Capacity (MWg) 360

Capacity (MWn) 327

**Cost Item 7/11/2007**  **Remarks/Cost Basis Escallation**  **Escallation Escalation**  **Revisions 10/22/2010**  **to Oct 2011 to Oct 2011**  **(percent) 10/10/2010**  Adjusted to 2010 Dollars ($) (percent) ($) **($)** CAPITAL COST Direct Costs Purchased equipment costs Anhydrous Ammonia Injection System $437,000Scaled from B&V database based on ammonia flow, using 0.6 scale factor 8.4 $473,708 5.3 $429,592Adjusted to use final contract award and remove installation Anhydrous Ammonia Vaporization System $436,000Scaled from B&V database based on ammonia flow, using 0.6 scale factor 8.4 $472,624 5.3 $429,592Adjusted to use final contract award and remove installation
Reactor Box, Breeching and Ductwork $4,005,900Scaled from B&V database based on flue gas flow, using 0.6 scale factor 11.2 $4,454,561 0.0 $3,585,687Adjusted to use final contract award and reduced by 10% to account for cheaper materials per 10/21/10 Responses, p. 2.
Ductwork Expansion Joints $147,000Scaled from B&V database based on flue gas flow, using 0.6 scale factor 8.4 $159,348 5.3 $131,483Adjusted to use one unit, remove freight, scaled using actual unit flow rates, and reduce cost by 10% to account for less expensive materials of construction. Catalyst $2,557,000Catalyst volume determined based on unit size & Nox removal, $6500/m3 of catalyst 0 $2,557,000 0.0 $0Annualized cost must be reported net of replacement materials. Cost Manual, pdf 47, 486. Sonic Horns $188,000Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $203,792 5.3 $149,526 Final contract award Elevator $1,236,000Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $1,339,824 5.3 $633,097Adjusted to use final contract reward and to remove installation from vendor quote Structural Steel $4,881,000Scaled from B&V database based on flue gas flow, using 0.6 scale factor 11.2 $5,427,672 0.0 $4,993,012Adjusted to use final contract award and remove complexity factor. SCR Bypass $10,000,000Taken from another B&V project of similar size 8.4 $10,840,000 5.3 $0 Not required for oil firing during startup
NOx Monitoring System $440,000Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $476,960 5.3 $269,901 Adjusted to use final contract award, to require 1 training session for the station, and to remove maintenance contract Electrical System Upgrade $378,000Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $409,752 11.2 $420,336 Auxiliary Electrical Equipment Requirements $6,400,000 Estimated in the B&V 10/22/10 Cost Analysis 0 $6,400,000 0.0 $1,472,000Adjusted to 23% of B&V estimate Instrumentation and Control System $279,000Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $302,436 5.3 $365,867Adjusted to use final contract award and remove escalation. Subtotal capital cost (CC) $31,384,900 $33,517,677 $12,880,092 Gross Receipt Tax $1,942,000 (CC) X 6.2% $2,074,000 $758,000Adjusted to remove elevator costs Freight $1,569,000 (CC) X 5.0% $1,676,000 $323,000Adjusted to remove sonic horns, elevator, structural steel, N0x monitoring system, I&C system. Total purchased equipment cost (PEC) $34,896,000 $37,268,000 $13,961,092
Direct installation costs Foundation & supports $10,468,800 (PEC) X 30.0% 6.2 $11,117,866 Handling & erection $10,468,800 (PEC) X 30.0% 6.2 $11,117,866 Electrical $5,234,400 (PEC) X 15.0% 6.2 $5,558,933 Piping $872,400(PEC) X 2.5% 6.2 $926,489 Insulation $3,489,600 (PEC) X 10.0% 6.2 $3,705,955 Painting $348,960(PEC) X 1.0% 6.2 $370,596 Demolition $3,489,600 (PEC) X 10.0% 6.2 $3,705,955 Relocation $1,744,800 (PEC) X 5.0% 6.2 $1,852,978 

## San Juan Unit 1

**COST A NA** **LYSIS B&V COST A** **NA LYSIS FOX** Capacity (MWg) 360

Capacity (MWn) 327

**Cost Item 7/11/2007**  **Remarks/Cost Basis Escallation**  **Escallation Escalation**  **Revisions 10/22/2010**  **to Oct 2011 to Oct 2011**  **(percent) 10/10/2010**  Adjusted to 2010 Dollars ($) (percent) ($) **($)** 

## San Juan Unit 1

**COST A NA** **LYSIS B&V COST A** **NA LYSIS FOX** 

Total direct installation costs (DIC) $36,117,360 $38,356,636 4.4 $8,799,917 (PEC) X 62%. Adjusted to remove instrumentation and control system.
Air preheater modifications $1,071,000 Based on a budgetary quote received for the project 8.4 $1,160,964 5.3 $0 Not required for SCR. Balanced draft conversion $14,323,000 Adjusted from a B&V balanced draft conversion project based on differences in scope 8.4 $15,526,132 5.3 $2,544,690 Adjusted to 23% less fan modifications B&V 10/22/10 Cost Analysis, Table 5 Induced draft fans 5.3 $2,885,220 FD & ID fans minus the pressurized furnace differential. B&V 10/22/10 Cost Analysis, Table 4 Site preparation $2,000,000 Contingency for site unknowns, such as underground utilities 0 $2,000,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486. Buildings & enclosures $500,000 Contingency for general site building requirements 0 $500,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486. Total direct costs (DC) = (PEC) + (DIC) $88,907,000 $94,812,000 $28,190,920
Indirect Costs Engineering $6,223,490 (DC) X 7.0% $6,636,840 $2,819,000 (DC) X 10%, Engineering & Home Office Fees, Cost Manual, pdf 486, Table 2.5 Owner's cost $4,445,350 (DC) X 5.0% $4,740,600 $0 Included in Engineering & Home Office Fees. Construction management $8,890,700 $9,481,200 $0 Construction indirect $22,507,920 B&V labor market review 6.2 $23,903,411 4.4 $11,490,682 Reduced to 60% total installation labor Start-up and spare parts $2,667,210 (DC) X 3.0% $2,844,360 $846,000 Performance test $200,000 Based on other projects with similar emissions testing scope $200,000 $200,000 Contingencies $17,781,400 (DC) X 20.0% $18,962,400 $1,410,000 (DC) X 5%, Cost Manual, pdf 486, Table 2.5

**Total indirect costs (IC)** $62,716,000 $66,769,000 $16,765,682
Interest During Construction (IDC) $16,853,000 [(DC)+(IC)] X 7.41% 3 years (project time length X 1/2) $16,853,000 $0 Not permitted under Cost Manual approach Loss Generation during Outage (GEN) $15,667,0005 weeks and 0.06095 $/kWh 12 weeks required for BDC, $15,667,000 $0 Not required 7 weeks major outage available Project Contingency $6,743,490 (DC + IC) X 15%, Cost Manual, pdf 486, Table 2.5.

**Total Capital Investment (TCI)=(DC)+(IC)+(IDC)+(GEN)**  **$184,143,000 $194,101,000**  **$51,700,092** Adjusted to include project contingency
ANNUAL COST Direct Annual Costs Fixed annual costs Operating labor $125,000 1 FTE and 124,862 $/year Estimated manpower level $125,000 $0 Cost Manual, pdf 487 Maintenance labor & materials $2,667,000 (DC) X 3.0% $2,844,000 $776,000TCI X 1.5%, Cost Manual, pdf 487. Yearly emissions testing $25,000 Based on other projects with similar emissions testing scope $25,000 $25,000 Catalyst activity testing $5,000 Engineering estimate $5,000 $5,000Capacity (MWg) 360

Capacity (MWn) 327

**Cost Item 7/11/2007**  **Remarks/Cost Basis Escallation**  **Escallation Escalation**  **Revisions 10/22/2010**  **to Oct 2011 to Oct 2011**  **(percent) 10/10/2010**  Adjusted to 2010 Dollars ($) (percent) ($) **($)** 

## San Juan Unit 1

**COST A NA** **LYSIS B&V COST A** **NA LYSIS FOX** 

Fly ash sampling and analysis $20,000 Engineering estimate $20,000 $20,000

**Total fixed annual costs** $2,842,000 $3,019,000 $826,000
Variable annual costs Reagent $911,000350 lb/hr and 700 $/ton B&V Calculated $911,000 $593,159Ammonia cost reduced to $475/ton. Ammonia flow rate reduced by 0.23/0.24. Auxiliary and ID fan power $1,496,0003,287 kW and 0.06095 $/kWh B&V Calculated $1,496,000 $402,084Adjusted to 0.3% gross capacity and $0.050/kWh Catalyst replacement $426,00065 m3 and 6,500 $/m3 2 yr catalyst replacement rate $426,000 $160,438Volume adjusted to 85% of B&V estimate, unit cost reduced to $6000/m3, and FWF = 0.48 **Total variable annual costs** $2,833,000 $2,833,000 $1,155,681 **Total direct annual costs (DA C)**  $5,675,000 $5,852,000 $1,981,681
Indirect Annual Costs Cost for capital recovery $17,936,000 (TCI) X 9.74% CRF at 7.41% interest & 20 year life $18,905,000 $4,166,000 (TCI) x 8.059% CRF at 7% interest & 30 year life **Total indirect annual costs (IDA C)**  $17,936,000 $18,905,000 $4,166,000
**Total A nnual Cost (TA** **C) = (DA C) + (IDA** **C) $23,611,000**  $24,757,000 $6,147,681 Emission Reductions (ton/yr) 3,174 B&V BART Analysis, Table ES-2 3,174 3,174 **Cost Effectiveness ($/ton) 7,439**  **7,800 1,937**  Cost ($/kW) 512 539 144

