Georgia Agricultural Irrigation Motor (AIM) Program SEP Formula

Transcription

1 Georgia Agricultural Irrigation Motor (AIM) Program 2013

2 Program Purpose Provide an agricultural incentive program to Georgia farmers that will encourage energy efficiency, reduce dependency on foreign oil, reduce greenhouse gas emissions and promote job growth. Program Summary Provide a rebate program to incentivize the replacement of inefficient diesel irrigation motors with efficient electric irrigation motors. The efficiency of electric motors is approximately 85 percent compared to a diesel motor efficiency of 31 percent. Due to increased efficiency, an electric pump only requires two-thirds of the horsepower of a diesel engine. Program budget is approximately $180,000; Rebate for 25 percent of the cost of the new electric motor and supporting equipment, expenses associated with connecting the electric engine to the power meter, three phase converters and variable frequency drives; Ineligible costs include the costs associated with three phase power or bringing power to the meter (i.e. expenses payable to a power company). Program Eligibility The replacement of the diesel to electric motor must take place within the state of Georgia; The work must be performed by a licensed contractor after notification of approval from the Georgia Environmental Finance Authority (GEFA); Rebates will not be provided for motor conversions that have already been completed; One rebate per farmer; rebate is 25 percent of eligible project costs, maximum rebate is $10,000; The diesel engine being replaced must be at least 10 years of age and in service; The size of the electric motor must be a maximum of two-thirds of the horsepower of the diesel motor it is replacing. For example, a 120 HP diesel engine that is replaced with a 100 HP electric engine would not be eligible. A 120 HP diesel engine that is replaced with a 70 HP electric engine would be eligible. Program Delivery GEFA will partner with its stakeholder group to communicate the program to Georgia s farming community. GEFA will run the rebate program in-house to meet the State Energy Program Formula program deadline. On March 6, 2013, GEFA will begin accepting applications electronically via a web-based Quickbase system. Applications meeting the minimum program eligibility requirements will be reviewed, processed and approved on a first-come, first-served basis. A licensed contractor s work estimate, proof of funds on bank letterhead or bank statement, a notarized verification of lawful presence, and GEFA s automated clearing house (ACH) form are required at the time of application. GEFA will notify the applicants in writing to confirm if they were approved or denied. Once the applicant has received the approval confirmation from GEFA, they may select a contractor to begin installation. Installations must be completed by August 16, Applicants will provide GEFA final invoices and proof of payment through the Quickbase system when work is completed, or no later than August 30, GEFA will review invoices and process rebates for payment once approved. 2/4/2013 Georgia GEFA Environmental will make payment Finance via direct Authority, deposit to Energy the applicant s Division bank as designated on the ACH form; no payments will be made to contractors.

3 Expected Program Outcome The replacement of inefficient diesel motors with efficient electric motors. Increased awareness of agricultural energy efficiency measures that can be further adopted and promoted across the state. Leveraged funds will contribute 75 percent of project cost, bringing estimated installed project totals to $725,000; promoting jobs in Georgia. An average diesel irrigation motor will produce 71 tons of carbon dioxide (CO2) per year and run 800 hours per growing season, using eight gallons of fuel per hour. Repowering 35 diesel irrigation motors will: Decrease annual CO2 emissions approximately 2,485 tons; and Reduce annual diesel fuel consumption by 224,000 gallons. Program Risks How will we know that applicants have the funds required to complete the work? Impact: The program would be under-subscribed and funds may remain after the September 30, 2013, deadline. Mitigation: GEFA will require the applicant to provide proof of funds to meet the project cost estimate provided by the contractor. How will GEFA ensure compliance with O.C.G.A ? Impact: GEFA would be out of compliance with state code. Mitigation: GEFA will require applicants to upload a notarized Verification of Lawful Presence affidavit when making application for the rebate. GEFA will make the form available on its website. U.S. Department of Energy Program Process Metrics Metric Area Metric Metric Item to Report Financial Incentives and Rebates Financial incentives provided, by incentive type and sector; Total value of investments incentivized, by incentive type and sector.

4 Program Stakeholders Organization Name Phone Georgia Environmental Finance Authority, (GEFA) Energy Division GEFA, Public Affairs Shane Hix GEFA, Finance Division Jammie Harden GEFA, Energy Division David Gipson GEFA, Energy Division Kristofor Anderson U.S.D.A. Craig Scroggs U.S.D.A Al Burns Georgia Department of Agriculture Commissioner Black Georgia Department of Agriculture Mary Kathryn Yearta Georgia Soil and Water Conservation Commission (GASWCC) Brent Dykes Georgia Power Rebecca Gray Oglethorpe Power Jeff Pratt Electric Cities of Georgia Ellen Richardson Pine County Regional Development Commission Kim Thompson Georgia Center of Innovation, Energy Jill Stuckey Georgia Center of Innovation, Agriculture Donnie Smith Georgia Farm Bureau Zippy Duvall Department of Energy Kirk Stone UGA Cooperative Extension Service John Worley

5 Program Stakeholders Organization Name Phone Georgia Farm Bureau Jeffrey Harvey Georgia Fruits & Vegetables Growers Association Charles Hall UGA Cooperative Extension Service Gary Hawkins GASWCC Aquanda Jones Georgia Agribusiness Council Bryan Tolar Project Timeline

6 GEFA Program Approval: David Gipson: Date: Jammie Harden: Date: DOE Program Review Kirk Stone: Date: