Price tag rises to $11M to install boilers in municipal buildings being cut off from London District Energy

It’s going to cost a lot more than initially estimated to install heating systems in four municipal buildings that will lose access to a medium-pressure steam pipe being decommissioned on Oct. 31 by Enwave, the owner of London District Energy.

The steam pipe provides heat and humidity to a swath of buildings in downtown London, primarily along stretches of Wellington Street and Queens Avenue.

Last September, city staff estimated that installing boilers inside City Hall, Centennial Hall, Museum London, and the Central Library would cost about $8.5 million.

However, an update to the Infrastructure and Corporate Services Committee (ICSC) pegs to actual cost at $11 million plus a $500,000 contingency.

• Museum London $2,455,534
• Central Library $3,272,059
• City Hall $2,855,333
• Centennial Hall $2,383,810

According to a staff report, the higher cost is based on, “the completeness of engineering information as the project is refined; the challenges of retrofitting existing buildings; the need to create new mechanical spaces; equipment requirements; labour availability and market conditions.”

Funding will come from several reserve accounts.

The committee was told that Enwave has not provided a financial contribution to the work, and that its deadline for decommissioning the steam pipe is firm.

“At this point, I have not had any confirmation of any kind of any contributions from Enwave, certainly for the city projects,” said Lynda Stewart, director of Fleet and Facilities. “Nor have I been made aware of any contributions to other community organizations.”

The buildings will require varying amounts of reconfiguration to create mechanical rooms large enough to accommodate the new heating equipment.

“City Hall and Centennial Hall will be treated as one project due to proximity and the need to coordinate site supervision, access and trades,” the staff report reads.

It adds, “During the detailed analysis, it was discovered that the humidifiers in the library’s roof top air handling units had not been operating for several years. The proposed solution includes, as an option, the recommissioning of the humidification system to help preserve the collections and maintain occupant comfort.”

Stewart said the London Public Library Board will consider making a financial contribution towards the work at its next meeting, “They recognize the value, particularly of having the humidification system reactivated.”

Members of ICSC accepted the report, but work can not begin until the project is considered at the City Council meeting on March 31.