Interest Rate 0.07 Lifetime 30 CRF 0.0806Capacity (MWg) 360

Capacity (MWn) 327

**Cost Item 7/11/2007**  **Remarks/Cost Basis Escallation**  **Escallation Escalation**  **Revisions 10/22/2010**  **to Oct 2011 to Oct 2011**  **(percent) 10/10/2010**  Adjusted to 2010 Dollars ($) (percent) ($) **($)** CAPITAL COST Direct Costs Purchased equipment costs Anhydrous Ammonia Injection System $437,000Scaled from B&V database based on ammonia flow, using 0.6 scale factor 8.4 $473,708 5.3 $429,592Adjusted to use final contract award and remove installation Anhydrous Ammonia Vaporization System $436,000Scaled from B&V database based on ammonia flow, using 0.6 scale factor 8.4 $472,624 5.3 $429,592Adjusted to use final contract award and remove installation
Reactor Box, Breeching and Ductwork $4,005,900Scaled from B&V database based on flue gas flow, using 0.6 scale factor 11.2 $4,454,561 0.0 $3,585,687Adjusted to use final contract award and reduced by 10% to account for cheaper materials per 10/21/10 Responses, p. 2.
Ductwork Expansion Joints $147,000Scaled from B&V database based on flue gas flow, using 0.6 scale factor 8.4 $159,348 5.3 $131,483Adjusted to use one unit, remove freight, scaled using actual unit flow rates, and reduce cost by 10% to account for less expensive materials of construction. Catalyst $2,557,000Catalyst volume determined based on unit size & Nox removal, $6500/m3 of catalyst 0 $2,557,000 0.0 $0Annualized cost must be reported net of replacement materials. Cost Manual, pdf 47, 486. Sonic Horns $188,000Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $203,792 5.3 $149,526 Final contract award Elevator $1,236,000Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $1,339,824 5.3 $633,097Adjusted to use final contract reward and to remove installation from vendor quote Structural Steel $4,881,000Scaled from B&V database based on flue gas flow, using 0.6 scale factor 11.2 $5,427,672 0.0 $4,993,012Adjusted to use final contract award and remove complexity factor. SCR Bypass $10,000,000Taken from another B&V project of similar size 8.4 $10,840,000 5.3 $0 Not required for oil firing during startup
NOx Monitoring System $440,000Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $476,960 5.3 $269,901 Adjusted to use final contract award, to require 1 training session for the station, and to remove maintenance contract Electrical System Upgrade $378,000Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $409,752 11.2 $420,336 Auxiliary Electrical Equipment Requirements $6,400,000 Estimated in the B&V 10/22/10 Cost Analysis 0 $6,400,000 0.0 $1,472,000Adjusted to 23% of B&V estimate Instrumentation and Control System $279,000Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $302,436 5.3 $365,867Adjusted to use final contract award and remove escalation. Subtotal capital cost (CC) $31,384,900 $33,517,677 $12,880,092 Gross Receipt Tax $1,942,000 (CC) X 6.2% $2,074,000 $758,000Adjusted to remove elevator costs Freight $1,569,000 (CC) X 5.0% $1,676,000 $323,000Adjusted to remove sonic horns, elevator, structural steel, N0x monitoring system, I&C system. Total purchased equipment cost (PEC) $34,896,000 $37,268,000 $13,961,092
Direct installation costs Foundation & supports $10,468,800 (PEC) X 30.0% 6.2 $11,117,866 Handling & erection $10,468,800 (PEC) X 30.0% 6.2 $11,117,866 Electrical $5,234,400 (PEC) X 15.0% 6.2 $5,558,933 Piping $872,400(PEC) X 2.5% 6.2 $926,489 Insulation $3,489,600 (PEC) X 10.0% 6.2 $3,705,955 Painting $348,960(PEC) X 1.0% 6.2 $370,596 Demolition $3,489,600 (PEC) X 10.0% 6.2 $3,705,955 Relocation $1,744,800 (PEC) X 5.0% 6.2 $1,852,978 

## San Juan Unit 1 @ 0.05 lbs/MMBtu

**COST A NA** **LYSIS B&V COST A** **NA LYSIS FOX** Capacity (MWg) 360

Capacity (MWn) 327

**Cost Item 7/11/2007**  **Remarks/Cost Basis Escallation**  **Escallation Escalation**  **Revisions 10/22/2010**  **to Oct 2011 to Oct 2011**  **(percent) 10/10/2010**  Adjusted to 2010 Dollars ($) (percent) ($) **($)** 

## San Juan Unit 1 @ 0.05 lbs/MMBtu

**COST A NA** **LYSIS B&V COST A** **NA LYSIS FOX** 

Total direct installation costs (DIC) $36,117,360 $38,356,636 4.4 $8,799,917 (PEC) X 62%. Adjusted to remove instrumentation and control system.
Air preheater modifications $1,071,000 Based on a budgetary quote received for the project 8.4 $1,160,964 5.3 $0 Not required for SCR. Balanced draft conversion $14,323,000 Adjusted from a B&V balanced draft conversion project based on differences in scope 8.4 $15,526,132 5.3 $2,544,690 Adjusted to 23% less fan modifications B&V 10/22/10 Cost Analysis, Table 5 Induced draft fans 5.3 $2,885,220 FD & ID fans minus the pressurized furnace differential. B&V 10/22/10 Cost Analysis, Table 4 Site preparation $2,000,000 Contingency for site unknowns, such as underground utilities 0 $2,000,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486. Buildings & enclosures $500,000 Contingency for general site building requirements 0 $500,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486. Total direct costs (DC) = (PEC) + (DIC) $88,907,000 $94,812,000 $28,190,920
Indirect Costs Engineering $6,223,490 (DC) X 7.0% $6,636,840 $2,819,000 (DC) X 10%, Engineering & Home Office Fees, Cost Manual, pdf 486, Table 2.5 Owner's cost $4,445,350 (DC) X 5.0% $4,740,600 $0 Included in Engineering & Home Office Fees. Construction management $8,890,700 (DC) X 10.0% $9,481,200 $0 Construction indirect $22,507,920 B&V labor market review 6.2 $23,903,411 4.4 $11,490,682 Reduced to 60% total installation labor Start-up and spare parts $2,667,210 (DC) X 3.0% $2,844,360 $846,000 Performance test $200,000 Based on other projects with similar emissions testing scope $200,000 $200,000 Contingencies $17,781,400 (DC) X 20.0% $18,962,400 $1,410,000 (DC) X 5%, Cost Manual, pdf 486, Table 2.5

**Total indirect costs (IC)** $62,716,000 $66,769,000 $16,765,682
Interest During Construction (IDC) $16,853,000 [(DC)+(IC)] X 7.41% 3 years (project time length X 1/2) $16,853,000 $0 Not permitted under Cost Manual approach Loss Generation during Outage (GEN) $15,667,0005 weeks and 0.06095 $/kWh 12 weeks required for BDC, $15,667,000 $0 Not required 7 weeks major outage available Project Contingency $6,743,490 (DC + IC) X 15%, Cost Manual, pdf 486, Table 2.5.

**Total Capital Investment (TCI)=(DC)+(IC)+(IDC)+(GEN)**  **$184,143,000 $194,101,000**  **$51,700,092** Adjusted to include project contingency
ANNUAL COST Direct Annual Costs Fixed annual costs Operating labor $125,000 1 FTE and 124,862 $/year Estimated manpower level $125,000 $0 Cost Manual, pdf 487 Maintenance labor & materials $2,667,000 (DC) X 3.0% $2,844,000 $776,000TCI X 1.5%, Cost Manual, pdf 487. Yearly emissions testing $25,000 Based on other projects with similar emissions testing scope $25,000 $25,000 Catalyst activity testing $5,000 Engineering estimate $5,000 $5,000Capacity (MWg) 360

Capacity (MWn) 327

**Cost Item 7/11/2007**  **Remarks/Cost Basis Escallation**  **Escallation Escalation**  **Revisions 10/22/2010**  **to Oct 2011 to Oct 2011**  **(percent) 10/10/2010**  Adjusted to 2010 Dollars ($) (percent) ($) **($)** 

## San Juan Unit 1 @ 0.05 lbs/MMBtu

**COST A NA** **LYSIS B&V COST A** **NA LYSIS FOX** 

Fly ash sampling and analysis $20,000 Engineering estimate $20,000 $20,000

**Total fixed annual costs** $2,842,000 $3,019,000 $826,000
Variable annual costs Reagent $911,000350 lb/hr and 700 $/ton B&V Calculated $911,000 $644,738Ammonia cost reduced to $475/ton. Ammonia flow rate increased by 0.25/0.24. Auxiliary and ID fan power $1,496,0003,287 kW and 0.06095 $/kWh B&V Calculated $1,496,000 $402,084Adjusted to 0.3% gross capacity and $0.050/kWh
Catalyst replacement $426,00065 m3 and 6,500 $/m3 2 yr catalyst replacement rate $426,000 $188,751 B&V assumed a catalyst volume sufficient to reduce NOx from 0.3 to 0.044 lb/MMBtu, so adequate for 0.05. Unit cost reduced to 6000/m3 and FWF = 0.48. **Total variable annual costs** $2,833,000 $2,833,000 $1,235,573 **Total direct annual costs (DA C)**  $5,675,000 $5,852,000 $2,061,573
Indirect Annual Costs Cost for capital recovery $17,936,000 (TCI) X 9.74% CRF at 7.41% interest & 20 year life $18,905,000 $4,166,000 (TCI) x 8.059% CRF at 7% interest & 30 year life **Total indirect annual costs (IDA C)**  $17,936,000 $18,905,000 $4,166,000
**Total A nnual Cost (TA** **C) = (DA C) + (IDA** **C) $23,611,000**  $24,757,000 $6,227,573
Emission Reductions (ton/yr) 3,174 B&V BART Analysis, Table ES-2 3,174 3,450 Increased tons NOx reduced by (0.25/0.23) for outlet of 0.05 lbs/MMBtu **Cost Effectiveness ($/ton) 7,439**  **7,800 1,805**  Cost ($/kW) 512 539 144

