Matt Jordan, General Manager Charles H. Carden, Chief Operating Officer Energy Management Program - Status Report

Transcription

1 AGENDA ITEM C4 DATE: June 1, 2015 TO: FROM: SUBJECT: SUMMARY: Matt Jordan, General Manager Charles H. Carden, Chief Operating Officer Energy Management Program - Status Report A programmatic approach to improve energy efficiency through implementation of emerging technology and other opportunities is a top priority for the Agency. Details of the on-going activities being implemented within the Energy Management Program are discussed below and in the attached reports. RECOMMENDATION: Receive Status Report. DISCUSSION: At the April 2015 Board Meeting, a presentation was made on energy program activities currently underway. The Board requested a more in-depth presentation be made available to the Executive Committee at its May 18 meeting. During the presentation there was a lot of discussion about the energy audits and the operational protocol payback at the Cypress Creek Pump Station (presentation attached). The Executive Committee agreed with staff s recommendation to stay with the current course to implement energy audits on a pace of one audit per year. As of today we have completed several energy program activities. The attached Status Report provides a summary of current activities and projects related to the Agency s Energy Management Program. Staff merges certain activities focusing on energy use into the Agency s Renewal and Replacement Program. Highlights of the program to date include: Developed an Alternative Energy Roadmap to help determine the path forward and feasibility of implementing alternative energy projects such as wind turbines and solar. Completed a comprehensive Energy Program Roadmap. The roadmap aligns with the agency s strategic plan, and identifies 16 gap projects that need to be completed to achieve better efficiencies. Among the 16 gap projects are: Industrial grade energy audits, and energy management software. Created a dedicated fund for energy projects. T:\Board Folders\Board Agenda\Water Production\C3 Security Technology Item 2015 ED May edits

2 Matt Jordan June 1, 2015 Page 2 Completed one energy audit at the Cypress Creek Pump Station; currently collecting data for the Morris Bridge Booster Station, and have 7 planned audits. Implemented one operational protocol change as a result of the Cypress Creek Pump Station energy audit. Completed 3 capital projects (2 HVAC at the lab and Clearwater Administration buildings) and the South Central Hillsborough Wellfield Pumps Replacement. Currently working on 6 pumps and motors replacements or rehab capital projects 4 future planned pumps/motors replacement projects are listed in the Capital Improvement Program. BACKGROUND: Significant energy is consumed by Tampa Bay Water in providing water to its customers over its 2,000-square-mile service area. Water provided by the Agency is on-demand; that is, Tampa Bay Water does not control demand, but rather responds to its Member Governments demand for water. Commercial power is purchased from three commercial entities under multiple rates. Approximately 99% of Tampa Bay Water s energy costs are related to pumping, treating, and distributing drinking water from three different types of water sources. Attachments t:\board folders\board agenda\approved items\c4 - energy program status 6-15 memo.docx

3 Energy Management Program Status Report June 1, 2015 Energy Management Program Roadmap Staff has developed a Roadmap to implement the Agency s Energy Management Program. The Roadmap was received by the Board October 17, The Roadmap: Aligns with the Agency s overall Strategic Plan; Identifies elements of technology and energy infrastructure to enhance financial stability and sustainability of Tampa Bay Water s operations; and Identifies gap/key projects necessary to bridge or connect on-going and planned capital projects with the steps and goals of the Energy Management Program Roadmap prepared in September Table 1 lists of overall program activities and their status. A full description of the activities is included in the Program s Roadmap report. Table 1: Overall Program Activities Activity Cost Status Description Investmentgrade energy $75,000/ On-going $50,000- audits audit Explore Commercial Power Rebates Programs Explore Federal, State, and commercial power provider assistance opportunities None None On-going On-going Completed first audit at the Cypress Creek Water Treatment Plant. Staff is currently conducting an energy audit at the Morris Bridge Pumping Audit in January August Staff will pursue commercial power providers rebates on a project-by-project basis. Staff is evaluating participation in the Progress Energy Backup Generator Program at the South Pasco and Starkey wellfields. Staff is following Federal and State legislation for energy projects funding. We will identify when and what types of programmatic funding is potentially available for renewal, replacement, or incentives Tampa Bay Water s Energy Program Status Report Page 1 of 6

