Envisioning a Renewable Electricity Future for the United States

Size: px
Start display at page:

Download "Envisioning a Renewable Electricity Future for the United States"

Transcription

1 Envisioning a Renewable Electricity Future for the United States Trieu Mai, Ph.D. GCEP Net Energy Analysis Workshop April 1, 215 Stanford University, CA NREL is a national laboratory of the U.S. Department of Energy, Office of Energy Efficiency and Renewable Energy, operated by the Alliance for Sustainable Energy, LLC.

2 2 Today s discussion Current status of U.S. renewables Motivation for studying high RE futures Renewable Electricity Futures study + updates Brief look at new Wind Vision Study Conclusions

3 3 Renewables currently make up a small fraction of total U.S. electricity generation In 213, ~12% of total generation from RE sources ~6% from non-hydro RE Source: data from EIA electric power monthly

4 4 Renewables currently make up a small fraction of total U.S. electricity generation In 213, ~12% of total generation from RE sources ~6% from non-hydro RE Source: data from EIA electric power monthly U.S. RE [wind] penetration considerably lower than other countries (although some states IA, SD, KS have comparable ~2+% levels)

5 Renewables currently make up a small (but growing) fraction of total U.S. electricity generation Wind Source: 213 Wind Technologies Market Report Solar PV Source: Tracking the Sun VII 5

6 Regional and instantaneous penetration levels can be much higher Source: AWEA 214 6

7 Regional and instantaneous penetration levels can be much higher The Duck Curve Source: CAISO 213 Source: AWEA 214 7

8 RE technical potential is significantly greater than electricity demand in the U.S. 8 Biopower ~1 GW Stand-alone Cofired with coal Hydropower ~2 GW Run-of-river Solar CSP ~37, GW Trough With thermal Tower storage Solar PV ~8, GW (rooftop PV ~7 GW) Residential Commercial Utility-scale Geothermal ~36 GW Hydrothermal Wind ~1, GW Onshore Offshore fixed-bottom Current total installed capacity in the U.S. is ~1 GW Annual electricity demand in the U.S. is <4, TWh

9 RE technical potential is significantly greater than electricity demand in the U.S. especially true for solar 9 Meeting all of U.S. demand with current PV technologies would require about m 2 per person. U.S. area per capita (m 2 ): - Total: 3,914 - Roofs: 65 - Golf Courses: 34 - Corn Ethanol 219

10 Source: 213 Wind Technologies Market Report Source: Tracking the Sun VII 1 RE technology costs/prices continue to decline Wind Solar PV

11 RE technologies have very low life cycle GHG emissions and water requirements 11 + other potential social and environmental benefits air pollution (SO2, NOx, PM) energy resiliency? fuel diversity? net energy?

12 12 But can we really have a grid mostly reliant on RE? Why not? the diffuse and remote nature of the resource? the sun doesn t always shine and the wind doesn t always blow so massive amounts of storage will be needed? massive amounts of backup will be very costly and generate lots of emissions? our grid can take up some (<2%) RE but beyond that it will break? Using advanced models, NREL scenario analysis and integration studies are designed to rigorously tackle some of these issues

13 Renewable Electricity Futures Report Volume 1 Exploration of High-Penetration Renewable Electricity Futures Volume 2 Renewable Electricity Generation and Storage Technologies Volume 3 End-Use Electricity Demand Volume 4 Bulk Electric Power Systems: Operations and Transmission Planning RE Futures (NREL 212) is a U.S. DOE-sponsored collaboration with more than 11 contributors from 35 organizations including national labs, industry, universities, and non-governmental organizations. + updates from Mai et al. (214). Energy. Vol. 65(1) pp And recently (3/12/215) released DOE Wind Vision (energy.gov/windvision) 13

14 Modeling Framework ABB inc. GridView (hourly production cost) Black & Veatch Technology Teams Flexible Resources End-Use Electricity System Operations Technology cost & performance Resource availability Demand projection Demand-side technologies Grid operations Transmission costs rooftop PV penetration 25 mix of generators does it balance hourly? Transmission Implications GHG Emissions Water Use Land Use Direct Costs Capacity & Generation

15 A Transformation of the U.S. Electricity System RE generation from technologies that are commercially available today, in combination with a more flexible electric system, is more than adequate to supply 8% of total U.S. electricity generation in 25 while meeting electricity demand on an hourly basis in every region of the country. 15

