richard perez | practical solar analysis
TRANSCRIPT
Richard PerezU. Albany, ASRC
© Richard Perez, et al.
NOT ENOUGH SUN,
NOT ENOUGH SPACE
NOT ENOUGH SUN,
NOT ENOUGH SPACE
Richard Perez, et al.
Each square foot in New York can generate 20 kWh of photovoltaic electricity per year
Richard Perez, et al.
Photograph courtesy of AltPower, Inc.
120 billion kWh / year
More than twiceCONED’s sales
73 million metric tonsCO2
(13 million cars)
© Richard Perez
© Richard Perez
Only 0.75% of New York’s area* would be needed to produce all the electricity used in the State
*using 10% PV conversion
Buildings, parking lots and roadways cover almost 3% of New York’s area © Richard Perez
© Richard Perez, et al.
Richard Perez, et al.
10 kW9 MW9 MW
© Richard Perez
All US electrical energy 25,000 km2 PV 0.32% US Land Area
© Richard Perez
Hydropower artificial lakes > 100,000 km2
7%US electricity
© Richard Perez
All World electrical energy from solar:0.07% World Land Area
© Richard Perez
World energy use16 TW-yr per year
~ 475 exajoules~ 460 Quads
World energy use16 TW-yr per year
~ 475 exajoules~ 460 Quads16
© R. Perez et al.
2 – 6 per year2 – 6 per year
COAL 1,8
Uranium 1,9
900Total reserve
900Total reserve
90-300Total
90-300Total
Petroleum 1,8
240total
240total
Natural Gas 1,8
215total
215total
WIND1,2
Waves11,3
0.2-2
25-70per year
25-70per year
OTEC1,4
Biomass 1,5
3 -11 per year3 -11 per year
HYDRO 1,6
3 – 4 per year3 – 4 per year
TIDES 1Geothermal1,70.3 – 2 per year0.3 – 2 per year
© R. Perez et al.
0.3 per year0.3 per year
16
FINITE ENERGYRESERVES
RENEWABLES
ANWR
2 – 6 per year2 – 6 per yearWorld energy use16 TW-yr per year
COAL 1,8
Uranium 1,9
900Total reserve
900Total reserve
90-300Total
90-300Total
Petroleum 1,8
240total
240total
Natural Gas 1,8
215total
215total
WIND1,2
Waves11,3
0.2-2
25-70per year
25-70per year
OTEC1,4
Biomass 1,5
3 -11 per year3 -11 per year
HYDRO 1,6
3 – 4 per year3 – 4 per year
TIDES 1
SOLAR10
23,000 per year
Geothermal1,70.3 – 2 per year0.3 – 2 per year
© R. Perez et al.
0.3 per year0.3 per year
ANWR
© R. Perez et al.
© R. Perez et al.
© R. Perez et al.
ENOUGH SUN &
ENOUGH SPACE
NO RELIABILITYENOUGH SUN &
ENOUGH SPACE
NO RELIABILITY
Richard Perez, et al.
SOLAR ENERGY IS RELIABLE IN NEW YORK
Power flow
© Richard Perez, et al.
8760 hours
Load Duration Curve
© Richard Perez et al.
ELECTRICAL DEMAND THROUGHOUT ONE YEAR
8760 hours
© Richard Perez et al.
ELECTRICAL DEMAND THROUGHOUT ONE YEAR
NO PV
PV at 10% Peak penetration 8760 hours
NO PV
PV at 10% Peak penetration 8760 hours
NO PV
PV at 10% Peak penetration
8760 hours
PV IMPACT AT 10% CAPCITY PENETRATION
Displacing highest stress
© Richard Perez et al.
NO PV
PV at 10% Peak penetration
8760 hours
Displacing highest stress
© Richard Perez et al.
Minimal Load Management or Storage
A/C electrical demand peak
Heat wave
© Richard Perez, et al.
