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NON‐CONFIDENTIAL FINAL REPORT
Blackspring Ridge 1 Wind Project
CCEMCProjectID:E120056
NameandcontactinformationofPrincipalInvestigator
AntoineCognard
EDFENCanadaDevelopmentInc.
1134SainteCatherineWest,Suite910
Montreal,QuebecH3B1H4,Canada
PhoneNumber:514.397.9997X159
E‐mailAddress:antoine.cognard@edf‐en.ca
NameofCCEMCProjectAdvisor
MarkSummersPh.D.,P.Eng,
AlbertaInnovatesEnergyandEnvironmentSolutions
1800PhippsMcKinnonBuilding,10020101AAvenue
Edmonton,Alberta,T5J3G2
Phone:780‐638‐4342(office)
E‐mail:[email protected]
CompletiondateoftheProject
August24th,2014
TotalCCEMCfundsreceivedandamountofholdback
Fundreceived:$10Million
Submissiondate
August21st,2014
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Table of Contents
TableofContents........................................................................................................................................2
ListofTables................................................................................................................................................3
ListofFigures..............................................................................................................................................3
Disclaimer......................................................................................................................................................4
ExecutiveSummary...................................................................................................................................5
Communicationplan.................................................................................................................................6
Introduction.................................................................................................................................................7
ProjectOverview........................................................................................................................................8
ProjectGoals..............................................................................................................................................11
ProjectFinalOutcomes.........................................................................................................................12
1. SiteSelectionInnovation.......................................................................................................12
2. CommercialViabilitythroughInnovativeBusinessModel....................................12
3. Technology..................................................................................................................................12
4. Innovativerevenuesharingwithlandowners.............................................................13
DiscussionandAnalysisofresults...................................................................................................14
Achievements............................................................................................................................................15
Articlesontheachievements........................................................................................................15
CommunityPresentations..............................................................................................................15
GreenhouseGasImpacts......................................................................................................................17
ExpectedGHGbenefitsprojectedovera10yearperiod..................................................17
Directimpactsfromimplementationoftheproject...........................................................17
Futureimpactsbasedonmarketadoption.............................................................................17
OverallConclusions................................................................................................................................19
NextSteps...................................................................................................................................................20
CommunicationsPlan...........................................................................................................................21
Abstractandkeywords........................................................................................................................23
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List of Tables
Table1:SummaryofCasesforpotentialfutureemissionreductions.............................19
List of Figures
Figure1:WindSpeedMapforAlberta...........................................................................................18
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Disclaimer
CCEMCandHerMajesty theQueen in right ofAlberta and each of themmakenowarranty,expressorimplied,norassumeanylegalliabilityorresponsibilityfortheaccuracy, completeness, or usefulness of any information contained in thispublication, nor that use thereofdoesnot infringeonprivately owned rights.Theviewsandopinionsoftheauthorexpressedhereindonotnecessarilyreflectthoseof CCEMC and Her Majesty the Queen in right of Alberta and each of them. Thedirectors, officers, employees, agents and consultants of CCEMC and theGovernment of Alberta are exempted, excluded and absolved from all liability fordamageorinjury,howsoevercaused,toanypersoninconnectionwithorarisingoutoftheusebythatpersonforanypurposeofthispublicationoritscontents.
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Executive Summary
TheNon‐ConfidentialFinalReportmeetstheobligationssetoutintheContributionagreement between Climate Change and EmissionsManagement Corporation andEnbridge Blackspring Ridge 1 Wind Project Limited partnership and EEN CABlackspringRidge1WindProjectL.P.
Thiswindfarmprojectis298.8MWlocatednearthetownofVulcan,Alberta.Asof2014,itisthelargestprojectinCanadathisyearandthelargestprojectinWesternCanada. The project consists of 166 Vestas V100‐1.8 MW turbines and providesclean energy to approximately 140,000 households. The project has a 20‐yearagreementwith PG&E for the sale of all Renewable Electricity Certificates (RECs)generated by the project. The project is the largest wind farm developed in aderegulatedmarketinCanadaanddoesnotreceivethebenefitfromaneco‐Energyincentivenoranypowerpurchaseagreement.Theproject isusingaVestasV100‐1.8MW that has been optimized to increase the cut‐out speed. The Project willreducegreenhousegasemissionsbygeneratingelectricitythroughawind‐poweredfacility and thus offsetting the amount of energy produced by fossil fuel basedsources.TheexpectedlifetimeoftheProjectwillbe25years.
