Cooling Energy Basics - Arlingtonva
District Energy Forum Arlington County, VA November 14, 2011
Saint Paul’s Community Energy System • Serving Saint Paul customers
since 1983 • North America’s largest hot
water district energy system • Minnesota’s leading biomass,
renewable energy system • A model for integration of
renewable energy, combined heat and power and a district energy system District Energy St. Paul
Biomass Fired CHP in Downtown Saint Paul www.districtenergy.com
Our Mission “Be the preferred provider of community energy services that benefit our customers, the community and the environment.” District Energy St. Paul 11/21/2011
www.districtenergy.com
3
District Energy Organization
Customers
City of Saint Paul
Board of Directors District Energy St. Paul, Inc.
Board of Directors District Cooling St. Paul, Inc.
President Kenneth W. Smith
District Energy St. Paul
www.districtenergy.com
First Heating Customers - 1983
District Energy St. Paul
www.districtenergy.com
First Cooling Customers - 1993
District Energy St. Paul
www.districtenergy.com
Combined Heat & Power Startup - 2003
District Energy St. Paul
www.districtenergy.com
Solar Thermal Startup - 2011
District Energy St. Paul
www.districtenergy.com
Heating and Cooling Saint Paul
District Energy St. Paul
www.districtenergy.com
Customer Growth
District Energy St. Paul
www.districtenergy.com
In 2009, District Energy St. Paul hosted visitors from 38 countries.
District Energy St. Paul
www.districtenergy.com
Integrated Energy System
District Energy St. Paul
www.districtenergy.com
District Energy Enables Integration of Diverse Local Energy Sources
District Energy St. Paul
www.districtenergy.com
Integration of Biomass-Fueled Combined Heat & Power 12,000 truckloads of clean wood residue diverted annually from the waste stream.
District Energy St. Paul 11/21/2011
www.districtenergy.com
14
Energy Lost During Generation of Electricity
District Energy St. Paul
www.districtenergy.com
District Energy St. Paul
www.districtenergy.com
District Energy St. Paul
www.districtenergy.com
Energy Efficiency of CHP FUEL
FUEL
District Energy St. Paul
ELECTRICITY
33%
WASTED HEAT
67%
ELECTRICITY
30%
THERMAL
45%
WASTE
25%
www.districtenergy.com
Biomass – Why wood fuel? • Large quantities in metro area • Diversify energy sources • Clean wood waste diverted from
landfills • Economically viable • Reduce GHG emissions • Created new industry that puts up
to $12 million annually into local economy
District Energy St. Paul
www.districtenergy.com
Integration of Solar Thermal
District Energy St. Paul
www.districtenergy.com
20
Fuel Diversification Before and After Wood-Fired CHP Project
District Energy St. Paul
www.districtenergy.com
3. How important is our usage of renewable Importance to Customers fuels?
How important is our usage of renewable fuels? 2% 22%
Very Important Very Important
Somewhat Important Somewhat Important Not Important Not Important
76%
District Energy St. Paul
www.districtenergy.com
Satisfied Customers “District Energy St. Paul's founding principles--energy efficiency, environmental stewardship, stable rates, reliability and customer service--and the company's track record of meeting them day in and day out, allow Travelers to locate many people here in Saint Paul. Because of District Energy's reliability, we can also locate vital information technology equipment operations in downtown Saint Paul where a unique setup allows us to meet our business needs in the most cost-efficient manner." Jim Scannell, Senior Vice President Administrative Services Travelers District Energy St. Paul
www.districtenergy.com
Energy Efficiency Fuel FuelConsumption Consumptionper perService SquareArea Foot 2)2 (kBtu/ft (kBTU/ft ) 55.0
52.3 48.5
50.0 45.0
43.3
Fuel useper per Unitfoot Area Fuel use square (kBtu/sq ft)ft) (kBtu/sq
40.0
35.0 1989
District Energy St. Paul
1999
2009
www.districtenergy.com
Customer Service “Over the years District Energy and District Cooling have been a great energy source for us, with stable rates and customer service staff who work with building owners to meet their needs. The CHP plant is great. It’s a fantastic concept and a real win-win situation for everyone.” Pat Wolf & Don Craft Golden Rule Building
TM Advancing District EnergyEnergy St. Paul Through Integration
www.districtenergy.com
Stable Rates District Energy St. Paul
