BOARD MEETING DATE: July 11, 2008
AGENDA NO. 6

RECOMMENDED ACTIONS:

1. Authorize the Chairman to execute an agreement with Placer County APCD for development of the Advanced Locomotive Emission Control Systems (ALECS) at a cost not to exceed $50,000 from the Clean Fuels Fund.
2. Authorize the Chairman to execute a contract with Advanced Cleanup Technologies, Incorporated, to develop and demonstrate the Advanced Maritime Emission Control Systems (AMECS) at the Port of Long Beach at a cost not to exceed $55,000 from the Clean Fuels Fund.
    

Barry R. Wallerstein, D.Env.
Executive Officer

Background

The AQMP indicates that further reductions of PM and NOx are needed to bring the South Coast Air Basin into compliance with federal ambient air quality standards. Locomotives and marine vessels (ships) are two sources which have been addressed by federal regulations, but not sufficiently to meet regional air quality goals. However, advanced control technology has been proposed which can control these emission sources beyond federal requirements.

In August 2006, the ALECS was demonstrated at the Union Pacific Railroad (UPRR) J.R. Davis Rail Yard in Roseville, CA. The ALECS was developed by Advanced Cleanup Technologies, Inc. (ACTI) of Rancho Dominguez, CA. The Roseville proof-of-concept demonstration was co-sponsored by the U.S. EPA, CARB, Placer County APCD, Sacramento Metropolitan AQMD, South Coast AQMD, City of Roseville, Union Pacific Railroad, and ACTI.

The ALECS consists of a bonnet arrangement to collect emissions from locomotives being serviced and a ground-mounted emission treatment system. The bonnet system is able to collect emissions from both a stopped and slowly moving locomotive. The stationary emission treatment system consists of a PM removal system (sulfur scrubber with three Cloud Chambers) and a NOx conversion system (selective catalytic reduction, SCR). Emission measurements during the demonstration yielded overall average reductions of 92 percent in PM and 97 percent in NOx. Additionally, locomotive noise was reduced between 5 and 7 decibels.

The ground-mounted emission treatment system for the ALECS was also designed to treat emissions from berthed ships in a system called the AMECS.
 

Proposal

Staff is proposing that Phase II of the ALECS development be supported by an agreement with Placer County APCD. This phase consists of three tasks addressing the bonnets and Emission Capture System (ECS). In Task 1, an ECS will be fabricated and demonstrate six bonnets capturing the exhaust emissions from six locomotives. The ECS will employ a single induced draft blower and individual pressure control mechanism at each bonnet. The emission treatment system will not be demonstrated while the exhaust from the ECS will be vented to the atmosphere. In Task 2, the best initial site in a rail yard for the ALECS will be identified. This task will consider combined rail yard operations to maximize use of the ALECS. Finally, value engineering will be performed in Task 3 through an in-depth time-and-motion study to identify potential operational changes and considerations. This task will also consider UPRR experience gained in recently configured rail yards. This project will take 15 months.

Staff is also proposing a second project sponsored by the Ports of Long Beach and Los Angeles. This will be a proof-of-concept demonstration of the AMECS on a berthed ship. A different bonnet arrangement from the locomotive ECS will be used to collect the ship emissions and treat them with the same emission treatment system as ALECS. This project consists of 8 tasks:

• Task 1 – Site will be prepared at a pier in the Port of Long Beach.
• Task 2 – AMECS will be transported and assembled at the pier.
• Task 3 – ECS Duct Management and Bonnet assembly will be fabricated.
• Task 4 – Continuous Emissions Monitoring System (CEMS) portion of the emission
•   treatment system will be calibrated.
• Task 5 – ECS and ducting will be checked for sealing integrity.
• Task 6 – AMECS will be demonstrated and emission testing conducted on Ship 1.
•   Emission testing will be conducted by ACTI and two independent companies.
• Task 7 – AMECS will be demonstrated and emission testing conducted on Ship 2.
•   Emission testing will also be conducted by ACTI and two independent
    companies.
• Task 8 – AMECS will be disassembled and the dock restored to original condition.

