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NYPA To Participate In New York’s Exploration of Green Hydrogen

July 13, 2021

by Paul Ciampoli
APPA News Director
July 13, 2021

New York Gov. Andrew Cuomo on July 8 said that New York plans to explore the potential role of green hydrogen as part of the state’s decarbonization strategy.

To support this effort to study green hydrogen and its possible applications, the state is collaborating with the National Renewable Energy Laboratory (NREL), joining two hydrogen-focused organizations to inform state decision-making and making $12.5 million in funding available for long duration energy storage technologies and demonstration projects that may include green hydrogen.

Additionally, the New York Power Authority, collaborating with the Electric Power Research Institute, General Electric and hydrogen supplier Airgas, will undertake an industry-leading green hydrogen demonstration project at NYPA’s natural gas plant on Long Island to evaluate the resource’s potential role in displacing fossil fuels from power generation.

At the close of this short-term project, peer-reviewed results will be shared with the industry and public so that key learnings can inform decarbonization efforts. The announcement supports Cuomo’s goal to reduce emissions 85 percent by 2050, as outlined in the state’s Climate Leadership and Community Protection Act.

Green hydrogen — hydrogen produced using renewable energy — has the potential to decarbonize challenging sectors of the economy, Cuomo’s office noted.

As part of the state’s efforts to assess green hydrogen’s potential role in economy-wide decarbonization efforts, the New York State Energy Research and Development Authority (NYSERDA) is leading a stakeholder engagement effort to gain and share knowledge and understanding of the support this resource could provide for meeting the Climate Leadership and Community Protection Act goals across multiple sectors. The stakeholder engagement began in December 2020 at a deep decarbonization workshop co-hosted by NYSERDA and the New York State Department of Environmental Conservation. 

A more comprehensive and ongoing approach will begin with an additional workshop and listening session being planned for this fall. The session will be used to help NYSERDA understand how to expand stakeholder engagement to ensure that additional assessment of the pathways, opportunities, and challenges of generating and utilizing green hydrogen across all sectors includes consideration of all stakeholder perspectives, including environmental justice organizations and communities. 

The state’s approach to understanding and exploring the potential role green hydrogen can play in achieving the Climate Act goals include:

New York Hydrogen Strategy Study

NYSERDA will launch a hydrogen strategy study in conjunction with NREL, to compile the foundational, base-line information and data that will enable New York to have robust discussions and dialogue around the role green hydrogen could play in New York’s decarbonization plans.

This strategy study will place a particular focus on opportunities surrounding green hydrogen to align the State’s hydrogen strategy with the existing mandates for 70 percent renewable electricity by 2030 and 100 percent zero-emission electricity by 2040. Building on relationships with NREL and the United States Department of Energy, NYSERDA will benefit from local, regional, national, and global insights on the evolution of green hydrogen to help guide State direction and decision making. 

NYPA Green Hydrogen Demonstration Project

A NYPA-led, first-of-its-kind demonstration project will investigate the potential of substituting renewable hydrogen for a portion of the natural gas used to generate power at NYPA’s Brentwood Power Station on Long Island.

The project team will evaluate different concentrations of hydrogen blended with natural gas at regular intervals and will assess the blend’s effect on reducing greenhouse gas emissions and its overall system and environmental impacts, including nitrogen oxide emissions. The project will begin in fall 2021 and is expected to last six to eight weeks. 

The plant, which consists of a GE LM-6000 combustion turbine currently fueled by natural gas, was commissioned in the summer of 2001 to increase local power generation capacity for Long Island and New York City in anticipation of potential summer power shortages. GE has more than 6 million operating hours and more than 30 years of experience using hydrogen and other similar low-BTU fuels.

NYPA will lead the project with collaboration from partners including EPRI, GE, Sargent & Lundy, Airgas, and Fresh Meadow Power. EPRI will assist with the project design and technical evaluation. As the gas turbine original equipment manufacturer, GE will supply a state-of-the art hydrogen/natural gas blending system and support the project’s planning and execution. Sargent & Lundy, acting as the engineer of record for the project, will provide overall engineering and safety reviews. Airgas is the supplier of renewable hydrogen and Fresh Meadow Power will provide piping system design, material procurement and installation services for the project.  