SOLAR ENERGY IS RELIABLE IN NEW YORK
A/C electrical demand peak
Heat wave
© Richard Perez, et al.
NO PV
PV at 10% Peak penetration 8760 hours
Site-time specific PV output information
Typical (TMY) data not suitable
© Richard Perez, et al.
DAYLIGHT
MODELS
TILTED IRRADIANCE
Luminous efficacy
Vertical Diffuse Illuminances
-80
-60
-40
-20
020
4060
80
-80
-60
-40
-200
20406080
Cle
ar lo
w s
un b
lue
scal
e
Sky luminance Angular Distribution
DAYLIGHT
MODELS
TILTED IRRADIANCE
Luminous efficacy
Vertical Diffuse Illuminances
-80
-60
-40
-20
020
4060
80
-80
-60
-40
-200
20406080
Cle
ar lo
w s
un b
lue
scal
e
Sky luminance Angular Distribution
© R. Perez et al
Modeled Irradiance
SATELLITE-DERIVED SOLAR RESOURCE
DAYLIGHT
MODELS
TILTED IRRADIANCE
Luminous efficacy
Vertical Diffuse Illuminances
-80
-60
-40
-20
020
4060
80
-80
-60
-40
-200
20406080
Cle
ar lo
w s
un b
lue
scal
e
Sky luminance Angular Distribution
DAYLIGHT
MODELS
TILTED IRRADIANCE
Luminous efficacy
Vertical Diffuse Illuminances
-80
-60
-40
-20
020
4060
80
-80
-60
-40
-200
20406080
Cle
ar lo
w s
un b
lue
scal
e
Sky luminance Angular Distribution
© R. Perez et al
Modeled Irradiance
1998 – 2006NSRDB NREL1998 – 2006NSRDB NREL
2007 – Real TimeClean Power ResearchSolarAnywhere R
2007 – Real TimeClean Power ResearchSolarAnywhere R
1-hour to 7-Day Forecasts
8000
8500
9000
9500
10000
10500
11000
11500
12000
Lo
ad
(M
W)
NYC LOAD
NYC LOAD with 1000 MW PV
Summer 2006 peak demand day New York City
© Richard Perez, et al.
Commonwealth Edison Minnesota Power and Light Indianapolis Power & Light First Energy Wisconsin Public Service Corp Central Illinois Light Co Wisconsin Electric Power Co Northern States Power Ameren Illinois Power Company
Tennessee Valley Authority City of Chattanooga
Lincoln Electric System Colorado Public Service Co Omaha Public Power District
Jacksonville Electric Authority Tampa Electric Florida Power and Light
HAWAIIAN ELECTRIC
Black Hills Corporation Idaho Power Company
Central Maine Power Consolidated Edison Orange and Rockland Cambridge Electric Light Co Boston Edison United Illuminating Co Rochester Gas & Electric
Seattle Dept. of LightingBonneville Power Administration
Portland General
Golden Spread Electric Coop City of Austin
Tucson Electric Salt River Project
Arizona Public Service SMUD
S.Diego Gas & Electric Co Pacific Gas & Electric
Nevada Power
© Richard Perez et al., ASRC
source: RReDC
Effective View
Traditional View
ENERGY
CAPACITY
Highest CapacityIdeally Dispatchable Power Plant
Lowest Capacity Random Energy output Power Plant
© Richard Perez, et al.
