[Federal Register Volume 59, Number 24 (Friday, February 4, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-2597]
[[Page Unknown]]
[Federal Register: February 4, 1994]
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DEPARTMENT OF ENERGY
Research, Development and Demonstration of New and Advanced
Natural Gas Utilization Technologies--Very Low Emission Industrial
Combustion Equipment; Financial Assistance, DE-PS07-94ID13285
AGENCY: Department of Energy, Idaho Operations Office.
ACTION: Solicitation for Financial Assistance.
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SUMMARY: Notice is hereby given pursuant to Public Law 93-577, and
Federal Non-nuclear Energy Research and Development Act of 1974, the
U.S. Department of Energy (DOE) Idaho Operations Office (ID), is
seeking cost-shared applications to expedite private sector deployment
of cost effective new and advanced natural gas combustion systems which
improve efficiency and reduce combustion emissions significantly
without post-combustion controls. To encourage commercialization of the
developed technology, applications are expected to include direct
participation by an industrial partner (equipment manufacturers, the
end user industry sector or the natural gas industry). A minimum 20%
non-DOE cost-share for research and development phases and a minimum
50% non-DOE cost-share for the demonstration phase is required. The
applicant or one of the industrial partners is expected to be an
organization that will market the equipment developed and demonstrated
as a result of this solicitation. This is a complete solicitation
document.
DATES: The effective date of this solicitation is February 4, 1994. The
deadline for receipt of applications is 4 p.m. MDT, May 5, 1994.
ADDRESSES: Applications shall be submitted to: NUMBER DE-PS07-94ID13285
J.O. Lee, Contracting Officer; Procurement Services Division; U.S.
Department of Energy; 785 DOE Place, MS 1221, Idaho Falls, ID 83401-
1562.
FOR FURTHER INFORMATION CONTACT: Dallas L. Hoffer, Contract Specialist,
(208) 526-0014.
Background
U.S. Industry burns eighteen percent of all fuels combusted in the
U.S. for all purposes. Wide spread adoption of combustion equipment
incorporating even a small improvement in efficiency can, on a nation-
wide basis, result in significant energy savings which translate into
significant cost savings.
Projects sponsored by the DOE Industrial Combustion Equipment
Program are based on the needs and concerns of industry. The program
advances technology to the point of commercialization. Historically,
activities have focused on the development of energy efficient,
environmentally benign combustion equipment for use in one or more high
energy consuming manufacturing industries.
The on-going implementation of clean air regulations is making
environmental considerations a major factor in the adoption of the
equipment developed by this DOE Program. Low emissions are expected to
be the major incentive for adoption of these energy saving technologies
by industry.
Title I of the 1990 Clean Air Act Amendments (CAAA), requires some
ozone non-attainment areas to meet 9 ppm or lower NOx standards for new
industrial combustion equipment. This emission target can now be met
only by using Selective Catalytic Reduction (SCR) systems which have
high capital and operating costs and which may have a substantial
energy penalty, resulting in low overall energy efficiency. The need to
use SCR systems on new industrial units has been a serious impediment
to the replacement of existing equipment which is generally
``grandfathered'' and may require no emission controls or minimal
controls such as low NOx burners for continued operation. As a
consequence, industry has kept old, inefficient equipment operating,
often far beyond the anticipated or design life of that equipment.
The opportunity now exists for the U.S. to introduce very low
emission combustion equipment for use by industry. Emissions would be
in the range now realized with post-combustion equipment controls, but
these costly, inefficient downstream systems would not be needed.
Mandated emissions targets would be met by using equipment based on
advanced natural gas combustion techniques and would be realized by
replacing or retrofitting existing furnaces, heaters, and boilers with
these advanced systems. Energy efficiency, a traditional DOE goal,
would be at least equal to today's best industrial combustion
equipment. Overall, substantial energy would be saved since the energy
required to operate post-combustion control systems and produce and
transport their chemical reagents would not be needed.
Increased energy efficiency decreases the emission of greenhouse
gasses as an additional benefit. In addition, combustion of natural gas
releases less carbon dioxide per unit energy than from other fossil
fuels.
This work responds to the Energy Policy Act (EPAct) of 1992 (Public
Law 102-486), Title XXII (Energy and Economic Growth), enabled October
24, 1992. Section 2014 directs the development of efficient, low
emission combustion equipment that uses natural gas.
