Vermont Farm Projects: Single and Two-Stage Separation

January, 2014

NativeEnergy:

An experienced and expert partner

• NativeEnergy has been an

innovator and a leader in

developing carbon offset

and corporate sustainability

projects since 2001

• We have worked with

dozens of leading brands to

enable them to meet their

climate and sustainability

goals

• Our Help BuildTM carbon

financing model has moved

over 50 projects forward

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Help BuildTM – a unique program through which our customers provide key funding for the development of a sustainability project that delivers distinctive benefits to business, society, and the environment

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VT Farm Manure Separation Projects:

• Single Stage Separation – Business as Usual

– Separation & Composting • Process

• Environmental

• The Numbers

• Added Benefits

• Our Roles

• Two-stage Separation – Decanter Centrifuge

• How it works

• Process

• GMP CEED Fund

• Project Status

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Business as Usual: Green Dream Farm

• Owned and operated by Chris & Anne Wagner, Enosburg Falls, VT

• 375 Milking Cows

• ~$28,000/yr bedding cost (sawdust)

• Manure Solids go to lagoon

• 3.4 mil gal/yr hauled from barns

• $50,000/yr spreading cost

• St. Albans Co-Op member

• Caring Dairy participant

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Single Stage Separation: Process

• 20% reduction in

material going to

the lagoon

• Less manure to

haul and spread

• Better utilize a

waste stream

• Simple process,

proven

technology

• Removes ~50% of

the manure

solids

• Solids content

~35%

• Cows produces 2-3x

the bedding material

the farm needs

• Ability to supply

bedding to

neighboring farms

• Potential for farms

to generate revenue

Cow Manure Screw Press

Separator

Rotary Drum

Composter Bedding Material

• Automates the

process of

bedding

production

• 130+° F for 3 days

• Dries and

sanitizes manure

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Single Stage Separation: Environmental

• Environmental

– Reduce Methane Emissions:

• 50% of solids kept out of lagoon

• Less solids = less anaerobic decomposition = less emissions

– Improve Nutrient Management:

• Nitrogen: 15 – 20% reduction

• Phosphorus: 20 – 25% reduction

• Potassium: 10 – 15% reduction

– Beneficial use of “composted” manure as bedding

– Less fuel consumed to haul and spread

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Single Stage Separation: The Numbers

375 - Cow Farm 10 Years

Metric tons CO2e Reduced 12,900 Equivalent to taking

215 cars off the road

for 10 years

Phosphorus Reduction (lbs) 35,000 Equivalent to removing

annual manure from 55

cows from LCW for 10

years

Farm Investment in foundations/structures ~$30,000 Design minimizes

building requirements

Bedding Benefit

Avoided Purchases + Sale of Excess

$300,000 Composter produces

excess sanitized

bedding

Spreading/Hauling Savings $75,000 Reduced solids in

lagoon to be spread

Operating Expenses ($167,000) Power, repairs and

maintenance

Net Benefit to Farm $208,000

8 Includes drum composter

Single Stage Separation: Added Benefits

• Odor Reduction

• Cow Comfort

• Milk Production

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Single Stage Separation: Roles • NativeEnergy

– Provides capital for all system equipment

– Develops project in accordance with Voluntary Carbon Standard (VCS) methodology

– Monitors and verifies project performance

• Wagner Farm

– Provides concrete platform for separator/drum and storage/handling shelter for solids

– Pays civil, plumbing, electrical, and O&M costs

– Purchases all bedding production from NativeEnergy at a price lower than current market

– Agrees to sell up to 1,000 CY of bedding to small/organic farms

– 10 year project term – then farm assumes ownership

– Farm can buy out project earlier

• Ben & Jerry’s and other NativeEnergy clients

– Purchase the carbon reductions generated by the project

– Play a causal role in improving financial and environmental performance of a VT farm

– Provide a model for other farms to follow 10

Two-stage Separation: P-reduction

• The Goal:

– Enhance digester and separation projects to reduce the amount of phosphorus remaining in manure stream to be spread

– Increase the amount of methane reduction by extraction of additional solids

– Capture and export the phosphorus out of the Lake Champlain Watershed (LCW) to reduce algae blooms , weed growth and improve water quality

• Approach to be demonstrated:

– Add a decanter centrifuge as a second stage of separation following a screw press separator

– Capture 45-50% of the phosphorus remaining in first stage liquid outflow

– Direct the “phosphorus cake” produced by the centrifuge to soil amendment manufacturers for use outside of the LCW

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Decanter Centrifuge: How it Works

• Liquids from screw press fed to centrifuge

• Barrel spins at 4400 rpm+

• Exerts > 3500 g’s on manure particles

• Phosphorus laden particles cake on inner surface of

barrel

• Auger inside barrel scrapes out solids “cake”

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Decanter Centrifuge: Process

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Two-Stage Separation: The Numbers 500-Cow Farm 10 Years

Metric tons CO2e Reduced 25,000 Equivalent to taking

400 cars off the road

for 10 years

Phosphorus Exported (lbs) 157,500 Equivalent to removing

annual manure from

250 cows from LCW for

10 years

Farm Investment in foundations/structures $125,000 Design minimizes

building requirements

Bedding Benefit

Avoided Purchases + Sale of Excess + Sale of Centrifuge

Cake

$705,000 Composter produces

excess sanitized

bedding

Spreading/Hauling Savings $390,000 Reduced volume in

lagoon to be spread

Operating Expenses ($488,000) Power, repairs and

maintenance

Net Benefit to Farm $607,000

14 Includes drum composter

Decanter Centrifuge: CEED Opportunity

• GMP CEED program funding source for first-of-a-kind

centrifuge demonstration in Vermont

• Opportunity to have incremental costs associated with

design, installation, monitoring and assessment partially

covered by CEED grant

• Ben & Jerry’s supporting the project by providing

HelpBuildTM funding

• Alignment of Ben & Jerry’s, interested farms, GMP, State

agencies, LCI and other NGO’s could bring forward a

public/private funding approach to implement program to

deal with GHG and phosphorus pollution issues

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Project Status

• Wagner Single Stage Project – Contracts completed with farm and equipment vendor – Ben & Jerry’s has provided carbon financing support through carbon

offset purchase in 2013 – Foundation work completed at farm in Dec 2013 – Manufacture of equipment underway, May 2014 delivery

• GMP/CEED Two Stage Project – CEED grant of $225k awarded by GMP to support 2 stage separation –

awaiting PSB approval – Ben & Jerry’s has committed carbon financing support – Farm host now being identified, Jan 2014 commitment expected – Equipment order Q1, Fall 2014 installation planned – Associated studies will address feasibility of adding to Cow Power

projects

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