Michigan Energy Forum - Renewable Energy on Brownfields and Landfills - June 6, 2013


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  • This is up from 17 sites generating 92.9 mW in 2010. Some sites have multiple uses.
  • Electric
  • Direct Users
  • Muskegon County is proposing a wind turbine at the closed ash landfill. Eaton Rapids has proposed a solar array to be constructed at their closed landfill. The City of Ypsilanti is proposing a solar array at former City Landfill, and has
  • Michigan Energy Forum - Renewable Energy on Brownfields and Landfills - June 6, 2013

    1. 1. Michigan Energy Forum:Renewable Energy onBrownfields + LandfillsJune 6, 2013
    2. 2. 2Michigan Energy ForumAlternative Energy On Brownfields + Landfills
    3. 3. 3Overview Brownfield: real property, theexpansion, redevelopment, or reuse of which maybe complicated by the presence or potentialpresence of hazardous substance, pollutant, orcontaminant.
    4. 4. 4Today’s Focus Alternative energy development on contaminatedsites……taking underutilized land or buildings andcreating a more productive use.
    5. 5. 5altenerg.comSteel winds, Lake Eriethegreeneconomy.com
    6. 6. 6Why? Liabilities into Assets Higher + better use of land Economic development Existing infrastructure Tackles three challenges: Urban revitalization Toxic waste cleanup Climate change
    7. 7. 7
    8. 8. ©2013 Warner Norcross & Judd LLP. All rights reserved. WNJ.comJune 6, 2013John BylRe-Powering America’s Land:Highlights of the EPA Initiative to DevelopRenewable Energy on Contaminated Sites
    9. 9. ©2013 Warner Norcross & Judd LLP. All rights reserved. Page 9Energy Demand• By 2030 electricity production will need to increase bynearly 30% in the U.S.• To meet this demand, The U.S. will need theequivalent of 320 mid-sized, coal-fired plants• Currently, renewable energy makes up only 2.3% ofU.S. supply There will be a substantial increase in renewable energy Because of this increase, land located in areas with high qualityrenewable energy resources is essential
    10. 10. ©2013 Warner Norcross & Judd LLP. All rights reserved. Page 10Contaminated Sites with RenewableEnergy Potential• There are nearly 490,000 sites making up 15 millionacres of potentially contaminatedproperty, abandoned mines BrownfieldSites, RCRA Sites, Superfund Sites and landfills• Only 917,000 acres of contaminated land haveachieved clean- up goals• Many sites have renewable energy potential
    11. 11. ©2013 Warner Norcross & Judd LLP. All rights reserved. Page 11Using Contaminated Sites for RenewableEnergy Production: Benefits• Leverage Existing Infrastructure Transmission lines: Previous industrial use at many sites provides accesswith no new construction costs Electrical Substations: This important feature of renewable energy mayalready be in place at some sites, saving up to $2.5 million in constructioncosts Water: More likely than open space to have access to water infrastructureand water rights Rail: Many sites are connected to rail systems allowing for efficient deliveryof materials Roads: Sites are usually served by roads capable of meeting the needs ofrenewable energy projects River or Ocean Ports: Some sites are located on sites with ports equippedwith docks and access to ships Buildings: Many sites offer existing structures that can be used foroperations
    12. 12. ©2013 Warner Norcross & Judd LLP. All rights reserved. Page 12Benefits (continued)• Reduce project times throughstreamlined permitting and zoning Properties often have zoning compatiblewith renewable energy facility needs• Gain Community Support Renewable energy creates a win-win forthe community› Reduces Blight› Increases property values and taxrevenue› Provides job opportunities• Protect Open Space By using sites already in place, lesspressure will be put on undeveloped openspace, wetlands, and forests› Some sites offer hundreds or thousandsof acres owned by a single partyWind turbines constructed on the Texaco RCRA site inWyoming. Source: EPA