District Cooling St. Paul
Fiscal Year
District Energy St. Paul
www.districtenergy.com
District Energy St. Paul
www.districtenergy.com
Utilities Remain Cautious About Natural Gas “The electric utility sector remains cautious about committing to gas-fired generation because of the fuel’s volatile price history and the ongoing controversy over hydraulic fracturing, Xcel Energy’s top fuel buyer told a gas industry meeting in Denver. ‘We have long memories in the utility business,’ Xcel Vice President for Fuels Susan Arigoni told the Colorado Oil & Gas Association’s annual meeting Tuesday. ‘We are not paid for taking risks with fuel.’ While Minneapolis-based Xcel’s future plans call for gas to account for a greater share of the company’s overall fuel purchases, the utility will focus on displacing coalfired capacity with renewable energy sources, Arigoni said.” Gas Daily: August 3, 2011 District Energy St. Paul
www.districtenergy.com
District Energy St. Paul
www.districtenergy.com
Source: EIA, 2009 District Energy St. Paul
www.districtenergy.com
Courtesy: Dr. Massoud Amin, University of MN District Energy St. Paul
www.districtenergy.com
Courtesy: Dr. Massoud Amin, University of MN District Energy St. Paul
www.districtenergy.com
Electricity Rates FY-2009 to FY-2011 Electricity % Increase 15.0% 10.0% 5.0% 0.0% Oct-08 Dec08
Feb09
Apr09
Jun09
Aug- Oct-09 Dec09 09
Feb10
Apr10
Jun10
Aug- Oct-10 Dec10 10
Feb11
-5.0% -10.0%
12-Month Change District Energy St. Paul
Average 12-Month Change www.districtenergy.com
Apr11
Benefits of District Energy • • • •
Enables integration and unlocks efficiency gains Stable and economical rates Improves security and reliability Simplifies operations and reduces space requirements • Reduces emissions • Solution for today with flexibility for tomorrow
District Energy St. Paul
www.districtenergy.com
Connection Requirements
District Energy St. Paul
www.districtenergy.com
Connection Requirements
District Energy St. Paul
www.districtenergy.com
Space Considerations
District Energy St. Paul
www.districtenergy.com
Comparing Conventional Heating/Cooling vs. District Energy Life Cycle Cost Analysis Economic assessment of alternatives that considers all of the significant costs of ownership over the useful life expressed in equivalent dollars. – initial costs – financing costs – operational costs District Energy St. Paul
Conventional
District Energy
Capital
O&M
Fixed Capacity Charges
Variable Energy
Variable Energy
www.districtenergy.com
Comparing Conventional Heating/Cooling vs. District Energy
District Energy St. Paul
www.districtenergy.com
Thank You!
Kenneth W. Smith, President and CEO 76 Kellogg Blvd W, Saint Paul, MN 55102 [email protected] ~ www.districtenergy.com
District Energy St. Paul
www.districtenergy.com
Why is community based infrastructure and the integration of local energy sources so important to securing our energy future?
District Energy St. Paul 11/21/2011
www.districtenergy.com
41
63.3%
36.7%
30.5% 49.5%
50.5%
Source: https://flowcharts.llnl.gov/
31.9%
41.5% 55%
68.1%
45%
Source: https://flowcharts.llnl.gov/ District Energy St. Paul
www.districtenergy.com
32.2%
45.5% 59.1%
67.8%
40.9%
Source: https://flowcharts.llnl.gov/ District Energy St. Paul
www.districtenergy.com
31.6%
68.4%
47.8% 57.8%
42.2%
Source: https://flowcharts.llnl.gov/
District Energy St. Paul
www.districtenergy.com
13 68.3%
60.5%
31.7%
37.9% 39.5%
Source: https://flowcharts.llnl.gov/
District Energy St. Paul
www.districtenergy.com
Courtesy: Dr. Massoud Amin, University of MN District Energy St. Paul
www.districtenergy.com
Courtesy: Dr. Massoud Amin, University of MN District Energy St. Paul
www.districtenergy.com
Saint Paul’s Community Energy System • Serving Saint Paul customers
since 1983 • North America’s largest hot
water district energy system • Minnesota’s leading biomass,
renewable energy system • A model for integration of
renewable energy, combined heat and power and a district energy system District Energy St. Paul
Biomass Fired CHP in Downtown Saint Paul www.districtenergy.com
Our Mission “Be the preferred provider of community energy services that benefit our customers, the community and the environment.” District Energy St. Paul 11/21/2011
www.districtenergy.com
3
District Energy Organization
Customers
City of Saint Paul
Board of Directors District Energy St. Paul, Inc.
