December 15th, 2024

Grant needed for FLC heat, lighting upgrade

By COLLIN GALLANT on June 24, 2020.

Adminsitrators say that an onsite generator to meet the power needs at the Family Leisure Centre would lower costs and reduce emissions. A council committee approved a proposal on Tuesday to apply for grants to offset most of an estimated cost of $886,000. (Pictured) unrelated construction to pave a parking lot at the north-end facility continued on Tuesday. -- NEWS PHOTO COLLIN GALLANT

cgallant@medicinehatnews.com@CollinGallant

A “cogeneration” project to both heat and light the Family Leisure Centre would reduce emissions and save money, if grant funding can be secured, a council committee heard on Tuesday.

Essentially, a project to install a new natural gas motor would provide on-site power production to meet the facility’s needs, and the resulting heat would be used in the building or to warm up pool water, according to the initial plan.

“There are a lot of synergies that makes this attractive for recreation centres, where there’s a need for heat and also power for pumps and other equipment,” said Joe Cartwright, head of the city’s corporate asset management office, which oversees building management and operations.

A noon-hour meeting of council’s corporate services committee heard that the reduction in the FLC’s utility bill would be $47,000 per year – even when additional maintenance is factored in.

However, the near $900,000 estimated cost really only makes sense from the city’s financial standpoint if a grant for 75 per cent of that can be secured from the Alberta Municipal Climate Action Centre. That would reduce the payoff date of the project from 19 years to six.

“It’s totally contingent on getting the grant,” said commissioner Dennis Egert, who sad the city, with its utility division, is uniquely able to maintain and operate the motor. “The intent is to reduce electricity costs and there are large grants available.”

Committee members voted to send the proposal to council for final approval in July. If successful, a decision on the grant could be made by the fall.

“I do see it as a triple win,” said committee vice-chair Coun. Darren Hirsch, “There’s a shared cost that’s not all coming from the taxpayers of Medicine Hat, we’re saving money in the end … and we’re helping out the environment by reducing the emissions.”

Committee member Coun. Brian Varga said the city should explore the potential to use the same process at other facilities.

Grants available from the Municipal Climate Change Action Centre were recently accessed but the city was against the cost of upgrading lighting at the FLC and Kinplex arenas to more-efficient lower cost LED bulbs.

For the new project, a total budget is estimated at $883,000, including a $110,000 contingency fund, though if a maximum grant is secured the cost to the city would be about $271,000.

The projected savings in operating costs are estimated to be $47,000 per year, including an additional $20,000 of potential maintenance cost savings.

An offsetting reduction in power revenue is expected in the city’s utility department, but a brief states it is inconsequential and ultimately beneficial.

In terms of environmental impact, the estimate is a reduction of 1,100 tonnes of carbon dioxide per year, the equivalent of nearly 200 fewer cars.

The operating lifespan of the engine is considered to be 24 years, though overhauls are required every eight.

The new unit would be limited to the amount of power required by the building, and not put onto the greater city grid, which would require provincial regulatory approval.

It’s not the first time the city has explored cogeneration at its facilities. A cogeneration system was included in the original design of the FLC, constructed in the late 1990s, but that unit was poorly sized, administrators said, and it was removed.

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