Transcript Slide 1
DOE Water Power Program – Making It Happen Michael J. Sale NWHA 2011 Annual Conference, Portland, OR February 23, 2011 Slide 1 Position among Renewables U.S. Installed Renewable Capacity (EIA, 2008*) Other - 1,042 MW Wind - 24,980 MW Other Biomass - 4,854 MW Geothermal - 3,281 MW Wood Biomass - 7,730 MW Hydro - 77,731 MW Solar - 539 MW Pumped Storage - 20,335 MW *Accessed 6-21-10: http://www.eia.doe.gov/cneaf/electricity/epa/epat1p2.html Slide 2 Trends in National Portfolio High annual variability and recent stagnant/downward trending (1) Trends in U.S. total portfolio (2) Corps projects becoming less available (industry standard > 95%) 100 95 Percent (%) 90 85 80 75 70 FY1999 FY2000 FY2001 FY2002 Peak Availability (%) FY2003 FY2004 FY2005 Availability (%) Source: LG Hydro Presentation, March 2010 Slide 3 Water Power Program Structure Water Team Mission Water Power Program Marine & Hydrokinetic Technologies 4 Conventional Hydropower Technologies Technology Development Technology Development & Deployment Market Acceleration Market Acceleration Develop and deploy novel technologies, improved operational procedures, and rigorous analysis to: 1) assess the potential extractable energy from domestic rivers, estuaries and coastal waters; and 2) support industry to harness this renewable, emissionsfree resource through environmentally sustainable and cost-effective electric generation. Water Power Funding History Significant increase in appropriations over requests from FY 08 to FY 10, coming into balance between MHK and CH $60 =Marine & Hydrokinetic ($M) =Conventional Hydropower ($M) FY 10 $50 $50 Equal split proposed for FY 11 FY 09 $40 $40 $40 $30 $30 $29 70% $20 FY 08 $10 $10 $9 $0 $0 $1 90% 10% Request Approp. $3 $11 30% Request Approp. $35 70% $20 50% $20 50% $15 $15 $15 30% Request Approp. Request New Opportunities in Hydropower Numerous ways to increase hydropower portfolio 1) Improvements at existing power plants: • Efficiency upgrades • Capacity upgrades 2) Development of non-powered dams 3) Small hydropower (< 5 MW): • Low-head dams or conveyance structures • New sites (waterfalls or diversions) • Water distribution systems 4) Pumped-storage hydropower Slide 6 Current Priorities and Activities 1. Demonstrate and deploy lowest cost options 2. Develop new technologies with better combined energy and environmental performance 3. Quantify undeveloped resources and cost-of-energy 4. Engage with regulators, agencies and NGOs to reduce time and cost of licensing Slide 7 Recovery Act Projects Alabama Power Co. Alcoa Inc City of Boulder City of North Littlerock City of Tacoma Incorporated County of Los Alamos Minnesota Power Original Capacity (MW) Capacity Increase (MW) 159 88 20 11.6 22 4.9 36087 47200 11600 6.00 12.95 1.18 30.00 77.30 5.07 3.6 6000 23500 0.45 4.67 0.90 27.52 6468 6000 4.56 0.82 9.12 2.62 n/a 81 13.8 12 3 Gen. DOE Increase Funding (MWh) ($M) Total Cost ($M) Engaging with Industry The Hydro Advancement Project (HAP): a pathway to stimulate hydro industry by enabling new development without new dams Focus on most cost-effective, least controversial types of new development: Upgrades at existing power plants and retrofitting existing non-powered dams (1) Create uniform auditing standards and procedures (2) Conduct feasibility audits, to identify energy upgrade options at existing sites power plants, including advanced technology (cheap screening analyses, $30k-$50k/site, and many sites) (3) Provide financial assistance for detailed engineering design studies at most competitive sites, to define construction costs and drive financial decisions (costs are $1M-$2M/site) 7/17/2015 Slide Slide 99 New Federal Cooperation MOU for Hydropower among DOE, DOI and DOA • Signed in March 2010, MOU highlights 7 key areas for interagency collaboration. • Major ongoing activities to date – Assessments of energy generation potential and analysis of potential climate change impacts to energy generation at federal hydropower facilities – Exploring opportunities for collaboration across entire river basins to increase generation and environmental conditions – Green Hydropower Certification – Federal Inland Hydropower Working Group – Joint development and demonstration of advanced technologies – Renewable Energy Integration and Energy