Billings, Kim

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University of New HampshireUniversity of New Hampshire Scholars' RepositoryMedia Relations Administrative Offices2-18-2004UNH Addresses Growing Utilities InfrastructureConcerns Trustees Give Go Ahead forCogeneration PlantKim BillingsFollow this and additional works at: https://scholars.unh.edu/newsThis News Article is brought to you for free and open access by the Administrative Offices at University of New Hampshire Scholars' Repository. It hasbeen accepted for inclusion in Media Relations by an authorized administrator of University of New Hampshire Scholars' Repository. For moreinformation, please contact nicole.hentz@unh.edu.Recommended CitationBillings, Kim, "UNH Addresses Growing Utilities Infrastructure Concerns Trustees Give Go Ahead for Cogeneration Plant" (2004).UNH Today. 1583.https://scholars.unh.edu/news/158310/2/17, 12(07 PMUNH Addresses Growing Utilities Infrastructure Concerns; Trustees Give Go-Ahead for Cogeneration PlantPage 1 of 2http://www.unh.edu/delete/news/news_releases/2004/february/kb_20040218cogen.htmlUNH Addresses Growing Utilities Infrastructure Concerns;Trustees Give Go-Ahead for Cogeneration Plant Contact: Kim Billings603-862-1558UNH Media RelationsFebruary 18, 2004DURHAM, N.H. -- The University System of New Hampshire Board of Trustees last weekauthorized the University of New Hampshire to upgrade the current heating plant and relatedfacilities on the Durham campus - a plan that is projected to avoid energy costs of $35 millionover the next 20 years.A $28 million cogeneration plant will be financed through a combination of an internal loan anda capital lease, according to Candace Corvey, UNH vice president for finance and administration.“Most of the cost of this project is in equipment that can be externally financed through a capitallease, thus reducing our need to draw upon scarce internal resources.”“The plan is essential in order to meet the campus's need for more energy, maximize reliability,promote a cleaner environment and contain costs,” explains Allan Braun, associate vicepresident for facilities at UNH.The many benefits that will be realized by UNH in taking a comprehensive approach to heating,cooling, and electrical needs on campus provides a strong example of effective use of limitedresources to maximize operating efficiency, says Ed MacKay, vice chancellor and treasurer forthe University System of New Hampshire.“The financing of the utility upgrade plan is an example of the university system's willingness toengage in `self-help' to fund the majority of its capital investment needs,” MacKay explains.“State appropriation support is focused almost exclusively on capital projects that directly impactstudent learning, such as academic buildings, labs and lecture halls. We leverage our assets tofund other capital projects - using the Health and Education Finance Authority (HEFA) bonds forself-supporting projects such as residence and dining halls; federal grants for research facilities,and; private gifts and operating budgets for ongoing improvements in the physical plant.”UNH officials say the existing central steam heating plant has reached capacity. Without thecogeneration project, the capital cost of adding future heating capacity through 2016 is estimatedto be $17 million. Chilled water requirements necessary for air conditioning for researchpurposes would add another $7.8 million.In addition, the electrical requirements at UNH are far outpacing the electrical infrastructure.Two substations are 40 years old, and another will need to be replaced within 10 years.Replacement costs for the substations is $450,000.10/2/17, 12(07 PMUNH Addresses Growing Utilities Infrastructure Concerns; Trustees Give Go-Ahead for Cogeneration PlantPage 2 of 2http://www.unh.edu/delete/news/news_releases/2004/february/kb_20040218cogen.htmlBraun says the cogeneration process is highly efficient, because it generates electricity with hotgas turbines that, as a byproduct, produce waste heat. That heat is used to produce steam andchilled water (necessary for air conditioning) at very low cost. This approach provides energyflexibility, as the plant could utilize #6 oil, #2 oil, natural gas, or external electricity dependingon the relative cost and availability of each.He notes the university has been exploring various options for its Utility Master Plan over thepast three years. After completion of a comprehensive feasibility study, and many conversationswith stakeholders, UNH officials concluded that a cogeneration plant was the best option.Braun adds that co-generation is environmentally friendly and very safe.The plant - which would be located beside the current heating plant behind the Service Building- is estimated to cost $22 million to construct and equip. UNH also would build a chiller node(needed for air conditioning) near Philbrook Dining Hall for roughly $6 million in order toprovide chilled water to eight surrounding buildings. The plant and the chiller node will beconstructed to enable additional generating, chilled water, and heating capacity to be added asthe university's physical plant grows.The plant and the chiller node are expected to be on line and operational by the fall of 2005. Theplant will be operated by a private company, EMCOR, under a contract closely managed byUNH. The contract will provide incentives for EMCOR to operate the plant efficiently andeffectively.

UNH Addresses Growing Utilities Infrastructure Concerns Trustees Give Go Ahead for Cogeneration Plant

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UNH Addresses Growing Utilities Infrastructure Concerns Trustees Give Go Ahead for Cogeneration Plant

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