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New York State Energy Research and Development Authority seeks renewable energy supplies

January 22, 2021

by Paul Ciampoli
APPA News Director
January 22, 2021

The New York State Energy Research and Development Authority (NYSERDA) is looking to procure Tier 4 eligible renewable energy certificates (RECs) under a solicitation issued on Jan. 13.

NYSERDA said it is looking to negotiate contracts for up to an aggregate 1,500 megawatts but may exceed this quantity if it receives proposals that are sufficiently compelling.

A New York Public Service Commission October 2020 order established a new Tier 4 within the state’s clean energy standard (CES) in response to a NYSERDA CES White Paper.

The goal of the Tier 4 program is to reduce New York City’s reliance on fossil fuels by increasing the penetration of renewable energy into New York City (New York ISO Zone J) and by optimizing deliverability of renewable resources throughout the entirety of the state.

Through Tier 4, the state will procure the unbundled environmental attributes (in the form of Tier 4 RECs) associated with renewable generation delivered into Zone J. These environmental attributes include the avoidance of GHG emissions, as well as the avoidance of local pollutants such as NOx, SOx, and fine particulate matter. 

Tier 4 is open to the following renewable energy systems: solar thermal, photovoltaics, on-land wind, hydroelectric, geothermal electric, geothermal ground source heat, tidal energy, wave energy, ocean thermal, and fuel cells which do not utilize a fossil fuel resource in the process of generating electricity.

To be compensated under Tier 4, the resource must either be located in Zone J or delivered to Zone J over a new transmission interconnection (that electrically connects after October 15, 2020).

Non-hydropower renewables must achieve commercial operation after October 15, 2020 to be eligible for Tier 4. Hydropower resources must be existing or already under construction as of June 18, 2020.

Offshore wind RECs will be procured separately from Tier 4 resources. Behind-the-meter resources are not eligible under Tier 4.

The request for proposals is available here.

Cuomo details renewable energy progress

In his 2021 State of the State address that he delivered this month, New York Gov. Andrew Cuomo offered details on how the state plans to advance its renewable energy plans this year.

In 2021, New York will contract with Equinor Wind US LLC for the development of two new offshore wind farms more than 20 miles off the shore of Long Island, in what is the largest procurement of renewable energy by a state in U.S. history. Upon completion, the two offshore wind farms will yield a combined 2,490 megawatts.
 
Once the large-scale renewable and offshore wind farms are complete, more than half of New York’s electricity will come from renewable sources, putting the state ahead of schedule toward reaching its goal of 70 percent renewable energy by 2030.

Over the past five years, the state has contracted for the construction of 68 new large-scale renewable energy facilities including solar farms, onshore wind farms, and three offshore wind farms that are among the largest in the nation. These investments will add 6,100 megawatts of clean energy capacity to the state’s infrastructure.
 
New York will contract for another 24 large-scale renewable energy generation projects in 2021, to bring the state’s total clean energy build-out to nearly 100 projects. “The 23 solar farms and one hydroelectric facility will be the most cost-efficient clean energy construction to date in New York, producing more than 2,200 megawatts of clean power, generating more than $2.9 billion of investment and creating 3,400 jobs in 16 counties Upstate,” Cuomo’s office said in a news release.

New York State this year will also construct a new green energy superhighway of 250 miles. The $2 billion project will create opportunities to maximize the use of renewable energy for the parts of the state that still rely on polluting fossil-fuel plants.

Construction has already started on the New York Power Authority’s (NYPA) 86-mile Smart Path project from Massena to Croghan, and construction will soon start on several key projects in Western New York, Mid-Hudson, and the Capital Region.

In related news, the New York State Public Service Commission recently approved a 93-mile, 345-kilovolt transmission line that is being developed jointly by LS Power Grid New York Corporation and NYPA.

The nearly $854 million project, named the Marcy to New Scotland Upgrade Project, is designed to speed the flow of clean, reliable electricity to high-demand markets downstate.

Solar and wind dominate new capacity additions this year: EIA

January 13, 2021

by Peter Maloney
APPA News
January 13, 2021

Solar and wind power installations will dominate new capacity additions in 2021, according to the Energy Information Administration (EIA)

Developers and power plant owners plan to build 39.7 gigawatts (GW) of generating capacity in 2021 with solar and wind power accounting for 39 percent and 31 percent of that total, respectively, according to the EIA’s latest inventory of electricity generators. That translates to 15.4 GW of utility scale solar installations, a new record, and 12.2 GW of new wind power capacity.

