Consulting Services Agreement with Quantum Energy Services & Technologies, Inc. to Investigate Possible Efficiency Measure for Partition in the CalPOP Program at the City’s Wastewater Treatment Facility.

Meeting Date: March 04, 2014

Agenda Item #9. Consulting Services Agreement with Quantum Energy Services & Technologies, Inc. to Investigate Possible Efficiency Measure for Partition in the CalPOP Program at the City’s Wastewater Treatment Facility.

Note from TheGardeningSnail: Parts of this page may have been prepared by running a PDF file through a program that converts Image to Print. So there may be a few textual Gremlins that have slipped in. I may also have broken up some of the longer paragraphs, for easier reading.

STAFF REPORT

clip_image001

AGENDA ITEM: Consulting Services Agreement with Quantum Energy Services & Technologies, Inc. to Investigate Possible Efficiency Measure for Partition in the CalPOP Program at the City’s Wastewater Treatment Facility.

MEETING DATE: March 4, 2014

PREPARED BY: Alfonso Manrique, Alternate City Engineer REVIEWED BY: Jose Antonio Ramirez, City Manager

clip_image002

RECOMMENDATION:

City Council to Adopt Resolution No. 2014-_, authorizing the City Manager to sign a Services Agreement with Quest to proceed with the preparation of a Facility Audit report to identify energy-saving improvements at the wastewater treatment plant (WWTP).

EXECUTIVE SUMMARY:

The California Wastewater Process Optimization (CalPOP) Program is a PG&E program intended to help municipal wastewater treatment facilities optimize their processes by reducing energy costs. As a PG&E customer, the City is eligible to participate in the CalPOP program.

Quantum Energy Services & Technologies, Inc. (Quest) has been selected by PG&E to be the CalPOP program implementer. Quest assists customers that want to participate in the CalPOP program by preparing a Facility Audit, the necessary program participation agreements, and funding applications.

According to Quest (see enclosed Technical Memorandum), the estimated energy savings from the implementation of energy efficiency improvements at the WWTP is approximately 525,000 kWh or approximately $70,000 per year. PG&E’s rebate for the implementation of the energy efficiency improvements is estimated to be $48,000. The estimated cost of implementation of the energy efficiency improvements is approximately $230,000. Funding for implementation can be obtained through PG&E’s On-Bill Financing (OBF) program. The OBF program consists of a zero interest loan to pay for the implementation of qualified EEMs. The maximum OBF loan amount for municipalities is $250,000. Quest, as the CalPOP program administrator will process all the required documentation for the City.

In order to participate in the CalPOP program and receive PG&E’s rebates for the implementation of these energy-saving measures, Quest needs to prepare a Facility Audit. The Facility Audit will formally describe the energy efficiency measures identified in the TM and provide more accurate estimated measure costs, energy savings and estimated program incentives. The Facility Audit will be submitted by QUEST to PG&E for approval to qualify the measures for Program Incentives. As part of the Facility Audit Quest will also develop the baseline consumption at the City’s WWTP which will provide confirmation of the energy savings estimated in the TM. The estimated savings in the Facility Audit are expected to match or exceed those in the TM.

Quest’s estimated cost for the preparation of the Facility Audit is $15,000. However, in the event that the City completes the installation of measures identified in the Facility Audit, the cost of the Facility Audit will be fully covered by the CalPOP program. A copy of Quest’s proposed Services Agreement is enclosed to this staff report.

BACKGROUND/DISCUSSION:

The California Wastewater Process Optimization Program (CalPOP) is a PG&E program funded by the California Public Utilities Commission (CPUC) and is intended to help wastewater treatment facilities optimize their processes, thereby cutting energy costs and saving money.

The CalPOP program provides facility energy efficiency audits that contain energy-savings recommendations and pays up to 50% of costs towards the implementation of those energy-saving projects identified during the audit.

Typical energy savings projects funded by CalPOP include upgrading or installing new equipment, including dissolved oxygen probes, SCADA Systems, timers, VFDs, and other automated controls that tailor the right amount of aeration for plant loading.

Quest has conducted a preliminary site visit to the City’s WWTP and has prepared a Technical Memorandum (TM) indicating that there are energy-saving measures related to existing equipment that can significantly reduce the overall power consumption at the WWTP. A copy of the TM is enclosed to this staff report.

Quest’s program manager, Mr. John Bidwell, prepared a presentation to the Council on October I , 2013. This item was also discussed at the Water Stakeholder’s committee and received unanimous support and interest of stakeholders.

FISCAL IMPACT:

The estimated cost to prepare the Facility Audit is $15,000. However, this cost will be fully covered by the CalPOP Program if the City implements the energy saving measures identified in the Facility Audit.

ATTACHMENTS:

1. Resolution No. 2014- (will be presented at City Council meeting)

2. Quest Consulting Services Agreement

3. Quest Technical Memorandum

image

image

image

image

image

image

image

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s