December 1998

The Official Newsletter of International District Energy Association Volume 14 Number 5

Blue Lake Signs Long Term Chilled Water Service Agreement with Trigen-Cinergy Solutions

Blue Lake announced that it has signed a twenty year contract with Trigen-Cinergy Solution (T-CS) of Boca Raton, LLC, which will provide chilled water and HVAC services at Blue Lake Corporate Center, a two million square foot business park in Boca Raton. T-CS expects to assume responsibility for the operation of an existing 10,225-ton chiller plant on January 1, 1999. Terms of the transaction were not disclosed.

Blue Lake Director Lawrence DeGeorge said, "T-CS will make capital investments including installation of a high efficiency chiller, improvements to control systems and installation of variable speed pumping systems to improve efficiency and reliability of the chiller plant and associated auxiliaries." T-CS will be providing chilled water to Blue Lake and to tenants of the office complex. In addition, T-CS will provide electric metering services and operation and maintenance service for Blue Lake HVAC systems, including air handling units, fans, ductwork, controls and other equipment.

"This recent development at Blue Lake is a continuation of the commitment we have made to offer our tenants improvements which represent the latest in cutting edge technology," said Blue Lake Director Michael D. Masanoff. "Our goal is to offer standards of service which are unequaled in this industry."

Steve Harkness, chief operating officer for T-CS said, "This agreement allows us to move beyond the meter and provide integrated energy services, thereby freeing our customer and their tenants to focus on their core businesses. Blue Lake and its tenants benefit from our extensive experience throughout the country and our ability to offer cost competitive energy."

US Participates in International Energy Agency Meeting

The US is once again represented in the International Energy Agency (IEA) Program of Research, Development and Demonstration on District Heating and Cooling. At the November meeting of the program's Executive Committee in Stockholm, Sweden, Michael Karnitz represented the US Department of Energy and Mark Spurr represented IDEA courtesy of Kattner/FVB District Energy Inc. The meeting included a review of current projects including work on new material and construction methods for reducing distribution costs, optimizing district heating temperatures and appraising the benefits of low temperature hot water systems, integrating and balancing demands for heating and cooling, and analysis of pipe fatigue. For further information contact Mark Spurr at 612-607-4544 or mspurr@kattnerfvb.com.

EIA Releases Report

On November 17, the Energy Information Administration released the reference case forecasts of its "Annual Energy Outlook 1999" in which it projected that CO2 emissions from energy use in the U.S. would increase 33% over 1990 levels by 2010 and by 47% by 2020. They would reach 1,790 million metric tons (MMT) in 2010 and 1,975 MMT in 2020 compared with 1,346 MMT in 1990. The projections, which assume current laws and regulations, show that growing energy demand and a decline in nuclear electricity generation are met mostly by fossil fuels, with renewable energy consumption increasing at an average annual rate of only 0.8% through 2020. EIA also projects oil imports to continue to rise, with net oil imports providing 65% of U.S. consumption in 2020, up from 49% in 1997. Further information can be found at EIA's web site: http://www.eia.doe.gov/oiaf/aeo99/earlyrel.html.

EPA Calls for State Implementation Plans to Reduce NOx

The Environmental Protection Agency (EPA) is requiring 22 states and the District of Columbia to submit State Implementation Plans (SIPs) that address the regional transport of ground-level ozone through reductions in nitrogen oxides or NOx. This rule, commonly know as the "NOx SIP Call," is part of EPA's response to petitions filed by eight northeastern states seeking to reduce ozone across state boundaries.

EPA will require states to submit implementation plans by September 1999, and implement the controls they choose by May 1, 2003. EPA also proposed federal requirements to reduce regional ozone transport in these states if any state does not submit the required SIP provisions in response to the NOx SIP call.

