Climate Challenge Participation LetterDOE's Energy Partnerships for a Strong Economy
This Participation Accord describes the commitments that Centerior Energy Corporation (Centerior) and the U.S. Department of Energy (DOE) have made to participate in the Climate Challenge Program in pursuit of the President's goals for reducing greenhouse gas emissions. The Climate Challenge Program is a joint, voluntary effort of DOE and the electric utility industry to reduce, avoid or sequester greenhouse gas emissions. The framework of the Climate Challenge Program was established in the Climate Challenge Program Memorandum of Understanding and Exhibits thereto dated April 20, 1994 (the Climate Challenge Program MOU) (see Attachment A to this Participation Accord). Centerior is the parent corporation of its two operating companies, The Cleveland Electric Illuminating Company (CEI) and The Toledo Edison Company (TE). CEI and TE serve over 2.6 million people across 4,200 sq. miles of territory in northern Ohio. The system is comprised of 5925 megawatts of generating capacity, of which 61 percent is coal fired, 31 percent is nuclear and the remaining 8 percent is from other generation sources. Centerior through its operating companies has made major commitments to environmental protection including the construction of the Davis-Besse Nuclear Power Station and the Perry Nuclear Power Plant. In addition, Centerior is a partial owner of Beaver Valley Nuclear Power Plant and Bruce Mansfield units #1,2, & 3 which installed a state of the art SO2 scrubber system in the mid-l970s. I. Centerior Commitments
1997 Bay Shore Unit #1 Controls1998 Eastlake Unit #5 Air Heater Baskets1999 Eastlake Unit #5 1st & 8th Stage Blades2000 Bay Shore Unit #4 Turbine BladesIt is estimated that about 50,000 tons of coal per year will not be burned due to the projects that have been completed and those anticipated to be completed from 1995 to 2000. Centerior's fossil plant efficiency projects are expected to reduce CO2 emissions by approximately 128,000 tons per year, based on estimated CO2 emissions of 205 Ibs. CO2/MMBtu and assuming 12,500 Btu/lb coal. This estimated reduction in CO2 is reflected in Table I. Transmission Line Improvements
Rachel Transmission LineThe installation of substations and associated transmission lines will eliminate line losses at approximately 7.5 megawatts. The elimination of 7.5 megawatts of coal fired generation is estimated to reduce CO2 emitted by 67,342 tons per year using a CO2 factor of 2.05 lb. CO2/kWh. Assuming the projects are completed by the end of 1997, the total CO2 saved by the year 2000 would be about 134,700 as shown in Table I.
Past Projects
1991
Replace PCB transformers 1992
Integrated Chemistry Sampling 1993
Modify MSR High Level Trip 1994
Install Auto Transfer switch modcomp comp Perry Nuclear Power Plant 1991
Change existing RWCU seal pump seal 1992
Reduce extensive temperatures caused by poor coolant flow 1993
Implement Stress Improvement Process for nozzle to safe-end
welds for various plant systems 1994
New Air System, Preoperational Test Phase
1995 RFO Fuel Repairs/Modification 1996
Dry Fuel Storage 1997 No Outage Scheduled 1998 No Projects Identified
1999
Replace EDG Air Valves (AS FAIL) Perry Nuclear Power Plant 1995+ Replace existing 24" downcomer piping 1995+ RF05 Inspection and Repairs to water and circulating water system Nuclear Generation Equivalent CO2 Reduction The projects listed above that have been completed or are anticipated to be completed by the year 2000 are conservatively expected to result in an average kilowatt-hours (kWh) generation from the nuclear power plants of 3,796,920,000 kWh for Perry NPPThe kWh listed reflect only Centerior's ownership share of the referenced units. The average baseline kWh for the 1987 to 1990 time period is 2,757,381,750 kWh for Perry NPP
Demand Side Management
1991 - $ 468,977 kWh Reduction 7,049,180 1992 - $1,847,464 kWh Reduction 11,129,536 1993 - $4,648,776 kWh Reduction 26,128,489 1994 - $2,629,589 kWh Reduction 19,024,982 (first six months only) It is unlikely that DSM programs will be continued at the same level of funding that has occurred in the past. Centerior will implement DSM programs in the future consistent with its Integrated Resource planning process which is regulated by the Public Utilities Commission of Ohio. CO2 emissions were reduced by nearly 65,000 tons based on the kWh reduction noted above and a CO2 reduction factor of 2.05 lbs/kWh. Land Management Programs
1993 - Planted 836 trees at Westwood $29,000
MTRP Grant Program $15,000
1994 - Planted 30 trees at Miles Service Center $ 4,000
Planted 172 trees and 1276 shrubs at PNPP $85,000
Centerior will consider additional tree planting programs in the future based on present and future economic constraints. Tree planting to date has not been of sufficient quantity or age to generate a significant CO2 benefit yet.
Ash utilization in cement production and cement replacement 1991 - 60,000 tons of ash utilized 1992 - 70,000 tons of ash utilized 1993 - 80,000 tons of ash utilized 1994 - 90,000 tons of ash utilized l995 and beyond - Future projections on ash use in cement production and cement replacement are dependent on total cement use in the Northern Ohio area. Cement use is heavily tied to economic conditions and the level of construction. Centerior will continue its efforts to seek additional growth in the use of flyash as a cement replacement and in cement production. We would expect usage levels to be at or above historic levels of 60,000 to 90,000 tons or more barring a substantial downturn in the economy. Based on published offset values of 1 ton of CO2 for each ton of cement, the total CO2 saved since 1991 and projected to the year 2000 would approach a total of 700,000 tons of CO2 over this time period. CFC replacements 1994 - 2200 lbs. R-11 changed to tri-chloroethylene at Perry Nuclear Power Plant 1994 - 1500 lbs. R-12 changed to R-22 at Davis-Besse Nuclear Power Station 1997-8 - 145 lbs. (290 ibs. total) R-12 to be changed to R-22 or other approved refrigerant in two Control Room Air conditioners at Davis-Besse Nuclear Power Station. The above CFC replacements are equivalent to a reduction of approximately 5,800 tons of CO2, based on a 2,900 to 1 CO2 factor for the change from R-11 and R-12 to R-22.
Geothermal Industry Initiative - Centerior will participate and provide the required funding of $50,000 per year over the 5 year period of the program. Although each project has been carefully considered and best efforts have been made to estimate the effects on greenhouse gas emissions, conditions could change that would result in new projects being added or existing projects being deleted or modified based on economic, market or regulatory considerations. This could alter estimates and listed projects.
Centerior Energy Corporation 6200 Oak Tree Blvd Independence, OH 44131
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Director, Climate Challenge Program Office of Utility Technologies (EE-10) U. S. Department of the Energy 1000 Independence Ave., S. W. Washington, D. C. 20585 (202) 586-2588 DOE agrees to notify Centerior prior to or, in any event, no later than 30 days after any change in liaison responsibilities or personnel.
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_________________________ President/CEO or designee Centerior Energy Corporation -------------------------[date]
Attachment: Attachment A - Climate Challenge Program MOU and Exhibits m: CAA\GHG\climacrd.wpd 
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