conventional and pumped hydro = strategic flexibility richard r. miller, p.e. hdr, inc....

Conventional and Pumped Hydro =

STRATEGIC FLEXIBILITY

Richard R. Miller, P.E.HDR, Inc.

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Quebec Electrical Industry, March 20, 2013

Grid-Scale Energy Storage Solutions• Grid-scale storage enables development of double-digit levels of wind

penetration• Europe integrates variable energy with big transmission, conventional

hydro, and carbon-free pumped storage• Changing US market for system reserves and grid reliability services

Ancillary Services: Demonstrating Hydro’s Flexible Generation

Flexible Hydropower Is a Proven and Widespread Technology!

Denmark & Grid Reliability

• 30% wind penetration in the generation mix• No native load balancing• Balancing services provided via interconnects:

- Strong interconnections with Norway, Sweden, and Germany- Utilizes energy storage and flexible energy options in neighboring balancing areas- Excess wind is exported and stored in Norwegian hydropower reservoirs

Power Balance in Denmark 2008

Source: Energinet.dk

Germany

Norway

Sweden

Western Denmark Wind Output and Net Electricity Flows

Source: Manitoba Hydro

Pumped Storage Activity in the United StatesProposed/Preliminary Permits for Pumped Storage

Contact Info

RICK MILLER, P.E.SENIOR VP AND NATIONAL DIRECTOR RENEWABLE ENERGY SERVICESHDR Engineering, Inc.704.248.3686rick.miller@hdrinc.com

BACKUP SLIDES

What Can Be Done to Address Challenges?Markets: Energy Storage Model

(Similar to Gas Storage Model)

200 MW

1,000 MWPSH

Reservation Charge/Customer (sold in 100-200+/- MW increments)

Electricity Electricity

Injection Fee:

~$5/MWh1

Withdrawal Fee:

~$5/MWh1

LOAD, DSM, or

Reg. Down

$10/MW1

GENERATION, or

Reg. Up

$15/MW1

Transmission Services:Fast Response, Voltage

Support, Regulation(AS provided while still

providing storage services)

Coordination with Neighbor TSO (REE, Spain)

The Portuguese Goals for Renewables (1/2)