from AHFC's home energy rebate and weatherization projects in the region, we modeled residential heating energy use.This model does a better job estimating electrical use in the Kodiak region when compared with PCE data than applying data from the sampled rural communities(e.g.New Stuyahok) in the 2012 AEA Energy End Use Study(21). Table 7:Residential Energy Use per Home City of Kodiak' Kodiak Region-Rural End Use Study-Rural' Average %of Total i Average %of Total i Average %of Total Annual Residential Annual Residential 1 Annual Residential By Use MMBTU Energy Use MMBTU Energy Use MMBTU Energy Use Space Heating 124 67% 101 80% • 88 85% Hot Water 32 17% 8 6% 3 3% Electrical 29 16% 18 14% 13 12% Total 185 100% 126 100% 103 100% Source:(22)(16)Notes: 1/Actual energy use data compiled by AHFC energy efficiency programs for the region.2/Modeled based on housing stock and energy efficiency data from 2013 Statewide Housing Assessment,adjusted to fit actual usage data.3/Based on data for New Stuyahok in the Energy End Use Study. Applying this model to the number of occupied homes,we can estimate the total heating energy demand for space and hot water heating for each community,as shown in Table 8. Table 8:Estimated Annual Residential Energy Use by Community Heating Energy (Space+DHW) Electric Energy Total Energy Use Heating Fuel Use' (MMBTU) (MMBTU) (MMBTU) (Gallons) Akhiok 2,044 333 2,377 I 14,677 Karluk 1,775 289 2,064 12,747 Kodiak 424,788 78,967 503,755 3,049,978 Larsen Bay 3,431 559 3,989 24,633 Old Harbor 7,770 1,265 9,035 55,788 Ouzinkie 10,774 1,754 12,528 77,357 Port Lions 11,398 1,856 13,254 81,841 Total 461,981 85,022 547,002 • 3,317,021 Notes:1/Assuming all houses heat entirely with fuel oil.Actual fuel use will be lower where wood stoves and electric heaters are used.Does not include diesel fuel used for electrical generation. The fuel use numbers are quite a bit smaller than those in the 2013 Alaska Housing Assessment, which estimated space heating fuel use for the City of Kodiak and the borough as a whole based Information Insights Resource Inventory 128 Page 33 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.1 Energy Supply&Demand on data in the Alaska Retrofit Information System (ARTS).ARIS data is mostly from the City of Kodiak and,to a lesser extent, Port Lions—the communities where almost all of the region's state-funded energy audits have been done. Outside of Kodiak,Port Lions, Larsen Bay and Ouzinkie, Housing Assessment data quality is low. Table 9:Estimated Annual Community Space Heating Fuel Use Fuel Oil Electricity Wood Propane (Gallons) (kWh) (Cords) (Gallons) Total Region 3,754,910 2,597,149 4,244 2,384 City of Kodiak 1,732,901 1,246,112 1,914 982 Source:(16).Notes:Does not include diesel fuel used for electrical generation. Unfortunately, looking at residential heating gives us only half the picture, since we lack a good inventory of non-residential buildings(including building use and square footage)for the region'. Energy use in commercial buildings and public facilities can vary widely depending on building type and use, with warehouses using much less energy per square foot than schools or offices. For this reason,we have not estimated non-residential heating demand. See Appendix B in Volume It Community Profiles for a list of community buildings and other public infrastructure in the region. Transportation Energy Use Little data is available to estimate energy used for transportation in the Kodiak region, including aviation,on-road,off-road and marine uses. The AEA 2010 Alaska Energy Pathway report estimated transportation fuel use in the Kodiak region at close to 350 gallons per household, or 120 gallons per person,totaling 683,000 gallons for the region(23).Adjusted for population gains since 2000,transportation fuel use is estimated at just over 700,000 gallons for the region. However,when compared with bulk fuel survey and data from other regions, it looks like the Alaska Energy Pathway model Inay significantly underestimate transportation fuel use for rural Alaska(24). Gasoline Larsen Old Region Region (Gals.) Akhiok Karluk Kodiak Bay Harbor Ouzinkie Port Lions ' Total Average 2013 est.' 8,760 4,422 604,017 11,842 29,906 24,214 25,243 708,404 Per HH 103 103 95 135 133 131 134 119 Per person 385 317 287 344 345 376 338 342 2014 Fuel 30,000 • Purchase Source:(23)Notes:1/Based on Transportation fuel use in Alaska Energy Pathway,2010,adjusted for population change. 'Limited inventories of public and commercial buildings in the region were completed in the 2012 End Use Study and in AHFC's statewide benchmarking effort. Information Insights Resource Inventory I 29 Page 34 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Energy Supply&Demand LOAD FORECASTS Energy planners should conservatively assume a modest load growth due to projected population growth at the borough level and a continued trend in increasing household energy use due to changes in consumer habits. If energy prices fall due to market fluctuations or in the wake of new energy projects,we can also expect to see an increase in demand. Population Change Population size directly impacts the demand for energy and thus the economics of any energy project being considered.Calculating the return on investment or benefit-cost ratio of a 20-to 50- year energy project requires assumptions about future energy consumption including the number of energy customers. Planners at KEA expect a continuation of historic trends in electrical consumption (25). The 30-year population projections by state demographers at ADOLWD predict a population increase for the borough through 2027. After this time,the population is expected to level off and decrease slightly to a total population of 14,435 in 2042,a growth of 2.7 percent over 30 years. Figure 7:Population Projection,2012 to 2042 14,600 ------ ----- 14,479 14,400 ----- -- 14,435 14,200 14,000 --14,041_,___ 13,800 i 2012 2017 2022 2027 2032 2037 2042 Source:(26) Without infrastructure to connect rural communities, new energy projects not on the KEA grid will likely continue to serve small, discrete markets or"islanded systems."As a result, understanding where future populations will live is important to energy planning. Unfortunately, the small sample sizes and large margins of error in much of rural Alaska for both the decennial Census and American Community Survey makes sex by age data unreliable for projecting population growth at the community level (27). For this reason,the state only projects population growth at the borough or census area level. This makes it difficult to estimate future energy needs for very small communities, particularly those where populations have been declining. In some cases,rural community leaders and utility managers were asked in interviews conducted for this study for their predictions on local population change. Where available,their answers are included in individual Connnunity Profiles. Information Insights Resource Inventory 130 Page 35 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.! Energy Supply&Demand Other Factors Other reasons to plan for growth in energy demand are new commercial and industrial developments—especially in energy-intensive industries like mining,oil and gas exploration, and seafood processing—and changes in consumer habits(e.g.trends toward bigger televisions and more electronic gadgets per household). These are offset by the adoption of energy conservation habits and the manufacture of more energy efficient appliances and electronics. There are no mines known to be under exploration or development in the Kodiak region,and no planned lease sales for oil and gas exploration. Change in activity by seafood processors will be impacted by changes in many factors that are hard to predict:the abundance and distribution of fishery resources,variability in climate conditions, adaptations of fishery managers in response to climate change, industry consolidation (trend toward fewer shoreside seafood processors), outsourcing of production activities(moving secondary production to low-cost countries in Asia), and changes in fishery resource marketing(28). For transportation planning purposes,the Southwest Alaska Transportation Plan Update Phase I Report assumes no change or a very modest change in seafood tons shipped from SW Alaska ports over the next decade(28). A survey of seafood processors in the Kodiak region about future energy loads and plans to expand operations(or leave the market)has not been done, but should be part of Phase II activities. Data Gaps The most useful data for compiling a comprehensive picture of energy use and costs in the region and identifying energy saving opportunities include: • Public and commercial building inventory(building type/use,owner, size,age,heating fuel,energy use, EE&C audit status, retrofits completed) • Electric rates for commercial customers and utility demand charges • Residential housing inventory(size,type, age,audit status, retrofits completed,owner or renter occupied, Low-Moderate Income status, heating fuel) • Street light inventory(number,type, lumens,owner) • Bulk fuel infrastructure and use data(tank numbers,size, use,condition,owner,purchase and sales practices and quantities) • Transportation energy:vehicles(number,type, fuel, annual fuel use) Additional data that would be useful for forecasting changes in energy demand include: • Accurate population and occupied housing counts,especially for communities with populations under 100. Much of the data available from the U.S. Census Bureau's American Community Surveys is not dependable for small communities in rural Alaska due to very large margins of error. • Load modeling data for communities.AEA does extensive community load modeling when designing power plant upgrades and bulk fuel projects, including space heating loads at larger community buildings. It would be helpful if more raw data were available to regional energy planners. Conceptual design reports include only brief summary tables. Information Insights Resource Inventory 131 Page 36 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I 3 I ENERGY EFFICIENCY & CONSERVATION Energy efficiency and conservation(EE&C) is a resource every community can take advantage of—one that offers significant savings on heating as well as electricity costs. Since space and hot water heating typically account for over 80%of home energy budgets(and around 50%of energy used in public and commercial buildings), EE&C improvements provide one of the best ways to address total energy costs—not just the cost of electricity which is already subsidized for most rural Alaska residents and community facilities through the state PCE program. Reducing energy demand through EE&C should be communities' first strategy in energy planning, since it provides both current savings through avoided fuel purchase,transportation and storage costs, and offers potential future savings by reducing or postponing the need for new capital investments in energy production. Energy efficiency measures also act as an economic driver in Alaskan communities,while providing a quick payback on investment for building owners. Energy efficiency projects create more jobs in the economy than investments in some other energy projects do.There are approximately 7.8 jobs created for every$1 million spent on EE&C compared with only 2.6 jobs from the same investment in electrical power and 1.3 jobs from natural gas projects(22). Payback periods for EE&C investments can be as short as 4 months,while typical paybacks on new renewable energy generation are rarely shorter than 5 years(29). Resource Inventory KODIAK REGION HOUSING STOCK The 2013 Alaska Housing Assessment estimated that there are roughly 5,323 housing units in the region.Of these,4,445 are occupied.The remainder is either for sale, rent or is seasonal or otherwise vacant. Unfortunately,the data quality for some of the region is considered to be low. Only data quality for the City of Kodiak is high,while Larsen Bay, Ouzinkie and Port Lions have medium quality data. Much of the data was collected through the AHFC Home Energy Rebate(HER)and Weatherization(Wx)programs. However,within the Kodiak region, only homes in Kodiak and Port Lions and one home in Ouzinkie have taken advantage of these state-funded energy efficiency audit and renovation programs. For that reason, information on housing size, condition and efficiency cannot be freely applied to housing stock in other communities. With that caveat, the housing assessment's energy-related findings for the region include: • The average home in the region is 1,714 square feet and uses 117,000 BTUs of energy per square fool annually, 15%less than the statewide average of 137,000 BTUs per square fool per year. Information Insights Resource Inventory 132 Page 37 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Energy Efficiency&Conservation • The average annual energy cost for homes in the Kodiak Island Borough is$6.260,which is approximately 2.2 times more than the cost in Anchorage,and 2.9 times more than the national average. • Approximately 16%of occupied housing in the Kodiak Island Borough has completed either the Home Energy Rebate program, the Weatherization program,or BEES-compliant construction since 2008.compared to 21%statewide. NON-RESIDENTIAL BUILDINGS AND PUBLIC FACILITIES Inventories of non-residential buildings and other public facilities in rural Alaska tend to be nonexistent or frustratingly incomplete. Filling in the following data gaps would allow a regional EE&C strategy to be designed that targets public investment and educational messaging to maximize energy savings. • Non-residential building inventory. While there is not good data on non-residential building stock in rural Alaska,there is data on how different types of non-residential buildings behave in different climate zones that could be used to model non-residential energy consumption in the Kodiak region.A small inventory project to collect information on the number,type and size of public and commercial buildings in each community could be used to identify and prioritize public and commercial EE&C opportunities and strategies. • Street lighting inventory. It would be useful for regional planning to know the type and approximate number of street lighting and other public outdoor lighting in each community. • Water and sewer energy use and heat recovery status.In order to identify on a regional basis the highest priorities for efficiency upgrades to community sanitation systems, it is necessary to understand current energy use and know which communities already have heat recovery systems that serve sanitation facilities or have the potential to do so. • Saturation rates for specific EE&C measures. Knowing which consumer investments (programmable thermostats,efficient water heaters,other appliances and lighting)and behaviors(setting back thermostats,turning off lights,powering off computer equipment), etc.have already been widely adopted and which still provide significant opportunity EE&C OPPORTUNITIES Alaska has multiple programs to help individual homeowners, businesses, and local governments fund energy efficiency improvements.Total state funding for energy efficiency has grown from about$2 million in 2008 to over$300 million (22). Information on state and federal programs and eligibility requirements is included in the Project Financing section. Residential Energy Efficiency Savings Common home energy efficiency and weatherization measures typically save Kodiak households 18%to 35%on energy consumption,which translates into 250 to 550 gallons of fuel oil per home per year. Most of the energy savings is in home heating, although lighting efficiency upgrades result in some electrical savings. Information Insights Resource Inventory 133 Page 38 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan 1 Phase I,Vol.1 Energy Efficiency&Conservation Table 10:Average Residential EE&C Savings per Household in the Kodiak Region Pre Post Annual Estimated "As-Is" Improvement Energy Annual Fuel Annual Energy Audit Audit Savings Oil Savings Savings at (MMBTU) (MMBTU) (MMBTU) (Gals.) $4.50/gal. Home Energy 220 144 76 546 $2,456 Rebates Weatherization 196 160 36 258 $1,163 Source:(22).Note:This data is based on AHFC energy efficiency program results. Statewide the average investment per home in the two programs is about$17,000.That cost is to the state.There is no cost to the resident or the community for participation in the Weatherization program, making this a good program for communities that wish to reduce local energy bills, especially heating costs and fuel use. AHFC Wx projects in road-connected communities are funded up to$11,000 per home. This applies to the City of Kodiak,because it is on the Alaska Marine Highway."Enhanced weathcrization" services up to$30,000 per home are available to rural off-road communities. That includes logistics,transportation,overhead,and health and safety measures. In the Kodiak region, AHFC's weatherization work is provided by the Alaska Community Development Corporation(ACDC). The Kodiak Island Housing Authority(KIHA) has also been weatherizing many homes in the region,especially in rural areas, through its NAHASDA Indian Housing Block Grant funds. The scope of both agencies' weatherization work is similar,with KIHA project spending ranging from $2,000 to$15,000 per home,with village projects at the upper end of the range due to freight and lodging expenses. Investment by ACDC in 22 Wx projects in the City of Kodiak last year ranged from $3,300 to$15,125—with an average per home of$10,664 (30). Home Energy Rebate reimbursable costs are limited to direct labor and materials.The HER program requires homeowners to pay for an audit and recommended upgrades up front and the homeowner is then reimbursed up to a certain amount once work is done and a"post"audit is completed. The average rebate to homeowners is around $4,800 statewide. Individual homeowners may spend more than the reimbursed amount on energy efficiency retrofits, but that information is not available since participants are not required to turn in receipts for work done over the rebate amount. With annual cost savings averaging$1,464 statewide,the payback period for homeowners is 3.3 years(31). Participation by Kodiak communities in residential E8&C programs is shown in Table II. Information Insights Resource Inventory 134 Page 39 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Energy Efficiency&Conservation Table 11:Participation in Residential Energy Efficiency Programs,2003-2014 Home Energy Rebates ' Weatherization ' Efficient Housing Stock HER HER 1 HER AHFC 1 AHFC KIHA 1 New Total Audits Rebates Completion 2003-2007 { 2008-2014 NAHASDA { or BEES Efficient (4 Homes) (4 Homes) Rate (4 Bldgs) 1 (4 Bldgs) (4 Bldgs) 1 certified Housing Akhiok 1 8 1 8 Karluk 1 7 • 8 Kodiak 433 267 62% 129 i 34 411 841 Larsen Bay i 9 3 ', 12 Old Harbor �• 23 23 Ouzinkie 17 1 5 6 29 Port Lions 31 7 6 44 Total 433 267 62% 18 161 93 426 965 Sources:(22)(16)(30) ESTIMATING REMAINING RESIDENTIAL EE&C SAVINGS OPPORTUNITY Estimates for regional energy savings from residential EE&C measures are shown in Table 12. HER and Weatherization measures already completed or planned for 2014 will account for over 26,400 MMBTU annually in energy savings, 189,500 gallons of heating fuel,and nearly $850,000 in avoided fuel costs(see Table 10).Additional potential for residential EE&C could save another 65,150 MMBTU per year,assuming all older, eligible homes participate in an EE&C program.This would save an additional 468,000 gallons of heating oil and over$2 million annually in avoided fuel costs. Table 12:Estimated Energy Savings and Potential from Residential EE&C EE&C Savings Achieved EE&C Remaining Opportunity Occupied Annual Annual Annual 1 Remaining Annual Annual Annual Housing Energy Diesel Avoided Residential Energy Diesel Avoided Units Savings Savings Fuel Cost ' EE&C Savings Savings Fuel Cost (2010) (MMBTU) (Gals.) Savings Opportunity (MMBTU) (Gals.) Savings Akhiok 19 184 1,322 $9,255 58% 272 1,955 $13,683 Karluk 16 190 1,364 $6,709 50% 200 1,438 $7,076 Kodiak' 2,723 23,411 168,093 $731,206 69% 58,371 419,107 $1,823,117 Larsen Bay 34 194 1,395 $8,105 65% 516 3,703 $21,517 Old Harbor 73 524 3,761 $22,075 ! 68% 1,997 14,338 $84,165 Ouzinkie 103 515 3.696 $17,370 72% 1,288 9,250 $43,474 Port Lions 94 1,370 9,840 $48,707 53% 2,503 17,972 $88,962 Total 3,062 26,389 189,470 $843,428 63% 65,148 467,764 $2,081,994 Sources:(21)(13)(16).Notes: 11 Includes City of Kodiak only.Model Assumptions:All older income-eligible homes are weatherized.Remaining owner-occupied homes participate in Home Energy Rebate program.Average energy savings for region based on 2008-13 ARIS data(35%HER,18%AHFC weatherization projects).Assumes retail fuel costs for communities as of January 2014. Information Insights Resource Inventory 135 Page 40 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Energy Efficiency&Conservation REGIONAL EE&C OUTREACH AND COORDINATION The Home Energy Rebates program has been aggressively funded by the state and has been very popular in urban areas,but less utilized in rural Alaska. This pattern is the same in the Kodiak region, where 433 audits have been done in Kodiak, but none in villages.There are several barriers to rural participation in the program. • Home owners must be aware of the program and take initiative to sign up • Home owners must pay for audits and retrofits up front and are reimbursed,up to a set amount,after a post-audit is complete. • Some home owners report that it is hard to find auditors in rural Alaska • It is expensive to ship building materials to remote communities The Kodiak Area Native Association(KANA)hopes to address these barriers by hiring a regional EE&C coordinator to help rural residents access existing grant programs. KANA has applied for an EDA grant to fund the position. AHFC ROVING ENERGY RATER PROGRAM AHFC will now send a rater to a community if there are 3 to 5 customers signed up, depending on the size of the community(generally 3 for small communities or 5 for rural hub communities). Customers can always choose their own rater, but their costs will be lower if they use the AHFC sponsored rater. SMART METERS Smart Meters like The Energy Detective(TED)teach energy efficiency and awareness by giving utility customers the ability to monitor their own electrical use more closely. Studies have shown that 10 to 20%can be saved on electric bills by providing consumers more frequent, detailed information on their electrical energy usage than what they currently receive on monthly bills. KEA is considering the use of smart meters as tool to help with demand side management(25). In 2009 AEA and the Chugach Electric Association conducted a small pilot program,distributing smart meters to 90 residential and commercial participants. Specific cost recovery data was not obtained (32).Nationwide millions of smart meters have been distributed. Florida Power& Light Company installed 4.5 million smart meters(33). The Northwest Arctic Borough(NWAB)used a 2009 grant from the Coastal Impact Assistance Program (CTAP)to allocate a smart meter to every household so that residents could monitor their energy use in real time and see when the power cost equalization(PCE) limit of 500 kWh has been reached,after which electricity costs increase dramatically.NWAB trained youth in each community to provide technical assistance to local residents, The borough planned to install a prototype commercial grade meter is in school buildings in 2013 (5). ENERGY WISE The Rural Alaska Community Action Program (RurAL CAP)offers another program to help raise awareness of energy efficiency in rural Alaska. The program uses a multi-step educational approach involving residents in changing home energy consumption behaviors. Locally hired crews are trained to educate community residents and conduct basic energy efficiency upgrades during full-day home visits.The cost of implementing Energy Wise varies by location due to Information Insights Resource Inventory 136 Page 41 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Energy Efficiency&Conservation labor and logistic costs as well as the efficiency of serving communities of different sizes. The average cost per home is estimated to be tinder$2,000. Approximately half of this amount provides for local hire;the other half covers training,supplies and coordination(34). In order to implement Energy Wise in a community or region, RurAL CAP requires a private sector partner.The NWAB partnered with NANA,the region's regional native corporation,to bring Energy Wise to all Northwest Arctic communities.One year after the program was implemented,the region's villages reported a 20%to 30%reduction in residential energy consumption(5). Non-residential Energy Efficiency Savings for efficiency improvements to non-residential buildings average 33%statewide, although there is sonic variation based on building type,and now total more than$750,000 per year in statewide savings. Table 13:Participation in Public and Commercial Energy Audit Programs Public Facilities Commercial ANTHC AEA AHFC Public Water& Commercial VEEP' EECBG' Street Lighting Facility Audits Sewer Energy Audits (#Bldgs) (#Bldgs) Upgrades I (#Bldgs) (#Bldgs) (#Bldgs) Akhiok 5 Karluk 8 Kodiak' In progress 3 Larsen Bay I Old Harbor 7 Ouzinkie •• Port Lions I 30 Total 7 1 35 10 0 3 Sources:(35)(36)(37).Notes:1/AHFC public facility audits include fire station in Womens Bay and school in Chiniak.2/The Small Cities EECBG Program was an American Recovery and Reinvestment Act(ARRA)project that provided grants to 97 Alaska small cities and boroughs to make energy efficiency improvements in public buildings and facilities.EECBG and VEEP programs were conducted simultaneously using ARRA grants,and based on their success,AEA continued to fund VEEP through FY2014. VILLAGE ENERGY EFFICIENCY PROGRAM(VEEP) Like the Energy Efficiency and Conservation Block Grant Program (EECBG),the Village Energy Efficiency Program (VEEP)offered a great resource to small communities that wished to make significant progress on energy efficiency with real,recurring annual savings. Port Lions received EECBG funding to upgrade its City Office Building lighting and LED street lighting, and Old Harbor upgraded seven public buildings in the very first(pre-ARRA)round of VEEP,' but overall participation has not been as high in the Kodiak region as in some other regions of the state,as shown in Table 14. 'The first iteration of the current VEEP model was VEUEUM,which is now referred to as VEEP round 1. Information Insights Resource Inventory 137 Page 42 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Energy Efficiency&Conservation VEEP will not continue in FY2015 due to a lack of state funds,but the model established through VEEP and EECBG projects continues to offer a proven approach to achieving substantial whole village energy savings. Under VEEP, energy efficiency audit and upgrade services were provided to Alaska communities with populations of 8,000 or less. In 2013,the average funding amount was$200,000 per community,with specific funding levels based on population.Grants covered efficiency improvements in public and community buildings, including upgrades to the building envelope, domestic hot water, HVAC controls, heating, lighting,motors and pumps, and ventilation. The energy auditor would assess the best use of funding to achieve the highest energy savings. Recipient communities were given three years to complete work. They could choose to administer and report on grants themselves or choose to have AEA do so on their behalf. Savings from VEEP have been impressive.The program resulted in a$3 return for every$1 invested statewide,with a 3.8 year simple payback. In King Cove, improvements to three community buildings and street lighting retrofit resulted in a 72%reduction in energy use and a $25,000 annual savings(31). Table 14:VEEP Participation by Region,2005-2013 VEEP 1 Whole Village Retrofit Aleutians Bristol Bay 12 Interior 9 Kodiak I North Slope Northwest 4 Southeast Western 17 2 Total 45 3 WHOLE VILLAGE ENERGY RETROFITS AEA has also done three"whole village retrofits" in other regions completing additional energy efficiency work in each community. The most successful whole village project was begun in Nightmute in 2007 as part of VEEP round I. Whole Village Energy Retrofit program took VEEP a couple steps further by upgrading the powerhouse,installing smart meters in residential and non-residential buildings, switching to LED streetlights,retrofitting or recommissioning most non-residential buildings, and weatherizing all homes. Only three whole village retrofits have been done. Like VEEP,the program is not currently funded. One lesson learned in these efforts is that to be successful there must be sufficient time in the project to manage logistics and engage stakeholders, including partners from outside the community. In Nightmute,AEA partnered with AHFC, AVEC,the housing authority, local and tribal governments,the Denali Commission, RurAL CAP, and the Alaska Building Science Network(ABSN).AEA grant funds of$165,000 were combined with over$600,000 in RurAL CAP weatherization funds, plus cash and in-kind matches from the city,tribe,church, and village corporation totaling$75,700. The community funding contributions allowed the scope of the Information Insights Resource Inventory 138 Page 43 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Energy Efficiency&Conservation program to be expanded by over 40 percent. The program resulted in weatherization of 34 homes (65 percent of total housing),energy efficiency and lighting upgrades to 10 community buildings (all public buildings except the school), lighting upgrades to the school gym and four teacher housing units,and smart meters installed in every building(residential and non-residential). Powerhouse upgrades had already been planned and were conducted simultaneously. AEA is now in the process of going back to assess the success of the project five years later and compare actual with estimated savings.At the time the project was completed in 2008,fuel savings from the weatherization of public buildings was estimated at 56 percent, with average per building fuel use dropping from $5,096 to$2,205 per year. The simple payback on community building weatherization was calculated at 5.2 years for ABSN's investment and 2 years for the community's investment. Savings from lighting upgrades alone were calculated at 4.7 percent of village electrical consumption, with a payback of less than five years. FINANCING A WHOLE VILLAGE APPROACH Though neither the VEEP nor Whole Village Energy Retrofits programs is currently funded,they provide powerful models for achieving long-term,village-wide energy savings.Since typical payback periods are short for these programs and savings can be significant, it makes more sense to pursue them now using loans or other available financing mechanisms than waiting for the possibility of future state grant funding. Creating financing options could include the Alaska Energy Efficiency Revolving Loan Fund Program (see page 41)for financing public-building energy retrofits,the Power Project Fund for efficiency upgrades to the powerhouse,existing weatherization programs for funding a coordinated residential energy efficiency initiative, and other grant and loan opportunities listed in the Project Financing section that include energy efficiency among their program guidelines for financing street lights,smart meters or other EE&C upgrades(see page 79). Since these financing options take more work and organizational capacity to coordinate than state grant funding,there is an important role for a regional organization to take in helping implement an aggressive whole village—or whole region—approach to energy efficiency. A regional entity or other third-party with capital to invest may also be interested in financing a whole village EE&C initiative using an ESCO-type model in which the loan is paid back by savings from the efficiency measures being installed (see page 89).3 AHFC PUBLIC FACILITY AUDITS AND IMPLEMENTATION AHFC funded 327 audits statewide in 2011 and 2012 through the Retrofit Energy Assessment for Loan Program (REAL), including audits of 10 public buildings in the Kodiak region. Since the public funds cover the cost of the audits only—not the cost of retrofits—it is not known how many recommended measures have been implemented by building owners, but since many EE&C retrofits pay for themselves within a few months to a few years through energy savings, it makes economic sense to complete the most cost effective building upgrades as soon as possible, 'Unlike conventional ESCOs which finance efficiency upgrades to individual public buildings with large square footage,there is the potential to use the same model to fund upgrades to a many smaller public buildings in the same community to realize comparable savings.While this model has not been tried yet in Alaska,it has been talked about. Information Insights Resource Inventory 139 Page 44 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Energy Efficiency&Conservation even if grant funding is not available. The state has several revolving loan funds that can also help finance the upfront costs of energy improvements. Statewide, AFIFC estimates that few retrofits have been implemented to date(38). KIBSD has primarily been implementing energy saving recommendations in the seven schools it had audited in four communities(Kodiak,Womens Bay,Chiniak, Larsen Bay and Ouzinkie)as repairs and replacement opportunities arise(39). Public building audits for the region can be downloaded at: http://www.akenergvefIicienev.org/koniag audits/ COMMERCIAL ENERGY AUDITS AEA's Commercial Building Energy Audit program funds audits for commercial buildings,and over half of the audits funded in 2013 were in non-railbelt communities(40). However,only three businesses in Kodiak received Alaska Commercial Energy Audits.'As with other non- residential EE&C programs, because the program only covers the cost of the audit(it does not reimburse owners for building improvements), it is not known how many of the recommended improvements are made. However,since many upgrades pay back in just a few years,it makes sense to do them as long as the up-front investment can be made. Loan programs for commercial building energy efficiency improvements are currently being developed by DCCED and AIDEA. Estimating Remaining Non-residential EE&C Savings Opportunity The lack of data on public and commercial buildings(including number,type and square footage) in the region makes it difficult to estimate non-residential energy savings potential. In addition, most local governments operate multiple facilities and purchase fuel for a variety of buildings and vehicles. They do not usually account for individual building energy use,and fuel metering is rare.This makes it difficult to understand current energy use in public buildings and limits the accuracy of the community-reported data used in many audits.Though data are often unavailable on public and commercial buildings,an estimate for the savings potential is shown in the table below.This is based on behavioral changes(like setting back thermostats)by building managers and occupants as well as efficiency and conservation retrofits identified in building energy audits. Table 15:Savings Potential for Public and Commercial Facilities Make All Male All the Most Cost- All EE&C Behavioral Changes Effective Changes Recommendations 10-15%Savings 1 15-25%Savings 25-35%Savings Source:(38) NON-RESIDENTIAL BUILDING INVENTORY AND BENCHMARKING At the community or regional level,a public building inventory can be used to identify and prioritze public facilitly EE&C opportunities and develop an"EE&C Roadmap" for the community or region. Data can be collected using local labor and a standard input form. It should include, at a minimum,building type,age,square footage, fuel type,owner, occupancy, hours of operation and EE&C audit/renovation status. Additional data fields may include bulk fuel tank capacity and annual community fuel order by type, and the number and type of street lights or other public outdoor lighting. Data can be used to help ground truth statewide energy end use °Alaska Hydraulics,ISA Plant 2,and Kodiak Island Brewing Information Insights Resource Inventory 140 Page 45 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Energy Efficiency&Conservation models and be used to develop a grant proposal for community or regional public facility EE&C upgrade project. "Benchmarking"public and commercial buildings also benefits individual facility owners and managers by giving them the ability to see trends in a building's energy use and compare use and operating costs to other buildings. Owners can benchmark their facility by completing the REAL Benchmark Form at: http://www.ahfc,us/efficiency/research-information-center/energy- efficiencv-public-facilities/(41). REVOLVING LOAN FUNDS State loan programs exist to fund the deployment of energy efficiency and conservation measures in commercial and public buildings. • Commercial Alternative Energy Conservation Loan Fund: DCCED provides loans up to$50,000 to finance alternative energy systems or conservation in commercial buildings. For more information,visit http://com m erce.alaska.gov/dnn/ded/FIN/Loan Programs/Alternate veEnergvLoan Proeram.a sox. • Alaska Energy Efficiency Revolving Loan Fund(AEERLP)for Public Facilities: AEERLP provides financing for permanent energy-efficient improvements to government- owned facilities. Financed improvements must be from the list of measures identified in an Investment Grade Audit. For more information,contact Eric A. Havelock at AHFC (907) 330-8245 or visit www.ahfc.us/efficiency/energy-programs/energy-efficiency-revolving- loan-fund-aeerlp Energy Efficient Lighting INDOOR LIGHTING RETROFITS Electrical efficiency measures such as lighting retrofits generally have shorter payback periods than other building efficiency measures. After one whole village retrofit,AEA saw a total energy savings of 1%to 4%in the community just by looking at lighting improvements.The median savings from lighting retrofits identified for 13 public and commercial buildings in the Kodiak region is$4,997 per building per year. Table 16:Savings from Energy Efficient Lighting Upgrades in Small Communities Investment Savings Electric Savings Simple Payback per Building per Building per Building Period Mean $2,754 $839/year 1,703 kWh/year 3.3 years Average $5,642 $1,565/year 3,685 kWh/year 3.6 years Source.(36)Based on 156 lighting upgrades completed in 32 villages with VEEP and EECGB grants through 2013. STREET LIGHTING LED lighting is highly efficient compared to conventional street lights. Though somewhat capital intensive(about$1,000 per light), communities can save up to 75%on annual energy used for outdoor public lighting(including security lighting at tank farms or harbors). KEA has a 7-to 10- year vision to replace all street lights in Kodiak with LEDs. Akhiok and Port Lions have Information Insights Resource Inventory 141 Page 46 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Energy Efficiency&Conservation completed street lighting retrofits as part of their VEEP or EECBG grants, but there is potential for additional savings in the region by switching out street lighting in other communities. Table 17:Average Savings from Implemented LED Street Lighting Retrofits by Community Size 1 • Annual Savings Community g Simple payback Population Investment Dollars i MMBTU kWh (Yrs) 50-100 $ 12,835 $ 2,202 21 6,158 69 per capita 166 30.91 0.28 83.0 100-250 $ 22,395 $ 2,602 23 6,733 10.1 per capita 95 • 13.09 0.12 I 34.8 250-500 $ 25,933 1 $ 4,616 38 11,135 6.5 per capita 69 j 12.31 0.10 29.1 500-1000 $ 54,250 1 $ 11,195 106 31,103 per capita 86 1 17.52 0.16 46.7 7.4 1000-2500 $ 68,942 1 $ 16,873 : 315 92,318 5.5 per capita 40 I 8.30 . 0.15 43.9 2500-5000 $ 153,500 1 $ 113,956 1,339 392,312 2.3 per capita 35 1 27.16 0.32 94.1 Statewide $ 39,216 I $ 10,899 130 38,195 i7.1 per capita 82 1 15.36 0.15 43.4 Source:(36) Water and Sewer Energy Efficiency Sanitation systems are one of the single largest energy users in rural communities, accounting for 10%to 35%of a community's energy use. Alaska Native Tribal Health Consortium (ANTHC) estimates that for every$I spent on energy retrofits of rural sanitation facilities(including the cost of audits),there will be a 50 cent return each year to communities plus a 50 cent annual return to the State's operating budget through lower PCE payments. ANTHC performed energy audits of public facilities in small communities as part of its study of energy use in rural Alaska sanitation systems. Average savings based on audits in 40 rural communities are shown in Table 18. ANII-IC estimates another 40 communities could benefit (42). Note that most of the audits were done in colder climate zones where energy use for sanitation systems is higher.None were done in the Kodiak region, where savings may be somewhat lower due to the milder climate. Table 18:Savings per Community from Water and Sewer Efficiency Measures Estimated Annual Savings Annual Savings in Cost of Audit Investment to Community PCE Costs to State Simple Payback $17,500 $31,896 $9,847/year $8,067/year 1.8 years Source:(42).Notes:Does not include heat recovery. Table 18 does not include potential savings from heat recovery, which will not be practical to install in every community. Because sanitation facilities can use low-quality recovered heat to warm large volumes of stored and circulation water,heat recovery systems offer even more efficiency for sanitation facilities than they do for other public facilities. While heat recovery Information Insights Resource Inventory 142 Page 47 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan l Phase I,Vol.1 Energy Efficiency&Conservation projects require a substantial initial investment in material and labor,they result in significant savings to communities where they are appropriate. Unfortunately,the state does not currently have a good mechanism for funding energy efficiency projects in sanitation facilities,according to ANTIC.Many rural utilities have poor credit and lack the administrative capacity to acquire loans through AFIFC Energy Efficiency Revolving Loan Fund.Communities that have completed retrofits have largely done so with nontraditional funding sources(42). Successful EE&C Messaging in Rural Alaska Rural Alaskans are already highly engaged in energy efficiency and conservation. The high cost of energy and low household income in most rural communities means that rural Alaskans have been practicing efficiency and conservation out of necessity for some time. The following findings on what EE&C messaging is most effective with rural Alaska audiences is from Recommendations for Alaska Energy Efficiency and Conservation Public Education and Outreach conducted by Information Insights and Milepost Consulting for the Alaska Energy Authority(43). • Rural communities must trust the messenger. In many places this means getting buy-in from community elders and leaders. Rural outreach programs often require more time to build trust than is needed in urban places. Close coordination with regional entities, such as Native organizations, in program design and implementation is a preferred model. • To the extent that funding allows,education and outreach campaigns should incorporate regional modification,such as using local language, local personalities and entities,and appropriate delivery mechanisms. • Engaging the whole community from youth to elders is important in very small communities. Creating events with activities for all ages is recommended. • Messages with"future-conservation"and "monetary-social norming" frames play well in rural Alaska. Future-conservation frames are less effective in urban Alaska. The least effective messages with rural audiences are those with a"combination-gain" frame. o Future-conservation messages("Conserve now for the next generation!")are more effective in rural Alaska than messages with simply an environment-gain (describing an improving impact on the environment)or a straight-up gain frame(describing generic money or energy"savings"). o Social norming messages promote the idea that others within a given peer group or community are already participating in the desired behavior and, in monetary-social norming messaging, already seeing monetary benefits from that behavior. For example, 'Your neighbors have already saved around$50 per bulb on their energy bills by installing efficient lighting,you can too!" Information Insights Resource Inventory 1 43 Page 48 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol. 4 I FOSSIL FUELS BULK FUEL Heating oil and gasoline prices have been a point of considerable attention in rural Alaska for many years. The challenges of delivering and storing fuel in remote locations are significant and substantially increase energy costs in the region. Fuel costs are tied closely to crude oil prices, which are set on a global market. While the market price(the price paid at the refinery)cannot be influenced by local, regional or state actions,two options exist to lower the cost of fuel oil and gasoline and thereby lower the cost of energy in rural communities: lower storage and transportation costs. Wholesale price data is not available, but it is apparent from retail fuel survey data for#1 heating oil that significant price differences exist across the region. Figure 8:Retail Prices for Al Heating Oil Fuel,January 2014 $7.50 —Akhiok $6.50 Harbor •4110.1116. • -0-Larsen Bay $5.50 —_ -- , —Port Lions $4.50 -- Ka rl u • $3.50 ` y — — — Kodiak $2.50 $1.50 -__ . _�- 2008 2009 2010 2011 2012 2013 2014 Sources:(44)(45).Notes: Reported price of No.1 fuel oil from AHFC Fuel Survey.Sales tax is included since 2011,but mayor may not he included for prior years. Bulk Fuel Storage BULK FUEL UPGRADE PROGRAM Upgrading bulk fuel facilities reduces the cost of storing fuel by replacing leaking tanks and reducing the risk of future tank and equipment failure. Bringing these facilities into compliance with federal and state regulations also makes them safer and more reliable. With the help of federal funding from the Denali Commission, AEA has invested over$200 million statewide to upgrade bulk fuel infrastructure in over 70 rural communities. All rural communities in the Kodiak region, including Port Lions,have received bulk fuel upgrades. Information Insights Resource Inventory 144 Page 49 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Fossil Fuels BULK FUEL STORAGE CAPACITY Information on bulk fuel storage capacity and needs was not uniformly collected for this study. See individual Community Profiles for information.The Denali Commission has funded a statewide bulk fuel inventory assessment,which is scheduled to be completed by AEA by the end of FY2015 (46).The assessment will be used to prioritize state bulk fuel upgrade(BFU)projects based on infrastructure needs and potential for refurbishment. ULTRA LOW SULFUR DIESEL As the region replaces diesel gen-sets, heavy equipment,and on-road diesel vehicles, it will increasingly have to use Ultra Low Sulfur Diesel(ULSD)instead of Low Sulfur Diesel. It is possible that fuel providers will switch entirely to ULSD,even though it is not required for heating purposes. Communities will need to address the issue of dedicated ULSD storage(47). More information from regional fuel providers would help assess the need for dedicated ULSD storage.(47) Bulk Fuel Purchasing Group Based on the experience of bulk fuel purchasing groups in other regions and statements by fuel vendors,modest savings are available from consolidating bulk fuel orders in order to increase the incentive of fuel vendors to lower their bids for delivered fuel. Additional savings may come from reduced administration costs for buyers and vendors. However,the challenges of setting up a purchasing cooperative are not trivial and due to the many factors that go into fuel prices, it is difficult to estimate how much savings might be realized by a purchasing group in the Kodiak region. Fuel vendors generally calculate the delivered price of fuel on a case-by-case basis and do not publish price breaks.However,there are increased efficiencies at several volume thresholds from as low as 3,000 to over one million gallons, according to Delta Western (24). Fuel is already being purchased cooperatively on an informal basis in the City of Kodiak by the Kodiak Island Borough,the School District,and the Providence Kodiak Island Medical Center. The total volume combined for bid this year was over 500,000 gallons.Now that KEA's annual fuel purchase is down to 70,000 gallons,the utility may be able to lower its fuel cost by joining the combined order. Analyzing the feasibility of a rural Kodiak region purchasing group is beyond the scope of this study. However,the opportunity for significant savings by combining fuel orders into a single bid process is limited for several reasons: • The total volumes purchased in the remainder of the region are not known but presumed to be small based on available data. (See Table 19.) • Several communities said in interviews conducted for this study that they are unlikely to be interested in a fuel purchase group. • Competition among fuel vendors can only be leveraged when it exists. In three of six rural communities(Akhiok, Karluk and Larsen Bay) little to no competition exists due to the absence of docks and marine headers that would allow fuel barges to off-load fuel safely and efficiently. In Larsen Bay, for example,only one vendor(Crowley Maritime)has Information Insights Resource Inventory 145 Page 50 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Fossil Fuels typically been willing to anchor out and use a floating line to off-load fuel. Other vendors will not cone in without a dock(48). Table 19:Bulk Fuel Used or Purchased by Community Heating and Electricity Transportation #1 Oil #2 Propane Avgas Gasoline ULSD (gals.) (gals.) (gals.) (gals.) (gals.) (gals.) Akhiokl.- ? 26,505 ? ? ? ? Karluk3 22,500 22,500 0 0 0 0 Larsen Bay3 15,000 10,000 0 0 30,000 0 Old Harbor' ? 58,192 ? 2 2 2 Ouzinkie2 2 40,800 2 2 2 2 Source:(18)(49)(19).Notes:1/Does not include fuel purchased from cannery.2/Shows FY2013 utility use only.Does not include#2 diesel used for heating.3/From 2014 bulk fuel order.Includes total order for#2 diesel for both electrical and heating use. The volumes in the table above do not include fuel purchased by(or from)seafood processors or by school districts or businesses with their own fuel tanks. Unless they are independently owned, seafood processors likely pool their own fuel orders for Alaska operations at the corporate level. Alaska DOT&PF purchases all its vehicle and aviation fuel as pan of a statewide bid and procurement process(24). Resources for Communities RURAL ALASKA FUEL SERVICES(RAFS) Rural Alaska Fuel Services is a nonprofit organized to contract for the operation and maintenance of rural Alaska bulk fuel storage facilities constructed by the Denali Commission. A condition of Denali Commission grants is that the newly constructed tank farms be maintained and operated in accordance with applicable state and federal regulations. RAFS offers a variety of financial services to its customers, including records retention, billing and collections, budgets and planning and pricing analysis. RAFS' Power Cost Equalization Training and Assistance services include regular courses for utility clerks and managers and assistance with reporting compliance. DIESEL EFFICIENCY & HEAT RECOVERY Diesel generation accounts for only 6%of the electricity in the region as a whole, but 65%of the electricity generated by the region's small utilities. Inherently inefficient as a power source, diesel loses 60%of its energy to heat even in the most efficient generators. The inefficiency is greater in poorly sized or maintained gen-sets,therefore considerable savings are available to a community by improving maintenance and system efficiency and by adding or expanding waste heat recovery. Diesel efficiency is measured by the amount of electricity produced in diesel generators from one gallon of fuel (kWh/gallon). Diesel efficiency at Kodiak region utilities ranges from 10.1 to 14.5 kWh/gal.,as shown in Figure 9. Information Insights Resource Inventory 146 Page 51 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan Phase I,Vol. I Fossil Fuels Figure 9:Diesel Efficiency in the Kodiak Region(kWh/gallon) 13.0 ' 14.4 (1.4.6 12:6 —AEA Benchmark 103 lin - 101 r - Akhiok Karluk Kodiak Larsen Old Ouzinkie Bay* Harbor Sources(18)(19):Notes:Diesel efficiency based on generators in place in FY2013.'Larsen Bay's diesel efficiency is expected to improve with the recent upgrades to its diesel generators and switchgear. In the past,AEA has used 13.0 kWh/gal as a very general efficiency benchmark in evaluating Renewable Energy Fund project applications. They are considering changing that in the future to a lower number for smaller utilities and a higher number for larger ones,since there is a correlation between load size and efficiency,as shown in Figure 10. However,even small utilities are able to achieve diesel efficiencies of 14.0 and above. Every utility should be able to achieve the efficiency on the trend line in the chart. A goal might be to be 5%above the line for small utilities(50). Figure 10:Diesel Efficiency at Different Load Sizes,FY2013 PCE Data Diesel Efficiency vs Total Diesel kWh Generated (in thousands) 18.0 • 17.0 • 16.0 15.0 , - .........:»....... 14.0 l' • ..• ...'.....r..... i. •N Lt. • •13.0 ••r..'..`s-_ 12.0 ,• r•r r••+•r• • . 11.0 ; 10.0 r • • • 9.0 . 8.0 0 1,000 2,000 3,000 4,000 5,000 Source:(50) Even if a community produces most of its electricity with renewable energy—or hopes to in the future—optimizing diesel efficiency is important since almost any renewable resource needs to integrate with existing generators to ensure that power is available in the community when variable energy sources like wind or run-of-river hydro are off line. Information Insights Resource Inventory 147 Page 52 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.1 Fossil Fuels The primary powerhouse infrastructure must he in good working order and well maintained and adequate switchgear and controls installed so the integration of wind or hydro does not damage diesel equipment or lead to a marked decrease in generator efficiency that can result from operating at low capacity when the renewable resource is online(2). Another reason for getting the diesel powerhouse in order before pursuing renewable energy opportunities is that potential funders typically look at a community's capacity for maintaining its current infrastructure(and for record keeping and business administration)before awarding funds for new projects. Resource Inventory DIESEL POWERHOUSES In 2012,AEA conducted an assessment of the condition and needs in rural powerhouses statewide to help prioritize system upgrades. Selected results for Kodiak communities are included in Table 20: Village Power System Assessment,2012. Recommendations from AEA staff based on the assessments are included in individual Conununiq'Profiles. Table 20:Village Power System Assessment,2012 Generator Load Load Operator Condition Sizing Imbalance Proficiency Control Switchgear Akhiok' C/C/C Good 10-25% D/D/D/D/D Semi-automatic Karluk C/C Good 10-25% C/C/C/C/D Semi-automatic Larsen Bay' D/C Oversized >25% C/B/D/D/D Manual transfer Old Harbor C/C/C Good 10-25% A/A/A/B/B Manual synchronizing Ouzinkie A/A/C Good 10-25% B/B/C/C/C Fully automatic Sources:(51)(19)(18).Notes:I/Does not reflect recent administrative improvements in Akhiok before rejoining PCE or powerhouse upgrades in progress in Larsen Bay.Generator Condition:A=Good(like new),C=Fair, D=Poor. Operator Proficiency:A=Excellent,B=Good,C=Acceptable,D=Unacceptable for:Meter Reading/Daily Logs/ Routine Maintenance/Scheduled Maintenance/Maintenance Planning The Rural Power Systems Upgrade(RPSU) program replaces outdated, inefficient village powerhouse and electrical distribution systems,adds or upgrades heat recovery where possible and remote monitoring systems,and improves overall diesel efficiency through other upgrades including electronic fuel injectors; switchgears and controls. RPSU projects have been completed in Karluk and Ouzinkie. Upgrades in Larsen Bay are in progress.The new diesel powerhouse will be substantially complete by fall 2014, followed by hydro refurbishment, and electrical distribution construction is expected to be completed in fall 2015. As part of its upgrade,the community will receive three new gen-sets(1 x 210 kW,2 x 65 kW), replacement of most of the existing underground distribution system,and replacement of the existing hydro Pelton wheel. Akhiok and Old Harbor are on the list of 87 potential RPSU projects remaining.Now that Akhiok is active again in the PCE program,there is an opportunity to talk with AEA program staff about prioritizing an RPSU project. Information Insights Resource Inventory 148 Page 53 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Fossil Fuels HEAT RECOVERY Heat recovery lowers community energy costs by reducing the cost of heating public buildings near the powerhouse.This is a resource that is essentially untapped by the region's rural utilities, offering significant opportunity. Table 21:Heat Recovery by Community Current Additional Heat Recovery BTU/hr Buildings Waste Heat Potential Operational Meter Heated Available New Users Akhiok Not Known Karluk No Pumphouse? Larsen Bay No Old Harbor No Ouzinkie Not Known Source:(51)(52) Even when gen-sets operate at maximum efficiency, 60%of all energy in the diesel fuel will be released as heat.The waste jacket heat can be run through a heat exchanger that transfers the heat to a heat loop that can warm nearby buildings. This process can recover 10 to 20%of the energy in the fuel.The heat can be measured and, if a heat sales contract is developed,sold to consumers,providing another revenue source for the utility. Potential users are often schools. The heat expelled in the exhaust is more difficult to capture—cooling the exhaust causes sulfuric acid to develop and can cause other operational issues with the engine. Low sulfur diesel and other technologies may help limit these issues(2). While excess or waste heat is primarily a byproduct of diesel generation,heat can be harnessed from hydro plants in situations where there is excess hydro (e.g. water going over the spillway) that can be used as a dump load to power an electric heater. Technology Notes Diesel efficiency is improved through: • Proper maintenance of gen-sets.The efficiency of a new generator or diesel power plant declines quickly if not maintained. • Type and proper sizing of gen-sets. Diesel generators are significantly less efficient when run at low capacity. This is particularly an issue when trying to integrate wind in small communities where the system is already oversized. Ideally,gen-sets can be sized so that one generator can go offline completely when the wind is blowing, leaving a smaller generator operating at close to optimal capacity. • Effective switchgear • Properly balanced distribution system Information Insights Resource Inventory 149 Page 54 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Fossil Fuels Opportunities By cutting down on the amount of fuel oil needed to meet a community's electrical needs, improvements to diesel efficiency lead directly to lower energy costs by reducing the cost of buying,shipping and storing fuel. Increasing diesel efficiency by 10%in every community-or alternatively to the level of 13.0 kWh/gallon regionwide-would result in savings of 10,000 to 60,000 gallons of diesel annually. The savings to utilities, which would be$40,000 to$215,000, are shown in Table 22.This amounts to a savings of$0.02 to$0.10 per kWh. Table 22:Diesel Efficiency Savings Potential by Community Current Increase by 10% Increase to 13.0 kWh/gallon FY2013 FY2013 Diesel Fuel Price New Diesel ', Fuel Annual New Diesel Fuel 1 Annual Efficiency to Utility Efficiency Savings Savings Efficiency Savings Savings Akhiok' 10.3 $3.75 11.4 i, 2,404 $9,019 13.0 5,459 $20,484 Karluk 11.1 • 54.37 12.2 2,155 $9,419 13.0 3,468 , $15,156 Kodiak2'4 14.4 , $3.50 i 15.8 I 44,545 , $155,909 NA Larsen Bay° 10.1 ' $4.45 ' 11.1 204 $909 13.0 501 $2,229 Old Harbor4 14.5 ' $4.13 16.0 5,284 $21,823 NA Ouzinkie 12.6 ' $4.76 13.9 3,695 ; $17,588 13.0 1,178 $5,605 Total Avg. 12.2 'I Avg 13.4 58,288 $214,688 ` I 10,606 $43,475 Sources:(18)(19)(25).Notes:1/Based on 4 months of FY2014 PCE data 2/Reported by KEA,April 2014.3/Based on old generators.Powerhouse upgrades installed in 2014.4/There are upper limits to the amount of fuel efficiency that can be achieved with current technology.It may be difficult to raise efficiency above 15.0. AEA program managers offered the following additional observations and recommendations to increase system efficiency(53)(54): • SCADA software systems are included on all power plants installed since 2004 allowing remote monitoring to identify maintenance and performance issues. Remote site monitoring on a regional or subregional basis call save energy. The Bering Strait school district has one employee who watches all school systems and contacts schools when there is an issue. • Education and training are very important,so operator turnover is a big issue. AEA educates local operators on the systems they have,but knowledge can be lost through turnover. AEA operates a circuit rider program to assist local operators and keep education and training current.The state also pays for rural power personnel to attend AVTEC's operator training courses in Seward. • Energy and cost savings are available by taking a more holistic approach to a community's needs and combining projects, such as powerhouse and tank farm upgrades, when possible. Heat recovery systems are included in every power plant upgrade project. AEA works with renewable resource managers when designing power and bulk fuel upgrade projects. • There are a lot of fuel additives available but it is not clear whether they help with engine efficiency. It is up to a community if they want to try them.ACEP is looking into the efficiency of fuel additives. Information Insights Resource Inventory 150 Page 55 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan l Phase I,Vol.I Fossil Fuels Resources for Communities AEA HEAT RECOVERY PROGRAM AEA provides feasibility studies for heat recovery systems. Utilities should contact the AEA Heat Recovery Program Manager if they would like to assess the potential for installing or expanding a heat recovery system. AVTEC TRAINIING FOR POWER PLANT OPERATORS AVTEC,with funding from AEA,offers training courses for bulk fuel and power plant operators at its facility in Seward. Bulk fuel courses are two weeks long and power plant courses are eight weeks long but can be broken into two four-week courses that can be taken at different times. Advanced power plant courses are three weeks long and require the basic power plant course as a prerequisite.This is an excellent way to improve diesel efficiency by improving operator proficiency and system maintenance.There is no cost for instruction, lodging and per diem. The community is only responsible for travel to and from Anchorage. A bigger barrier may be the need to have an alternate power plant operator in the interim. Training is available for bulk fuel operators,power plant operators,advanced power plant operators,and hydroelectric plant operators.More information: Contact Chris Gobah at(907) 771-3989 or www.akenertwauthoritv.ore/programtrainine.html AEA CIRCUIT RIDER/EMERGENCY RESPONSE SERVICES AEA's Circuit Rider/Emergency Response program provides on-site assistance and training to local operators in the daily operation and maintenance of their powerhouse,as well as on-call,as- needed emergency action response to mitigate extended power outages and electrical hazards that present imminent threat to life or property. It provides funding for procurement of manpower, materials and equipment for emergency response to electrical generation and distribution system emergencies and disasters in Alaska. Emergency response is provided on an as-needed basis only. Well-managed utilities with adequate technical and financial resources are not candidates for these services.More information:Contact: Kris Noonan at(907) 771-3061 or go to www.akenergyauthority.org/programsenergysystemupgrade.html (55) FOSSIL FUEL EXPLORATION & DEVELOPMENT Resource Inventory The report on Fossil Fuel and Geothermal Energy Sources for Local Use in Alaska shows coal, oil and gas are not known to occur in large quantities in the Kodiak region.The coal beds on Kodiak Island are believed to be thin and likely not an economic resource.Current data indicate accessible,recoverable conventional oil and gas resources are unlikely to be found. There may be technically recoverable gas resources offshore on the Kodiak shelf or in Shelikof Strait. However,these areas have seen limited drilling,and there has been no petroleum industry interest in the region in 25 years.The geology of the region also makes it unlikely that commercial quantities of unconventional oil and gas resources, such as coalbed methane,tight gas sands, shale gas or gas hydrates, will be discovered. As a result,the report does not recommend future exploration(56). Information Insights Resource Inventory 151 Page 56 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.1 5 I RENEWABLE ENERGY BIOMASS ii rtatertt it: . 