Projects funded by the DOE Industrial Combustion Equipment Program
are generally phased, but it is not required that they be phased. Phase
I typically involves an expansion of market and economic estimates
based on those presented in the proposal, the identification and
finalization of host site arrangements, additional laboratory (bench
scale) or theoretical evaluation of the system proposed, and
development of a business plan. Phase II typically encompasses
development, fabrication, testing, and evaluation of a pilot scale
unit. Additional economic evaluations are generally conducted to assess
commercial scale systems. Phase III typically encompasses the
installation and testing of a demonstration (proof-of-concept) scale
unit at an industrial host facility. Tasks in more than one phase may
be addressed simultaneously. For the purpose of cost share
determination, Phase I and Phase II tasks are considered to be research
and development while Phase III tasks are demonstration. The
demonstration is designed to provide industry with credible data to
accelerate the adoption of new technology combustion equipment. A
commercial product that improves the efficiency, reduces emissions, and
enhances the competitiveness of U.S. industry is expected to result
from each project.
Project Description
This solicitation is to promote new and advanced natural gas
utilization technologies for the research, development and
demonstration of cost effective, very low emission industrial natural
gas combustion equipment in intermediate temperature applications which
will improve efficiency and reduce emissions without the need for post-
combustion controls. This approach to emissions control reflects the
view that it is substantially more economical to prevent pollution than
to eliminate it after it has been produced. This proposed technology
may be a retrofit to existing systems or may require totally new
systems. A commercial end product is the main objective of each project
funded by this solicitation. Awardees will be required to prepare a
business plan that illustrates how the equipment end product will be
commercialized.
The proposed technology must meet the current EPA Lowest Achievable
Emission Rate (LAER) NOx standards without add-on emission controls
such as Selective Catalytic Reduction (SCR). The NOx target value for
intermediate temperature range industrial combustion equipment for the
purposes of this solicitation will be 9 ppm or less at 3% excess
oxygen. Not only are NOx emissions to be low, the emissions of other
undesirable products of combustion are to be within EPA specifications
or low (if no source specifications have been promulgated) as well.
Included are carbon monoxide (CO), hydrocarbons, and air toxics. For
the purpose of this solicitation the CO target value will be 50 ppm or
less. Regulations for air toxics and hydrocarbons have not yet been
developed for the types of industrial boilers, furnaces, etc, which are
the subject of this solicitation. Additional information for air toxics
and hydrocarbons is contained in Title I and Title III of the 1990
CAAA.
The focus of the project(s) to result from this solicitation is on
natural gas combustion equipment with low emissions production from
intermediate temperature industrial combustion applications. For the
purposes of this solicitation, the intermediate temperature range
includes process steam applications (all temperatures), direct heat,
and process fluid heating applications between 800 deg.F to 2000 deg.F.
Examples of direct heating applications (but not limited by this list)
include heat transfer from combustion gasses to a heat sink such as
used in metals processing, calcining, smelting, annealing, forging, and
melting. Examples of process fluid heating applications include
petroleum refining, distillation, and oil loop heating. Internal
combustion engines, gas turbines and waste incinerator applications are
excluded from this solicitation. It would be advantageous if the
equipment developed were applicable to more than one industry.
All projects that are within the above project description are
eligible for consideration under this solicitation.
Examples of possible projects include, but are not limited to: (1)
Optimization of porous radiant burner heat transfer; (2) catalytic
combustion burner for furnaces and boilers; (3) inert porous media
furnace/boiler, and; (4) precombustion chamber burner for heavy oils
which facilitate interruptible natural gas usage. Additional
information will be provided for these four technologies in a paper
included in the pre-applicant package entitled, ``Very Low Emission
Industrial Combustion Equipment, Research and Development''. It is
stressed, these are example projects only.
It is intended that during the demonstration phase, emissions are
to be measured using a certified methodology by an independent
commercial emissions measurement company. If ``before and after''
measurements are warranted, the above is to be used for both to assure
the quality of the results obtained.
Award of Cooperative Agreements is anticipated. All projects shall
be cost shared by DOE and the participant. Applicants should be aware
that any awardee shall be required to have a cost share of not less
than 20% of the total cost of the program for the research and
development phases and 50% of the total cost of the program for the
demonstration phase.