16 Transitioning from today s system to one with 8% RE generation will largely avoid future fossil fuel-based electricity generation 16 Under High (or BAU) Demand Growth High-Demand Baseline High-Demand 8% RE-ITI

17 Transitioning from today s system to one with 8% RE generation will largely avoid future fossil fuel-based electricity generation 17 Under Lower Demand Growth (or higher energy efficiency) Low-Demand Baseline Low-Demand 8% RE-ITI

18 All RE technologies will be relied upon, but especially variable generation (wind and solar PV): 49-55% VG penetration levels >1 GW of RE capacity will be needed (>4 GW per year in the 24s) to achieve 8% RE by 25 Type and amount of RE chosen will depend strongly on o o o o Future technology cost and performance improvements Resource accessibility (e.g. siting) Ability to develop new transmission infrastructure Flexibility of the future grid 18

19 All regions of the country could contribute substantial renewable electricity supply in % RE-ITI scenario

20 Electricity supply and demand can be balanced in every hour of the year in each region with 8% electricity from renewable resources* 2 *Full reliability analysis not conducted in RE Futures 8 8 Peak Jul-16 Jul-16 Jul-17 Jul-17 Jul-18 Jul-18 Jul-19 Jul Jul-16 Jul-16 Jul-17 Jul-17 Jul-18 Jul-18 Jul-19 Jul-19 Curtailment Wind PV Gas CT Gas CC Hydropower CSP Coal Biopower Geothermal Nuclear Shifted Load Load 8 8 Off-Peak Apr-3 Apr Apr-3 Apr-3 Curtailment Wind PV Gas CT Gas CC Hydropower CSP Coal Biopower Geothermal Nuclear Shifted Load Load Baseline scenario 8% RE-ITI scenario

21 Electricity supply and demand can be balanced in every hour of the year in each region with 8% electricity from renewable resources* 21 *Full reliability analysis not conducted in RE Futures 8 8 Peak Jul-16 Jul-16 Jul-17 Jul-17 Jul-18 Jul-18 Jul-19 Jul Jul-16 Jul-16 Jul-17 Jul-17 Jul-18 Jul-18 Jul-19 Jul-19 Curtailment Wind PV Gas CT Gas CC Hydropower CSP Coal Biopower Geothermal Nuclear Shifted Load Load 8 8 Off-Peak Apr-3 Apr Apr-3 Apr-3 Curtailment Wind PV Gas CT Gas CC Hydropower CSP Coal Biopower Geothermal Nuclear Shifted Load Load Baseline scenario 8% RE-ETI scenario

22 Electricity supply and demand can be balanced in every hour of the year in each region with 8% electricity from renewable resources* 22 *Full reliability analysis not conducted in RE Futures 8 8 Peak Jul-16 Jul-16 Jul-17 Jul-17 Jul-18 Jul-18 Jul-19 Jul Jul-16 Jul-16 Jul-17 Jul-17 Jul-18 Jul-18 Jul-19 Jul-19 Curtailment Wind PV Gas CT Gas CC Hydropower CSP Coal Biopower Geothermal Nuclear Shifted Load Load 8 8 Off-Peak Apr-3 Apr Apr-3 Apr-3 Curtailment Wind PV Gas CT Gas CC Hydropower CSP Coal Biopower Geothermal Nuclear Shifted Load Load Baseline scenario Constrained Transmission scenario

23 A more flexible electric power system is needed to enable electricity supplydemand balance with high levels of RE generation 23

24 Installed capacity is sufficient to meet summer afternoon peak demand from diverse reserves Installed Capacity (GW) 24 1,4 Storage 1,2 1, Firm capacity provided by some RE generators, conventional generators, and storage

25 System flexibility provided through increased ramping and startup-shutdown of conventional generators, particularly in low-demand periods Baseline scenario 8% RE-ITI scenario Coal 9 Gas CC Apr-3 Apr Gas CT Apr-3 Apr Apr-3 Apr-3 45 Coal Gas CC Apr-3 Apr Gas CT Apr-3 Apr Apr-3 Apr-3 25

26 Dispatchable renewable generators and storage provide system flexibility by shifting operation to periods of high net load 26 Source: Denholm et al. (212) Dispatch of CSP with thermal storage in Western Interconnection (8% RE ITI)

