Wartsila case study: DC-coupled energy storage systems ideal for real-time trading

At-a-Glance:

With more opportunities to sell energy into new energy markets, energy developers are thinking creatively about wasted energy and harnessing greater efficiency. There are two important evolutions in energy storage technology that solar power producers are opting for when purchasing new systems: solar projects are leveraging the efficiencies of DC-coupled design in energy systems just at the emergence of market bidding as a new industry standard. As more developers pair solar systems with energy storage, the convergence of these two trends serve as an anchor design for utility-scale solar and storage projects going forward to ensure these systems are as optimized and impactful as possible. To learn more, read “Wärtsilä case study: DC-coupled energy storage systems ideal for real-time trading.”

Key Takeaways:

  • Wärtsilä recently announced a solar PV and storage project that incorporates both DC-coupled design and market bidding and illustrates the most efficient designs and revenue-generating systems out there.
  • The Wärtsilä system, a 40-MW/80-MWh energy storage system, located in Mitchell County, Georgia, will enable a subsidiary of RWE Renewables (Hickory Park Solar) to sell nearly 200 MW of generation from the solar PV panels to Georgia Power Company.
  • The RWE project is Wärtsilä’s first DC-coupled system and the largest application of the GridSolv Quantum solution which is a fully integrated modular energy storage system that is highly optimized for DC-coupled systems.
  • The RWE project is also the first application of Wärtsilä’s new cloud-based IntelliBidder software. IntelliBidder leverages machine learning and optimization algorithms based on automated and forecasted data and real-time trading for elevated value-based asset management and portfolio optimization.

Path to 100% Perspective:

This is one of the very few projects globally on this scale using DC-coupling. Delivery of this innovative equipment is scheduled for September 2021 and the plant is expected to commence commercial operations in November. The global technology company previously delivered energy storage solutions to RWE Renewables in Texas and Arizona.

NextEra Aims to Buy More U.S. Power Lines to Fuel Renewable Push

At-a-Glance:

NextEra Energy Inc. wants to buy more power lines to tap into rising demand for renewable energy, weeks after closing a $660-million deal for such transmission wires. The Florida-based company plans to expand its business both by developing and acquiring transmission assets. In March, NextEra bought GridLiance, which owns about 700 miles of high-voltage transmission lines, for about $660 million from Blackstone Group Inc. To learn more, read “NextEra Aims to Buy More U.S. Power Lines to Fuel Renewable Push.”  Reading this article may require a subscription from the news outlet.

Key Takeaways:

  • Corporate executives are encouraged by President Joe Biden’s focus on renewables, which is in turn encouraging more companies to expand their investment in renewables.
  • NextEra plans to add up to 30,000 megawatts of wind, solar and battery storage by 2024.
  • The country will need to expand its transmission grids by as much as 60% for wind and solar to make up half of U.S. electricity capacity by 2030 to meet the President’s goal of a fully green U.S. power grid by 2035.

Path to 100% Perspective:

Carbon neutral and carbon free systems must install enough capacity (with the right capabilities) to meet energy needs in worst-case scenarios. At a minimum, to assure reliability and avoid blackouts, utility system planners and policy makers need to account for seasonal trends in availability of renewable resources. Meanwhile, inflexible power systems cannot keep up with wind and solar’s variability, so power plants have to stay online and burn fuel even on sunny or windy days when they are not needed. In practice, this limits power systems to using perhaps 30% renewable generation. Any more than that gets curtailed. Therefore, additional investment in more transmission is required to meet the growing demand.

 

Hydrogen Talk with Petteri Laaksonen

Petteri Laaksonen

What roles will hydrogen and electricity play in power generation on the path to decarbonization? This is one of several questions that were explored during the March 31 webinar, Hydrogen Talk with Petteri Laaksonen.

This webinar is the first in the Path to 100’s Community of Experts Networking Call Series, also known as the Expert Exchange, which serves as a forum for experts to share knowledge on the best ways to decarbonize electricity to speed the transition to 100% renewable energy.

Jussi Heikkinen

Jussi Heikkinen

Featured speakers for the inaugural Community of Experts webinar were Petteri Laaksonen, Research Director in the School of Energy Systems at LUT University in Lappeenranta, Finland, and Jussi Heikkinen, Director, Wärtsilä Growth and Development, who also moderated the webinar.

