8a Presentation Renewable Natural Gas Contract

Item No.                     8a_supp
Date of Meeting             April 14, 2020
Renewable Natural Gas Supply
Contract Authorization

Environment & Sustainability
Facilities & Infrastructure
1

Presentation Overview

1.   Review Port climate goals

2.   How Renewable Natural Gas (RNG)
supports climate goals
3.   Why RNG is heeded now

4.   Proposed Action
Contract Principles
- Budget

2

The Port's Climate Goals

Reduce Port-owned and controlled (Scope 1 &2) greenhouse
gas emissions below 2005 levels by:
.    15% by 2020
.    50% by 2030
.    100% by 2050


3

The Port's GHG Emissions

2018 Port-wide Scope 1 & 2 Greenhouse Gas Emissions

30000


25000

15%'   0,

g                                                      m Liquid Fuels
o
$ 15000                                                                                             m Electricity
Cc
50%50%
5                                                     m Natural Gas
10000
Ss

5000




4

CA Goal = 50% by 2030






5

CA Goal = 50% by 2030






6

What is Renewable Natural Gas (RNG)?

A zero carbon natural gas alternative. As organic waste breaks
down, it emits methane gas that can be captured and
processed to meet natural gas pipeline quality specifications.

RNG Sources:
~100 production facilities nationwide
*     70% are landfills; 30% wastewater treatment & anaerobic digesters
*     90%of these facilities used for transportation fuel (i.e. CNG fleets)

7

Cedar Hills Landfill, King County        Renton WWTP, King County        Bar-Way Farm, Massachusetts


8











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11

Gas Account       2020 Cost      Annual Cost    Total 10-Year
Cost
Central Plant
$643,500        $2,145,000      $21,450,000
(Heating)
CNG Fueling Station              *$42,037          *$150,000      *$1,500,000
TOTAL           $685,537        $2,295,000     $22,950,000
Original budget for 2020 is $1.5 million. This new 2020 budget represents a savings of $800K
*Conservative estimate. Varies with federal incentive

12










13

Project Type         Cost per Metric Ton CO2
Convert Buses to Electric                       $900
Stage 3 Mechanical Conservation             $300
RNG                            $209
Renewable Diesel                           $125
PSE Green Direct Electricity                     $61


14

a
1515

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