Energy Storage Activities at New York Power Authority



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Energy Storage Activities at New York Power Authority Li Kou, Ph.D. PE Sr. R&TD Engineer New York Power Authority APPA National Conference, Seattle, WA June 19, 2012 1 New York Power Authority Highlights Established by the NY State Legislature in 1931 Largest non-federal electric utility in the United States Wholesale power supplier throughout New York State and neighboring states as required by law Provides, with generation and power purchases, about 25% of New York State s electricity 2011 Generation: 28.1 million MWh 78% hydro; 22% fossil Transmission lines: more than 1,400 circuit miles, 115kV, 230kV, 345kV and 765kV 2 1

NYPA s Renewable Energy Resources and Tech Program Mission to advance the generation and utilization of renewable energy through project implementation, research and technology transfer. Highlights g Solar MAP (Market Acceleration Program) solar research, demonstration projects, and soft-cost reduction strategies Over 142 solar PV systems installed to date or in development with a combined capacity of over 4,123 kw Installation of 17 fuel cells with combined capacity of 3,450 kw at facilities statewide Installation and ongoing operation of a 1MW/6.5MWh NaS battery energy storage system MW scale distributed wind turbine in development Biomass CHP or CCHP project in development Compressed Air Energy Storage study with EPRI 3 NYPA s Electric Transportation Program Mission to demonstrate advanced electric transportation technologies for fleet operational savings, reduced oil imports and reduced greenhouse gas emissions. Highlights Over 1,200 vehicles deployed with over 10 million miles travelled. Early development of hybrid electric transit buses for NY City Transit Statewide hybrid electric school bus demonstration program Municipal fleet heavy duty hybrid electric ec c bucket truck demonstration programs Municipal station car commuter program with public charging infrastructure 4 2

NYPA s NaS Project Highlights 1MW/6.5MWh Sodium/Sulfur (NaS) Battery Energy Storage System at Long Island Bus Depot First MW-scale battery installed at customer s site in U.S. Total installed cost of $4M. With $2M grant from EPRI, DOE, and NYSERDA, the project is break-even Project goals: Achieve cost savings by eliminating third shift while avoiding peak demand charges Reduce peak demand on the heavily loaded utility grid Increase backup power for the entire facility 5 NYPA s NaS Project Highlights Batteries compressor Grid parallel configuration 75% RT system efficiency Low maintenance Low noise Zero emissions Automated load shift 6 3

NYPA s NaS Project Highlights 7 Performed Engineering Evaluation Economic Cost / Benefit Analysis, and Geologic Siting Opportunities CAES Plant Characteristics Generation Capacity: 300MW Compression Capacity: 215MW Storage Capacity: 10 hours 8 4

Advanced CAES Plant Chiller Option Note: Each Expander Can Serve Each CT In The Integrated CAES Plant Combustion Turbine Source: ESPC 9 Parameter Nominal Case Generation Capacity (MW) 300 Compression Capacity (MW) 215 Generation Period, Max (Hours) 10 Compression Period, Max (Hours) 10 Generation Heat Rate (Btu-In/kWh) 4229 Energy Ratio (kwh In / kwh-out) 0.70 Variable O&M ($/MWh) 3.5 Fixed O&M ($/MW-Yr) 5 Planning Horizon 2012-2032 Capital Cost of the plant ($/kw) 700 NYPA Fixed Charge Rate (FCR) 13% 10 5

NYS Regions Chosen for Study: NYC (Zone J), Central (zone C) & Dunwoodie (zone I) 11 Energy Arbitrage Capacity Credits Spinning Reserve Regulation Service Ramping VAR 12 6