Participation in National and Global Hydrogen-Focused Groups 

To ensure New York State is at the forefront of hydrogen safety, NYSERDA has joined the Center for Hydrogen Safety, a global community of more than 75 government, industry and national lab participants supporting and promoting hydrogen safety and best practices worldwide across industrial and consumer applications in the energy transition. As a member, NYSERDA will have direct access to global safety best practices on hydrogen, training courses and materials, and a safety panel of experts available for specific demonstration project safety reviews. 

Joining the HyBlend Collaborative Research Partnership

NYSERDA has also joined the HyBlend Collaborative Research Partnership, which is comprised of six national labs and fifteen university/industry partners co-led by NREL and Stony Brook University. This national partnership will generate a database to allow New York to assess the use of existing infrastructure for hydrogen and to develop general principles of operation of blended hydrogen/natural gas delivery systems. 

Long Duration Energy Storage Program  

Finally, NYSERDA will encourage product development and demonstration projects in energy storage that is six-plus hours in duration, otherwise known as long duration energy storage, by making up to $12.5 million in funding available through its Renewable Optimization and Energy Storage Innovation Program.

Project submissions should advance, develop, or field-test hydrogen, electric, chemical, mechanical, or thermal-electric storage technologies that will address cost, performance, and renewable integration challenges in New York State. Submissions must only include innovative long duration energy storage technologies which are yet to be commercialized. Awards will be made for the following project categories: early studies, product development, multi-stage, demonstration projects and federal cost-share. 

Proposals will be accepted in three rounds through June 2022.

Additional details for this solicitation are available on NYSERDA’s website, including proposal submission requirements. 

APPA hydrogen report

The American Public Power Association (APPA) recently released a report that provides a perspective on where the emerging hydrogen market is in the U.S. and globally, what is driving the growing interest in hydrogen and what obstacles are preventing hydrogen technology from being able to scale-up.

The report’s author, Patricia Taylor, Senior Manager, Regulatory Policy and Business Programs at APPA, discussed the report in a recent episode of APPA’s Public Power Now podcast.

LIPA, PSEG Long Island announce start of 2022 integrated resource planning study

June 23, 2021

by Paul Ciampoli
APPA News Director
June 23, 2021

The Long Island Power Authority (LIPA) and PSEG Long Island on June 23 announced the start of the 2022 integrated resource planning (IRP) study, which will build on previous work and identify the actions needed to continue on the path towards meeting New York State’s clean energy goals under the state’s Climate Leadership and Community Protection Act (CLCPA).

The 2022 IRP will be developed by LIPA’s service provider, PSEG Long Island, as an agent of and acting on behalf of LIPA. The IRP will focus on identifying key changes to LIPA’s resource portfolio and transmission grid on Long Island and in the Rockaways, LIPA and PSEG Long Island noted.

IRPs are conducted every three to five years. The 2022 IRP will seek to examine the impact of CLCPA requirements, and other potential electricity market changes, during the study period of 2022 to 2040, and will recommend an action plan for the period of 2022 to 2030.

Signed into law by New York Gov. Andrew Cuomo in July 2019, the CLCPA aims to achieve 100 percent zero-carbon electricity generation in New York State by 2040 and sets targets that include: 70 percent of electricity consumed statewide be produced with renewable energy by 2030; the development of 6,000 megawatts (MW) of distributed solar by 2025; 3,000 MW of energy storage by 2030; 9,000 MW of offshore wind by 2035; and 100 percent zero-carbon electricity generation by 2040. 

LIPA and PSEG Long Island said that CLCPA requirements will have a significant impact on the supply and demand of electricity across the state. Generation on Long Island and in the Rockaways will need to transition to a resource mix that is increasingly dominated by offshore wind, as well as adjust to the impact of increased beneficial electrification of other sectors, such as transportation and heating. 

Key objectives for the IRP include:

The IRP will consider supply-side (e.g., clean generation and energy storage), demand-side (e.g., energy efficiency and demand response) resources, and transmission investments. If the IRP identifies a resource need, LIPA will initiate a competitive procurement to identify alternative proposals that best meet that need.