Interest Rate 0.07 Lifetime 30 CRF 0.0806Capacity (MWg) 350

Capacity (MWn) 316

**Cost Item 7/11/2007**  **Remarks/Cost Basis Escallation**  **Escallation Escalation**  **Revisions 10/22/2010**  **to Oct 2011 to Oct 2011**  **(percent) 10/10/2010**  Adjusted to 2010 Dollars ($) (percent) ($) **($)** CAPITAL COST Direct Costs Purchased equipment costs Anhydrous Ammonia Injection System $429,000 Scaled from B&V database based on ammonia flow, using 0.6 scale factor 8.4 $465,036 5.3 $422,392 Adjusted to use final contract award and remove installation Anhydrous Ammonia Vaporization System $429,000 Scaled from B&V database based on ammonia flow, using 0.6 scale factor 8.4 $465,036 5.3 $422,392 Adjusted to use final contract award and remove installation
Reactor Box, Breeching and Ductwork $3,999,600 Scaled from B&V database based on flue gas flow, using 0.6 scale factor 11.2 $4,447,555 0.0 $3,585,687 Adjusted to use final contract award and reduced by 10% to account for cheaper materials per 10/21/10 Responses, p. 2.
Ductwork Expansion Joints $147,000 Scaled from B&V database based on flue gas flow, using 0.6 scale factor 8.4 $159,348 5.3 $131,282 Adjusted to use one unit, remove freight, scaled using actual unit flow rates, and reduce cost by 10% to account for less expensive materials of construction. Catalyst $2,553,000 Catalyst volume determined based on unit size & Nox removal, $6500/m3 of catalyst 0 $2,553,000 0.0 $0 Annualized cost must be reported net of replacement materials. Cost Manual, pdf 47, 486. Sonic Horns $188,000 Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $203,792 5.3 $149,526 Final contract award Elevator $1,236,000 Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $1,339,824 5.3 $633,097 Adjusted to use final contract reward and to remove installation from vendor quote Structural Steel $5,998,000 Scaled from B&V database based on flue gas flow, using 0.6 scale factor 11.2 $6,669,776 0.0 $4,909,327 Adjusted to use final contract award and remove complexity factor. SCR Bypass $10,000,000 Taken from another B&V project of similar size 8.4 $10,840,000 5.3 $0 Not required for oil firing during startup
NOx Monitoring System $440,000 Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $476,960 5.3 $269,901 Adjusted to use final contract award, to require 1 training session for the station, and to remove maintenance contract Electrical System Upgrade $372,000 Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $403,248 11.2 $413,664 Auxiliary Electrical Equipment Requirements $6,400,000 Estimated in the B&V 10/22/10 Cost Analysis 0 $6,400,000 0.0 $1,472,000 Adjusted to 23% of B&V estimate Instrumentation and Control System $278,000 Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $301,352 5.3 $359,735 Adjusted to use final contract award and remove escalation. **Subtotal capital cost (CC)** $32,469,600 $34,724,927 $12,769,002 Gross Receipt Tax $2,009,000 (CC) X 6.2% $2,149,000 $751,000Adjusted to remove elevator costs Freight $1,623,000 (CC) X 5.0% $1,736,000 $322,000Adjusted to remove sonic horns, elevator, structural steel, N0x monitoring system, I&C system. **Total purchased equipment cost (PEC)** $36,102,000 $38,610,000 $13,842,002
Direct installation costs Foundation & supports $10,830,600 (PEC) X 30.0% 6.2 $11,502,097 Handling & erection $14,440,800 (PEC) X 30.0% 6.2 $15,336,130 Electrical $5,415,300 (PEC) X 15.0% 6.2 $5,751,049 Piping $902,550(PEC) X 2.5% 6.2 $958,508 Insulation $3,610,200 (PEC) X 10.0% 6.2 $3,834,032 Painting $361,020(PEC) X 1.0% 6.2 $383,403 Demolition $3,610,200 (PEC) X 10.0% 6.2 $3,834,032 Relocation $1,805,100 (PEC) X 5.0% 6.2 $1,917,016 

## San Juan Unit 2

**COST A NA** **LYSIS B&V COST A** **NA LYSIS FOX** Capacity (MWg) 350

Capacity (MWn) 316

**Cost Item 7/11/2007**  **Remarks/Cost Basis Escallation**  **Escallation Escalation**  **Revisions 10/22/2010**  **to Oct 2011 to Oct 2011**  **(percent) 10/10/2010**  Adjusted to 2010 Dollars ($) (percent) ($) **($)** 

## San Juan Unit 2

**COST A NA** **LYSIS B&V COST A** **NA LYSIS FOX** 

**Total direct installation costs (DIC)** $40,975,770 $43,516,268 4.4 $8,726,802 (PEC) X 62%. Adjusted to remove instrumentation and control system.
Air preheater modifications $1,071,000 Based on a budgetary quote received for the project 8.4 $1,160,964 5.3 $0 Not required for SCR. Balanced draft conversion $14,323,000 Adjusted from a B&V balanced draft conversion project based on differences in scope 8.4 $15,526,132 5.3 $2,544,690 Adjusted to 23% less fan modifications B&V 10/22/10 Cost Analysis, Table 5 Induced draft fans 5.3 $2,885,220 FD & ID fans minus the pressurized furnace differential. B&V 10/22/10 Cost Analysis, Table 4 Site preparation $2,000,000 Contingency for site unknowns, such as underground utilities 0 $2,000,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486. Buildings & enclosures $500,000 Contingency for general site building requirements 0 $500,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486. **Total direct costs (DC) = (PEC) + (DIC)** $94,972,000 $101,313,000 $27,998,714
Indirect Costs Engineering $6,648,040 (DC) X 7.0% $7,091,910 $2,800,000 (DC) X 10%, Engineering & Home Office Fees, Cost Manual, pdf 486, Table 2.5 Owner's cost $4,748,600 (DC) X 5.0% $5,065,650 $0 Included in Engineering & Home Office Fees. Construction management $9,497,200 (DC) X 10.0% $10,131,300 $0 Construction indirect $26,895,990 B&V labor market review 6.2 $28,563,541 4.4 $13,834,044 Reduced to 60% total installation labor Start-up and spare parts $2,849,160 (DC) X 3.0% $3,039,390 $840,000 Performance test $200,000 Based on other projects with similar emissions testing scope $200,000 $200,000 Contingencies $18,994,400 (DC) X 20.0% $20,262,600 $1,400,000 (DC) X 5%, Cost Manual, pdf 486, Table 2.5

**Total indirect costs (IC)** $69,833,000 $74,354,000 $19,074,044
Interest During Construction (IDC) $18,318,000 [(DC)+(IC)] X 7.41% 3 years (project time length X 1/2) $18,318,000 $0 Not permitted under Cost Manual approach Loss Generation during Outage (GEN) $15,231,000 5 weeks and 0.06095 $/kWh 12 weeks required for BDC, $15,667,000 $0 Not required 7 weeks major outage available Project Contingency $7,060,914 (DC + IC) X 15%, Cost Manual, pdf 486, Table 2.5.

**Total Capital Investment (TCI)=(DC)+(IC)+(IDC)+(GEN)**  **$198,354,000 $209,652,000**  **$54,133,672** Adjusted to include project contingency
ANNUAL COST Direct Annual Costs Fixed annual costs Operating labor $125,000 1 FTE and 124,862 $/year Estimated manpower level $125,000 $0 Cost Manual, pdf 487 Maintenance labor & materials $2,849,000 (DC) X 3.0% $3,039,000 $812,000TCI X 1.5%, Cost Manual, pdf 487. Yearly emissions testing $25,000 Based on other projects with similar emissions testing scope $25,000 $25,000 Catalyst activity testing $5,000 Engineering estimate $5,000 $5,000Capacity (MWg) 350

Capacity (MWn) 316

**Cost Item 7/11/2007**  **Remarks/Cost Basis Escallation**  **Escallation Escalation**  **Revisions 10/22/2010**  **to Oct 2011 to Oct 2011**  **(percent) 10/10/2010**  Adjusted to 2010 Dollars ($) (percent) ($) **($)** 

## San Juan Unit 2

**COST A NA** **LYSIS B&V COST A** **NA LYSIS FOX** 

Fly ash sampling and analysis $20,000 Engineering estimate $20,000 $20,000

**Total fixed annual costs** $3,024,000 $3,214,000 $862,000
Variable annual costs Reagent $906,000 348 lb/hr and 700 $/ton B&V Calculated $906,000 $589,770 Ammonia cost reduced to $475/ton. Ammonia flow rate reduced by 0.23/0.24. Auxiliary and ID fan power $1,492,000 3,287 kW and 0.06095 $/kWh B&V Calculated $1,492,000 $390,915 Adjusted to 0.3% gross capacity and $0.050/kWh Catalyst replacement $426,000 65 m3 and 6,500 $/m3 2 yr catalyst replacement rate $426,000 $160,438 Adjusted to 85% of B&V estimate, unit cost reduced to $6000/m3, and FWF = 0.48. **Total variable annual costs** $2,824,000 $2,824,000 $1,141,123 **Total direct annual costs (DA C)**  $5,848,000 $6,038,000 $2,003,123
Indirect Annual Costs Cost for capital recovery $19,320,000 (TCI) X 9.74% CRF at 7.41% interest & 20 year life $20,420,000 $4,362,000 (TCI) x 8.059% CRF at 7% interest & 30 year life **Total indirect annual costs (IDA C)**  $19,320,000 $20,420,000 $4,362,000
**Total A nnual Cost (TA** **C) = (DA C) + (IDA** **C) $25,168,000**  $26,458,000 $6,365,123 Emission Reductions (ton/yr) 3,158 B&V BART Analysis, Table ES-2 3,158 3,158 **Cost Effectiveness ($/ton) 7,970**  **8,378 2,016**  Cost ($/kW) 567 599 155

