ULSD & Diesel Engines in

Rural Alaska Powerhouses

Steve Stassel, Gray Stassel Engineering

Islanded Grid Wind Power Conference March 6, 2015

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ULSD Requirements in Alaska u  ULSD required for ALL mobile sources

regardless of where located in AK or US: – On highway, Off road / Heavy Equipment –  Boats, Marine Auxiliary Engines –  Trucks, Buses – anything that moves

u  ULSD Not Required for Stationary Engines MY06 and Older “Not Accessible to FAHS”

u  ULSD Required for Stationary Engines MY07 and newer “Accessible to FAHS” (road & AMHS)

u  ULSD Required for Stationary Engines MY14 and newer “Not Accessible to FAHS”

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Federal Aid Highway System (FAHS)

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ULSD is a Technology Enabler

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Diesel Engines in Rural Alaska Power Houses

u Applies to Stationary Engines used for rural Alaska Utilities

u Diesel Engines – Reliable, Efficient, Economic – PM and NOx Emissions

u Diesel Engine Reliability is poorer now than before – Largely attributed to emissions equipment

u Not Advocating Using Dirty Diesels 5

Engine Selection in 2000

u Fuel was cheap (<$1.50/gallon)

u Engines were simple and reliable: – Brand Preference (by color) – Load Capacity – Fuel Efficiency

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Engine Selection in 2006 u Fuel Prices more than Doubled u Tier 2 Engine Technology

– High Pressure / Common Rail Fuel –  Electronic Fuel Injection –  Separately Cooled Aftercooler

u Engine Selection Based Criteria –  Fuel Efficiency –  Load Capacity –  Recoverable Heat –  Brand Preference (color less important)

u  Diesel Engines were efficient and reliable

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Fuel Cost Dominates Annual

u  8760 hrs x 350 kW = 3,066,000 kWh/yr u  @13.0 kWh/gal = 235,000 gallons/yr u  @15.7 kWh/gal = 195,000 gallons/yr u  Fuel Savings = 40,000 gallons/yr u  $4.00/gallon = $160,000/yr u  1-Year Payback Engine Replacement

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2006 Diesel Engine (Tier 0 & 1)

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2015 Diesel Engine (Final Tier 4)

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Tier 4 and Diesel Engines

u Final Tier 4 Engine Technology – Require use of ULSD, only – Improved Emissions – Complex – Highly Controlled – Expensive – Reliability

u >= 2012 JD Powers identified a decrease in diesel engine reliability due largely to exhaust emissions equipment

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Engine Selection 2015 and Beyond

– Reliability – Regulatory Compliance – Fuel Efficiency – Load Capacity (meets community loads) – Recoverable Heat – Brand Preference – Used (low hour) vs. New

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Tier Emissions Levels

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2006 Diesel Fuel Consumption in Rural Alaska

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Emissions of Fuel Efficient Engines

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Emissions of Fuel Efficient Engines

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NSPS and RICE-NESHAP

u  NSPS applies to stationary diesel engines manufactured after April 1, 2006 (MY07 & Newer)

u  Manufacturer's responsible for compliance

u  Owner / Operator must document operation & maintenance IAW Manufacturers Recommendations

u  RICE-NESHAP applies to stationary diesel engines manufactured before April 1, 2006

–  Owner / Operator responsible for compliance

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RICE-NESHAP

u  Relief for Rural Alaska –  Minimize time at idle and engine startup <30 minutes –  Operate & Maintain engine IAW manufacturers

instruct’s –  Must comply with EPA Management Practices

u Oil changes every 1000 hours or annually, or use oil analysis plan

u Inspect air cleaner every 1000 hours or annually u Inspect hoses and belts every 500 hours or annually

–  Must maintain maintenance records that document Management Practices

u AEA/AVTEC Operator Training CD ROM has mtc logs

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NSPS - New Source Performance Standards u  The EPA agreed that the circumstances in remote Alaska

require special rules: u  Removed requirement to use after treatment devices for NOX,

in particular, SCR, for engines used in remote Alaska; u  Allowed the blending of used lubricating oil, in volumes of up

to 1.75 percent of the total fuel, if the sulfur content of the used lubricating oil is less than 200 ppm and the used lubricating oil is ‘‘on-spec’’

u  Exempted all pre-2014 model year engines from diesel fuel sulfur requirements (no ULSD);

u  Allowed use of engines certified to marine engine standards and Tier 3 nonroad industrial engine standards; but

u  Requires PM after treatment devices for 2014 and later model year

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EPA Definitions of Remote Area of Alaska

u  NSPS (MY07) – Not Accessible to the FAHS u  RICE NESHAP (April 1, 2006 & Older Engines) -

Expanded definition, in addition to Not accessible by FAHS, RICE meeting ALL of the following: –  Not connected to Railbelt Grid, or only connected to

FAHS through the Alaska Marine Highway System

–  At least 10% of power generated is for residential use

–  RICE is less than 12 MW or used exclusively for backup power for renewable energy

RICE-NESHAP: Rural Alaska (expanded)

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RICE-NESHAP: Rural Alaska (expanded)

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What are the Options for Rural Alaska? u  Purchase Final Tier 4 Engine

–  Expensive / Reliability & Heat Recovery Issues u  Purchase Tier 3 Industrial Engine

–  Requires Aftermarket Particulate Filter (added cost)

–  Poor Fuel Economy (very costly) u  Purchase Tier 3 Marine Engine

–  Requires Aftermarket Particulate Filter –  Good Heat Recovery Capability

u  Particulate filters are problematic –  Not OEM equipment – must be engineered –  Costly to install –  May reduce fuel efficiency –  Higher maintenance costs –  Unproven Reliability

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What’s the Near Term Solution?

u  Re-use of pre-2014 engines –  Like New / Low-hour used / rebuilt engines

–  Remanufactured used engines

u Not same as “OEM Repower” program u Must be pre-2014 block

u Must not exceed 50/75% of new replacement engine cost u May upgrade engine to cleaner emissions standard

u  Long Term Prognosis –  OEM manufacturers will improve cost / reliability

–  Similar to 1970’s Automobiles – Diesel Engines to Improve

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What’s Next?

u  AEA to publish guidelines for regulatory compliance using pre-2014 engines

u  State of Alaska (DEC/AEA) are working with EPA on additional regulatory relief for rural Alaska and alignment of Remote Areas of Alaska definition

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Summary?

u  ULSD is here and now!

–  All mobile sources

–  All Stationary Engines Accessible to the FAHS

–  MY14 and Newer Engines (NSPS) not Accessible FAHS

u  Re-use of high efficiency Diesel Engines u  State of Alaska will continue to work with EPA on

additional regulatory relief for rural Alaska and alignment of Remote Areas of Alaska definition

u  Manufacturers will produce reliable Tier 4 engines

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Islanded Grid Wind Power Conference March 6, 2015

Contact Information:

Steven Stassel, P.E. Gray Stassel Engineering, Inc. (907) 349-0100 phone Steve@GSE.Engineering

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