Hemp acting like the new kid on the block in agriculture

Cost efficiencies of geothermal meeting widespread approval

Look at housing and infrastructure and you should be looking at geothermal, says Inez Miller of Manitoba Geothermal Energy Alliance (MGEA). “It doesn’t matter where you look in the province, the business arrangements work.” Miller says, “Assembly of Manitoba Chiefs is expressing interest in geothermal from an overall planning perspective. They tell us it has a strong appeal based on funding, access to resources, and other issues that could make projects successful.”

MGEA wants to be positioned to address areas of concern expressed by AMC in workshops. She notes that Darcy Wood, AMC housing and infrastructure manager, made a presentation to MGEA this spring that contained a lot of statistical analysis about housing needs assessments. “It was an excellent presentation. Geothermal presents phenomenal opportunities and we learned about the issues around potable water that could be tied to geothermal systems.”

Brian Soulier works at AMC on geothermal issues, “What we did last March was host a workshop in a technology working group that focused on the economic development with people in finance, human resources, environment, and infrastructure or housing planning. Our workshops brought together First Nations to communicate about advancements in technology.”

One topic of discussion was geothermal, and Miller spoke about MGEA as did Ed Lohrenz, Vice President of MGEA, Ron Robins, MGEA president, “and Cross Lakes First Nation presented on their success story with a 38-unit housing installation in a district loop. Franklin Ross came with their contractor to discuss installation and the obstacles that were overcome.”

Soulier said, “Knowledge exchange with First Nations communities helps those who are interested and assists others who perceive it cautiously, stating that geothermal is too complicated or too costly. The expense depends on the priority of the community, those seeking good infrastructure solutions with long run cost efficiencies will find the economic capacity. We are advocating geothermal for the communities in Manitoba.”

Winnipeg Geothermal’s Ron Robins is serving president of MGEA. Board members are competitors and Robins is owner of a geothermal  installer company doing design and installation, conducting geological drilling assessments for heat exchange arrays for either commercial buildings or apartment blocks.

Friesen Drillers is owned by John Friesen, operating a third generation family business drilling in Manitoba since the late 1800s. Frieson is a board member MGEU, “We work all over Canada,” from an operational centre in Steinbach, Manitoba. “Drilling in the Canadian Shield is more expensive, even so, you get thermal conductivity in the shield that is higher than average, so it’s a positive geothermal situation that is more expensive to access with the same payback on BTUs, although the cost to drill goes up.”

Geothermal drilling occurs in rock, clay, limestone, any conditions. One of the important geothermal options is called an open loop, which extracts heat from a dedicated water well and returns the water to another well. “If you are in rural Manitoba and need a water well, you can use that same well to extract geothermal energy and drill an extra well to act as a return well. We do a fair bit of that. By nature our first love was drilling for water.”

Friesen says, “Geothermal provides huge cost efficiencies over the long term. In the urban environment, commercial geothermal installations provide huge energy savings in apartment blocks. Commercial arrays work for major manufacturing companies like Bristol Aerospace, which uses high heat processes in manufacturing and they take ground water out for cooling. Acquiring water rights for allows for licensing groundwater systems, a scenario for which we engineer and design systems, be they closed or open loop systems.”

Drills come from various drill manufacturers, and Friesen has a large number of different drills for the variety of jobs the company engages. “My company is now in it since 1892. I’ve been in geothermal since 1972 on the residential side and the commercial side since 1976. In the past five years residential geothermal has exploded into a major part of the business, and it keeps growing as more customers are able to justify the $18,000 to $25,000 upfront costs.”

Sealing the drilled loops is done meticulously with thermal-enhanced grout, which contain very low conductivity values, “We do bore holes up to 600 ft. in Winnipeg and around Manitoba, and the concern is always to preserve ecological integrity of aquifers, separate water tables, and to avoid contamination of fresh water by salt water aquifers.”

He notes, “We have to protect these water tables. Geothermal drillers are going through ground water and grouting creates the security, which takes time and money.” The company does extensive training of drillers, pump installers, and all facets of operations, with a staff of 65, including a hydrologist engineer, “a rare breed. There is lots of competition in the industry. We do a lot of training and skills development in drilling and various technologies.”

Lee Robins of CleanEnergy says, “We provide complete geo-exchange installation on large commercial projects.   The company distributes GeoStar Heat Pumps, which  are available with ten year parts and  labour allowance factory warranties, and a life expectancy of 25 to 30 years,

“Geothermal takes heat out of the ground in winter and releases it into the (building)., During summer it takes the heat from the building and releases to the ground. The dual purpose makes it more efficient - then there’s the type of loop weather it be it an open system, drilled, buried loops, or lake or ocean loops. We have in-house engineers that can provide complete design, energy analysis and life cycle analysis.  They work extensively in commercial projects, estimating proper heat and cooling loads estimating proper heat and cooling loads that contribute to an efficient environmentally friendly system.

