Electrical Power for Valdez and the Copper River Basin-1981

diesel plant at Valdez-Copper Valley consists of a 2,625 kW unit with aheat rate of 9,370 BTU/kWh. The capital cost is estimated at $710 per kWwith a service life of 35 years.PROBLEMS, NEEDS AND OPPORTUNITIESGiven existing and planned generation, this community will be forcedto continue its reliance on diesel generation if the load requirementsgrow as anticipated. To rely on diesel fuel is to expose the communityto the likelihood of extremely high cost power. Further, reliance ondiesel power is contrary to present State and National energy policy.The Valdez area has the unique potential to utilize oil flow from thepipeline in addition to nearDy hydropower potential. Tne opportunity ofdeveloping these resources should De pursued.PLANNING CONSTRAINTSSelection of the Dest plan from among the range of alternativesinvolves evaluation of their comparative performance in meeting the studyoDJectives as measured against a set of evaluation criteria. Thesecriteria derive from law, regulations, and policies governing waterresource planning and development.Tecnnical criteria require that power generation development, from anysource or sources, be of appropriate scale to satisfy the projectedenergy needs, and tnat tne plan be technically feasible.Economic criteria specify that the power must be marketable. PlanDenefits should exceed the costs to the maximum extent possible, and eachseparable plan feature must provide benefits at least equal to its cost.The benefits arid costs are expressed in comparable quantitative terms tothe fullest extent possible. Annual costs and benefits are based on a100-year period of analysis, an interest rate of 7-3/8 percent, andOctober 1980 price levels. Power benefits are based on providingequivalent output by means of the least costly, most likely alternative,in this case diesel-electric generating plants.Environmental criteria require the identification of impacts to thenatural and human environment. Adverse environmental effects should beminimized and measures taken to protect or enhance existing environmentalvalues.Otner criteria specify that plans be formulated with consideration forsocial well-being and regional development. Consideration was given tothe pOSSiDility of enhancing or creating recreational values, to theeffects on personal income, employment, and population, to the effects oncultural and archeological resources, and to the conservation ofnonrenewable resources.PLANNING OBJECTIVESThe stUdy oDJectives are derived from the problems and needs that arespecific to the study area and can be reasonably addressed within the20