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2 Penn State University Switch from Coal to Natural Gas September 18, 2013

Penn State University Switch from Coal to Natural Gas State University Switch from Coal to Natural Gas September 18, 2013 . ... Steam Plant East Campus Steam Plant Primary Base Load

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2

Penn State University

Switch from Coal to Natural Gas September 18, 2013

About Steam Services

Produce and deliver energy to campus safely, reliably and efficiently 24/7/365

3

About Steam Services

• The People o 40 Technical Service and Staff

o OPP support

• 2 Combined Heat and Power (CHP) plants o West Campus Steam Plant (WCSP)

o East Campus Steam Plant (ECSP)

• Provide Steam, Condensate, Natural Gas and Compressed Air to more than 200 buildings

4

Combined Heat and Power – Penn State

5

N

Burr

ow

es

Road

College Avenue

West Campus Steam Plant

East Campus Steam Plant

West Campus Steam Plant

6

West Campus Steam Plant

7

West Campus Steam Plant

8

West Campus Steam Plant

9

West Campus Steam Plant

10

District Energy – Penn State

11

East Campus Steam Plant

12

East Campus Steam Plant

13

14

East Campus Steam Plant

15

East Campus Steam Plant

3/19/10

Industrial Boiler MACT Law

1st Published in 2004

3/19/10

2004 2013 2005 2006 2007 2008 2009 2010 2011 2012

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EPA Regulations

3/19/10

3/19/10

2004 2013 2005 2006 2007 2008 2009 2010 2011 2012

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Reg

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ions

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ain

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ed:

Janu

ary

2013

EPA Regulations

BO

T D

ecis

ion

to S

witc

h to

Gas

3/19/10

2004 2013 2005 2006 2007 2008 2009 2010 2011 2012

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urbi

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final

ized

: Ja

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y 20

13

Ann

ual C

oal C

onsu

mpt

ion

reed

uced

to 5

0% o

f pea

k ye

ar

Ene

rgy

Con

serv

atio

n P

rogr

am

17.5

% G

HG

redu

ctio

n go

al m

et.

New

17.

5% g

oal s

et fo

r 202

0

EPA Regulations

Campus Upgrades

21

Combined Heat & Power C H P

Cogeneration

District Energy

22

Low – Carbon

High Efficiency

23

Utility Power

24

33% Homer City Power Plant

- 2,000 mW

- Generates electricity for more than 2 million homes

Combined Heat and Power

25

75%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

YEAR

10-J

ul

22-J

ul

3-A

ug

15-A

ug

27-A

ug

8-S

ep

20-S

ep

2-O

ct

14-O

ct

26-O

ct

7-N

ov

19-N

ov

1-D

ec

13-D

ec

25-D

ec

6-J

an

18-J

an

30-J

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11-F

eb

23-F

eb

7-M

ar

19-M

ar

31-M

ar

12-A

pr

24-A

pr

6-M

ay

18-M

ay

30-M

ay

11-J

un

23-J

un

Overall System Efficiency PSU

FY2012/13

Average Efficiency = 72%

26

= 33% eff 18 mpg

= Green Green

= 75% eff 45 mpg 72% eff

27

Energy Parking Lot

Green

Utility Power 33% efficient

CHP 75% efficient

28

U.S. Combined Heat and Power Plants

Other University Steam Generation Facilities University of Michigan

30

Capacity: • (6) NG boilers • (2) Combustion turbines

• 44.5MW electricity generation • 12” 100PSI NG feed line for boilers • 3” 300PSI high pressure feed line for turbines

New York University New York City, NY

31

32

New York University New York, NY

33

University of California - Berkeley Berkeley, CA

Harvard Medical Center Boston, MA

34

Support of Combined Heat and Power

• Every Major Environmental Group

o Sierra Club

o GreenPeace uk

o Natural Resources Defense Council

35

“Efficient CHP systems produce both electricity and steam or other useful heating or cooling services, providing the most value and least pollution from a fuel source. Use of the waste heat from industrial processes decreases on-site energy requirements for grid power and may provide off-site supply. In conjunction with smart development of city and town centers, district energy systems can provide both electricity and usable heat. Note: Sierra Club support for CHP does not change our opposition to coal-fired power plants.”