Finally, the test results will be discussed with CARB, and the potential for emission reductions from the AMECS should be confirmed. This project will take 5 months to complete.
 

Benefits to AQMD

These two proposed projects are included in the March 2008 update of the Technology Advancement Plan under the project entitled, “Develop and Demonstrate Advanced After-Treatment Technologies.” The AQMP relies upon the expedited implementation of advanced technologies in Southern California to achieve air quality standards and to continue reductions in air toxic exposure.

For the ALECS project, the use of a PM and NOx treatment systems at trackside to treat off-road emissions is novel. Emission measurements made during Phase 1 yielded overall average reductions of 92 percent in PM and 97 percent in NOx. The benefit of the ALECS will depend upon its level of utilization and the emission rates of the locomotives being treated. For 96 percent utilization by Tier-0 locomotives, PM and NOx would be reduced approximately 72 and 93 tons per year, respectively. For Tier-2 locomotives at the same utilization, PM and NOx would be reduced approximately 26 and 40 tons per year, respectively.

For the AMECS project, using a dockside emission treatment is also very novel. Based on measurements made during Phase 1 of the ALECS, PM and NOx are projected to be reduced by an average of 90 percent with the AMECS. With 90 percent utilization, it is estimated that PM and NOx will be reduced approximately 66 and 80 tons per year per ship berth.
 

Sole Source Justification

Section VIII.B.2 of the Procurement Policy and Procedure identifies four major provisions under which a sole source award may be justified. These requests for sole- source awards are made under provision B.2.d.: Other circumstances exist which in the determination of the Executive Officer require such waiver in the best interest of the AQMD. Specifically, these circumstances are: B.2.d.(1) Project involving cost sharing by multiple sponsors.

The ALECS project is cosponsored by other entities where AQMD’s contribution will be substantially leveraged. Project support will be provided by Union Pacific Railroad (UPRR), ACTI, Placer County APCD (PCAPCD), Sacramento Metropolitan AQMD (SMAQMD), and the City of Roseville. UPRR is the largest rail operator in the US. ACTI is the developer of the ALECS and the AMECS with experience in hazardous material cleanup. Finally, PCAPCD, SMAQMD and the City of Roseville are government entities that have a stake in reducing rail yard emissions.

The AMECS project is also cosponsored by other entities. These include the Port of Long Beach, the Port of Los Angeles and ACTI. The Ports of Long Beach and Los Angeles are the largest single source of emissions in the South Coast Air Basin. As part of their San Pedro Bay Clean Air Action Plan, the ports are funding several emission reduction projects. ACTI is the developer of the ALECS and the AMECS with comprehensive experience in hazardous material cleanup.
 

Resource Impacts

The overall cost for the ALECS Phase II project is approximately $1,132,000. The scope of this project may grow if further cost-share partners are found. The AMECS project will cost a total of approximately $598,211. Cost sharing for these two projects is as follows:
 

Advanced Locomotive Emission Control System Phase II

Advanced Cleanup Technologies, Inc.        $750,000
Union Pacific Railroad                                200,000
Placer County APCD                                   100,000
Sacramento Metropolitan AQMD                   25,000
City of Roseville                                            7,000
South Coast AQMD                                       50,000

                                                          Total $1,132,000
 

Advanced Marine Emission Control System

Advanced Cleanup Technologies, Inc.       $244,157
Port of Long Beach                                   149,527
Port of Los Angeles                                  149,527
AQMD                                                       55,000

                                                   Total $598,211
 

Sufficient AQMD funds are available in the Clean Fuels Fund, which is established as special revenue from the state-mandated Clean Fuels Program. The Clean Fuels Program, under Health and Safety Code Sections 40448.5 and 40512 and Vehicle Code Section 9250.11, establishes mechanisms to collect revenues from mobile and stationary sources to support projects to increase the utilization of clean fuels, including the development of the necessary advanced enabling technologies. The two subject projects using stationary advanced aftertreatment technology will be supported by fee surcharges from stationary sources.