2017 IRP Supply-Side Resource Advisory Committee - Thermal
July 25, 2016
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Why are we here?
July 25, 2016
To gather technical information from subject matter experts Costs (capital, operating, etc) Performance characteristics
This technical meeting is dedicated to natural gas fired generation
Future meetings for:
Demand-Side Resources on July 27, 2016 Renewable resources & energy storage on August 22, 2016
All supply-side resources finalized by end of September 2016.
Includes gas-fired generation, renewables and energy storage.
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Agenda
July 2015, 2016
Overview
Reciprocating Engine Technology overview John Robbins, Wrtsil
Gas Turbine Technology overview
Peter Stroganow, GE Power
Black & Veatch Report Keith Cummer and Brian Reinhart, B&V
Draft 2017 IRP thermal plant costs and
operating characteristics
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Overview
July 25, 2016
Natural Gas Fired Generation that will be modeled in 2017 IRP: Combined Cycle Combustion Turbine (CCCT)
Also known as: Combined Cycle Gas Turbine (CCGT) Natural Gas Combined Cycle (NGCC)
Frame Peaker Also known as:
Simple Cycle Combustion Turbine (SCCT) Combustion Turbine (CT) Industrial or Heavy Frame Gas Turbine
Aeroderivative Peaker (Aero Peaker) Reciprocating Engine (Recip Peaker)
Also known as: Reciprocating Internal Combustion Engine (RICE)
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Clarification
July 25, 2016
Resources used in IRP are for generalized analysis and do not reflect an acquisition level analysis
The purpose of the IRP is to evaluate different types of resources and set up the analysis process for an acquisition
This does not reflect preference to certain manufacturers, we just needed a baseline to establish operating characteristics.
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Wrtsil Presentation
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GE Presentation
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Variable Operations and Maintenance
July 25, 2016
Variable Operations: Chemicals Water Consumables Station Power
Major Maintenance Adder (MMA):
Includes long term service agreements (LTSA) and other scheduled maintenance
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Consistent with CAISO
July 25, 2016
The treatment of variable operations and maintenance is consistent with CAISO Business Practice Manual (BPM) for Market Instruments version 39, November 2015
http://www.caiso.com/rules/Pages/BusinessPracticeManuals/Default.aspx
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Fixed Operations and Maintenance
July 25, 2016
Fixed costs: Labor Annual cost of facilities and offices
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B&V Presentation
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Agenda
July 2015, 2016
Overview
Reciprocating Engine Technology overview John Robbins, Wrtsil
Gas Turbine Technology overview
Peter Stroganow, GE Power
Black & Veatch Report Keith Cummer and Brian Reinhart, B&V
Draft 2017 IRP thermal plant costs and
operating characteristics
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Oil Back-Up
July 25, 2016
Oil back-up for all peakers cost estimate includes fuel oil storage tank, initial inventory,
demineralized water production and storage system and additional balance of plant facilities such as roads, electrical supply and distribution, foundations, excavation, diesel truck unloading pads and pumps, truck hookups, etc.
Draft 2017 IRP 2016 $ Frame Peaker
Aero Peaker
Recip Peaker
Total Incremental cost Added to EPC $15 Million $14 Million $15 Million
Total Incremental Cost ($/kw) $63 $62 $68 FOM ($/kw-yr added to FOM for plant) $4.60 $4.22 $4.12 Price of Distillate Fuel Oil ($/gallon) $1.55 $1.55 $1.55 Days of Oil 2 days 2 days 2 days
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Duct Fire on CCCT
July 25, 2016
What is it? Some Heat Recovery Steam Generators (HRSGs) include
supplemental, or duct firing. These additional burners provide additional energy to the HRSG, which produces more steam and hence increases the output of the steam turbine. Generally, duct firing provides electrical output at lower capital cost. It is therefore often utilized for peaking operations.
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Duct Fire costs
July 25, 2016
Duct Fire (DF) can increase capacity up to 25% PSE will use 15% increase in capacity
Costs around $300-$400/kW PSE will use $350/kW
Heat rate of DF is around 8,000 9,000 PSE will use 8,500
Size (MW)
EPC Cost ($000)
Owners Costs ($000)
Overnight Cost ($000)
Total Cost ($/kw)
CCCT 359 $388,000 $116,400 $504,400 $1,405 DF 54 $18,853 CCCT w/ DF 413 $406,853 $116,400 $523,253 $1,267
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Draft 2017 vs. 2015 IRP Capital Costs
July 25, 2016
Capital Cost ($/kW) 2017 IRP (2016 $)
2015 IRP (2014 $)*
CCCT $1,267 $1,256
Frame Peaker w/ Oil $634 $896 Frame Peaker w/o Oil $537 $830 Aero Peaker w/ Oil $947 $1,342 Aero Peaker w/o Oil $881 $1,273 Recip Peaker w/ Oil $1,477 Recip Peaker w/o Oil $1,277 $1,599
*2015 IRP Chapter 4, Figure 4-15 on page 4-25
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Resource Assumptions Matrix
July 25, 2016
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Next Steps
July 25, 2016
Gas transport costs will be presented at the gas resource advisory committee (GRAC) in September.