Achievementsoftheprojectincludethefollowing: SiteSelectionInnovation–Theprojectutilizedaninnovativestrategyinsite
selection to prioritize transmission over wind resource. This allowed thedevelopertofrontiersunexploredbyotherwinddevelopersinAlberta.Asaresult the project was interconnected using a short transmission build,rather than requiring any large extension of the network, or extensivenetwork upgrades. Blackspring Ridge project was therefore developed 2‐3yearsaheadofotherwindfarmsasaresultofsiteselectioninnovation.
Commercial Viability through Innovative Business Model – The projectachievedcommercialviability throughthe following:SaleofRECstoPacificGasandElectricovera20‐yearperiod,andinnovationinriskreduction.Riskwas innovatively reduced through a collaborative EPC contract withMortenson that understood the project requirements and has extensiveexperience inwind farm construction; and extensivewin‐win negotiationswiththeturbinesupplierthatproducedturbinesthatmatchthewindregimeofBlackspringRidge and is operatingandmaintaining the turbines for thenext20years.
Technology adaptations for the site – These achievements included anincrease in the turbine cut‐out speed for several turbines on the site. Thisenhancement improves the wind farm production. The use of this turbinedemonstratesClassII/IIIwindfarmdevelopmentinAlberta.Thetechnologyadaptation led to an improvement in the expected energy yield from theproject.
Innovative revenue sharing with landowners – The use of an innovativerevenue sharingmodelwith landowners that recognize them as importantstakeholderintheproject.
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Risk sharing–Theprojecthasmitigatedakey riskbyentering into a longterm, multi‐year service and maintenance agreement with the turbinemanufacturer. The project has a production guarantee from the turbinemanufacturer.
PowergeneratedbytheProjectwillbetrackedontheWesternRenewableEnergyGeneration Information System (WREGIS). Over a 10‐year period spanning 2015‐2024, it is estimated that theprojectwill reduceup to5.7million tonnesCO2eofGHGemissioninAlberta.Overa20‐yearperiod,theprojectwillreduceupto10.1million tonnes of CO2e emission reductions averaging reduction per annum of510,000tonnesofCO2e.
The combination of process improvements and innovations with technologyadaptationandintegrationwaskeyinadvancingthisprojectaheadofotherprojectsandalsoimprovingtheproductionfromtheassetsandenhancingtheeconomicsofthe project. These innovations can transform areaswith lowerwind regimes intoworld‐classutility‐scalewindenergyprojectswheremarketpricingforpowerandenvironmental attributes are attractive. The innovations assist in unlocking thevalueofAlberta’suntappedresourcesandfostergeographicdiversityinwindfarmdevelopment in Alberta. This geographic diversity will allow for integration ofadditionalwindresourcesintheAlbertagridbyaddingdiversitytotheproductionprofilesofwindpowerintheprovince.
Communication plan
The communication plan meets the requirement set forth in the ContributionAgreement that requires public acknowledgement of CCEMC in articles publishedand presentation to the public; and the notification to CCEMC communicationpersonnelonmediareleasesthatmentionsCCEMC.The communication plan includes the promotion of the project status throughvariousmediaavenues–newspaperarticles,localpresentations,liaisoncommitteemeetings,andpublicmeetings.
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Introduction
This report meets the obligations set out in Schedule A of the ContributionAgreement dated 19 February 2014 between Climate Change and EmissionsManagement(CCEMC)CorporationandEnbridgeBlackspringRidge1WindProjectLimitedpartnershipandEENCABlackspringRidge1WindProjectL.P.Thisreportalso meets the requirements identified by Alberta Innovates Energy andEnvironment Solutions as part of the requirements of the Non‐Confidential FinalReport.
Thisreportincludes;
(i) a concise summary of what the project has achieved, including adescription of the project, innovative application of technology,geographic innovation, innovative approaches to landownercompensation, financing innovations, innovation in risk reductionandadescriptionofgreenhousegasreductions,
(ii) conclusions and recommendations for further fields of research inquirytogetherwiththestatusofperformanceoftheProjectintermsofprocess,output,outcomesandimpactmeasures,
(iii) a delineation of all Project Technology developed in the course of theProject,
(iv) sufficientdetailtopermitreaderstouseoradapttheresultsforresearchandanalysispurposesandtounderstandhowtheconclusionsarearrivedat,and
(v) a communicationplandetailing how theRecipients intend to publicallycommunicateconcerningtheProject.
This non‐confidential final report is based on the Final Outcome Report withconfidentialinformationremoved.