The SIP call affects the following states: Alabama, Connecticut, District of Columbia, Delaware, Georgia, Illinois, Indiana, Kentucky, Massachusetts, Maryland, Michigan, Missouri, North Carolina, New Jersey, New York, Ohio, Pennsylvania, Rhode Island, South Carolina, Tennessee, Virginia, Wisconsin, and West Virginia.

The final rule does not mandate which sources must reduce pollution. States will have the ability to meet the requirements of this rule by reducing emissions from the sources they choose. However, utilities and large non-utility point sources (power plants over 25 Mwe or boilers over 250 mmBtu/hour fuel input) would be one of the most likely sources of NOx emissions reductions and are the focus of the default federal requirements.

IDEA is working with EPA staff to assist them in developing an allocation process
that effectively recognizes the emission reductions achievable with district energy systems.

The final rule includes a model NOx Budget Trading Program so that the most cost-effective approach can be taken to achieving the reductions. EPA established NOx budgets (that apply to the summer ozone season) for each state by determining the amount of NOx emissions that would remain after application of highly cost-effective controls to utilities and other sources of NOx.

A key issue is the process for allocating NOx emission credits. For now, EPA has proposed that this be done on the basis of fuel input. However, EPA is interested in approaching the allocation process based on energy output and will develop guidance on issuing output-based allocations for the NOx trading program. IDEA is working with EPA staff to assist them in developing an allocation process that effectively recognizes the emission reductions achievable with district energy systems.

For further information, contact IDEA Legislative Director Mark Spurr at 612-607-4544. You can download the final NOx SIP Call and the two proposed actions from EPA's web site on the Internet at the following address: http://www.epa.gov/airlinks.

CHP Challenge Issued in US

The U.S. Department of Energy (DOE) December 1 announced a goal of doubling the nation's use of combined heat and power (CHP) technologies by 2010 through its CHP Challenge program -- a move aimed at helping the United States meet its emission reduction obligations under the Kyoto Protocol.

Currently about 9.5 percent of the nation's power is produced by CHP systems. "If that amount is double under DOE's CHP Challenge, U.S. carbon emissions would drop by 40 million metric tons, a figure equivalent to the output of 50 medium-sized power plants or eliminating 40 million cars from U.S. roadways," said the Honorable Dan Reicher, DOE assistant secretary for
energy efficiency and renewable energy.

The announcement was made during the CHP Summit held December 1 in Arlington, Virginia. Sponsored by DOE's Office of Energy Efficiency and Renewable Energy, the summit was a forum for CHP industry stakeholders on overcoming barriers to widespread use of CHP technology. Reicher chaired the meeting, saying now is the time for industry and government to come together and act.

The DOE is planning a series of promotional seminars on CHP across the country in coordination with the recently formed U.S. Combined Heat and Power Association, a national association of energy consumers, system owners, equipment manufacturers and environmental groups. The summit also served as an organizational meeting for the new CHP association, of which IDEA is an associate member. IDEA President John Fiegel attended the organizational session. "We wish the U.S. CHP Association every success as it works to achieve its goals," said Fiegel. "Advancing the use of CHP is certain to benefit district energy as well."

District energy's vital role was an important theme at the summit, with several IDEA members participating as speakers and panelists. IDEA board member David Johnson from the University of California at Los Angeles presented UCLA's experience in implementing a landfill-methane-fired CHP system. Former IDEA president, Tom Casten of Trigen Energy Corp., served as moderator for a panel that included Stephen Connors from Massachusetts Institute of Technology. Michael Wiggin from CANMET was the luncheon speaker, followed by Mark Spurr, IDEA's legislative director, who participated in the session on "The Role of Technologies/Systems in Fostering CHP." Spurr addressed the important role district energy can play in facilitating not only CHP, but also the recovery of a variety of waste-heat sources. Gordon Bloomquist, chair of IDEA's government relations committee, was a panelist discussing CHP and district energy from the state government perspective.

