Transcript John Fernandes – Director of Policy and Market Development, RES

CREA Energy Innovations 2016
John Fernandes
Director, Policy & Market Development
September 12, 2016
McAlpine Project Experience
2012 Olympic Stadium
Glenfinnan Viaduct (1901)
London Underground
RES’ Low Carbon HQ (UK)
Torness Power Station
2016 Renewable Energy Systems Americas Inc. - Proprietary and Confidential
Millennium Dome
2
Utility-Scale Wind & Solar in North America
Canada
769 MW
Washington
1,650 MW
North
Dakota
150 MW
Colorado
376 MW
California
218 MW
Minnesota
200 MW
Michigan
119 MW*
Nebraska
119 MW
Wyoming
380 MW
New
Mexico
28 MW
Kansas
349 MW
Oklahoma
1,048 MW
Pennsylvania
381 MW
Wisconsin
54 MW
Texas
2,468
MW
Jamaica
21 MW
2016 Renewable Energy Systems Americas Inc. - Proprietary and Confidential
3
RES Storage Capabilities
RES operates across the entire value chain except as the OEM
DEVELOPMENT
ENGINEERING
CONSTRUCTION
OPERATIONS
We select battery & PCS based on requirements, safety & value
ENGINEERING
DEVELOPMENT
CONTROLS
BATTERY & PCS
OPERATIONS
CONSTRUCTION
2016 Renewable Energy Systems Americas Inc. - Proprietary and Confidential
4
RES Energy Storage Projects
NAME
BUO
FUNCTION
MARKET
MW MWh OWNER(S)
OWNER TYPE
Freq. Reg.
PJM
4.0
2.6 RES
IPP
Amphora Freq. Reg.
IESO
4.0
2.6 RES
IPP
Jake
Freq. Reg.
PJM
19.8
7.9
Elwood
Freq. Reg.
PJM
19.8
Willey
Freq. Reg.
PJM
6.0
2.0 Sumitomo
Investor
McHenry Freq. Reg.
PJM
19.8
7.9 EDF
IPP
Glacier
Microgrid,
peaking, freq.
response
WECC
2.0
4.4
TBD
T&D Deferral
NYISO
2.0
12.0 ConEd
Clinton
Freq. Reg.
PJM
10.0
4.1 Exelon
TBD
Multiple
HydroQuébec
0.2
0.3
TBD
9 grid services
Great Britain
0.3
0.6 WPD
M5Bat
Multiple
Germany
0.7
0.7
TBD
Freq. Response
Great Britain 20.0
TOTAL:
 13 Projects
RES +
Prudential
RES +
7.9
Prudential
2014 Q1
Yes
2014 Q3
Yes
2015 Q3
Yes
2015 Q4
Yes
2015 Q4
EPC
No
2016 Q1
EPC
No
2016 Q2
Utility
EPC
Yes
2016 Q3
IPP
Dev, EPC, Asset
Mgmt.
Yes
2016 Q3
EPC
Yes
TBD
Utility
EPC
Yes
TBD
Research Center
EPC
No
2016 Q2
IPP
Dev, EPC, Own, Asset
Manage
Yes
2017 Q3
IPP + Investor
IPP + Investor
TechnoCentre
Research Center
éolien
16.0 RES
Dev, EPC, Own, Asset
Manage
Dev, EPC, Own, Asset
Manage
EPC, Financed, %Own,
Asset Mgmt.
EPC, Financed, %Own,
Asset Mgmt.
Dev, BOP, Asset
Manage
Yes
Puget Sound
Utility
Energy
RWTH
Aachen
COD
RES ROLE
108.6 69.0
 10+ storage functions
 7 different markets
 4 different battery vendors
2016 Renewable Energy Systems Americas Inc. - Proprietary and Confidential
5
Outage Mitigation Study Example
12MW/2MWh ESS would reduce SAIDI from 200 to approximately 140.
SAIDI Metrics based on ESS Sizing
200
180
160
120
100
SAIDI
SAIDI
140
80
60
40
0
20
4
0
MW
MW
8
12
14
12
10
8
6
4
2
0
MWh
MWh
2016 Renewable Energy Systems Americas Inc. - Proprietary and Confidential
6
RES Energy Storage – Cost vs. Performance
Percent SAIDI Reduction Per $
Percent Reduction in SAIDI per Cost vs. ESS size
Optimal Cost-to-Performance
MW
MWh
2016 Renewable Energy Systems Americas Inc. - Proprietary and Confidential
7
CASE STUDY:
GLACIER MICROGRID PROJECT
8
Glacier

Frequent outages due to
a long and exposed 55
kV transmission line.

On average 2.8 outages
per year, 7.5 hours in
duration.

Few viable, conventional options existed to increase reliability.

Puget Sound Energy chose a battery storage to provide outage
mitigation, but also for peaking capacity, ancillary services, and power
quality.
2016 Renewable Energy Systems Americas Inc. - Proprietary and Confidential
9
Project Objectives
Unlike traditional backup diesel generation, the battery could be used to
provide multiple grid services.
SERVICE
DESCRIPTION
Outage Mitigation
(Microgrid)
ESS is used to provide backup power to a section of the
distribution circuit during transmission line outages.
Peaking Capacity
ESS discharges during system-wide peaking events to
reduce load in order to defer the need for acquisition of
additional peaking supply resources.
Ancillary Services
Power Quality
ESS is used for ancillary services such as frequency
response, spinning reserves, and/or regulation.
ESS reduces voltage sags, optimizes power factor, reduces
load tap changer (LTC) switches,.
2016 Renewable Energy Systems Americas Inc. - Proprietary and Confidential
10
Financial Value Streams
Financial Value Drivers

Cost-benefit analysis compared
the storage against conventional
alternatives.

Outage mitigation, ancillary
services, and supply capacity
proved most valuable.

Project is NPV positive (with grant
funding)
GRID SERVICE
Supply
Capacity
Ancillary
Services
Outage
Mitigation
Power
Quality
VALUATION METHODOLOGY
Supply Capacity
Avoided incremental cost of new gas-fired combustion turbine
Ancillary Services
Utility analysis - production cost model assess reduced operating costs
from thermal generation fleet optimization
Outage Mitigation
Utility analysis modeling outage reduction with and without ESS
Power Quality
Reduction in power losses and demand reduction, reduce LTC operation
2016 Renewable Energy Systems Americas Inc. - Proprietary and Confidential
11
Thank you
John Fernandes
Director, Policy &
Market Development
[email protected]
www.res-americas.com
12