4 Rebates & Incentive Programs TECO s Commercial Demand Response Program On December 2007, the Board authorized Tampa Bay Water to enter into an agreement with Tampa Electric s (TECO) Commercial Demand Response Program provider EnerNOC. The Program helps manages peak demand to reduce summer and winter electricity demand peaks. Tampa Bay Water earns revenue in a quarterly basis by agreeing to reduce TECO-based electricity consumption when TECO calls for a demand response event, i.e. the reduction of energy usage to lower peak demand. Revenues thus earned, are deposited into a new Energy Fund. Tampa Bay Water is making upgrades on generators to comply with new EPA-based EnerNOC air requirements. EnerNOC compliant generator quantities and associated funds received may fluctuate during this generator upgrade period. The means used to accomplish energy reductions in this program are through emergency backup generation. The general program rules for emergency backup generation are: 100 kw or more of demand reduction available Thirty minute notification prior to reduction Reduction events may occur on nonholiday business days between 7:00 AM and 7:00 PM Reduction events may last from one to eight hours Reduction events are limited to 88 hours during a calendar year EnerNOC assumes all risk for nonperformance Capacity payments increased from $4/kwmonth to $4.75/kw-month in 2014 Table 2 Provides a summary of revenue generated and received through the TECO program by Calendar Year and the Balance on the Energy Fund. Table 2: Commercial Demand Response Program Calendar Year Revenue ($) Energy Fund Balance $668, $190,189 $96, $85,429 $170, TOTAL (To Date) $943, $267, Notes: The Energy Fund was initiated the third quarter of Calendar Year The 2013 balance includes the last two quarters of Funds collected from both TECO and Duke Energy programs will be used to fund energy improvements made as part of the Capital Improvement Program. Tampa Bay Water s Energy Program Status Report Page 2 of 6

5 Energy Audit Program Energy audits are one of the first activities in an energy program to identify energy saving measures. Typical audit activities last about 6 to 8 months and typically include the following steps: Step 1- Baseline Energy Data Collection Step 2- Field Testing and Analysis of Energy Data Step 3- Identify Energy Savings Measures Step 4- Economic Analyses and Report Tampa Bay Water is conducting energy audits on high energy consuming facilities that may provide the lowest payback for the costs of the audits, Table 3 list these facilities, the expected audit costs, and the energy audit fiscal year. Table 3: Energy Audits Facilities Facility Audit Costs ($) Audit Fiscal Year Complete Energy Audits Cypress Creek WTP/PS $ 50, on-going Energy Audit Morris Bridge Booster Station $ 50, Future Energy Audits Regional HSPS $ 55, Regional Repump Station $ 55, Tampa Bypass Canal (Structure-162) Pump Station $ 75, South-Central Hillsborough Booster Station $ 40, Regional Alkalinity Adjustment Facility $ 30, Alafia River Pump Station $ 55, Reservoir Off-stream Pump Station $ 55, Tampa Bay Water s Energy Program Status Report Page 3 of 6

6 kwh/mg Operational Optimization and Capital Improvement Program Projects Operational Optimization Projects Energy audits conducted provide opportunities for efficiency improvements through operational changes and pump maintenance activities as well as capital expenditures. Changes are identified in the investment grade energy audits conducted by third party experts at regional water facilities. These audit reports identify r both capital projects and operational optimization projects. Capital projects identified in audit reports will be incorporated into the Agency s Capital Improvement Program. Project Name: Cypress Creek WTP Pumps Operating Mode Project Status: Complete Costs: $ 50,000 Savings-to-Date: $ 110,000 Expected Payback: 6 months Perfomance Measure: kwh/mg Energy Savings Measures: Change the sequence and order of pumps operations August July 2012 (Baseline Period) August July 2014 (18 % Savings) Tampa Bay Water s Energy Program Status Report Page 4 of 6

7 kwh/mg Electricity Consumption (KWh) Capital Projects Staff continues planning, design, and construction of energy savings-related capital projects. Staff has identified baseline energy use and cost for some of the Tampa Bay Water s facilities and is currently collecting data in others. Below is a summary of completed projects and achieved savings as of Fiscal Year Table 4 identifies on-going and future projects listed in the Capital Improvement Program. Completed Projects Project Name: Clearwater Server Room HVAC Project Status: Complete Costs: $ 258,000 Savings-to-Date: $ 130,000 Expected Payback: 7.5 years Perfomance Measure: kwh Energy Savings Measures: Installed separate HVAC system for server room. 1,400,000 1,200,000 1,000, , , , ,000 - Project Name: South-Central Hillsborough Wellfield Pumps Replacement Project Status: Complete 900 Costs: $ 1,380,000 Savings-to-Date: $ 300, Energy Savings Measures: Replaced 17 pumps that had reached the end of their useful life. Expected Payback: 13 years Performance Measure: kwh/mg October 2008-September 2010 (Baseline Period) October 2012-September 2014 (13% Savings) Tampa Bay Water s Energy Program Status Report Page 5 of 6

