Southeast Conference :: Regional Issues

Energy Program

Accomplishments

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The Southeast Conference, working with its member communities and utilities, has been successful in developing regional plans and obtaining state and federal funds for many energy projects in the region. Our energy committee represents communities, organizations and utilities throughout the region. This is a 'working committee' dedicated to working together to solve the region's energy problems.

Plans and Organizational Work

Completed an engineering/economic analysis of the entire Southeast Alaska Intertie Project (ACRES REPORT, 1998 AND D. HITTLE & ASSOCIATES, 2003 & 2005).
Secured U.S. Congressional Authorization for SE Electrical Intertie System Plan (PL 106-511).
Took a lead role in the formation of Kwaan Electric Transmission Intertie Cooperative (KWETICO), potential owner/operator of portions of the SE Intertie.
Worked with AEA to develop the Southeast Alaska Energy Export Study (2007).
Kake-Petersburg Transmission Intertie Study Update (due March 2009).

Current Utility Projects Underway

Kasidaya Hydro Project near Haines/Skagway (Project operational, 2008).
Juneau to Hoonah Intertie Segment (Project partially completed to Greens Creek).
Swan-Tyee Intertie Segment (Project on schedule for completion October 2009).
Kake-Petersburg Intertie Segment (Planning Study/Economic Analysis, update in progress, joint design/permitting project with AKDOT&PF and AEA).
Reynolds Creek, Haida Corp. (partially funded, ready to construct this year).
Prince of Wales Intertie (partially funded, ready to construct).
Elfin Cove Utility Commission (in final design for hydroelectric facility).
Gustavus Falls Creek Hydro (operational 2009, final phase ready to construct).

Southeast Conference Energy Program FY10

FUNDING OVERVIEW

To maintain its Energy program, Southeast Conference (SEC) is working to locate short-term funding and to identify long-term (and sustained) sources of income. The immediate goal is to secure funding for two years to maximize the effectiveness of the energy program and assist communities in their ongoing efforts to reduce energy costs and increase efficiencies.

PROGRAM GOALS

Reduce dependence on fossil fuels. This is critical in light of the recent volatility in oil prices.
Bring affordable hydro power to communities where this is technically and economically feasible.
Develop a regional electrical grid interconnecting Southeast communities and utilities with hydroelectric generation.
Work with member communities and utilities to develop adequate energy infrastructure including alternative energy sources to meet current and future needs.
Lower costs to rate payers and communities and increase economic development opportunities.

PRIORITIES / TASKS

Secure funding for permitting and design for Kake-Petersburg Intertie ($4.3 million).
Work with IPEC and rural communities on solutions for their energy needs.
Support Haida Corporation's efforts to advance the Reynolds Creek Hydro to completion.
Begin working with federal and state funding agencies to construct the Kake-Petersburg Intertie.
Facilitate efforts in Southeast to develop a regional Intertie and projects that increase hydro capacity.
Work with member communities and utilities in their efforts to secure permits and funding for hydro and other alternative energy project development.
Study alternative energy sources - biomass, hydrogen, wind, geo-thermal, tidal, and waste-to-energy.

Southeast Conference feels it is essential to develop and implement a regional energy plan for Southeast Alaska. We are working with the Alaska Energy Authority (AEA) and the Tlingit & Haida Energy Department to develop a regional energy plan and working with the communities to implement the opportunities that exist in their areas. Substantial and measurable progress has been made over the past couple of years, and it is important to keep the momentum of this program moving forward. The Southeast Conference Board of Directors has voted to maintain its energy coordinator position and its energy program as a core program within Southeast Conference and voted to support its staff in the pursuit of these goals. The position is currently being funded from reserves.

The following information is intended to demonstrate many areas where the State of Alaska can make an investment with significant impact and benefits to the region. These projects come from the communities and have been vetted through the public process. It is a work in progress and will be updated as more information comes to us from the communities.

Southeast Alaska Energy Projects with Estimated Funding Needs

Facilities and Infrastructure Construction Needs

Metlakatla Intertie to Ketchikan:
This is the southernmost leg of the SE Intertie system and is designed to transmit surplus hydroelectricity (approx. 8,500,000kW per year) to Ketchikan where the energy will be used to offset diesel generation (about 580,000 gallons). CONSTRUCTION READY AT A PROJECT COST OF $7,652,000.

POW Island Intertie:
AP&T proposes to construct a 48 mile line extension to the communities of Coffman Cove and Naukati Bay (both use 100% diesel generated power). This project will place these communities onto the POW grid which is supplied by hydroelectric power. This intertie will reduce fossil fuel consumption by 71,082 gallons per year and reduce the electrical rate by up to 60%. CONSTRUCTION READY, PARTIALLY FUNDED, AP&T HAS REQUESTED $3,752,181 TO COMPLETE.

Reynolds Creek Hydroelectric Power Project:
This 5 MW hydro facility is located 10 miles east of Hydaburg and is a joint venture between Haida Corporation and AP&T. The development of this resource is essential to meet the electrical needs of the POW Island as it grows and will prevent the use of supplemental diesel power. CONSTRUCTION READY, PARTIALLY FUNDED, HAIDA POWER REQUESTING $13,720,000 TO COMPLETE.

