BOARD MEETING DATE: November 2, 2007
AGENDA NO. 8
PROPOSAL:
Issue RFP to Conduct Research Study and Demonstrate Feasibility of Control Technologies to Reduce PM2.5 and Ultrafine Particulate Emissions from Natural Gas-Fired Power Plants
SYNOPSIS:
While new natural gas-fired power plants are significantly less polluting compared to their predecessors or other fossil-fueled power plants they continue to be significant sources of particulate matter emissions under 2.5 microns (PM2.5) and other criteria pollutants. This action is to issue an RFP to identify and pilot the most advanced PM2.5 add-on control technologies that would reduce PM2.5 from natural gas-fired power plants. It is anticipated that a single award will result from this RFP in the amount not to exceed $4,000,000 from existing monies in the Rule 1309.1 Priority Reserve Mitigation Fees fund.
COMMITTEE:
Stationary Source, October 26, 2007, Recommended for Approval
RECOMMENDED ACTION:
Approve release of the attached RFP #P2008-09 to conduct a research study and demonstrate the feasibility of control technologies to reduce PM2.5 and ultrafine particulate emissions from natural gas-fired power plants.
Barry R. Wallerstein, D.Env.
Executive Officer
Background
At the August 2007 Board meeting, the Board amended Rule 1309.1 – Priority Reserve to allow prospective new power plants conditional access to its Priority Reserve account to purchase emission reduction credits to offset their emissions for certain pollutants which are in short supply in the open market. New natural gas-fired power plants have to meet stringent emission limitations as a pre-condition to access the Priority Reserve. The Board also directed that $4 million of mitigation fees be used to identify and pilot the most advanced PM2.5 add-on control technologies that would further reduce PM2.5 emissions from electric generating facilities.
To address the concerns relative to PM2.5 emissions from natural gas power plants, staff proposes that bids be solicited from proposers with proven technical experience in emission control technologies of PM2.5. Competitive bids would be for the development and implementation of a research study to explore the feasibility of utilizing existing and new control technologies to further reduce PM2.5 emissions from these sources. In addition, the research study would involve coordinating pilot-scale testing of control technologies at natural gas-fired power plants and preparation of a final report.
Request for Proposals
RFP #P2008-09 will solicit bids from the most qualified applicants with experience and expertise in emission control technologies of PM2.5. The RFP will seek an individual or organization to identify and demonstrate the most advanced PM2.5 add-on control technologies that would further reduce PM2.5 from natural gas-fired power plants. In addition, the research study would involve coordinating pilot-scale testing of new and existing technologies at natural gas-fired power plants and preparation of a final report.
Bid Evaluation
The contractor will be selected through an open bid process according to AQMD’s Consultant Selection Policy and Proposals. It is anticipated that a single award will be made from this solicitation.
Outreach
In accordance with AQMD’s Procurement Policy and Procedure, a public notice advertising the RFP/RFQ and inviting bids will be published in the Los Angeles Times, the Orange County Register, the San Bernardino Sun and Riverside County Press Enterprise newspapers to leverage the most cost-effective method of outreach to the entire South Coast Basin.
Additionally, potential bidders may be notified utilizing the Los Angeles County MTA Directory of Certified Firms, the Inland Area Opportunity Pages Ethnic/Women Business & Professional Directory; and AQMD’s own electronic listing of certified minority vendors. Notice of the RFP/RFQ will be mailed to the Black and Latino Legislative Caucuses and various minority chambers of commerce and business associations, and placed on the Internet at AQMD’s Weg site (http://www.aqmd.gov) where it can be viewed by making menu selections “Inside AQMD”/”Employment and Business Opportunities”/”Business Opportunities” or by going directly to http://www.aqmd.gov/rfp/index.html). Information is also available on AQMD’s bidder’s 24-hour telephone message line (909) 396-2724.
Benefits to AQMD
The proposed research study and demonstration of the most advanced PM2.5 add-on control technologies that would further reduce PM2.5 from natural gas-fired power plants will provide valuable knowledge for future rule development and emission mitigation projects.
Resource Impacts
The total amount of AQMD funding for the contract will not exceed $4,000,000. Sufficient funds are available in the Rule 1309.1 Priority Reserve Mitigation Fee fund from mitigation fees paid prior to the August 2007 rule amendment.
Attachment (DOC 833kb)
RFP #P2008-09 - Control Strategies and Technologies for Particulate Matter Emissions under 2.5 Microns (PM2.5) and Ultrafine Particulate Emissions from Natural Gas-Fired Gas Turbine Power Plants.