Interest Rate 0.07 Lifetime 30 CRF 0.0806Capacity (MWg) 350

Capacity (MWn) 316

**Cost Item 7/11/2007**  **Remarks/Cost Basis Escallation**  **Escallation Escalation**  **Revisions 10/22/2010**  **to Oct 2011 to Oct 2011**  **(percent) 10/10/2010**  Adjusted to 2010 Dollars ($) (percent) ($) **($)** CAPITAL COST Direct Costs Purchased equipment costs Anhydrous Ammonia Injection System $429,000 Scaled from B&V database based on ammonia flow, using 0.6 scale factor 8.4 $465,036 5.3 $422,392 Adjusted to use final contract award and remove installation Anhydrous Ammonia Vaporization System $429,000 Scaled from B&V database based on ammonia flow, using 0.6 scale factor 8.4 $465,036 5.3 $422,392 Adjusted to use final contract award and remove installation
Reactor Box, Breeching and Ductwork $3,999,600 Scaled from B&V database based on flue gas flow, using 0.6 scale factor 11.2 $4,447,555 0.0 $3,585,687 Adjusted to use final contract award and reduced by 10% to account for cheaper materials per 10/21/10 Responses, p. 2.
Ductwork Expansion Joints $147,000 Scaled from B&V database based on flue gas flow, using 0.6 scale factor 8.4 $159,348 5.3 $131,282 Adjusted to use one unit, remove freight, scaled using actual unit flow rates, and reduce cost by 10% to account for less expensive materials of construction. Catalyst $2,553,000 Catalyst volume determined based on unit size & Nox removal, $6500/m3 of catalyst 0 $2,553,000 0.0 $0 Annualized cost must be reported net of replacement materials. Cost Manual, pdf 47, 486. Sonic Horns $188,000 Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $203,792 5.3 $149,526 Final contract award Elevator $1,236,000 Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $1,339,824 5.3 $633,097 Adjusted to use final contract reward and to remove installation from vendor quote Structural Steel $5,998,000 Scaled from B&V database based on flue gas flow, using 0.6 scale factor 11.2 $6,669,776 0.0 $4,909,327 Adjusted to use final contract award and remove complexity factor. SCR Bypass $10,000,000 Taken from another B&V project of similar size 8.4 $10,840,000 5.3 $0 Not required for oil firing during startup
NOx Monitoring System $440,000 Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $476,960 5.3 $269,901 Adjusted to use final contract award, to require 1 training session for the station, and to remove maintenance contract Electrical System Upgrade $372,000 Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $403,248 11.2 $413,664 Auxiliary Electrical Equipment Requirements $6,400,000 Estimated in the B&V 10/22/10 Cost Analysis 0 $6,400,000 0.0 $1,472,000 Adjusted to 23% of B&V estimate Instrumentation and Control System $278,000 Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $301,352 5.3 $359,735 Adjusted to use final contract award and remove escalation. **Subtotal capital cost (CC)** $32,469,600 $34,724,927 $12,769,002 Gross Receipt Tax $2,009,000 (CC) X 6.2% $2,149,000 $751,000Adjusted to remove elevator costs Freight $1,623,000 (CC) X 5.0% $1,736,000 $322,000Adjusted to remove sonic horns, elevator, structural steel, N0x monitoring system, I&C system. **Total purchased equipment cost (PEC)** $36,102,000 $38,610,000 $13,842,002
Direct installation costs Foundation & supports $10,830,600 (PEC) X 30.0% 6.2 $11,502,097 Handling & erection $14,440,800 (PEC) X 30.0% 6.2 $15,336,130 Electrical $5,415,300 (PEC) X 15.0% 6.2 $5,751,049 Piping $902,550(PEC) X 2.5% 6.2 $958,508 Insulation $3,610,200 (PEC) X 10.0% 6.2 $3,834,032 Painting $361,020(PEC) X 1.0% 6.2 $383,403 Demolition $3,610,200 (PEC) X 10.0% 6.2 $3,834,032 Relocation $1,805,100 (PEC) X 5.0% 6.2 $1,917,016 

## San Juan Unit 2 @ 0.05 lbs/MMBtu

**COST A NA** **LYSIS B&V COST A** **NA LYSIS FOX** Capacity (MWg) 350

Capacity (MWn) 316

**Cost Item 7/11/2007**  **Remarks/Cost Basis Escallation**  **Escallation Escalation**  **Revisions 10/22/2010**  **to Oct 2011 to Oct 2011**  **(percent) 10/10/2010**  Adjusted to 2010 Dollars ($) (percent) ($) **($)** 

## San Juan Unit 2 @ 0.05 lbs/MMBtu

**COST A NA** **LYSIS B&V COST A** **NA LYSIS FOX** 

**Total direct installation costs (DIC)** $40,975,770 $43,516,268 4.4 $8,726,802 (PEC) X 62%. Adjusted to remove instrumentation and control system.
Air preheater modifications $1,071,000 Based on a budgetary quote received for the project 8.4 $1,160,964 5.3 $0 Not required for SCR. Balanced draft conversion $14,323,000 Adjusted from a B&V balanced draft conversion project based on differences in scope 8.4 $15,526,132 5.3 $2,544,690 Adjusted to 23% less fan modifications B&V 10/22/10 Cost Analysis, Table 5 Induced draft fans 5.3 $2,885,220 FD & ID fans minus the pressurized furnace differential. B&V 10/22/10 Cost Analysis, Table 4 Site preparation $2,000,000 Contingency for site unknowns, such as underground utilities 0 $2,000,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486. Buildings & enclosures $500,000 Contingency for general site building requirements 0 $500,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486. **Total direct costs (DC) = (PEC) + (DIC)** $94,972,000 $101,313,000 $27,998,714
Indirect Costs Engineering $6,648,040 (DC) X 7.0% $7,091,910 $2,800,000 (DC) X 10%, Engineering & Home Office Fees, Cost Manual, pdf 486, Table 2.5 Owner's cost $4,748,600 (DC) X 5.0% $5,065,650 $0 Included in Engineering & Home Office Fees. Construction management $9,497,200 (DC) X 10.0% $10,131,300 $0 Construction indirect $26,895,990 B&V labor market review 6.2 $28,563,541 4.4 $13,834,044 Reduced to 60% total installation labor Start-up and spare parts $2,849,160 (DC) X 3.0% $3,039,390 $840,000 Performance test $200,000 Based on other projects with similar emissions testing scope $200,000 $200,000 Contingencies $18,994,400 (DC) X 20.0% $20,262,600 $1,400,000 (DC) X 5%, Cost Manual, pdf 486, Table 2.5

**Total indirect costs (IC)** $69,833,000 $74,354,000 $19,074,044
Interest During Construction (IDC) $18,318,000 [(DC)+(IC)] X 7.41% 3 years (project time length X 1/2) $18,318,000 $0 Not permitted under Cost Manual approach Loss Generation during Outage (GEN) $15,231,000 5 weeks and 0.06095 $/kWh 12 weeks required for BDC, $15,667,000 $0 Not required 7 weeks major outage available Project Contingency $7,060,914 (DC + IC) X 15%, Cost Manual, pdf 486, Table 2.5.

**Total Capital Investment (TCI)=(DC)+(IC)+(IDC)+(GEN)**  **$198,354,000 $209,652,000**  **$54,133,672** Adjusted to include project contingency
ANNUAL COST Direct Annual Costs Fixed annual costs Operating labor $125,000 1 FTE and 124,862 $/year Estimated manpower level $125,000 $0 Cost Manual, pdf 487 Maintenance labor & materials $2,849,000 (DC) X 3.0% $3,039,000 $812,000TCI X 1.5%, Cost Manual, pdf 487. Yearly emissions testing $25,000 Based on other projects with similar emissions testing scope $25,000 $25,000 Catalyst activity testing $5,000 Engineering estimate $5,000 $5,000Capacity (MWg) 350

Capacity (MWn) 316

**Cost Item 7/11/2007**  **Remarks/Cost Basis Escallation**  **Escallation Escalation**  **Revisions 10/22/2010**  **to Oct 2011 to Oct 2011**  **(percent) 10/10/2010**  Adjusted to 2010 Dollars ($) (percent) ($) **($)** 

## San Juan Unit 2 @ 0.05 lbs/MMBtu

**COST A NA** **LYSIS B&V COST A** **NA LYSIS FOX** 

Fly ash sampling and analysis $20,000 Engineering estimate $20,000 $20,000

**Total fixed annual costs** $3,024,000 $3,214,000 $862,000
Variable annual costs Reagent $906,000 348 lb/hr and 700 $/ton B&V Calculated $906,000 $641,054Ammonia cost reduced to $475/ton. Ammonia flow rate increased by 0.25/0.24. Auxiliary and ID fan power $1,492,000 3,287 kW and 0.06095 $/kWh B&V Calculated $1,492,000 $390,915 Adjusted to 0.3% gross capacity and $0.050/kWh
Catalyst replacement $426,000 65 m3 and 6,500 $/m3 2 yr catalyst replacement rate $426,000 $188,751 B&V assumed a catalyst volume sufficient to reduce NOx from 0.3 to 0.044 lb/MMBtu, so adequate for 0.05. Unit cost reduced to $6000/m3 and FWF = 0.48. **Total variable annual costs** $2,824,000 $2,824,000 $1,220,720 **Total direct annual costs (DA C)**  $5,848,000 $6,038,000 $2,082,720
Indirect Annual Costs Cost for capital recovery $19,320,000 (TCI) X 9.74% CRF at 7.41% interest & 20 year life $20,420,000 $4,362,000 (TCI) x 8.059% CRF at 7% interest & 30 year life **Total indirect annual costs (IDA C)**  $19,320,000 $20,420,000 $4,362,000
**Total A nnual Cost (TA** **C) = (DA C) + (IDA** **C) $25,168,000**  $26,458,000 $6,444,720
Emission Reductions (ton/yr) 3,158 B&V BART Analysis, Table ES-2 3,158 3,433 Increased tons NOx reduced by (0.25/0.23) for outlet of 0.05 lbs/MMBtu **Cost Effectiveness ($/ton) 7,970**  **8,378 1,877**  Cost ($/kW) 567 599 155

