Berkshire Hathaway Energy

Alert # 3

Overview

This BHE Alert is one of 6 which you are receiving as part of the Berkshire Hathaway Energy Supplier and Utility Connect Program. This Alert focuses just on BHE activities. The Power Alert and GTRE Updates cover the range of generation subjects for coal and gas turbine/reciprocating engine projects.  The Fabric Filter, FGD & DeNox, Precipitator, and Monitoring newsletters cover specific technologies.

This month the FGD & DeNox newsletter provides updates on the Hunter and Huntingto NOx projects and details on dry scrubber systems at Mid American plants. the monitoring newsletter identifies a large number of BHE people involved in water quality monitoring for NV Muddy River, Pacificorp Hydro, Neal ultrapure water

 

Berkshire Hathaway Energy companies are taking early action to protect the environment by:

·        Investing $16 billion in wind and solar generation

·        Pursuing fossil-fueled generation efficiency improvement projects including NOx reduction at Hunter and Huntington and CCR compliance at all coal pants

·        Investing in new electricity transmission and distribution equipment to reduce the loss of kilowatts and improve reliability

·        Offering programs that empower our customers to conserve and manage their energy use, including energy efficiency incentives, energy assessments and smart metering

·        Working to avoid methane and sulfur hexafluoride releases from our gas and electricity transmission and distribution operations

System to determine sustainability impacts of BHE operations

Which is better for the environment? Growing tomatoes with the CO2 emitted from the Currant Creek plant, saving 100 eagles, saving 10000 trout, or re-routing a transmission line through a less populated area? 30 universities around the world have combined efforts to conclude that the earth is greener now than it was a decade ago. They say the cause is the same fertilization effect of CO2 which causes it to  be used in greenhouses such as at the Currant Creek plant.They caution that increased CO2 may be better for those facing starvation over the next decade or two but that the long run consequences will be negative enough to offset the short term benefits.

Sustainability indices are not very helpful in answering these questions.. The fact that a cigarette company such as Phillip Morris has a better Dow Jones sustainability rating than Berkshire Hathaway Energy indicates the need for a better metric

There are very complex sustainability ratings which include intricate analysis of economic, social, and political impacts of any action. They do not quickly inform you whether action A is better than action B.   Cardinal Health came to Mcilvaine for help because they were losing a billion dollar single use surgical gown market . Hospitals were concerned about the CO2 created by manufacturing and disposing of single use gowns.  Mcilvaine was tasked in making an unbiased determination of the environmental impacts of single use vs reusable garments.  By developing a common metric to measure the negative effects of  CO2  emitted to the atmosphere vs the water contamination from washing virus laden gowns, the hospitals could more fairly determine the environmental consequences of the alternatives.

The study also concluded that the environmental consequences have to include tribal values and equate all consequences based on present value. A hospital in Canada must weigh the tribal values of its clientele. They could be impacted by the viruses in the water immediately  but may because of their location not suffer from global warming.  Also the harm from viruses in the water is immediate whereas the impact of global warming is decades away.

Mcilvaine expanded this research to help power plants decide whether it is better to increase NOx to reduce CO2, or create more of any pollutant  while reducing another. The result was a common metric that measures the harm of any pollutant in terms  of equivalent tons of  CO2. For example 10 tons of water saved in a drought area is worth 1 ton of CO2 generated. In an area of water surplus  it takes 1000 tons of water saved to equal 1 ton of CO2 generated.  The equations are all based on EPA background documents weighing the benefits of various regulations

The problem with this approach is that it relies on EPA  determinations and does not make clear how you evaluate the harm of killing 100 eagles or running a transmission line through a populated area.

Mcilvaine next addressed the approach used by insurance companies and the medical industry . It is based on Quality Adjusted Life Years.  This approach emphasizes length of life and not quality. If we never ate desserts, mixed in crowds, rode in an automobile or played sports we could live longer.  But who would rather live in solitary  confinement to age 90 when they could enjoy 85 years of a full life. How do you justify asking a solider to risk his life for the sake of his country?  The answer to these questions is a metric to measure life quality rather than life quantity

 The Quality Enhanced life Days ( QELD)  metric allows you to measure every initiative. In the case of the 100 eagles lost in a National park area in Washington, the factors become the number of visitors per year and the relative enjoyment from seeing these eagles.  In the case of the transmission line it is the negative QELD for the people impacted by one route vs another and the positive QELD from the benefits of the transmitted power

