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Environmental, Engineering and Pre-Construction Cost Considerations for Wind Power Development. Anntonette Alberti, JD Tetra Tech IPED Financing Wind Power July 25, 2007. Introduction to Tetra Tech. 7500 employees and 250 offices nationwide Full service wind energy contractor

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Environmental, Engineering and Pre-Construction Cost Considerations for Wind Power Development

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Environmental engineering and pre construction cost considerations for wind power development l.jpg

Environmental, Engineering and Pre-Construction Cost Considerations for Wind Power Development

Anntonette Alberti, JD

Tetra Tech

IPED Financing Wind Power

July 25, 2007


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Introduction to Tetra Tech

  • 7500 employees and 250 offices nationwide

  • Full service wind energy contractor

    • Environmental

    • Engineering

    • Construction

    • O&M

  • Over 70 wind projects for about 30 clients across the US

    • Our current projects range from:

      • Drafting the American Wind Energy Association (AWEA) Environmental Siting Guide with Nixon Peabody

      • Turnkey meteorology, engineering design and environmental permitting of a 300 to 500 MW facility on Lanai with AWS

      • Civil construction of several New York State wind farms

      • Offshore wind


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Presentation Goals

  • Provide an overview of the steps associated with developing a wind power project

  • Identify aspects of development that can affect overall costs of construction


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Anatomy of a Wind Project


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Components of a Wind Project

  • It is not just turbines. . .

    • Temporary met towers

    • Construction trailers and lay-down areas

    • Concrete batch plant

    • Construction spoil disposal sites

    • Construction work areas around turbine foundations

    • Access roads

    • Public road improvements

    • Electrical collection lines

    • Transmission lines

    • Switchyards, substations, point of interconnection stations

    • Permanent met towers

    • Restoration and mitigation projects

    • Operations and maintenance building

    • Visitor kiosk


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Wind

  • Meteorology costs:

    • Wind Measurement Equipment and Installation

    • Data Collection and Interpretation

    • Meteorological Consultation and Advice


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Transmission

  • Transmission Costs:

    • Development Electrical Engineering (What you need to get the right permits/land rights and get interconnection, not develop final construction drawings)

      • Feasibility Study

      • Conceptual collection system and high voltage interconnection design

      • System Reliability Interconnection Study

      • Feasibility Study

    • Utility Interconnection

      • Fees and filings associated with interconnection

      • Cost allocation for system upgrades

    • Transmission legal

      • Outside counsel for interconnection agreements, filings, FERC


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Land

  • Land costs:

    • Costs of hired land men

      • Hours and expenses

    • Landowner payments

      • Signing payments

      • Met tower payments

      • Option payments

      • Lease conversion payments

      • Neighbor agreement payments

    • Land legal and title

      • Outside counsel

      • Title company

      • ALTA

      • Recording fees


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Public and Governmental Relations

  • Public and Governmental Relations Costs

    • Local Office

      • Staff

      • Equipment

    • Landowners and neighbors

      • Newsletters

      • Dinners

    • Community Public Relations

      • Mailings

      • Ads

      • Open houses

      • Fairs and community events

      • Charitable sponsorships

    • Governmental Relations

      • Lobbyists

      • Public meeting support


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Development Civil Engineering

  • Costs for Development Civil Engineering (What you need to get the right permits/land rights, not develop final construction drawings):

    • Conceptual Layout

      • Constraint mapping

      • Initial geotech (desktop?)

      • Transportation study (identify routes, need for improvements to bridges, culverts, intersections, etc)

      • Initial siting turbines, roads, collection, transmission, substation, construction work areas, etc

      • Walk-overs


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Development Civil Engineering Cont.

  • Permitting Layout development (need coordination with electrical on collection system/high voltage portions of design)

    • 2’ contours

    • Initital horizontal alignment

    • Geotechnical study

    • Survey and Staking

    • Engineering/environmental walk

    • Landowner walk

    • Agency walk as needed

    • Finalize horizontal layout for permitting


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Development Civil Engineering Cont.

  • Engineering-heavy permits

    • DOT permits for road improvements and cutting access into state roads

    • Local permits for road improvements and cutting access into local roads

    • NPDES (or state equivalent) NOI for construction with SWPPP and SPCCP

    • NPDES (or equivalent) NOI for operation with SWPPP and SPCCP (this is important to consider during design because of potential need for secondary containment around transformers)


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Environmental Studies and Permitting

  • Environmental Studies and Permitting Costs:

    • Consultants

      • Permit applications and regulatory representation

      • Avian and bat studies, reports, consultations

      • Wetland studies, reports, permits, mitigation

      • Wildlife and vegetation studies, reports, consultations, mitigation

      • Agricultural protection consultation, mitigation

      • Cultural and historical resource studies and consultations, mitigation

      • Communications interference studies (including homeland security)

      • Aviation interference studies

      • Visual impact analysis

      • Groundwater studies

      • Socioeconomic studies as required

      • Other studies as required

      • EAs, DEISs. FEISs and/or equivalent reports and processes


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Environmental Studies and Permitting Cont.

  • Permitting fees

    • Actual permit fees

    • Agency collection agreements

  • Permitting Legal

    • Outside counsel


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Preconstruction

  • Preconstruction Costs:

    • Negotiations with turbine and other equipment/service providers

    • Finalize Turbine and Long-Lead-Time Item Procurement

    • Final Construction Plans and Drawings

    • Develop Environmental Construction Compliance Plan

    • Secure Construction Owner-Representative Team

    • Secure Construction Contractors

    • Develop Mobilization Plan


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Take Away Points

  • Wind project development is highly iterative

  • Change management in scope, schedule and budget is key

  • Early engineering and constructability review can save tens of millions during construction

  • Appropriate planning can vastly improve long term economics


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Environmental and Engineering

Anntonette Alberti, JD

[email protected]

518-488-8588

Charlie Karustis

[email protected]

503-222-4536

Construction and Operations & Maintenance

John Hueston

[email protected]

678-983-0863

Contacts


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