Case Studies. Government and Institutional: Spurring development through innovation. Moderated By: Christopher Miller Partner, Ice Miller

Transcription

1 Case Studies Government and Institutional: Spurring development through innovation Moderated By: Christopher Miller Partner, Ice Miller

2 Panelists: Al Frasz Principal Owner/President Dovetail Solar and Wind Marty Lanning Ohio Hospital association Mel Kurtz President Quasar Energy Group R. Scott Potter Senior Energy Advisor The Ohio State University

3 Al Frasz Principal Owner/President Dovetail Solar and Wind

4 City of Xenia Wastewater Treatment Division Ford Road & Glady Run treatment plants Problem: Ever rising cost of electricity becoming a significant impact on rate payers DP&L average rate increase 2004 to 2013 = 56%

5 City of Xenia Ford Road Waste Water Treatment Station 3.6 MGD Design Flow 12 MGD Peak Flow

6 Asset: available open land

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8 Owed & Operated by Solar Power & Light City of Xenia Ford Road Waste Water Treatment Station 370,000 watts

9 Goal: Lock in Cost of Electricity Solar PV produces 424,000 kwh/yr of 1,870,000 kwh/yr used SP&L Power Purchase Agreement 20 year term Initial rate of $0.066/kWh With periodic steps to $ in 2028 City of Xenia Ford Road Waste Water Treatment Station 370,000 watts Solar PV

10 City of Xenia Glady Run Waste Water Treatment Station 185,240 watts

11 City of Xenia Ford Road Waste Water 370,000 watts Solar PV Ohio Suppliers: - RBI Solar racking - Nextronex power inverters

12 Washington Court House Water Department 250 kw Solar Designed & Built by Dovetail Owned and Operated by SolarVision

13 Village of St. Paris Water Pumping Station 66,240 watts Owed & Operated by Solar Power & Light

14 Thank you!

15 Mel Kurtz President quasar energy group

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17 quasar energy group: INDUSTRIAL AGRICULTURAL MUNICIPAL 17 17

18 Inputs TYPES OF ORGANIC RESIDUALS: Food Processing Residuals Manure Energy Crops & Spent Grains Biobased Oils & Lubricants FOG (fats, oils & grease) Ethanol and Biodiesel processing residuals Dissolved Air Flotation (DAF) Expired, damaged or off-spec consumer goods Packaged Organics (depackaging technology) Crop Residuals Waste Water Treatment Sludge Glycerin & Stillage Whey Sugar Water

19 Renewable Energy: Compressed Natural Gas Electricity Heat/Cooling 19

20 Ohio Projects: Ohio quasar Anaerobic Digesters 1. Barberton, Ohio 2. Cardington, Ohio 3. Cleveland, Ohio (now expanding) 4. Columbus, Ohio (now expanding) 5. Fairborn, Ohio 6. Haviland, Ohio 7. Sheffield Village, Ohio 8. Wooster, Ohio OSU 9. Wooster, Ohio the City of Wooster 10. Zanesville, Ohio 11. Zanesville, Ohio - iads Current quasar Ohio Electric Capacity: 9 MW (nameplate) Current quasar Ohio CNG: 6,300 gge/day 1. Cleveland, Ohio 2. Columbus, Ohio (EPA RFS2 Approved) 3. Wooster, Ohio - OSU 4. Zanesville, Ohio (EPA RFS2 Approved) Current quasar Ohio CNG Potential: 19,000 gge/day Photo Courtesy: AirProducts 20

21 Wooster, Ohio - Before Wooster Water Pollution Control Plant 21

22 Wooster, Ohio - After Wooster Water Pollution Control Plant 22 22

23 Wooster, Ohio Partners: The City of Wooster Wooster Water Pollution Control Plant 3 Month Construction Schedule Project Start: July 2013 Project Completion: September 2013 Renewable Electricity: 850 kw (generator nameplate) CNG: 3,600 gge per day 23

24 Public/Private Partnership A New Model for Treatment Plants: Public/Private partnership between the City of Wooster and quasar illustrates a new model for municipal waste water management which; brings aging treatment plants into compliance with EPA regulations, can be replicated across the state, and costs less. Savings for the City: Partnering with quasar to retrofit the digester system saved the City more than $6 million (not including the cost of a new generator and solid/liquid receiving). Most importantly, said Joel Montgomery, the City s Director of Administration, with quasar in the mix the city can "get out of the sludge business," which has grown exponentially in cost over the years. (Wooster Daily Record, ) 24 24