Robins says, “The heat gathering loops are designed to serve the equipment, and loops are designed according to geography, as well as financial feasibility. Around the country recreation facilities are using geothermal  adaptations to rinks and halls or swimming pools to exchange heat, moving heat energy from one place for use in another. District loops are very good options wider community-use. I’ve been in geothermal since 1988 and I used to be surprised how long it was taking to get it started. Now the cost of everything related to energy is growing, and the green initiatives are part of the new equations.. Big innovations in efficiencies and quality of materials have made the geothermal investment better than ever.”

Crystal Thibeault is an executive on the board of MGEA and owns International Pipe Manufacture in Selkirk, Manitoba, which markets specialized pipe across Canada to both coasts, from Truro to Bella Coola, and places between like Berens River, Manitoba. Water pipe, electrical pipe, and geothermal pipe. “We put your pipe in the ground and manufacture up six inch pipe, and geothermal uses a technically proficient plastic pipe called high density polyethylene (HDPE)

Housing a not-forgotten issue in Manitoba

Darcy Wood is engaged in policy-making of housing at Assembly of Manitoba Chiefs, “We develop housing and infrastructure policies related to First Nation housing and infrastructure. Our programs and policies relate to the ability to meet the needs in communities, and policies arise from the demographics. Our strategy is based on scenarios that include 18 people to a house in communities like Pukatawagon, where people take shifts sleeping.”

Urgency is an understatement with population growing at 2.5 percent per month. “We identified the number of houses on reserve as of May 2011. We found Manitoba has average housing density at 2.5 per household, whereas First Nations averaged 5.7 per household, almost triple the density.” Wood says, “We need 30,000 houses. We also identified the number of adequate houses, and the number of houses with repairs required.”

Wood said, “Major renovations are required and we identified a cost of about $40,000 per unit in repairs, in addition to minor repairs. We have 1,300 condemned units still occupied. The housing backlog has been identified.” Housing costs present AMC with daunting figures, “It costs $150,000 per house to build, and there will be additional costs of $25,000, depending on location,” says Wood. 

“We identified $2.7 billion required for First Nation housing in Manitoba alone.” Wood says, “No government’s gonna do that,” candidly. Indeed, says Wood, “We receive an average of about $22 million per year for housing (or $30 million in a good year), and 80 percent goes to building supplies.”

In a bid to maximize the impact of the money, Nelson House Cree Nation formed Meetah Building Supplies about ten years ago within Nelson House Development Corporation, David Kobliski, general manager. “We are very humble operation, Kobliski says. “Gert Wilzer runs a bulk building purchase program for supplies, and Bands can save 30 percent in the purchase price of building materials and supplies. We opened a Meetah franchise in Onion Lake, Saskatchewan, two years ago.”

Kobliski says, “We structured ourselves to purchase directly though a buying group. Bands buy at reduced cost and Meetah supplies training to on-reserve labour, building the social capital of the First Nations by creating skilled labour. Previous suppliers would come in, drop off materials, and leave, so this is an improved use of the funding .”

Thus, “We purchase direct and pay less and have money to operate the lumber yard, employ community members. We have big populations to serve, and we manufacture doors and cabinets in Nelson House,” more employed skill labour, creating social capital that is needed in capacity building.

Twelve people are employed in manufacturing at Meetah. “We are currently discussion with other First Nations to offer the same opportunities as we have, and the primary benefit is the transfer of knowledge and creation of skills, making employment opportunities in building houses. We have Red Seal apprenticeship carpenter training at the Nelson House facility graduating a few apprentices every year.

“NCN Builders at Nelson House is a Band-owned company that constructs houses. We offer two packages, one is a house with materials , the other is a supplied and constructed house, so one package is supplying the building materials and one is supplying labour with the materials.” They build on reserve housing, an average of 15 units per year. 

“Project development is portable and the other thing we do is build houses for the real estate market in Thompson, Manitoba, design, build, and sell them. The company is doing commercial building, as examples, a restaurant and personal care home in Nelson House.”

The Nelson House company employs 15 full time employees. Onion Lake’s Meetah Building Supplies run their own operations ranging all over Saskatchewan from Onion Lake. “We have non-competition agreements,” said Kobliski, “and strategies in the sales are based on that arrangement.”