Storage – Facilitate permitting for federal and non-federal projects at federal facilities Slide 10 Private Development of Federal Sites Significant development opportunities exist at federal facilities Barriers to accelerating development • Jurisdictional Uncertainty – Clarify the licensing process regarding overlapping regulatory authorities • Hydropower is not a priority/mission at federal projects – Elevate profile of hydropower at federal facilities Federal Dams • Produce ~50% of U.S. conventional hydropower • Include hundreds of nonpowered dams that are capable of producing hydropower • Limited funding for federal agencies to develop hydro • Lease of Power Privilege – Study if program is working to incentivize or not Slide 11 Resource Assessments Defining resource potential is a critical step in designing and defending Program Problems with Existing Resource Assessments • Show substantial resource size, but use inconsistent assumptions about likely development and not detailed enough for cost-curve modeling National Hydropower Asset Assessment Project (NHAAP) • Collect best-available data from all sources to understand the portfolio – Power plants and equipment – Dams, diversions and reservoirs – Stream and river basin variables – Long-term generation patterns – Water availability and effects of generation Program Supported Detailed Resource Assessments • Comprehensive across the U.S; integrated across resource type – New Small Hydropower – Non-Powered Dams – Pumped Storage Hydropower To be completed in 2011 by ORNL and INL Slide 12 New Tools for Resource Assessment Oak Ridge National Laboratory National Asset Assessment Water Power GIS Hydropower Streamflow Temperature Elevation Transmission Water use Land Etc. Slide 13 Next Big Event Slide 14 BACKUP SLIDES Questions/Comments? Mike Reed Technology Lead of Water Power Program 202-586-2725 [email protected] Slide 15 Recovery Act Projects FY2009 ARRA Recipient DOE Recipient Total Budget $12,950,000 $64,652,334 $77,302,334 Alabama Power Company – Upgrading 4 turbines at 3 dams - 2 of 3 subcontracts awarded; equipment manufacturing underway - 3rd contract under negotiation, expecting to be completed this month $6,000,000 $24,000,000 $30,000,000 City of Tacoma – 3MW powerhouse and Fish Elevator - Project is breaking ground on March 17th. Beginning construction of Powerhouse and fish passage system $4,671,304 $22,844,173 $27,515,477 Incorporated County of Los Alamos - Project is near completion and will be conducting commissioning activities in late March, with an official dedication ceremony on April 21st $4,558,344 $4,558,344 $9,116,688 $1,180,000 $3,894,616 $5,074,616 $815,995 $1,809,445 $2,625,440 $450,000 $450,000 $900,000 $30,625,643 $122,778,855 $153,404,498 Alcoa, Inc. – Upgrading 4 Turbines and related equipment - Half the equipment ordered (designs being incorporated now), looking at engineering deliverables for switch gear and static power supply (last deliverables rec’d in March/April) City of Boulder – Upgrading 100 year old turbine and related equipment - Turbine/Generator contract Kick Off Meeting held with Canyon Hydro. Equipment manufacturing is underway. - Design work underway to finalize RFP for general construction contract Minnesota Power – Installation of new stainless steel runner, and wicket gates - Initiated procurements for capital equipment City of North Little Rock – Installation of trash collection and maintenance system - Purchased wood chipper - NEPA work completed and project is moving a head with procurement of the trash rake system. Total Push for Financial Incentives Proposed Changes for Tax Credits PTC Parity • Hydropower currently receives half of full PTC value • Equal PTC credit needed to level playing field with other renewables Extension of programs • Current deadline of 2014 is not enough time to accommodate development timeframes; especially for non-powered dams • Extension would allow for licensing and development of new facilities (including non-powered) Expansion to Storage • Tax credits not available for pumped storage technologies • Pumped storage can help integrate renewables, and is increasingly powered by clean energy • PTC can help overcome financing difficulties • • Increase funding for CREB program Include incremental hydropower in RES Slide 17