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How Can Alternative Jet Fuels Be Integrated into the Airport Setting? 27 · End users · Government entities Municipalities States Federal government · Funding sources Public Private It is also important to note that alternative fuel projects may not be uniformly supported by all community groups. As discussed in Section 4.1, there are relevant concerns with respect to how alternative jet fuels are produced, in particular if they involve feedstocks that may compete with food or water supplies. Airports must be prepared to address these concerns to ensure opposition does not threaten a good, environmentally beneficial project. Thus, it is recom- mended that airports proactively engage in (1) communication--provide information about the project and opportunities for the public to meet with airport officials and voice concerns, and (2) preparation--acquire thorough knowledge of the project and its potential impacts and have valid answers for concerns that may be raised. What do the stakeholders require to participate in an alternative jet fuel project? Alternative jet fuel projects are more likely to be successful when stakeholders actively sup- port them. Stakeholders have different needs and reasons for participating in an alternative jet fuel project. Following are some typical high-level needs by type of stakeholder. · Feedstock suppliers: higher financial returns than from supplying traditional feedstock to tra- ditional customers; mechanisms to protect financial returns (e.g., crop insurance). · Fuel producers: public-/private-sector financing; long-term supply and offtake contracts that match the terms of the financing arrangements; returns according to the risk of the project. · Airports: no or minimal changes required to existing fueling infrastructure and processes; 100% confidence that alternative fuels are indeed drop-in. · End users: alternative jet fuel cost that is competitive in terms of price with conventional jet fuel; 100% confidence that alternative fuels are indeed drop-in. · Government entities (municipalities, states, federal government): quantifiable and non- quantifiable economic and political benefits. · Funding sources (private sector): expected rates of return according to the risk of the project. · Funding sources (public sector): consistency with the political agenda of the entity; consis- tency with legislative mandates; best use of limited available funds. How can the interests and needs of stakeholders be identified? The interests and needs of stakeholders can be identified and documented using "Worksheet 1: Stakeholder Analysis," in Section 5.2.1. This worksheet provides a detailed template that can be useful to understand the needs of each stakeholder, determine whether or not the project meets those needs, and identify exactly what specific actions must be taken to ensure that the stakeholder actively and energetically supports the project. 3.4 Initial Screening of Options This step helps the airport make an initial selection of options for producing alternative jet fuels. Given the large number of possible feedstock and technology combinations, it is helpful to isolate a handful of options to consider. The location of the processing facility and the investment's time
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28 Guidelines for Integrating Alternative Jet Fuel into the Airport Setting horizon provide the best means of focusing the analysis. The options selected through this initial screening can then undergo a more detailed evaluation. Before starting the initial screening step, it is important for the reader to keep in mind the following two considerations: 1. Location of the processing plant with respect to the airport: Local political and land con- siderations are likely to have a significant impact on the proximity of the processing plant to the airport. For ease of analysis, the proximity options are characterized as follows: a. On-airport: The processing plant is located within the airport boundary or on airport-owned land. b. Near-airport: The facility is outside the airport's boundary and jurisdiction but close enough that dedicated transport of the fuel from the processing plant to the airport is economically viable. c. Off-airport: The plant is sufficiently distant from the airport that fuel must be transported to the airport using the existing transportation infrastructure, such as rail or pipeline, for the project to be economically viable. The process in this handbook is designed to help airports evaluate the options once the prox- imity decision is made. Thus, the first decision that airports need to make is to identify where the processing plant is likely to be located. This decision should be based on where sufficient land would be available for the type of facility being considered (see Section 2.3), access to feedstocks, and access to end users. It is likely that the location decision will have to be revised as more infor- mation becomes available. If it is not possible to select the location, it is possible to carry out the analysis considering different locations, but the analysis becomes more complex. 2. Time horizon considerations: Alternative jet fuel projects have long time horizons. Airports should plan on 4 to 5 years to obtain the permits and design, finance, and build the produc- tion facility--once the technology and site have been chosen. The production facility should have an economic life of 10 to 20 years. New alternative jet production technologies are likely to be available every 2 to 3 years; therefore, it is necessary to analyze all existing and potential candidate technologies before committing to one. Help from outside experts is recommended. The initial screening of options to produce alternative jet fuel is based on two criteria: a feedstock screen and a technology screen, as shown in Figure 4. Initial screening of options 1. Feedstock screen 2. Technology screen - Availability of feedstock - Availability of technology - Proximity to processing plant - Compatibility with feedstock - High-level siting evaluation Possible option 1 Possible option 2 Possible option 3 Possible option 4 Figure 4. Initial screening of options.