Geothermal 101 and Heat Recovery for Breweries · HLT Boiler therms 13,140 $11,826 Glycol Chiller kWh 102,696 $11,297 All energy costs are based on flat $/kWh of $.11 and $/therm

Geothermal 101 and Heat Recovery for Breweries

Rob Olden, CEM Element Energy Consulting

312-620-0092 [email protected] www.element-co.com

ElementEnergyBio

•  Involvedinover65geothermalprojectsoverthepast13years– WalgreensNetZero– WintrustHQretrofit– FrankLloydWright’sUnityTemple

•  Expertiseingeothermalheatrecovery•  Expertiseincraftbreweries/distilleries

•  Eris •  Metropolitan •  Alarmist •  Rite Bee

•  Middlebrow •  Ike and Oak •  Wild Onion •  Englewood

•  Banging Gavel •  Obscurity •  28 Mile

Summary

•  GeothermalBasics•  TaxCredits•  BreweryDesign•  ErisBrewery(ASHRAETechAwardWinner)•  RealWorlddatacomparedtoprojected

EarthisaVastSolarCollector

U.S.UndergroundTemperatures

72°F

62°F Geothermalheatpumpstransferundergroundheatintothebuildingtoprovideheating

The Earth is a Source of Heat in Winter…

Outdoor air temperature: 5°F

Outdoor air temperature: 100°F

72°F

62°F

Geothermalheatpumpstransferheatfromthebuildingtotheearthtoprovidecooling

… and an Efficient Place to Reject Heat in the Summer…

Geothermalheatpumpscirculatewaterthroughasealedundergroundpipingloopwhereitisnaturallywarmed(orcooled)bytheearth

…using Heat Pump Technology

Geothermal is not new technology

Geothermal is not new technology

FreeEnergy

•  GeothermalHeatPumpsuseonlyasmallamountofenergytocapturealargeamountofFREEenergyfromtheearth.

Residential Site Energy Conventional System

Over 70% of the energy consumed by a typical home is used for heating, cooling, and water heating

Residential Site Energy Geothermal Heat Pump System

Total site energy consumption is cut in half

GeothermalPerformanceComparison

0

5

10

15

20

25

30

Cooling Efficiency (EER)

New Geothermal Unit

Previous Geothermal Unit

High Efficiency AC or HeatPump

Ordinary Air Conditioner orHeat Pump

GeothermalPerformanceComparison

0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5

5.0

Heating Efficiency (COP)

New Geothermal Unit

Previous Geothermal Unit

Heat Pump

High Efficiency Gas/PropaneFurnace

Ordinary Gas/Propane Furnace

Loop Types •  Closed Loop

– Horizontal – Vertical – Pond

•  Open Loop – Well Water

Well Water (Open Loop) Uses existing well

Requires 1.5 gpm/ton

Horizontal Loop

10 ft.

3 feet

2 feet 5- 6 feet

2 feet

2- Pipe Horizontal

Typically 3-4 trenches, 250 feet long each

10 ft.

3 feet

2 feet 5- 6 feet

2 feet

4- Pipe Horizontal

Typically 2 trenches, 180 feet long each

10 ft.

3 feet

2 feet5- 6 feet

2-3 feet 1 foot

6- Pipe Horizontal

Typically 1 or 2 trenches, 120 feet long each

Horizontal4&6PipeLoops

Typically 3 or 4 trenches, 100-150 feet long each

10 ft.

5- 6 feet

2-3 feet

Slinky

HorizontalSlinkyLoops

HorizontalBoreLoops

Typically 3-4 bores, 200 feet long each

Directional Bore System

Vertical Loop

10 – 15 feet

5- 6 feet

Side View

120 – 150 feet

Vertical Loop

Typically 3 to 5 bore holes, 400 feet deep each

Vertical bore without backfill

Vertical Loop/Grouted

Bentonite Grout backfill

Geothermal pipe

U-Bend used for Vertical Loops

CraftBrewery

TheBaseline

Systems

Units

Baseline

$31,924

RTU CLG kWh 33,645 $3,701 RTU HTG therms 4,559 $4,103 RTU Fan kWh 9,071 $998 CLG Cap Tons 41 HTG Cap Mbh 767 HLT Boiler therms 13,140 $11,826 Glycol Chiller kWh 102,696 $11,297

