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Selectmen authorize $36,000 in annual maintenance contracts for four CHP units
Summary
The board approved four annual maintenance contracts with OHA Power LLC at $9,000 per unit to service combined-heat-and-power units at town facilities; Aegis (former installer) committed to pay initial repair service to return units to operation.
The Board of Selectmen unanimously authorized the Department of Public Works to enter into four annual maintenance contracts and purchase orders with OHA Power LLC for the town’s combined-heat-and-power (CHP) units, at $9,000 per unit for a total authorization of $36,000.
The CHP units are installed at the highway department, wastewater treatment facility, town hall and the Lapham Community Center. The DPW presentation said annual service is priced at $9,000 per unit and the contract rate will be adjusted to the units’ actual run-time; the department estimated anticipated yearly run time at 7,500 hours, which equates in their calculation to about $0.28 per hour per unit.
Joe, a Department of Public Works staff member, said the original equipment installer (Aegis/Daikin Aegis) has dissolved its maintenance department and will not continue servicing the units. The town sought a replacement contractor; OHA Power was recommended by the installer and has been proposed as the new maintenance provider.
“That company agreed to get them running again; any service calls required to get the units up and running will be paid for by Aegis,” Joe said, describing a separate repair-step arrangement the department expects from the former maintenance unit’s owner. He said not all units are currently running and that prior downtime has reduced realized savings: "Probably less than 50% of the time" was the department’s estimate for run-time at some facilities.
Officials said the units, when operating steadily, reduce energy costs and provide heat exchange value in addition to electricity generation. The DPW noted the units generate about 32 kilowatts and, when running as generators, produce power at a lower cost than buying from the grid, though the calculation of heat-value savings is more complex.
The board approved the change of vendor and the maintenance contracts; the town attorney added a cancellation clause to the contract and the department said funds are available in the CHP budget lines.