40'i 4P9 fp' • ,at:,. P . l J YA a 6.`.° I° inds' 4�. og a Kodiak Island Borough { 4t° a' Land Cover Classification wwo«•.e0 mwm° ,fa r_._ Cr PPp.__ B: c�iK.— rm—y odiakl land a0_I o ma ,w As an energy source, biomass offers a range of options from a simple wood stove to a complicated system for gasification of solid waste. In Alaska the primary biomass fuels are wood,sawmill waste,fish byproducts and solid waste. In FY2015 six community-level biomass heat projects received funding for design and construction through AEA's Renewable Energy Fund. Large biomass projects are found primarily in Southeast and Interior Alaska. In Tok,a chip-fired boiler was installed at the school in 2010 and offsets an estimated 65,000 gallons of fuel oil annually. The project is successfully providing electricity and heat for the school building and has expanded to heating a commercial greenhouse with the aim of growing vegetables for school meals (57).Also in 2010,the Sealaska Corporation's headquarters in Juneau converted to a wood pellet boiler with an estimated offset of 30,000 gallons of fuel oil annually(58). Information Insights Resource Inventory 152 Page 57 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Renewable Energy Resource Inventory In the Kodiak region, utility level biomass is limited by the lack of commercially accessible timber and the absence of Class I landfills other than one in the City of Kodiak.This may prevent development of utility-scale combined heat and power(CHP)or complex gasification systems using large landfills. However,opportunities exist for smaller scale biomass projects. FISH OIL Seafood processors in Alaska produce approximately S million gallons of fish oil annually(59). The oil is usable as a boiler fuel or may be converted into biodiesel for use as diesel or heating fuel. Many seafood processors in the state use raw fish oil for heating and power generation onsite(59).An estimated 13 million gallons of fish oil is unrecovered, primarily from smaller fish processors. The technology for converting fish oil into biodiesel is available and would likely take the form of a portable fish oil rendering facility(59)(60). Fish oil is a potential biofuel resource for communities that have at least one fish processing plant. With eleven land-based seafood processors,the City of Kodiak has the greatest resource potential. A demonstration project on community use of fish oil has not taken place in Alaska so this is an opportunity for exploration (60). Table 23:Fish Oil Resource Potential by Community Fish Processors(2013 permits) Communities I to 3 Alitak(near Akhiok), Larsen Bay&Old Harbor 4 or more City of Kodiak Source:(61)(48)(14) WOOD BIOMASS The potential for utility-scale heat and electricity from woody biomass is minimal in large communities on Kodiak Island, particularly the City of Kodiak and the USCG base.A recent investigation by the National Renewable Energy Laboratory(NREL) found woody biomass on the island was not sufficient for sustainable or affordable use by the USCG Kodiak Base(62).A 2013 forest inventory report on state timber lands on Kodiak Island determined that state timberlands were not suitable for biomass harvest due to barriers to access,grazing lease conflicts, large diameter trees requiring expensive logging equipment, reforestation establishment problems,and likelihood of public opposition to harvesting the limited forest cover on the island (63). Other locations in the region,notably Afognak Island,have significant timber resources but are not easily accessible(60). No community-scale wood biomass projects are currently operational in the region; however, there are many homeowners and businesses who heat with wood. The Alaska Energy Pathway report identified wood as a resource that could be deployed in the short-term for reducing diesel dependence in Akhiok, Larsen Bay, Old Harbor,Ouzinkie and Port Lions. Long-term sustainability could be an issue even for smaller-scale projects if wood biomass projects are pursued simultaneously in multiple communities or by multiple users within the same community without adequate communication and planning. Information Insights Resource Inventory 153 Page 58 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Renewable Energy Successful deployment of biomass energy systems requires secure and sustainable wood supplies. It is important that wood harvest operations be planned in the context of overall land use objectives to minimize conflicts with other users(59). Technology Notes Technology to generate electricity from biomass is generally considered pre-commercial in the U.S. Most biomass to electrical generation systems are complex and have significant technical and economic challenges(59).This is especially true for small scale systems(less than 10 MW). Some companies are trying Organic Rankine Cycle and other new technologies around the 2 MW and less scale,but they are not yet proven to be commercially viable. Biomass to Steam Turbine electrical generation technology less than 2 MW is proven technology, but requires a very large heat load and certified mechanics and operators. Large hospital complexes are good applications for steam to electrical generation because they have large steam/heat needs (47). By comparison, high-efficiency, low-emissions(HELE)wood boilers used for space and hot water heating rely on simpler technology widely used in rural Alaska. Woody biomass can be used directly as cordwood, processed into woodchips,or densified into pellets or bricks to increase their BTU content. Buildings that can be heated with less fuel can be equipped with high efficiency cordwood boilers, Larger buildings with higher fuel consumption need an automated boiler system that uses woodchips or pellets. The following information on the relative benefits of each for community-scale projects is from the Wood Heat Boiler Design& Permitting report prepared by RBA Engineers, Inc.(64). CORDWOOD BOILERS High-efficiency cordwood boilers are fairly simple systems. The GARN boiler, used in many Alaska communities, burns cordwood in a large combustion chamber to heat a large tank of water. When a thermostat calls for heat, a pump turns on and draws the hot water out of the tank into the heated space for distribution.The boiler can provide heat for domestic hot water by adding a water-to-water heat exchanger. Most cordwood boilers are manually operated. Cordwood needs to be"seasoned"or"dry" in order to burn cleanly and efficiently. Depending on the unit size and outside temperature, boilers need to be loaded one to three times per day. The ash needs to be removed after every complete burn. Solid residues are mostly non-toxic and can be used as a soil amendment. WOODCHIPS Woodchips are a step up from using raw wood logs. A wood chipper($30,000 to$100,000) needs to be purchased to process the trees. Compared with a cordwood system, wood harvesting is faster and more automated, and no cordwood stacking is necessary. More usable wood is available, because all parts of a tree can be chipped, including small limbs and branches. PELLETS The advantage of manufactured wood pellets is higher heating output and virtually no dust. Pellet-fed systems also require less complex fuel handling since pellets can"flow" into the combustion chamber. However, pellets would have to be made or imported since there is no pellet mill in the region. Information Insights Resource Inventory 154 Page 59 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Renewable Energy Project Economics As a fuel, biomass is cost stable compared with fossil fuels and should be for the foreseeable future. However,the economics of specific projects will depend on the abundance and location of the biomass fuel source and the complexity and readiness of the chosen technology. COMBINED HEAT AND POWER Biopower projects such as CHP and gasification systems are characterized by high capital and high projected O&M costs. They will likely be feasible only in larger communities with high power demand and high diesel prices. A 2007 study suggested that at then-current fuel oil and technology costs,only larger rural hub communities(e.g. Aniak, Dillingham, Fort Yukon, Galena, Hoonah,Tok,and Yakutat)were likely candidates for CHP systems.The economics could improve in the future for smaller communities as CHP technology evolves, especially if fossil fuel prices increase(59). WOOD BIOMASS BOILERS With low capital and operating expenses,wood biomass heating projects have generally strong economics,while providing local jobs benefits. Potential savings are greatest for buildings that currently require a lot of fuel oil to heat. Schools and other buildings that already use waste heat from a power plant to reduce fuel consumption will not benefit as much from switching to wood- fired boilers for heating. Cost savings will also be highest when wood is available as a byproduct of commercial processing(lumber mill,wood product manufacturing).The cost of wood increases and savings decrease where wood fuel is from round wood and forest residue,which is likely to be the case in the Kodiak region(59). At a price of$250 to$300 per cord,wood provides the same amount of heat as fuel oil at$3.50 per gallon,assuming the wood being burned is locally harvested spruce, including 10%dead trees,air dried to 20%moisture(64).Efficient wood stoves and boilers required by EPA regulations are more expensive than some people can afford. The increased use of older, less efficient wood stoves and boilers in response to rising fuel oil costs can increase health risks related to air quality as has happened in the Fairbanks North Star Borough.Community- and industrial-scale systems are easier to regulate and present less of a health risk compared with domestic systems(59). Pellet makers are available for small (residential)and large(industrial-size mills)application, but there is very little equipment and technology available for community scale systems.A micro- mill would likely cost$250,000 while a large mill can cost up to$16 million(64). OPPORTUNITIES ALASKA WOOD ENERGY DEVELOPMENT TASK GROUP The Alaska Wood Energy Development Task Group(A WEDTG)puts out a request for applications each year for communities interested in a wood energy pre-feasibility study.The application is short,and although it is a competitive process,the group has been able to fund all applicants in recent years.More information: Karen Peterson UAF Cooperative Extension Service, phone(907) 821-2681, khpetersen@alaska.edu. alaska.edu. Information Insights Resource Inventory 155 Page 60 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Renewable Energy GEOTHERMAL n °a $Bet•hel'• �4 �,. S0 . `°� Mouot:pu ® r : Wells and Springs(temperature in°PI °"- ` < 55° 200"-300° � � + gilhngham. `4: 040 • 55°-100° p, • 100°-200' IP> 300° '` A ^- Kodiak Qx Ys Volcanoes 4A n: ;- 1' • n � CS A OAy;. qE..' - ".-0,13 t�(AiA 3s t '"'.Akutan w Pr W 'i +�° Unalaska / Dutch Harbor LANDS Geothermal Energy RESOURCE INVENTORY The Kodiak region has no known geothermal resources.The discovery of a developable geothermal system is unlikely given the absence of geologic phenomena such as thermal springs, fumaroles, warn lakes or mud pots,outside of the westernmost part of the region which borders the Katmai area but is far from population centers. The authors of the report on Fossil Fuel and Geothermal Energy Sources for Local Use in Alaska conclude that developable geothermal potential in the region is low and recommend no exploration(56). PROJECT ECONOMICS In evaluating feasibility and reconnaissance studies for potential geothermal projects statewide, AEA resource managers have found it is hard to make the numbers work given the expense of exploration and the relatively small populations served by remote projects. For this reason, AEA recommends a conservative approach when looking at potential geothermal resources(65). Information Insights Resource Inventory 156 Page 61 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Renewable Energy Heat Pumps Though the Kodiak region does not have developable geothermal resources,the climate and energy rates in the region are well-suited for use of heat pumps. Heat pumps,both ground source and air source,are technologies widely used in the lower 48 and increasingly in Alaska. Heat pumps transfer heat from a lower temperature reservoir(the ground or air)to a higher temperature sink(a building). The ability to extract heat from the environment is nearly unlimited but there is a cost: the electricity required to pump the heat to the high temperature sink(59).At present,the opportunities for ground source heat pumps are focused in areas with easy access to pump installation and with low electricity rates.Air source heat pumps are lower cost and simpler to install and show potential for use across the Kodiak region (66). TECHNOLOGY NOTES The Coefficient of Performance(COP)is the ratio of heat output to work input,which is a measure of the effectiveness of a heat pump.The COP is dependent on the temperature difference between the heat sources and heat sink—the greater the difference the lower the COP (59). Heat pumps are classified as either air source heat pumps or ground source heat pumps. Air source heat pumps extract heat from the air and are easier and less expensive to install. The COP for air source heat pumps is highly variable and a major disadvantage of its use in cold climates, namely peak heat demand hits when the pump's COP is lowest. Recent developments have made air source heat pumps suitable for use down to 0°F. Ground source heat pumps use the relatively constant temperature of the earth as their heat source making their COP higher even in colder weather.Though ground source heat pumps have higher efficiency,the pumps are more complicated to install and more expensive(59). Heat pumps are easily scalable so would work on a single residence or for a larger public building or set of buildings(66). PROJECT ECONOMICS Heat pumps,whether ground or air source,are suitable for areas with high heating and low electricity costs.The upfront capital cost for equipment and installation of a ground source heat pump ranges from roughly $24,000 to$42,000.The wide cost range reflects different retrofits and company quotes from large communities across Alaska(67).The upfront cost for an air source heat pump in a small home is on average$3,000(68). Opportunities ALASKA CENTER FOR ENERGY AND POWER&COLD CLIMATE HOUSING RESEARCH CENTER ACEP and CCHRC are conducting research on the design, use and costs of heat pumps in Alaska.A recent report assessing ground source heat pumps is available online and a similar assessment of air source heat pumps is underway. CCHRC has a demonstration project with a ground source heat pump heating a building in Fairbanks with a high heating demand. The aim of this and other ACEP and CCHRC research on ground source heat pumps is to provide information on performance and economic viability of the technology in Alaska. For more information on ACEP go to:http://acep.uaf.edu/proiects/ground-source-heat-pumps-a-statewide- assessment.aspx and for more information on CCHRC go to: http://www.cchrc.org/ Information Insights Resource Inventory 157 Page 62 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Renewable Energy HYDROELECTRIC POWER rip dy,V Kenai. La oGna ♦ . �/�y� 1 y1 .ea m }.q� e ` a F ��AgIfei DHomer`�O sYr ��°°° / of iDilllinggha.ha lvrtD 4..0 a` r Q Qp O, QQI• �Kodiak Hydroelectric Power go d;. Q ,pd, Existing Investigated Capacity Howl p � � — Io_ o o <0.1 a ."do), s 0 0 0.1 . 1 94. 0 0 1 - 10 0 0 >10 Hydroelectric power is the largest source of renewable energy in Alaska, providing more energy than all other renewable sources combined. By the end of 2013,40 hydroelectric projects with an installed capacity of 445 MW provided power to over 100 Alaska communities. Four additional sites or expansions were under construction at the time(69). Though hydro projects have high up-front costs and significant licensing requirements.they have low operation and maintenance costs and long lifespans(50 to 100 years)that lead to stable, relatively inexpensive electric rates. Hydropower is able to generate large amounts of dispatchable electricity,offsetting diesel use and providing inexpensive electricity. Medium-to large-capacity systems integrate well with wind power,as KEA is doing. Factors that complicate project cost estimates and implementation are the need to mitigate environmental risks, identify site-specific costs,and upgrade powerhouses with automatic switchgears and controls. Resource Inventory The Kodiak region is home to three of the state's operational hydro projects and one of the expansion projects.The largest in the region is Terror Lake operated by KEA with an installed capacity of 31 MW. In 2014, it has generated 84 percent of the electrical energy produced for the KEA grid. Two smaller scale projects—Larsen Bay at 475 kW and Mahoona Lake in Ouzinkie at 125 kW—have been generating electricity for these communities for a long time.Needed upgrades and other hydro projects in progress in the region are listed in Table 24. Information Insights Resource Inventory 158 Page 63 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Renewable Energy As with other renewable energy projects,there is a large difference in scale between projects in the KEA service area and the rest of the communities in the Kodiak region. With a hydro capacity of 31 MW,the Terror Lake facility is a large-scale hydroelectric project.The rest of the hydro projects in the region—both operational and proposed—are significantly smaller and serve multiple purposes. For example,the Mahoona Lake reservoir in Ouzinkie also serves as the municipal water supply. The decision on how often to operate the hydro facility is determined by the water level in the reservoir and its effect on providing water to city residents. Table 24:Existing and Proposed Hydroelectric Projects by Community Community Existing Proposed Project Hydroelectric Next Step Capacity Resource Akhiok - - I site with 200 Hydro kW potential (70) reconnaissance study, if interest exists Karluk - - 3 sites with 180 Hydro kW to 420 kW reconnaissance study, (70) if interest exists City of 31 MW Investigating Large reservoir— KEA continuing Kodiak, (Expanded additional hydro Terror Lake feasibility studies on Chiniak, in 2013) resources,will expansion sites Kodiak Coast (69) submit FERC app. Guard Base, by 2015 and will be Kodiak online 5 yrs later. Station, Pasagshak, Port Lions& Womens Bay Larsen Bay 475 k\V Complete upgrades Run of River— Secure funding for (Upgraded to powerhouse and Humpy Creek upgrades/replacement in 2009) install new Pelton of equipment and turbine(48) funding and technical support to remove beaver dams without damaging facility Old Harbor - 262 kW to 296kW Run of River- Secure funding for (71) East Fork of final design and Mountain Creek construction 760 ft gross head Ouzinkie 125 kW Dam replacement in Small reservoir- Secure funding for progress(replace Mahoona Lake study of dam upgrade wooden dam with to increase capacity concrete dam&raise 2 feet)(45) Port Lions - - 3 sites with 48 Hydro kW to 334 kW reconnaissance study, (70) if interest exists Information Insights Resource Inventory 159 Page 64 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.1 Renewable Energy Technology Notes DAM&RESERVOIRS The dams and reservoirs of large hydroelectric projects provide for energy storage by holding water to be used to generate electricity when flows are lower. A strong attribute of these projects is the dispatchability that results from the ability to control the rate of power production through storage and release of water contained behind the dam. For small reservoirs, such as Mahoona Lake in Ouzinkie,the energy storage capacity is far smaller and would only last a few days(69). RUN OF RIVER A run-of-the-river project has little or no capacity for energy storage and cannot generate electricity on a schedule that matches consumer demand. Compared with other renewable energy alternatives like wind and solar, rum-of-river hydro projects deliver a relatively consistent supply of electricity throughout the day. However,in Alaska these projects do not typically provide the same seasonal consistency in electricity supply that larger hydro projects can, because river flow rates are diminished in winter when Alaska electric loads are highest. Pairing a run-of-the-river hydro facility with other energy options is one method to avoid the seasonal mismatch. Project Economics Estimating the cost of a hydro project based on unit cost factors is difficult because unit costs are variable and site specific. Site-specific details are particularly important when it comes to two large elements in the cost of a hydro project: turbine selection and transmission systems(59) (72). The high capital cost of hydro(especially on a per kW basis for smaller projects) is the chief impediment to economic feasibility.This cost tends to decrease over time as original capital costs are paid down through electricity sales and the influence of low O&M costs is felt(72). Opportunities The Kodiak region is in a good position to expand hydroelectric generation capacity in existing and proposed project locations.There is significant experience in the region. Despite cutbacks in state spending, the state has a strong record of funding hydroelectric projects that are community supported and economically feasible. Information Insights Resource Inventory 160 Page 65 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Renewable Energy SOLAR w ,a, 12.5.35 F > vf' ..i 3 -3.5 °.. f - ., 5 3. _40 Insol 5 50 # py Y alV 55 a0 0 ,m�/\w bt`y 0 Oeeemner nv�9n Inw ran netha- F A M p "-2/5d4se'EdN+�,, 4-.." "- tha Active solar systems include both solar PV,where solar energy generates electricity directly in a semiconductor solar cell,and solar thermal hot water systems,where water is heated and the heat stored in a reservoir. Solar thermal energy(STE)systems use solar-heated fluid to supply in-floor heating systems normally fueled by conventional boilers. The low level solar resource in Alaska precludes high temperature solar technologies, such as systems that generate steam to produce electricity(59). In all regions of Alaska, solar energy is most abundant in the spring and summer when it is least needed and minimally available in the fall and winter when it is most needed. For this reason, solar is not a resource likely to meet a major portion of an Alaska community's energy needs. Since the cost of space heating accounts for close to 90%of household energy use in small rural communities,solar hot water systems may hold greater potential than electricity-producing PV systems for reducing energy costs in the region(21)(59). Where it can be used economically, solar energy has the advantage of low maintenance and minimal environmental impact, with small project footprints and no CO,emissions. It is also an attractive option for sites where the noise and emissions from diesel generators may not be acceptable on a continual basis(73). Information Insights Resource Inventory 161 Page 66 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Renewable Energy Resource Inventory Solar resource is measured by solar insolation—the amount of solar radiation that strikes a square meter of the earth's surface in a single day(kWh/m'/day). According to NREL data,no place in Alaska has a solar resource greater than 4.0 kWh/m'-/day. The average annual solar insolation in the Kodiak region is 3 kWh/m'/day(74). Given the state of solar technology and the solar insolation rate in the Kodiak region,the opportunity for community-level solar projects is low. The Kodiak Island Housing Authority(KIHA) installed solar hot water systems in 46 homes in six communities. The projects were grant funded, and no data has been collected yet on energy savings. Solar hot water demonstration projects have been completed in Nome, Kotzebue and McKinley Village that are providing performance and economic data(74). Table 25:KIHA Solar Hot Water Installation in Kodiak Region Solar Hot Water Community Systems Installed Akhiok 2 Karluk 0 Kodiak 7 Larsen Bay 8 Old Harbor 18 Ouzinkie 7 Port Lions 4 Total 46 Source:(75) Technology Notes The typical solar energy system consists of multiple arrays of photovoltaic panels situated on top of buildings,towers or other relatively high structures.The fact that sunlight intensity varies from minute to minute due to changes in cloud cover, smoke from fires, blowing dust etc.,requires that most solar-based systems have substantial battery storage(76). Though the longest day is in June,the greatest amount of solar energy can be harnessed in Alaska from March through May when panels receive snow-reflected light in addition to direct sunlight. Coupled with cool temperatures that reduce electrical resistance, PV systems may exceed their rated output at this time of year(74). Project Economics While project economics is dependent on fuel oil prices and local resource,generally speaking prices for solar electric and solar hot water systems make them more expensive than diesel systems. This is true in part because of the extreme seasonality of the resource in Alaska where technologies other than solar must carry the load for five of the most energy intensive months of the year. For this reason,the addition of a solar auxiliary system does not reduce the capital cost of a primary heating or electrical system,which must be designed to operate without benefit of significant solar input. Information Insights Resource Inventory 162 Page 67 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan Phase I,Vol.1 Renewable Energy For these reasons,solar PV energy may provide the best solution for systems off the power grid with relatively low power demand that operate primarily in summer,such as remote lodges(59) (74). A rough look at the amount and costs of electricity generation from a 4 kW capacity residential PV system are shown in Table 26. Table 26:Solar Pv Energy Output in City of Kodiak Solar Radiation Month (kWh/m2/day) AC Energy(kWh) January 1.18 106 February 2.28 194 March 3.49 331 April 4 352 May 3.97 359 June 4.35 371 July 3.67 315 August 4.27 369 September 3.23 279 October 2.59 236 November 1.71 156 December 1.08 98 Annual 2.99 3,167 Source:(77).Notes:DC Rating:4.0 kW,DC to AC Derate Factor:0.77;AC Rating:3.08 kW;Fixed tilt:70 degrees. The installed cost of a 4 kW system in Fairbanks is currently about$16,000(78).The payback period in Kodiak communities off the road system will depend on transportation and local installation costs, but could be faster than in Fairbanks or the City of Kodiak because of higher fuel and electricity costs;this is especially true for commercial utility customers in rural communities who pay the full,non-PCE subsidized cost of electricity. Using solar PV or solar thermal energy technology to reduce space and hot water heating costs may be more economical than using solar energy to generate electricity. The economics of solar projects will improve if the price of system components continues to drop.The U.S. DOE's SunShot Initiative has set a goal of making PV cells cost competitive without government incentives by reducing the cost of PV-generated electricity by about 75% between 2010 and 2020. Installed prices of U.S. residential and commercial PV systems declined 5%to 7%per year,on average, from 1998-2011 depending on system size, and by 11%to 14% from 2010-2011.Market analysts expect continuing reductions in system costs(79). Information Insights Resource Inventory 163 Page 68 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Renewable Energy OPPORTUNITIES PVWATTS VIEWER PVWatts uses weather data from stations across the country to provide data on solar insolation. The PVWatts Viewer is a free. Web-based application that lets the user click on a map or input a U.S. zip code to assess the energy production and potential cost savings of grid-connected solar PV systems at that location. The resulting data can then be plugged into a solar calculator on the same site to calculate the potential for solar energy production and cost savings by month based on local electrical rates.The user can either see the results based on a default PV system or input a different type and size of array.Access the PVWatts Viewer at: http://gisatnrel.nrel.gov/PVWatts Viewer ALASKANSUN.ORG The alaskasun.org website has excellent information, including a number of publications related to solar installations in Alaska.and a list of contractors and suppliers. WIND ENERGY '1f? 3 tf, : Yn j � otr a „Fii• K r,,.1,x"� D_iflmgham y",'• f" Homer* s �k a4.• a t "ti �, "s l? ,ye Kodiak Wind Power ; Wind Power Or.;.�,.ty •04.' Wind Resource Density at 50m ,fi..' ef�^ Power Class Potential Watts/m2 ,` ` I Poor < 200 1771---, Marginal 200-300 ® Fair 300-400 3s S9 Good 400-500 ". 5.. Excellent 500-600 6 Outstanding 600-700 PLEINIE Superb >800 With commercially available technology and good wind resources,wind energy may be the best renewable resource for power generation in some communities in the region,especially those without a strong hydro option. Information Insights Resource Inventory 164 Page 69 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Renewable Energy Much of the best winds in Alaska are located in the western and coastal portions of the state. In many parts of Southwest Alaska,turbines may actually need to be sited away from some of the best winds to avoid extreme gusts and turbulence(80). Areas with Class 3 winds or greater are considered to have a suitable wind resource for a wind project(81). This means good exposure to prevailing winds and annual average wind speeds around 4 meters per second(8.9 mph)or greater at a height of 30 meters if not obstructed by terrain features,vegetation,buildings,and atmospheric effects(82). If technical challenges with integrating wind power into diesel systems and using excess generation for hot water and space heating can be resolved, wind could become a large part of energy generation for communities with good wind resources,though it will still not be an economical option for every community in the region. Wind energy economics depends on community size,the price of displaced fuel,as well as the quality and location of the wind resource. Resource Inventory The Kodiak region has one active utility-level wind project, producing 17 percent of the electricity generated on the KEA grid in 2013. Table 27:Current Wind Energy Projects in Region Communities Served Utility Existing Capacity Next Step City of Kodiak,Chiniak, Kodiak Electric Mt. Pillar Wind Farm Wind penetration rate Kodiak Coast Guard Base, Association —9 MW with 3 MW can reach 80%. Kodiak Station Pasagshak, Battery Energy Electric load must Port Lions& Womens Bay Storage System grow before any expansion of wind capacity(62). Kodiak Island Borough Kodiak Electric 2400 Watts Wind for Schools School District Association educational project (83) Outside the road system,wind resources have only been assessed in Old Harbor(see Table 28). Though the wind potential in the region is promising, additional assessments are needed before moving forward on wind projects. Information Insights Resource Inventory 165 Page 70 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Renewable Energy Table 28:Wind Resource Assessment Data Mean Annual Met Wind Wind Data Model Speed Wind Study Community Class Class (at 30m) Wind Quality Study Findings Akhiok 4 Variable—Class 2 at airport, - - Class 4 at airstrip.Class 6 on hill west of town. Karluk 7 All ridges have class 7 winds - - Larsen Bay 6 Steep terrain to access ridges -with Class 4 to 6 winds Old Harbor 2 4.47 m/s Low wind shear, moderately 2009 Marginal high turbulence Ouzinkie 5 Class 5-3 miles east of town - - Port Lions 7 Class 7 on Mount Elison—very - - steep Source:(23)(84) Technology Notes There is a Catch 22 for rural Alaska communities wishing to develop their wind resources. While larger turbines appropriate for the Railbelt or KEA grid are fully commercial,wind projects likely to be economically feasible in small,rural communities must rely on integrated wind- diesel systems that range front commercial to early-commercial depending on the level of wind penetration(59). Turbines in the 100 to 300 kW range provide lower cost power per kWh, displace more diesel, and generate excess energy when the wind is blowing that can be used for space and hot water heating. However,the operational complexity of the system increases as the amount of wind energy increases compared with the load.Outside of the KEA grid, Kodiak region communities do not have peak loads in excess of 200 kW with most well below 100 kW on average. Higher penetration systems require more sophisticated and expensive control systems to monitor and control power quality(85). In islanded systems there is also no readily available market for excess power. Excess electrical energy can be stored (in batteries or high temperature bricks)or dispatched as a secondary load to an electric boiler or heat recovery loop,but these increase the cost and complexity of the system. In high wind locations it is a challenge to find cost effective ways to store or dispatch extra wind energy so that it can be put to use reducing diesel consumption rather than being dumped. The difficulty in integrating wind into a diesel system lies in the fact that diesel generators have a narrow operating range for peak efficiency,and at least one generator must be kept operating at all times to keep the grid up.Operating generators at other than peak efficiency results in higher operation and maintenance costs and generator wear. Unless a turbine generates enough power to allow the utility to shut down one diesel generator completely, savings from diesel displacement will generally be low(86). Information Insights Resource Inventory 166 Page 71 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol I Renewable Energy Table 29:Wind Penetration Levels Penetration Level' Operating Characteristics Instantaneous Average LOW Diesel runs full-time <50% <20% Wind power reduces net load on diesel All wind energy goes to primary load No supervisory control system MEDIUM Diesel runs full-time 50%- 100% 20%- 50% At high wind power levels,secondary loads are dispatched to ensure sufficient diesel loading or wind generation is curtailed Requires relatively simple control system HIGH Diesel maybe shut down during high wind 100%-400% 50%- 150% availability Auxiliary components are required to regulate voltage and frequency Requires sophisticated control system Notes:1/The average annual penetration level is the amount of energy that will be produced by the wind turbine in a year. Project Economics The economics of wind is driven by the wind resource,community size and the cost of avoided fuel usage. A large community with a high cost of delivered fuel and a Class 4 or greater wind site appears to be the best candidate for wind energy under a range of future fuel price and capacity factor scenarios,according to a 2007 study by Crimp,Colt,and Foster.Urban and regional huh communities, like Kodiak,can take advantage of larger more efficient wind turbines, resulting in projects with a lower cost per kWh and shorter payback. The study found wind projects to be feasible in smaller communities if they have wind regimes of Class 5 or above and a high cost of delivered fuel,but as the size of the community drops below 350 people even the relatively small turbines(65 kW) may become difficult to efficiently integrate with an existing diesel system (72). Because of the remoteness of many rural Alaska villages,most of the capital costs come from having to transport personnel, materials,components and special construction equipment to the site. These factors and construction of transmission lines in remote areas result in a relatively high cost per installed kW for wind energy.There is an opportunity for cost savings if multiple wind turbines are to be installed in the region by combining shipment, mobilization and construction activities(87). Opportunities As noted earlier,the wind potential for the Kodiak region is largely unknown. There is a good opportunity for communities interested in wind to pursue or resume reconnaissance studies, Information Insights Resource Inventory 167 Page 72 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase 1,Vol.I Renewable Energy which require the installation of a met tower and collection of a year's worth of site-specific wind data. ANEMOMETER LOAN PROGRAM AEA's Anemometer Loan Program supplies met towers,data logging equipment and technical support to utilities and communities interested in wind power that have the potential for utility- scale wind energy projects. After at least one year of data is collected the towers are relocated to other communities.Onsite met data allows for precise modeling and feasibility studies and is often required by potential project funding sources(88).More information: www.akenemvauthority.oru/nrogramwindanemometerloan.html. Information Insights Resource Inventory 168 Page 73 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.' 6 I EMERGING TECHNOLOGIES HYDROKINETIC ag 1f '%4 slonx,"43 ,:��l`j rre zwhd g +. �Copper 6'aar� t-1a 4\%��Sfeek ute t er-[p nlet 1(' imef s�iar- Napaur cilee '''�'v,�?[Posse"e s o" ei s•a AVVapi a t ,a J t, u F-li _ "ore,a"frwa.*- .„ n . 9 a '^i dez ' Geek*';' 1 p North Fore and '' ley Vit, 1 rt. 7,:a.:': The Fore/anj5/ ? / ILna • % fir Millydn Dollar Bridge '4 tc .-:i ' e C”-' ' aS of K !gi Island x-. . r 4. * „„ _ —_ ,a. .4 r. %r Harget Poln .*" .pe. ig'r� '4.4 T `" • airs h- ss'-' a•Mnl r ik 7"e }� `14i' +"t3x Pas-sage` .,• " •R�e }f—^' Identified Wave Power Density tDfllingham c y-- e "•v kW/m Clarks mnt 4t% °+aylxs <�+tk ,r` J < 10 I 130-40 „&„4.- rJ/�" Ba,nb 4--:`�rv" .iii ,' M /Cape Pass I 110-20 40-50 kf - ' 4At •, I" Current I I20 30 { x,) 50-60 • t n. j Narrows V. g,ski" Ike' K•d1- ,' Tidal Power Potential ,� , V MW grerhale y rte Passage Ll 1.3 - 25 CI 100 -220 ❑ 25 - 100 -- — In-River Power Potential W/m' 050- 220 •600 -900 0 220- 450 01500. 1700 Ocean and tidal energy encompass three types of emerging energy technologies:ocean thermal conversion,tidal energy and wave energy. Requiring warm water,ocean thermal conversion is not suitable for any region in Alaska. However,tidal and wave energy may offer potential for expanding renewable energy resources in the state(89). • Tidal energy is a concentrated form of the gravitational energy exerted by the moon and, to a lesser extent,the sun. This energy is converted into electricity by dams that force water through turbines at high and low tidal stages and by underwater turbines activated by tidal flows.These tidal flows may be captured in the ocean or in rivers using in-stream tidal generators. • Wave energy harnesses the rise and fall of waves using generators that flex and bend as the waves push hydraulic fluids through turbines,which produces electricity(74). Information Insights Resource Inventory 169 Page 74 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Emerging Technologies The technology to harness hydrokinetic power from rivers,tides and waves is largely pre- commercial, especially in arctic and cold climate conditions, but it is developing rapidly.A tidal power pilot project is underway in Cook Inlet near Nikiski with the expectation of providing 5 MW of electricity to the Homer Electric grid(74)(90). Another demonstration project is underway in False Pass on the Aleutian chain. In-river systems have been tested in the Yukon River near Ruby and Eagle and the Tanana River near Nenana(66)(74). Ocean Renewable Power Company deployed a 25 k\V in-river turbine in the Kvichak River at the village of Igiugig in 2014 (91). Resource Inventory Two locations in the Kodiak region,Whale Passage and Cape Current Narrows,are identified in the 2013 Renewable Energy Atlas of Alaska as sites with 1.3 to 25 MW of tidal power potential (74). Preliminary assessments on in-stream tidal potential in the Kodiak region have not been conducted.Since hydrokinetic turbines are emerging technologies, a significant amount of work remains to determine the feasibility of using tidal power in these sites or yet-to-be identified sites in the region,and to determine which devices perform the best. Technology Notes Tidal and river in-stream energy devices are placed directly in the river or tidal current and powered by the kinetic energy of the moving water. In-stream hydrokinetic devices typically use vertical or horizontal axis turbines similar to wind turbines. Because water is approximately 850 times denser than air,the amount of energy generated by a hydrokinetic device is much greater than that produced by the same-sized wind turbine. In addition, river and tidal flow do not fluctuate as dramatically as wind does.This is particularly true for tidal energy, which is not affected by weather and can be predicted years in advance(59). Project Economics There is minimal, if any,third party testing and verification of devices yet. Cost information is based largely on claims from manufacturers who typically underestimate project expenses in the early stages of development. In addition to capital costs, the economics of a project are also tied to other project costs(operation and maintenance, insurance, permitting,design and environmental monitoring costs)which could be substantial especially for early generation installations. These will likely vary from site to site and could dramatically impact the payback period(59). Early estimates of the cost of energy for the first commercial-scale wave power facilities in the United States vary primarily with resource potential and O&M costs at different sites. While they do not compare favorably with some other forms of renewable energy such as hydropower,they are somewhat less than the costs for early commercial wind energy devices. Like those devices, the cost of wave energy facilities is expected to decrease with device improvement and operating experience(59). Information Insights Resource Inventory 170 Page 75 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Emerging Technologies HIGH VOLTAGE DIRECT CURRENT (HVDC) TRANSMISSION The Kodiak region currently has only one intertie that connects a community off the road system with an existing grid: KEA and Port Lions.Preliminary studies of an intertie extending and connecting KEA's existing Monashka Feeder to Ouzinkie,which would include both over land and submarine sections, have been conducted but future action is not certain(92). All other electric generation and distribution systems function as islanded systems serving only a single community.This is due to economics,technology and historic interests of local communities. An emerging,alternative technology to the traditional AC transmission lines is low-power high voltage direct current(HVDC), which is widely used around the world for transmission of large amounts of power(thousands of MWs)over hundreds of miles of land or for long-distance submarine cable interties. HVDC transmission technology for intertie applications below 20 MW is not commercially available at present(93). The potential of HVDC for low-power applications is currently being studied. According to Joel Groves,an engineer with Polarconsult Alaska, Inc.work is underway to commercialize a compact,modular 500 kW HVDC converter suitable for interconnecting Alaska villages.The purpose of developing this technology is to help reduce the high cost of electricity in interconnected villages by lowering the cost of building and operating rural interties.The Denali Commission-funded project successfully constructed and tested a prototype converter in 2012. Future efforts will focus on refining the hardware design and completing testing and demonstration efforts so the converter technology is available for commercial applications in the next three to five years. Resource Inventory Low-power I-IVDC transmission lines are not currently installed anywhere in Alaska. Project Economics Where both systems are technically feasible,the decision is largely economic.An HVDC intertie will have higher terminal costs and lower per-mile costs.Accordingly,an AC intertie is likely to be more cost effective for short interties and HVDC more cost effective for long interties. The distance at which HVDC becomes more economic will be project specific, but is estimated at between 6 and 31 miles for low-power overhead interties in rural Alaska. The longer the intertie, the greater the cost savings of an HVDC versus AC system (93). Conceptual cost estimates for a 25-mile I MW intertie in rural Alaska indicate the capital cost of an HVDC intertie will be approximately 30%less than for a comparable AC intertie(93). Since the HVDC converters under development for rural Alaska applications are new technology, substantial savings may need to exist to encourage utilities to adopt the technology in lieu of proven intertie solutions. Opportunities Since AC lines are not feasible for long-distance transmission, HVDC offers a potential solution to any Kodiak communities interested in interconnection.This is especially true when an intertie must employ long-distance submarine or buried cables, an area where fI VDC is technically superior and as well as potentially less costly. Information Insights Resource Inventory 171 Page 76 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Emerging Technologies An additional potential benefit of HVDC transmission in the Kodiak region is its smaller visual footprint. Most AC interties are overhead and may not be environmentally acceptable in parts of Alaska. lIVDC interties are either buried or have fewer wires and structures and may be more acceptable within refuges and other environmentally sensitive or protected areas. Resources for Communities ALASKA HYDROKINETIC ENERGY RESEARCH CENTER The Alaska Hydrokinetic Energy Research Center housed within ACEP is actively testing and researching hydrokinetic technologies and sites with potential in Alaska. Reviewing the website or contacting researchers is an option for interested communities: http://acep.uaf.edu/programs/alaska-hydrokinetic-energy-research-center.aspx AEA OCEAN AND RIVER ENERGY RESOURCES Additional information on hydrokinetic devices and projects is posted on AEA's Ocean and River webpage: www.akenergyauthority.org/oreassessmentprojperm.html#Projects Information Insights Resource Inventory 172 Page 77 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan Phase I,Vol.I 7 I ENERGY INFRASTRUCTURE TRANSPORTATION INFRASTRUCTURE Transportation is one of the primary uses of energy. Targeted improvements to transportation infrastructure will lower the amount of energy required to move passengers and freight.They can also directly lower the cost of energy in the region by reducing the transportation component of bulk fuel costs and the freight and logistical costs associated with energy project development. Intermodal Access While the Phase I Report for the Southwest Alaska Transportation Plan(SWATP)does not recommend specific projects, it suggests the following approaches(28): • Prioritize roads that provide access to hub communities. • Given the importance of air and sea transportation in Southwest Alaska, roads to aviation and marine facilities are of primary importance.Among the roads proposed by residents of the Kodiak region: o Road between Kodiak and Anton Larsen Bay, 12 miles o Road between Kodiak and Old Harbor,45 miles o Road between Kodiak and cannery at Alitak, 7 miles • Examine the potential of port and harbor improvements at selected regional and sub- regional hubs to reduce regional costs of living(e.g., improving roads to ports, improving barge delivery facilities). Harbors and Docks Currently,the condition of port and harbor facilities in Southwest Alaska is not tracked in any database,nor has a statewide port and harbor plan been developed. Communities are responsible for evaluation and maintenance of their facilities,and vie with one another for limited state funding. Few marine facilities in the state charge rates sufficient to cover long-term costs,such as depreciation or replacement, During 2009 and 2010,the US Army Corps of Engineers(USACE) in cooperation with DOT&PF surveyed 855 facility managers, port and harbor administrators, and other community stakeholders about the condition of marine infrastructure. Responses from the Kodiak region were received from Akhiok, Kodiak, Port Lions, Larsen Bay and Old Harbor.The following tables list port and harbor projects and needs in the Kodiak region based on the survey data. Some improvements have been completed. Information Insights Resource Inventory 173 Page 78 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Energy Infrastructure Table 30:USACE Marine Facility Data,Kodiak Region Control Depth Max.Berthing Dock Name (feet) (feet) Condition` Akhiok Karluk Kodiak Various 30 40-1200 Fair/adequate to excellent Larsen Bay Port facilities: Poor Old Harbor City Dock 8 160 Port facilities: Poor Boat harbor: Good to excellent Ouzinkie Port Lions City Dock 8 250 Port Facilities: Poor Source:(28).Notes: 1/Based on 23 reponses to a USAGE survey of residents Table 31:Current Port and Harbor Projects,Kodiak Region Total Cost Funding Agency Project Stage ($Millions) Port Lions DCRA City Dock and Design $11.7 Ferry Terminal Source:(28) Recently completed projects include Port Lions: Harbor consturction ($5.0 million)and small boat harbor($1.5 million). Kodiak: St. Herman Harbor($5.0 million). Old Harbor: city dock replacement($8.1 million). Table 32:Barge Landing Improvement Needs,Kodiak Region Dolphins/ Dredging/ Fuel System Fenders Dock Ramp Rock Removal Improvements Priority Akhiok Karluk ✓ ✓ ✓ Kodiak ✓ Larsen Bay ✓ ✓ Old Harbor ✓ ✓ ✓ Ouzinkie ✓ ✓ Port Lions ✓ ✓ ✓ Womens Bay ✓ Source:(28).Priority means that the community was identified as a priority site in the USACE surveys in 2009-10. Opportunities The cost of barge-delivered fuel will be higher if a community has deficient moorings or marine headings due to the increased risk and extra time required for offloading fuel. If a community is missing a marine fuel header, extensive fuel hose runs from the beach up to the tank farms are needed or the fuel must be trucked off the barge resulting in higher costs. Information Insights Resource Inventory 174 Page 79 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Energy Infrastructure The Denali Commission partnered with the USACE, Alaska District in 2007 to develop a Statewide Barge Landing Assessment,after three previous studies identified barge landing improvements as a critical need in rural Alaska(94).The study focused its first phase on the Alaska Peninsula,the Yukon, Kuskokwim and Kobuk Rivers,and the Bering,Chukchi and Beaufort Sea coasts. The report had the following general recommendations for improving the safety and efficiency of fuel transfers in waterfront communities: • Consolidate marine fuel headers to a single landing site location at communities where multiple landings are currently required(e.g., electric utility, school, village corporation and stores all have separate tanks and headers). The header location is ideal if installed no more than 300 feet from the landing site,though 100 feet from the landing is preferred. • Improve environmental concerns associated with floating fuel hose to shore by providing barge access to the shore. This effort could include removing navigation hazards and/or relocating the barge landing to a site where shore side receiving is practical. • In some communities,a gravel causeway into the water may be a feasible approach to reaching sufficient water depth. In other cases, especially in areas of very shallow water, installing a new landing facility or dredging may not be practical. In these communities, relocating tanks and/or fuel headers may be the most feasible approach to improved delivery. Ferry Service Currently the City of Kodiak,Old Harbor,Ouzinkie and Port Lions are served by the Alaska Marine Highway System(AMHS). The concept of island-wide ferry service received support from the Kodiak Island Borough, Kodiak Chamber of Commerce,and the Ouzinkie Tribal Council in comments to the SWATP Phase 1 Update(28). The following ferry service options are to be addressed in Phase 2 of the current SWATP Update: • Evaluate potential use of the refurbished Tustumena as a summer shuttle ferry between Kodiak and Homer and use of the Tustumena replacement ferry for service to the Aleutians. • Identify options and a strategy for improved ferry service to Kodiak Island and the Aleutians to be considered for further evaluation by AMIIS. Airport Improvements Examining runway length needs in the region based on recent and potential changes to the aircraft fleet,to support economic development, and for economical fuel/cargo access for communities without barge service is one of the primary regional issues to be addressed in Phase 2 of the SWATP, expected to be released in early 2015.Current airport infrastructure is summarized in Table 33. Currently, Karluk is the only community that receives bulk fuel by air,at significantly greater expense than barge delivery. Because only small planes can land on the current runway, fuel has had to be flown in daily by the barrel at times. If the necessity of flying fuel in is expected to continue,an expansion of Karluk's runway would lower fuel costs in the community. Runways over 4,000 feet in length can accommodate a Douglas DC-6 fuel cargo plane(73). However, a Information Insights Resource Inventory 175 Page 80 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Energy Infrastructure benefit-cost analysis of runway expansion should consider alternatives to the DC-6, since Everts Air Cargo's small fleet is aging and expensive to maintain. Table 33:Airport Capacity:Current and Planned Design Aircraft Airport Layout Plan(ALP) Runway Navaids Update Current Planned Akhiok 3,120 ft. 1988 Gravel Karluk 2,000 ft. A-I Small Aircraft No Change Gravel Kodiak 7,542 ft. VASI 2004 Boeing 737-400/Lockheed No Change Asphalt Martin C-130 Hercules Larsen Bay 2,690 ft. 2008 Brit Norman Islander No Change Gravel Old Harbor 2,750 ft. 2008 Brit Norman Islander Gravel Piper Navajo Chieftan Ouzinkie 3,300 ft. 2006 Brit Norman Islander Gravel Piper Navajo Chieftan Port Lions 2,200 ft. 1983 Gravel Sources:(28) TRANSMISSION LINES The Kodiak Electric Association grid supplies power to the communities on the road system in northern Kodiak Island and the village of Port Lions across Kizhuyak Bay. The feasibility of expanding the grid to Ouzinkie by an undersea cable is currently being studied. More information on the status of the project is included in the community profile for Ouzinkic. The only other community linkage recommended in recent regional planning documents is a road from Larsen Bay to Karluk. It is not known if residents of the two communities are interested in a road connection or if one would prove feasible given the rough terrain and the permitting challenges of crossing protected federal lands in view of a National Wild and Scenic River. However, if a Karluk—Larsen Bay road is pursued in the future,co-development of an electrical intertie in the same right-of-way should be considered. A road would improve the economics of an intertie by sharing construction costs and equipment and greatly reducing the maintenance costs. An intertie would add value to a road connection by creating economies of scale in electrical generation and allowing new renewable resources like wind to be tied in along the route. The benefits of interties include(95): • Greater energy efficiency by sharing available capacity • Increased reliability of electrical power • Potential to reduce the cost of electricity through the use of more efficient fuels or renewable resources Information Insights Resource Inventory 176 Page 81 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Energy Infrastructure • New economic development from reducing the cost of power to business and industry One downside of connecting villages is the loss of a heat recovery system, if one exists, in the community at the receiving end of the transmission line. The recipient community may also lose all or most of an FIE(full-time equivalent)job in powerhouse operations.A back-up diesel power plant will still be maintained in the community,but it will be operated on a standby basis requiring significantly less labor for operations and maintenance.This may be more than offset by new job creation that results from access to cheaper, more reliable power,especially for businesses and other non-PCE utility customers. Resource Inventory Table 34:Current and Proposed Transmission Lines to Non-Road Connected Villages Community Status Capital Cost Energy Sources Kodiak—Port Lions Complete A41 Hydro, Wind, Diesel Kodiak—Ouzinkie Seeking funding for $7-9 Million Hydro, Wind, Diesel ongoing feasibility work Karluk—Larsen Bay Feasibility and community Not Known Hydro, Diesel, Increased interest not determined opportunities for wind Project Economics The cost of building transmission lines in roadless areas of Alaska has been roughly estimated at $400,000 per mile.Assuming costs on this scale,a 2009 transmission screening study by AEA looked at all village pairs in Alaska less than 25 miles apart to see if traditional AC transmission lines could reduce the cost of power to communities with existing diesel plants(96). Distances and rough order of magnitude(ROM)costs for Kodiak village pairs are shown in Table 35. Table 35:2009 Transmission Screening Study Results for Kodiak Village Pairs Distance Estimated Cost Community A Community B (miles) per kWh Economic? Kodiak Ouzinkie 10.0 $0.69 No Kodiak Station Ouzinkie 12.8 $0.88 No Port Lions Ouzinkie 14.5 $0.99 No Ouzinkie Womens Bay 16.5 $1.13 No Larsen Bay Karluk 17.8 $5.19 No Ouzinkie Chiniak 24.6 $1.68 No Sources:(531 The study concluded that all village pairs in Alaska not already connected by a grid would have transmission costs greater than the potential savings of the line when capital costs,operations and maintenance,and utility margins are factored in.Grant-funded projects enjoyed better economics since only the cost of operating line needs to be covered through utility rates(96). However, it should be noted that the screening study did not factor in savings from increased efficiency,economies of scale, reduced overhead costs,or the ability to attract new loads or tie in Information Insights Resource Inventory 177 Page 82 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.1 Energy Infrastructure new renewable energy sources along routes.It looked simply at the difference in current generation costs in the two villages to see where relative savings existed.Nor did it place a value on social benefits from increased community and economic development or other quality-of-life factors. This is contrary to