The focus of Laaksonen’s presentation was green electrification and the hydrogen economy. He opened by discussing some of the ways in which electricity and hydrogen are produced and used for energy in different sectors of industry, in transportation, and in buildings. Central to this discussion was the efficiency of electricity versus hydrogen for use in applications and the infrastructure that is needed to support their use.

According to Laaksonen, “Hydrogen is not as efficient as electricity when it comes to transportation and the transport sector does not have the infrastructure and vehicles to support hydrogen’s use. However, hydrogen’s potential lies in its ability to be synthesized into different products, such as synthetic fuels.”

The focus of the presentation then shifted to a discussion of the location-related competitive advantages of hydrogen and electricity. One of the big advantages of producing and storing hydrogen and electricity as fuels onsite is cost, specifically the costs of shipping and lost efficiency when transporting from one location to another.

“When it comes to choosing which fuel, hydrogen or electricity, to use in an application, there are no clear winners. Each location will have its advantages,” said Laaksonen.

After Laaksonen’s presentation, Heikkinen spoke about the role of hydrogen in the optimal decarbonization path using a California modelling case study. Central to the discussion was a new approach to electricity storage that utilizes both short- and long-term storage strategies. He emphasized that on the optimal path, hydrogen in long-term storage can be tapped into as a fuel to help with seasonal system balancing and managing extreme weather.

Said Heikkinen, “Having seasonal storage in the form of fuel and flexible power plants can result in cost reductions from 126 to 50 dollars per megawatt hour and enable firm capacity that can be tapped into when there’s a heat wave or cloud cover.”

Missed the webinar? Watch the recording here. Want to learn more about the California case study’s modeling and results? Download the whitepaper.

 

 

Photo by Jason Leung on Unsplash

Power CO2 emissions fall 7% across Europe’s top 10 economies in 2020: Wartsila

At-a-Glance:

CO2 emissions from electricity generation among Europe’s 10 largest economies fell by 7% in 2020, according to the latest figures provided by Wärtsilä’s Energy Transition Lab. To learn more, read “Power CO2 emissions fall 7% across Europe’s top 10 economies in 2020: Wartsila.”

Key Takeaways:

  • CO2 emissions fell by 36.7 million mt to 489.1 million mt as the effects of the coronavirus pandemic combined with an ongoing phase-out of coal for electricity generation in many European countries.
  • Austria led the way with the largest percentage drop in emissions in 2020, down 28.8% from the previous year, reflecting the closure of the country’s largest coal-fired power plant in April 2020.
  • The pandemic combined with government-mandated coal phase-outs to accelerate the pace of the energy transition, with the share of renewables reaching levels not previously expected for another 10 years.
  • “One year since lockdowns began, we must now focus on a strategic, scientific, and intelligent approach to cutting carbon emissions that enables us to achieve the Paris Agreement while actually benefiting our economy and improving our quality of life,” said Tony Meski, senior market development analyst at Wartsila Energy Business.

Path to 100% Perspective:

Although record breaking carbon reductions have been recorded, the global economy has been put under intense strain. One year since lockdowns began, the focus is now moving to a strategic, scientific, and intelligent approach to cutting carbon emissions while benefiting the economy and improving quality of life. Energy demand will rebound and emissions with it. Innovators, leaders, and policymakers need to capture this moment and be ambitious with investments in renewables and flexible technologies while they remain highly competitive.

The Wärtsilä Energy Transition Lab is a free-to-use data platform to help the industry, policy-makers, and the public understand the impact of COVID-19 on European electricity markets and analyze what this means for future energy systems. The goal is to help accelerate the transition to 100% renewables.

 

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Wärtsilä to supply and maintain two major interconnected energy storage systems for Texas grid services

At-a-Glance:

Two standalone battery energy storage systems (BESS) totalling 200MW of output will be deployed in Texas’ ERCOT market by the energy division at Wärtsilä Corporation. Finland-headquartered marine and power systems technology manufacturer, which has become one of the biggest system integrators for energy storage in the US market, said today that it has been awarded contracts for the two projects in Southern Texas by developer Able Grid Energy Solutions.To learn more, read, “Texas’ grid to get 200MW of battery storage from Wärtsilä”,“Wärtsilä to supply two major interconnected energy storage systems for Texas grid services”,and“Wärtsilä wins order for utility-scale energy storage to support Texas electric grid.”

