ULS 2 Conversion Specialists: Incentives and Assistance for Cleaner Liquid Fuel Conversions

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1 Photo: Jose Caricela ULS 2 Conversion Specialists: Incentives and Assistance for Cleaner Liquid Fuel Conversions October 17 th,

2 PlaNYC: A Greener Greater New York Air Quality Achieve the cleanest air of any big U.S. city Energy Reduce energy consumption and make our energy systems cleaner and more reliable Climate Change Reduce our greenhouse gas emissions by more than 30% 2

3 Public Health and Air Quality Eliminating No. 6 and 4 heavy heating oil is one of the highest impact strategies we can undertake to make New York City s air quality the cleanest and safest of any major U.S. City NYC Community Air Surveys Fine particulate matter (PM 2.5) levels were 30% higher, on average, in parts of the City with the highest densities of heavy oil use compared to the lowest densities PM 2.5 is responsible for respiratory and cardiovascular disease Winter Winter Results Nickel emissions (in PM 2.5) have declined by 35% Neighborhoods with the most Clean Heat boiler conversions had the greatest reductions These accomplishments and the reduction in heating fuel sulfur content will annually prevent: 780 deaths 1,600 emergency room asthma visits 460 hospitalizations 3

4 Heating Oil Regulations In April of 2011, DEP finalized regulations that will eliminate heavy oil use in two phases to balance near-term health benefits with cost minimization for buildings Phase 1 As of July 1, 2012, DEP no longer approves Certificates of Operation for No. 6 oil As these permits must be renewed every three years, No. 6 oil will be completely eliminated by 2015 Phase 2 All buildings must convert to cleanest fuels by 2030 or when replacing boiler/burner whichever happens sooner 4

5 NYC Clean Heat: Free Resources for Buildings Technical Assistance NYC Clean Heat staff is available to guide buildings through the conversion process NYC Clean Heat is working closely with the utilities and industry leaders to help buildings save money and convert to the cleanest fuels Financial Assistance NYC Clean Heat connects fuel switching projects to financing platforms to assist with construction costs. Website Visit nyc.gov/cleanheat to learn more about health impacts of heavy oil, clean conversion options, the conversion process, when your building must convert, and more Contact us Call 311 and ask for NYC Clean Heat 5

6 Available Heating Fuels NYC Clean Heat is fuel neutral program. Buildings have the option of switching to a number of cleaner burning fuels. Cleaner Burning Fuels Ultra-low sulfur No. 2 fuel oil (ULS 2) Biodiesel blends (B5, B20, etc.) Natural Gas Steam Other alternatives (geothermal, cogeneration, etc.) Heavy Fuel Oil No. 6 No. 4 6

7 Why Liquid Fuels? Switching to cleaner burning heating oils from heavy oils has a number of big advantages for your building Save money by increasing the performance of your building Heavy oils create inefficiencies in your heating system Get in compliance now for the long run The sooner you switch to cleaner oils the sooner you will be in compliance for the 2nd phase of regulations Switching to an intermediate fuel now will just mean doubled work over the next few years Take advantage of biodiesel now and in the future There are great tax advantages to using biodiesel NYC can expect to see more biodiesel availability and use in the upcoming years Reduce the greenhouse gas and PM 2.5 (soot) emissions your building is responsible for 7

8 Why Liquid Fuels? Still not convinced? Soot build up causes waste in your boiler system As little as 1/8 inch of soot deposit can reduce boiler efficiency by 8.5% due to diminished boiler heat transfer This leads to paying for wasted fuel and electricity An NYC Clean Heat Account manager can help you understand these costs One pound of PM 2.5 can saturate a volume of air larger than the Empire State building! The average building eligible for NYC Clean Heat emits 222 lbs of PM 2.5 each year. 8

9 ULS 2 Conversion Specialist Program The ULS 2 Specialist Program was developed to deliver more options to buildings pursuing cleaner oil heating solutions What is the program? The program reviews proposals from private companies that service the ULS 2 market, usually oil suppliers and/or service providers. Once approved, these companies can offer new incentives to Clean Heat buildings that can help with the transition to cleaner heating oils. How can buildings participate? Any building burning No. 6 or No. 4 that is located in the five boroughs is encouraged to check out the ULS 2 Conversion Specialist companies and offerings listed here: What incentives and services are available? 9

10 Accardi Companies, Inc. Since 1946 Accardi Companies, Inc. has represented several well recognized and respected manufacturers of multi-fuel fired burners, boilers, hot water generators, controls and instrumentation systems Services Provided: One stop, end to end solution, beginning with an equipment efficiency evaluation to equipment choices, design, implementation guidance and post installation service and support We provide high-efficiency, multi-fuel combustion equipment from a selection of respected manufacturers which include Harsco-Patterson Kelly, Eclipse, Ajax and Buderus to name a few We work with the building owners preferred contractor, or arrange for a contractor to work with the owner Our equipment strategies are designed with an emphasis on cost-effective, easy-toinstall modular components that increase operational functionality and deliver a return on investment for the owner 10