the recommendations of the transmission policy study prepared for the Denali commission by WHPacific in 2008: Transmission lines should consider intangible criteria such as quality of life and economic development. The benefits and costs of transmission lines. often unforeseen, accrue over time frames much longer than most local or regional interests are capable of identifying and analyzing. Therefore, evaluations of the benefits and costs related to transmission systems must consider, in an integrated fashion, the multiregional effects of energy costs on quality of life and distant economic development. Even when socio-economic factors and economies of scale are considered, it is likely that the economics of new transmission lines longer than a few miles are challenging given current AC technology. One potential development that may change the equation in rural Alaska is the development of High-Voltage Direct Current(HVDC)transmission line for low power applications,which is discussed under the section on Emerging Energy Technologies. The economics could also change in the future if there were new large loads or new large-scale generation opportunities("value hubs")that create sufficient economies of scale to offset the high cost of building transmission lines in rural Alaska. New roads could also improve the economics by lowering the cost of constructing and maintaining transmission lines. Opportunities • Advocate for public funding of interties on the basis of their long-term public benefits and their value in promoting the sustainability of rural Alaska communities. Because these are not projects that will"pencil out" with private financing,there is a role for public funding or public-private partnership. • Assess community interest in proposed interties, especially the interest of the"receiving" community. An interne project should not be pursued without strong public support. • Monitor developments in HVDC transmission for use in rural Alaska. Information Insights Resource Inventory 178 Page 83 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I 8 ( PROJECT FINANCING There are four primary sources of project funding for energy projects: public funding, private equity,commercial debt and third-party tax-equity investment. While public financing through state and federal grant and loan programs is most common in Alaska,there is opportunity to expand into private financing in order to capture more project potential. Private financing options are being used successfully elsewhere and will become more important in Alaska if state and federal funding declines. While most programs are available to both taxable and tax-exempt organizations, it is important to consider tax status,project terms and ownership interest when considering financing options(97). State and Federal Funding Options Table 36:State Funding Options for Energy Projects AEA Bulk Fuel Upgrades(BFU) Grants Dave Lockard AEA operates the Bulk Fuel Upgrades program, Eligibility:Communities that are (907)771-3062 which replaces older bulk fuel tanks and served by AVEC,the North Slope www.akenergyauthority infrastructure to bring them into compliance with Borough,Alaska Power and .org/programsenergysys state and federal regulations and reduces the risk Telephone Co,or connected by temupgrade.html of leaks and equipment failure.With significant roads are not part of the Bulk funding from the Denali Commission,Bulk Fuel Fuel Upgrades program. Upgrades have been completed in over 70 communities at a combined cost of over$200 million.AEA has another 30 projects on its list. AEA Commercial Building Energy Audit(CBEA) Grants Cady Lister The CBEA program provides grants that cover up Eligibility:Private owners of non- (907)771-3039 to 100%of the cost of an energy audit for residential buildings up to www.akenergyauthority privately owned commercial buildings.Grant 160,000 square feet.Both for- .org/EfficiencyAudits amount is based on the size and complexity of the profit and nonprofit businesses .html building.A stipend is available for the auditor to are eligible. travel to locations.The maximum reimbursement ranges from$1,800 for buildings under 2,500 square feet up to$7,000 for buildings from 60,000 to 160,000 square feet. Information Insights Resource Inventory 179 Page 84 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Project Financing AEA Emerging Energy Technology Fund(EETF) Grants Alan Baldivieso The Emerging Energy Technology Fund was Eligibility:EETF accepts (907)771-3027 created by the Alaska Legislature to fund applications from utilities, www.akenergyauthority demonstration projects that test emerging energy independent power producers, .org/eetfundgrantprogra technologies or methods that have a reasonable local and tribal governments, m.html expectation to be commercially viable within five Alaska businesses and nonprofit years.EETF funds can also be used to improve an organizations.Eligible projects existing technology or deploy one that has not must have a technology with a previously been demonstrated in Alaska.Sixteen reasonable expectation of being out of 70 applications were approved for funding commercial in five years and are in 2012. designed to test emerging energy technologies or methods of conserving energy,improve on an existing energy technology or deploy an existing technology not previously demonstrated in Alaska. AEA Industrial Energy Audits of Seafood Service Processing Plants Cady Lister AEA launched an industrial energy audit program No subsidies currently available (907)771-3039 in 2010 to assist the seafood industry to better www.akenergyauthority understand energy use in their plants in order to .org/eec- lower their carbon footprint and operating costs. industrialenergyaudit The program has three parts:An energy audit kit .html (to measure power consumption of equipment and provide data to small and medium sized processors);an energy audit service for larger processors;an energy efficiency section on the Marine Advisory Program website to anonymously publish results of efficiency audits. AEA Power Cost Equalization(PCE) Program Subsidy Jeff Williams Alaska's Power Cost Equalization program Eligibility:The Regulatory (907)771-3046 provides economic assistance to residential Commission of Alaska(RCA) www.akenergyauthority customers and qualifying community facilities in determines if a utility is eligible .org/programspce.html rural areas of Alaska to offset the high cost of and calculates the amount of PCE electricity compared with urban areas of the payable to the utility.AEA state.PCE pays a portion of approximately 30%of determines eligibility of all kWh's sold by participating utilities. community facilities and Participating utilities are required to reduce each residential customers. eligible customer's bill by the amount that the Commercial customers are not State pays for PCE. eligible to receive PCE credit. AEA Power Project Fund(PPF) Loans Cady Lister The Power Project Fund provides loans to local Eligibility:Small-scale(<10 MW) (907)771-3039 utilities,local governments or independent power electric power production, www.akenergyauthority producers for the development or upgrade of including conservation, bulk fuel .org/programsloan.html small-scale electric power production.The loan storage and waste energy term is related to the life of the project.Interest conservation. rates vary between zero,at the low end,and tax- exempt rates at the high end. Information Insights Resource Inventory 180 Page 85 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Project Financing AEA Renewable Energy Fund(RE Fund) Grants Shawn Calfa The Renewable Energy Fund was created by the Eligibility:The Renewable Energy (907)771-3031 Alaska Legislature in 2008 with the intent to Fund accepts applications from www.akenergyauthority appropriate$50 million annually for five years. utilities,independent power .org Actual appropriations have been around$25 producers,and local and tribal million in recent years,and the program has since governments for the purpose of been extended through 2023. In Round VI,23 out developing renewable energy of 85 projects were recommended for funding. projects.It does not provide Individual awards ranged from$10,000 for a wind funding for energy efficiency feasibility study to$6.7 million for hydroelectric improvements. project construction. AEA Rural Power System Upgrades(RPSU) Grants Kris Noonan With significant funding from the Denali Eligibility:Communities that are (907)771-3061 Commission,AEA operates the RPSU program, served by AVEC,the North Slope www.akenergyauthority which replaces outdated,inefficient village Borough,Alaska Power and .org/programsenergysys powerhouse and electrical distribution systems, Telephone Co.or connected by temupgrade.html adds or upgrades heat recovery and remote intertie are not part of the RPSU monitoring systems,and improves overall diesel program. efficiency through other upgrades including electronic fuel injectors,switchgears and controls. RPSU projects have been completed in over 50 communities,and AEA plans to complete projects in over 50 more. AEA Village Energy Efficiency Program(VEEP) Discontinued in FY2015 Rebecca Garrett AEA provides energy efficiency audits and (907)771-3042 improvements to community buildings primarily in www.akenergyauthority rural Alaska through the Village Energy Efficiency .org/programsalternativ Program. eVEE P.html AHFC 5-Star Plus New Home Energy Rebate Cash Rebate (877)257-3228 A cash rebate of$7,500 is available for the Eligibility:Must be original www.akrebate.com purchase of a newly constructed 5-Star Plus home. owner,not more than one year from time of completion. Individuals may not participate in a Home Energy Rebate and the Weatherization Program. AHFC Energy Efficiency Revolving Loan Fund Loans (AEERLP) Eric A.Havelock AEERLP provides financing for permanent energy- Eligibility:Buildings must be (907)330-8245 efficient improvements to government-owned owned by a government entity, www.ahfc.us/efficiency facilities.Financed improvements must be from such as the schools,local /energy-programs the list of energy efficiency measures identified in municipalities,state agencies, /energy-efficiency- an Investment Grade Audit.All improvements and University of Alaska revolving-loan-fund- must be completed within one year of loan buildings.Only improvements aeerlp closing.Guaranteed savings from energy identified during an Investment efficiency improvements are used to repay the Grade audit are eligible loan.There is no maximum loan amount.The maximum loan term is 15 years. Information Insights Resource Inventory 181 Page 86 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Project Financing AHFC Energy Efficiency Interest Rate Reduction Interest Rate Reduction (EEIRR) www.ahfc.us/efficiency AHFC offers an energy efficiency interest rate Eligibility:Any property that can /energy-programs reduction(EEIRR)when financing new or existing be energy rated and is otherwise /interest-rate-reduction 5-Star or 5-Star Plus rated homes or when eligible for AHFC financing may borrowers purchase and make energy qualify for this program. improvements to an existing home.Interest rate reductions apply to the first$200,000 of the loan amount.A loan over$200,000 receives a blended interest rate.The percentage rate reduction depends on the property's energy rating and whether there is access to natural gas. AHFC Home Energy Rebate(HER)program Cash Rebate (877)257-3228 Homeowners receive rebates up to$10,000 after Eligibility:The program is open to www.akrebate.com making energy-efficient improvements through all owner-occupied,year-round AHFC's Home Energy Rebate program.Before Alaskan homeowners.There are ("As-Is")and after("Post-Improvement")energy no income requirements.Only ratings are required.In January 2013,the program one rebate per dwelling. was changed to allow homeowners who Individuals may not participate in previously used the HER or 5-Star Plus New Home both AHFC's Weatherization and Rebate programs to receive second rebates up to Home Energy Rebate Program. $10,000 for making recommended improvements. AHFC Second Mortgage for Energy Conservation Loans Alaska USA Borrowers may obtain financing to make energy Eligibility:Homes must be owner- Federal Credit Union improvements on owner-occupied properties.All occupied,and only improvements (888)425-9813 improvements must be completed within 365 on the list of energy upgrades www.ahfc.us/efficiency days of loan closing(improvements not listed may included with an energy audit by /energy-programs not be included in the loan).For borrowers an AKWarm"Certified Energy /second-mortgage- participating in the Home Energy Rebate Rater are eligible. energy-conservation Program,the rebate received will be applied toward the outstanding balance of loan.The maximum loan amount is$30,000.The maximum loan term is 15 years. AHFC Weatherization Program Cash Rebate (800)478-808 Individuals who meet income guidelines may Eligibility:Homeowners and www.ahfc.us/efficiency apply for the Weatherization Program through renters with household income /energy-programs one of two weatherization service providers that equal to 100%of median income. /weatherization/ serve specific communities in region.The Priority to households with weatherization provider will provide program people over 55 and under 6. services at no cost to qualified applicants. Individuals may not participate in Every home receives health and safety measures, both Weatherization and Home efficiency improvements and client education. Energy Rebate Program. ADOT&PF STIP Community Transportation Program Grants Irene Gallion Community partners can take advantage of Eligibility:Anyone can nominate (888)752-6329 federal surface transportation improvement a project,but it must have the www.dot.state.ak.us funding through a competitive process that support of the community that /stwdping/cip_stip generally runs on a 2-year cycle.Sponsors have to will eventually own the asset. provide the required match,which generally runs approximately 10%of project costs. Information Insights Resource Inventory 182 Page 87 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Project Financing AIDEA Sustainable Energy Transmission and Supply Loans&Loan Guarantees (SETS)Development Fund www.aidea.org The SETS fund was created with Senate Bill 25 as Eligibility:Qualified energy /programs/specialtyfina part of the Alaska Sustainable Strategy for Energy projects include:Transmission, ncing/sets.aspx Transmission and Supply(ASSETS).The bill gave generation,conservation, the Alaska Industrial Development Export storage,or distribution of heat or Authority(AIDEA)the ability to directly finance electricity;Liquefaction, energy infrastructure projects by issuing loans or regasification,distribution, to partner with banks or credit unions.AIDEA can storage,or use of natural gas also offer loan or bond guarantees,defer principal (except a natural gas pipeline payments,and capitalize interest on project project)for transporting natural financing.Terms of 30 or 50 years are available to gas from the North Slope or Cook qualified hydropower or transmission line Inlet to market;Distribution or projects.Legislative approval is required if AIDEA storage of refined petroleum finances more than one-third of the capital cost of products. an energy project or provides loan guarantees that exceed$20 million. ALASKA DCCED DCRA Bulk Fuel Revolving Loan Fund Loans Jane Sullivan The OCCED Division of Community and Regional Eligibility:Loans may be made to (907)269-4614 Affairs(DCRA)now administers the state's single a municipality or unincorporated commerce.alaska.gov/ bulk fuel loan program.All loans must be paid village with a population under dnn/dcra/ within one year.The loan amount,added to the 2,000,or a private individual or BulkFuelLoanProgram principle of all other bulk fuel revolving loans to company retailing fuel or .aspx the same borrower may not exceed$750,000.A electricity in such a community. cooperative organization representing more than one community may qualify for a loan amount not to exceed$1.8 million. ALASKA DCCED DCRA Community Development Block Grants Grants Pauletta Bourne DCRA administers the Alaska Community Eligibility:Any Alaskan municipal (907)451-2721 Development Block Grant Program(CDBG)to government(except Anchorage) http://commerce.alaska. provide financial resources to Alaskan is eligible to apply for the grants. gov/dnn/dcra/GrantsSec communities for public facilities and planning Non-profits may apply as co- tion/CommunityDevelop activities.CDBG competitive grants are single- applicants for these pass-through mentBlockGrants.aspx purpose project grants;maximum of$850,000 per funds.Federal regulations community.There are three basic funding require 51 percent of the persons categories:community development,planning who benefit from a funded and Special Economic Development. project must be low and moderate income persons as defined by HUD. Alaska DCCED DED Commercial Alternative Energy Conservation Loans Loan Fund financing@alaska.gov DCCED provides loans up to$50,000 to finance Eligibility:Loans must be for the (907)269-8150 alternative energy systems or conservation in purchase,construction,and http://commerce.alaska. commercial buildings. Interest rates are fixed at installation of alternative energy gov/dnn/ded/FIN/LoanP time of loan approval.Maximum loan term is 20 systems or energy conservation rograms/AlternativeEner years.Loan requests over$30,000 require a letter improvement in commercial gyLoanProgram.aspx of denial from a financial institution. buildings. Information Insights Resource Inventory 183 Page 88 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase 1,Vol.I Project Financing Alaska DEED Capital Improvement Projects(CIP) Grants www.eed.state.ak.us School districts can use CIP funds to address Eligibility:Alaska school districts /facilities energy efficiency measures.Securing additional /FacilitiesClP.html energy efficiency funds from another source may increase a CIP application's competitiveness. Alaska DHSS Low Income Home Energy Assistance Subsidy 1-800-470-3058 This federally funded program helps eligible Eligibility:Families with incomes dhss.alaska.gov/dpa families pay home heating bills and can assist with less than 225%of the federal /Pages/hap/ weatherization and energy-related minor home poverty guidelines for Alaska may repairs.The federal Low Income Home Energy be eligible.Other factors that Assistance Program(LIHEAP)program is affect eligibility and final benefit administered in Alaska by the Alaska Department amount include the family's of Health and Social Services(DHSS)through its community,type of dwelling and Heating Assistance Program(HAP). home heating system. Table 37:Federal Funding Options for Energy Projects BIA Energy and Mineral Development Program Grants (EMDP) Dawn Chargin The Bureau of Indian Affairs(BIA)provides grants Eligibility:Activities can include (720)407-0652 through an annual solicitation to help with the initial exploration;market www.bia.gov evaluation of conventional and renewable energy analyses;outreach and education /WhoWeAre/AS-IA and mineral resources on Tribal lands.In return, to Tribes concerning energy or /IEED/DEMD/TT/TF the program provides Tribes and allottees with mineral development issues; the information they need to promote their lands, economic evaluation and negotiate the hest agreements with partners or analyses;and promotion of investors,and eventually develop their resources. completed projects at industry conferences and to prospective partners or investors. BIA Indian Affairs Loan Guaranty,Insurance,and Loan Guarantees and Interest Interest Subsidy Program Subsidies www.bia.gov The purpose of the BIA Guaranteed Loan program Eligibility: Borrower must have /WhoWeAre is to encourage eligible borrowers to develop 20%tangible equity in the /AS-IA/IEED viable Indian businesses through conventional project. /LoanProgram lender financing.The direct function of the program is to help lenders reduce excessive risks on loans they make.That function in turn helps borrowers secure conventional financing that might otherwise be unavailable.BIA will guarantee a loan up to 90%.The interest subsidy covers the difference between the lender's rate and the Indian Financing Act rate. Information Insights Resource Inventory 184 Page 89 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Project Financing Denali Commission Energy Program Grants Jodi Fondy The Denali Commission is an independent federal Eligibility:Projects include design (907)271-3011 agency with the authority to procure federal and construction of replacement www.denali.gov funding from Congress and a variety of federal bulk fuel storage facilities, agencies,such as the USDA.The commission has upgrades to community power made energy its primary infrastructure theme generation,transmission and since 1999.It primarily works with the AEA distribution systems,energy and AVEC to meet rural communities'energy efficiency measures and infrastructure needs. alternative energy projects. Denali Commission Transportation Program Grants Tessa Axelson(907)271- Denali Commission's Transportation Program Eligibility:Eligible road projects 1624 I www.denali.gov assists rural roads and waterfront development. include,but are not limited to, The waterfront portion of the program addresses ATV board roads,local planning,design and construction of port,harbor community road and street and other rural waterfront needs.Congress did improvements,and roads and not extend funding for the Transportation board roads to subsistence use Program beyond 2012,but commission staff sites.Waterfront project types continues to administer the program in include,but are not limited to, coordination with the Transportation Advisory regional ports,barge landings Committee(TAC).The TAC is the body who, and docking facilities. recommends projects and advises on rural surface transportation needs in Alaska. HUD Indian Community Development Block Grant Grants (ICDBG) portal.hud.gov The ICDBG Program provides direct grants for use Eligibility:Eligible applicants /hudportal/HUD?src= in community and economic development, include any Tribe or Alaska /program_offices including housing rehabilitation,roads,water and Native village which has /public_indian_housing sewer facilities,single or multipurpose community established a relationship to the /ih/grants/icdbg buildings,and a wide variety of commercial, Federal government as defined in industrial,and agricultural projects which may be the program regulations.In some recipient-owned and operated or which may be instances,Tribal organizations owned or operated by a third party. may be eligible. SBA 7(a)Loan Program Loans and Loan Guarantees www.sba.gov/category Congress established the 7(a)Loan Program under Eligibility:A business must meet /navigation-structure the Small Business Act to facilitate lending to industry-specific size limitations. /loans-grants small businesses.The program provides loan Loans guaranteed through the /small-business-loans guarantees to for-profit businesses that are program may be used for a wide /sba-loan-programs otherwise unable to secure funds through variety of business purposes. /7a-loan-program traditional lending.If the business is eligible,the Small Business Administration(SBA)will guarantee a maximum of 85%of the loan amount on loans up to$5 million,and repayment periods may extend up to 25 years. Information Insights Resource Inventory 185 Page 90 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Project Financing USDA-NRCS EQUIP Seasonal High Tunnel Initiative Grants and Technical Assistance www.nres.usda.gov/wps The Seasonal High Tunnel Initiative provides Eligibility:Individuals,legal /portal/nrcs/detailfull financial and technical assistance to agricultural entities,Tribes,or joint /national/programs producers.Goals include extending the growing operations engaged in /?&cid=stelprdb1046250 season and providing consumers with a local agricultural production. source of fresh produce.Maximum practice payment shall be for five percent of an acre and can be a single or multiple structures. USDA-RD Energy Programs Grants, Loans and Loan Guarantees Energy Programs: USDA-RD has a$181.1 billion loan portfolio and Eligibility: Borrower must be www.rurdev.usda.gov expects to administer$38 billion in loans, rural small business or /energy.html guarantees,and grants in FY2013(97).Several agricultural producer.Projects Grants: programs exist to promote the expanded use of include feasibility,construction www.rurdev.usda.gov biofuels and development of commercial-scale and energy efficiency /RD_Grants.html biorefineries. improvements. Loans: www.rurdev.usda.gov /RD_Loans.html USDA-RD High Energy Cost Grant Grants Kristi Kubista-Hovis(202) USDA High Energy Cost Grants are available for Eligibility:Communities in which 720-9545 I improving and providing energy generation, average home energy www.rurdev.usda.gov/U transmission and distribution facilities serving expenditures exceed 275%of the EP_Our_Grant_Program communities with average home energy costs national average. s.html exceeding 275%of the national average.Grant funds may be used for on-grid and off-grid renewable energy projects,energy efficiency and energy conservation projects serving eligible communities.In Alaska,High Energy Cost Grants are made through the Denali Commission for energy generation,transmission,and distribution facilities serving rural communities with average home costs exceeding 275%of the national average.Grants range$75,000 to$5 million. USDA-RD Rural Energy for America Program(REAP) Grants www.rurdev.usda.gov/B The Rural Energy for America Program offers Eligibility:Borrower must be CP_Reap.html several grant opportunities,including:1)the rural small business or Energy Audit and Renewable Energy Development agricultural producer. Assistance Grant;2)the Renewable Energy Technologies include:biomass, System and Energy Efficiency Improvement solar,wind,hydro,hydrogen, Guaranteed Loan and Grant Program;and 3)the geothermal.Applications include Feasibility Studies Grant.Grants grange from equipment,construction, $2,500 to$500,000 or 25%of project costs, permitting,professional service whichever is less. fees,feasibility studies,business plans,and land acquisition. Information Insights Resource Inventory I 86 Page 91 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Project Financing USDA-RD Rural Utility Service(RUS) Loans and Loan Guarantees www.rurdev.usda.gov The Rural Utility Service makes direct loans and Eligibility:Borrowers must be /UEP_About_Electric loan guarantees to help finance the construction, electric utilities that serve .html improvement and replacement of rural electric customers in rural areas.Projects utility infrastructure.RUS offers very low interest include electric distribution, rate federal loans(`1%)with longer terms than transmission,and generation banks,and they are willing to work with facilities. communities(98). US DOE Section 1703 Loan Guarantee Program Loan Guarantees https://Ipo.energy.gov Section 1703 of Title XVII of the Energy Policy Act Eligibility:Must be pre- /programs/1703-2 of 2005 authorizes the U.S.Department of Energy commercial technology. to support innovative clean energy technologies Technologies with more than that are typically unable to obtain conventional three installations that have been private financing due to high technology risks.In active for more than five years addition,the technologies must avoid,reduce,or are excluded. sequester air pollutants or anthropogenic emissions of greenhouse gases. US DOE-EERE Energy Efficiency&Renewable Energy Various (EERE) www.eere.energy.gov The U.S.Department of Energy's Office of Energy Funding Opportunity Efficiency and Renewable Energy invests in clean Exchange:https://eere- energy technologies that strengthen the exchange.energy.gov/ economy,protect the environment,and reduce Financial Opportunities dependence on foreign oil.The EERE website by Audience: includes a database of funding opportunities and wwwl.eere.energy.gov/f links to financial opportunities by audience inancing/audience.html (business,industry,universities,consumers,states and tribes,etc.) US DOE-IE START Alaska Program(START) Technical Assistance/Grants Tracey LeBeau(202) The DOE Office of Indian Energy Policy and Eligibility:Tribal governments in 586-1272 I Programs(DOE-IE)partners with the Denali Alaska. www.energy.gov/indian Commission to provide on-the-ground technical energy/resources/start- assistance(TA)and financial support to help program participating tribes with renewable energy project development.Alaska Tribal governments,selected through a competitive application process,are paired with DOE, NREL,and other experts with experience relevant to the Tribe's clean energy technology and project development stage, including help conducting community-based planning and training.In the current round,each community can apply for$250,000 for a specific energy-related activity projects,including energy storage infrastructure,renewable energy deployment,and energy efficiency. Information Insights Resource Inventory I 87 Page 92 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Project Financing US DOE-IE Tribal Energy Program Technical Assistance/Grants appsl.eere.energy.gov The U.S.Department of Energy's Tribal Energy Eligibility:Renewable energy and /tribalenergy/about.cfm Program provides financial and technical energy efficiency projects on assistance that enables tribes to evaluate and tribal lands. develop their renewable energy resources and reduce their energy consumption through efficiency and weatherization.The program also offers education and training opportunities designed to foster clean energy technology adoption,promote green jobs and growth,and strengthen Native communities. Private Equity and Commercial Debt Private financing is typically used for the development of large-scale renewable energy projects that exhibit sufficient rates of return to offset perceived risk and high transaction costs. While private financing often requires a relatively large project scale for economic viability, many regional Native corporations have sufficient land holdings,earnings, and project development expertise to take advantage of private financing for renewable energy development. Although larger Native corporations may be best suited for private financing arrangements,smaller village corporations have potential to use private financing to fund portions of larger projects or group several projects together to attract capital (97). Private equity can be used in conjunction with grants and federal and state tax credits to meet project funding requirements and bolster lender and investor confidence in overall project viability(97). PRIVATE EQUITY INVESTMENT The preconstruction phase of a large-scale project is typically funded with development equity, while capital for project construction is often provided through a combination of private investment and commercial debt(e.g.,banks). Equity investors receive an ownership share in the project and are entitled to a portion of the distributable profits of the partnership(97). Potential equity partners include Alaska Native corporations,village corporations, Tribal governments, federal and state government, local utilities and electric cooperatives,third-party developers,individual community members and nonprofit organizations. DEBT FINANCING In Alaska, debt financing for large projects can be sourced through entities such as commercial banks, credit unions,the U.S. Department of the Treasury(via its lending arm,the Federal Financing Bank), USDA,and now AIDEA (after passage of Senate Bill 25 in 2012). While sources of bank debt do not have an ownership share in the project like equity investors, they do retain collateral claims on a project and may be required to approve major decisions in day-to-day management and operations.Stilt,if maintaining project ownership is a priority to a developer, it is preferable to structure the project's financing such that bank debt comprises a greater share of the capital structure than equity(97). Information Insights Resource Inventory 188 Page 93 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Project Financing ENERGY SAVINGS PERFORMANCE CONTRACTING(ESPC) Energy Savings Performance Contracting can be used to finance energy efficiency improvements through partnership with an Energy Savings Company or ESCO. ESCOs are often used by local governments and state and federal agencies to make improvements in government-owned buildings without up-front capital costs or budget appropriations. Typically,the ESCO conducts a comprehensive energy audit for the facility and identifies improvements. The ESCO designs and constructs a project that meets the agency's needs and arranges the necessary funding. The ESCO guarantees that the improvements will generate energy cost savings sufficient to pay for the project over the term of the contract.After the contract ends,all additional cost savings accrue to the agency. Contract terms up to 25 years are allowed(99). Tax-Exempt Bonds Local,state and Tribal governments also have the option of issuing tax-exempt bonds,which have the effect of lowering investment costs(compared with traditional borrowing),thereby lowering the cost of capital and the long-term cost of energy. CLEAN RENEWABLE ENERGY BONDS(CREBS) Clean Renewable Energy Bonds may be used by primarily public sector entities to finance a wide range of renewable energy projects. CREBs may be issued by rural electric cooperatives, municipal utilities,schools,and local, state and Tribal governments. The bondholder receives federal tax credits in lieu ofa portion of the traditional bond interest, resulting in a lower effective interest rate for the borrower. The issuer remains responsible for repaying the principal on the bond. Congress has made over SI billion available for CREBS.More information is available at www.dsireusa.org/incentives/incentive.cfm?Incentive_Code=US45F&ee=0 QUALIFIED ENERGY CONSERVATION BONDS(QECBS) Congress authorized$800 million in tax-exempt Qualified Energy Conservation Bonds(QECBs) in 2008 to finance qualified energy conservation projects. Allocations were made state by state based on population.In Alaska,$7.1 million was allocated,but no bonds have been issued yet. When surveyed, many states indicated that they had not used the program due to high transaction costs associated with small allocations,debt aversion,and lack of awareness.More information is available at www.dsireusa.org/incentives/incentive.cfm?Incentive_Code=US51 F Tax Credits Tax credits can lower capital costs by 40%to 50%. There are several federal tax credits currently available for qualified investments in renewable energy technologies, in addition to accelerated depreciation,which improves the economic viability ofa project by reducing tax liability in the initial years of production.Current tax benefits are shown in Table 38.Note: Tax credits that expire in 2013 are not shown. A 30%tax credit reduces the capital cost ofa project by 30%.The federal government essentially pays for a third of the project. However,only taxable entities, such as Alaska Native corporations and third-party developers,can take advantage of these benefits. This provides an incentive for tax-exempt utilities and local governments to find ways to partner with taxable entities when developing renewable energy projects(98). Information Insights Resource Inventory 189 Page 94 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Project Financing Table 38:Federal Tax Incentives for Renewable Energy Tax Credit Amount Eligible Projects Details Investment Tax Credits(ITC) 30% Solar,fuel cells(30.5 kW), Available when the project small wind(310010W), is placed in service.Expires geothermal,microturbines 12/31/2016 (32 MW),and combined heat and power(350 MW) New Market Tax Credit(NMTC) 39% Investments in qualified Claimed over a 7-year community development period.Starting in the year entities(CDEs).Most Alaska the investment is made villages qualify. Modified Accelerated Cost NA Accelerated depreciation is Enables investment to be Recovery System(MACRS) available to qualified recovered over a 5-year investments in wind, schedule in lieu of the geothermal,and solar standard life of the asset. technologies Source:(97) TAX-EQUITY PARTNERSHIPS Tax-equity partnerships are financing arrangements that enable tax-exempt entities and taxable entities with insufficient tax liabilities, to take advantage of tax credits to lower a project's capital costs. While there are several variations on tax-equity partnerships, all require assigning project ownership to an investor with sufficient tax liability to fully capture available tax benefits. This is typically a large U.S. bank or insurance company. Google has also made such investments.The taxable entity must retain ownership of the project until the tax credits have been fully captured, after which ownership can be transferred to the public utility or other tax-exempt entity(97). Financing through tax-equity partnerships typically requires more complex transactions than other options in order to allocate risk and return among the parties involved. There are several ways to structure a tax-equity partnership: partnership flip,sale-leaseback,and pass-through lease. For more information,see Financing Opportunities for Renewable Energy Development listed under Resources for Communities at the end of this section. Power Purchase Agreements and Net Metering Net metering and third-party power purchase agreements provide additional mechanisms for project developers to capitalize on renewable energy deployment. POWER PURCHASE AGREEMENTS(PPA) A Power Purchase Agreement(PPA)is a legal contract between an electricity generator(seller) and a power purchaser(buyer). The seller is typically an independent power producer(IPP).The buyer is often a utility or large power user, such as a business, municipality,university,school,or hospital. The buyer enters into a long-term contract to pay a predetermined rate for the kilowatt hours delivered from the renewable energy asset.The length of the contract can range from 5 to 20 years.The PPA rate is typically fixed or pegged to a floating index on par with or below the current electricity rate being charged by the local utility company. Information Insights Resource Inventory 190 Page 95 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Project Financing The renewable energy developer uses the contract to attract private investors who are comfortable with the customer's ability to make payments over the term of the agreement. If the energy payments over the life of the contract plus any other incentives produce a desirable return on investment, then investors will provide the up-front capital to finance the project. Such agreements play a key role in financing independently owned electricity generating assets. The PPA financing structure is most appropriately utilized for a planned major renewable energy installation, where speed is less critical, since it requires coordination from all stakeholders. They may also be appropriate where projected revenues are uncertain and so some guarantees as to quantities purchased and price paid are required to make the project viable,or where there is one or a few major customers who will be taking the bulk of the product and who want price certainty and security of supply(100)001). NET METERING Alaska's net metering regulations require that all utilities with retail sales of at least 5 G Wh (5 million kWh)offer net metering to their customers for renewable energy systems up to 25 kW in capacity. Net excess generation (NEG)is reconciled each month,with the utility issuing the customer a credit for NEG. The state's interconnection guidelines mandate that all utilities that arc required to offer net metering must also issue tariffs incorporating interconnection(97). Freeing the Grid,an annual scorecard rating state-level net-metering and interconnection standards,gives Alaska's net-metering regulations a"C,"citing the arbitrary system size limits not based on on-site load, monthly NEG reconciliation instead of indefinite NEG carryover,and ambiguity regarding renewable energy credit(REC)ownership as areas that reduce the impact of this policy on driving investments in renewable energy generation (97). Resources for Communities FINANCING OPPORTUNITIES FOR RENEWABLE ENERGY DEVELOPMENT IN ALASKA The DOE Office of Indian Energy and NREL have put together a handbook on financing renewable energy development in Alaska. It provides an overview of existing and potential financing structures with a focus on four primary sources of project finding: government financed or supported,developer equity capital,commercial debt,and third-party tax-equity investment. It is available electronically at http://energy.gov/indianenergy/downloads/financing- opportunities-renewable-energy-development-alaska More information on private financing is available in Renewable Energy Development in Indian County:A Handbook for tribes, published by the U.S. DOE Tribal Energy Program and available at apps I.eere.energy.gov/tribalenergy/pdfs/indian_energy legal_handbook.pdf Information Insights Resource Inventory 191 Page 96 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I 9 I STAKEHOLDER OUTREACH In Phase I of the Regional Energy Planning process for the Kodiak Region, significant effort has been made to start stakeholder outreach to ensure that interested parties in the region are aware of the project and understand that their input is not only valued, but essential to the process. Outreach has taken the form of both stakeholder interviews and presentations and group discussions at regional events. Stakeholder Interviews Interviews with community and regional leaders and utility managers have been conducted for the purposes of data collection and soliciting input on local and regional priorities.Names of those interviews are listed in the Acknowledgments. Presentations JANUARY 29,2014:KODIAK ARCHIPELAGO RURAL REGIONAL LEADERSHIP FORUM Project team members participated in the January forum via teleconference with the goal of introducing the project,outlining the data collection process and gathering preliminary input on local priorities and energy champions from communities represented at the Forum. MARCH 5,2014:SOUTHWEST ALASKA MUNICIPAL CONFERENCE ANNUAL ECONOMIC SUMMIT Regional energy planners for all three regions of Southwest Alaska(Kodiak,Bristol Bay and Aleutian-Pribilofs)gave a joint presentation at the energy workshop of SWAMC's annual conference. Planners provided an update on the status of the regional energy planning process in each region, including a snapshot of energy resources and opportunities in the region. Participants provided input on local and regional energy priorities through breakout discussions and by audience polling using handheld electronic keypads. Participants from the Kodiak region were primarily from the City of Kodiak and Old Harbor. APRIL 24,2014:KODIAK ARCHIPELAGO RURAL REGIONAL LEADERSHIP FORUM Project team members attended the April leadership forum in person, presenting findings from the first phase of the regional energy planning process. Again,audience response keypads were used to collect input from community and regional leaders on energy priorities and policy preferences. See Table 39 for a summary of results. Participants at the forum represented five rural communities in the region (the number in parentheses equals the number of participants): Akhiok (II), Ouzinkie(I I), Larsen Bay(4), Old Harbor(4)and Port Lions(3). Responses were cross-tabulated by community,however only Akhiok and Ouzinkie had enough participants at the forum to make community-specific results meaningful. Information Insights Resource Inventory I 92 Page 97 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Stakeholder Outreach Participants were also asked to review energy goals adopted in the 2009 Kodiak Island Borough Regional Energy Plan and provide their opinions on whether the desired outcomes had been accomplished or should still be goals. Results are shown in Table 40. Table 39:April Leadership Forum Responses What do you think has the greatest potential to lower your community's energy costs? 35% Wind 21% Hydro 13% Energy Efficiency 11% Solar 6% Biomass 6% Diesel Efficiency 6% Port/Dock Facilities 2% Transmission Lines 0% Heat Pumps What is most important to your community in terms of energy planning? 33% Community Sustainability 24% More reliable energy 18% Saving money 12% Saving energy 12% Price stability Has a heat recovery system been installed in your community's diesel powerhouse? 3%Yes 66%No 31%Don't Know What do you think is the biggest barrier to more participation in residential EE&C programs in your community? 39% Need to pay upfront and wait for reimbursement 39% Lack of information 19% Other 3% Hard to find auditors Do you think we should look at an in-region approach to promoting EE&C? 74%Yes 6%No 19%Don't Know Should our Regional Energy Plan include goals for energy efficiency? 93%Yes 7%No 0%Don't Know If you could only invest in one project,which would you favor? 50% Long-term project(20 year development)that reduced energy costs significantly 50% Near-term project with more modest savings that could be built in 3-5 years Should strategies to encourage local food production be included as part of an energy plan? 81%Yes 6%No 13%Don't Know Information Insights Resource Inventory I 93 Page 98 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Stakeholder Outreach When considering limited public funding,how should the state prioritize projects? 52% Community sustainability criteria 23% Balance state funding efficiency with community benefits 13% Projects that can't be privately financed 13% State funding efficiency Why do you think Kodiak communities have not participated in some of these community-wide energy-related programs yet? 50% Lack of time or grant writers 50% Lack of leadership or cooperation 0% Lack of need 0% Lack of information Table 40:Status of Goals from the 2009 Kodiak Island Borough Regional Energy Plan Encourage energy conservation(through energy efficient lighting and energy saving devices and behaviors) Has there been Progress in Your Community? Is this Still a Goal? Substantial Mostly I have no Don't No Action Initial Steps Progress Complete idea Yes No Know 4% 48% 19% 4% 26% I 86% I 0% 14% Upgrade building heating systems for energy efficiency and cost savings Has there been Progress in Your Community? Is this Still a Goal? Substantial Mostly I have no Don't No Action Initial Steps Progress Complete idea Yes No Know 17% 27% 20% 0% 37% } 83% f 0% 17% Study feasibility of passive and active solar residential hot water heating Has there been Progress in Your Community? - Is this Still a Goal? Substantial Mostly I have no Don't No Action Initial Steps Progress Complete idea Yes No Know 13% 29% 19% 13% 26% 83% ] 3% 13% Assess need for upgrades to rural electrical grids(transmission/distribution lines, transformers) Has there been Progress in Your Community? Is this Still a Goal? Substantial Mostly I have no Don't No Action Initial Steps Progress Complete idea Yes No Know 16% 13% 13% 16% 42% 81% 3% 16% Information Insights Resource Inventory 194 Page 99 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Stakeholder Outreach Assess potential to increase power generation from existing hydro facilities Has there been Progress in Your Community? Is this Still a Goal? Substantial Mostly I have no Don't No Action Initial Steps Progress Complete idea Yes No Know 11% 22% 19% II% 37% f 76% I 14% 10% Assess need for active recycling program and designated recycling building in each community Has there been Progress in Your Community? i Is this Still a Goal? Substantial Mostly I have no i Don't No Action Initial Steps Progress Complete idea Yes No Know 22% 38% 13% 6% 12% 74% ( 6% 19% Install Met towers in communities to assess feasibility for wind power generation Has there been Progress in Your Community? Is this Still a Goal? Substantial Mostly I have no Don't No Action Initial Steps Progress Complete idea Yes No Know 47% 19% 3% 3% 28% 72% I 3% 24% Work with KIHA and utilities to do energy rating on all homes Has there been Progress in Your Community? Is this Still a Goal? Substantial Mostly I have no Don't No Action Initial Steps Progress Complete idea Yes No Know 20% 23% 10% 3% 43% G 60% I 8% 32% Assess heat recovery potential in diesel-fired power plants Has there been Progress in Your Community? Is this Still a Goal? Substantial Mostly I have no I Don't No Action Initial Steps Progress Complete idea Yes No Know 45% 19% 6% 0% 29% i' 59% I 16% 25% Institute"Cash for Clunkers"style program for older appliances(refrigerators,dryers,etc.) Has there been Progress in Your Community? Is this Still a Goal? Substantial Mostly I have no Don't No Action Initial Steps Progress Complete idea Yes No Know 45% 19% 3% 0% 32% r 53°/ I 7% 40% Study feasibility of emerging technologies for harnessing tidal and wave energy Has there been Progress in Your Community? Is this Still a Goal? Substantial Mostly I have no Don't No Action Initial Steps Progress Complete idea Yes No Know 48% 14% 0% 0% 38% I 50% I 13% 37% Information Insights Resource Inventory 195 Page 100 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Stakeholder Outreach Study feasibility of low-head hydro Has there been Progress in Your Community? Is this Still a Goal? Substantial Mostly I have no Don't No Action Initial Steps Progress Complete idea Yes No Know 46% 11% 0% 7% 36% I 29% 1 39% 32% What are the top three priorities from the 2009 energy goals? 20% Energy Conservation 18% Grid Upgrade Needs 14% Met Towers for Wind 11% Home Energy Audits 8% Building Heating 7% Cash for Clunkers 7% Ocean/Tidal Energy 6% Community Recycling 6% Solar Hot Water 2% Low-head Hydro Information Insights Resource Inventory 196 Page 101 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I WORKS CITED I. Fay,Ginny,Alejandra Villalobos Melendez,Corinna West.Alaska Energy Statistics 1960- 2011. 2012. Prepared for Alaska Energy Authority. 2. YourCleanEnergy.Aleutian& Pribilof Islands Regional Energy Plan Phase t Inventory (DRAE7). November 2013. Prepared for SWAMC. 3. Copper Valley Development Association. Copper River Regional Energy Plan. Glennallen, AK : s.n.,2013. 4. Pelunis-Messier,David. 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[Online] http://climate.gi.alaska.edu/Climate/Nsormals. 12. United States Census. [Online] 2010. 13. Alaska Department of Labor and Workforce Development, Research& Analysis.American Community Survey:2008-2012. 14. McCoy,Dan. City and Utility Manager,Akhiok. Interview. May 14,2014. 15.Alaska Department of Education& Early Development. Report Card to the Public. [Online] 2014. http://www.eed.state.ak.us/reportcardtothepublic/. 16. Wiltse,N.,Madden, D., Valentine, B., Stevens, V. 2013 Alaska Housing Assessment. s.l. : Cold Climate Housing Research Center, 2014. Prepared for Alaska Housing Finance Corporation. 17. U.S. Fish & Wildlife Refuge. Kodiak National liildlife Refinge. [Online] [Cited: July 10,2014.] http://www.fws.gov/u p loaded Fi les/Regi on_7/N W RS/Zone_2/Kodiak/PDF/LandStatus.pdf. 18.Alaska Energy Authority. Power Cost Equalization Statistical Report by Community. 2013. Information Insights Resource Inventory 197 Page 102 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.1 Works Cited 19.-.Akhiok FY14 PCE Report. s.I. :Not published, 2014. 20. Scott, Darron. President and CEO, Kodiak Electric Assocation.Personal commmunication. June 26,2014. 21. WH Pacific with Brian Saylor and Associates, CTG Energetics,and Craciun Research Group. Alaska Energy Authority End Use Study:2012. 2012. 22. Ord,Jimmy. Alaska Housing Finance Corporation. Personal communication. January 13, 2014. 23. Alaska Energy Authority.Alaska Energy Pathway. 2010. 24. Information Insights. Bristol Bay Bulk Fuel Purchasing: Potential and Interest in a Cooperative Buying Program. Fairbanks, Alaska : s.n.,2012. 25. Scott, Darron. President and CEO, Kodiak Electric Association. Interview. Kodiak,AK,April 22, 2014. 26. Alaska Department of Labor and Workforce Development, Research and Analysis Section. Alaska Population Projections 2012 to 2042. 2014. 27. Hunsinger, Eddie. State Demographer. Personal communication. March 29, 2013. 28. DOWL HKM.Southwest Alaska Transporlaiton Plan Update Phase I Report: Understanding the Transportation System and Regional Needs. January 2014. Prepared for State of Alaska Department of Transportation and Public Facilities,Central Region. 29. Village Scale Efficiency Measures. Pelunis-Messier, David. Anchorage, Alaska : Alaska Energy Authority,2013. Alaska Rural Energy Conference. 30. Shiflea, Pat. Executive Director,Alaska Community Development Corporation.Personal communication. January 8, 2014. 31. Energy Efficiency Programs. Lister, Cady. Anchorage, Alaska : Alaska Energy Authority,2013. Alaska Rural Energy Conference. 32. Smart Grid Legal News. Alaska Resources.Smart Grid Legal News. [Online] [Cited: July 9, 2014.] http://www.smartgridleealnews.com/alaska-resources.html. 33. Edison Foundation. Innovations Across the Grid Washington DC : The Edison Foundation, 2013. 34. RurAL CAP. Energy\Vise. Rural Alaska Community Action Program. [Online] [Cited: July 10, 2014.] 35.Ord,Jimmy. Alaska Housing Finance Corporation. Personal communication. April 9,2013. 36. Alaska Energy Authority.Alaska Energy Efficiency Map. March 26, 2013. 37. Energy Audits.Alaska Native Tribal Health Consortim. [Online] [Cited: 12 12,2012.] http://www.anthctoday.oraidehefebee/energyandits.html. 38. Waterman, Scott. Alaska Housing Finance Corporation. Personal communication. May 27, 2014. 39. Hacker,Gregg. Maintenance and Operations Director, Kodiak Island Borough School District. Personal communication. May 25,2014. 40.Alaska Energy Authority. Review of Kodiak Phase I Resource Inventory Draft. 2014. Information Insights Resource Inventory I 98 Page 103 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Works Cited 41.Alaska Housing Finance Corporation. Energy Efficiency in Public Facilties.Alaska Housing Finance Corporation. [Online] [Cited:July 3, 2014.] http://www.ahfc.us/efficiency/research- information-center/energy-efficiency-public-facilities/. 42.Dixon,Gavin,et al.,et al_Energy Use and Solutions in Rural Alaskan Sanitation Systems. Anchorage, Alaska : Alaska Native Tribal Health Consortium Division of Environmental Health and Engineering,2013. 43. Lister,Cady and Ives, Dune. Recommendation for Alaska Energy Efficiency and Conservation Public Education and Outreach. Anchorage : Alaska Energy Authority, 2011. 44. University of Alaska Anchorage, Institute of Social and Economic Research.Alaska Energy Data Gateway. 45. Clarion, Dan. Mayor,City of Ouzinkie. Personal communication. June 25,2014. 46. Office of the Federal Register. Denali Commission Fiscal Year 2014 Draft Work Plan.Federal Register. [Online]June 12,2014. [Cited: June 28,2014.] https://www.federalregister.gov/arti c les/2014/06/12/2014-13710/denal i-comm issi on-fiscal-year- 2014-draft-work-plan. 47. Alaska Energy Authority. Bristol Bay DRAFT Energy Plan-AEA Review. 2013. 48. Nelson, Bill. Utility Manager, City of Larsen Bay.Personal communication. June 25, 2014. 49. Sullivan,Jane. Division of Community and Regional Affairs, Department of Commerce, Community,and Economic Development.Personal communication. June 19,2014. 50. Lockard, David.Alaska Energy Authority. Personal communication. July 7,2014. 51. Alaska Energy Authority. RPSU Community Survey. 2012. Raw survey data. 52.Jones,Joyce. Utility Manager,Karluk. Interview. April 3,2014. 53. Warren, Kirk. Diesel Efficiency Program Manager, Alaska Energy Authority. Personal communication. January 23,2013. 54. Lister,Cady. Program Manager,Alaska Energy Authority. Personal communication. January 24,2013. 55.Alaska Energy Authority.Alaska Energy Authority Program Fact Sheet: Emergency Response Program.2011. 56. Swenson, Robert F.,et al., et al., [ed.]. Fossil Fuel and Geothermal Energy Sources for Local Use in Alaska. Special Report 66. Fairbanks, Alaska: Alaska Department of Natural Resources, Division of Geological & Geophysical Services,2012. 57. Hillman, Anne. Tok Biomass Boiler Heats School, Funds Music Teacher.Alaska Public. [Online] Alaska Public Media,February 11,2014. http://www.alaskapublic.org/2014/02/1 I/tok- biomass-boiler-heats-school-funds-mus ic-teacher/. 58. Alaska Energy Authority. Biomass Energy.Alaska Energy Authority. [Online] [Cited:June 30, 2014.] http://www.akenergyauthority.org/programsalternativebiomass.html. 59. Alaska Energy Authority& Alaska Center for Energy and Power.Alaska Energy: A first step toward energy independence. Anchorage, Alaska: Alaska Energy Authority,2009. 60. Plentavich, Devany.Alaska Energy Authority. Project Manager, Biomass. February 20, 2014. Information Insights Resource Inventory 199 Page 104 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.1 Works Cited 61. Alaska Department of Environmental Conservation, Division of Environmental Health, Food Safety& Sanitation Program. Seafood Processing Permits.Alaska Department of Environmental Conservation. [Online]2014. http://alaska.state.gegov.com/al aska/sea food_li sti ng.cfm?step=land-based. 62. Scott, Darron. President and CEO, Kodiak Electric Association. Long Term Energy Plan Summar . Kodiak, AK : s.n.,2013. 63.Hanson,Douglas.State Timber Lands Kodiak Island. 2013. 64. RBA Engineers, Inc. lift/ad/-teat Boiler Deisgn& Permitting. 2010. 65. Baldivieso,Alan. Geothermal Program Manager,Alaska Energy Authority. Personal communication. January 2013. 66. .Geothermal Program Manager,Alaska Energy Authority. Interview. February 28, 2014. 67.Meyer,J., et al.,et al. Ground-Source Heat Pumps in Cold Climates. s.l. : Denali Commission, 2011. 68.Caldwell, Suzanna. Air source heat pumps provide energy relief in Southeast Alaska.Alaska Dispatch. June 16,2014. 69. Alstrom,Audrey. Hydro Project Manager, Alaska Energy Authority. Interview. February 28, 2014. 70.Alaska District, Corps of Engineers. Regional Invent and Reconnoissance Study for Small Hydropower Projects. 1980. 71. AVEC. Old Harbor Hydroelectric Project-Final Design and Permitting s.l. : AEA Renewable Energy Fund Round VII Grant Application,2013. 72. Renewable Power in Rural Alaska: Improved Oppotunitiesjor Economic Deployment. Crimp, Peter,Colt, Steve and Foster, Mark A.Anchorage,Alaska : s.n., 2008. Arctic Energy Summit. 73. Information Insights. The Lake and Peninsula Borough Regional Energy Plan. 2008. 74. Alaska Energy Authority& Renewable Energy Alaska Project. Renewable Energy Atlas of Alaska. Anchorage,Alaska : s.n., 2013. 75. Lindholm, Richard. Project Director, Kodiak Island Housing Authority. Personal communication. May 23,2014. 76. CRW Engineering Group. Conceptual Design Report: Bulk Fuel Upgrades Village ofPerrvville. 2011. 77. PV Watts Calculator.National Renewable Energy Laboratory. [Online] [Cited: May 30, 2014.] http://pvwatts.n rel.gov/pvwatts.php. 78. Pelunis-,Messier, David. Tanana Chiefs Conference, Rural Energy Coordinator. Personal communication. May 6, 2013. 79. Feldman, David,et al.,et al. Photovoltaic (PP) Pricing ?rends:Historical, Recent. and Near- Term Projections. s.l. : U.S. Department of Energy, 2012. Technical Report DOE/GO-102012- 3839. 80. Alaska Energy Authority&Renewable Energy Alaska Project. Renewable Energy Atlas of Alaska. Anchorage,Alaska : s.n., 2009. Information Insights Resource Inventory 1100 Page 105 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Works Cited 81. U.S. Department of Energy, Renewable Resource Data Center.National Renewable Energy Laboratory. [Online]November 8,2012. [Cited: April 17, 2013.] http://www.nrel.gov/rredc/. 82.-. Alaska 30-meter Wind Map. IVind Powering America. [Online] [Cited:April 16,2013.] http://www.windpoweringamerica.gov/windmaps/residential scale states.asp?stateab=ak. 83. Altenhof, Barry. CTE Coordinator, Kodiak Island Borough School District. Personal communication. April 13,2014. 84. Vaught, Douglas.Old Harbor,Alaska Wind Resource Update Report.Alaska Energy Authority: IPind EnergyAnalysis Data. [Online] May 27,2009. http://www.akenergyauthority.org/Use fu I%20documents/OI d-Harbor-W ind-Resource-Update- Report-May-27-2009.pdf.. 85.Dames and Moore. IPind Energy Feasibility Study Naknek and Unalaska. 1999. 86.Craft,Josh. Alaska Energy Authority.Personal conununication. February 2013. 87. Knight Piesold Consulting. Port Heiden Wind Power Feasibility Study. Rev 1. 2010. 88. Anemometer Program.Alaska Energy Authority_ [Online] [Cited: April 12,2013.] http://www.akenergyauthori ty.org/program windanemometerloan.htm I. 89. Renewable Energy Alaska Project. Ocean (Wave and Tidal).REAP. [Online] [Cited: June 19, 2014.] http://alaskarenewableenergy.org/why-renewable-energy-is-important/alaskas- resources/ocean-wave-and-tidal/. 90.Ocean Renewable Power Company.Alaska. ORPC. [Online] June 19,2014. http://www.orpc.co/content.aspx?p-Yojopy2b9VQ%3D. 91.-. ORPC in the News: ORPC maiden splash in Alaska. ORPC. [Online] June 11, 2014. [Cited: June 19,2014.] http://www.orpc.co/newseventsorpcnews.aspx?id=%2b%2b5uA5gg5ss%3d. 92. City of Ouzinkie. Bathymetric survey and marine geological study to refine submarine cable route for Kodiak Ouzinkie Electrical Inter-tie project_ s.l. : AEA Renewable Energy Fund Round VI Grant Application,2012. 93. Polarconsult Alaska. 111/DC Transmission Systems for Rural Alaska Applications. Phase II: Prototyping and Testing. 2012. 94. Denali Commission.Barge Landing Report. In association with the U.S. Army Corps of Engineers,Alaska District. 2007. 95.NANA Pacific. Distributing Alaska's Power:A technical and policy review of electric transmission in Alaska. December 2008. Prepared for Denali Commission. 96. Haagenson, Steve. Transmission Lines in Rural Alaska. Anchorage : Alaska Energy Authority, 2009. 97.Ardani, Ii., Hillman, D. and Busche,S. Financing Opportunities for Renewable Energy Development in Alaska. Washington, D.C. : U.S. Department of Energy,Office of Indian Energy,2013. 