The document discusses the future of energy generation being flexible, local, and resilient through district energy systems and microgrids. It provides examples of how district energy/combined heat and power systems helped communities maintain power and heat during extreme weather events like Hurricane Sandy. Emerging policy trends support more widespread adoption of microgrid technologies to improve grid reliability and resilience at the local level.
Future of Energy: Flexible, Local & Resilient Systems
1. The Future: Flexible, Local & Resilient Energy GenerationRobert P. Thornton President & CEO ResilienCity: the new urban paradigm Sustainable Buildings Canada-Green Building Festival Toronto, ON October 2, 2014
2. Agenda
•Introduction to IDEA and District Energy
•Energy Paradigm Shift -Case Example
•Emerging Drivers -Local Energy
•Resilient Energy Systems -Case Examples
•District Energy/Microgrids–
–Policy Trends
–Challenges & Opportunities
•Q&A
3. •Formed in 1909 –105 years in 2014
•501(c)6 industry association
•Approx. 2000+ members in 26 nations
•56% are end-user systems; majority in North America; growth in Middle East
•Downtown utilities; public/private colleges & universities; healthcare; industry, etc.
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5. District Energy/Microgrid– Community Scale Energy Solution
•Underground network of pipes “combines”heating and cooling requirements of multiple buildings
•Creates a “market” for valuable thermal energy
•Aggregated thermal loads creates scaleto apply fuels, technologies not feasible on single-building basis
•Fuel flexibility improves energy security, local economy
6. Infrastructure for Local Clean Energy Economy
•Connects thermal energy sources with users
•Urban infrastructure –hidden community asset
•Robust and reliable utility services
•Energy dollars re-circulate in local economy
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8. District Energy Industry Growth (Million sq ft customer bldg space connected/committed) Aggregate SF reported since 1990 –572,853,166 SF(Annual average 23.8 Million SF/Yr –North America)
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9. “For the average coal plant, only 32% of the energy is converted to electricity; the rest is lost as heat.”
-Page VI, Executive Summary
10. Efficiency of US Power Generation
Power Engineering Magazine, November 2009
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14. BraytonPoint Power Station, Somerset, MA –1,537 MWPre-2011: Once-through cooling –Taunton River:MountHope Bay
20. Somerset power plant put up for sale Boston Globe, Sept 7, 2012
Dominion Loss on Write-Downs; Core Improves… WSJ, Jan 31, 2013
Energy company Dominion Resources posts 4Q loss –
The Virginian Pilot, Jan 31, 2013
21. BraytonPoint Power Station Closing: Massachusetts Coal-Fired Plant Shutting Down In 2017 –Providence Journal, Oct 8, 2013
25. Paradigm Shift
•lower cost natural gas impacting coal plants
In U.S., during the first half of 2012:
•165 new electric power generators installed
•Totaling 8,100 megawatts (MW) new capacity
•Of 165, 105 of those units under 25 MW and
•Mostly renewable -solar, wind or landfill gas
•Other factors -environmental compliance costs; poor load factor; low wholesale power costs and cheap natural gas
33. 820 mi diameter
Double the landfall size ofIsaac + Irene combined
Affected 21 states (as far west as Michigan)
106 fatalities
SUPERSTORM SANDY: BY THE NUMBERS
34. 8,100,000 homes lost power
57,000 utility workers from 30 states & Canada assisted Con Edison in restoring power
Total estimated cost to date $71 billion+ (dnilost business)
45. “Combined heat and power allowed our central plant to operate in island mode without compromising our power supply.” Lori Winyard, Director, Energy and Central Facilities at TCNJ
47. 98% of the Town of Fairfield lost power, university only lost power for a brief period at storm’s peakUniversity buildings served as “area of refuge” for off-campus students
49. “City within a city” 60,000 residents, 330 acres, 14,000+ apartments, 35 high rise buildingsOne of the largest housing cooperatives in the world; 10th largest “city” in New York State40 MW Cogenplant maintained heat and power throughout Sandy –back fed Con Edison grid
51. CHP/district energy plant supplies all heat, hot water, air conditioning, and half of the electricity to campus of 12,000 students/faculty"We designed it so the electrical system for the campus could become its own island in an emergency. It cost more to do that. But I'm sure glad we did.“ Ted Borer, Energy Manager, Princeton
61. Princeton University MicrogridBenefit to Local Grid
During August peak: 100+deg F; 80% RH
•2005 campus peak demand on grid 27 MW•Implemented advance control scheme
•2006 campus peak demand on grid 2 MW
•Microgrid“freed up” 25 MWto local grid
–reduces peak load on local wires
–avoids brownouts
–enhances reliability
–supports local economy
63. District Energy/CHP/MicrogridEmerging Drivers
•Growing demand for greater grid reliability and resiliency
•Choice to deploy clean energy sources to help compete for high quality employers, factories, tenants
•Desire to expand local tax base & replace remote coal generation
•Flexibility to tap local energy supplies to improve trade balance & drive economic multiplier