Gustavus Electric:
The Falls Creek Hydro Electric Project is an 800 kWh run-of-river hydroelectric facility which will provide electric power to the community of Gustavus. The project will displace existing diesel generation. Construction of the project is approximately 90% complete and will provide 90% of the community's electric needs. FUNDING REQUESTED BY GUSTAVUS FOR COMPLETION, $750,000.

Kake - Petersburg Intertie:
This is a high priority need in the region. Funding has been identified through HB 152 for final design and permitting. Detailed construction cost estimates will be available in March, but the project is estimated to cost between $25-34 MILLION and could be funded in phases. The AK DOT&PF has begun field work and is an active partner in the development of this project.

Capacity Development Projects: Final Design and Permitting

Ketchikan - Whitman Lake:
The proposed Whitman Lake Hydroelectric Project is located approximately four miles east of Ketchikan, Alaska. KPU proposes to install 4.6 MW of hydropower generating capacity at the existing Whitman Lake Dam to provide an additional source of clean renewable energy to the city of Ketchikan and the Borough area including Saxman Village, while also enhancing the conversion of oil heat to electric heat and displacing expensive and nonrenewable diesel generation. Phases 1 & 2 are complete. FUNDING FOR FINAL DESIGN IS REQUESTED BY KPU AT $1,300,000 (KPU MATCH, $320K).

Sitka- Blue Lake Hydroelectric Project:
This project will raise the height of the dam by 83 feet and expand the plant's capacity from 8MW to 18MW of capacity. Sitka has nearly maxed out available hydro resources. Multiple funding partners are expected to participate in order to bring this facility on line by 2015. The City and Borough of Sitka REQUESTS FINANCIAL ASSISTANCE IN FY2010 OF $7,500,000.

Hoonah Energy Needs:
With the costs of the proposed Juneau to Hoonah intertie escalating to an estimated $40 million, Alaska Energy Authority (AEA) commissioned a conceptual study of the hydroelectric resources in the immediate area of Hoonah along with an analysis of the power plant needs that should be addressed concurrently. The findings are as follows:

$4,061,317 Power Plant Replacement (2,600kW @ $1,562/kW)
$4,558,500 Gartina Creek Hydroelectric Project (600kW)
$3,946,500 Water Supply Creek Hydroelectric Project (600kW)
$4,393,500 Elephant Falls Hydroelectric Project (600kW)

CAPITAL NEEDS ABOVE TOTAL, $16,959,817.

Elfin Cove Utility Commission:
This hydroelectric power plant and associated infrastructure for access and connection will serve the community of Elfin Cove. Upon completion, the hydroelectric facility will include: a 1,000-foot long diversion conduit; a 1,300-foot long penstock to tidewater; and upgrades to the hydro power house. FUNDING REQUEST BY ELFIN COVE FOR FINAL DESIGN AND FERC PERMITTING IS $395,200.

Community Planning Efforts: Feasibility and Assessment

Petersburg - Ruth Lake:
This Project would develop the hydro potential at Ruth Lake, with a total installed capacity of the powerhouse of 20 MW. The proposed Ruth Lake Hydroelectric Project would be interconnected to the existing transmission infrastructure currently owned and operated by the FDPPA. Ruth Lake would be a major addition to the energy resources to serve communities in an interconnected Southern Southeast Alaska grid. PHASE 1 FUNDING REQUEST FROM THE CITY OF PETERSBURG FOR PRE-FEASIBILITY IS $160,000 AND PHASE 2 PERMITTING IS $2 MILLION. Petersburg is providing matching funds of $540,000 for the two phases.

Metlakatla - Triangle Lake:
This proposed 4MW hydroelectric project is located along the proposed transmission line intertie to Ketchikan. The Triangle Lake project will provide additional hydro power to Metlakatla and will offset diesel power generated in Ketchikan. FUNDING REQUESTED BY METLAKATLA FOR FEASIBILITY ANALYSIS AND CONCEPTUAL DESIGN IS $500,000.

Sitka - Takatz Lake:
Sitka is engaged in a long range strategy to decrease its dependence on oil by developing its renewable energy resources, particularly the known hydroelectric resources on Baranof Island. This project is the study and investigation phase of developing Sitka's hydroelectric resources to determine the feasibility of developing the estimated 28MW Takatz Lake Hydroelectric Project. THE ESTIMATED COST OF THIS STUDY AND INVESTIGATION OF THE HYDROELECTRIC POTENTIAL OF TAKATZ LAKE IS $2,000,000.

This is a compilation of community projects that have gone through the public process. Most are part of the Southeast Intertie Plan authorized by Congress in 2001. More detailed information is available upon request. Other projects, such as Thayer Creek in Angoon will be added to this list as information becomes available.

D Hittle Report Links/Intertie Details:
Intertie Segment Cost Estimates
Proposed timeline for construction of segments based on economic viability
Report Recommendations
Other Significant Issues
Juneau to Hoonah Intertie Segment Map
Picture of Hawk Inlet (Juneau to Hoonah segment)
Picture of proposed route near Hoonah
Petersburg to Kake Intertie Segment Map

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Southeast Conference
P.O.Box 21989, Juneau, Alaska 99802-1989.
Phone: (907) 523-4350
Fax: (907) 463-5670
info@seconference.org

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