An Energy Solution for 2017 and beyond

University of Alaska Fairbanks

An Energy Solutionfor 2017 and beyond

University of Alaska Fairbanks

Energy is the foundation• 3 million square feet of academic, research, office and

housing space

• Average age of building: 33 years

• Plans to add more than 230,000 square feet

• All these things need heat and power

University of Alaska Fairbanks

Atkinson plantTwo coal boilers (1964)

One oil boiler (1972)One oil & gas boiler (1986)

Steam: to heat campus

ElectricityWe also have:10 megawatt diesel generator and an electrical distribution system

Creates

Runs turbinesto create

University of Alaska Fairbanks

Combined heatand powerThe best choicefor efficiency

University of Alaska Fairbanks

UAF energy sources • $7.8 million annual cost

• 70,000 tons of coal• 1.2 million gallons of oil• 12 million cubic feet of natural gas

University of Alaska Fairbanks

Current fuel costs per million BTU

• Biomass and pipedgas are unknown

University of Alaska Fairbanks

Our current foundation

University of Alaska Fairbanks

What if a coal boiler fails?Enormous jumpin costs that could harm:

• The programs we provide

• The research we do

• The students we serve

University of Alaska Fairbanks

We studied the options• A wide variety of generation options using gas, coal,

biomass, solid waste, hydroelectric and wind

• 15 months of study

• Met with industry and environmental groups to gather input and ideas

University of Alaska Fairbanks

Competing considerations• Environmental responsibility

• Regulatory climate

• Political reality in Alaska and the nation

• The state’s uncertain energy future

• The economics for UAF and our programs and students

• Responsible stewardship of state funds

• Risk of catastrophic failure (current plant’s 50-year lifespan is almost over)

University of Alaska Fairbanks 11

• Anchored by a new 15-20 megawatt circulating fluidized bed (CFB) boiler

• Flexible solid fuel

• Coal with 10-30 percent biomass possible

• Replace oil boilers with gas or propane

• Purchase renewable energy, when available

• Energy conservation on campus

• Small renewable projects on campus

A diversified energy portfolio:

Flexible, sustainable, fiscally responsible

University of Alaska Fairbanks

Replacement now is fiscally responsible

• Aging plant and a growing campus

• More than $40 million in maintenance needed in the coming years.

• That doesn’t guarantee continued reliable operation

• About half of those projects are bandages not needed in a new plant.

We need energy solutions for our future, not temporary patches.

University of Alaska Fairbanks

Replacement now is environmentally responsible

• Current plant: Coal and oil

• UAF’s new plant: Coal, waste/biomass, gas or propane, other solid fuels

• Augmented with solar, wind and other renewable options that become available.

A new plant will mean cleaner air

University of Alaska Fairbanks

Timeline• Current fiscal year: $3 million for preliminary design and

permitting

• FY14: $22 million for complete design

• Beyond: $175 million for construction

• Target completion and opening: Summer 2017

University of Alaska Fairbanks

What can you do?• We need community partners like you.

• We want to know what you are hearing from your friends, neighbors and colleagues.

• Share accurate information:We need energy solutions for the future, not temporary patches.

UAF’s future rests on reliable heat and power.

Combined heat and power is the most efficient option.

A new plant will mean cleaner air.

We are pursuing a diversified energy portfolio: coal, waste/biomass, gas, solar, wind, conservation

Flexible, sustainable, fiscally responsible

University of Alaska Fairbanks

Questions?