Interest Rate 0.07 Lifetime 30 CRF 0.0806Capacity (MWg) 544

Capacity (MWn) 497

**Cost Item 7/11/2007**  **Remarks/Cost Basis Escallation**  **Escallation Escalation**  **Revisions 10/22/2010**  **to Oct 2011 to Oct 2011**  **(percent) 10/10/2010**  Adjusted to 2010 Dollars ($) (percent) ($) **($)** CAPITAL COST Direct Costs Purchased equipment costs Anhydrous Ammonia Injection System $559,000 Scaled from B&V database based on ammonia flow, using 0.6 scale factor 8.4 $605,956 5.3 $550,344 Adjusted to use final contract award and remove installation Anhydrous Ammonia Vaporization System $559,000 Scaled from B&V database based on ammonia flow, using 0.6 scale factor 8.4 $605,956 5.3 $550,344 Adjusted to use final contract award and remove installation
Reactor Box, Breeching and Ductwork $5,051,700 Scaled from B&V database based on flue gas flow, using 0.6 scale factor 11.2 $5,617,490 0.0 $3,585,687 Adjusted to use final contract award and reduced by 10% to account for cheaper materials per 10/21/10 Responses, p. 2.
Ductwork Expansion Joints $185,500 Scaled from B&V database based on flue gas flow, using 0.6 scale factor 8.4 $201,082 5.3 $165,809 Adjusted to use one unit, remove freight, scaled using actual unit flow rates, and reduce cost by 10% to account for less expensive materials of construction. Catalyst $3,225,000 Catalyst volume determined based on unit size & Nox removal, $6500/m3 of catalyst 0 $3,225,000 0.0 $0 Annualized cost must be reported net of replacement materials. Cost Manual, pdf 47, 486. Sonic Horns $188,000 Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $203,792 5.3 $149,526 Final contract award Elevator $1,236,000 Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $1,339,824 5.3 $633,097 Adjusted to use final contract reward and to remove installation from vendor quote Structural Steel $7,816,000 Scaled from B&V database based on flue gas flow, using 0.6 scale factor 8.4 $8,472,544 0.0 $6,396,471 Adjusted to use final contract award and remove complexity factor. SCR Bypass $10,000,000 Taken from another B&V project of similar size 11.2 $11,120,000 5.3 $0 Not required for oil firing during startup
NOx Monitoring System $440,000 Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $476,960 5.3 $269,901 Adjusted to use final contract award, to require 1 training session for the station, and to remove maintenance contract Electrical System Upgrade $484,000 Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $524,656 11.2 $538,208 Auxiliary Electrical Equipment Requirements $8,350,000 Estimated in the B&V 10/22/10 Cost Analysis 0 $8,350,000 0.0 $1,503,000 Adjusted to 18% of B&V estimate Instrumentation and Control System $291,000 Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $315,444 5.3 $468,707 Adjusted to use final contract award and remove escalation. **Subtotal capital cost (CC)** $38,385,200 $41,058,704 $14,811,093 Gross Receipt Tax $2,375,000 (CC) X 6.2% $2,541,000 $877,000Adjusted to remove elevator costs Freight $1,919,000 (CC) X 5.0% $2,053,000 $345,000Adjusted to remove sonic horns, elevator, structural steel, N0x monitoring system, I&C system. **Total purchased equipment cost (PEC)** $42,679,000 $45,653,000 $16,033,093
Direct installation costs Foundation & supports $12,803,700 (PEC) X 30.0% 6.2 $13,597,529 Handling & erection $17,071,600 (PEC) X 40.0% 6.2 $18,130,039 Electrical $6,401,850 (PEC) X 15.0% 6.2 $6,798,765 Piping $1,066,975(PEC) X 2.5% 6.2 $1,133,127 Insulation $4,267,900 (PEC) X 10.0% 6.2 $4,532,510 Painting $426,790(PEC) X 1.0% 6.2 $453,251 Demolition $4,267,900 (PEC) X 10.0% 6.2 $4,532,510 Relocation $2,133,950 (PEC) X 5.0% 6.2 $2,266,255 

## San Juan Unit 3

**COST A NA** **LYSIS B&V COST A** **NA LYSIS FOX** Capacity (MWg) 544

Capacity (MWn) 497

**Cost Item 7/11/2007**  **Remarks/Cost Basis Escallation**  **Escallation Escalation**  **Revisions 10/22/2010**  **to Oct 2011 to Oct 2011**  **(percent) 10/10/2010**  Adjusted to 2010 Dollars ($) (percent) ($) **($)** 

## San Juan Unit 3

**COST A NA** **LYSIS B&V COST A** **NA LYSIS FOX** 

**Total direct installation costs (DIC)** $48,440,665 $51,443,986 4.4 $10,074,516 (PEC) X 62%. Adjusted to remove instrumentation and control system.
Air preheater modifications $5,090,000 Based on a budgetary quote received for the project 8.4 $5,517,560 5.3 $0 Not required for SCR. Balanced draft conversion $18,714,000 Adjusted from a B&V balanced draft conversion project based on differences in scope 8.4 $20,285,976 5.3 $2,478,804 Adjusted to 18% less fan modifications B&V 10/22/10 Cost Analysis, Table 5 Induced draft fans 5.3 $4,275,180 FD & ID fans minus the pressurized furnace differential. B&V 10/22/10 Cost Analysis, Table 5 Site preparation $2,000,000 Contingency for site unknowns, such as underground utilities 0 $2,000,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486. Buildings & enclosures $500,000 Contingency for general site building requirements 0 $500,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486. **Total direct costs (DC) = (PEC) + (DIC)** $117,424,000 $125,401,000 $32,861,593
Indirect Costs Engineering $8,219,680 (DC) X 7.0% $8,778,070 $3,286,000 (DC) X 10%, Engineering & Home Office Fees, Cost Manual, pdf 486, Table 2.5 Owner's cost $5,871,200 (DC) X 5.0% $6,270,050 $0 Included in Engineering & Home Office Fees. Construction management $11,742,400 (DC) X 10.0% $12,540,100 $0 Construction indirect $31,795,855 B&V labor market review 6.2 $33,767,198 4.4 $15,971,947 Reduced to 60% total installation labor Start-up and spare parts $3,522,720 (DC) X 3.0% $3,762,030 $986,000 Performance test $200,000 Based on other projects with similar emissions testing scope $200,000 $200,000 Contingencies $23,484,800 (DC) X 20.0% $25,080,200 $1,643,000 (DC) X 5%, Cost Manual, pdf 486, Table 2.5

**Total indirect costs (IC)** $84,837,000 $90,398,000 $22,086,947
Interest During Construction (IDC) $22,481,000 [(DC)+(IC)] X 7.41% 3 years (project time length X 1/2) $22,481,000 $0 Not permitted under Cost Manual approach Loss Generation during Outage (GEN) $23,674,000 5 weeks and 0.06095 $/kWh 12 weeks required for BDC, $23,674,000 $0 Not required 7 weeks major outage available Project Contingency $8,242,281 (DC + IC) X 15%, Cost Manual, pdf 486, Table 2.5.

**Total Capital Investment (TCI)=(DC)+(IC)+(IDC)+(GEN)**  **$248,416,000 $261,954,000**  **$63,190,821** Adjusted to include project contingency
ANNUAL COST Direct Annual Costs Fixed annual costs Operating labor $125,000 1 FTE and 124,862 $/year Estimated manpower level $125,000 $0 Cost Manual, pdf 487 Maintenance labor & materials $3,523,000 (DC) X 3.0% $3,762,000 $948,000TCI X 1.5%, Cost Manual, pdf 487. Yearly emissions testing $25,000 Based on other projects with similar emissions testing scope $25,000 $25,000 Catalyst activity testing $5,000 Engineering estimate $5,000 $5,000Capacity (MWg) 544

Capacity (MWn) 497

**Cost Item 7/11/2007**  **Remarks/Cost Basis Escallation**  **Escallation Escalation**  **Revisions 10/22/2010**  **to Oct 2011 to Oct 2011**  **(percent) 10/10/2010**  Adjusted to 2010 Dollars ($) (percent) ($) **($)** 

## San Juan Unit 3

**COST A NA** **LYSIS B&V COST A** **NA LYSIS FOX** 

Fly ash sampling and analysis $20,000 Engineering estimate $20,000 $20,000

**Total fixed annual costs** $3,698,000 $3,937,000 $998,000
Variable annual costs Reagent $1,415,000 543 lb/hr and 700 $/ton B&V Calculated $1,415,000 $920,244 Ammonia cost reduced to $475/ton. Ammonia flow rate reduced by 0.23/0.24. Auxiliary and ID fan power $2,194,000 4,881 kW and 0.06095 $/kWh B&V Calculated $2,194,000 $607,594 Adjusted to 0.3% gross capacity and $0.050/kWh Catalyst replacement $538,000 83 m3 and 6,500 $/m3 2 yr catalyst replacement rate $538,000 $202,619 Adjusted to 85% of B&V estimate, unit cost reduced to $6000/m3, and FWF = 0.48 **Total variable annual costs** $4,147,000 $4,147,000 $1,730,457 **Total direct annual costs (DA C)**  $7,845,000 $8,084,000 $2,728,457
Indirect Annual Costs Cost for capital recovery $24,196,000 (TCI) X 9.74% CRF at 7.41% interest & 20 year life $24,196,000 $5,092,000 (TCI) x 8.059% CRF at 7% interest & 30 year life **Total indirect annual costs (IDA C)**  $24,196,000 $24,196,000 $5,092,000
**Total A nnual Cost (TA** **C) = (DA C) + (IDA** **C)** $32,041,000 $32,280,000 $7,820,457 Emission Reductions (ton/yr) 4,931 B&V BART Analysis, Table ES-2 4,931 4,931 **Cost Effectiveness ($/ton) 6,498**  **6,546 1,586**  Cost ($/kW) 457 482 116