Source: www.sierraclub.org/policy/conservation/energy.pdf‎ 36

“In addition to industrial sites, CHP works well in communities (especially cities) where CHP plants can be much smaller, and are extremely quiet and unobtrusive. In Southampton and Woking, for example, CHP plants are hidden in town centre car parks and most residents don't even know they're there. Piping heat from a smaller, ultra-efficient CHP unit within a town cuts consumers heating bills and provides a local source of heating and electricity in the most efficient way possible. CHP alone is not the complete solution - it still often uses fossil fuels. But, because it's the most efficient way possible to use these fuels, it cuts emissions and reduces fuel dependency immediately.”

Source: http://www.greenpeace.org.uk/climate/solutions/combined-heat-and-power-chp

37

“Improving the energy efficiency of our manufacturing facilities, buildings, and homes can help us meet our energy challenges affordably. It can save consumers money on their energy bills, drive business competitiveness and economic growth and jobs, enhance grid reliability and flexibility, and help protect public health and the environment. Combined heat and power (CHP) systems are strong examples of how energy-efficiency technologies can help achieve these significant benefits for end-user facilities, utilities, and communities.”

Source: http://www.nrdc.org/energy/combined-heat-and-power-systems.asp 38

Other Benefits of Combined Heat and Power On-Site Power Generation

Danbury , CT Danbury, CT

Long Island, NY

Hurricane Sandy

- More than $70 billion in damages

- More than 8 million homes lost power

- Co-Op City. Bronx, NY

- Danbury Hospital

- Stony Brook University

- Princeton University

40

Other Benefits of Combined Heat and Power

On-Site Power Generation

Emissions Reductions

41

Emissions Reductions from Coal to Natural Gas

Pollutant (tons) Coal Gas Reduction %

PM 12.55 6.62 -5.93 47%

Sulfur Dioxide 1,916.60 0.57 -1,916.03 100%

Carbon Monoxide 217.80 37.83 -179.97 83%

NOx 367.70 37.83 -329.87 90%

Nitrous Oxide 1.47 0.61 -0.86 59%

Non-methane VOCs 6.90 3.78 -3.12 45%

Methane 2.20 2.17 -0.03 1%

CO2 212,643 113,475 -99,167 47%

Total HAPs 237.00 1.78 -235.22 99%

totals 215,404.72 113,566.67 -101,838.05 -47%

(Based on 2009 coal use of 73,333 tons, 2009 Reported Emissions, Projected Emissions for the equivalent value of Natural Gas)

Combined Heat and Power at WCSP

Safe

Reliable

Efficient

42

Combined Heat and Power at WCSP

Thank you

43

Energy Master Plan - Purpose

44

January 2016 Compliance

Energy Master Plan

Steam System Fuel Energy Sources

46

• Coal • Oil • Natural Gas • Waste Coal • Wood Wastes • Manure from PSU AG Programs

• Municipal Solid Waste • Refuse Derived Fuel • Tire Derived Fuel • Corn

Thermal Energy Conversion Technologies

47

• Combustion Boilers • Fluidized Bed Boilers • Combustion Turbines • Deep Well Geothermal • Ground Coupled Heat Pumps • Micro-Turbines, both

combustion and Steam

• Gasification • Solar • Wind • Fuel Cells

Near Term Steam System Final Options

48

• Regulations: Compliance ensured • Cost: Heating with gas cheaper than coal • Traffic: Eliminate coal truck traffic • Plant Renewal: Replaces 3 aging boilers • Future: Positions plant for future enhancements • Environment: Reduces greenhouse gas emissions • Cleaner air