Swedish Association Holds Seminar on District Cooling

The Swedish District Heating Association (SDHA) conducted a one-day district cooling seminar in Stockholm during November. Participants from the US included: Mark Spurr of Kattner/ FVB, with a presentation on Marketing District Cooling; Jerry Pittman of Kattner/FVB, who discussed Ice Thermal Storage; and Anders Rydaker of District Energy St. Paul, who addressed Customer Issues and Design Criteria. Other presentations included reports on sea water and lake water cooling in Sweden, chilled water storage in Paris, absorption cooling projects in Germany, gas turbine inlet air cooling, ice slurries and aquifer storage. The cooling seminar was conducted in conjunction with the SDHA's district heating trade show.

12th Annual College/University Conference Quickly Approaching

Make your plans now to attend the 12th Annual College/ University Conference, February 10-12, 1999 in New Orleans, Louisiana. Joel Chatelain, Conference Chairman and Peter Cooper, Technical Chairman have put together a fantastic schedule of events and technical papers. You should have received your preliminary program and registration brochure in the mail. Be sure and send your registration in before January 22 to save $30!

For the fourth year, table top exhibits will be at the Conference. Take advantage of the opportunity to meet with some of the best suppliers to our industry.

Available sponsorships are listed on the right. Don't miss this opportunity to reach your clients by showing your support of this conference and the industry through a sponsorship!

See you in New Orleans!!!

Sponsorship OpportunitiesIDEA 12th College/University Conference

Hosted by LSU Medical Center
February 10-12, 1999 * Chateau Sonesta Hotel * New Orleans, Louisiana

Refreshment Breaks: There are three refreshment breaks during the conference (Thursday morning and afternoon, and Friday morning). Breaks include coffee, decaffeinated coffee, tea, and either juices or sodas. $500 each

Conference Program: Sponsorship of the conference program will include an advertisement on the back cover of the final program distributed to all of the attendees at the conference. $500

Breakfasts: Two continental breakfasts (Thursday and Friday mornings) are available for sponsorship. Breakfast will include
pastries, juice, and coffee. $1,500 each

Luncheons: There are two luncheons (Thursday and Friday). Attendees will enjoy a hot, three-course, sit-down lunch. Any keynote speeches will be given during this time. $2,000 each

Welcoming Reception: This reception will be held on Wednesday evening to welcome attendees as they arrive in the hotel, before dinner on their own. Refreshments will include beer, wine, soft drinks, and light hors d'oeuvres. $1,500

Thursday Evening Reception: This reception will be held Thursday evening and will allow conference attendees to continue discussions they began during the technical sessions. The reception will include a variety of cold and hot hors d'oeuvres and a host bar. $3,000

For any event selected, sponsors will receive a sign at the function designating the sponsoring company, mention in the IDEA newsletter, and their name in the conference program. Please contact Marie Williams at IDEA if you are interested in sponsoring an event, (202) 429-5111.

Combined Heat and Power Can Help UK Meet Kyoto Commitments Says Meacher

Combined Heat and Power makes a vital contribution to meeting the UK's climate change targets. The Government has therefore made special provisions for the assessment and approval of good-quality CHP projects under the stricter consents policy for gas generation as part of its Review of Energy Sources, Environment Minister Michael Meacher said.

Speaking to the Combined Heat and Power Association's Conference in London last month, Mr. Meacher outlined the importance the CHP.

"There is an excellent story to tell on CHP. The UK's CHP capacity has doubled in the last ten years to almost 4000 MW. It's now reducing energy costs by over 2 billion pounds and cutting CO2 emissions by around 5 million tons of carbon a year. We want to at least double CHP capacity again in the coming decade, so that we enjoy even greater benefits."

Trigen & Conectiv Energy Form Alliance to Serve Philadelphia
Energy Market

Trigen Energy Corporation announced the formation of an alliance between its wholly owned subsidiary, Trigen-Philadelphia Energy Corporation, with Conectiv Energy, a Conectiv subsidiary to jointly market energy products and services in the Philadelphia area.