Interest Rate 0.07 Lifetime 30 CRF 0.0806Capacity (MWg) 544

Capacity (MWn) 497

**Cost Item 7/11/2007**  **Remarks/Cost Basis Escallation**  **Escallation Escalation**  **Revisions 10/22/2010**  **to Oct 2011 to Oct 2011**  **(percent) 10/10/2010**  Adjusted to 2010 Dollars ($) (percent) ($) **($)** CAPITAL COST Direct Costs Purchased equipment costs Anhydrous Ammonia Injection System $559,000 Scaled from B&V database based on ammonia flow, using 0.6 scale factor 8.4 $605,956 5.3 $550,344 Adjusted to use final contract award and remove installation Anhydrous Ammonia Vaporization System $559,000 Scaled from B&V database based on ammonia flow, using 0.6 scale factor 8.4 $605,956 5.3 $550,344 Adjusted to use final contract award and remove installation
Reactor Box, Breeching and Ductwork $5,051,700 Scaled from B&V database based on flue gas flow, using 0.6 scale factor 11.2 $5,617,490 0.0 $3,585,687 Adjusted to use final contract award and reduced by 10% to account for cheaper materials per 10/21/10 Responses, p. 2.
Ductwork Expansion Joints $185,500 Scaled from B&V database based on flue gas flow, using 0.6 scale factor 8.4 $201,082 5.3 $165,809 Adjusted to use one unit, remove freight, scaled using actual unit flow rates, and reduce cost by 10% to account for less expensive materials of construction. Catalyst $3,225,000 Catalyst volume determined based on unit size & Nox removal, $6500/m3 of catalyst 0 $3,225,000 0.0 $0 Annualized cost must be reported net of replacement materials. Cost Manual, pdf 47, 486. Sonic Horns $188,000 Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $203,792 5.3 $149,526 Final contract award Elevator $1,236,000 Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $1,339,824 5.3 $633,097 Adjusted to use final contract reward and to remove installation from vendor quote Structural Steel $7,816,000 Scaled from B&V database based on flue gas flow, using 0.6 scale factor 8.4 $8,472,544 0.0 $6,396,471 Adjusted to use final contract award and remove complexity factor. SCR Bypass $10,000,000 Taken from another B&V project of similar size 11.2 $11,120,000 5.3 $0 Not required for oil firing during startup
NOx Monitoring System $440,000 Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $476,960 5.3 $269,901 Adjusted to use final contract award, to require 1 training session for the station, and to remove maintenance contract Electrical System Upgrade $484,000 Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $524,656 11.2 $538,208 Auxiliary Electrical Equipment Requirements $8,350,000 Estimated in the B&V 10/22/10 Cost Analysis 0 $8,350,000 0.0 $1,503,000 Adjusted to 18% of B&V estimate Instrumentation and Control System $291,000 Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $315,444 5.3 $468,707 Adjusted to use final contract award and remove escalation. **Subtotal capital cost (CC)** $38,385,200 $41,058,704 $14,811,093 Gross Receipt Tax $2,375,000 (CC) X 6.2% $2,541,000 $877,000Adjusted to remove elevator costs Freight $1,919,000 (CC) X 5.0% $2,053,000 $345,000Adjusted to remove sonic horns, elevator, structural steel, N0x monitoring system, I&C system. **Total purchased equipment cost (PEC)** $42,679,000 $45,653,000 $16,033,093
Direct installation costs Foundation & supports $12,803,700 (PEC) X 30.0% 6.2 $13,597,529 Handling & erection $17,071,600 (PEC) X 40.0% 6.2 $18,130,039 Electrical $6,401,850 (PEC) X 15.0% 6.2 $6,798,765 Piping $1,066,975(PEC) X 2.5% 6.2 $1,133,127 Insulation $4,267,900 (PEC) X 10.0% 6.2 $4,532,510 Painting $426,790(PEC) X 1.0% 6.2 $453,251 Demolition $4,267,900 (PEC) X 10.0% 6.2 $4,532,510 Relocation $2,133,950 (PEC) X 5.0% 6.2 $2,266,255 

## San Juan Unit 3 @ 0.05

**COST A NA** **LYSIS B&V COST A** **NA LYSIS FOX** Capacity (MWg) 544

Capacity (MWn) 497

**Cost Item 7/11/2007**  **Remarks/Cost Basis Escallation**  **Escallation Escalation**  **Revisions 10/22/2010**  **to Oct 2011 to Oct 2011**  **(percent) 10/10/2010**  Adjusted to 2010 Dollars ($) (percent) ($) **($)** 

## San Juan Unit 3 @ 0.05

**COST A NA** **LYSIS B&V COST A** **NA LYSIS FOX** 

**Total direct installation costs (DIC)** $48,440,665 $51,443,986 4.4 $10,074,516 (PEC) X 62%. Adjusted to remove instrumentation and control system.
Air preheater modifications $5,090,000 Based on a budgetary quote received for the project 8.4 $5,517,560 5.3 $0 Not required for SCR. Balanced draft conversion $18,714,000 Adjusted from a B&V balanced draft conversion project based on differences in scope 8.4 $20,285,976 5.3 $2,478,804 Adjusted to 18% less fan modifications B&V 10/22/10 Cost Analysis, Table 5 Induced draft fans 5.3 $4,275,180 FD & ID fans minus the pressurized furnace differential. B&V 10/22/10 Cost Analysis, Table 5 Site preparation $2,000,000 Contingency for site unknowns, such as underground utilities 0 $2,000,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486. Buildings & enclosures $500,000 Contingency for general site building requirements 0 $500,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486. **Total direct costs (DC) = (PEC) + (DIC)** $117,424,000 $125,401,000 $32,861,593
Indirect Costs Engineering $8,219,680 (DC) X 7.0% $8,778,070 $3,286,000 (DC) X 10%, Engineering & Home Office Fees, Cost Manual, pdf 486, Table 2.5 Owner's cost $5,871,200 (DC) X 5.0% $6,270,050 $0 Included in Engineering & Home Office Fees. Construction management $11,742,400 (DC) X 10.0% $12,540,100 $0 Construction indirect $31,795,855 B&V labor market review 6.2 $33,767,198 4.4 $15,971,947 Reduced to 60% total installation labor Start-up and spare parts $3,522,720 (DC) X 3.0% $3,762,030 $986,000 Performance test $200,000 Based on other projects with similar emissions testing scope $200,000 $200,000 Contingencies $23,484,800 (DC) X 20.0% $25,080,200 $1,643,000 (DC) X 5%, Cost Manual, pdf 486, Table 2.5

**Total indirect costs (IC)** $84,837,000 $90,398,000 $22,086,947
Interest During Construction (IDC) $22,481,000 [(DC)+(IC)] X 7.41% 3 years (project time length X 1/2) $22,481,000 $0 Not permitted under Cost Manual approach Loss Generation during Outage (GEN) $23,674,000 5 weeks and 0.06095 $/kWh 12 weeks required for BDC, $23,674,000 $0 Not required 7 weeks major outage available Project Contingency $8,242,281 (DC + IC) X 15%, Cost Manual, pdf 486, Table 2.5.

**Total Capital Investment (TCI)=(DC)+(IC)+(IDC)+(GEN)**  **$248,416,000 $261,954,000**  **$63,190,821** Adjusted to include project contingency
ANNUAL COST Direct Annual Costs Fixed annual costs Operating labor $125,000 1 FTE and 124,862 $/year Estimated manpower level $125,000 $0 Cost Manual, pdf 487 Maintenance labor & materials $3,523,000 (DC) X 3.0% $3,762,000 $948,000TCI X 1.5%, Cost Manual, pdf 487. Yearly emissions testing $25,000 Based on other projects with similar emissions testing scope $25,000 $25,000 Catalyst activity testing $5,000 Engineering estimate $5,000 $5,000Capacity (MWg) 544

Capacity (MWn) 497

**Cost Item 7/11/2007**  **Remarks/Cost Basis Escallation**  **Escallation Escalation**  **Revisions 10/22/2010**  **to Oct 2011 to Oct 2011**  **(percent) 10/10/2010**  Adjusted to 2010 Dollars ($) (percent) ($) **($)** 

## San Juan Unit 3 @ 0.05

**COST A NA** **LYSIS B&V COST A** **NA LYSIS FOX** 

Fly ash sampling and analysis $20,000 Engineering estimate $20,000 $20,000

**Total fixed annual costs** $3,698,000 $3,937,000 $998,000
Variable annual costs Reagent $1,415,000 543 lb/hr and 700 $/ton B&V Calculated $1,415,000 $1,000,265Ammonia cost reduced to $475/ton. Ammonia flow rate increased by 0.25/0.24. Auxiliary and ID fan power $2,194,000 4,881 kW and 0.06095 $/kWh B&V Calculated $2,194,000 $607,594 Adjusted to 0.3% gross capacity and $0.050/kWh
Catalyst replacement $538,000 83 m3 and 6,500 $/m3 2 yr catalyst replacement rate $538,000 $238,375 B&V assumed a catalyst volume sufficient to reduce NOx from 0.3 to 0.044 lb/MMBtu, so adequate for 0.05. Unit cost reduced to $6000/m3 and FWF = 0.48. **Total variable annual costs** $4,147,000 $4,147,000 $1,846,234 **Total direct annual costs (DA C)**  $7,845,000 $8,084,000 $2,844,234
Indirect Annual Costs Cost for capital recovery $24,196,000 (TCI) X 9.74% CRF at 7.41% interest & 20 year life $24,196,000 $5,092,000 (TCI) x 8.059% CRF at 7% interest & 30 year life **Total indirect annual costs (IDA C)**  $24,196,000 $24,196,000 $5,092,000
**Total A nnual Cost (TA** **C) = (DA C) + (IDA** **C)** $32,041,000 $32,280,000 $7,936,234
Emission Reductions (ton/yr) 4,931 B&V BART Analysis, Table ES-2 4,931 5,360 Increased tons NOx reduced by (0.25/0.23) for outlet of 0.05 lbs/MMBtu **Cost Effectiveness ($/ton) 6,498**  **6,546 1,481**  Cost ($/kW) 457 482 116