Because of the interest of the natural gas industry in this
solicitation, it is expected that segments of that industry may make
some cost share funds available to applicants for projects they
consider to be beneficial to their segment of the industry. The natural
gas industry has typically supported the research, development and
demonstration phases of projects. The Industrial Gas Technology
Commercialization Center (IGTCC), 1515 Wilson Blvd, Arlington, VA
22209, has agreed to serve as a clearinghouse for channelling gas
industry funding into projects. Applicants wishing to be considered for
natural gas industry support should contact David L. Sgrignoli,
Executive Director (telephone number 703-841-8561) at IGTCC before
submitting proposals. It is suggested that bidders contact IGTCC as
early in the proposal preparation process as is practical. While the
cost share requirements of EPAct must be met, natural gas industry
funding is NOT required to obtain DOE support. Likewise, natural gas
industry funding will NOT provide assurance of DOE support.
No fee or profit will be paid to the award recipients. DOE
anticipates that approximately $873,000 will be available for support
of activities during FY-94. It is anticipated that there will be one or
more awards. Available funds for future years is anticipated to be at
the same or an increased level.
Individual project duration will not exceed 5 years. Project(s)
with durations of less than 5 years and in any phase (I, II or III) of
development are eligible, if conclusive evidence is presented that
previous phase(s) have been completed successfully. All applications
with project periods of 5 years or less will be given equal
consideration. Initial awards will be for one year, with subsequent
year extensions, contingent on available DOE funding.
Applications shall contain a well defined research concept and
plan; confirmed industrial partner participation and support; and
indicate satisfactory expertise, experience, capabilities, resources,
and management of R&D team personnel; and adequate facilities to
perform the research including a potential host facility for
demonstration purposes.
Selection is expected to be made in June 1994 and the earliest
award is expected to be made in November 1994.
Negotiation, award, and administration will be in accordance with
DOE Financial Assistance Regulations (10 CFR part 600). The Catalog of
Federal Domestic Assistance (CFDA) number for this program is 81.078.
Profit making entities, individuals, educational or nonprofit
institutions, federal laboratories, and other entities, are eligible to
submit applications in response to this solicitation. OMB A-95
clearance is not required. Applications anticipating participation of a
federal laboratory through subcontract, use agreement, or other
arrangement must include satisfactory evidence of specific
authorization from the cognizant federal agency.
Notice of Possible Availability of Loans for Bid Proposal
Preparation by Minority Business Enterprises seeking DOE Contracts and
Assistance (Section 211(e)(1) of the DOE Act Public Law 95-619 as
amended by Public Law 95-619) authorizes the DOE to provide financial
assistance to minority business enterprises to assist them in their
efforts to participate in DOE acquisition and assistance programs.
Financial assistance is in the form of direct loans to enable the
preparation of bids or proposals for DOE contracts and assistance
awards, subcontracts with DOE operating contractors, and contracts with
subcontracts of DOE operating contractors. The loans are limited to 75%
of the costs involved. Availability of these loans is subject to annual
appropriation of funds (and to the remaining availability of funds from
such appropriations under CFDA number 81.063). DOE does not warrant
that such assistance can be made available in sufficient time to
prepare an application for this solicitation. DOE does point out that
the program includes provisions for a preliminary review in advance of
a specific loan request. Information regarding loan availability,
eligibility criteria, and how to apply may be obtained from: San
Francisco Field Office, USDOE, 1333 Broadway, Oakland, California
94612, Attention: Minority Loan Program Office. Telephone (415) 273-
6403.
Evaluation of Applications
a. Application Deadline: The deadline for receipt of applications
is 4 p.m. MDT, May 5, 1994. Only applications which are timely in
accordance with 10 CFR 600.13 will be evaluated. Late applications will
not be considered and will be handled in accordance with 10 CFR 600.13.
Prospective applicants intending to submit an application in
response to this solicitation should request a pre-application package,
which includes standard forms, assurances and certifications, by
notifying the DOE Contract Specialist in writing or by telephone. It is
advised that prospective applicants submit their requests in writing no
later than February 21, 1994. Questions regarding this solicitation
should also be submitted in writing to the DOE Contract Specialist no
later than March 8, 1994. Questions and answers will be issued in
writing as an amendment to this solicitation.
b. Selection of Proposals: Applications not responsive to the
objective of this solicitation will not be considered. All timely
applications that include a minimum 20% non-DOE cost-share for research
and development phases and a minimum 50% non-DOE cost-share for the
demonstration phase and meet the other requirements of this
solicitation will be considered.
c. All applications will be evaluated and point-scored in
accordance with the following criteria. The applications should be
fully responsive to each of the criteria.
Weighting of Criteria: The Evaluation Criteria are weighted in the
following manner: The criteria will be based on a maximum of 100
points. Criterion 1 has a maximum point value of 45. Criterion 2 has a
maximum point value of 45. Criterion 3 has a maximum point value of 10.
