Upload
abhilash-kantamneni
View
337
Download
4
Embed Size (px)
Citation preview
Upper Peninsula Alternative EnergyAbhilash “Abhi” Kantamneni| Michigan Technological University
2Source: http://www.michigan.gov/mpsc
4 Investor-Owned Utility Companies
3 Rural Electric Cooperatives
13 Municipal Electric Utilities
3
OCREA
UPPCO
WEPCO
DTE ELECTRIC
CONSUMERS
CHERRYLAND
THUMBXCEL
AEP
$0.24
$0.21$0.21
$0.16$0.16
$0.15$0.15$0.15$0.14$0.14$0.14$0.13
$0.11$0.11$0.11$0.10$0.10
MI Average Residential Electric Rates 2013[$/kWh]
MI Average: $0.14/kWhSource: MPSC Utility Company Annual Reports 2013
Residential Electric Rates
4
Residential Electric Rate Increases
OCREA
UPPCO
WEPCO
DTE ELECTRIC
CONSUMERS
CHERRYLAND
THUMBXCEL
AEP
116%
94%107%
48%
86%
49%73%72%79%
40%42%
76%
29%39%43%61%73%
MI Average Residential Electric Rate Increase 2001-2013
MI Average: 74%Source: MPSC Utility Rates Summary
5
Annual Upper Peninsula Energy Expenditures[$ Millions] UP Total: ~$142 Million
Source: MPSC Utility Company Annual Reports 2013
OREA
Alger D
elta
UPPCO WE
Cloverla
ndExce
lWPSC
$5$10
$55
$27 $3
2
$6 $7
Residential
6
OREA
Alger D
elta
UPPCO WE
Cloverla
ndExce
lWPSC
$1 $2
$34
$19
$17
$5 $3
Commercial
Annual Upper Peninsula Energy Expenditures[$ Millions] UP Total: ~$82 Million
Source: MPSC Utility Company Annual Reports 2013
7
Annual Upper Peninsula Energy Expenditures[$ Millions] UP Total: ~$157 Million
Source: MPSC Utility Company Annual Reports 2013
OREA
Alger D
elta
UPPCO WE
Cloverla
ndExce
lWPSC
$0 $1
$20
$93
$29
$2$11
Industrial
8
Annual Upper Peninsula Energy Expenditures[$ Millions] UP Total: ~$385 Million
Source: MPSC Utility Company Annual Reports 2013
OREA
Alger D
elta
UPPCO WE
Cloverla
ndExce
lWPSC
$6 $13
$110
$141
$80
$14 $2
1
Total
9
Problem Statement:Can we help UP commercial and industrial customers save money on energy costs and reinvest in workforce development?
10
What is ‘Alternative Energy’?
11
Clean?
Green?
Alternative?
No-Carbon?Sustainable?
Environmentally Friendly?
Non-polluting?
12
“Energy that comes from resources which are naturally replenished on a human timescale”
Renewable ≠ Alternative !!!!
13
Renewable: ‘naturally replenished on a human timescale’
Alternative: ‘not conventional’
Sustainable: ‘ability to endure’
14
Midwest Region Fuel Mix (2013)
Non Renewables: 95.11% Renewables: 4.89%
CoalNuclear
GasOil
HydroelectricBiofuelBiomass WindWoodOtherSolar
15
KRC+CUPPAD Original Proposal to EDA• Solar• Wind• Geothermal• Energy Efficiency• Natural Gas (CHP)• Biomass• Waste Heat Recapture
16
Policy Constraints: MI Public Act 295 (2008)
Renewable Energy Standard
(RES)
10% of all retail electric sales for all
utilities in MI to come from renewable
sources
Energy Optimization Program (EO)
Authorizes EO surcharge on monthly
bills to finance customer Energy
Efficiency upgrades
Net Metering Program
On site renewable electric generation
with credits for monthly excess
generation
17
18
Policy Constraints: MI Public Act 295 (2008)
Renewable Energy Standard
(RES)
10% of all retail electric sales for all
utilities in MI to come from renewable
sources
Energy Optimization Program (EO)
Authorizes EO surcharge on monthly
bills to finance customer Energy
Efficiency upgrades
Net Metering Program
On site renewable electric generation
with credits for monthly excess
generation
19
UPPCO FUEL MIX (2013)
Coal
Nuclear
Gas
OilHydroelectric
Biofuel Biomass WindWoodOther
Solar
Non Renewables: 87.59% Renewables: 12.41%
20
OCREA FUEL MIX (2013)
Non Renewables: 82.4% Renewables: 7.6%
Coal
Nuclear
Gas Oil Hydroelectric
Biomass WindWood Other
21
Renewable Energy Standard
(RES)
All utilities on track to meet 10% RES by
2015
Cost of Generation from renewables
50% the cost of new coal generation
Energy Optimization Program (EO)
All utilities met or exceeded near term
targets
Cost of energy conservation 10%
the cost of new coal generation
Net Metering Program
Total customers self generating increases
from 20 to 1500
Total installed self generation
increases from 300*kW to 13,300kW
MI Public Act 295 (2008) Impact: Positive
* estimated
Source: MPSC Reports
22
Houghton Winters
Source: Mining Journal