Interest Rate 0.07 Lifetime 30 CRF 0.0806Capacity (MWg) 544

Capacity (MWn) 507

**Cost Item 7/11/2007**  **Remarks/Cost Basis Escallation**  **Escallation Escalation**  **Revisions 10/22/2010**  **to Oct 2011 to Oct 2011**  **(percent) 10/10/2010**  Adjusted to 2010 Dollars ($) (percent) ($) **($)** CAPITAL COST Direct Costs Purchased equipment costs Anhydrous Ammonia Injection System $559,000 Scaled from B&V database based on ammonia flow, using 0.6 scale factor 8.4 $605,956 5.3 $550,344 Adjusted to use final contract award and remove installation Anhydrous Ammonia Vaporization System $559,000 Scaled from B&V database based on ammonia flow, using 0.6 scale factor 8.4 $605,956 5.3 $550,344 Adjusted to use final contract award and remove installation
Reactor Box, Breeching and Ductwork $5,083,200 Scaled from B&V database based on flue gas flow, using 0.6 scale factor 11.2 $5,652,518 0.0 $3,585,687 Adjusted to use final contract award and reduced by 10% to account for cheaper materials per 10/21/10 Responses, p. 2.
Ductwork Expansion Joints $186,500 Scaled from B&V database based on flue gas flow, using 0.6 scale factor 8.4 $202,166 5.3 $166,853 Adjusted to use one unit, remove freight, scaled using actual unit flow rates, and reduce cost by 10% to account for less expensive materials of construction. Catalyst $3,245,000 Catalyst volume determined based on unit size & Nox removal, $6500/m3 of catalyst 0 $3,245,000 0.0 $0 Annualized cost must be reported net of replacement materials. Cost Manual, pdf 47, 486. Sonic Horns $188,000 Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $203,792 5.3 $149,526 Final contract award Elevator $1,236,000 Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $1,339,824 5.3 $633,097 Adjusted to use final contract reward and to remove installation from vendor quote Structural Steel $6,252,000 Scaled from B&V database based on flue gas flow, using 0.6 scale factor 11.2 $6,952,224 0.0 $6,396,471 Adjusted to use final contract award and remove complexity factor. SCR Bypass $10,000,000 Taken from another B&V project of similar size 8.4 $10,840,000 5.3 $0 Not required for oil firing during startup
NOx Monitoring System $440,000 Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $476,960 5.3 $269,901 Adjusted to use final contract award, to require 1 training session for the station, and to remove maintenance contract Electrical System Upgrade $484,000 Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $524,656 11.2 $538,208 Auxiliary Electrical Equipment Requirements $8,350,000 Estimated in the B&V 10/22/10 Cost Analysis 0 $8,350,000 0.0 $1,503,000 Adjusted to 18% of B&V estimate Instrumentation and Control System $291,000 Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $315,444 5.3 $468,707 Adjusted to use final contract award and remove escalation. **Subtotal capital cost (CC)** $36,873,700 $39,314,496 $14,812,137 Gross Receipt Tax $2,282,000 (CC) X 6.2% $2,433,000 $877,000Adjusted to remove elevator costs Freight $1,844,000 (CC) X 5.0% $1,966,000 $345,000Adjusted to remove sonic horns, elevator, structural steel, N0x monitoring system, I&C system. **Total purchased equipment cost (PEC)** $41,000,000 $43,713,496 $16,034,137
Direct installation costs Foundation & supports $12,300,000 (PEC) X 30.0% 6.2 $13,062,600 Handling & erection $12,300,000 (PEC) X 30.0% 6.2 $13,062,600 Electrical $6,150,000 (PEC) X 15.0% 6.2 $6,531,300 Piping $1,025,000 (PEC) X 2.5% 6.2 $1,088,550 Insulation $4,100,000 (PEC) X 10.0% 6.2 $4,354,200 Painting $410,000(PEC) X 1.0% 6.2 $435,420 Demolition $4,100,000 (PEC) X 10.0% 6.2 $4,354,200 Relocation $2,050,000 (PEC) X 5.0% 6.2 $2,177,100 

## San Juan Unit 4

**COST A NA** **LYSIS B&V COST A** **NA LYSIS FOX** Capacity (MWg) 544

Capacity (MWn) 507

**Cost Item 7/11/2007**  **Remarks/Cost Basis Escallation**  **Escallation Escalation**  **Revisions 10/22/2010**  **to Oct 2011 to Oct 2011**  **(percent) 10/10/2010**  Adjusted to 2010 Dollars ($) (percent) ($) **($)** 

## San Juan Unit 4

**COST A NA** **LYSIS B&V COST A** **NA LYSIS FOX** 

**Total direct installation costs (DIC)** $42,435,000 $45,065,970 4.4 $10,075,191 (PEC) X 62%. Adjusted to remove instrumentation and control system.
Air preheater modifications $5,090,000 Based on a budgetary quote received for the project 8.4 $5,517,560 5.3 $0 Not required for SCR. Balanced draft conversion $18,714,000 Adjusted from a B&V balanced draft conversion project based on differences in scope 8.4 $20,285,976 5.3 $2,478,804 Adjusted to 18% less fan modifications B&V 10/22/10 Cost Analysis, Table 5 Induced draft fans 5.3 $4,275,180 FD & ID fans minus the pressurized furnace differential. B&V 10/22/10 Cost Analysis, Table 5. Site preparation $2,000,000 Contingency for site unknowns, such as underground utilities 0 $2,000,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486. Buildings & enclosures $500,000 Contingency for general site building requirements 0 $500,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486. **Total direct costs (DC) = (PEC) + (DIC)** $109,739,000 $117,083,000 $32,863,312
Indirect Costs Engineering $7,682,000 (DC) X 7.0% $8,195,810 $3,286,000 (DC) X 10%, Engineering & Home Office Fees, Cost Manual, pdf 486, Table 2.5 Owner's cost $5,487,000 (DC) X 5.0% $5,854,150 $0 Included in Engineering & Home Office Fees. Construction management $10,974,000 (DC) X 10.0% $11,708,300 $0 Construction indirect $26,445,000 B&V labor market review 6.2 $28,084,590 4.4 $13,151,894 Reduced to 60% total installation labor Start-up and spare parts $3,292,000 (DC) X 3.0% $3,512,000 $986,000 Performance test $200,000 Based on other projects with similar emissions testing scope $200,000 $200,000 Contingencies $21,948,000 (DC) X 20.0% $23,416,600 $1,643,000 (DC) X 5%, Cost Manual, pdf 486, Table 2.5

**Total indirect costs (IC)** $76,028,000 $80,972,000 $19,266,894
Interest During Construction (IDC) $20,648,000 [(DC)+(IC)] X 7.41% 3 years (project time length X 1/2) $20,648,000 $0 Not permitted under Cost Manual approach Loss Generation during Outage (GEN) $23,674,000 5 weeks and 0.06095 $/kWh 12 weeks required for BDC, $23,674,000 $0 Not required 7 weeks major outage available Project Contingency $7,819,531 (DC + IC) X 15%, Cost Manual, pdf 486, Table 2.5.

**Total Capital Investment (TCI)=(DC)+(IC)+(IDC)+(GEN)**  **$230,089,000 $242,377,000**  **$59,949,738** Adjusted to include project contingency
**AN NUA** **L COST** Direct Annual Costs Fixed annual costs Operating labor $125,000 1 FTE and 124,862 $/year Estimated manpower level $125,000 $0 Cost Manual, pdf 487 Maintenance labor & materials $3,292,000 (DC) X 3.0% $3,512,000 $899,000TCI X 1.5%, Cost Manual, pdf 487. Yearly emissions testing $25,000 Based on other projects with similar emissions testing scope $25,000 $25,000 Catalyst activity testing $5,000 Engineering estimate $5,000 $5,000Capacity (MWg) 544

Capacity (MWn) 507

**Cost Item 7/11/2007**  **Remarks/Cost Basis Escallation**  **Escallation Escalation**  **Revisions 10/22/2010**  **to Oct 2011 to Oct 2011**  **(percent) 10/10/2010**  Adjusted to 2010 Dollars ($) (percent) ($) **($)** 

## San Juan Unit 4

**COST A NA** **LYSIS B&V COST A** **NA LYSIS FOX** 

Fly ash sampling and analysis $20,000 Engineering estimate $20,000 $20,000

**Total fixed annual costs** $3,467,000 $3,687,000 $949,000
Variable annual costs Reagent $1,388,000 533 lb/hr and 700 $/ton B&V Calculated $1,388,000 $903,297 Ammonia cost reduced to $475/ton. Ammonia flow rate reduced by 0.23/0.24. Auxiliary and ID fan power $2,215,000 4,881 kW and 0.06095 $/kWh B&V Calculated $2,215,000 $607,594 Adjusted to 0.3% gross capacity and $0.050/kWh Catalyst replacement $541,000 83 m3 and 6,500 $/m3 2 yr catalyst replacement rate $541,000 $203,749 Adjusted to 85% of B&V estimate, unit cost reduced to $6000/m3, and FWF = 0.48. **Total variable annual costs** $4,144,000 $4,144,000 $1,714,639 **Total direct annual costs (DA C)**  $7,611,000 $7,831,000 $2,663,639
Indirect Annual Costs Cost for capital recovery $22,411,000 (TCI) X 9.74% CRF at 7.41% interest & 20 year life $22,411,000 $4,831,000 (TCI) x 8.059% CRF at 7% interest & 30 year life **Total indirect annual costs (IDA C)**  $22,411,000 $22,411,000 $4,831,000
**Total A nnual Cost (TA** **C) = (DA C) + (IDA** **C)** $30,022,000 $30,242,000 $7,494,639 Emission Reductions (ton/yr) 4,837 B&V BART Analysis, Table ES-2 4,837 4,837 **Cost Effectiveness ($/ton) 6,207**  **6,252 1,549**  Cost ($/kW) 423 446 110

