Elec Pwr Conf Baltimore 2012 5-17-2012 SJ FINAL

Combined Heat & Power with Spinning Reserve (CHP-SR):Helping the utility profitably meet renewable power mandates

Suresh Jambunathan Recycled Energy Development LLCRecycled Energy Development, LLCPh: 630-335-4544E-mail: [email protected]

14th Electric Power Conference Baltimore MD14th Electric Power Conference, Baltimore, MD

May 17, 2012

RED | the new green www.recycled-energy.com

Overview

Macro power supply trends and intermittent renewable energy

Why is Combined Heat & Power with Spinning Reserve (CHP-SR) a powerful solution?

CHP-SR: what's needed to commercialize?


Recent "Power Engineering" headlines

WIND up

SOLAR up

GAS up

COAL down


The shift is all over the map


Economics, policies and politics are powering this trendp g

Nat. Gas ($/MMBtu) at Henry Hub, 5-9-2012


Power Eng, May 2012

Energy waste at a coal fired remote grid Electric Generation Plant. Craig, COElectric Generation Plant. Craig, CO

• Two-thirds of the fuel’s energy is vented to atmosphere• Coal is widely perceived as a polluting fuel.


Hence the "argument" for Renewables: What's not to like?What s not to like?

Renewables Supply Renewables Storage

Wind Batteries

Solar Flywheels

Geothermal Compressed Air

Tidal

Hydro Pumped Hydro


7

In one phrase… "predictably unpredictable"!

R bl l

r,M

W

Renewable power supply

Pow

er

Time (hr day week)

Power demand

Steady demand Vs fluctuating supply

Time (hr, day, week)

Steady demand Vs fluctuating supply


Terminology

• Heat Rate (HR):• Energy consumed / power generated• Energy consumed / power generated• Electric HR >= CHP HR >= Net Economic HR

S i i R G T bi (SRGT)• Spinning Reserve Gas Turbine (SRGT):A Gas Turbine that continually varies power output to balance variable renewable power generation

• Combined Heat & Power with Spinning Reserve (CHP-SR):• SRGT operating in CHP mode• The CHP-SR system is thermally matched and normally operates at• The CHP-SR system is thermally matched and normally operates at

reduced gas turbine power output• On grid operator command, the gas turbine continually varies power

output to balance renewable power generation


Current situation: Separate and wasteful supply of thermal energy & Spinning Reserve electricityof thermal energy & Spinning Reserve electricity

f f

Gas: 100 MMBtu/Hr

Boiler

Eff = 80%

Steam: 80 MMBtu/Hr

A. Refinery boiler satisfies site steam load

Gas: 140 25 MW SRGT 10 MW Gas: 250 25 MW SRGT 25 MW

B. Spinning Reserve gas turbine balances renewable power supplyGas: 140 25 MW SRGT

HR = 14,000

10 MW Gas: 250 25 MW SRGT

HR = 10,000

25 MW

GT power cycles 40% to 100%

GT Eff ~ 24% GT Eff ~ 34%I ffi i t ti

RESULTS:Total Nat Gas 240 350 MMBtu/Hr

G % G 3 %Inefficient operation


Total Nat. Gas 240 - 350 MMBtu/Hr

CHP-SR is a "powerful" alternative: Grid continually ramps Gas Turbine output to y p pbalance renewable power supply

A A il bl SR 15 MW ( ) B A il bl SR 0 MW

*HRSG incl. LTE

Q 76%

Steam: 80 MMBtu/Hr *HRSG incl. LTE

Q 49%

Steam: 80

A. Available SR = 15 MW (25 - 10) B. Available SR = 0 MW (25 - 25)

25 MW SRGT140 10 MW

105

Qabs ~ 76%

25 MW SRGT250 25 MW

164

Qabs ~ 49%

HR = 14,000 HR = 10,000GT power cycles

40% to 100%

CHP Eff ~ 82% CHP Eff ~ 66%CHP "dividend"

Fuel & GHG emissions saved: 41% to 28%

CHP-SR is an instantly available virtual energy storage system


CHP SR is an instantly available, virtual energy storage system

* HRSG: Heat Recovery Steam Generator; LTE: Low Temperature Economizer

CHP-SR's superior heat rate manifests as fuel savings and… reduced GHG emissions

e

savings and… reduced GHG emissions

140%nam

epla

te 140%at

e, %

of CHP-SR "dividend"100%

Hea

t Ra

60%

GT output, % of nameplate30% 100%

CHP SR incremental Heat Rate ~ 7 MMBtu/MWHr


CHP - SR benefits multiple stakeholders

BENEFIT to GRID• Grid stability ==> increase renewables share of generation fleetGrid stability > increase renewables share of generation fleet • Avoid stand-alone SR gas turbine costs - CapEx, OpEx and fuel• Keep thermal host as power customer• Other:

t• ramp rate• active power factor support• reduced line losses

BENEFIT to THERMAL HOST (REFINERY)• Reduced cost steam• Reliable power supply

BENEFIT to SOCIETY• Minimize GHG emissions,

R d ll ti• Reduce pollution• Sustainable energy supply


Policies to advance CHP-SR

Qualify CHP-SR recycled energy projects for renewable efficiency standards by recognizing the virtual energy storage benefits providedstandards by recognizing the virtual energy storage benefits provided

Grid operators offer long-term contracts and pay for the incrementalcosts of added generation on pass-through basis

Allow CHP-SR developers to capture value of grid avoided investments in Transmission & Distribution and also other benefits like local power factor supportp pp


Energy recycling projects: What's required?

Technical & EnvironmentalH t i d t i lHost industrial processes

Power generation

Waste heat recovery & reuse

Legal & RegulatoryLong-term contracts

Electricity regulationsElectricity regulations

Financial

F t iFocus on core competenciesRefineries may lack resources to design, build, fund and operate energy recycling facilities – a non-core business

Grid operators may lack skills to recycle otherwise wasted energy


Grid operators may lack skills to recycle otherwise wasted energy

Thank you for your interest. Questions?

CHP - SR benefits multiple stakeholders

• Grid / local utility• Thermal host (eg: Refinery)• Society

CONTACT:Suresh Jambunathanh 630 335 4544phone: 630-335-4544

e-mail: [email protected]: www.recycled-energy.com


Documents

Elec Pwr Conf Baltimore 2012 5-17-2012 SJ FINAL