Appendix A Cost Estimate and Basis

This appendix is included to show the detailed costs estimate and to describe the basis of the estimate. The estimate is based on previous studies and cost estimates for the addition of air pollution control equipment to Unit 1 at Nebraska City. A study was completed in 2002 that included obtaining estimates for equipment vendors in 2002. Due to current market conditions, equipment vendors are unwilling to provide quotes for studies. Other than a single estimate for SDA and fabric filter equipment, the cost estimate was based on escalating quotes received in 2002 and developing actual estimates for installation and support costs.

OPPD BART Analysis Cost Estimate and Basis Page A-1 HDR Engineering, Inc. July 2007DETAILED COST SUMMARY, $ US 2007

OPPD -NC1 I. SDA SYSTEM SITEWORK 750,000 II. DEMOLITION FOR SDA SYSTEM 150,000 III. BURNER MODIFICATIONS 17,400,000 IV. SCR EQUIPMENT 160,880,000 V. SDA - LIME PREPARATION EQUIPMENT AND BUILDING 10,500,000 VI. SDA/FF SYSTEM 103,120,000 VII. ID BOOSTER FAN EQUIPMENT 6,600,000 VIII. OUTAGE COST 22,930,000 IX. ASH HANDLING EQUIPMENT 1,000,000 X. AIR HEATERS 8,000,000 XI. ELECTRICAL MODIFICATIONS 2,860,000 SUBTOTAL CONSTRUCTION AND EQUIPMENT 334,190,000

CONTINGENCY (25%) 83,550,000 DESIGN/ENGINEERING/CM (10%) 41,770,000

TOTAL PER UNIT CAPITAL COST 459,510,000 A N N U A L A M O R T I Z E D C A P I T A L C O S T ( S e e N o t e 1 ) 36,870,000

TOTAL STATION CAPTIAL COST 459,510,000 A N N U A L A M O R T I Z E D C A P I T A L C O S T ( S e e N o t e 1 ) 36,870,000

OPPD BART Analysis NC-1 Capital Cost Page A-2 HDR Engineering, Inc. July 2007Item Qnty Unit Price Item Cost I. SDA SYSTEM SITEWORK (See Note 2) Sitework 1 750,000 750,000 Earthwork General Earthwork Finishing Grading & Seeding Asphalt Roadways Site Utilities Fire Protection Water Supply Sewer System Electrical Site Drainage Fencing Landscaping Subtotal 750,000

II. DEMOLITION FOR SDA SYSTEM Demo Ductwork 1 150,000 150,000 Subtotal 150,000

III. BURNER MODIFICATIONS Low NOx Burner Upgrade 48 300,000 14,400,000 Over fire air Modifications 1 3,000,000 3,000,000

Subtotal 17,400,000

IV. SCR EQUIPMENT Equipment (See Note 3) SCR Equipment 1 70,000,000 70,000,000 Ash Handling Equipment 1 2,000,000 2,000,000 Including Structural Steel

Equipment Installation 84,072,000 Erect SCR Install Air Heater Install Ammonia Storage and Delivery System Associated Mechanical Associated Electrical Cut over to operating unit Start-up and Shakedown Crane rental

Foundations (See Note 4) 60'x60'x96" Steel reinforced concrete, $350/cy 1,067 350 373,333

Ductwork 300', 10'x20', 3/8" Steel ductwork, 500lb/ft3, $9/lb 281,250 9 2,531,250 Insulation, 25% of ductwork 1 632,813 632,813 Ductwork support/bracing, 25% of ductwork 1 1,265,625 1,265,625

Subtotal 160,880,000

OPPD BART Analysis NC-1 Capital Cost Page A-3 HDR Engineering, Inc. July 2007V. SDA - LIME PREPARATION EQUIPMENT AND BUILDING Lime Equipment 1 5,000,000 5,000,000 Lime Storage Silo Feeders Slaker Grit screens Slurry Tank Slurry Pumps Dilution water tank Dilution Water Pumps Air Compressors

Equipment Installation 1 3,000,000 3,000,000 Foundations Install Lime Preparation System (included in Lime System costs) Ductwork Associated Mechanical Associated Electrical Start-up and Shakedown

Building 1 2,500,000 2,500,000 Structural Steel Concrete Slabwork Concrete Footings/Foundation Overhead Doors Building Fire Protection Mechanical Electrical Subtotal 10,500,000

VI. SDA/FF SYSTEM Equipment (See Note 5) Scrubber 1 23,000,000 23,000,000 Filter Baghouse 1 20,000,000 20,000,000 Ash Handling Equipment 1 500,000 500,000

Equipment Installation 43,761,600 Erect SDA Install Ash Handling System Associated Mechanical Associated Electrical Cut over to operating unit Start-up and Shakedown Crane rental

Ductwork 1200', 10'x20', 3/8" Steel ductwork, 500lb/ft3, $9/lb 1,125,000 9 10,125,000 Insulation, 25% of ductwork 1 2,531,250 2,531,250 Ductwork support/bracing, 25% of ductwork 1 2,531,250 2,531,250

Foundations (2) 60'x60'x96", (2) 30'x30'x96" Steel reinforced concrete 2,667 250 666,667

Subtotal 103,120,000

OPPD BART Analysis NC-1 Capital Cost Page A-4 HDR Engineering, Inc. July 2007VII. ID BOOSTER FAN EQUIPMENT ID Booster Fan (See Note 6) 6,600,000

Total 6,600,000

VIII. OUTAGE COST Electrical Outage Cost $30/MWhr 7 weeks MWhrs = #weeks * 168 hr/wk * MW capacity 764,400 30 22,932,000

Subtotal 22,930,000

IX. ASH HANDLING EQUIPMENT Ash Silo for SDA System 1 750,000 750,000 Ash Handling misc equipment for SDA System 1 250,000 250,000

Subtotal 1,000,000

X. AIR HEATERS For SCR System (See Note 7) 1 8,000,000 8,000,000

Subtotal 8,000,000

XI. ELECTRICAL MODIFICATIONS Cost = $200/kW upgraded service New switchgear/transformers for increased electrical load - SDA System 8,032 200 1,610,000 New switchgear/transformers for Increased electrical load - SCR System 6,232 200 1,250,000

Subtotal 2,860,000

Subtotal I through X 334,190,000

N o t e s : ( 1 ) I n t e r e s t r a t e 5 % a n d a m o r t i z a t i o n p e r i o d 2 0 y e a r s ( 2 ) A l l o w a n c e f o r r e l o c a t i o n o f u t i l i t i e s , r o a d w a y s , a n d f e n c i n g a s w e l l a s a n y g e n e r a l e a r t h w o r k r e q u i r e d

. ( 3 )

( 4 ) ( 5 ) ( 6 ) ( 7 ) C o s t t o r e p l a c e a i r h e a t e r b a s k e t s w i t h b a s k e t s c o m p a t i b l e w i t h a m m o n i a c o m p o u n d s

. V e n d o r s w e r e u n w i l l i n g t o p r o v i d e q u o t e s d u e t o m a r k e t c o n d i t i o n s

. E s t i m a t e w a s b a s e d o n 2 0 0 2 q u o t e s f o r s i m i l a r
s i z e d u n i t s , e s c a l a t e d t o 2 0 0 7 d o l l a r s a n d a d j u s t e d f o r c a p a c i t y

. E q u i p m e n t c o s t i s h a l f o f t o t a l i n s t a l l e d c o s t

. E s c a l a t i o n i s a p p r o x i m a t e l y 6 8 % o v e r t h e t i m e p e r i o d

. B a s e d o n m a t f o u n d a t i o n u n d e r e q u i p m e n t f o o t p r i n t

. B a s e d o n A l s t o m q u o t e f o r e q u i p m e n t

. I D f a n s i z e d f o r b o t h S C R a n d S D A

.

OPPD BART Analysis NC-1 Capital Cost Page A-5 HDR Engineering, Inc. July 2007B U R N E R M O D I F I C A T I O N S C O N C E P T U A L C O S T S U M M A R Y , 2 0 0 7 $

O P P D N C

- 1 T e c h n o l o g y N O x C o n t r o l L o w N O x B u r n e r s , O F A U n i t S i z e , k W 6 5 0
, 0 0 0

C a p i t a l C o s t s I

. S D A S Y S T E M S I T E W O R K $ 0 I I

. D E M O L I T I O N F O R S D A S Y S T E M $ 0 I I I

. B U R N E R M O D I F I C A T I O N S $ 1 7
, 4 0 0
, 0 0 0 I V

. S C R E Q U I P M E N T $ 0 V

. S D A

- L I M E P R E P A R A T I O N E Q U I P M E N T A N D B U I L D I N G $ 0 V I

. S D A / F F S Y S T E M $ 0 V I I

. I D B O O S T E R F A N E Q U I P M E N T $ 0 V I I I

. O U T A G E C O S T $ 0 I X

. A S H H A N D L I N G E Q U I P M E N T $ 0 X

. A I R H E A T E R S $ 0 X I

. E L E C T R I C A L M O D I F I C A T I O N S $ 0

S U B T O T A L C O N S T R U C T I O N A N D E Q U I P M E N T $ 1 7
, 4 0 0
, 0 0 0

C O N T I N G E N C Y ( 1 0 % ) $ 1
, 7 4 0
, 0 0 0 D E S I G N / E N G I N E E R I N G / C M ( 1 0 % ) $ 1
, 9 1 0
, 0 0 0 T O T A L P E R U N I T C A P I T A L C O S T $ 2 1 , 0 5 0 , 0 0 0 A N N U A L A M O R T I Z E D C A P I T A L C O S T ( C O S T X C C R F ) $ 1
, 6 9 0
, 0 0 0

O p e r a t i n g C o s t s I

. L A B O R $ 0 I I

. R E A G E N T S A N D S U P P L I E S $ 0 I I I

. E Q U I P M E N T M A I N T E N A N C E $ 0 I V

. U T I L I T I E S $ 0 V

. A S H R E V E N U E A N D / O R D I S P O S A L C O S T $ 0 S U B T O T A L O P E R A T I O N & M A I N T E N A N C E $ 0

C O N T I N G E N C Y ( 2 5 % ) $ 0

T O T A L P E R U N I T A N N U A L O P E R A T I O N & M A I N T E N A N C E C O S T $ 0

T O T A L P E R U N I T L E V E L I Z E D A N N U A L O & M C O S T ( C O S T X O M L F ) $ 0

T O T A L P E R U N I T A N N U A L A M O R I T I Z E D C A P I T A L A N D L E V E L I Z E D O & M C O S T $ 1 , 6 9 0 , 0 0 0

OPPD BART Analysis NC-1 Burner Mods Cost Page A-6 HDR Engineering, Inc. Ju;y 2007S D A S C R U B B E R & F I L T E R B A G H O U S E

C O N C E P T U A L C O S T S U M M A R Y , 2 0 0 7 $

O P P D N C

- 1 T e c h n o l o g y S O 2 C o n t r o l S D A & N e w B a g h o u s e U n i t S i z e , k W 6 5 0
, 0 0 0