LIPA and PSEG Long Island will accept written public comments on the proposed IRP scope of work for 30 days beginning on June 23, 2021. Additional opportunities for public comments will be provided later in the IRP process.

Additional information about the IRP is available here.

Department of Energy seeks to cut cost of hydrogen by 80%

June 8, 2021

by Paul Ciampoli
APPA News Director
June 8, 2021

The Department of Energy (DOE) on June 7 launched an effort to reduce the cost of clean hydrogen by 80% to $1 per kilogram in one decade.

The initiative is part of the newly launched DOE Energy “Earthshots Initiative,” which DOE said aims to accelerate breakthroughs of more abundant, affordable, and reliable clean energy solutions within the decade.

DOE noted that currently hydrogen from renewable energy costs about $5 per kilogram. By achieving the 80% cost reduction goal, “we can unlock a five-fold increase in demand by increasing clean hydrogen production from pathways such as renewables, nuclear, and thermal conversion,” DOE said.

The announcement followed Secretary Jennifer Granholm’s commitment, made during President Biden’s Leaders Summit on Climate, to propel next-generation technologies in key clean energy sectors. The Energy Earthshots effort will drive integrated program development across DOE’s science, applied energy offices, and ARPA-E to address tough technological challenges and cost hurdles, and rapidly advance solutions to help achieve climate and economic competitiveness goal, according to DOE.  

As part of the launch, at the DOE’s Hydrogen Program Annual Merit Review and Peer Evaluation Meeting, DOE’s hydrogen program issued a request for information (RFI) on viable hydrogen demonstrations. 

Topics in the RFI include

Responses are due July 7, 2021, by 5 p.m. ET.

For more information about the RFI, visit EERE Exchange

Additional information on DOE’s efforts to enable at-scale clean hydrogen is available here.

APPA issues new report on hydrogen

The American Public Power Association this week released a report on hydrogen that offers a perspective on where the emerging hydrogen market is in the U.S. and globally, what is driving the growing interest in hydrogen and what obstacles are preventing hydrogen technology from being able to scale-up.

Topics covered in the report include:

The report is available for free to members of APPA.

Report sees role for small modular reactors in Washington State’s clean energy transition

June 2, 2021

by Peter Maloney
APPA News
June 2, 2021

Small modular nuclear reactors (SMRs) could play a key role in Washington State’s mandated transition to a clean energy economy, according to a new report by researchers at the Pacific Northwest National Laboratory (PNNL) and the Massachusetts Institute of Technology.

Washington’s Clean Energy Transformation Act, enacted in 2019, calls for the elimination of coal-fired generation by 2025, aims to reach carbon dioxide (CO2) neutrality by 2030, and requires that the state’s power sources must generate electricity without emitting greenhouse gases by 2045.

The phasing out of coal- and natural gas-fired generation, which supplied about 17 percent of the state’s fuel mix in 2018, will leave a roughly 5-gigawatt (GW) gap in generation capacity that SMRs could help fill, according to the report, “Techno-economic Assessment for Generation III+ Small Modular Reactor Deployments in the Pacific Northwest.”

The report analyzed five case studies combining two SMR technologies and three potential sites. The study evaluated deployment of NuScale-designed plants, each containing 12 SMR units delivering roughly 600 megawatts (MW) to 700 MW at three different sites, and deployment of GE-Hitachi (GEH)-designed SMR plants delivering roughly 300 MW at two different sites.

The first case analyzed deployment of NuScale SMRs at the Idaho National Laboratory in Idaho Falls, Idaho, as a potential site for the Utah Association of Municipal Power Systems’ (UAMPS) Carbon Free Power Project. In January, UAMPS and NuScale signed an agreement to facilitate the development of a nuclear plant at the site.

In May, the Grant County Public Utility District signed a memorandum of understanding with NuScale to evaluate the deployment of the company’s SMR technology in central Washington.

The second case looked at using NuScale SMRs at a site near Energy Northwest’s Columbia nuclear plant in eastern Washington.

The third case studied placing a GE-Hitachi SMR at the Idaho National Laboratory site using the same cost reductions as the NuScale plant. The fourth and fifth cases evaluated using NuScale and GE-Hitachi designs, respectively, at the Big Hanaford coal-fired plant in Centralia in western Washington that is scheduled to close its coal-fired units in 2025.