25 Economic Development Renewable electricity is sold to the treatment plant. Low cost motor vehicle fuel (CNG) can be publicly available and increase employment opportunities. quasar s project cost effectively addresses infrastructure upgrades necessary to meet EPA regulations. Now Wooster can encourage economic development for all industries, most notably food processors disposing of high COD waste streams. Wooster Water Pollution Control is able to start receiving regional septic material and quasar can offer a regional FOG solution. The City can offer neighboring communities an alternate sludge management option. 25

26 Sustainability Reality Sustainability only works if it COSTS LESS 26 26

27 Sustainability Reality Anaerobic digestion impacts America s food processing companies, waste water treatment plants, farmers, manufacturing plants, public and private vehicle fleets, electric and natural gas utilities, and consumers who benefit from all of these activities. Anaerobic digestion is the starting point for sustainable solutions with economic benefits that will affect every American. 27

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29 Thank you!

30 Marty Lanning Ohio Hospital association

31 Ohio Hospital Association Established in 1915, first statelevel hospital association in the U.S. 213 hospitals and 22 health systems throughout Ohio. Advocacy at PUCO, State Legislature and relevant Agencies. Facilitate and manage investorowned utility rebate programs AEP Ohio DP&L Duke Energy FirstEnergy Muni or Rural Electric Co-op Collaborate with eligible Muni programs

32 Illustration of Agencies Regulating Hospitals Payer DME Regional Contractors Regional Offices MACs QIOs Joint Commission FDA State Medicare Medicare Advantage Medicaid CHIPs TRICARE (DoD) Uncompensated Care Pool Employer- Sponsored Insurance Patient Self-Pay Worker s Compensation Other Public Insurance Regional Home Health Intermediaries DEA FAA OPOs SEC DOT OSHA DOJ Treasury FBI Survey & Certification Courts Attorneys General Medicaid Board of Health Medical Boards Local Governments Licensure Health Care Authority Department of Labor and Industries Other Private Insurance IRS EPA FTC FCC HHS/ HRS A HHS/ NIOSH NRC DOL Public Disclosure Commission Office of the Insurance Commissioner Source: Adapted from Washington State Hospital Association, (2001). How Regulations Are Overwhelming Washington Hospitals, and American Hospital Association and PricewaterhouseCoopers, (2001). Patients or Paperwork? The Regulatory Burden Facing America s Hospitals.

33 Tyranny of common sense... Shared results from optimizing energy consumption Leadership Leadership Finance Finance Operations Operations Today Desired Future State

34 OHA ENERGY STAR Scatter Plot Annual Electric Expense $2,733 per Reg. Bed Annual Electric Expense $3,187 per Reg. Bed Annual Electric Expense $7,274 per Reg. Bed

35 Ohio Hospital Association Energy Program Since 2009, Ohio hospitals have earned over $5.1 million in utility rebates The installed energy efficiency projects are projected to save more $50 million in future energy costs Since 2000, OHA has intervened at the PUCO on behalf of hospitals in more than two dozen utility rate and energy portfolio (rebate) cases filed by the four investor-owned utilities in Ohio Recent Awards: o 2011 SWACO Emerald Award o o o o Ohio EPA Environmental Education Fund Outstanding Project MEEA Innovation Award Rick Sites, 2012 MORPC Green Leader Award 2012 Energy Efficiency Leadership Award from AEP Ohio Advocacy Energy Efficiency Education Energy Procurement Benchmarking Audits RCx Rebates Reduced greenhouse gas (GHG) impact from Ohio hospitals Operating Cost Optimization

36 Thank you!

37 R. Scott Potter Senior Energy Advisor The Ohio State University

38 Ohio s Energy Future Energy symposium 31 October 2013 R. Scott Potter Senior Energy Advisor

39 OFFICE OF ENERGY AND ENVIRONMENT Campus Energy Snapshot OSU is a small city pop. 100, buildings: every type, age & function 70,000+ vehicles a day

40 OFFICE OF ENERGY AND ENVIRONMENT 20 year purchase agreement Fixed price, fixed inflation = budgeting certainty Energy, RECs, and more Had to make economic sense without selling RECs Projected savings o $932,000 less than tariff rates each of first 2 years o Increase in market prices could improve the wind savings

41 Why? Right thing to do Academics & research: o Physical o Markets o Ecological Economics OFFICE OF ENERGY AND ENVIRONMENT How? 3-party arrangement Willingness to consider unique provisions Shared commitment to success

42 OFFICE OF ENERGY AND ENVIRONMENT

43 OFFICE OF ENERGY AND ENVIRONMENT More strategy in procurement and use Stability through diversity Continual progress on our environmental footprint Additional renewable supply for campus New discoveries for old fuels

44 Q & A