ELECTRIC POWER 2010
As U.S. utilities increase the percentage of renewable energy in their generation portfolio, they must deal with a number of key issues related to selecting specific technologies. Additionally, they must figure out what it will take to make renewables emerge as a mainstream generating option in the future.
U.S. utilities are increasingly selecting renewable energy technologies for power generation, prompted by state renewable energy portfolio standards (RPS) requirements and several other criteria unique to their generation mix. Reflecting the growing impact that renewable energy sources are having on the industry, this year’s ELECTRIC POWER Conference offered a session titled “Utility Perspectives on Renewable Power—Panel Discussion,” which featured a lively exchange about this complex topic.
The speakers included Mike Smith, senior vice-president of Green Initiatives at Constellation Energy; Mike Turner, process supervisor at American Electric Power’s (AEP) Rockport Power Plant; Dr. Sarah Kurtz, principal scientist with the U.S. Department of Energy’s (DOE) National Renewable Energy Laboratory (NREL); and Dr. Allen Hoffman, senior analyst with the DOE’s Office of Energy Efficiency and Renewable Energy. In addition, Mark Kapner, PE, senior strategy engineer with Austin Energy in Austin, Texas, shared his utility’s efforts to integrate renewable energy into its portfolio mix. I cochaired the session with Vas Choudhry, strategic marketing program manager, GE Energy, Global Marketing.
Efforts to Integrate Renewables
“Austin Energy currently has five power purchase agreements for wind (projects in operation) and one for solar (project in development),” Kapner said. “The five wind projects contribute 10.6% of our total megawatt-hours.”
When asked how much renewable power can be accommodated by the existing system for a given state, region, or utility, Kapner responded that the answer depends on how much flexible generating capacity the balancing area currently has. For example, flexible generation can be ramped up or down at a rate equal to the maximum ramping rate of the wind or solar generating units.
In contrast to Austin Energy, AEP has tried cofiring coal and sawdust but still had some emission issues to deal with. AEP also has tried different biomass ventures, according to Turner.
“At AEP, we’re also trying carbon sequestration,” Turner said. “However, the issue is whether the PUC [Public Utility Commission] will let you put [it] in your rate base. We found that you have to get the PUC to let you put it in your rate base.”
Hoffman, the DOE analyst, focused on current challenges that are slowing the adoption of renewable energy by utilities: “At the present time, the two biggest barriers for renewables in the U.S. are that we haven’t yet developed successful energy storage technology and we don’t have a national grid.”
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