United States Environmental Protection Agency egion VIII 1860 Lincoln Street Denver. Colorado 80295 Solid Waste &EPA A TECHNICAL ASSISTANCE PROGRAM REPORT RESOURCE RECOVERY OPTIONS FOR BOULDER,COLORADO ------- A TECHNICAL ASSISTANCE PANELS PROGRAM REPORT: RESOURCE RECOVERY OPTIONS FOR BOULDER, COLORADO Prepared for: U.S. Environmental Protection Agency Region VIII 1860 Lincoln Street Denver, Colorado 80295 Prepared by: Fred C. Hart Associates, Inc Market Center 1320 17th Street Denver, Colorado 80202 October, 1981 ------- RESOURCE RECOVERY OPTIONS FOR BOULDER, COLORADO ENVIRONMENTAL PROTECTION AGENCY REGION VIII ^•BOULDER • OSNVgR ------- Public Law 94-580 - October 21, 1976 Technical assistance by personnel teams. 42 DSC 6913 RESOURCE RECOVERY AND CONSERVATION PANELS SEC. 2003. The Administrator shall provide teams of personnel, including Federal, State, and local employees or.contractors (hereinafter referred to as "Resource Conservation and Recovery Panels") to provide States and local gov- ernments upon request with technical assistance on solid waste management, resource recovery, and resource conservation. Such teams shall include techni- cal, marketing, financial, and institutional specialists, and the services of such teams sha1! be provided without charge to States or local governments. This report has been reviewed by the Project Officer, EPA, and approved for publication. Approval does not signify that the contents necessarily reflect the views and policies of the Environmental Protection Agency, nor does mention of trade names or commercial products constitute endorsement or recommendation for use. Project Officer: William Rothenmeyer ------- TABLE OF CONTENTS Page No. List of Tables iv List of Figures vi Acknowledgements vii Executive Summary viii I. INTRODUCTION 1 11. BACKGROUND 2 A. Waste Quantity and Characteristics 2 B. Current Collection and Disposal Practices 8 C. Eco-Cycle 11 D. University of Colorado 14 E. Valmont Plant of the Public Service Company of Colorado 20 F. City Yards 22 III. RESOURCE RECOVERY OPTIONS 27 A. Modular Incineration 27 B. Refuse Derived Fuel 30 IV. REGULATORY FACTORS AND POLLUTION CONTROL REQUIREMENTS 42 A. The Permitting Process 42 B. Air Emissions and Permit Requirements . 43 C. Noise Regulations 51 D. Solid Waste Generation and Permit Requirements 52 E. Other Environmental/Regulatory Concerns 53 F. A Regulatory Compliance Strategy 54 G. Risks of Hazardous Substances in the Waste Stream 55 V. COST-EFFECTIVENESS 57 A. The Variables 57 B. Results of the Analysis 67 C. Alternate Sites for Modular Incineration 67 D. Sensitivity Analysis 69 VI. IMPACTS ON EXISTING ORGANIZATIONS 75 VII. RECOMMENDATIONS 77 i 1 i ------- LIST OF TABLES Table No. Page No. 1. Population Forecasts for Boulder County, 1980-2000 3 2. Waste Stream Composition 5 3. Composition of the Waste Stream in the Study Area 7 4. Eco-Cycle: Summary of Monthly Operations 13 5. University of Colorado Main Campus Heating System 16 6. Seasonal Varation in the University's Demand for Steam, 1979-1980 16 7. Historic Energy Consumption - Main Boulder Campus 17 8. Projected Energy Use at the University of Colorado I9 9. Valmont Steam Electric Station Generating Capability and Operating Data 23 10. Businesses Located Within One-Mile Radius of City Yards Incinerator Location 24 11. Energy Use by Facilities in the City Yards Area 26 12. Projected Optimum Operating and Maintenance Costs for North Little Rock, Arkansas, 100 TPD Modular Incinerator 31 13. Municipal Modular Incineration Facilities Operational or Under Construction in the United States, March, 1981 32 14. Municipal RDF Facilities Operational or Under Construction in the United States, March, 1981 38 15. RDF Facility Labor Requirements 39 16. North Little Rock Flue Gas Emission Data 48 17. Particulate Emissions from the St. Louis Facility 50 18. Estimated Capital Costs for Resource Recovery Technologies 58 19. North Little Rock Actual Capital Cost Breakdown 60 20. O&M Costs for Resource Recovery Options 62 21. Transportation Cost for Waste Disposal Options 65 iv ------- 22. Revenues from Resource Recovery Options 66 23. Tipping Fees for Resource Recovery Options in Boulder 68 24. Site-Specific Cost Considerations for Modular Incineration Facilities 70 25. Impact of 52 TPO Eco-Cycle Program on Modular Incinerator Tipping Fees 71 26. Impact of Hypothetical Inflation on Tipping Fees for Modular Incineration 73 ------- Figure No. LIST OF FIGURES Page No, 1. Distances Between Major Points of Concern to Steam Distribution at the University of Colorado .............. . ........ 21 2. Cutaway View of Modular Incinerator Showing Major Components of the System ........................................ 28 3. Modular Incinerator Flow Diagram and Labor Requirements .............................................. 33 4. Modular Incinerator Labor Requirements: Key Staff Positions ............................................. 35 5. Schematic Drawing of Typical Refuse Derived Fuel Project ........ / 6. Permit Procedures for Air Emission and Solid Waste Disposal Permits ................................................ 4b ------- ACKNOWLEDGEMENTS This report was prepared for the Region VIII office of U.S. EPA by Fred C. Hart Associates, Inc., under Contract No. 68-01-6008. The project manager was Dr. James McCarthy. Patti Allen, Howard Davis, Burke Lokey, and Stephen Orzynski, P.E. served on the project team. The EPA Project Officer was William Rothenmeyer. Information and assistance was provided by a number of individuals affili- ated with the City and County of Boulder, the City of Longmont, the University of Colorado, Public Service Company of Colorado, Landfill, Inc., Western Dispos- al Co., and Browning Ferris Industries. vii ------- EXECUTIVE SUMMARY This report is a preliminary study of the feasibility of constructing a resource recovery facility in Boulder, Colorado. It recommends that Boulder County and the cities of Boulder and Longmont proceed with initial planning for construction of a modular incinerator at one of three locations: a) the Public Service Company site at Valmont, b) City Yards, or c) the University of Colorado. This report reaches the following conclusions: 1. The Cities of Boulder and Longmont will generate at least 308 tons per day of waste for disposal, recycling or resource recovery. 2. Modular incineration of this waste stream would cost $22.33 per ton. Other resource recovery technologies considered would cost' between $38.09 and $54.55 per ton. 3. Revenues produced by the sale of steam from a modular incinerator would be $14.00 per ton, reducing the effective cost of incinerating waste (the tipping fee) to $8.33 per ton. 4. Revenues produced by sale of materials and energy from other resource recovery options range from $14.31 to $16.69 per ton. After subtracting revenues, tipping fees are at least $23.78 per ton, or nearly three times the fee for a modular incinerator. 5. Current solid waste disposal costs average $6.40 per ton for Longmont and $4.20 per ton for Boulder. However, the operator of the Marshall landfill, where most of Boulder's waste is disposed, expects to request a doubling of landfill tipping fees this year to cover increased costs. 6. Changes in transportation costs should make modular incineration more competitive. Preliminary assessment of transportation costs for waste vm ------- delivery to three potential sites in Boulder indicates savings of $2.40 to $3.39 per ton over delivery to landfills. The savings accrue primarily to haulers delivering waste from the City of Boulder. The City of Longmont's transportation costs change very little if the City constructs a transfer station and hauls waste to Boulder in trailer trucks. 7. Modular incineration appears preferable to the other technologies examined not only on cost grounds, but also in terms of reliability. Modular incinerators are simpler in design, become operational more quickly, and generally require less extensive pollution control equipment. 8. There is no basic incompatibility between the continued operation of Eco-Cycle and the operation of a modular incinerator. Eco-Cycle cur- rently handles about 5 percent of the area's waste. While an expanded Eco-Cycle would raise the cost of incineration, it would probably lower overall waste disposal costs. 9. If energy prices increase faster than other prices, modular incinera- tion will become more cost-effective. Even if energy prices increase at the same pace as other prices, the incinerator becomes more cost- effective each year inflation continues. 10. Incinerators smaller than 308 TPO would cost more to operate and main- tain per ton of waste processed than a larger facility, but might still be cost-effective. 11. The Valmont plant of the Public Service Company appears at this time to be the preferred site for an incinerator because of available land, the compatibility of the project with current land use, the proximity to an interested steam customer (PSC), the ability of a single cus- tomer to commit itself for the life of the project, and the potential for ash disposal on site. The City Yards and the University possess some of these advantages, and should not be eliminated from considera- tion at this stage. ------- 12. If a resource recovery facility is constructed, existing landfill operators would experience a lower volume of business. Substantial quantities of waste would, however, still be available to them from other parts of the County, growth in waste generation, incinerator downtime, or other sources. The financial impact on the operator of Marshall Landfill cannot be assessed without access to proprietary data. The report recommends that the Cities of Boulder and Longmont, the County and the other interested parties undertake seven steps to complete the next phase of planning: 1. The Public Service Company, the University of Colorado, and the City should undertake preliminary costing of the most feasible alterna- tives, including costs of modifications to existing facilities. 2. The County or the Cities of Boulder and Longmont should begin sampling the waste stream to determine its exact quantity and characteristics. 3. The City or County of Boulder must take steps to ensure a waste supply for the facility. At present, private haulers control waste disposal in the City of Boulder, with local government unable to direct its disposition. The initial phase of this step would be to explore legal options and requirements at the State, County, and municipal levels. 4. Further examination of the pollution control requirements - particu- larly air pollution - for a modular incinerator in Boulder should be undertaken with emphasis on the cost and reliability of any equipment that may be required. 5. The City or County of Boulder should examine the cost of an expanded source separation/recycling effort as a method of minimizing total collection and disposal costs. The data presented in this report are insufficient to judge the relative cost-effectiveness of the efforts to expand source separation and recycling versus resource recovery. ------- 6. The City of Longmont should conduct an analysis of the feasibility of constructing a transfer station for its solid waste. The analysis should consider sites available for the station, and the total cost of waste delivery to the three potential resource recovery sites, including capital, operating and maintenance, and transportation costs. 7. When the above steps have been completed, a more detailed feasibility study must be prepared. This study would summarize the results of steps 1 to 6, present detailed information concerning the viable options, and make recommendations for the next phase of implemen- tation. ------- I. INTRODUCTION The purpose of this report is to evaluate alternate systems that could be used by the City or County of Boulder to burn municipal solid waste, with recov- ery of the heat produced by combustion. The report evaluates five alternative combinations of technology and location, and assesses the potential impact on the existing organizations providing waste disposal and recycling services for the city. Boulder County and its largest cities, Boulder and Longmont, currently use two landfills for the disposal of 90 per cent of their solid waste. The two landfills will exhaust their present capacity in two to five years. This fact, and the continuing increase in the costs of fuel which affects the County's major industries and institutions, have led the local governments to request assistance in the analysis of waste disposal options, with an emphasis on resource recovery systems that produce heat or steam by combustion of solid waste. This report is the result of that request. The report is divided into six sections. The first section characterizes Boulder's waste stream and provides background information concerning the facilities and organizations likely to be affected by a resource recovery project. The second section discusses resource recovery technologies. The third section addresses regulatory factors and pollution control requirements for the alternative technologies. The fourth section discusses cost-effectiveness. The fifth section discusses impacts on existing organizations. The final section provides an implementation plan and recommendations. ------- II. BACKGROUND A. Waste Quantity and Characteristics At the outset of the project, some assumptions needed to be made regarding the key variables that would determine the waste stream available for a resource recovery system. These variables include: 1) study area; 2) start-up date; 3) waste generation rates; 4) waste composition; and 5) seasonal variations in waste generation. 1. Study Area. The study area was defined in discussions with the City of Boulder after a review of population data for the City and County. As Table 1 shows, Boulder County had an estimated 1980 population of 208,000 people. Of this total 104,000 (50 per cent) lived in the City of Boulder and 47,000 (22.6 per cent) lived in Longmont. It was determined in discussions with appropriate city officials that both cities were interested in considering resource recovery options. Therefore, the total population of the two cities was included in the study area. Other parts of the County were not included in the study area, although this does not preclude their participation in an eventual resource recovery pro- ject. The predominantly rural and dispersed population in the remainder of the County results in statistically lower waste generation rates, and less consolidated and compacted waste. Participation of these areas was not critical to the feasibility analysis, while their inclusion would significantly complicate the analysis, particularly regarding transportation costs and institutional considerations. The more detailed analysis required in future phases of planning would, of course, need to provide waste disposal options for the remaining portions of the County, one which would be participation in a resource recovery facility. 2. Start-Up Date. Given the preliminary nature of the current planning process, it is unlikely that a resource recovery facility in Boulder would come on line before 1985. Therefore, the population data used to project waste ------- quantities were estimates for 1985. These were derived from the figures in Table 1, yielding a study area population of: Boulder 118,000 Longmont 57.000 Total 175,000 TABLE 1 POPULATION FORECASTS FOR BOULDER COUNTY, 1980-2000 (in thousands)1 Area 1980 1990 2000 Boulder 104 113 170 Longmont 47 68 98 Broomfield? 18 29 47 Lafayette 9 12 17 Louisville 6 14 30 Other Incorporated Areas 247 Unincorporated 22 28_ 34_ TOTAL 208 288 376 1 At the time this report was being written, population figures from the 1980 census were not available. The population figures used in the calculations in this report are estimates for 1980 and differ from the 1980 census figures which are as follows; Boulder County 190,000, City of Boulder 77,000, and City of Longmont 43,000. Although the population figures used in this report are probably high, resulting in a higher projected daily waste tonnage than will be actually experienced, the conclusions and recommendations contained in this report remain valid. Further study should fine-tune the projected populations and waste tonnages. 2 Boulder County portion only. Source: 1980 Boulder County Solid Waste Management Plan. Draft, September 2, 1980, pp. 701-702. ------- Given the uncertainties in providing an assured waste supply, which will be described further in Section I.B. of this report, it was decided not to design excess capacity into the system for population growth or for addition of other areas of the County. It should be noted, however, that the technologies chosen for study would be relatively easily expanded to accommodate increases in waste loads beyond that projected. 3. Waste Generation Rate. The per capita waste generation rate used in this study, 4.7 Ibs. per person per day, was derived from data in an exhaustive study entitled Feasibility Analysis of Resource Recovery from Solid Waste (1976). 1,2 This waste generation rate includes residential, commercial, and industrial wastes and excludes construction and demolition debris. This waste generation rate was the most recent of five cited in the 1980 Boulder County Solid Waste Management Plan, and corresponded with national averages of waste generation. Using this figure, a total waste quantity for the study area of 411 tons per day (TPD) was estimated. 4. Waste Composition. As with the population projection figures, waste composition information was derived from the Parsons Study. Waste composition information is used to determine the quantities of potential recyclables and combustibles in the waste stream. National data were also collected for compar- ative purposes (see Table 2). While there are some significant differences between the regional and national data (particularly in the "paper" and "other waste" categories), the differences appear less significant if the focus is placed on ascertaining data on recyclables and combustibles. Both sets of data agree that roughly 80 1 An effort was made to obtain specific waste generation rates for the Boulder area by contacting three local waste haulers; however, the data received was very variable and, therefore, could not be utilized. 2 Hereafter referred to as the Parsons Study. The study was prepared for the Denver Regional Council of Governments by the Ralph M. Parsons Company. ------- Table 2 Waste Stream Composition- Per Cent of Total Waste Stream Material Paper Metal Ferrous Aluminum Other Non-Metals Glass Plastic Rubber and Leather Other Waste Yard waste Food waste Wood Textiles Miscellaneous organics Other Regional 42 9 14 35 no (7.7) (1.0) (0.3) (9) (2) (3) break down National 32.4 9.3 (8.3) (0.7) (0.3) 15.9 (10.1) (3.2) (2.6) 42.4 (19.1) (16.8) (3.5) (1.5) (1.4) (0.1) Source: Parsons Study for Regional data; U.S. Congress, Office of Tech- nology Assessment, Materials and Energy from Municipal Waste, July 1979, pg. 25, for national data. I/ Numbers in parentheses are included in the category totals. ------- percent of the waste is combustible^. They also agree that glass and metals each account for approximately 10 percent of the total waste stream. If the County proceeds with resource recovery, a detailed analysis of waste quantity and composition should be undertaken. A waste weighing program at the Marshall landfill should be initiated for at least 2 separate weeks (optimally one high spring clean-up period and one low week during the winter months to determine seasonal variations). Simultaneously, representative samples of the wastes should be sorted into separate waste categories to pinpoint waste compo- sition percentages. Various references are available in the literature describ- ing the mechanics of performing waste quantity and composition studies2. 5. Seasonal Variation. The final assumption that needed to be made concern- ing the waste stream was its seasonal variation. Comprehensive data concerning seasonal variation in the quantity and composition of Boulder County's waste are not available, but fragmentary information was obtained from U.S. EPA, the Uni- versity of Colorado, the City of Longmont, and the Parsons Report. These sug- gested that seasonal variation could be as low as 12 percent or as high as 25 percent on either side of the mean. After reviewing these data sources, the project team decided to use the most conservative of the figures, 25 percent. The reason for choosing the conservative figure is the need to design a system, and to assess its cost-effectiveness, on a steady, assured waste flow. To choose a higher figure would be to run the risk of designing excess capacity into the system: this would increase the proportion of time the system would be idle (for lack of feedstock), increasing the overall cost of waste processing. This statement is not meant to exclude paper from the category of recycl- ables. As will be seen below, the analysis considers the possibility of running a large paper recycling operation (Eco-Cycle) simultaneous with an RDF or incineration project. One such reference is: U.S. Department of Housing and Urban Development, The Feasibility of Resource Recovery in Durham. Publication No. HUD/RES-1176, March, 1977. ------- Previously derived variables for quantity and composition of the waste stream were then adjusted to reflect system size at the low point of the waste generation cycle. After adjusting we find an assured waste quantity of 308 TPD. The composition of this waste stream is shown in Table 3. Of the total quantity, it is the combustible portions, especially yard waste and paper, that will show the greatest seasonal variation. Assuming the quantity of non-combustibles remains relatively stable, the combustible portion of the waste stream at its seasonal low would be approximately 70 percent. TABLE 3 COMPOSITION OF THE WASTE STREAM IN THE STUDY AREAl Materials Paper Metals Ferrous Al umi num Other Non-Metals Glass Plastic Rubber and Leather Other? Yard Waste Food Waste Wood Textiles Mi seel 1 a neou s 0 rga n i cs TOTAL Percentage 42 9 (7.7) (1) (0.3) 14 (9) (2) (3) 35 (15.8) (13.9) (2.9) (1-2) (1.2) 100 Tons Per Day (1985) 129 28 (24) (3) (1) 43 (28) (6) (9) 108 (48) (43) (9) (4) (4) 308 1 Numbers in parantheses are included in the category totals, 2 Percentages derived from national data. ------- B. Current Collection and Disposal Practices The refuse collection and disposal scheme is significant in a resource reco- very program because it determines the availability of the refuse for energy recovery. No system will be possible unless the County or the Cities of Boulder and Longmont can control refuse collection and disposal. In a private system, such as currently exists in Boulder, refuse would be provided for resource re- covery only if the cost to the hauler were lower than the cost of alternate dis- posal methods, such as landfilling or if an ordinance (or other type of regula- tory control) ensured that the wastes had to be delivered to the resource re- covery facility. This section of the report, therefore, discusses current col- lection and disposal practices, including who collects waste, how often, the regulatory framework, and the cost of collection and disposal services. 1. Collection. Generally, refuse collection in the City of Boulder is done by individual contracts with any of the 18 private haulers in Boulder County. The private haulers collect solid waste generated by commercial, industrial, and residential establishments. There are also some individuals who haul their own waste to the landfill using privately owned vehicles. However, by comparison, the waste hauled by individuals is a small percentage of the total waste col- lected in the City. Boulder provides limited municipal collection services in the form of removal of spring cleaning debris. The City also transports sewage sludge to the land- fill. Currently, refuse is collected from residences and commercial establishments in and around Boulder City six days per week. The fifth and sixth days of the week are usually light days. In addition to residential refuse and paper and plastics from commercial establishments, some construction debris is also col- lected. Commercial establishments include the larger businesses, such as IBM, and the shopping centers. The haulers use the Erie, Longmont and Marshall land- fills for disposal. Prior to 1980, contract haulers were regulated by the Colorado Public Utili- ties Commission (PUC). The regulation merely required that the hauler obtain a permit from the PUC. Since then, with the enactment of Colorado Senate Bill 95, 8 ------- the haulers have essentially been deregulated. The Bill requires the counties instead of the PUC to regulate haulers. Trash haulers operating in Boulder County are required to obtain a County trash haulers license. For the private contract haulers the service area includes any one in Boulder County who contracts with the haulers for services. Before deregulation of the haulers, the service area consisted of Boulder City and a five mile radius out- side the city. Collection fees are based on a user charge system. Two of the major haulers in Boulder County charge an average of $5.50 per month to residences for once per week collection. Charges to commercial establishments vary as follows: o $25-30 per month for 2 cubic yards once per week collection; o $34 per month for 3 cubic yards once per week collection; o $36 per month for 4 cubic yards once per week collection; o a maximum of $125-144 per month for 1-2 cubic yard containers 6 times per week collection. The City of Longmont offers municipal collection for its residences, includ- ing houses, apartment buildings and motels. The City utilizes compactor trucks and a flat bed truck which handles the bulky items. Longmont residents pay for collection and disposal through a charge on their utility bills of $0.15 per day per single family dwelling unit. 2. Current Disposal Operation. Virtually all solid waste from the City of Boulder, except that which is recycled, is taken to the Marshall landfill for disposal. The Marshall landfill site is located just south of Boulder on Mar- shall Drive (State Highway 170). The landfill is divided into two distinct sites, active and inactive. The land on which the active site lies is currently owned by Cowdrey Corp. The inactive site covers 320 acres and lies on both sides of Community Ditch. The inactive landfill operated by Urban Waste Resources, Inc. was open from 1955 to 1965. The active landfill lies to the south of the inactive and covers an area of 80 acres. The active portion is operated by Landfill Inc., a ------- subsidiary of Browning Ferris Industries. It was opened in 1974 upon its certi- fication by Boulder County. The inactive landfill has been the center of concern for the U.S. Environ- mental Protection Agency (EPA), Colorado State Health Department, Boulder County Health Department and Bureau of Reclamation due to leachate from the landfill potentially contaminating Community Ditch, which is a raw water supply for the City of Louisville. Sampling by EPA and the Colorado State Department of Health has shown the migration of contaminants as far as one mile east of the site. EPA has stated, after analysis of all sampling data, that there is no imminent health hazard posed by the contaminated water. The potential for hazard to human health remains, however, and corrective action is warranted and is being planned by the Boulder County Health Department. Remedial actions planned in early June, 1981 are short term and call for preventing leachate from entering into Community Ditch. Other, more permanent remedial actions have been proposed (interceptor drain, subdrain, and leachate treatment) but have not been forma- lized due to a lack of understanding about the source of groundwater forming the leachate. The active landfill has not received as much publicity as the inactive. Monitoring of the shallow ground water through observation wells placed around the landfill perimeter has been on-going. No organic contamination has been detected in wells to the west of the landfill. Contamination, however, has been detected in waste discharging from a french drain placed on the west edge of the active and inactive landfills. It is believed that contamination is from the inactive portion of the landfill. More data are needed to refute or corroborate this. Landfill, Inc. estimates that the remaining life of the active landfill is two years. An additional site of 80 acres is aviTable but does not have an operating permit at this time. Given the time necessary for feasibility analy- sis, design, permitting, and construction of a resource recovery facility, it is unlikely that such a facility would be operational before the remaining life of the current Marshall Landfill is exhausted. In addition, the County will con- 10 ------- tinue to need a landfill for bulk items, rubble, overflow, and for emergency periods when the resource recovery plant might not be operational. Resource recovery should not be seen as a total replacement, therefore, but rather as a means of lessening Boulder's reliance on landfilling. The landfill operates on a user charge system. The tipping fee is $1.05 per cubic yard or approximately $4.20 per ton (based on an average collection vehicle's compaction ratio of 500 IDS. per cubic yard). The landfill operator considers cost information on the operation proprietary; however, he expects the current rates to at least double in 1981. The current fees are set by the County government and do not neces- sarily reflect the cost of operating the landfill. Doubling the fee will be an effort to recover some of the operating cost. Solid waste from Longmont is taken to the Longmont landfill, which is owned and operated by the City of Longmont. It is located in Weld County, three and one-half miles east of the Longmont City limits on Highway 119. The Longmont Landfill handles approximately 200 TPD of waste, half of which comes from the City of Longmont and half from outside. The landfill charges a tipping fee of $1.60 per cubic yard or (assuming a compaction ration of 500 pounds per cubic yard) $6.40 per ton. The current landfill has a remaining life of three to five years. The city is negotiating for an additional 95 acres to provide 15-20 years additional capacity at the site. The Erie Landfill, a small, privately-owned landfill also located in Weld County, further east of Longmont, currently receives limited quantities of waste from the Boulder County area. It also charges a tipping fee of $1.60 per cubic yard, or $6.40 per ton. C. Eco-Cycle Not all the waste generated in Boulder County is landfilled. There is also a substantial recycling effort, the major portion of which is run by Eco-Cycle. Eco-Cycle is a community-based, non-profit recycling program. It was organized in July 1976, with financial assistance from the City and County of Boulder, the U.S. Environmental Protection Agency and the U.S. Department of Labor's CETA program. The City and County have made substantial contributions to the organi- zation, including loans of $35,000 and grants of.$175,000. In return for their support, the City and County hold title to Eco-Cycle's major assets: the build- 11 ------- ing, shredder and conveyor are owned by the City and the baler is owned by the County. A summary of Eco-Cycle's current operations is presented in Table 4, along with projections for 1985. Current data are monthly averages for the fourth quarter of 1980. Projections, which were provided by Eco-Cycle, are based on one key assumption: that Eco-Cycle can capture 50 percent of the residential market within 18-24 months. This estimate is optimistic, but Eco- Cycle believes, for several reasons, that current levels of activity can be dra- matically increased. The argument for this is based on both supply and demand considerations. On the supply side, there are four reasons the organization expects a large in- crease in volume recycled: 1) when information for this study was collected from Eco-Cycle in April, 1981, the program had only recently resumed curbside pick-ups, after a hiatus of 18 months; 2) prior to the discontinuance of curbside pick-ups, 26 percent of Boulder's households recycled (versus 10 percent in the most recent quarter); 3) Eco-Cycle is developing an extensive "neighborhood network," with representatives of the organization on 325 of Boulder's residential blocks. The goal is to reach every residential block by June 1982; 4) church and community groups have shown a strong interest in the program -- as of February 1981, there was a 16-week waiting list for oganizations interested in undertaking Saturday pick-up service for Eco-Cycle. Demand considerations are important in understanding Eco-Cycle's optimism, as well. Eco-Cycle believes that demand for the recyclables that it produces is at present almost perfectly elastic at current prices. Eco-Cycle can sell all the paper, glass, and aluminum it can supply without fear of affecting the mar- ket (i.e., without having to lower price). This point is of particular inter- est. Markets for recyclables are often characterized as unstable, with demand relatively inelastic and, thus, prices subject to wild variations. At times in the past, there has been virtually no market for recycled newspaper -- no price at which buyers will take it off the hands of sellers. Eco-Cycle, however, has developed contacts with buyers of its key products (corrugated cardboard, paper, and glass) that it believes will ensure adequate demand. 12 ------- Table 4 Eco-Cycle: Summary of Monthly Operations Corrugated Cardboard Newsprint Other Paper Glass Aluminum Other Total (1) Amount of of Waste Recycled 278 tons-/ 250 tons-/ 50 tons 33 tons 2 tons <25 tons -625 tons (2) Revenues Generated $9,979 10,249 1,952 927 562 42 $23,711 Currentl/ (3) (4) % of % of Boulder- Boulder City.,/ Longmont ., Wastestream - Wastestream- . \ 10% - 19%- 7% - 13%-' J 5% 3% 3% 2% <1* <1% 5% - 9% 4% - 6% Projected (1985) (5) Amount of Waste Recycled 300 tons 325 tons 500 tons 372 tons 4 tons 50 tons 1550 tons (6) % of Boulder Waste- stream "j / S 33% J 50% 5% 1% 19% (7) % of Boulder Longmont Waste- stream 22% 33% 3% 1% 13% - Current data are based on October - November 1980 monthly averages. 2/ - 99 tons of this amount represents inventory reduction. Thus, a more accurate measure of current operations would be 179 tons. Assumes total waste stream of 245 tons per day (7,338 tons per month), with composition described in Section I.A. 4/ Assumes total wastestream of 355 tons per day (10,650 tons per month), with composition described in Section I.A. A range is given for the percentage of paper waste recycled for two reasons. First, more than half of the newspaper recycled originates outside of Boulder County (in Fort Collins and in the Denver suburbs). The highest percentage figure includes this newspaper generated outside the County. Excluding it would reduce the amount of waste recycled by 150 tons. This would lower the % of Boulder's paper waste recycled (Column 3) to 14%, and Boulder-Longmont's (Column 4) to 10%. Second, the high end of the percentage also includes corrugated cardboard recycled from inventory (see Note 2). If we also eliminated the change in corrugated cardboard inventory, the percentages drop to 11% (Column 3) and 7% (Column 4). Source: Pete Grogan, Eco-Cycle ------- If Eco-Cycle reaches the level of operations projected in Table 4, it would be recycling 52 tons per day, 13 percent of the waste stream available for re- source recovery plant. Of this total, 38 TPD would represent combustibles, 14 TPD non-combustibles. Under these conditions, a resource recovery facility need only be designed to handle 256 TPD of waste. D. University of Colorado The University of Colorado at Boulder is a substantial generator of solid waste and one of three potential consumers of steam from a resource recovery project. Until the late 1960's, the University incinerated its own trash. At that time, it began to landfill its solid waste as a result of land use and pol- lution control considerations. Because of rising fees for landfilling solid waste and a general willing- ness to consider all environmentally acceptable disposal alternatives, the Uni- versity has at least some initial interest in the idea of modular incineration of Boulder County waste at a site close enough to the University to utilize steam for heating University buildings. The following pages briefly describe the University's role as a generator of waste and as a potential consumer of steam. 1. Campus Waste Stream. The University characterized its waste stream be- tween December 1979 and May 1980. During that period, the campus generated 340.6 tons of waste per month (about 5 percent of the city total), of which 60 percent was paper, 20 percent food waste, 10 percent wood, and 10 percent other. Seasonal fluctuations are, of course, present in the campus waste stream given the fluctuations in student population during the year. The University estimates that waste generated drops 12 percent below average in the summer months, and rises 12 percent above average during the September-December period. Virtually none of the University's waste is currently recycled. A campus recycling program handled less than five tons of waste per month in 1979. There have been proposals, however, for Eco-Cycle to take over solid waste collection and disposal at the University, which, if implemented, would undoubtedly make the University a prime source of recyclables. These proposals are not under serious consideration at the present time, however. 14 ------- 2. Campus Heating System. In addition to being a major generator of solid waste, the campus is also a sizeable consumer of steam. The main campus has utilized a central heating system since 1949. This heating system used four boilers to produce 501,653,000 pounds of steam during the 1979-1980 school year. Detailed data on the system appear in Tables 5, 6, and 7. Discussions with the University's Manager of Utilities and Engineering Ad- ministration indicate that the current system is generally in good working or- der, and is adequate for the University's needs in the foreseeable future. Demand for steam from the main campus system is currently running below the level of 1972, and is not expected to show substantial growth. An energy conservation program has resulted in substantial reductions in energy use (18.8 percent on a per-square-foot basis over the period 1972-1980). This reduction has more than compensated for additions to the system. Since only minor additions to the main campus system are envisioned,! the current level of energy use, adjusted to severe winter conditions ('72-'73), can be con- sidered representative of future requirements. The cost of operating the system, however, has grown substantially and will increase even more dramatically as the price of the natural gas that fuels the system is decontrolled. Gas cost the University approximately $1,350,000 in 1979-1980, 82.5 percent of the heating system's total operating and maintenance costs. Since that time, the price of gas has risen from $1.94 per thousand cubic feet (MCF) to as high as $3.42 per MCF. Under full decontrol,2 the cost of gas to the University could rise to as much as $7.00 per MCF by 1985, with system operating costs effectively tripling over the period 1979-1985. Thus, there is strong incentive for the University to consider modifying the heating system over the next few years. 1 A 1978 study by a joint University - Public Service Company task force, Long Range Energy Options for the University of Colorado at Boulder, estimated 1977 main campus building space at 5,100,000 square feet, with maximum future additions at 295,000 square feet (i.e., less than 6 percent). 2 The Natural Gas Policy Act of 1978 sets up a gradual decontrol process, with full decontrol by 1985. However, the Reagan Administration is expected to request legislation providing for full decontrol at an earlier date. 15 ------- Table 5 University of Colorado Main Campus Heating System Size of Boiler 150, 105 49 000 000 500 Ib. Ib. Ib. 33,000 Ib. Date Installed 1966 1956 1949 1949 Table 6 Seasonal Variation in the University's Demand for Steam, 1979-1980 Month July 1979 August September October November December January 1980 February March Apri 1 May June Amount of Steam 27 27 30 38 56 53 65 52 52 42 31 22 mi mi mi mi mi mi mi mi mi mi mi mi 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 ion ion ion ion ion ion ion ion ion ion ion ion Ibs. Ibs. Ibs. Ibs. Ibs. Ibs. Ibs. Ibs. Ibs. Ibs. Ibs. Ibs. Source: University of Colorado, Utilities and Engineering Administration. 16 ------- A key factor in the consideration of a heat recovery system is the distance between point of generation and point of consumption. As this distance increas- es, the distribution system loses greater amounts of heat, unless substantial measures are taken to insulate the steam lines and prevent condensation. The heat loss, or the engineering required to prevent it, has negative effects on the cost-effectiveness of any system transporting steam more than 1-2 miles. It is important, then, that a site be available near the University if it is to be a consumer of steam from a modular incineration facility. This also applies to the University's current central heating system. Be- cause of heat loss considerations, the East Campus and the University housing at Williams Village have never been joined to the main campus heating system. East Campus buildings generally have their own boilers, while Williams Village has two small oil-fired boilers capable of generating 20,000 Ibs. of steam per hour. Neither of these sites would be considered potential users of steam from a main campus resource recovery plant, because of their size and distance from the remainder of the heat distribution system. Data on the steam requirements of the East Campus and Williams Village are presented in Table 8. The larger of the two areas, East Campus, is projected to reach a maximum size of 1,347,000 square feet, approximately one-fourth the floor space of the main campus. The steam requirements of this area would not exceed 174 billion BTU per year, about one-third the output of a facility large enough to dispose of Boulder and Longmont's municipal solid waste. Williams Village is projected to reach a maximum size of 722,000 square feet, with maxi- mum annual steam requirements of 93 billion BTU. Thus, together, the two areas' annual steam requirements would represent about one-half the output of a modular incinerator large enough to serve Boulder and Longmont.l East Campus and Wil- The comparison here is based on annual demand, but clearly the more relevant comparison would be between peak demand and system capacity. Data for the main campus system (Table 6) shows peak monthly demand to be 60 percent above the yearly mean. Thus, in the peak month, the incinerator would provide 80 percent of the two areas' steam requirements. 18 ------- Table 8 Projected Energy Use at the University of Colorado Campus Sector Main Campus East Campus Williams Village Building Space (1977) Projected Total BTU, In Maximum Billions, Input BTU Input Maximum Future to Heating Requirement, Additions Plant (1977) In Billions 5,100,000 sq.ft. 295,000 sq.ft. 747,000 sq.ft. 600,000 sq.ft. 422,000 sq.ft. 300,000 sq.ft. 972/ 551/ 69S-/ Source: Long Range Energy Options for the University of Colorado at Boulder, March 1, 1978, page D-l, and Table 9 above. I/ Temperature corrected to '72 - '73 degree day base. 2/ Assumes central heating system. 19 ------- liams Village are separated by only 0.64 miles at their closest points (see Figure 1). A modular incinerator located on either parcel or between them could serve both areas and deliver the required amounts of steam. However, the University's most recent study of its energy options concluded that there was not a suitable site for a steam generation facility. The task force on Long Range Energy options which evaluated replacements for the University's existing steam generation units in 1978 considered the use of coal-fired generation when the price of natural gas, backed up by fuel oil, should become uncompetitive. But with regard to location it concluded: The East Campus represents the only parcel of University land where a coal fired steam generating station could be located. From a land,use point of view, this location is to all apparent intents unacceptable. Current flood planning by the City of Boulder defines only a very limited space on the East Campus that is not in the Boulder Creek flood plain. A coal fired steam generating station with its associ- ated coal storage area would consume a large portion of this scarce land which alternatively could be used for research buildings or other high priority use.l The same considerations would have to apply to a modular incinerator and its associated refuse storage and handling areas. As one member of the Task Force concluded, "The pressures would have to be immense for the University to give up East Campus land for such a facility. Given the current availability of gas, it is probably less likely now than ever".2 E. Valmont Plant of the Public Service Company of Colorado The Public Service Company (PSC) appears to be one of the more promising customers'for energy produced from Boulder's municipal refuse. The PSC has ex- pressed willingness to purchase energy from the City if it does not entail par- ticipation in collecting or storing the waste. 1 Long Range Energy Options, page 6. 2 Telephone interview, D.F. Potter, Planning Department, University of Colora- do, March 26, 1981. 20 ------- Figure I: Distances Between Major Points of Concern to Steam Distribution at the University of Colorado ' "OpenSpace Reserve" -"r " "'%' -" -LUEEums . j? LT- c:. ^-. M_ U_;L_ i iJ^^jCLLi :• y^u --^- ~ i^ C to D • .64 MILES Source: Luny Range Energy Options ------- The Public Service Company plant at Valmont is comprised of five steam electric generating units and one combustion turbine generating unit. Table 9 summarizes generating capabilities and operating data for each of the six units. Of the six units, Unit Number 5 is a baseload, coal-fired facility that operates year-round. Unit Number 6, the combustion turbine-generator is operat- ed as a peaking unit, typically generating power for approximately ten hours each day. During the remaining period, the unit is shut down for stand-by in the event additional generation is required by the Company's electrical system, or is taken out of service for maintenance of its components. The combustion turbine-generator is normally available for service 65 to 85 percent of the time but usually operates less than 2,000 hours per year due to the relatively high cost of fuel. The other four units are boilers built in the 1920's and 1930's which, be- cause they have no pollution control equipment, have been restricted to opera- tion on natural gas only. Because natural gas is not available during the win- ter, these units are operated only in the summer. Discussions with company spokesmen indicate that the company would be in- terested in one of two resource recovery options: 1) purchase of steam from a modular incineration unit; or 2) modification of an existing boiler (from Units 1-4) or installation of a new boiler to burn refuse derived fuel. Land would be available at the Valmont site for either option, but as noted earlier, the Pu- blic Service Company is not interested in processing or storing waste itself. F. City Yards A final option for locating a resource recovery facility in Boulder would be the City Yards. The City Yards is located on Pearl Street in the industrial section of Boulder and is well-suited for building an energy recovery system. The property is centrally located, thereby reducing haul distances from the point of collection to the facility. The industrial nature of the area should also minimize the usual constraints such as zoning, noise, and public opposition. 22 ------- TABLE 9 UNIT TYPE VALMONT STEAM ELECTRIC STATION GENERATING CAPABILITY AND OPERATING DATA NAMEPLATE GROSS* NET EFFECTIVE CAPABILITY** RATING CAPABILITY SUMMER WINTER (kw) (kw) (kw) (kw) Steam Steam Steam Steam Steam 1 2 3 4 5 32,500 25,000 25,000 25,000 166,250 31,000 30,000 30,000 30,000 190,000 (72,000 0*** Total 0*** for Units 0*** 1^4)*** o*** 175,000 175,000 FUEL Natural Gas Natural Gas Natural Gas Natural Gas Coal & Natural Gas STEAM TURBINE INLET CONDITIONS 350 psig, 636°F 350 psig, 636°F 350 psig, 675 F 350 psig, 675°g 1800 psig, 1000 F 00 Combustion 45,200 57,000 47,000 57,000 No. 2 Fuel Oil & Natural Gas COMBUSTION TURBINE EXHAUST TEMPERATURE 936°F Notes : ** - *** - Gross capability numbers are based on individual unit maximum achievable capabilities and do not recognize seasonal or operating limitations that may exist on the total station. The maximum continuous demonstrated net capability of each individual unit or station which will normally be available at the time of and for the duration of the respective summer or winter peak loading condition period. Unit NOR, 1 thru 4 have been restricted to operation on natural gas only, which limits these units to a net capability of 72,000 kw during the summer and 0 kw during the winter. Source: Long Range Energy Options, p. F-2. ------- As noted earlier, resource recovery projects involving sale of steam from modular incineration units are generally not feasible if the purchaser of steam is located more than 2 miles from the point of incineration. The City Yards location is more than 2 miles from the PSC Valmont Plant and is approximately 3 miles from the University of Colorado's main campus. The facility cannot expect to sell steam to either of these customers. However, as mentioned before, the City Yards is located in an industrial area and there are several existing and proposed industrial parks, commercial establishments and industries nearby. Table 10 shows some of the existing and proposed industries within a one-mile radius of the City Yards location. The establishments in Table 10 are all potential customers for energy produced from municipal solid waste at the City Yards location. A.major corridor through the area (47th Street) is planned which will improve access. This will no doubt attract more energy users and will further increase the potential market. TABLE 10 BUSINESS LOCATED WITHIN ONE-MILE RADIUS OF CITY YARDS INCINERATOR LOCATION Businesses Status NBI Campus Proposed Cray Computers Under construction Colorado and Southern Industrial Park To be built Center Green Heights (150 Housing Units) To be built Reynolds Industrial Park Under construction Ball Brothers Existing (to expand) Riverbend Offices Existing Arapahoe Chemicals Existing Flatirons Industrial Park Existing 24 ------- Table 11 shows the energy use and related cost per year of some of the existing and proposed facilities in the area. The particular facilities are not identified because the information is considered proprietary. All of these facilities currently use electricity or natural gas to satisfy their energy needs.1 The largest of the facilities uses 110 billion BTU/year; the eight facilities use a total of 243 billion BTU. By contrast, a modular incinerator with a capacity of 308 TPD would generate 538 billion BTU/year. At the present time, therefore, there does not appear to be sufficient demand in the City Yards area to justify construction of an incinerator to handle all of Boulder and Longmont's waste at that location. This does not mean that City Yards should be eliminated from any future consideration. As the next section of this report shows, modular incinerators have proved feasible at sizes much smaller than 308 TPD. Thus, the City or County could consider development of a modular incineration unit at City Yards to handle less than the total available waste stream, sized to provide the amount of energy needed by interested parties. The City or County might also identify major energy users who plan construction in the area and discuss with them a possible link to a district heating system fueled by modular incinera- tion. Unless these facilities are of sufficient size, however, negotiations may prove time-consuming and non-productive. In general, the City or County's in- terests are best served if arrangements can be concluded with a single customer whose prospects of staying in business for the life of the resource recovery facility are assured. This fact would seem to make the Public Service Company or the University of Colorado better prospects than the multitude of potential customers at City Yards. The total energy needs for City Yards include electricity, steam used for heating and process steam. Information on the breakdown of energy uses and seasonal variation information was not available for this report. 25 ------- TABLE 11 ENERGY USE BY FACILITIES IN THE CITY YARDS AREAl Energy Use Cost/ Industry (Million BTU/Year) Annual Cost Million BTU A 2,203.76 $ 14,273 $6.48 B 1,259.06 8,420 6.69 C 6,579.00 31,252 4.75 D 5,217.15 26,571 5.09 E 30,154.70 135,696 4.50 F 86,544.83 379,927 4.39 G 110,203.51 304,825 2.76 H 906.27 4,298 4.74 Source: City of Boulder Community Energy Management Plan, Volume II, 26 ------- III. RESOURCE RECOVERY OPTIONS There are several energy recovery system options available to municipali- ties such as Boulder. However, after initial discussions, the two systems that seemed most suited to Boulder were 1) modular incineration, and 2) mechanical processing of solid waste to produce refuse derived fuel (RDF). Modular incinerators burn solid waste directly, without pre-processing, to produce steam which can be used in an existing system for heating, electric gen- eration or various industrial processes. RDF processes convert solid waste to a fuel that can be burned in industrial boilers. RDF requires both a processing facility and extensive modifications to the boiler in which it will be burned. This chapter presents information concerning the technologies. A. .Modular Incineration Modular incinerators are typically pre-fabricated, two-chambered combustion units, although there are some three-chambered units. The system is normally constructed at the factory and shipped to the site where it is installed. A variety of optional equipment such as automatic loaders, multiple systems, and increased performance capabilities are available. The optional equipment as well as operational instruments are usually installed at the factory. The most common design for heat recovery is the two chamber (primary and secondary) starved-air incinerator (see Figure 2). Most modular systems operate by burning the. waste in the primary chamber on a fixed bed in an oxygen defi- cient atmosphere. The hot gases from the primary chamber are mixed with excess air in the secondary chamber (after burner) and ignited. Because the heating value of the gases from the primary chamber is too low to sustain combustion, a supplementary fuel is used to sustain the after burner temperature. The after burner generally serves as the only pollution control device on this system. A heat exchanger recovers the heat from the after burner and generates energy in the form of hot air, water or steam. 27 ------- Figure 2: Cutaway View of Modular Incinerator Showing Major Components of the System The above cutaway view of the stand- ard CONSUMAT" energy-from-waste module shows how material'and hot gas flows are controlled to provide steam from solid waste. A skid steer tractor (1) pushes the waste to the automatic loader(2). The loader then automatically injects the waste into the gas production chamber (3) where transfer rams (4) move the material slowly through the system. The high temperature environment in the gas production cliambcr is provided with a controlled quantity of air so that gases from the process are not burned in this chamber but fed to the upper or pollution control chamber(5). Here the gases are mixed with air and controlled to maintain a proper air fuel ratio and temperature for entrance into the heat exchanger (6) where steam is pnxIuccd.Astcam separator (7) is provided to ensure high quality steam. In normal opera- tion gases are discharged through the energy stack (8). When steam is not required or in the event of a power failure, hot gases are vented through the dump stack (9). The inert mate- rial from the combustion process is ejected from the machine in the form of ash into the wet sump (10) and conveyed (11) into a closed Ixittom container (12) which can then be hauled to the landfill for final disposal. Source: Consumat Systems, Inc. 28 ------- The advantages of modular systems are their low cost, mechanical simplicity and low fly ash emission. Residue ash disposal can be achieved manually or by a mechanical ram which discharges the ash into a quencher, where it is cooled prior to final disposal. Modular incinerators are produced by 17 different American manufacturers. While system configuration varies from manufacturer to manufacturer, some gener- al observations can be made. First, modular incinerators are well-suited to small-scale operation. Units as small as 25 TPD are common. Second, land re- quirements are relatively small. Consumat Systems, one of the major U.S. manu- facturers, estimates land required for the processing building and tipping floor of a 200-TPD facility at just over one-half acre, with a total site requirement of 2.1 acres. Larger plants on the order of 300 to 400 TPD require virtually the same space. A modular incinerator of the nominal capacity needed by Boulder County (308 TPD) would probably be a three or four module system depending primarily on the specific needs and energy use pattern of the consumer. A standard three-module system, each with a 100 TPD capacity, would include four processing chambers, four oxidizing chambers and either two or three steam units. The module-component system provides great flexibility. "Extra" processing capacity is available for either routine maintenance or for varying seasonal loads. Also, the module design provides for phased expansion of the system if the solid waste load were to increase substantially over the initial design capacity. Major cost considerations for a system include the following: Capital Costs: o land o building o equipment - modular incinerator - skid steer tractor - service vehicle 29 ------- Operating and Maintenance Costs: o labor o fuel o utilities o other supplies o ash disposal o insurance o taxes (if applicable) Of these, the major costs are generally for building, equipment, and labor. The building and equipment account for over 95 percent of capital cost. In the O&M category, labor (including salaries and benefits) accounts for 50 percent of all costs (see Table 12). As of March 1981, sixteen U.S. municipalities and numerous industrial esta- blishments had committed themselves to facilities. Of the sixteen municipal facilities, eight were operational, two were completed but were not operating, and six were under construction. Table 13 presents data from these facilities including the year operations commenced, the facility size, and capital costs. Many modular incineration facilities have experienced significant problems associated with the lack of skilled operators. Most modular incinerator manu- facturing firms will provide operator training programs prior to and during shakedown and will provide continual training after start-up. Employing trained and skilled operators can not be overstressed to ensure safe and efficient oper- ation. Figures 3 and 4, which were prepared for the Connecticut Department of Environmental Protection's State Certification Program for Solid Waste Manage- ment Facilities, provide detailed information on staffing requirements. B. Refuse Derived Fuel The second technology option to be considered is Refuse Derived Fuel (RDF). While there are several different RDF processes in use, generally the processes consist of shredding the waste to reduce the particle size, separation to remove the non-combustible portion, and further processing to pelletize or pulverize the waste to facilitate its use in a stoker-fired boiler equipped with 30 ------- Table 12 Projected Optimum Operating and Maintenance Costs for North Little Rock, Arkansas, Modular Incinerator (in 1978 dollars) Cost Item ($/Yr.) ($/Ton) Salaries $111,284 $ 4.64 Employee benefits 15,750 0.65 Fuel - no. 2 diesel 4,608 0.19 Natural gas 16,704 0.70 Gasoline 3,888 0.16 Electricity 19,237 0.80 Water and sewer 8,121 0.34 Maintenance 65,656 2.74 Replacement equipment Residue removal * * Chemicals 5,033 0.21 Other overhead 3,209 0.14 Total operating and maintenance costs $253,490 $10.57 * Cost included in salaries and employee benefit categories. Source: U.S. EPA, Small Modular Incinerator Sytems with Heat Recovery: A Technical Environmental and Economic Evaluation, Publication SW-797, November 1979. 31 ------- Table 13 Municipal Modular Incineration Facilities Operational or Under Construction in the United States, March, 1981 Operating Capital Cost Size (TPD) Location of Facility Since ($ Millions) Capacity /Throughput Blytheville, Arkansas Crossville, Tennessee Durham, New Hampshire Dyersburg, Tennessee Genesee Township, Michigan Groveton, New Hampshire North Little Rock, Arkansas Osceola, Arkansas Salem, Virginia Si loam Springs, Arkansas- Under Construction or Start -Up: Auburn, Maine Batesville, Arkansas Gatesville, Texas Palestine, Texas Pittsfield, Massachusetts Windham, Connecticut 1971 1978 1980 1980 1980 1975 1977 1980 1979 1975 1981 1981 1981 1981 1980 1981 0.8 1.1 3.3 2.0 0.25 1.45^ 1.2 1.9 0.377 3.97 1.1 0.2 0.3 °'"7 4.0 50/Temp. Shutdown 60/65 108/60 100/70 100/operation suspended- 24/15 100/100 50/46 100/70 19/16.5 200 50/40 4 20 240 108 I/ Steam production has been suspended and shut down of the facility is being considered. 2/ Total cost including co-generation equipment. 3/ Excluding land. 4/ Construction, processing equipment, combustion units, boilers, steam 1ines. 5/ The plant in Genesee Township, Michigan is complete but is still in the process of finding a customer for its steam. This part of the County (Flint, Michigan area) is economically depressed because of unemploy- ment in the auto industry. The depression has affected the sale of the energy produced at the plant. Source: U.S. EPA, Resource Recovery Division. 32 ------- Figure 3 MODDLAIt COMBUSTION UNITS annul laczrouim rux OUCUM urn uxot Bacea Priaory Stcoodiry Vacea SMC 5oil«r iMidw u Una-fill Seaoa JOB TTTII Shift TOtit fo vich jo* *• it 30 tre OF unmia KQOIXZS so m** loc TFD 200 m OJ 1 OJ 3 1 1 1 0 far 1 1 3 3 1 1 1 i 12 1 1 3 3 3 1 1. -L par . Tor cair* Source: Gordian Associates , 33 ------- JOB TTILI OPTIES Shift Fortaaa a Sup«rri«iaa of shift er«w •aiataaaaca oaaraciaaa* a Meoieoriac of ioeiaaracar to «aa«ra aCTiana af2iciaac7« a $up«r»i»io« of luadliag. «eor<««, •ari la«din« of VMM. o Surtiag tip or ihuetiaj 4o«a of iaeia««tor« «• r*quir«d to sniau* «ffici«nc7 or ia etw *•«« of • m«i- fanetioc* of proper opvracioM o< vieh •aiacMMca «ari nipaira QUALiriCATIOKS o Exp«ri«ie« ia *up«rri*aa of «p«ri«nc« with machinery •nch M front lo«4«r*, b«ekbo««, fark lift«, «tc. o Eaowl«d(« of boiler oecracioas «ad a* o Ability eo oparaca tad •aiauia iacioaracora. a Vorfciag kaovlaa'ia of Caaaaeticac Sfraca Boilar Carfa. 34 ------- Figure 4 MOOUft OCSKUX01 UMt JXQff CCT STA7F PUT 113 far overall piaac a Soaauacial aaeracioa, aaiataaaaaa «a4 raaerviaiea «aperieaca aafeiaiacraciaa* (five years or aere prelaraele) or aaaoaacracae1 « Specific tatiaa aay iaalaee: Severviaioa «< aaiit era* a Tachaioal **9*ri*me» wick ««a««Blaa, vaaariarM a Abiliey ca aparata raiaeioaa «art •aiaeaia iaaiaeraeora. • Tnapaatinai a< ataat pmaaa aaeraear a 9orkia« kaovlada* a< iaeiacraeov *^«i9a«aB Caaaaetieac Staea Sailer ta «a«vra aauvaa «<2iei«a«7 Caa*. • Aaaiaeaam vica mainTMaara 4ari raccira «a naaaaaai'T mt awarail eaac V«i|0 dark/ a ilamitariat «aa ra*araMa« a< emaie* a Ueamaa fraw Seaea a< darieal la*a«4 vaaca *a«aria« «•• la**ia« Caaaaesieac ea aavraea « ' aljtfon 679* Mala. 9 Maiacaaaaaa <*f raaaraa far «c*aa a Hah Seaoel •eaeaciaa ar vraeaetiaa tmt elarieal eaaaa ia a Akiliey ea ovvraca «adia« a Ovciaa u*f alaa iaala««: aachiaaa «arf aeaa a Aailicr ea ba Tvoeaaa Oavracar a Oaeraciaa) 9f *a^ia«aac ea laad iaaiaaracar* a Kzpariaasa ia oa«racia« tad •aiacaaaaea of •aeaaoieal a Haiacaaaaea a< •aaiaaaae ia proper •vaiaaaae «oca M fzaac aaeraeiac, eaae*ieiaa. laarfara, fark lift*. iaciaeracar faea" a iaaiauaee with aaiasaaaaca tmi naaira tea. a Varkiat kaovlaaf* of Caeaeetieac Staea Sailar Caae. Source: Gordian Associates 35 ------- a grate. These steps are illustrated in Figure 5. RDF can be burned as a sup- plementary fuel to coal or as a primary fuel in a dedicated spreader stoker boiler. Separation of the combustibles, which are the lighter fractions of the waste, is achieved by injecting the shredded waste into a strong vertically ris- ing air stream. The lighter materials are thus carried up through the system by the air stream while the heavier materials fall out by gravity. This device is called an air classifier. The combustible portions of the waste, after emerging from an air classifier, may then be further shredded or processed. Processing sometimes involves pelletizing or pulverizing the waste, or treating it with an embrittling agent to produce a stable, storage fuel. As of March 1981, there were fourteen RDF facilities operational or under construction in the United States. Table 14 presents data for these facilities, including the year operations commenced, the type of RDF produced, the size of the facility and capital costs. A review of these data indicates that most of the facilities are designed to produce fluff RDF, i.e., municipal waste that has been air classified to remove non-combustibles and shredded into pieces from 1/4 inch to 2 inches in diameter. Only one facility operational in 1980 was using dust RDF, and one other was using a wet pulp process. Most of the facilities under construction are substantially larger than the proposed Boulder facility. The reason for this is economic: RDF facilities accrue significant economies of scale as the size of the facility increases. Analyses of the subject suggest that significant economies occur up to plant sizes of 1,000-1,500 TPD.l A major reason for the economies of scale is that labor requirements for RDF facilities, which are substantial, do not increase in direct proportion to facility size. A recent analysis of RDF facility require- ments (Table 15) showed that 600 TPD facilities require 58 workers. Doubling or tripling facility size increased the labor force to only 84 or 96 workers, re- spectively. Using the same data base, we estimate that a 308 TPD facility would 1 Office of Technology Assessment, Congress of the United States, Materials and Energy from Municipal Waste (Washington: Government Printing Office, July, 1979), pages 126-127. 36 ------- I h- rtgnre 5: Schematic Drawing of Typical Refuse Derived Fuel Project 1 , RDF PROCESSING PLANT -POWER PLANT RECEIVING; STORAGE AND FEED—"» POWER PLANT Source: Parsons Report ------- Table 14 Municipal RDF Facilities Operational or Under Construction in the United States, March, 1981 Operating Location of Facility Operational: Ames, la. Baltimore County, Md. Chicago (SWSFPF), 111.-7 2/ East Bridgewater, Mass.- Hempstead, N.Y.-7 4/ Lane County (Eugene), Ore.- Madison, Wise. Milwaukee, Wisc.- Monroe County (Rochester), N.Y. Under Construction or Start-Up: Albany, N.Y. Bridgeport, Ct.-^ Dade County (Miami) Fl. Lakeland, Fl . Niagara Falls, N.Y. Since 1975 1976 1977 1977 1978 1979 1979 1977 1979 1980 1980 1981 1981 1981 Type of RDF Fluff Fluff Fluff Dust Wet pulp Fluff Fluff Fluff Fluff Fluff Dust Wet pulp Fluff Fluff Capital Cost ($mil lions) $ 6.8 10 20. S-7 12 90 2. I*/ 3.4 229/ 62 11 53 165 186 73.9 Size (TPD) Capacity/ Throughput 200/170 1,200/850 1,000/500 360/160 2,000/1,300 500/minimal 400/250— / 1,600/1,700 2,000/300 750 1,800 3,750 300 2,200 I/ The facility is currently shut down because of problems with the convey- or system and abrasive deterioration of various components. According to EPA, "it could be several years before the necessary modifications are made and the facility is reopened." Operation suspended in June 1980, because of lack of market for RDF. Facility has been shut down since March 1980, due to air emissions and a contractual dispute. Operation suspended. RDF does not meet specifications -- ash content is too high. Operation suspended in September 1980. RDF was aggravating the problem of slag in the utility's boiler. The facility is seeking other RDF customers. Operation suspended in October 1980 when Combustion Equipment Associates filed for reorganization under Chapter 11 of the Federal Bankruptcy Act. excluding land excluding "additional work supplied by system contractor" 9/ excluding land 10/ Madison's source separation program for newspaper recycling removes approximately 5 per cent of the total waste stream before processing. 2/ / 5/ 6/ 7/ 87 Source: U.S. EPA, Resource Recovery Division. 38 ------- Table 15 RDF Facility Labor Requirements JOB TITLE NUMBER OF WORKERS REQUIRED 600 TPD 1200 TPD 1800 TPD Administrative Plant Manager 111 Weigh Clerk/Clerical 1 1 2- Bookkeeper/Accountant 111 Secretary/Receptionist 1 2 2r Stock Clerk 1_ 2. 1 - 5 7 8 Receiving and Processing Plant Engineer/Operations Supervisor 1 11 Shift Foreman* 222 Process Operator* 4 5 6, Front Loader Operator* 4 6 \ 7 Traffic Director 111 Quality Control Technician 122 Control Room Operator* . 222 Recovery Area Operator* 4 4 4 Refuse Picker 2 4 4 Driver/Residue Handler 468 Laborer* 467 Instrument Technician 1 1 _l 30 40 45 ' Maintenance Maintenance Foreman 233 Electrician 1 2 2 Mechanic, Welder 1 2 3 Mechanic, Maintenance 2 3 4 Guard . 1 11. Helper 235 Machinist JL JL JL 10 16 21 Subtotal 40 63 74 Steam Production Optional RDF Feed Operator** 4 8 8 Boiler Operator** 844 Electrician/Instrumentation 1 3 3 Chemist 111 Driver/Ash residue Handler 345 Plant Engineer ^ 1^ 1 TOTAL 58 84 96 Source: Gordian Associates . * Labor needs for these categories are based on two shifts per day opera- tion with an assistant or relief worker available in the larger facili- ties. ** Boiler operation is assumed to be continuous, requiring four shifts per day for these labor categories. An assistant or relief worker may be ne- cessary in the larger plants. 39 ------- require approximately 49 workers. This compares to a labor force of 14 for a comparably sized modular incinerator. A number of problems have been experienced by the existing RDF facilities. These can be classified as technical problems, marketing problems, and economic problems. The technical problems that have been encountered result from the characteristics of fluff RDF: it generally has a high moisture content (as much as six times the moisture content of coal) and low heat value (5,000 - 6,500 BTU/lb -- approximately half the heat value of coal). The high moisture content can lead to problems in storage, transportation and handling, and loss of efficiency in electrostatic precipitators used for pollution control. Unless boilers are specially designed to burn fluff RDF (with retention time increased) as much as 35 per cent of the RDF remains unburned. RDF also contains substantial amounts of abrasive material (glass and metals) which, if not removed, cause deterioration of various system components. A second set of problems has to do with economics. Several existing facilities have not secured markets for the RDF produced: as of late 1979, this was true for Baltimore County, Maryland; Lane County, Oregon; East Bridgewater, Massachusetts; and New Orleans, Louisiana.1 Others, while they have secured markets, have encountered substantial increases in cost, which led to financial difficulties for the participants. In fact, the only producer of dust RDF, Combustion Equipment Associates, is currently undergoing reorganization under Chapter 11 of the Federal Bankruptcy Act, as a result of losses incurred from construction and operation of the Bridgeport, Connecticut facility. That facility was to have been built for $37.5 million, but as of October 1980, when .the firm filed for reorganization, the company's chairman stated costs were ."probably... in excess of $80 million." The problems encountered at Bridgeport The New Orleans plant, which has a design capacity of 750 TPD, was not listed as an RDF facility in the EPA survey that was the source of Table 14, even though it does produce shredded municipal waste. As of early 1981, ferrous metals and aluminum were being recovered from the waste stream, but the remaining fraction was shredded and landfilled, pending the development of an RDF market. 40 ------- have caused the company to suspend construction of a facility in Newark, New Jersey, and to refrain from bidding on any other projects until further notice. A final point should be apparent from the data presented in Table 14. For whatever reasons -- technical, markets, costs -- RDF facilities have not generally been successful in the United States to date. Five of the eight facilities listed as operational in Table 14 have suspended operations, and a sixth produces RDF that is landfilled for lack of a market. Municipalities seeking a reliable method of resource recovery as an alternative to landfilling would do well to consider other options. 41 ------- IV. REGULATORY FACTORS AND ISSUES AND POLLUTION CONTROL REQUIREMENTS A. The Permitting Process Any resource recovery project will be confronted by a number of local, state and Federal rules, regulations and guidelines which were established to control environmental impacts of proposed actions. These potential environmental impacts will have to be identified during the initial project planning stages in order to prepare permit applications and allow time for regulatory agency review and decision. These regulatory/institutional factors can be a significant determinant of overall project feasibility and/or project scheduling due to the following: o the permitting process is a complex, time-consuming series of actions involving a number of regulatory agencies on all governmental levels, none of which has overall regulatory control over any particular proposed project; o the regulatory framework is constantly changing and evolving, with regulatory agencies sometimes uncertain of their specific role, and the permit applicant is often confronted by uncertainties and changes which are not readily apparent; o pollution control requirements may affect project financing and/or economic feasibility; and o the lack of operating experience with most types of resource recovery projects from which to gain environmental emission data and proper pollution control equipment selection. The above listed constraints do not mean that a resource recovery facility such as the one considered for Boulder cannot be accomplished; but rather that regulatory factors and issues cannot be overlooked or given a low priority in 42 ------- project planning, scheduling and budgeting. Any regulatory oversight or deficiency could turn out to be the "fatal flaw" of project feasibility. As mentioned above, there is little successful operating experience from which to gauge the overall complexities, costs, and time-frame of the resource recovery facility permitting process. There do, however, appear to be several regulatory issues/factors which deserve primary attention and can be addressed on a preliminary basis within the scope of this report. These include: o air emissions and permit requirements; o noise regulations; and o solid waste generation and permit requirements, Each is discussed in detail below. B. Air Emissions and Permit Requirements There are two types of air pollution regulatory controls which are of concern to potential new projects which will emit air pollutants. These include: o limits on the concentrations or amounts of pollutants within stack emissions; and o effects on ambient air quality. The study area is located within the EPA-designated Denver Air Quality Control Region, which has been classified as a non-attainment area (not in compliance with ambient air quality standards) for four criteria pollutants^: A criteria pollutant is one listed in the Clean Air Act Section 108(a) which requires the preparation of a criteria document to form the scientific basis for the national ambient air quality standard. 43 ------- o ozone; o nitrous oxides; o participates; and o carbon monoxide. The Denver Region is in compliance with the fifth criteria pollutant, sulfur dioxide. In this situation, any new source in the region cannot further degrade ambient air quality in the non-attainment pollutant, while the additional contribution of sulfur dioxide to the ambient air quality will be limited to specified maximum incremental increases. The following discussion consists of the application of existing Colorado air pollution regulations to resource recovery options in the study area. In addition to the regulation of the five criteria pollutants discussed above, the State regulations also include emission limits for opacity, odor and hazardous air pollutants, all of which may also apply to resource recovery facilities. 1. Modular Incinerators. A new source modular incinerator will require a State air pollution permit and the filing of an air pollution emission notice (APEN) as described in Regulation No. 3 (see Figure 6 for a schematic representation of the air permitting process). These efforts require a thorough description and discussion of the estimated quality and composition of expected emissions (based upon actual test data or other sources acceptable in the Air Quality Control Division) as prepared by the project proponent. According to State regulations, a modular incinerator constructed in 1981 or later would be considered a "new stationary source". In this situation, the incinerator must comply with all standards of performance including those specifically designed for incinerators (Regulation 6, Section III), which states specific requirements for the most probable major air pollution problem, that of particulates, and for associated opacity impacts. The most critical determination will be if the incinerator would be classified as a "major stationary source." This category includes any stationary source which emits, or has the potential to emit, 100 tons per year 44 ------- en Figure 6: Permit Procedures for Air Emission and Solid Waste Disposal Permits Air Contaminant Emission Permit -- Air Pollution Control Division (Department of Health) -fe- SuUilt A|.|il leal Ion (or Air ton) .imliidtit Imllilun PiMiilll Conduct Preliminary Analysis and I'clcruilne If I'ubllc Cuiiucnt Heil'd 4 weeks lt 30 Days to II Conduct Inspection 30 Daysj art D|ti-rat Ion J [Alter Slart u( 0|n.'ratl«i 6 weeks 6 weeks f~.—,-: - '" 3 weeks Certificate of Designation (Solid Haste Disposal) — Kadialton and Hazardous Waste Control Division (Department of Health) Stimuli Applies! Ion for Oil Ideal Ion of (lei Icjrul Ion Sulld Udsle Disposal Site --[Ruvlew by Ulvlslon|- "1" S'wccks 1 Division Submits lo I Count Cotniilss loners | (or (lev lex n Obtain Ceil Ideal Ion Source: Fred C. Hart Associates ------- or more of any of the non-attainment criteria pollutants. If an incinerator were placed in this category, a permit can be granted only if: o the proposed source will achieve the lowest achievable emission rate (LAER) for the specific source category; o the applicant has certified that all other major stationary sources owned, operated or controlled by the applicant in Colorado are in compliance with the State Implementation Plan or are subject to and in compliance with an enforceable compliance schedule; and o offsets (greater than a one-to-one ratio) must be obtained from existing sources for all non-attainment pollutants. Early indications from test and operating data are that a modular incinerator of the type examined here may be classified as a major source because of particulate emissions. This may be true even though modular incinerators are touted as inherently non-polluting because the two chambers burn most, but not all, of the burnable gases and particulates. Indeed, some manufacturers claim that no special scrubbers, precipitators or other air pollution equipment are necessary on these incinerators. However, it is sometimes difficult to maintain combustion at steady state conditions for incinerators that burn municipal wastes. Municipal wastes are highly heterogeneous, and incinerators that burn such waste may require emission control equipment to meet state and/or Federal air pollution standards. Other parties attempting to obtain offsets in the Denver region have had major difficulties, a situation which makes the offset requirement the most probable regulatory fatal flaw. There does exist, however, a possible exemption to the offset requirement under certain circumstances if: o the applicant has used his best efforts in seeking the offsets but was unsuccessful ; 46 ------- o all available offsets were obtained; and o the applicant continues to seek offsets as they become available. With respect to direct emission limits, Table 16 shows the different types of emission substances detected in the flue gas from the North Little Rock Plant in Arkansas. Tests of the North Little Rock stack emission for their modular incinerator revealed that the emission rate for total particulates averaged 0.130 grains per standard cubic foot (gr/SCF) corrected to 12 percent C02 with a maximum of 0.231 gr/SCF. These average values are considerably higher than the Colorado Air Pollution Control Commission's standards for particulates (0.08 gr/SCF for 50 TPD or more). This suggests that particulate air pollution control equipment would be necessary for a Boulder operation. Control of the one attainment pollutant (sulfur dioxide), must provide for limiting incremental increases over a specified baseline to: o 10 milligrams per cubic meter (mg/m^) (annual arithmetic mean); o 50 mg/m3 (24-hour maximum); and o 300 mg/m3 (3-hour maximum) Evaluation of odor, opacity and hazardous emissions cannot be properly evaluated at this time, but must not be neglected if further analysis and planning are undertaken. 2. Refuse Derived Fuel Facilities. The co'firing of RDF with an existing coal-fired power plant will most likely be classified as a "modification" to an existing facility. Upon modification, a facility shall become an affected facility for contaminants to which a standard applies and for which there is an increase in the emission rate to the ambient air. This is an especially important point because Public Service Company does not currently use pollution control equipment from Valmont Units 1-4. Additionally, the change in operation of an existing facility may require the filing of a revised Air Pollutant Emission Notice if a "significant" change in emissions has occurred in accordance with the Division definition of significance. 47 ------- TABLE'16 NORTH LITTLE ROCK FLUE GAS EMISSION DATA Pollutant Particulates V SOX NQ¥ A CO HC Pb £/ Source: U.S. EPA, Emission Rate Maximum Average Minimum Ib/ton of Refuse 0.231 gr/SCF 0.130 gr/SCF 0.067 gr/SCF <10 ppm £/ 99 ppm 82' ppm 69 ppm 36 ppm . 29 ppm 16 ppm 40 ppm 28 ppm 20 ppm •3 .4.49 mg/m Small Modular Incinerators with Heat Recovery. 3.03 <0.78 3.68 1.00 0.55 0.14 V gr/SCF = grains per standard cubic foot. £/ ppm = parts per million. ^ = milligrams per cubic meter. 48 ------- Given previous RDF operating experience, an RDF facility in Boulder would normally be classed as a "major modification" according to State regulations. A major modification classification would normally result in the same three requirements (including offsets) for a major stationary source incinerator listed above in the discussion of modular incinerators. However, refuse derived fuel generated from municipal solid waste is specifically exempted from these requirements. As with modular incinerators, there is not enough information at this time to evaluate odor, opacity and hazardous waste emissions. With respect to sulfur dioxide, the clearly stated Colorado Air Quality Control Division policy is to place the burden on new. sources to prevent degradation and maintain compliance with ambient air quality standards. Therefore, with respect to a modified existing coal/RDF power plant, $03 emissions may not present a problem. All applicable standards must be met within 180 days of the completion of the modification. Table 17 shows a comparison of the stack emissions from burning coal only and cofiring coal with 7 percent RDF at the St. Louis, Missouri facility. 3. Pollution Control Equipment Needs and Costs. Since particulates were identified above as the probable major air pollution problem, this discussion will be limited to that pollutant. The control of particulates will be governed largely by established practices. Such factors as particle size, range, density, resistivity, concentration, composition, the degree of removal required, and the allowable pressure drop will all influence the selection of the appropriate control method and subsequent costs. The four most common types of particulate collectors may be arranged in order of increasing efficiency, complexity and cost: o cyclone collectors; o wet scrubbers; o fabric filters; and o electrostatic precipitators. To date, there are no known instances in which major air pollution control equipment has been integrated into a modular incinerator facility. One supplier 49 ------- TABLE 17 PARTICULATE EMISSIONS FROM THE ST. LOUIS FACILITY Substance in Participate Coal Only Coal Plus 7 Percent RDF As 3.13 2.00 Be 0.200 0.706 Cd 0.575 1.39 Cr 12.1 16.0 Pb 11.3 54.0 Hg 0.153 0.417 Source: Sussman, David B/. Personal Communication, U.S. EPA. 50 ------- (Consumat of Richmond, Virginia) is currently conducting research in this area, and has roughly estimated total air pollution equipment capital costs to be ten percent of a $500,000 modular incinerator plant. Operating cost estimates are not available. A major resource recovery facility which burns RDF alone or cofires RDF with coal can be directly compared with the needs and costs of a major coal fired boiler. The use of RDF would not require the special use of other air pollution control equipment. Costs, however, are difficult to estimate without detailed knowledge of plant design, RDF and coal quality, and other parameters; costs are very case- and site-specific. EPA estimates for the capital costs of electro- static precipitator particulate control range from 2.5 to 4.4 million (1976 dollars) for a 200 MW utility boiler. Assuming a 12 percent per year escalation (for five years), 1981 costs would range from 4.4 to 7.75 million. Erection and installation costs would add about 70 percent to this total, creating an instal- led equipment range of from $7.5 to 13.2 million for the 200 MW boiler. If a new coal-fired boiler were to be built today, capital costs would be approxi- mately $1,000 per installed Kilowatt. Particulate control capital costs for the 200 MW boiler would, therefore, range from 2.2 to 3.9 percent of total capital cost. EPA estimates of operating costs for electrostatic precipitator particu- late control range from $.56 to 1.02 million. Escalation at 12 percent per year would increase these estimates to $1 to 1.8 million in 1981 dollars. C. Noise Regulations Restrictions and regulations on the noise emitted from a resource recovery facility take two forms: those affecting workers, as regulated under the Occupational Safety and Health Administration (OSHA); and those affecting the general public, as regulated by the City of Boulder. A recent study has shown that some resource recovery processes can produce noise in excess of present OSHA standards. Control of noise in such equipment by engineering design may be costly, although the option of administrative noise controls (limiting the time exposure of employees) and personal protective equipment may be sufficient in some cases. 51 ------- The City of Boulder has shown its concern for the protection of the general public from excess noise through a relatively agressive noise regulation en- forcement program. Current noise restrictions at the property line are 65 deci- bels in business zones and 80 decibels in industrial zones during daytime hours (7 a.m. to 11 p.m.). Several methods are available to reduce the noise at the property line, the most common of which is the strategic placement of fences to block and absorb the noise. Although no noise permit or clearance is required from the City of Boulder Environmental Enforcement Center, enforcement personnel would like to be informed of actions as plans progress, and are willing to pro- vide noise checks and work with a resource recovery developer to make sure the operation is within legal limits. Noise pollution is an often overlooked form of environmental impact which has been shown to produce detrimental effects on the health and welfare of humans. While little is known about the case-and-site-specifie impacts of potential resource recovery facilities in Boulder, a noise impact analysis should be performed if planning on either of the facilities progresses. 0. Solid Waste Generation and Permit Requirements Solid wastes from resource recovery plants include combustion ash and parti- culate matter recovered by air pollution control devices. These wastes can produce undesirable leachates when disposed of in a landfill. Although data are scarce, fly ash particulate from waste incinerators may contain hazardous trace elements such as cadmium, lead, beryllium and mercury. Under the Resource Conservation and Recovery Act (RCRA) of 1976, solid (non- hazardous) wastes are to be regulated primarily at the State and local levels. Under current circumstances, a Certificate of Designation would have to be issued by .the Boulder County Commissioners if a new landfill site were to needed for waste disposal. The State Health Department would also have to approve the siting, engineering, and operational plans for any new landfill. If existing landfills are used for waste disposal, the site must be one that has already been issued a Certificate of Designation and is being operated according to min- imum RCRA and State rules and guidelines (see Figure 6 for a schematic represen- tation of the Certificate of Designation process). 52 ------- Preliminary (not case-or site-specific to Boulder) data indicate that hazar- dous (under the meaning in RCRA) wastes may be contained within solid wastes generated from resource recovery processes. If this is the case, the waste dis- posal situation will become extremely more complex, and may prove to be a project fatal flaw. Hazardous wastes are generally regulated by the Federal Government (the EPA), although states can take over regulatory, administrative and enforcement responsibilities with an EPA-approved program.1 Hazardous wastes are regulated from "cradle to grave" (from generation through transportation, storage, and disposal) under RCRA, and required actions may involve reporting requirements (to the regulatory authority), manifest requirements (to track the waste from cradle to grave) and permit requirements (an approved disposal facility). The RCRA hazardous waste program is still evolving, and early indications from the Reagan administration provide for substantial regulatory changes. Under current circumstances, disposal sites for hazardous wastes would require (like solid non-hazardous wastes) a Certificate of Designation from the County Commissioners. It is uncertain if a current exemption (pending further study) for utility and other wastes from the RCRA non-hazardous waste program would apply to resource recovery facilities. E. Other Environmental/Regulatory Concerns Other permits, approvals and clearances beyond those three listed above would undoubtedly be required before a resource recovery facility could begin operation. These may include such items as wastewater discharges (regulated by the state under authority granted to EPA in accordance with the Clean Water Act), and building, plumbing and electrical permits. Additionally, care must be taken to avoid environmental and safety problems associated with fires, explo- sions and pathogens contained within the waste streams. 1 Colorado has indicated a desire to gain primary hazardous waste responsibility from EPA and is in the process of preparing a state program which would be approved by EPA. 53 ------- F. A Regulatory Compliance Strategy As briefly discussed previously, environmental and regulatory considerations may play a major part in overall project feasibility. At this early stage in project planning, the most serious potential fatal flaws are the probable need for an air emission offset and the uncertainty surrounding hazardous wastes. Further study needs to be performed during the future planning stages to deter- mine the overall impact of regulatory considerations. In this regard, the following steps are recommended: o once more detailed project plans are formulated, regulatory agencies on all governmental levels should be contacted;! o meetings should be held with these agencies, with the applicant provid- ing as much project data and information as possible in an open and honest exchange; o issues, requirements and uncertainties should be identified early with each specific agency, with the applicant confirming verbal discussions and requesting answers to questions in writing; and o involved agencies should be informed of all project actions and changes in plans as they occur. In making agency contacts, it is very possible that some minor permit, clear- ance or approval authority may be overlooked. Therefore, the applicant is encouraged to communicate with others proposing resource recovery projects, hire specialists in regulatory compliance, and/or contact as many agencies as possible (even those that may not visibly have a regulatory resource recovery role). 54 ------- G. Risks of Hazardous Substances in the Waste Stream1 Questions have been raised about potential risks in the workplace from hazardous substances which may be contained in the waste stream of resource recovery plants. Since these systems are new, the consequences of hazardous substances in resource recovery systems are currently not well developed in relation to occupational health and safety factors. This section describes each of these hazardous substances and reviews some of the associated ongoing research and regulatory activity. As municipal solid waste is processed within resource recovery facilities, workers are exposed to bacterial, fungal, and virological pathogens contained in the waste stream. Solid waste contains human and animal fecal matter due, for example, to the use of disposal diapers and the disposal of animal litter. Good data on the impact of the pathogens on the health of workers are not available. The EPA is funding research on pathogens in resource recovery plants by the Midwest Research Institute. This preliminary study is expected to produce a qualitative assessment of potential problems with pathogens and suggest what in-plant control measures can be implemented. Processing solid waste produces considerable dust and because of the variety of materials in solid waste, there is additional concern about specific substances such as asbestos, metals, and other toxic substances. Obviously, dust control measures and personal protective equipment for workers in resource recovery plants need considerable attention on the part of workers, managers, and regulators. Municipal solid waste occasionally contains dynamite, gunpowder, flammable liquids and gases, aerosol cans, propane, butane, and gasoline fuel containers, 1 Source: OTA, Material and Energy from Municipal Waste, pp. 102-107. 55 ------- and other explosive and flammable materials. When such substances are shredded or processed in resource recovery facilities explosions can occur. Both refuse derived fuel and modular incineration facilities are designed to withstand mild explosions by constructing processing units with hinged walls and tops or other conduits to allow rapid venting of exploding gases. Explosion suppression/ex- tinguishing systems, water spray, or equipment isolation are other means of re- ducing explosion damage. Manual or automated surveillance of input material is utilized in some facilities, but cannot be expected to remove all explosive sub- stances. Additional research in minimizing the potential of explosions and the damage resulting from explosion is being conducted by resource recovery manufacturers and by the Federal government (OSHA). 56 ------- V. COST-EFFECTIVENESS The cost-effectiveness of any resource recovery system is a function of six variables: 1) capital costs; 2) operating and maintenance (OfiM) costs; 3) transportation costs; 4) revenues received for the recovered materials and energy; 5) tipping fees; and 6) the cost of other disposal alternatives. These factors are combined in the following way to determine cost-effectiveness: Cost of Option (Capital + O&M + Transportation) - Revenues = Required Tipping Fee The required tipping fee for each option is then compared to the cost of the other disposal alternatives (including landfill and recycling). In this section of the report, we first examine the meaning of each of the variables, then estimate their value for each option, and finally assemble the data for comparative purposes. A. The Variables 1. Capital Cost . The capital cost of a resource recovery plant is the sum of the costs for land, structures, equipment, and modifications to existing facilities. To facilitate comparisons, capital costs are expressed on a per ton-of-waste-processed basis, spread over the expected life of the facility. The formula used is: Capital Cost = total investment X capital recovery factor 365 days X maximum capacity (TPD) X capacity utilization factor Capital costs for the four technology options considered are derived in Table 18. Total investment costs, which appear in the first column of Table 18, were derived from a review of existing literature. For example, dividing the total capital costs by the design capacity in TPD for each of the modular incineration facilities in Table 13 results in capital 57 ------- Table 18 Estimated Capital Costs for Resource Recovery Technologies 1. 2. 3. 4. Technology Modular Incinerator Fluff RDF Wet Pulp RDF Dust RDF (in 1981 Total Capital Investment Recovery Factor^' $ 8.0 million 11.4 million 13.9 million 13.7 million 0.12558 0.12558 0.12558 0.12558 dollars) Maximum Capacity 308 TPD 308 TPD 308 TPD 308 TPD Utilization Factor^' 70% 70% 70% 70% Capital . / Cost/Ton-7 $12.77 18.19 22. 12 21.86 in 00 \J Assumes 11% interest, 20-year amortization period (since the data was assembled for this report In April, 1981 interest rates for municipal bonds have climbed substantially above 11%). 2J The Office of Technology Assessment's report entitled "Materials and Energy from Municipal Waste" states that the "...annual tons of waste processible In a full year Is usually only a fraction of 365 times the maxlmun dally capacity since the plant will not always operate at full capacity. This fraction, the capacity utilization factor ranges from 0.4 to 0.9. It Is usually, however, taken to be 0.7 to 0.8 for resource re- covery plants. _3/ Capital costs for smaller plants are assumed to be the same on a per ton basis as costs for 308 TPD plants. Source: Office of Technology Assessment, Environmental Protection Agency, and Fred C. Hart Associates, Inc. ------- costs per TPD of design capacity ranging from $10,000 to $50,000, with an aver- age capital cost of $23,000 per TPD. The OTA report entitled "Materials and Energy from Municipal Waste" cites a capital cost of $25,800 per TPD of capacity as an average for modular incineration facilities. Therefore, a value of $26,000 per TPD was deemed to be representative and the cost of a 308 TPD facil- ity for Boulder was calculated to be $8,000,000 (308 TPD x $26,000 TPD). Table 19, which lists the capital costs incurred by North Little Rock, is representa- tive of the breakdown of capital costs for a modular incinerator facility. Similarly, capital costs for RDF technologies in Table 18 were derived in an analogous manner. Although these costs are not site-specific, some conclusions can be drawn about site-specific costs. First, land requirements would not pose a major cost constraint for any of the alternatives. Modular incinerators re- quire approximately a two acre site, while RDF facilities require 3 to 5 acres depending on exact system configuration. Land is least expensive near the Mar- shall landfill (approximately $1,200 per acre) and most expensive near the Uni- versity ($200,000 per acre). In any event, it is the availability of land and the compatibility of the proposed facility with existing land use, not land cost, that may pose constraints for some of the options. Second, costs of structures and equipment would not vary much from one site to the next, but could vary based on system size. Economies of scale are re- ported to be particularly strong for the three RDF technologies,! but given the limited data available on system cost, it is impossible to estimate the econo- mies of scale from actual experience. We have, therefore, used the same capital cost/ton figure for each facility size.2 1 OTA, Materials and Energy from Municipal Waste, pp. 121-122, 124. 2 To estimate the impact of scale economies, it would be necessary to design alternative facility configurations, and cost out each component. Summing the cost of all components, one would arrive at variations in capital cost for different size facilities. Such an analysis would be useful if it is decided to proceed to the next step of a resource recovery implementation program. 59 ------- TABLE 19 NORTH LITTLE ROCK ACTUAL CAPITAL COST BREAKDOWN Item Capital Cost ($) % of Total Capital Cost Land 10,000 1 Site Preparation 101,000 7 Design 38,000 2 Construction 311,000 20 Real Equipment 969,000 64 Other Equipment 63,000 4 Other Costs 38,000 2 Total Capital Costs $1,530,000 100% Source: U.S. EPA, Small Modular Incinerator Systems with Heat Recovery: A Technical, Environmental, and Economic Evaluation,Publication SW-797, November, 1979. 60 ------- Third, modifications to existing facilities would be most extensive for the RDF alternatives. Modular incineration would produce steam that could be introduced to existing heat distribution or energy generation facilities directly. RDF production, however, would require substantial modifications to Public Service Company facilities, including construction of storage bins, addition of conveyors, boiler modifications, and ash handling system modifications. At Ames, Iowa, modifications other than the capital cost of the processing plant cost $2.2 million (1975 dollars) for a 400 TPD plant. This ^presented over 30 per cent of total system costs. Capital costs appear lowest for the most proven technology: modular incineration. Fluff RDF is estimated to be over 40 per cent more expensive than modular incineration, and the other two technologies are over 70 per cent more expensive. 2. O&M Costs. O&M costs include labor, fuel, maintenance, supplies, insurance, utilities, taxes (if applicable), and residue disposal costs. As noted in Section II of this report, the largest component of O&M cost is the cost of labor. Table 20 estimates O&M costs for each of the options; O&M costs were derived from the literature in a similar manner as the capital costs. As with capital costs, O&M expenditures are highest for wet pulp and dust RDF processes and lowest for modular incineration. Modular incineration appears to have a significant O&M cost advantage over any of the alternatives. Based on the North Little Rock, Arkansas modular incinerator O&M costs from Table 12, labor represents approximately 50 percent of total O&M costs, fuel (No. 2 diesel, natural gas) represents 11 percent, utilities (electricity, water and sewer) represent 11 percent and maintenance represents 26 percent of the total O&M costs. In addition to the four technology options, Table 20 estimates differences in O&M cost based on facility size. Two optional sizes are considered; the first assumes 308 TPD of waste; the second assumes 156 TPD. The latter option would occur if: 1) the City of Longmont were not to participate, leaving only the Boulder City waste stream to be processed; and 2) Eco-Cycle were to continue operations and developed a 52-TPD recycling program. These are not necessarily 61 ------- Table 20 1. 2. 3. 4. O&M Costs Technology Modular Incinerator Fluff RDF Wet Pulp RDF Dust RDF for Resource Recovery Technologies (in 1981 dollars) 308 TPD $ 9.56/ton 19.90/ton 32.43/ton 23.26/ton 156 TPD $12.58/ton 26.21/ton 42.69/ton 30.61/ton Sources: Office of Technology Assessment and Fred C. Hart Associates, Inc. 62 ------- the most likely set of circumstances, but they do represent a lower volume al- ternative. Because labor costs per ton are higher for the smaller scale facili- ties, O&M costs increase substantially as system size decreases. 3. Transportation Costs. Incremental transportation costs need to be added to the cost of each option if the distance that waste will be hauled to the site of a new facility is longer than current hauling distances for dispos- al. Conversely, if hauling distances are shorter, the difference in cost should be subtracted from the cost of each option. Transportation cost data were developed separately for Boulder and Longmont, using the following assumptions: Generation rates: Boulder: 208 TPD Longmont: 100 TPD Current average hauling distance:* Boulder to Marshall Landfill: 16 miles Longmont to Longmont Landfill: 13 miles Hauling distance for each option: Boulder to City Yards: 5 miles Longmont to City Yards: 33 miles Boulder to Valmont: 5 miles Longmont to Valmont: 33 miles Boulder to UC: 2 miles Longmont to UC: 40 miles Boulder to Marshall: 16 miles All distances are for roundtrips. 63 ------- Longmont to Marshall: 44. miles Cost per ton-mile: $0.40 without transfer station $0.16 with transfer station. Data on transportation costs are presented in Table 21. The change in transportation cost has a positive impact on the cost-effectiveness of every optional location except Marshall landfill. There are two reasons for this: 1) for the City of Boulder's waste, haul distances to the three potential resource recovery locations within Boulder are shorter than current haul distances to the landfill. Thus, Boulder experiences cost savings in the $3.00 - 4.00 range per ton of waste hauled. 2) For Longmont, the economies derived from opening a transfer station largely offset the increased costs incurred by shipping waste longer distances. At a transfer station, compactor trucks are unloaded at a central location and returned to collection routes. The waste is further compacted at the station and transferred to large trailers for delivery to the disposal site. Costs are reduced through efficiencies in truck route utilization, and through decreased labor and O&M cost for the delivery vehicles hauling waste to disposal sites. 4. Revenues. Revenues would be generated by a resource recovery facility from the sale of recovered metals and glass, and from the sale of RDF or steam. Estimated revenues for each technology option are derived in Table 22. The table is based on two major assumptions. First, modular incineration is assumed to take place without prior separation of waste for metals and glass recovery. There is no technical reason why the separation and incineration technologies can not be combined, but in most existing modular incineration units, they are not. Second, while assumptions had to be made for revenues per ton for each recovered product, the most difficult assumption was that for steam. Steam can be sold at prices competitive with the purchaser's current steam-generation costs. Current costs, as discussed previously, range from about $2.50 per million BTU for customers using interruptible natural gas to over $6.50 per million BTU for others. Many of the potential customers for steam are currently 64 ------- Table 21 Transportation Cost for Waste Disposal Options Option Current City Yards Valmont University of Colorado Marshall Landi 11 Origin Boulder Longmont Boulder Longmont Boulder Longmont Boulder Longmont Boulder Average Round Trip Distance from Total Unit Cost Point of Collection Cost/ Destination $/Ton Mile to Disposal (miles) Ton Marshall Land- fill Longmont Land- fill City Yards City Yards Valmont Valmont UC UC Marshall Land- fill 0. 0. 0. 0. 0. 0. 0. 0. 0. 40 40 40 16 40 16 40 16 40 16 13 5 33 7 33 2 40 16 $6. 5. 2. 5. 2. 5. 0. 6. 6. 40 20 00 28 80 28 80 40 40 Change in Cost/ Ton -4. +0. -3. +0. -5. +1. - 40 08 60 08 60 20 __ Weighted Change in Weightei Average Weighted Transpor Cost/Ton tation Cost 6.01 3.07 -2.94 3.61 -2.40 2.62 -3.39 Longmont Marshall Land- 0.16 fill 44 7.04 +1.84 6.61 +0.60 ------- Table 22 en Ot Option 1- Modular Incineration 2- Fluff RDF 3. Wet Pulp RDF 4. Oust RDF J/ - Recovered Product Steam Glass Ferrous Metal Aluminum RDF Total Glass Ferrous Metal Aluminum RDF Total Glass Ferrous Metal Aluminum RDF Revenues Input^ -I1£P) — *— — • C— _ 300 28 24 3 308 28 24 3 308 28 24 3 308 from Resource (in 1981 * 2/ Recovered- 100% 65% 95% 65% 70% 65% ,.. 95% 65% 76% 65% 95% 65% 80% Recovery dollars)" Output (TPO) N.A. 18.2 22.8 2.0 216. 18.2 22.8 2.0 234. 18.2 22.8 2.0 246. Options Revenues/ $ 14 $ 25 45 600 8 $ 25 45 600 8 $ 25 45 600 10 Revenues /Day $4.312 $ 455 1.026 1.200 1.720 $4,409 $ 455 1.026 1,200 1.872 $4.553 $ 455 1.026 1,200 2,460 Total adjusted to reflect low Municipal Waste, p. 100. $5.141 Ton of MSW $14.00 $14.31 $14.78 $16.69 01A, Materials and Energy from ------- using natural gas for steam generation. The price of natural gas will increase rapidly as decontrol of gas prices takes place between now and 1985. We have used current data to estimate steam revenues, and have priced it competitive with current interruptible natural gas supplies, but it should be noted that the value of this steam may increase rapidly during the next few years and may make modular incineration alternatives more attractive than they are now. 5. Tipping Fee. A tipping fee is the fee charged for disposing of solid waste at the resource recovery facility. For a facility to be economically competitive with other disposal alternatives, the fee should be in the same range as anticipated fees for the alternatives. B. Results of the Analysis The required tipping fees for resource recovery options in Boulder are derived in Table 23, using the formula developed at the outset of this chapter. Tipping fees for the options range from $8.33 per ton for the 308 TPO modular incinerator to $50.03 per ton for the 156 TPD wet pulp RDF facility. Current tipping fees at Marshall Landfill are $4.20 per ton, although, as noted earlier, the operator of the landfill expects landfill fees to double in the near fu- ture. Tipping fees at the Longmont landfill are $6.40 per ton. Of the options considered, modular incineration appears to be the only one within an acceptable range on cost-effectiveness grounds. It should be realized, however, that the cost estimates presented here are first cut approximations which are not based on site-specific design considerations. C. Alternate Sites for Modular Incineration Since modular incineration technology appears to be within an acceptable range on cost-effectiveness grounds, the next step of the analysis is to identify advantages or disadvantages of the specific location of such a facility. Of the four locations discussed earlier (University of Colorado, Valmont, City Yards, and Marshall landfill), Marshall landfill can be eliminated from consideration. It is too far from prospective steam customers to be of interest. 