Allenergycostsarebasedonflat$/kWhof$.11and$/thermof$.90

Systems

Baseline

RTUs $42,500 ERVs $0 Interior Scope $170,050 Geothermal Field Scope $0 Fluid Cooler $0 Glycol Chiller $20,000

Total $232,550

•  2x20tonpackageRTU’s•  G&D7x7HGlycolChiller•  30BBLHotLiquorTank•  960MBHSteamBoiler•  398MBHDHW

TheProposed

•  RTU’sremain,fullyredundant•  Steamboilerremains,fullyredundant•  FermenterandHLTareun-changed•  Hybridgeosystemis20Ton’s•  8Boreholeat500’deep

controls

ErisGeothermalPlan

8BHEs

SummaryofResults Systems

Baseline

Geothermal + Process

+ DCV

Δ from Baseline

RTUs $42,500 $42,500 $0 ERVs $0 $0 $0 Interior Scope $170,050 $290,050 $100,000 Geothermal Field Scope $0 $93,000 $93,000 Fluid Cooler $0 $0 $0 Glycol Chiller $20,000 $0

Total $232,550 $425,550 $193,000

Systems

Units

Baseline

$31,924 Hybrid Geo + Process

$22,453 RTU CLG kWh 33,645 $3,701 29,375 $3,231 RTU HTG therms 4,559 $4,103 1,222 $1,100 RTU Fan kWh 9,071 $998 7,890 $868 Pump Energy kWh 767 3,224 $355 HLT Boiler therms 13,140 $11,826 5,302 $4,772 Glycol Chiller kWh 102,696 $11,297 110,255 $12,128

•  $9,471AnnualSavings[30%]

•  49%oftotalenergysavings

EconomicResults

CAPITAL COSTS

Baseline System

Geothermal + Process

+ DCV

Baseline HVAC ($16.35/PSF) $212,550 $212,550 Interior HVAC increment $120,000 Geothermal Field Contract $93,000 Glycol Chiller $20,000 Total initial cost outlay $227,550 $425,550 Incremental cost $193,000

Geothermal Energy Property Value $383,050

INCENTIVES Geothermal Tax Credit (ITC) ($38,305) NPV Straight Line depreciation (39 years) ($28,332)

NPV MACRS depreciation (5 years) ($118,096)

NPV after tax incentives $204,218 $269,191 Year one energy savings $9,471 Pay back after incentives and energy escalation

4.1

Internal rate of return 17.30% NPV of 25-year savings $99,277 Cumulative 25-year savings $389,873

•  Processintegrationaloneisa9.4yearpaybackon$59,500upfrontcost

5-yearGeo-Temps11010510095908580757065605550454035302520151050

1 8761 17521 26281 35041 43801

FluidTemps

Hours

GeothermalFluidTempsOver5Years

L W T _ H P ° FE W T _ H P ° FLWT_GHX°F

ProcessIntegration

-1000

-800

-600

-400

-200

0

200

400

600

800

-1000

-800

-600

-400

-200

0

200

400

600

800

477647774778477947804781478247834784478547864787478847894790479147924793479447954796479747984799

Houroftheyear

SystemPowerProfile:DesignCoolingDay(July18)

CLGLoadsProcessHTGLoadsContinuedGasBoileruse

GeoProcessCLGLoadsProcessCLGLoadsCLGHeatRecoveryTankTemp

TheFinalDesign

MeasuredData

GeoHeatRecovery

MeasuredSavings

Conclusions

•  Sofarthesystemhasachieved$4,767ofthe$7,054projectedgasenergysavings.– Thisisrightontrackwithbasedon8monthsworthofdata.

•  Heatrecoverysystemsdonothavetocostafortune– Experiencehydronicsandgeothermalcontractors

•  Controlscanbesimplified•  Taxcreditscanstillmakegeothermalfinanciallyfeasible

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