•Cutting GHG emissions and addressing climate adaptation
•Local infrastructure advantages in extreme weather events
64. What is a District Energy/Microgrid?
•Local “distributed” generation integrating CHP; thermal energy; electricity generation; thermal storage and renewables
•Located near load centers; customer density; often some mission-critical needs
•Robust, economic assets; 24/7/365
•CHP interconnected with regional & local grid
•Able to “island” in the event of grid failure
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66. MicrogridResources Also Provide
•Diversity of generating locations
–Reduced risk associated with transmission and distribution failures
•Diversity of fuel sources
•Capacity, planned for local, critical loads
•Thermal energy for district heating, cooling
•Redundancy in case of grid failures
–Small, localized failures instead of regional failures
•Voltage stability
•Frequency stability
•Wave form stability
67. Simple Microgrid Concept
Central Utility Power Station
KWH
Utility Meter
Synchronizing Isolation Breaker
Local Generator
Local Power Demands
KWH
Utility Meter
Isolation Breaker
Local Power Demands
68. Microgrid Options
Central Utility
Power Station
KWH
Utility
Meter
GT, Diesel,
Micro-turbine
reciprocating gas engine,
solar PV, wind, micro-hydro…
Battery or
flywheel
Economic
Dispatch
Synchronizing
Isolation
Breaker
69. MicrogridsAdd Grid Reliability
Central Utility
Power Station
KWH
Utility Meter
Synchronizing Isolation Breaker
Local Generator
KWH
Utility Meter
Isolation Breaker
KWH
Utility Meter
Local Generator
KWH
Utility Meter
Synchronizing Isolation Breaker
Local Generator
Synchronizing Isolation Breaker
70. Why Build A Microgrid?
•Benefits for the Owner
–Enhanced Reliability and Resiliency
–Cost Reduction
–Environmental
•Benefits for the ISO
–Reduction in LMP Cost
–Increase Capacity Supply
–Reduction in Transmission Needs
–Reduction in Marginal Losses
–Rapid Frequency Regulation
–Spinning Reserve
71. Why Build A Microgrid?
•Benefits to the Local Economy
–Enhanced Reliability/Resiliency –Reduce business interruption risk
–Areas of Refuge for Citizens/First Responder Support
–Power for Local Critical Infrastructure
•Hospitals, Gas Stations, Police & Fire, Waste Water Treatment Plants
•Benefits to Local Electric Distribution Utility
–Reduced Peak Load
•Problems for Local Electric Distribution Utility
–Loss of Revenue
–Interconnection Issues
72. Multi-Building Microgrids
•Microgridsnot recognized as a unique class of grid resources
•They are under-utilized and under-compensated for
–Providing energy and auxiliary services
–Contributing to reliability and availability
–Ability to quickly balance intermittent renewables
•They face state regulatory hurdles including:
–Limits on servicing multiple customers
–Limits on serving multiple properties of the same customer
–Limits on partnering with third party developers
•The current utility business model provides disincentives to customer efficiency and flexibility
•Currently, MUSH market represents “best in class”
74. DE/CHP MicrogridBest Practices
•Fully integrated load monitoring, forecasting
•Parallel operation with real time price signals and optimization strategies (make/buy)
•Ancillary services to grid –capacity; VAR support
•Integrate thermal energy for optimal efficiency
•Chilled water thermal storage enhances grid relief; operating flexibility; cost avoidance
•Fuel purchasing and flexibility strategies
•Customer optimization; efficiency support
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76. Emerging Policy Trends
•States and Cities acting on microgriddeployment
–New York State -$40 M microgridprogram
–Connecticut -1stphase $20 M; 2ndphase $20 M
–New Jersey -$30 M microgriddeployment
–Massachusetts -$32 M financing
•City of Boston developing MicrogridRegulatory Strategy
•US DOE Technical Application Centers (TAPs) supporting deployment nationally
•National advocacy groups forming to improve market access for microgrids(MRC)
77. United Nations Environment Program District Energy in Cities Initiative
•Launched 9/22 United Nations Climate Summit, UN General Assembly, New York
•UN Sustainable Energy for All (SE4All) Global Energy Efficiency Initiatives -District Energy Accelerator
•Deploy district heating/cooling in cities to increase energy efficiency, cut emissions
•Mentor, share, pair –best practices
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79. 'Never doubt that a small group of thoughtful, committed citizens can change the world. Indeed, it's the
only thing that ever has.'
Margaret Mead
Rob Thornton rob.idea@districtenergy.org