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Project Overview
The Blackspring Ridge project is a 298.8 MW wind energy project, located insouthernAlbertaon45,000acresofprivatelandunderlease.TheProjectisowned50%by Enbridge Inc. (Enbridge) and 50%by EDF EN Canada Inc. The project ismanagedbyEDFENCanadaDevelopmentInc.(ECDI),awhollyownedsubsidiaryofEDFENCanadaInc.(EDFEN).Asof2014,itisthelargestprojectinCanadathisyearandthelargestprojectinWesternCanada.Theprojectconsistsof166VestasV100‐1.8MWturbinesandprovidescleanenergytoapproximately140,000households.
This site is 260 km2, (48,000 hectares of land) which is much larger than anypreviouswindenergydevelopmentinAlberta.Theprojecthasa20‐yearagreementwith PG&E for the sale of all Renewable Electricity Certificates generated by theproject.Theproject is the largestwindfarmdevelopedinaderegulatedmarket inCanada and does not receive the benefit from an eco‐energy incentive nor anypowerpurchaseagreement.TheProjectreceivedallapprovalsneededtodevelopitspotential including an approval from the Alberta Utility Commission (AUC) toconnecttothenearby240kVtransmissionline.
TheProjecttookanewapproachtodevelopingwindfarms.Insteadofbuildingthefacilitywherethewindpotentialisconsideredthestrongest,theBlackspringRidgeIWind project utilized new technology to use the potential of less desirable windareas. This also allowed the facility to be built near an existing transmission line,which in turn reduced the scope and capital costs of construction. The site mapbelowshowstheturbine locations,collectionsystems,projectsubstation,AltaLinknew240kVtransmissionlineandAltaLinkswitchingstationtoconnecttheprojecttotheexistingtransmissionlines.
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Collectorsystem:BlackspringRidgeWindprojecthastwophases:BSRIAandBSRIBof150MWeach.Eachphasehassixcollectionfeedersconnectingtoitsownmainpowertransformerinthesubstation.The collector system is an underground systemwith one aerial section. The totallengthofthecollectorsystemisapproximately160kmofthree‐phasecircuits.
The typical connectionofwindturbine in thecollectorsystem is illustrated in thefollowing single line diagram. Approximately fourteen (14) wind turbines, ortwenty‐five(25)MW,areconnectedtoonefeeder.Eachfeederisconnectedtothesubstation and can be isolated in case of a failure or preventivemaintenance. Inaddition,eachwindturbineisequippedwithaswitchgearandcanbeisolatedfromthecollectorsystem.
BlackspringRidge485Ssubstation:The 240 kV substation was designed to incorporate the production of the entireproject(300MW).Itisequippedwiththefollowingmajorequipment:
‐ Aslackspanconnectingthesubstationtothetransmissionlinelaststructure.‐ One240kVdead‐tankcircuitbreakerandassociatedswitchesto isolate the
projectfromthegrid.‐ Two (2) 200MVA 240‐34.5kV main power transformers manufactured by
HicoAmerica.‐ At the low voltage side of themain transformers, a 34.5kV circuit breaker
withassociatedswitches.‐ One34.5kVbusbarandassociated circuitsbreakersand switches forboth
1Aand1B,wherethecollectorsystemfeedersareconnected.1042LTransmissionline(byAltaLink):Thetransmissionline1042Lisanew14km240kVlinethatconnectstheTravers554S switching station to the Blackspring Ridge 485S substation. It is a 240kVsingle‐circuit line with 1033.5 MCM ACSR single conductors with an over‐headopticalgroundwireforcommunication.The line was designed to minimise length and landowner impact. Duringconstruction, a helicopterwas used to string the line above identified TraditionalLandUse(TLU)tomitigatetheimpacts.Travers554Sswitchingstation(byAltaLink):The new 240 kV Travers 554S switching substation is dividing the existing line1036L in two circuits and the line between Travers and North‐Lethbridge isrenamedto1041L.Travers554Shasaring‐busconfigurationandisusedtoconnectthenew1042Llinetothegrid.Thesubstationisequippedwiththree300kVcircuitbreaker,switchesandrequiredcommandandprotectionequipment.
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Windfarmcontrolsystem:BlackspringRidgewindfarmisequippedwithamoderncontrolsystemthatallowsthe project to be locally and remotely controlled. The control includes the activepowercontrol,thevoltagecontrol,thefrequencycontrolandthemonitoringoftheentire project. All data collected are stored in a local and remote data historiansystem, in addition to thePhasorMeasurementUnit (PMU) installed asperAESOrequirement.Eachturbineisconnectedviaafiberopticcabletothesubstationcontrolhouse.Asecuredaccesswithamicrowavelinktotheprojectisavailableforremotecontroland monitoring performed by the operator and the owners of the projects. Theprojectisbeingmonitored24/7bytheowneroperationcenter.InordertoprovidetheAESOwithremotecontrolandmonitoring,anotheraccessisavailablewithAltaLink telecomlink.This link isavailable fromtheopticalgroundwireinstalledwiththetransmissionline.At last, thesubstationphysicalaccessandthenetworkaccessaresecuredwithanindustrialsecuritysystemandfirewalls.