EIA is tracking a total of 6.6 GW of natural gas-fired plants that are expected to come online this year. Most of those plants, 3.9 GW will be combined-cycle generators and most of the additions are planned for Texas, Ohio, and Pennsylvania.

The planned solar capacity well surpasses the 12 GW installed last year. More than half of the new solar capacity is planned for Texas, Nevada, California, and North Carolina.

EIA expects another 4.1 GW of small-scale solar photovoltaic capacity to enter service in 2021.

The 12.2 GW of expected wind capacity additions, however, represents a sharp decline from the 21 GW of wind power that came online last year. This year’s expected increase in wind capacity is bolstered by two large projects, the 12-megawatt (MW) Coastal Virginia Offshore Wind pilot project sited 27 miles off the coast of Virginia Beach, and the 999-MW Traverse wind farm in Oklahoma.

New battery energy storage capacity, however, is expected to see the largest jump in 2021, more than quadrupling to 4.3 GW, according to EIA data. The agency, part of the Department of Energy, cited the rapid growth of renewable generation as a major driver in the increase of storage capacity because the technology is increasingly bundled with renewable capacity. EIA noted that a 409-MW storage facility is under construction at the Manatee Solar Energy Center in Florida and slated to be the world’s largest solar-powered battery when it comes online later this year.

The new year is also expected to see the commissioning of the first new nuclear power station in 30 years, the 2,200-MW Vogtle plant in Georgia, which will account for 3 percent of the total capacity expected online in 2021.

NPPD signs letter of intent tied to procurement of renewable energy resources

January 6, 2021

by Paul Ciampoli
APPA News Director
January 6, 2021

In order to facilitate Monolith Materials’ proposed $1 billion expansion of its Olive Creek facility near Hallam, Neb., Nebraska Public Power District and Monolith have signed a letter of intent outlining their intention to procure enough renewable energy resources to generate two million megawatt-hours annually.

NPPD President and CEO Tom Kent said NPPD will solicit bids for the project through a request for proposals (RFP) for new wind or solar generation, including energy storage, through a power purchase agreement.

The news was unveiled on Jan. 4 by Nebraska Gov. Pete Ricketts and representatives of NPPD, Monolith Materials, and Norris Public Power District during a joint announcement regarding the facilitation of a significant addition to the renewable energy landscape in the state.

Kent noted that the approximately two million megawatt-hours of generation would create a sufficient number of renewable energy certificates (RECs) to meet 100 percent of Monolith’s average annual energy usage and meet the company’s environmental and sustainability goals.

“While we are adding additional generation resources, NPPD will continue to maintain our highly competitive rates, which was one of the reasons Monolith moved its operations to Nebraska,” he said.

Kent noted that to reach that generation figure, the renewable resource projects could be comprised of wind, solar, or a mix of the two.

NPPD will be securing the generation resources and power to the facility will be delivered by Norris Public Power District, a wholesale customer of NPPD.

Olive Creek 1 (OC1), Monolith’s first production facility, is already utilizing RECs to offset 100% of its electricity needs.

With the new agreement, Monolith plans a mix of solar and wind generation resources along with battery energy storage to provide sufficient renewable power to offset its OC1 and OC2 operations in the future.

NPPD is expecting to enter into power purchase agreements by Sept. 1, 2021, with commercial operations expected to begin no later than Dec. 31, 2025.  

NPPD plans to issue the request for proposals in March 2021 and a shortlist will be developed for further negotiations.

Additional details about Monolith Materials are available here.

Calif. community choice aggregator Peninsula Clean Energy signs wind power contracts

January 5, 2021

by Paul Ciampoli
APPA News Director
January 5, 2021

California community choice aggregator (CCA) Peninsula Clean Energy on Jan. 5 said it has agreed to procure 245 megawatts of power from three California wind projects.

The three contracts Peninsula Clean Energy has signed are as follows:

The additional wind generation will bring Peninsula Clean Energy closer to meeting its goal of providing 24/7 renewable-only generation by 2025.

