Installing a New 6 MW CHP System In An Existing District Energy Plant. IDEA 2013 Campus Energy Conference

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1 Installing a New 6 MW CHP System In An Existing District Energy Plant IDEA 2013 Campus Energy Conference February 20, 2013

2 Agenda District Energy System Overview Central Plant Overview Decision to Install Cogen Project Development Approach Plant Design Plant Construction Construction Highlights Plant Performance 2

3 Energy Distribution System & Satellite Plants Energy Distribution System 4 miles of steam/chw piping Fiber optic controls throughout system Chilled Water 32,000 gpm, 41 o F Steam System 175 psig, Saturated steam Customers Served 7 Casino Facilities + AC Boardwalk Hall Satellite Plants Support system during peak load Bally s Park Place 3

4 Energy Distribution System 4

5 Midtown Thermal Control Center (MTCC) Built in 1996 Initial cost $106M Funded with the help of NJ Thermal Energy Facility Program Acquired by Pepco Energy in 2002 District Energy Plant Three 70,000 pph steam boilers 210,000 pph total capacity Fourteen Centrifugal Chillers 13,000 tons total capacity 1 MW Emergency Generator Three independent electrical feeders 5

6 Decision to Install Combined Heat & Power Reduce operating costs Displace expensive electric Replace inefficient steam production Increase Revenue Local Electric Deregulation Viable market for excess power NPV Sensitivity to Change in Market Prices Evaluate Project Economics Construction & O&M Costs Internal Funding Perform Sensitivity Analysis Manageable Risk Pricing at time of decision: $6.79/MMTBU; $0.12/kWH 6

7 CHP Project Development Approach Pepco Energy Services... Served as General Contractor Tighter control over cost/schedule Subcontracted Engineering & Construction Engineer: Syska & Hennessy Constructor: Herman Goldner Responsible for all Permits Procured Major Equipment Dual Fuel Gas Turbine Generator Heat Recovery Steam Generator and SCR Fuel Gas Compressor Electric Modifications Electrical Gear Controls Equipment & Systems Integration Managed Startup & Commissioning 3 rd Party Commissioning Agent 7

8 CHP Plant Design Design & Equipment Selection Solar 60 Dual Fuel Gas Turbine Rentech Crossflow Heat Recovery Steam Generator (HRSG) with gas duct burner 27 Kpph unfired 72 Kpph fired Inlet air cooling coil, set to 59 o F Taurus 60 Turbine Lineup Generator 8 HRSG

9 CHP Plant Design Design & Equipment Selection Sullair gas compressor for GT fuel packaged by J.J. Crewe SCR catalyst for NOx emissions control (anhydrous ammonia) Space for future CO catalyst Existing boilers remain in service Set inside existing plant building New ammonia storage building Gas Compressor Existing Boiler SCR Catalyst 9

10 CHP Plant Construction Turbine & HRSG Installation HRSG Installation Economizer Installation Turbine Installation 10

11 CHP Plant Construction Highlights Emissions Substantially lower than published 9ppm versus 25ppm Technical Mod for operating permit Remove SCR & NH 3 injection Sound Rotary screw fuel gas compressors Proximity to adjacent residences Designed Sound Mitigation Plan Enclosure & CMU wall successful Electrical Importing on one feeder. Second feeder used if turbine trips During high load conditions Gas Compressor Enclosure SCR Catalyst Metering 11

12 CHP Plant Construction Successfully overcame numerous issues Interconnection agreement delayed Utility metering Feeder study Construction permits delay City permits - delayed Plumbing permit deficiency DCA NJ/AC jurisdiction turf war Gas Utility Connection BPU rate case SBC % reduction Separate Cogen meter 12 HRSG Installation Stack Installation

13 CHP Plant Operating Assumptions Gas turbine operates to meet MTCC electric demand Operate at 100% load; export surplus based on LMP If MTCC demand > 100% GT load Purchase from grid HRSG operates to meet MTCC steam demand Steam demand is always > GT full load unfired output HRSG duct burner fired to increase steam output If MTCC steam demand > fired HRSG fire supplementary boilers 13

14 Midtown Thermal Control Center (MTCC) - Operations Plant Staffing Plant Manager & Maintenance Mgr. 9 Full time Operators 3 Admin/Accounting/Clerical PES Responsibilities All plant modification & improvements All customer metering & billings All permits & environmental reporting Plant & System Maintenance Maximo used to monitor & facilitate system maintenance Major work scheduled during lowest demand Careful planning & scheduling 14

15 CHP Plant Performance to Date Only one forced outage since commissioning Performance on or above specified curves Exceeding financial goals Superior first-year performance! 15

16 Contact Information Combined Heating & Power Projects Bob Albertini Director of Business Development Pepco Energy Services 1300 N. 17th Street, Ste Arlington, VA John Rauch Manager, Plant Operations Pepco Energy Services 1825 Atlantic Avenue Atlantic City, NJ Also, visit us at Booth #46 16