WesternInterstateEnergyBoardCurrentActivities
MauryGalbraithExecutiveDirector
WesternInterstateEnergyBoard
WesternRegionalPartnershipEnergyCommitteeWebinar
October20,2017
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LegalBasis&Purpose
LegalBasisWesternInterstateNuclearCompact(PL910461)
• Enactedby12WesternstatesandratifiedbyCongressin1970.• Writtenbroadlytoencompassallenergytopics.
PurposeToprovidetheinstrumentsandframeworkforcooperativestateeffortsto“enhancetheeconomyoftheWestandcontributetothewell-beingoftheregion’speople.”
WesternInterstateEnergyBoard 2October20,2017
BoardMembers*
UT Dr.LauraNelson,Governor’sOfficeofEnergyDevelopmentNV AngelaDykema,Governor’sOfficeofEnergyAZ BrianGoretzki,ArizonaRadiationRegulatoryAgencyCA JaneaScott,CaliforniaEnergyCommissionID JohnChatburn,Governor’sOfficeofEnergyResourcesMT JeffBlend,DepartmentofEnvironmentalQualityOR JanineBenner,OregonDepartmentofEnergyWA TonyUsibelli,WashingtonDepartmentofCommerceAB ChristineLazaruk,AlbertaEnergyBC LesMacLaren,MinistryofEnergyandMinesSK MikeBalfour,MinistryoftheEconomy
*AppointedbyGovernorsandPremiers.WesternInterstateEnergyBoard 3October20,2017
WIEBPortfolio
WesternInterconnectionRegionalAdvisoryBody• GovernorscreatedpursuanttoSection215(j)oftheFederalPowerAct.• AdvisesFERC,NERCandWECConthereliabilityoftheWesternelectric
powersystem.
CommitteeonRegionalElectricPowerCooperation• JointCommitteeofWIEBandWesternConferenceofPublicService
Commissioners.• FocusedonimprovingtheeconomicefficiencyoftheWesternelectric
powersystem.
WesternInterstateEnergyBoard 4October20,2017
MorePortfolioItems
WesternEnergyImbalanceMarket– BodyofStateRegulators• Onepublicutilitycommissionerfromeachstatewithautilityparticipating
intheWesternEIM.• AdvisestheEIMGoverningBodyonEIMissues.
High-LevelRadioactiveWasteCommittee• CommitteeofWIEB.• CooperativeAgreementwithU.S.DOE-NE.• Focusedontransportationofspentnuclearfuelandhigh-levelradioactive
waste.
WesternInterstateEnergyBoard 5October20,2017
CurrentActivities
• RegionalizationofElectricityMarkets• WIEBWesternElectricityMarketForum• JointCREPC-WIRABMeetings
• BaseloadGeneration&EssentialReliabilityServices• WIRABCommentsonDOEStaffReportonReliabilityandResiliencePricing• WIRABAdvicetoFERConReliabilityandResiliencePricingNOPR• WIRABAdvicetoFERCPrimaryFrequencyResponseNOPR
• DeploymentofSolarPVintheWest• WIEBSunShotAwardfromUSDOE
WesternInterstateEnergyBoard 6October20,2017
April2014
April2015
April2016
April2016
April2014
ElectricityMarketExpansion
WesternInterstateEnergyBoard 7October20,2017
BenefitsofRegionalization
WesternInterstateEnergyBoard 8October20,2017
• WesternEIMbenefitstotaled$96.9millionin2016.
• Progressiontoaday-aheadmarketmakesperfectsense.
• EIMbenefitsderivedfromsecurityconstrainedeconomic“dispatch”ofgeneratingunits.
• Day-aheadbenefitscanbederivedfromsecurityconstrainedeconomic“commitment”ofgeneratingunits.
• Improvedsystemsecurityandsituationalawareness.
GovernanceConcerns
WesternInterstateEnergyBoard 9October20,2017
• Allstateswanttoretainauthorityto:• Implementstateenergypolicies• Determineprudenceofgenerationinvestment• Determineprudenceoftransmissioninvestment• Permitsitingofnewtransmissionlines
• Allstateswantimpartialmarketdesignandcostallocation
• Ifstatesallwantthesamethings,thenwhytheconcerns?
• Statesthinkotherstatesareseekingadvantages.Gametheory’sclassicprisoner’sdilemma.
IncrementalApproach
WesternInterstateEnergyBoard 10October20,2017
• One-timeonce-and-for-allthinkingdrivestheclassicdilemma.
• Bettertothinkintermsofalong-termpartnership(infinitelyrepeatedprisoner’sdilemma).
• Thinkintermsofincrementalsteps:• Real-timemarketsto…• Day-aheadmarketsto…• Resourceadequacyandinvestmentto...
