overview of potential comprehensive energy project0e70fc86-94c4... · thermal drying (removing...
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Overview of Potential Comprehensive Energy Project
Study Session - Agenda Item No. 3.a.
Board of Directors
Special Meeting
August 5, 2020
Purpose
Present a potential Comprehensive
Energy Project and describe how it can
be delivered to further the Board’s
Strategic Goals with fiscal responsibility
Presentation Outline
How We Got Started
Comprehensive Energy Project
Project Scope and Benefits
Strategic Plan Goals
Project Delivery Method
Energy Services Company-Engie
Additional Benefits to the Community
How do We Pay for it?
Next Steps
How We Got Started
History of Environmental Initiatives
Carbon Neutral/Negative Organization
Climate Action Plan
GHG Baseline
Solar Energy System PPA
Co-Gen Analysis
Contracted with Engie for evaluation of a
potential comprehensive energy project
Comprehensive Energy Project
District issued an RFP under GC 4217
Co-Gen analysis
Contract with Engie
investigate a Comprehensive Energy Project (CEP)
investment grade audit
Design and Engineering
District project discretion
Government Code 4217
GC 4217 allows for a direct award of
public construction
Created to spur action
Requires savings pay for the project
Governments may contribute funds
Where we are……
Engie has completed engineering and technical
review
Numerous Engie/Staff meetings
Kenwood Energy retained
Engie has provided preliminary project cost and
scope numbers
Staff requested project elements for Digester
replacements and EQ basin capacity
Project Specifics and Benefits
Solar arrays at three lift stations, Hilltop
offices and the treatment plant site
Reduced Energy Consumption
Treatment Plant Upgrades - vast improvement
to treatment plant reliability
Eliminates use of the sludge lagoons greatly
reducing GHC emissions
Makes land available for added wet weather
storm water equalization and SSO reduction
Project Specifics and Benefits
(Continued)
Thermal drying (removing water content) of
digested sludge to 80 – 90 % solids could reduce
sludge hauling from 600 truck loads to an
estimated 150 - 200 loads per year
Heat is generated and captured from co-gen at
no cost
Avoided costs of conducting engineering
assessment and repairs to the vast sludge lagoon
system
Co-dewatering, drying and hauling of the City of
Richmond’s sludge and biosolids will create a
significant revenue stream and cost offset
Plant Process Before Project
Plant Process After Project
Expanded Project Scope
Influent Pumps Upgrade
New Grit Separation System
Solids Concentration of Digester Feed
Redundant Rotary Drum Thickeners
New Efficient Aeration Blowers
Reciprocating Engine Co-Generation System
Digested Sludge Dewatering
Thermal Sludge Dryer System
New Digesters, Including Heating & Mixing Systems
Equalization Basins
Solar - 57 kW at the District Office
Solar - 27 kW at Atlas Road Pump Station
Solar - 61 kW at Lakeside Pump Station
Solar - 136 kW at Tara Hills Pump Station
Solar - 849 kW at Wastewater Treatment Plant
Electric Vehicle Charging Stations
LED Lighting Upgrades - District Office
LED Lighting Upgrades - WWTP
Treatment Plant Impacts
Process Overview (From 3D Model)
Additional Project Benefits
Accelerating CIP
Additional project delivery bandwidth
Reduced Carbon Footprint
Energy efficiency and clean generation at Plant, Hilltop and Lift Stations
EV charging availability
Improved Regulatory Compliance
Increased EQ storage
Improved Plant Reliability
Higher Quality Biosolids
Reduced Air Emissions
Strategic Plan Goals
Goal 1: (Infrastructure Strategy & Performance)
Grit separation system
Rotary Drum Thickener
Efficient blowers
Digested sludge dewatering
Digester improvements
VFD and pump replacements
Goal 2: (Environmental Stewardship)
Thermal sludge drying system
Solar array at the Plant
Co-generation facility
Lighting efficient improvements
EQ Basin expansion
Goal 3 (Financial Viability)
Comprehensive Energy Project
Project Delivery Method If the Board eventually approves a project, Engie will
Receive a direct award
Provide full financial disclosure and project costs and profits
Provide the financial analysis necessary to prove savings cash
flow
Details of the bidding process for subcontractors as requested
Design, construct and commission all project elements
Streamline design and construction process
Basically no change orders as Engie is designer and builder
Provide warranties and guarantees appropriate to the final
project scope
One team from initiation to start up
Provide GHG and Energy savings calculations
ENGIE Project Team
Why ENGIE?
46 years of experience
Strong local
references: Contra
Costa County
Community College,
Contra Costa County,
Contra Costa County
Fire Protection District
and more
Project managed from
our corporate
headquarters in
Oakland, CA
Community impact Workforce development &
internship program
Community engagement
Ribbon cutting events
Press releases
Local project team and
local subcontractors
Local, in-house
Operations and
Maintenance
capabilities
More technical
resources than any
other company in
California
180+ personnel
dedicated to public
sector in CA alone
Project expertise WWTP expertise
Over 300 MW of solar
installed in California
#1 Provider of energy
services in the world
200-year company
history
Annual revenue of $68
billion
Credit rating of A-/A2
Achieved 109% of
guaranteed savings
Volume procurement
through vendor
competition
No Cost Investment
Grade Audit
ENGIE California Projects
Operational Excellence
Design-build delivery method using CA Government Code Section 4217
District has more control over scope of work, equipment and
subcontractor selection
Flexibility and choice
Vendor agnostic
Competitive procurement process
Focus on operational excellence and quality control
Core project team sees project from start to finish
Full time on-site ENGIE Construction Manager
Committed to hiring local labor and complying with PLA
Workforce Development: Inspiring
the Next Generation Comprehensive Internship Program
Interns recruited from local college campuses
Virtual or In-Person experiences
Recruited from a variety of disciplines and fields of study
Connections with ENGIE Women In Networking Employee Resource Group
Curriculum Integration with Local Campuses
Custom-designed classroom presentations (virtual or in-person)
Career Profiles include Women in STEM
High School Field Trip Experiences
Highlights careers in Wastewater industry
Cultivates connections to post-secondary education or work-based learning in relevant fields
CivicSpark Fellowship
Provides greater capacity for workforce development efforts and programs
Recruited from local college campuses
“Alex has entered the past four
years of lift station and
wastewater plant data into a
complex spreadsheet. This has
allowed us to analyze the flow
trends with dry weather
conditions vs. storm events and
how the flows correlate with
rainfall and lake levels. This data
has allowed us to determine the
areas most affected by I&I so we
can begin to further investigate
and plan mitigation efforts which
will in turn lead to greater
capacity.” A quote from Paul
Harris, Utilities Supervisor, City of
Lakeport
Additional Benefits to the
Community
Local Hire elements (Project Labor Agreement)
Apprenticeship opportunities from the project
Target women's resource centers on campus and
other groups that are under represented in the
industry
Reduced air emissions and odor
Fiscal Impact
-
2,000,000
4,000,000
6,000,000
8,000,000
10,000,000
12,000,000
14,000,000
2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041
20 Year Financial Forecast
Net Operating Revenue Debt Service w/Engie Project
Next Steps
Finalize the Project Scope
Peer review of final project proposal
Review and negotiatiate any changes to the Agreement
Develop financing plan
Return to the Board with final project proposal and cost projections
Finalize a Project Labor Agreement
Request Board approval for entering into an Agreement
Questions?