27 Coordination across wider areas and faster markets help to manage variability (see WWSIS 2, Energy Imbalance Market, & other studies for additional examples) ERCOT Apr-3 Eastern Interconnect Apr-3 Apr-3 Apr-3 Curtailment Wind PV Gas CT Gas CC Hydropower CSP Coal Biopower Geothermal Nuclear Shifted Load Load Curtailment Wind PV Gas CT Gas CC Hydropower CSP Coal Biopower Geothermal Nuclear Shifted Load Load WECC Contiguous U.S. Constrained Transmission Scenario (Worst 4 days) Apr-3 Apr-3 Apr-3 Apr-3 Curtailment Wind PV Gas CT Gas CC Hydropower CSP Coal Biopower Geothermal Nuclear Shifted Load Load Curtailment Wind PV Gas CT Gas CC Hydropower CSP Coal Biopower Geothermal Nuclear Shifted Load Load 27

28 Curtailment (TWh) Curtailment can be used strategically to reduce variability in the net load East WECC ERCOT 8-1% of wind, solar, hydropower curtailed in 25 under 8% RE scenarios Curtailment can be reduced through increased transmission capacity, more-flexible generators, storage, and demand-side applications (e.g., controlled PHEV charging) 28

29 As RE deployment increases, additional transmission infrastructure is required In most 8%-by-25 RE scenarios, million MW-miles of new transmission lines are added. However, 8% RE is achievable even when transmission is severely constrained (39 million MW-miles) which leads to a greater reliance on local resources (e.g. PV, offshore wind). 29

30 High renewable electricity futures can result in deep reductions in electric sector greenhouse gas emissions and water use Annual Electric Sector Consumption (Quads) 8% RE scenarios 3 8% RE (NG) 8% RE (coal) Baseline (NG) Baseline (coal) Year Gross Land Use Comparisons ( km 2 ) Biomass All Other RE All Other RE (disrupted) 4-1 Transmission & Storage 3-19 Total Contiguous U.S. 7,7 29 Corn Production* 35 Major Roads** 5 Golf Courses ** 1 * USDA 21, **Denholm & Margolis 28 8% RE scenarios lead to: ~7-8% reduction in 25 generation from both coal-fired and natural gas-fired sources ~7-8% reduction in 25 GHG emissions (combustion-only and life cycle) ~5% reduction in electric sector water use Gross land use totaling <3% of contiguous U.S. area; other related impacts include visual, landscape, noise, habitat, and ecosystem concerns.

31 Side note: WWSIS2 (213) examined costs of cycling, emissions impacts of cycling, and compare wind and solar impacts 31 Key finding: Emissions impacts of cycling are relatively small Modeled 33% combined wind/solar scenarios in the Western Interconnection Used commercial software PLEXOS to model grid operations on 5 minute basis

32 Incremental cost associated with high RE generation is comparable to published cost estimates of other clean energy scenarios updated scenarios 8% RE scenarios are estimated to have similar incremental cost compared with EIA and EPA scenarios that have similar levels of carbon emission reductions With updated technology costs, fossil fuel price projections, and retirements, incremental costs for 8% RE are estimated to be lower

33 Hot off the press on March 12: Wind Vision Study energy.gov/windvision 33 Documentation of the current state of wind Exploration of the potential pathways for wind Quantification of the costs, benefits, and other impacts associated with continued deployment and growth of U.S. wind power; and Identification of actions and future achievements that could support continued growth

34 Summary of cost/benefits/impacts of transitioning to 35% wind by 25 34

35 Summary of cost/benefits/impacts of transitioning to 35% wind by 25 35

36 36 Conclusions Extensive analysis has demonstrated the feasibility of deriving up to ~2% of the nation s electricity from wind and solar with little cost penalty, significant emissions reductions, and no impact on reliability At ~2-35%, some changes to systems operation are likely needed (e.g. increased cooperation across large areas) Detailed and rigorous explorations beyond ~35% have only recently started, but early results indicate: o It is possible, but many more sources of grid flexibility (e.g. DR, storage, transmission) will be needed o While marginal benefits of RE begin to decrease due to the limited correlation of supply/demand, an RE-heavy pathway to achieve deep environmental and social benefits appears to be viable

37 37 A future U.S. electricity system that is largely powered by renewable sources is possible, and further work is warranted to investigate this clean generation pathway.

38 Questions?