Presented by: Mike Buter Operations Manager

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1 Coffee, Conversation and CHP Presented by: Mike Buter Operations Manager

2 PRESENTATION OUTLINE APS Energy Services Company, Inc. Traditional Energy Systems Alternative Energy Systems Pros and Cons Project Review

3 APS ENERGY SERVICES Energy Services: Customized energy solutions that improve the quality and efficiency of a facility while maintaining desired aesthetics (e.g. lighting and HVAC) Renewable Technologies: Renewable energy alternatives designed provide sustainability to campus settings. Build, Own, Operate and Maintain: Energy Systems such as cogeneration, photovoltaic and biomass plants. District Energy: The design, construction, operation, production and distribution of district energy, providing alternative lifecycle economics for individual buildings. Consolidated Assets of $11.5 Billion Annual Revenues of $3.4 Billion Energy Efficiency, Commodity and District Energy Customers Major Cities Licensed General Contractors, AZ, CA, NM, NV

4 APS ENERGY SERVICES PLANT NETWORK Phoenix Convention Center Chase Field (Home of the Arizona Diamondback s) Arizona State University CHP 3,000 Tons (12,000 Tons at build-out) 20,000 T-Hr Ice (60,000 T-Hr Ice at build-out 13,200 Tons (15,200 Tons at build-out) 36,000 T-Hr Ice 10, Tons (18,000 Tons at build-out) 8 MW (16 MW at build-out) 80,000 pph (160,000 pph at build-out) Sierra Pine Martel, CA Chase Field Downtown Phoenix CENTRAL OPERATIONS CENTER Downtown Phoenix 24/7 Tucson District Energy Tucson Convention Ctr. (cogen plant) Midtown Tucson Police - Fire Sierra Pine 4 MW 40,000 pph Arizona State University Tempe Campus CHP Downtown Phoenix Convention Center Tucson Convention Center Midtown Tucson Police - Fire Northwind Phoenix Ice Plant #1 Ch Fi ld 4,000 Tons (8,000 tons at build-out) MW Chase Field 40 mmbtu/hr 150 Tons 10 mmbtu/hr Arizona State University Polytechnic Campus

5 TRADITIONAL v. ALTERNATIVE ENERGY SYSTEMS TRADITIONAL ENERGY SYSTEMS Electric Utility Electricity (Grid Power) Electric Chillers ALTERNATIVE ENERGY SYSTEMS Cogeneration (Combined Heat & Power) Absorption Chillers Steam/Hot t Water Boilers Waste Heat Recovery Boiler Photovoltaics (Solar)

6 GRID POWER v. COGENERATION: PROS & CONS GRID POWER Pros Typically Reliable Enough It IS NIMBY Capital, Responsibility by Others No Long-Term Commitment Cons Grid not Backed Up Less Efficient Greater Emissions Reliability Impacted by Others on Grid COGENERATION Pros More Reliable with Grid Backs-Up to Grid Power High Efficiency Reduced Emissions Lower Carbon Footprint Cons Capital Investment On-Site O&M Responsibility Long-Term Commitment Fuel Price Fluctuations

7 GRID POWER v.cogeneration Why is a Cogeneration Plant More Efficient than a Typical Power Plant? Location and High Grade Heat Imagine Using Your Car Radiator to Heat Your Home That s Cogeneration! Steam 27% NON-COGENERATION Steam 44% COGENERATION Waste 26% Electricity 18% Waste 55% Electricity 30% 45% of Fuel is Used 74% of Fuel is Used

8 GRID POWER v. COGENERATION ANNUAL WATER CONSUMPTION (millions of gallons) Assumes 0.5 gal/kwh Utility Water Usage, 6.2 MWs and 96% Load Factor *Arizona State University Non-Cogeneration Cogeneration*

9 ALTERNATIVE ENERGY PROJECTS COGENERATION Sierra Pine - CA 4.5MW Cogeneration Plant SOLAR City of Rohnert Park, CA 30kW System City of Flagstaff, AZ 15kW System GREEN CREDITS BIOMASS UC/CSU 17MW Northern Nevada Correctional Center 1,000kW Electric Generation (additional future 30kW solar) COMBINED HEAT & POWER Arizona State University 16MW Plant Construction and 20-Year Operations Arizona State University 30kW System Yavapai-Apache Nation 30kW System White Pine County School District Low Pressure Steam at 3MMBtu/Year Hualapai Indian Nation (in progress) Future 33kW System