Board of Directors District Cooling St. Paul, Inc.
President Kenneth W. Smith
District Energy St. Paul
www.districtenergy.com
First Heating Customers - 1983
District Energy St. Paul
www.districtenergy.com
First Cooling Customers - 1993
District Energy St. Paul
www.districtenergy.com
Combined Heat & Power Startup - 2003
District Energy St. Paul
www.districtenergy.com
Solar Thermal Startup - 2011
District Energy St. Paul
www.districtenergy.com
Heating and Cooling Saint Paul
District Energy St. Paul
www.districtenergy.com
Customer Growth
District Energy St. Paul
www.districtenergy.com
In 2009, District Energy St. Paul hosted visitors from 38 countries.
District Energy St. Paul
www.districtenergy.com
Integrated Energy System
District Energy St. Paul
www.districtenergy.com
District Energy Enables Integration of Diverse Local Energy Sources
District Energy St. Paul
www.districtenergy.com
Integration of Biomass-Fueled Combined Heat & Power 12,000 truckloads of clean wood residue diverted annually from the waste stream.
District Energy St. Paul 11/21/2011
www.districtenergy.com
14
Energy Lost During Generation of Electricity
District Energy St. Paul
www.districtenergy.com
District Energy St. Paul
www.districtenergy.com
District Energy St. Paul
www.districtenergy.com
Energy Efficiency of CHP FUEL
FUEL
District Energy St. Paul
ELECTRICITY
33%
WASTED HEAT
67%
ELECTRICITY
30%
THERMAL
45%
WASTE
25%
www.districtenergy.com
Biomass – Why wood fuel? • Large quantities in metro area • Diversify energy sources • Clean wood waste diverted from
landfills • Economically viable • Reduce GHG emissions • Created new industry that puts up
to $12 million annually into local economy
District Energy St. Paul
www.districtenergy.com
Integration of Solar Thermal
District Energy St. Paul
www.districtenergy.com
20
Fuel Diversification Before and After Wood-Fired CHP Project
District Energy St. Paul
www.districtenergy.com
3. How important is our usage of renewable Importance to Customers fuels?
How important is our usage of renewable fuels? 2% 22%
Very Important Very Important
Somewhat Important Somewhat Important Not Important Not Important
76%
District Energy St. Paul
www.districtenergy.com
Satisfied Customers “District Energy St. Paul's founding principles--energy efficiency, environmental stewardship, stable rates, reliability and customer service--and the company's track record of meeting them day in and day out, allow Travelers to locate many people here in Saint Paul. Because of District Energy's reliability, we can also locate vital information technology equipment operations in downtown Saint Paul where a unique setup allows us to meet our business needs in the most cost-efficient manner." Jim Scannell, Senior Vice President Administrative Services Travelers District Energy St. Paul
www.districtenergy.com
Energy Efficiency Fuel FuelConsumption Consumptionper perService SquareArea Foot 2)2 (kBtu/ft (kBTU/ft ) 55.0
52.3 48.5
50.0 45.0
43.3
Fuel useper per Unitfoot Area Fuel use square (kBtu/sq ft)ft) (kBtu/sq
40.0
35.0 1989
District Energy St. Paul
1999
2009
www.districtenergy.com
Customer Service “Over the years District Energy and District Cooling have been a great energy source for us, with stable rates and customer service staff who work with building owners to meet their needs. The CHP plant is great. It’s a fantastic concept and a real win-win situation for everyone.” Pat Wolf & Don Craft Golden Rule Building
TM Advancing District EnergyEnergy St. Paul Through Integration
www.districtenergy.com
Stable Rates District Energy St. Paul
District Cooling St. Paul
Fiscal Year