0% 20% 40% 60% 80% 100%
Seattle Dept. of Lighting
Bonneville Power Administration
Minnesota Power and Light
Portland General
Tennesee Valley Authority
Jacksonville Electric Authority
Central Maine Power
Hawaiian Electric
Commonwealth Edison
Tampa Electric
Indianapolis Power & Light
City of Chattanooga
Florida Power and Light
First Energy
Consolidated Edison
Wisconsin Public Service Corp
Black Hills Corporation
Central Illinois Light Co
Orange and Rockland
Wisconsin Electric Power Co
Northern States Power
Cambridge Electric Light Co
Boston Edison
Ameren
Tucson Electric
United Illuminating Co
Illinois Power Company
Lincoln Electric System
Salt River Project
Colorado Public Service Co
Golden Spread Electric Coop
Arizona Public Service
Omaha Public Power District
Rochester Gas & Electric
SMUD
S.Diego Gas & Electric Co
Pacific Gas & Electric
Nevada Power
Idaho Power Company
2-axis-tracking reference ELCC
2002-03experimentalvalues .1991-estimates
EFFECTIVE CAPACITY
1991-2003 tendencies
© Richard Perez et al., ASRC
2000-2005 Anomaly
2000-2005 Anomaly
Northeast US – AUG 14th, 2003
Perez et al., ASRC
Detroit
Cleveland
Toronto
NYC
Boston
© Richard Perez, et al.
Detroit
Cleveland
Toronto
NYC
Boston
Northeast Electrical Island Boundary
Sub-Island with enough generation to meet demand
Sub-Islands with insufficient generation to meet demand X
© Richard Perez, et al.
NYC $1 Billion(Reuters)
$1.1 Billion(The Guardian)
US-Can $6.8 - $10.3 B(ICF Consulting)
Perez et al., ASRC
Perez et al., ASRC
20:00 GMT20:00 GMT19:00 GMT19:00 GMT
18:00 GMT18:00 GMT17:00 GMT17:00 GMT
As little as 500 MW of PV dispersed around the major northeastern cities would have prevented the blackout
An investment of $ 3 billion
Outage cost $ 8 billion
© Richard Perez, et al.
© Richard Perez, et al.\
SHORT-TERM VARIABILITY IMPLICATIONS FOR THE POWER GRID
© Richard Perez, et al.\
Very High Penetration Storage & Load Management
-500
0
500
1000
1500
2000
Net L
oad
(MW
)
Solar Generation Peaking storage utilization
Normal storage or variable gen Excess solar to storage
Base Load
16000
12000
8000
4000
0
-4000
© Richard Perez, et al.
ENOUGH SUN &
ENOUGH SPACE
RELIABLE PEAKER
TOO EXPENSIVE…..ENOUGH SUN &
ENOUGH SPACE
RELIABLE PEAKER
TOO EXPENSIVE…..
Richard Perez, et al.
Richard Perez, et al.
TOO
EXPENSIVE
What is the value of PV for New York?System Owners Utility Constituents
Equipment cost
Incentives benefit cost
Utility Bill benefit cost
Tax Effects benefit cost
Utility Cost Savings benefit
Constituent Benefits benefit
Net Benefit ??? ??? ???
Value to
© Richard Perez & Thomas Hoff
What is the value of PV for New York?System Owners Utility Constituents
Equipment cost
Incentives benefit cost
Utility Bill benefit cost
Tax Effects benefit cost
Utility Cost Savings benefit
Constituent Benefits benefit
Net Benefit ??? ??? ???
Value to
© Richard Perez & Thomas Hoff
What is the value of PV for New York?System Owners Utility Constituents
Equipment cost
Incentives benefit cost
Utility Bill benefit cost
Tax Effects benefit cost
Utility Cost Savings benefit
Constituent Benefits benefit
Net Benefit ??? ??? ???
Value to
© Richard Perez & Thomas Hoff
What is the value of PV for New York?System Owners Utility Constituents
Equipment cost
Incentives benefit cost
Utility Bill benefit cost
Tax Effects benefit cost
Utility Cost Savings benefit
Constituent Benefits benefit
Net Benefit ??? ??? ???
© Richard Perez & Thomas Hoff
What is the value of PV for New York?System Owners Utility Constituents
Equipment cost
Incentives benefit cost
Utility Bill benefit cost
Tax Effects benefit cost
Utility Cost Savings benefit
Constituent Benefits benefit
Net Benefit ??? ??? ???