Key Takeaways:

  • Wärtsilä Energy will supply its recently-launched GridSolv Quantum advanced energy storage solution to both sites, as well as the company’s GEMS energy management software and controls platform.
  • The systems, called Ignacio and Madero, are thought to be around 100MW each, equalling the US state’s largest battery storage project under construction so far, the 100MW Chisholm Grid BESS which is also an Able Grid project.
  • “Able Grid selected Wärtsilä technology, among other considerations, for its critical safety and cyber-security features. The system complies with all applicable standards, like UL9540A, to ensure sustained safe and reliable operations. In addition, the GEMS Power Plant Controller is U.S.-code based and meets all IEC62443 cybersecurity standards,” commented Sharon Greenberg, Able Grid Chief Operating Officer.

Path to 100% Perspective:

Storage technologies will be essential to maintaining stability in the power grid as the world shifts from power systems based on fossil fuels to renewables and carbon-free and carbon-neutral fuels. Batteries will provide ideal solutions to keep the lights on during normal / average weather, while unusual and extreme weather events such as those recently experienced in California and Texas will require integrated long-term storage solutions that ensure security of supply in the face of seasonal and weather-related variability. Flexible generation power plants are also part of the solution as they can operate on carbon-free and carbon-neutral fuels and can provide the essential firm power component to our power systems of the future.

Texas must increase ties to the national grid and DER to avoid another power catastrophe, analysts say

At-a-Glance:

Texans were left in the cold and dark this February, following extreme cold weather that had the Texas competitive energy market unable to prevent deadly power failures. Leaving behind its historic commitment to power system independence and joining the larger U.S. grid can relieve some of the consequences of extreme weather events Texas is likely to see again, many energy analysts in and out of Texas said. To learn more, read Texas must increase ties to the national grid and DER to avoid another power catastrophe, analysts say.”

Key Takeaways:

  • “We designed this system for Ozzie and Harriet weather and we now have Mad Max,” said Texas energy consultant Alison Silverstein.
  • Some customers discovered variable bill plans can come with price spikes.
  • “The theory is that a high price will bring investments, but people don’t invest in things that might only make money sometime in the future unless they are required to,” said Jussi Heikkinen, North America Director of Growth and Development for global power plant developer Wärtsilä.

Path to 100% Perspective:

Texas does not have firm rules on power plant engineering for ambient temp ranges. Recommendations from ERCOT were published after the 2011 blackouts, but they are not mandatory, like they are in the eastern part of the country The Texas blackouts are an urgent indication that recommendations should be turned into common-sense regulation that leads to grid reliability and ratepayer protection.

 

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The POWER Interview: The Importance of AI and Machine Learning

At-a-Glance:

Artificial intelligence (AI) and machine learning (ML) are becoming synonymous with the operation of power generation facilities. The increased digitization of power plants, from equipment to software, involves both thermal generation and renewable energy installations. To learn more, read “The POWER Interview: The Importance of AI and Machine Learning.”

Key Takeaways:

  • AI and ML will be key elements for the design of future energy systems, supporting the growth of smart grids and improving the efficiency of power generation, along with the interaction among electricity customers and utilities.
  • Centralized power systems enable equal access to clean power at the lowest cost, reducing economic inequality. Regardless of whether the path forward is more or less centralized, AI brings value to all parties.
  • “AI is very important to smart grids,” Wärtsilä General Manager of Data Science, Energy Storage & Optimization, Luke Witmer said. “AI is extremely important to the integration of smart charging of electric vehicles, and leveraging those mobile batteries for grid services when they are plugged into the grid.”
  • The more AI is used in the dispatch of power plants, the more it will be needed in the design and creation process for new power plants or aggregations of power generation equipment.

Path to 100% Perspective:

Wärtsilä uses AI and equipment expertise to enhance the safety, reliability, and efficiency of power equipment and systems. AI and machine learning will play increasingly important roles in future power generation, especially as more communities and organizations come to rely on smart grids and renewable fuels for their electricity needs.

 

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California wastes its extra solar, wind energy. Could hydrogen be the storage key?