WIEBWesternElectricityMarketForum
• Game-basemarketsimulationtrainingforregulatorsandpolicymakers• CollaborativeeffortwithStanfordUniversity
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CREPCResourceAdequacyDiscussions
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NWPP RMRG SRSG CA/MX WECC
DOEMarketsandReliabilityReport
WesternInterstateEnergyBoard 13October20,2017
SecretaryPerry’s“April14Memo”asked:
• Whethertheerosionofbaseloadpoweriscompromisingareliableandresilientgrid?
• Whetherthediversityofgenerationresourceshasdiminishedandwhetherthisisaproblemforgridreliabilityandresilience?
• Whetherthelossofbaseloadpowerismakingthegridlessaffordable?
• Whetherelectricitymarketsareadequatelycompensatingattributesthatstrengthengridreliabilityandresilience?
DOEReport:BaseloadTrends
WesternInterstateEnergyBoard 14October20,2017
• About70%ofthecoalplantsthatretiredbetween2010and2016hadacapacityfactoroflessthan50%intheyearpriortoretirement.
• Abouthalfofthefutureplannedcoalplantretirementsoperatedbelowa50%capacityfactorin2016.
• TheaveragecapacityfactorforallNGCCplantshasgrownfromabout40%in2008toroughly56%in2016,surpassingthatofcoal.
• Attheendof2016,thesystemhadmoredispatchablecapacitycapableofoperatingathighutilizationratesthanitdidin2002.
WIEB- StanfordSummerInternship
• BenjaminLimandMaxVilgalys
• Focusedonchangesinthedailygenerationpatternofcoal-firedgeneratingunitsintheWesternInterconnectionoverthe2001-2016timeperiod.
• EPA’sContinuousEmissionsMonitoringSystem(CEMS)Database• AllthermalelectricgeneratingunitsintheWest• 96CoalUnits,544NGUnits• HourlydataforHeatInput,Generation,Emissions,etc.• 96coalunitsx365daysx24hoursx16years=~13,455,360datapoints• 96coalunitsx365daysx16years=~560,640unit-daysofoperation
WesternInterstateEnergyBoard 15October20,2017
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HourlyCapacityFactors- 2016
WesternInterstateEnergyBoard 18October20,2017
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WesternInterstateEnergyBoard 19October20,2017
GenerationPatterns- 2001
WesternInterstateEnergyBoard 20October20,2017
52%oftheUnit-Dayswerebaseloadgeneration
GenerationPatterns- 2006
WesternInterstateEnergyBoard 21October20,2017
52%oftheUnit-Dayswerebaseloadgeneration
GenerationPatterns- 2011
WesternInterstateEnergyBoard 22October20,2017
27%oftheUnit-Dayswerebaseloadgeneration
GenerationPatterns- 2016
WesternInterstateEnergyBoard 23October20,2017
22%oftheUnit-Dayswerebaseloadgeneration
KeyFindings
• Coalfleetbaseloadoperationdecreasedfrom52%ofcoalunitoperatingdaysin2001to22%in2016intheWesternU.S.
• Coalfleetofflineoperationincreasedfrom9%ofcoalunitoperatingdaysin2001to21%in2016intheWesternU.S.
• In2001,53unitsoperatedinbaseloadmodeinmorethan50%oftheoperatingdays;only11exceededthisthresholdin2016.
• Since2011,themajorityofcoalunitshavespentlessthan30%oftheoperatingdaysinbaseloadoperation.
WesternInterstateEnergyBoard 24October20,2017
WIRABCommentsonDOEStaffReport
WIRABconfirmedtwoimportantfindingsintheU.S.DOEStaffReport:
1. Manycoal-firedgeneratingunitsthatwereusedforbaseloadgenerationinthepastarenolongeroperatinginthatroleatthistime.
2. BulkPowerSystemreliabilityisadequatetoday,buttherehasnotyetbeenmuchanalysisofhowmuchprimaryfrequencyresponsewillbeneededasthecompositionofthegridchanges,norhowbesttocomplementprimaryfrequencyresponsefromtraditionalsources.
WesternInterstateEnergyBoard 25October20,2017
WIEBSunShotAward
WesternInterstateEnergyBoard 26October20,2017
BarrierstoDeployment
• ThegoalistomitigateorevenremovebarrierstodistributedsolarPVdeploymentintheWesternU.S.
• Threetypesofbarriers:• lengthytimelines• utilityratedesigns• reliability
• Partners:NRELandLBNL
• TechnicalAdvisoryCommitteeMeeting:Oct.26-27,2017inFolsom,CA
WesternInterstateEnergyBoard 27October20,2017
OpportunitiesforEngagement
WIRABMonthlyTeleconferences:1st ThursdayEveryMonthat11a.m.Mtn.
Spring2018JointCREPC-WIRABMeeting:April18-20,2018inVancouverBC
WIEBAnnouncements:http://westernenergyboard.org/
Webinars:http://westernenergyboard.org/category/webinars/
WesternInterstateEnergyBoard 28October20,2017
Maury GalbraithWestern Interstate Energy Board
WesternInterstateEnergyBoard 29October20,2017
ThankYou