Under terms of the alliance, Trigen will endorse Conectiv Energy as its preferred electric generation supplier to its customers and Conectiv Energy will endorse Trigen as its preferred thermal energy provider to its customers. The companies will also jointly market energy services and value added products on a project specific basis.

"This alliance will allow customers to obtain reliable,
quality products and services from two leaders in the industry."

"This means Conectiv Energy is able to provide energy and energy related services to a wider range of customers in southeastern Pennsylvania," said Marianne Abdul, energy manager with Conectiv Energy. "This alliance will allow customers to obtain reliable, quality products and services from two leaders in the industry."

The Pennsylvania Electric Choice Program, designed to provide lower cost electricity to customers in the Commonwealth, has also opened opportunities for companies to establish new product lines.

Conectiv Energy and Trigen have found alliance partners whose respective corporate cultures, product lines and talents complemented each other. "The names Trigen and Conectiv are synonymous with quality service and a value-priced product," said Kevin E. Brown, Trigen-Philadelphia's vice president of marketing and business development. "We look forward to providing our customers with an array of new products."

DTE Energy Subsidiary to Provide Heating, Cooling for Detroit Riverfront Landmark

A DTE Energy Services subsidiary has signed a 20-year agreement with General Motors Corp. to design, build, own, operate and maintain a facility to provide the heating and cooling needs of Renaissance Center, including the four towers of Phase 1, the Westin Hotel and the ANR Pipeline Co. Towers. The Renaissance Center, a key element of Detroit's skyline and waterfront, contains General Motors Global Headquarters.

DTE Energy Services will begin providing service to the Renaissance Center in April 2000 following construction of the new facilities. DTE Energy Services will build a chilled water facility in level B of the podium structure below Renaissance Center to provide air conditioning and will purchase steam from Detroit Edison's Thermal Energy system in downtown Detroit for resale to GM.

The installation will support General Motor's renovation of the Renaissance Center for its global headquarters and removal of large -- and many say unsightly -- earthen and concrete beams that now contain heating and cooling equipment.

The DTE Energy Services installations will provide up to 14,000 tons of chilled water for cooling and up to 200,000 pounds per hour of steam for heating.

Conference Update...

Are You Prepared?

We're only seven months away from the International District Energy Association's 90th Annual Conference and Trade Show

District Energy and the Environment: Preparing to Enter a New Millennium

Boston Park Plaza Hotel * June 12-15, 1999

We would like to thank the following companies for their commitment to exhibit at the Annual Conference:

(*Indicates companies who also have a tabletop exhibit at the IDEA 12th Annual College/University Conference
that will take place February 10-12, 1999, at the Chateau Sonesta Hotel in New Orleans, Louisiana.)

There are still exhibit and sponsorship opportunities available for this conference.
To secure a sponsorship, please contact Marie Williams at (202) 429-5111.
For information on exhibiting at IDEA's conference, contact Tammie Jackson at (301) 464-0059.

Adams Valves, Inc.
*Alfa Laval Thermal, Inc.
Ashland Chemical Co./Drew Industrial Div.
*Baltimore Aircoil Co. Carrier Corporation
Carter & Burgess, Inc.
*CES/WAY International, Inc.
Chemworks Filtration
Consolidated Energy
*Controlotron Corp.
*DriTherm, Inc.
EVAPCO, Inc.
Flow Control Industries, Inc.
Kattner/FVB District Energy, Inc.
Kerotest Manufacturing Corp.
Marley Cooling Tower Co.
*Nalco Chemical Co.
*Nova District Energy Services, Inc.
*Perma-Pipe, Inc.
R.G. Vanderweil Engineers
*RMF Engineering, Inc.
*Rovanco Piping Systems
*Spence Engineering Co.
*Thermal Science Technologies
*Thermo Power Corporation
*The Trane Co.
Tuthill Corp./Murray Turbomachinery Div.
*Urecon, Ltd.
U.S. Water Services
Yokogawa Corporation of America
York International Corp.

