ALZA Landfill Gas Case Study May 10, 2007 LEADING THE NEXT GENERATION OF

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LEADING THE
NEXT GENERATION OF
DRUG DELIVERY
ALZA Landfill Gas Case Study
May 10, 2007
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Case Study #1
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Case Study #2 Landfill Gas
Source: J&J WWERE
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What: Reduce CO2 using
Kyoto Protocol standards
Japan, Canada, EU implementing
How: Implement best
energy use practices
Credo clause
ALZA’s LFG Project
is a best practice
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CO2 Reduction Goals
 Kyoto Protocol
–1990 is base year
–4% reduction in 2005, 7% in 2010
 ALZA needs to reduce
–22.3 million pounds per year CO2
–75% reduction from 2006 levels
 ALZA demand
–4 to 5 mW average
–7 to 8 mW peak
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Energy Management Best Practices
 Ten stages
 245 separate action items
 5 to 10 year implementation, but ALZA got 3.5
 ALZA is 100% done
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Evaluation of alternatives
Pathway
Potential Benefit
Conservation
Full implemented, but only
saves about 10%
Cogeneration
Inadequate demand for waste
heat
Renewable fuels
Evaluate (look close if located
next to landfill)
Clean Power
Weak economics
ALZA lacks roof space
Carbon trading and
sequestration
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Can buy 100% of CO2
reduction goal for less than
$15,000 per year
Landfill Gas (LFG) Summary
 Composition: CO2 and CH4, 50:50
 Uncontrollable byproduct of anaerobic
digestion of trash
 Combustible greenhouse gas
– Capture and burning is the standard control method
 Renewable energy source
– PG&E has self generation incentive program (SGIP)
grants for renewables
 Established technology
– 300+ LFG projects in US currently in operation
– US EPA Landfill Methane Outreach Program (LMOP)
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ALZA Project Summary
 Scope
– Build pipeline to transport landfill gas from golf
course to M1/M5, M3, and ALZA Plaza
– Install three - 1 mW engines, fuel them with landfill
gas, produce electricity and hot water (enough to
power 1,500 homes)
 Project
– Completion: June 2006
– Life: 15 years+
 Investment Summary
– Total Cost
– PG&E Grant
– Net investment
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$11.0 million
$3.1 million
$7.9 million
Aerial View
Club House
Compressor Station
Shoreline
Amphitheater
ALZA Plaza
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Fr
ee
wa
y
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M3
M1/M5
1 mW Jenbacher Engine
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Project Benefits (15 year average data)
 Environmental/CO2 reduction
–16 million lb/year
–72% of ALZA’s goal
–50% reduction from 2006
–Equivalent to removing 1,500 cars from the
road.
 Community
–Model Public/Private Partnership with local
government
 Financial
–15+% ROI
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Milestones
 $11 million approved in 135 days.
–Facilities
–Finance
–WWERE
 Environmental approvals completed in
180 days.
–City of Mountain View
–BAAQMD
–Santa Clara Valley Water District
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Team Recognition
 City of Mountain View
–City Council, Technology Council
–Public Works, City Attorney, City Manager
 PG&E
–SGIP, Generation Interconnection Services
 ALZA
–Facilities, EH&S, Purchasing, Finance, Legal
–SCS Engineers, Dome Construction
–Heller Ehrman, Environ
 J&J
–WWERE, Legal, Risk Management
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Performance to Date
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Comments and Questions
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