BOARD MEETING DATE: February 5, 2010
AGENDA NO. 15

PROPOSAL:

Amend Contract and Execute Contract for Locomotive NOx Control Equipment Demonstration Project

SYNOPSIS:

In 2006, the Board approved a locomotive emissions control project with Engine, Fuel, and Emissions Engineering, Inc. (EF&EE) which successfully demonstrated a Selective Catalytic Reduction (SCR) system with substantial NOx and PM reductions. Additional work is required to enhance system durability. This action is to redirect a previously allocated and unused $100,000 U.S. EPA grant to this SCR project, modify the EF&EE SCR project contract, and execute a contract with a technical expert to provide assistance to EF&EE for enhancing the durability of the technology.

COMMITTEE:

Technology, January 22, 2010, Recommended for Approval

RECOMMENDED ACTIONS:

1. Recognize revenue in the amount of $100,000 in the General Fund from the U.S. EPA Section 103 Grant funds;

2. Appropriate $100,000 from the Undesignated Fund Balance to the FY 2009-10 Science & Technology Advancement Budget, Professional, and Special Services Account; and

3. Authorize the Executive Officer to:

   1. Amend the contract with Engine, Fuel, and Emissions Engineering, Inc. (EF&EE) to develop and demonstrate a redesigned Selective Catalytic Reduction (SCR) system on a Metrolink passenger locomotive and to increase funding in an amount not to exceed $75,000; and

   2. Execute a contract with MotivePower, Inc. to assist in the design and optimization of the SCR system on a Metrolink passenger locomotive for an amount not to exceed $25,000 both from the Science & Technology Advancement Budget, Professional, and Special Services Account.

Barry R. Wallerstein, D.Env.
Executive Officer

Background

Selective catalytic reduction (SCR) has been used for many years on large stationary engines for NOx control. Locomotives are propelled by engines similar to such stationary engines. NOx emissions can potentially be reduced by 70-90 percent using SCR technology in a locomotive environment. Besides a special SCR catalytic converter, these systems inject ammonia into the exhaust stream to enable the SCR catalyst to reduce NOx to nitrogen and water. For mobile applications, urea solution, which breaks down to form ammonia in the exhaust, is used because it is safer than ammonia for maintenance handling or in the case of accidents.  

In September 2006, the Board approved a contract with EF&EE to develop and demonstrate an SCR system on a Metrolink locomotive. Since that time, the SCR system has been developed and has demonstrated substantial NOx reduction. Under the current statement of work, the design has evolved in a number of ways to improve its functionality and durability. However, further work is needed to optimize the system to achieve higher levels of NOx control and to finalize the system design.

At the same time that the above contract was approved, the Board approved a contract with Miratech Corporation to develop and demonstrate a diesel particulate filter (DPF) on a Pacific Harbor Line (PHL) switch locomotive. This contract with Miratech was not initiated due to unforeseen warranty, liability, and consequential damage issues involving the proposed contractor PHL and MotivePower, the locomotive manufacturer. Both of the above contracts were cofunded by the U.S. EPA for $100,000 each. Since the PHL DPF project was not initiated, staff has been working with U.S. EPA to redirect funds to the Metrolink SCR project to further optimize the system. 

Proposal

Staff is proposing that the design of the Metrolink SCR system be finalized to improve its NOx control efficiency and further enhance control system durability. The following tasks will be performed:

• Task A - Redesign the SCR converter to increase support to the catalytic elements and prevent cracking.

• Task B - Fabricate the redesigned SCR converter and ship it to Metrolink.

• Task C - Install the redesigned SCR converter on Metrolink locomotive number 865, optimize the system to achieve additional levels of NOx control, complete the demonstration period, and perform final emission testing.

In addition to the work performed by EF&EE, MotivePower will assist in the redesign stage (Task A) of the project. MotivePower manufactures passenger locomotives and was one of the first manufacturers to offer exhaust after-treatment as standard equipment on their passenger locomotives. MotivePower is uniquely qualified to assist in the design of the SCR system.

Sole Source Justification

Section VIII.B.2. of the Procurement Policy and Procedure identifies four major provisions under which a sole source award may be justified. This request for a sole source award is made under provision B.2.c.: …services available from only the sole source. Specifically, B.2.c.(1): The unique experience and capabilities of the proposed contractor/team.

MotivePower, Inc. is an industry leader in the design, manufacture and remanufacture of passenger and switch locomotives and brings unique experience and capabilities to the proposed project. Specifically, MotivePower is the first locomotive manufacturer to develop and incorporate exhaust after-treatment systems on a locomotive and this after-treatment system design and development experience will greatly benefit the project’s redesign phase. 

Benefits to AQMD

The proposed project is included in the Technology Advancement Office 2009 Plan Update under “Emission Control Technologies.” The AQMP relies upon the expedited implementation of advanced technologies in Southern California to achieve air quality standards and to continue reductions in air toxic exposure, and this project will help the AQMD to achieve its clean air goals.

The use of SCR on a Metrolink passenger locomotive is expected to reduce NOx emissions by about 80 percent or approximately 24 tons per year per locomotive. It is also anticipated that PM emissions will be reduced by about 50 percent or approximately 0.5 tons per year per locomotive. 

Resource Impacts

The overall cost for this project is $748,370 with a total AQMD cost share of $206,735. Cost sharing for this project including the redirected U.S. EPA funding of $100,000 and an additional $131,635 from EF&EE is as follows: 

U.S. EPA 103 Grant (redirected funds) $100,000

U.S. EPA 103 Grant (original project funds) $100,000

Engine, Fuel, and Emissions Engineering $241,635

Metrolink $100,000

AQMD $206,735

TOTAL $748,370