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Vol. 25, No. 4, August2006

Small Minnesota town ready to be big Energy City

technician changing light fixture
LEED-certified Westwood Elementary School is one of several public buildings that Elk River, Minn., designed for energy savings as part of its ongoing Energy City demonstration program. (Photo courtesy of Elk River, Minn.)

Most towns with a population of less than 25,000 would be considered progressive to have one or two renewable energy or energy efficiency projects. For Elk River, Minnesota's Energy City, 16 projects are only the beginning.

In 1997, the Minnesota Environmental Initiative chose Elk River from more than 30 applicants to demonstrate cutting edge renewable energy and energy efficiency technologies. "We saw it as a way to position the town to attract forward-looking, energy-related businesses and factories," said Vance Zehringer, Elk River Municipal Utilties key accounts and special projects manager. "It was also the right thing to do for the environment and quality of life here."

Diversified energy supply

At the time of its Energy City designation, the central Minnesota town was already home to a successful 40-MW, refuse-derived fuel powerplant, Elk River Station. "I'm sure that helped us in the selection process," said Zehringer.

Elk River's own 2.4-MW, landfill-gas-to-energy powerplant, commissioned in 2002, currently supplies 11 percent of Elk River's energy needs. The addition of another 800-kW unit to the facility will boost that figure to 15 percent.

A privately-owned 660-kW wind generator is another source of renewable energy. "While Xcel buys the power from the generator owner, I doubt the electrons go much further than Elk River," Zehringer observed.

The municipal utility also recommissioned a 10-MW diesel peaking powerplant. "The city gets a better rate on electricity by having its own peak generation," explained Zehringer. "Great River [Energy] saves because it doesn't have to build a comparable peaking plant. It's a good deal for everybody."

Great River Energy, the municipal utility's power supplier, owns several large powerplants including Elk River Station. The wholesale cooperative also buys the excess generation from Haubenschild Farms, another Energy City demonstration.  The 800-cow dairy farm features an anaerobic digester and methane-fired generator that produce all the electric energy needed by the entire farm plus 75 additional homes.

Owner Dennis Haubenschild recently added a hydrogen fuel cell demonstration unit to his operation. "Haubenschild Farms is one of Energy City's most famous demonstrations," observed Zehringer. "It gets visitors from all over the world."

Improving building efficiency

Renewable energy is only one facet of Energy City, however. Promoting infrastructure that uses energy more efficiently is just as important, said Zehringer. "Elk River was the first city in Minnesota to convert all its traffic lights to light emitting diode units," he pointed out. "LEDs are more expensive than conventional bulbs, but they reduce energy consumption by 90 percent and they last 10 times longer, so we save maintenance costs. The conversion paid for itself in less than two years."

Public buildings are being retrofitted or designed for greater efficiency, too. Geothermal heat pumps provide economical heating and cooling for many buildings including Elk River Public Safety Building and Otsego Elementary School.

The city is aiming for a platinum LEED certification for its new library. Two schools, Zimmerman Elementary and Rogers High School, are LEED certified, and a third school is up for a gold certification, Zehringer said proudly. "We plan to host the National Energy Issues Conference at the new Twin Lakes Elementary next April."

Energy City partnered with the Suburban Northwest Builders Association to build the highly efficient Energy House demonstration homes.

Energy House I featured electric technology, while efficient use of natural gas was highlighted in Energy House II. Energy House III, which featured T-Mass basement walls and structural insulated panel walls and roof, returned to its electric roots with a geothermal heat pump system, automated controls and efficient lighting and appliances. “Natural gas prices aren’t expected to decrease whereas electric rates are much more stable and predictable," explained Zehringer.

Indoor air quality was also highlighted in the Energy House III. Construction practices used in the house’s foundation and walls totally eliminate mold potential.  That, plus a whole-house air exchanger, will keep it mold-free. The builder used low-volatile organic compound products in flooring, paint, furniture, decking—wherever possible—to help optimize air quality.

Encouraging economic growth

Economic development is as much a part of sustainable community needs as efficient buildings and clean energy. The Energy City model merges Elk River's resources with those of the energy efficiency and renewable energy industry to show that what is good for the environment can also be good for business.

Industry partnership has been a central part of the Energy City program. The cooperation of Sherburne County, Great River Energy and landfill owner Waste Management, Inc., was instrumental to the success of the landfill gas powerplant.

Johnston Controls entered into a 15-year, $3 million agreement with Elk River School District to do an energy efficient retrofit on 11 of 13 school buildings.  The district anticipates $206,338 in annual energy savings and $116,353 in annual operational savings.

Other industry partners include ECONAR Energy Systems, East Central Energy, Northern Alternative Energy, NRG Energy, CenterPoint Energy Minnegasco and Renewable Energy Services.

Not content to simply partner with industry leaders, Energy City lends a hand to up-and-coming companies with the Elk River Business Incubator program. The incubator provides low-cost space and support to small, higher-technology companies whose success could diversify the city's economic base. Companies such as Solar Attic solar pool heater manufacturer, Cymbet Corporation rechargeable battery maker and Bixby Energy Systems biomass technology company launched from the incubator.

Innovation attracts new business

Bixby eventually relocated to Rogers, Minn., Zehringer noted, but Cymbet graduated from the incubator and kept its plant—and its jobs—in Elk River. More jobs will come with the completion of Target Corp.'s 159,400-square-foot data center next year. The facility will link the department store's distribution centers across the country.

The municipal utility is working with the retailer to reduce the building's demand and energy. The retailer will be eligible for rebates for efficiency measures for lighting, HVAC, motors and variable frequency drives.

The rebates are not an Energy City project, but something that Zehringer set up years ago when he worked for United Power Association, which later became Great River. "We have one of the best arrays of energy efficiency programs in the state, for a utility of our size," he noted proudly.

Make that for a utility of any size. Elk River's greatest accomplishment as Minnesota's Energy City may be showing that there are many ways to protect the environment and that sustainability has a big future even in small towns.

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Vol. 25, No. 4
August
2006

Resources
Elk River, Minn.
Energy City
Minnesota Environmental Initiative
Elk River Municipal Utilities
GreatRiver Energy
bullet USGBC Leadership in Energy-efficient Design
bullet Suburban Northwest Builders Association
bullet Waste Management, Inc.
bullet Johnston Controls
bullet ECONAR Energy Systems
bullet East Central Energy
bullet Northern Alternative Energy
bullet NRG Energy
bullet CenterPoint Energy Minnegasco
bullet Solar Attic
bullet Cymbet Corporation
bullet Bixby Energy Systems
bullet Target Corp.
People
Vance Zehringer
Previous issues
bullet Energy Services Bulletin, April 2004,
Elk River Powerplant turns dirty garbage into clean energy
bullet Energy Services Bulletin, February 2003
Prize winning anaerobic digester generates interest in biogas
bullet

Energy Services Bulletin, October 2005
Farm makes history with "cow-powered" hydrogen fuel cell

Energy Services Bulletin, June 2006
Utilities join projects to promote energy-efficient homes