Experiences with Grid Integration of Wind Power in the Philippines

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1 Experiences with Grid Integration of Wind Power in the Philippines Wind Power: Accelerating Deployments in Emerging Wind Markets Asia Clean Energy Forum 6 June 2016 National Grid Corporation of the Philippines

2 Outline 1. Philippine Power System Background 2. Challenges on Wind Power Integration a) Remoteness of VRE b) Breach of Frequency Limits c) Forecast Errors 3. Renewable Energy Integration Study Results a) On Variability b) On Limited Predictability 4. Recommendations for successful RE Integration

3 System Peak Demand Year 2015 Total Demand: 12,214 MW Metro Manila Mindanao 1,517 MW 12% Visayas 1,768 MW 15% Cebu Luzon 8,928 MW 73% Mindanao Davao Load Distribution among the Main Grids Note: Transparent islands in the above map are not covered by NGCP s present network. Based on NGCP-SO recorded total demand (non-coincident)

4 System Peak Demand Based on DOE s Forecast as of Sep 11, 2015 MW 20,000 18,000 16,000 14,000 12,000 10,000 8,000 6,000 4,000 2,000 - Historical Annual Average Compounded Growth Rate (10-year period): Luzon: 3.26% Visayas: 6.22% Mindanao: 2.82% 4.04% 3.28% 6.23 % Forecast Luzon Visayas Mindanao Philippines

5 Philippine Generation Mix Wind 427 MW 2.12% Biomass / Bio-Diesel 181 MW 0.90% Oil Based 2,691 MW 13.35% Solar 724 MW 3.59% Geothermal 1,989 MW 9.87% Hydro 3,451 MW 17.12% Total Installed Capacity: 20,154 MW Natural Gas 3,927 MW 19.49% Coal 6,763 MW 33.56% *As of April 30, 2015

6 Variable Renewable Energy (VRE) Portfolio Wind Target: 2,345 MW by 2030 Total Installed: 427 MW Luzon Grid Wind: 337 MW Solar: 302 MW (4.40% penetration*) Solar Target: 500 MW by March 2016 and 1,528 MW by 2030 Total Installed: 693 MW Visayas Grid Wind: 90 Solar: 365 MW (14.71% penetration) Mindanao Grid Solar: 26 MW 1.01% penetration) *installed capacity penetration

7 Challenges on Wind Power Integration Remoteness of VRE Wind power is highly concentrated along the northern coast in Luzon where local electricity demand is low NGCP recently completed the first 230kV transmission extension dedicated on the northwest tip of Luzon and there is still 260 km remaining LAOAG CURRIMA O BAKU N BACNOTAN SAN ESTEBAN-LAOAG 230 KV T/L (2015) 120 km BANTAY SAN ESTEBAN SANTIAGO-TUGUEGARAO LINE 2 (2014) MAGA T 118 km NORTHERN LUZON 230 KV LOOPING 178 km GAMU SANTIAG O TUGUEGARAO-MAGAPIT 230 KV T/L 78 km TUGUEGARA O

8 Challenges on Wind Power Integration Breach of Frequency Limits %

9 Challenges on Wind Power Integration Breach of Frequency Limits(cont d) Possibly causes: HVDC is affecting the power quality in Luzon VRE generation Cyclic operation of Steel Mills Tripping of KSPP as pump Number of ALD incidents Higher peak demand and lower off-peak demand Synchronization of Sual unit with higher Pmin Although most VREs entered in the start of CY 2015 and the Frequency Limit Violations significantly increased in the first four (4) months compared to CY 2014, a comprehensive assessment is still ongoing to identify the root cause.

10 Challenges on Wind Power Integration Forecast Errors Regulating Reserve (RR) on minimum FLV s 60.3Hz Abrupt decrease of system demand 155 MW

11 REIS Results -Variability 1. There is no apparent change between load variability and net-load variability at low VRE capacity percentage. 2. At higher share, the effect on variability is salient issue if VREs are geographically concentrated, for example, the case in northern Luzon.

12 REIS Results -Limited Predictability 1. Limited predictability of VREs has stronger influence on the additional amount of required operational reserve than their variability. 2. Thus, the required operational reserves usually increase along with the growth of VRE.

13 Recommendations for Successful RE Integration -RE Transmission Corridors 1. A well coordinated power system planning is needed to synchronize the generation and transmission plans. 2. The following transmission plans is needed to accept more VREs to the Philippine Grid: a) Northern Luzon 230kV Looping - strategic project for RE developers to exploit the largest wind resources in Philippines. b) Cebu-Negro-Panay 230kV Backbone - critical interconnections to embrace green energy from Panay and Negros islands where wind farms as well as solar farms are growing.

14 VISAYAS 2020 Panitan Nabas 138 kv T/L Upgrading (Mar 2017) Panitan Nabas 138 kv Transmission Line 2 Project (Jun 2017) Load Growth Generation Entry System Reliability CNP 230 kv Backbone Project - Stage 1 (Dec 2017) Nabas-Caticlan-Boracay Transmission Project Stage 1 (Aug 2019) G PCPC Panay-Guimaras 138 kv Interconnection Project (Dec 2019) CNP 230 kv Backbone Project - Stage 3 (Dec 2020) CNP 230 kv Backbone Project - Stage 2 (Dec 2018) Legend: 230 kv 138 kv 69 kv

15 Recommendations for Successful RE Integration -Mitigation of Variability 1. Free governor or primary response should be rendered mandatory 2. Refining of reserve market mechanism will have a strong bias towards AGC and tertiary reserve for real-time balancing. 3. VREs should also be encouraged to be grid-friendly by providing energy storage and frequency response.

16 Recommendations for Successful RE Integration -Joint Efforts in VRE Forecasting 1. The key to a high quality forecast is the wider and more detailed meteorological data 2. The real-time VRE data should be made available and accessible to the System Operator for its short-term forecasts 3. The responsibility of VRE forecast should be effectively shared by VRE operators and system operator.

17 End of Presentation Thank you for your attention

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