The analysis indicated that in a future CO2 free electricity sector deployment of advanced SMRs would be competitive with Levelized Costs of Electricity (LCOEs) in the range of $51 per megawatt hour (MWh) to $54/MWh for the NuScale design and in a range of $44–$51/MWh for the GE-Hitachi design.

Each of the three sites also provides additional advantages, according to the report. There is already existing infrastructure and a workforce trained in the operation of conventional and nuclear plants in place in eastern Washington, and the Centralia site has existing grid connections that could be tapped, as well as a workforce that could be shifted from the closing coal-fired units.

The authors noted that they used two different means of calculating LCOE. For NuScale, they used the company’s current design. For GE-Hitachi, they used that company’s design-to-cost methodology with target pricing that is being confirmed as the design matures.

The findings “show that advanced small modular reactors could be economically competitive in a future carbon-free electricity sector,” Ali Zbib, PNNL’s manager for nuclear power systems and a co-author of the report, said in a statement. “They’re well-suited to play an important role in an energy market that requires more flexibility.”

The report noted that advanced SMRs can operate continuously at full power to provide baseload energy or can follow power swings on the grid. The report also found that electricity demand in Washington can fluctuate significantly on a monthly, daily and even five-minute basis, noting that average daily demand in February 2019 varied by more than 2,100 MW.

The report also noted, however, that near-firm renewable resources, such as wind power coupled with energy storage, “may provide competition to SMR generation.” The report cited a 1-MW, 150-MWh storage system developed by Form Energy in Minnesota that will provide Great River Energy with dispatchable wind power.

And, given the relatively short development time for such projects “and their relatively inexpensive power, they may provide stiff competition to the longer permitting to generation time paths for SMRs.”

At current prices, the cost of long-term storage “is prohibitively high to keep the lights on using only variable renewable energy,” the report found.

Lithium ion batteries cost approximately $200 per kilowatt hour (kWh) for approximately 4 hours of storage, the authors noted. They cited a MIT study indicating that storage costs could need to be as low as $20/kWh for long-term storage to be feasible.

Nonetheless, renewable energy still suffers from its variability and, even with its comparably low cost compared with firm power alternatives, “it fails to provide the flexibility required to meet long duration periods when wind and sun are not providing adequate electricity,” the report said.

While wind and solar will play a critical role, phasing out carbon-emitting resources sparks the need for flexible, non-carbon-emitting sources, and “nuclear energy can be an integral part of a clean energy portfolio that will allow the state of Washington to meet its clean energy objectives,” Zbib said.

The report is available here.

Retail electric sales to rise this summer led by commercial, industrial demand: EIA

June 2, 2021

by Peter Maloney
APPA News
June 2, 2021

Retail U.S. electricity sales will be 1.5 percent higher this summer than last summer with much of the growth coming from the commercial and industrial sectors, according to new estimates from the Energy Information Administration (EIA).

The projections reflect an improving economy following the pandemic-related downturn in 2020, the EIA said in its Summer 2021 Electricity Industry Outlook, a supplement to the agency’s Short-Term Energy Outlook.

Based on economic forecasts from IHS Markit, the EIA expects U.S. 2021 GDP to grow by 6.2 percent. The EIA forecasts the rebound in economic activity will push retail sales to the industrial sector in June, July, and August to be 4.5 percent higher than in the same period last year.

The EIA also sees increased economic activity boosting commercial sector demand for electricity. The agency forecasts retail electricity sales to the commercial sector this summer will be 2.6 percent higher than last summer but still 3 percent less than in 2019.

At the same time, the EIA projects a small decline in residential sector retail electricity demand this summer with sales 0.9 percent lower than last summer, mostly because of milder weather forecasts from the National Oceanic and Atmospheric Administration. The projected decrease in retail sales will be offset somewhat by growth in the number of residential customers and by more people working from home than in past years, the EIA noted.

The EIA forecasts a 1.6 percent increase in the number of residential electricity customers in 2021 because of a rebound in household formation after the economic slowdown of 2020, but also forecasts a decline in the amount of electricity consumed by a typical home. The EIA expects electricity use per residential customer to average 1,090 kWh per month between June and August 2021, which would be 2.5 percent less than last summer.