C a p i t a l C o s t s I

. S D A S Y S T E M S I T E W O R K $ 7 5 0
, 0 0 0 I I

. D E M O L I T I O N F O R S D A S Y S T E M $ 1 5 0
, 0 0 0 I I I

. B U R N E R M O D I F I C A T I O N S $ 0 I V

. S C R E Q U I P M E N T $ 0 V

. S D A

- L I M E P R E P A R A T I O N E Q U I P M E N T A N D B U I L D I N G $ 1 0
, 5 0 0
, 0 0 0 V I

. S D A / F F S Y S T E M $ 1 0 3
, 1 2 0
, 0 0 0 V I I

. I D B O O S T E R F A N E Q U I P M E N T $ 6
, 6 0 0
, 0 0 0 V I I I

. O U T A G E C O S T $ 2 2
, 9 3 0
, 0 0 0 I X

. A S H H A N D L I N G E Q U I P M E N T $ 1
, 0 0 0
, 0 0 0 X

. A I R H E A T E R S $ 0 X I

. E L E C T R I C A L M O D I F I C A T I O N S $ 1
, 6 1 0
, 0 0 0

S U B T O T A L C O N S T R U C T I O N A N D E Q U I P M E N T $ 1 4 6
, 6 6 0
, 0 0 0

C O N T I N G E N C Y ( 2 5 % ) $ 3 6
, 6 7 0
, 0 0 0 D E S I G N / E N G I N E E R I N G / C M ( 1 0 % ) $ 1 8
, 3 3 0
, 0 0 0 T O T A L P E R U N I T C A P I T A L C O S T $ 2 0 1 , 6 6 0 , 0 0 0 A N N U A L A M O R T I Z E D C A P I T A L C O S T ( C O S T X C C R F ) $ 1 6 , 1 8 0 , 0 0 0

O p e r a t i n g C o s t s I

. L A B O R $ 4 2 0
, 0 0 0 I I

. R E A G E N T S A N D S U P P L I E S $ 3
, 3 1 0
, 0 0 0 I I I

. E Q U I P M E N T M A I N T E N A N C E $ 1
, 7 0 0
, 0 0 0 I V

. U T I L I T I E S $ 4
, 5 5 0
, 0 0 0 V

. A S H R E V E N U E A N D / O R D I S P O S A L C O S T $ 5 1 0
, 0 0 0 S U B T O T A L O P E R A T I O N & M A I N T E N A N C E $ 1 0
, 4 9 0
, 0 0 0

C O N T I N G E N C Y ( 2 5 % ) $ 2
, 6 2 2
, 5 0 0

T O T A L P E R U N I T A N N U A L O P E R A T I O N & M A I N T E N A N C E C O S T $ 1 3 , 1 1 2 , 5 0 0

T O T A L P E R U N I T L E V E L I Z E D A N N U A L O & M C O S T ( C O S T X O M L F ) $ 1 8 , 5 4 0 , 0 0 0

T O T A L P E R U N I T A N N U A L A M O R I T I Z E D C A P I T A L A N D L E V E L I Z E D O & M C O S T $ 3 4 , 7 2 0 , 0 0 0

OPPD BART Analysis NC-1 SDA Cost Page A-7 HDR Engineering, Inc. Ju;y 2007S C R N O X R E M O V A L S Y S T E M

C O N C E P T U A L C O S T S U M M A R Y , 2 0 0 7 $

O P P D N C

- 1 T e c h n o l o g y N O x C o n t r o l L o w N O x B u r n e r s , S C R U n i t S i z e , k W 6 5 0
, 0 0 0

C a p i t a l C o s t s I

. S D A S Y S T E M S I T E W O R K $ 0 I I

. D E M O L I T I O N F O R S D A S Y S T E M $ 0 I I I

. B U R N E R M O D I F I C A T I O N S $ 0 I V

. S C R E Q U I P M E N T $ 1 6 0
, 8 8 0
, 0 0 0 V

. S D A

- L I M E P R E P A R A T I O N E Q U I P M E N T A N D B U I L D I N G $ 0 V I

. S D A / F F S Y S T E M $ 0 V I I

. I D B O O S T E R F A N E Q U I P M E N T $ 0 V I I I

. O U T A G E C O S T $ 2 2
, 9 3 0
, 0 0 0 I X

. A S H H A N D L I N G E Q U I P M E N T $ 0 X

. A I R H E A T E R S $ 8
, 0 0 0
, 0 0 0 X I

. E L E C T R I C A L M O D I F I C A T I O N S $ 1
, 2 5 0
, 0 0 0

S U B T O T A L C O N S T R U C T I O N A N D E Q U I P M E N T $ 1 9 3
, 0 6 0
, 0 0 0

C O N T I N G E N C Y ( 2 5 % ) $ 4 8
, 2 6 5
, 0 0 0 D E S I G N / E N G I N E E R I N G / C M ( 1 0 % ) $ 2 4
, 1 3 0
, 0 0 0 T O T A L P E R U N I T C A P I T A L C O S T $ 2 6 5 , 4 5 5 , 0 0 0 A N N U A L A M O R T I Z E D C A P I T A L C O S T ( C O S T X C C R F ) $ 2 1 , 3 0 0 , 0 0 0

O p e r a t i n g C o s t s I

. L A B O R $ 2 1 0
, 0 0 0 I I

. R E A G E N T S A N D S U P P L I E S $ 2
, 4 0 0
, 0 0 0 I I I

. E Q U I P M E N T M A I N T E N A N C E $ 2
, 4 1 0
, 0 0 0 I V

. U T I L I T I E S $ 4
, 5 5 0
, 0 0 0 V

. A S H R E V E N U E A N D / O R D I S P O S A L C O S T $ 0 S U B T O T A L O P E R A T I O N & M A I N T E N A N C E $ 9
, 5 7 0
, 0 0 0

C O N T I N G E N C Y ( 2 5 % ) $ 2
, 3 9 0
, 0 0 0

T O T A L P E R U N I T A N N U A L O P E R A T I O N & M A I N T E N A N C E C O S T $ 1 1 , 9 6 0 , 0 0 0

T O T A L P E R U N I T L E V E L I Z E D A N N U A L O & M C O S T ( C O S T X O M L F ) $ 1 6 , 9 1 0 , 0 0 0

T O T A L P E R U N I T A N N U A L A M O R I T I Z E D C A P I T A L A N D L E V E L I Z E D O & M C O S T $ 3 8 , 2 1 0 , 0 0 0

OPPD BART Analysis NC-1 SCR Cost Page A-8 HDR Engineering, Inc. July 2007SDA SYSTEM OPERATING COST, $ US 2007NC1I.LABOR416,000II.REAGENTS AND SUPPLIES3,306,000III.EQUIPMENT MAINTENANCE1,704,000IV.UTILITIES4,550,000V.ASH REVENUE AND/OR DISPOSAL COST509,000SUBTOTAL OPERATION & MAINTENANCE10,485,000CONTINGENCY (25%)2,621,000TOTAL PER UNIT ANNUAL OPERATION & MAINTENANCE COST13,106,000TOTAL STATION ANNUAL OPERATION & MAINTENANCE COST13,106,000Unit Annual Operating Hours7,884ItemQntyUnitsUnit PriceItem CostOPPD BART AnalysisNC-1 SDA Ops CostPage A-9HDR Engineering, Inc.July 2007I.LABOROperators4Equipment Operator8,320hr50.00416,000Subtotal416,000Notes:II.REAGENTS AND SUPPLIESLime23,569Tons1252,946,000Ammonia0Tons00SDA Filter Replacement (18,000 bags, $100/bag, once per 5 years)0.20LS1,800,000360,000SCR Catalyst Replacement0LS00Subtotal3,306,000Notes:SCR catalyst replacement is based on 0.28 mils/kWh.III.EQUIPMENT MAINTENANCE(1.5% of cost)11,704,3001,704,300Subtotal1,704,000IV.UTILITIESElectricity51,494,862kWh0.031,545,000Electrical Capacity6,532kW4603,005,000Subtotal4,550,000Notes:V.ASH REVENUE AND/OR DISPOSAL COSTSaleable AshTons0Additional ash requiring disposal (previously saleable ash) + lost revenue0Tons120Additional ash requiring disposal (2.4 lbs CaSO4 per lb CaO)56,566Tons9509,000Subtotal509,000Subtotal I through V10,485,000OPPD BART AnalysisNC-1 SDA Ops CostPage A-10HDR Engineering, Inc.July 2007SCR SYSTEM OPERATING COST, $ US 2007NC1I.LABOR208,000II.REAGENTS AND SUPPLIES2,400,000III.EQUIPMENT MAINTENANCE2,413,000IV.UTILITIES4,550,000V.ASH REVENUE AND/OR DISPOSAL COST0SUBTOTAL OPERATION & MAINTENANCE9,571,000CONTINGENCY (25%)2,393,000TOTAL PER UNIT ANNUAL OPERATION & MAINTENANCE COST11,964,000TOTAL STATION ANNUAL OPERATION & MAINTENANCE COST11,964,000Unit Annual Operating Hours7,884OPPD BART AnalysisNC-1 SCR Ops CostPage A-11HDR Engineering, Inc.July 2007ItemQntyUnitsUnit PriceItem CostI.LABOROperators2Equipment Operator (1),(2)4,160hr50.00208,000Subtotal208,000Notes:II.REAGENTS AND SUPPLIESLime0Tons00Ammonia3,217Tons300965,000SDA Filter Replacement (18,000 bags, $100/bag, once per 5 years)0LS0SCR Catalyst Replacement1LS1,434,8881,435,000Subtotal2,400,000SCR catalyst replacement is based on 0.28 mils/kWh.III.EQUIPMENT MAINTENANCE(1.5% of cost)12,413,2002,413,200Subtotal2,413,000IV.UTILITIESElectricity51,494,862kWh0.031,545,000Electrical Capacity6,532kW4603,005,000Subtotal4,550,000Notes:V.ASH REVENUE AND/OR DISPOSAL COSTSaleable AshTons0Additional ash requiring disposal (previously saleable ash) + lost revenue0Tons120Additional ash requiring disposal (2.4 lbs CaSO4 per lb CaO)0Tons90Subtotal0Subtotal I through V9,571,000OPPD BART AnalysisNC-1 SCR Ops CostPage A-12HDR Engineering, Inc.July 2007

