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Cost-Benefits and Funding Options for Ferries

Cost-Benefits and Funding Options for Ferries. Mahesh Talwar OceanAir Environmental, LLC 805-386-1882 mahesh@oceanairllc.com www.oceanairllc.com. Green Ferry Boat Options. Repower with Tier II Remanufacture with Tier II Repower with Tier II + SCR Shore power Speed reduction

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Cost-Benefits and Funding Options for Ferries

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  1. Cost-Benefits and Funding Options for Ferries Mahesh Talwar OceanAir Environmental, LLC 805-386-1882 mahesh@oceanairllc.com www.oceanairllc.com

  2. Green Ferry Boat Options • Repower with Tier II • Remanufacture with Tier II • Repower with Tier II + SCR • Shore power • Speed reduction • Alternative fuel

  3. Cost-Benefit Analysis • Basis: Outside parties pay for 70% of the total installed cost, owner pays 30%, current engine is Tier I, annual fuel burn 600,000 gal, total h.p. 4,500, rebuild every 30,000 hrs, annual operating hours 4,000 • Options: • Repower with Tier II engine Total installed cost = $2.2 million, Gov. pays $1.54 million, owner pays $0.6 million, no increase in operating cost, total annualized cost = $80,000 w/ subsidy, $267,000 w/o subsidy. Annual NOx+10PM reduced = 50 tons/yr, cost effectiveness (w/o subsidy) = $5,340/ton • Remanufacture with Tier II kit – limited to EMD and Cat engines Total installed cost = $600,000, no increase in operating cost. Total annualized cost w/ subsidy $25,000, w/o $83,000 . Total NOx+10PM reduced = 50 tons/yr, cost-effectiveness (w/o subsidy) = $1,660/ton • Add SCR to Tier II Total installed cost = $3.3 million, Gov pays $2.31 million, owner pays $0.99 million, Increase in operating cost (increased fuel + chemicals) = $350,000/yr. Total annualized cost w subsidy = $490,000, w/o $820,000. Total NOx+10PM reduced = 85 tons/yr, cost-effectiveness = $9,647/ton • Cut throttle back to 91% of rated speed- This is stand alone option. Vessel speed decreases by 4-5 knots, Some of the fuel savings will be offset by increased crew cost due to extra operating hours for the same number of trips • Shore power. • Alternative fuels

  4. Funding Sources • Carl Moyer • West Coast Diesel Collaborative • Stimulus funds • Ports – container fee • Emission Credits • FTA • State • EPA

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