10 PROJECT: CITY OF TUCSON NATURAL GAS FIRED COGENERATION & ABSORPTION CHILLER

11 PROJECT: CITY OF TUCSON DISTRICT HEATING, COOLING & COGENERATION Central Plant After $5 Million Invested - All Private Funds New Chiller, Controls, Switchgear, Transformers, Cogeneration, Heat Recovery Boiler, Pumps, Cooling Tower Work, Piping i and Building Central Plant Before Aging Central Plant Served Heating and Cooling to Convention Center Complex, Police and Fire Headquarters

12 THE EQUIPMENT (EXTERNAL): Building Switchgear Transformers

13 THE EQUIPMENT (INTERNAL): Cogeneration Unit and Heat Recovery Boiler from General Electric Produces 1605 kw of Electricity, 4 Million Btu/Hr of Heating and 300 Tons of Cooling

14 HRB

15 Evaporative Cooler SS Silencer Exhaust Fan

16 New 500 Ton Hot Water Absorption Chiller

17 Remote Monitor Cameras for Continuous Viewing from Remote Location

18 PROJECT: CITY OF TUCSON INTERNET BASED MONITORING & CONTROL

19 Engine Manufacturer s Building

20 PROJECT: CITY OF TUCSON ENERGY EFFICIENCY Energy Input MMBtu/Hr Fuel (LHV) % of Input Thermal Output Heat from Jacket Water % Heat from Exhaust* % Subtotal % Electrical Output % Useful Energy Output %

21 PROJECT: NO. NEVADA CORRECTIONAL CENTER WOOD FIRED (BIOMASS) COGENERATION

22 PROJECT: NO. NEVADA CORRECTIONAL CENTER WOOD FIRED (BIOMASS) COGENERATION RENEWABLE ENERGY CENTER Green Field Project Interconnected with Utility Grid Located in Carson City, NV Supplies Prison Steam and Electricity 1,000kW Electrical Output Excess Electricity Sold to Electric Utility t 31,050 Lbm/hr Steam Output Includes Photovoltaic Component

23 PROJECT: NO. NEVADA CORRECTIONAL CENTER Fuel Storage 80 x 17 x 5 Deep 50 Tons of Wood (2 days) Covered/Sprinkled Fuel Conveyor System Two (2) Traveling Augers Carbide Tip Screws Transports Fuel from Bunker to Boiler Metering Bin Fully Automated Belt Travel System 23 Elevation Rise AUGER WALL CONVEYOR BELT

24 NNCC BIOMASS (WOOD) STORAGE COGENERATION

25

26

27

28 PROJECT: NO. NEVADA CORRECTIONAL CENTER 1MW Steam Turbine Generator 1000kW 4 Pole, 1800rpm, 12.47kV, 3 Phase Generator Control with Auto Sync Relaying 900HP Wood-Fired Boiler 31,050 Lbs/Hr 135 psi Steam Wet Bottom Ash Conveyor Reciprocating Bottom Grate 4,750 Lbs per Hour of Wood Chips

29 PROJECT: NO. NEVADA CORRECTIONAL CENTER Emissions Control Re-Injects Particulates for Recombustion Fly Ash Collection Reduces Emissions 50% More than EPA Requirement 40 Stack 100HP Induced Draft Fan Compliance Opacity Monitoring System MULTI-CYCLONE COLLECTOR BAGHOUSE

30 PROJECT: NO. NEVADA CORRECTIONAL CENTER Solar (Photovoltaic) 30kW System Rating Uni-Solar Thin Film Laminates South Facing Single Slope Building Back Feeds 480V Breaker in Plant

