University of Alabama Utility System Assessment and Cost of Service Study

The University of Alabama (UA) selected Guernsey to complete a utility system assessment and a cost of service study for its Tuscaloosa campus. The goal of the utility system assessment was to evaluate the electric, natural gas, and thermal systems on technical and economic merits. Guernsey developed system assessments by completing site visits to visually inspect elements of the systems and working with UA staff to determine asset information such as age and material type. The team used the technical assessments of the systems to create an economic analysis of each system's 50-year Life Cycle Cost Analysis, considering renewal and replacement, operations and maintenance costs, and other capital considerations. The cost of service study determined the annual expenditure for each utility system, which we used to recommend utility rates the University could charge internal customers for the cost of providing utility service.