At-a-Glance:

No amount of solar panels and wind turbines alone will be enough for California to reach its goal of a clean electrical grid unless the state can solve its energy storage problem. The state already generates an abundance of energy from wind and solar farms, particularly during the sunny and blustery spring and early summer months. But it loses much of that energy because it has nowhere to store it, and unlike fossil fuels, the sun and wind are not dispatchable, and therefore are unable to be called on to generate power 24 hours a day. Utilities must rely on gas-fired power plants to keep up with California’s energy demands during peak demand periods. To learn more, read California wastes its extra solar, wind energy. Could hydrogen be the storage key? Reading this article may require a subscription.

Key Takeaways:

  • Some experts and legislators say the missing puzzle piece could be hydrogen, the most abundant element in the universe, which can be used as a zero-emission fuel for power plants, vehicles and machinery.
  • “I would say it’s almost the missing piece of the puzzle,” said Jussi Heikkinen, Director of Growth and Development at Wärtsilä Energy, a Finnish technology company that has built battery storage systems in California. “We don’t need to get rid of the power plants, but we need to get rid of fossil fuels.”
  • State Senator Nancy Skinner, D-Berkeley, is carrying a bill, SB18, that specifies the state’s climate and electrical grid plans include “green hydrogen,” or hydrogen gas that is produced using electricity from renewable sources.
  • According to Jack Brouwer, director of the National Fuel Cell Research Center, hydrogen is more effective for longer storage than batteries because it doesn’t lose energy over time and can be stored underground easily and cheaply.
  • Hydrogen advocates say that California ultimately needs a mix of hydrogen and batteries to reduce carbon emissions.

Path to 100% Perspective:

Investing in green hydrogen will be important as California looks to decarbonize its energy system. The state can turn this into a win-win by harnessing the excess power generated by existing wind and solar farms to produce hydrogen. The hydrogen can be stored and turned back into electricity using flexible thermal assets. Policies that enable rapid reductions in fossil fuel use and rapid increases in renewable generation in the electricity sector are a valuable piece to accelerating the decarbonization process. Legislation should steer electricity-sector decisions about investments, infrastructure and technology toward decisions that quickly reduce greenhouse gas emissions and pave the way for a 100% renewable energy future

 

 

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Mexico’s Path to 100%

At-a-Glance:

Considered a global initiative, the Path to 100% movement seeks to find reliable, quick and cost-effective ways to fully decarbonize electricity. To achieve this, there are a variety of paths available to every country. What would Mexico’s roadmap look like? Wärtsilä’s Business Development Executive for Mexico, Central America and the Caribbean, Raúl Carral, sheds light on where to start. To learn more, read Mexico’s Path to 100%.”

Key Takeaways:

  • A look at SENER’s latest 2019 figures reveal that Mexico had around 80 GW of installed energy capacity. Fossil fuels accounted for 66 percent of that capacity, of which 56 percent came from natural gas.
  • Renewables and hydroelectricity combined made up 17 percent of installed energy, although many MWs of wind and solar were installed in 2020.
  • Carral argues that Mexican utility CFE should consider competitive, future-proof assets like renewable power and flexible power generation and make plans based on a vision that will lead to more profitability, sustainability and reliability for CFE’s power generation and Mexico’s power grid.
  • Carral highlighted that several hydrogen projects are underway, which will help lower costs associated with this fuel. Existing gas-based power plants could be adapted to run on hydrogen and Wartsila announced they will be ready to burn this fuel with their equipment, too.

Path to 100% Perspective:

Mexico’s path to 100% is beginning to unfold. As the country increases its reliance on renewables, investing in infrastructure, like flexible thermal generation, will be critical to make up for times of intermittent wind and solar power. Path to 100% formed  a community of subject matter experts in Mexico to explore the best way to 100% renewable energy penetration.

 

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6 Out-of-the-Ordinary Energy Concepts From 2020

At-a-Glance

It’s been a “business-as-usual” year for renewables, despite the societal upheaval wrought by the coronavirus pandemic. Most 2020 headlines continue to highlight conventional renewable segments such as solar and energy storage. On the margins, virtual power plants have gone mainstream and green hydrogen has emerged as the energy carrier of choice for tomorrow’s fuel systems. But COVID-19 did little to dampen enthusiasm for more obscure energy concepts. To learn more, read “6 Out-of-the-Ordinary Energy Concepts From 2020.” 

