Metropolitan Council

Metropolitan CouncilEnvironmental Services

October 14, 2008Presented to

Environment Committee

Metropolitan Council Energy Update

By Jason Willett

A Clean Water Agency



MCES

Why Energy Focus?

Substantial Cost of Operations Rising Rates Preparing for Climate Change Costs &

Regulations State Initiative

— Energy Independence & Security— Midwest Governor’s Cap & Trade— Renewable Energy Standard




MCES

2007 Energy Costs

Metro Transit and Environmental Services Divisions

Metro TransitBUS LRT

Electricity $1,670,355 $1,702,560*

Natural Gas 1,839,684 45,832

Fuel 16,469,860 0

$19,979,899 $1,748,392

TOTAL COST:$21,728,291

MCES

Electricity

$13,509,612

Fuel Oil

27,049

Natural Gas

2,724,430

MotorVehicle Fuel

570,845

$16,841,937

TOTAL COST:$16,841,937

*$963,441 is for train propulsion.




MCES

Council’s Energy Partnerships

Xcel Energy University of Minnesota MEPC (Metro Counties) State Agencies The Climate Registry Minnesota Chamber of Commerce




MCES

MCES Energy Strategies

A. Conservation

B. Renewable Energy Generation

C. Financial Strategies

D. Climate Change Regulatory Preparation




MCES A. ConservationGoal: 15% reduction of purchased (fossil fuel) energy

Process Efficiency Program— 26 studies completed (10-1-08)— 24 studies scheduled (2009)— 11 actions taken— 16,000,000 kwh savings estimated— $1,000,000 savings per year estimated— $5,000,000 of energy improvements budgeted over next 5 years

Energy Management System Employee Energy Campaign Work Instruction for Operations Staff Design Guidelines for Engineering




MCES

A. Conservation

2008 Energy Intern Work— Green House Gas-N2O Emissions— Centrate Treatment @ Metro— Dissolved Oxygen Set Point Optimization & Control Changes— Optimization of Blowers & Sequencing

2009 Energy Interns (possible)— Greenhouse Gas Modeling— Phosphorus Reduction— Aeration Efficiency Engineering— Emissions Reporting




MCESA. Conservation

Lighting Design




MCES A. ConservationMetro Tunnel Existing

Lamp Qty Watts Total kWFluorescent Industrial 117 62 7,254Mercury Vapor 411 285 117,135Incandescent 10 100 1,000High Pressure Sodium 440 91 40,040

High Pressure Sodium 439 188 82,532

1,417 247,961w

Total Demand 248kW

Total Energy 2,172,138kWh




MCESA. Conservation

Metro Tunnel Proposed

Lamp Qty Watts Total kWEnclosed 2L T8 1,038 46 47,748Total Demand 48kW

Total Energy 210,091kWh

Savings 1,962,047kWh




MCES

Reviewed several vendors’ energy management software and service.

Joined with Transit to send out a request for information.

Developed real time electric energy use reports for Metro, Seneca, and Blue Lake.

Tracking historical use for all wastewater treatment facilities on a monthly basis.

Developed an energy metric that allows us to measure impact of our energy measures at Metro.

A. Conservation Energy Management System Accomplishments

A. ConservationEnergy Management System




MCES

Obtain electric interval meter data for all facilities Incorporate gas and other utility information into

energy reports. New metering so real time gas and electric

information can be displayed. Incorporate rate models for billing analysis. Develop energy metrics for other facilities and

sub processes. Develop energy dash boards and reports.

A. ConservationEnergy Management SystemPlans




MCESA. Conservation

Employee Energy Campaign

IS will be reconfiguring all 1800 desktop computers to drop into a very low energy state after 60 minutes of inactivity

All printers will be defaulted to print two-sided copies Employees will be requested to:

1) Shut down computers when absent from their desks for long periods of time or at the end of the work day

2) Turn off task lighting when not needed or at the end of the work day

3) Turn off any additional electrical items (fans) when not needed or at the end of the work day

October 2008 – October 2009




MCES

B. MCES Renewable Generation Steam Energy Optimization— Heat Recovery Study

– Auxiliary Boiler– Alternative Biofilter Humidifier

— Steam Trap Maintenance Program Microturbine Demo Program at Empire Thermal Recovery at Eagles Point Biogas Generation & Reuse at Blue Lake— 1,075,000 therms/year at approximate value

of $800,000/year




MCES

B. MCES Renewable Generation (Contd)

Algae-to-Fuel Research with University of Minnesota— $1m work plan, began on 7/1/08— $0.5 funding secured from State

MEPC/County Wind Initiative Xcel/Council Solar Farm Concept— 1-2 MW at Blue Lake Plant— Likely RFP in January




MCES

B. MCES Renewable Generation (Contd)

Other Ideas— Energy crop at Empire— Fats, oils, grease extraction for energy— Screenings digestion for biogas— Small hydro at Rosemount or Eagles Point




MCES Metropolitan Energy Policy Coalition (MEPC) Wind Initiative

MEPC/RMEB Explore Wind Initiative— 2006/2007: Avant/Lindquist Business

Concept— 2007: LCCMR grant $200k for technical fiscal

analysis— 2008: Legislative Bill

– Clarify local gov’t authorities under CBED– Counties may own, bond and tax for renewable

energy– Counties may pre-pay for energy

Council joined MEPC on December 2006




MCES

MEPC Wind Initiative (Continued)

HGA Consultant Team Hired in 2008 Phase 1 analysis complete in August of

2008— Concept: develop approximately 10 Megawatt

wind farm— Sites in SW Minnesota identified (e.g. Lyon

County Landfill)— Shows financial feasibility (with reasonable

cost assumptions)




MCES

MEPC Wind Initiative (Continued)

Phase 2 Analysis— Execute contract with Stoehl Rieves— Negotiate with utility for power and purchase

access— Lyon County decision?

Next: Determine “Coalition of the Willing” (Joint Powers Agreement)— Seek additional legislation (to finance

project)— December AMC meeting – decision?




MCES

C. Financial Strategies

Peak Control Agreements with Xcel Energy Hedging Contracts to Stabilize Natural Gas

Costs Carbon Emissions Cost Added to Energy

Cost for Future Engineering Options Analyses

Analysis of Wind & Solar Economics Review of Tariff Options for Lift Stations




MCES

C. Financial Strategies (Continued)

Energy Services Agreement with CenterPoint for N.G. Discount

TBD: Accreditation to Minimize Possible Penalties for FBI/Cogeneration

TBD: Review of “Monetization” Possibilities for Emissions Reductions

TBD: Analysis of Break-Even Point on Peak Control Agreements

Possible: Participation (with Chamber of Commerce) in Rate Case(s)




MCES

D. Climate Change Regulatory Prep

The Climate Registry— Reporting all 2008 emissions— To be verified in 2009— Protocol development

MEPC Forum for Administrators: 11/20/08 Cap & Trade Status




MCES

Council Policy?

To frame and focus Council’s energy actions

1) Conservation: investment directive2) Biofuels directive (to support state agriculture)3) Renewable energy directive4) Energy financial management5) Energy budget stabilization goal6) Energy in community planning, assistance7) Partnerships

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