31 PROJECT: WHITE PINE COUNTY SCHOOL DISTRICT WOOD FIRED (BIOMASS) HEATING BOILER

32 PROJECT: WHITE PINE COUNTY SD Replaced Old Fuel-Oil Fired Heating System Wood-Chip Heating System is Fueled by a Portion of Area s Thousands of Tons of Branches, Twigs and Needles Cleared to Abate Forest and Rangeland Fire Dangers Utilizes a Low-Emission, Economical Biomass Fuel Source Key Features: Hurst Boiler with Messersmith Combustor Base BTU Output: 3 MMBtu/Hour Auger/Conveyor/Metering Bin Fuel Feed System 2560 Cubic Feet, 5 Deep Chip Storage Bin (approx. 3 week supply) Boiler Fire Levels: 1500, 1750, 2000 Degrees Fahrenheit Internet-Based Control Interface ELY ELEMENTARY SCHOOL

33 PRE-ENGINEERED ENGINEERED BUILDING

34 BOILER

35 PROJECT: WHITE PINE COUNTY SD FUEL SUPPLY Fuel Source: Pinon and Juniper Forest Thinning Waste Annual Usage: 168 Tons of Wood Chips Delivery Size: 20 to 30 Tons per Load (2 to 4 week supply) Multi-Year U.S. Forest Service Contract at No Cost to School District Fuel Heat Content: 6,600 BTU/lb with 30% to 45% Moisture Content Burn Rate at Peak Demand: 180lbs/hr (at full load, 1 ton of chips lasts nearly 11 hours)

36 WOOD CHIP AUGER

37 WOOD CHIP CONVEYOR & METERING BIN

38 BOILER COMBUSTION CHAMBER

39 PROJECT: ARIZONA STATE UNIVERSITY NATURAL GAS FIRED COGENERATION

40 PROJECT: ARIZONA STATE UNIVERSITY Project Drivers Critical High-End Research Needs Seamless/Clean/Redundant Electrical Power Campus Expansion Support of State-of-the-Art Bio Science Research Facilities Environmental and Efficiency Considerations ARCHITECTURAL RENDERING (AUGUST 04)

41 PROJECT: ARIZONA STATE UNIVERSITY CHP Equipment - Combined Cycle Taurus T-70 Solar Combustion Turbine: 6.6 MWs at Site Conditions Murray Steam Turbine: 1.9 MWs at Site Conditions 8.5 MW Gross Output: Uses Chilled Water Cooling Coils for Turbine Inlet Air Cooling Heat Recovery Steam Generator (HRSG) 32,000 lbm/hr of Steam (unfired); All can be Used by Steam Turbine 80,000 lbm/hr of Steam (fired) 10, Tons of Electric Chillers 12 kv Chiller Motors Five - 2,000 Ton Centrifugal Chillers 4 MW Emergency Diesel Gen-Sets

42 PROJECT: ARIZONA STATE UNIVERSITY COMBINED CYCLE Rankin Cycle - Steam Turbine Cycle (typical power plant cycle) Brayton Cycle - Combustion Turbine Cycle

43 PROJECT: ARIZONA STATE UNIVERSITY COMBUSTION TURBINE & GENERATOR Generator Air Inlet Exhaust

44 GENERATOR + COMBUSTION TURBINE 1.9 MW Steam Turbine

45 CONTROL ROOM

46 HRSG Exhaust HRSG Duct Burners

47 PROJECT: ARIZONA STATE UNIVERSITY Utility Substation Fiber Optic SEL-351 Directional Overcurrent and Reclosing Relay RTU Utility Breaker 750 Feeder Management Relay Generator Breaker GenSet Customer Loads 489 Generator Management Relay

48

49 PROJECT: UNIVERSITY OF ARIZONA NATURAL GAS FIRED COGENERATION & THERMAL (ICE) STORAGE

50 PROJECT: UNIVERSITY OF ARIZONA Two Natural Gas Combustion Turbines (12MW) Grid Interconnected, Qualifying i Facility Status Heat Recovery Steam Generator Converts Waste Exhaust Heat into Steam to Provide Heat and Electricity throughout the Campus 100 Tank, 15,0000-Ton Hour Internal Melt Thermal Energy Ice Storage System Facility Upgrades Include Variable Air Volume Retrofits, Energy Efficient Lighting, Facility Metering, Motor Replacement, Fume Hood Replacement, Energy Management Controls, Etc.

51 PROJECT: UNIVERSITY OF ARIZONA 15,000 TON-HOUR THERMAL ENERGY STORAGE

52 QUESTIONS? Mike Buter

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