8 On-going & Future Capital Projects Table 4: Capital Improvement Program Projects On-Going Construction Cross Bar Ranch WF Pumps & Motors Replacement Cypress Creek WTP/PS Pumps & Motors Repairs US-41 Pump Station Pumps and Motors Replacement Odessa WTP Pumps and Motors Replacement Regional HSPS Pumps & Motors Repairs On-Going Design Alafia River Pump Station Pumps Replacement & Motors Repairs Future/Planning Eldridge-Wilde WF Pumps and Motors Replacement Morris Bridge WF Pumps and Motors Replacement South Pasco WF Pumps and Motors Replacement Tampa Bay Water s Energy Program Status Report Page 6 of 6

9 Energy Program Board Executive Committee May 18, 2015

10 Energy Consumption (kwh) Energy Consumption Profile* 200,000, ,000, ,000, ,000, ,000, ,000,000 80,000,000 60,000,000 40,000,000 20,000,000 0 FY 2009 FY 2010 FY 2011 FY 2012 FY 2013 FY 2014 Transmission (Pump Stations) Wellfields SWTP Desalination Raw Surface Water PS Other *Based on billing data

11 The Story So Far Alternative Energy Roadmap (2010) Energy Program Roadmap (2011) Energy Fund (2013) Industrial Grade Energy Audits Activities Operational Changes Energy Savings Capital Projects Status Completed 1 TBD 6 on-going 7 TBD 4 Planned

12 Re-Assess Energy Management Process Make Commitment Assess Performance & Set Goals PLAN ACT DO CHECK

13 Energy Baseline Data Existing Billing Data Master Meter Some SCADA Energy Data Pumps/Motors Buildings Gaps Sub-meters Staff Resources Sub-Meters Setup Data Entry Data Monitoring & Analysis In-House Effort

14 Energy Audit Schedule ID Step Task Name 1 1 Baseline Energy Data Collection/Consultant Scope 2 2 Field Testing & Analysis of Energy Data 3 3 Energy Savings Measures Identification 4 4 Economic Analysis & Report M1 M2 M3 M4 M5 M6 M7 M8 M9 M10 M11 M12 M13 M14 M15 M16 M17 M18 M19 M2

15 Audits-what does it take? Step 1- Baseline Energy Data Collection Identify facilities energy consuming equipment Install/Calibrate Devices/Meters Connect to SCADA Develop Data Quality Control/Quality Assurance Procedures Transfer data to Enterprise Database/Software In-House Effort

16 Audits-what does it take? Step 2- Field Testing and Analysis of Energy Data Compile Data Operations Equipment Energy Billing SCADA Maintenance history Analyze data Site visit & Testing Evaluate testing results Combined

17 Audits-what does it take? Step 3- Identify Energy Savings Measures Equipment upgrades, repairs, and/or replacement Operational Changes (if feasible) Outsourced

18 Audits-what does it take? Step 4- Economic Analyses and Report Percent savings per measure Costs per measure Expected payback per measure Prioritized list of measures for implementation Outsourced

19 Audits-what does it take? Resources Needed Staff Maintenance Operations Engineering Information Technology Costs Devices (if not already available) Energy Auditor/Consultant

20 Energy Program Funding Requirements Funding Source Total Complete Projects Capital Improvement Fund $1,380,000 on-going Projects in CIP Capital Improvement Fund $1,802,994 Energy Funds $675,000 R&R Funds $4,535,000 Projects in CIP Bonds $2,804,000 R&R Funds $3,324,000 Future Projects & Audits R&R Funds $10,545,400 Uniform Rate Funds $1,048,000 Total $26,114,394 Summary Total Program Costs $ 26,314,394 Spent To Date $ (1,380,000) Committed (in CIP) $ (13,140,994) Funding Required $ 11,593,400