It will supplement solar generation, including supply from the newly commissioned 200-MW Wright Solar and 100-MW Mustang Two Whirlaway projects, particularly during colder months and other times when solar power has traditionally waned.  

The American Public Power Association has initiated a new category of membership for community choice aggregation programs.

Great Lakes Utilities seeks front-of-meter, behind-the-meter solar proposals

January 4, 2021

by APPA News
January 4, 2021

Wisconsin-based joint action agency Great Lakes Utilities (GLU) is seeking proposals for front-of-meter and behind-the-meter solar projects under a recently issued request for proposals (RFP).

The Energy Authority is the administrator for the RFP.

GLU, which provides various services to its 12 member owners, is seeking bids for power purchase agreements and build-transfer submissions with a commercial operation date between 2021-2023 for:

Battery energy storage will also be considered for the behind-the-meter projects as outlined in the RFP.

GLU is looking to procure energy, capacity, and renewable energy credits for a term between 10-20 years.

Key elements of project consideration are project viability, price, congestion risk, and deliverability and GLU is only seeking bids for projects physically located within MISO Capacity Zone 2.

GLU is a member of MISO and its average system peak for 2019 was 370 MW with similar load projected for 2020 and beyond.

The projects sought under the RFP are intended to meet capacity shortfall requirements due to upcoming expiration of existing power purchase agreements and to reduce future transmission cost and delivery risk.

Additional details about the RFP are available here.

East Bay Community Energy board OKs policy to set target of 100 percent clean power by 2030

December 22, 2020

by Paul Ciampoli
APPA News Director
December 22, 2020

The East Bay Community Energy (EBCE) Board of Directors on Dec. 16 approved a policy to set a target of providing its customers with 100% clean power by 2030, which would be 15 years before the state’s energy standard.

EBCE said that the board action sets the local community choice aggregator as one of the largest electricity providers in the country to commit to 100% clean power by 2030 and the largest of other local community choice energy providers that have set similar goals.

Dan Kalb, Chair of the Board for EBCE, noted that the CCA’s commitment to procuring clean energy has already resulted in contracts for over 500 megawatts of new wind, solar, and energy storage. In 2021, EBCE expects to contract for several hundred more megawatts of clean energy.

EBCE on Oct. 29 issued a request for offers to procure long-term renewable energy and storage resources.

The EBCE staff report that the board acted on is available here.

EBCE operates a community choice energy program for Alameda County and eleven incorporated cities, serving more than 550,000 residential and commercial customers throughout the county.

The American Public Power Association has initiated a new category of membership for community choice aggregation programs.

LaGrange, Georgia, negotiating solar power deal with local Walmart store

December 21, 2020

by Peter Maloney
APPA News
December 21, 2020

The city council of LaGrange recently authorized the city’s utility to sign agreements that would allow the Georgia city to offer renewable power to the local Walmart store.

Walmart has a goal to serve at least 50% of their stores nationwide with renewable power by 2025 and 100% by 2035.

Buying renewable solar power through the city allows Walmart to realize better prices and keeps revenues from one of the city’s largest customers in the local economy, Patrick Bowie, the city’s director of utilities, said.

Walmart provides the city with about $1.3 million in annual revenues.

The solar power purchase will require multiple agreements, which are still under negotiation. “We are trying to finalize them by year end,” Bowie said.

As a member of the Municipal Electricity Authority of Georgia, LaGrange relies on MEAG Power for its generation and transmission resources. For actual power sales, the city uses The Energy Authority.

MEAG Power is in the process of wrapping up negotiations with the developer of a large solar power project in southern Georgia. LaGrange, meanwhile, is finalizing a deal with Walmart for sales of solar power that will be matched by a back-to-back purchase agreement for a portion of the output from the solar project with which MEAG is contracting. It would be MEAG Power’s first participation in a solar power project.

Walmart’s electrical load in LaGrange is between 17 million and 18 million kilowatt hours (kWh) per year, which would require between 5.5 megawatts (MW) and 6 MW of capacity.

The deal is complicated by the fact that LaGrange currently has excess power and that Walmart’s load does not synch up with intermittent solar output. To protect itself from purchasing more power than it needs or paying more for solar power than it pays for its conventional power, LaGrange is negotiating a sales agreement with Walmart under which the retailer would be responsible for the difference between the cost of solar and the cost of wholesale power the city buys from The Energy Authority. If solar power is more expensive, Walmart would absorb that cost. If solar power is less expensive, Walmart would benefit from the lower costs.