98.Pathways to Alaska Native Village Energy Deployment. Thomas, Pilar.Anchorage : Alaska Energy Authority,2013. Alaska Rural Energy Conference. 99. U.S. Department of Energy, Energy Efficiency& Renewable Energy. Energy Savings Performance Contracts. Federal Energy Management Program. [Online] [Cited: May I I,2013.] Information Insights Resource inventory 1101 Page 106 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.I Works Cited 100. Power Purchase Agreements. PPP in Infrastructure Resource Centerfor Contracts, Lmrs and Regulation [Online] [Cited: May 11,2013.] http://ppp.worldbank.org/public-private- partnershi p/sector/energy/energy-power-agreements/power-purchase-agreements. 101. Power Purchase Agreements.Solution Center. [Online] [Cited: May 1 1,2013.] http://wsvwl.eere.energy.gov/wip/solut ioncenter/f i nano ialproducts/ppa.hum t. 102.Johnson,Jerome and Pride, Dominique. River, Tidal, and Ocean Current Hydrokinetic Energy Technologies: Status and Future Opportunities in Alaska. Fairbanks, Alaska : Alaska Center for Energy and Power,2010. Information Insights Resource Inventory 1102 Page 107 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. y j a6 I.�' S 9 '/ {�1 ' "/µ{ /. y,,yflr s✓ s,cty G` E CF`k *� . Cs' ,"'A„'4a. .^`c s, .a.. a ''#-•�.:. c. vs 1 ` jk C,.. Ta._ _.r PHASE - • f EH 0 D If . A ' K ,, 44. ;it , 444 , v", REGIONAL ENERGY:PLAN . ` Volume H; Community._Profiles Preparedga? Alaska Energy Authority t , t July 2014 l'4 #Fr " . 8 SWAMC Nt ^ ' III 3300 Arctic Blvd.,Ste.203 " • -"a: ' Anchorage,Alaska 995.03 Information Insights , . 21'*Front Street,Ste.100 dei Information Insights Fairbanks,Alaska 99701 vision+creativity=solutions . Page 108 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II ACKNOWLEDGMENTS Ire would like t0 thank the Jallearing individuals and agani=a/ions far sharing their time. data and expertise. Their assistance a-ac invaluable. Alaska Community Development Corporation: Par Shiflett Alaska Department of Commerce, Community, and Economic Development„Jane Sullivan Alaska Energy Authority::Ilan Haldivieso, Auclrey Afstronr. Katie( a pegv, Josh Crcfi. ,ledediah Opole t. Cady Listen David Luckcnzl, Devour Plernovirh. Sean Skating, Richard Sirowberg. ✓im I ail Alaska I-lousing Finance Corporation:,Jirnorr Ord.Scott Il merman Alaska Village Electric Cooperative:Stere Gilbert Chugach Electric Association: Kate Avers City of A khiok: Dan AleCov City of Kodiak: Mark Kozak City of Larsen Bay: .11len/anamaro/f Sr-, gill Kelson City of Old Harbor: Russell l-izr City of Ouzink ie: Dan Clarion City of Port Lions: Kathrvn_idkins Kodiak Archipelago Rural Regional Leadership Forum: Roberta Townsend-benne! Kodiak Area Native Association: 'Tyler:Cornetts Kodiak College:Jaseph Spear Kodiak Electric Association: Darvon Scotr Kodiak Island Borough: Bob Pecferson. Altok Ko=ok Kodiak Island Borough School District:Steil-ant d/cOanalct, (ii-egg Hacker, Mary illtenlmt Kodiak Island Housing Authority: Alau-ti Slturavht/f Rick Lindholm Native Village of Karluk:,lotte,lone-s Northwest Arctic Borough: Fred Smith Old Harbor Native Corporation: (I aathia Berns Rural Alaska First:Jenny brans United States Coast Guard Kodiak Base: alike Brown Information Insights Community Profiles 12 Page 109 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol. II CONTENTS Introduction 4 Akhiok 5 Karluk 21 Kodiak 34 Larsen Bay 45 Old Harbor 57 Ouzinkie 68 Port Lions 85 Appendix A 94 Appendix 13 109 Works Cited 125 Information Insights Community Profiles 13 Page 110 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II INTRODUCTION The Kodiak Regional Energy Plan is part of a statewide effort led by the Alaska Energy Authority to identify energy projects that will reduce the long-term cost of power and dependence on fossil fuels in Alaska. The process will look at the total mix of energy needs in the Kodiak region, including electricity,heating and transportation,and consider all local and regional energy resources, including efficiency and conservation. This is a companion volume to the Kodiak Regional Energy Plan Phase I Resource Inventory. The Resource Inventory provides a broad overview of energy use and supply in the Kodiak region,outlines regional energy strategies,and includes notes on renewable energy technologies, project economics and data gaps. Phase I represents the first step in the planning process. The next step is for community and regional leaders,residents,utilities, industry representatives,and other key stakeholders to engage in dialog about their priorities for addressing energy needs in the region. The Phase I Resource Inventory and Community Profiles have been designed to be used as tools during Phase II to focus conversations on the most technically feasible and economically realistic projects given the region's mix of energy resources and the current state of technology. The data included in these volumes represent a snapshot in time and some will be incorrect or out of date. The project team encourages readers to contact us with corrections and updated information about energy use and resources in the region and to tell us about additional projects that should be assessed. At the conclusion of Phase II we will use the input gathered to identify broadly supported strategies and a list of fundable projects that can reduce energy costs in the region while developing local and regional energy resources. Project Contacts Erik O'Brien Jamie Hansen Southwest Alaska Municipal Conference Information Insights 3300 Arctic Blvd, Suite 203 212 Front Street, Suite 100 Anchorage,Alaska 99503 Fairbanks, Alaska 99701 Phone: 907-562-7380 Phone: 907-450-2461 Email: eobrien@swamc.org Email:Jamie@iiAlaska.com Information Insights Community Profiles 14 Page 111 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Akhiok AKHIOK a' WorrAAREA USE MAP t k ` AKHIOK ya 6v 6 I. ' ` f1 ii.) YiA{'W Liu s Ord ra- xffi 1� , .3 r '* -A. 3' wtt. 4,7 lep pft:IIly ,,� ^ 3 ` � � .: Community Energy January leadership Forum Utility Interview Priorities' Wind turbines for smaller communities No priorities Fuel storage tanks Road to Alitak Alaska Energy Wind—Wood-Hydro Pathway Local Stakeholders City of Akhiok Native Village of Akhiok Groups (utility owner) (federally recognized tribe) 1 Ocean Beauty Seafoods,Alitak Akhiok-Kaguyak Native (industry,fuel vendor) Corporation(landowner) Energy Champions' Dan McCoy(Utility Manager,City Manager),David Eluska (Tribe), Father Isoaph Sources:(1)(2)(3).Notes: 1/Unranked.Based on early input.Additional input to be gathered in Phase II. Information Insights Community Profiles 15 Page 112 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Akhiok TOTAL ENERGY USE r Electrical Generation 1 Diesel:365 MWh Sold:342 MWh Line Loss:4.5% Renewable:0 Powerhouse: 1.8% Community Load Average:25 kW Electric Customers Residential:22 _ Peak:57 kW Community Facilities:4 (4) Govt. Facilities: 1 Commercial:5 Other(Non-PCE):0 Annual Fuel Use Electric': Space Heating: Transportation: 35,340 gals. 27,357 gals(4) 7,317 gals. (4) Fuel Price Electric:$3.75/gal. Heating:$7.00/gal of ~Transportation: _ #1 Oil(Jan.2014) (5) NA Average Monthly -, N Heating Fuel Price per Gallon-Akhiok Household Energy Bills u -.--#1 Fuel Oil :r 441 Region Avg. 441 Rural Avg ■Heating a ElectricI_ $8.00 - ---- ---- ----- ------- m $7.00 ._____ - ,,__+ $523 $478 $470 v $6.00 --- - r--- x $5.00 -- A - —X $452• $359; $351; $4.00 - - - $3.00 Y(- X , $L19 $220 $2.00 _ - --... ---._ _. $100 --__ _____ Akhiok Rural Region $0.00 ,. :--- r ---I-- --,------7 -i---- - Average Average 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Akhiok Electric Rate FY14 . . . 30 -- a Residential Base Rate m 25.0 0 PCE Rate(1st 500 kWh) w` 25 - C IL v 20 ----- `- To 20.6 15 , - - - LT, 10 __-____-- - __ lx$.22 5 az4 -_ -_ ---- Akhiok Rural Region Oct-13 Nov-13 Dec-13 Ian-14 Average Average i Sources(except as noted):(6).Notes:1/Annual use estimated,based on four months of data(October 2013 to January 2014).Since energy demand is likely to he highest in winter,this may overestimate actual annual electrical generation and sales. Information Insights Community Profiles 16 Page 113 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol II Akhiok ELECTRIC GENERATION - Utility Akhiok/Kaguyak Electric PCE(level) Active since Sept 2013 RPSU Upgrade(3) Generator:2010 ($0.31/kWh) Powerhouse: None Diesel Gl:75 kW/G2: 150 kW/ Renewable Capacity None Capacity G3: 135 kW Diesel Gl:John Deere 4045–Fair Load Sizing Properly sized Generators G2:John Deere 4045–Fair Load Imbalance 10-25% G3:John Deere 4045–Fair Diesel 10.3 kWh/gal. Switchgear Semi-automatic synchronizing Efficiency switchgear Residential Effective:$0.14/kWh(1"500 Cost per kWh Sold Fuel:$0.48;Non-Fuel:$0.04 Rate kWh).Base:$0.45/kWh Total cost: $0.51 Operator Unacceptable:Meter reading, Heat Recovery NA:This section of the RPSU survey Proficiency logs, maintenance and was not completed. planning Known Distribution system is in poor repair. Powerhouse has poor lighting,ventilation,security and high Issues risk health and safety issues. Fuel shortages are frequent, plant being turned off at night to conserve fuel in the summer months. Outages are from unit G3 EGR and overload of other units. Generation Average Fuel Price Paid Costs a 5.70 ------ ------- -------- ----- by Electric Utilities FY13 N Per Gallon -v $50 $4.29 $4.16 $3.75 0- 5.40 —Generation Costs 5.20 —Utility Residential Rate 5.10 __ Oct-13 Nov-13 Dec-13 Ian-14 Akhiok Rural Region Average Average Electric Akhiok Electric Sales,FY2013(KWh) Average Annual Use by Sales by Customer Type(est.)(kWh) Customer '" a 1 20,000 Type „sl` pr _ 6,384 -- -- - 50,088_ kr's34% i 2% 15,000 ---- --_..---.. 10,000 ----- 434 t 173,048 50% 5,000 o Residential II Public Facility - - o Comm ercial/Govt. •Utility Use Akhiok Rural Average Sources(except as noted):(7)(8) Information Insights Community Profiles 17 Page 114 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.!! Akhiok ENERGY.EFFICIENCY AND CONSERVATION - , Residential Occupied Housing Type, Average Home Avg.HH Size/ Median HH Energy Cost as Housing Units including Vacant Size(est.)' Overcrowded Income %of Income 19 39 single family 1,056 sf 4.4/22.5% $16,250 39% Age of Housing Stock in Akhiok I Estimate Annual Average Annual 17 Energy Use per Home Home Energy Bill 12 — 125 MMBTU $6,272 5 5 Note:Older homes are typically less energy- efficient than newer homes,due to --- ,------:- —�-, --- —. -----, improvements in building technology and Earlier 1940s 1950s 1960s 1970s 1980s 1990s 2000s 2010s energy efficiency over time. Additional Percent of Energy Efficient Housing Stock Annual Home Annual Home Residential �. Energy Savings Energy Savings EE&C Work : `^ U New/BEES-certified Achieved Opportunity Remaining ■Home Energy Rebates 184 MMBTU 272 MMBTU 60% - 8 CI Weatherized Homes 1,322 gals. 1,955 gals. 11 42% ■Not Retrofitted $9,255 $13,683 Assumptions:Average energy savings for region based on 2008-13 ARIS data (35%HER, 18%AHFC , weatherization projects). -- Non-residential No.of Public/ Est.Annual Public or Commercial Types of Energy Use per Commercial EE&C Measures EE&C Measures Buildings2 Buildings Building' Building Audits Identified Implemented 10 See Appendix B 1,178 MMBTU None Reported NA NA LED Street Street Lighting Estimated Cost LED Street Street Light Street Lighting Lighting Remaining of LED Street Lighting Annual Number Type Upgrade Opportunity Light Retrofit" Energy Savings Not Known 5 LED Completed Not Known $1,000 per light Installed LEDS 2013 or$5,000 to use only$5 of $18,000 total electricity/mo. Water&Sewer Estimated Estimated Cost Estimated System Type/ Annual Water Sanitation of Water& Annual Water& No.of Homes Water and &Sewer System Energy Sewer EE&C Sewer Energy Served Sewer Rates Energy Use' Audit Performed Upgrades Savings5 Piped Not Known 195 MMBTU No. New Not Known 20 MMBTU 19 Homes 1,168 gals. modular water 210 gals. 9,585 kWh treatment plant 958 kWh being installed. $1,469 Sources:(9)(10)(3).Notes:1/Calculated based on Energy End-Use Study data(11).2/Based on number of electric rate payers.3/Calculated based on Energy End-Use Study and 2013 Alaska Housing Assessment data(11)(12).4/Based on ARIS data for communities of 50 to 100 people.5/Assumes 10%savings on fuel and electric. Information Insights Community Profiles 18 Page 115 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Akhiok DIESEL.EFFICIENCY AND HEAT RECOVERY Annual Savings Est.Annual from a Diesel Heat Recovery Additional Heat Estimated Cost Savings from Efficiency of Installed at Buildings Heated Recovery of Water Jacket Water Jacket 13.0 kWh/gal.' Power Plant with Waste Heat Opportunity Heat Recovery Heat Recovery 5,459 gals. No (Power Plant 0 Powerhouse is Capital cost: 464 MMBTU2 $20,484 is%mi.from ''A mile from $200,000 and or town) ) town up 10 to 20% BULK FUEL Capacity City:36,000 gals.(6,000 for Fuel Purchase 26,000 to 30,000 gals.for electric utility school district use) per year(as much as community can Ocean Beauty Seafoods: afford).Fuel conservation in effect in Not Known summer to stretch to Sept.fuel delivery. • Bulk Fuel Completed 2003 Vendors Electric Utility: Petro Marine Services Upgrade (Homer).Heating: (Residential and others):Ocean Beauty Seafoods By Barge No deep water dock.Akhiok uses a landing craft to bring fuel in.Boat hauls 31,000 gallons of fuel.Tank farm is 2miles from the dock. It is very difficult to get fuel to the tank farm. Local Delivery Ocean Beauty Seafoods sells to residents and others in 55 gallon containers. Cooperative Not interested. Fuel vendors are not able to get a tug and barge close to Akhiok's dock. It's Purchase not feasible for a vessel carrying a large amount of fuel for several villages coming into Akhiok. Sources:(3).Notes:1/Based on FY2014 PCE data(7).2/2010 Alaska Energy Pathway estimate has not been updated or verified(4). Information Insights Community Profiles 19 Page 116 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Akhiok ENERGY PLANNING BIOMASS Low Potential—The 2010 Alaska Energy Pathway plan identified wood as one of the renewable resources available to Akhiok, but the area is dominated by moist tundra and grasses with very few tall brush areas and trees,although some stands of alder are present(13). Driftwood provides another source of wood biomass, but may not exist in sufficient quantity for a community-scale project(50 cords per year)or its harvest may be in competition with local use for home heating.The area has one seafood processor(Ocean Beauty in Alitak) that generates its own power.Ocean Beauty produces fish fillets and canned salmon at Alitak rather than fish meal making it less feasible to produce biodiesel from fish waste.There are no class 1 landfills that would support a solid waste heat or combined heat and power project. J DIESELEFFICIENCY AND HEAT RECOVERY High Potential-Diesel currently is used to generate 100%of Akhiok's electricity,but with diesel 60%of energy is lost to heat even in the most efficient generators.Heat recovery can recover 10-20%of the energy in diesel fuel by providing heat to nearby buildings and another source of revenue for the utility.Measures that improve diesel efficiency and implement heat recovery provide the opportunity for significant fuel savings that will lower the cost of generation and improve the community's ability to compete successfully for new renewable energy grants or financing. _ Issue:Akhiok's power plant has a diesel efficiency of Opportunity:Improving efficiency by 10%(to 11.4) 10.3 kWh/gallon,which is on the low side for rural would save over 2,400 gallons of fuel per year and communities in the region. $9,619 in avoided fuel costs. Improving diesel efficiency to 13.0 would save nearly 5,500 gallons of fuel and$22,500 in avoided fuel costs per year. Issue:The 2012 RPSU survey indicates that Akhiok's Opportunity: Before adding renewable energy distribution system is in poor repair,the powerhouse resources like wind,the existing generation and has poor lighting and ventilation,and there are other distribution system should be brought into good security and high risk health and safety issues. repair and efficiency measures implemented: Balance three phase;address safety risks;address meter installation,corrosion,and condition problems; repair conductor where exposed;and repair improperly installed transformers.(14) Issue:The John Deere 4045 gensets with cooled EGR Opportunities:Ask AEA powerhouse program staff and variable geometry turbochargers have not for a recommendation on replacing one or more proven to be reliable in many rural applications. engines with a rebuilt 4045, probably a marine configuration,that meets EPA requirements and will provide better reliability and efficiency.Consider future plans for integrating renewable resources when designing improvements to the existing system. Issue: Heat recovery has not been implemented at Opportunity:When a powerhouse upgrade is the Akhiok power plant.The power plant is located'A planned,assess the feasibility of moving the plant mile from town, limiting the current benefits of heat closer to the school or other community heating recovery especially with small loads. loads.The 2010 Alaska Energy Pathway model estimated 464 MMBTU in energy could be captured and used to offset space heating in Akhiok. Information Insights Community Profiles 10 Page 117 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Akhiok DIESEL EFFICIENCY AND HEAT RECOVERY Issue: FY13 Utility rate($0.45/kWh)appears to be Opportunity: Increase electric rates to cover fuel and less than fuel costs($0.48/kWh)and less than non-fuel expenses. combined(fuel and non-fuel)generation costs of $0.51/kWh. Issue:Operator proficiency and system maintenance ) Opportunity: Have operators trained at AVTEC unless are very important to efficiency. Funders also want to this has already been done.There is no cost for see that diesel systems are well maintained and instruction, lodging and per diem for the 2-4 week operating efficiently before funding new renewable course.The community is responsible for travel and generation projects. In the 2012 RPSU study, must have an alternate power plant operator in the operator proficiency was rated as unacceptable in all interim. areas.(8) Resources:State:AEA Powerhouse and Electrical Costs:Heat Recovery:$200,000 and up.AVTEC Distribution Upgrades Program, RPSU program, , training:Travel costs to Anchorage.Savings:Diesel Circuit Rider program, Power Plant Operator Training. Efficiency:$9,619 to$22,500 per year in avoided fuel Federal:Denali Commission Training Fund. costs(see above). -- INTERTIE Low Potential—Akhiok is too far from the nearest community to make an electrical transmission project feasible with current technologies.Costs for interties in rural Alaska are estimated at$400,000 to$500,000. EMERGING TECHNOLOGIES Unknown—Tidal or ocean power resources have not been identified in the waters near Akhiok, but more detailed resource mapping is likely to occur as these technologies continue to develop.Research and demonstration projects in these and other emerging energy technologies,such as heat pumps, low-power HVDC transmission,and flywheel energy storage systems,should be monitored to assess their potential for providing a local energy solution. ENERGY EFFICIENCY AND CONSERVATION High Potential—Since the cheapest kilowatt or gallon of fuel is the one you don't have to buy,there is high potential to save on energy costs by actively promoting additional residential and commercial EE&C and by auditing public buildings and facilities to identify potential savings. Issue: Nearly three-quarters of the community's Opportunity: Encourage remaining residents who are housing stock(including vacant units)was built income-eligible to weatherize through AHFC's or before 1980. Housing of that age in the region KIHA's programs. For owner-occupied homes,even if typically is rated at only 2 or 2-star-plus,with energy already weatherized,there may be opportunity for costs that are 50-75%higher than a 4-star-plus or 5- additional savings through AHFC's HER program. star home built in the 2000s.About 42%of occupied homes in Akhiok have been weatherized since 2008. Issue: No Akhiok residents have participated in Opportunity: Encourage at least three homeowners AHFC's Home Energy Rebate program.There are no I to sign up online for AHFC's Home Energy Rebate income limits,but the house must be owner j program in order for AHFC to pay a rater's travel cost occupied. I to the community.To date, HER has provided higher energy savings(35%) per home compared with weatherization programs in the region (19%savings). Information Insights Community Profiles 111 Page 118 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Akhiok ENERGY EFFICIENCY AND CONSERVATION Resources:State:AFHC Home Energy Rebate, I Costs:State/federal:Weatherization:$30,000 per Weatherization,Roving Energy Rater. Federal: U.S. home in rural Alaska(including transportation, HUD NAHASDA Grants through KIHA. Regional:EE&C logistics,overhead and health and safety measures). Coordination through KANA(pending successful EDA Home Energy Rebate:$4,800(average homeowner grant application) rebate).Local/regional:Outreach and coordination costs(not known).Annual Savings: Energy: 171 MMBTU. Fuel(gallons): 1,230. Fuel(cost):$6,053. Issue: Based on 4 months of data, residential Opportunity: Focus on lowering residential electrical electrical users are close to their 500 kWh PCE consumption through education to promote monthly limit in winter,on average,and some may conservation behaviors and/or the installation of TED be going over.Since the community has a relatively Smart meters in households so residential customers high base electricity rate($0.45/kWh),the cost to know when they exceed 500kW.Train local youth to residential customers and community facilities provide education and technical support. exceed that amount. Resources:Rural CAP: Energy Wise. REAP: Costs: Energy Wise:$2,000 per home(requires AKEnergySmart Curriculum.AEA Energy Hog school private partnership).TED meters:Not known. visits. AKEnergySmart Curriculum is free. Cost for training teachers is not known. Issue:There is no record of commercial or Opportunity:There are several state and federal community energy audits or energy efficiency programs to help finance audits and/or energy upgrades having been performed,yet nearly half of efficiency improvements.For Community Facilities: electric sales are to commercial and public facility Apply for a whole village energy retrofit to audit and customers.Based on 4 months of winter data, upgrade community facilities and infrastructure. Akhiok's commercial customers in particular are For Commercial customers: Encourage local business heavy energy users compared with other rural owners to apply to AEA's Commercial Building Energy communities. Energy efficiency audits and upgrades Audit(CBEA) program and follow through on the would especially benefit commercial users,who do most cost-effective recommendations. Even if not get the benefit of the PCE subsidy. programs only cover audit costs, EE&C paybacks are generally short enough the most cost-effective upgrades worth doing rather than waiting for potential future funding. Resources:State: CBEA(commercial enterprises), Costs:An investment of$6 to 7 per square foot is Alaska DEED Capital Improvements Program typically needed to achieve a 30%energy savings on (schools).Alaska DCCED Alternative Energy and non-residential buildings,resulting in payback periods Conservation Revolving Loan Fund (public and of 5-6 years(15).Savings: Expect 10-15%annual commercial facilities).AHFC Alaska Energy Efficiency savings on public facilities EE&C improvements from Revolving Loan Program (public facilities).Federal: making only behavioral changes, 15-25%savings if USDA RD Rural Energy for America Guaranteed Loan making all the most cost-effective changes,and 25- Program(small business),Federal Tax Deduction for 35%savings if all recommended energy Commercial Buildings. DOE-IE START Alaska,other improvements are completed. Tribal energy programs. Issue:Akhiok has replaced 5 or its street lights with Opportunity: If Akhiok has more outdoor lighting that energy efficiency LEDs.It is not known if the uses older, less-efficient technologies (e.g.high or community has additional public outdoor lighting that low pressure sodium or mercury vapor lamps),seek could be upgraded for additional savings. funding to replace with LED lamps. Information Insights Community Profiles 112 Page 119 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Akhiok ENERGY EFFICIENCY AND CONSERVATION • Resources:See Project Financing section in Volume I Costs:Estimated at$1,000 per bulb in capital costs. for programs that include energy efficiency. $60/bulb in annual electrical usage.Savings: Not known. Issue:Sanitation systems are one of the single largest Opportunity: Depending on"out of the box" energy uses in rural communities,accounting for 10% efficiency of new modular plant,assess need for to 38%of community energy use,depending on energy efficiency improvements. system type and climate zone.Akhiok is in the process of installing a new modular water treatment plant that it hopes will cut down on electricity use. Resources:Tribal:ANTHC.Federal: EDA Costs:Not known.Savings of$10,000 per year have been achieved in arctic communities.Savings may be lower in Kodiak region due to milder climate. FOSSIL FUELS _. Low Potential–Coal,oil and gas are not known to occur in large quantities in the Kodiak region.Coal beds on Kodiak Island are believed to be thin and likely not an economic resource.The geology also makes it unlikely that commercial quantities of conventional or unconventional oil and gas resources will be discovered.(16) GEOTHERMAL . Low Potential–There are no known geothermal resources in Kodiak region(16).Ground source heat pumps have high capital costs and are typically economic only where heating costs are high and electric rates are low. I HYDROELECTRIC i Z. RS l l r Q'•°•• Medium Potential—No hydropower screening � i� f I�1 k�5i Il T . \ ,� studies have been done since the early 1980s for �.�o �=r` Akhiok.The most promisingresource in early1 a.--� I f i Sukhor • tom illerl screening was a run-of-river project 2-miles west of ! e>, Lagoon '� �I ✓ y Akhiok on Kempff Bay Creek.With no storage,output ase o"� 'c �i'y � was estimated at 474 to 710 MWh annuallyh No'– // s depending on water levels. Installed capacity was �> t ' �>. - r e cn'a�l%``� ea •t kaa r�ui estimated at 137 kW.Environmental concerns \� t vo ? 7' Akhiok I include salmon spawning and brown bears in the ;.�,la i 7- M,G oAknmk Reef AO. , drainage area.(17)(18) Rnnmr-„>h� 1- TwM`•tt''; �4 Issue:A hydro project has the potential to meet Opportunity:If community interest exists,a new nearly all of Akhiok's needs,with diesel used for only hydro reconnaissance study is needed to estimate for backup.However,the most recent hydroelectric costs and benefits at current prices and loads. studies on file for Akhiok are from the 1980s when hydro was found to be less economic than diesel generation at then current oil prices. Issue:While hydropower has high capital costs Opportunity:Apply for an RE Fund grant to review all compared with other renewable resources, project renewable energy options including wind and hydro. lifespans can be 50 to 100 years with 0&M costs similar or lower than diesel.Hydro power is easier to integrate with small diesel loads than wind energy. Information Insights Community Profiles 113 Page 120 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Akhiok HYDROELECTRIC - Resources:State:AEA Hydroelectric program, Costs:$75,000 hydropower pre-feasibility study or Renewable Energy Fund, Power Project Loans, $125,000 for broader RE screening study. Community Development Block Grants. Federal: Economic Development Administration grants,USDA Rural Development grants, Indian Development Block Grants.Private:Partnering with a for-profit entity to take advantage of new market tax credits. SOLAR Medium Potential—Solar does not offer a utility-scale solution in Alaska, but solar PV and solar thermal projects can provide relief for individual homes and facilities,especially those off the grid or that have high summer electric usage. Kodiak receives an average of 3 to 3.5 kWh/m'/day of solar radiation annually,with most coming in April to August.A 4 kW fixed-tilt solar PV array on a building in Kodiak can produce 3,373 kWh of AC power per year if the solar panels are kept free of snow.At Akhiok's non-PCE rate of$0.45/kWh,that is the equivalent of$1,518 of power purchased from the utility. Issue: If more households or businesses meet some Opportunity:Using solar technologies to reduce of their electrical needs through self-generation,the space and hot water heating costs may be more challenges of integrating new utility-scale renewable economical than using solar energy to generate resources into a small load intensify. electricity and will not reduce the utility's electric load.However,these systems are significantly more complex to set up and maintain than PV arrays and so having trained and knowledgeable operators is important. Resources:Federal:NREL(funding,technical Costs:Capital costs:$3 to$10 per watt depending on support),PVWatts Viewer(calculates potential solar who does the installation,making the installed cost of energy production and cost), EPA IGAP, DOE-IE Tribal a 4kW system$12,000 to$40,000.Costs for a system energy programs.Other:Alaskasun.org(information, off the grid need to include the cost of battery contractors and supplies) storage.Savings: Not known. TRANSPORTATION INFRASTRUCTURE Medium Potential—Akhiok has the highest heating fuel cost in the region,contributing significantly to high energy bills for residents and businesses.The transportation component of fuel costs can be reduced by investing in marine infrastructure that allows fuel delivered by barge to be off-loaded safely and efficiently.A deep water dock,a road to the cannery at Alitak,and additional fuel storage in Akhiok have all been named as local priorities with the potential to lower fuel storage and transportation costs.(19). Issues:There is no deep water dock or harbor in Opportunities:A dock that can accommodate barges Akhiok,and no regular barge or other water freight would result in increased competition from fuel service. Fuel for electric generation is brought in by vendors and lower delivery costs.A study to assess landing craft increasing the costs and risks of fuel the technical and economic feasibility of a project delivery.Once at the landing,fuel must be and update any past cost figures is the next step. If transported 2 miles to the tank farm. Fuel for home feasible,a permanent dock for Akhiok should be heating is purchased by the barrel from the cannery prioritized in regional transportation plans. at Alitak at considerable expense.A permanent dock has been proposed in several past community and regional plans. Information Insights Community Profiles 114 Page 121 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Akhiok Issues:At$7 per gallon, heating fuel costs are 21% Opportunities: By contrast,fuel purchased by the city higher than average for rural communities in the and stored at the tank farm for utility use has region. Heating fuel is purchased by residents and recently been purchased at$3.74 per gallon. If the others in 55 gallon drums from Ocean Beauty in city were able to buy and store heating fuel for local Alitak. distribution,it would create local job(s) in fuel distribution and lower the high cost of space heating for residents.The city currently uses all of its storage capacity to meet utility needs.Additional storage would be needed to accommodate heating oil.A feasibility study could estimate costs and benefits. Issues:Air transportation to and from Akhiok is Opportunities:Expansion of the runway to frequently unavailable for extended periods of time accommodate larger aircraft would lower due to severe weather.The length of the runway transportation costs for passenger and freight.The (3,120 ft.)limits the size of planes that can use the community has identified the need for runway airstrip,and the lack of Instrument Flight Rules(IFR) improvements, including upgrading to IFR,as a increases the frequency of weather delays and priority in past planning documents. closures. _ Resources:State:Alaska DOT&PF STIP,DCCED Costs:$550,000 for feasibility and design costs(based Designated Legislative Grants. Federal: Denali on Larsen Bay's proposed dock study).Savings: It is Commission,EDA.Regional: Kodiak Island Borough, difficult to estimate the savings on bulk fuel costs SWAMC. since fuel prices fluctuate daily on the world market and vendors'cost data is proprietary. Wind Unknown—Wind is one of three renewable resources recommended for reducing fossil fuel dependence in Akhiok in the 2010 Alaska Energy Pathway plan,and it has been mentioned as a community priority.A wind metering study has not been completed, but wind models indicate a variable wind resource of class 2 to 6. Issue:There is no wind metering data on file with Opportunity:AEA's Anemometer Loan Program AEA's Wind Energy program.Past modeling indicates supplies meteorological towers, data logging a variable class 4 resource,with class 2 winds at the equipment,and technical support to utilities and airstrip and class 6 on the hill west of town. communities interested in wind power.A year's worth of data must be collected before a site and system can be recommended. Issue:As in other small communities,a wind project Opportunity:A battery storage system is is challenged by small diesel electric loads.Adding a recommended to integrate wind into a diesel system significant amount of wind power to a diesel system with a small load.Statewide there is also interest in with average loads of 25 kW will reduce diesel using wind output for heating,which is more tolerant performance and fuel efficiency to low levels. of power swings and easier to store."Wind to heat" can also have challenging economics though,so feasibility work is needed. Issue:Akhiok's John Deere 4045 generators are not Opportunity: If the community decides to move modifiable for electronic fuel injection,which is forward with a project after completing a wind study, needed for wind integration. improvements to the diesel system will need to be designed based on the results of the wind resource study and analysis of hourly electrical load data. Information Insights Community Profiles I 15 Page 122 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan l Phase I,Vol.11 Akhiok Issue: From both an operations and a financing Opportunity:Diesel efficiency recommendations and perspective,wind energy makes the most sense to safety upgrades to the power plant and distribution integrate when the rest of the power generation and system should be made before implementing wind distribution system is in good condition and operating energy in Akhiok.The community's recent reentry to efficiently. Funders want to see that the diesel power the PCE program with its reporting requirements is a plant is well run before funding new renewable positive development. Because of the complexity of generation projects. operating a wind-diesel system,especially with small loads,AEA recommends singing a wind O&M contract with an experienced wind energy contractor. Resources:State:AEA Anemometer Loan Program, Costs:Feasibility study:$70,000. Renewable Energy Fund, Power Project Loans, Community Development Block Grants. Federal: Economic Development Administration grants, USDA Rural Development grants, Indian Development Block Grants.Private: Partnering with a for-profit entity to take advantage of new market tax credits. Information Insights Community Profiles 116 Page 123 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Akhiok Community and Regional Plans Year Report Title(Author) Community-specific,Energy-related Recommendations 2013 Kodiak Rural Regional 1. Feasibility study for alternative energy to replace expensive Comprehensive Economic diesel generation. Development Strategy 2.New water treatment system,holding tanks and distribution (Kodiak Area Native lines; system using alternative energy Association) 3.Expansion of to accommodate larger aircraft. Needs IFR and portable lighting for use during emergency evacuations. 2009 Kodiak Island Borough 1. Install wind-metering tower to determine wind potential. Regional Energy Plan 2. Funding for a bigger more efficient generator. (Kodiak Island Borough 3. Possible studies on hydro-tidal energy sources. Community Development Department) 2008 Kodiak Island Borough 1. Explore options for alternative energy to offset the high cost of Comprehensive Plan Update fuel.These could include wind,hydro,and solar power. (Kodiak Island Borough) 2003 Kodiak Region 1.Permanent dock facility. Update to Comprehensive Economic 2. Electric power system upgrade. 2001 Development Strategy- Revised(Kodiak Chamber of Commerce) 2002 Akhiok Community Plan Need copy to review Update 1986 Akhiok Comprehensive Plan 1.Construction of a permanent dock facility. and CIP(Kodiak Island 2.Purchase a 100 kW generator to replace the 55 kW unit. Borough Community 3. Build a road from Akhiok to the cannery to allow for safer Development Department) transportation of fuel between the city and cannery. 1983/1981 Reconnaissance Study of 1.Continue central diesel generation to meet village and new Energy Requirements and school loads. Alternatives for Akhiok,King 2.Some community preference for a Kempff Bay Creek hydro cover, Larsen Bay,Old plant. Harbor, Ouzinkie,Sand 3.Study feasibility of heat recovery at power plant and school. Point(CH2M Hill) 1980 Regional Inventory and Three sites analyzed for hydropower potential.Best site appears Reconnaissance Study for to be the one at Kempff Bay Creek(though unnamed in study) Small Hydropower Projects with annual stream flow estimated at 9.7 cfs; net head 185 ft.; (Department of the Army, and potential capacity from 200 kW with two 100 kW turbines. Alaska District,Corps of Engineers) Information Insights Community Profiles 117 Page 124 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Akhiok STAKEHOLDER OUTREACH:'APRIL LEADERSHIP FORUM — 11 AKHIOK RESPONDENTS What do you think has the greatest potential to lower your community's energy costs? 42% -Wind 130% Solar 110.5% Hydro 1 6% Port/Dock Facilities 10.5% Energy Efficiency j 0% Transmission Lines i 10.5% Biomass _ ___.-_ 1 0% __Heat Pumps ` ^10.5% Diesel Efficiency I What is most important to your community in terms of energy planning? 27% More reliable energy ! 18% Community sustainability 27% Saving money ' 0% Price stability -: 27% Saving energy Has a heat recovery system been installed in your community's diesel powerhouse? 0%Yes 160%No 1 40%Dont Know What do you think is the biggest barrier to more participation in residential EE&programs in your community? 70% Lack of information i 0% Need to pay upfront and wait for reimbursement 30% Other _ _ 10% Hard to find auditors Do you think we should look at an in-region approach to promoting EE&C? 70%Yes 1 20%No 110%Don't Know I Should our Regional Energy Plan include goals for energy efficiency? 80%Yes - -_ 20%No Z0%Don't Know If you could only invest in one project,which would you favor? 44% Long-term project(20 year development)that reduced energy costs significantly - — 56% Near-term project with more modest savings that could be built in 3-5 years ' Do you think there is enough wood biomass near your community to help with space heating needs? 70% Probably enough if managed wisely ! 0% Not enough 30% Don't know ' 0% More than enough If there is not enough biomass for everyone,how should the resource be managed? 50% Home heating should always come first 25% Priority should be given to uses that benefit the whole community 12.5% Some used to lower heating costs for community buildings 12.5% Other/No opinion Should strategies to encourage local food production be included as part of an energy plan? SOY YesT 10%No 1 10%Dont Know When considering limited public funding,how should the state prioritize projects? 37.5% Community sustainability criteria 25% Balance state funding efficiency with community benefits '25% Projects that can't be privately financed 12.5% State funding efficiency Information Insights Community Profiles 118 Page 125 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Akhiok _ I STAKEHOLDER OUTREACH:GOALS FROM 2009 KIB REGIONAL ENERGY PLAN-11 AKHIOK �^� I iRESPONDENTS _ ___ Study feasibility of passive and active solar residential hot water heating Has there been Progress in Your Community? Is this Still a Goal? Substantial Mostly I have no Don't No Action Initial Steps Progress Complete idea Yes No Know 10% 30% 20% 20% 20% I 100% I 0% 0% Assess need for upgrades to rural electrical grids(transmission/distribution lines,transformers) Has there been Progress in Your Community? Is this Still a Goal? Substantial Mostly I have no Don't No Action Initial Steps Progress Complete idea Yes No Know 30% 10% 0% 10% 50% I 90% I 0% 10% Upgrade building heating systems for energy efficiency and cost savings Has there been Progress in Your Community? '.. Is this Still a Goal? Substantial Mostly I have no ' Don't No Action Initial Steps Progress Complete idea Yes No Know 11% 44% 0% 0% 44% I 86% I 0% 14% Install Met towers in communities to assess feasibility for wind power generation Has there been Progress in Your Community? Is this Still a Goal? Substantial Mostly I have no Don't No Action Initial Steps Progress Complete idea Yes No Know 60% 10% 0% 0% 30% 78% I 0% 22% Encourage energy conservation(through energy efficient lighting and energy saving devices and behaviors) Has there been Progress in Your Community? Is this Still a Goal? Substantial Mostly I have no Don't No Action Initial Steps Progress Complete idea Yes No Know 12% 25% 25% 12% 25% I. 75% I 0% 25% Assess need for active recycling program and designated recycling building in each community Has there been Progress in Your Community? Is this Still a Goal? Substantial Mostly I have no Don't No Action Initial Steps Progress Complete idea Yes No Know 40% 30% 10% 0% 20% 60% I 20% 20% Work with KIHA and utilities to do energy rating on all homes Has there been Progress in Your Community? Is this Still a Goal? • Substantial Mostly I have no i Don't No Action Initial Steps Progress Complete idea Yes No Know 22% 33% 11% 0% 33% I 57% I 14% 29% Information Insights Community Profiles 119 Page 126 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Akhiok ISTAKEHOLDER OUTREACH: GOALS FROM 2009 KIB REGIONAL ENERGY PLAN-11 AKHIOK RESPONDENTS Assess heat recovery potential in diesel-fired power plants • Has there been Progress in Your Community? Is this Still a Goal? Substantial Mostly I have no Don't No Action Initial Steps Progress Complete idea Yes No Know 56% 22% 0% 0% 22% 50% I 30% 20% Assess potential to increase power generation from existing hydro facilities Has there been Progress in Your Community? I Is this Still a Goal? Substantial Mostly I have no i Don't No Action Initial Steps Progress Complete idea Yes No Know 33% 0% 0% 0% 67% M' 33% I 50% 17% Institute"Cash for Clunkers"style program for older appliances(refrigerators,dryers,etc.) Has there been Progress in Your Community? Is this Still a Goal? Substantial Mostly I have no Don't No Action Initial Steps Progress Complete idea Yes No Know 20% 20% 10% 0% 50% I 22% I 11% 67% Study feasibility of low-head hydro Has there been Progress in Your Community? Is this Still a Goal? Substantial Mostly I have no Don't No Action Initial Steps Progress Complete idea Yes No Know 60% 0% 0% 0% 40% I 22% I 44% 33% Study feasibility of emerging technologies for harnessing tidal and wave energy Has there been Progress in Your Community? i Is this Still a Goal? Substantial Mostly I have no I Don't No Action Initial Steps Progress Complete idea I Yes No Know 25% 0% 0% 0% 75% 1 22% I 33% 44% What are the top three priorities from 2009 energy goals? 24% Met Towers for Wind 7% Community Recycling __ 23% Energy Conservation 4% Home Energy Audits 15% Building Heating 4% Cash for Clunkers 10% Ocean/Tidal Energy 4% Solar Hot Water 8% Grid Upgrade Needs 0% Low-head Hydro Information Insights Community Profiles 120 Page 127 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Karluk KARLUK I Community Map r ygr x eJgt` :- is KARLUK i a4 0 ere4 VtS,Ltii SR.VVIOJmEJgwanhgle R.FAR 9 2 xf ea2t,SplYa.e.kNa(- { �) V% l t:,...,;,,,, [/5 JJ 62 N S 26 36 i (SAO B2) µ, u �!ApEI el -'9 Inls2k Blk8 �� ,`f$ nE µ . } 'KODIAK RECORDING DISTRICT :—'—' —'''' -----". -.7 .1.-7. "� J, 't 4LLEVELR 1s ' t"' ;.fi jr ' su ,., © C, o Rang ep ® nexnco.l p D fis) gun ..-. ti e i'y L. � vY-n�I_ e g" i G � f1 ' .4011411 . rw • y t , i �� ^•'v 5"9 4 1 ,5 e. kk?1y �� $ i u4E t �i Ci :rte iffir a I R ,' t"`tp is ',�k " `.a" } %� rte m-�c • ''x �- Isra wpY v a ks._-c-i a C.r.,, iN g y .• t '#' ,%a ' j # '.: :9 A:�" i s L . Tt'1 i ff I ..fi t 4 -7`. aa `L.a Community Vision Respect the customs of our Alutiiq culture and empower our community with our rich traditions to sustain our village into the future. Community Energy Water and Sewer Plant upgrades Alaska Energy Pathway Priorities' Wind Energy Feasibility Wind-Wood Street Lighting Upgrades Local Stakeholders Karluk IRA Council(federally recognized tribe) Groups Alutiiq Power&Fuel Company(utility,bulk fuel sales,landfill operator) Energy Champions' Tribal Council,Joyce Jones(Utility manager),Plant operators Sources:(20)(2)(21).Notes: 1/Unranked.Based on early input.Additional input to be gathered in Phase II. Information Insights Community Profiles 121 Page 128 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Karluk TOTAL ENERGY USE Electrical Generation Diesel: 264 MWh Sold:240 MWh Line Loss:7.8% Renewable:0 Powerhouse: 1.1% Community Load Average: 19 kW Electric Customers Residential: 14 Peak:41 kW Community Facilities: (4) 2 _ Other(Non-PCE): 14 Annual Fuel Use Electric: 23,759 gals. Space Heating: Transportation: 14,226 gals(4) 3,805 gals(4) Fuel Price Electric:$4.37/gal. Heating:$4.92/gal of Transportation: (FY2013) #1 Oil(Jan. 2014)(5) NA Average Monthly -- N Retail Heating Fuel Price per Gallon Household Energy Bills u -.-#1 Oil -0-#2 Oil + #1 Region Avg. :r #1 Rural Avg To in Heating 0 Electric ri $7.00 - --- ---- ----- ------ $574 m $6.00 --_. o $478 $470 $5.00 $327 - . y: . $4.00 c $359 $351. $3.00A X L '�`*' $2.00 iii rte_ $loo Karluk Rural Region $0.00 r- r -r-- r -- - , Average Average 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Karluk Electric Rate FY13 c � 3 35 i ra `r 30 ------------------------------------------------------29.3 . 0 Residential Base Rate 7- a PCE Rate(1st 500 kWh) w c co 25 _ AI OM t.D I f us f, 15 - Tri � W Karluk Rural Region o g 0 0 0 o g' O -`'. `J Average Average 00 ! oN 0 0 0 0 0 0 0 Sources(except as noted):(7) Information Insights Community Profiles 122 Page 129 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Karluk ELECTRIC GENERATION Utility Alutiiq Power and Fuel Company PCE(level) Active($0.47/kWh) RPSU Upgrade Completed Diesel G1:70 kW Renewable Capacity None Capacity 62:70 kW Diesel 61:John Deer 4045-Fair Load Sizing Properly sized Generators G2:John Deer 4045-Fair Load Imbalance 10-25% Diesel 11.1 kWh/gallon Switchgear Semi-automatic synchronizing Efficiency switchgear Residential Effective:$0.25/kWh(1"500 Cost per kWh Sold Fuel: $0.43;Non-Fuel:$0.19 Rate kWh).Base:$0.72/kWh Total cost:$0.62 Operator Acceptable: Meter reading, logs, Heat Recovery No(An older report lists system as Proficiency routine&scheduled installed but not operational, but maintenance. Unacceptable: this has not been verified.) Maintenance planning Known Airport feeder grounded out, unknown location.7200V step up behind power plant.Outage Issues causes:lift pump failures;overload during school(8).Old home wiring,street lights may contribute to line loss.Three houses on electric heat may contribute to load imbalance(21). Generation o 5.80 Average Fuel Price Paid Costs by Electric Utilities FY13 5.70 f Per Gallon 5.60 $4.37 $4.29 a 5.50 -__ $4.16 $A0 $.30 —Generation Costs 5.20 —Residential Base Rate 5.10 $.00 . Karluk Rural Region -- 2009 2010 2011 2012 2013 Average Average Electric Karluk Electric Sales,FY2013(KWh) Average Annual Electric Use Sales by by Customer Type(kWh) Customer 20,000 -- ------- Type { 109' 32 y � 2,986 - -- . r X45"/ '"'1' 4- €'x-2+ . 1% 15,000 - "-..._ 17,9287 . 10,000 8% 112,631 — 46% 5,00o — o Residential ■Public Facility - -- 0 Commercial/Govt. ■Utility Use Karluk Rural Average Sources(except as noted):(7)(8) Information Insights Community Profiles 123 Page 130 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Karluk ENERGY EFFICIENCY AND CONSERVATION • Residential Occupied Housing Type, Average Home Avg.HH Size/ Median HH Energy Cost as a Housing Units including Vacant Size(est.)' Overcrowding Income %of Income 16 27 Single Family 1,056 sf 1.8/No $37,083 19% Age of Housing Stock I Estimate Annual Average Annual 22 Energy Use per Home Home Energy Bill 129 MMBTU $6,894 Older homes are typically less energy- 3 efficient than newer homes, due to , 1 1 --- 1-1 ----, -r--- improvements in building technology and Earlier 1940s 1950s 1960s 1970s 1980s 1990s 2000s 2010s energy efficiency over time. Additional Percent of Energy Efficient Housing Stock Annual Home Annual Home Residential Energy Savings Energy Savings EE&C Work ;— a New/BEES-certified Achieved Opportunity Remainingr,s ®Home Energy Rebates 190 MMBTU 200 MMBTU 50% $7'n r 8 : o Weatherized Homes 1,364 gals. 1,438 gals. :." o'v 50% S0% ■Not Retrofitted $6,709 $7,076 Assumptions:Average energy savings for region based e 2 on 2008-13 ARIS data (35%HER, 18%AHFC weatherization projects). Retail fuel cost: $4.92/gal. ' Non-residential No.of Public/ Est.Annual Commercial Types of Energy Use per Buildings EE&C Measures EE&C Savings Buildings' Buildings Building' Audited Identified Achieved 16 See Appendix B 1,178 MMBTU None Reported NA $0 LED Street Street Lighting Estimated Cost LED Street Street Light Street Lighting Lighting Remaining of LED Street Lighting Annual Number Type Upgrade Opportunity Light Retrofit° Energy Savings° Not Known Not Known No 100% $5,000 to 4,800 to 7,500 $18,000 total or kWh/$1,400 to $1,000 per light $2,200 — Water&Sewer Estimated Estimated Cost Estimated System Type/ Annual Water Sanitation of Water& Annual Water& No.of Homes Water and &Sewer System Energy Sewer EE&C Sewer Energy Served Sewer Rates Energy Use' Audit Performed Upgrades Savings' Piped Residential: 164 MMBTU No Not Known 16 MMBTU 16 Homes $25/mo.Other: 983 gals. 171 gals. $100/mo. 8,072 kWh 807 kWh $842 Sources:(9)(101.Notes: 1/Calculated based on Energy End-Use Study data(11).2/Based on number of electric rate payers.3/Calculated based on Energy End-Use Study and 2013 Alaska Housing Assessment data(11)(12).4/Based on ARIS data for communities of 50 to 100 people.5/Assumes 10%savings on fuel and electric. Information Insights Community Profiles 124 Page 131 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Karluk DIESEL EFFICIENCY AND HEAT RECOVERY Annual Savings Est.Annual from a Diesel Heat Recovery Buildings Additional Heat Estimated Cost Savings from Efficiency of Installed at Heated with Recovery of Water Jacket Water Jacket 13.0 kWh/gal.' Power Plant Waste Heat Opportunity Heat Recovery Heat Recovery 3,468 gals. No 0 Pumphouse? Capital cost: 337 MMBTU2 $15,156 $200,000 or and up lO to 20% • BULK FUEL • Capacity Utility:40,000-50,000 gals. Fuel Purchase Karluk participates in the School: NA (22) Bulk Fuel Revolving Loan Program. #1 Oil:22,500 gals. #2 Oil:22,500 gals. Bulk Fuel Completed 2004 Vendors Petro Star(City of Kodiak) Upgrade — By Barge I Fuel is delivered by barge.There are no docking or mooring facilities,and cargo must be offloaded using landing craft.A dock is being reportedly being planned(Need to confirm.) (13) By Air In 2011,the village suffered a fuel shortage and had to fly drums of fuel in daily at a high cost due to the 2,400 ft. runway which cannot accommodate fuel cargo planes. (23). Local Delivery Fuel is delivered to residents by barge and truck.Gas is shipped in and stored in barrels (23). Sources:(21)(22).Notes:1/Based on FY2013 PCE data(7).2/2010 Alaska Energy Pathway estimate has not been updated or verified(4). Information Insights Community Profiles 125 Page 132 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Karluk ENERGY PLANNING BIOMASS .. .. -..- .... �. Low Potential-Lack of woody biomass; no sawmills,class I landfills(for solid waste)or fish processors. • DIESEL EFFICIENCY AND HEAT RECOVERY High Potential-Diesel currently is used to generate 100%of Karluk's electricity,but 60%of energy is lost to heat even in the most efficient diesel generators.Measures that improve diesel efficiency and implement heat recovery provide the opportunity for significant fuel savings that will lower the cost of diesel generation. Funders also want to see that diesel systems are well maintained and operating efficiently before funding new renewable generation projects. Issue: Karluk's power plant has a diesel efficiency of Opportunity:Replacing one or more engines will 11.1 kWh/gallon—slightly lower than average for the provide better reliability and efficiency.Work region.The John Deere 4045 gensets with cooled EGR with AEA powerhouse program staff to design a and variable geometry turbochargers have not system that improves reliability while proven reliable in many rural applications.Katolite accommodating future renewable integration plans. generators are also not set up for wind integration. Analyze pros and cons of increasing distribution voltage to 2400V(14). Issue: Gensets are less efficient when run at low Opportunity:A battery storage system is capacity. Karluk is running at 43%of load on average. recommended to mitigate some of the issues with Integrating wind would increase the challenges of integrate wind into a diesel system with a very small operating gensets with small loads, reducing fuel load(24). efficiency. Issue:Operator proficiency and system maintenance Opportunity:Improve maintenance planning. Provide are very important to diesel efficiency. In the 2012 all operators with additional training to increase RPSU study,operator proficiency was rated as proficiency to Good or Excellent levels.There is no Acceptable in all areas except Maintenance Planning, cost for instruction, lodging and per diem for the 2-4 which was rated unacceptable(8). week course.The community is responsible for travel and must have an alternate power plant operator in the interim. Issue:According to past reports,a heat recovery Opportunity:Analyze the feasibility of implementing system was installed but never made operational. water jacket heat recovery at the power plant.Heat Heat recovery was included in Karluk's Round 6&7 recovery can recover 10-20%of the energy in diesel RE Fund application,but the project was not funded fuel and provide another source of revenue for the primarily due to questions about the wind energy utility.While the small electric load will limit the portion of the application.The REF grant application amount of heat available,a heat loop from the power proposed generating up to 270 MBH (0.27 plant could provide 337 MMBTU to nearby MMBTU/hour)of recovered heat from both gen-sets community buildings,according to one analysis(4). to heat the school,tribal council office,city hall,and lodge in a 1,000 ft. hydronic heating loop. Resources:State:AEA Powerhouse and Electrical Costs:Heat Recovery:$200,000 and up.AVTEC Distribution Upgrades Program, RPSU program, training:Travel costs to Anchorage.Savings: Circuit Rider program,Power Plant Operator Training. Improving diesel efficiency by 10%(to 12.2 kWh/gal.) Federal: Denali Commission Training Fund. would save almost 2,200 gallons of fuel and$9,419 in avoided fuel costs per year. Information Insights Community Profiles 126 Page 133 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Karluk EMERGING TECHNOLOGIES Unknown—Significant tidal or ocean power resources have not been identified in southern portions of Shelikof Strait, but research and demonstration projects in these and other emerging energy technologies, such as heat pumps, low-power HVDC transmission,and flywheel energy storage systems,should be monitored to assess their potential for providing local energy solutions. ENERGY EFFICIENCY AND CONSERVATION High Potential—The cheapest kilowatt or gallon of fuel is the one you don't have to buy.There is high potential to save on space heating costs and lower electric bills by actively promoting additional residential and commercial EE&C and by having public buildings and facilities(street lights and water/sewer system) audited to identify potential savings. Issue:The community's housing stock almost all Opportunity:Encourage any remaining residents who dates from the 1970s. Housing of that era in the are income-eligible to weatherize through AHFC's or region typically is 2-star-plus,with energy costs that KIHA's programs. (Owner-occupied homes already are 40-50%higher than a 4-star-plus or 5-star home weatherized with NAHASDA funding may be able to built since 2000.About 50%of homes in Karluk have achieve additional savings through AHFC's Home been weatherized with AHFC or NAHASDA funds. Energy Rebate program,which typically achieves higher savings rates.) Issue: No Karluk residents have participated in AHFC's Opportunity:AHEC's Roving Energy Rater Home Energy Rebate program,which provides higher Program will send a home energy rater to a small energy savings(35%) per home compared with community if there 3 homeowners sign up for an weatherization programs in the region(18%savings) audit.A community can increase HER participation and has no income limits,but requires the house to rates by actively promoting the program and be owner occupied.Almost all savings are in heating, encouraging residents to sign up or helping them to so increased participation will not reduce electrical do so. KANA has applied for an EDA grant to help loads, coordinate and promote EE&C in the region. Resources:State:AFHC Home Energy Rebate, Costs:State/federal:Weatherization:$30,000 per Weatherization,and Roving Energy Rater programs. home in rural Alaska(including transportation, Federal:U.S. HUD NAHASDA Grants through KIHA. logistics,overhead and health and safety measures). Regional:EE&C Coordination through KANA(pending Home Energy Rebate:$4,800(average homeowner successful EDA grant application) rebate).Local/regional:Outreach and coordination costs(not known). Annual Savings:200 MMBTU community-wide if all homes not already retrofitted are weatherized.Annual fuel savings are 1,438 gallons and$7,076 in avoided fuel cost per year. Issue: Residential electrical use per customer is Opportunity: Focus on lowering residential electrical highest in region,while public and commercial consumption through education to promote building use per customer is lowest in the region.The conservation behaviors and/or the installation of TED community has a high base electricity rate,and Smart meters in households so residential customers people are going over the monthly 500 kWh PCE limit know when they exceed 500kW.Train local youth to in winter. provide education and technical support. Resources:Rural CAP: Energy Wise.REAP: Costs:Energy Wise:$2,000 per home(requires AKEnergySmart Curriculum.AEA Energy Hog school private partnership).TED meters:Not known. visits. AKEnergySmart Curriculum is free. Cost for training teachers is not known. Information Insights Community Profiles 127 Page 134 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Karluk ENERGY EFFICIENCY AND CONSERVATION. ' Issue:There is no record of commercial or Opportunity:Apply for a whole village energy retrofit community energy audits or energy efficiency to audit and upgrade community facilities and upgrades having been performed,yet there are many infrastructure. Encourage local business owners to state and federal programs to help finance audits apply to AEA's Commercial Building Energy Audit and/or energy efficiency improvements. More than (CBEA) program and follow through on the most cost- half of electric sales are for commercial and public effective recommendations. Even if programs only facility customers,who do not get the benefit of the cover audit costs, EE&C paybacks are generally short PCE subsidy. enough the most cost-effective upgrades worth doing rather than waiting for potential future funding. Issue: Not all public outdoor lighting is working and Opportunity:Rather than repairing existing lights, wiring issues may be contributing to system line consider replacing all outdoor lights with energy losses.Repairs to existing lights are needed. efficient LED lights. Resources:State:CBEA(commercial enterprises), Costs:An investment of$6 to 7 per square foot is Alaska DEED Capital Improvements Program typically needed to achieve a 30%energy savings, (schools).Alaska DCCED Alternative Energy and resulting in payback periods of 5-6 years(15). Conservation Revolving Loan Fund (public and Savings:Expect 10-15%annual savings on public commercial facilities).AHFC Alaska Energy Efficiency facilities EE&C improvements from making only Revolving Loan Program (public facilities).Federal: behavioral changes, 15-25%savings if making all the USDA RD Rural Energy for America Guaranteed Loan most cost-effective changes,and 25-35%savings if all Program(small business),Federal Tax Deduction for recommended energy improvements are completed. Commercial Buildings.DOE-IE START Alaska,other Street Lighting:Estimate$1,000 per light. Tribal energy programs. Communities with populations of 50 to 100 have achieved annual savings of$2,200(6,150 kWh)with a investments ranging from$5,000 to$18,000 and average payback of 7 years(25). Issue:Sanitation systems are one of the single largest Opportunity:Assess feasibility of including energy energy uses in rural communities,accounting for 10% efficiency improvements and possibly heat recovery to 38%of community energy use, depending on into the system upgrades.The pumphouse is two system type and climate zone. Karluk's system is very buildings away and is currently heated with electricity old.Replacing it is a top priority for the community. (21). Resources:Tribal:ANTHC.Federal: EDA Costs: Not known.Savings of$10,000 per year have been achieved in arctic communities.Savings may be lower in Kodiak region due to milder climate. FOSSIL FUELS Low Potential—Coal,oil and gas are not known to occur in large quantities in the Kodiak region.Coal beds on Kodiak Island are believed to be thin and likely not an economic resource.The geology also makes it unlikely that commercial quantities of conventional or unconventional oil and gas resources will be discovered.