The U.S. Department of Energy has tasked Ameresco Federal Solutions Inc. of Knoxville, Tennessee, with the department’s largest Energy Savings Performance Contract (ESPC) to construct one of the largest biomass facilities in the country at the Savannah River Site. The USD 795 million project replaces a deteriorating, inefficient coal powerhouse and oil-fired boilers at a savings of USD 34 million a year in energy and operation and maintenance costs and reduces air emissions, including 100,000tpy of greenhouse gas emissions. DOE’s Office of Environmental Management brokered the ESPC agreement that makes a significant contribution to the Department’s Transformational Energy Action Management goal of reducing energy intensity by 30% and water intensity by 16% by the end of fiscal year 2015. ESPCs are contracts in which private companies finance, install and maintain new energy- and water-efficient equipment in federal facilities. The government pays no up-front cost, therefore saving taxpayer dollars. Ameresco is also constructing a steam cogeneration plant and installing two steam boilers and will be reimbursed from actual cost savings generated during the 15-year debt service payback period. The energy savings will result from replacement of the Site’s inefficient D Area Powerhouse with a high-tech biomass facility, fuel switching – coal to biomass, and improved operational efficiencies with new equipment better matched to SRS’ load requirements. After the contract ends, all additional and continuing cost savings accrue to DOE. Construction of the cogeneration facility is anticipated to start in August, and it should be operational by December 2011.