LaGrange is also signing an agreement with Electric Cities of Georgia, which provides LaGrange and 51 other public power communities with distribution support services. Under the agreement, Electric Cities of Georgia would provide LaGrange with the billing services to balance the books on power sales between LaGrange and Walmart.

To help mitigate the risks associated with the solar sales, Walmart would be able to shift power sales to its other retail locations in Georgia.

One of the details that still needs to be worked in the negotiations is to see what level of participation other cities want in the solar power deal, Bowie said.

LaGrange is an industrial center, but so far none of the city’s other large commercial customers have requested renewable power. It is hard for solar power to compete with the city’s current low power rates, Bowie said.

NAESB report addresses need for digital technologies standards

December 18, 2020

by Peter Maloney
APPA News
December 18, 2020

The North American Energy Standards Board (NAESB) has adopted a report by its digital committee concerning the development of standards for the digital transformation taking place in the energy industry.

The report summarizes a series of conference calls and surveys conducted by NAESB’s board of directors and digital committee and is intended to aid NAESB as it considers new standards to support digital technologies.

Included among the digital committee members is Valerie Crockett, senior program manager for environment and energy policy at the Tennessee Valley Authority.

The report said that industry sectors ranging from energy, finance, manufacturing to healthcare are taking advantage of digital technologies that have lowered the cost of data collection, storage and processing and are enabling advanced analytics to drive better performance, increase productivity and support better strategic decision making.

The report paid particular attention to technologies, such as the use of distributed ledgers or the implementation of 5G networks, that have the potential “to alter the manner in which the transactions governed by NAESB standards take place.”

The NAESB report reviewed nearly a dozen technologies: distributed ledger technology (also known as blockchain technology), data governance requirements, cybersecurity, distributed energy resources, cloud computing, renewable energy certificate/credit tracking, deployable shareware, Internet of Things (IoT), 5G technologies and implementation, data analytics, and energy usage data.

Many of those technologies are already being deployed and are increasing efficiencies, and the development of supportive standards could accelerate their adoption and reduce the likelihood of “developing solutions that must be retrofitted to support interoperability with other technologies,” the report said.

In a 2018 meeting, NAESB’s board recommended that the organization begin looking at the impact digital technology could have on the energy sector.

Research and a series of discussions found that global investment in digital technologies by energy companies has risen over 20% annually since 2014 and that in 2016 an estimated $47 billion was invested in digital electricity infrastructure alone, a level 40% higher than worldwide investment in gas-fired power generation.

NAESB’s research also found that other standards organizations, such as the International Organization for Standardization, SAE International and ANSI, are pursuing digital transformation standards and have created groups within their organizations or held meetings to focus on exploring how new digital technology is transforming their industry sectors.

The report recommended that NAESB’s board continue “standards development efforts” for two technologies in particular – distributed ledger technology and cybersecurity – and monitor the other technologies identified in the report as “strongly relevant to the processes/transactions that NAESB standards currently address or may address in the future.”

The report noted that NAESB is currently developing standards to support distributed ledger technology in the wholesale and retail electric and gas markets.

NAESB’s Wholesale Gas Quadrant is working to conclude development of a standard to support conversion of the NAESB Base Contract for Sale and Purchase of Natural Gas into a digital “smart” contract that can be used with distributed ledger technology. And NAESB’s Wholesale Electric Quadrant and Retail Market Quadrants are jointly developing a standard contract to improve and automate the current voluntary renewable energy certificate processes.

NAESB’s Wholesale Electric Quadrant is also considering developing standards related to distributed ledger technology to support the accounting-close cycle for power trading.

The report also recommended that NAESB should continue to develop standards that support cybersecurity for the transactions the standards address and develop standards to support specific digital technologies, as well as review the finding of reports from Sandia National Laboratories and recommend any modifications that “may be necessary to support a new model for the implementation of NAESB cybersecurity standards.”

With respect to other technologies, the report identified the Internet of Things technology as an “emerging high interest and high value area for standards development.” The adoption of IoT technologies “will drive the need for new standards that support both privacy and cybersecurity, especially when used within operational or control environments,” the report said.