Source: Mining Gazette
Source: Michigan Tech Alumni
Source: Mining Journal
Source: boniashburn.com
23
OCREA
UPPCO
WEPCO
DTE ELECTRIC
CONSUMERS
CHERRYLAND
THUMBXCEL
AEP
$0.24
$0.21$0.21
$0.16$0.16
$0.15$0.15$0.15$0.14$0.14$0.14$0.13
$0.11$0.11$0.11$0.10$0.10
MI Average Residential Electric Rates 2013[$/kWh]
MI Average: $0.14/kWhSource: MPSC Utility Company Annual Reports 2013
24
Average Residential Electricity Retail Rates
by State (2013)State Average Price
[$/kWh]Hawaii $0.37
Houghton $0.21-$0.24New York $0.19
Alaska $0.19Connecticut $0.18
Vermont $0.18New Hampshire $0.17
California $0.16New England $0.16
Middle Atlantic $0.16Massachusetts $0.16
New Jersey $0.16Michigan $0.15
Source: www.eia.gov
25
Michigan Tech KRC Photovoltaic Research Center
26
Location: Tree Cover and Solar Window
Image Source: www.solarfeeds.com
Best Summer Angle: 30*
Best Winter Angle: 60*
Best Average Angle: 47*
27
Advantages of High Module Tilt: Albedo
Source: nsidc.org
1 16 31 46 61 76 91 1061211361511661811962112262412562712863013163313463610
50,000
100,000
150,000
200,000
250,000
300,000
350,000
400,000
450,000
500,000
Solar Irradiation and Albedo
S_Horizontal (W/m^2) Albedo (W/m^2)
Day of the Year
W/m
^2
Source: MTU KRC
28
Advantages of High Module Tilt: Snow Shedding
4 188 372 556 740 924 11081292147616601844202822122396258027642948313233163500368438680
20
40
60
80
100
120
140
PV System Output Under Snowy Conditions
45* 30* 15*
Hours since 12:00 Am Nov 1 2013
Ener
gy P
rodu
ced
(Wh)
Shedding from 45*
Source: MTU KRC
29Source: MTU KRC Data
30
Houghton Average = 3.8 Peak Sun Hours/Day*Energy = 1kW*3.8h = 3.8kWh
Source: pveducation.org
*Source: MTU KRC Data
31
Source: pveducation.org
California Average = 6 Peak Sun Hours/Day*Energy = 1kW*6h = 6kWh
32Source: MTU KRC Data
Nov-Feb total irradiance = only 8% year total
33Source: Michigan Public Service Commission
34
Excess Generation
Excess Consumption
35
Exce
ss
Cons
umpti
on
Exce
ss
Cons
umpti
on
Exce
ss
Gene
ratio
n
36
Exce
ss C
onsu
mpti
on
Exce
ss
Cons
umpti
on
Exce
ss
Gene
ratio
n
37
Source: www.nrel.gov
38
Simple ROI Calculations for Houghton
•6000 [kWh] (source)Annual Consumption :
•6000/365 = ~ 16.4 [kWh]Daily Consumption:
•3.8 [h]Average Daily Sun Hours
39
Simple ROI Calculations for Houghton
• Daily Consumption / (Sun Hours * Derate Factor)= 16.4/(3.8*0.8) = 5.4 [kW]System Size
• System Size*Cost Per kW = 5.4*$3,500 =$18,900System Cost
• 30% of system costs = $18,900 – 30%*18,900 = $13,448
Federal Tax Rebate
40
Simple ROI Calculations for Houghton
•Energy*Rates = 6000*0.21 = $1,260
Annual Savings
•System Costs / Annual Savings = 11 years
Payback Period
41
42
Large majority of installed net metered customer generation is Solar. Source: MPSC Annual Net Metering Report 2014
Figure: MPSC 2013 Net Metering Program - Installed CapacityFigure: MPSC 2013 Net Metering Program - Installations
Growth of Solar in Michigan
43Source: National Renewable Energy Labs
*Figure: MIRECS 2009-2013 Credits by Energy Source
44
45
Geothermal• Electricity and/or heat
46
Policy Constraints: MI Public Act 295 (2008)
Renewable Energy Standard
(RES)
10% of all retail electric sales for all
utilities in MI to come from renewable
sources
Energy Optimization Program (EO)
Authorizes EO surcharge on monthly
bills to finance customer Energy
Efficiency upgrades
Net Metering Program
On site renewable electric generation
with credits for monthly excess
generation
47
KRC+CUPPAD Original Proposal to EDA• Solar• Wind• Geothermal• Energy Efficiency• Natural Gas (CHP)• Biomass• Waste Heat Recapture
48
Demand vs Energy Charges
49
50
WPS vs OCREA Time Of Use
51
Problem Statement:Can we help UP commercial and industrial customers save money on energy costs and reinvest in workforce development?
Goals: Help businesses understand their energy usageHelp planners, park managers understand energy infrastructureIdentify low-hanging cost saving opportunitiesPolicy agnostic frameworkReplicable and adaptable resource baseSustainable practices for client retention (NOT green/alternative/renewable)
52
Contact Information
Abhilash Kantamneni
www.Abhilash.me
@akantamn
53
54