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Project Goals
Theproject’sgoalsareasfollows:
1. Speedtodevelopmento SiteSelection Innovation ‐ Innovativestrategy toprioritizeaccess to
transmissionoverwindresource.2. CommercialViabilitythroughanAlternativebusinessmodel:
o Achievecommercialviability throughthegenerationofnon‐emittingrenewableelectricityintheAlbertagridthroughadifferentbusinessmodel.
o Geographicinnovationo Generate emission reductions and sell the environmental attributes
throughacertifiedrenewableelectricitycertificates to theCaliforniamarketplace.
o Financinginnovationo Innovationinriskreduction
3. Adaptedtechnologya. Demonstrate the use of newer technology Vestas V100 – 1.8 MW
turbines in the Alberta wind regime taking advantage of a lessdesirableresourcebyextendingthecut‐outspeed.
4. Co‐operativelandownerarrangement:a. Utilize an innovative approach to landowner compensation to
increaseinvolvementandacceptanceofalarge‐scaleproject.5. Increaseawareness
a. CreateawarenessoftheviabilityofwindpowerinAlbertaunderthesaleofenvironmentalattributestointerestedmarkets.
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Project Final Outcomes
1. Site Selection Innovation
The project utilized an innovative strategy to prioritize transmission over windresource.ThisbroadenedthesitespecificsearchbeyondfrontiersexploredbyotherwinddevelopersinAlbertaandallowedthisprojecttocompletedevelopmentwhileotherprojectsstalledwaitingforexpensiveandtime‐consumingprovinciallyfundedtransmissionupgrades.AltaLinkinterconnectedthesitethroughusingonlya12kmtransmission build, rather than require any large extension of the network, orextensivenetworkupgrades.
Manywindpowerprojectsarestillwaitingontransmissionavailability.Areviewofthe AESO project list shows that likely over 500 MW of projects are waiting ontransmission access for over 7 years, during the same timeframe as thedevelopment of Blackspring Ridge.1 Many of these projects are waiting ontransmissionthatwillnotbedevelopedforover3years.
Result:BlackspringRidgeprojectwasdeveloped2‐3yearsaheadofotherwindfarmsasaresultofthesiteselectioninnovation.
2. Commercial Viability through Innovative Business Model
Theproject,asdemonstratedinthefinancialreportbelow,hasachievedcommercialviabilitythroughthecombinationofthefollowinginthebusinessmodel:
a) Saleofenvironmentalattributes(RECs)toPacificGasandElectricovera20‐yearperiod.
b) Innovation in risk reduction: Reduction in capital costs through thefollowing: collaborative EPC contract with Mortenson to understand theproject requirements for commercial viability; and extensive win‐winnegotiationswiththeturbinesupplier,allowingtheturbinesuppliertoopenrecentlyshutdownmanufacturing facilities in theUnitedStates;mitigationofakeyriskbyenteringintoalongterm,multi‐yearserviceandmaintenanceagreementwiththeturbinemanufacturer;developmentofaprojectincloseproximity to existing transmission facilities and reducing cost ofinterconnection,reductioninoperatingcostbyself‐operatingthefacility.
Result:TheprojectwasacquiredbyEnbridgeandEDFENandconstructed in2013‐2014.Bothownersconsidertheprojectacommerciallyviableinvestment.
3. Technology
V 100 1.8 MW turbine cut‐out speed adapted specifically for the site
TheVestasV100‐1.8MWturbineisdesignedforlow‐windonshoresites.Itfeaturesagreaterrotordiameterenablingittodeliverhigheroutputatlowwindspeeds.Asa result this technology allows for a greater return on investments, even at sites1 http://www.aeso.ca/21648.html
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wherewindpowerplantshavenotpreviouslybeenprofitable.Thebladeshavebeentried and tested in other wind regimes since 2006, however have never beeninstalledinAlberta.ThistechnologyopensupopportunitiesforprojectsinAlberta.
Alberta’sturbineshavelargelybeeninstalledinClassIorClassI/IIregimes.ClassIis thewindiest sites, thosewith an annual averagewind speed of 10m/s at hubheight. Class II is lesswindy siteswith an averagewind speed of 8.5m/s at hubheight. Class III is for even lower awind sitewith an averagewind speed not toexceed 7.5 m/s. Class IV is for very low‐wind speed sites with an average windspeedof6m/sathubheight.TheBlackspringRidgesiteisaClassII/IIIsiteandisoneofthefirstsitesinthisclasstobedevelopedinAlberta.