The report also identified data analytics as a technology that is relevant to the processes and transactions that the NAESB standards will address in the future, but noted that one-third of respondents to a NAESB survey said data analytics is not an area relevant to NAESB and that NAESB standards are not needed.

As with other emerging technologies, such as renewable energy credit contracts, the report recommended that NAESB should continue to monitor the development and adoption of the technology to determine if standards development is necessary.

The report also identified 5G technology as an area that received strong support as being relevant, but 50% of survey respondents said standards are not needed or that adequate standards are already in place.

The report is available here.

Public power utilities and blockchain

Several public power utilities are exploring blockchain technology.

A Sacramento Municipal Utility District project that is being funded in part through an award from the American Public Power Association’s Demonstration of Energy & Efficiency Development program will utilize blockchain-enabled tokens as part of an effort to encourage EV owners to charge their vehicles at workplaces when local renewables peak during the day.

In 2018, the Burlington Electric Department in Vermont won a grant from the DEED program to use blockchain technology to facilitate the integration and distribution of energy from multiple sources in real time.

Meanwhile, another California public power utility, Silicon Valley Power, and Power Ledger successfully completed the first stage of a program to test the use of blockchain technology for tracking and monetizing carbon dioxide reduction credits for electric vehicle charging and now plan to proceed to the second phase of the project.

In 2018, Silicon Valley Power used Power Ledger’s blockchain-backed platform to track and manage Low Carbon Fuel Standard (LCFS) credits at the Tasman Drive parking garage in Santa Clara, Calif., which has a 370 kW solar system and 49 electric vehicle charging stations.

PNNL transactive energy projects aim to improve DER integration

December 17, 2020

by Ethan Howland
APPA News
December 17, 2020

The Pacific Northwest National Laboratory (PNNL) is working on two projects designed to show how “transactive energy” can help efficiently manage distributed energy resources (DERs) such as rooftop solar.

Using market-based constructs, transactive energy provides a framework for the grid, buildings, electric vehicles, appliances and DERs to communicate with each other to balance real-time electricity supply and demand, according to the PNNL, a Department of Energy laboratory.

A more transactive energy system can improve efficiency, cost, and delivery while providing environmental benefits through the expanded use of intermittent renewable resources, according to PNNL. The approach could “substantially” reduce the amount of money spent updating and maintaining the nation’s energy infrastructure, the DOE lab said Nov. 23 in announcing the projects.

“Getting to the future transactive system will require advanced and automated control and coordination methods to enable the participation of flexible electrical loads,” Hayden Reeve, PNNL program manager, said.

The separate PNNL projects focus on technology deployment in Spokane, Washington, and on simulations of Texas’ primary power grid, operated by the Electric Reliability Council of Texas (ERCOT). The efforts are supported by the DOE Building Technologies Office and Office of Electricity, respectively.

PNNL tests transactive systems in Spokane

One project centers on Avista Utilities’ Eco-District, two buildings designed to test a shared-energy model where a centralized heating, cooling and electrical system can serve the energy needs of a group of buildings.

The buildings include solar panels, battery storage, thermal storage and sensors that track ambient conditions, air quality, occupancy and other attributes in real-time, according to Avista, an investor-owned utility.

In a multi-year, $7 million project, Avista plans to see how incentives can be used to manage the buildings’ energy loads and balance on-site energy demand, generation and storage in real-time, in a way that benefits the grid and provides flexibility for the building operators and the utility.

PNNL will bring to Avista’s project transactive energy management techniques developed at the laboratory-led Clean Energy and Transactive Campus.

The techniques include: intelligent load control, transactive coordination and control, a market-clearing mechanism, and automated fault detection and diagnostics, according to PNNL.

By being part of Avista’s project, PNNL said it will be able to refine the transactive energy management techniques and help develop a “shared-energy” model that other building owners and communities can use.

“Early on, our goal in CETC was to eventually conduct a broad field test to apply and evaluate some of the transactive and other energy-efficiency technologies we developed and demonstrated,” Srinivas Katipamula, a PNNL scientist, said. “Avista’s Eco-District aligned with DOE and PNNL objectives.”

Besides Avista’s two buildings, the project will include nearby retail and institutional buildings, according to Katipamula.

