CPS Energy board approves plan to phase out coal by 2028

At-a-Glance

CPS Energy’s board of trustees voted 4-1 on January 23 to approve a new energy mix, which will see the municipally owned utility phase out its use of coal by 2028. For more, read CPS Energy board approves plan to phase out coal by 2028.

Key Takeaways

  • Under the approved plan, CPS Energy will shut down one of two remaining coal plants in 2028 and convert the second to a natural gas plant by 2027, which will run indefinitely.
  • The new mix aims to minimize CPS Energy’s reliance on the grid and to ensure it has plenty of dispatchable energy – meaning it can be turned on and off when needed.
  • Known as Portfolio #2, the plan will add roughly 4,928 megawatts of generation capacity to the utility’s portfolio over the next seven years, including 1,380 megawatts from combined cycle natural gas and about 800 from reciprocating internal combustion engines that run on natural gas or diesel.
  • Another 500 megawatts will come from wind, 1,180 from solar, and 1,060 from lithium battery storage.
  • CPS Energy officials emphasize that the utility will revisit the portfolio every two to three years, and Portfolio #2 offers enough flexibility that as cleaner technologies come online, they can be added to reduce CPS Energy’s reliance on natural gas.

Path to 100% Perspective

Utilities in the United States are seeing the value and beginning to invest in flexible gas solutions as part of their portfolios to integrate a growing share of renewables in the most efficient manner. CPS Energy’s plan, which includes fast starting gas power plants, will give the utility a solid and much cleaner portfolio that provides optimized and reliable electricity to its customers. Their plan also sets a precedent for how a Texas utility can accelerate the transition toward 100% renewable energy with hybrid solutions. Including flexible gas assets in the portfolio is now becoming the best and fastest way to integrate renewables and ensure security of supply, regardless of weather conditions.

How Clean Energy Kept California’s Lights On During A Historically Extreme Heat Wave

At-a-Glance: 

A two-week heat wave in California put the electric grid to an extreme test, but despite record demand the power stayed on, largely due to the fact that the state has gone all-in on clean energy technology like wind, solar, battery storage, and demand response. For more read: How Clean Energy Kept California’s Lights On During A Historically Extreme Heat Wave.

Key Takeaways:

  • Batteries played a critical role in keeping the grid running, and without them we would have experienced rolling blackouts. California has more than 3.2 GW of batteries supporting the grid, up from just 250 megawatts in 2020. These batteries typically provide four hours of energy, so that’s 150 times more energy from just two years ago. 
  • Customers also played a part, drastically reducing power usage after text alerts asked them to conserve power. This did help, but can’t be relied upon in every situation.
  • Renewable energy sources helped, too, but did need battery backup. Solar provided a consistent source of power during the day, but dropped off in the evening, when the demand increased. Wind did pick up in the evening. 
  • The state is racing to install more solar, wind, batteries, as well as transmission to connect all these new resources to the grid.

Path to 100% Perspective

It’s encouraging to hear that 10 states have already set decarbonization goals, but it isn’t enough. The Path to 100% will take support from everyone– from government and business leaders to private citizens. While the path isn’t the same everywhere, it includes some common steps, like increasing the use of renewables while incorporating storage and flexible power plants that can provide a source of energy backup when renewables like wind and solar are not enough. Without a plan to ensure firm, reliable power at all times, support of the energy transition could decrease.

 

 

Xcel Energy – Colorado plans to deliver 80% renewable energy by 2030

At-a-Glance:

Xcel Energy Colorado has announced details of its upcoming Clean Energy Plan, which will result in an estimated 85% reduction in carbon dioxide emissions from 2005 levels by 2030. The plan will double renewable energy and battery storage on the Xcel Energy Colorado system, providing customers with electricity derived from approximately 80% renewable sources while maintaining affordable and reliable energy service. To learn more, read Xcel Energy – Colorado plans to deliver 80% renewable energy by 2030.” Reading this article may require a subscription from the news outlet.

Key Takeaways:

Highlights from the plan include:

  • Adding approximately 5,500 MW of new wind, solar generation, and battery storage.
  • Significantly reducing coal plant operations by 2030 and retiring or repowering all remaining coal units by 2040.
  • Building upon successful customer-focused energy efficiency programs, distributed generation opportunities, and demand response options to manage energy load.
  • Ensuring grid stability and reliability with flexible resources capable of operating around renewable resources as well as during times of extreme heat or cold.
  • Creating a workforce and community transition plan, building upon the utility’s experience leading clean energy transitions across its service area.
  • Evaluating transmission infrastructure in the state to improve the reliability and flexibility of the system and reduce the cost of the renewable energy additions contemplated by the plan.

Path to 100% Perspective:

Electric utilities and governments across the world are moving towards 100% carbon-free energy. To succeed, they need to not only increase renewable generation, but also to rapidly reduce the use of fossil fuels. Renewables and storage alone cannot rapidly decarbonize our power system fast enough. Optimizing power resources, renewable energy and flexible fuels is the way to pave the Path to 100%.  Xcel Energy Colorado is building a resilient decarbonization plan.

 

Photo by Peggy Sue Zinn on Unsplash

Ditch Nuclear And Save $860 Million With Grid Flexibility, U.K. Told 

At-a-Glance

According to the report from Finnish energy tech firm Wärtsilä, the U.K. would stand to save $860 million per year if, instead of new nuclear power, the government backed grid flexibility measures, such as battery storage and thermal generation. That equates to a saving of about $33 dollars per British household per year. Crucially, the analysis revealed that even if energy generation was to remain the same as it is today, Britain could increase renewables’ share of that generation to 62% simply by adding more flexibility. To learn more, read Ditch Nuclear And Save $860 Million With Grid Flexibility, U.K. Told.” Reading this article could require a subscription.

Key Takeaways

  • According to the Wärtsilä report, Germany at one point paid almost $1.1 million per hour to export 10.5 gigawatts of electricity. Such inefficiencies, Ville Rimali, growth and development director at Wärtsilä Energy said, were indicative of inflexible electricity systems—while countries that had built flexibility into their power grids had no such issues.
  • On the other hand, investing in nuclear power could, according to Wärtsilä, entrench an inflexible grid while making renewables such as solar and wind less cost-effective.
  • Wärtsilä’s recommendations appear to align closely with those of the International Energy Agency (IEA), which has stated that, as economies move away from fossil fuels, “power system flexibility has become a global priority.” Subsequently, according to a report released by the agency last month, much faster deployment of grid flexibility will be required if countries are to achieve their decarbonization targets.

Path to 100% Perspective

In the “Optimising the UK’s Shift to a Renewable-Powered Economy, Wärtsilä recommends a three phase strategy to accelerate a cost-optimal shift to 100% renewable energy and economic decarbonisation. 

  1. Support faster renewable energy deployment to achieve 80% renewable generation by 2030. 
  2. Increase investment in flexibility to unlock renewable energy and deliver a cost-optimal transition for consumers. 
  3. Future-proof today’s decisions to enable future technologies – such as Power-to-X – to achieve 100% renewable energy before 2050

 

Photo by Nicolas Hippert on Unsplash