Modify the WCSP and expand the gas service 300,000

Coal

250,000

200,000

MTCO2E 150,000

100,000

50,000

0 Natural

Gas

West Campus Steam Plant – First Floor Plan

49

Existing Boilers

Existing Floor Plan

#1 #2 #5

#8 #6

New Natural Gas Boilers

Proposed Floor Plan

Future CT/HRSG

Col

lege

Ave

nue

N

Site Plan

50

Gas

Ser

vice

Eq

uipm

ent

N

Bag House

Stack Flue Duct

ID Fans

Flue

Duc

t

Brine Storage

West Campus Steam Plant

Col

lege

Ave

nue

Site Plan

51

Col

lege

Ave

nue

Gas

Ser

vice

Eq

uipm

ent

N

West Campus Steam Plant Offices / Crew /

Shop Space

New Steam Services Building

52

Site Plan

53

Col

lege

Ave

nue

N

West Campus Steam Plant Offices / Crew /

Shop Space

University Park Emissions

Distribution of Penn State GHG emissions by Sector

Steam Plant

Purchased Electricity

Stationary Sources

Campus Vehicles

Air Travel

Commuters

Other

54

Assets

55

GHG 1990 – 2005

495,854

200,000

250,000

300,000

350,000

400,000

450,000

500,000

550,000

600,000

90/91 91/92 92/93 93/94 94/95 95/96 96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06

MTC

DE

Fiscal Year

Penn State Emissions

PSU Emissions

University Park

17.5% below 05/06 baseline

56

ACTIONS

Energy Conservation Program (ECP) Total Project Costs (2003 – 2013) $74.5 M

Energy Saved (2004-2012): $ 18.5 M

84,739,000 kWh electricity 478,00,000 klbs steam 2.8 billion gallons water/ww 107,099 dth natural gas 25,902,557 ton-hrs chilled water (~ 15,500,000 kWh)

Conservation

57

ENERGY & MAINTENANCE PROGRAMS

Before

After

58

Conservation

59

CT-HRSG

LEED Certified Buildings at Penn State

Stuckman Family Building

Rec Hall Wrestling Addition

Borland Lab Renovation

Millennium Sciences Complex

North Frear Renovation

Lewis Katz Building

Moore Building Addition

Forest Resource Building

Student Health Center

Arboretum

Medlar Field

PSU – WB Academic Commons

PSU – WS Business Classroom

60

Buildings

PSU Policy AD 64 • Contents:

o Lighting

o Interior Environment

o Computers

o Office Equipment

o Appliances

o Fume Hoods

61

Energy Conservation Policy

Assets

62

Buildings – Usage

10,000,000

15,000,000

20,000,000

25,000,000

100,000,000

150,000,000

200,000,000

250,000,000

300,000,000

350,000,000

Running kwh Consumed

UP GSF

Running Annual Electric Consumption & Campus Gross Square Feet

University Park

Assets

63

Buildings – Usage

10,000,000

15,000,000

20,000,000

25,000,000

0

500,000

1,000,000

1,500,000

2,000,000

2,500,000

MM

BT

Us

Steam Plants Total MMBTU & Campus Gross Square Feet University Park

TOTALMMBTU

UP GSF

17.5%

35%

64

GHG Emissions Reduction Strategies

0

100,000

200,000

300,000

400,000

500,000

600,000

GHG Emissions Penn State University - University Park (1990-2050)

2005-2012

RECs

Energy Program

CT HRSG

Greener Grid 2013-2020

Energy Program

Coal\Gas Conversion

Hydro Power Purchase

2nd CT HRSG

Potential Strategies

Net Zero Buildings

Biomass Fuels

On-site Renewables

Off-site Renewables

100% Green Power Purchase

Zero Waste

Transportation Initiatives

Offset Air travel

Offset Commuter travel

80% below 1990 levels

mtC

O2e

65

Beyond 2020

66

Energy Conservation

67

Solar PV

68

Wind Power

69

Biomass

70

Solar Thermal

Energy Conservation

Solar PV

Solar Thermal

Biomass

Wind

Unknown

71

2050 GHG Reduction Plan

?