PNNL studies DER integration based on ERCOT model

Meanwhile, to see how transactive energy can help integrate DERs, PNNL researchers are conducting large-scale modeling, simulation and analysis based on ERCOT’s footprint, with the results extrapolated to reflect the U.S. grid.

“We are looking at participation of DERs from two perspectives: What we would see with an amount of renewable generation similar to that currently found in the Western U.S., as well as much higher levels, which would provide an idea of what’s possible if trends toward higher levels continue,” Rob Pratt, a PNNL engineer, said.

In addition to DERs, the project models a distribution system operator, the entity that conducts planning and operational functions associated with an electricity distribution system, including DER coordination, and a transactive network to realize the coordination, PNNL said.

Using the sophisticated modeling, PNNL researchers are studying the engineering and economic performance and identifying ways to provide economic benefits to grid operators and customers, according to the laboratory.

The researchers expect the study will affect two key products: a distribution system operations business framework and a compatible, field-ready transactive network design for coordinating DERs. The products will enable expanded testing of the concepts by industry and research institutions in simulations and the field, PNNL said.

Ames Electric, with Iowa State University, is hosting a ‘mobile microgrid’

December 16, 2020

by Peter Maloney
APPA News
December 16, 2020

Ames Electric Services in Iowa is providing support for a mobile microgrid project initiated by the Iowa National Guard.

The mobile microgrid comprises solar panels with a total capacity of about 15 kilowatts (kW) and six Tesla Powerwall lithium-ion batteries with a combined capacity of 60 kW, 78 kilowatt hours, all packed into a 20-foot shipping container.

The “microgrid in a case” can be readily shipped anywhere via truck or train or ship, unpacked and set up and be ready for service in two hours, Donald Kom, electric services director at Ames Electric, said. The equipment can generate single phase or three phase power at either 110 volts or 220 volts.

The mobile microgrid also includes a 6.5 kW diesel generator in case “all else fails,” Kom said, and Ames Electric Services is also looking at adding a small wind turbine to the equipment.

The project was developed by the Electric Power Research Center (EPRC) at Iowa State University and its partners, SunCrate and PowerFilm Solar for the Iowa Army National Guard.

Funding came from the National Guard and the Iowa Economic Development Authority.

The National Guard was interested in finding a way to have power at remote locations.

Even though the mobile microgrid was designed for uses such as emergency outages, in its current location it can be used by the public to charge electric vehicles. It is sited and in operation on a utility lot at the end of Main St. in Ames.

Kom said Ames Electric intends to add an electric vehicle charger to the box and begin offering electricity to EV owners.

“We want to use it as much as possible otherwise it is bad for the batteries,” Kom said. The mobile microgrid will provide a valuable test site for the performance and operation of the equipment and will also provide visibility for the microgrid and the renewable energy technology. “We are hoping that the public will come and check it out and plug stuff in,” Kom said. “This is a win-win for the both the project creators and the public. The site offers great visibility and opportunity for public education.”

“One of things we are trying to do is see how long the batteries last,” Kom said. “We are going to load it up as much as we can. We are going to put it through its paces.” The mobile microgrid is expected to stay on its current site for six to nine months. Ames Electric intends to collect data from the unit and share it with the EPRC, which can use it to make improvements and produce a second generation of the unit.

Kom said he also sees a potential benefit for the utility having a mobile microgrid. In August, Ames Electric was hit by a derecho that left some customers without power for up to a week. It would have been “a huge benefit” to have a mobile unit that could have provided power for customers to charge cell phones and other essential equipment, as well as providing a focal point from which the utility could disseminate information for customers, Kom said.

Separately, Ames Electric is preparing to go live with its first community solar project just before Christmas. Ames Electric is selling shares – what it calls Power Packs – in the 2.2 megawatt (MW) solar farm to its customers. Each share requires a $300 one-time investment and represents 175 watts of capacity.

Share owners will receive monthly credits on their utility bill, expected to be about $1 per month, based on the electrical output of the solar farm. Ames estimates customers could earn back their investment in 16 or 18 years, depending on how much the sun shines. About one-third of the shares will likely go to Iowa State University. Ames Electric would use the solar output not taken up by share owners to feed into its grid.

Ames Electric is also a recipient of an award stemming from a settlement with Volkswagen and is using the money to install at least two level-three electric vehicle chargers on Interstate 35.