1. Lakeshore Industry Cluster Initiative Sponsors
Manufacturing – Energy – Agriculture - Tourism
THANK YOU!
Lakeshore Industry Cluster Initiative Sponsors
Diamond
with support from WEDC
Platinum 
This slides shows the current sponsors of the initiative and their contribution levels.
The Diamond level sponsor contributions are over $10,000 with the largest contributor the EDCMC at $50,000 .
Platinum: $5,000 - $9,999
Gold: $3,000 - $4,999
Silver – Under $3000
Sponsorship commitments can be spread over multiple fiscal years through 1st quarter of 2014 if necessary. For instance LTC contributions were made in 2 fiscal year commitments – and budget years. As is New North’s
Gold Ben Cress Wisconsin Public Service NextEra Energy Point Beach Nuclear Plant
Silver Door County EDC Keller, Inc Kewaunee County EDC
Two Rivers Water & Light Alliant Energy Sturgeon Bay Utility Commission
First Business Bank

2. Fertilizer Value Stays the same
Regional Biogas Value Chain
RINS EXPERTISE – value $7 Mil
US Oil / Integris
Regional differential value $186M, CBG value + fuel value not purchased
Co-op
Digester
Independent Farm
27 in Wisconsin
Fertilizer Value Stays the same
Manure
Commercial Waste?
Food Processing By-Products
Conditioning
Separator
Electricity
Liquid
Solids
Cleaning CO2 Removal
Cost to build w/ digester $4 M
Pipeline ?
Baldwin WI Build interconnect / Gate Station
Quality - Unknown
Transportation
Collection
Manure value 438,000 head X 27,800BTU/day X 365 days/year = 4.8 T-BTU/yr
(6.8 cents/ lb. to handle)
Value = $48M
RINS Value = $3.20 per M Btu
By-Products Value ?
$10/M BTU
Example- Fair Oaks Farm
4 Dairys cows – central cleaner
Digester Infrastructure Specs & Cost
Head
$1.8 M - $15 M
Heating Dry
Commercial
Propane
Comparison 1.39 gal.
75K BTU/ Gal
$14/m BTU
Milk Trucks
Schneider
Pabl
Waste Mgmt
Vintor
Veino
UPS
11 sites
3.5 cents KW
10,000 BTU / KW/HR
Site
Fleet
75 vehicles
4 partial
$1-$16 M
Corn Dryers
Vessels
Saxn
Vellito
Additional Benefits
Greenhouse Gas reduction
Waste Management
Odor Control
Sustainability Local
Ground Water Protection
Air pathogens
Reducing Fossil fuel use
Badger – CNG Preferred Alternative
Marine companies retrofitting vessels
Politics environment needs to be considered and assessed
Not reviewed during session, needs future analysis
High Pressure – 3600 psi
Tube Trucks cost $250,000 to transport CNG
Gas Cheaper than Manure to haul

3. CLEAN POWER PLAN Arthur J. Harrington Godfrey & Kahn, S.C. 3

4. Overview of Presentation
Overview of EPA’s Clean Power Plan
Timeline for comments (EPA/State) and implementation of the Plan
Other future regulations for Utility Industry
Summarize opportunities/challenges for [Industrial User (‘IU”)] under the Plan
Highlights and potential IU future strategies to mitigate risk/explore benefits resulting from the Plan

5. Overview of Clean Power Plan
Provides emission guidelines for states to follow and developing state implementation plan (“SIP”)
Applies to coal-fired electrical generation units (“EGU’s”)
ID should be concerned about impact of Plan in those states where it is facilities served by coal-fired generation.
Goal is to get a 30% reduction in carbon dioxide emissions by 2030 compared against 2012 baseline.
The Plan has already attracted several legal challenges

6. EPA Proposed Strategies for States to Implement EPA Goals
Reduce carbon dioxide emissions from the covered EGU
Increase the use of existing natural gas fired combustion EGU
Expand the use of low carbon renewable-energy generating units
Expand the use of demand-side energy-efficiency programs for EGU customers
Guidelines for states to implement the goals are not limited to these 4 building blocks and can be expanded

7. Timeline for Plan Plan proposed on June 18, 2014
Public comments due on December 1, 2014
EPA to finalize Rule on June 18, 2015
State must submit SIP by June 18, 2016
State must meet CO2 goals by 2030

9. Summary of Opportunities/Costs for IU Under the Plan
The Plan when adopted presents a significant increase in electrical costs for IU in those states where there is a high percentage of base-load generation provided by coal fired EGUs
If IU has already employed significant energy efficiency reductions for its facilities, it will be difficult to “squeeze out” more efficiencies at its facilities under the Plan.
IU may want to consider is consolidating production from other parts of the country into those areas that are served by fewer coal fired EGUs.
IU may want to consider taking steps now to reduce energy costs and increase revenue opportunities under the Plan.

10. Key Potential Regulatory Involvement by IU
Comments on Federal Plan.
Involvement on State SIP task force.

11. Comments on Federal Plan
Plan should clarify that any actions by customers would be voluntary and compensated.
Plan should allow for and encourage the creation of incentives to shift production to more efficient facilities, including shifts to facilities in other states even if those states are not in the same region.

12. Involvement on State SIP Task Force
IU should monitor the draft SIPs in those states where it has large facilities and file comments to those SIPs where appropriate.
Want to make sure that there are no mandatory requirements on customers and that customers are fully compensated for their energy-efficiency and renewable-energy projects.
Want States where IU has facilities to work with other states to allow IU to receive credit for its efficiency gains from shifting production to more efficient IU facilities, where appropriate.

13. Potential Steps to Reduce Costs and Increase Revenue Opportunities under Plan
Energy efficiency: Document efficiency gains, including gains from shifting to high-efficiency plants.
On-site energy generation:
Solar: Consider taking advantage of 30% investment tax credit and beneficial state programs.
Biomass/biogas generation: Consider ability to qualify for 30% investment tax credit, to offset high cost/carbon flat-load energy, and to use waste heat.
Natural gas generation/cogeneration: Consider opportunities for facilities with high cost/carbon energy, flat-load, and potential use of waste heat (10% investment tax credit for cogeneration)
Consider third-party financing of generation facilities.

15. What’s Trending in Alternative Sectors?
Current position of alternative power source in the economy
Major roadblocks to growth (regulatory, economic, political, etc.)
Recommendations for action/solutions