Manure-to-Cash Plan Shows How to Harness Liabilities

The city of Norco, California, is considering a plant that would convert manure to energy, generating millions in revenue. The plan is a great example of how municipal leaders are harnessing liabilities to create opportunities.

What Happened

The city of Norco, California, is considering a new energy plant that would incinerate organic waste and manure; the resulting steam would turn electricity-generating turbines. A recent study by Chevron Energy Solutions showed that a manure-to-energy plant could generate $7 million per year in annual power revenues.

Who Cares?

The Norco energy plan is an excellent example of how municipalities are taking existing liabilities and turning them into assets. Municipal leaders would be wise to review the matter, and consider similar dynamics that can be leveraged in their communities.

Why Manure?

Norco, a city of 27,000 in Southern California, is well known as a horse community. Calling itself “Horsetown, USA,” Norco eschews sidewalks for horse paths, and even offers hitching posts at some restaurants. With nearly 17,000 horses in the city, the town produces up to 65,000 pounds of manure every day, according to reports.

The Plan, Economics

That manure is a major headache, and it’s expensive. Currently, the manure is trucked to nearby Chino—a process that is expensive and taxes the local infrastructure. The city pays about $17.25 per ton to ship the manure; Chino uses the manure as fertilizer.

Instead of shipping the manure to chino, it would be burned to produce steam, which would turn electricity-generating turbines. According to media reports, the manure-to-energy plant would be located on the property of Norco’s wastewater plant. According to reports, a study by Chevron claimed the new plant would cost approximately $35 million, so payback could be expected in five years.

Other Cities

Of course, Norco is not the first community to consider a manure-to-energy program. Such “anaerobic digesters” are used all over the country, including Pennsylvania, Minnesota, and Wisconsin. In most cases, cow manure is stored in a massive vat where it is deprived of oxygen; it is then heated, and bacteria decomposes the manure into gas.

Research

A clear, graphical and brief overview of the manure-to-energy process was published by Texas A&M’s extension school, and the Texas conservation office has a decent overview of manure for fuel as well.

A more detailed 24-page overview of manure management challenges in Chesapeake Bay offers case studies and options, and the Journal of Dairy Science published a complete study on whether manure-to-electricity pays off; the answer is that “it depends” on issues such as the price of electricity, government assistance, any premium paid for the converted energy, and other factors.

Gov1 has written extensively on various sources-to-energy efforts including biomass and biosolids, and will continue to track this issue. If you have insights or experiences with this matter, please contact us at any time.