    13. 13. ©2013 Warner Norcross & Judd LLP. All rights reserved. Page 13Challenges• Recalcitrant oruninterested PRP’s• In some areas, renewableenergy may not be thebest use of the site• Complex Superfundcleanups may haveschedules that are tooprolonged to interest adeveloper in investment
    14. 14. ©2013 Warner Norcross & Judd LLP. All rights reserved. Page 14Highlights of EPA’S Strategy to Expandthe Initiative• Working with the Department of Energy’s National Renewable Energy Lab toidentify Brownfields, RCRA, Superfund and Abandoned mine lands withrenewable energy potential• Outlining state and Federal Incentives for developing renewable energy facilitiesand utilizing contaminated land• Supporting pilot projects that assess potential wind and solar generation potentialat EPA tracked contaminated lands• Promoting Success stories where renewable energy production facilities havebeen sited on contaminated land and mine sites• Seeking input from stakeholders to determine the need for site redevelopmentand reuse tools• Conducting outreach to highlight how the EPA can support renewable energydevelopment
    15. 15. ©2013 Warner Norcross & Judd LLP. All rights reserved. Page 15Financing and Incentives• Federal Financing and Incentives EPA Assessment and Cleanup Grants EPA Revolving Loan Funds HUD Funding Economic Development Administration Investments USDA Financing Options SBA Loan Guarantees Renewable Energy Bonus Depreciation (26 U.S.C. § 168) New Markets Tax Credits (26 U.S.C. § 45D) Production and Investment Tax Credits
    16. 16. ©2013 Warner Norcross & Judd LLP. All rights reserved. Page 16Financing and Incentives• State Incentives (Michigan) No Cleanup Liability for Purchaser because of BEAProcess Brownfield TIF for Certain Expenses, such as DueCare, Demolition, and (if in Core Community) Infrastructureand Site Preparation Expenses Renaissance Zones, although there are very limitedopportunities DEQ Grants and Loan for Environmental Expenses 100% Abatement of Personal Property Taxes in ―DistressedCommunities‖
    17. 17. ©2013 Warner Norcross & Judd LLP. All rights reserved. Page 17Questions & AnswersThank you!John BylWarner Norcross & Judd LLP900 Fifth Third Center, 111 Lyon Street NWGrand Rapids, MI 49503jbyl@wnj.comThese materials are for educational use only. This is not legal advice and does not create an attorney-client relationship.
    18. 18. Michigan Energy ForumJune 6, 2013Landfill Gas UtilizationPresenter: Margie Ring, DEQ
    19. 19. Landfill Gas Usage in Michigan• Currently 37 of 48 active Municipal SolidWaste Landfills have active gas collectionsystems• Three closed landfills also utilize gas• 24 sites generate a total of 156.7 megawattsof electricity• 9 provide methane directly to off-site users• 3 use gas to power leachate evaporators• 6 collect and flare methane
    20. 20. Direct Use• Direct uses of landfill gas include piping gasdirectly to off-site users for power generation.Users include auto manufacturing plants,foundries and municipal governments• Three landfills operate High BTU Plants, whichtreat landfill gas and sell directly to gassuppliers
    21. 21. Landfill Gas Plant Owners andOperators in Michigan• Granger Energy• North American Natural Resources• Fortistar Methane Group• DTE Biomass Energy• WM Renewable Energy• EQ Energy Recovery• Landfill Energy Systems
    22. 22. Landfill Gas Plant Owners andOperators (cont.)• Ameresco• Shaw Environmental• Horizon LFG• City of Midland• Muskegon County
    23. 23. Brownfield Projects• DEQ is not aware of any active brownfieldredevelopment projects with a renewableenergy component.• However, three projects have been proposedat closed landfills – two solar arrays and onewind turbine
    24. 24. About Granger• Waste Services– Hauling—Est. 1966– Landfills (two)—Est. 1973 & 1984– Recycle—Est. 1989– Compost—Est. 1992• Energy Services– Electric—Est. 1990– Energy—Est. 1996• 220 Associates– Headquarters and main operationslocated in Lansing, Michigan
    25. 25. Granger collects tomorrow’senergy. We provide waste hauling,disposal and recycling servicesand produce renewable energyfrom landfill gas.
    27. 27. Landfill gas has ½ theBtu value of natural gas.It is a worthyenergy RESOURCE.