Criterion 1: Research Concept and Plan--Factors to be considered
are the clarity, completeness, responsiveness, and adequacy of the
statement of work; the merit and depth of discussion of the proposed
project (review of supporting data obtained in laboratory and/or pilot
scale work completed to date) to determine if the proposed work is new
and advanced, is based on sound scientific/engineering principles,
improves efficiency and reduces natural gas combustion equipment
emissions significantly without post-combustion controls, and the
general applicability, timeliness and potential economic viability of
the proposed technology; the planned levels of data acquisition,
sampling and analyses; the schedule (sequence of project tasks,
principal milestones, decision points, and adequacy of time for each
task); and the planned assignment of responsibilities and level of
manpower to complete the research.
Criterion 2: Applicant/Team Capabilities--Factors to be considered
for the applicant and industrial partner team personnel are experience
in research, development and demonstration of the project proposed;
knowledge of past advanced developments in the work proposed; resources
to perform the research, development and demonstration of the work
proposed; ability to assemble a team of multi-disciplined individuals;
qualifications of key individuals and the percentage of time devoted to
the project; individual responsibilities, task assignments, and
resource and manpower availability; draft business plan outline;
project management methods; and, the applicant's or an industrial
partner's capability to market the equipment developed and demonstrated
as a result of this solicitation.
Criterion 3: Facilities--Factors to be considered are the
availability of laboratory and potential host facilities for performing
research, development and demonstration work proposed; apparatus for
performance of the tests, instrumentation, and data acquisition and
control systems; and the availability of analytical support.
d. The proposed cost of the project will not be point scored.
Applicants are advised, however, that notwithstanding the lower
relative importance of the cost considerations, the evaluated cost may
be the basis for selection. In making the selection decision, the
apparent advantages of individual technical and business applications
will be weighed against the probable cost to the government to
determine whether the application approaches (excluding cost
considerations) are worth the probable cost differences.
e. Selection: Applications will be evaluated under the Office of
Energy Conservation and Renewable Energy Merit Review of Discretionary
Financial Assistance Applications Review Procedures for Solicited
Proposals. The Source Selection Official (SO) will make the selection
for negotiation and award in accordance with the above evaluation
criteria and in a manner that furthers the DOE programmatic goals.
Conditions, Instructions and Notices to Applicants
1. General Conditions
In conducting the application evaluations, the government may
obtain assistance and advice from non-governmental personnel.
Applicants are therefore requested to state on the application cover
sheet if they do not consent to an evaluation by such non-government
personnel. The applicants are further advised that DOE may be unable to
give full consideration to an application submitted without such
consent. Information contained in the applications shall be treated in
accordance with the policies and procedures set forth in 10 CFR 600.18.
DOE reserves the right to fund, in whole or in part, any, all, or
none of the applications submitted in response to this solicitation.
DOE may require applications to be clarified or supplemented to the
extent considered necessary, either through additional written
submissions or oral presentations; however, the award may be made
solely on the information contained in the application. DOE is under no
obligation to pay for any costs associated with preparation or
submission of applications if an award is not made.
All applicants will be notified in writing of the action taken on
their applications in approximately 90 days after the closing date for
this solicitation, provided no follow-up clarifications are needed.
Status of any application during the evaluation and selection process
will not be discussed with the applicants. Unsuccessful applications
will not be returned.
2. Instructions for Preparation of Applications
Each application in response to this solicitation should be
prepared in one volume. One original and seven copies of each
application are required. The application facesheet is the Standard
Form 424. The application is to be prepared for the complete project
including a detailed statement of objectives and cost estimate by task
for the entire project. The statement of objectives and cost estimate
by task should be presented in yearly increments. Applications shall be
as short as possible consistent with completeness, clearly and
concisely written, and neatly and logically assembled; applications
shall exclude material not essential to evaluation of the proposal. The
importance of supplying full and completely responsive information for
each of the evaluation criteria cannot be overemphasized.