11 Accardi Companies, Inc. Services and Incentives for Clean Heat Buildings Equipment Efficiency Evaluation: Free on-site evaluation of the equipment in place. Discounted Maintenance Contracts: we provide customers with a maintenance contract for the installed equipment. Discounts offered to NYC Clean Heat building participants for multi-year maintenance contracts are as below: 30% discount on the standard rate for a three year contract 40% discount on the standard rate for a five year contract Multiple Boiler Purchase Discounts: Accardi Companies will offer the following discounts for boilers purchased by NYC Clean Heat Buildings. # of Boilers Discount of Invoice 1 5% % % Use of Biodiesel: our equipment can utilize biodiesel. We also work with Tri-State Biodiesel to approach buildings together and provide them with an offer of equipment and biodiesel as a package 11

12 G.C. Environmental, Inc. (GCE) GCE is a full service environmental and mechanical service company, providing cost-effective turnkey services for boiler conversion, tank and related environmental needs. Services and Experience 24 years experience in mechanical solutions Burner conversions to ULS 2 Complete environmental services Tank monitoring systems Incentives for Clean Heat buildings Tank testing, upgrades, repair, replacement Tank lining and repair helps buildings save money by avoiding the need to replace a tank when going to cleaner heating oils Fully licensed, insured, and certified Complete permitting services with regulatory agencies 12

13 G.C. Environmental, Inc. (GCE) 24 Years of Experience Affordable Alternatives Full-Scope Service Free Evaluations The Conversion Process Tank Cleaning & Testing Investigation clean up if necessary Tank Removal Tank Permits, Upgrade & Compliance Tank Repair or Replacement Burner Conversion go to or call today for a free consultation, at

14 Original Energy Original Energy s turnkey services include cost assessment, construction management services, and assessment of potential rebate and incentive availability Incentives and Services for Clean Heat Buildings Commodity Price Auditing: This includes a free review of current oil/fuel bills to provide a fuel price analysis based on current commodity market indexes. Original Energy will provide a price comparison based on the size of the property, fuel grade and geographic location. Free Site Assessments: Original Energy will assess existing equipment and produce an with expected cost analysis provided for any equipment changeovers that will be required for the conversion. 14

15 Petro Petro provides a turnkey solution for compliance with NYC Clean Heat, including conversions to ULS 2 Incentives and services include: Free Site Assessment and Estimate: Petro will perform an onsite visit and consultation, discuss all of your options, and provide a written estimate at no charge. Free Service Contract: Petro will provide a free year of service with the purchase of an annual service contract (a $750 value) Discounted Pricing: Petro will supply ULS 2 with a discount pricing structure which will offer a more competitive oil price based on total gallons delivered Other Services: Complete energy audits, ULS 2 oil and other Clean Heat conversions, identify rebate programs, 24/7 Emergency response team, guaranteed fuel supply 15

16 Tri-State Biodiesel Tri-State Biodiesel (TSB) is a social enterprise dedicated to creating a more just and sustainable world by providing an affordable carbon neutral alternative to conventional fossil/ petroleum based heating fuels. TSB provides Biodiesel fuel made from domestic renewable sources to the NYC Metropolitan region and beyond. Below: Tri-State rolling into action during Hurricane Sandy. Right: Serving customers in NYC 16

17 Tri State Biodiesel Tri-State offers reduced cost oil and turnkey conversions services for Clean Heat buildings converting to ULS 2 with biodiesel blends of 5% up to 100% (B5-B100) Incentives and services include: Per gallon price reductions through ordering higher blends of biodiesel heating oil, or cluster orders with other local buildings High volume discounts can go up to $.20/gallon depending on the size of the cluster order Tri-State can help your building cash in on the New York State tax credit and rebate for biodiesel heating oil Free walkthrough assessment of your boiler system with an engineer from Accardi Tri-State can help your building cash in on the New York State tax credit and rebate for biodiesel heating oil Limited equipment guarantees (pumps and seals) available for qualifying customers ordering B20 or higher blends 17

18 United Metro Arrangements will be made to visit your site, evaluate the equipment and determine if you qualify. United Metro Energy Incentives Receive delivery of ULS 2 heating oil with B2 up to B20 blends at the same market cost as traditional 2 heating oil. Receive a free tank assessment of the existing tank to determine suitability for a free cleaning and conversion to the use of cleaner biofuels. Tank alterations and upgrades to the equipment shall be at the owners expense. Guaranteed one-year contract. Obtain a state tax credit, starting at the B2 blend up to B20. ULS with a B20 bioheat blend may qualify for up to 20 cents per gallon making B20 the most cost effective and greenest option. 18

19 Contacts NYC.gov/cleanheat > Resources > Incentives Accardi Companies (718) x110 G.C. Environmental (877) Original Energy (914) Petro (718) (718) Tri-State Biodiesel (718) x212 United Metro (718)

20 Get Involved Interested in becoming a ULS 2 Conversion Specialist? Applications for the ULS 2 Conversion Specialist program are being accepted on a rolling basis If your company is interested in participating, please download the RFQ and submit a response via City Record internet.nyc.gov/nycvendoronlin e/home.asp All communications and submittals have to be conducted through City Record Application information is also available on the NYC Clean Heat website 2-conversion-specialists 20

21 Photo: Jose Caricela Cleaner air is within reach! Call 311 nyc.gov/cleanheat 21