13 New York Dunwoodie Central Capacity Credit High Estimate 84 84 37 Capacity Credit Average 68 68 20 Capacity Credit Low Estimate 23 23 9 10 Minute Sync Reserve High Estimate 82 92 68 10 Minute Sync Reserve Average 8 9 7 10 Minute Sync Reserve Low Estimate 0 0 0 Regulation High Estimate 123 138 127 Regulation Average 80 90 83 Regulation Low Estimate 38 42 39 Arbitrage Benefits High Estimate 123 90 28 Arbitrage Benefits Average 94 68 18 Arbitrage Benefits Low Estimate 85 62 16 Total Benefits High Estimate 412 404 260 Total Benefits Average 250 235 128 Total Benefits Low Estimate 146 127 64 Annualized Capital Cost FCR = 13 93 93 93 Net Plant Benefits High Estimate 319 311 167 Net Plant Benefits Average 157 142 35 Net Plant Benefits Low Estimate 53 34-29 14 7

NYS Sites: -Solution Mined Salt Caverns -Depleted Gas Reservoirs -Abandoned Mines 15 Objective To investigate the feasibility of integrating a smallscale above-ground CAES plant with an existing single-cycled Combustion Turbine (CT) Small Scale Aboveground CAES Characteristics 10MW with 2 hours of storage 16 8

LP & HP Compressors Above Ground Storage Uses 3 Foot Diameter Steel Pipe and is about 2 miles in length Expander 17 Advanced CAES with LM6000 and Humidified Air upstream of Expander Source: ESPC 18 9

Source: ESPC 19 CAES2 with LM6000 and Humidified Air upstream of Expander CT Load, % 100% Inlet Chilling No Duct Burner No Humid Air Yes Storage Pressure, e, psia 1500 Operating Pressure, psia 800 Bottoming Cycle Expander Air Flow, lb/s 28.0 Incremental CAES2 Power, Bottoming Cycle, MW 10 Compressor Mass Flow, lb/s 14.0 Compressor Power, MW 4.125 Storage Volume Required, ft 3 63,000 CT Power (with PA), MW 37.9 CT HR, BTU/kWh (LHV) 8,732 Energy Ratio 0.16 Net Plant Power, MW 47.5 Net Plant HR, BTU/kWh (LHV) 6,972 20 10

Description Total Installed Cost without a CT (2hr CAES plant) O&M Cost Estimate $1,400 / kw-caes output 3 mills / kwh or $3 / MW-hr as reported 21 Energy Arbitrage Capacity Credits Ramping Spinning Reserve Regulation Service Black Start Capability 22 11

NYPA-Long Island 200 180 Potential Economic Benefits Including the Range of Capacity-Based & Ancillary Services Values Compared With Capital Cost for Adding CAES, Including Fixed Charge Rate of 8.75% Humidification Cycle, Standalone CT ) Benefit Values and Fixed Costs n Comparable Terms ($/kw-year) In 160 140 120 100 80 60 40 Broad potential for benefits, based on the range of prices for capacity and ancillary services in NYISO. Low Medium-High Recent ICAP values for NYC Region Medium-Low High 47.5 MW total, with CAES, 2 hours of storage and charge rate of 4.125 MW 40.9 MW CT alone, generating 2 hours per day 8.75% Fixed Charge Rate Level 20 Recent ICAP values for 0 Long Island Capacity Credit, Black-Start ISO capacity credit Ramping benefits Spinning reserve Nonsynchronous reserve Frequency Regulation Arbitrage benefits, with CAES Arbitrage Annualized Annual CAES benefits, without capital cost of fixed O&M CAES CAES ($/kw-yr) ($/kw-yr) 23 Summary Advanced CAES plants using below ground storage are expected to be less expensive than pumped hydro plants and economically attractive for bulk energy storage, where the major economic benefits are derived from arbitrage, load leveling, li peaking shaving, regulation and ramping duty CAES plants using above ground air storage systems are expected to be less expensive than battery plants, and have longer life CAES plants have ramping capabilities that should mitigate power fluctuations and variability of wind/solar plants 24 12

Energy Storage Activities at New York Power Authority Li Kou, Ph.D. PE Sr. R&TD Engineer New York Power Authority Email: li.kou@nypa.gov Phone: 914-287-3893 25 13