CAN THE ELECTRIC GRID ACCEPT LARGE AMOUNTS OF WIND AND SOLAR POWER?

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1 CAN THE ELECTRIC GRID ACCEPT LARGE AMOUNTS OF WIND AND SOLAR POWER? DENVER METRO CRES MEETING, SEPTEMBER 18, 2014 BRIAN PARSONS, WESTERN GRID GROUP IMAGES AND DATA COURTESY OF NATIONAL RENEWABLE ENERGY LABORATORY

2 CURRENT GRID WAS NOT DESIGNED FOR WEATHER-DRIVEN RENEWABLES Wind and Solar Generators are Variable and Uncertain, Location Constrained, and are not Synchronous Generators Grid Challenges Best resources are distant from loads Transmission constrained Balancing areas sizes and practices not suited for RE Markets not optimized for RE Many assets are underutilized Limited communications and controls Research Activities Electricity systems models Transmission concepts and planning Smart grid standards testing, and validation Grid operations modeling Interconnection standards and testing Active Power Control and Disturbance Response

3 Recent U.S. wind operational penetration records Wind > Hydro (11/12) 25% (11/12) 13% (4/13) Xcel: 57% (4/12) 30% (12/12) 35% (4/13) Source: UCS

4 SPRING IS MOST CHALLENGING FOR OPERATIONS No Renewables High Mix 16.5% wind and 16.5% solar energy penetration

5 MANY CHALLENGES MAY BE SELF-IMPOSED BY HISTORIC PRACTICE The power system is made up of two critical systems Physical power system generators, transmission Institutional system, including markets, reliability rules, general operating practice Integration should consider both, and solutions formulated accordingly Physical system Market and institutional filter Power system operation, reliability, cost

6 AESO Alberta Electric System Operator AZPS Arizona Public Service Company AVA Avista Corporation BANC Balancing Authority of Northern CA BPAT Bonneville Power Admin Transmission BCHA British Columbia Hydro Authority CISO California ISO CFE Comision Federal de Electricidad DEAA Arlington Valley, LLC EPE El Paso Electric Company GRMA Gila River Power, LP GRIF Griffith Energy, LLC IPCO Idaho Power Company IID Imperial Irrigation District LDWP Los Angeles Dept. of Water and Power GWA NaturEner Power Watch, LLC NEVP Nevada Power Company HGMA New Harquahala GenCo LLC NWMT NorthWestern Company PACE PacifiCorp East PACW Pacificorp West PGE Portland General Electric PSCO Public Service of Colorado PNM Public Service of New Mexico CHPD Chelan County PUD DOPD Douglas County PUD GCPD Grant County PUD PSEI Puget Sound Energy SRP Salt River Project SCL Seattle City Light SPPC Sierra Pacific Power Company TPWR Tacoma Public Utilities TEPC Tucson Electric Power Co. TIDC Turlock Irrigation District WACM Western Colorado Missouri Region WALC Western Lower Colorado Region WAUW Western Upper Great Plains West WWA NaturEnur Wind Watch, LLC

7 ADDRESSING INTEGRATION: SOURCES OF FLEXIBILITY Improved institutional flexibility Faster energy markets Shorter intervals for transmission scheduling Balancing over a large geographic area to net out variability Advanced forecasting techniques Better utilize existing transmission capacity A more flexible generating fleet Modify existing plants to improve loadfollowing capability (ramp rate, lower minimum load and faster startup) New flexible generating plants Demand response Some loads can respond rapidly (up and down) with automation Acting as reserve resource Adequate transmission Energy storage e.g., pumped hydro, batteries, compressed air, PHEVs Source: NREL

8 WGA REPORT: PATHWAY TO A HIGH RENEWABLE GRID FUTURE Builds on NREL Western Wind and Solar Integration Study conclusion: technically feasible, but requires a departure from BAU Operations Identifies barriers and institutional challenges, and possible regulatory actions

9 NREL-LEAD WESTERN WIND AND SOLAR INTEGRATION STUDIES Examines up to 33-35% wind and solar (actually more like 25% for all of WECC) Phase I completed May 2010 Technically feasible, but BAU will not get us there Regional grid cooperation needed to contain integration costs Better use of existing transmission limits expansion needs at moderate levels (<10-20%) Region to Region transmission expansion is necessary for higher 20-35% penetrations Use of wind and solar forecasts highly valuable Phase II Completed, September, 2013 Fossil cycling (ramping and start up) add $0.5-$1.3/MWh of fossil (average), minor emissions impacts $35-$157 million additional cycling costs, $7 billion fuel savings Examines variability reserve to address solar variability, shorter unit-commit windows for wind uncertainty Phase III Kicked off Examines disturbance/fault response Can inform EPA 111d coal retirement inertial concerns Similar technically feasible, but not BAU conclusion WWSIS most challenging week

10 QUESTIONS?? Brian Parsons Western Grid Group (720)

11 BACKUP SLIDES

12 FROM A SYSTEM PERSPECTIVE, CYCLING COSTS ARE RELATIVELY SMALL 33% Wind/Solar Scenarios

13 LARGER FOOTPRINTS AND FASTER SCHEDULING REDUCE THE AGGREGATE VARIABILITY Why bigger is better Load smooths out Wind and Solar resources smooth out More dispatchable generators to balance the wind and solar Tomorrow Sub-hourly scheduling Today Hourly schedules and interchanges

14 Adequate Transmission is Necessary Renewable Energy Zones - Proactive transmission planning - Multi-Jurisdictional challenges - Integral part of RE obligations and Portfolio Standards - Cost recovery and allocation implications are critical FERC Order 1000 regulatory action Intra- and Inter-Regional Transmission Planning Standards and Principles are established ISO Principles Vary MISO, SPP, ERCOT Reliability, Economy Upgrades Underlying Opportunity of Better Use of the Existing System Western Renewable Energy Zones and Utility Interest

15 STORAGE System benefits are significant but other sources of flexibility are often more cost effective Make best use of pumped hydro: beyond peak shifting of baseload generation (Xcel Cabin Creek example) Gas in the pipe/ground if there are deliverability issues when wind forecast is over-optimistic Ice and building integrated thermal storage being considered for systems with increasing VRE Concentrating Solar Power incremental storage costs are moderate and are a system resource Batteries, compressed air, and other new concepts are in technology demonstration phases Electric vehicles: controlled charging and possible vehicle to grid Many ancillary services are not highly valued, or markets are absent

16 WIND PLANT ACTIVE POWER CONTROL Economic dispatch priority due to minimal variable operating costs Can provide down regulation Capability to curtail to a set-point command during periods of system stress During curtailment, can provide full regulation services Xcel Colorado example: fossils parked at minimum generation, all reg from wind Emerging area of disturbance response: Inertial response by slowing rotation Primary frequency response during recovery Not yet widely deployed Two NREL industry workshops 60 Hz 0 s typically, 5-10 s Normal conditions Disturbance response Initial slope of decline is determined by system inertia (or cumulative inertial response of all generation) Primary Freq. Control typically, s AGC typically, 5 10 min

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