District Energy St. Paul
www.districtenergy.com
District Energy St. Paul
www.districtenergy.com
Utilities Remain Cautious About Natural Gas “The electric utility sector remains cautious about committing to gas-fired generation because of the fuel’s volatile price history and the ongoing controversy over hydraulic fracturing, Xcel Energy’s top fuel buyer told a gas industry meeting in Denver. ‘We have long memories in the utility business,’ Xcel Vice President for Fuels Susan Arigoni told the Colorado Oil & Gas Association’s annual meeting Tuesday. ‘We are not paid for taking risks with fuel.’ While Minneapolis-based Xcel’s future plans call for gas to account for a greater share of the company’s overall fuel purchases, the utility will focus on displacing coalfired capacity with renewable energy sources, Arigoni said.” Gas Daily: August 3, 2011 District Energy St. Paul
www.districtenergy.com
District Energy St. Paul
www.districtenergy.com
Source: EIA, 2009 District Energy St. Paul
www.districtenergy.com
Courtesy: Dr. Massoud Amin, University of MN District Energy St. Paul
www.districtenergy.com
Courtesy: Dr. Massoud Amin, University of MN District Energy St. Paul
www.districtenergy.com
Electricity Rates FY-2009 to FY-2011 Electricity % Increase 15.0% 10.0% 5.0% 0.0% Oct-08 Dec08
Feb09
Apr09
Jun09
Aug- Oct-09 Dec09 09
Feb10
Apr10
Jun10
Aug- Oct-10 Dec10 10
Feb11
-5.0% -10.0%
12-Month Change District Energy St. Paul
Average 12-Month Change www.districtenergy.com
Apr11
Benefits of District Energy • • • •
Enables integration and unlocks efficiency gains Stable and economical rates Improves security and reliability Simplifies operations and reduces space requirements • Reduces emissions • Solution for today with flexibility for tomorrow
District Energy St. Paul
www.districtenergy.com
Connection Requirements
District Energy St. Paul
www.districtenergy.com
Connection Requirements
District Energy St. Paul
www.districtenergy.com
Space Considerations
District Energy St. Paul
www.districtenergy.com
Comparing Conventional Heating/Cooling vs. District Energy Life Cycle Cost Analysis Economic assessment of alternatives that considers all of the significant costs of ownership over the useful life expressed in equivalent dollars. – initial costs – financing costs – operational costs District Energy St. Paul
Conventional
District Energy
Capital
O&M
Fixed Capacity Charges
Variable Energy
Variable Energy
www.districtenergy.com
Comparing Conventional Heating/Cooling vs. District Energy
District Energy St. Paul
www.districtenergy.com
Thank You!
Kenneth W. Smith, President and CEO 76 Kellogg Blvd W, Saint Paul, MN 55102 [email protected] ~ www.districtenergy.com
District Energy St. Paul
www.districtenergy.com
Why is community based infrastructure and the integration of local energy sources so important to securing our energy future?
District Energy St. Paul 11/21/2011
www.districtenergy.com
41
63.3%
36.7%
30.5% 49.5%
50.5%
Source: https://flowcharts.llnl.gov/
31.9%
41.5% 55%
68.1%
45%
Source: https://flowcharts.llnl.gov/ District Energy St. Paul
www.districtenergy.com
32.2%
45.5% 59.1%
67.8%
40.9%
Source: https://flowcharts.llnl.gov/ District Energy St. Paul
www.districtenergy.com
31.6%
68.4%
47.8% 57.8%
42.2%
Source: https://flowcharts.llnl.gov/
District Energy St. Paul
www.districtenergy.com
13 68.3%
60.5%
31.7%
37.9% 39.5%
Source: https://flowcharts.llnl.gov/
District Energy St. Paul
www.districtenergy.com
Courtesy: Dr. Massoud Amin, University of MN District Energy St. Paul
www.districtenergy.com
Courtesy: Dr. Massoud Amin, University of MN District Energy St. Paul
www.districtenergy.com