Will discuss operating parameters for flexibility analysis at the flexibility technical advisory committee (Flex-Tac) meeting in October. This can include ramping times, min up/min down, etc.
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Proposed 2017 IRP Meeting Schedule--July 11, 2016
2016 2017
Fri, June 171
IRPAG
July 25: 1-4 pm2
Thermal RACForum
July 27: 9 am - 3 pm3
DSR-AC IRPAG
Auditorium
Work Plan Filed July 15
Monday, Aug 224
Renew RAC: 9-12Auditorium
Monday, Sept 266
GRAC: 9-12IRPAG: 12:30-3
Auditorium
Thurs, Oct 277
Flex Tac: 9-12DSR-AC: 12:30-3:30
Forum
Monday, Nov 148
IRPAG: 9-3Auditorium
Wed, Jan 119
IRPAG: 9-3Forum
Thurs, March 1610
IRPAG: 9-3Forum
Tues, Apr 1811
IRPAG: 9-3Forum
Mon, May 2212
IRPAG:9-3Forum
Draft IRP April 28
IRP FiledJuly 14
June July Aug Sept Oct Nov Dec Jan Feb Mar Apr May June July
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IRPAG: 12:30-3
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THANK YOU
July 25, 2016
25 Ju
ly 2
016
CHARACTERIZATION OF GAS-FIRED SUPPLY-SIDE OPTIONS (SSOs)
BLACK & VEATCH WERE BUILDING A WORLD OF DIFFERENCE. TOGETHER. Founded in 1915 Global workforce of more than 10,000 Employee-owned corporation
$3 billion in annual revenues in 2015 More than 110 offices worldwide
Completed projects in more than 100 countries
Black & Veatch conducts 7,000+ active projects globally at any one time
25 July 2016
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CHARACTERIZATION OF GAS-FIRED SUPPLY-SIDE OPTIONS
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Provide general overview of commercially available baseload and peaking gas-fired Supply-Side Options (SSOs)
Preliminary estimates: Thermal performance Capital cost Operations and maintenance (O&M) cost Dispatch characteristics
Preliminary, screening-level characteristics suitable for the initial evaluation of multiple SSOs
OBJECTIVE OF B&V CHARACTERIZATION
25 July 2016
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Based on B&V experience with similar generation options Recent studies and recent project installations
executed by B&V Performance and cost data provided by major
equipment Original Equipment Manufacturers (OEMs)
Adjusted to provide representative values for projects implemented within PSEs service territory
APPROACH OF B&V CHARACTERIZATION
25 July 2016
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8 gas-fired options characterized for study: 2 baseload/intermediate load: combined cycle 6 peaking load: simple cycle
Options include gas turbines and reciprocating internal combustion engines (RICE) GE gas turbines: representative of commercial
aeroderivative and large frame gas turbines Wrtsil engines: representative of commercial RICEs
SSOs CONSIDERED
25 July 2016
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SSO
Nominal Net Output
(MW)
Annual Capacity
Factor
Annual Number of
Starts
Combined Cycle Options
1x1 GE 7F.05 359 80% 70
1x1 GE 7HA.01 405 80% 70
Simple Cycle Options
3X0 Wrtsil 18V50SG 55 5% 100
6x0 Wrtsil 18V50SG 111 5% 100
12x0 Wrtsil 18V50SG 222 5% 100
1x0 GE LMS100PA+ 114 6% 100
2x0 GE LMS100PA+ 227 6% 100
1x0 GE 7F.05 239 2% 100
SSOs CONSIDERED (CONT.)
25 July 2016
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B&V developed performance models to estimate unit performance and emissions, considering: OEM gas turbine/RICE performance Various load points (100%, 75%, and minimum load) All options with SCR/oxidation catalyst controls
Selected operational parameters defined to support production modeling by PSE, including: Ramp rates Minimum run/down times Start fuel/energy/times
CHARACTERIZATION OF PERFORMANCE, EMISSIONS AND OPERATIONAL PARAMETERS
25 July 2016
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SSO
Nominal Net Output
(MW)
Net Plant Heat Rate
(Btu/kWh) (1)
Com