Interest Rate 0.07 Lifetime 30 CRF 0.0806Capacity (MWg) 544

Capacity (MWn) 507

**Cost Item 7/11/2007**  **Remarks/Cost Basis Escallation**  **Escallation Escalation**  **Revisions 10/22/2010**  **to Oct 2011 to Oct 2011**  **(percent) 10/10/2010**  Adjusted to 2010 Dollars ($) (percent) ($) **($)** CAPITAL COST Direct Costs Purchased equipment costs Anhydrous Ammonia Injection System $559,000 Scaled from B&V database based on ammonia flow, using 0.6 scale factor 8.4 $605,956 5.3 $550,344 Adjusted to use final contract award and remove installation Anhydrous Ammonia Vaporization System $559,000 Scaled from B&V database based on ammonia flow, using 0.6 scale factor 8.4 $605,956 5.3 $550,344 Adjusted to use final contract award and remove installation
Reactor Box, Breeching and Ductwork $5,083,200 Scaled from B&V database based on flue gas flow, using 0.6 scale factor 11.2 $5,652,518 0.0 $3,585,687 Adjusted to use final contract award and reduced by 10% to account for cheaper materials per 10/21/10 Responses, p. 2.
Ductwork Expansion Joints $186,500 Scaled from B&V database based on flue gas flow, using 0.6 scale factor 8.4 $202,166 5.3 $166,853 Adjusted to use one unit, remove freight, scaled using actual unit flow rates, and reduce cost by 10% to account for less expensive materials of construction. Catalyst $3,245,000 Catalyst volume determined based on unit size & Nox removal, $6500/m3 of catalyst 0 $3,245,000 0.0 $0 Annualized cost must be reported net of replacement materials. Cost Manual, pdf 47, 486. Sonic Horns $188,000 Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $203,792 5.3 $149,526 Final contract award Elevator $1,236,000 Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $1,339,824 5.3 $633,097 Adjusted to use final contract reward and to remove installation from vendor quote Structural Steel $6,252,000 Scaled from B&V database based on flue gas flow, using 0.6 scale factor 11.2 $6,952,224 0.0 $6,396,471 Adjusted to use final contract award and remove complexity factor. SCR Bypass $10,000,000 Taken from another B&V project of similar size 8.4 $10,840,000 5.3 $0 Not required for oil firing during startup
NOx Monitoring System $440,000 Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $476,960 5.3 $269,901 Adjusted to use final contract award, to require 1 training session for the station, and to remove maintenance contract Electrical System Upgrade $484,000 Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $524,656 11.2 $538,208 Auxiliary Electrical Equipment Requirements $8,350,000 Estimated in the B&V 10/22/10 Cost Analysis 0 $8,350,000 0.0 $1,503,000 Adjusted to 18% of B&V estimate Instrumentation and Control System $291,000 Actual price from similarly sized unit, escalated to 2007 dollars 8.4 $315,444 5.3 $468,707 Adjusted to use final contract award and remove escalation. **Subtotal capital cost (CC)** $36,873,700 $39,314,496 $14,812,137 Gross Receipt Tax $2,282,000 (CC) X 6.2% $2,433,000 $877,000Adjusted to remove elevator costs Freight $1,844,000 (CC) X 5.0% $1,966,000 $345,000Adjusted to remove sonic horns, elevator, structural steel, N0x monitoring system, I&C system. **Total purchased equipment cost (PEC)** $41,000,000 $43,713,496 $16,034,137
Direct installation costs Foundation & supports $12,300,000 (PEC) X 30.0% 6.2 $13,062,600 Handling & erection $12,300,000 (PEC) X 30.0% 6.2 $13,062,600 Electrical $6,150,000 (PEC) X 15.0% 6.2 $6,531,300 Piping $1,025,000 (PEC) X 2.5% 6.2 $1,088,550 Insulation $4,100,000 (PEC) X 10.0% 6.2 $4,354,200 Painting $410,000(PEC) X 1.0% 6.2 $435,420 Demolition $4,100,000 (PEC) X 10.0% 6.2 $4,354,200 Relocation $2,050,000 (PEC) X 5.0% 6.2 $2,177,100 

## San Juan Unit 4 @ 0.05

**COST A NA** **LYSIS B&V COST A** **NA LYSIS FOX** Capacity (MWg) 544

Capacity (MWn) 507

**Cost Item 7/11/2007**  **Remarks/Cost Basis Escallation**  **Escallation Escalation**  **Revisions 10/22/2010**  **to Oct 2011 to Oct 2011**  **(percent) 10/10/2010**  Adjusted to 2010 Dollars ($) (percent) ($) **($)** 

## San Juan Unit 4 @ 0.05

**COST A NA** **LYSIS B&V COST A** **NA LYSIS FOX** 

**Total direct installation costs (DIC)** $42,435,000 $45,065,970 4.4 $10,075,191 (PEC) X 62%. Adjusted to remove instrumentation and control system.
Air preheater modifications $5,090,000 Based on a budgetary quote received for the project 8.4 $5,517,560 5.3 $0 Not required for SCR. Balanced draft conversion $18,714,000 Adjusted from a B&V balanced draft conversion project based on differences in scope 8.4 $20,285,976 5.3 $2,478,804 Adjusted to 18% less fan modifications B&V 10/22/10 Cost Analysis, Table 5 Induced draft fans 5.3 $4,275,180 FD & ID fans minus the pressurized furnace differential. B&V 10/22/10 Cost Analysis, Table 5. Site preparation $2,000,000 Contingency for site unknowns, such as underground utilities 0 $2,000,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486. Buildings & enclosures $500,000 Contingency for general site building requirements 0 $500,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486. **Total direct costs (DC) = (PEC) + (DIC)** $109,739,000 $117,083,000 $32,863,312
Indirect Costs Engineering $7,682,000 (DC) X 7.0% $8,195,810 $3,286,000 (DC) X 10%, Engineering & Home Office Fees, Cost Manual, pdf 486, Table 2.5 Owner's cost $5,487,000 (DC) X 5.0% $5,854,150 $0 Included in Engineering & Home Office Fees. Construction management $10,974,000 (DC) X 10.0% $11,708,300 $0 Construction indirect $26,445,000 B&V labor market review 6.2 $28,084,590 4.4 $13,151,894 Reduced to 60% total installation labor Start-up and spare parts $3,292,000 (DC) X 3.0% $3,512,000 $986,000 Performance test $200,000 Based on other projects with similar emissions testing scope $200,000 $200,000 Contingencies $21,948,000 (DC) X 20.0% $23,416,600 $1,643,000 (DC) X 5%, Cost Manual, pdf 486, Table 2.5

**Total indirect costs (IC)** $76,028,000 $80,972,000 $19,266,894
Interest During Construction (IDC) $20,648,000 [(DC)+(IC)] X 7.41% 3 years (project time length X 1/2) $20,648,000 $0 Not permitted under Cost Manual approach Loss Generation during Outage (GEN) $23,674,000 5 weeks and 0.06095 $/kWh 12 weeks required for BDC, $23,674,000 $0 Not required 7 weeks major outage available Project Contingency $7,819,531 (DC + IC) X 15%, Cost Manual, pdf 486, Table 2.5.

**Total Capital Investment (TCI)=(DC)+(IC)+(IDC)+(GEN)**  **$230,089,000 $242,377,000**  **$59,949,738** Adjusted to include project contingency
**AN NUA** **L COST** Direct Annual Costs Fixed annual costs Operating labor $125,000 1 FTE and 124,862 $/year Estimated manpower level $125,000 $0 Cost Manual, pdf 487 Maintenance labor & materials $3,292,000 (DC) X 3.0% $3,512,000 $899,000TCI X 1.5%, Cost Manual, pdf 487. Yearly emissions testing $25,000 Based on other projects with similar emissions testing scope $25,000 $25,000 Catalyst activity testing $5,000 Engineering estimate $5,000 $5,000Capacity (MWg) 544

Capacity (MWn) 507

**Cost Item 7/11/2007**  **Remarks/Cost Basis Escallation**  **Escallation Escalation**  **Revisions 10/22/2010**  **to Oct 2011 to Oct 2011**  **(percent) 10/10/2010**  Adjusted to 2010 Dollars ($) (percent) ($) **($)** 

## San Juan Unit 4 @ 0.05

**COST A NA** **LYSIS B&V COST A** **NA LYSIS FOX** 

Fly ash sampling and analysis $20,000 Engineering estimate $20,000 $20,000

**Total fixed annual costs** $3,467,000 $3,687,000 $949,000
Variable annual costs Reagent $1,388,000 533 lb/hr and 700 $/ton B&V Calculated $1,388,000 $981,844Ammonia cost reduced to $475/ton. Ammonia flow rate increased by 0.25/0.24. Auxiliary and ID fan power $2,215,000 4,881 kW and 0.06095 $/kWh B&V Calculated $2,215,000 $607,594 Adjusted to 0.3% gross capacity and $0.050/kWh
Catalyst replacement $541,000 83 m3 and 6,500 $/m3 2 yr catalyst replacement rate $541,000 $239,705 B&V assumed a catalyst volume sufficient to reduce NOx from 0.3 to 0.044 lb/MMBtu, so adequate for 0.05. Unit cost reduced to $6000/m3 and FWWF = 0.48. **Total variable annual costs** $4,144,000 $4,144,000 $1,829,143 **Total direct annual costs (DA C)**  $7,611,000 $7,831,000 $2,778,143
Indirect Annual Costs Cost for capital recovery $22,411,000 (TCI) X 9.74% CRF at 7.41% interest & 20 year life $22,411,000 $4,831,000 (TCI) x 8.059% CRF at 7% interest & 30 year life **Total indirect annual costs (IDA C)**  $22,411,000 $22,411,000 $4,831,000
**Total A nnual Cost (TA** **C) = (DA C) + (IDA** **C)** $30,022,000 $30,242,000 $7,609,143
Emission Reductions (ton/yr) 4,837 B&V BART Analysis, Table ES-2 4,837 5,258 Increased tons NOx reduced by (0.25/0.23) for outlet of 0.05 lbs/MMBtu **Cost Effectiveness ($/ton) 6,207**  **6,252 1,447**  Cost ($/kW) 423 446 110

Interest Rate 0.07 Lifetime 30 CRF 0.0806