08-14-2023 BPU RPT 07 - Laserfiche WebLink

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W A T E R E N E R G Y L I F E RIVERSIDE PUBLIC UTILITIES P UB LIC UTILITIES Board Memorandum BOARD OF PUBLIC UTILITIES DATE: AUGUST 14, 2023 SUBJECT: EXPENDITURE WITH TRANSCANDA TURBINES INC. OF AIRDRIE, CANADA IN THE AMOUNT OF $2,560,501.37 FOR TURBINE REPAIRS ON RIVERSIDE ENERGY RESOURCE CENTER UNIT 1 DUE TO THE URGENT NECESSITY FOR PROTECTION AND PRESERVATION OF PUBLIC LIFE, HEALTH, AND PROPERTY AND APPROVE WORK ORDER 2311326 ISSUE: Consider ratifying the expenditure with TransCanada Turbines Inc. of Airdrie, Canada for turbine repairs on Riverside Energy Resource Center Unit 1 in the amount of $2,560,501.37 due to the urgent necessity for protection and preservation of public life, health, and property, and approving Work Order 2311326. RECOMMENDATIONS: That the Board of Public Utilities: Ratify the expenditure with TransCanada Turbines Inc. of Airdrie, Canada for turbine repairs on Riverside Energy Resource Center Unit 1 in the amount of $2,560,501.37 due to the urgent necessity for protection and preservation of public life, health, and property; and 2. Approve Work Order 2311326 in the amount of $2,560,501.37 for the turbine repairs. BACKGROUND: The Riverside Energy Resource Center (RERC) consists of four General Electric LM6000 model gas turbine engines that, in total, provide up to 30 percent of Riverside's summer daily electric power demands. This facility is operated and maintained by the Riverside's Generation Division. Borescope inspections are performed annually on each turbine as part of standard industry practice. These maintenance inspections allow trained technicians to view critical turbine internal components at the facility and assess overall operating conditions. On November 4, 2022, General Electric (GE) conducted the routine annual borescope inspection on all of the units. In RERC Unit 1, the GE technicians detected a turbine blade in the Low - Pressure Turbine (LPT) section with a missing piece. Staff declared Unit 1 unavailable for plant operations until the final evaluation and determination from GE.