Suitability of Woody Biomass Heating in Remote Alaskan

Suitability of Woody Biomass Heating in Remote Alaskan Environments Cory Luker Biomass Energy Research Technician Summer 2014 | Fairbanks, Alaska

Energy Challenges in Remote Alaskan Villages • • • Sparsely populated, isolated communities = some of the highest energy costs in the nation Extreme arctic climate = some of the highest heating demands in nation High cost of imported fuel oil is impeding economic development Need for an alternative cost-effective heating solution Woody biomass, a saving grace? TCC communities that have either installed or have considered installing a biomass heating systems 2

Motivation for Research • Renewable Energy Fund (REF) – Millions of dollars of government funding going towards biomass systems since 2007 – focuses on resource assessments, feasibility, design, and construction – NO focus on long term business and logistical studies • The long term sustainability of biomass heating systems are unproven in rural Alaska Why are some projects exceeding expectations and other faltering? 3

Scope of Work • Case study for the TCC community of Tanana, Alaska’s biomass heating systems – – – • Quality, source, and sustainability of wood resource Feedstock logistics Biomass heating systems integration Operation, maintenance, and repair Project economics and business model Miscellaneous tasks: – Writing monthly newsletter articles – Biomass Report Consolidation – Develop interview questions and metrics for wood heating systems 4

Biomass in the City of Tanana • • • Longest continually operating biomass heating systems in TCC Currently has 5 individual biomass initiatives and 13 woody biomass boilers Using cordwood boilers to generate heat for: – School, water treatment facility, teacher public housing, fire station, and the city’s water lines Cordwood boiler installation in the City of Tanana’s school 5

Tanana: Economic Assessment Table 1: Economic analysis of Tanana's biomass heating systems assuming 20% moisture content Location Avoided Fuel Oil Costs @$5. 75/gal (dollars/year) 20% MC Washateria Fire Station City Shop School Public Housing Total $42, 693. 75 $5, 336. 72 $6, 404. 06 $53, 367. 19 $1, 601. 02 $109, 402. 73 Wood Fuel Cost @$300/cord (dollars/year) $(24, 000. 00) $(3, 600. 00) $(30, 000. 00) $(900. 00) $(61, 500. 00) Labor Cost @ $16 dollars/hour Maitenance and (dollars/year) Repair Cost (dollars/year) @10 hrs/cord @18 hrs/cord $(12, 800. 00) $(1, 600. 00) $(1, 920. 00) $(16, 000. 00) $$(32, 320. 00) $(23, 040. 00) $(2, 880. 00) $(3, 456. 00) $(28, 800. 00) $$(58, 176. 00) $(1, 200. 00) $(150. 00) $(180. 00) $(1, 500. 00) $(45. 00) $(3, 075. 00) Net Annual Savings (dollars/year) @10 hrs/cord $4, 693. 75 $586. 72 $704. 06 $5, 867. 19 $656. 02 $12, 507. 73 @18 hrs/cord $(5, 546. 25) $(693. 28) $(831. 94) $(6, 932. 81) $656. 02 $(13, 348. 27) Table 2: Economic analysis of Tanana's biomass heating systems assuming 35% moisture content Location Avoided Fuel Oil Costs @$5. 75/gal (dollars/year) 35% MC Washateria Fire Station City Shop School Public Housing Total $34, 679. 69 $4, 334. 96 $5, 201. 95 $43, 349. 61 $1, 300. 49 $88, 866. 70 Wood Fuel Cost @$300/cord (dollars/year) $(24, 000. 00) $(3, 600. 00) $(30, 000. 00) $(900. 00) $(61, 500. 00) Labor Cost @ $16 dollars/hour Maitenance and (dollars/year) Repair Cost (dollars/year) @10 hrs/cord @18 hrs/cord $(12, 800. 00) $(1, 600. 00) $(1, 920. 00) $(16, 000. 00) $$(32, 320. 00) $(23, 040. 00) $(2, 880. 00) $(3, 456. 00) $(28, 800. 00) $$(58, 176. 00) $(1, 200. 00) $(150. 00) $(180. 00) $(1, 500. 00) $(45. 00) $(3, 075. 00) Net Annual Savings (dollars/year) @10 hrs/cord $(3, 320. 31) $(415. 04) $(498. 05) $(4, 150. 39) $355. 49 $(8, 028. 30) @18 hrs/cord $(13, 560. 31) $(1, 695. 04) $(2, 034. 05) $(16, 950. 39) $355. 49 $(33, 884. 30) 6

Tanana: Primary Conclusions • • There is a current lack of organization and coordination between wood harvesters, city officials, and boiler operators Burning wet wood is drastically reducing the efficiency of the cities biomass heating systems Operational costs are significant with the installed cordwood boilers Biomass systems promote a sustainable village economy through job growth and new local wood fuel markets even if they themselves are not economically viable 7

A Special Thanks To My mentors Amanda Byrd & David Pelunis-Messier and the wonderful staff and interns at ACEP 8