Cut‐out speed is defined as the speed atwhich the turbine blades are brought torest.TheVestasV100cut‐outspeedhasbeenimprovedonseveralturbinesfortheBlackspringRidgefacility.Thisincreasestheproductionfromthefacility.
Model yields
The wind resource modeling of the wind farm layout was completed using theVestasV100‐1.8MWat standardandat an improvedcut‐out speed.The impactofincreasing the cut‐out speed is higher electricity production since the turbineoperatesatabroaderrangeofwindspeedsaswellasahigherpercentageoftimethat the turbine is operating. This improves the economics as well as the gridintegration since thewindpower is generatedmore often and fewer adjustmentsarerequiredtobemadeonthepartofthesystemoperator.
Thewindturbine,asmodified,resultsinamorepoweroutputfromthesamewindconditionsthantheaverageturbineusedinAlberta.
Result:Thistechnologyadaptationledtoanimprovementintheexpectedenergyyieldfromtheproject
4. Innovative revenue sharing with landowners
The developer wasmindful that success of the venture is only possible with thecooperation of the landowners and the community.Mostwind energy projects inAlbertahaveonlycompensatedlandownersforturbinesinstalledontheirproperty.The developer of Blackspring Ridge noted that this creates a divide betweenlandownerswho have turbines and thosewhomay live in close proximity to theprojectbutwhodonotreceivecompensation.Thedeveloperdesignedauniqueandequitable royalty structure where each landowner among the 45,000‐acre sitesharesinaroyaltypool.Thismodelledtoastronglocalsupportandnolandownerobjections.
Result:Theuseofan innovative revenue sharingmodelwith landowners recognizesthemasimportantstakeholderintheproject.
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Discussion and Analysis of results
Themultipleaspectsofinnovationintheprojecthaveresultedinaprojectthatwasbuiltontime,onbudgetandcommerciallyviable.Noonesingleinnovationcantakethe claim for the result, but rather the combination of all aspectswas key to thesuccess.Thefollowingtablearticulatestheinnovationsandtheircontributiontothefinalresult.
Fasterdevelopment
time
Improvedproject
economics
Increasedenvironmentalattributes
Siteselectioninnovation
Innovativebusinessmodel
Adaptedtechnology
Co‐operativelandownerarrangement
TheaccesstotheCaliforniamarketplaceforsaleofRECswaslimitedandtheBSRprojectwas fortunate to gain access at the time. However, themarket for out‐of‐stateRECshas closed and is not likely to re‐open in the near future. The currentSpecifiedGasEmittersPrograminAlbertadoespayforenvironmentalattributesintheformofCarbonOffsets,howeverthecurrentpricingandtherevocablenatureoftheattributesmakesitdifficulttogenerateattractiveeconomics.
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Achievements
Articles on the achievements
Community Presentations
Theprojectdeveloper,Greengate,hasmadethefollowingpresentationsontheproject.
Presentation Date Stakeholder
PublicOpenHouse 24‐Jun‐08BlackspringRidgeWindProjectLandowners,councilsandresidentsoftheneighboringmunicipalities
VulcanCounty 05‐Mar‐08 VulcanCouncilMeetingwithVulcanCounty
14‐Feb‐08 VulcanCouncil
LandownerPresentation 16‐Nov‐07BlackspringRidgeWindProjectLandowners
VulcanCounty 06‐Nov‐07 VulcanCouncil
EDFENandEnbridgehavemadethefollowingpresentationsontheproject.