Key Takeaways

  1. Filipino engineering student, Carvey Ehren Maigue has developed Aurora Renewable Energy and UV Sequestration or AuREUS, which uses vegetable-based panels as tinted films that can be applied to existing surfaces, such as walls and windows.
    • AuREUS’ ability to capture diffused ultraviolet rays is said to deliver a capacity factor of up to 50 percent, compared to a maximum of around 25 percent for photovoltaic (PV) solar energy.
  2. Salient Energy emerged from Shell’s GameChanger program with a zinc-ion battery chemistry believed to be cheaper, safer and longer-lasting than anything else on the market.
    • Salient claims its proprietary cathode materials store energy in zinc in a way that has never been commercialized before.
  3. Puerto Rican startup ReSynth specializes in “fuel enhancement” to reduce greenhouse gas concentrations from diesel and marine oils.
    • The fuel emulsion cuts sulfur and nitrous oxide emissions as well as carbon. Plus it has been approved by the U.S. Environmental Protection Agency, the Department of Energy and the U.S. Coast Guard. It works with engines from major manufacturers such as Wärtsilä.
  4. Spanish firm Vortex Bladeless was founded in 2014, but 2020 was a year for notable milestones for the innovators. Vortex launched a small-scale product, less than three feet tall, to compete with low-power off-grid PV.
  5. The Ocean Grazer concept, based at the University of Groningen in the Netherlands has developed the Ocean Battery which stores energy by pumping fresh water into flexible bladders that are deflated by the pressure of the seawater column when power is needed.
  6. Alberta-based Eavor Technologies believes one of its Eavor-Loop systems can pull energy from the center of the earth to heat 16,000 homes or produce industrial-scale electricity via heat-to-power engines.

Path to 100% Perspective

The path to 100% has not already been paved, therefore, commitments to innovation and creativity are essential to developing solutions for different communities, regions and utilities. However, grid operators also navigate balance between obscure energy concepts and sustainability for power systems that energize communities around the world. The possibilities are endless as entrepreneurs and energy experts continue to collaborate towards flexibility and sustainability in order to reach a renewable energy future.

 

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Leveraging Coronavirus Stimulus to Take a Giant Leap Toward Decarbonization

At-a-Glance

While electricity demand has faltered during the global pandemic, the share of wind and solar generation has continued to increase. Wind and solar produced 10 percent of global electricity between January and June in 2020. In the European Union, renewables accounted for 33 percent of all power generation. According to the International Energy Agency, the EU’s renewable energy production was higher than its fossil fuel generation between February and early July of this year. The increased role of renewables has highlighted the investments necessary to make the transition to a 100 percent renewable power system faster and more economically efficient. To learn more, read “Leveraging Coronavirus Stimulus to Take a Giant Leap Toward Decarbonization.” 

Key Takeaways

  • While there are nuances depending on local circumstances, one significant takeaway is that the power system as a whole can handle a more rapid shift to renewables than grid operators have long assumed. 
    • “What we found was the energy system can cope really well with much more renewable power and that it’s possible to raise the ambitions around adding more clean energy,” said Sushil Purohit, president of Wärtsilä Energy.
  • Charting a more rapid and financially efficient transition to a 100 percent renewables future was a primary objective of Wärtsilä’s recent report, Aligning Stimulus With Energy Transformation, based on its Atlas modeling. 
    • The report demonstrates how using energy-related stimulus investments to support clean energy could speed decarbonization in five key countries: the U.S., the United Kingdom, Brazil, Germany and Australia.
  • According to the report, 54 percent of the $400 billion pledged has been targeted to benefit fossil-fuel-based energy, while 36 percent has been devoted to clean energy. 
    • In the U.S., more than 70 percent of the current $100 billion allocated for energy stimulus was pledged to fossil fuels, compared to less than 30 percent for clean energy.

Path to 100% Perspective

Beyond the issue of decarbonization, this is a missed opportunity to spark near-term job creation. According to a report by McKinsey & Company, every $10 million of government spending on renewables creates 75 jobs, while the same amount invested in fossil fuels creates 27 jobs. For the U.S., reallocating the $72 million of the COVID-19 energy stimulus currently earmarked for fossil fuels to clean energy would result in 544,000 new jobs, 175 percent more than would be produced in the traditional energy sector. In addition, these investments would result in 107 gigawatts of new renewable energy capacity and a 6.5 percent increase in renewable electricity generation, from 17.5 percent to 24 percent.

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

 

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