Between June and August 2020, retail electricity sales across all sectors totaled 1,055 billion kilowatt hours (kWh), the lowest level since the summer of 2015. Retail electricity sales to the commercial and industrial sectors showed an even steeper decline, totaling 357 billion kWh last summer, the lowest level since 2004. While retail sales to the industrial sector last summer totaled 239 billion kWh, the lowest level since the 2009 recession.

Residential electricity sales, meanwhile, reached a record high, hitting 457 billion kWh between June and August 2020. Near record warm temperatures contributed to the rise, as did the fact that more people were working from home and spending more time in their homes as a result of COVID-19 stay-at-home orders and social distancing guidelines, the EIA said.

Grant County PUD signs MOU on possible small modular reactor deployment

May 26, 2021

by Paul Ciampoli
APPA News Director
May 26, 2021

NuScale Power and Washington State’s Grant County Public Utility District on May 26 announced the signing of a memorandum of understanding (MOU) to evaluate the deployment of NuScale’s small modular reactor (SMR) technology in Central Washington State.

Under the MOU, the two parties will work together to support Grant PUD’s due diligence process in evaluating reliable, carbon-free energy solutions. “The deployment of NuScale’s Nuclear Regulatory Commission (NRC)-approved design will support meeting the demands of Grant PUD’s customers and the desired commercial operation timeline with acceptable and affordable cost certainty,” NuScale and Grant PUD said in a news release.

NuScale’s power plant design is scalable in 77 megawatts electric (MWe) increments up to 924 MWe. Modules can be added incrementally as regional load demands increase.

“This flexibility also allows for seamless integration with intermittent sources of power utilizing exceptional load following capabilities. These qualities align well with Grant PUD’s long-term objective of providing its customers with reliable, carbon-free energy and are a driving force in the initiation of the due diligence process in order to investigate the applicability of the NuScale technology in Central Washington,” NuScale and Grant PUD said.

In April, Grant PUD with Energy Northwest and X-energy signed a MOU for the development of an advanced nuclear reactor demonstration project.

The partners agreed to collaborate and share resources to evaluate the goal of siting, building, and operating an X-energy Xe-100 SMR plant at an existing Energy Northwest site north of Richland, Wash. The plant would have four 80-MW units and is scheduled to begin construction in 2024 and come online in 2027.

“It’s too early to tell how this will ultimately come to fruition,” said Chuck Allen, Grant PUD public affairs supervisor.

“At this time, we’re pursuing both opportunities with the intention of having small modular reactor nuclear power as a generation resource for our customers and we’re excited to work with our partners in pursuit of that goal,” he said.

Based in Ephrata, Washington, Grant PUD is a public electric utility with the capacity to generate more than 2,100 megawatts of renewable, carbon-free energy for the Northwest at its hydropower plants. The utility also serves 40,000 retail customers in Grant County, which includes an expanding industrial sector. Grant PUD is a forward-thinking leader in managing and securing affordable, reliable, clean energy for its customers.

UAMPS, TVA

In January, Utah Associated Municipal Power Systems (UAMPS) and NuScale Power signed agreements to facilitate the development of the Carbon Free Power Project that would deploy NuScale’s SMR design at the Idaho National Laboratory. Energy Northwest has the option to operate the SMR plant.

Meanwhile, in April 2020 it was disclosed that the University of Tennessee and the Tennessee Valley Authority had signed a memorandum of understanding to evaluate the development of a new generation of cost-effective, advanced nuclear reactors, such as small modular reactors, at TVA’s 935-acre Clinch River Nuclear Site in Roane County.

TVA signed a similar agreement with Oak Ridge National Laboratory in February 2020 to explore advanced reactor designs as a next-generation nuclear technology with potential for improved safety and increased flexibility.

TVA and Kairos Power recently announced plans to collaborate on deploying a low-power demonstration reactor at the East Tennessee Technology Park in Oak Ridge, Tenn.

Jeff Lyash, President and CEO of TVA, discussed the Kairos Power news in a recent episode of the American Public Power Association’s Public Power Now podcast.

