In the past, every time the gas system exceeded this set limit they were subjected to a penalty by the pipeline supplier. LNG is making up the difference. The economics of a peakshaving plant are typically based upon avoided pipeline demand charges along with a component of avoided capital cost for some alternative pipeline solution. The economics of a base-load facility are somewhat different. The facilities can be installed at industrial sites or a stand alone utility system.
Many operators are unaware of the great potential at the industrial sites for volumes of sales.
An industrial customer running three shifts at 100 dekatherms per hour can use 800,000 dekatherms per year of load. Despite the fact that the Greenville Utilities' project was accelerated, Northstar's design has many unique characteristics. The simple process design was based upon the preheating designs utilized by Northstar as well as the extensive vaporizer replacement experience of the design team. The site plan and process flow diagram illustrate the layout of components, required distances and the input and output of the new facility. The site has two double wall 55,000 gallon tanks that contain the equivalent of approximately 8,250 dekatherms of storage.