Presentation Date Stakeholder
CommunityLiaisonPresentation
December5th,2013
ElectedofficialsandBlackspringRidgeWindProjectLandowners
CommunityLiaisonPresentation July15th,2014
ElectedofficialsandBlackspringRidgeWindProjectLandowners
CommunityLiaisonPresentation August8th2013
ElectedofficialsandBlackspringRidgeWindProjectLandowners
CommunityLiaisonPresentation
April10th,2014ElectedofficialsandBlackspringRidgeWindProjectLandowners
TownofVulcanNewsletter Sep‐13 TownofVulcanresidents
Publication Date Name of Article Reference
The Lethbridge Herald July 16, 2014 Mega‐sized wind farm ‐ Western Canada's largest wind project officially opens east of Carmangay Appendix A
The Vulcan Advocate June 30, 2014 Team effort to finish wind farm ahead of schedule, says spokesman Appendix A
Connaissance des Energies June 25, 2014 Eolien: le vent se leve dans l'ouest canadien Appendix A
The Vulcan Advocate May 30, 2014 Blackspring Ridge Wind Project comes online Appendix A
Wall Street Journal May 30, 2014 EDF EN Canada and Enbridge Announce 300 Megawatt Blackspring Ridge Wind Project Commissioned in Alberta Appendix A
The Vulcan Advocate May 19, 2014 Wind farm connected to grid Appendix A
The Vulcan Advocate November 17, 2013 Blackspring Ridge wind farm update Appendix A
The Prairie Post October 25, 2013 Blackspring Ridge Wind project is underway Appendix A
The Lethbridge Herald September 27, 2013 Vulcan looking to attract investment with private fibre Appendix A
The Vulcan Advocate September 25, 2013 First Turbine up at wind farm Appendix A
The Lethbridge Herald September 17, 2013 Southern Alberta wind farm is well underway Appendix A
The Vulcan Advocate July 3, 2013 Construction well underway at wind farm Appendix A
The Vulcan Advocate May 2, 2013 Blackspring Ridge project to proceed as scheduled, say reps of new owners Appendix A
The Vulcan Advocate April 17, 2013 Selling Blackspring Ridge project "best way forward" for wind farm and region, says Greengate's CEO Appendix A
The Edmonton Journal April 9, 2013 Enbridge, EDF Energies buy $600M wind project near Lethbridge Appendix A
The Calgary Herald April 8, 2013 Enbridge, partner buy big wind power project Appendix A
The Vulcan Advocate April 8, 2013 Greengate Power sells Blackspring Ridge Wind Project Appendix A
The Globe and Mail April 8, 2013 Enbridge, EDF unit buying $600‐million Alberta wind project Appendix A
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VulcanCountyNewsletter Jul‐13 VulcanCountyResidents
BlackspringRidgewindProjectCommunityNewsletter
May‐13
AllhomesinthetownsofPictureButte,IronSprings,Barons,Carmangay,Champion,Nobleford,MossleighandVulcan
BlackspringRidgewindProjectCommunityNewsletter
Dec‐13
AllhomesinthetownsofPictureButte,IronSprings,Barons,Carmangay,Champion,Nobleford,MossleighandVulcan
ProjectUpdateNewsletterandEmail
Jan‐14,Feb‐14,Mar‐14,Apr‐14,Jun‐14
BlackspringRidgeWindProjectLandowners,VulcanCountycouncil,Carmangaycouncil,TownofVulcancouncil
VillageofCarmangay 16‐Jul‐13 CarmangayCouncilVulcanCounty 03‐Jul‐13 VulcanCountyCouncil
LandownerDinner 11‐Jun‐13 BlackspringRidgeWindProjectLandowners
TownofVulcan 27‐Jun‐13 TownofVulcanCouncilVulcanCounty May1st,2013 VulcanCountyCouncil
MLA 13‐Jun‐13 MLAforLittleBow,IanDonovan
BlackspringRidgeCommunityInvestmentFundPublicMeeting
May15,2014 VulcanCountyResidents
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Greenhouse Gas Impacts
AGHGVerificationReportwillbeprovidedbytheRecipientswithinoneyear.
Expected GHG benefits projected over a 10 year period
AGreenhouseGasAssertionreporthasbeencompletedandisattachedtotheFinalOutcomeReportasAppendixB.ThisassertionisbasedontheAlbertaEnvironmentQuantification Protocol for Wind Powered Electricity Generation (March 2008,version1).TheElectricityGridDisplacementFactorhasbeenassessedbasedontheAlbertaElectric SystemOperator LongTermPlan – 2014 to determine the futureemission reductions from the facility. All emission reductions are consideredindirectastheydisplacepowergeneratedfromothersources.
PowergeneratedbytheProjectwillbetrackedontheWesternRenewableEnergyGeneration Information System (WREGIS). All Renewable Energy Certificatesassociated with the project (RECs) each equal to 1 MWh of renewable powergeneration, will be listed on theWREGIS System. Any transfers of ownership orretirementsoftheseRECswillbetrackedontheWREGISsystem.
Over a 10‐year period spanning 2015‐2024, it is estimated that the project willreduceupto5.7million tonnesCO2e theGHGemission inAlberta.Overa20‐yearperiod, the project will generate up to 10.1 million tonnes of CO2e emissionreductionsaveragingover510,000tonnesofCO2ereductionperannum.
Direct impacts from implementation of the project
While these emission reductions are sold to California, the emission reductionsactuallyoccurinAlberta.
Thedirectimpactsfromimplementationoftheprojectincludethefollowing:
10yearperiod:5.7milliontonnesCO2eemissionreductionsinAlberta
20yearperiod:10.2milliontonnesofCO2eemissionreductionsinAlberta
Future impacts based on market adoption
Theimprovementsmadeintheprocessandtechnologyservestoreducethetimetodeployment aswell as the potential deployment. Limitations onmarket adoptioninclude available transmission capacity as well as market factors such as powerpricingandenvironmentalattributepricingsuchascarbonoffsetsorRECs.