QELD also addresses tribal values and net present value.  The benefits of CO2 fertilization in the short term are more important to starving people in developing countries than to wealthy people in developed countries.  QELD is a unique and powerful metric which will aid Berkshire Hathaway in its decisions and can be used by investors to view the company in a more favorable light than with the Dow Jones approach. More details on this are shown at Sustainability Universal Rating System     

 

CCR activities of Berkshire Hathaway

All the BHE coal fired plants are moving forward to meet the coal combustion redisiduals requirements.  Details afe shown at http://www.berkshirehathawayenergyco.com/ccr/ppw.html

Neal North   CCR Plan

On April 17, 2015, the Environmental Protection Agency (EPA) issued the final version of the federal coal combustion residuals rule (CCR Rule) to regulate the disposal of CCR materials generated at coalfired units. The rule is being administered as part of the Resource Conservation and Recovery Act (RCRA, 42 U.S.C. §6901 et seq.), using the Subtitle D approach. MidAmerican Energy Company (MEC) is subject to the CCR Rule and as such has developed a Fugitive Dust Control Plan for all sites handling and disposing of CCR per 40 CFR 257.80. This report provides the Fugitive Dust Control Plan for the George Neal Station North (Neal North) located near Sergeant Bluff, Iowa. This Fugitive Dust Control Plan is in addition to, not in place of, any other applicable site permits, environmental standards, or work safety practices.

Bottom ash and economizer ash is handled wet and sluiced to CCR impoundments onsite. Since the CCR is sluiced in a wet condition via pipeline to site impoundments, there are no potential fugitive dust sources in the handling of bottom/economizer ash both at the source of the CCR and at the discharge point in the impoundments. MEC is currently evaluating converting the system to dry handling; should dry handling be implemented for any of the units at Neal North, there will be an amendment to this plan to address dust controls for drying handling

North Valmy pond closure

The North Valmy Generating Station’s landfill is subject to the closure requirements in the CCR Rule because the landfill is classified as an existing CCR landfill. The landfill is considered as an existing CCR landfill because it is an “area of land or excavation that receives CCR” and it received CCR both before and after October 19, 2015, the effective date of the CCR Rule

The CCR unit will be closed in a manner that will • “Control, minimize or eliminate to the maximum extent feasible, post-closure infiltration of liquids into the waste and releases of CCR, leachate, or contaminated run-off to the ground or surface waters or to the atmosphere;” (§257.102(d)(1)(i)) – The final cover system will control infiltration of liquid into waste by meeting the permeability requirements listed in the CCR Rule and by providing a final cover surface that is graded to promote positive drainage. Meeting the permeability requirements in the CCR rule will limit the potential for water to infiltrate through the cover and into the underlying waste. Creating a final cover surface that promotes the flow of water will reduce the time available for water to infiltrate through the cover and into the underlying waste. – The final cover system will control the release of CCR by covering exposed CCR to limit contact with wind, water, and other agents of erosion. Armoring, compaction, and/or other erosion control measures may be provided in areas more susceptible to water or wind erosion. Drainage and sediment control structures may be installed to collect and/or detain eroded CCR. – By limiting the amount of water coming into contact with CCR, the measures for controlling infiltration of liquid into waste will also serve to limit the amount of water available to create leachate and the amount of leachate generated. Controlling and reducing the amount of leachate generation will in turn control the release of leachate. – By limiting the amount of water coming into contact with CCR

Jim Bridger will require new pond liner

The PacifiCorp Jim Bridger Power Plant is a coal-fueled steam-electric operation with four operating units having a total generating capacity of 2.12 GW, and is located approximately nine miles northeast of Point of Rocks, Wyoming. . FGD Pond 2 is a zero discharge facility and generally evaporates water at the same rate it is disposed of in this pond. It does not have a spillway, or outlet structure. The inlet structure consists of two, 10-inch diameter HDPE pipelines which can discharge at various points along the southern side of the pond. Seepage from the current FGD Pond 2 has created a groundwater plume beneath the general area of the disposal ponds (FGD Ponds 1 and 2). This plume is presently controlled by a series of groundwater pump back wells which discharge the pumped water back into FGD Pond 2.

The FGD Pond 2 does not meet the requirements of §257.71 – Liner design criteria for existing CCR surface impoundments, due to absence of an installed geomembrane liner and compacted clay soil liner. The Rule states that existing CCR surface impoundments are considered unlined if “the owner or operator of the CCR unit fails to document whether the CCR unit was constructed with a liner that meets the requirements of paragraphs (a)(1)(i), (ii), or (iii).”

 

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