72

73

2025 GHG Reduction Plan

• Avoidance of at least $20,000,000 in utility costs

• Reduction in capital investments required for utility infrastructure

Penn State Plan

495,854

399,697

555,357

200,000

250,000

300,000

350,000

400,000

450,000

500,000

550,000

600,000

97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07 07/08 08/09 09/10 10/11 11/12

MTC

DE

Fiscal Year

PSU Emissions

Projected Emissions

Baseline

17.5% Reduction Goal

Original Plan

12% projected growth

17.5% below 05/06 baseline

29.5% total

reduction

74

Thank You

75

Energy Master Plan - Purpose

76

• Future Capacity and Reliability • Modernization Strategy • Exposure to Fuel Price Volatility • Environmental Compliance

Standards • Environmental Sustainability

Energy Master Plan - Process

77

• Utility Plant & Distribution System Evaluation

• Future Load Growth Projected

• Many Potential Fuels & Technologies Evaluated

Steam System Fuel Energy Sources

78

• Coal • Oil • Natural Gas • Waste Coal • Wood Wastes • Manure from PSU AG Programs

• Municipal Solid Waste • Refuse Derived Fuel • Tire Derived Fuel • Corn

Thermal Energy Conversion Technologies

79

• Combustion Boilers • Fluidized Bed Boilers • Combustion Turbines • Deep Well Geothermal • Ground Coupled Heat Pumps • Micro-Turbines, both

combustion and Steam

• Gasification • Solar • Wind • Fuel Cells

Study Conclusions

80

Long Term • Continue to evaluate low-carbon technologies for

steam production

• Continue to evaluate renewable technologies and fuels that were previously deemed too costly or “too‎ small”

• Collaborate with PSU researchers to take advantage of their knowledge and research

Near Term • Coal – scrubber • Natural Gas

University Park Campus

81

N

Burr

owes

Roa

d

College Avenue

West Campus Steam Plant

East Campus Steam Plant

Primary Base Load Plant – Coal

/ Scrubber

Secondary Peak Demand

Plant

Near Term Steam System Final Options

82

Coal Drawbacks • The likelihood of having to change the plant

again is greater with the coal option

• Heating with coal more expensive than with gas

• Increased truck traffic downtown

• Misses opportunity for major GHG reduction

• Burning coal not as clean as natural gas

Near Term Steam System Final Options

83

Natural Gas • Expand the capacity of the ECSP

o Two New Packaged Boilers at ECSP o New Turbine Generator Plant o Distribution System Changes o Significant Electrical Work o New Natural Gas line to ECSP o Convert 2 boilers at WCSP to partial capacity on NG

Near Term Steam System Final Options

84

• Regulations: Compliance ensured • Cost: Heating with gas cheaper than coal • Traffic: Eliminate coal truck traffic • Plant Renewal: Replaces 3 aging boilers • Future: Positions plant for future enhancements • Environment: Reduces greenhouse gas emissions • Cleaner air

Modify the WCSP and expand the gas service 300,000

Coal

250,000

200,000

MTCO2E 150,000

100,000

50,000

0 Natural

Gas

West Campus Steam Plant – First Floor Plan

85

Existing Boilers

Existing Floor Plan

#1 #2 #5

#8 #6

New Natural Gas Boilers

Proposed Floor Plan

Future CT/HRSG

Col

lege

Ave

nue

N

Site Plan

86

Gas

Ser

vice

Eq

uipm

ent

N

Bag House

Stack Flue Duct

ID Fans

Flue

Duc

t

Brine Storage

West Campus Steam Plant

Col

lege

Ave

nue

Site Plan

87

Col

lege

Ave

nue

Gas

Ser

vice

Eq

uipm

ent

N

West Campus Steam Plant Offices / Crew /

Shop Space

New Steam Services Building

88

Site Plan

89

Col

lege

Ave

nue

N

West Campus Steam Plant Offices / Crew /

Shop Space

Gas Line Routes Through Campus

90

Public Concerns

91

“Safety, route through neighborhood, property values, violates bill of rights, and alternatives‎ to‎fossi l‎fuel”

State College Borough Council Resolution: • Opposed to route • Staff instructed not to approve permit