© Richard Perez & Thomas Hoff
What is the value of PV for New York?System Owners Utility Constituents
Equipment cost
Incentives benefit cost
Utility Bill benefit cost
Tax Effects benefit cost
Utility Cost Savings benefit
Constituent Benefits benefit
Net Benefit ??? ??? ???
© Richard Perez & Thomas Hoff
What is the value of PV for New York?System Owners Utility Constituents
Equipment cost
Incentives benefit cost
Utility Bill benefit cost
Tax Effects benefit cost
Utility Cost Savings benefit
Constituent Benefits benefit
Net Benefit ??? ??? ???
© Richard Perez & Thomas Hoff
What is the value of PV for New York?System Owners Utility Constituents
Equipment cost
Incentives benefit cost
Utility Bill benefit cost
Tax Effects benefit cost
Utility Cost Savings benefit
Constituent Benefits benefit
Net Benefit ??? ??? ???Energy Production ValueGeneration Capacity ValueT&D capacity deferral valueLoss savingsEnvironmental compliance value Fuel price hedge protection © Richard Perez & Thomas Hoff
System Owners Utility Constituents
Equipment cost
Incentives benefit cost
Utility Bill benefit cost
Tax Effects benefit cost
Utility Cost Savings benefit
Constituent Benefits benefit
Net Benefit ??? ??? ???Energy Production ValueGeneration Capacity ValueT&D capacity deferral valueLoss savingsEnvironmental compliance value Fuel price hedge protection
Energy Production ValueGeneration Capacity ValueT&D capacity deferral valueLoss savingsEnvironmental compliance value Fuel price hedge protection
Long-term, system-wide rate protection Environmental health benefits Business development opportunities (job and business creation) Use of in-state resource and reduction of state importsPower grid security enhancement Disaster recovery
Long-term, system-wide rate protection Environmental health benefits Business development opportunities (job and business creation) Use of in-state resource and reduction of state importsPower grid security enhancement Disaster recovery
INITIAL EVALUATION© Richard Perez & Thomas Hoff
What is the value of PV for New York?System Owners Utility Constituents
Equipment cost
Incentives benefit cost
Utility Bill benefit cost
Tax Effects benefit cost
Utility Cost Savings benefit
Constituent Benefits benefit
Net Benefit ??? ??? ???
Energy Production ValueGeneration Capacity ValueT&D capacity deferral valueLoss savingsEnvironmental compliance value Fuel price hedge protection
Energy Production ValueGeneration Capacity ValueT&D capacity deferral valueLoss savingsEnvironmental compliance value Fuel price hedge protection
Long-term, system-wide rate protection Environmental health benefits Business development opportunities (job and business creation) Use of in-state resource and reduction of state importsPower grid security enhancement Disaster recovery
Long-term, system-wide rate protection Environmental health benefits Business development opportunities (job and business creation) Use of in-state resource and reduction of state importsPower grid security enhancement Disaster recovery
INITIAL EVALUATION© Richard Perez & Thomas Hoff
LONGISLAND
WEST
CAPITAL
INITIAL EVALUATION
3 CASE STUDIES
Energy Production ValueGeneration Capacity ValueT&D capacity deferral valueLoss savingsEnvironmental compliance value Fuel price hedge protection
Energy Production ValueGeneration Capacity ValueT&D capacity deferral valueLoss savingsEnvironmental compliance value Fuel price hedge protection © Richard Perez & Thomas Hoff
ENERGY PRODUCTION VALUE