If the offer is submitted under a joint venture arrangement, this
fact must be clearly set forth. The cost principles that shall apply
will depend on the type of awardee; FAR 31.2 and DEAR 931.2 shall apply
to commercial organizations; OMB Circular A-21 shall apply to
institutions of higher education; OMB Circular A-87 shall apply to
state and local governments; and OMB Circular A-722 shall apply to
nonprofit organizations. The awardee must have an accounting system
capable of accumulating costs by project. All applicants are required
to provide in the application the nine digit Taxpayer Identification
Number (TIN) assigned by the U.S. Internal Revenue Service.
a. Proprietary Proposal Information: Applications submitted in
response to this solicitation may contain trade secrets and/or
privileged or confidential commercial or financial information which
the applicant does not want used or disclosed for any purpose other
than evaluation of the application. The use and disclosure of such data
may be restricted provided the applicant marks the cover sheet of the
application with the following legend, specifying the pages of the
application which are to be restricted in accordance with the
conditions of the legend:
The data contained in pages ______ of this application have been
submitted in confidence and contain trade secrets or proprietary
information, and such data shall be used or disclosed only for
evaluation purposes, provided that if this applicant receives an
award as a result of or in connection with the submission of this
application, DOE shall have the right to use or disclose the data
herein to the extent provided in the award. This restriction does
not limit the government's right to use or disclose data obtained
without restriction from any source, including the applicant.
Further, to protect such data, each page containing such data shall
be specifically identified and marked, including each line or paragraph
containing the data to be protected with a legend similar to the
following:
Use or disclosure of the data set forth above is subject to the
restriction on the cover page of this application.
It should be noted, however, that data bearing the aforementioned
legend may be subject to release under the provisions of the Freedom of
Information Action (FOIA), if DOE or a court determines that the
material so marked is not exempt under the FOIA. The Government assumes
no liability for disclosure or use of unmarked data and may use or
disclose such data for any purpose.
Applicants are hereby notified that DOE intends to make all
applications submitted available to non-Government personnel for the
sole purpose of assisting the DOE in its evaluation of the
applications. These individuals will be required to protect the
confidentiality of any specifically identified information obtained as
a result of their participation in the evaluation.
b. Budget: A budget period is an interval of time (12 months) into
which the project period is divided for funding and reporting purposes.
Project period means the total approved period of time that DOE will
provide support contingent upon satisfactory progress and availability
of funds. The project period may be divided into several budget
periods. Each application must contain a Standard Form 424A, Budget
Information Form.
Items of needed equipment should be individually listed by
description and estimated cost, inclusive of tax, and adequately
justified. The type and extent of budgeted travel and its relation to
the research should be specified. Anticipated consultant services
should be justified and information furnished on each individual's
expertise, primary organizational affiliation, daily compensation rate
and number of days of expected service. Consultant's travel costs
should be listed separately under travel in the budget.
3. Notices to Applicants.
a. False Statements: Applicants must set forth full, accurate, and
complete information as required by this solicitation. The penalty for
making false statements is prescribed in 18 U.S.C. 1001.
b. Application Clarification: DOE reserves the right to require
applications to be clarified or supplemented to the extent considered
necessary either through additional written submissions or oral
presentations.
c. Amendments: All amendments to this solicitation will be mailed
to recipients who submit a written request for the application forms.
d. Applicant's Past Performance: DOE reserves the right to solicit
from available sources relevant information concerning an applicant's
past performance and may consider such information in its evaluation.
e. Commitment of Public Funds: The Contracting Officer is the only
individual who can legally commit the Government to the expenditure of
public funds in connection with the proposed award. Any other
commitment, either explicit or implied, is invalid.
f. Effective Period of Application: All applications should remain
in effect for at least 180 days from the closing date.
g. Availability of Funds: The actual amount of funds to be
obligated in each fiscal year will be subject to availability of funds
appropriated by Congress.
h. Assurances and Certifications: DOE requires the submission of
preaward assurances of compliance and certifications which are mandated
by law. The assurance and certification forms will be provided in the
application package.
i. Preaward Costs: The government is not liable for any costs
incurred in preparation of an application. Awardees may incur preaward
costs up to ninety (90) days prior to the effective date of award.
Should the awardee take such action, it is done so at the awardee's
risk and does not impose any obligation on the DOE to issue an award.
j. Patents, Data, and Copyrights: Applicants are advised that
patents, data, and copyrights will be treated in accordance with 10 CFR
600.33.
k. Environmental Impact: An applicant environmental checklist will
be provided in the application package. Award will not be made until
all environmental requirements are completed.
l. To facilitate handling, please place the solicitation number DE-
PS07-94ID13285 on the outside of the application/proposal package.
Procurement Request Number: 07-94ID13285.000
Dated: January 26, 1994.
David W. Newnam,
Director, Procurement Services Division.
[FR Doc. 94-2597 Filed 2-3-94; 8:45 am]
BILLING CODE 6450-01-P