CanWEAgeneratedanAlbertawindspeedmap(shownbelow)thatshowsacoarserepresentationofthediversityofwindresourceintheprovince.Themajorityofthelands in the south central part of theprovincehavewind speedsbetween6.0‐7.4m/s. It is these projects that can benefit from an improvement in the turbinetechnology.
Case#1‐UltimatePhysicalPotential
The land thathas thecombinationof similarwindspeedsandsuitability forwindfarm development encompasses approximately 6.7% of Alberta, or potentially
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28,000 MW according to the CanWEA Solas Wind Vision Technical OverviewDocument.
Figure1:WindSpeedMapforAlberta2
An improvement in the capacity factor of 1% as a result of these technical andprocess modifications would result in an increase in electricity production of 9TWh/year.
Thisincreaseinelectricityproductionfromanon‐emittingrenewableenergysourcewould create a reduction of 4.4 megatonnes per year. This assumes that theElectricityGridDisplacementFactorisanaverageof0.49tonnes/MWh,aspertheAESOLTO(2014). Integrationof thismuchwindpower in theAlbertagridwouldnotbereasonablegiventhegridsize,capacitylimitationsandlimitedinterties.
Case#2–WindVisionExpectedCase:
TheWind Vision Technical Overview Document indicated a case with 3,198MWinstalled generating a total of 16.7 TWh compared to the base case of 1,391MWgenerating 4.5 TWh. The incremental capacity installed of 1,707 MW generating12.3TWh.A1% improvement inenergyproductionasa resultof technologyand
2 Wind Vision Technical Overview Document – Solas Energy Consulting Inc. 2012 prepared for the Canadian Wind Energy Association (CanWEA)
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processimprovementswouldgenerateanincremental1.23TWhofenergyannually.Thiswouldequatetoemissionreductionsof621.525tonnesperyear.
Case#3:AESOLTOscenario.
The third scenario studied is using the AESO Long Term Outlook (2014), whichassumes 100 MW growth in the Alberta market for wind power annually. A 1%improvement in energy production as a result of the technical and processimprovementswouldresultincumulativereductionsof338,023tonnesovera20‐yearperiod,or16,901tonnesperyearemissionreductionimprovement.
Asummaryofthesecasesisshownbelowinthetable.Table11:SummaryofCasesforpotentialfutureemissionreductions
CaseName Case#1‐UltimatePhysicalPotential
Case#2‐WindVisionExpected
Case#3‐Minimal–AESOLTO
TotalCapacityInstalledIncremental
28,000MW 1,707MW 100MWperyearover20years(2,000MW)
1%improvementinenergy
9TWh/year 1.23TWh/year Average0.03TWh/year
ElectricityGridDisplacementFactor(Assumedaverageover20years)
0.49tonnes/MWh
0.49tonnes/MWh
0.49tonnes/MWh
EmissionReductions 4,439,467tonnesperyear
621,525tonnesperyear
Average16,901tonnesperyear
Thelikelymarketadoptionsareintherangeof16,901and621,525tonnesperyear.Thiswillbehighlydependenttransmissioncapacityavailabilityandmarketpricingforpowerandenvironmentalattributes,whichaffectthepotential fordeploymentandprojecteconomics.
Overall Conclusions
The project has been successfully built on time and on budget and is currentlyproducing electricity into the Alberta grid and selling RECs into the Californiamarket.
The combination of process improvements and innovations with technologyadaptationandintegrationwaskeyinadvancingthisprojectaheadofotherprojectsandalsoimprovingtheproductionfromtheassetsandenhancingtheeconomicsofthe project. These innovations can transform areaswith lowerwind regimes into
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world‐classutility‐scalewindenergyprojectswheremarketpricingforpowerandenvironmental attributes are attractive. The innovations assist in unlocking thevalueofAlberta’suntappedresourcesandfostergeographicdiversityinwindfarmdevelopment in Alberta. This geographic diversity will allow for integration ofadditionalwindresourcesintheAlbertagridbyaddingdiversitytotheproductionprofilesofwindpowerintheprovince.
Next Steps
The process improvements and innovations will be integrated into bothorganizationsastheycontinuetodevelopcommercialwindfarmprojectsinNorthAmerica.Someoftheprocessimprovementswillbekeyforothertechnologiessuchassolar,hydroandbiomassfacilities.
Thetechnologyimprovementswillberolledoutontheprojectfortheextendedcut‐outspeed.