LONGISLAND
WEST
CAPITAL
LBMPLocation Based Marginal Pricing
ALL YEAR PV Geometry AVERAGE
Location Southest 30o Tilt PRICELong Island 109$ 93$ Capital 78$ 73$ West 62$ 55$ SUMMER PV Geometry AVERAGE
Location Southest 30o Tilt PRICELong Island 123$ 91$ Capital 81$ 69$ West 73$ 60$
PV Value / MWh
© Richard Perez & Thomas Hoff
LONGISLAND
WEST
CAPITAL
CONGESTIONPenalty
PV Value / MWhALL YEAR PV Geometry AVERAGE
Location Southest 30o Tilt PRICELong Island (34)$ (24)$ Capital (7)$ (8)$ West (2)$ (2)$ SUMMER PV Geometry AVERAGE
Location Southest 30o Tilt PRICELong Island (39)$ (19)$ Capital (2)$ (1)$ West -$ -$
ENERGY PRODUCTION VALUE
© Richard Perez & Thomas Hoff
LONGISLAND
WEST
CAPITAL
GENERATION CAPACITY VALUE
© Richard Perez & Thomas Hoff
LONGISLAND
WEST
CAPITAL
0%
20%
40%
60%
80%
100%
2% 5% 10% 15% 20%
Grid Penetration
Ca
pa
cit
y C
red
itCapacity Credit L.Island
Capacity Factor L.Island
0%
20%
40%
60%
80%
100%
2% 5% 10% 15% 20%
Grid Penetration
Ca
pa
cit
y C
red
it
Capacity Credit L.Island
Capacity Credit Capital
Capacity Factor L.Island
Capacity Factor Capital
0%
20%
40%
60%
80%
100%
2% 5% 10% 15% 20%
Grid Penetration
Ca
pa
cit
y C
red
it
Capacity Credit WestCapacity Credit L.IslandCapacity Credit CapitalCapacity Factor WestCapacity Factor L.IslandCapacity Factor Capital
ELCC-SLC COMPOSITE CAPACITY CREDIT
© Richard Perez & Thomas Hoff
GENERATION CAPACITY VALUE
Unlike energy, is not a directly traded commodity
But it can be estimated:
• NYISO DR programs provide up to $100 per kW per year for stand-by customer-sited capacity that may, or may not be called upon.
• Demand-based tariffs e.g., $180/kW per year upstate (National Grid) and $250/kW per year downstate (ConEdison).
© Richard Perez & Thomas Hoff
GENERATION CAPACITY VALUE
Unlike energy, not a directly traded commodity
But it can be estimated:
• NYISO DR programs provide up to $100 per kW per year for stand-by customer-sited capacity that may, or may not be called upon.
• Demand-based tarrifs e.g., $180/kW per year upstate (National Grid) and $250/kW per year downstate (ConEdison).
X
4.5 ¢ per kWh Displaced capacity
ALL YEAR PV Geometry AVERAGE
Location Southest 30o Tilt PRICELong Island 109$ 93$ Capital 78$ 73$ West 62$ 55$ SUMMER PV Geometry AVERAGE
Location Southest 30o Tilt PRICELong Island 123$ 91$ Capital 81$ 69$ West 73$ 60$
10.9 ¢ per kWh Displaced energy
15.4 ¢ per kWh value of net metered systems in L.I.
+
Net-metered retail rate in L. I. 20 ¢ per kWh
© Richard Perez & Thomas Hoff
Energy Production ValueGeneration Capacity ValueT&D capacity deferral valueLoss savingsEnvironmental compliance value Fuel price hedge protection
Energy Production ValueGeneration Capacity ValueT&D capacity deferral valueLoss savingsEnvironmental compliance value Fuel price hedge protection
15.4 ¢ per kWh Value to utility
Net-metered retail rate in L. I. 20 ¢ per kWh
77%
Cost to utility
Value to Cost Ratio
77%
Very likely that utilityVALUE TO COST RATIO
>>100%
Long-term, system-wide rate protection Environmental health benefits Business development opportunities (job and business creation) Use of in-state resource and reduction of state importsPower grid security enhancement Disaster recovery
Long-term, system-wide rate protection Environmental health benefits Business development opportunities (job and business creation) Use of in-state resource and reduction of state importsPower grid security enhancement Disaster recovery
© Richard Perez & Thomas Hoff
Thanks for your attention