Northern Route - Overall

92

Potential Route North – June 2013

5

6

7

8

9

4

3

2

1

Northern Route – Segment 1

93

1

Swine Research Facility

Columbia’s Existing Regulating Station

Northern Route – Segment 2

94

2

Un

ive

rsity

Driv

e

East Campus Steam Plant

Northern Route – Segment 3

95

3

Northern Route – Segment 4

96

4

Northern Route – Segment 5

97

5

Northern Route – Segment 6

98

6

Northern Route – Segment 7

99

7

Alle

n R

oa

d

Pattee Paterno Library

Pasquerilla Spiritual Center

Chambers

Music I

Theater CEDAR Moore

Rac

kley

Northern Route – Segment 8

100

8

Bu

rrow

es

Ro

ad

C u r t i n R o a d

Fra

se

r Ro

ad

Rec Hall

West Halls

Carnegie

Spa

rks

Kern

Noll Lab

IST

Research West

G o l f C o u r s e

P o l l o c k R o a d

Northern Route – Segment 9

101

9

Bu

rrow

es

Ro

ad

P o l l o c k R o a d E x i s t i n g Research

West W

ater

Tu

nnel

IST

Walker

Hosler

Dei

ke

App

lied

Sci

ence

Hallowell

Engineering Services

B u s S t a t i o n

Steidle Willard

EE West EE

Eas

t

Heinz

Reb

er

West Campus Steam Plant

Sac

kett

Engineering Units

Pipeline Safety Features • State of the Art

• Meet or exceed all State and Federal requirements

• Examples where Federal requirements are exceeded

FEDERAL REQUIREMENTS Versus PENN STATE NATURAL GAS PIPELINE

Federal Pipeline Requirements This Pipeline Can operate at 1300 pounds per square inch pressure

(192.105)

Not required to be “Smart Pig” compatible (192.150)

Welds must be visually inspected (192.241)

Cathodic protection required to use either sacrificial anodes or rectifiers (192.455)

Leak survey every 5 years (192.723)

No required inspection for pipeline shut-off valve 102

Will operate at a maximum of 400 psig

Will be “Smart Pig” compatible

Pipeline shut-off valve will be inspected annually

100% of welds will have a full circumference radiographic inspection

Will have both sacrificial anodes and rectifiers

Leak survey quarterly

Northern Route – Schedule

103

May-June 2014

July-August 2014

Winter/Spring 2013-2014

October-November 2013

3/19/10

History

104

Campus Steam System

Beaver Stadium

West Campus Steam Plant

East Campus Steam Plant

Steam

Electric

105

Campus Steam System

Beaver Stadium

West Campus Steam Plant

East Campus Steam Plant

106

Beaver Stadium

West Campus Steam Plant

East Campus Steam Plant

Campus Steam System

And

y C

olw

ell

107

3/19/10 10

8

Other University Steam Generation Facilities University of Michigan

Capacity: • (6) NG boilers • (2) Combustion turbines

• 44.5MW electricity generation • 12” 100PSI NG feed line for boilers • 3” 300PSI high pressure feed line for turbines

109

University of Texas - Austin

Other University Steam Generation Facilities

110

Capacity: • (4) NG boilers • (2) Combustion turbines • (3) steam turbine generators

• 8” 600PSI NG feed line • 10” 360PSI high pressure feed line to be raised to 600PSI in 2014

MIT

Other University Steam Generation Facilities

111

Capacity: • (3) NG boilers • (1) NG Combustion turbines and HRSG

Agenda

• Campus Energy Use

• Utility Systems o Electric Distribution o Chilled Water System o Combined Heat and Power System

• Energy Masterplan

• Coal to Natural Gas Conversion Project

• GHG Reduction Plans

• Questions

University Park

113

University Park

114

University Park

115

University Park

116

University Park

117

University Park

118

University Park

119

University Park

120

University Park

121

University Park

122

University Park

123

Beaver Stadium

Campus Electric Distribution

124

Beaver Stadium

Campus Electric Distribution

125

Beaver Stadium

Campus Electric Distribution

126

Campus Electric Distribution

Beaver Stadium

127

Campus Chilled Water

Campus Chilled Water

Campus Chilled Water

Campus Chilled Water

About Steam Services

133

Paul Moser

814 – 863 – 3178 [desk]

814 – 321 – 3760 [mobile]