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HomeMy WebLinkAbout~Master - Contract for Evaluations of Combustion Turbine No. 2 Heat Recovery Steam Generator Concept RESOLUTION NO. 22-655 RESOLUTION AWARDING CONTRACT FOR EVALUATION OF COMBUSTION TURBINE #2 HEAT RECOVERY STEAM GENERATOR CONCEPT FOR THE ELECTRIC SERVICES DEPARTMENT FOR THE CITY OF AMES,IOWA WHEREAS, the City's Electric Utility operates two combustion turbines (CTs) at the Dayton Avenue substation. CT#2 was installed in 2005 and is capable of generating 29 megawatts of electricity. These CTs operate by firing fuel oil to rotate a turbine, which is connected via a shaft to a generator. With some infrastructure modifications, the units could be converted to operate using natural gas. These units are used at times of peak electric demand, for backup when other infrastructure has failed,and to meet the utility's obligation to have generation capacity equal to 110% of its historical peak electric load; and, WHEREAS,both existing CTs are a simple-cycle design,meaning the heat generated from the combustion process is exhausted to the atmosphere; only the rotational energy of the turbine is used to generate electricity. This contrasts with a "combined-cycle" process, where the energy from the exhaust gas heat of combustion is extracted and used to increase the total power output of the unit, thereby decreasing the cost to produce energy; and, WHEREAS, the generator component of CT #2 has a greater potential capacity than the turbine that turns it. Staff believes it may be possible to move CT#2 near the current Power Plant, construct a waste-to-energy boiler and steam generator as envisioned in Option 2A, and use the exhaust gas heat from CT #2 to generate additional steam and produce more electricity. The generator could also be turned using the existing combustion turbine, either independently or at the same time as the waste-to-energy boiler is operating; and, WHEREAS, more study is necessary to determine the technical and financial feasibility of this potential project. Therefore, staff issued a Request for Proposals for a detailed evaluation to be undertaken by an engineering firm. Five proposals were received. An evaluation team was formed to review proposals and score on qualifications; price was not a factor in scoring the proposals; and, WHEREAS,after evaluating the proposals, staff determined that the proposal from Sargent & Lundy, LLC, Chicago, IL, demonstrated the best project understanding and presented the best qualified professionals for the project. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Ames, Iowa, that award of contract for evaluation of the feasibility of a Combustion Turbine#2 Heat Recovery Steam Generator Concept to Sargent & Lundy, LLC, of Chicago, Illinois, in an amount not to exceed $69,500, is hereby approved. ADOPTED THIS 201h day of December, 2022. e4 W- 410e 4�� Renee hall, City Clerk John A. Haila, Mayor Introduced by: Betcher Seconded by: Corrieri Voting aye: Beatty-Hansen, Betcher, Corrieri, Gartin, Junck, Rollins Voting nay: None Absent: None Resolution declared adopted and signed by the Mayor this 201h day of December, 2022.