EIA sees more renewable and coal generation this summer as electric sales rise

May 18, 2021

by Peter Maloney
APPA News
May 18, 2021

This summer could see an increase in renewable and coal-fired generation as electricity sales rise relative to last summer’s sales during the COVID-19 pandemic, according to the recently released Short-Term Energy Outlook (STEO) from the Energy Information Administration’s (EIA).

Electricity generation in the United States “will look different this summer compared with last summer as rising natural gas costs drive many electricity generators to switch to renewables and coal, the EIA said in its annual summer STEO, released May 11.

The summer STEO forecasts a 12 percent decline in electricity generation from natural gas, a 21 percent increase in generation from renewable sources, and an 18 percent increase in generation from coal over last summer, with the trend most pronounced in Texas and the Midwest.

“We believe renewable sources will primarily make up for the decrease of natural gas usage in Texas,” Stephen Nalley, acting EIA administrator, said in a statement. “Our forecast is that 28% of Texas’s electricity demand will come from renewables this summer, up from 21% in 2020.”

For total electricity sales, the EIA is forecasting a 1.5 percent increase this summer over last summer, with a 4.5 percent increase in sales to the industrial sector, and a 2.6 percent increase in sales to the commercial sector. The increases are primarily the result of rising COVID-19 vaccinations, fewer pandemic-related restrictions, and an improving economy, the EIA said.

The increased electricity use will be most notable in hotels, restaurants, and other businesses that faced hurdles in 2020 because of stay-at-home orders, Nalley said.

Milder summer weather and fewer travel restrictions, however, should contribute to a forecast 2.5 percent decrease in residential electricity use per customer this summer, according to the EIA report, though the agency noted that estimated household electricity use is still higher than the 2015-2019 average. The EIA expects U.S. households to pay about $446 on average for electricity from June 1 to August 31, a level similar to last year’s.

The STEO forecast relies on the macroeconomic model from IHS Markit, from which the EIA assumes U.S. GDP growth will be 6.2 percent in 2021 and 4.3 percent in 2022.

LADWP joins effort to bring down green hydrogen costs via commercialization

May 18, 2021

by Peter Maloney
APPA News
May 18, 2021

The Los Angeles Department of Water and Power (LADWP) this week joined a coalition that aims to bring down the cost of green hydrogen.

LADWP, along with the Green Hydrogen Coalition and other partners, launched HyDeal LA, a collaboration of developers, green hydrogen off-takers, integrators, equipment manufacturers, investors, and advisors.

The group aims to work together to bring the cost of green hydrogen down to $1.50 per kilogram (kg) in the Los Angeles Basin by 2030 by creating a commercial green hydrogen cluster at scale.

Hydrogen created by electrolysis powered by generation sources such as wind, solar or hydro power is considered “green” from an environmental standpoint.

Green hydrogen can enable deep reductions in carbon dioxide emissions and can be used in a variety of applications, such as a fuel for a power plant or for a steel mill or for a hydrogen fuel cell vehicle. Green hydrogen also can provide long-duration seasonal energy storage.

In addition to LADWP, participants in HyDeal LA include 174 Power Global, Mitsubishi Power, and Southern California Gas. Implementation partners include Clifford Chance, Marathon Capital, and Strategen.

In its first phase, HyDeal LA participants will design the competitive supply chain necessary to achieve $1.50/kg delivered green hydrogen in the LA Basin. They also will work toward achieving in-principle agreement on the necessary terms and conditions to achieve production, storage, transport and delivery of green hydrogen at scale.

“Green hydrogen is the key to reliably achieving 100% renewable energy,” Martin Adams, LADWP’s general manager and chief engineer, said in a statement. “We are pleased to join the HyDeal LA effort, which includes an innovative and expanding vendor and development community, to support and help catalyze the supply chain needed to achieve large-scale, low-cost green hydrogen power supply for our local in basin plants.”

Separately, LADWP is leading the effort to turn the Intermountain Power Project in Delta, Utah, to the world’s first gas turbine designed and built to operate on entirely on green hydrogen by 2035.

HyDeal LA is part of HyDeal North America, a commercialization platform launched by the Green Hydrogen Coalition that is dedicated to deploying green hydrogen at scale for multi-sectoral decarbonization.

