Transcript Slide 1
Energy Storage Technologies for Utility Applications GRIDSCHOOL 2010 MARCH 8-12, 2010 RICHMOND, VIRGINIA INSTITUTE OF PUBLIC UTILITIES ARGONNE NATIONAL LABORATORY Vladimir Koritarov Center for Energy, Economic, and Environmental Systems Analysis Decision and Information Sciences Division ARGONNE NATIONAL LABORATORY [email protected] 630.252.6711 Do not cite or distribute without permission MICHIGAN STATE UNIVERSITY With the Advance of Renewable Energy Sources, Energy Storage Is Becoming Increasingly Important Energy storage is not a new concept for electric utilities Although extremely desirable, wider deployment of energy storage has been limited by the economics/costs and available locations Pumped-storage hydro, large hydro reservoirs, and a few pilot CAES plants were the only way to store energy Small quantities of electricity were also possible to store in batteries and capacitors Large-scale implementation of energy storage (both system and distributed) is considered to be the key for enabling higher penetration (>20%) of renewable and variable generation sources, such as wind and solar Energy storage is also expected to contribute to more efficient and reliable grid operation, as well as to reduced emissions from the power sector GridSchool 2010 Koritarov - 02 There are a Variety of Energy Storage Applications System storage (e.g., pumped-storage plants, CAES, large-scale battery storage Currently 22 GW of pumped-storage in the U.S. Renewable energy support (e.g., energy storage combined with wind plant, etc.) Distributed energy storage (demand-side storage, customer installations, PHEV & EV batteries, etc.) GridSchool 2010 Koritarov - 03 A Number of Energy Storage Technologies Are Being Developed Lead-acid (L/A) batteries Flooded L/A batteries Valve-regulated lead-acid (VRLA) batteries Sodium-sulfur (NaS) batteries Flow batteries Sodium bromide sodium polysulfide Zinc bromine (Zn/Br) Vanadium-redox (V-redox) Nickel cadmium (Ni/Cd) batteries Lithium-ion (Li-ion) batteries Compressed air energy storage (surface and underground) Flywheels Super-capacitors Superconducting magnetic energy storage (SMES) Hydrogen storage Concentrated solar with molten salt energy storage GridSchool 2010 Koritarov - 04 Requirements for Energy Storage Energy density High power output Cycle efficiency Cycling capability Operating lifetime Capital cost GridSchool 2010 Koritarov - 05 Cycle Efficiency of Energy Storage Technologies GridSchool 2010 Koritarov - 06 Energy Storage Capital Costs Requirements GridSchool 2010 Koritarov - 07 Size and Weight of Energy Storage GridSchool 2010 Koritarov - 08 Energy Storage Can Provide Services at all Levels of the Power System Value Chain Electricity supply Load shifting (load-leveling, time-shift, price arbitrage) Generation capacity Ancillary services Load following Regulation service Contingency reserve (spinning and supplemental) Transmission stability support Voltage support Grid system reliability Transmission congestion relief T&D upgrade deferral Substation backup power GridSchool 2010 Koritarov - 09 Energy Storage Can Provide Services at all Levels of the Power System Value Chain (cont’d) Integration of renewable and variable energy sources Capacity firming Renewable energy time-shift Renewable energy integration (power quality, ramping and load following) Utility customer Time-of-use energy cost management Capacity charge management Improved power quality and reliability Environmental benefits Reduced fossil fuel consumption Reduced environmental emissions GridSchool 2010 Koritarov - 010 Operating Characteristics of Energy Storage Technologies Determine their Suitability for Different Applications Flywheels, super-capacitors, SMES, and other storage technologies with the short-term power output (minute time scale) Regulation service Spinning reserve, etc. NaS batteries, flow batteries, hydrogen fuel cells, CAES, pumped storage can provide several hours of full capacity: Load shifting Electricity generation T&D deferral, etc. GridSchool 2010 Koritarov - 011 Energy Storage Requirements for Utility Applications GridSchool 2010 Koritarov - 012 Operation of Storage Driven by Supply/Demand Balance, Ancillary Services Requirements, and Market Values Short-term storage (seconds to minutes) For services such as frequency regulation, reactive power supply and voltage support • Requires fast/secure communications for automatic control For contingency reserves (e.g., spinning reserve) • Requires communication to verify the requirement to operate and to confirm the available capacity Longer term storage (minutes to hours) Energy/price arbitrage, load following and ramping Scheduling of charging and discharging requires information on current value of energy and the expected future value of energy (may include value of capacity and energy) Information on constraints on total capacity, ramping, and total energy limits of the storage system GridSchool 2010 Koritarov - 013 Typical Operation of Pumped-Storage Hydro Plant for Energy/Price Arbitrage 200 100 180 90 160 80 140 70 120 60 100 50 80 40 60 30 40 20 20 10 0 0 Monday Tuesday Wednesday Production GridSchool 2010 Thursday Friday Pumping Saturday € / MWh MW Aguieira - Week 39 2007 Sunday Projected Prices Koritarov - 014 The Case for Storage: Price Arbitrage in the Midwest 140 140 Wisconsin Average Peak/Off-Peak Price Spreads [$/MWh] Average Peak/Off-Peak Price Spreads [$/MWh] Manitoba 120 120 100 100 80 60 40 Average Peak/Off-Peak Price Spreads [$/MWh] 140 20 Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 60 40 20 July 2008 120 0 80 0 Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 Jul-08 Aug-08 Sep-08 Oct-08 Nov-08 Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May-09 Jul-08 Aug-08 Sep-08 Oct-08 Nov-08 Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May-09 100 GridSchool 2010 80 60 40 20 0 WI MI IL MN IA OH MO IN ND MB Koritarov - 015 How May Wind Affect Prices and Price Spreads: Real-Time Prices in Illinois (ComEd) Hub in 2008 Over 300 hours (3.4%) with negative prices Over 650 hours (7.5%) with prices below $10/MWh 500 500 Illinois Hub (ComEd) Real-Time Prices 2008 Illinois Hub (ComEd) Price Curve 2008 300 300 200 100 0 0 730 1460 2190 2920 3650 4380 5110 5840 6570 7300 8030 8760 Real Time Price [$/MWh] 400 Real Time Price [$/MWh] 400 200 100 0 0.0 -100 -100 -200 -200 -300 -300 GridSchool 2010 0.1 0.2 0.3 0.3 0.4 0.5 0.6 0.7 0.8 0.8 0.9 Koritarov - 016 1.0 How May Wind Affect Prices and Price Spreads MISO-Minnesota Hub, 5/11-5/17/2009 250 4,000 90 3,500 200 3,500 60 3,000 150 3,000 30 2,500 100 2,500 50 2,000 0 1,500 0 2,000 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 -30 1,500 Wind Power [MW] Price [$/MWh] 4,000 Price [$/MWh] 120 0 -60 1,000 -90 500 -100 0 -150 -120 Real-Time Price GridSchool 2010 Day-Ahead Price Wind power 24 48 72 96 120 144 -50 168 1,000 500 Real Time price Day Ahead price Wind power 0 Koritarov - 017 Wind Power [MW] MISO-Minnesota Hub, 5/13/2009 The Case for Storage: Advanced Wind Forecasting to Reduce Uncertainty, Storage to Manage Variability Current forecast tools do reasonably well Mean absolute error is low (9.3%) Forecasting ramps still an issue Source: Iberdrola, 2009 GridSchool 2010 Koritarov - 018 The Case for Storage: Advanced Wind Forecasting to Reduce Uncertainty, Storage to Manage Variability (& Reduce Curtailments) Source: ERCOT, 2009 With limited or no wind forecasting, and constraints in the system, wind curtailments may occur; strategically located storage could alleviate the situation GridSchool 2010 Koritarov - 01919 Coordinated Operations of Wind with (Hydro) Storage May Reduce Wind Curtailments in Congested Areas (up to 75%) 35% 30% 25% 20% 15% 10% 5% 0% SINTEF KTH (exjobb) Skelleftekraft KTH (coord. algorithm) Curtailments without coordination in % of unconstrained production Curtailments with coordination in % of unconstrained production Source: Matevosyan, 2008 GridSchool 2010 Koritarov - 020 Without Energy Storage, Large Wind Integration Poses a Challenge to Electric Power Systems Utility systems can relatively easily absorb small penetration of wind energy (<10-15%) Higher wind energy penetration (>20%) presents a challenge Wind energy production in Denmark in 2008 amounted to 19% of the total electricity generation German utility E.ON: “The more wind power capacity is on the grid, the lower the percentage of traditional generation it can replace.” Firm capacity from wind in 2007: about 7% of installed capacity Firm capacity in 2020 is expected to drop to 4%. GridSchool 2010 Source: E.ON Wind Report 2005 Koritarov - 021 The Case for Storage: Example of On-Site Wind Farm Storage Operations Driven by Economics Off-Peak Off-Peak Peak Period GridSchool 2010 Peak Period Source: Faias et al, 2008 Koritarov - 022 Large Wind Integration Will Require Significant Use of Energy Storage Energy storage coupled with wind farms would provide for: Firming of wind capacity Time-shifting of electricity generation Reduced need for backup capacity Reduced ramping or conventional units Lower reserve requirements Questions: What is the optimal amount of storage? What type of storage is best for use with wind farms? Similar issues exist for solar and other variable energy resources GridSchool 2010 Source: E.ON Wind Report 2005 Koritarov - 023 The Case for Storage: Example of On-Site Wind Farm Storage Operations Driven by Economics Source: Faias et al, 2008 GridSchool 2010 Koritarov - 024 Plug-in Hybrid and Battery Electric Vehicles: A Challenge or an Asset? GridSchool 2010 180,000 30,000 WECC April 2020 Aggressive PHEV Case: Charge When Arriving @ Home 150,000 PHEV Aggressive Baseload 25,000 Base + PHEV Aggressive 20,000 Total Load [MW] PHEV Load [MW] 120,000 90,000 15,000 60,000 10,000 30,000 5,000 0 0 0 24 48 72 96 120 144 168 180,000 30,000 WECC April 2020 Aggressive PHEV Case: Smart Charging 150,000 25,000 PHEV Aggressive Smart Baseload Base + PHEV Aggressive Smart 20,000 PHEV Load [MW] 120,000 Total Load [MW] Impacts to the electric grid, especially to the distribution system (e.g., transformers) Charging patterns and behavior Vehicle to grid (V2G) services: Contingency reserve Frequency regulation Dispersed energy storage Vehicle to home (V2H) services Backup power Demand response (load shifting) Storage for distributed renewable sources Impacts on electricity prices Impacts on emissions 90,000 15,000 60,000 10,000 30,000 5,000 Koritarov - 0025 0 0 24 48 72 96 120 144 168 In Conclusion, Energy Storage is the Key for Large-Scale Integration of Renewable and other Variable Sources Energy storage provides opportunity for price arbitrage Arbitrage opportunities vary by region and season Are current price spreads sufficient to justify investment at current costs? What are the trends in price spreads and storage costs? Energy storage can provide ancillary services With large ramp-up in wind, the need for regulation and spinning reserve will increase The importance of storage, both system and distributed, will also increase GridSchool 2010 Koritarov - 026