NEW ULM — The New Ulm Public Utilities Commissioner received a presentation by Karl Mariett, vice president of FVB Energy Inc. The report gave an assessment on the city’s steam distribution system.

The FVB was contracted to study the city’s existing steam distribution system, to determine the capacity to provide the quality and volume of steam needed to meet New Ulm’s current and future demands.

FVB created a computer model to demonstrate the steam system’s ability to support growth.

Mariett presented a map of New Ulm showing the steam pressure at each location connecting to the steam system. The farthest location is Turner Hall.

The system is performing quite well, Mariett said. Even during peak usage all locations receive at least seven pounds of pressure, suggesting the system has the capacity to add new users. Mariett said systems in the buildings would work fine with only three pounds of pressure.

Mariett said the price of steam in New Ulm was extremely attractive and it should be a primary consideration for new business or residents in the delivery area. He suggested starting an educational program for customers and contractors to alert them to steam’s potential.

The commission liked the idea of educating the public on steam energy. Commissioner Dan Beranek said there is a lot of misinformation about steam and he felt a public program could help.

The PUC has been in discussion with Firmenich over possible expansion. There is some concern of a bottleneck in steam pressure due to the size of the line near the plant.

The majority of buildings in the downtown Minnesota Street area run on steam. A few residences on State Street run on steam as well. The former middle school is connected to the steam system. The company redeveloping the building has contacted the PUC about making use of the system.

Community Solar System

During the 2017 Green Energy Home Show, a survey was submitted which showed 93 percent of New Ulm customers were interested in renewable energy, with 54 percent willing to pay more for renewable energy, and 86 percent supporting a community solar project.

Based on the results of this survey, the Energy Awareness Commission expressed interest in the PUC involvement with potential community solar projects.

Community solar projects can reduce costs for customers and provide access to solar energy for customers who cannot install panels on their property. It has the potential to reduce costs per solar panel. However, the cost can vary depending on the total project size, land availability and access to federal tax credits.

Due to this range of issues, PUC staff requested another survey be submitted to customers stating the high side cost of starting a community solar garden.

The survey estimates the cost of each solar panel at $1,250 at a 20-year life span. Utilities Director Patrick Wrase said the estimate of the panel cost is a conservative estimate that presents the worst-case scenario. The survey does not present the solar garden as a major source of profit for those who invest. Wrase said it is more about the environmental benefit to the community. The financial benefit could be better than estimated, but staff wanted to be realistic about the buy-in cost.

If the community solar garden moved forward, it would be limited to 123 solar panels.

The PUC approved issuance of the survey. It was recommended copies of the survey will be mailed directly to PUC customers.

Once the survey is collected, PUC staff will be able to better determine if a community solar project is worth pursuing.

In other news, Director Wrase reported that on June 13, the PUC experienced electrical peak of 41,522 kW of demand. This is the highest June peak since 2012. Wrase said weather was a contributing factor in this peak.

A survey was conducted by Westrum Leak Detection to pinpoint leaks in the city’s water distribution system. Seven service line leaks and one main leak were found.