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OPERATING EXPENSE PROJECTIONS FIXED O&M: Salaries & OH‐Operations Salaries & OH‐Management Routine Repairs & Maint. Major Maintenance Reserve Remote Monitoring PP&L Meter /Testing Subtotal, Fixed O&M VARIABLE O&M: Supplies/consumables Water Supply & Disposal Subtotal, Variable O&M Total, Operations & Maintenance GENERAL & ADMINISTRATIVE: Legal/Audit Property Tax Insurance General & Admin. Expense Total, General & Administrative Total O&M and G&A Year 1 12,000 0 6,000 10,000 4,000 3,000 $35,000 4,000 28,400 $32,400 $67,400 2,000 0.0% 0 0.5% 9,475 6,000 $17,475 $84,875 The labor required to inspect and maintain the system is expected to be minimal, requiring only occasional inspections and routine maintenance of the cooling tower. No precise projections of major maintenance can be made. However, existing refrigeration units using the magnetic bearing motor have experienced extended life and minimal maintenance requirements. A conservative estimate would be that some maintenance on the power train will be required at five year intervals, budgeted to be about $50,000. Remote monitoring by local support personnel is expected to cost $4,000 per year. Pacific Power & Light Company requires that the meter and protection equipment be tested on regular intervals. These expenses will be required under their interconnection agreement, but may be reduced as they become routine and the testing intervals are extended. Water and water disposal services from the city for the cooling tower makeup is estimated to be $28,400 yearly. This is based upon an estimated purchase of 13,672 hundred cubic feet (ccf) at a cost of $1.50 per ccf and a disposal of 2,670 ccf at a cost of $2.92 per ccf. _________________________________________________________________________________________________________ City of Klamath Falls Evergreen Energy & Brown Engineering Geothermal Power Plant Feasibility Study July 2011 Page 21PDF Image | Klamath Falls, Oregon Geothermal Power Plant Feasibility Study
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