Potential Hydroelectric Development at Existing Federal Facilities For Section 1834 of the Energy Policy Act of 2005 May 2007 Potential Hydroelectric Development at Existing Federal Facilities For Section 1834 of the Energy Policy Act of 2005 prepared by U.S. Department of the Interior Bureau of Indian Affairs Bureau of Land Management Bureau of Reclamation National Park Service Fish and Wildlife Service U.S. Department of the Army U.S. Army Corps of Engineers U.S. Department of Energy Bonneville Power Administration Southeastern Power Administration Southwestern Power Administration Western Area Power Administration May 2007 Contents Page Executive Summary................................................................................................ 1 Introduction............................................................................................................. 2 Study Participants ............................................................................................. 3 Objectives ............................................................................................................... 3 Previous Studies...................................................................................................... 3 Data Collection ....................................................................................................... 5 Assumptions and Methods...................................................................................... 7 Site Screening Analysis (DOI Only)................................................................. 9 First Screening ............................................................................................ 9 Second Screening...................................................................................... 10 Third Screening......................................................................................... 10 Development Cost Analysis............................................................................ 11 Summary of Cost Estimation Model......................................................... 13 Benefit Evaluation .......................................................................................... 14 Power Facility Rehabilitation ............................................................................... 17 Bureau of Reclamation Power Rehabilitation Program.................................. 17 Uprate Criteria ................................................................................................ 18 Status of Reclamation’s Power Uprating Program ......................................... 20 U.S. Army Corps of Engineers Major Rehabilitation Program ...................... 21 Results................................................................................................................... 22 Initial Population of Facilities......................................................................... 22 First Screening (DOI Only) ............................................................................ 24 Second Screening (DOI Only) ........................................................................ 26 Third Screening (DOI Only)........................................................................... 27 Impacts of Increased Hydropower Production ..................................................... 32 Additional Considerations for Hydropower Development ................................... 35 Conclusion ............................................................................................................ 38 Bibliography ......................................................................................................... 40 Appendix 1—Section 1834 of the Energy Policy Act of 2005 Appendix 2a—All Facilities Included in Study without Existing Hydropower Appendix 2b—All Facilities Included in Study with Existing Hydropower Appendix 3—Using the Generic Energy Analysis Spreadsheet Appendix 4—DOI Facilities after First Screen Appendix 5—DOI Facilities Eliminated by Second Screen Appendix 6—DOI Facilities after Third Screen—Final List Appendix 7—USACE Facilities after Third Screen—Final List Appendix 8—List of Facilties, with Costs, Sorted by Owner Appendix 9—List of Facilties, with Costs, Sorted by b/c Ratio iii Potential Hydroelectric Development at Existing Federal Facilities Tables Page 1 Cost categories (all models from Hall, et al., 2003) ..................................... 14 2 Summary of Major Rehabilitation Program (without constructing new units) ............................................................................................................. 22 3a Total number of DOI facilities in study, by agency...................................... 23 4 Total number of DOI and USACE facilities in study, by State.................... 24 5 DOI facilites surviving first screen, listed by agency/region........................ 25 6 DOI facilites surviving first screen , listed by State ..................................... 25 7 DOI facilities eliminated due to law or legislation, by region...................... 26 8 DOI facilities eliminated due to law or legislation, by State ........................ 27 9 DOI facilities without existing hydropower with potential capacity > 1 MW, listed by agency/region..................................................................... 27 10 USACE facilities without existing hydropower with potential capacity > 1 MW, listed by agency/region..................................................................... 28 11 USACE facilities with existing hydropower with potential capacity > 1 MW, listed by agency/region..................................................................... 28 12 All DOI and USACE facilities with potential capacity > 1 MW, listed by State............................................................................................................... 29 13 Levelized regional wholesale electric power rates, 2005 dollars.................. 29 14 DOI facilities without existing hydropower with potential capacity > 1 MW and b/c ratio > 1, listed by division ................................................... 30 15 USACE facilities without existing hydropower with potential capacity > 1 MW and b/c ratio > 1, listed by division ................................................... 30 16 USACE facilities with existing hydropower with potential capacity > 1 MW and b/c ratio > 1, listed by division ................................................... 31 17 All facilities with potential capacity > 1 MW and b/c ratio > 1, listed by State............................................................................................................... 31 Figures Page 1 Sample exceedence curves............................................................................ 12 2 Increased capacity by Reclamation region (kW). ......................................... 20 3 Number of generators that Reclamation has rewound or uprated................. 21 iv Executive Summary This report complies with Section 1834 of the Energy Policy Act of 20051 (Section 1834) that requires the Secretary of the Interior, the Secretary of the Army, and the Secretary of Energy to “jointly conduct a study assessing the potential for increasing electric power production at federally owned or operated water regulation, storage, and conveyance facilities.” The study participants included select staff of the Bureau of Reclamation, the U.S. Army Corps of Engineers, the Bureau of Land Management, the Bureau of Indian Affairs, the National Park Service, the U.S. Fish and Wildlife Service, the Western Area Power Administration, the Southeastern Power Administration, the Southwestern Power Administration, and the Bonneville Power Administration. The study examined 871 existing federal facilities, with and without hydroelectric generating capability, assessing their physical capacity for generation or generation expansion and their economic viability based on comparisons with regional electric power rates. The report does not include any assessments of lands not under federal domain or consider new dam construction. In addition, the study participants developed and included assessment tools for generating capacity and economic viability that may be used and updated for future use. Based on current economic conditions, the report only found potentially viable sites at facilities owned by the U.S. Army Corps of Engineers and the Bureau of Reclamation. The Bureau of Reclamation found six sites that could demonstrate both physical and economic conditions sufficient to warrant further exploration for additional hydropower development. The U.S. Army Corps of Engineers identified 58 sites based on similar criteria. The total additional capacity at these sites is estimated to be 1,230 MW—enough to serve over 957,0002 residences. In addition, there are opportunities for refurbishment of some facilities with existing hydropower, which could result in the addition of approximately 1,283 MW of generating capacity. No recommendations for development are offered from this report. Rather, the report only attempts to give a broad inventory and assessment of future hydropower development at federal facilities under the jurisdiction of the participating agencies. Hydropower development on federal lands is a program with a nearly century-long history. Most of the economically attractive sites have long since been developed and continue to play an integral part of the Nation’s electric power grids. This report offers an assessment of