Memphis is studying the potential to save money by exiting its contract with TVA. At issue is how much solar and storage to include in any new generating portfolio.
Many utilities prepare resource plans using biased modeling choices that disadvantage low-cost solar. With transparent utility modeling, states and intervenors could easily see the bias. And if they also have access to the same model used by the utility, they can fix the errors by running the model themselves.
2 GW more solar in the near term would save DTE’s Michigan customers $100 million. DTE proposes only 11 MW of near-term solar, or less than one percent of the optimal amount.
An Arizona regulator has advocated for using a modeling tool being developed by Arizona State University, to help the state plan how to phase in more renewable energy. Yet the university’s initial plan for the modeling tool would not serve that purpose well.
Aiming for 70% clean energy by 2030, Colorado’s Holy Cross Energy is piloting a household-scale virtual power plant technology that will help integrate more rooftop solar and storage. A device in each home optimizes provision of power to the grid, as well as grid services.
A regulatory proceeding raises issues of monopoly control; whether distributed resources will be compensated for providing grid services; and the capability of smart inverters to operate autonomously, without external controls, in response to signals on price, voltage and frequency.
The same report that expects utility-scale PV costs to fall 54% from 2017 to 2021 also presents a constant-cost scenario from 2018 onward, on an equal footing with the “mid” and “low” cost scenarios. Utilities could be tempted to use the constant (high) cost scenario in their resource plans, and thus plan little or no added solar.
England’s Highview Power has contracted with U.S. energy developer Tenaska to pursue gigawatt-hour scale cryogenic energy projects in the U.S. Highview reports a storage cost of $140/MWh at industrial scale; the firm currently operates a 5 MW pilot facility in England.
Four-hour storage can provide up to 4,000 MW of capacity in the PJM grid region, providing reliability value equal to that of conventional generators.
The investment from Copenhagen Infrastructure Partners suggests that new pumped hydro storage projects can compete with battery storage. Construction of the 400 MW, 3400 MWh facility could begin as early as next year.
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