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Communications Plan
EDF EN and Enbridge, through their manager, ECDI, provides regular reports tocommunity stakeholdersandhasa fiveyearcommunity fundingprogramstarting2014thatsupportvariouslocalcommunityinitiatives.
ECDI, as Manager, implemented a series of initiativesdesigned to foster communication throughout the projectcycles with all stakeholders such as elected officials,businessowners,privatelandownersandlocalcitizens.
These channels of communication led to a better commonunderstanding of the project by the host communities, inaddition to allowing the company to make the necessaryadjustments to ensure an optimal integration of theBlackspringRidgeWindProjectanditsworkforceintothelocal settings of the Village of Carmangay and VulcanCounty.
CouncilPresentations:Numerouspresentationsweremade to thecouncilsof (i)VulcanCounty,(ii)thetownofVulcanand(iii)thevillageofCarmangay.
Newsletters/Community Boards: Since the start of construction, threeBlackspring Ridge newsletters were distributed to all the homes in the towns ofPicture Butte, Iron Springs, Barons, Carmangay, Champion, Nobleford, MossleighandVulcanthroughCanadaPostmaildropcampaigns.
Projectupdateswerealsoprovidedtoourstakeholdersthrough:
Existingcommunitynewsletters
Community boards such as the ones found in Vulcan County and inCarmangay
Letters to all project landowners informing them of special constructionactivitiesordeliveriesintheirarea
Monthlyemailupdatestoallprojectlandownersandsurroundingcouncils.
LiaisonOffice:Aliaisonofficewasestablishedtomeetthecommunityandprojectstakeholdersthroughoutthedevelopmentandconstructionprocessandoperationsphase.Alocalliaisonagentaswellasanexperiencedlandsmanwasmadeavailabletoallproject landownerstoansweranyquestionsorconcerns.Adedicatedphoneline and email address was created to allow for effective and meaningfulcommunicationsbetweentheprojectownersandlocalstakeholders.
BlackspringRidgeIWindProject
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LiaisonCommittee: The first liaison committee meetingwassuccessfullyheldAugust8thattheCarmangaySchoolwith a selected group of project landowners, electedofficials and the Economic Development Officer of theVulcan Business Development Society. The meeting wasfollowedbyasitevisitwiththemembersofthecommitteeand a larger group of guests (elected officials fromsurrounding communities and Lethbridge Collegerepresentatives).
Subsequent Liaison Committee meetings were held on December 5th at theCarmangaySeniorCitizenClubandonApril10thattheCarmangayCurlingRink.
BloodTribe:TheprojectissituatedonthetraditionalterritoryoftheBloodTribe/Kainai and its confederates the Peigan and Siksika. EDF ENCanada and Enbridgecontinued the long history of consultation with the Blood Tribe as the projecttransitionedfromdevelopmenttoconstruction.Inthesummerof2013,membersofthe Blood Tribe, including elders and technicians joined several projectrepresentativestotakepartinablessingceremonyaheadofconstruction.
Duringconstruction,monitorsfromtheBloodTribewereonsitefortheexcavationof15turbinefoundations located innativeprairies.Thosesiteswereofparticularinterests for the Blood Tribe, due to the possibility of vestiges to be discoveredduring thework. Coordinationbetween theCo‐Owners,Mortenson and theBloodTribemonitorswerekeytothesuccessofthisinitiative.
CommunityProjectFunding:This5yearinitiativewaslaunchedinMay2014aftermonths of preparation by the Co‐Owners and Vestas. Community drivenorganizationswillbeabletoapplyforfundingandaselectioncommitteecomprisedofthefundsrepresentativesandlocalstakeholderswillselectandawardthefundseveryyear.
Sponsorships/Donations: In addition to the Community Project fund, EDF ENCanada and Enbridge sponsored or donated to the following various events orcauses:
CarmangayFair&SportsDay
WindEnergySummerDayCampatLethbridgeCollege
RoyalTyrrellMuseumCooperatingSociety
DonationtoVulcanCountyandtheVulcanCountyFireDepartmentfortheirfloodrecoveryefforts
BlackspringRidgeIWindProject
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Media:Workingincollaborationwithlocal,regionalandnationalmediaoutlets,theCo‐Ownerswereabletoensuretheaccuracyoftheprojectinformation.Successfullyutilizingthemediatoprovideaccurateprojectinformationwasacornerstoneofoureducational initiatives. Interviews were conducted with media outlets such asGlobalTV,CTV,TheLethbridgeHerald, theVulcanAdvocate andvarious industrymagazines.
Abstract and key words
Suitableforpublicuse–willbepostedontheCCEMCwebsite