### N C S 1 U n i t ( s ) S i z e , k W 6 5 0 , 0 0 0 U n i t ( s ) H e a t
, B t u / k W h 9
, 7 9 0

F l u e G a s F l o w , a c f m 2
, 6 6 5
, 0 0 0 A d d i t i o n a l S C R

, S D A

, B H a n d D u c t w o r k ∆ P

, i n w g 2 3

. 3

L i m e U s a g e L i m e U s a g e , l b / h r 5
, 9 7 9 A n n u a l L i m e U s a g e , t p y ( 1 ) 2 3 , 5 6 9

A m m o n i a U s a g e A m m o n i a U s a g e , l b / h r 8 1 6 A n n u a l N H 4 U s a g e , t p y ( 1 ) 3 , 2 1 7

W a t e r U s a g e S l a k e r W a t e r , l b / h r 1 8
, 1 8 7 D i l u t i o n W a t e r , l b / h r 2 3 9
, 5 5 6 T o t a l W a t e r U s a g e , l b / h r 2 5 7
, 7 4 3 T o t a l W a t e r U s a g e , g p m 5 1 5 T o t a l A n n u a l W a t e r U s a g e , k g p y ( 1 ) 2 4 3 , 8 4 5

P o w e r U s a g e A t o m i z e r d e m a n d

, k W 7 4 0 I D b o o s t e r f a n s d e m a n d

, k W 1 2
, 1 8 3 S C R m o t o r s d e m a n d

, k W 1 4 0 S D A m o t o r s d e m a n d

, k W 1
, 2 0 0 T o t a l d e m a n d

, k W 1 3
, 0 6 3 A n n u a l p o w e r u s a g e , k W h / y r ( 1 ) 1 0 2 , 9 8 9 , 7 2 3 P a r a s i t i c P o w e r , % o f n e t 2

. 0 1 %

N o t e s : ( 1 ) A n n u a l u t i l i t y u s a g e b a s e d o n 8 7 6 0 h r / y r a n d 9 0 % u n i t c a p a c i t y f a c t o r

OPPD BART Analysis Utility Usage Page A-13 HDR Engineering, Inc. July 2007