HyDeal LA is modeled after HyDeal Ambition, a similar project in Europe committed to producing and purchasing 3.6 million tons of green hydrogen annually for the energy, industry, and mobility sectors at about $1.83 per kilogram before 2030.

In a November report, S&P Global Ratings said the cost of producing hydrogen from renewable resources would need to fall by over 50 percent, to $2.00 or $2.50 per kilogram, by 2030 to make it a viable alternative to conventional fuels.

The levelized cost of renewable power accounts for about 60% of cost of green hydrogen, S&P said, adding that a $10 per megawatt hour decline in the power price reduces the cost of hydrogen by $0.4 to $0.5 per kilogram.

Other factors in the cost of green hydrogen are the capital costs of electrolyzers and capacity utilization factors. Increasing utilization to 50 percent from 40 percent would reduce the cost of hydrogen by $0.2 to $0.3 per kilogram.

California community choice aggregator’s board approves 15-year geothermal energy contract

May 13, 2021

by Paul Ciampoli
APPA News Director
May 13, 2021

The Board of Directors for California’s Clean Power Alliance (CPA) recently approved a 15-year contract with Ormat Technologies Inc.’s Heber South Geothermal facility located in Imperial Valley, Calif.

Once the long-term contract takes effect January 1, 2022, the facility will add 14 megawatts of renewable energy to CPA’s energy portfolio. With an expected average annual generation of 116,508 MWh, the project will also allow CPA to further comply with the state of California’s aggressive renewable energy mandates.

CPA will pay for the output of the geothermal generation of the project at a fixed-price rate per megawatt hour for the full term of the 15-year contract. Under the contract, CPA will receive all product attributes from the facility, including energy and renewable energy credits (RECs).

In addition, the contract brings CPA closer to meeting its regulatory obligations under California’s SB 100 and SB 350, which require that 65% of Renewables Portfolio Standard (RPS) compliance related renewable energy supply be sourced from long-term contracts beginning in the 2021-2024 compliance period.

The Heber South project has a firm transmission agreement with California public power utility Imperial Irrigation District to deliver power to the California Independent System Operator at the Coachella Valley substation.

CPA, a community choice aggregator (CCA), serves approximately three million customers and one million customer accounts across 32 communities throughout Southern California.

According to CAISO’s website, geothermal energy accounts for 1,389 MW of the ISO’s grid as of April 11, 2021.

In January 2020, Ormat Technologies announced the signing of two power purchase agreements with Silicon Valley Clean Energy and Monterey Bay Community Power, two California CCAs.

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

TVA, Kairos Power to collaborate on low-power demonstration reactor

May 11, 2021

by Paul Ciampoli
APPA News Director
May 11, 2021

The Tennessee Valley Authority and Kairos Power recently announced plans to collaborate on deploying a low-power demonstration reactor at the East Tennessee Technology Park in Oak Ridge, Tenn.

As part of this agreement, TVA will provide engineering, operations, and licensing support to help Kairos Power deploy its low-power demonstration reactor, named Hermes, TVA noted on May 6.

California-based Kairos Power states on its website that its fluoride salt-cooled high temperature reactor is a novel advanced reactor technology that aims to be cost competitive with natural gas in the U.S. electricity market and to provide a long-term reduction in cost.

Kairos Power has chosen Albuquerque, N.M., as its home for a new engineering center to support the development of its advanced reactor technology. The facility will be located in Albuquerque’s Mesa del Sol master-planned community in an existing building on 32 acres of land for future expansion.

Jeff Lyash, President and CEO of TVA, discusses the Kairos Power news in an upcoming episode of the American Public Power Association’s Public Power Now podcast. Click here on Monday, May 17 to access the podcast episode.

TVA generates more than 40% of its electricity from nuclear power and has the third largest nuclear fleet in the U.S. 

In April 2020 it was disclosed that the University of Tennessee and the Tennessee Valley Authority had signed a memorandum of understanding to evaluate the development of a new generation of cost-effective, advanced nuclear reactors, such as small modular reactors, at TVA’s 935-acre Clinch River Nuclear Site in Roane County.

TVA signed a similar agreement with Oak Ridge National Laboratory in February 2020 to explore advanced reactor designs as a next-generation nuclear technology with potential for improved safety and increased flexibility.