North Loop Community Energy System Using energy from HERC to provide affordable, sustainable heating and cooling for the North Loop Energy opportunities for the North Loop The North Loop neighborhood of downtown Minneapolis is in the midst of unprecedented development. Along with major residential and commercial growth, this community will soon be home to the Interchange, a multi-modal transportation hub and community gathering space. This development provides the opportunity to create a district heating and cooling system, establishing a modern and efficient energy infrastructure to support the growing needs of this neighborhood. Maximizing the energy captured from waste Hennepin County is examining the potential for the Hennepin Energy Recovery Center (HERC) to provide an affordable and sustainable energy option for North Loop businesses and residents. Developing a district energy system would capture and use the heat currently lost when generating electricity at HERC. This energy would be put to use for space heating, hot water and space cooling for customers in the North Loop. A district energy system would improve the overall efficiency of HERC by maximizing the amount of energy that is captured from processing waste. What is a Community Energy System? Communities across the country are developing energy systems to meet their heating, cooling and electricity needs through the use of more diverse and local fuel resources and high-efficiency production methods, such as cogeneration. Cogeneration, or combined heat and power, is a process that generates both electricity and heat, extracting more usable energy from the fuel and increasing overall efficiency. Throughout the world, district energy systems have proven to be an efficient way to meet the heating and cooling needs of multiple buildings and increase the use of renewables. The development of the North Loop provides the perfect opportunity to use the existing energy assets at HERC to anchor a smarter community energy system. This will allow the North Loop to access the financial, environmental and community benefits that community energy systems provide. North Loop continued Hennepin County Environmental Services May 2013 www.hennepin.us/NorthLoopEnergy Benefits of the North Loop Energy System: For the customer • Makes buildings safer, easier and less costly to manage by eliminating the need for an on-site furnace, boiler or chiller. This allows individual buildings to avoid storage of fuels, chemicals, or refrigerants on-site, provides more usable on-site space, and increases reliability. • Provides access to diverse fuel options and efficient energy production, which helps avoid fuel market volatility and increases financial stability for energy budgets. • Helps buildings qualify for environmental certifications, such as LEED, B3, Green Globes and Energy Star. For the community • Accounts for the needs of multiple users, which improves access to energy options and increases efficiency. • Provides a more secure, adaptable and resilient energy source. • Brings financial stability to projects and to neighbor–hoods by emphasizing infrastructure investments and life-cycle costs. • Uses existing energy assets and delivers new economic opportunities to existing commercial and industrial businesses. For the environment • Uses a renewable fuel resource, decreasing fossil fuel use and greenhouse gas emissions. • Increases the use of combined heat and power at HERC and establishes an efficient distribution system, reducing the risk of power supply shortages, energy price spikes, power quality problems, and global climate change. As efficiency increases, pollution decreases, which is why CHP is considered by many to be one of the most cost-effective means of improving air quality. • Positions the county to sell energy in other forms, diversifying the revenue structure to fund environmental programs. Next Steps Hennepin County is in the development phase for the North Loop District Energy System. The county and project partners will thoroughly analyze the economic and environmental implications of this project before moving forward with development to ensure that the project meets the long-term needs of the users and the community. For more information about this project, contact: Andrew Leith Hennepin County Environmental Services 612-348-8993 Andrew.Leith@co.hennepin.mn.us Michael Ahern Ever-Green Energy, LLC 651-925-8251 Michael.Ahern@ever-greenenergy.com 34-902-01-13