Calendar of Events

12th Annual IDEA College/
University Conference
February 10-12, 1999
Chateau Sonesta
New Orleans, Louisiana
Contact: IDEA, (202) 429-5111

IDEA Safety, Environment & Operations Workshop
February 11, 1999
Chateau Sonesta
New Orleans, Louisiana
Contact: IDEA, (202) 429-5111

IDEA Marketing Workshop
March 11-12, 1999
Denver, Colorado
Contact: IDEA, (202) 429-5111

CDEA Conference & Trade Show
April 14-16, 1999
Casino Windsor
Windsor, Ontario, Canada
Contact: Chuck Stoffle,
888-366-0357

90th Annual IDEA
Conference & Trade Show
June 12-15, 1999
Boston Park Plaza Hotel & Castle Boston, Massachusetts
Contact: IDEA, (202) 429-5111

EuroHeat & Power, Unichal Annual Congress
June 14-16, 1999
Sheffield, England
Contact: CHPA Services,
+44 171 828 4077

14th Annual IDEA Cooling Conference
October 6-8, 1999
Atlantic City, NJ
Contact: IDEA, (202) 429-5111

We hope you will join us in welcoming
the following new members of IDEA!

Thomas M. Hagge, P.E.
Associate Director for Utilities
Texas A&M University
F.E. Box 275
College Station, TX 77843
409-845-1210
409-845-0051 fax
E-mail: thagge@utilities.tamu.edu

Charles Darnell
Assistant Director for Utilities
(Business & Energy)
Texas A&M University
F.E. Box 275
College Station, TX 77843
409-862-4470
409-845-0051 fax
E-mail: cdarnell@utilities.tamu.edu

John R. Puskar
CEC Consultants
6907 Brookpark Rd.
Cleveland, OH 44129
216-749-2992
216-398-8403 fax
E-mail: cec@apk.net
URL: www.cec-consultants.com

Joseph Migliosi
Cleveland State University
1802 E. 25th Street
Cleveland, OH 44114-4496
216-687-2520
216-687-9346 fax

Thomas Cowing
Asst. Director for Engineering &
Utilities
University of Colorado at Boulder
Department of Facilities Management
Campus Box 53
Boulder, CO 80309-0053
303-492-5684
303-492-2921 fax
E-mail: cowing@colorado.edu
URL: www.fm.colorado.edu/welcome.html

People in the News

District Energy St. Paul Hires New Vice President & New Director of Operations and Engineering
District Energy St. Paul announces the hiring of Doug Maust as Vice President of Development. Prior to joining District Energy, Maust spent 18 years with Ellerbe Beckett, Minneapolis, designing mechanical systems for large and small commercial and institutional projects, including the Master Plan for the district cooling system serving downtown St. Paul. Maust has a Master of Science degree in Architectural Engineering from Pennsylvania State University and is a graduate of the Minnesota Executive Program at the Carlson School of Management. He is a registered Professional Engineer in more than 15 states.

District Energy has also hired Michael J. Burns as Director of Operations and Engineering. Prior to joining District Energy, Burns spent 10 years with Unicom Corporation/ComEd in Illinois. Burns has a Bachelor of Science degree in Mechanical Engineering from the University of Notre Dame and a Masters of Management degree from Northwestern University.

Trigen CEO Publishes Book
Thomas R. Casten, founder and CEO of Trigen Energy Corporation has published "Turning Off the Heat," a look at the future of energy efficiency and global warming. For information on how to purchase this book, contact Prometheus Books at 800-421-0351 x214.

District Energy Now is a monthly
publication of the International
District Energy Association.

Marie Williams, Editor

Barbara Erickson, Graphic Designer

All copy and correspondence
should be sent to:

1200 19th Street, N.W., Suite 300
Washington, DC 20036-2422

(202) 429-5111 phone
(202) 429-5113 fax
e-mail: idea@dc.sba.com

http://www.districtenergy.org

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