    28. 28. About Landfill Gas• Landfill gas is created from thedecomposition of material in landfills• The quantity and quality is influencedby; types and age of waste, theamount and types of organicwaste, and moisture content• Comprised of about 50% methane(CH4) and 50% carbon dioxide (CO2)and small amount of non-methaneorganic compounds (NMOC)
    29. 29. Production Benefits• 24/7/365 base load capacity• Reliable and available• Immediate source with no reservecapacity requirements• Long-term source – landfillsproduce gas at least 20-30 yearspost-closure
    30. 30. Community Benefits• Landfill gas use can create jobs associatedwith the design, construction and operation ofenergy recovery systems.– 70 FTE jobs created per each 3 megawattproject• Landfill gas projects involveengineers, construction firms, equipmentvendors and utilities or end-users of the powerproduced.• Businesses are also realizing the cost savingsassociated with using landfill gas as areplacement for fossil fuels, such as naturalgas.• Economic development opportunities andinvestment in community.– $1.7 million per megawatt to developSource: EPA
    31. 31. Jeremy McCallion Regional DirectorRenewable Energy: Brownfield SitesRegional DirectorJeremy McCallion
    32. 32. Jeremy McCallion Regional DirectorRe-Powering America Results• Since 2008, a compound annual growth of 40%• Portion of RE is small, shows mark growthSource: EPA
    33. 33. Jeremy McCallion Regional DirectorRe-Powering America Results• Majority of installations PV• Variety of ownership types• No installations in MISource: EPA
    34. 34. Jeremy McCallion Regional DirectorLocal Examples• Match RE-Powering America’s findings• Building specific Renewable Energy• Buildings also include variety of energyefficiency and sustainability features• Maximize federal and local tools
    35. 35. Jeremy McCallion Regional DirectorPiquette Square, Detroit, MI• 2011 Phoenix Award for NationalCommunity Impact• 4 Story, 150 unit apartment complex inNew Center• Provide homeless veterans withpermanent housing• Previous Studebaker Plant with over 80year of manufacturing and industrial use• Developed and managed by SouthwestSolutions. Built by O’Brien Construction• Variety of partners• Grants, loans, tax credits, bond funding ..
    36. 36. Jeremy McCallion Regional DirectorPiquette Square, Detroit, MI• Energy Efficiency• Windows with insulated glass• PVC membrane roofing• Super insulated walls and ceilings• Electrical fixtures and lightingcontrol system• Geothermal System• ―Hybrid‖ system• 4 pipe distribution system• Provide simultaneous heating andcooling water giving each residentability to control apartment settings• Other Features• Low VOC paints and products• Recycled content carpet• Within walking distance to publicamenities
    37. 37. Jeremy McCallion Regional DirectorFounders Landing, Marquette, MI• 29 acres with 3,600 linear feet of LakeSuperior Shoreline in downtownMarquette• Heavy industrial use for over 150 years• Mixed-Use Development• 2 to 3 story condos up to 5 stories• Suite Hotel• Commercial office and retail• Waterfront boardwalk• Walking/biking trails• Variety of partners• Local bonds, general fund andsupport, state and federal grants and taxincrement financing
    38. 38. Jeremy McCallion Regional Director• Energy Efficiency• Windows with insulated glass• Natural lighting• Natural ventilation• Hot air rise and exhausted and cool airredistributed• Super insulated walls and ceilings• Electrical fixtures and lightingcontrol system• Storm water infiltration and greywater reuse• Renewable Energy• Utilize natural ventilation from LakeSuperior• Passive Solar for pool• Passive solar collection / winterreflectance• PV on roofFounders Landing, Marquette, MI
    39. 39. Jeremy McCallion Regional DirectorSummary• New construction energy efficiency andrenewable energy is a viable option onbrownfield sites• Enables access to a variety of redevelopmentand energy incentives• Increases Return on Investment over life cycleof building ownership• Local support critically important
    40. 40. Jeremy McCallion Regional DirectorQuestions and AnswersJeremy McCallion, Regional DirectorAKT Peerless157 E. HooverAnn Arbor, MI 48104248-302-3038mccallionj@aktpeerless.com
    41. 41. Next Michigan Energy ForumEvent:September 12, 2013Energy Management Technologies