21 Wellfields: Capital Costs & Payback Facility Facility Age Devices Costs ($) Capital Annual Savings ($) Capital Costs ($) Capital Payback (Years) Complete Projects South-Central Hillsborough WF 0 $0 $83,264 $1,380, on-going Projects Cross Bar Ranch WF 0 $34,000 $36,150 $2,000, Future Projects (in Capital Improvement Program) Morris Bridge WF 25 $40,000 $18,718 $1,436, South Pasco WF 40 $16,000 $6,850 $903, Eldridge-Wilde WF 50 $60,000 $18,701 $2,804, Future Projects (not in Capital Improvement Program) Cypress Bridge WF 20 $22,000 $54,116 $1,480, Brandon Urban Dispersed Wells 10 $8,000 $12,156 $390, Cypress Creek WF 40 $26,000 $32,859 $1,313, Cosme-Odessa WF 50 $40,000 $6,847 $435, Starkey WF 30 $18,000 $8,246 $700, NW Hillsborough WF 30 $12,000 $8,882 $859, North Pasco WF 20 $4,000 $2,009 $232, Carrollwood Wells 30 $6,000 $1,129 $144, Section 21 WF and NW Hillsborough Well No $2,000 $3,455 $525,

22 Water Treatment Plants & Pump Stations: Costs & Payback Facility Facility Age Devices Costs ($) Audit Costs ($) Capital Costs ($) Operational Savings ($) Capital Annual Savings ($) Operational Payback (Years) Capital Payback (Years) on-going Projects (in Capital Improvement Program) Regional HSPS 0 $0 $55,000 $774,000 $97,598 $97, Cypress Creek WTP/PS 0 $0 $50,000 $675,000 $115,918 $32, Alafia River Pump Station 0 $8,000 $55,000 $1,761,000 $9,408 $9, Odessa WTP 0 $6,000 $40,000 $580,997 $2,108 $4, US-41 Pump Station 0 $6,000 $40,000 $1,221,997 $3,516 $7, Future Project (in Capital Improvement Program) Morris Bridge Booster Station 15 $0 $50,000 $985,000 $28,078 $28, Future Projects (Not in Capital Improvement Program) Regional Repump Station 10 $12,000 $55,000 $967,000 $18,952 $18, South-Central Hillsborough Booster Station 5 $4,000 $40,000 $388,000 $7,377 $7, Tampa Bypass Canal (Structure-162) Pump Station 10 $16,000 $75,000 $1,289,000 $18,686 $18, Reservoir Off-stream Pump Station 5 $8,000 $55,000 $645,000 $9,337 $9, Regional AAF 7 $2,000 $30,000 $162,000 $5,290 $5, Lake Bridge WTP 7 $6,000 $55,000 $484,000 $3,042 $3, Tampa Bypass Canal (Structure-161 at Harney) Pump Station 25 $6,000 $40,000 $48,400 $1,864 $1, Tampa-Hillsborough Interconnect PS 20 $6,000 $40,000 $484,000 $827 $

23 Audits: Moving Forward Facility Audit Costs ($) Devices Costs ($) Operational Savings ($)* Operational Payback (Years) Audit FY Complete Energy Audits Cypress Creek WTP/PS $ 50,000 $ - $ 115, on-going Energy Audit Morris Bridge Booster Station $ 50,000 $ - $ 28, Future Energy Audits** Regional HSPS $ 55,000 $ - $ 97, Regional Repump Station $ 55,000 $ 12,000 $ 18, Tampa Bypass Canal (Structure-162) Pump Station $ 75,000 $ 16,000 $ 18, South-Central Hillsborough Booster Station $ 40,000 $ 4,000 $ 7, Regional AAF $ 30,000 $ 2,000 $ 5, Alafia River Pump Station $ 55,000 $ 8,000 $ 9, Reservoir Off-stream Pump Station $ 55,000 $ 8,000 $ 9, *Assumes 5% kwh savings. **Ranked based on operational savings payback.

24 Current Audit Program vs. Accelerated Audit Program Current Audit Program 7 Audits 1 Audit/year As-Needed Consultants Current Accelerated Costs $ (415,000) $ (535,000) Savings (5%) Accelerated Audit Program 7 Audits About 3 Audits/year Dedicated Consultant Additional Installation and Project Management Services Needed $ 1,130,500 $ 1,300,000 Net = Costs - Savings $ 715,500 $ 765,000

25 Other Energy Program Activities Power Provider Rate Structures Evaluation Three Energy Providers Business Case Evaluation of Energy Data Analysis Software Integrate Energy Considerations into Source Water Selection

26 Summary It is not cost effective to accelerate Energy-Savings Capital Projects. We are currently conducting energy audits with the quick payback facilities being done first.