2022-018 Denton Energy Center September 2021 YTD DashboardDate: March 25, 2022 Report No. 2022-018
INFORMAL STAFF REPORT
TO MAYOR AND CITY COUNCIL
SUBJECT:
FY 2020-21 Denton Energy Center (DEC) YTD September 2021 Dashboard
BACKGROUND:
Attached is the September FY 2020-21 Dashboard for the Denton Energy Center. The dashboard
is intended to give a snapshot of relevant DEC metrics. The dashboards highlight the following:
• The Emission Charts (based on calendar year) display the September engine runtime
hours, starts, stops, monthly and annual emissions totals and limits.
• DEC MWh Generation and Gross Revenue for FY 2020-21 through September 2021.
o The DEC ran 90,329 MWh more through August of FY 2020-21 compared to FY
2019-20. This resulted in approximately $126.1 million more in DEC Revenue.
• A DEC financial summary showing September FY 2019-20 Actuals, FY 2020-21 Budget
and Actuals as of September 2021.
• The Plant Monthly Run Hour Comparison Graph illustrates the monthly plant run times.
• The Key Trends section explains variances in revenues and expenses.
o Due to running more hours through September, the fuel cost was $26 million
higher.
o The net income for the DEC through September equals $87.3 million, which is a
direct result of Winter Storm Uri in February and higher run times than forecasted
during the months of October 2020, April 2021 and June 2021.
o The DEC Gross Margin through September was $109.0 million which is $96.2
million higher than budgeted also mainly due to Winter Storm Uri. (The Gross
Margin = DEC Revenue – Fuel cost –Variable Operating & Maintenance cost.)
Gross Margin represents the component of revenue available to pay fixed cost
including debt.
ATTACHMENT(S):
Denton Energy Center (DEC) Dashboard
STAFF CONTACTS:
Cassey Ogden
Chief Financial Officer
(940) 349-7195
cassandra.ogden@cityofdenton.com
Nick Vincent
Assistant Director of Finance
(940) 349-8063
nicholas.vincent@cityofdenton.com
City of Denton, Texas FY 2020-21 Denton Energy Center YTD SEPTEMBER 2021 DashboardKey TrendsIn FY 2020‐21, the DEC produced 90,329 MWh more than in FY 2019‐20. This resulted in approximately $126.1 million more in revenues and $26.8 million more in total expenses than in the prior fiscal year. These increases are a result of the Winter Storm Uri event in mid‐February 2021. The DEC Gross Margin as of September 30 was $109.0 million which is $96.2 million higher than budgeted. (Gross Margin = DEC Revenue – Fuel Cost – Variable Operating & Maintenance Cost).MonthRevenue MWh $/MWhOct‐20 $2,739,241 31,581 $86.74Nov‐20 $1,037,719 14,117 $73.51Dec‐20 $457,097 7,225 $63.27Jan‐21 $565,793 8,622 $65.62Feb‐21 $118,076,297 32,026 $3,686.89Mar‐21 $545,993 5,143 $106.17Apr‐21 $3,441,543 18,842 $182.66May‐21 $921,026 8,653 $106.44Jun‐21 $2,904,459 24,204 $120.00Jul‐21 $3,192,506 30,246 $105.55Aug‐21 $2,220,479 27,134 $81.83Sep‐21 $2,783,814 36,429 $76.42Total FY 2020‐21 $138,885,965 244,222 $568.69Generation & Gross RevenuesDescriptionEngine Runtime (hours)*Hot StartsWarm StartsCold Starts StopsDescriptionNitrogen Oxides (NOx)Carbon Monoxide (CO)Volatile Organic Compound (VOC)Particulate Matter<10 microns (PM10)Particulate Matter<2.5 microns (PM2.5)Sulphur Dioxide (SO2)Ammonia (NH3)Carbon Dioxide Equivalents (CO2e)DEC Monthly Emissions Total (tons) 1.72 1.56 1.70 1.62 1.62 0.03 0.42 17,977.00 DEC Annual Permit Limit Operations (tons)** 29.78 93.52 48.16 69.72 69.72 1.45 60.90 Monthly Plant Emissions per DEC Permit Limit 5.77% 1.67% 3.54% 2.32% 2.32% 1.90% 0.68%Annual to Date Plant Emissions per DEC Permit Limit 47.00% 14.60%24.40% 14.10% 14.10% 12.10% 3.80%* Over the past 12 months, the DEC engines ran 19% of the time. During the month of September, the DEC engines ran 32% of the time.**Operations Annual Limit accounts for Balance of Plant standard emissionsEmissionsSeptember 2021Engines (1‐12)2,735 215 252 27 494 FY 2020‐21FY 2019‐20 FY 2020‐21 YEAR END PRELIMINARYACTUALSBUDGET PROJECTION ACTUALSDEC REVENUE 12.76$ 24.55$ 137.16$ 138.89$ EXPENDITURE SUMMARYEnergy Expense ‐ Fuel 3.60$ 10.35$ 39.16$ 29.68$ Personnel Services 1.94 1.79 1.79 1.82 Materials & Supplies 0.32 1.72 1.72 0.27 Maintenance & Repair 0.21 0.56 0.56 0.38 Insurance 1.11 1.11 1.11 1.22 Operations 0.22 0.33 0.66 0.67 Debt Service ‐ Principal 7.47 7.85 7.85 7.85 Debt Service ‐ Interest 9.80 9.43 9.43 9.43 Interfund Transfers 0.07 0.24 0.24 0.24 Transfer to Capital Projects ‐ 0.02 0.02 ‐ DEC EXPENDITURES 24.74$ 33.40$ 62.54$ 51.56$ DEC NET INCOME (11.98)$ (8.85)$ 74.62$ 87.33$ Note: All dollar figures presented in millions.