1. Alternative Energy Supplement Design Dec07-04 Client: Mary Elizabeth and Colin Chinery Advisors: Professor John W. Lamont and Professor Ralph Patterson III Team Members: Matthew Kelly (Team Leader) Aaron Kulow Daniel Rathe (Communications Director) Joshua Riley

2. Problem Statement Reduce client’s energy bill Current Energy Costs to Client –$0.1024/kWh for first 1100 kWh/month $0.0724 for additional kWh –Natural Gas $0.1697/Therm Use alternative energy systems –Wind –Solar Projections –Energy use –Energy production –Future building plans(from Professor Patterson) Determine mode of operation for alternative energy system Economic analysis program to compare different systems

3. Concept Sketch

4. System Block Diagram

5. Project Requirements Recommend system Compare different systems Life Cycle, Cost, Production, Maintenance, Warranty, Contractor Select mode of operation for the system Stand Alone Independent of the grid Always meets full load Store energy Primary Connected to grid Provides more than half of consumed energy Secondary Connected to grid Provides less than half of consumed energy No Change

6. System Requirements 60 Hz 120 Volts 0-3500 kWhrs per Month Automatic Protection from back-feeding to grid during an outage(if primary/backup) Package deal All installation work done by one General Contractor May have sub-contactors All system components must be compatible Available for installation in Iowa

7. Geothermal System Types of geothermal systems Installation contractors in area Information to obtain from installation contractors Financial incentives offered by utility companies

8. Operating Environment West of Ames, IA -30 to 120 degrees F Snow, high wind, ice Unobstructed pasture area available north of acreage Unavailability of flowing stream or pond

9. System Testing Track financial savings Actual power output Proper installation –Grounding –Automatic disconnect from utility if power is lost –Structural stability –Starting and stopping of turbine Monitoring of system performance

10. Economic Analysis Block Diagram

11. Economic Analysis Functional Requirements Final cost/savings of system Have 5 step/percent changes in usage Have gradient for cost increase of energy Incorporate time-value of money Financing options/incentives/tax breaks Calculate break even year

12. Monthly Energy Output x =

13. Program Inputs System and tower Rate structure Energy consumption Future increases in energy consumption Inflation Loan information Default inputs to Chinery data

14. Program Outputs

15. Program Testing Vertical wind speed profile –Compare with Iowa Energy Center Wind speed probability distribution –Weibull shape and scale parameters –Compare with Rayleigh distribution Monthly energy output—Compare with manufacturer’s estimated output Verify economic analysis results by independent calculations User interface testing Sanity checking for valid user inputs

16. Deliverables Economic Analysis Program –Excel financial spreadsheet –User Manual Recommended System Vendor list Manufacturer spec sheet

17. TotalEstimated HoursActual Hours% Complete Budgeted Costs of Work Scheduled Problem Definition 52.597.5100%$525 Technology Selection 566.4143.2590%$5,664 End Product Design 108168.598%$1,080 Project Reporting 257.9206100%$2,579 Overall984.8615.25$9,848 Earned Value Analysis

18. Total Budgeted Costs of Work Performed Actual Costs of Work Performed Cost Performance Index Schedule Performance Problem Definition $525$97554%100% Technology Selection $5,098$1,433356%90% End Product Design $1,058$1,68563%98% Project Reporting $2,579$2,060125%100% Overall$9,260$6,153151%94% Earned Value Analysis

19. Conclusions A working economic analysis program has been created in Excel Recommendations –No alternative energy system for power Future Work –Inclusion of insurance costs –Addition of systems –Inclusion of hybrid system –Pursue grants