(16) • GEOTHERMAL Low Potential—There are no known geothermal resources in Kodiak region(16).Ground source heat pumps have high capital costs and are typically economic only where heating costs are high and electric rates are low. Information Insights Community Profiles 128 Page 135 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Karluk HYDROELECTRIC Unknown—Three lowhead sites were identified in a 1980 hydropower screening study,with average annual streamflows of 15.4 cfs(site 1),7.1 cfs(site 2),and 4.1 cfs(site 3),with net heads of 250 ft.,240 ft.,and 405 ft.,respectively. Potential capacity was rated at 420 kW, 190 kw,and 180 kW respectively.Because of the small electric load in Karluk,the cost per kWh for ail sites was higher than diesel generation costs at the time. L Environmental concerns include salmon migration in all streams with hydropower potential.(18) eef _ LEGEND'. Rocky -.---74,-;\;---,---, ` �\ �% __ DAM i . t b4."'z�Q PENSTOCK / 60 ,./1 r biH j�-7 TRANSMISSION LINE Light . � ) • POWERHOUSE ape Uy '•..:i�- �l*�, /JJJ 1crK 1/ 21 SCALE:�'� �'- / / H j , J11�545,� i ce., lyff7 (_ 1.5";r �N6 ,� y Q 1 c _ =" = ao,.....,_.. _.,. ...., 2 tc,%if ,ye .,- ,, , ,,,,._, , ,,L,:.,„„„„i± ,,,,,,„; . q„... „._:--,K., ''5,7,2 i/ 1(-' 1 c A . '(.:---t ' '.:"± C i/ i o,)jL so \9Hri", !,,W ( /403,Q\--„,!! L,.i o a. e I& "s!7J'; .yam o °/, .i iv s- :f1/ ��"� 4- "t%" •` 078.... v• L r1 O20_ A • ��I. (it° ? E\I I1 T° Issue:The most recent hydroelectric studies on file Opportunity:If community interest exists,a new for Karluk are from the 1980s. hydro reconnaissance study is needed to estimate costs and benefits at current prices and loads. Issue:While hydro projects are often more expensive Opportunity:Apply for an RE Fund grantor other to develop, project lifespans are longer than other funding to review all renewable energy options renewable energy projects. Hydro power is also including wind and hydro. easier to integrate with small diesel loads than wind energy. _ Resources:State:AEA Hydroelectric program, Costs:$75,000 hydropower pre-feasibility study or Renewable Energy Fund,Power Project Loans, $125,000 for broader RE screening study. Community Development Block Grants.Federal: Economic Development Administration grants, USDA Rural Development grants, Indian Development Block Grants. Private: Partnering with a for-profit entity to take advantage of new market tax credits. Information Insights Community Profiles 129 Page 136 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Karluk INTERTIE. Low Potential– An intertie to Larsen Bay has been looked at in previous studies,which concluded that the cost to construct an 18 to 20-mile intertie between the two communities would exceed potential savings. Currently the PCE-subsidized residential rate in Karluk is lower than in Larsen Bay.A 2009 study estimated Larsen Bay to Karluk transmission costs at$5.19 per kWh, using a rough estimate of$400,000 to$500,000 per mile based on statewide data (26).A 1983 study concluded that the cost of an intertie would be higher than the combined cost of hydro or diesel generation alternatives in both communities(27).While an intertie would theoretically allow wind or hydro resources to be tied in anywhere along the route,development of an energy project on National Wildlife Refuge lands or near the Karluk River(with its Wild and Scenic designation)would face additional environmental concerns and permitting challenges. Local interest in a transmission project is not known. SOLAR — –_ Medium Potential–Solar does not offer a utility-scale solution in Alaska, but solar PV and solar thermal projects can provide relief for individual homes and facilities,especially those off the grid or that have high summer electric usage. Kodiak receives an average of 3 to 3.5 kWh/m'/day of solar radiation annually,with most coming in April to August.A 4 kW fixed-tilt solar PV array on a building in Kodiak can produce 3,373 kWh of AC power per year if the solar panels are kept free of snow.At Karluk's non-PCE rate of$0.72/kWh,that is the equivalent of$2,429 of power purchased from the utility. Issue: If more households or businesses meet some Opportunity:Using solar technologies to reduce of their electrical needs through self-generation,the space and hot water heating costs may be more challenges of integrating new utility-scale renewable economical than using solar energy to generate resources into a small load intensify. electricity and will not reduce the utility's electric load.However,these systems are significantly more complex to set up and maintain than PV arrays and so having trained and knowledgeable operators is important. Resources:Federal:NREL: Funding,technical Costs:Capital costs:$3 to$10 per watt depending on support,PVWatts Viewer(calculates potential solar who does the installation,making the installed cost of energy production and cost),EPA IGAP, DOE-IE Tribal a 4kW system$12,000 to$40,000.Costs for a system energy programs.Other:Alaskasun.org(information, off the grid need to include the cost of battery contractors and supplies) storage.Savings: Not known. TRANSPORTATION INFRASTRUCTURE High Potential-A dock and extended runway would lower the cost of delivered fuel in Karluk.The transportation component of barged fuel costs can be reduced by investing in marine infrastructure that allows fuel to be off-loaded safely and efficiently.The cost of fuel delivery by air is lower in communities with runways over 4,000 ft.,which can accommodate larger fuel cargo planes. Issues:There are no docking or mooring facilities in Opportunities:A dock that can accommodate barges Karluk making it difficult to off-load fuel and with safe marine headers for off-loading fuel would increasing the transportation component of fuel result in lower fuel delivery costs and increased costs.A dock for Karluk has been proposed in several competition from vendors.A feasibility study with community and regional plans. updated cost estimates is the next step. Information Insights Community Profiles 130 Page 137 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan 1 Phase I,Vol.II Karluk Issues:With extreme weather conditions in winter, Opportunities:The community has identified the barge service is limited resulting in fuel shortages and need for runway improvements to accommodate the need to fly in fuel.The length of the runway does larger aircraft, including upgrading to Instrument not allow more than a day's worth of fuel to be Flight Rules(IFR).The runway project has been on delivered at a time, increasing the already high cost and off the Borough's capital improvement plan list of fuel delivery by air(23). during the last several years but improvements have not been funded (13). Resources:State:Alaska DOT&PF STIP, DCCED Costs:$550,000 for dock feasibility and design costs Designated Legislative Grants.Federal:Denali (based on Larsen Bay's proposed dock study). Commission, EDA.Regional: Kodiak Island Borough, Savings:It is difficult to estimate the savings on bulk SWAMC. fuel transportation costs since fuel prices fluctuate daily and vendor cost data is proprietary.One study estimated savings from longer runways at$lper gallon per 100 air miles from the fuel source(19). Wind -- Medium Potential—Karluk is believed to have class 7 winds on all ridges.Wind was one of two renewable resources recommended for reducing dependence on diesel energy in Karluk'In the 2010 Alaska Energy Pathway plan. Issue:The wind regime ranges from relatively calm Opportunity:The current met tower site is up a steep winds in town to fierce and potentially damaging ridge,0.7 miles south of the existing powerhouse, winds on the ridge 1,100 feet above and along the contributing to the cost of the system. It may be coast toward Cape Karluk.The challenge for this possible to re-locate closer to town,where the wind project may be finding a turbine that can survive the model may underrepresent wind class. Afeasibility potential harsh environment of the ridge south of study can determine best location and system for town,while still being sized appropriately for the Karluk.In addition to measuring the wind resource up electric loads.The community worked with a on the ridge,a second 10-meter tower should be consulting engineer to set up a met tower on the site. installed closer to town to validate or modify the The tower collapsed before data collection was wind resource model at that location.A class 4 or 5 complete.AEA did not receive information on why wind resource next to town could be easier and the tower collapsed.(28) cheaper to develop. Issue:A wind project will be challenged by small Opportunity:A battery storage system is diesel electric loads.Winter minimum loads are in the recommended to integrate wind into a diesel system 15-20 kW range.Adding a significant amount of wind with a very small load.Statewide there is also interest power will reduce diesel performance and fuel in using wind output for heating,which is more efficiency to low levels. tolerant of power swings and easier to store.Wind to heat also has challenging economics so feasibility work is needed. Issue: Karluk's Katolite gensets are not modifiable for Opportunity: If the community decides to move electronic fuel injection,which is needed for wind forward with a wind project after completing integration. feasibility work,a new diesel generator should be chosen based on the results of the wind resource study and analysis of the hourly electrical load data. Information Insights Community Profiles 1 31 Page 138 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Karluk Issue: Karluk submitted an RE Fund grant application Opportunity:Any new grant application needs to in both Rounds 6 and 7 to fund feasibility,final design address feedback from earlier reviews.AEA will want and permitting of a wind energy system with heat to see the results of a wind resource feasibility study, recovery. Partial funding(feasibility only)was including electric/head load analysis, before recommended by AEA in Round 6, but the project did allocating funds for system design. Karluk is not make the cut for legislative appropriation.The encouraged to work directly with AEA staff before Round 7 application did not address the comments preparing a grant application. Karluk has made made by reviewers in the previous round. Karluk has progress working on PCE reporting issues.Continuing problems with PCE reporting in the past which are to improve administration and taking advantage of now being addressed.AEA will not fund a village that utility management training opportunities will is unable to do PCE reporting. improve chances of receiving funding in future grant rounds. Resources:State:AEA Anemometer Loan Program, Costs:Feasibility study:$70,000. Renewable Energy Fund, Power Project Loans, Community Development Block Grants.Federal: Economic Development Administration grants,USDA Rural Development grants,Indian Development Block Grants. Private: Partnering with a for-profit entity to take advantage of new market tax credits. Information Insights Community Profiles 132 Page 139 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Karluk Community and Regional.Plans • Year Report Title(Author) Energy-related Recommendations for Karluk 2013 Native Village of Karluk 1. More affordable,energy-efficient housing. Update to Community Comprehensive 2. Upgrade and repair water&sewer system. 1984 plan Development Plan 2013-2018 3. Relocate landfill and new incinerator (Rural Alaska First) 4. Build a multi-use community center, reducing heating costs. 5. Build community greenhouses 6. Replace old generators to provide efficient electrical generation and train residents In maintenance. 7. Explore alternative energy options to reduce electricity costs. 8. Expand gravel airstrip to allow larger planes and reduce cost of flying in fuel and other transportation costs. 2013 Kodiak Rural Regional 1.Airstrip expansion,including IFR equipment, to Comprehensive Economic accommodate larger planes Development Strategy(Kodiak 2.Alaska Marine Highway service would open up community Area Native Association) for tourism and reduce transportation costs for goods and passengers. 3.A boat harbor would allow goods to be transported at less expense and allow local residents involved in fishing to moor boats in home port. 2009 Kodiak Island Borough 1. EE conservation education Install energy saving bulbs, Regional Energy Plan(Kodiak power strips,and appliances in all homes. Recycle light bulbs. Island Borough Community Use T-8s in City offices, LED Christmas lights. Weatherize Development Department) homes. 2.Wind: Install wind-metering tower. 3.Study hydro potential. 4. Diesel Efficiency: Recapture heat from existing generators such as school and water plant. 5.Study tidal potential. 6.Consistent,ongoing training required. 2008 Kodiak Island Borough 1. Explore feasibility of Karluk-Larsen Bay road. Comprehensive Plan Update 2. Develop additional transportation options or facilities(e.g. (Kodiak Island Borough) barge service,air strip improvements). 3. Improve condition of HUD housing 2003 Kodiak Region Comprehensive 1. Permanent dock facility Update to Economic Development 2001 Strategy-Revised(Kodiak Chamber of Commerce) 1980 Regional Inventory and Three unnamed towhead sites analyzed with annual stream Reconnaissance Study for flows ranging from 4.1 to 15.4 cfs; net heads from 240 to 405 Small Hydropower Projects ft.;and potential capacity from 180 to 420kW.Note:Salmon (ALOE,Alaska District) migration in all streams with hydropower potential. Information Insights Community Profiles 133 Page 140 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Kodiak KODIAK �/ ,,,�y o .;.fr. Grp tyg44- ,�iG!�`y Q ...47,-../..�, m 1t &ed ( Y� „ L 1].--4 ;pas `v ! Nbme �` • WaMY " frt" Y cntia,r ,. AWN, i4. • w r;`s Pdd e�ka 'and - © KEA Vision "KEA shall endeavor to produce 95%of energy sales with cost effective renewable power solutions by the year 2020." KEA will continue to strive for that even beyond 2020. KEA Energy Future hydroelectric expansion at Upper Hidden Basin Priorities' Focus on energy conservation internally and externally to manage demand Add more wind or other renewables to meet future load demand ^Local and Regional Kodiak Island Borough Stakeholders Groups ^City of Kodiak 1 Kodiak Electric Association City of Port Lions,Communities of Chiniak,Kodiak Station, Pasagshak, Womens Bay Kodiak Island Borough School District U.S.Coast Guard Koniag, Inc. `Kodiak Island Housing Authority __ _i Kodiak Area Native Association Seafood Processors Kodiak Chamber ___ Southwest Alaska Municipal Conference U.S. Fish&Wildlife Service Sources:(29)(13).Notes:1/Based on preliminary input.Additional input to be gathered in Phase II. Information Insights Community Profiles 134 Page 141 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Kodiak • TOTAL ENERGY USE Electrical Generation 1,2 Diesel:7,051MWh Sold2:89,279 MWh (KEA Grid) Renewable: 147,261 MWh Community Load Average 17.6 MW Electric Customers Residential: 2,726 Peak: 27.8 MW Commercial Non- governmental:557 Governmental:94 Annual Fuel Use Electric: Space Heating: Transportation: 490,000 gals.(2013) Not Known Not Known 70,000 gals.(2014 projected) Fuel Price Electric:$3.50jgal Heating:$4.35/gal#1 Transportation: Oil(Jan.2014) (5) Not Known Average Monthly o Heating Fuel Price per Gallon-Kodiak Household Energy Bills --#1 Fuel Oil ' #1 Region Avg. 'e: #1 Rural Avg N Heating G Electric $7.00 --- --- -- -- -- ---- $6.00 ---- *.p $423 $478 $470 v $5.00 $4.00 - S3oo $3591 $35t $3.00 �,�✓ eagl I E I -I MI. $2.00 $1.00 .. Kodiak Rural Region $0.00 , . --, -- -r- -r- . --, Average Average 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Projected Load Growth :sotto (30) Peak load for the KEA grid :woos- continues to grow.KEA hit a ` JJ new peak of 27.8 MW in early „otto — :.,:w,Na Pry-tu. 2013.KEA projects the electric —"^elcti.4 crywh :Lu.,crwrtn load to grow slowly,continuing „0 _Low.Cowtn past trends. _An'-On Cronin KC CC ,►�. o URP. RRRRRRRS:4 Sources(except as noted):(31).Notes:1/KEA grid includes Kodiak Roadbelt communities and Port Lions. 2/Amount sold reflects City of Kodiak only.It does not include the U.S.Coast Guard Base,which is a large electric customer,using approximately 20,396 MWh in FY 2013(32). Information Insights Community Profiles 135 Page 142 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Kodiak ELECTRIC GENERATION. Utility Kodiak Electric Association PCE Ineligible RPSU Upgrade Ineligible Diesel Kodiak Generating Station: 17.6 MW Renewable Capacity 40 MW Capacity Nyman Power Plant:9 MW (30) Swampy Acres:3.6 MW Port Lions Power Plant:0.76 MW Residential Residential:$0.19/kWh Cost per kWh Sold' Diesel:$0.29 Rate (33) Wind:$0.11 Hydro:$0.07 Load KEA expects the electric load to continue to grow slowly due to the increasing use of electricity for Forecast heat with the use of heat pumps and on-demand water heaters.KEA expects current hydro and wind capacity to handle peak load through 2025.KEA plans to bring additional hydro capacity online in the next 5+years to meet power needs well past 2025(34). Electrical Average Fuel Price Paid Electric Generation by Source-Kodiak Generation by Electric Utilities FY13 and Fuel Per Gallon i= 180 -- -- Cost N 3 160 -- — - OWind (31)(5) $3.50 $4.29 $4.16 F c 120 ®Hydro 100 ..... .._ _ e Diesel 80 60 40 __.. .-...- ` ....... 20 Kodiak Rural Region 0 Average Average 2011 2013 Electric Kodiak Electric Rate 2014 Annual Use Per Customer by Type(MWh) Rate and Residential Base Rate a Residential ■Public Facilities a Commercial Use by a PCE Rate(1st 500 kWh) 140,000 - 125,344. Customer 120,000 Type VIM 100,000 -_-_ -. 80,000 einD 60,000ebaj --- ---- $.22 40,000 rit 2Q000 - _- 12,558 12,929 5,214 Kodiak Rural Region 0 --t -- Average Average Kodiak Rural Average Sources(except as noted):(5).Notes:1/Generation cost only. Information Insights Community Profiles 136 Page 143 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Kodiak ENERGY EFFICIENCY AND CONSERVATION Residential Occupied Housing Type, Average Home Avg.HH Size/ Median HH Energy Cost as a Housing Units including Vacant Size(est.)' Overcrowding Income %of Income 2,723 1,124 Single Family 1,701 3.1/No $58,670 11% 303 Duplexes 762 Multi-Family 39 Mobile Homes Age of Housing Stock in Kodiak Estimate Annual Average Annual Energy Use Home Energy Bill 671 per Home' 388 185 MMBTU $6,348 164 219 332ri 145 238 71 Note:Older homes are typically less energy- r - efficient than newer homes,due to Earlier 1940s 1950s 1960s 1970s 1980s 1990s 2000s 2010s improvements in building technology and energy efficiency over time. Additional Percent of Energy Efficient Housing Stock Annual Home Annual Home Residential Energy Savings Energy Savings EE&C Worko New/BEES-certified Achieved Opportunity Remaining � D Home Energy Rebates 23,411 MMBTU 58,371 MMBTU 69% 1 882'. Oi p Weatherized Homes 168,093 gals. 419,107 gals. .,g, $731,206 $1,823,117 69%' .267,1 o Not Retrofitted 10% Assumptions:Average energy savings for region based on 2008-13 ARIS data (35%HER, 18%AHFC weatherization projects). Retail fuel cost:$4.35/gal. ' ,. 6%o Non-residential Public Buildings Kodiak Island Borough: EE&C measures have been taken in City of Kodiak in the design and construction of new buildings: new waste water treatment plant built in 2012,all building energy needs(including heat)met with electricity; new pump house at Monashka uses variable frequency drive and heat recovered from cooling system (35). KEA is replacing all street lights in the city in stages with LED lights. Much of public building stock dates from 1970s and 80s and provides opportunity for significant additional savings. Kodiak Island Borough School District:Energy audits were conducted on 4 KIBSD schools in communities on the KEA grid in 2012(see Appendix B). KIBSD is in the process of making the most cost-effective recommended improvements, especially as repair and replacement needs arise. (36)(37) U.S.Coast Guard Kodiak Base:With over 400 buildings and 600 housing units, Kodiak Base is the largest Coast Guard station in the world.A major user of electricity and fuel on Kodiak Island,the base took the lead in a pilot program under the Regional Super Energy Saving Performance Contract to identify areas of energy savings and design retrofits to upgrade inefficient equipment and infrastructure. (See appendix B.)A new housing project on base will be completed in 2015 and the units will have all energy needs met with electricity.The precise technology to be used has not yet been decided.Additional lighting upgrades will occur as buildings are scheduled for maintenance and all new projects are focused on being LEED certified (38)(32). Kodiak College:Completed EE&C projects include re-insulating roofs, continual lighting upgrades to T8s and LEDs and parking lot lights automatic shutoff at night,installation of occupancy sensors in different locations, Information Insights Community Profiles 137 Page 144 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Kodiak ENERGY EFFICIENCY AND CONSERVATION automated building control system,and installation of variable frequency drives to lower energy usage from fans, hot water pumps,etc.(39). Other Community Infrastructure Water&Sewer Estimated Sanitation Estimated Cost Estimated System Type/ Annual Water& System Energy of Water& Annual Water No.of Homes Water and Sewer(W&S) Audit Sewer EE&C &Sewer Energy Served Sewer Rates Energy Use' Performed Upgrades Savings' Unknown Unknown 6,879 MMBTU Unknown Unknown 688 MMBTU 23,076 gals. 2,308 gals. 1,074,934 kWh 107,493 kWh Sources:(10)(40).Notes:1/Average for Koniag Region in the ARIS database.2/Reported energy and fuel usage for City of Kodiak;estimated electrical use(11).3/Assumes 10%energy savings for electricity and heat. Bulk Fuel Purchase Entity #1 Fuel Oil(gals.) #2 Fuel Oil(gals.) Total(gals.) KEA 70,000 - 70,000 KIB' ' y 14,300 95,800 110,100 KIBSD' 19,200 267,500 286,700 Providence Hospital Kodiak' 300 120,000 120,300 U.S.Coast Guard Base 4,468 487,263 491,731 — Sources(except as noted)(41)(36).Notes: 1/2014 Bulk Fuel Purchase amounts. Information Insights Community Profiles 138 Page 145 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Kodiak ENERGY PLANNING BIOMASS Moderate Potential–With 11 land-based fish processors and one class 1 landfill,the City of Kodiak also has potential for future biomass projects fueled by fish or solid waste. It does not appear to have sufficient woody biomass to meet the needs of a large-scale heat or power project,according to an initial assessment by the National Renewable Energy Laboratory(NREL)and one by Alaska state foresters.There may be sufficient localized resources to support smaller-scale projects in specific communities. _ !b — ,C•TQ - EM Alder-Willow Wes II Gra Fro Mea 10. Q Salmen nylret Meadow sl:WOAlpo.c9 Meador, IX NM11Gens CD=°'C as- t y 1ti © UZwU.fss CNpme Hash OHeath Hunmeb CSaingnMry.E�dx -+ i a.« O NpneTvda OX PHunmxb /Foca OSMvb GravelBeachesNn p rt : i ochak -p�MlaE.ws.nb p« �w.FaAa p 1 eerev.l «,.� 0, Lipos • ' . .l a?'- ID Beaod -^Kelp beds 1 II Sand end Gra.. Roads ,ft"__. 41 e24 - 1 ®Clew fresh water (J Low Wilms -S.W.Mbad alq�k�f .. •i� ID ICleeronnooc Bed'd I won low Woos to Sedde.M oss WOOartla x+k} ., t. .t p .. Wood ® en Dseuoer Q low semn,am Mame Walls Qelw,SSW,. flax s omex s• ,*� IslandID Demo ata Q High secnwd swine Water Q SIM spree vl.nn'raz „f jt Hapy O Dense CofbnoW O Mn op Gmne-es O SIM Space ResemrNar j {'/^ f' *CLttnlak Q puha 5rtse Spot. Mq Fleb ri saw'and Prairie Ice ^"^et L�V.'ailemmlbMon ®r�scagGelwnmds 1=1OpenCoean.om S. c; .F —�Io.n -WRInja lspewf Ow, ®Tali Wilos ''sa f 4 r f � � tN - )�By11VY FIXO 11eMON O Ore AM £M AbMox �Lelua 3 A - cern.cnnMda OGW S,0^,001O XOOOVeadrocS LapPasagshak- ide -Bncec.oueto Bos 0°u,OC OCd Cr se`"'"" ® 'x' ': 'fl'°k.. ' $ CIF.m FWAWN.A OOR tb .aca!OSMSIW ®C T OFlreneM Fat Meadow OOpnB nil �XnBl w/OsyvttW Au• QFmO Meadow Mb open sae space )=surf note ire G -OFramindd W.LNtd I�Pen I ide SNW Tur'dra -CbWctW sMGw Le Issue:Sitka spruce is most abundant on the Opportunity: If there are local communities Northeastern shores of Kodiak Island especially interested in considering a wood biomass project,a around Monashka Bay and Chiniak.By contrast,the reconnaissance study can be done to determine Womens Bay and Pasagshak areas are characterized whether sufficient biomass exists nearby to sustain a by wetland vegetation,grasses and alder shrubland modestly scaled biomass project,such as a GARN with only scattered patches of spruce(13). boiler,to heat one or more community buildings. Issue:In Alaska, biodiesel is primarily manufactured Opportunity:There have been demonstration from fishmeal processors, not those who produce projects in Alaska and globally on making biodiesel whole fish,fillets or canned salmon.Most is used from fish waste.Biodiesel can be blended with#2 onsite by processors themselves or may be exported diesel or used directly in generators,other engines, as animal feed supplements or for other uses.To boilers and fishmeal dryers.With 11 land-based make biodiesel manufacture attractive,diesel prices processors who need an environmentally sound way must be high enough to offset capital costs for to dispose of fish waste, Kodiak is well suited to study equipment to extract oil from fish waste. If not the feasibility of a system to collect,transport and processed immediately,fish waste degrades rapidly store fish waste for processing into biodiesel on an and quickly loses its value.Currently,a lot of fish economic scale.Possible partners include AEA,the waste is ground up and dumped into the ocean University of Alaska, EPA and fish processors. where it can disrupt marine ecosystems. Information Insights Community Profiles 139 Page 146 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I Vol.II Kodiak Issue:With an abundance of clean energy Opportunity:With a class 1 landfill,Kodiak likely has alternatives, KEA has no current plans for a utility- enough municipal solid waste for a large-scale heating scale municipal solid waste(MSW) project. project,though perhaps not enough for combined Considerations include emissions,cost of separating heat and power using steam to produce electricity or waste,and benefits of extending landfill life. for biogas production from methane.As energy prices,technology and landfill size changes in future a pre-feasibility study may be desired to assess options. Resources:UAF:Alaska Wood Energy Development Costs and savings: Fish and solid waste systems: Task Group(pre-feasibility studies).AEA: Biomass unknown.Woody biomass:No cost to community for Program(technical assistance), Renewable Energy pre-feasibility study through AWEDTG grant. System Fund (grants). USDA-RD: Rural Energy for America cost:$100,000 minimum.Annual 0&M:$500 plus 1 Program(small business or agricultural producers) hour labor per day(15).Savings depend on size of system and local cost of wood.$250 to$300 per cord provides the same amount of heat as fuel oil at$3.50 per gallon. EMERGING TECHNOLOGIES Unknown—Initial reconnaissance models suggest that Whale Passage near Port Lions may have the best tidal energy resource in the region. Issue:Tidal energy like other ocean power Opportunity:KEA is monitoring technology and technologies is not yet close to ready for commercial ongoing research on tidal energy.Whale Passage is deployment.There are competing devices being not far from a KEA distribution line so should the tested and ongoing demonstration projects in Alaska technology and resource be proven,a significant and elsewhere.Since these technologies are still in opportunity exists for adding new renewable capacity R&D,a watch and wait approach is advisable. to the KEA grid. Resources: Emerging Energy Technology Fund Cost:No cost for monitoring developments. ENERGY EFFICIENCY AND CONSERVATION. - • High Potential—As in other communities in the region,the cheapest kilowatt or gallon of fuel is the one you don't have to buy.The City of Kodiak has completed the most EE&C work in the region but there is still high potential to save on energy costs by actively promoting additional residential and commercial EE&C and by auditing public buildings and facilities(street lights and water/sewer system)to identify potential savings. Home Energy Rebates and Weatherization: Over 80%of the city's housing stock was built before 1980 when energy ratings of 2 or 2-star-plus were typical,and have energy costs that are 40%to 50%higher than a 4- star-plus or 5-star home built since 2000.The majority of these homes in the city have not been weatherized with AHFC funds.Only 267 homes in Kodiak have participated in AHFC's Home Energy Rebate(HER)program, which provides higher energy savings(35%) per home compared with weatherization programs in the region (18%savings)and has no income limits, but requires the house to be owner occupied.(Homes previously weatherized through AHFC are not eligible for the HER program.)A community can increase HER participation rates by actively promoting the program and encouraging residents to sign up or helping them to do so. Residents could save 58,371 MMBTU community-wide if all homes not already audited or weatherized are retrofitted.Annual fuel savings would be 419,107 gallons and$1,823,117 in avoided fuel cost each year. Information Insights Community Profiles 40 Page 147 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.Il Kodiak ENERGY EFFICIENCY AND CONSERVATION - - i Public Facilities and Commercial Buildings:Over 71%of electricity is used by non-governmental commercial buildings and another 13%by public facilities.Only 16%is used by private residences.Kodiak should focus on the public and commercial sectors in encouraging EE&C behaviors and audits. Building owners can expect 10- 15%annual savings from EE&C improvements by making only behavioral changes, 15-25%savings if making all the most cost-effective changes,and 25-35%savings if all recommended energy improvements are completed.To achieve a 30%savings,the typical investment is estimated at$6 to 7 per square foot. Street Light Upgrades: LED street lighting is highly efficient compared to conventional street lights.Though somewhat capital intensive, it can save up to 75%on energy usage on public outdoor lighting. KEA has taken ' the lead in replacing street lights in the city of Kodiak and is also encouraging residents to replace lights with LEDs.The utility has a 10 year vision of changing out all street lights. Water and Sewer Facilities:Sanitation systems are huge users of energy,accounting for 10%to 38%of community energy use,depending on system type and climate zone.Together the sewage lift and pump stations and waste water treatment plant for the City of Kodiak use 3,630 MWh of electricity per year(see Appendix B).An energy audit and upgrade of facility could save the city substantial amount on electrical costs. Electric Heating: Residents have already begun installing equipment hot water heaters and air source heat pumps that use electricity rather than oil for heating.Heat pumps are highly efficient(over 100%)so this move away from heating oil is also a move toward greater energy efficiency. KEA is looking at the option of offering loan packages to customers wishing to switch to air source heat pumps(29). Resources:State:AFHC Home Energy Rebate,Weatherization,and Roving Energy Rater programs.AEA CBEA (commercial enterprises),Alaska DEED Capital Improvements Program (schools).Alaska DCCED Alternative Energy and Conservation Revolving Loan Fund(public and commercial facilities).AHFC Alaska Energy Efficiency Revolving Loan Program(public facilities). Federal: U.S.HUD NAHASDA Grants through KIHA,USDA RD Rural Energy for America Guaranteed Loan Program(small business),Federal Tax Deduction for Commercial Buildings.DOE-IE START Alaska,other Tribal energy programs. Regional: EE&C Coordination through KANA(pending successful EDA grant application)or other entity. FOSSIL FUELS Low Potential—Coal,oil and gas are not known to occur in large quantities in the Kodiak region.Coal beds on Kodiak Island are believed to be thin and likely not an economic resource.The geology also makes it unlikely that commercial quantities of conventional or unconventional oil and gas resources will be discovered.(16) ^T GEOTHERMAL Medium Potential—There are no known geothermal resources in Kodiak region(16).However,air source heat pumps are already being installed in the City of Kodiak to take advantage of relatively low electricity rates and to avoid high heating costs.There is potential for ground source heat pumps in the City of Kodiak as well(42).KEA expects the use of heat pumps to continue,which will increase the electric load on the KEA grid. ! Issue:Ground source heat pumps(GSHP)have high Opportunity:With a relatively moderate climate, capital costs and are typically economic only where stable electricity rates and high heating oil costs fuel costs are high and electric rates low.Air source communities on the KEA grid can consider ground heat pumps(ASHP)have much lower capital costs but and air source heat pumps.Using air-to-air heat because they also require electricity to operate,they pumps with in-floor heat in Kodiak is currently may still be uneconomic if electrical costs are high or equivalent to heating with fuel oil at$2.50 per gallon volatile. (41). If increased heat pump use becomes a priority, KEA could consider incentives offered by utilities in Southeast Alaska to encourage users to install them. Information Insights Community Profiles 141 Page 148 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Kodiak Resources:State: Research on heat pump design and Air Source Heat Pumps: Capital cost:$6,000. costs is ongoing at UAF's Alaska Center for Energy Savings:$600 to$2,700 annually, based on model for and Power(ACEP).The Cold Climate Housing 3 bedroom home in Kodiak(43).Ground Source Heat Research Center,also at UAF, is conducting research Pumps:Capital cost:$29,300.Savings:$1,600 to and demonstration projects on both types of heat $2,900 annually based on a 1,700 sf home in Juneau pumps. with lower electricity and fuel costs than Kodiak(44). HYDROELECTRIC High Potential —The Terror Lake hydro facility generated over three-quarters of the electricity for the KEA grid last year. In 2014 its share of total generation has climbed to 84%following installation of a third 11 MW turbine.With the addition of this unit,Terror Lake's capacity is approximately 32 MW,which should be enough to handle the peak loads until well after 2025. KEA plans to continue to increase hydro capacity to meet future demand.The utility is currently studying the feasibility of a hydro site at Upper Hidden Basin and plans to submit a FERC permit request in the next year. Development will take another 4 to 5 years.(33)(34) 11 Opportunity: Hydropower is reliable, cost effective and dispatchable !I (meaning you can call on it when you need it versus other forms like wind and tidal which are not always ._l Lor available.) This is very important for an r.rr,,,r, islanded electric grid. Since hydroelectric power is dispatchable and 25 KEA has pushed its variable power n - resources incredibly far,expanding hydro further will increase the stability 21 of the grid and make possible future expansion of variable energy resources.. P SOLAR Low Potential—Solar does not offer a utility-scale solution in the region, but solar PV and solar thermal projects can provide relief for individual homes and facilities,especially those off the grid or that have high summer electric usage Issue: Kodiak receives an average of 3 kWh/m2/day of Opportunity: Using solar technologies to reduce solar radiation annually,with most coming in April to space and hot water heating costs may be more August.A 4 kW fixed-tilt solar PV array on a building economical than using solar energy to generate in Kodiak can produce 3,373 kWh of AC power per electricity.However,these systems are significantly year if the solar panels are kept free of snow. more complex to set up and maintain than PV arrays PVWatts estimates the cost of producing solar energy and so having trained and knowledgeable operators at$0.38/kWh.This does not make economic sense if is important. connected to the KEA grid given the$0.19/kWh cost of electricity where nearly 100%of electricity is generated using renewable sources(1). Information Insights Community Profiles 142 Page 149 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Kodiak NREL:PVWatts Viewer(calculates potential solar Costs:Capital costs:$3 to$10 per watt depending on energy production and cost),funding,technical who does the installation, making the installed cost of support. a 4kW system$12,000 to$40,000.Costs for a system off the grid need to include the cost of battery storage.Savings:Not known. Wind _. . High Potential—KEA has a 9 MW wind farm on Pillar Mountain that generated 18%of the electricity for the grid in 2013(33). KEA is a world leader in variable power integration on an islanded grid. At this time,the utility's wind penetration rate can reach up to 80%.It has a 3 MW Battery Energy Storage System(BESS)that allows the grid to stay stable with that much wind,but until the electric load grows substantially,KEA will not be able to consider large amounts of new wind power.(34) Information Insights Community Profiles 143 Page 150 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan i Phase I,Vol.II Kodiak Community and Regional Plans Year Report Title(Author) Community-specific, Energy-related Recommendations 2009 Kodiak Island Borough 1.KEA has planned and obtained grants and provided funding for Regional Energy Plan a major wind turbine project located on the ridge line of Pillar (Kodiak Island Borough Mountain,overlooking the City of Kodiak. Community Development 2.KEA has approval for another three wind turbines should the Department) demand and financial feasibility coincide. It may be too early to say for certain as the wind turbines have only been in operation less than six months. 3.Study the potential to increase power production of existing hydro-electric facilities by increasing reservoir capacities, upgrading turbines and control mechanisms, and by increasing the number of turbines where feasible. 2008 Kodiak Island Borough 1.KEA studying a wind energy site on Pillar Mountain. Comprehensive Plan Update 2.Studies being conducted to analyze the feasibility of wind (Kodiak Island Borough) generated power,as are site considerations for additional hydroelectric power generation.A site on Pillar Mountain has been proposed for wind generated electricity. 3.Explore opportunities for new hydroelectric,tidal,or wind power facilities in local communities throughout the Borough; utilize case studies and best practices from similar projects in other communities. 4.Help provide energy in a cost-effective,energy-efficient manner,in part to address the effects of high costs of fuel. 5.Work with local communities and residents to support development of alternative,less-costly fuel or energy sources. 6. Explore the feasibility of providing subsidies to low income households to assist in paying for the cost of heating and/or electricity bills. 2003 Kodiak Region 1.Study opportunities to reduce electrical rates through Update to Comprehensive Economic diversified power supplies. 2001 Development Strategy- 2.Study opportunities to lower electrical costs through increased Revised (Kodiak Chamber of conservation strategies. Commerce) 3.Research alternative sources of power. 2001 Kodiak Region 1.Evaluate available options to achieve maximum utilization of Comprehensive Economic electrical power,and to overcome or offset the cost of power in Development Strategy- Kodiak. Revised (Kodiak Chamber of 2.Study opportunities to reduce electrical rates through Commerce) diversified power supplies. 3.Study opportunities to lower electrical costs through increased conservation strategies. 3. Research alternative sources of power. 4_Monashka Dam Phase II,design phase. _ Information Insights Community Profiles 144 Page 151 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Larsen Bay LARSEN BAY Community Map )ie--r ' 7 LARSEN BAY �° �W �, ��u: ue RECSK vCnR Cf t4,, a„. „y`y' �T� it .r 4 -- v s vnme ue�Ruue n¢ a iy� X+ } grei v ai..n u t,l �.. r ® PO B 14::Cate. ..r T•+.t]t^ t A Ta . X�9 l 1 cn, [�`" Br1.0 "t' ,�§ ' } ._57 ter'" ( ' •, a rra;1.14 (k3)It T ®(m)U : „� Y i"figtin y i y 9$g tr ! ro p .%;.4 A p� ! ppnn ,E lad n ( � t ' 1 -21-- r 8 G. d L . Ira �_ix at .� F,y:-� ra i v "`tib f t 3a � A .y:• (q '. + f-s ,"`ti1t"dmufie ;Er„"r,` Rs�h'es '"ZZs <e. d4 yJjS• ',� Community Vision Community togetherness and spirit, education,environment,sustainable economy,and community control. Community Energy Full funding of hydro and powerhouse upgrades Priorities' New electrical distribution lines and street lights Dock/moorage for fuel barge Alaska Energy Pathway Wind—Wood—Hydro • Local Stakeholders City of Larsen Bay Larsen Bay Tribal Council Groups Larsen Bay Utility Icicle Seafoods I Larsen Bay Lodge Energy Champions' Power plant operators: Sam Kenoyer,Hugh Kennan Sources:(20)(2)(45).Notes:1/Unranked. Based on early input.Additional input to be gathered in Phase II. Information Insights Community Profiles 45 Page 152 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Larsen Bay TOTAL.ENERGY USE - .. "'. Electrical Generation Diesel:23 MWh Sold:748 MWh Line Loss:7.4% Renewable:807 MWh Powerhouse:2.5% i Community Load Average:69 kW Electric Customers Residential: 52 Peak: 153 kW Community Facilities:8 (4) Other(Non-PCE):41 Annual Fuel Use Electric: Space Heating: Transportation: 2,245 gals. 43,771 gals. (4) 30,000 gals.(22) Fuel Price Electric:$4.45/gal. Heating:$5.81/gal. Transportation: (FY2013) #1 Oil(Jan. 2014)(5) $6.50(Jan 2014) (46) Average Monthly Heating Fuel Price per Gallon-Larsen Bay Household Energy Billsto v -,•-#1 Fuel Oil • #1 Region Avg. h. #1 Rural Avg IS Heating O Electric ,� m $7.00 c 0• $478 $470. ra _ $6.00 . . $5.00 $ 51 $35935 $.` _.. ., 1 $4.00$3.00 W---4_ -___ ._._.....- i 1FxE $2.00 LdL $1.00 Larsen Rural Region $0.00 m-----r---r , • , r Bay Average Average 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Larsen Bay Electric Rate c 13200 - -- -- FY13 ° 3 D Hydro 199 E° 0 Residential Base Rate w 12 ■Diesel cI 150 O PCE Rate(1st S00 kWh) tj V $.44 [�� CPQ Om w $.38 50 $.22 • ..... _ _.. 0 ,` Larsen Rural Region o g "' 0 0 0 01 o `� Bay Average Average oN o 0 0 0 0 0 0 0 Sources(except as noted):(7) Information Insights Community Profiles 146 Page 153 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.!! Larsen Bay ELECTRIC GENERATION . . Utility Larsen Bay Utility Company PCE(level) Active($0.06/kWh) RPSU Upgrade Completed Diesel 1 x 210 KW,2 x 65 KW Renewable Capacity 475 kW Capacity Diesel NA.3 new generators and new Load Sizing Oversized for load Generators powerhouse building in 2014.All Load Imbalance 10-25%Imbalance will act as backup to hydro. Diesel 10.1 kWh/gal.(based on Switchgear NA Efficiency' previous generators) Residential Effective:$0.38(1"500 kWh) Cost per kWh Sold Fuel: $0.01;Non-Fuel:$0.02 Rate Base:$0.44 Total:$0.04 Operator Good:Logs.Acceptable:Meter Heat Recovery None Proficiency reading.Unacceptable: Maintenance planning, routine and scheduled maintenance Generation Average Fuel Price Paid Costs 2 a $50 - -- - - — ---- _--- by Electric Utilities FY13 Per Gallon 3 5.40 $4.45 $4.29 $4.16 a 5.30tif _ 5.20 _. —Generation Costs 5.10 __ - --__- ----. -.. .- —Residential Base Rate $.00 r-..__-__:_- _.*-- I —r 2009 2010 2011 2012 2013 Larsen Bay Rural Region Average Average Electric Larsen Bay Electric Sales,FY2013(KWh) Average Annual Electric Use Sales byby Customer Type(kWh) Customer 20,000 20000 Type "-%452'4156` 444 '' 59%" P ''h'' 10,000 ' 169,763 20,791 125,930 3% 22% 5,000 16% • CI Residential r Public Facility - — L El Commercial/Govt. ■Utility Use Larsen Bay Rural Average Sources(except as noted):(7)(8).Notes:1/Diesel efficiency is based on generators installed during FY2013, which were in fair or poor condition.Efficiency should improve with new generators to be delivered in 2014. 2/Generation cost numbers reported for FY2013 to the PCE program are very low and should be confirmed. Information Insights Community Profiles 147 Page 154 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Larsen Bay ENERGY EFFICIENCY AND CONSERVATION. --, Residential Occupied Housing Type, Average Home Avg. HH Size/ Median HH Energy Cost as a Housing Units including Vacant Size(est.)' Overcrowding Income %of Income __34 82 single family 1,056 sf 2.2/No $71,000 9% S mobile homes ___ Age of Housing Stock in Larsen Bay Estimate Annual Average Annual 36 36 Energy Use per Home Home Energy Bill -- 117 MMBTU $6,111 Note: Older homes are typically less energy- 4 6 3 2 efficient than newer homes,due to , , ,r17_----r - ,-ter— , improvements in building technology and Earlier 1940s 1950s 1960s 1970s 1980s 1990s 2000s 2010s energy efficiency over time. Annual Home Additional %of Home Energy Efficient Housing Stock Energy Savings Energy Savings EE&C Work g3 Achieved Opportunity Remaininga New/BEES-certified 194 MMBTU 516 MMBTU 65% e ®Home Energy Rebates 1,395 gals. 3,703 gals. u.' late 9s a Weatherized Homes '�o $8,105 $21,517 ZZ '1)-C.41.'').-,./ ■Not Retrofitted 65%' 4 Assumptions:Average energy savings for region .. "_ based on 2008-13 ARIS data (35%HER, 18%AHFC ,' _ weatherization projects).Retail fuel cost:$5.81/gal. ,;'. --._ Public and Commercial Buildings No.of Public/ Est.Annual Public or Commercial Types of Energy Use per Commercial EE&C Measures EE&C Measures Buildingsz Buildings Buildings Building Audits Identified Implemented 49 See Appendix B 1,178 MMBTU School See Appendix B In Progress LED Street Street Lighting Estimated Cost LED Street Street Light Street Lighting Lighting Remaining of LED Street Lighting Annual Number Type Upgrade Opportunity Light Retrofit° Energy Savings° Not Known Not Known No 100% $1,000 per light 4,800 to 7,500 or$5,000 to kWh/ $1,400 $18,000 total to$2,200 Water&Sewer Estimated Estimated Cost Estimated System Type/ Annual Water Sanitation of Water& Annual Water& No.of Homes Water and &Sewer System Energy Sewer EE&C Sewer Energy Served Sewer Rates Energy Use' Audit Performed Upgrades Savingss Water:Pressure Not Known 350 MMBTU No Not Known 35 MMBTU Sewer:Gravity 2,090 gals. 379 gals./1,715 40 Homes 17,152 kWh kWh/$2,201 Sources:(9)(10).Notes: 1/Calculated based on Energy End-Use Study data(11).2/Based on number of electric rate payers.3/Calculated based on Energy End-Use Study and 2013 Alaska Housing Assessment data(11)(12).4/Based on ARIS data for communities of 50 to 100 people.S/Assumes 10%savings on fuel and electric. Information Insights Community Profiles 148 Page 155 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Larsen Bay DIESEL EFFICIENCY AND HEAT RECOVERY Annual Savings _____, Est.Annual from a Diesel Heat Recovery Buildings Additional Heat Estimated Cost Savings from Efficiency of Installed at Heated with Recovery of WaterJacket Water Jacket 13.0 kWh/ga1.1 Power Plant Waste Heat Opportunity Heat Recovery Heat Recovery i 501 gals. No 0 School, Capital cost: 534 MMBTU2 $2,229 Community $200,000 or _ Building and up 10 to 20% BULK FUEL a Capacity City: #1 Oil: 10,000 gals;#2 Fuel Purchase(22) Larsen Bay participates in the Bulk Oil: 76,500 gals;Gasoline: Fuel Revolving Loan Program.2014 41,500 gals. (47);School: order:#1 Oil: 10,000 gals.#2 Oil: 5,000 gals.Cannery: NA 15,000 gals. Unleaded:30,000 gals. — Bulk Fuel Completed 2004 Vendors Upgrade By Barge Fuel is delivered to the tank farm by barge.The barge has to anchor out due to lack of a dock which increases fuel costs.There are two 4-inch marine receiving pipelines,which extend from the primary marine headers to the tank farm.Alternate marine headers are adjacent to the small boat harbor.The City Is putting in a$550,000 request for design of a new dock. (47) _ Local Delivery City retails gasoline and#2 diesel from dispensing station adjacent to tank farm bulk transfer area. It conducts bulk transfers of#1 and#2 diesel for local delivery;and retails#2 diesel to small vessels at the City dock.The City delivers fuel to the school tank monthly.(47)(45) Cooperative The City and cannery sometimes work together on fuel purchases.The cannery has its own Purchase fuel tanks. Sources(except as noted):(45).Notes:1/Based on FV2014 PCE data(7).2/2010 Alaska Energy Pathway estimate has not been updated or verified(4). Information Insights Community Profiles 149 Page 156 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan l Phase I,Vol.II Larsen Bay ENERGY PLANNING BIOMASS.. . . . , ... .. . Medium Potential—Wood was one of the three energy pathways identified for Larsen Bay in the 2010 Alaska Energy Pathway report(the others being wind and hydro). However,the local timber resource is limited and there is no sawmill to supply wood waste.There is one fish processor in Larsen Bay with an unknown potential to provide fish oil for use as biofuel.There is no class I landfill to provide sufficient quantities of solid waste to fuel a heat or combined heat and power project. Issue:In Alaska, biodiesel is primarily manufactured Opportunity:Biodiesel can be blended with#2 diesel from fishmeal processors,not those who produce or used directly in generators,other engines, boilers whole fish,fillets or canned salmon. Most is used and fishmeal dryers.If not processed immediately, onsite by processors themselves or may be exported fish waste degrades rapidly and quickly loses its value. as animal feed supplements or for other uses. To make biodiesel manufacture attractive,diesel Currently,a lot of fish waste is ground up and prices must be high enough to offset capital costs for dumped into the ocean where it can disrupt marine equipment to extract oil from fish waste. ecosystems. __ S2‘ Jda-Villa..Min C]Gra,For Meadow O S mseberrylFat Meadow -;Y =Npr•we Meadow O HaM1Nan, O $tnrbe ry tree's CM6 Q'P• won C]Naar HunmKw O Belnmteny EldRerry . .r...: O Man R.*. Henn,H,tnmck,wl Fat, O sera Md Gra.'-Beadles Grenl Roads NM Aqua.'&ner9ents DK...wI For.. Kt4i . I=1wn s0 Gnaw.Rr ar . L atett�. e O seaoo, ®Mlp beds n seed sp arluk: , Laren I. ....4 40.404; tress weer Q Low leAS'w ®Sedge M n 1"--t-1131-?"1 at ' Drag Zero secs& ve idwwow s.dgeues.Wedam, ir 4 ®Dense adder LawSediment Meme Wemr I=Shallowhnn waUr M 0 1 @ Ora . I O Dena Bird �Hqs Sedrmmt MMM Wear eras sense Wunmld2 rsdrc44 . ., , y.., ,, i O One CO,bnrrcd O®Mimed Gesaand, ED tee apex.RegenerS.m kj: ( ; ti 45-or Dense 5dke spn-de @ Astl Flab O Snow am Pentanent Ice I f ' � Cr N�11 NMo„ M.,.99 c Wellen. Ej open coaoMW] f :1-' II ®Beigees ®VIMIMdi k-Dour Bes ®TkM WIW, '5. ♦ QH„nla Fore Maaaow Qop en.Fos Meaew QTaut ' ,.-9,7130,n;...^Y Cern.Grevmnd, �Cb er-SaMontenY. OIWNBetx. /44 ''''M' :5 d .. " us......2 ©CBeric .wrscacered CIY� sadmamv.nne (i a }I O Fern Fat Meadow O 0.b naersca area San ®Go,,.Tongue It, t11,y g ) O Flrenee Port Mad„+' O Cope earth O'. Heath wl ocr,od p � - OFart Akaew Ml: OGp, Sae Saude O surf zone �' S Gree nod Weam Roae'e antra Tumre ®Cbra{bltl SMaw Issue:There are scattered trees with some locally Opportunity:A reconnaissance study is needed to heavy stands, but no Sitka spruce or western assess the forest resource near the community that is hemlock.The federal government also owns not on protected lands to determine whether it can significant land holdings near Larsen Bay,which are sustainably support a modestly scaled biomass protected as part of the Kodiak National Wildlife project,such as a GARN boiler,that could heat one of Refuge. Larsen Bay's community buildings. Issue:Wood biomass projects have the added Opportunity:A community biomass project with benefit of creating local jobs as wood cutters and strong local champions could provide both skilled and boiler operators,but they require strong community unskilled jobs,while reducing heating costs and diesel leadership and interest to succeed.To date, biomass dependence. If community members are interested, is not one of the renewable energy technologies the there are several programs to help them explore community has expressed interest in. biomass options. Information Insights Community Profiles 150 Page 157 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Larsen Bay Resources:State:UAF Alaska Wood Energy Costs and savings: Fish and solid waste systems: Development Task Group(AWEDTG)pre-feasibility unknown.Woody biomass:No cost to community for studies),AEA Biomass Program(technical pre-feasibility study through AWEDTG grant. System assistance),AEA Renewable Energy Fund(grants). cost:$100,000 minimum.Annual O&M:$500 plus 1 Federal: USDA-RD Rural Energy for America Program hour labor per day.(15)Savings depend on size of (small business or agricultural producers). system and local cost of wood.$250 to$300 per cord provides the same amount of heat as fuel oil at $3.50 per gallon. DIESEL EFFICIENCY AND HEAT RECOVERY • __ Medium Potential—In FY2013,diesel was used to generate only 3%of Larsen Bay's electricity,but there is still some opportunity for additional savings through optimizing diesel efficiency by improving maintenance and investing in operator training. There may be future potential to use excess hydro for heating. Issue:A Rural Power System Upgrade is in progress in Opportunity:One of the community's top energy Larsen Bay, including new generators,automatic priorities is securing full funding for power house switchgear and new Pelton wheel,to be completed in upgrades and rebuilding its electrical distribution 2014.The electrical distribution system is still in poor system.Replacement of most of the existing condition and needs major repairs.AEA has put underground distribution network is part of the RPSU together about half the money for upgrading the project and should be completed in fall 2015. power lines(45).The community would also like to replace street lights if funding allows. Issue:Heat recovery has not been implemented. Opportunity: If the hydro reservoir and Water jacket heat recovery can recover 10-20%of impoundment area are enlarged,study the feasibility the energy lost to heat in diesel systems and use it to of using excess hydro capacity for heating in Larsen lower fuel use and heating costs in nearby buildings. Bay.This could be an eligible RE Fund application. This opportunity is limited in Larsen Bay where diesel Contact the AEA Heat Recovery program manager for has become a backup generation source. more information. Issue:Operator proficiency and system maintenance Opportunity: Improve maintenance and planning are very important to diesel efficiency. In the 2012 practices. Provide operators with additional training RPSU study,operator proficiency was rated as Good at AVTEC to increase proficiency in more areas to or Acceptable in all areas except maintenance.(8) Good or Excellent levels. No cost for instruction, Funders want to see that diesel systems are well lodging and per diem for the 2-4 week course.The maintained and operating efficiently before funding community is responsible for travel and must have an new renewable generation projects. alternate power plant operator in the interim. Resources:State:AEA Powerhouse and Electrical Costs and Savings:Distribution system:$650,000, Distribution Upgrades Program,RPSU program,Heat including street lighting.Heat Recovery: Not known. Recovery program,Circuit Rider program,Power Diesel Efficiency:Improving diesel efficiency to 13.0 Plant Operator Training. Federal: Denali Commission kWh/gal,would save over 501 gallons of fuel each Training Fund. year and avoid$2,229 in fuel costs.AVTEC training: Travel costs to Anchorage. I EMERGING TECHNOLOGIES Unknown—Tidal or ocean power resources have not been identified in the waters near Larsen Bay, but more detailed resource mapping is likely to occur as these technologies continue to develop.Research and demonstration projects in these and other emerging energy technologies,such as heat pumps, low-power HVDC transmission,and flywheel energy storage systems,should be monitored to assess their potential for providing a local energy solution.The community is taking a "watch and wait"approach.(45) Information Insights Community Profiles 151 Page 158 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Larsen Bay ENERGY EFFICIENCY AND CONSERVATION • High Potential—The cheapest kilowatt or gallon of fuel is the one you don't have to buy.There is high potential to save on space heating costs and lower electric bills by actively promoting additional residential and commercial EE&C and by having public buildings and facilities(street lights and water/sewer system) audited to identify potential savings. Issue:The large majority of the community's housing Opportunity: Encourage any remaining residents who stock dates from the 1970s and 1980s.Housing of are income-eligible to weatherize through AHFC's or that era in the region are typically 2-star-plus to 3- KIHA's programs. (Owner-occupied homes already star homes,with energy costs that are 40-50%higher weatherized with NAHASDA funding may be able to than a 4-star-plus or 5-star home built since 2000. achieve additional savings through AHFC's Home KIHA recently did audits of all occupied homes, Energy Rebate program,which typically achieves according to Larsen Bay's mayor,and completed higher savings rates.) weatherization projects on 9 homes.That leaves up to 65%of older homes in Larsen Bay that could still be weatherized. Resources:AFHC:Weatherization(through Alaska Costs:State/federal:Up to$30,000 per home in rural Community Development Corporation).KIHA: U.S. Alaska(including transportation, logistics,overhead HUD NAHASDA Grants.KANA: Regional EE&C and health and safety measures). Local/regional: Coordination(pending grant funding) Outreach and coordination costs(not known).Annual Savings:22 MMBTU per home or 78 MMBTU community-wide if all remaining income-eligible homes are weatherized. Equivalent fuel savings are 562 gallons and$3,264 in avoided costs. Issue: No Larsen Bay residents have participated in Opportunity:AHFC's Roving Energy Rater AHFC's Home Energy Rebate program,which Program will send a home energy rater to a small provides higher energy savings(35%) per home community if there 3 homeowners sign up for an compared with weatherization programs in the audit.A community can increase HER participation region(18%savings)and has no income limits, but rates by actively promoting the program and requires the house to be owner occupied.Almost all encouraging residents to sign up or helping them to savings are in heating,so increased participation will do so.KANA has applied for an EDA grant to help not reduce electrical loads. coordinate and promote EE&C in the region. Resources:State:AFHC Home Energy Rebate, Costs:State/federal:Weatherization:$30,000 per Weatherization,and Roving Energy Rater programs. home in rural Alaska(including transportation, Federal:U.S.HUD NAHASDA Grants through KIHA. logistics,overhead and health and safety measures). Regional: EE&C Coordination through KANA(pending Home Energy Rebate:$4,800(average homeowner successful EDA grant application) rebate).Local/regional:Outreach and coordination costs(not known).Annual Savings:40 MMBTU per home or 438 MMBTU community-wide.Fuel savings: 3,142 gallons and$18,253 in avoided fuel costs. Issue: Nearly 60%of electricity in Larsen Bay is Opportunity:Larsen Bay's EE&C strategy should consumed by commercial customers and another focus on the commercial and public sector.Apply for 16%by public facilities.Only 22%of the electricity a village energy efficiency grant for help in upgrading produced is used by residents. multiple community facilities and infrastructure. Encourage local business owners to apply to AEA's Commercial Building Energy Audit(CBEA)program and follow through on cost-effective measures. Information Insights Community Profiles 152 Page 159 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Larsen Bay Issue:Before its 2012 energy audit,the Larsen Bay Opportunity: If the school district implements the School used over$5,000 in energy per student per most cost-effective measures(those with a savings to year(48).The AHFC audit identified 10 energy saving investment ratio over 1.0),energy costs can be measures.Statewide,many public facilities have not reduced by nearly$26,500(31%) per year with an made recommended improvements despite short investment of$191,000(payback of 7 years). payback periods for many recommended measures. KIBSD is in the process of making improvements, especially as repair and replacement needs arise(49). Issue: LED street lighting is highly efficient compared Opportunity:The community is seeking money for to conventional street lights.Though somewhat street lighting as part of its electrical distribution capital intensive,it can save up to 75%on energy project.Street light upgrades may be financed usage on public outdoor lighting. Information on the through grant and loan programs that include energy number,type and wattage of installed lights. efficiency among their guidelines. Resources:State:CBEA(commercial enterprises), Costs:An investment of$6 to 7 per square foot is Alaska DEED Capital Improvements Program typically needed to achieve a 30%energy savings in (schools).Alaska DCCED Alternative Energy and non-residential buildings,resulting in paybacks of 5-6 Conservation Revolving Loan Fund(public and years(15).Savings: Expect 10-15%annual savings on commercial facilities).AHFC Alaska Energy Efficiency public facilities EE&C improvements from making Revolving Loan Program(public facilities).Federal: only behavioral changes,15-25%savings if making all USDA RD Rural Energy for America Guaranteed Loan the most cost-effective changes,and 25-35%savings Program(small business),Federal Tax Deduction for if all recommended energy improvements are Commercial Buildings.DOE-IE START Alaska,other completed.Street Lighting:Estimate$1,000 per light. Tribal energy programs. Communities with populations of 50 to 100 have achieved annual savings of$2,200(6,150 kWh)with a investments ranging from$5,000 to$18,000 and average payback of 7 years.