67 ------- Table 23 en 00 Tipping Fees for Resource Recovery Options in Boulder 1A. 2A. 3A. 4A. IB. 2B. 3B. 4B. Option 308 TPD Modular Incinerator Fluff RDF Wet Pulp RDF Dust RDF 156 TPD Modular Incinerator Fluff RDF Wet Pulp RDF Dust RDF Capital Cost- + $12.77 18.19 22.12 21.86 12.77 18.19 22.12 21.86 O&M Cost-/ $9.56 19.90 32.43 23.26 12,58 26.21 42.69 30.61 Transportation + Cost These options are not site specific. Adjustment for trans- portation costs will be made in Table 24. (in $/Ton) 3/ Revenues- $14.00 14.31 14.78 16.69 14.00 14.31 14.78 16.69 = Tipping Fee $8.33 23.78 39.77 28.43 11.35 30.09 50.03 35.78 I/ See Table 18. 2/ See Table 20. 3/ See Table 22. ------- Some initial cost data for the remaining sites is presented in Table 24. These data must be further refined in the next phase of implementation. Based on a preliminary assessment, it would appear that there are no overwhelming cost advantages to one site over another. The preliminary data do show, however, that because of lower transportation costs all three options appear more cost-effective than Table 23 suggested. The "effective tipping fees" (i.e., tipping fees adjusted for changes in transportation cost) fall in the range of $5.53 to $5.98 per ton for a 308 TPD facility, and $8.55 to $9.00 per ton for a 156 TPD facility. D. Sensitivity Analysis As noted in the discussion of the individual variables, a number of assumptions had to be made to determine cost-effectiveness of the options. Since opinions differ with regard to the reasonableness of any assumption, this section discusses the impact on cost-effectiveness of changes in the assumptions. Two categories of changes are discussed: (1) impacts of Eco-Cycle; and (2) impacts of inflation -- specifically, increases in capital charges, O&M costs, and projected revenues. 1. Impact of Eco-Cycle. There is no basic incompatibility between the continued existence of Eco-Cycle (or other separate collection programs) and the resource recovery options discussed in this report. This is not to say that Eco-Cycle would not have impacts on the resource recovery options. On the contrary, it could have significant effects if it reaches its projected level of activity, due to loss of scale economies and loss of revenues, both resulting from smaller facility size. But to say this is to view only part of the picture. Total waste disposal costs for the County would undoubtedly be lower if Eco-Cycle reaches projections, since the portion of the waste they remove is handled at little or no cost. Table 25 shows the impact of Eco-Cycle on a 308 TPD waste stream. Costs and revenues are estimated for modular incineration before and after removal of Eco-Cycle's 52 TPD. The second option represents a smaller facility -- not a 308 TPD facility running at lower capacity. As the table shows, if Eco-Cycle removes 38 TPD of paper and 14 TPD of non-combustibles, the rise in O&M costs 69 ------- Table 24 Site-specific Cost Considerations for Modular Incineration Facilities 1. 2. 3. Option City Yards University of Colorado Valmont (1) Land Cost Total Per Ton $ 90,000 $ 0.14 392,000 0.62 30,000 0.05 (2) Chnage in Transports^ tion Cost- Per Ton $ -2.94 -3.39 -2.40 (3) Total Adjustments to Tipping Fee. Based on Site- Specific Consi- derations- $ -2.80 -2.77 -2.35 (4) Effective Tipping Fee 308 TPD ,, Facility-' $ 5.53 5.56 5.98 (5) Effective Tipping Fee 156 TPD ,, Facility-7 $ 8.55 8.58 9.00 I/ Compared to the cost of transporting waste to Marshall and Longmont landfills. 2/ Column 1 plus Column 2. 3/ Tipping fees from Table 20 minus amount in Column 3. We have used the term "effective tipping fee" because savings in transportation cost would have the same effect on haulers as a reduction in tipping fees. Tipping fees would, however, remain in the $8.00-9.00 range for 308 TPD and in the $11.00-12.00 range for 156 TPD, as shown in Table 20. ------- Table 25 Impact of 52 TPD EccrCycle Program on Modular Incinerator Tipping Fees (in $/Ton) Option Without Eco-Cycle- l/ With Eco-Cycle- 2/ Tipping Capital Cost + O&M Cost - Revenues = Fee $12.77 $12.77 $ 9.56 $10.59 $14.00 $8.33 $14.00 $9.36 I/ 308 TPD Facility 2/ 256 TPD Facility 71 ------- would be $1.03 per ton. Resulting tipping fees are $9.36, an increase of 12.4 per cent. If Eco-Cycle continues to operate at its present size, the impacts on a modular incinerator are minimal. Current Eco-Cycle operations handle only four per cent of the total study area waste stream, an amount too small to be of concern. It is also important to note that operations of Eco-Cycle at either the current or projected level would not affect the ability of a resource recovery facility to produce steam (or RDF) of acceptable quality. At its projected level, Eco-Cycle would remove substantial amounts of combustible material (paper) from the waste stream, but the amount of paper removed would not have a marked impact on the composition of the remaining stream. Removing 38 TPD of paper and 14 TPD of non-combustibles leaves the remaining waste stream 69.5 per cent combustible, a decline of only 0.5 per cent. 2. Impact of Inflation. Cost figures used in this analysis have all been expressed in 1981 dollars. Actual cost of a facility and revenues from its operation would be substantially higher, due to the effects of inflation. The effects will not be proportional: because revenues will be received in later years than costs are incurred, inflation should have beneficial impacts on the cost-effectiveness of the system. The factor least affected by inflation will be capital costs: these are incurred once, at the time of construction, and can be amortized at a constant rate over the life of the facility. Table 26 escalates capital costs to 1984 dollars (the year in which most would be spent). Costs were escalated at an annual 8.4 per cent rate, which represents the actual rate of increase in construction cost from 1975 to 1980.1 O&M costs presented in Table 26 are escalated at an 8 percent annual rate. Revenues are 1 Source: Engineering News Record Construction Cost Index. 72 ------- Table 26 Impact of Hypothetical Inflation on Tipping Fees for Modular Incineration (In $/ton) Cost 1981 1985 1990 Facility Size Category Cost Cost% Change Cost% Change 308 TPD Capital $12.77 $16.27 +31.3% $16.27 +31.3% O&M 9.56 13.01 +36.12; 19.12 +100.0% Revenues 14.00 20.50 +46.4% 33.02 +135.8% Tipping Fee 8.33 8.78 +5.4% 2.37 -71.5% 156 TPD Capital $12.77 $16.27 +31.3% $16.27 +31.3% O&M 12.58 17.12 +36.1% 25.16 +100.0% Revenues 14.00 20.50 +46.4% 33.02 +135.8% Tipping Fee 11.35 12.89 +13.6% 8.41 -25.9% 73 ------- escalated at a 10 percent annual rate. The table shows the results of this set of inflation projections on tipping fees for 1985 and 1990 for two sizes of incinerator. Tipping fees increase at a slower rate than all other costs, particularly for the large facility. In fact, by 1990, tipping fees are lower than current levels: for the 308 TPD facility, the decline will be to $2.37 per ton; for the smaller facility, to $8.41 per ton. These numbers can, of course, be adjusted to portray other scenarios (other rates of inflation). The point is simply that if energy costs continue to rise faster than the general inflation rate, then tipping fees for modular incinerators will decline both in relative and eventually in absolute terms. 74 ------- VI. IMPACTS ON EXISTING ORGANIZATIONS This section of the report is included at this time primarily to indicate that there will be impacts on existing organizations -- including landfill operators, haulers of solid waste and Eco-Cycle -- if a resource recovery facility is constructed. The exact nature of the impacts will depend on the size and location of the new facility and the arrangements made for supplying it with solid waste. The most significant impacts may be those on landfill operators, primarily Landfill Inc., the operator of Marshall landfill. Approximately 308 TPD of waste would be diverted from Marshall landfill to a resource recovery facility. At current tipping fees, this would lower revenues by approximately $225,000 per year. The impact of this revenue loss on the operator and on tipping fees, however, cannot be gauged without access to proprietary data. It should be noted that Marshall landfill would continue to handle a substantial volume from areas outside Boulder and Longmont, seasonal variation and growth in waste volume beyond the capacity of the resource recovery facility, facility down time, construction debris, and other sources. This volume would average at least 150 TPD. The Longmont landfill currently handles 200 TPD of waste, half of which is derived from the City of Longmont. However, since the City operates the landfill and does not charge itself tipping fees, there would be little or no impact on revenues if the City were to sent its waste to a resource recovery facility. Private haulers of solid waste would be affected by the opening of a resource facility in two ways: 1) their transportation costs would decline, under each of the options; but 2) they might be the object of new regulations designed to ensure that they deliver a sufficient amount of waste to a resource recovery facility. These impacts can be addressed only after the City or County assess their options with regard to control of the waste stream and a site for the facility is chosen. 75 ------- Finally, Eco-Cycle could be affected by the decision to construct a resource recovery facility if that decision is coupled with a lessening of governmental or individual commitments to recycling. We have stressed in this report that there is no basic incompatibility between recycling and resource recovery. In fact, among the recommendations presented in the next chapter is the recommenda- tion that further data be collected on the costs of source separation and recy- cling, with the objective of minimizing the areas's total waste collection and disposal costs. Impacts on Eco-Cycle would be estimated as one result of such a study. 76 ------- VII. RECOMMENDATIONS This report recommends that Boulder County and the Cities of Boulder and Longmont proceed with the next phase (Selection Phase) of planning a modular incineration facility. Of the technologies considered in this report, modular incineration appears to have clear advantages based on significantly lower costs and greater system reliability. If a modular incinerator were to be constructed, the best site would be one that is close to a potential customer. Of three areas considered in this re- port, the Public Service Company's Valmont site would appear to be the best suited for an incinerator, although City Yards and the University of Colorado may also be acceptable. Advantages of the Valmont site are: 1) available land; 2) proximity to the steam customer; 3) ability of a single customer to commit itself for the life of the project; 4) compatibility of proposed and existing land use; and 5) potential ash disposal on site. Siting a facility near the University presents questions concerning the availability of land and the compatibility of the project with current and pro- jected land use. At City Yards, on the other hand, the principal drawback is the absence of a single large customer whose continued existence through the life of the project is assured. The Selection Phase is the major decision step in resource recovery imple- mentation because through it the general outlines of the resource recovery pack- age to be procured are determined. This includes questions of technical con- cept, management alternatives, financing, and strategy for actually procuring the recovery plant. Specifically, the following steps should be undertaken in the Selection Phase: 1) The Public Service Company, the University of Colorado, and the City should undertake preliminary costing of the most feasible alternative, including costs of modifications to existing facilities. 77 ------- 2) The County or the Cities of Boulder and Longmont should begin sampling the waste stream to determine its exact quantity and characteristics. 3) The City or County of Boulder must take steps to ensure a waste supply for the facility. At present, private haulers control waste disposal in the City of Boulder, with local government unable to direct its disposition. The initial phase of this step would be to explore legal options and requirements at the State, County and municipal levels. 4) Further examination of the pollution control requirements - particularly air pollution - for a modular incinerator in Boulder should be undertaken with emphasis on the cost and reliability of any equipment that may be requi red. 5) The County or the Cities of Boulder and Longmont should examine the cost of an expanded source separation/recycling effort as a method of minimizing total collection and disposal costs. The data presented in this report are insufficient to judge the relative cost-effectiveness of efforts to expand source separation and recycling versus resource recovery. 6) The City of Longmont should conduct an analysis of the feasibility of constructing a transfer station for its solid waste. The analysis should consider sites available for the station, and the total cost of waste delivery to the three potential resource recovery sites, including capital, operating and maintenance, and transportation costs. 7) When the above steps have been completed, a more detailed feasibility study for the entire project must be prepared. This study would summarize the results of steps 1 to 6, present detailed information concerning the viable options, and make recommendations for the next phase of implementation. Additionally, during the Selection Phase (preferably near the beginning of this phase), a lead agency should be chosen from all of the participating entities to provide a focal point for resolving issues and making decisions in such areas as facility ownership, operating, financing, etc. 78 ------- Following completion of the Selection Phase, the Detailed Planning Phase should be commenced. Detailed planning may include the following list of tasks: 1) environmental assessment of alternative sites; 2) selection of site; 3) integration of projects with County Solid Waste Management Plan; 4) identification of firm markets; 5) develop proposed implementation plan which includes the permits and approval necessary to construct project; 6) undertake preliminary negotiations for land, financing, revenues, etc. 7) preliminary design at selected site in sufficient detail to perform an assessment of economic feasibility; 8) detailed assessment of alternatives and selection of recommended project; 9) detailed economic and technical feasibility study which includes the project's waste sources as defined in sub-task 3. The last planning phase which immediately precedes actual construction of the facility is the Implementation Phase. This Phase includes the following: 1) complete the design and conclude owner-operator agreements; 2) complete-land acquisition; 3) obtain plans, specifications, and bids on major equipment; 4) produce a refined cost estimate for entire project; 5) complete the design plans in sufficient detail to satisfy bond underwriters; 6) complete the financing plan; 7) complete the energy and materials market contract negotiations to level of letters of intent to bid; 8) prepare draft Environmental Impact Report; 9) obtain final EIR approval or equivalent action to conclude environmental regulatory requirement; 10) obtain State and local permits. 79 ------- |