COURIER The Kilowatt
November 2021
BESS | BATTERY ENERGY STORAGE SYSTEM
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he Battery Energy Storage System (BESS) is a 46.5 megawatt (MW) system ca p a b l e of delivering 93 megawatt-hours (MWh) over a two-hour period when fully charged. The BESS is located at HEA's Soldotna Generation and Substation Facility and is made up of 37 battery units that were delivered and installed in August. The BESS continues to progress toward completion with major construction activity completed and testing scheduled for this month. What does this mean for your cooperative? It opens the door to accept more variable renewable power as well as to better diversify our power generation portfolio. HEA currently relies heavily on natural gas to fuel our generation plants. With natural gas prices on the rise, the battery storage of renewable energy would help stabilize some costs that are not in our control. Moreover, one of the most valuable benefits of the BESS is the significant savings, and allowance for more consistent power delivery, when unexpected events threaten our power reliability 80352001. Take the case of the 2019 Swan Lake Fire. Due to the massive and lengthy fire, HEA was forced to de-energize the transmission line that runs to Anchorage, essentially isolating – or “islanding” – the Kenai Peninsula and HEA’s service territory from the rest of the utility Railbelt for 121 days. Being islanded can potentially cost HEA an extra $24,000 per day in additional fuel costs. In the future, the BESS could potentially avoid approximately $2.9 million in fuel costs if islanded for that same time frame. With the BESS in place, those consistent power delivery savings can be appreciated in real dollar amounts when a planned or unplanned event or emergency takes place. The BESS can supply that needed supplemental power. Your cooperative is headed into exciting developments with this innovation that will be realized for generations to come.
OUTAGE PREPAREDNESS
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very electric co-op in the country strives to deliver reliable, consistent service to its members-owners. Unfortunately, Mother Nature 3416002 can be an electric utility’s worst nightmare. If your lights go out, here are a few steps you can follow: • Check HEA's Outage Map at https://outage.homerelectric.com for real-time outage information and to see if your area is affected by an outage. • Check your electrical panel and main circuit breaker located near your meter. If it has tripped, turn it off and then back on again. • Call Homer Electric’s 24-hour service at 283-5831, 235-8551 or (800) 4788551 from the phone number that is on your electric account. • Report the outage location and any bright flashes, explosive noises or trees on the line. These are clues that can help our linemen restore your service. • Be sure to protect your computer and sensitive electronic equipment and plug them into a good quality surge protector. • Keep a battery-operated radio on hand. To learn more on how you can prepare for an outage and emergencies, visit HEA's webpage on Outage Preparedness at https://www.homerelectric.com/outage-information/outage-preparedness/ . Kilowatt Courier is a monthly online publication by Homer Electric Association, Inc.
ENERGY ASSISTANCE PROGRAMS
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HIDDEN hese are challenging times for everyone, but there are resources that can help. ACCOUNT NUMBERS HEA reminds our members that there are energy assistance programs to help qualified applicants with their energy bills. Please reach out to these organizations Three randomly chosen italicized account numbers are hidden if you need assistance. in the Kilowatt Courier. Alaska Heating Assistance Program If you find YOUR account number, call The State of Alaska program helps households pay a portion of home heating 235-3338 and you'll receive a $50 expenses. The program runs from October 1 through April 30. Pick up an application credit which will be reflected on your next bill. Thanks for at HEA or any Department of Public Assistance office or call 1 (888) 804-6330 to request reading! an application by mail. Applications can be downloaded at https://dhss.alaska.gov/dpa/ Pages/hap/default.aspx Alaska Weatherization Assistance
The Alaska Weatherization Assistance Program is funded by the Department of Energy and administered by the Alaska Housing Finance Corporation (AHFC). Its mission is to insulate the dwellings of low-income persons, particularly the elderly, persons with disabilities, families with children, 59824001 high residential energy users, and households with a high energy burden. For more information, contact the AHFC at (907) 338-6100 or go to https://www.ahfc.us/efficiency/ energy-programs/weatherization.
Kenaitze Energy Assistance
CURRENT RESIDENTIAL RATES As of October 1, 2021
All Residential Customers Energy charge = 16.077 cents/kWh Customer charge = $20.00 System delivery charge = $24.12* (*If usage is less than 150 kWh)
The Kenaitze Indian Tribe offers an Energy Assistance Program providing for the payment of home energy costs on behalf of eligible low income households. For more information on the Kenaitze Indian Tribe Energy Assistance Program, call (907) 335-7200 or visit https://www. kenaitze.org/services/energy/.
Cost of Power Adjustment (COPA) 7.72 cents per kWh*
HEA realizes there are times when bills get overwhelming and we are here to help you with your electric account. If you are having difficulty paying your electric bill, please contact our member services department and we may be able to work out a payment arrangement that suits your needs.
See www.homerelectric.com for the latest residential and commercial rates.
(*Subject to change on a quarterly basis and upon RCA approval.)
BOARD of DIRECTORS & MANAGER
GIVING BACK TO OUR COMMUNITY
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EA's staff are your neighbors and active members in our communities. Here are HEA employees, Colleen Vance and Kathy Heindl, passing out candy last month during the Soldotna/Kenai Halloween Drive Thru event. We value our HEA employees and their efforts inside and outside of the office!
Ed Oberts, President (907) 398-8039 Erin McKittrick, Vice President (907) 299-6994 Jim Duffield, Sec./Treasurer (907) 283-2203 Jim Levine, Deputy Secretary (907) 299-0323 Dan Chay, Director (907) 283-9227 Mike Chenault, Director (907) 398-1010 Louie Flora, Director (907) 717-9602 Charles "C.O." Rudstrom, Director (907 ) 420-7124 Robert Wall, Director (907) 398-9191 Brad Janorschke, General Manager (907) 283-2312
MONTHLY FINANCIAL UPDATE
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omer Electric finished the month of September 2021 with a total asset base of $263.2 million. Operating revenue to date was $76.9 million and total costs were $73.7 million, bringing net operating margins to $3.2 million through September 30, 2021. This chart is a breakdown of key financial indicators comparing September 2020 to September 2021. Year to Date Operating Revenue Cost of Purchased Power
September 30, 2021 $76.9 million $47.7 million
September 30, 2020 $77.0 million $48.4 million
Cost of Electric Service Operating Margins
$26.0 million
$26.5 million
$3.2 million
$2.1 million
Total Kilowatt Hours Sold Total Number of Meters
341.0 million
332.4 million
35,833
35,566
NOVEMBER 2021 KILOWATT COURIER Homer Electric Association, Inc. 3977 Lake Street Homer, AK 99603 (907) 235-8551 (800) 478-8551 280 Airport Way Kenai, AK 99611 (907) 283-5831 www.homerelectric.com Homer Electric Association, Inc. is an equal opportunity provider and employer.