(25) Issue:Sanitation systems are one of the single largest Opportunity:Audit water and sewer system to energy uses in rural communities,accounting for 10% determine energy use and EE&C opportunities, to 38%of community energy use,depending on including the potential for heat recovery or solar system type and climate zone. thermal installation. Resources:Tribal:ANTHC.Federal: EDA Costs:Not known.Savings of$10,000 per year have been achieved in arctic communities.Savings may be lower in Kodiak region due to milder climate.A 10% reduction in energy use in Larsen Bay would save 35 MMBTU per year;379 gallons of fuel oil; 1,715 kWh; and$2,201 in avoided fuel costs based on modeling. FOSSIL FUELS Low Potential—Coal,oil and gas are not known to occur in large quantities in the Kodiak region.Coal beds on Kodiak Island are believed to be thin and likely not an economic resource.The geology also makes it unlikely that commercial quantities of conventional or unconventional oil and gas resources will be discovered.(16) GEOTHERMAL Low Potential—There are no known geothermal resources in the Kodiak region(16).With high capital costs, ground source heat pumps are economic only where heating costs are high and electric rates are low. Information Insights Community Profiles I 53 Page 160 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Larsen Bay HYDROELECTRIC High Potential —Larsen Bay's 475 kW hydroelectric plant met 97%of the communities need for electricity in Fy2013.The community is committed to continued development of hydropower as its top renewable energy priority and is seeking funding to increase capacity and reliability, including an expanded reservoir.The utility has received funding for a new Pelton wheel as part of its 2014-15 Rural Power System Upgrade project. The original hydropower plant went online in 1991 and ownership was transferred from the State of Alaska to the City of Larsen Bay in 2010. Issue: Larsen Bay's hydro infrastructure is at risk from Opportunity:Look for funding to assist in dismantling beaver activity above the reservoir.After a past event beaver dams incrementally to prevent sudden damaged equipment at the cannery,the Tribe and catastrophic failure.Work with ADF&G to design the City are seeking help in preventing future beaver control methods for preventing future hazards from dam breaches.The terrain is rugged making access to beaver activity. the area difficult. Resources:State:AEA Hydroelectric program, Costs:Expanded reservoir:$1.25 million(45). Beaver Renewable Energy Fund,Power Project Loans, damage mitigation:unknown.Savings: Not known. Community Development Block Grants,ADF&G Division of Habitat.Federal: Economic Development Administration grants,USDA Rural Development grants, Indian Development Block Grants.Private: Partnering with a for-profit entity to take advantage of new market tax credits. INTERTIE Low Potential—An intertie to Karluk has been looked at in previous studies,which concluded that the cost to construct an 18 to 20-mile intertie between the two communities would exceed potential savings.A 2009 study estimated Larsen Bay to Karluk transmission costs at$5.19 per kWh, using a rough estimate of$400,000 to$500,000 per mile based on statewide data(26).A 1983 study concluded that the cost of an intertie would be higher than the combined cost of hydro or diesel generation alternatives in both communities(27).While an intertie would theoretically allow wind or hydro resources to be tied in anywhere along the route, development of an energy project on National Wildlife Refuge lands or near the Karluk River(with its Wild and Scenic designation)would face additional environmental concerns and permitting challenges.Local interest in a transmission project is not known. SOLAR. Medium Potential—Solar does not offer a utility-scale solution in Alaska, but solar PV and solar thermal projects can provide relief for individual homes and facilities,especially those off the grid or that have high summer electric usage.KIHA installed solar hot water heaters in 9 homes in Larsen Bay.The project was grant funded and no data is yet available on whether this provides a cost-effective heating solution for additional homes in the region. Issue: Kodiak receives an average of 3 to 3.5 Opportunity:A 4 kW fixed-tilt solar PV array on a kWh/m'/day of solar radiation annually,with most building can produce 3,373 kWh of AC power per coming in April to August.While this is primarily a year if the solar panels are kept free of snow.At low-level,seasonal resource,it can provide savings to Larsen Bay's non-PCE rate of$0.44/kWh,that is the for equivalent of$1,484 of power purchased from the utility. Information Insights Community Profiles 154 Page 161 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Larsen Bay Resources:Federal:NREL:Funding,technical Costs:Capital costs:$3 to$10 per watt depending on support,PVWatts Viewer(calculates potential solar who does the installation,making the installed cost of energy production and cost),EPA IGAP,DOE-IE Tribal a 4kW system$12,000 to$40,000.Costs for a system energy programs.Other:Alaskasun.org(information, off the grid need to include the cost of battery contractors and supplies) storage.Savings:Not known. TRANSPORTATION INFRASTRUCTURE Medium Potential-The transportation component of barged fuel prices can be reduced by investing in marine infrastructure that allows fuel to be off-loaded safely and efficiently. Issues:Fuel barges currently have to anchor out in 1 Opportunities:A deepwater dock/moorage has been Larsen Bay.The community has a small boat harbor a top priority for Larsen Bay in recent community and but no dock, resulting in reduced competition among regional plans. In addition to lowering fuel costs a vendors and increased price since vendors are either deepwater dock would promote economic unwilling to deliver to the community or charge more development,allowing for expansion in fishing and because of the extra time and risk involved. tourism.The design, engineering and cost analysis for a dock was listed as a strategic project in the 2013 CEDS update,with the city as the lead entity.(50) (51) Resources:State:Alaska DOT&PF STIP,DCCED Costs:$550,000 for feasibility and design costs. Designated Legislative Grants. Federal: Denali Savings: It is difficult to estimate the savings on bulk Commission,EDA.Regional: Kodiak Island Borough, fuel costs since fuel prices fluctuate daily on the SWAMC. world market and vendors'cost data is proprietary. Wind Medium Potential—Wind was recommended as one of three renewable energy pathways for Larsen Bay in the 2010 Alaska Energy Pathway plan.(The others were wood and hydro.)A wind metering study has not been completed, but wind models indicate class 4 to 6 winds.At this point,the community is committed to further developing its hydroelectric resources,so a wind project is not anticipated in the short-term. Issue:A wind project will be challenged by small Opportunity:Wind is easier to integrate with hydro diesel electric loads in Larsen Bay,as well as steep than with diesel.The hydro dam can be used like a terrain needed to access ridges. battery to store a few days or weeks of excess energy.(52) Resources:State:AEA Anemometer Loan Program, Costs:Feasibility study:$70,000. Renewable Energy Fund, Power Project Loans, Community Development Block Grants. Federal: Economic Development Administration grants, USDA Rural Development grants, Indian Development Block Grants.Private:Partnering with a for-profit entity to take advantage of new market tax credits. Information Insights Community Profiles 155 Page 162 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Larsen Bay Community and Regional Plans - - Year Report Title(Author) Community-specific, Energy-related Recommendations 2013 Kodiak Rural Regional 1. Design,engineering and cost analysis of deepwater Comprehensive Economic dock/moorage. Development Strategy (Kodiak Area Native Association) 2009 Kodiak Island Borough 1. Install wind metering tower to determine wind potential. Regional Energy Plan 2. Feasibility study on enlarging reservoir towards a long-term (Kodiak Island Borough energy goal of 100%hydropower. Community Development 3.Study tidal potential. Department) 4.Build road from Karluk to Larsen Bay to create hydropower inter-tie. 5.Replace older appliances with energy efficient appliances. 6.Upgrades required on distribution lines and transformers. 7.Diesel generator requires upgrade. 8.New efficient lights for the boat harbor,city buildings,school and public buildings. 2004 Larsen Bay Community Plan 1.Develop deep-sea dock to position Larsen Bay to capitalize on (Roberta J.Townsend its unique location on the west side of the Shelikof Straits. Vennel,AtokaSystems) 2.Develop basic infrastructure repairs and improvements. 2003 Kodiak Region 1.Water system improvement. Update to Comprehensive Economic 2001 Development Strategy- Revised(Kodiak Chamber of Commerce) Information Insights Community Profiles 156 Page 163 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Old Harbor OLD HARBOR F ca% -..,�'. �-sti• xr - r .-+l *E )S Y. � {gq� ,1 sem . x"h tj4 1 "^k7:4 't`'' i `---';: rt� eat - T I 't—�a- ,� c . VIZu- ' r Community Map . �-- 4.: ,`_. 3 a .,._.,. , -- . a z'a'1'` .'. OLD HARBOR �H.. 4g _ " a n .t. 0 ( 1� J r t I.FuEO➢ ,n',/'rir' j.P 1 +' l `.. r= Reid- ca ceran—hd.t am aw. 1 ' a , --7— ^: re anwt ' tt �vJ ` y � w 3 i` `\€ 3.i ` 9174-s .a .21 0‘17:-'-.7, \ kt t 'invr£ria 3"-h,� rieo Nt iRI2111t101 \w n + x- ! "coiled`« k�.t�Tirvoo p�y;.p• it -. a ✓r s1.447,4„.,„ ..y L7' _ m R { p5 sa �g�n . f 3t "'�" ..e r J]1p'}.F' '- rK�[i."r L`�Wi :`fir, t t .4! Fte � '''}S' �y ✓ M1:fHi4 6 i �T ` �.. ., r ,w f t d _ 9 i '_� t 'L"�^-..ti' !,,-„,,., -..i. �"�� "r fix" !-1.91. � ��.p5�` " -^ Community Energy Secure funding for Old Harbor Hydroelectric Facility Priorities' Continue energy efficiency upgrades in public buildings Alaska Energy Wood-Hydro-EE&C-Heat Recovery Pathway Stakeholders Groups City of Old Harbor(operates water utility and share of tank farm) Old Harbor Native Corporation AVEC(electric utility) �� Energy Champions' Cynthia Berns(Old Harbor Native Corp) Sources:(20)(2)(53).Notes:1/Not ranked.Based on early input.Additional input to be gathered in Phase II. Information Insights Community Profiles 57 Page 164 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Old Harbor TOTAL ENERGY USE — Electrical Generation Diesel:845 MWh Sold:775 MWh Line Loss:4.9% Renewable:0 Powerhouse:3.4% Community Load (2) Average 73 kW Electric Customers Residential:95 Peak: 162 kW Community Facilities: 120 Other(Non-PCE): 19 Annual Fuel Use Electric: Space Heating: (2) Transportation: (2) 58,192 gals. 108,334 gals 28,976 gals Fuel Price Electric:$4.13/gal. Heating:$5.87/gal.of Transportation: 41 Oil (Jan. 2014) (5) NA Average Monthly v. N Heating Fuel Price per Gallon-Old Harbor Household Energy Bills 8 —141 Fuel Oil 'r. #1 Region Avg. #1 Rural Avg IT) ■Heating D Electric = 57.00 - --- ------- ------ c $6.00 --- $aao $478 $470 ea 1 $5.00 — ------ $4.00 _- - -__ ................ $359 $351 $372 , , $3.00 <. .;. $2.00 ______ I E1 '1 I I MOI $1201 $1.00 Old Rural Region $0.00 r r ---r- i i r -----, Harbor Average Average 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Old Harbor Electric Rate o .c 100 94.9 FY13 2 90 - --- -- I O Residential Base Rate a`) 80 -- ---- El PCE Rate(1st 500 kWh) t7 70 - -- — - - -- E 50I edffi am m 40 45 7 __ 30 1 20 I $.20 $:2210 _ � f 0 - _ _ I Old Rural Region mo g tel iD ^ O '" ^' 0 0 0 Harbor Average Average o 0 0 0 0 o N o 0 0 Sources(except as noted):(7). Information Insights Community Profiles 158 Page 165 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Old Harbor ELECTRIC GENERATION Utility Alaska Village Electric Cooperative-AVEC PCE(level) Active($0.43/kWh) RPSU Upgrade Not known. Diesel 61:45 kW.62: 101 kW. Renewable Capacity 0 Capacity 63: 190 kW Diesel 61:Caterpillar 3306–Fair Load Sizing Properly sized Generators 62:Caterpillar 3306–Fair Load Imbalance 10-25%Imbalance G3:Detroit Diesel S60 –Fair ) Diesel 14.53 kWh/gallon Switchgear Manually synchronizing switchgear Efficiency Residential Effective:$0.20/kWh(1"500 Cost per kWh Sold Fuel:$0.31; Non-Fuel:$0.27 Rate kWh).Base:$0.63/kWh Total cost:$0.58 Operator Excellent:Routine Heat Recovery No Proficiency Maintenance,logs,etc. Good:Scheduled maintenance and planning Known Birds cause phase to phase shorts which leads to local service interruptions. Issues Generation Average Fuel Price Paid Costs •o 5.70 by Electric Utilities FY13 o 5.60 Per Gallon -v 5.50 --._ ' ..-...... $4.13 $4.29 $4.16 d rl 5.40 $.30 —Generation Costs $.2D —Residential Base Rate $.10 – 5.00 ,-- __-r- _-----r 2009 2010 2011 2012 2013 Old Harbor Rural Region Average Average Electric Old Harbor Electric Sales,FY2013(KWh) Average Annual Electric Use Sales by by Customer Type(kWh) Customer "' 20,000 -- -- 189v299 ---_-_--- -- Type 199,407 :; ms 29,104 - 25% 23% «..l 4% 15,000 10,000 \\ ..s.. 386;479 48% 5,000 O Residential s Public Facility - UCommercial/Govt. •Utility Use Old Harbor Rural Average Sources(except as noted): (7)(8) Information Insights Community Profiles 159 Page 166 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan 1 Phase I,Vol.II Old Harbor ENERGY EFFICIENCY AND CONSERVATION - Residential Occupied Housing Type, Average Home Avg.HH Size/ Median HH Energy Cost as a Housing Units including Vacant Size(est.)' Overcrowding Income %of Income 73 113 Single Family 1,056sf 2.9/No $50,179 11% Age of Housing Stock in Old Harbor Estimate Annual Average Annual 34 37 Energy Use per Home Home Energy Bill — 124 MMBTU $5,281 18 15 — — Note: Older homes are typically less energy- ry S efficient than newer homes,due to rte, improvements in building technology and Earlier 1940s 1950s 1960s 1970s 1980s 1990s 2000s 2010s energy efficiency over time. Additional Percent of Energy Efficient Housing Stock Annual Home Annual Home Residential „ ,,.... Energy Savings Energy Savings EE&C Work a New/BEES-certified Achieved Opportunity Remaining �' r 7- ”, gi o Home Energy Rebates 524 MMBTU 1,997 MMBTU 68% a � o Weatherized Homes 3,761 gals. 14,338 gals $22,075 $84,165 50 x " El Not Retrofitted Assumptions:Average energy savings for region 68Y based on 2008-13 ARIS data (35%HER, 18%AHFC weatherization projects). Retail fuel cost:$5.87/gal. Non-residential No.of Public/ Types of Non- Est.Annual Non-residential Non-residential Non-residential Commercial residential Energy Use per Buildings EE&C Measures EE&C Savings Buildings' Buildings Building' Audited Identified Achieved° 31 See Appendix B 1,178 MMBTU See Appendix B See Appendix B 41%lighting 17%fuel LED Street Street Lighting Estimated,Cost LED Street Street Light Street Lighting Lighting Remaining of LED Street Lighting Annual Number Type Upgrade Opportunity Light Retrofit° Energy Savingss Not Known Not Known No 100% $1,000 per light 6,000 to 18,000 or$14,000 to kWh $28,000 total $2,500 to 8,500 Water&Sewer Estimated Estimated Cost Estimated System Type/ Annual Water Sanitation of Water& Annual Water& No.of Homes Water and &Sewer System Energy Sewer EE&C Sewer Energy Served Sewer Rates Energy Use' Audit Performed Upgrades Savings6 Water: Pressure NA 750 MMBTU Not Known Not Known 75 MM8TU Sewer:Gravity 4,487 gals. (Lighting 703 gals. 73 Homes 36,826 kWh upgraded in 3,683 kWh 2005-06 VEEP) $4,124 Sources:(9)(10).Notes: 1/Based on Energy End-Use Study data(11).2/Based on number of electric rate payers.3/ Based on Energy End-Use Study and 2013 Alaska Housing Assessment data(11)(12).4/Fuel savings in 3 buildings. Lighting in 7 buildings.5/ARIS data for communities of 50 to 100 people.6/Assumes 10%savings on fuel and electric. Information Insights Community Profiles 160 Page 167 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Old Harbor DIESEL EFFICIENCY AND HEAT RECOVERY Annual Savings Est.Annual from Diesel Heat Recovery . Buildings Additional Heat Estimated Cost Savings from Efficiency Installed at Heated with Recovery of Water Jacket Water Jacket Increase of 5%! Power Plant Waste Heat Opportunity Heat Recovery Heat Recovery 2,765 gals. - Capital cost: 534 MMBTU2 $11,418 No No NA $200,000 or and up 10 to 20% BULK FUEL Capacity Tank Farm(City shared with Fuel Purchase City of Old Harbor has a bulk (54) school): 120,000 fuel purchasing agreement Tank Farm(AVEC): 39,900 with AVEC;fuel for both city and AVEC tanks is delivered at same time. Bulk Fuel Completed in 2001;Two Vendors Petro Marine Upgrade 27,000 gallon tanks installed in city tank farm in 2012 for airport upgrade. By Barge Fuel delivered by barge 4 times/year By Air No Cooperative Already in place. Purchase Sources(except as noted):(53).Notes:1/Based on FY2013 PCE data(7).2/2010 Alaska Energy Pathway estimate has not been updated or verified(4). Information Insights Community Profiles 161 Page 168 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Old Harbor ENERGY PLANNING BIOMASS.. . .._-r. Unknown-The 2010 Alaska Energy Pathway plan identified wood as one of the renewable resources available to Old Harbor,yet the area is characterized by high brush vegetation and alpine tundra.The community has one fish processor with an unknown potential to provide fish oil for use as biofuel.There are no sawmills to provide wood and no class 1 landfills to supply solid waste in sufficient quantities for a heat or combined heat and power project. it ^ , s ipaT 2R v � �b� ' J" ®aa.wanes re. Acre.ion naeaow Qsnmo..ryrtoe M..ew. Yt �aBn.F�M ani p Ha,mv x p a Wn�`aub' OI�(��f 'fb ♦�{�{}� 'kS' Y,'Y ( QMtla Heel O Heel Hummocks Q Sabrwicerry-EMGReny \"' `x'$ . 13�F I• j/Ar�rr� Q O apse Tonere O Hol Hummocks u Sorb. O Sand end Grassi 9eeNee JM r }y lila Qpuex..Fmwgentx �r�HmI VIFarox Qin a'°'•"e1a°^ y h ,.(. " .ybe J,r�, O Bnok y!NM beds n Sand ap Grovel Reads a ma � f v. ':_4. �' SW-y: ®cne fresh water �]Lu.vnw 1:=1 Sedge Marsh ry v. ,. ! CC�rxmd.arch& OwMLau V.sbs ©:aet!oe.Weeands tt NN & e L � "� k L(' ' /' � •v ��,x AMlr OLvx Sedmenl Mame Water O9u9w fresh water ( I r i2 rMb x Opean.OlrM Hch Segment Mean Wrier C Sem Sprite Krummldx \ a ^ _,ry p� Cm ccm we G UGxY tow sprv[a Repereratcn 4:4,i, ..„..,,,:. < 'S ��YF , Den!'Shke Gpruco MW crab O ar}ldb S © ° caw endpemaramhce Harbors- y.....,,, O m tiMoss =]M,,, p..3n. o cc—Colon oad 0 pia x M-owen tore .,,,_,,..„:4,,,,,. .. ... J �J�j4�fp" Ear �rM'lu" & ©TallWhbw . r/. "" Odymus Fun Meadow l3 Open.W r-Foot bread4w =Talus t e•rc.T In,09ymux Gn®nnW C Aldo OxMadam Saock r a am a EMatxousahen BM ED� -eutl'ad IJ Mala 3comeMManne � r TA ..t r a witts O rem Fat Meadow CI Atl rsu:erM SIC!! O[ Tongue rt.'; a3 w CO Fue.eed Fe±Ma.mr Oen opsoon OH..m yr orgme On'-L:Ok • � i y�. Fort Meadow MS O QSl Wn Ma Spare O ne &into . jail+ =r -L' C Gremmid WetlandQ hcsTCa Shad Tundra Iz ClWCnW Shadow Issue: Dominant vegetation types include shrubs and Opportunity:If the community is interested in using grasses with few trees.The federal government owns woody biomass to heat one of its community significant land holdings near Old Harbor,which are buildings, a reconnaissance study can assess whether protected as part of the Kodiak National Wildlife there is a sufficient forest resource available to the Refuge.Other lands near the community are owned community to sustain a modestly scaled project,such by village or regional Native corporations. as a GARN boiler. Issue:Wood biomass projects have the added benefit Opportunity:Economic development is a priority in of creating local jobs as wood cutters and boiler Old Harbor,which is promoting efforts to improve operators, but they require strong community infrastructure, bring down cost of living and increase leadership and interest to succeed.To date,biomass employment opportunities.A community biomass is not one of the renewable energy technologies the project with strong local champions could provide community has expressed interest in. both skilled and unskilled jobs,while reducing heating costs and diesel dependence. If community members are interested,there are several programs to help them explore biomass options. Issue:In Alaska,biodiesel is primarily manufactured Opportunity: Biodiesel can be blended with#2 diesel from fishmeal processors, not those who produce or used directly in generators,other engines, boilers whole fish,fillets or canned salmon. Most is used and fishmeal dryers.If not processed immediately, onsite by processors themselves or may be exported fish waste degrades rapidly and quickly loses its as animal feed supplements or for other uses. value.To make biodiesel manufacture attractive, Currently,a lot of fish waste is ground up and diesel prices must be high enough to offset capital dumped into the ocean where it can disrupt marine costs for equipment to extract oil from fish waste. ecosystems. Information Insights Community Profiles 162 Page 169 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Old Harbor Resources:State:UAF Alaska Wood Energy Costs and savings: Fish and solid waste systems: Development Task Group(AWEDTG) pre-feasibility unknown.Woody biomass: No cost to community for studies),AEA Biomass Program(technical assistance), pre-feasibility study through AWEDTG grant. System AEA Renewable Energy Fund(grants).Federal:USDA- cost:$100,000 minimum.Annual O&M:$500 plus 1 RD Rural Energy for America Program (small business hour labor per day.(15)Savings depends on size of or agricultural producers). system and local cost of wood.$250 to$300 per cord provides the same amount of heat as fuel oil at$3.50 per gallon. DIESEL EFFICIENCY AND HEAT RECOVERY Medium Potential-Diesel is currently used to generate 100%of Old Harbor's electricity.There is an opportunity to improve the operation of the community's powerhouse, particularly as it affects successful integration with the proposed hydro facility. Issue: Old Harbor's power plant is in good repair and Opportunity:Ensure the powerhouse and the generators have an average diesel efficiency rate distribution lines are in top condition for efficient of 14.5 kWh/gal.(7)(8). integration with future hydro plant,including installing automatic paralleling switchgear,balancing three phase power to increase diesel efficiency and reliability,and addressing line loss(14). Increase efficiency by 5%to 15.3 kWh/gal. Issue: Heat recovery has not been implemented at Opportunity.Water jacket heat recovery can recover the Old Harbor powerhouse.The potential for savings 10-20%of the energy lost to heat in diesel systems, from heat recovery may be limited in future if lowering heating costs in nearby buildings.Assess electrical generation comes primarily from near-term costs and benefits on installing heat hydropower, but could still be an option if there is recovery in the diesel powerhouse and future excess hydro capacity. potential for electric heat dump loads from excess hydro.This could be an eligible RE Fund application. Contact AEA Heat Recovery program manager. Resources:State:UAF Alaska Wood Energy Diesel Efficiency: Costs not known.Savings: Development Task Group(AWEDTG)pre-feasibility Increasing diesel efficiency by 5%to 15.3 kwh/gal. studies),AEA Biomass Program(technical assistance), would save 2,765 gallons and more than$11,400 per AEA Renewable Energy Fund(grants).Federal: USDA- year.Heat Recovery:Capital costs were modeled at RD Rural Energy for America Program(small business $226,695 in 2010 with annual O&M costs of$6,801, or agricultural producers). and annual savings of$236,000 per year. (Note: These estimates from the 2010 Alaska Energy Pathway have not been updated or verified).(2) E EMERGING TECHNOLOGIES Unknown—Early reconnaissance models suggest that tidal energy at Whale Passage near Port Lions and Ouzinkie Narrows may have potential. No sites near Old Harbor have been identified, but more detailed resource mapping is likely to occur as these technologies continue to develop. Research and demonstration projects in these and other emerging energy technologies should be monitored to assess their potential for providing future energy solutions. Information Insights Community Profiles 163 Page 170 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Old Harbor ENERGY EFFICIENCY AND CONSERVATION High Potential—Old Harbor has already completed the VEEP retrofit program and should continue saving on energy costs by actively promoting additional residential and commercial EE&C.Opportunity also exists in retrofitting street lights in Old Harbor. Residential Energy Efficiency. Issue:Sixty-five percent of the community's housing Opportunity: Encourage remaining residents who are stock was built before 1980.Housing of that age in income-eligible to weatherize through AHFC's or the region typically is rated at only 2 or 2-star-plus, KIHA's programs. For owner-occupied homes,even if with energy costs that are 50-75%higher than a 4- already weatherized,there is an opportunity for star-plus or 5-star home built in the 2000s.Sixty-eight additional savings through AHFC's HER program. percent of the residential homes in Old Harbor have not been weatherized. Issue: No Old Harbor residents have participated in Opportunity:AHFC's Roving Energy Rater AHFC's Home Energy Rebate program,which Program will send a home energy rater to a small provides higher energy savings(35%) per home community if there 3 homeowners sign up for an compared with weatherization programs in the audit.A community can increase HER participation region(19%savings)and has no income limits, but rates by actively promoting the program and requires the house to be owner occupied. encouraging residents to sign up or helping them to do so. KANA has applied for an EDA grant to help coordinate and promote EE&C in the region. Resources:State:AFHC Home Energy Rebate, Costs:State/federal:Weatherization:$30,000 per Weatherization, Roving Energy Rater. Federal: U.S. home in rural Alaska (including transportation, . HUD NAHASDA Grants through KIHA. Regional:EE&C logistics,overhead and health and safety measures). Coordination through KANA(pending grant Home Energy Rebate:$4,800(average homeowner application) rebate).Local/regional:Outreach and coordination costs(not known).Annual Savings: Energy: 1,997 MMBTU.Fuel (gallons): 14,338. Fuel(cost):$88,165. Non-residential Energy Efficiency Issue: Old Harbor completed a village-wide lighting Opportunity:There is significant opportunity for retrofit on 7 public buildings in 2005-06 with savings from upgrades to the building envelope, additional savings from thermostat setbacks and ventilation,mechanical systems,and refrigeration in boiler controls on a few buildings.There is no record non-residential buildings.Apply for audits through in state EE databases of other energy efficiency AFHC's Commercial Energy Audit program and measures or audits being performed on non- encourage business owners to apply to AEA's residential community or commercial buildings Commercial Building Energy Audit(CBEA) program. EE&C paybacks are generally short enough to make upgrades worth pursuing even if funding only covers audits and not upgrades. Issue:There is no record of LED street lighting Opportunity:LED street lighting is highly efficient retrofits in Old Harbor. compared to conventional street lights.Though somewhat capital intensive,it can save up to 75%on energy usage on public outdoor lighting. Information on the number,type and wattage of installed lights. Information Insights Community Profiles 164 Page 171 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Old Harbor Resources:State:CBEA(commercial enterprises), Costs:An investment of$6 to 7 per square foot is Alaska DEED Capital Improvements Program typically needed to achieve a 30%energy savings in (schools).Alaska DCCED Alternative Energy and non-residential buildings, resulting in paybacks of 5-6 Conservation Revolving Loan Fund(public and years(15).Savings: Expect 10-15%annual savings on commercial facilities).AHFC Alaska Energy Efficiency public facilities EE&C improvements from making Revolving Loan Program(public facilities).Federal: only behavioral changes,15-25%savings if making all USDA RD Rural Energy for America Guaranteed Loan the most cost-effective changes,and 25-35%savings Program(small business), Federal Tax Deduction for if all recommended energy improvements are Commercial Buildings.DOE-IE START Alaska,other completed.Street Lighting:$1,000 per light or Tribal energy programs. $14,000 to$28,000 in total project costs for communities of 100-250 people.Savings:6,000 to 18,000 kWh per year.(25) I FOSSIL FUELS • Low Potential—Coal,oil and gas are not known to occur in large quantities in the Kodiak region.Coal beds on Kodiak Island are believed to be thin and likely not an economic resource.The geology also makes it unlikely that commercial quantities of conventional or unconventional oil and gas resources will be discovered.(16) GEOTHERMAL • Low Potential—There are no known geothermal resources in Kodiak region(16).Ground source heat pumps have high capital costs and are typically economic only where heating costs are high and electric rates are low. • HYDROELECTRIC High Potential —Significant work has already been done on design and permitting for a hydroelectric facility in Old Harbor.A top priority of Old Harbor and AVEC,the proposed hydroelectric facility will be capable of producing 2,018 MWh with a capacity of 262 kW.The facility will operate year round and is designed to meet all existing and future electricity needs of Old Harbor.AVEC and the city of Old Harbor are seeking funding for the next phase of development: Final Design and Permitting. • SOLAR Medium Potential—Solar does not offer a utility-scale solution for Old Harbor,but solar PV and solar thermal projects can provide relief for individual homes and facilities. Kodiak receives an average of 3 to 3.5 kWh/m2/day of solar radiation annually,with most coming in April to August.A 4 kW fixed-tilt solar PV array on a building in Kodiak can produce 3,373 kwh of AC power per year if the solar panels are kept free of snow. At Old Harbor's non-PCE rate of$0.63/kWh,that is the equivalent of$2,125 of power purchased from the utility. KIHA outfitted 18 households in Old Harbor with solar hot water systems.The project was grant funded and no data is yet available on whether this provides a cost-effective heating solution for additional homes in the region. Issue: If more households or businesses meet some Opportunity:Using solar technologies to reduce of their electrical needs through self-generation,the space and hot water heating costs may be more challenges of integrating new utility-scale renewable economical than using solar to generate electricity resources into a small load intensify. and will not reduce the utility's electric load. However,systems are significantly more complex to i v set up and maintain than PV arrays and so having Il trained and knowledgeable operators is important. Information Insights Community Profiles 165 Page 172 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan Phase I,Vol.II Old Harbor Resources:Federal:NREL(funding,technical Costs:Capital costs:$3 to$10 per watt depending on support),PVWatts Viewer(calculates potential solar who does the installation, making the installed cost of energy production and cost), EPA IGAP,DOE-IE Tribal a 4kW system$12,000 to$40,000.Costs for a system energy programs.Other:Alaskasun.org(information, off the grid need to include the cost of battery contractors and supplies) storage.Savings: Not known. ,-_. TRANSPORTATION INFRASTRUCTURE Low Potential—Old Harbor's city dock was replaced with a 56'wide by 102' long dock in 2012.With general lighting and navigation lights and 825 linear feet of fuel pipe and a fuel header,the new dock allows fuel barges to offload fuel to the tank farm(55). • WIND • Low Potential—A met tower installed on a peninsula of Sitkalidak Island collected seven months of data.The test site was expected to show the best potential for wind power development in Old Harbor.The data showed a marginal wind resource(56).The community does not show interest in taking another look at wind at this time. Information Insights Community Profiles 1 66 Page 173 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Old Harbor COMMUNITY AND REGIONAL PLANS Year REPORT TITLE(AUTHOR) Community-specific,Energy-related Recommendations 2013 Kodiak Rural Regional 1.Replace current diesel generation with hydroelectric. Comprehensive Economic 2.Airport improvements. Development Strategy (Kodiak Area Native Association) 2009 Kodiak Island Borough 1.Follow through on installation of solar hot water heaters and Regional Energy Plan installation of newer appliances. (Kodiak Island Borough 2. Feasibility study on tidal energy source. Community Development 3.Wind generation study demonstrated that wind is not Department) consistent enough to provide a means of alternate energy. 4. Initial planning with AVEC regarding hydro power. 2008 Kodiak Island Borough 1. Upgrade the current boat harbor and develop a deepwater Comprehensive Plan Update dock and bulkhead system that will accommodate additional (Kodiak Island Borough) freight services,especially gas and building materials. 2. Expand air access through airport expansion. 3.Monitor alternative energy sources, implementing when they become feasible. 4.Develop hydroelectric facility in town. 2005 Community of Old Harbor, 1.Upgrade boat harbor and develop deepwater dock and Alaska Community Plan, bulkhead system. Visions,Goals and Action 2.Determine what alternative energy approach would work best Plans for Old Harbor. 3. Improve air traffic access to and from Old Harbor via a new airport capable of handling up to a C-130 cargo plane. 4. Provide a well-maintained and viable road system in Old Harbor. 5.Provide additional or improved docking facilities to handle marine traffic in Old Harbor. 6.Erosion control. 7. Requested to be included in the Terror Lake Intertie. 8. Remove dangerous fuel tanks that are located near the shoreline and begin utilizing an 80,000 gallon tank farther inland. 2003 Kodiak Region 1. Harbor improvements. Update to Comprehensive Economic 2.Airport and harbor power. 2001 Development Strategy- 3. Hydro project. Revised (Kodiak Chamber of Commerce) 1989 Comprehensive Plan and 1. Upgrade current 480 volt electrical system to the standard CIP,Old Harbor,City of the 7200 volt system. Three Saints 2.Divide town into separate grids for ease of maintenance on system. 3.Continue to monitor alternative energy sources and will implement alternative sources when they become feasible. Information Insights Community Profiles 167 Page 174 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Duzinkie OUZINKIE `4.,"t-..:t r'-.�.1t% ate-€ r s' '"/y t_Pi 4 .1 ii �-: *'S u 1• �- +.' �} Zit" 1g t t ,•'-z, ry[r�O i.. .c Are 4r:44 a f ,,,.,,,w,..it w rn A4' 'u tt i �,1` Ce%'i .,�.4 ` — ; Community Map _. (,,,,. ., .}4'.* -- a i OUZINKIE : t %a r , „f({f Jig +a re. e O,£,Fj r s c LUZANQ rx .,.--P a ga. / P .. .. ,�. '3w. , .. Airs ":.`it - ua: uM gat a .a-m '•tiki, .z-„ ,;:-.4t: f,si. 'dG "� r OA 4 ?'. M 2 r f i '' '" t ...!t ,A 'r't..,. � 1 i? if Ittrrjr �yC a`r 4 xx„,�� i351-..4.s :o rt w\}C } "14 } 4 keits,Community Energy Repair and increase capacity of hydro dam Alaska Energy Pathway Priorities' Develop wind energy Wind-Wood-Hydro Intertie to Kodiak grid Become 100% renewable in energy generation Local Stakeholders City of Ouzinkie(operates all utilities) Groups Ouzinkie Native Corporation(landowner,tank farm owner) Native Village of Ouzinkie(federally recognized tribe) Energy Champions' Dan Clarion(mayor/utility manager),Ouzinkie Native Corp.(landowner) Sources:(20)(2)(57).Notes:1/Unranked,based on early input.Additional input to be gathered in Phase II. Information Insights Community Profiles 168 Page 175 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Ouzinkie Total Energy Use Electrical Generation Diesel:515 MWh Sold: 690 MWh Line Loss:3.7% Renewable: 239 MWh Powerhouse:4.8% Community Load [RE Vi 982] Average 100 kW Electric Customers Residential:77 Peak: 170 kW (7) Community Facilities: Minimum:70 kW 10 — Other(Non-PCE):22 Annual Fuel Use Electric: Space Heating: Transportation: 40,800 gals 78,788 gals(4) 21,073 gals(4) Fuel Price Electric:$4.76/gal Heating:$4.44/gal of Transportation: #1 Oil(Jan.2014)(5) NA Average Monthly^ Heating Fuel Price per Gallon-Ouzinkie Household Energy Bills un u —6—#1 Fuel Oil :: #1 Region Avg. • #1 Rural Avg ID ®Heating D Electric $7.00 -- ------ ----- ---- --- h0 $600 - — -- $478 $470 v $5.00 _. -__-_ _ --- —.... . '---� z $342 = , $4.00 — _— $359 $351 $3.00 ---Y --- $295 .r '- IaDI Iel $1.00 - Ouzinkie Rural Region Average Average 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Ouzinkie Electric Rate o v r 140 - - -- - --- FY13 0 3 D Hydro !Wiese! 116 CO E 120 D Residential Base Rate a`) o PCE Rate(1st 500 kWh) a) 100 0 u 80 v _;. �mWiit w • r . Grr++ 40 .t yyOgg 20 CFS LT' -_. Ouzinkie Rural Region o g o 0 0 0 S' oti `° Average Average 0 0 0 0 0 0 0 0 0 0 Sources(except as noted):(7) Information Insights Community Profiles 169 Page 176 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Ouzinkie Electric Generation _ Utility City of Ouzinkie PCE(level) Active($0.22/kWh) RPSU Upgrade Completed Diesel G1:45 kW/G2: 101 kW/ Renewable Capacity 125 kW Capacity G3: 190 kW Diesel G3:John Deere 4045—Like new Load Sizing Properly sized Generators G2:John Deere 6068—Like new Load Imbalance 10-25% G3:John Deere 608-Fair Diesel 12.6 kWh/gal. Switchgear Parallel switchgear. Fully automatic Efficiency synchronizing switchgear Residential Effective:$0.14/kWh(1"500 Cost per kWh Sold Fuel: $0.28;Non-Fuel:$0.24 Rate kWh).Base:$0.37/kWh Total cost: $0.52 Operator Acceptable: Routine Heat Recovery This section of the RPSU survey was Proficiency Maintenance, logs,etc. not completed. Unacceptable:Scheduled maintenance and planning(8) 'Known Hydro system not able to run at capacity because penstock and darn are failing.Outages from sync Issues issues with hydro system.Distribution system needs major repairs.Meters corroded,need replacing(customer problem)(8). Generation Average Fuel Price Paid Costs o $.60 by Electric Utilities FY13 Per Gallon 3 _ $4.76 s _ $4.29 $4.16 v n $30 5.20 —Generation Costs $.10 ---- —_..___-__ ---------- -Residential Base Rate $.00 2009 2010 2011 2012 2013 Ouzinkie Rural Region Average Average Electric Ouzinkie Electric Sales,FY2013(KWh) Average Annual Electric Use Sales by by Customer Type(kWh) Customer20,000 -------- - T fO;135 36,020 Ype <x .i 15,000 141,409)" 10,000 - - 19% 308,609 43% 5.000 ____ .::: D Residential •Public Facility - -E ..— D Commercial/Govt. S Utility Use Ouzinkie Rural Average Sources(except as noted):(7)(8) Information Insights Community Profiles 170 Page 177 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Ouzinkie _ Energy Efficiency and Conservation — Residential Occupied Housing Type, Average Home Avg.HH Size/ Median HH Energy Cost as a Housing Units including Vacant Size(est.)' Overcrowding Income %of Income 103 105 SF,6 1,056 sf 2.9/No $34,375 15% Duplex, 13 MF Age of Housing Stock in Ouzinkie Estimate Annual Average Annual Energy Use per Home Home Energy Bill 63 — 122 MMBTU $4,104 18 23 Note: Older homes are typically less energy- 4 6 10 efficient than newer homes,due to �.-, ,_ T❑ ------t I. .,I+, -, ----- improvements in building technology and Earlier 1940s 1950s 1960s 1970s 1980s 1990s 2000s 2010s energy efficiency over time. Additional Percent of I Energy Efficient Housing Stock Annual Home Annual Home Residential Energy Savings Energy Savings EE&C Work 0. o New/BEES-certified Achieved Opportunity Remaining - 23 C Home Energy Rebates 515 MMBTU 1,288 MMBTU 72% 22% ) a Weatherized Homes 3,696 gals. 9,250 gals. -.. s o Not Retrofitted $17,370 $43,474 74 , Assumptions:Average energy savings for region72% "A based on 200813 ARIS data (35% HER, 18%AHFC a; weatherization projects).Retail fuel cost:$4.70/gal. Public and Commercial Buildings No.of Public/ Types of Non- Est.Annual Public or Non-residential Non-residential Commercial residential Energy Use per Commercial EE&C Measures EE&C Measures Buildings' Buildings Building' Building Audits Identified Implemented 32 See Appendix B 1,178 MMBTU School None reported — Other Community Infrastructure —� LED Street Street Lighting Estimated Cost LED Street Street Light Street Lighting Lighting Remaining of LED Street Lighting Annual Number Type ---i Upgrade Opportunity Light Retrofit° Energy Savings° Not Known Not Known No 100% $1,000 per light 3,000 to 9,700 or$10,000 to kWh/$1,900 $30,000 total to$4,200 Water&Sewer Estimated Estimated Cost Estimated System Type/ Annual Water& Sanitation of Water& Annual Water& No.of Homes Water and Sewer(W&S) System Energy Sewer EE&C Sewer Energy Served Sewer Rates Energy Use' Audit Performed Upgrades Savings' Water:Pressure $88/month If 1,059 MMBTU No NA 106 MMBTU Sewer: Gravity not subsidized 6,330 gals. 1,045 gals. 80 Homes (57) , 51,961 kWh I 5,196 kWh_ Sources:(9)(10).Notes:1/Based on Energy End-Use Study data(11).2/Based on number of electric rate payers(7).3/ Calculated based on Energy End-Use Study and 2013 Alaska Housing Assessment data(11)(12).4/Based on ARIS data for communities of 100 to 250 people.5/Assumes 10%savings on fuel and electric. Information Insights Community Profiles 171 Page 178 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Ouzinkie • Diesel Efficiency and Heat Recovery Annual Savings Est.Annual from a Diesel Heat Recovery Additional Heat Estimated Cost Savings from Efficiency of Installed at Buildings Heated Recovery of Water Jacket Water Jacket 13.0 kWh/gal.' Power Plant with Waste Heat Opportunity Heat RecoveryHeat Recovery 1,178 gals. No 0 NA Capital cost: 824 MMBTU' $5,605 $200,000 or and up 10 to 20% Bulk Fuel Capacity(58) Tank Farm:71,600 I Fuel Purchase City and utility purchase fuel School: 5,200 from Ouzinkie Native Corp. City: 1,400 which owns the tank farm. Bulk Fuel Completed Vendors Petro Marine Services Upgrade By Barge Fuel delivered by barge.With Ouzinkie's new dock,there are no issues with fuel delivery. Cooperative Ouzinkie would most likely not be interested I a cooperative bulk fuel purchasing program Purchase because of barge access issues in some communities.(57) Sources(except as noted):(57).Notes: 1/Based on FY2013 PCE data(7).2/2010 Alaska Energy Pathway estimate has not been updated or verified(4). Information Insights Community Profiles 172 Page 179 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Ouzinkie ENERGY PLANNING Biomass Medium Potential—Spruce Island has an abundance of tall spruce,and the 2010 Alaska Energy Pathway plan identified wood as one of the renewable resources available to Ouzinkie.The community has no fish processors to supply fish oil for biofuels, but is near processing facilities in Kodiak.There are no class 1 landfills to supply sufficient quantities of solid waste to fuel a heat or combined heat and power plant. est_ weer•WYbry me l G Fore Moe., I=`u mmCmylFne FwWv sermatr oer,bcm �y4 ��•{{{� `r p (�NOMe FOGIMatla+ I�H NHNena Wo.nt ry^/ 7t' )I None Heath I=H t,Hunmxb ) SenmMrry Eldirtern y" � yr \ QNpne farad (�n mrvi.nnKKx..,Faee QSand.r•e Gavel ee.m.e 43 g 4 V� qer.#t v ®Aqushc Fn gents off Heath wtFOGe lend aN GevelRver _ 'y r M O Eabak S Kelp Gable I�Sand and Gravel Reads . �d 0 0 pip 0, 5 En clear tint water Q LwWion, la Sedge Marsh t l-f . :fii0 .1 =Man wood.Poem C3 v-,law uwe.. CD sg.uross W.tanae bsie. at T s "• G _ DaIlgeIa f f•1T -ne1ee' ' Q Low semnen Manne Wane, r--1..fresh motel ealn aye ,•t:r '' onto.edrm HF,Sadlmend Maine Wan, CD 4%,sprvce Nnm,aaz p CA 1,; ®Dense Cottonseed C3 soma Grasslands St.Spese Reannersan 1._ "- ea Y cj Dena SOF.Spoon - MW Flab I�Aw'and rerrergnt he ra`je,' ). ?}libria ye v ODifanmtiMos, -fm+a Ga.Wetlands p Open Osterberg ®dermas. ®W narra111171 Tnf Wk. OrnFOrh rm Meadow at aa� . 11Zitttde e - C C»- ae�eee emit4 ° Fhureaanvren dogQ Mt'�oaraa I='",,W;?- m ryMnne_Øp *.} r '(tM- Od o rare rat t e o,w ODed W r.Na,red Saks ®Ganalor4re A �pItQFlre..w Fare Meadow QOpe en Heat w:rnq.and IED Fab Me0.bw Mb O Sita spud ED tint.* + Gremwd WeWnd Wovsae SMG Tndra eduotbW Shadow � At' Issue:There is an abundance of tall spruce on the ( Opportunity:Dry spruce can provide 19-22 MMBTU island.The Ouzinkie Native Corporation is the per cord.The UAF Alaska Wood Energy Development majority landowner,with other lands in private Task Group has an easy application process to ownership.Sufficient biomass may exist to sustain a request funding for a reconnaissance study to assess modestly scaled project,such as a GARN boiler,that the forest resources available to the community. could heat community building(s)in Ouzinkie. Issue:Wood biomass projects have the added benefit Opportunity:Economic development is a priority in of creating local jobs as wood cutters and boiler Ouzinkie which has been recovering from the decline operators, but they require strong community in its fishing industry.A community biomass project leadership and interest to succeed.To date, biomass with strong local champions could provide both is not one of the renewable energy technologies the skilled and unskilled jobs,while reducing heating community has expressed interest in. costs and diesel dependence.If community members are interested,there are several programs to help them explore biomass options. Resources:State:UAF Alaska Wood Energy Costs:Pre-feasibility:No cost to the community if Development Task Group(AWEDTG) pre-feasibility funded through AWEDTG grant.Minimum system studies),AEA Biomass Program (technical assistance), cost:$100,000.Annual O&M:$500 plus 1 hour labor AEA Renewable Energy Fund(grants).Federal: USDA- per day.(15)Savings:Depends on size of system and RD Rural Energy for America Program(small business local cost of wood. Burning SO cords per year in a or agricultural producers). small cordwood system could displace over 7,000 gallons($32,900)in diesel fuel per year.At$250 to $300 per cord,wood biomass provides the same amount of heat as diesel fuel at$3.50 per gallon.(4) Information Insights Community Profiles 173 Page 180 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan Phase I,Vol.II Ouzinkie Diesel.Efficiency and Heat Recovery High Potential-Diesel currently is used to generate 100%of Ouzinkie's electricity when water levels are too low to use hydro power,but in diesel systems 60%of energy is lost to heat even in the most efficient generators.Measures that improve diesel efficiency and implement heat recovery provide the opportunity for significant fuel savings that will lower the cost of generation and improve the community's ability to compete successfully for new renewable energy grants or financing. Issue:Ouzinkie's power plant has a diesel efficiency Opportunity:Improving diesel efficiency by 10%(to of 12.6 kWh/gallon.Fuel consumption for the 14.0)would save over 3,700 gallons of fuel per year powerhouse is high for the region at 4.8%of and$17,600 in avoided fuel costs. generation. Issue:Adding new renewable energy sources such as Opportunity: Balance three phase power to increase wind doesn't make sense unless the rest of the power diesel efficiency and reliability. Repair aging generation and distribution system is in good distribution system to address safety and efficiency condition,the utility is well-managed, heat recovery issues(replace old wiring,casing around poles, has been fully implemented,and energy efficiency corroded meters, re-sag conductors,etc.).(14)(57) upgrades have been completed. Issue:Currently the utility is charging$0.37 per kWh, Opportunity:Electric rates should cover fuel and while generation costs are$0.52 per kWh. non-fuel expenses.Reducing generation costs through efficiency will improve the economics of the utility. Issue: It appears that heat recovery has not been Opportunity:Analyze the feasibility of implementing implemented at the Ouzinkie power plant.Heat water jacket heat recovery at the power plant.AEA recovery can recover 10-20%of the energy in diesel provides feasibility studies for heat recovery systems. fuel by providing heat to nearby buildings while Utilities should contact the AEA Heat Recovery providing another source of revenue for the utility. Program Manager if they have opportunities to install The 2010Alaska Energy Pathway model estimated or expand a heat recovery system. 824 MMBTU in energy could be captured,but that number has not been updated or verified. Issue:Operator proficiency and system maintenance Opportunity:Improve maintenance planning. Provide are very important to efficiency. Funders also want to all operators with additional training to increase see that diesel systems are well maintained and proficiency to Good or Excellent levels in all areas. operating efficiently before funding new renewable Send operators to AVTEC in Anchorage for Power generation projects. In the 2012 RPSU study, Plant Operator training.No cost for instruction, operator proficiency was rated as unacceptable in the lodging and per diem for the 2-4 week course.The areas of Maintenance Planning and Scheduled community is responsible for travel and must have an Maintenance.All other areas were all rated alternate power plant operator in the interim. Acceptable.(8) Resources:State:AEA Powerhouse and Electrical Costs and Savings:Distribution system repair: Not Distribution Upgrades Program,RPSU program, known. Cost of replacing rusted meters is customer's Power Plant Operator Training.Federal: Denali responsibility. Heat Recovery: In 2010,capital costs Commission Training Fund. were modeled at$157,000 with annual O&M costs of $22,000 and annual savings of$207,000(4).AVTEC training:Travel cost to Anchorage. Information Insights Community Profiles 174 Page 181 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Ouzinkie Emerging Technologies Unknown—While early reconnaissance models suggest that Whale Passage near Port Lions, may have the best tidal energy resource in the region,tidal energy resources may also exist in Ouzinkie Narrows. Issue:Tidal energy like other ocean power Opportunity:Monitor ongoing research and technologies is not yet close to being ready for developments in tidal energy,including the 150 kW commercial deployment.Since these technologies pilot project underway near Nikiski,to assess its are still in R&D,there are competing designs being potential to providing a future economic energy tested and new developments are occurring solution for Ouzinkie.Another demonstration project regularly. to watch is the larger grid-connected tidal project in the Bay of Fundy near Eastport Maine. Resources: Emerging Energy Technology Fund Cost:No cost for monitoring developments Energy Efficiency and Conservation ^� High Potential—Since the cheapest kilowatt or gallon of fuel is the one you don't have to buy,there is high potential to save on energy costs by actively promoting additional residential and commercial EE&C and by auditing public buildings and facilities(street lights and water/sewer system)to identify potential savings. Residential Energy Efficiency Issue: Over 2/3 of the community's housing stock was Opportunity: Encourage any remaining residents who built before 1980 when energy ratings of 2 or 2-star- are income-eligible to weatherize through AHFC's or plus were typical,with energy costs that are 40%to KIHA's programs. (Owner-occupied homes already 50%higher than a 4-star-plus or 5-star home built weatherized with NAHASDA funding may be able to since 2000.Less than a quarter of these older homes achieve additional savings through AHFC's Home have been weatherized through available programs. Energy Rebate program,which typically achieves higher savings rates.) Issue: No Ouzinkie residents have participated in Opportunity:AHFC's Roving Energy Rater AHFC's Home Energy Rebate program,which Program will send a home energy rater to a small provides higher energy savings(35%)per home community if there 3 homeowners sign up for an compared with weatherization programs in the audit.A community can increase HER participation region(18%savings)and has no income limits,but rates by actively promoting the program and requires the house to be owner occupied. encouraging residents to sign up or helping them to do so. KANA has applied for an EDA grant to help coordinate and promote EE&C in the region. Resources:State:AFHC Home Energy Rebate, Costs:State/federal:Weatherization:$30,000 per Weatherization, Roving Energy Rater. Federal: U.S. home in rural Alaska (including transportation, HUD NAHASDA Grants through KIHA. Regional:EE&C logistics,overhead and health and safety measures). Coordination through KANA(pending grant Home Energy Rebate:$4,800(average homeowner application) rebate)..Local/regional:Outreach and coordination costs(not known).Annual Savings:Energy: 1,288 MMBTU.Fuel(gallons): 17,972.Fuel(cost):$43,474. Non-residential Energy Efficiency Issue: Residential and commercial electrical use per Opportunity: Maximize community energy savings by customer is slightly lower than average for rural applying for a whole village energy retrofit to audit communities in the region,while public facility and upgrade community facilities and infrastructure. energy use is slightly above average in Ouzinkie. Individual building audits may be available through AEA or AHFC.Encourage private building owners to apply to AEA's Commercial Building Energy Audit (CBEA) program. Information Insights Community Profiles 175 Page 182 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Ouzinkie Energy,Efficiency and Conservation Issue: Before its 2012 audit,the Ouzinkie School used Opportunity: If the school district implements just over$57,000 in electricity and$31,000 in fuel oil the most cost-effective measures(those with a annually.The AHFC audit identified 14 energy saving savings to investment ratio over 1.0),energy costs measures.Statewide,many public facilities have not can be reduced by nearly$16,000(16%)with an made recommended improvements after completing investment of$118,600(payback over 10 years). If audits despite short payback periods for many the district implements just the 6 measures with the measures. KIBSD is in the process of making shortest payback, it could save$8,000 per year, improvements,especially as repair and replacement including 1,250 gallons of fuel,with an investment of needs arise(49). $12,100(combined payback 1.5 years)(59). Issue:There is no record of an LED street lighting Opportunity: LED street lighting is highly efficient retrofit in Ouzinkie. compared to conventional street lights.Though somewhat capital intensive,it can save up to 75%on energy usage on public outdoor lighting. Financing for street light upgrades may be available through grant and loan programs that include energy efficiency among their guidelines.See Project Financing in Vol I. Resources:State:CBEA(commercial enterprises), Costs:An investment of$6 to 7 per square foot is Alaska DEED Capital Improvements Program typically needed to achieve a 30%energy savings, (schools).Alaska DCCED Alternative Energy and resulting in payback periods of 5-6 years(15). Conservation Revolving Loan Fund(public and Savings: Expect 10-15%annual savings on public commercial facilities).AHFC Alaska Energy Efficiency facilities EE&C improvements from making only Revolving Loan Program(public facilities).Federal: behavioral changes, 15-25%savings if making all the USDA RD Rural Energy for America Guaranteed Loan most cost-effective changes,and 25-35%savings if all Program (small business),Federal Tax Deduction for recommended energy improvements are completed. Commercial Buildings. DOE-IE START Alaska,other Street Lighting:Estimate$1,000 per light. Tribal energy programs. Communities with populations of 100 to 250 have achieved annual savings of$2,600(6,700 kWh)with an investment ranging from$10,000 to $30,000,and average payback of 10 years[ARIS data]. Issue:Sanitation systems are one of the single largest Opportunity:Audit water and sewer system to energy uses in rural communities,accounting for 10% determine energy use and EE&C opportunities, to 38%of community energy use,depending on including the potential for heat recovery or solar system type and climate zone. thermal installation. Resources:Tribal:ANTHC.Federal: EDA Costs:Not known.Savings:$10,000 per year have been saved through sanitation systems EE&C in arctic communities.Savings may be lower in Kodiak region due to milder climate.A 10%reduction in energy use in Ouzinkie would save 106 MMBTU per year; 1,045 gallons of fuel oil;5,200 kWh; and$4,600 in avoided fuel costs based on modeling. Fossil Fuels Low Potential—Coal,oil and gas are not known to occur in large quantities in the Kodiak region.Coal beds on Kodiak Island are believed to be thin and likely not an economic resource.The geology also makes it unlikely that commercial quantities of conventional or unconventional oil and gas resources will be discovered.(16) Information Insights Community Profiles 176 Page 183 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Ouzinkie Geothermal Low Potential-There are no known geothermal resources in Kodiak region(1.6).Ground source heat pumps have high capital costs and are typically economic only where heating costs are high and electric rates low. Heat pumps could become an option in future if an intertie or other energy project succeeds in bringing down electricity rates. Hydroelectric High Potential —The 125 kW hydro system at Mahoona Lake meets half of Ouzinkie's energy needs when it is operational, but the timber dam is rotting and the reservoir has been drained pending repair or replacement. The community is in the first phase of a project to construct a new dam with 25%more water capacity.Its goal is to produce a minimum of S0 kW year-round. (57)(60) Issue:Because the lake also provides the town's Opportunity:There is an opportunity to generate a water supply,the hydro plant is required to go offline more hydropower with a new dam structure(60). when water levels are low,typically in late fall but The community plans to apply for a grant to fund the sometimes in later summer and winter as well. design and construct an upgraded hydro plant, including new penstock,supply line and modern turbine.The community would also like to conduct a hydro reconnaissance study to look at additional hydro sites(57). Resources:State:AEA Hydroelectric program, Costs:Phase I dam reconstruction: Legislature Renewable Energy Fund, Power Project Loans, provided$1.8-$2.1 million for demolition and Community Development Block Grants,ADF&G construction of new dam.$50,000 will be needed to Division of Habitat.Federal:Economic Development complete the project(57).Phase II hydro plant design Administration grants, USDA Rural Development and construction: Not known. Reconnaissance study: grants,Indian Development Block Grants.Private: $75,000.Savings: Not known. Partnering with a for-profit entity to take advantage of new market tax credits. Intertie Medium Potential-A tie-into the Kodiak Electric Association grid has - - been explored at the conceptual level by KEA and the Ouzinkiey i r�AY. 'fit community and an initial feasibility study completed.The majority of the J• �''v tri - . route would be overland,but a 1 to 1.4 mile submarine cable would span .I . . '^' mt'� `' r - to k, i,k,4.ne`h the channel between Kodiak and Spruce Islands.The intertie would give N 71 � ,+lL, - . • residents and businesses in Ouzkinkie access to an abundant supply of i i .. renewably-generated electricity at a potential cost savings to non-PCE _w f: •-;° electric customers in Ouzinkie.The community would continue to ^ �`E operate and maintain its distribution system,which is currently in need ",t +a of repair.The next step is bathymetric surveys and marine geophysical studies to refine and verify the submarine feasibility by locating �)) I ',,, � y,� - satisfactory sea bottom conditions.The project was recommended for _? --::4 i, full funding by AEA in 2012,pending a letter of support from KEA, but was not ranked high enough to make the cut off for that year's legislative ;SII N." r appropriation.Timeline:2 to 3 years for permitting and construction. I, w.�+ "( Information Insights Community Profiles 177 Page 184 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Ouzinkie Issue:The City of Ouzinkie,which owns and operates Opportunities:Commercial and industrial utility the current electrical utility, is concerned about the customers who are not eligible for PCE-subsidized loss of local jobs in electrical generation,and in the rates currently pay$0.37/kWh for electricity.The loss of income from electric sales which is currently ability to provide lower rates and a reliable supply of used to subsidize other public utilities(water,sewer electricity to business and industry has the potential and landfill fees).Ouzinkie currently has both to spur economic growth in Ouzinkie and pave the electrical and hydro power generation but of limited way for the local seafood processing facility with capacity and reliability.According to its RE Fund freezing and holding capacity that the community has application,the current electrical system is been working towards. (61) inadequate to support additional community growth, expansion or electrical consumption.(57)[REF VI 928] Issue:With an average load of 100kw,the small size Opportunity: Ouzinkie has the benefit of having of the community load challenges the economics of several good energy pathways open to it.Engaging in any electrical generation project.The utility is in the community-wide strategic planning may help to process of rebuilding its hydroelectric infrastructure develop a consensus on which energy resource has while also exploring wind and intertie options.The the best potential to reduce costs,meet current and community needs to decide which of these energy future demand, increase reliability, and reduce solutions it wants to pursue.The intertie project is dependence on fossil fuels.Since the community strongly supported by Ouzinkie Native Corporation, includes a federally recognized tribe,consider which partially funded the initial feasibility study, applying to the U.S.DOI Office of Indian Energy for a while the City has taken the lead on hydro upgrades. [program that provides 40 hours of strategic planning] Resources:State: Power Project Loans,Community Costs:Bathymetric survey:$431,400.Capital costs: Development Block Grants.Federal:Economic $7-9 million.0&M: Not known.Savings: Not known. Development Administration grants,USDA Rural Savings would primarily go to non-PCE users in Development grants,Indian Development Block Ouzinkie since the PCE-subsidized rate is currently Grants. Private: Partnering with a for-profit entity. lower than KEA's residential rate.Residents could see overall utility costs go up since,according to the Ouzinkie's electric utility manager,local electric sales currently keep water,sewer and landfill rates artificially low.(57)(31) Solar..,. —._._. • Medium Potential–Solar does not offer a utility-scale solution in Alaska, but solar PV and solar thermal projects can provide relief for individual homes and facilities,especially those off the grid or that have high summer electric usage.KIHA installed solar hot water heaters in 7 homes in Ouzinkie.The project was grant funded and no data is yet available on whether this provides a cost-effective heating solution for additional homes in the region. Issue:Kodiak receives an average of 3 to 3.5 Opportunity:At Ouzinkie's non-PCE rate of kWh/m2/day of solar radiation annually,with most $0.37/kWh,that is the equivalent of$1,248 of coming in April to August.A 4 kW fixed-tilt solar PV electricity purchased from the utility. array on a building in Kodiak can produce 3,373 kWh of AC power per year if the solar panels are kept free of snow. Information Insights Community Profiles 178 Page 185 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Ouzinkie Issue: If more households or businesses meet some Opportunity: Using solar technologies to reduce of their electrical needs through self-generation,the space and hot water heating costs may be more challenges of integrating new utility-scale renewable economical than using solar energy to generate resources into a small load intensify. electricity and will not reduce the utility's electric load. However,these systems are significantly more complex to set up and maintain than PV arrays and so having trained and knowledgeable operators is important. Resources:Federal:NREL(funding,technical Costs:Solar PV capital costs:$3 to$10 per watt support),PVWatts Viewer(calculates potential solar depending on who does the installation, making the energy production and cost),EPA IGAP, DOE-IE Tribal installed cost of a 4kW system$12,000 to$40,000. energy programs.Other:Alaskasun.org(information, Costs for a system off the grid need to include the contractors and supplies) cost of battery storage.Savings: Not known. Transportation Infrastructure Low Potential—With Ouzinkie's new dock,there are no issues with barge delivery of bulk fuel,and the community has not needed to bring fuel in by air. (57) Wind.. .. Medium Potential—Exploring wind energy feasibility is a top community priority in Ouzinkie. Wind was also one of three renewable resources recommended for Ouzinkie in the 2010 Alaska Energy Pathway plan.While previous wind models have estimated a class 5 wind regime 3 miles east of town,nearer sites may be as low as class 1,so morereconnaissance work is needed.There are also technical challenges in integrating wind in communities with relatively small electric loads. Issue:Ouzinkie submitted an RE Fund application in Opportunities: It may be worthwhile investigating 2009 for a wind pre-feasibility study.The project was wind resource in clearing NE of town [or] on other not recommended for funding by AEA because the side of the lake.A 30-meter Met tower should be set site was believed to be a class 1 wind resource.The up and a minimum of a year's worth of data 80 ft.tall trees surrounding the site and lack of collected.It may also be possible to put sensors on storage capacity were also notes as factors that light poles near the dock to determine wind class. would make a project more challenging. Before putting in another wind study application, work directly with AEA staff to design the best approach. (28) Issue:Average electric loads in Ouzinkie are 100 kW. Opportunity:A battery storage system is Ideally,a wind turbine should be sized so one recommended to integrate wind into a diesel system generator can be shut down completely when the with a very small load.Statewide there is also interest wind is blowing, while another remains on to keep in using wind output for heating,which is more the grid open,but this is hard to achieve with small tolerant of power swings and easier to store.Wind to loads.Operating a generator at low capacity reduces heat projects also have challenging economics so fuel efficiency offsetting the savings. Excess electrical feasibility work is needed. energy can be stored(in batteries or high temperature bricks)or dispatched as a secondary load to an electric boiler or heat recovery loop, but these increase the cost and complexity of the system. Issue: Ouzinkie's gensets will need to be to be Opportunity:As part of any feasibility work the diesel modified or replaced to enable integration with an generators should be evaluated by an engineer and intermittent renewable resource like wind. recommendations made for wind integration. Information Insights Community Profiles 179 Page 186 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Ouzinkie Issue:Ouzinkie wants to maximize its renewable Opportunity:Apply for an RE Fund grantor other capacity and is interested in an assessment of all funding to review all renewable energy options. options they have available. (57) Resources:State:AEA Anemometer Loan Program, Costs:Wind reconnaissance study:$60,000.Broader Renewable Energy Fund, Power Project Loans, renewable energy screening study:$125,000. Community Development Block Grants.Federal: Savings:Not known. Economic Development Administration grants,USDA Rural Development grants, Indian Development Block Grants.Private:Partnering with a for-profit entity to take advantage of new market tax credits. Information Insights Community Profiles 180 Page 187 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Ouzinkie Community and Regional Plans Year Report Title(Author) Community-specific,Energy-related Recommendations 2013 Kodiak Rural Regional 1. Dock/industrial area construction and development Comprehensive Economic 2.City dock and ferry terminal replacement. Development Strategy 3.Small boat harbor replacement—completed. • (Kodiak Area Native 4.Install additional alternative energy sources to current Association) hydroelectric to replace back-up diesel generation. 2009 Kodiak Island Borough 1.Power lines and transformers require replacement. Regional Energy Plan 2.Wind metering tower needs to be replaced to continue studies. (Kodiak Island Borough 3. Participate in feasibility study with the Kodiak Electric Authority Community Development vs.local generation. Department) 2008 Kodiak Island Borough 1.Replace old wooden dock with one that could support fishing, Comprehensive Plan Update tourism,fish processing,and the Alaska Marine Highway. (Kodiak Island Borough) 2. Explore opportunities for alternative energy,such as wind. 3.Access roads to the boat harbor and a boat ramp are needed. 4. Local road system needs to be upgraded and expanded. 5. Build a new airstrip developed in accordance with existing project design. 6.Increase bulk fuel storage to provide storage for 42 fuel oil. 7. Determine the feasibility of Terror Lake Power Intertie to • Ouzinkie. 8. Improve and expand hydroelectric facility. 9.Explore alternative sources of bulk fuel such as a fuel buying cooperative and the establishment of a bulk fuel company. 10.Complete an alternative energy feasibility study by 2011. 2003 Kodiak Region 1.Power generation improvement. 't Update to Comprehensive Economic 2.Road development. 2001 Development Strategy- 3.Road access improvement to hydroelectric station. Revised(Kodiak Chamber of • Commerce) 1984 Ouzinkie Comprehensive 1.Construct a breakwater facility in the harbor with associated Development Plan,City of mooring facilities for local and transient fishing vessels. • Ouzinkie,Kodiak Island 2.Actively solicit the development of a mini-freight ferry service • Borough(Norgaard to/from Kodiak for both freight and passenger service. Consultants) 3. Develop off/on-loading ramp for barges,other freight carriers. 4.Develop a fuel delivery system for local island residents. 5.Maintain and expand the city's utility system as necessary to provide services to new housing development. 6.The existing electrical distribution system needs repair,and in many areas replacement. 7. Utilizing the existing diesel generation system as back-up, construction of a 78-kilowatt hydroelectric plant at Katmai Creek. ,�k.. Information Insights Community Profiles 181 Page 188 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Ouzinkie STAKEHOLDER OUTREACH:'APRIL LEADERSHIP FORUM —.10 OUZINKIE RESPONDENTS What do you think has the greatest potential to lower your community's energy costs? 49% Wind J 0% Diesel Efficiency 32% Hydro _ 1 0% Port/Dock Facilities 12% Energy Efficiency 10% Transmission Lines 7% Solar j 0% Heat Pumps ~^ 0% Biomass What is most important to your community in terms of energy planning? 40% More reliable energy 20% Saving energy 20% Saving money 10% Price stability 20% Community sustainability Has a heat recovery system been installed in your community's diesel powerhouse? 11% Yes 67% No 22% Don't Know What do you think is the biggest barrier to more participation in residential EE&programs in your community? 30% Lack of information i 40% Need to pay upfront and wait for reimbursement 20% Other 10% Hard to find auditors Do you think we should look at an in-region approach to promoting EE&C? 67% Yes 0% No 33% Don't Know Should our Regional Energy Plan include goals for energy efficiency? 100% Yes 0% No 0% Don't Know If you could only invest in one project,which would you favor? 56% Long-term project(20 year development)that reduced energy costs significantly 44% Near-term project with more modest savings that could be built in 3-5 years Do you think there is enough wood biomass near your community to help with space heating needs? 60% More than enough 0% Don't know 40% Probably enough if managed wisely 0% Not enough If there is not enough biomass for everyone,how should the resource be managed? 56% Priority should be given to uses that benefit the whole community 33% Home heating should always come first 11% Other/No opinion 0% Some used to lower heating costs for community buildings Should strategies to encourage local food production be included as part of an energy plan? 67%Yes 11%No —I 22%Don't Know When considering limited public funding,how should the state prioritize projects? 40% Community sustainability criteria 30% State funding efficiency 20% Balance state funding efficiency with community benefits 10% Projects that can't be privately financed Information Insights Community Profiles 182 Page 189 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Ouzinkie FSTAKEHOLDER OUTREACH:GOALS FROM 2009 KIB REGIONAL ENERGY PLAN-11 OUZINKIE 1 LRESPONDENTS _ Assess potential to increase power generation from existing hydro facilities '� w • Has there been Progress in Your Community? Is this Still a Goal? Initial Substantial Mostly I have no ` Don't No Action Steps Progress Complete idea Yes No Know 0% 67% 11% 11% 11% 100% I 0% 0% Assess need for upgrades to rural electrical grids(transmission/distribution lines,transformers) Has there been Progress in Your Community? Is this Still a Goal? Initial Substantia Mostly I have no Don't No Action Steps I Progress Complete idea Yes No Know 11% 22% 22% 0% 44% 82% I 0% 18% Encourage energy conservation(through energy efficient lighting and energy saving devices and behaviors) Has there been Progress in Your Community? • Is this Still a Goal? Initial Substantia Mostly I have no • Don't No Action Steps I Progress Complete idea Yes No Know 0% 44% 11% 0% 44% I 81% I 0% 18% Install Met towers in communities to assess feasibility for wind power generation Has there been Progress in Your Community? Is this Still a Goal? Initial Substantia Mostly I have no Don't No Action Steps I Progress Complete idea Yes No Know 10% 40% 10% 0% 40% I 80% I 0% 20% Study feasibility of passive and active solar residential hot water heating Has there been Progress in Your Community? ', Is this Still a Goal? Initial Substantia Mostly I have no Don't No Action Steps I Progress Complete idea Yes No Know 11% 56% 0% 0% 33% I 73% I 0% 27% o=. Assess heat recovery potential in diesel-fired power plants Has there been Progress in Your Community? Is this Still a Goal? rt Initial Substantia Mostly I have no Don't f. No Action Steps I Progress Complete idea Yes No Know 50% 40% 0% 0% 10% 73% I 9% 18% -,' Upgrade building heating systems for energy efficiency and cost savings Has there been Progress in Your Community? Is this Still a Goal? Initial Substantia Mostly I have no Don't No Action Steps I Progress Complete idea Yes No Know ix 11% 33% 22% 0% 33% i 71% I 0% 29% ,' Assess need for active recycling program and designated recycling building in each community Has there been Progress in Your Community? Is this Still a Goal? No Action Initial Substantia Mostly I have no Yes No Don't Information Insights Community Profiles 183 ';- Page 190 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan l Phase I,Vol.II Ouzinkie STAKEHOLDER OUTREACH: GOALS FROM 2009 KIB REGIONAL ENERGY PLAN-11 OUZINKIE RESPONDENTS Steps I Progress Complete idea I Know 27% 45% 0% 0% 27% j 70% I 0% 30% Study feasibility of emerging technologies for harnessing tidal and wave energy Has there been Progress in Your Community? ! Is this Still a Goal? Initial Substantia Mostly I have no Don't No Action Steps I Progress Complete idea Yes No Know 50% 20% 0% 0% 30% I 70% ' 10% 20% Work with KIHA and utilities to do energy rating on all homes Has there been Progress in Your Community? ',, Is this Still a Goal? Initial Substantia Mostly I have no Don't No Action Steps I Progress Complete idea Yes No Know 30% 20% 0% 10% 40% 1 67% ( 11% 22% Institute"Cash for Clunkers"style program for older appliances(refrigerators,dryers,etc.) Has there been Progress in Your Community? I Is this Still a Goal? Initial Substantia Mostly I have no " Don't No Action Steps I Progress Complete idea Yes No Know 64% 27% 0% 0% 9% 1 60% I 10% 30% Study feasibility of low-head hydro Has there been Progress in Your Community? Is this Still a Goal? Initial Substantia Mostly I have no ' Don't No Action Steps I Progress Complete idea Yes No Know 22% 22% 0% 11% 44% j 38% 1 12% 50% What are the top three priorities from 2009 energy goals? 30% Grid Upgrade Needs 6% Ocean/Tidal Energy 14% _ Met Towers for Wind 6% Cash for Clunkers 13% Home Energy Audits 3% Community Recycling 13% Energy Conservation 3% Building Heating 10% Solar Hot Water 3% Low Head Hydro Information Insights Community Profiles 184 Page 191 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Port Lions PORT LIONS 5 ♦ e to- g-.w �I .a„.„.„,„*....0: 11,,, ,iiis.e* ,. .. ..,,.....e. :77,3.‘. r ) >x"22 r4, q f 1 A 1�}.• ,,� • At l- -. 5m .„,..,; rv #'. L. � <� � 4 #{ ` pn � ; [ice ' ` r 1 -11 t at,.. ~a.. a `r- J' __ 113 ��,ayx { Community Map t� ,'�-"f v� PORT LIONS � " + � _ y 4 + I ev ma i q $ R r tr, amu.. ®•• K. -. r >a-`3: k`. 1� " `k * - 3L�` 1J♦ te -,,,� ` r p ;.,./‘ e" � -n x.ct N(ince .a b Q' " VErr. 1 of-= . , Community Vision:We are a small, healthy rural community that is a safe place to live where our children enjoy growing,learning and want to stay.We enjoy the peace and challenges of our beautiful,clean environment,while maintaining a subsistence lifestyle, balanced with the modern changing world.We take pride in our history and cultures.We have sound economic infrastructures, resources and education.We are a community where families and friendships flourish through caring,trust and mutual respect. Information Insights Community Profiles I 85 Page 192 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Port Lions ENERGY PLANNING Community Energy Tidal energy at Whale Wind energy Mini hydro project on upper Priorities' Pass hills Local Stakeholders Groups City of Port Lions Native Village of Port Kodiak Electric Association Lions Alaska Energy Pathway Wind—Wood Energy Champions' Kathryn Adkins,City Clerk&Grant Administrator,City of Port Lions;Dorinda Kewan,Grants Coordinator,Native Village of Port Lions TOTAL.ENERGY USE Electrical Generation None(Connected to Sold: 1,109 MWh Residential:135 KEA grid) Public Facilities: 15 Commercial:49 Annual Fuel Use Electric: Space Heating: Transportation: NA 97,391 gals.(4) 26,049 gals.(22) Fuel Price Electric: Heating:$4.95/gal. Transportation: NA #1 Oil(Jan.2014)(5) Not Known Electric Utility Kodiak Electric PCE Status Ineligible Association Average MonthlyHeating Fuel Price per Gallon-Port Lions N ^ Household Energy Bills u —1—#1 Fuel Oil • #1 Region Avg. #1 Rural Avg •Heating t7 Electric ? $7.00 en $6.00 -_— $481 $478 $470 CO $5.00 — �t $4.00 - -- _ $358 $359 $351 $3.00 X --_-. -..-...-. e'. 52.00 L )I $120 $1.00 ______ _ __— ___—_ Port Lions Rural Region $0.00 r- --i - ----i Average Average 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Port Lions Electric Rate v Port Lions Electric Sales,FY2013(KWh) FY13 a o Residential Base Rate y 171'444 '+"248;829 o PCE Rate(1st 500 kWh) 0 16% OW› To 689,545 eaD x$ i 62% a Port Lions Rural Region o Residential ®Public Facilities Average Average 0Commercial/Govt. •Utility Use Sources(except as noted):(20)(2)(62)(31).Notes:1/Unranked,based on early input.Additional input to be gathered in Phase II. Information Insights Community Profiles 186 Page 193 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Port Lions ENERGY EFFICIENCY AND CONSERVATION Residential Occupied Housing Type, Average Home Avg.HH Size/ Median HH Energy Cost as a Housing Units including Vacant Size(est.)' Overcrowding Income %of Income 94 150 Single 1,701 sf 2.4/No $95,259 6% Family,4 Multi Age of Housing Stock in Port Lions Estimate Annual Average Annual Energy Use per Home Home Energy Bill 77 61 185 MMBTU' $5,776 Note:Older homes are typically less energy- - 3 11 2 efficient than newer homes,due to , -_-, ; , -- improvements in building technology and Earlier 1940s 1950s 1960s 1970s 1980s 1990s 2000s 2010s energy efficiency over time. Additional Percent of Energy Efficient Housing Stock Annual Home Annual Home Residential d Energy Savings Energy Savings EE&C Work ';'u D D New/BEES-certified Achieved Opportunity Remaining -' o Home Energy Rebates tr:.. 1,370 MMBTU 2,503 MMBTU 53% --m„. 50, o Weatherized Homes 9,840 gals. 17,972 gals. a 53% e Not Retrofitted $48,707 $88,962 `+•: r Model assumptions:Average energy savings for region based on 2008-13 ARIS data(35%HER, 18%AHFC 'a " , weatherization projects).Retail fuel cost:$4.95/gal. t Non-residential No.of Public/ Types of Non- Est.Annual Public or Non-residential Non-residential Commercial residential Energy Use per Commercial EE&C Measures EE&C Measures Buildings Buildings Building' Building Audits Identified Implemented 64 See Appendix B 1,178 MMBTU City Office Interior Lighting Not Known Building Upgrades LED Street Street Lighting Estimated Cost LED Street Street Light Street Lighting Lighting Remaining of LED Street Lighting Annual Number Type Upgrade Opportunity Light Retrofit° Energy Savings 30 LED Completed in 0% $17,700 plus $1,642 2010 installation& maintenance Water&Sewer Estimated Estimated Cost Estimated System Type/ Annual Water Sanitation of Water& Annual Water& No.of Homes Water and &Sewer System Energy Sewer EE&C Sewer Energy Served Sewer Rates Energy Use' Audit Performed Upgrades Savings' Piped& Not Known 966 MMBTU No.Sanitation Not Known 97 MMBTU Pumped 5,777 gals. system built/ 578 gals. 100 Homes 47,420 kWh upgraded in 2008 $3,761 Sources:(62)(63).Notes:1/Based on ARIS data for region.2/Based on number of electric rate payers.3/Based on Energy End-Use Study and 2013 Alaska Housing Assessment data(11)(12).4/Actual cost.5/Assumes 10%savings on fuel and electric. Information Insights Community Profiles 187 Page 194 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Port Lions BULK FUEL Capacity Kizhuyak Oil Sales:96,000 Fuel Purchase Not Known. gallon total capacity.Diesel: 64,000 gals;Gasoline:32,000 gals.KEA: 1,100 gallons Bulk Fuel Completed 2006 Vendors North Pacific&Petro Marine Services Upgrade By Barge Fuel is delivered to the Port Lions dock by tug-assisted barge 6 times per year;fuel is transported to the tank farm via fuel lines. Local Delivery Kizhuyak Oil Sales,a subsidiary of the Native Village of Port Lions,sells#1 fuel oil,#2 fuel oil and gasoline to all in Port Lions and marine vessels(62). Fuel is also moved from the central facility to the school. Cooperative No,community interest has not been expressed in bulk fuel ordering.Port Lions burns Purchase significant amounts of heating oil for heat but with connection to KEA grid amount uses is not relatively high.Also,there have been moves to switch from electric water heaters to lower fuel use(62). Sources(unless otherwise noted):(641 BIOMASS Medium Potential—Port Lions area is dominated by Sitka spruce.Many residents are also shareholders of Afognak Native Corporation,which owns vast acreage on heavily forested Afognak Island.Wood is one of two energy pathways identified for Port Lions in the 2010 Alaska Energy Pathway report(the other being wind). There are no fish processors in Port Lions that would be a source of fish oil for biofuel and no class I landfill as a source of solid waste.(4)(13)(65) '„�ytdh 0Ma-'wbv.... Oho..Fab meamw O Sammranyrroo meadow •'44{'h•Yyap� ' • Oapme Fm Meda. OwaTM1,tlwu Oa mT/OeNb CLb /Nyta:Y-'{�! t4 Npr.Haar O IMT FM:^¢k1 5..tteMEbeteny 'l TTy��'J' s., 1NV ' ^),Ij, 1=1 Apr°TWa Ft Mfl.lumnuckf w,Fins �Sore rd Crawl seethes t e1eryifit 'l''tl? [ 1 ' F! V. ®acovc Emergent ' Hns..lFrts CD RAI sq heal-Rm rj e • � T/49,. f?t Os"d°d` Prep dem Oseb and Goal awaa ° °I 1/!f� 0 '#s • ®c...fresh wear I]wwow ®Gema wnn • � b to e � dwry rt>rs i ei O cgmrotoa.Bich s wa uwwm. - Mass n'aven ® os aim, rlurw'sadnuaamewaw. t Os„dd.mnw.aw Mato,'�,p{ 7 Danger, Or t- ` Open."'" =I W.seamed marine water Os.space w.nonea • jj-*�� .t4 3ats", . Ca' is- Ooar.Ooen.e cdmmww O.eaa adeuanm O&du Gprvta Aaaanerxiw. ,yy�y AI ev31 } -`:tt,. 1 Den.Stka spruce ®"aa RiftI—II am pamereruca A1/4 r �• n ' OZr- arab.. mr..a a.:waam. Qapenedddneom 4 Ota _Ee�Jaa tNaO yb-0.>t Beth MS r.Mo. .rF O aynw reoMnd r (�NCkp'"""E'Cletlwr OTN. ,. , uzinkl I�omnua craeaanda 1 1 j I.md e.rrr (�w.n.awe<k -Enmraaerrnan spa Ocono.me'er°n1" Oar:s.arafaane Port.:- od Fern Fomk.aednw O enaner.mdered SF" ®CC.'"Tacve e LlOns taly- O rre.ted rad ree.co. pnstm ear Onwn w+o.q ood u 3�t 1�4m••••••=•••u. (=Qen Ota 9pua Os, i -Ca neo Novena InRe.Ytle ant TUM,a min c.c...:a,. vasK Issue: Port Lions residents have access to spruce Opportunity:Dry spruce can provide 19-22 MMBTU forests near the community and on traditional lands per cord.The UAF Alaska Wood Energy Development on Afognak Island.Afognak Native Corporation has an Task Group has an easy application process to active forestry program that balances timber harvest request funding for a reconnaissance study of forest with recreation and subsistence use.Sufficient resources available to the community.The study biomass may exist to sustain a modestly scaled should also look at logging slash and un- project to heat one or more community buildings. merchantable wood from Afognak Island operations. Information Insights Community Profiles 188 Page 195 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Port Lions Issue:Wood biomass projects have the added benefit Opportunity:A community biomass project with of creating local jobs as wood cutters and boiler strong local champions could provide both skilled and operators,but they require strong community unskilled jobs,while reducing heating costs and diesel leadership and interest to succeed.To date,biomass dependence.If community members are interested, is not one of the renewable energy technologies the there are several programs to help them explore community has expressed interest in. biomass options. Resources:State:UAF Alaska Wood Energy Costs:Pre-feasibility: No cost to the community if Development Task Group(AWEDTG)pre-feasibility funded through AWEDTG grant.Minimum system studies),AEA Biomass Program(technical assistance), cost:$100,000.Annual O&M:$500 plus 1 hour labor AEA Renewable Energy Fund(grants). Federal:USDA- per day.(15)Savings: Depends on size of system and RD Rural Energy for America Program(small business local cost of wood.Burning 50 cords per year in a or agricultural producers). small cordwood system could displace over 7,000 gallons($32,900) in diesel fuel per year.At$250 to $300 per cord,wood biomass provides the same amount of heat as diesel fuel at$3.50 per gallon.(4) Emerging Technologies Unknown—Early reconnaissance models suggest that Whale Passage near Port Lions may have the best tidal energy resource in the region.This may provide a future renewable energy solution for Port Lions and the Kodiak grid, but economic feasibility cannot be determined until the technology matures. Issue:Tidal energy like other ocean power Opportunity:Monitor ongoing research and technologies is not yet close to being ready for developments in tidal energy,including the 150 kW commercial deployment.Since these technologies pilot Cook Inlet Tidal Energy Project near Nikiski and are still in R&D,there are competing designs being the grid-connected demonstration project in the Bay tested and new developments are occurring of Fundy in eastern Maine. Both are testing devices regularly. by Ocean Renewable Power Company(OPRC). Resources: Emerging Energy Technology Fund Cost:No cost for monitoring developments ENERGY EFFICIENCY AND CONSERVATION High Potential—The cheapest kilowatt or gallon of fuel is the one you don't have to buy.There is high potential to save on space heating costs and lower electric bills by actively promoting additional residential and commercial EE&C and by having public buildings and facilities, including the water and sewer system, audited to identify potential savings. Issue: Nearly 90%of the community's housing stock Opportunity:Encourage remaining residents who are dates from the 1960s and 1980s.Housing of that era income-eligible to weatherize through AHFC's or in the region typically achieves 2-star and 3-star KIHA's Wx programs. energy ratings with costs that are 45-50%higher than a 5-star home built since 2000.Fewer than half of these older homes have been weatherized. Information Insights Community Profiles 189 Page 196 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Port Lions ENERGY EFFICIENCY AND CONSERVATION Issue: If all income-eligible residents have taken Opportunity:A community can increase HER advantage of weatherization programs,then the participation rates by actively promoting the program remaining residential EE&C opportunity is all from and encouraging residents to sign up or helping them AHFC's Home Energy Rebate program,which has no to do so.AHFC's Roving Energy Rater Program will income limits but requires the house to be owner send a home energy rater to a small community if occupied.To date,no Port Lions residents have there 3 homeowners sign up for an audit.KANA has participated in the HER program,which has provided applied for an EDA grant to help coordinate and higher energy savings(35%) per home compared with promote EE&C in the region. Owner-occupied homes weatherization programs in the region (18%savings). already weatherized with NAHASDA funding may still Almost all savings are in heating,so increased benefit from the HER program,which typically participation will decrease bulk fuel costs and diesel achieves greater energy savings rates.Homes dependence. weatherized with AHFC funds are not eligible for a home energy rebate. Resources:State:AFHC Home Energy Rebate, Costs:State/federal:Weatherization:$30,000 per Weatherization,Roving Energy Rater.Federal:U.S. home in rural Alaska(including transportation, HUD NAHASDA Grants through KIHA. Regional:EE&C logistics,overhead and health and safety measures). Coordination through KANA(pending grant Home Energy Rebate:$4,800(average homeowner application) rebate).Local/regional:Outreach and coordination costs(not known).Annual Savings:Energy:2,503 MMBTU.Fuel(gallons): 17,972.Fuel(cost):$88,165. Issue: Port Lions has already undertaken efforts to Opportunity:There is significant opportunity for improve energy efficiency and conservation by savings from additional retrofits to city offices and to replacing all street lights with LEDs and completing other community buildings,especially upgrades to lighting retrofits in its city offices. There is the building envelope,ventilation,mechanical opportunity for more savings by having other public systems,and any refrigeration.The community can buildings audited and promoting commercial EE&C apply for audits through AFHC's Commercial Energy audits for local businesses. Audit program and encourage business owners to apply to AEA's Commercial Building Energy Audit (CBEA) program. EE&C paybacks are generally short enough to make upgrades worth pursuing even if funding only covers audits and not upgrades. Resources:AEA:CEA(commercial enterprises). Costs and Savings:Public and commercial buildings: Alaska DEED:Capital Improvements Program An investment of$6 to 7 per square foot is typically (schools).Alaska DCCED:Alternative Energy and needed to achieve a 30%energy savings,resulting in Conservation Revolving Loan Fund(public and payback periods of 5-6 years(15). commercial facilities).AHFC Alaska Energy Efficiency Revolving Loan Program (public facilities).USDA RD Rural Energy for America Guaranteed Loan Program (small business),Federal Tax Deduction for Commercial Buildings. Issue: Heating at the water and sewer facilities is by Opportunity:Audit water and sewer system to Toyo stove.The system is the largest electrical user of determine energy use and EE&C opportunities, the city's facilities.(62) including the potential for more efficient heating systems and electricity conservation. Resources:Tribal:ANTHC.Federal: EDA Costs: Not known. Information Insights Community Profiles 190 Page 197 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Port lions FOSSIL FUELS Low Potential—Coal,oil and gas are not known to occur in large quantities in the Kodiak region.Coal beds on Kodiak Island are believed to be thin and likely not an economic resource.The geology also makes it unlikely that commercial quantities of conventional or unconventional oil and gas resources will be discovered.(16) GEOTHERMAL Medium Potential—There are no known geothermal resources in Kodiak region(16).However,air and ground source heat pumps may be economically feasible in the city of Port Lions. Issue:Ground source heat pumps(GSHP)have high Opportunity:With a relatively moderate climate, capital costs and are typically economic only where stable electricity rates,and high heating oil costs, fuel costs are high and electric rates low.Air source Port Lions may be well suited for ground or air source heat pumps(ASHP)have much lower capital costs but heat pumps.KEA could look at offering incentives because they also require electricity to operate,they used by utilities in Southeast Alaska to encourage may still be uneconomic if electrical costs are high or utility customers to install heat pumps if they prove volatile. feasible. Resources:State:Research on heat pump design and Air Source Heat Pumps: Capital cost:$6,000. costs is ongoing at UAF's Alaska Center for Energy Savings:$600 to$2,700 annually,based on model for and Power(ACEP).The Cold Climate Housing 3 bedroom home in Kodiak(43).Ground Source Heat Research Center,also at UAF, is conducting research Pumps:Capital cost:$29,300.Savings:$1,600 to and demonstration projects on both types of heat $2,900 annually based on a 1,700 sf home in Juneau pumps. with lower electricity and fuel costs than Kodiak(44). HYDROELECTRIC Low Potential:Hydro is listed as an energy pathway for Port Lions in the 2010 Alaska Energy Pathway report. Over 80%of the community's electricity is already generated by hydropower at KEA's Terror Lake facility.KEA plans to add additional hydro capacity over the next decade. No plans currently exist to develop hydro resources in the immediate Port Lions area. Solar Medium Potential—Solar does not offer a utility-scale solution in Alaska,but solar PV and solar thermal projects can provide relief for individual homes and facilities,especially those off the grid or that have high summer electric usage.KIHA installed solar hot water heaters in 4 homes in Port Lions.The project was grant funded and no data is yet available on whether this provides a cost-effective heating solution for additional homes in the region. Issue: Kodiak receives an average of 3 to 3.5 Opportunity:A 4 kW fixed-tilt solar PV array on a kWh/m2/day of solar radiation annually,with most building can produce 3,373 kWh of AC power per coming in April to August.While this is primarily a year if the solar panels are kept free of snow.At Port low-level,seasonal resource,it can provide savings to Lions' rate of$0.19/kWh,that is the equivalent of for $641 of power purchased from the utility. Resources:Federal:NREL(funding,technical Costs:$3 to$10 per watt depending on who does the support), PVWatts Viewer(calculates potential solar installation,making the installed cost of a 4kW energy production and cost),EPA IGAP,DOE-IE Tribal system$12,000 to$40,000.Costs for a system off the energy programs.Other:Alaskasun.org(information, grid need to include the cost of battery storage. contractors and supplies) Savings:Not known. Information Insights Community Profiles 191 Page 198 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Port Lions TRANSPORTATION INFRASTRUCTURE Low Potential-The transportation component of barged fuel prices can be reduced by investing in marine infrastructure that allows fuel to be off-loaded safely and efficiently. Port Lions has had recent dock and harbor upgrades and there are no known issues with offloading fuel.The community is connected to the KEA grid,which reduces the volume of bulk fuel it is necessary to import.Some residents are also switching to electricity for heating,furthering lowering fuel use(62). __ __ __-- Wind Unknown—The 2010 Alaska Energy Pathway identified wind as a resource with development potential in Port Lions.The wind resource on Mount Elison is reported to be class 7. _ _ Issue:With an estimated wind class of 7,there is a Opportunity:If the community has interest in potential for damaging winds on the Mount Elison. ! pursuing a wind project,additional data on the wind The challenge for this project may be finding a resource must be collected,one of the first steps is to turbine that can survive the potential harsh collect one year of wind data using a wind environment,while still being sized appropriately. anemometer or"met"tower. Issue:The Alaska Energy Pathway report provided ! Opportunity:If met tower data shows potential and information on a wind system with technology for community interest is expressed,more analysis electric dump load controlling. Installing technology would be needed before proceeding and a discussion I I for electric dump load controlling or battery storage of how to integrate wind power from Port Lions into of electricity produced with a wind system will likely the grid would need to take place with KEA. need to be investigated with KEA.The estimated savings(which have not been verified or updated) was negative. Resources:State:AEA Anemometer Loan Program, I Costs: Feasibility study:$70,000. 1 Renewable Energy Fund, Power Project Loans, Community Development Block Grants.Federal: Economic Development Administration grants,USDA Rural Development grants,Indian Development Block Grants.Private: Partnering with a for-profit entity to take advantage of new market tax credits. j Information Insights Community Profiles 192 Page 199 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Port Lions Community and Regional Plans Year Report Title(Author) Community-specific,Energy-related Recommendations 2009 Kodiak Island Borough 1.Community will develop long-term energy plan with grant Regional Energy Plan monies. (Kodiak Island Borough 2.School boiler needs to be replaced. Community Development 3. Located near Whale Pass,which has very high tidal changes Department) and could in the long-term supply power archipelago wide. 2009 City Dock&Ferry Terminal 1. Dock is in poor condition with inadequate lateral stabilization Repairs Technical Report and a significantly reduced weight capacity. (Denali Commission) _ 2008 Kodiak Island Borough 1. Establish better transportation facilities including a new ferry Community Plan Update dock and improved boat harbor and complete planned airstrip (Kodiak Island Borough improvements. Community Development 2. Need for a hydroelectric or other alternative energy facility Department) downtown. 3.Upgrade existing fuel tank farm to bring current fuel tank farm into regulatory compliance. 4. Establish collaborative or cooperative bulk fuel purchases with other Kodiak Island rural communities. 2003 Port Lions Comprehensive 1.Build a full boat harbor,dock repair and maintenance. Community Plan (Kodiak Island Housing Authority&Alisha Drabek) 2003 Kodiak Region 1.Public dock facility. Update to Comprehensive Economic 2001 Development Strategy- Revised(Kodiak Chamber of Commerce) 1997 Port Lions Comprehensive 1. Industrial development on the Peregrebni Peninsula will Update to Development Plan require several thousand more feet of utility lines. 1982 (Kodiak Island Borough Community Development Department) Information Insights Community Profiles 193 Page 200 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan 1 Phase I,Vol.II Appendix A 1 Background Information APPENDIX A BACKGROUND INFORMATION Information Insights Community Profiles 1 94 Page 201 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan l Phase I,Vol.II Appendix A l Background Information AKHfOK GENERAL INFORMATION Location Southern end of Kodiak Island at Alitak Bay.It lies 80 miles southwest of the City of Kodiak and 340 miles southwest of Anchorage. City Government 2nd Class; Incorporated 1974 Tribal Government Native Village of Akhiok and Taxes None Kagyuak Tribal Council (federally recognized) DEMOGRAPHICS 2000 2010 2013 Age by Sex Census Census (est.) 80 71 85 Male Female Change since \ _- �' s5• -_- - -"j - l i -i B5- 2000 \ ^ / 80-8a 7 I ` i : p ` -} 80.84 � F� � 75-79 70-74 , —�__ -j__ _. -i 4 _ 70-74 Percent Change 6.2S% 65-69 jt 1 r'± 65-69 -- Avg.Annual 0.45% 55-59 71 �'" I t I-='-'I - ' 5559 Growth 50-54 7 p ' -50.54 ru 4549 --f -i- 45-49 Historic Trend Steady growth past 6 years .. 40-44 1- IL D ]— 7 71. r 40-44 reversing decline since 2000. 3539 1 _1 1 ), ] l _ _3539 Summer population up 10-15. 25-29 1 - Local Prediction None 15-19 � t j )— - I I —i 15-19 Median Age (9) 30 years(2010) 10-14 -'II I - 10-14 5-4 t+_ t ) ._.. t., 59 Race/Ethnicity 50.7%Alaska Native/38.0% 0-4 (9) Two or more races/8.5% White 10 8 6 a 2 0 2 4 6 8 10 Asian ECONOMY Overview Public sector employment, Subsistence Almost all residents depend commercial fishing,other Resources heavily on subsistence. seasonal work provide cash, Salmon,crab,shrimp,clams, with some tourism(on sport ducks,seal,deer, rabbit and fishing and hunting).(50) (4) bear are utilized. (4) Employers Main employers:City of Business Licenses 3 Akhiok, KANA, KIBSD(66) Total Wages $592,842 (10) Commercial Fishing 5 permits Median Household $17,500(10) Seafood Processors Ocean Beauty Seafoods Income' (Alitak) Residents over 16 49(10) Residents Employed 32(65%) Employed year-round 18(56%)(10) Below Poverty 20.5% Sources(except as noted):(10) Information Insights Community Profiles 195 Page 202 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.11 Appendix A I Background Information EDUCATION School Grades K-12 Students 22(2013-14) Teachers 2 (2013-14) LAND Land Ownership Akhiok-Kaguyak Native Corporation(surface), Koniag Inc. Native Corporation(sub- surface), land holdings within Kodiak National Wildlife Refuge is administered as federal land.Airstrip(ADOT&PF);School (KIB) Topography Upland and tidelands area on the west shore of Akhiok Bay.Surrounding terrain consists mostly of low hills,tundra-like valleys and flat land. Vegetation and Soils Dominated by moist tundra.There are few tall brush areas and trees,although some stands of alder are present.The dominant vegetation includes tall grasses,fireweed, horse-tail,yarrow,sedges,mosses,ferns, lichens,alder,and dwarf birch. Environmental Issues Earthquakes represent a major potential hazard for the community as well as flooding due to land settling and seismic sea waves. Major coastal erosion and shoreline damage has been reported from storms and sea-wave activity. Sources:(13) TRANSPORTATION Road No connector roads.Approximately 2 miles of roads in the community connect • homes,other buildings and the landfill to each other.Roads are gravel,in good condition. Marine No deep sea dock or boat harbor.There is no regular barge or other water freight service.However,at least one company transports loads by landing craft as needed. Aviation 3,120-foot runway south of town. No crosswind runway or tower services exist and service is frequently unavailable for extended periods of time due to severe weather. The facility can be used by wheeled general aviation and amphibious float-planes. Vehicles Light vehicles:3(1998) Aircraft NA Heavy equipment:2(1998) Boats NA Sources(except as noted):(13) Information Insights Community Profiles 196 Page 203 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Appendix A I Background Information KARLUK GENERAL INFORMATION Location West coast of Kodiak Island,88 air miles southwest of Kodiak,at the mouth of the Karluk River. City Government Unincorporated Tribal Government Native Village of Karluk Taxes None (federally recognized) DEMOGRAPHICS 2000 2010 2013 Age by Sex Census Census (est.) 27 37 43 Male Female Change since 2000 ,�� as- - ! - - 80e4i 75-79 - ' 7074 -" t-" l Percent Change 59.3% 65-69 7 - - _ - 1 - " Avg.Annual Growth 4.23% 5a �- r Historic Trend Steady growth from natural increase and in-migration. Q 40-44` -"" _ ___' • 35-39 - - L 1 - - Local Prediction I Continued growth. 30.34-� --- t----+---�---rte--- -- - Median Age 18.8 years(2010) 2024 - - t -----+ ---+ �...- (youngest in region) 15-19 ! I 7014 1 Race/ 95%Alaska Native(highest in 5-9 i - � - --- Ethnicity region),5%White 0-4? • r - 't 8 6 4 2 0 2 4 6 8 Notes:1/Community is trying to recruit families(21).Additional housing needed to accommodate desired growth(23). ECONOMY Overview With decline in fishing, Subsistence Most residents are heavily employment is primarily with Resources dependent on subsistence local government.Some activities.Salmon,trout, work in seasonal or part-time char,deer,ducks,seal,and positions. (23). bear are harvested.(4)(23) Employers Main employers: IRA Council, Business Licenses 6 KIBSD Total Wages $457,312 (10) Commercial Fishing 0 permits Median Household $43,000(10);$34,375(23); Seafood Processors 0 Income' Residents over 16 25 Residents Employed 18(72.0%)(10)/13(52.0%) (21) Residents employed 14(56.0%) Below Poverty' 10.3%(10)/65.5%(23) year-round' Information Insights Community Profiles 197 Page 204 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Appendix A I Background Information ECONOMY 1/A survey of household income and employment was conducted in 2012 in response to local opinion that American Community Survey(ACS)data for Karluk were inaccurate.Based on a sample of 45%of households,the survey found unemployment and poverty rates in Karluk to be significantly higher than AC5 estimates with only about 25 percent of adults employed full time,20 percent"temporary/seasonal,"and 5 percent part time.Based on these findings,Karluk is petitioning the Denali Commission to be reclassified as a Distressed Community(23). Sources(except as noted):(10) EDUCATION School Grades K-12.School closed in 1999-2000 and 2002-2003 due to low enrollment(13). Students 11(2013-14) Teachers 1(2013-14) LAND Land Ownership Koniag Incorporated(surface and subsurface land rights) Airstrip(ADOT&PF);School(KIBSD) Topography Steep coastal bluffs rise up to 70 feet behind the shoreline of the lagoon.The seacoast is extremely rugged with vertical cliffs descending as much as 500 feet to the beach.Surrounding hills rise to elevations of up to 1,500 feet.The new town site is located in an area that abuts the steeply rising slopes of the lagoon banks. Vegetation and Soils The area is grassy and virtually treeless.Patches of brush occur in the more sheltered areas.The beaches primarily are sand and gravel.Soils are generally well-drained, silty-loam interstratified with layers of sand and gravel. Erosion is an issue in some areas of the community.Some residents have lost land to erosion. Environmental Issues Most of the Borough's inland wetlands are located in the Karluk River and Ayakulik River drainages,but are not considered to pose major development constraints due to low population in those areas.Erosion is an issue in some areas of the community. Source:(13) TRANSPORTATION Road No connector roads.A 1-mile gravel road connects community to airstrip.A road to Larsen Bay has been proposed, but would cross National Wildlife Refuge land. Marine No harbor or docking facilities. No Alaska Marine Highway Service ferry service. Fuel is delivered by barge.Marine cargo services must use a landing craft to offload supplies. Local residents anchor off shore and use small crafts to haul in goods.A dock is being planned (Need to confirm.). Aviation 2,400 ft.runway can accommodate small commuter airlines. No crosswind runway or control tower.Regular scheduled flights but can be up to a week without service due to weather. Floatplane access at Karluk Lake. Due to runway length,fuel has been flown in in barrels,a day's worth at time at great expense(23). Vehicles Light vehicles:5-10 (1998) Aircraft NA Heavy equipment:1 (1998) Boats NA Sources(except as noted):(13) Information Insights Community Profiles 198 Page 205 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Appendix A I Background Information KODIAK GENERAL INFORMATION CITY OF KODIAK Location Northwestern tip of Kodiak Island City Government Home Rule City Tribal Government Native Village of Afognak Taxes 7%sales tax (federally recognized) CHINIAK Location 45 miles southeast of the city of Kodiak City Government Unincorporated CDP Tribal Government No Taxes N/A KODIAK STATION Location South and adjacent to city of Kodiak,US Coast Guard Base and housing City Government Unincorporated CDP Tribal Government No Taxes N/A WOMENS BAY Location 8 miles south of the city of Kodiak City Government Unincorporated CDP Tribal Government No Taxes N/A DEMOGRAPHICS KODIAK ROADBELT CITY OF KODIAK (includes City of Kodiak, Chiniok, Kodiak Station and Woman's Boy) 2000 2010 2013 2000 2010 2013 Census Census (est.) Census Census (est.) 8,914 8,197 8,363 6,334 6,130 6,338 Change since 2000 \\,..7\.„.. Change since 2000 Percent Change -6.18% Percent Change 0.06% Avg.Annual Growth 044% Avg.Annual Growth 0.00% Median Age 35.1 years(2010) Race/Ethnicity 40%White/37.4%-Asian/9.9% Alaska Native/6.3%Mixed race Source: Information Insights Community Profiles 199 Page 206 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Appendix A I Background Information ECONOMY _ Overview The local culture relies on Subsistence Important subsistence commercial and subsistence Resources fisheries in the area include fishing activities.The US salmon (all five Pacific Coast Guard comprises a species),halibut and shellfish significant portion of the fisheries.Commercially community,and there is a various salmon species,king large seasonal population.(4) crab, pollock,cod,and other (50) species. Employers Manufacturing/Trade, Business Licenses 1,132 Transportation, Utilities/Local Gov't, Education Total Wages $92,896,781 Commercial Fishing 567 permits Median Household $60,972 Seafood Processors 11 land-based processors Income' 2 vessel-based processors (67) Residents over 16 4,822 Residents Employed 3,258(68%) Employed year-round 2,490(76%) Below Poverty 15.15% Source: (66) EDUCATION _ CITY OF KODIAK Schools 6 Students 2096(2013-14) CHINIAK School GRADES K-10 Students 12 (2013-14) TEACHERS 2 (2013-14) KODIAK STATION School Grades P-5 Students 284(2013-14) Teachers 16(2013-14) Source:(6) Information Insights Community Profiles 1100 Page 207 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Appendix A I Background Information LARSEN BAY GENERAL INFORMATION Location Northwest coast of Kodiak Island, 60 miles southwest of the City of Kodiak and 283 miles southwest of Anchorage City Government 2nd Class;Incorporated 1974 Tribal Government Native Village of Larsen Bay Taxes 3%sales tax (federally recognized) DEMOGRAPHICS 2000 2010 2013 Census Census (est.) Age by Sex 115 87 88 Male Female Change since 2000 ,_N 85- L 7. - - -- - 4_ - `ao'a4 ��-- 75-79 I ' r-1 l i L 75-79 70-74- I t } N-J4 Percent Change -23.48% 65.69 ' - -5 -- f ' 65-69 g 60-64 , I - _. 1 1 60.64 i- Avg.Annual Growth -1.68% so sa - --. t t- I r 5054 -- f-- - -_ _ -_45-49 rn Historic Trend Steady decline through 4o a4 - ' --- - m Q � O? I 40-44 q 2008. Has stabilized since 35-39- L I `3539 Local Prediction NA 25-29-', I —- - - ' 25.29 20-24 iI—4—.4—_ f _ - __I ' '--r 20-24 Median Age 43.5 years(2010) ,o is I - I I. - t -- + - io.ia Race/Ethnicity 71.3%Alaska Native oa ) - L —; o.n 24.1%White 4.6%Two or more races 8 6 4 z 0 2 4 6 s ECONOMY Overview Primarily based on fishing. Subsistence A large majority of the (4) There are few year-round Resources population depends on employment positions.Local subsistence.Salmon,halibut, lodges provide tourist guide seal,sea lion,crab,shellfish, services. deer are harvested. Main Employers Tribe,School District Business Licenses 14 Total Wages 5894,801 Commercial Fishing 12 permit holders (46) 15 permits Median Household 585,357 Seafood Processors 1 Income Residents over 16 66 Residents Employed 47(71.2%) Residents employed 27(40.1%) Below Poverty 0(0.0%) year-round (10) Sources(except as noted(:(10) Information Insights Community Profiles 1101 Page 208 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Appendix A I Background Information EDUCATION School Grades P-12 Students 17(2013-14) Teachers 2(2013-14) LAND. . —� Land Ownership Koniag Inc.Native Corporation(surface and sub-surface estates);significant land holdings close proximity to Larsen Bay are administered as federal land within the Kodiak National Wildlife Refuge;Airstrip(ADOT&PF);School(KIB) Topography The community is located along a gradually inclining beach.The coast is characterized by narrow straits and steep, rocky bluffs.Surrounding mountains reach 3,000 ft. Humpy Creek flows through the community into the Bay.(68) Vegetation and Soils High alder and willow brush predominates with scattered birch and cottonwood, with some locally heavy stands.No Sitka spruce or western hemlock.Grasses in open areas.Small areas of wetlands are found at the head of the bay with poorly drained soils.(68) Environmental Issues There are frequently active volcanoes near the area which can interrupt air service due to ash. Earthquake activity is frequent and sometimes extreme. Sources(except as noted):(13) TRANSPORTATION Road No connector roads.3.5 miles of gravel roadway are maintained by the City. Marine Small boat harbor with road access and limited facilities was built in 2003. Aviation State owned 2,700 foot gravel airstrip,state planning calls for the airstrip to be extended to 3,300 feet to accommodate larger aircraft.Due to weather conditions the village often goes without service for up to a week at a time.An upgraded airport facility would assist the frequency of service. Vehicles Light vehicles:57(1998) Aircraft NA Heavy equipment:0(1998) Boats NA Sources(except as noted):(13) Information Insights Community Profiles 1102 Page 209 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Appendix A I Background Information OLD HARBOR GENERAL INFORMATION Location Southeast coast of Kodiak Island, 70 miles southwest of the City of Kodiak and 322 miles southwest of Anchorage. City Government 2ntl Class;Incorporated 1966 Tribal Government Native Village of Old Harbor Taxes 3%sales tax (federally recognized) DEMOGRAPHICS 2000 2010 2013 Age by Sex Census Census (est.) Mate Female 237 218 225ao-a85-_:--- ` - - - - -_ Change since 2000 _ I f __ EO-ea g _ t= --- 7579 70 74 _1�1 I t ;" 70"74 65-69 I Ft__'_ t -j _ 1_65-69 Percent Change -5.06% 60-64 ---T I I -- a _4 -_55-5. 5054 . _._ Avg.Annual Growth -0.36% I `1 " _; 50-sa Historic Trend Decline since 2000, but `t 3539 �-_ I I 4 -- I 35-39 stable for past 10 years. 30-34 -- "'--"- -"-""--"-"t -_ ----j 30-34 25-29 -. i — Local Prediction Stabilize or increase due to 2029 I t 25-29 I r l , - �� rt 20-24 increased economic 15-19 I - - l' 1 -"- I -'"""- 15-19 opportunity(69) 10-14- -_ I i - - - 10-14 5-9 _- I f I Median Age (9) 34.3 years(2010) oa__ I __Lt.( _��,- _ _ 0.4 Race/Ethnicity(9) 87.6%Alaska Native/11% 20 15 10 5 0 5 10 15 20 White/1.4%Mixed race ECONOMY Overview Commercial fishing and Subsistence Salmon,halibut,crab,ducks, hunting is the mainstay of Resources wild bird eggs,sea lion,sea the economy.Most residents otters,Sitka blacktail deer,seal, depend to some extent on brown bear,fox, ermine, subsistence food sources. squirrels,and weasels (50) Employers Local gov't 57.6%; Business Licenses 13 construction 10.6%;and trade,transportation,utilities 8.2%. Main employers: Native Village of Old Harbor, Old Harbor City Council, KANA, KIBSD. (66) Total Wages $1,469,914 Commercial Fishing 54 permits;Community Quota Entity(66) Median Household $53,125 Seafood Processors 1 land-based Income' 1 vessel-based (67) Information Insights Community Profiles 1103 Page 210 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Appendix A I Background Information ECONOMY Residents over 16 152 Residents Employed 85(56%) Employed year-round 14(46%) Below Poverty 22.22% Sources(except as noted):(10) EDUCATION School Grades P-12 Students 32(2013-14) Teachers 4(2013-14) LAND Land Ownership Old Harbor Native Corporation;State of Alaska(upland rights and lands significant for subsistence and commercial hunting,as well as tidelands and submerged lands);Federal Government also owns land and part of the Kodiak National Wildlife Refuge;Airstrip (ADOT&PF);School(KIB) Topography Rugged, mountainous landmass heavily glaciated during the last ice age resulting in sculpted peak and ridge systems separated by deeply carved bays and fjords.Area of magnificent beauty with mountains rising to up to 3,000 feet out of the surrounding oceans and bays. (13) Vegetation and Soils Varies significantly through the northern islands with Old Harbor located in the transition zone between high brush vegetation and alpine tundra. Dominant vegetation types include willow,aider,devil's club, bluejoint and fescue grasses,lupine,Jacobs ladder,ferns,sedges,and horsetail.(13) Environmental Issues Potential oil leakage on Sitkalidak Island.(13) TRANSPORTATION Road No connector roads.(13) Marine Dock and small boat harbor built after the 1964 earthquake. Barge service is available from two Kodiak-based boat freight services.The small boat harbor has slips for approximately 55 small boats but has no water or electrical service. It has some structural damage and is also in need of repairs and expansion. (13) Aviation 2,750-foot gravel strip that is not large enough to accommodate larger,freight cargo aircraft.There is no cross runway or navigational equipment.(13) Vehicles Light vehicles: 15-20 Aircraft NA ATV: 25(1998) Heavy equipment:5(1998) Boats NA Information Insights Community Profiles 1104 Page 211 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Appendix A I Background Information OUZINKIE General Information Location West coast of Spruce Island,which is north of Kodiak Island and east of Afognak Island,and approximately 12 miles northwest of the city of Kodiak. City Government 2nd Class; Incorporated 1967 Tribal Government Native Village of Ouzinkie Taxes 3%sales tax (federally recognized) Demographics 2000 2010 2013 Age by Sex Census Census (est.) 225 161 185 Male Female Change since 2000 \ 85-- • a5- a5-sa I - , ,- l 7599_ , - . . . _ D _.r . 75-79 70-69- ` ' r•' _ � 75-64 Percent Change -17.78% 65.bs- 1 t _ i-_( 6565 Avg.Annual Growth -1.27% -- 5-59-_ - --' - - -i-1 - 64)-64 55-59— IT; r 5 Historic Trend Decline since 2000,but a, 45 9_. - T I I " f __1 .45.9 a, on 40-m_. - i _. _- a stable for past 10 years. 35.9-. _ ,----—__•i_-- - "--� -r 35 9 Local Prediction Stabilize or increase due to _. 355-7 25-29— 1 t- _` "- `2529 increased economic 2024 - ^I � i f - -20-24 o - pportunity(57) i5_i .r i. .. .!. _1 _io.ta Median Age (9) 36.8 years(2010) 0-9- I -Ir 5-9 9 Race/Ethnicity(9) 79.5%Alaska Native/10.6% - White/9.3%Mixed race is 30 5 0 5 10 15 i Economy • Overview Economic base is primarily Subsistence Almost all the population commercial salmon fishing. Resources depends to some extent on Non-fishing employment is subsistence activities. primarily with government, Salmon,crab,halibut, with significant part-time and shrimp,dams,ducks,deer, seasonal work.(4)(50) and rabbit are utilized.(4) Employers Local government, Business Licenses 11 trade/transportation/ utilities,construction Total Wages $1,583,356(10) Commercial Fishing 19 permits plus Community Quota Entity IFQ shares Median Household $47,500(10) Seafood Processors 0 Income' Residents over 16 157(10) Residents Employed 96(61.1%)(10) Employed year- 53(33.7%)(10) Below Poverty 27.12%(10) round Information Insights Community Profiles 1105 Page 212 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Appendix A I Background Information Education • _.. .. School Grades K-12 Students 43(2013-14) Teachers 5(2013-14) Land ... Land Ownership Ouzinkie Native Corporation (surface land rights); Koniag, Inc.(subsurface rights). Topography Swampy areas,volcanic rock and soils,and sedimentary rock. Katmai Creek runs through the community. (13) Vegetation and Soils Soils are relatively shallow and poorly drained,with significant muskeg cover.There is an abundance of tall spruce.Other common plant species include bluejoint, beach and rye grasses,devil's club,ferns,salmonberry and high bush cranberry(13). Environmental Decline in harbor seals and sea lions.Paralytic shellfish poison.Several areas suffer Issues from erosion,including the ridge along the west end of the airstrip,waterfront at Ouzinkie harbor,and tank farm access road.Indoor air quality: black mold. (13) Transportation Road No connector roads.The road system within Ouzinkie is limited to a few miles of gravel road and paths. (13) Marine Ouzinkie harbor facilities include a breakwater,a small boat harbor and dock. Fuel is delivered by barge.An intra-island marine cargo vessel delivers freight on demand from Kodiak.Ouzinkie has a new dock,which was a community priority to support economic development and the possibility of AMHS ferry service.(13) Aviation A state-owned 2,500-foot gravel runway is maintained by the City.Ouzinkie is served by scheduled passenger and mail trips and charter service between the City of Kodiak and Ouzinkie.The airstrip is not large enough to accommodate larger,freight cargo aircraft and lacks radar equipment.A float plane landing area is at Ouzinkie harbor. (13) Vehicles Light vehicles:<25 Aircraft NA AN: 20-40(13) Heavy equipment: Boats NA Information Insights Community Profiles 1106 Page 213 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Appendix A I Background Information PORT LIONS GENERAL INFORMATION Location Located in Settler Cove,on the north coast of Kodiak Island,247 air miles southwest of Anchorage City Government 2r Class; Incorporated 1966 Tribal Government Native Village of Port Lions Municipal Taxes 0%sales tax,5%bed tax (federally recognized) DEMOGRAPHICS • 2000 2010 2013 Age by Sex Census Census (est.) 256 194188 _ _ , _ Male Female Change since 200085 p r -85 \�_��.,�� 208-2 - 8084 _ Percent Change -26.6% 70-74 ' _ ''974 g 65-69 .i 1 f 65-69 Avg.Annual Growth -1.9% ss s''- - "_{ 55.59 _— _ _— 50-54_ -t.. _..-_..... j --_--( Sp.Sa Historic Trend Steady decline has mostly •, 45-49 _----r-4.-.9.1'_ -_-'__ '45.49 aed., stabilized since 2008 < 40 44 1 r 35-39 ..-__-r (C= .. . -. • 35-39 — Local Prediction Preventing further decline '°34 T 25-29 i I I t ; , 25-29 is top community priority 20-24 i r 1 4 -20-24 MedianAge 44.3years 2010 - -15.19 ( 1 Race/Ethnicity 58.8% Alaska Native ea- -- ,.r I 5-90 59 1 36.1%White 20 15 10 5 0 5 10 15 20 2.6%Two or more races ECONOMY • Overview Primarily based on Subsistence All of the residents depend to (4) commercial fishing,fish Resources some extent on subsistence. processing,and tourism. Salmon,crab, halibut, shrimp,clams,duck,seal, deer,and rabbit are harvested. —_Main Employers Tribe,School District Business Licenses 19 Au Total Wages $1,823,840 Commercial Fishing 18 permits; CQE (46) i _ Median Household $46,875 Seafood Processors 0 Income y Residents over 16 168 Residents Employed 82(49%) Residents employed 51 (62%) Below Poverty 33 (12.7%) year-round (2) v. Sources(except as noted):(10) Information Insights Community Profiles 1107 Page 214 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Appendix A I Background Information EDUCATION • • • School Grades K-12 Students 20(2013-14) Teachers 2(2013-14) • LAND.. . Land Ownership The single largest landowner in the areas is Afognak Native Corporation (ANC),which owns all of the land surrounding the City of Port Lions and half of the land within the City limits.The ANC was formed as a merger of Port Lions Native Corporation and Natives of Afognak in 1977 and is the ANCSA village corporation for Port Lions. Koniag, Inc.,owns subsurface rights to ANC lands;Airstrip(ADOT&PF);School (KIB) Topography Port Lions lies in an area considered to be generally free of permafrost,though a few isolated masses of permafrost may be locally present.The surrounding terrain is gently sloping and heavily forested with Sitka spruce and coastal western hemlock. Major landforms include Mt. Ellison(elevation 2000 feet),approximately two miles from the village center, and Peregrebni Peninsula,a nearly 300 acres deposition formed area connected to the mainland by a narrow isthmus,which forms Settler Cove.(70) Vegetation and Soils Dominated by Sitka spruce and deciduous species, particularly Sitka alder and Dwarf birch. Low growing willows are found in cleared recovery areas or along stream areas. Due to a lack of soil depth and exposure conditions,the spruce give way to shrub species.The more common of these species are Labrador tea, blueberry, and low brush cranberry.The area above the head of Settler Cove consists of a mixture of spruce and shrub.(70) Environmental Issues The village center and the Peregrebni Peninsula are subject to long and short term coastal flooding due to land subsidence and seismic sea waves.During extreme high tides and severe wind conditions,the storm surge has crested Kizhuyak Drive.(70) Sources(except as noted):(13) • • TRANSPORTATION - . Road No connector roads.6.5 miles of gravel roads within the community, included among the roads is a 4.2-mile state road connecting the City dock at Port Wakefield on Peregrebni Peninsula to the south end of the village and to the airstrip north of the village. Roads are in poor condition and are in need of repairs. Marine The boat harbor was partially rebuilt in 2011 and provides 68 boat slips,electricity, and fresh water during the summer months.The state ferry Tustumena operates bi- weekly from November through April and bi weekly for two weeks each month from May through October.Service is to and from Kodiak and Homer.A newly built deep water city dock with a 214 ft.face and mooring and breasting dolphins to accommodate large ships will be completed in 2014. Aviation There is a state-owned 2600 ft.gravel airstrip,and the small boat harbor may be used by seaplanes.Regular and charter flights are available from Kodiak Vehicles Light vehicles: 20(1998) Aircraft NA Heavy equipment:9(1998) Boats NA Sources(except as noted):(13) Information Insights Community Profiles 1108 Page 215 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Appendix A 1 Background Information APPENDIX NON-RESIDENTIAL BUILDING INVENTORY Information Insights Community Profiles 1109 Page 216 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC O C m Kodiak Regional Energy Plan Phase I,Vot.VI Appendix B Non-residential Building Inventory CO AKHIOK Building Year Built/ Heating Electric EE&C Est.Cost Est. EE&C Est. EE&C EE&C Type or Square Fuel Type Energy Audited? of EE&C Cost Energy Imple- Building Name Use Owner Footage and Use Use(kWh) (Year) Measures Savings/Yr Savings/Yr mented? New clinic Q Pump house Fire Hall Garage School 9 Generator School Public Bldg Generator Tribal Council Office Post Office Store Teen Center Church Source:(20) cov CD N ' J G ° 0 co o Information Insights Community Profiles 110 It 0 0 a 7 0 o Kodiak Regional Energy Plan Phase I,Vol.II Appendix a Non-residential Building Inventory a) 41 m m KARLUK (0 Building Year Built/ Heating Electric EE&C Est.Cost Est.EE&C Est. EE&C EE&C Type or Square Fuel Type Energy Audited? of EE&C Cost Energy Imple- Building Name Use Owner Footage and Use Use(kWh) (Year) Measures Savings/Yr Savings/Yr mented? Water Storage Tank Cli O L School School Generator o Pump House Tribal Council cn Garage Generator Ci) Lodge Community Hall Lodge Tribal Council Office Smoke Houses Russian Orthodox Church Lodge Fuel Tank Airport -a Maintenance Bldg G) Source:(20) m n N o 03 Information Insights Community Profiles 1111 rn Ka PI) O I? v A o co 5 Kodiak Regional Energy Plan I Phase I,Vol. II Appendix B I Non-residential Building Inventory tU m Lb, KODIAK co AHFC Public Facilities Audits m Building Year Built/ Heating Electric EE&C Est.Cost Est.EE&C Est. EE&C EE&C m Type or Square Fuel Type Energy Audited? of EE&C Cost Energy Imple- Building Name Use Owner Footage and Use Use(kWh) (Year) Measures Savings/Yr Savings/Yr mented? O Main School KIBSD 37,062 sf 12,301 295,036 AHFC $110,250 $23,848 In m Elementary gals.#2 oil (2012) Progress tD - Peterson School KIBSD 42,283 sf 17,128 309,297 AHFC $153,250 $17,554 In -4Elementary gals.#2 oil (2012) progress 3 Kodiak Middle School KIBSD 60,876 sf 25,876 900,457 AHFC $171,256 $27,743 In (0 School gals.#1 oil (2012) progress 3> Chiniak School School KIBSD 8,450 sf 4,932 gals. 52,574 AHFC 568,068 $4,785 In #2 oil (2012) progress KIB Admin Offices KIB 28,567 sf 22,675 434,532 AHFC $145,310 $26,370 Complete Building gals.#2 oil (2012) Bayside Fire Fire KIB 5,366sf NA NA AHFC $26,226 $2,043 Unknown Station Station (2012) Womens Bay Fire KIB 3,204 sf NA 22,434 AHFC $22,726 $2,264 Unknown Volunteer Fire Station (2010) (2012) Department Sources: (36)(37).Notes:Complete Energy Audit Reports are available at:www.akenergyefficiency.org/koniag audits Other common efficiency measures include setting back the thermostat to 60'when buildings unoccupied, retrofitting lights and installing control systems on HVAC and pump systems. KIBSD is implementing changes as the opportunity arises whether in the course of regular maintenance or replacement of equipment. CD n 0 NJ co z o p N n op o Information Insights Community Profiles 1112 m 3 It 94 0 0 a v 0 O Kodiak Regional Energy Plan I Phase I,Vol.II Appendix B 1 Non-residential Building Inventory 41 M m U.S. Coast Guard Kodiak Base:Steam Plan Energy Efficiency Retrofits m a Investment Cost Simple Payback Building Measure (estimated) Annual Savings (Years) ET Steam Plant Boiler Controls $426,690 $129,300 3.3 E Feedwater Motor/pumps $29,928 $12,470 2.4 x Lighting Upgrades $1,540,302 $296,212 5.2 0 Sources:(38)(32).Notes: Retrofits completed or underway include upgrading controls on boiler, lighting, and HVAC; repairing and replacing W existing steam distribution system;and replacing double doors in housing units.These measures have been implemented over the past 15 years. to City of Kodiak Public Facilities Inventory 0 3 Facility Location Year Built Square Feet Electrical Use(kWh) City Police Station/Jail 2160 Mill Bay Road 2010 28,150 530,440 DBaranoff Park Rec Facility 1222 Chichenoff 2000 25,578 282,528 n Sewage Treatment Plant 2853 Spruce Cape Rd. 1971/1999 25,071 464,352 City Dock Warehouse Pier II,St.Paul Harbor 1988 23,404 Public Library 612 Egan Way 2013 16,000 74,640 Fire Station 219 Lower Mill Bay 1968/1982 13,000 11,366 Library 319 Lower Mill Bay 1967/1982 10,728 68,040 Teen Center 410 Cedar St 1984/2001 10,500 35,107 Public Works Garage 2410 Mill Bay 1977 8,302 108,202 Pier 3 Maintenance Shop Rezanof Drive 1975 7,200 Rec Facility/East Additional Park Bartel&Simeonoff 1984 5,500 Brother Francis Shelter 410 Thorsheim 1992 5,044 UV Water Treatment w/Generator 909 Pillar Mountain Road 2012 3,648 m Baranov Museum 101 Marine Way 1970 3,608 16,626 IN co Public Works Warehouse 2410 Mill Bay 1995 3,200 17,155 0 Ni No Harbormaster Building 403 Marine way 1966/1998 2,604 10,280 Z o N °n CO _ o Information Insights Community Profiles I 113 ni 4t C1 7C 0 a c 73 co O Kodiak Regional Energy Plan I Phase I,Vol. II Appendix B I Non-residential Building Inventory 7 N 111 3 Facility Location Year Built Square Feet Electrical Use(kWh) m IE Headstart Preschool 417 Hillside 1991 2,604 29 -D KPD Barn/Storage Facility 614 Egan Way 1945/2000 2,600 34,739 E 3 Pump Station Monashka Creek 1973 2,519 2,125,440 rn Salt Storage Bldg.(PW Yard) 2410 Mill Bay 1997 1,888 4,016 Chamber Office/Ferry Terminal 106 Marine Way 1970 1,792 Di Baranoff Park-Office,Comfort 1222 Chichenoff 2000 1,456 8,888 Station,Storage (D 3 Chlorinator Building 909 Pillar Mtn. Rd. 1995 1,339 335,808 Rk 0 St.Herman Harbor Office St.Herman Harbor 1998 1,200 11,493 fn Animal Shelter 2409 Mill Bay Road 1981/2002 1,040 DPier 3 Office Rezanof Drive 1975 1,000 n Utility Enclosure& Restroom Kodiak Boatyard-St.Herman Harbor 2009 836 17,632 Pump Station Pillar Creek 1965 828 72,100 Lift Station/City#5-Contents Only Mission Lake 1978/2000 600 Comfort Station (Restroom) St. Paul Spit 2000 350 Public Restrooms 407 Marine Way 1989 350 Communications Building Including 911 Pillar Mountain 2008 160 9,219 Antennas&Fence Lift Station/SD142-Contents Only Spruce Cape 1983 140 Lift Station/City#4-Contents Only Father Herman Rd 1978 140 Emergency Generator Building 2410 Mill Bay Road 1979 128 Portable Security Shed 727 Shelikof Ave 2006 64 39,350 Source:(35) o) n op co N n1 Z N °n co O Information Insights Community Profiles ( 114 y m It N v 0 a 23 to co. Kodiak Regional Energy Plan I Phase I,Vol.II Appendix B I Non-residential Building Inventory 4) Energy Use of Water and Sewer Facilities, City of Kodiak cci Annual Electrical Facility Use(kWh) 2821 Spruce Cape Sewage Plant 464,352 frl 3010 Spruce Cape Rd Pump Sta 2 11,306 3880 Woodland Dr Pump Sta 4,561 4152 E Rezanof Dr Pump Station 74,000 05 Monashka Creek Pump Station 2,125,440 Pillar Creek Pump Station 72,100 Pillar Mtn Chlorinator 335,808 3 1211 Father Herman St Sewer Lift 103,200 2578 Metrokin Wy Sewer Lift Station 315,744 315 Seabreeze Cir Sewer Lift 4,292 n 3565 Sean Cir Sewer Lift Sta 12,448 438 Teal Way Sewer Lift Sta 4,590 511 Marine Way Sewer Lift Sta 39,200 518 Mozart Cir Sewer Lift 15,402 Beaver Lake Loop Rd Sewer Lift 3,083 Cliffside Rd Sewer Lift Station 1,614 Dog Bay Sewer Lift Pump#2 11,567 Larch Sewer Lift 3,549 Sewer Lift 1-Harry Neilsen Ave By Pond 6,710 Sewer Lift 2-Sut Larsen Way-End Of Road 3,198 Sewer Lift Station-By Elks 13,666 Shelikof St Sewer Lift 4,088 Total 3,629,918 co Source:(35)cD N °n N co 0 Information Insights Community Profiles 1115 0 0 th 5 Kodiak Regional Energy Plan 1 Phase I,Vol. II Appendix 8 Non-residential Building Inventory Kodiak College Building Inventory a Facility Year Built Square Feet #2 Fuel Oil(gals.) Electrical Use(kWh) Vehicle Fuel(gals.) Benny Benson 1971 15,530 TIT Campus Center 1982 14,916 m Technology Center 1973 13,664 Total 44,110 35,411 472,000 458 pj Average per Building 14,703 11,803 157,333 CD Average per Building 1,644 (MMBTU) 0 Source:(39) (7) CO n ci N m W Z 0 N Y Information Insights Community Profiles 1116 m It Ft) 0 0 a O Kodiak Regional Energy Plan I Phase I,Vol.II Appendix B I Non-residential Building Inventory 0) N m t0 LARSEN BAY Building Year Built/ Heating Electric EE&C Est.Cost Est.EE&C Est. EE&C EE&C Type or Square Fuel Type Energy Audited? of EE&C Cost Energy !mole- Building Name Use Owner Footage and Use Use(kWh) (Year) Measures Savings/Yr Savings/Yr mented? Lodge O Fishing Processing Tank Farm 0 Tribal Office 3 Airport Cn Maintenance Bldg Clinic Post Office Fire Hall& 'IPSO Bldg City Generator City Offices City Maintenance Bldg Old School School School KIBSD 19,945 sf ft2 oil:9,564 104,675 AHFC $190,794 $26,414 In gals./yr kWh/yr (2012) Progress (2009-10) (2009-10) Lodge Old Church m (Storage) NN) Russian 0Co N n O Information Insights Community Profiles I 117 it R) 0 a co o co Kodiak Regional Energy Plan I Phase I,Vol.II Appendix B Non-residential Building Inventory 171 tU Building Year Built/ Heating Electric EE&C Est.Cost Est. EE&C Est. EE&C EE&C co Type or Square Fuel Type Energy Audited? of EE&C Cost Energy Imple- a Building Name Use Owner Footage and Use Use(kWh) (Year) Measures Savings/Yr Savings/Yr mented? Orthodox Church fN Lodge Lodge O Lodge Lodge m Fish Processing KIHA Housing B Old Water cn Storage tank Water Treatment Plant City Storage Tribal Office Cannery Sources:(20)(36)(37) Iv Io N m N Cn tpN co 0 Information Insights Community Profiles 1 118 N 0 0 63 0 (0O Kodiak Regional Energy Plan 1 Phase I,Vol.II Appendix B 1 Non-residential Building Inventory 0) N M 7 0 OLD HARBOR ca 'O Building Year Built/ Heating Electric EE&C Est.Cost Est. EE&C Est.EE&C EE&C 7 Type or Square Fuel Type Energy Audited? of EE&C Cost Energy Imple- Building Name Use Owner Footage and Use Use(kWh) (Year) Measures Savings/Yr Savings/Yr mented? , Orthodox x Church 05 W Oil Spill Connex 63. City Dock Lodge O Senior Center VEEP $108 0.14 kW Lighting 3 (2005-06) electrical 19 gals, retrofit CD rZ savings 14% 3> Old Harbor School KIBSD VEEP $5,134 6.7 kW Lighting a School (2005-06) electrical 884 gals. retrofit School School KIBSD VEEP savings 37% Lighting Gymnasium (2005-06) retrofit Tribal Council VEEP $3,041 4 kW Lighting, Office (2005-06) electrical 524 gals. heating $340 fuel 60% measures Culture Center Post Office Basketball Court KANA VEEP $678 0.88 kw Lighting Preschool (2005-06) electrical 117 gals. retrofit savings 55% Community IN co Shop CD 0 City Shop m na N m Water VEEP $186 0.24 kW Lighting 2 o n n N co o Information Insights Community Profiles I 119 4t N Al 0 a in 5' Kodiak Regional Energy Plan I Phase I,Vol.II Appendix B I Non-residential Building Inventory a) N m Building Year Built/ Heating Electric EE&C Est.Cost Est.EE&C Est.EE&C EE&C Type or Square Fuel Type Energy Audited? of EE&C Cost Energy Imple- `� Building Name Use Owner Footage and Use Use(kWh) (Year) Measures Savings/Yr Savings/Yr mented? Treatment Bldg (2005-06) electrical 32 gals. retrofit savings 27% in Art Studio is Gwendolooks Store O Grocery The Fish Guy Store 15. Tidal Wave Store Finest Fish Store 3 Shop Cf) City Fuel Tanks AVEC Fuel Tanks C) AVEC Generator Tribal Council Food Bank Lodge Clinic Old Clinic $761 1 kW VEEP Lighting (2005-06) electrical 131 gals. retrofit savings 41% City Offices/ VEEP $1,524 2 kW Lighting, Fire Hall/ (2005-06) electrical 262 gals. heating Public Safety $326 fuel 44% measures Gas Station City Storage n co Sources:(20)(36)(37)(71).Notes:Old Harbor completed the Village End Use Energy Efficiency Program(VEEP)in 2005-2006.Heating measures included Noutdoor temp boiler control on City Building,boiler maintenance training,and programmable thermostats for Tribal Office and City/Public Safety/Native Corp. m Z o O N n � Information Insights Community Profiles I 120 m it N v 0 0 a ET ro aD O' Kodiak Regional Energy Plan ( Phase I,Vol.It Appendix B ( Non-residential Building Inventory 0) N Building.Project cost was$38,235.Annual energy savings:41%lighting,17%fuel(for upgraded buildings)and 2,230 gallons of diesel Simple payback:3 years. (71) a 0 W O 3 C<n 0 Na co coo Information Insights Community Profiles I 121 y I v a a 75 too". Kodiak Regional Energy Plan ( Phase I,Vol.II Appendix B I Non-residential Building Inventory C) LU m m OUZINKIE (n _ Building Year Built/ Heating Electric EE&C Est.Cost Est. EE&C Est. EE&C EE&C °t Type or Square Fuel Type Energy Audited? of EE&C Cost Energy Imple- Building Name Use Owner Footage and Use Use(kWh) (Year) Measures Savings/Yr Savings/Yr mented? Ouzinkie School School KIBSD 16,918 sf 9,089 gals. 140,127 AHFC $118,594 $15,724 In #2 oil (2009-11 (2012) Progress (2009-11 avg.) avg.) B&B Ci Church Bulk Fuel Tanks (/) EPA Multi-Use Subsistence nFreeze Facility Fire Hall Community Center City Office Post Office Warehouse and Multi-use Building Church Tribal Cultural Center Tribal Health Clinic Generator m 0 Building m co City n co o Information Insights Community Profiles 1122 9. 4t N O1 O a xi o Kodiak Regional Energy Plan I Phase I,Vol.II Appendix B Non-residential Building Inventory CU Building Year Built/ Heating Electric I EE&C Est.Cost Est.EE&C Est.EE&C EE&C Type or Square Fuel Type Energy Audited? of EE&C Cost Energy Imple- `t Building Name Use Owner Footage and Use Use(kWh) (Year) Measures Savings/Yr Savings/Yr mented? Maintenance Building ffl Septic Storage Building 0 Oil Spill CO Response co Center Grader Building 0 3 Automotive co Shop Studio Pump House Sources:(20)(36)(37) co0 W 2 0 ° N o Information Insights Community Profiles 1123 it 13 C1 0 m m p Kodiak Regional Energy Plan I Phase I,Vol.II Appendix B INon-residential Building Inventory N m PORT LIONS Building Year Built/ Heating Electric EE&C Est.Cost Est. EE&C Est. EE&C EE&C 7 Type or Square Fuel Type Energy Audited? of EE&C Cost Energy Imple- Building Name Use Owner Footage and Use Use(kWh) (Year) Measures Savings/Yr Savings/Yr mented? Health Clinic New Water Treatment Bldg Old Water Treatment Bldg o Hillside Bable 3 Chapel Fire Station& City Shop nPark City Office Office 4,800sf EECBG $4,375 $110 800 kWh Interior Building Lighting Retrofit Russian Orthodox Church Telephone Company _ Lodge Tribal Offices Basketball Court Port Lions in School Post Office N Sources:(20)(25) Z °n co � Information Insights Community Profiles 124 It AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II WORKS CITED I. PV Watts Calculator. National Renewable Energy Laboratory. [Online] [Cited: May 30,2014.] http://pvwatts.nrel.govlpvwatts.php. 2.Alaska Energy Authority.Alaska Energy Pathway. 2010. 3. McCoy, Dan. City and Utility Manager,Akhiok. Interview. May 14, 2014. 4. Alaska Energy Authority.Alaska Energy Pathway. 2010. 5.University of Alaska Anchorage,Institute of Social and Economic Research.Alaska Energy Data Gateway. 6. Alaska Energy Authority.Akhiok FY 7d PCE Report. s.l. : Not published,2014. 7. . 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[http://www.denali.gov/dcpdb/index.cfm] s.l. : Denali Commission Project Database System Project At-A-Glance,2009. 65. Forestry.Afognak Native Corporation. [Online] [Cited: July 15, 2014.] https://www.afognak.com/lands/forestry/. 66.Alaska Department of Labor and Workforce Development, Research and Analysis.Alaska Local and Regional Information 67.Alaska Department of Environmental Conservation, Division of Environmental Health, Food Safety& Sanitation. Seafood Processing Permits. [Online]2014. http://alaska.state.gegov.com/alaska/seafood li sti ng.cfm?sterland-based. 68. Kodiak Island Borough. Comprehensive Development Plan: City of Larsen Bay, Kodiak Island, Alaska. July 1984. 69. Berns, Cynthia. Vice President Corporate Affairs, Old l-/arbor Native Corporation. May 20, 2014. 70. Kodiak Island Housing Authority; Alisha Drabek. Port Lions Comprehensive Community Plan, Port Lions : s.n.,2003. 71. Alaska Building Science Network. Old Harbor 05-06 Final Report. [www.akenergyauthority.org] s.l. : Alaska Energy Authority,2006. 72. Aalska Native Tribal Health Consortium, Division of Environmental Health and Engineering. Energy Use and Costsfar Operating Sanitation Facilities in Rural Alaska:A survey. October 2011. 73. Reitz, Daniel,et al.,et al.Energy Use and Costs for Operating Sanitation facilities in Rural Alaska:A survey. Alaska Native Tribal Health Consortium.Anchorage, Alaska: s.n.,2011. 74. Alaska Energy Authority& Alaska Center for Energy and Power.Alaska Energy:A first step toward energy independence. Anchorage, Alaska : Alaska Energy Authority,2009. 75. Plentavich, Devany.Alaska Energy Authority. Project Manager. Biomass, February 20,2014. 76. Alaska Energy Authority.Alaska Energy Pathway. 2010. 77.Plentovich, Devany. Alaska Energy Authority,Biomass/CHP Program Manager.Personal communication, April 30,2013. 78. Alaska Energy Authority&Alaska Center for Energy and Power.Alaska Energy:A first step toward energy independence. Anchorage,Alaska :Alaska Energy Authority,2009. Information Insights Community Profiles 1128 Page 235 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. Kodiak Regional Energy Plan I Phase I,Vol.II Works Cited 79. Alaska Energy Authority& Renewable Energy Alaska Project.Renewable Energy Atlas of Alaska. Anchorage,Alaska: s.n.,2009. 80.Alaska Department of Commerce,Community, and Economic Development. Community Database Online. Conmuwity and Regional Affairs. [Online] 2014. http:l/comm erce.alaska.govlcr&DCRAExtemal/community. 81.Alaska Energy Authority& Renewable Energy Alaska Project. Renewable Energy Atlas of Alaska. Anchorage,Alaska : s.n.,2013. Information Insights Community Profiles 1129 Page 236 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC AGENDA ITEM #2.a. �. k �I „;\t .,.:(1•!:..5',,'-:-...a,,,,-- t'S 5'a, s } ii. ° • X '” 7` ' ri �1 . : X I^ L $ ? . 'Cif' ' �, . - molv�' . t,; Xt ; �� Q 0 W � Z <1r. r ` rr . 1111F :r1 maw (fi O ,/, lY. . d.. �� X n ' k 1 ° ' ° ti £ X 54 7r ` L • #x '� qs.SFr 4 Y, l x: :it. fd ."`„ A w A CCC,. r 1 _ ' ' ��' X fi •• � � t r it., 4.; 7{1 X .•}.- si DIY* 9g' y,..st, s 1�' r ' "' "1i �` k (,1 ', Y ' µF � l N ' „ ��... • i arm lg rd ;14.1;:i Ek ?° i s1`� ✓ I:. III , F' ,� ,, - gy ;� , )4",.'2 � A? /..E.,) . ��,... Page 237 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC 0 a s' Kodiak Project Phases m co Egicg go Phase OOo Phase lll; a o eAsea� Cngagem t Planning D a a a Preliminary Planning Outreach ??' TechnicalAnalysis; a 4 a Data Collection . Energy Summit • 'S, Economic Analysis" • +� Resource Inventory s.e.P.�.�r.ioo'�2rf-itm.y P.—wrojects j'. h, Ene> rgy,aPw la`x n J *c- re xb'pr, 0 v n W w0KodoakEner;:>yoorg Z Oo O � 9) 0 0 CD gurreofR In t rg 7 U]pply Electrical Generation, FY2013 (MWh) Electricity: c - 157 GW Generated in FY13 154,309 xu Heating: co: l Wind 26 853 - 460,000 MMBTU (use estimated) 0 Hydro ci) ® Diesel Transportation: - 700,000 gals (use estimated) Rural Generation, FY2013 (MWh) O Wind 120,405 0 Hydro 830 ® Diesel 754 807 1,046 MWh Hydro g. 1,921 MWh Diesel 846 515 N 2,967 274; 264 2 7;051 _ KEA Grid Villages Akhiok Karluk Larsen Bay Old Harbor Ouzinkie co rn o � N iv 0 a w' m 0 Reg ona0 orgy 0 e—g cp • High and volatile fuel prices o Aging and inefficient housing stock contributes to high heating costs Islanded power systems make a regional energy plan difficult • Diesel integration challenges because of small loads • Logistical challenges in remote project locations Lack of heat recovery systems v • Diesel infrastructure in fair or poor condition z 0 0 N n o iii AGENDA ITEM #2.a. aCD 0 o x VU . VU 0 0 - @9 E Inc rs , r :' , `,+_ Page 241 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC 7c 0 Ei 7- D co v Hydroe_ri G@Wri@ © o portu[1ges : , m co who Has Opportunity HYDROELECTIC m ■ City of Kodiak COSTS & SAVINGS o • Larsen Bay • Very site dependent co • Old Harbor SCREENING COSTS 3 • Ouzinkie ` • $75,000 hydropower More Reconnaissance Needed pre-feasibility study 0 • Akhiok • $125,000 for broader • Karluk RE screening study. Resources i '"t - �' t. '" `a q.4 ie �ake F ' • Renewable EnergyFund + ' ''q I. MWS+ '~ .0„; " ' • Power Project Loans .‘401744.44., ��'��` h;` � ; ; T . • Community Development Block Grants . ;� ` } , , `' 4.144A 4C • EDA and USDA Rural Development f -' sx +61%, n � n ° � �Outlet Y s�: 3 ..z.* �► ,„gz A t 01 • Indian Development Block Grants , �cet � _ , ib ,,,, it m • Tax Credits through Private Partnership r;"{ ' ' '"p�; h. n o t Jr"( E . ,3-4,1440t -` its;'4° , c Lex;7 .: �!%'n ` )1, i tl zim N C1 0 v F ;L7 (D m MEd Op 0 0rtbuageS Who Has opportunity SCREENING COST •Lin • City of Kodiak $60,000 $70,000 wind metering study 051 More Reconnaissance Needed • $125,000 for broader 3 ' Akhiok RE screening study n • Karluk • Larsen Bay Resources • AEA Anemometer Loan Program _ • • Same as Hydro a � ,> r i m 0 0 a m on v o omass Dfporturio 0 Who Has Opportunity Communities with nearby forests or sawmills, access to fish oil waste from seafood processors, or a Class 1 landfill. Ea II City of Kodiak 4F �k q -• • W ■ Juzinkie - \iW‘ •� t ,� � * }y. 0 � A P y4 f d 'Y . • Port Lions n , C More Reconnaissance Needed , sNigal ■ Larsen Bay S Old Harbor ` _ `` 1 Resources • Alaska Wood Energy Development Task Group (grants for pre-feasibility assessments) • USDA-RD Rural Energy for America Program °n N o +� N Al AGENDA ITEM #2.a. • • • MINN /1:11 W y ' . i W4-M.OvK`' �i ` t iti � S t:$443t i .n . y $ 3' ki • Page 245 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC 0 C CD m Di ;est Cff@haqg E e . ° ecove CD Who Has Opportunity SAVINGS m Communities that are primarily dependent 60,000 gallons on diesel and those that do not have heat o $215,000 fuel costs recovery installed at powerhouses. Based on 10% • Akhiok increasein every ® Karluk community • Larsen Bay r ■ Old Harbor • Ouzinkie I t Resources R " ' r ° • AEA Powerhouse & RPSU programs � 12. p g ... er. - '' G) • Power Plant Operator Training e o s �, z - N 0 0 a C) 7C 73 CDCO m ED Re�sid@ g11 Inergy ER @ Conservation cci v Who Has Opportunity: Every Community m 0 t y ; 2ly � i ° CD 8 1882 15% 8 Ra 9 11 42% 267 50% % , 513%,‘' 22 se,26/0 iy o, 58% 69% 65% ;, o Akhiok City of Kodiak Karluk Larsen Bay ' ` lJ 6 1°-",..74.1)34 ° 23 " 23 `_ «0 New/BEES-certified 32% 22% 50 st 0 Home Energy Rebates . ,t � 53%. 50 , 74 3 o Weatherized Homes 41%itS 68% 72% ■ Not Retrofitted D m n ap N Z A J Old Harbor Ouzinkie Port Lions n o M y 4* N 9, 0 m' A- 0 L • v Energ C Conservat, on M 0 Annual Use by Customer Type(M W h) Residential D Publlc Facilities O Commercial 07) Average ElectricalUse 14°,�° 125,344 120,000 . 113 614 M by Customer Type 1°°,00° O # < 80,000 �a — W Green is Residential 60.000 -- aIll;+ -- — __ 40,000 Blue is Public Facilities 20,000 ,214 ' 12'558-12'929— CD _5 _ - 5 _ 354 cn * Orange is Commercial D Kodiak Rural Average o Average Annual Use by Customer Type (kWh) 0 Residential 0 Public Facility n Commercial 20,000 15,000 we,; y? d _ is,,, 10,000 d ,0.,,,e, „4„,..„, t,,,,„, _ ,„,,, -10 5,000 _� _ i , , _ ',, IN COrnNI w.naa t `Jf.a.5'y— f .iCO 4.:"£C. --- t�'.-. ....c O iv rn Akhiok Karluk Larsen Bay Old Harbor Ouzinkie Port Lions Rural Average n o y 4t N v 0 a m ,c m ° ecommendEratons ituagtv of Kodti a > Encourage EE &C of Homes & th th Businesses > Maximize Energy Efficiency of Public Infrastructure > Monitor Emerging Energy Technologies N m A 9 O O ^> 13 n o y 4t 03 0 v Who�oW0l�9 =eA ® ,pproaStoE E&C m ET Village Energy Efficiency VEEP I: Program (VEEP) • Costs: $200,000 average ° ■ Not currently funded per community c • Savings: $3 return for every a • 150 pubic buildings in 30 $1 invested (statewide) with communities, street lights 3.8 years average payback installed in some (2010-2013) • King Cove: 72% energy savings Whole Village Energy Retrofit (3 bldgs, street lights) • Not currently funded • Street Lights: $5,000-25,000 • Only 3 communities done with 2-4 year payback • Upgraded power house, Whole Village (Nightmute) retrofitted all public buildings, • costs: $850,000 (all sources) weatherized 65% of homes, • Savings: 56% fuel reduction N installed smart meters in every building in the village n ZitN rn O N AGENDA ITEM #2.a. , l'. . ff .,..v..„ 0 0 fr* Y ? :. s .. o 1.i fir '* k� i Cq 4 ✓ 4..i 3 Page 251 of 280 Kodiak Regional Energy Plan - Erik O'Brien from SWAMC 0 0 n m o' rn ase ON Engeigem@ER • Community meetings m • Presentations C> Engage Stakeholders Out'reaeh • Feedback \ � r:), // • Steering Committee Energy • January Forum �d��o�� Priority Projects quant • Phase II Report Priority, • Distribute Projects `° 2 N O O 1 N o 0 a ni m o' m © o portuffies for Kod : 0&=&ind g orou,g 2 NOW o Leadership presence at the Energy Summit LONGER TERM o Provide loan or grant writing assistance to communities o Coordinate loan or grant applications for energy projects benefitting multiple communities o Implement borough wide energy efficiency initiative for public buildings using ESCO-model financing o Create a KIB Energy and Resource Coordinator position z 0 0 N n P3 0 0 v 7- 73 0KoddE Cc @rgy0®rg Li Erik O'Brien, Project Manager eobrien@swamc.org I (907) 562-7380 a 2 3W4M? Jamie Hansen jamie@iialaska .com 1 (907) 450-2461 el Information Insights Fairbanks + Anchorage C N m 0 N a o o m 41 AGENDA ITEM #2.b. Adm LEAGUE L Alaska Conference of Mayors Alaska Municipal League 64th Annual Local Government Legislative Strategy Packet Resolution Procedures Draft 2015 State & Federal Priorities Draft 2015 Resolutions Page 255 of 280 Review of AML Resolutions AGENDA ITEM #2.b. Page 256 of 280 Review of AML Resolutions AGENDA ITEM #2.b. ALASKA MUNICIPAL LEAGUE AML RESOLUTIONS PROCEDURE A resolution is a statement of the Alaska Municipal League's intent to support a specific action on a significant issue affecting municipalities. Resolutions are introduced, debated, and adopted by the AML members each year at the Annual Local Government Conference. To be considered during the conference, resolutions must conform to the following policy,procedural and format guidelines which were adopted by the AML Board in August,2007. Resolutions should be received in the AML office electronically, by mail, or fax no later than October 10, 2014. RESOLUTION GUIDELINES I. Resolutions shall concern shared policy and program needs, issues, or problems of Alaska municipalities and shall state the problem and action sought. A. Resolutions may not conflict with any adopted AML positions. B. Resolutions that allow conflict between one community against another will be eliminated. C. Resolutions will be revised to make a general application instead of one seeking to benefit a specific community only; especially if the benefit to that one community would be at the expense of another community(i.e. support relocating a state office from city to city). D. Resolutions with the same topic will be combined. 2. Resolutions shall be restricted to action-specific issues and issues of some immediacy and shall be sent to the Governor, Legislature, State Agency, President and/or the Congress. 3. Resolutions differ from priorities in that: A. Resolutions shall address specific issues rather than general policy. B. Resolutions may address regional issues as well as statewide concerns. C. Resolutions shall be in effect for only one year. They are intended to address timely issues such as current legislative proposals. HOW TO SUBMIT A RESOLUTION I. Only councils and assemblies of member municipalities,affiliated municipal associations,affiliated regional municipal organizations (comprised of municipal officials), the ANIL Board and the Alaska Conference of Mayors arc eligible to submit resolutions for consideration. Each resolution submitted must have been approved by a formal action of the sponsoring body. 2. Resolutions should be mailed, faxed or emailed by October 10. 2014 to be included in the delegate packets for consideration during the conference. Resolutions must follow format guidelines.Copies of the resolutions will be made available to the delegates in their registration packets. 3. Resolutions not submitted by October 10 may be offered to the Resolution Committee on November 19th at 5:00 p.m., for consideration during the conference. However, the sponsor of any resolution presented directly to the Resolution Committee must have the support of representatives of five(5)member municipalities in attendance at the conference and be in proper format. In addition, if the Resolution Committee accepts the late resolution, the sponsor must make copies available for the business meeting on Friday,November 21,2014. 4. Resolutions will be reviewed, debated and acted upon by the AML Membership at the Annual Conference Business Meeting.Sponsors of properly submitted resolutions will he given an opportunity to discuss and support their resolutions at the meeting. 5. The First Vice-President shall serve as Chair of the Resolutions Committee and shall appoint eight(8)additional elected and appointed municipal officials from the AM Board. Alaska Municipal League 217 Second Street,Suite 200,Juneau,Alaska 99801 • 8:907.586.1325 • F;907.463.5480• www.akml.org 1 Page 257 of 280 Review of AML Resolutions AGENDA ITEM #2.b. 6. The Resolutions Committee shall debate and act upon each resolution for final recommendation to the membership.The Resolutions Committee shall approve, amend, or reject each resolution submitted, note its action,and, if the resolution is approved, send it to the business meeting for consideration. If a resolution is rejected,the committee shall prepare a brief written justification of its action and forward that information to the business meeting. 7. A resolution rejected by the Resolution Committee may be brought 10 the floor of the business meeting at the appropriate time, only if it is signed by respresentatives from twenty (20) member municipalities. No new resolutions may he submitted to the business meeting without first going to the Resolution Committee. RESOLUTIONS FORMAT The resolution must be in the proper format.The name of the sponsoring member municipality or association and the date of submission must be indicated on the bottom of the resolution. Each resolution must include the statement,"This resolution was approved for submission to the Alaska Municipal League membership by the governing body of(name of Municipality or association) on (date)" in the lower left-hand confer. Resolutions can he emailed to kathic r_r akml ore or submitted via disk or data stick. Each resolution submitted must indicate that it is a"Resolution of the Alaska Municipal League,Resolution#2015-xx and have a title, beginning, "A Resolution ..." that describes the issue and intent of the resolution. Throughout the text, the resolution should indicate that the League is taking the position advocated, not a given municipality or organization. At least one`Whereas`clause should identify the policies in the AML Policy Statement that the resolution addresses(i.e., expands or supplements),if applicable. Alaska Municipal League 217 Second Street,Suite 200,Juneau,Alaska 99801 • P:907.586.1325 • F:907.463.5480•www.akml.org 2 Page 258 of 280 Review of AML Resolutions AGENDA ITEM #2.b. ALASKA MUNICIPAL LEAGUE RESOLUTION #2015- A RESOLUTION WHEREAS, ;and WHEREAS, ;and WHEREAS, ;and WHEREAS, ;and WHEREAS, ;and NOW, THEREFORE BE IT RESOLVED THAT the Alaska Municipal League PASSED AND APPROVED BY THE ALASKA MUNICIPAL LEAGUE ON THE DAY OF , 2014. Signed: President,Alaska Municipal League Attest: Executive Director,Alaska Municipal League Submitted by: Date Submitted: Contact Name: Contact Phone#: Implementation Recommendation: Agencies to Contact: Funding Required: Staff/Board/Membership Action: 3 Page 259 of 280 Review of AML Resolutions AGENDA ITEM #2.b. 4 Page 260 of 280 Review of AML Resolutions AGENDA ITEM #2.b. .�cAt LEAG E?y MUNICIPA4 f ru; LEA6UE..; 217 Second Street, Suite 200 • Juneau,Alaska 99801 a' i � ' ' `.d,? Tel(907)586-1325 • Fax(907)463-5480 • www.akml.org �Ala'ska conference ofblmors; DRAFT ALASKA MUNICIPAL LEAGUE STATEWIDE PRIORITIES (As drafted during the August, 2014 Nome meeting) • REVENUE SHARING — The Alaska Municipal League supports reinstating the deposit amount of $60 million into the Revenue Sharing fund on a yearly basis. This amount is a small portion of the yearly state budget, yet helps to fund basic government services for 163 municipalities and approximately 50 unincorporated communities. • PERS/TRS—The Alaska Municipal League remains committed to the promise by municipalities to partner with the State to share in the payment of the past service cost for the PERS/TRS unfunded liability, while agreeing through HB 385, to pick up a number of years' (9 years) worth of extra payments ($2.5 billion). The Alaska Municipal League supports keeping the PERS Employer Contribution rate cap at 22% of salary and supports repeal of the termination study clause (AS 39.35.625). • SENIOR CITIZEN'S/DISABLED VETERAN'S PROPERTY TAX EXEMPTION — The Alaska Municipal League requests that the Legislature address the Senior Citizen's/Disabled Veteran's Property Tax Exemption by either: o Funding the exemption, as required, in AS 29.45.030(g); or o Repealing AS 29.45.030(g), legislatively giving control to local governments for those decisions. • ENERGY — The Alaska Municipal League supports efforts to build a large diameter natural gas pipeline to tidewater for the purpose of large-scale gas exports and the dispersion of low-cost energy throughout the state. The Legislature should proactively determine how to best distribute energy outside the pipeline corridor to as many Alaskans as possible, and be prepared to make necessary infrastructure investments early in the project to ensure appropriate ports, networks, transportation hubs and/or distribution systems are in place when the line becomes active. An Alaska Natural Gas Pipeline must be designed and constructed in a way to ensure maximum distribution of energy resources and benefits to all Alaskan communities. Member of the National League of Cities and the National Association of Counties 5 Page 261 of 280 Review of AML Resolutions AGENDA ITEM #2.b. 6 Page 262 of 280 Review of AML Resolutions AGENDA ITEM #2.b. I• EL. SLUE217 Second Street,Suite 200 • Juneau,Alaska 99801 ,� _.. Tel(907)586-1325 • Fax(907)463-5480 • www.akml.org A(aska Confcreace of Maj,ors DRAFT ALASKA MUNICIPAL LEAGUE FEDERAL PRIORITIES • PILT — (Payment In Lieu of Taxes) — The Alaska Municipal League urges members of Congress to support continued mandatory full funding for the PILT program. These funds are to offset costs incurred by Alaska's cities and boroughs for services provided to federal employees and families, the public and to the users of public lands. These include education, solid waste disposal, law enforcement, search and rescue, health care, environmental compliance, firefighting, parks and recreation, and other important community services. • SECURE RURAL SCHOOLS AND COMMUNITY SELF-DETERMINATION ACT — Timber Receipts) — The Alaska Municipal League urges the members of Congress to pursue a long-term congressional solution for continued SRS payments to forest cities and boroughs in Alaska. This act expired in 2012 and was extended for one year in October 2013. Congress should establish a new revenue sharing program to allocate revenues generated from the management of designated federal lands to all forest cities and boroughs. If Congress fails to renew its long-standing federal obligation by not providing a long-term solution, eligible cities and boroughs face dramatic budgetary shortfalls. • FEDERAL REVENUE SHARING FROM ALASKA OFFSHORE OIL AND GAS DEVELOPMENT — The Alaska Municipal League urges the United States Congress to adopt legislation that would enable the State of Alaska to receive 37.5% of the money collected on leases on offshore oil and gas development in the Chukchi and Beaufort Seas. Further, the Alaska Municipal League would urge the Alaska Legislature to pass legislation to share a portion of these revenues with Alaskan municipalities. Member of the National League of Cities and the National Association of Counties 7 Page 263 of 280 Review of AML Resolutions AGENDA ITEM #2.b. 8 Page 264 of 280 Review of AML Resolutions AGENDA ITEM #2.b. 5 ALASKA ^. ' LEAGUE! LEAGUE, 217 Second Street, Suite 200 • Juneau,Alaska 99801 Tel(907)586-1325 • Fax(907)463-5480 • www.akml.org Alaska Conference of Mayors 1 ALASKA MUNICIPAL LEAGUE 2 3 RESOLUTION #2015-01 4 5 A RESOLUTION SUPPORTING THE REINSTATEMENT OF A FULL $60 MILLION 6 INTO THE REVENUE SHARING FUND ON A YEARLY BASIS 7 8 WHEREAS, all of Alaska's boroughs and cities are appreciative to the Governor and the 9 Legislature for the continuation of the Revenue Sharing Program; and 10 11 WHEREAS, since 2008, municipalities have received a total of $60 million per year to 12 be divided among all boroughs, cities and unorganized communities in the State; and 13 14 WHEREAS, this money is a small share of the resource funding that is provided to the is State; and 16 17 WHEREAS, $60 million is a very small part of the total State budget for the year; and 18 19 WHEREAS, municipalities are political subdivisions of the State of Alaska; and 20 21 WHEREAS, boroughs and cities can only raise their own money through increased 22 taxes and/or fees; and 23 24 WHEREAS, in the past 2014 Legislative Session, the amount deposited into the 25 Revenue Sharing fund dropped to $52 million; and 26 27 WHEREAS, the larger municipalities use these fund to keep taxes as low as possible; 28 and 29 30 WHEREAS, the smaller municipalities use these funds to provide basic services, such 31 as snow removal, public buildings, harbor improvements, fuel, and insurance. 32 33 NOW, THEREFORE BE IT RESOLVED that the Alaska Municipal League requests the 34 Alaska State Legislature to reinstate the amount of $60 million on an annual basis into 35 the Revenue Sharing fund. 36 37 PASSED AND APPROVED by the Alaska Municipal League on this 21st day of 38 November, 2014. 39 Signed: 40 Linda Murphy, President, Alaska Municipal League 41 42 43 Attest: 44 Kathie Wasserman, Executive Director, Alaska Municipal League Member of the National League of Cities and the National Association of Counties 9 Page 265 of 280 Review of AML Resolutions AGENDA ITEM #2.b. 10 Page 266 of 280 Review of AML Resolutions AGENDA ITEM #2.b. ",- 4 4 ,4 r MUNICIPAL' LEAGUE'' 217 Second Street,Suite 200 • Juneau,Alaska 99801 Tel(907)586-1325 • Fax(907)463-5480 • www.akml.org Aloska Conference of Mio ors., ?.... ..arme..iF.a..-a ra _"au.- 1 2 ALASKA MUNICIPAL LEAGUE 3 4 RESOLUTION #2015-02 5 6 A RESOLUTION THAT THE STATE OF ALASKA CONTINUE TO HONOR THEIR 7 FINANCIAL AGREEMENT WITH NON-STATE EMPLOYERS WHICH CAPS THEIR 8 PAST AND PRESENT SERVICE COSTS AT 22% OF SALARY; AND THAT THE 9 STATE CONTINUE TO WORK WITH AML TO FIND A SOLUTION TO THE 10 ONEROUS TERMINATION STUDY COSTS AND BELOW THE FLOOR COSTS 11 12 WHEREAS, through 2006 legislation, SB 141, municipalities were committed to paying 13 a salary rate cap of 22% of salary, to include current service cost and a portion of the 14 unfunded PERS liability; and 15 16 WHEREAS, the Alaska Municipal League was a major player in the passage of HB 385, 17 which was the Governor's proposal to deposit$3 billion into the PERS/TRS fund; and 18 19 WHEREAS, municipalities knew full well that acceptance of HB 385 would mean 20 municipalities would pay an additional $2.5 billion due to the change of the amortization 21 change and extension of nine years; and 22 23 WHEREAS, the ARM Board, as of September 2014, voted to approve 2016 contribution 24 rates of 27.19% for PERS, down from 31.90% for 2015; and 25 26 WHEREAS, municipalities will be realizing an 86% total cost increase while the state is 27 saving $1.4 billion in "on-behalf PERS contributions; and 28 29 WHEREAS, municipalities additionally must pay termination costs of a department, 30 group or other classification of employees that terminates participation under AS 31 39.35.625 to include the cost of a study and the payment of the past service cost, into 32 the plan each payroll period until the past service liability of the plan is extinguished 33 (approximately 25 years); and 34 35 WHEREAS, municipalities are also obligated to pay if their salary floor drops below the 36 2008 floor (the amount of their salary base when SB 141 was passed); and 37 38 WHEREAS, with increasing costs to municipalities, reduced funding from the State and 39 the Federal government, municipalities find themselves in a difficult position of not being 40 able to reduce their workforce as it will trigger a termination study and/or drop the 41 municipality below the 2008 floor; and 42 43 WHEREAS, this hampers small municipalities the most, as they may have only one 44 person that belongs to a "department, group or classification;" and Member of the National League of Cities and the National Association of Counties 11 Page 267 of 280 Review of AML Resolutions AGENDA ITEM #2.b. 45 46 WHEREAS, the State charges 12% interest on unpaid termination costs or below the 47 floor costs, leaving many small communities facing bills that they will never be able to 48 pay. 49 50 NOW, THEREFORE BE IT RESOLVED that the Alaska Municipal League requests that 51 the State honor their financial agreement to non-state employers which caps their past 52 and present service costs at 22% of salary; and that the State continue to work with 53 AML to find a solution to the onerous termination study costs and below the floor costs. 54 55 PASSED AND APPROVED by the Alaska Municipal League on this 21st day of 56 November, 2014. 57 58 59 60 Signed: 61 Linda Murphy, President, Alaska Municipal League 62 63 64 65 Attest: 66 Kathie Wasserman, Executive Director, Alaska Municipal League 67 �7. 12 Page 268 of 280 Review of AML Resolutions AGENDA ITEM #2.b. y�"� ALASKA.:,.' fa° LEAGUE 217 Second Street, Suite 200 • Juneau,Alaska 99801 Tel(907)586-1325 • Fax(907)463-5480 • www.akml.org sl A(6sba Confererue ofMa;-rL.- 1 2 ALASKA MUNICIPAL LEAGUE 3 4 RESOLUTION #2015-03 5 6 A RESOLUTION REQUESTING THAT THE LEGISLATURE EITHER FUND THE 7 SENIOR CITIZEN'S/DISABLED VETERAN'S PROPERTY TAX EXEMPTION AS 8 REQUIRED IN AS 29.45.030(g) OR REPEAL AS 29.45.030(G) GIVING LOCAL 9 CONTROL TO LOCAL GOVERNMENTS 10 11 WHEREAS, 1980s, the State of Alaska imposed a mandate that required all 12 municipalities that levy a property tax to exempt the first $150,000 value of primary 13 homes belonging to seniors and disabled vets from that property tax; and 14 15 WHEREAS, the State of Alaska also passed law, in statute that requires them to 16 reimburse municipalities for those exemptions; and 17 18 WHEREAS, not long after passage, the State of Alaska felt they could no longer 19 reimburse municipalities; and 20 21 WHEREAS, the State of Alaska did not relax the mandate requiring municipalities to 22 continue to exempt; and 23 24 WHEREAS, the baby-boomer population has increased the number of senior citizens in 25 this state; and 26 27 WHEREAS, we feel that municipalities know best what their financial situation is; and 28 29 WHEREAS, municipalities are better equipped to dictate exemptions that fall under their 30 purview; and 31 32 WHEREAS, young families should not have to shoulder the tax burden for wealthy 33 seniors; and 34 35 WHEREAS, municipalities can write their own ordinances about whom they exempt and 36 how much; and 37 38 WHEREAS, while the decrease in Revenue Sharing provided to 163 municipalities 39 decreasing to $52 million per year, the Senior Citizen's/Disabled Veteran's Property Tax 40 Exemption is now costing the 18 municipalities that levy a property tax, a total of over 41 $59 million; and 42 43 NOW, THEREFORE BE IT RESOLVED that the Alaska Municipal League requests that 44 the Alaska State Legislature amend AS 29.45.030 (g) to either fund the exemption as Member of the National League of Cities and the National Association of Counties 13 Page 269 of 280 Review of AML Resolutions AGENDA ITEM #2.b. 45 stated in the law or repeal the law, giving control to local governments for those 46 decisions. 47 48 PASSED AND APPROVED by the Alaska Municipal League on this 21st day of 49 November. 50 51 52 53 Signed: 54 Linda Murphy, President, Alaska Municipal League 55 56 57 58 Attest: 59 Kathie Wasserman, Executive Director, Alaska Municipal League 60 61 14 Page 270 of 280 Review of AML Resolutions AGENDA ITEM #2.b.A �,°ntAslto s k .MUNICIPAL'S —LEAGUES 217 Second Street, Suite 200 • Juneau,Alaska 99801 (gri -V .; Tel(907)586-1325 • Fax(907)463-5480 • www.akml.org (Alaska Couference ofMd.;porsy 1 2 ALASKA MUNICIPAL LEAGUE 3 4 RESOLUTION #2015-04 5 6 A RESOLUTION SUPPORTING THE STATE'S EFFORT TO BUILD A LARGE 7 DIAMETER GAS PIPELINE TO TIDEWATER FOR THE PURPOSE OF LARGE 8 SCALE GAS EXPORTS AND THE DISPERSION OF LOW COST ENERGY 9 THROUGHOUT THE STATE 10 11 WHEREAS, the Alaska Municipal League is grateful for the long hours Legislators have 12 put into planning a gas pipeline; and 13 14 WHEREAS, the Alaska Municipal League would like to encourage the Legislature to 15 proactively determine how to best distribute energy outside the pipeline corridor to as 16 many Alaskans, as possible; and 17 18 WHEREAS, SB 138 requires the Alaska Energy Authority to consult with the Alaska 1s Gasline Development Corporation, the Alaska Industrial Development and Export 20 Authority, and the Department of Revenue to develop a plan for developing 21 infrastructure to deliver more affordable energy to areas of the state that are not 22 expected to have direct access to a North Slope natural gas pipeline; and 23 24 WHEREAS, we request that the Alaska State Legislature be prepared to make 25 necessary infrastructure investments early in the project to ensure appropriate ports, 26 networks, transportation hubs, and/or distribution systems are in place; and 27 28 WHEREAS, an Alaska Natural Gas Pipeline must be designed and constructed in a 29 way to ensure maximum distribution of energy resources and benefits to all Alaskan 30 communities. 31 32 NOW, THEREFORE BE IT RESOLVED that the Alaska Municipal League supports the 33 State's effort to build a large diameter gas pipeline to tidewater for the purpose of large 34 scale gas exports and the dispersion of low cost energy through the state. 35 36 PASSED AND APPROVED by the Alaska Municipal League on this 21st day of 37 November, 2014. 38 39 Signed: 40 Linda Murphy, President, Alaska Municipal League 41 42 Attest: 43 Kathie Wasserman, Executive Director, Alaska Municipal League 44 Member of the National League of Cities and the National Association of Counties 15 Page 271 of 280 Review of AML Resolutions AGENDA ITEM #2.b. 16 Page 272 of 280 Review of AML Resolutions AGENDA ITEM #2.b. , — SKA_', NICIPA L ti,..„ EAGUE217 Second Street, Suite 200 • Juneau,Alaska 99801 s.^:v '" ';?:-.t!•",` ' Tel(907)586-1325 • Fax(907)463-5480 • www.akml.org "A!aska,coafere,ace of Maj urs'. 1 2 ALASKA MUNICIPAL LEAGUE 3 4 RESOLUTION #2015-05 5 6 A RESOLUTION RECOMMENDING AN AMENDMENT TO ALASKA STATUTE 7 35.30.010 PROVIDING FOR STRONGER AUTHORITY BY LOCAL PLANNING a AUTHORITIES FOR PUBLIC PROJECTS 9 10 WHEREAS, Alaska Statute 35.30.010 — Review and Approval by Local Planning 11 Authorities, require the Alaska Department of Transportation and Public Facilities to 12 obtain approval from local planning authorities before commencing construction of a 13 public project, such as a highway improvement; and 14 15 WHEREAS, "before commencing construction" of a public project, allows the 16 Department of Transportation and Public Facilities to advance a public project without 17 local planning authority until the project plan is final and ready for construction, which is 18 at a point of no return for the department and gives little meaning to the statute; and 19 20 WHEREAS, the Department of Transportation and Public Facilities needs to obtain local 21 planning review and approval for public projects before the final design or alternative is 22 approved and accepted by the department, to meet the intent of the state; and 23 24 NOW, THEREFORE BE IT RESOLVED that the Alaska Municipal League recommends 25 an amendment to Alaska Statute 35.30.010 providing for stronger authority by local 26 planning authorities, by deleting "before commencing construction" and by inserting 27 "before plans are approved by the department and an approved alternative is accepted 28 by the department." 29 30 PASSED AND APPROVED by the Alaska Municipal League on this 21st day of 31 November, 2014. 32 33 34 35 Signed: 36 Linda Murphy, President, Alaska Municipal League 37 38 39 40 Attest: 41 Kathie Wasserman, Executive Director, Alaska Municipal League 42 Member of the National League of Cities and the National Association of Counties 17 Page 273 of 280 Review of AML Resolutions AGENDA ITEM #2.b. Page 274 of 280 Review of AML Resolutions AGENDA ITEM #2.c. Asland AI crt •50', ono-." f '9<A5)5.- Kodiak Island Borough City of Kodiak 710 Mill Bay Road, Rm. 101 710 Mill Bay Road, Rm. 220 Kodiak, AK 99615 Kodiak,AK 99615 907,486.9310 907.486.8636 November XX, 2014 The Honorable Lisa Murkowski The Honorable Mark Begich United States Senate United States Senate Washington, D.C. 20510 Washington, D.C. 20510 The Honorable Don Young U.S. House of Representatives Washington, D.C. 20515 Dear Senator Murkowski, Senator Begich, and Representative Young: On behalf of the Kodiak Island Borough and the City of Kodiak, we are writing to urge the Congress to act promptly on legislation that would make permanent the existing moratorium on Clean Water Act NPDES permitting requirements on commercial fishing vessels and prevent yet another layer of unnecessary Federal regulation on our already overburdened fishing industry. Kodiak is home to the third largest and most valuable seafood port in the U.S., in 2013 landing 426 million pounds of fish valued at over$150 million in ex-vessel prices. The species landed are diverse, including crab, pollock, salmon, cod, and rockfish, and are critical to our economic and employment base. Most of our fleet is made up of smaller fishing vessels, run as small businesses, frequently with an owner-operator on board and just a small crew. These vessels are not in any way significant contributors to water pollution and are already subject to Federal and State environmental regulation for anything that might take place on board that could result in a harmful discharge such as a fuel tank rupture or release of raw sewage. Once the moratorium expires in December, the new regulations will require permitting, notification and reporting for discharges that are routine in the standard operation of fishing vessels. This would cover relatively environmentally-benign activities such as deck-washing, gray water discharge and bilge operation. Kodiak's fleet will be faced with a potentially onerous permitting regime that includes the threat of significant penalties (up to$32,500 per day) and citizen lawsuits that could devastate small family-owned businesses. The Congress has already permanently reinstated the exemption for privately owned pleasure boats. If similar legislative relief is not obtained for the commercial fishing fleet, we will be faced with the irony of large private yachts Page 275 of 280 Clean Water Act Moratorium Letter AGENDA ITEM #2.c. Honorable Murkowski, Begich, and Young November XX, 2014 Page 2 being free from regulation while small commercial fishing and commercial charter vessels are subject to a crippling Federal regulatory and enforcement regime. A 2010 report ordered by Congress and published by EPA confirms that making this exemption permanent will not contribute to pollution of our inshore or coastal waters, nor is there any evidence that the existing regulations contribute to decline of fish stocks. We understand that House has passed its version of the Coast Guard Reauthorization Bill (HR 4005)that includes language making the NPDES exemption permanent for commercial fishing vessels and that the Senate has pending a bi-partisan bill (S. 2094)that would accomplish the same goal. We appreciate your support on these bills and ask that you move expeditiously once the Congress reconvenes for the Lame Duck session to enact into law the permanent exemption before the moratorium expires next month. Thank you for considering these views and for being a supporter of Kodiak, our island communities, and our fishing industry. Sincerely, Jerrol Friend, Mayor Pat Branson, Mayor Kodiak Island Borough City of Kodiak Page 276 of 280 Clean Water Act Moratorium Letter AGENDA ITEM #2.d. NON-PROFIT FUNDING OUTLINE • Base non-profit funding on 3% of general fund expenditure budget, utilizing bed tax revenue to fund tourism related organizations. • Combine all 501(c)3 &4 organizations into one group in the budget. • Maintain a nonprofit funding committee to review applications ahead of Assembly budget meetings. • Review applications based only on current infOrmation, not on prior granted amounts. /7) • Require organizations to fall under�Cpowers of the Boro\h • Include nonprofit applications for"Goods and Services Contribution" in this process. \/� `\*\'' • Require either audited financia�l"recco�rds or P&L anddetailed balance sheet. y \\ \\\ • • Fund only specific projects or items. Require•work plan or justification and measurement o✓f results o`funding\y . / • Require projeect`budget as\part of application.atN/ \ • Creaacontinnggency fund as-part of 3% total that can be allocated as needed during—fiscal' ear: N \J If an organizati would• I�•t`apply later in the year for any unused funds, they • would,submit the same application and the subcommittee would review and make recommendatiN. on to the Assembly for approval. • Application ,proc�s will include a rating structure to rank applicants in case of a funding-shor/tfall. Rev. 03/18/2014 Page 277 of 280 Non-Profit Funding Process • AGENDA ITEM #2.e. CURRENT DISTRIBUTION PROCESS OF LEGAL OPINIONS TO THE MAYOR AND ASSEMBLY 1. Review of the confidential material in a file that is available for review only by the elected body in the Clerk's office during regular hours. 2. Provide the confidential material on colored paper marked "Confidential" during any Assembly meeting. At the end of the meeting the Clerk will collect the confidential material. 3. Confidential materials may be made available to Assembly members during executive session then re-collected at the end of executive session. ASSEMBLY PROCESS OF DISCLOSING CONFIDENTIAL LEGAL OPINIONS TO THE PUBLIC 1. Any assembly member may request attorney-client privileged document(s) be released to the public. 2. This request will be placed under"other items" on the regular meeting agenda. 3. Release of the document requires a majority vote of the Assembly. Page 278 of 280 Distribution Process of Legal Opinions to Mayor and Assembly... AGENDA ITEM #2.f. ; t. Kodiak Island Borough �`,�/ Office of the Borough Clerk 710 Mill Bay Road " � 'WeVric Kodiak, Alaska 99615 Phone (907) 486-9310 Fax (907) 486-9391 DATE: November 13, 2014 MEMO TO: Mayor and Assembly FROM: Nova M. Javier, MMC RE: Clerk's Office Update to the Assembly The last update I gave to the Assembly was in May 2014 which focused in detail the prescribed duties of the Clerk in KIBC 2.50.020. This update will focus on the 2014-2015 goals for the Clerk's Office that was stated in my evaluation summary. 4- Promote training and development of the Deputy and Assistant Clerk in their new positions. o The Deputy Clerk started in July 2013. Assistant Clerk started in August 2013. It is vital that they receive the training for their positions. o The Assistant Clerk attended Professional Development 1 in May 2014. This is one of the three professional development training needed for her to obtain her Certified Municipal Clerk Designation. Topics covered included the role of the clerk, customer service legal issues, risk management, records management, parliamentary procedures, ethics, effective business writing, writing minutes and meeting notes. o In May 2014, the Deputy Clerk attended ARMA Conference in Anchorage which included information on electronic ingormation governance. In September 2014, she attended a three day records preservation workshop that was hosted by the City of Fairbanks. 4- Utilize fully the available functions of the new agenda management software. o There are now a few boards using the agenda management software such Planning and Zoning Commission and Parks and Recreation Committee. We are also using it for the Kodiak Fisheries Work Group, Assembly mail, and for other miscellaneous information. o We are the administrators for the program and we train staff members with its use. o We also are using this program to automate the creation of our Assembly minutes and hope to implement automatic integration with our permanent document repository. ='1 Effective management of electronic records. o In addition to the Deputy's training on records and information management, I have also attended the ARMA training last month. Information governance is absolutely necessary for the borough and, slowly but surely; we are directing increased focus on governance strategy. o We provided records management training to 19 employees in May. We hope to continue to provide education/training opportunities to Borough staff on appropriate record management practices. Clerk's Update November 2014 Page 1 of 2 Page 279 of 280 Clerk's Office Update to the Assembly • AGENDA ITEM #21. %b Elections o This has been a three-election year. It is hard to put into words how much work we put into elections. From advertising, ordering ballots, recruiting and training workers, coordinating travel for election workers, testing ballots, preparing supplies for nine precincts, saying Staff worked really hard the past six months would be an understatement. o We also processed approximately 800 absentee voters for the three elections, o Thank you to the very capable canvass workers, we were able to finish canvassing the local election in two days. o There were a few"hyperventilating moments" like a machine that shut down right in the middle of the day and ballots needed to be re-fed at the end of the day or printers for touch screens during General Election. o Our goal is to continue running a top notch election each year. As always, elections are a lot of work but we also gain satisfaction running them without a snag. 41 Non Profit Funding Assistance o Provided assistance to the Non Profit Funding Subcommittee including preparation, compilation of applications, and facilitated documentation for scoring the applications. 4 Other undertakingslaccomplishments: o Improved the handbook for Newly Elected Officials Orientation o Successfully revised the Borough Retention Schedule and will implement the new retention for the departments. We will continue work on the remaining departments that need updating. o Implemented a new agenda software management system. Implementation of this Software included three-day training for Borough staff. There is current coordination with Departments for the utilization of this software for other Boards and Committees. o Participated in the planning of the social media implementation. Deputy Clerk is a member of the Borough Social Media Planning Committee. o Participated in the Rural Leadership Forums. o Assisted in variety of research requested by the Mayor and Assembly such as code research and other municipalities' practices. 4- The Clerk's Office staff currently serves on the following Committees: The Borough Clerk serves on AAMC Committees such as the Elections Committee, Membership Committee, Finance Committee, and Mentoring Committee. The Clerk also serves on the Alaska Municipal League Assistance Committee. I have also served as a presenter/trainer during the AAMC conferences on different topics such as elections, role of the clerk, etc. I was also involved with SCOK Accreditation Committee. • The Borough Clerk is currently running for Second Vice President on the AAMC Executive Board. • The Deputy Clerk serves on the AAMC Executive Board as the current secretary. She also serves on the Education Committee, Publications Committee, Conference Planning Committee, and Ad-Hoc By-Mail Elections Committee. Clerk's Update November 2014 Page 2 of 2 Page 280 of 280 Clerk's Office Update to the Assembly KODIAK ISLAND BOROUGH ASSEMBLY WORK SESSION ASSEMBLY ATTENDANCE Work Session of: My y 13/ 9o/ Please PRINT your name Please PRINT your name 0 u l)y ri`f-6 1* RL4 .N 5c 7I / ), ( /s 5 5772 Jones /C B / J /� I1A-00. '3cOV3ti . 4k`: 11\ it 6rA&O Did anyone attend via teleconference? Yes No Member (s) who attended via teleconference: