You are on page 1of 80

August 2013 Vol. 157 No.

Vol. 157 No. 8 August 2013

2013 Plant of the Year: AEPs John W. Turk, Jr.

Marmaduke Award: Contact Energys Te Mihi Power Station Smart Grid Award: EPB Chattanooga SMEPA Repowers for the Future ERCOT Power Stresses

Expect the Best from

BEST Eficiencies!

BEST Engineering! BEST Value!

Surpass better by starting with the best.


Victory Energy offers a full range of customdesigned HRSG systems that are engineered to deliver proven performance with the industrys best eficiencies and optimum value. Modular-designed units are completely shop-assembled to maximize transportation eficiencies and minimize ield costs by lowering man-hours needed for installation. 1, 2 or 3 pressure levels. World-class engineering staff brings application speciic expertise to every project. Engineering a better product is standard for Victory Energy. Engineering the best is the driving force behind our passion to deliver the highest quality HRSG systems in the world. For heat recovery solutions that are innovative and reliable, contact Victory Energy.

Large units are available for a variety of exhaust gases. Advanced low modeling analytics. Long-term reliability under the most extreme demands.

F O L L O W

L E A D E R

PATENTED HRSG DESIGN SOLUTIONS | telephone: 918.274.0023 | hot line: 877.783.2665

CIRCLE 1 ON READER SERVICE CARD

Established 1882 Vol. 157 No. 8

August 2013

ON THE COVER
The new 600-MW John W. Turk, Jr. Power Plant owned by American Electric Powers (AEP) Southwestern Electric Power Co. is located on a 2,800-acre tract near Fulton, in Hempstead Country, Arkansas, about 20 miles northeast of Texarkana. The Turk Plant, the first modern plant in the U.S. to commercialize ultrasupercritical boiler technology, was officially declared commercial on Dec. 20, 2012. Courtesy: AEP (photo by Harris Multimedia LLC)

COVER STORY: PLANT OF THE YEAR


28 AEPs John W. Turk, Jr. Power Plant Earns POWERs Highest Honor
Building any sort of coal-fired plant in the U.S. has been challenging of late. Add to that the predictable complications of building the first of a new technology, and youve set a lofty goal. For overcoming these challenges plus numerous legal and regulatory obstacles, POWERs 2013 Plant of the Year Award goes to the first ultrasupercritical plant built in the U.S. in over half a century.

28

SPECIAL REPORTS
MARMADUKE AWARD

38 Contact Energy Ltd.s Te Mihi Power Station Harnesses Sustainable Geothermal Energy
POWERs 2013 Marmaduke Award for plant troubleshooting goes to a geothermal plant in a country known for its environmental stewardship. Despite numerous challenges during development, the plants owners made the most of local resources and employed a unique process that promises a long life for the plant and a lighter environmental footprint for the region.

SMART GRID AWARD

44 EPB Chattanooga Uses Smart Grid to Future-Proof Its Business Model


The 2013 POWER Smart Grid Award goes to a municipal utility this year for, among other things, a distribution automation system that has saved thousands of outage minutes and dollars and a fiber-optic-based smart grid backbone that has helped raise the profile of the city while bolstering the sustainability of the utility and keeping customers electricity rates low.

38

Get More POWER on the Web


In the Features section of the online issue, youll find a web-exclusive reprint of a Classic Marmaduke story: Marmys First Lesson. The exploits of Marmaduke Surfaceblow, the six-foot-four marine engineer with a steel brush mustache and a foghorn voice, have been profiled in POWER since 1948. This story, first published more than 50 years ago, recalls Marmys first power plant job and reminds us that even the most modern steam plant is only as good as its operators. Our annual Marmaduke Award, which recognizes exceptional power plant O&M and/or troubleshooting is named in his honor. And remember to check our Whats New? segment on the homepage regularly for justposted news stories covering all fuels and technologies.

44
1

August 2013 POWER

www.powermag.com

C O N G R AT U
POWERs 2013 Plant of the Year
First U.S. Ultra-Supercritical Plant

www.babcock.com

U L AT I O N S
John W. Turk, Jr. Plant
B&W thanks American Electric Powers Southwestern Electric Power Company for selecting us for this monumental project. We are proud to have supplied and constructed the clean, highly efficient SWUP boiler, emissions control technologies and auxiliary equipment for the John W. Turk, Jr. plant the first ultra-supercritical coal-fueled power plant in the United States. Babcock & Wilcox Power Generation Group, Inc. Babcock & Wilcox Construction Co., Inc.

2013 Babcock & Wilcox Power Generation Group, Inc. All rights reserved.
CIRCLE 2 ON READER SERVICE CARD

FEATURES
PLANT DESIGN

50 Repowering South Mississippi Electric Power Associations J.T. Dudley, Sr. Generation Complex
Engineering and design of this repowering project had two main goals: increase operational flexibility and reuse existing equipment to minimize project cost.

ENERGY POLICY

56 Challenges Facing Power Generators in ERCOT


Everything is big in Texas, they sayexcept the electricity reserve margin. Heres a look at how ERCOT got caught in a downward spiral and how it might pull out of it.

50

CARBON CAPTURE & MANAGEMENT

60 R&D Projects Target Cheaper Carbon Capture, Use, and Storage


Whether or not they regulate greenhouse gas emissions, nations around the globe are looking for ways to minimize those emissions. Unfortunately, currently available approaches are rare and expensive. Heres a look at how a new U.S. federal agency is helping to identify and support promising technologies.

ENERGY STORAGE

66 Let Gravity Store the Energy


A California startup has designed an efficient, technically simple energy storage system that promises to be easier to site than conventional pumped storage hydro facilities.

DEPARTMENTS
SPEAKING OF POWER

8 Blowing Smoke
GLOBAL MONITOR

66

10 10 12 14 14 16 18

Indian VVER Reactors Ready for Startup Documentation Scandal Strains South Koreas Power Supplies THE BIG PICTURE: Workforce Woes New Safety Standards Clear Nuclear Fog in Japan UK Government Again Stuns $45B Severn Barrage Vehicle-to-Grid Aggregated Project Sells Electricity to the Grid EIA: Non-Shale Gas Resources Add Significantly to Recoverable Global Estimates 18 POWER Digest
FOCUS ON O&M

20 Improve Plant Heat Rate with Feedwater Heater Control


LEGAL & REGULATORY

26 The Lurking Threat to State RPSs


By Thomas Overton, JD

69 NEW PRODUCTS COMMENTARY

76 Soul of the Universe


By Mark Glaess, Minnesota Rural Electric Association

Connect with POWER


If you like POWER magazine, follow us online (POWERmagazine) for timely industry news and comments. Become our fan on Facebook Follow us on Twitter

16
4

Join the LinkedIn POWER magazine Group


www.powermag.com

POWER August 2013

E20001-F410-P900-X-7600

siemens.com/verticalmilldrives

If you are in the business of grinding coal, hold-ups in the production process must be avoided at all costs. You must be able to rely on your drive one hundred per cent, because every vertical mill has its own special requirements: continuous operation, tough operating conditions and high energy intensity. Its a good thing that FLENDER drive solutions are extremely reliable and combine high productivity with optimum energy efficiency.

As world market leader in drive technology with decades of experience in grinding technology, we offer the power industry first-class, tailormade, application-specific and conventional drive solutions and concentrated consulting expertise close to the point of use. This closeness to the customer is supported by lean processes and market-focused production and customer service centres. Benefit from the decisive competitive advantages that our solutions have to offer.

Conventional standard drive solution FLENDER gear unit

Answers for industry.


CIRCLE 3 ON READER SERVICE CARD

EDITORIAL & PRODUCTION


Editor-in-Chief: Dr. Robert Peltier, PE 480-820-7855, editor@powermag.com Managing Editor: Dr. Gail Reitenbach Executive Editor: David Wagman Gas Technology Editor: Thomas Overton, JD Senior Writer: Sonal Patel European Reporter: Charles Butcher Contributing Editors: Mark Axford; Steven F . Greenwald; Jeffrey P . Gray; Jim Hylko; Kennedy Maize; Dick Storm Graphic Designer: Rob Hudgins Production Manager: Tony Campana, tcampana@accessintel.com Marketing Manager: Jennifer Brady

Visit POWER on the web: www.powermag.com Subscribe online at: www.submag.com/sub/pw POWER (ISSN 0032-5929) is published monthly by Access Intelligence, LLC, 4 Choke Cherry Road, Second Floor, Rockville, MD 20850. Periodicals Postage Paid at Rockville, MD 20850-4024 and at additional mailing offices. POSTMASTER: Send address changes to POWER, P .O. Box 2182, Skokie, IL 60076. Email: powermag@halldata.com. Canadian Post 40612608. Return Undeliverable Canadian Addresses to: IMEX Global Solutions, P .O. BOX 25542, London, ON N6C 6B2. Subscriptions: Available at no charge only for qualified executives and engineering and supervisory personnel in electric utilities, independent generating companies, consulting engineering firms, process industries, and other manufacturing industries. All others in the U.S. and U.S. possessions: $87 for one year, $131 for two years. In Canada: US$92 for one year, US$148 for two years. Outside U.S. and Canada: US$197 for one year, US$318 for two years (includes air mail delivery). Payment in full or credit card information is required to process your order. Subscription request must include subscriber name, title, and company name. For new or renewal orders, call 847-763-9509. Single copy price: $25. The publisher reserves the right to accept or reject any order. Allow four to twelve weeks for shipment of the first issue on subscriptions. Missing issues must be claimed within three months for the U.S. or within six months outside U.S. For customer service and address changes, call 847-7639509 or fax 832-242-1971 or e-mail powermag@halldata .com or write to POWER, P .O. Box 2182, Skokie, IL 60076. Please include account number, which appears above name on magazine mailing label or send entire label. Photocopy Permission: Where necessary, permission is granted by the copyright owner for those registered with the Copyright Clearance Center (CCC), 222 Rosewood Drive, Danvers, MA 01923, 978-750-8400, www.copyright.com, to photocopy any article herein, for commercial use for the flat fee of $2.50 per copy of each article, or for classroom use for the flat fee of $1.00 per copy of each article. Send payment to the CCC. Copying for other than personal or internal reference use without the express permission of TradeFair Group Publications is prohibited. Requests for special permission or bulk orders should be addressed to the publisher at 11000 Richmond Avenue, Suite 690, Houston, TX 77042. ISSN 0032-5929. Executive Offices of TradeFair Group Publications: 11000 Richmond Avenue, Suite 690, Houston, TX 77042. Copyright 2013 by TradeFair Group Publications. All rights reserved.

ADVERTISING SALES
Associate Publisher: Southern & Eastern U.S./Eastern Canada/ Latin America: Central & Western U.S./Western Canada: UK/Benelux/Scandinavia/Germany/ Switzerland/Austria/Eastern Europe: Italy/France/Spain/Portugal: Japan: India: South Korea: Thailand: Malaysia: Matthew Grant Matthew Grant, 713-343-1882, mattg@powermag.com Dan Gentile, 512-918-8075, dang@powermag.com

Petra Trautes, +49 69 5860 4760, ptrautes@accessintel.com Ferruccio Silvera, +39 (0) 2 284 6716, ferruccio@silvera.it Katsuhiro Ishii, +81 3 5691 3335, amskatsu@dream.com Faredoon B. Kuka, 91 22 5570 3081/82, kuka@rmamedia.com Peter Kwon, +82 2 416 2876, +82 2 2202 9351, peterhkwon@hanmail.net Nartnittha Jirarayapong, +66 (0) 2 237-9471, +66 (0) 2 237 9478 Tony Tan, +60 3 706 4176, +60 3 706 4177 , nmedia@tm.net.my Classified Advertising Diane Burleson, 512-337-7890, dburleson@powermag.com POWER Buyers Guide Sales Diane Burleson, 512-337-7890, dburleson@powermag.com

AUDIENCE DEVELOPMENT
Audience Development Director: Sarah Garwood Fulfillment Manager: George Severine

CUSTOMER SERVICE
For subscriber service: Electronic and Paper Reprints: List Sales: All Other Customer Service: powermag@halldata.com, 800-542-2823 or 847-763-9509 Wrights Media, sales@wrightsmedia.com, 877-652-5295 Statlistics, Jen Felling, j.felling@statlistics.com, 203-778-8700 713-343-1887

BUSINESS OFFICE
TradeFair Group Publications, 11000 Richmond Avenue, Suite 690, Houston, TX 77042 Vice President and Publisher: Michael Grossman, 713-343-1887 , mgrossman@accessintel.com Vice President, Energy and Engineering Events: Daniel McKinnon

ACCESS INTELLIGENCE, LLC


4 Choke Cherry Road, 2nd Floor, Rockville, MD 20850 301-354-2000 www.accessintel.com Chief Executive Officer: Donald A. Pazour Exec. Vice President & Chief Financial Officer: Ed Pinedo Exec. Vice President, Human Resources & Administration: Macy L. Fecto Divisional President, Business Information Group: Heather Farley Senior Vice President, Corporate Audience Development: Sylvia Sierra Senior Vice President & Chief Information Officer: Robert Paciorek Vice President, Production, Digital Media & Design : Michael Kraus Vice President, Financial Planning & Internal Audit: Steve Barber Vice President/Corporate Controller: Gerald Stasko

www.powermag.com

POWER August 2013

Gas Turbine Technology for Combined Cycle Application

M501GAC FAST
The new M501GAC-FAST is derived from the evolutionary disciplines of the M501GAC...and on the grid Performance, Reliability and Emissions Compliance validation of the G-Series Technology at Mitsubishis T--Point Demonstration plant. Rated performance is 270 MW in 10 minutes from 1 machine in Simple Cycle and over 800 MW in 30 minutes from 2 machines in Combined Cyclewith turndown exibility from 200-800 MW at rates over 100 MW per minute. Complementing the premier production capabilities of the M501GACFAST in Japan, is the new state-of-the-art turbine manufacturing and service facility in Savannah, Georgia. To date, 17 GAC units are in operation or on order to support the existing and evolving energy needs in the Americas and around the world. Experience whyour power systems evolution is your energy solution.

Visit mpshq.com for Rewarding Career Opportunities


M501GAC Combined Cycle Plant (1X1 Single Shaft Application)

Mitsubishi Power Systems Americas, Inc. 100 Colonial Center Parkway Lake Mary, FL 32746 USA 1-407-688-6100 www.mpshq.com
CIRCLE 4 ON READER SERVICE CARD

SPEAKING OF POWER

Blowing Smoke
resident Obamas recent comments on climate change and the need for additional federal regulation of greenhouse gases carelessly handled the science he quotes. I know, its just politics, but the findings of science take a bit more time to consume than a 10-second sound bite. President Obamas address to students at Georgetown University on June 26 clearly impressed listeners of his willingness to fight climate change by presidential fiat rather than by engaging in legislative give-and-take to reach a more collectively acceptable solution. The legislative process was intentionally designed to be pedestrian so that issues would be thoroughly vetted and the citizenry heard. I suppose that view is so 20th century. The president in his Georgetown speech said that he doesnt have much patience for anyone who denies the challenge [that climate change] is real. His statement conflates climate change (which no one denies is occurring and which can have devastating effects) with the implicit assumption that mans activities are the proximate cause. A quick check of the facts shows that for the past 17 years the global average annual temperature has remained statistically unchanged, even while global CO2 emissions have risen near 50% since 1990 with the U.S. portion of global emissions about 16% today. Even the infamous Phil Jones of the UKs Climatic Research Unit, when pressed, admitted in a recent interview that the global average temperature rise from 1995 is positive (0.12C per decade), but not significant at the 95% significance level. What Jones failed to say is the measurement uncertainty is 0.5C (see Wheres the Warming? in the February 2013 issue).

Science by Vote Three comments by Obama at Georgetown played fast and loose with science. First, he dogmatically repeated the talking point ninety-seven percent of scientists . . . acknowledged the planet is
8

warming and human activity is contributing to it. It is certainly a delicious sound bite, but is otherwise tasteless. The study upon which this claim is based has been thoroughly debunked. J.D. Cook, et al. published Quantifying the Consensus on Anthropogenic Global Warming in the Scientific Literature based upon the authors survey of only paper abstracts. Cook, et al. admit, in statistics released weeks after the paper was published, that only 1.8% of authors actually expressed an opinion in the abstract. Nevertheless, the reviewers were somehow able to divine each authors true opinions. Google it and come to your own conclusions. Second, its true, as Obama noted, that last July a new high temperature record was set, but theres more to the story. The high temperature was a mere 0.2C higher than the previous record, which you now know is a meaningless statement because the measurement uncertainty is 0.5C. Even so, if you take the time to look at the data, youll find that the high wasnt set based on the highest temperature recorded during the day, as he would like you believe, but rather the nights were less cool than when the previous record was set in the 1930s. The so-called average temperatures quoted are determined by the average of the highest and lowest temperatures that occur during a particular day. Finally, satellite data of the Arctic has only been collected since 1979, so few valid conclusions are possible about long-term ice melt trends. However, we do know that the National Oceanic and Atmospheric Administration reported last year that the Arctic was showing 28% more ice than in 2007 and Arctic temperatures were higher in the 1930s. Clearly, the president is not shy about cherry-picking science when necessary to make a point.

public support for carbon pollution as the source of climate change. Using the term 20 times in his speech, he again conflated carbon dioxide, which is essential to plant life on this planet, with anthropogenic emissions (particularly from coal-fired power plants) as the principal cause of climate change. This rhetorical trick should now be obvious to all who were listening closely (or reading the transcript, as I did). I wrote in the May issue (Bait and Switch) about one of the more noxious carbon tax proposals under consideration, which has the support of the administration. The presidents Georgetown University speech was the logical step two in the administrations pursuit of a carbon tax. Obamas role as salesmanin-chief was to cement in the publics mind the idea that human activity is the principal driver of climate change. Im not buying what hes selling and neither should you. Dr. Robert Peltier, PE is POWERs editor-in-chief.

All Good Things


Its with mixed feelings that I announce my retirement from POWER. The past 10 years as editor-in-chief of the industrys leading business and technology magazine have been challenging, as well as deeply fulfilling. The challenge has been to bring you the best possible content each month while satisfying the varied information interests of our subscribers. The position has also been a great source of personal fulfillment because Ive had the opportunity to work with many of you to get your good work onto the pages of POWER and because Ive been able to work with the best editorial team in the business. Our time together has been the pinnacle of my career. Thank you.

Selling the Carbon Tax Ive saved my biggest gripe with his speech for last. Obamas sloppy use of science was carefully crafted to gain
www.powermag.com

POWER August 2013

CIRCLE 5 ON READER SERVICE CARD

Indian VVER Reactors Ready for Startup


Two VVER-1000 reactors built and designed by Russian state firm Atomstroyexport under a $3 billion contract are slated to be commissioned this summer in the State of Tamil Nadu in India. The start of Indias largest reactors at the Kundankulam site have been long delayed: Though they were completed just before the Fukushima crisis in March 2011, startup has been stunted by strong opposition as well as technical issues discovered during commissioning (Figure 1). Indias government, which owns and operates all of the countrys 20 operating reactors through state agency Nuclear Power Corp. of India (NPCIL) approved construction of the two reactors in 1989. The reactors were not fully planned until 2006. Commissioning work at Unit 1 was delayed earlier this year by the replacement of four valves in the passive core cooling system. Two judges at Indias Supreme Court in May, meanwhile, dismissed protests against the reactors, ruling in favor of NPCIL and the Atomic Energy Regulatory Board (AERB). The case brought by anti-nuclear activists alleged NPCIL, AERB, and the Tamil Nadu Pollution Control Board had violated several safety norms. The high court concluded, however, that Kundankulam was needed for the countrys economic growth. In its detailed 247-page ruling, it said NPCIL had met all safety requirements stipulated by AERB and based on nationally and internationally recognized safety standards. For three decades, India was excluded from the Nuclear Non-Proliferation Treaty and was subject to a subsequent 1974 trade embargo for acquiring nuclear weapons capability. During this time, India cultivated a robust, largely indigenous nuclear power program and a unique nuclear fuel cycle to exploit its reserves of thorium. With the exception of two boiling water reactors, all 20 reactors are midsize or small pressurized heavy water reactors (PHWRs), and most are domestically built, based on a Canadian design. Today, nuclear power supplies about 3.7% of Indias electricity. Experts note that crippling coal shortages are driving up investment in nuclear power. Government targets foresee up to 14,600 MWe of new nuclear power by 20202021 and 27,500 MWe by 2032.

By 2060, the Atomic Energy Commission envisions about 500 GWe will be put online, providing half the nations electricity.

Documentation Scandal Strains South Koreas Power Supplies


South Korea, the worlds fourth-largest producer of nuclear power, in June warned of unprecedented power shortages this summer after it shut down two reactors due to faulty safety equipment and delayed the start of operations of another last month. The countrys Energy Ministry last November ordered the shutdown of two nuclear reactors at the Yeonggwang nuclear complex owned by state company Korea Hydro & Nuclear Power Co. (KHNP), a subsidiary of Korea Electric Power Co. (KEPCO), which operates the nations 23 nuclear reactors. The measure followed KHNPs admission that eight unnamed firms that supplied parts had faked 60 certificates covering 7,682 nuclear power components over a period of nearly 10 years, from 2003 to 2012affecting at least five reactors. Besides Yeonggwang Units 5 and 6, suspect parts were also installed at Hanbit Units 3 and 4 and Hanul (Ulchin) Unit 3. The Hanbit units were taken offline for part replacement. Components used in South Koreas 23 reactors, which provide about 35% of its power needs, require quality and safety warranties from one of 12 international organizations recognized by the countrys government. The Yeonggwang incident prompted South Koreas Nuclear Safety and Security Commission (NSSC) to expand its investigation into forged safety certificates and reactor components for all 23 of the nations reactors, as well as five others under construction. Then in May, KHNP found safety-related control cabling with forged documentation in four other reactors, prompting the NSSC to force shutdown of Shin-Kori No. 2 (Figure 2) and Shin-Wolsong No. 1 reactorsboth commissioned in July 2012for about four

2. Sidestepping safety rules. The South Korean government


warned of unprecedented power shortages this May after it was forced to halt operation of two 2012-completed nuclear reactorsputting more than half its nuclear fleet offline. Shin-Kori No. 2 (shown here) and Shin-Wolsong No. 1. are expected to resume operations within at least four months, after replacing safety-related control cabling with forged documentation. Courtesy: KHNP

1. Indian giant. Two VVER-1000 reactors whose construction was largely completed in 2011 at the Kundankulam site in the Indian state of Tamil Nadu have been awaiting commissioning, delayed by protests and technical issues. Courtesy: NPCIL

10

www.powermag.com

POWER August 2013

break through the

NOISE

Better Signal-to-Noise Ratio Means Better Level Control Performance


While transmit pulse amplitude (signal size) has helped to make guided wave radar technology the standard for accurate, reliable level

3X
Higher

4.40
Model 706 SNR

measurement, the fact is signal-to-noise ratio (SNR) represents a far more critical indicator of level control performance. For superior SNR in all process conditions, no other GWR device beats the Eclipse Model 706 transmitter from Magnetrol.

1.57
Competitor SNR The ECLIPSE Model 706 transmitter has a signal-to-noise ratio nearly 3 times higher than competitors.

To learn more about the breakthrough ECLIPSE Model 706 GWR transmitter visit eclipse.magnetrol.com or contact your MAGNETROL representative today.

magnetrol.com 1-800-624-8765 eclipse.magnetrol.com


CIRCLE 6 ON READER SERVICE CARD

2013 Magnetrol International, Incorporated

THE BIG PICTURE: Workforce Woes

150,000 120,000 90,000 60,000 30,000 0

12

www.powermag.com

POWER August 2013

Power Plant Parts to go.

Engineered, Procured and Ready to Construct.


Fully designed as a nominal 600 MW GE steam turbine, this Unit 1 power block is a coal-ired electric generating unit in waiting making it or its equipment a perfect solution for a utility that projects demand and demands eficiency. Ready for re-siting and permitting, this plant design comes with complete documentation of the power block speciications and calculations and its major equipment is 100% delivered. If you have interest in either the entire plant design or the equipment, they are priced to move. Quickly. For information, contact John Dills, Santee Cooper, at 843-761-8000, ext. 5772 or visit www.santeecooper.com/wpsale.

Download the MS Tag Reader App at http://gettag.mobi to scan for design details and available equipment.

CIRCLE 7 ON READER SERVICE CARD

months for replacements. It also ordered replacement cables at the 2010-commissioned Shin-Kori No. 1, which is shut for regular maintenance, and at the new ShinWolsong No. 2 plant, which is readying to be commissioned in Gyeongju-si. Concerns about the power shortages forced the government to allow the Hanbit No. 3 reactor on the countrys West Coast to return to service this June; it had been shuttered for nearly eight months on forged safety equipment documentation concerns. South Korea is at this writing in July operating 14 of its 23 reactors. Meanwhile, at the beginning of June, power reserves fell below targets of 5 million kWh, prompting state-run power distributer the Korea Power Exchange to issue a warning. The Ministry of Knowledge Economy has said it will not increase stocks of liquefied natural gas and coal; instead, it will control demand, calling on companies such as Samsung Electronics Co. and Hyundai Motor Co. to adopt power-saving measures. Power demand soared in South Korea at a rate of 9% per year since 1990, and the country expects demand to grow about 2.5% per year to 2020. Nuclear power supplies 21% of the nations total power, and the country is banking on nuclear to supply 59% by 2030, which would require doubling its current nuclear fleet. At least 14 new nuclear reactors are scheduled to be online by 2024, and five are under construction.

3. The barrage of hopes. An embattled and controversial project to build a 10-mile barrage across the Severn estuary in the UK was nixed by ministers in June. The proposed 30 billion ($45.8 billion) Severn Barrage could supply 5% of the UKs power needs, supporters said. This image shows an artists rendering of the project. Courtesy: DECC

New Safety Standards Clear Nuclear Fog in Japan


In Japan, where all but two of 50 reactors remain shuttered for safety checks following the 2011 Fukushima catastrophe, at least four major utilities were gearing up to apply for safety screening of 12 reactors across six plants. This June, the September 2012established independent Nuclear Regulatory Authority (NRA) adopted new safety standards that nuclear generators must meet before they can restart. The new standards consist of three parts: design-basis safety standards, severe accident measures, and safety standards relative to earthquakes and tsunamis. Among new requirements will be specific countermeasures against serious incidents like core meltdown. Plants will also need to install filtered venting systems to reduce emissions of radioactive substances and create an emergency control room where personnel could operate reactors remotely in the event of a disaster.
14

Japans Cabinet in June, meanwhile, approved an annual energy white paper that records energy policy achievements between August 2012 and March 2013. Prepared by the December-elected Liberal Democratic Party, the report skips reference to the Democratic Party of Japans energy strategy to phase out nuclear power in light of the 2011 Fukushima nuclear disaster. The zero-nuclear goal shows up in the white paper only onceas part of a quote by Prime Minister Shinzo Abe criticizing the energy strategy. The country went nuclear-free for a brief period between May 2011, when all reactors were shut down for inspection, and July 2011, after restart of Ohi Units 3 and 4, but it has struggled to meet normal year demand peaks. At times, the government has been compelled to force power saving by invoking the Electricity Business Act.

UK Government Again Stuns $45B Severn Barrage


A proposal to build a $45.8 billion fixed barrage across the Severn estuary, between Brean in England and Lavernock Point in Wales, suffered another blow in June as an influential UK parliamentary committee deemed a high-profile privately financed proposal unsatisfactory for environmental and economic reasons. The plan submitted by Hafren Power would require government subsidies for decades to make it viable, said members
www.powermag.com

of Parliament on the Energy and Climate Change Committee. Impacts on fish and flooding had also not been adequately assessed. Hafren Power CEO Tony Pryor had claimed the proposal could attract $38.16 billion in private investment and generate low-cost renewable power for the UK. The Severn estuary, which opens to the Bristol Channel between southern Wales and Devonshire in southwestern England, has tidal variations of as much as 29 feet most of the year and almost 47 feet in springtime; only the Bay of Fundy in Canada has higher maximum tides. A number of studies had suggested that projects damming the estuary could produce as much as 5% of the countrys electricity (Figure 3). Since the 1920s, several large-scale concepts have been proposed to dam the estuary, including proposals for three barrages and two lagoon-type energy projects. The most high-profile of these was the 10-mile Cardiff-Weston barrage, costs for which had been initially estimated at 15 billion ($22 billion), but which doubled to more than 30 billion ($45.8 billion). The UK government had in 2010 shelved plans to build the barrage with public funds, but a two-year-long feasibility study conducted by the Department of Energy and Climate Change (DECC) did not rule out a privately financed project. The agency warned, however, that potential environmental impacts of a barrage would have to be consideredparticularly effects on fish, birds, and flooding. Impacts on navigation would also need
POWER August 2013

EVERY ASPECT OF OUR ENGINEERED SYSTEM IS

THE BEST IN THE INDUSTRY.


INCLUDING THE SINGLE CONTACT WHO WILL MANAGE IT.

Only Cleaver-Brooks offers single source and single responsibility for every aspect of your industrial steam system projects, from burner to stack, custom built to fulll your needs. Our Nebraska boilers, NATCOM burners and Energy Recovery HRSGs have long been the industry benchmarks for quality and engineering. When theyre incorporated into a complete system built, managed and maintained by us, you are getting the best solution, the best efciency, and the lowest emissions possible.

cleaverbrooks.com/engineered 402.434.2000

2013 Cleaver-Brooks, Inc.


CIRCLE 8 ON READER SERVICE CARD

consideration. Several companies had proposed possible designs for the barrage. Evans Engineering had proposed a tidal reef that would use bidirectional turbines for ebb and flow generation and a low head of water. Rolls Royce and Atkins had also developed a scheme for a low-head barrage using bidirectional turbines. Hafren Power, the firm that had most prominently supported the project, proposed a similar idea but replaced the 256 unidirectional bulb turbines with 1,026 bidirectional low-head turbines to allow the design to operate in ebb and flood mode. The demise of the Cardiff-Weston Severn Barrage doesnt mean the end of hopes to use tidal power to generate substantial power in the UK. According to Evans Engineering, its REEF tidal power concept (which has now been endorsed by an Atkins-Rolls Royce report commissioned by the DECC) is very much alive and well. The company reports that fresh enthusiasm and the prospect of major private finance is pushing this proposal. Work at Evans is reportedly proceeding with forming a consortium.

4. Ancillary services from a car. The University of Delaware and NRG Energy earlier
this year officially connected their eV2g project to PJM Interconnection, for the first time in the U.S. selling electricity to a grid operator using electric vehicle-to-grid technology. Courtesy: Evan Krape/University of Delaware

Vehicle-to-Grid Aggregated Project Sells Electricity to the Grid


A technology developed by the University of Delaware (UD) and NRG Energy that provides a two-way interface between electric vehicles and the power grid earlier this year became an official paid resource on PJM Interconnections regional grid (Figure 4). One of the first of its kind, the project proves the so-called vehicleto-grid (V2G) concept can sell electricity from electric vehicles. The V2G concept supports widespread adoption of electric vehicles and seeks to support the reliability of the grid by providing ancillary services. It essentially facilitates bidirectional electricity transfers to and from electric vehicles. As UD explains, a grid-integrated vehicle (GIV) is always a net load to the system over time. It has to charge a battery before it can deliver that same energy, minus conversion losses, back to the grid. The GIVs being produced in Delaware will have the ability to charge or discharge at a capacity of 19 kW. The GIVs will also be aggregated together as one electric power resource so that grid operators dont have to interact with thousands of vehicles, UD says. A UD and NRG Energy joint venture has set up an aggregator that monitors different energy markets
16

and bids into those markets according to their aggregated vehicles available capacity and market price. This February, the project became an official participant in the PJMs frequency regulation market. Since then, the project has been selling power services from a fleet of electric vehicles to the regional transmission organization. BMW provided the electric vehicles, Milbank Manufacturing provided charging stations based on UD technology, and AutoPort installed UD control technology into the electric vehicles. UD says the system is still in development, however; its restricted test fleets are not yet a commercial offering. The project got its boost with a September 2009 Delaware lawone of the first of its kind in the worldthat requires electric utilities to compensate electric car owners for electricity sent back to the grid at the same rate they pay for electricity to charge the battery. PJM also changed its rules for participation in the regulation service market to decrease the minimum amount of power needed to participate. We implemented new rules that recognize and compensate faster, more accurately responding resources, such as batteries, Michael J. Kormos, a senior vice president at PJM said. Experts note that a V2G aggregator also benefits from open-access transmission rules promulgated by the Federal Energy Regulatory Commission, which requires grid operators to purchase ancillary services from the generator providing them at
www.powermag.com

the lowest available cost. Otherwise, the general legal and regulatory environment is not optimized to accommodate the V2G concept, as industry experts Matt Hutton and Tom Hutton write in a 2012 journal article published in the William & Mary Environmental Law and Policy Review. Several questions remain unanswered. For example, who is entitled to what portion of the economic benefitsthe owner of the battery or the entity that pays for the electricity used to charge the battery? Another apparent hurdle is modifying state net metering laws to accommodate V2G (only Delaware has a net metering statute that explicitly includes vehicles). Still, regulatory changes needed are not expected to be especially controversial, the authors say, noting no serious opposition has materialized from industry groups. Several of the hurdles are simply manifestations of uncertainties in the business environment. Of the more properly legal and regulatory impediments, most are expected to be surmountable, they say. A number of studies point out that electric vehicle developers must, meanwhile, work to allay worries by potential consumers regarding range anxiety, long charging time, and high purchase prices. The consensus among experts is that though customers are willing to pay high premiums for electric vehicles, battery costs need to drop considerably if electric vehicles are to be competitive without subsidies at current U.S. gasoline prices.
POWER August 2013

Full Service

Baldors service programs for large motors, generators and mechanical transmission components can reduce your risk of unexpected downtime while extending the useful life of your machines. Through our exclusive maintenance plans and ABBs LEAP and MACHsense diagnostic and monitoring programs, Baldor services can help predict failures before they occur, putting an end to unexpected downtime emergencies.

Call or log on for complete information on how to put our team at your service today.

baldor.com

479-646-4711

2013 Baldor Electric Company

Scan the QR code with your mobile device to learn more http://qr2.it/Go/1109169
CIRCLE 9 ON READER SERVICE CARD

Concerns of battery discharges to already range-limited vehicles are being dealt with. GIVs will have a controller that allow the vehicle owner to limit the amount of battery discharge to ensure they can meet the range needed for their next driving event, says UD. On the flip side, vehicle owners can generally expect to be paid between $400 and $5,000 a year, depending on the energy market, it says.

EIA: Non-Shale Gas Resources Add Significantly to Recoverable Global Estimates


An updated estimate of technically recoverable global shale gas resources by the U.S. Energy Information Administration (EIA) puts them at 7,299 trillion cubic feet (tcf)10% higher than estimated in 2011. The June-released World Shale Gas Resources: An Initial Assessment of 14 Regions Outside the United States surveys at least nine new countries and double the number basins (95) and formations (137) and adds about 47% to the 15,583 tcf of proved and unproven non-shale technically recoverable natural gas resources previously estimated (Figure 5). Globally, 32% of the total estimated natural gas resources are in shale formations, while 10% of estimated oil resources are in shale or tight formations, the EIA concludes. According to the assessment, China leads the world with an estimated 1,115 tcf of technically recoverable shale gas resources, followed by Argentina and Al-

geria. The U.S. is fourth with 665 tcf, Canada is fifth with 573 tcf, and Mexico is sixth with 545 tcf. Expressed interest or exploration activities have begun in shale formations in a number of other countries, including Algeria, Argentina, Australia, China, India, Mexico, Poland, Romania, Russia, Saudi Arabia, Turkey, Ukraine, and the UK, the report says. Tight oil and shale gas resources have revolutionized U.S. oil and natural gas production, the EIA notes, providing 29% of total U.S. crude oil production and 40% of total U.S. natural gas production in 2012. However, given the variation across the worlds shale formations in both geology and above-the-ground conditions, the extent to which global technically recoverable shale resources will prove to be economically recoverable is not yet clear, the agency says. The market effect of shale resources outside the U.S. is expected to depend on their own production costs, volumes, and wellhead prices. For example, a potential shale well that costs twice as much and produces half the output of a typical U.S. well would be unlikely to back out current supply sources of oil or natural gas. In many cases, even significantly smaller differences in costs, well productivity, or both can make the difference between a resource that is a market game changer and one that is economically irrelevant at current market prices. More work remains to be done, the EIA says, however, noting that the assessment does not include prospective shale gas formations underlying large oil fields in

the Middle East and the Caspian region.

POWER Digest
UN Report on Global Renewable Energy Investment. The United Nations Environment Program (UNEP) released
its report Global Trends in Renewable Energy Investment 2013 on June 11, finding that renewable energy investment at the global level was $244 billion in 2012. However, global investments in renewable energy fell 12% compared to 2011 due to dramatically lower solar prices and weakened U.S. and European markets, the report notes. An upward trend is also noted in developing countries. Total renewable power capacity worldwide exceeded 1,470 GW in 2012, up 8.5% from 2011. Wind power accounted for about 39% of renewable power capacity added, followed by hydropower and solar photovoltaics (PV), which each accounted for approximately 26%. In 2012, the worlds total solar PV capacity reached the 100-GW milestone, surpassing biomass power to become the third-largest renewable technology in terms of capacity in operation, after hydro and wind. Investment in solar plunged, however, owing to a fall of 30% to 40% in PV system prices. Lower costs spurred bigger investment in small-scale solar, rising from $77 billion in 2011 to $80 billion in 2012 while spending on large-scale solar projects of more than 1 MW fell to $52.7 billion. China alone poured $67 billion into renewables development, and sharp increases are noted in South Africa, Morocco, Mexico, Chile, and Kenya, with the Middle East and Africa showing the highest regional growth. Japans renewable investment also soared to $16 billion from a boom in small-scale solar on the back of its July 2012-implemented feed-in tariff subsidies. In the U.S., which was the market leader in 2011, investment fell 34% to $36 billion on policy uncertainties, while investment in Italy and Spain was also hit by concern about future support for the sector. Germanys overall investment in renewables slipped 35% to $20 billion, stemming from the lower solar cost and a drop in wind power investment.

5. Growing shale oil and gas estimates. In a new assessment, the U.S. Energy
Information Administration (EIA) estimates the worlds shale gas resources are 10% higher than previously thought. This May 2013 map shows the global basins assessed. Red areas represent basins assessed as having technically recoverable resources while tan areas show basins assessed that had no recoverable resources. Source: EIA

Canada to Increase Nuclear Liability Limits. Canadas Ministry of Natural Resources on June 10 announced the country would proceed with increasing liability limits for its nuclear industry above most international standards. The proposed new legislation that could make nuclear generators absolutely and exclusively li18 www.powermag.com

POWER August 2013

able for nuclear damage would increase the amount of compensation available to address civil damage from C$75 million to C$1 billion. Replacing legislation that is almost 40 years old, the bill that will be debated in Parliament this fall is also expected to broaden the number of categories for which compensation may be sought and improve procedures for delivering compensation. Canada also said it intends to join the International Atomic Energy Agencys Convention on Supplementary Compensation for Nuclear Damage. The country whose nuclear power sector produces about C$5 billion in annual revenues is also overhauling its nuclear regulatory system and restructuring Atomic Energy of Canada Ltd. Adani Power Starts Third Supercritical Coal Unit. Ahmedabad-based Adani Power on June 19 commissioned the third 660MW unit of its supercritical power plant in Tiroda, Maharashtra, India. When completed, the projectMaharashtras biggest power generation facilitywill have five units for a total of 3.3 GW. The first two 660-MW units were commissioned last year, and the third unit was commissioned within a record 20 days from synchronization (the industry standard is three months), Adani Powers parent Adani Group said. Adani Power last year put online Indias largest private high-voltage direct current power transmission system, which connects the recently completed 4.6MW coal-fired Mundra power plant in Gujarat to power-strapped northern India. The 500-kV project runs a distance of 1,000 km and has a transmission capacity of 2.5 MW.

Adaptive Brush Seal Solutions for Air Preheaters

POWER

Siemens, Statkraft Start Knapsack II Combined Cycle Plant. Siemens Energy on June 13six weeks ahead of schedulecompleted the 430-MW Knapsack II combined-cycle power plant near Cologne, Germany, for Statkraft Markets GmbH, a subsidiary of the Norwegian utility company Statkraft. The single-shaft unit, which boasts an efficiency of 59.2% was completed as a turnkey project. It includes an F-Class turbine as well as a steam turbine generator and heat recovery steam generator. A natural gas supply line from a connection point in Wesseling to the location of the power plant in Hrth-Knapsack with a length of 13.2 km was laid to make the operation of the power plant possible. The short run-up and shutdown times make the power plant ideally suited to compensate for the fluctuating feed-in of renewables, Siemens said. Statkraft has said, however, that it is constantly reevaluating the economic viability of gas-fired projects in Germany, noting that profitable capacity utilization of efficient gas plants is under significant pressure due to high natural gas prices and increased renewables generation.

High performance. Long life.

Turbine Brush Seals


Resolve air in-leakage problems at the turbine housing gland seal Simply mounts to the turbine housing in a single shift Restore vacuum and output capacity. Sealezes patented brush-based high-temp sealing solution delivers reliability and extended functional service life Conforms to sealing surface Each ilament is lexible, conforming to varying gap sizes and surface irregularities for a continuous seal Thousands of ilaments, nestle tightly together creating a high integrity seal. Under pressure these ilaments pack even tighter.

DONG Energy to Sell Onshore Wind, Hydro Business.


Danish firm DONG Energy could sell its onshore wind business in Denmark to energy firm SE and Danish pension fund PFA for $132 million under a June 25 agreement. The divestment concerns a total of 272 wind turbines (a total nameplate capacity of 196 MW) located at about 80 different sites in Denmark and with an average operational track record of 16 years. DONG Energy in late June also signed an agreement with Voimapiha AB, a consortium consisting of the three Finnish energy companies Kymppivoima, EPV Energy, and Helsingin Energia, under which Voimapiha AB will acquire DONG Energys entire ownership stake of 25.673% in the Swedish hydro power company Kraftgrden AB. Kraftgrden AB owns and operates seven hydro power plants along the Swedish river Indalslven, with a total capacity of 626 MW. The measures follow DONG Energys February announcement that it would divest non-core assets of a $1.74 billion value between 2013 and 2014 and that its wind power business will focus on offshore wind in the future. Sonal Patel is POWERs senior writer.
August 2013 POWER

For more than 25 years, Sealeze has helped design and manufacturing engineers design solutions.

800.787.7325

e-mail: industrial@sealeze.com www.sealeze.com


ISO 9001 Certiied

CIRCLE 10 ON READER SERVICE CARD

www.powermag.com

19

Improve Plant Heat Rate with Feedwater Heater Control


Meaningful, yet often hidden thermal performance losses occur in feedwater heaters. These controllable losses frequently occur because of poor-performing level controls. In this article, three issues related to feedwater heater performance are discussed. First, the large cost of a minute change in plant thermodynamic performance is quantified. Next, the physical difficulties of accurate level control are presented, as well as background on the important role that feedwater heaters play within the plant steam cycle. Finally, two short case studies are presented that quantify the cost savings that accrued to plants that successfully updated their feedwater heater level controls. Cost of Heat Rate Deviation Heat rate is a measurement used in the energy industry to calculate how efficiently a power plant uses the heat content of the fuel, expressed as the Btu of fuel heat required to produce a kilowatt-hour of electricity in units of Btu/kWh. The heat rate of just the steam turbine portion of the conventional power plant may also be calculated by dividing the energy content of the steam entering the steam turbine by the electricity generated. The turbine cycle heat rate represents the combined performance of the turbine, condenser, feedwater heaters, and feed pumps. The unit heat rate is found by dividing the steam turbine heat rate by the boiler efficiency. If the plant operated without any losses, all of the fuel heat energy would be converted into electricity and the unit heat rate would be 3,412 Btu/kWh (the conversion factor between Btu and kWh at 100% efficiency). Although never achievable, the goal of the performance engineer is to find ways to continuously reduce the plants heat rate, because a lower heat rate (higher efficiency) reflects more cost-efficient operation of the plant. Calculating the annual fuel cost associated with slight deviations from the plants target heat rate is always enlightening because the impact is much more profound than expected. For example, if a plants target heat rate is 12,000 Btu/kWh and the actual is a mere 0.1% higher than target or 12,011 Btu/kWh, what is the increase in annual fuel cost? The change in annual fuel cost ($/year) for a 1 Btu/kWh deviation in heat rate can be calculated simply as HRD/BE x FC x CF x UGC x T, where: HRD = heat rate deviation (Btu/kWh) BE = boiler efficiency FC = fuel cost ($/million Btu) CF = plant capacity factor UGC = unit gross capacity (kW) T = 8,760 hours per year If we assume for a typical 500-MW coal-fired plant that BE = 88%, the fuel cost is $2.01/MMBtu, CF = 85%, we will calculate the change in annual fuel cost as 1/0.88 x 2.01/1,000,000 x 0.85 x 500,000 x 8,760 = $8,504/year. A very small 11 Btu/kWh deviation means that the fuel cost will increase $93,540 per year (see sidebar).

General Guidelines for Heat Rate


Small changes in heat rate produce large changes in a plants annual fuel bill. Additionally, small improvements in heat rate are often very economic investments. Consider the following:

A 1% improvement (reduction in heat rate) = $500,00 in annual savings for a 500-MW plant. A 5 degree F reduction in final feedwater temperature increases heat rate by 11.2 Btu/kWh, resulting in an average increase in annual fuel cost of $59,230, for the typical 500MW plant. The average U.S. coal-fired plant has a heat rate of ~12,000 Btu/kWh (based on the higher heating value of coal) with a range of 9,000 to 12,000 Btu/kWh. The modern gas-fired combined cycle plant has a net heat rate of ~7,000 Btu/kWh, the best in the business (based on the lower heating value of natural gas). Every plant has many opportunities to improve its heat rate.

1. Efficient water heating. The feedwater heater uses steam


extracted from the steam turbine to heat the boilers incoming water. The net effect of this process is improved boiler efficiency and a lower plant heat rate. A typical steam plant will have six or seven feedwater heaters. Source: Magnetrol International

Feedwater heater train

2. Three-step process. A standard high-pressure feedwater heater has three sections: desuperheating, condensing, and the drain cooler or subcooling. Low-pressure heaters are similar in design, although they often can eliminate the desuperheating zone. This method of feedwater heating is far more efficient than relying on burning more fuel to bring water up to temperature. Source: Magnetrol International

20

www.powermag.com

POWER August 2013

CIRCLE 11 ON READER SERVICE CARD

Feedwater Heater Operation Feedwater heaters are used to heat feedwater before the water enters the boiler. The higher the feedwater temperature, the less fuel is required to produce the steam used to produce electricity in the steam turbine. However, steam is extracted from different locations on the steam turbine to heat the feedwater, which increases the plant heat rate. The net effect of feedwater heating using extraction steam is a reduction in the plant heat rate. The typical coal-fired power plant has six to seven stages of feedwater heating. The number of feedwater heaters is an economic balance between the added capital cost (the price of a typical feedwater heater is ~$1.2 million) and improved operating efficiency over the life of the plant (Figure 1). Feedwater heaters take advantage of the heat of condensation (energy available from the change from saturated steam to saturated liquid) to preheat water destined for the boiler. In simple terms, the shell and tube heat exchanger directs feedwater to pass through the tube side while extraction steam from the turbine is introduced on the shell side (Figure 2). The feedwater heating process actually takes place in three distinct steps. First, the desuperheating zone cools the superheated steam to the point that the steam is saturated. Next, the condensing zone extracts the energy from the steam/water mixture to preheat the boiler feedwater passing through the tube side. Finally, a drain cooler is incorporated to capture additional energy from the liquid. The three heating processes all occur within a single heater.

Reliable Level Controls Required Arguably the most important aspect to feedwater heater performance is precise and reliable level control under all operating conditions. Accurate level control ensures the unit is operating in the area of greatest efficiency (straight condensation) so that optimum heat transfer occurs while preventing undue wear and tear on the feedwater heater and other system components (Figure 3). Aging level instrumentation will introduce measurement errors that will reduce the effectiveness of a feedwater heater. In fact, errors of plus or minus 3 or 4 inches in water level are commonplace in the typical power plant. A feedwater heater experiencing suboptimal water levels will experience reduced heating effectiveness. In turn, the boiler controls must fire the boiler harder to replace the lost energy, burning more fuel, and increasing the plants heat rate. If the heater condensate level is higher than design, the active condensing zone is effectively decreased and tubes in the heater that should be condensing steam are instead subcooling the condensate, which is an energy loss to the system. Some heater designs have the means to bypass the feedwater around the heater when condensate levels fluctuate to the extremes of its operating envelope. If condensate levels rise too high, there is a possibility of water induction into the steam turbine, which can have disastrous consequences. The feedwater heater may be mechanically protected from these extreme events, but the operating efficiency of the plant is certainly degraded. A lower-than-acceptable level of condensate introduces excessive amounts of high-temperature steam to the drain cooler, which causes the condensate to flash to steam. The resulting damage to the drain cooler section increases maintenance cost and unscheduled downtime. In some cases, low heater levels can cause a mixture of steam and water through the heater, producing a reduction in heat transfer that also increases the plant heat rate. Monitoring Performance The primary parameters used to monitor individual heater performance are the feedwater temperature rise, the terminal temperature difference (TTD), and the drain cooler approach (DCA). Three important measurements can be taken that will provide information about the operating efficiency of a feedwater heater (Figure 4):

Maximum availability is our mission. Top-decile performance is our measure.

3. On the level. Modernizing feedwater heater level controls alAt NRG Energy Services, our operations & maintenance knowledge goes well beyond the nuts and bolts.
Sta ng Reporting Technical Support ISO Scheduling Operation and Maintenance Environmental, NERC and Regulatory Compliance Major Maintenance Programs
lows operators to better manage controllable losses while significantly reducing maintenance costs. Torque tube displacers (shown in the photo) are common in the industry and one of the easiest to retrofit. Source: Magnetrol International

Call us today at 855.532.4980


nrgenergy.com/energyservices/oandm
NRG is a registered servicemark of NRG Energy, Inc. 2013 NRG Energy, Inc. All rights reserved.

CIRCLE 12 ON READER SERVICE CARD

22

www.powermag.com

POWER August 2013

Precise Product Sized for Maximum Yield

The Leader in Uptime Since 1905

Eliminate Fugitive Dust!


Models to Suit any Capacity Uses Ultra-low Horsepower Unmatched Reliability Only One Moving Part

Right Size. Maximum Yield. Minimum Fines. Every Time.

Posimetric Feeders
Improve plant safety with these dust-free feeders.
For coal, limestone, biomass, crushed stone, sand, wood chips and more.

The Most Choices, The Most Experience.

Cage Mills

Breakers

Hammermills

Granulators

Roll Mills
a brand of

Grinders

Impactors
a brand of

Coalpactors

Gundlach Crushers
Phone: 1-618-233-7208 E-mail: BetterCrushers@GundlachCrushers.com

Pennsylvania Crusher
Phone: 1-610-544-7200 E-mail: Buster@PennCrusher.com

Handling a World of Materials

www.TerraSource.com
Posimetricis a licensed trademark of GE Energy (USA) LLC. TerraSource Global is a wholly-owned subsidiary of Hillenbrand, Inc. (NYSE: HI) 2013, TerraSource Global. All rights reserved.

CIRCLE 13 ON READER SERVICE CARD

4. Performance measures. Feedwater performance is quantified in three ways: the feedwater temperature rise (the difference between the outlet and inlet feedwater temperatures), the terminal temperature difference (the saturation temperature of the heating steam and the feedwater outlet temperature), and the drain cooler approach (the temperature difference between the drain cooler outlet and the feedwater inlet temperature). Source: Magnetrol International

to the design, such as with torque tube/displacers. With this technology, calibration between shutdowns is often necessary to achieve reasonable accuracy and prevent nuisance deviation alarms between multiple level transmitters. Responsiveness to rapid level changes can also be slow due to dampening effects fundamental to the principle of operation. Vulnerable measurement technology. Many measurement technologies are vulnerable to changing process conditions such as shifts in specific gravity and/or the dielectric constant of the media related to variations in process pressures and temperatures. Certain technologies also cannot provide accurate level from startup to operational temperatures without applying external correction factors, or the specified accuracy is only realized at operational temperatures. In general, technologies that fall in this category include differential pressure, magnetostrictive, radio frequency capacitance, and torque tube/displacers.

Feedwater temperature rise is the difference between the feedwater outlet temperature and the feedwater inlet temperature. A properly performing heater should meet the manufacturers design specifications, provided the level controls are up to the task. Terminal temperature difference (TTD) provides feedback on the feedwater heaters performance relative to heat transfer and is defined as the saturation temperature of the extraction steam minus the feedwater outlet temperature. An increase in TTD indicates a reduction in heat transfer while a decrease is an improvement. Typical ranges for TTD on a high-pressure heater with and without a desuperheating zone are 3F to 5F and 0F, respectively. The TTD for low-pressure heaters is typically around 5F. Steam tables and an accurate pressure reading are required to complete this calculation. Drain cooler approach (DCA) temperature is the temperature difference between the drain cooler outlet and the feedwater inlet temperatures. The DCA infers the condensate levels present within a feedwater heater. An increasing DCA temperature difference indicates the level is decreasing, whereas a decreasing DCA indicates a rise in level. A typical value for DCA is 10F.

Lower-than-expected final feedwater temperature occurs when a feedwater heater is taken out of service due to unreliable level input to the control system or when the level is too high or low. If the condition is a result of high feedwater heater level, the operator would note a decrease in feedwater heater temperature rise, a decreasing DCA temperature difference, and an increasing TTD. The inverse is true if feedwater heater levels are too low. In either of the scenarios, risk of damage to hardware increases, heat transfer is impaired, and feedwater to the economizer is not at the required temperature. There are two probable operator responses to a low final feedwater temperature, neither of which is desirable:

Instrument-Induced Errors and Heat Rate Although there are a number of physical anomalies that degrade heater performance, this section focuses on issues tied in some way to inadequate level control resulting in a belowdesign final feedwater temperature. The problems can range from something as simple as inaccurate or fluctuating readings across several instruments that leave the real level in question to those that justify taking a feedwater heater out of service. Regardless of the severity, the intention is to show the ripple effect that poor feedwater heater level control has on overall boiler and turbine cycle efficiency (increase in net unit or turbine cycle heat rate). Here are two primary sources of instrument-induced errors:

Overfire the boiler to increase temperature (level too high/low or out of service). This action will increase fuel consumption and emissions, as well as increase the gas temperature exiting the furnace. The increased gas temperature will increase the reheat and superheat sprays. Also, the steam flow through the IP and LP stages of the steam turbine will increase (when the heater is out of service), causing flashing and potential damage to the drain cooler section and possibly cause thermal damage to the tubes. Open emergency drains to lower level (level too high). This option causes an immediate loss of plant efficiency and can cause damage to hardware if water is inducted into the extraction line. The worst case occurs when the water is inducted back into the steam turbine, causing a possible catastrophic failure. The best case is that the turbine water induction protection (TWIP) trips the unit, shutting the heater down and causing expensive loss of production and other related costs.

Drift (mechanical or electronic). Drift is usually associated with aging instrumentation, moving parts, or is intrinsic

Case Studies The case studies cover two key topics relative to feedwater heater performance. The first details the increased annual fuel cost associated with an off-design final feedwater heater temperature at a 500-MW coal-fired plant. Although this particular situation does not fall into an extreme case warranting a heater bypass, it exemplifies how seemingly minor trade-offs in level control often have a large impact on unit heat rate (Table 1). The second case study brings to light the day-to-day operational risks and costs that ineffective or aging instrumentation technologies have on the bottom line (Table 2). At this plant, the feedwater heaters were replaced in 2002, but the original instrumentation (1966-vintage pneumatic level
POWER August 2013

24

www.powermag.com

Table 1. Case study 1. This table displays the results of off-design final feedwater heater temperature at a 500-MW coal-fired plant. Based on low outlet temperature, the heat rate rose 47 Btu/kWh, adding $243,000 annually to the plants cost of fuel. Source: Magnetrol International Feedwater heater data Outlet temperature target Actual temperature Difference Temperature rise target Actual temperature rise Drain cooler approach (DCA) target DCA actual Terminal temperature difference(TTD) target TTD actual Temp (F) 438.4 417.4 -21.0 81.0 64.0 10.0 3.0 10.0 19.5

MULTI-PLATFORM TECHNICAL EDITOR


POWER magazine has an immediate opening for a multitalented editorial staff member. Primary responsibilities will be to research, write, and edit technically detailed but interesting content, typically related to the design, construction, operation, and maintenance of power plants. Expertise in a particular area of the power generation industry (especially coal-red technologies) is preferred, but the person hired for this position will also need to demonstrate interest in developing competence with editorial content covering all generation technologies as well as the business and regulatory issues affecting the industry more broadly. Our business is evolving, so were looking for someone who is a fast and eager learner of both industry and publishing technologies. As part of our multimedia business, the new editor will be expected to work on material of varying lengths, with both daily and longer-term deadlines, for both print and digital content delivery. The individual also should be comfortable with and have some experience with public speaking. To be considered for this position, explain in your cover letter how you have demonstrated that you are both a team player and able to demonstrate productivity while working independently. (The position may work from corporate ofce space in Houston or from a home ofce anywhere in the continental U.S.) Job title and salary will be commensurate with experience. This position offers great opportunity for career growth with the industry-leading media brand.

Table 2. Case study 2. Cost justification for replacing aging level controls technology due to excessive bypassing of LP heaters. Source: Magnetrol International Event Cost of LP heaters out of service for two weeks Unit trip caused by turbine water induction protection initiated by heater control issues (two startups) Replacement power cost for the two events Payback on new cost of installation investment Cost $45,190 $42,712

REQUIREMENTS
$100,000 1.5 years

controls and sight glass) was reused. The unreliable instrumentation caused feedwater heater level fluctuations that intermittently caused a bypass of all the LP heaters as part of the turbine water induction protection and placed the unit at risk of unexpectedly tripping offline. Note that the case studies do not take into account additional emissions cost, effects on boiler and turbine efficiencies, overfiring conditions, lost production, and other related factors, discussed earlier. In both case studies, the return on investment for modernizing the instrumentation on the plants feedwater heaters fell in the 1.0- to 1.5-year time frame. Contributed by Donald Hite, regional manager Southeast Magnetrol International and Orion Instruments. View the POWER webinar on this topic on demand at powermag.com/webinars.
August 2013 POWER

Engineering degree, preferably with a PE license. Outstanding oral and written communication skills. Obsessive about quality and accuracy. Provide substantive (technical, organizational, factual) editing of staffwritten and contributed material. Ability to manage multiple projects, at different stages, under sometimes tight deadlines, with a collegial attitude. Procient with Microsoft Ofce, PCs (and, preferably, Macs). Three years experience writing and/or editing technical content. Proven ability to master digital technologies. Basic photography and Photoshop skills. Ability to quickly and independently learn to work with new software and digital interfaces. Ability to work with minimal daily supervision in a virtual (telecommuting) team-oriented environment.

Some travel to attend and speak at industry events.

PREFERRED

Copy editing experience. Power plant or power industry vendor/contractor experience. Familiarity with web and print content management systems (Wordpress in particular). Ability to shoot and edit short industry-related video clips.

Send cover letter, resume, and salary requirements to gailr@powermag.com and use Technical Editor Application in the subject line.

www.powermag.com

25

The Lurking Threat to State RPSs


By Thomas Overton
he backlash against renewable portfolio standards (RPSs) has begun in earnest. In more than 20 states across the country, efforts are afoot to freeze, water down, or repeal one standard or another. Some of the attacks are serious. The North Carolina legislature recently considered a bill that would have had the states 12.5% requirement expire in 2021. The bill died in committee, though the vote was close. Similar bills have gotten traction in Kansas and Pennsylvania, though so far none have passed. The campaign is being spearheaded by conservative think tanks such as the American Legislative Exchange Council (ALEC) and the Heartland Institute, which have written model legislation to repeal RPSs and make it much harder to support renewable energy development. But there is a deeper threat to RPSs thatif successfulhas the potential to wipe out every standard in the country in one fell swoop.

Cases of open discrimination are fairly rare, but they do occur. Perhaps most relevant here is the 1992 case of Wyoming v. Oklahoma, in which the Court overturned an Oklahoma law requiring its utilities to burn at least 10% Oklahoma-sourced coal in their coal-fired plants. Legal scholars who have looked at this issue with respect to RPSs largely agree that in-state carveouts requiring a certain level of in-state renewable generation are vulnerable under the Dormant Commerce Clause. Indeed, Massachusetts in 2010 suspended its in-state requirement in the face of a lawsuit by TransCanada. Where there is no open discrimination, the analysis gets murkier, as might be expected. A discriminatory effect or purpose may be enough to invalidate the law, or it may not. To make things more complicated, application of the Pike test has become less and less frequent as the Court has expanded the number of things that can trigger a finding of discrimination.

Dormant Challenge The culprit is a lawsuit in Colorado federal court, American Tradition Institute v. Colorado. The case, filed in 2011, argues that Colorados RPS unconstitutionally burdens interstate commerce by favoring certain generation resources over others. The Denverbased American Tradition Institute (ATI) is a nonprofit advocacy group largely funded by fossil fuel interests, and it has fought public support for renewable energy since its founding in 2009. Whats the problem? Article I of the federal Constitution gives Congress the power to regulate commerce with foreign nations, between states, and with the Indian tribes. The Supreme Court (the Court) long ago read a negative implication into this section that state laws impairing or regulating commerce with other states are disfavored. This is known as the Dormant Commerce Clause. Federal courts apply one of several tests when considering whether a state law violates the Dormant Commerce Clause. First, if the law discriminates against interstate commerce, it must survive strict scrutiny and will only pass muster if the state can show it is protecting a legitimate state interest and the law is the only reasonable means of doing it. In practice, this standard is so high that applying strict scrutiny almost guarantees the law will be invalidated. Where no discrimination is present, and the law treats in- and out-of-state entities equally, it will survive as long as the burdens on interstate commerce are not out of proportion to the in-state benefits. On the other hand, if it unreasonably benefits local interests at the expense of outside competition, then it fails. This has come to be known as the Pike test after a 1970 Supreme Court case. Finally, if a law has the practical effect of regulating commerce outside the states borders, it is invalid.
26

How Great a Threat? As should be clear, this is a highly fact-specific analysis, and given the many differences in how the various state RPSs operate, it is impossible to know whether all or any would survive Dormant Commerce Clause review. Nevertheless, some RPS elements would appear to be in danger. In-state carve-outs are the most likely to fail. Some RPS schemes prohibit utilities from importing power generated by new nonrenewable sources or entering into power purchase agreements that increase their carbon emissions, even if generated out of state. These provisions arguably attempt to regulate power generation outside that states borders. Several renewable energy credit (REC) schemes contain provisions that implicitly or explicitly favor in-state generation; these too may be found discriminatory. While ATI complains about certain in-state carve-outs and REC provisions in the Colorado RPS, the core of its case is that favoring one generation resource over another places too great a burden on interstate commerce. ATIs contention is that the variability of wind and solar generation means that generators must invest in nonrenewable resources to balance their output and ultimately incur greater expenses than they would otherwise. Further, it has the effect of regulating the behavior of out-of-state generators, who are less likely to build nonrenewable capacity, thus harming states where coal mining is a major industry. Its not clear what ATIs chances are with this argument (the judge, William J. Martinez, is an Obama appointee), but the threat it poses to RPSs nationwide ought to be clear. Whatever the outcome at the district court level, an appeal is certain. A decision in its favor in the Tenth Circuit, orshould it get a hearingthe Supreme Court, would have important ramifications across the country. Stay tuned. Thomas W. Overton, JD is POWERs gas technology editor.
POWER August 2013

www.powermag.com

CIRCLE 14 ON READER SERVICE CARD

PLANT OF THE YEAR

AEPs John W. Turk, Jr. Power Plant Earns POWERs Highest Honor

Courtesy: AEP

AEPs SWEPCO requested proposals in December 2005 for new generation to meet long-term capacity needs, and by August 2006 the company settled on coal-fired technology for a new plant site in Arkansas. Construction began in early 2008, and the new plant entered commercial service in December 2012. For overcoming numerous legal and regulatory obstacles and for building the first ultrasupercritical plant in the U.S., the John W. Turk, Jr. plant is awarded POWERs 2013 Plant of the Year Award.
By Dr. Robert Peltier, PE
he new 600-MW John W. Turk, Jr. Power Plant owned by American Electric Powers (AEP) Southwestern Electric Power Co. (SWEPCO) is located on a 2,800-acre tract near Fulton, in Hempstead Country, Arkansas, about 20 miles northeast of Texarkana. The Turk Plant, the first modern plant in the U.S. to commercialize ultrasupercritical (USC) boiler technology, was officially declared commercial on Dec. 20, 2012. Commissioning of the Turk Plant culminated almost seven years of legal, regulatory, and construction work to bring the $1.8 billion projectthe most expensive project ever built in the state of Arkansasto completion. SWEPCO operates in Louisiana, Arkansas, and Texas, with headquarters in
28

Shreveport, La., and owns 73% (440 MW) of the Turk Plant. The plant is co-owned by the Arkansas Electric Cooperative Corp. (70 MW), Oklahoma Municipal Power Authority (50 MW), and East Texas Electric Cooperative (40 MW). The plants namesake is John W. Turk, Jr., president and chief executive officer of SWEPCO from 1983 to 1988 and a pioneer in the use of Powder River Basin (PRB) coal for power generation. The plant is classified as supercritical because the main steam pressure is above the thermodynamic critical point of water (3,208 psi), where water ceases to boil but moves directly from liquid to superheated steam. The plant, somewhat arbitrarily, becomes classified as USC when the main and reheat steam temperature exceeds 600C (1,112F), much higher than convenwww.powermag.com

tional subcritical steam plants. The result is a more efficient power plant with lower air emissions. The Turk Plant thermal efficiency is ~39% to 40% (net), compared with 35% for a boiler operating at subcritical steam conditions. Carbon dioxide emissions are also reduced: USC technology produces ~0.97 tons/MWh compared to subcritical plant emissions that average ~1.06 tons/MWh. The Turk Plant is yet another example of AEPs long history of advancing coalfueled generating technologies. AEP built our nations first supercritical coal-fueled power plants decades ago, said Nicholas K. Akins, AEP president and CEO. At Turk, weve deployed ultrasupercritical generating technology and built one of the nations cleanest, most efficient pulverized coal generating plants.
POWER August 2013

Save the Date!


June 3-5, 2014
Atlantic City, NJ Sheraton Atlantic City Convention Center Hotel

WIND

WAVE

TIDAL

www.energyocean.com
22447

PLANT OF THE YEAR


Many Regulatory Barriers Overcome
The Turk Plant was built to serve as the principal source of low-cost, baseload electricity for SWEPCO. However, not every stakeholder was satisfied with that decision. Shortly after SWEPCO announced the project, it became a target of a national anti-coal campaign and of organized opposition from local groups with land holdings near the plant. Virtually every regulatory and environmental permitting decision was challenged, first in the regulatory process and then in the judicial system. The litigation played out in a high-profile public battle for nearly four years, until December 2011, when a key settlement was reached that required SWEPCO, among other things, to reiterate its decision to phase out a 528-MW coal-fired unit in Texas, build or secure 400 MW of renewable power, and not build any new additional generating units at the Turk site (and within a 30-mile radius) as long as the Turk Plant is operational. The settlement was aided by increased public pressure in support of the project and the lack of local opposition. The settlement cost SWEPCO $10 million, which it agreed to contribute to support land conservation and clean energy in Arkansas, as well as $2 million in attorney fee reimbursements to the environmental groups. SWEPCO also agreed, in return for a resolution of all environmentally based legal challenges, to combust only coal from the Powder River Basin in Wyoming or subbituminous coal with similar low-sulfur characteristics. These settlements cleared the way for the plants completion and commercial operation. This is a milestone addition of very efficient generation during SWEPCOs 100th anniversary to help meet the growing energy needs of all SWEPCO customers, and we heartily thank our many supporters of the project these last six years, said Venita McCellon-Allen, SWEPCO president and chief operating officer.

Table 1. Major contractors and equipment suppliers to the John W. Turk, Jr. project. Source: AEP
Contribution Owners engineer Plant engineering and design Plant construction Steam generator Steam generator erection Steam turbine generator Steam turbine generator erection Selective catalytic reduction system Fabric filter Dry flue gas desulfurization (spray dry absorber) Distributed control system Sootblowers and furnace wall cleaning Cooling tower Condenser Feedwater heaters Circulating water pumps Condensate pumps Boiler feedwater pumps Fuel handling Auxiliary transformers Large power transformers Fly ash handling Bottom ash handling submerged flight conveyer Pebble lime preparation Forced and induced draft fans Primary air fans Rail car dumper Water treatment Stack Auxiliary boiler Contributor American Electric Power Service Corp. CB&I (formerly The Shaw Group) CB&I (formerly The Shaw Group) The Babcock & Wilcox Co. The Babcock & Wilcox Co. Alstom Power CB&I (formerly The Shaw Group) The Babcock & Wilcox Co. / Johnson Matthey (formerly Argillon Catalyst) The Babcock & Wilcox Co. The Babcock & Wilcox Co. Emerson Process Management Diamond Power Co. SPX Yuba TEI Flygt Flowserv Corp. Flowserv Corp. Roberts & Schaefer ABB ABB and VT United Conveyor Corp. United Conveyor Corp. Chemco/MAC Howden ProcessBarron Heyl and Patterson Siemens Commonwealth Dynamics Inc. The Babcock & Wilcox Co.

Strong Project Team


The structure of the project team that designed and built the Turk Plant has become more common in recent years, particularly for those utilities with in-house engineering capability that are comfortable building advanced technology power plants. Instead of placing responsibility for the entire project with a single turnkey construction company, AEP selected contractors and suppliers and let each build its portion of the plant under separate contracts. Its a reasonable balance between project risk and the cost premium for a single conventional engineering, pro30

curement, and construction contract. AEP retained responsibility for a portion of the plants infrastructure development (such as the railroad spur). For the Turk Plant, there were three key contracts:

vided the balance-of-plant engineering, construction services, and management, plus erection services for the steam turbine under an FFP. AEPs project manager, Joseph DeRuntz, noted the high level of cooperation among the major contractors and, in particular, the CB&I and B&W craft workers and AEP plant staffespecially in the area of worker safety. Unlike other recent major power plant projects, finding the required number of qualified journeyman workers was not a significant problem. Other key suppliers to the Turk Project are included in Table 1.

The Babcock & Wilcox Co. (B&W) supplied and erected the USC boiler and the plants complete air quality control systems. That contract was based on a firm fixed price (FFP) for the equipment supply and a target price arrangement on erection, with certain incentives. Alstom Power supplied the USC steam turbine and steam turbinedriven boiler feed pump under an FFP contract. CB&I (formerly The Shaw Group) prowww.powermag.com

Regulatory Rituals
The regulatory and court battles did take their
POWER August 2013

BE PART OF SOMETHING
CALL FOR PARTICIPATION
INDUSTRY-WIDE
Submission Deadline September 6, 2013

POWERFUL
ELECTRIC POWER represents the future of power generation, providing in-depth educational content addressing concerns, highlighting technological advances and conveying current trends affecting the power generation industry.

Submit an abstract online at electricpowerexpo.com


300 words or less Identify primary and contributing authors Indicate the most relevant conference track for inclusion Propose a panel discussion by including a brief description of the topic, its relevance, and proposed panelists Questions? Contact Kim Arellano at 713.343.1879 or kima@tradefairgroup.com.

Interested in speaking?

Abstracts are reviewed for content and relevance by a committee of more than 100 power industry executives, managers and engineers. Presentations are selected by consensus. Commercial sales pitches are discouraged.

We want to hear from you!


Combined cycle power plant development Quick-start machines for grid support Renewable resource integration strategies Natural gas and renewable energy: Friend or Foe? Making sense of greenhouse gas rules Cutting costs while maintaining reliability Nuclear energys future in a low-cost gas environment Environmental compliance for industrial-scale power generation Prospects for utility-owned solar The list goes on!

Presented by:

PLANT OF THE YEAR


1. Digital plant. The Turk Plants control room consists of the many operator screens in the
background and the screens used by the engineers in the foreground. The Ovation distributed control system was supplied by Emerson Process Management. Courtesy: AEP

Table 2. Key milestones for the John W. Turk, Jr. project. Construction of Turk, completed over a five-year period, was one of the largest and most complex construction projects in Arkansas and AEP history. Source: AEP
Date Aug. 9, 2006 Aug. 9, 2006 Oct. 1, 2006 Nov. 1, 2006 May 1, 2007 Dec. 1, 2007 Mar. 1, 2008 July 1, 2008 1st quarter 2008 Nov. 5, 2008 Nov. 5, 2008 Jan. 1, 2009 June 1, 2009 Dec. 1, 2009 Jan. 22, 2010 Feb. 11, 2010 June 1, 2010 July 1, 2011 Dec. 22, 2011 Aug. 21, 2012 Oct. 24, 2011 Oct. 27, 2012 Nov. 8, 2012 Dec. 20, 2012 Project announcement Submitted Air Permit Application to the Arkansas Department of Environmental Quality (ADEQ) Land acquisition Utility commission filings (Ark., La., Texas) Major EPC contract signed with CB&I (formerly The Shaw Group) Arkansas Public Service Commission (PSC) Certificate of Environmental Compatibility and Public Need (CECPN) approval Louisiana PSC approval Texas Certificate of Convenience and Necessity (CCN) approval Site preconstruction preparation ADEQ issues final air permit Start of construction (after air permit finalized) Power Plant Technology Program started at University of Arkansas Community College at Hope Arkansas Pollution Control and Ecology Commission (APCEC) hearing on appeal of the air permit U.S. Army Corps of Engineers (COE) Section 404 Permit issued Air permit affirmed by the APCEC COE Section 404 permit challenged Following Arkansas Supreme Court reversal of Arkansas CECPN, SWEPCO changes status for portion of the plant capacity originally planned to serve Arkansas retail customers ADEQ landfill permit issued Settlement of all legal challenges to project First fire on gas NPDES wastewater permit issued by ADEQ First fire on coal First synchronization with the grid Commercial operations Project milestone

toll on the project schedule, eventually delaying the project 15 months beyond the original startup date. AEP and SWEPCO modified the contract cost and delivery arrangement with CB&I to account for the schedule and financial impact of the delay. AEP also elected to assume overall management of the project once the settlement agreement (discussed below) was reached. AEP set an expedited construction, startup, and commissioning schedule with the goal of completing the project by the end of 2012. According to DeRuntz, the changes were necessary because the two organizations goals were not in alignment during final stages of the project: AEP needed to maintain the committed schedule that would have Turk operational by the end of 2012, but that was not a feasible target for CB&I under its FFP contract. The solution was to convert the CB&I FFP construction contract to a timeand-materials contract with certain incentives. DeRuntz offered his opinion that the CB&I construction work was well managed under both contracting approaches. The changes paid a large dividend to the project team. When the plant declared commercial operation on Dec. 20, 2012, on schedule, all control systems were in automatic control and the unit was released for dispatch to the Southwest Power Pool (Table 2). The plant control room is shown in Figure 1.

First USC Boiler in the U.S.


The Turk Plant was the natural evolution of AEPs early use of supercritical boiler technology which began with the Philo Unit 6 in Ohio (the worlds first supercritical unit, which operated from 1957 to 1975). Philo 6 was a double reheat design rated at 120 MW, and it operated at 4,500 psi with steam temperatures of 1,150F, 1,050F, and 1,000F. Its boiler was also supplied by B&W. Some may point to Philadelphia Electrics (now Exelons) Eddystone Unit 1 as the first USC plant because it successfully operated at ultrasupercritical levels when commissioned in 1960. However, todays advanced metallurgy was not available at the time, and the plant could reliably sustain design steam temperatures for only a few years before a steam temperature derate was necessary. Your definition of what constitutes a USC plant will guide your decision about which plant deserves status as No. 1. Eddystone Unit 1 was retired in 2011. Although improved materials are now readily available, no other USC units are planned for the U.S., although there are many in operation or under construction in other
POWER August 2013

32

www.powermag.com

PLANT OF THE YEAR


2. Boiler fit-up. The design of the spiral-wound configuration of the B&W universal pressure boiler is evident in this boiler assembly photo. Courtesy: AEP

parts of the world. Following Philo Unit 6, AEP constructed 24 additional supercritical units and is currently operating 22 of those units. The Turk Plant continues AEPs legacy of building the nations cleanest, most efficient pulverized coalfueled generating plants. The Turk Plant USC boiler technology is based on the B&W opposed-fired, spiralwound universal pressure (SWUP) balanced draft boiler design that burns a low-ash, lowsulfur Powder River Basin coal. The boiler is a two-pass arrangement with multi-lead, ribbed-tube, spiral-wound lower furnace; mix transition to the vertical tube upper furnace enclosure; two-pass arrangement pendant heating surface; and the two parallel path gas-biasing horizontal convection pass with reheater, primary superheater, and economizer banks. Stainless steel tubing is used for the superheater and reheater. The hightemperature headers and steam leads are 9Cr creep strength enhanced ferritic steel (Figure 2). The boiler steam flow, operating pressures and temperatures, and other key plant performance parameters are shown in Table 3.

Table 3. Key John W. Turk, Jr. power plant performance parameters. Turk uses an ultrasupercritical steam generator and a
system of air quality control devices to keep air emissions low. Source: AEP Parameter Net unit output Net plant heat rate Turbine throttle conditions John W. Turk, Jr. Power Plant 624 MW, 650 MW emergency 8,730 Btu/kWh 3,500 psig, 1,110F main steam 736 psig/1,125F reheat steam Fuel Emissions NOx SO2 CO PM10 (filterable) Hg Boiler Type Steam pressure PRB coal, 8,300 Btu/lb, 328 tons/hour, 5.5% ash, 31.0% moisture, 0.40% sulfur 0.05 lb/MMBtu, annual averge 0.065 lb/MMBtu, 30-day rolling average 0.15lb/MMBtu, 30-day rolling average 0.012 lb/MMBtu, 3 hour Activated carbon injection, Hg limited to 1.7 lb/TBtu Ultrasupercritical, opposed fired, spiral wound lower furnace 3,607 psig @ 100% rated load 3,788 psig @ 5% overpressure Steam temperature Maximum continuous rating Turbine Generator Rating Type Rotational speed Condenser vacuum Feedwater heaters Voltage Capacity Boiler feed pump configuration Water pretreatment system 1,114F/1,126F 4,420,000 lb/hr @ 5% overpressure 665 MW, summer conditions Four casing, tandem compound, single-flow high-pressure turbine; double-flow intermediate-pressure turbine; and two double-flow, low-pressure condensing turbines 3,600 rpm 3.15 inches HgA, summer HARP design with eight stages of feedwater heating, including deaerator 24 kV 840 MVA @ 0.85 PF One 100% steam turbinedriven pump, and one 30% motor-driven start-up pump Filtered river water for service water, cooling tower make-up and plant feedwater makeup

August 2013 POWER

www.powermag.com

33

PLANT OF THE YEAR


3. Plant cutaway. A cross-section of the B&W USC boiler and key air quality control system equipment provides an inside look at the Turk Plant. The pulse jet fabric filter is not shown on the right. Source: B&W

the long expansion line of a USC unit compared to a subcritical unit. The number of stages in the HP turbine, as well as in the IP turbine, was increased by about 25%, compared to a typical subcritical application. Other design parameters were considered when maximizing performance of the Turk Plant steam turbine design for USC steam conditions. Full arc inlet scrolls improve efficiency and minimize component thermal fatigue damage. In this design the control valves typically operate wide open with flow control through the boiler feed pump. Overpressure operation provides the turbine flow margin to produce additional electrical output when required.

Overcoming Construction Challenges


The state-of-the-art air quality control systems supplied by B&W provide what is described as the lowest air emissions of any coal plant in the U.S., when burning PRB coal. The boiler design incorporates closecoupled overfire air for control of NOx and DRB-4Z low-NOx burners. A selective catalytic reduction system is used for additional NOx control. Finally, an activated carbon injection system is used for mercury removal. Downstream of the boiler, the exhaust gas is treated by a spray dry absorber (SDA) system with pebble lime and recycle ash for SO2 reduction and a pulse jet fabric filter baghouse for particulate removal. Figure 3 illustrates the arrangement of the USC boiler and air quality equipment. The PRB coal burned by the Turk Plant is mined in northeastern Wyoming near Gillette and is delivered by Union Pacific Railroad in 125-car unit trains (each car contains 120 tons) an average of three times each week. The boiler consumes approximately 310 tons of coal per hour. The average coal pile storage is approximately 40 to 45 days. and three stages of HP feedwater heaters are used. An extraction from the HP turbine steam path feeds the top heater, thus the cycle is a heater above the reheat pressure (HARP) design. The advantage of the HARP cycle is that it allows optimizing the final feedwater heater temperature independent of the reheater pressure, which reduces moisture at the LP exhaust. The final feedwater temperature is 570F. The Turk Plant uses a 100% single-flow boiler feed pump turbine that is fully integrated into the main steam turbine systems. The entire steam turbine system is controlled by an Alstom digital control system. A motordriven boiler feed pump is employed for unit startup and has a nominal capacity of 30%. The Alstom approach to designing steam turbines is to use separate cylinders for the HP and IP turbines, allowing the designer to optimize the number of turbine stages given Any project of this size and complexity will inevitably have unexpected problems that require innovative solutions, particularly during design and construction. The Turk Plant was no exception. Expanded Laydown Area. The 15-month project delay previously mentioned impacted the commercial provisions of the CB&I construction firm fixed price contract, and suitable changes to that contract were negotiated, as noted earlier. However, the equipment supply contracts were so far along that the costs of accepting shipment outweighed the cost of slowing manufacture, particularly for boiler parts already shipped from China. The logistical problem then evolved into Where do we put all these parts? According to Jim Zucal, AEPs director of construction, the solution was to construct another 60 acres of laydown area that would hold all the boiler component parts and the thousands of other parts and assemblies soon scheduled to arrive (Figure 6). The place-

4. Turbine assembly. The low-pressure rotor top casing is carefully lowered into place.
Courtesy: AEP

USC Steam Turbine


The steam turbine configuration is a condensing tandem compound single-reheat, 3,600rpm steam turbine generator set. The Alstom STF60 design includes a four-casing steam turbine with a single-flow high-pressure (HP) turbine, a double-flow intermediate-pressure (IP) turbine, and two double-flow downward exhaust low-pressure (LP) turbines. The IP turbine is connected to the LP turbines through crossover pipes (Figure 4). The Turk Plant was designed with eight heaters to raise the final feedwater temperature to improve efficiency as compared with a traditional subcritical unit utilizing six to seven heaters (Figure 5). Four stages of lowpressure condensate heaters, one deaerator,
34 www.powermag.com

POWER August 2013

WHERE WATER and POWER MEET


C U S T O M I Z E D WAT E R S O L U T I O N S T H AT F I T YO U R P O W E R P L A N T

Tight Fit, Tight Timeline


Converting the bottom ash handling process of a power plant from a wet sluicing system to a dry system was key to future permit compliance. The utility needed the new equipment to t within the existing space, and it needed the project operational with a brief outage. Mike Roush led a team that included the client/owner, designers, vendors and construction personnel in a closely coordinated effort that fullled both requirements. The process included initial equipment selection, contract award, construction coordination and startup coordination. The plant is now operating seamlessly with a submerged ight conveyor and dry ight conveyors that handle the bottom ash, air heater ash and economizer ash.

Mikes experience includes 12 years of responsibility to coal power plant owners for the design, project management, engineering management, contract administration, eld work and startup of new plants and plant upgrades. He is part of our team of experienced power plant professionals who can help you identify the water alternative that ts: Zero liquid discharge Customized wastewater treatment and water management Constructed wetlands Landll and pond management Bottom ash handling
9400 Ward Parkway Kansas City, MO 64114

www.burnsmcd.com/water-team

Engineering, Architecture, Construction, Environmental and Consulting Solutions


CIRCLE 17 ON READER SERVICE CARD

PLANT OF THE YEAR


5. The HARP cycle. The Turk Plant employs a feedwater heater above reheat pressure
(HARP) to maximize steam cycle efficiency. The condenser pressure represents the average summer condition for the heat rate guarantee. Source: Alstom Power

736 psig/1,125F 3,500 psig/1,110F 665 MW HP IP 2x LP34B

570F

3.15 in HgA

378F 4,390 psia 388F

ment of the piece parts was organized, and an equipment preservation process was put into action. B&W later took advantage of the large laydown area by setting up a preassembly shop where piece parts were assembled into large modules that could be placed by a single crane movement, such as for the SDA tank. The preassembly area was an important development, as the plant did not have rail access during construction, and all piece parts arrived by truck. Special Pipe Properties. The very high steam temperatures and pressures require specialized pipe metallurgy, in this case P91/ P92. AEPs quality organization was faced with a number of problems when performing

the necessary nondestructive testing (NDT). First, the rules for NDT examinations and quality testing evolved several times during the project, specifically related to weld testing. Those rule changes also required a change in the techniques used to install the piping, which led to challenges with shop and field weld testing. Dan Duellman, AEPs director of engineering, related that AEP worked with the contractor and suppliers to develop a revised post-weld heat treatment process that would comply with the applicable codes but that was also possible to accomplish efficiently and reliably on a construction site. After final NDT processes were settled, the weld reject rate on the boiler erection was only 1.17%, according to Zucal.

6. Short-term storage area. This photo, shot in September 2009 looking southwest across the project site, shows the boiler laydown area at the top. The red primer parts are boiler components ready for assembly. Courtesy: AEP

A second pipe materials properties problem also threatened to slow erection of key boiler elements. The superheater and reheater tubing is formed from stainless steel, yet under certain combinations of material properties and service conditions, the tubing experiences exfoliation on the internal surfaces. Such an incident occurred during construction of an earlier plant, and the lesson learned was that cold working (shot peening) the inside diameter of these tubes would eliminate the exfoliation. B&W shipped its completed tube assemblies to a shop in Texas for cold working. Shot peening the inner surface of long tube assemblies was not practical. Instead, shot was placed inside the tube assemblies mounted on a shaker table, producing the same effect as traditional shot peening. Duellman described the results as very effective. Water Woes. The plant is evaporative cooled, so a source of plant makeup water must be available close to the plant site. As the Turk Plant was nearing completion, AEP and the Corps of Engineers continued to settle an appeal related to the plants impact on designated wetlands that are adjacent to the Little River and the AEP intake. In fact, the caisson and pumping equipment were already in place and all that remained was to complete a boring at the water line to install the intake screen, but construction of any type was precluded while an injunction was in place during the appeal. When system checkouts were scheduled and pipes were to be filled, water wasnt available. Those filing the appeal hoped to slow or stop startup by denying water to the plant at a crucial time. Instead, AEP developed an agreement with the Hope Water and Light Commission, located in Hope, Ark., whereby AEP was allowed to connect with Hope Water and Lights existing intake pipeline , located a short distance from the AEP intake, and receive the needed makeup water required to support commissioning activities. The 14day storage requirement in the plants storage pond was also satisfied prior to startup. The mechanical draft cooling towers require ~90% of the makeup water; the other ~10% is consumed by the various water treatment processes and boiler water makeup. After the litigation settlement, the remaining intake work was completed and the temporary connection to Hope Water and Light was removed. Pond Lining Problem. In this region, water makeup and wastewater storage ponds are usually clay-lined. After startup, makeup water testing revealed increasing levels of dissolved solids for the water stored in the ponds. The soluble characteristics of the clay in southwest Arkansas caused the increased dissolved solids. Hence, the ponds were subsequently HDPE lined to mitigate this problem.
POWER August 2013

36

www.powermag.com

PLANT OF THE YEAR


Well-Planned Plant Operations
AEP and CB&I staff were responsible for initial checkout, but AEP plant staff were responsible for initial operation of the plant during startup and commissioning. This approach is somewhat different than other recent power projects that are similar in scope and scale. Usually, suppliers use their startup engineers at the control panels during initial operation, with plant operations getting onthe-job training. As a result of its approach, Turk Plant had a better-trained staff with a much higher level of ownership in the final product. The plant staffing chart shows approximately 110 employees are required to operate and maintain the Turk Plant, and most of the staff were newly hired. However, newly hired doesnt mean the staff wasnt well prepared to operate the plant. A high-definition training simulator was purchased, and all new staff were thoroughly trained in the unique operating requirements of a supercritical Benson boiler before system checkout and startup began. SWEPCO also began training a new generation of plant operators several years before construction began. In February 2008, SWEPCO made a $1 million donation to the University of Arkansas Community College at Hope to fund scholarships for technical and industrial programs (although the scholarships were made available to students attending several Arkansas community colleges) for workforce development in southwest Arkansas, where the Turk Plant is located. The programs of study included welding technology, industrial maintenance, industrial electricity, and the like. This gift is so important in providing access to necessary training and education that citizens in Hempstead County and surrounding areas need as community supporters of the Turk Power Plant project, said SWEPCOs McCellon-Allen. Many of the new employees at the Turk Plant were graduates of these programs. The plant was completed with an exemplary safety record. More than 12.7 million man-hours have been expended on the project to date, with an OSHA recordable rate of 0.65. The safety performance for 2012 was even better: 2.9 million hours worked with only a 0.33 recordable rate. Unit availability since startup has been exceptional for a brand new plant based on unfamiliar USC technology. Data for the first quarter of 2013 reveals an equivalent availability factor of 78.3% with a net capacity factor of 69%. Control room data shows a heat rate as low as 8,700 Btu/kWh. This equates to an excellent 39.2% net thermal efficiency, which is extraordinary considering the plant burns PRB coal. The final measure of any plant goes beyond bare operating statistics. The Turk Plant should also be viewed as one of the power industrys premier success stories. We also remain hopeful that the use of USC technology will not end with the operation of this single plant. The Edison Electric Institute (EEI) agrees. It announced on June 10 that the Turk Plant was its selection for the 2013 Edison Award. EEI President Tom Kuhn noted, The completion of the John W. Turk, Jr. Power Plant represents the technological advancement that will enable the next generation of power plants to use coal with exceptionally high efficiency while producing extremely low emissions. We agree with Kuhns assessment. Congratulations to the Turk Plant project team and operating staff that was responsible for this award-winning project.

Dr. Robert Peltier, PE is POWERs editorin-chief.

CONGRATULATIONS, AMERICAN ELECTRIC POWER!


We are proud to be a part of the John W. Turk, Jr. ultra supercritical plant, winner of POWER magazine's 2013 Plant of the Year Award.

Custom Fan Designs Dampers & Expansions Joints Fan Efficiency Upgrades Field Service & 24/7 Emergency Repair Fuel & Ash Handling

www.processbarron.com (888) 663-2028

CIRCLE 18 ON READER SERVICE CARD August 2013 POWER

www.powermag.com

37

2013 MARMADUKE AWARD

Contact Energy Ltd.s Te Mihi Power Station Harnesses Sustainable Geothermal Energy

Courtesy: MSP JV

Te Mihi Power Station is a two-unit 166-MW geothermal plant currently undergoing commissioning on New Zealands North Island. It replaces the Wairakei Power Station constructed in 1958but with a much smaller environmental footprint. The double flash technology selected produces ~25% more power from the same amount of geothermal fluid that is currently used at Wairakei. For its continuing commitment to renewable geothermal energy, Contact Energy Ltd.s Te Mihi Power Station is the winner of POWERs 2013 Marmaduke Award for excellence in power plant problemsolving. The award is named for Marmaduke Surfaceblow, the fictional marine engineer and plant troubleshooter par excellence.
By Dr. Robert Peltier, PE

ontact Energy Ltd. (Contact) is one of New Zealands leading developers of sustainable power generation systems, with a diverse portfolio of geothermal, natural gas, wind, and hydroelectric assets. In terms of revenue, Contact is one of five large New Zealand power companies. Contact owns and operates 10 plants located throughout the country, producing ~25% of New Zealands electricity demand. Four of its facilities are geothermal plants located in the Central North Island. In early 2007, Contact announced plans to invest up to $1 billion in the construction of new geothermal plants in the Taupo region, located near the center of the North Island. (All amounts in US$; US$1 = NZ$1.28 at press time.) The latest addition to Contacts renewable portfolio is the two-unit 166-MW
38

(159-MW net) Te Mihi Power Station (Te Mihi). Contact CEO Dennis Barnes says its investment in Te Mihi reflects the companys view that geothermal is New Zealands most cost-effective new baseload generation. Barnes identified the importance of Te Mihi to ratepayers when he said, The additional 114 megawatts is expected to be required by the market by 2013 as economic growth resumes and will also contribute to lowering Contacts average cost of generation. The total cost of Te Mihi is estimated to be close to $623 million. A second project at Tauhara is in the development pipeline, with other projects seeking permits or in the reservoir exploration phase. To develop Te Mihi, Contact engaged the McConnell Dowell Constructors Ltd., SNCwww.powermag.com

Lavalin, and Parsons Brinckerhoff New Zealand joint venture (MSP JV) to build Te Mihi. The engineering, procurement, and construction (EPC) contract was signed with MSP JV in February 2011 for two 83-MW geothermal power units to be constructed 5 kilometers (km) from the existing Wairakei geothermal power station.

Long-Term Investment
Taupo is the center of volcanic and geothermal activity on the North Island (Taupo Volcanic Zone), and Lake Taupo is a popular tourist destination. Taupo is also the region where geothermal energy has been the principal source of electricity generation for the North Island since the 1950s. Today, geothermal energy satisfies almost 15% of the entire countrys electricity needs. All of the counPOWER August 2013

2013 MARMADUKE AWARD


trys geothermal plants are located on the North Island. Hydroelectric power supplies about 98% of total South Island demand. A single HVDC Inter-Island transmission line with a capacity of 1,200 MW (by the end of 2013) interconnects the two islands. The oldest geothermal plant in the Taupo region is the 66-MW Wairakei A Power Station, constructed in 1958, the first of its type in the world to use wet steam in a single flash process to produce electricity. The plants single flash system has reliably served residents, but increasing maintenance costs and emerging environmental issues have shown the plant was nearing the end of its useful life. However, the Wairakei steam field is predicted to be able to supply steam for electricity generation for many more decades. Wairakei uses once-through river cooling of its condensers and discharges steam condensate into the Waikato River, which flows down from Lake Taupo. At present, the Wairakei power station uses a cooling system that relies on drawing water from the Waikato River, mixing it with steam condensate that has been used to power the turbines, and then discharging that stream of cooling water back to the river. The result has been warmer water and the deposit of geothermal trace elements in the river water. Conversion from once-through cooling to an evaporative system plus treatment for trace elements in the water discharge was not a economical solution, so development of Te Mihi was hastened. A newly built bioreactor now removes hydrogen sulfide from Wairakeis cooling water before it is returned to the river. Te Mihi is a staged replacement of the existing 157-MW Wairakei A and B power stations, although the 16-MW binary system added in 2005 that uses hot separated geothermal fluid will continue to operate. The net increase from the combined Te Mihi and binary portion of the Wairakei station is 114 MW of firm baseload capacity (Figure 1).

1. Global leader. Geothermal energy has produced electricity for New Zealand for more
than 50 years. The 166-MW Te Mihi Power Station, developed by Contact Energy, is the latest addition to its renewable energy portfolio. The piping to the far right carries the low-pressure steam and intermediate-pressure geothermal water that is flashed to steam in a low-pressure flash system and sent to each of the two steam turbines, located in the main turbine hall (large blue building). To the left of the turbine hall are the two transformer bays and three power distribution center buildings. On the far left is the administration building and adjoining workshops. The site has the added bonus of ready access to the 220 kV electricity transmission grid. Courtesy: MSP JV

reinjection fluid) is farm spray irrigation, though this option is not currently utilized. Steam for the Te Mihi Power Station is drawn from geothermal fluid in the Wairakei geothermal field from two production areas (Figure 2):

Managing the Resource


The geothermal resource used to produce the motive steam originates with the Wairakei-Tauhara geothermal system, which contains pressurized water at a temperature of ~250C (482F) at a depth of about 2.5 km. The geothermal fluid production begins with rainwater that percolates through the volcanic rock until it is heated and pressurized by volcanic activity deep underground. After producing electricity at Te Mihi, the warm geothermal fluid is conserved by reinjection back into the Wairakei-Tauhara geothermal reservoir. Another disposal option available to Te Mihi for the clean condensate (~10% of the
August 2013 POWER

Western Borefield. About 40% of Wairakei Power Stations steam currently comes from the Western Borefield. It consists of about 30 wells drilled to a depth of about 600 m characterized by the production of a two-phase fluid (steam/water mixture). Te Mihi Borefield. Approximately 60% of Wairakei Power Station steam currently comes from the Te Mihi area, located about 5 km west of the existing Wairakei Power Station. This borefield produces dry steam from a shallow (300 m to 400 m) high-pressure (10 bar) steam zone, and two-phase fluid from a large reservoir of hot water below this at a depth of close to 2,500 m. The Te Mihi Borefield also provides steam for the Poihipi Road Station, another geothermal plant in the area.

to provide steam for Wairakei and Te Mihi Power Stations for the long term. Of key importance to the plant design is that the Te Mihi plant site is at higher elevation (relative to the existing Wairakei Power Station) because this reduces the fluid pumping requirements for the disposal of separated hot water and condensate to the injection wells. At the same time, the plant site is below the intermediate pressure (IP) separation plant elevation, thereby allowing gravity feed of LP geothermal water to the low-pressure (LP) flash vessels at the station.

Flash Steam Process


The advanced double flash technology used on the Te Mihi project produces ~20% to 25% more electricity than the same amount of geothermal fluid consumed by Wairakei. In addition, the plant design uses an evaporative cooling system and eliminates the condensate discharges to the Waikato River, thereby reducing the plants environmental footprint in the region. The design of the dual flash system uses steam released from the geothermal brine at two pressure levels. As the high-pressure liquid found at depth rises to the surface, the pressure decreases and the water flashes into a two-phase (80% water and 20% steam) mixture. At centralized separators, geothermal fluid is separated into IP steam
39

The new Te Mihi Borefield is closer to the Te Mihi plant to minimize steam transmission losses. It is also the deeper liquid resource that will continue to be developed
www.powermag.com

2013 MARMADUKE AWARD


2. Drilling for energy. The Te Mihi Power Station is powered by high-pressure, high-temperature geothermal fluid that is brought to the surface through a series of wells that are up to 2.5-km deep. The fluid flashes to steam as it rises in the well. The piping carries the two-phase fluid to the plant for separation. Courtesy: MSP JV

3. Separate the steam. The two-phase mixture is separated into steam and water. The
intermediate-pressure geothermal water is flashed a second time to produce low-pressure steam. The Unit 1 IP and LP steam scrubbers are shown. Courtesy: MSP JV

ing March 2011 earthquake and tsunami in Japan, Toshiba met its initial delivery commitments to the project. The double flash technology provides steam at two different pressure levels for introduction into a dual-admission steam turbine. The IP and LP steam is expanded through the steam turbine to drive the generator. The exhaust steam is condensed using evaporative cooling towers. The liquids (~100F) collected by the SGW systems are recycled by reinjection back into the geothermal reservoir. Unique to geothermal plants, some noncondensable gases (NCGs, such as CO2 and H2S) are dissolved in the geothermal water and remain in the steam. The NCGs are removed from the condensers by gas extractors and discharged to the atmosphere. The power station facility also incorporates emergency steam vents to ensure that the steam pipelines are not overpressurized, which could cause problems with downstream generating equipment, such as the steam turbines and other vessels. These vents, arranged on the incoming IP and LP steam mains and a common LP vent adjacent to the LP flash vessel, incorporate automatic vent valve control systems and steam vent silencers. Te Mihi is designed to be operated remotely from Wairakeim, but it does incorporate a small control room and staff facilities for on-site operation and maintenance. Roving operators visit Te Mihi regularly to check the status of equipment and perform on-site chemistry testing.

Shaky Start, Strong Finish


Contacts Te Mihi power station has negotiated many twists and turns on its route to completion, starting with the rigorous consenting process. As the power station site was classed as rural, particular importance was attached to the effect of noise, visual impact, and traffic management during construction and operation. Stringent noise level limits were applied and extensive mitigation measures were put in place to achieve a compliant design. The sites visual impact was lessened by restricting building heights, carefully selected main structure colors, and with plantings. The traditional consent application in New Zealand, via a district or regional council, can be a lengthy process. Given the projects significance for the New Zealand economy, Contact expedited the process by applying to the minister for the environment to designate the project as a project of national importnace, allowing him to exercise his right to call in the consent application. This meant that a Board of Inquiry selected by the minisPOWER August 2013

and brine by the separated geothermal water (SGW) system. Both are piped to the power station, where the separated brine is flashed in the low-pressure SGW system to generate LP steam, which is injected into the steam turbine (Figure 3). (See the online version of this story for a link to a process drawing.) The Te Mihi Project inked a technology
40

agreement that represents the re-emergence of Toshiba as a steam turbine technology provider for flash-type geothermal projects. Toshiba Corp., through its Australian subsidiary, Toshiba International Corp. Pty. Ltd., supplied two sets of 83-MWclass geothermal turbines, generators, and condensers, plus support services to the project. Despite the impact of the devastatwww.powermag.com

2013 MARMADUKE AWARD


4. Acid dosing system. A unique feature of Te Mihi is its novel acidifying of the reinjection
brine. The caustic LP separated geothermal water is well-known for its propensity to scale reinjection pipes, wells, and other equipment, causing lengthy plant shutdowns for repairs and clean-out. By acidifying the fluid, that system reliability problem was eliminated. Courtesy: MSP JV

ter rather than a local council would consider the application. Following a prompt Board of Inquiry process, consents were granted in 2008. Te Mihi was the first major power project that used the call-in process that is part of the Resource Management Act to expedite important projects. Once consented, the development phase of the Te Mihi project encountered a number of challenges. For example, the global financial crisis led to a decision to defer the project by a year. During this hiatus, Contact completed additional work to refine the scope prior to further competitive bidding. The final EPC procurement process restarted in 2010 and, on Feb. 22, 2011, an EPC contract was signed with MSP JVon the same day that the devastating Christchurch earthquake rattled the South Island. The MSP JV readjusted work schedules and resources to regain project design and construction schedule losses incurred due to the earthquake. The construction team mobilized on site in January 2011, and the design office was established in Auckland. Earth works commenced in April 2011 by carving an access road and a flat construction platform out of rolling farm land

INVITING TALENTED INDIVIDUALS


Become a member of Samsung C&T, a proud Power & Energy EPC company of Samsung Group
- Join our global network, share our opportunities, and discover your possibilities - To apply and all inquires, please contact us recruit.secc@samsung.com Visit www.secc.co.kr for more information about Samsung C&T

Burj Khalifa

828m

Incheon Bridge

21.27km

Qurayyah IPP
Saudi Arabia

4000MW

United Arab Emirates

Republic of Korea

CIRCLE 19 ON READER SERVICE CARD

August 2013 POWER

www.powermag.com

41

2013 MARMADUKE AWARD


5. The team. More than 2,500 staff members total have worked on site during the past two
years, with numbers peaking at around 550. Courtesy: MSP JV

bounded with faults and sink holes, and implementing erosion and sediment controls. Some 500,000 m3 of earthworks was eventually completed. Piles were installed beginning in August 2011, followed by the start of installing 4,000 tonnes of structural steel during the period of March through October 2012. Mechanical and piping work began in January 2012, followed by electrical work in August 2012.

As this article was being prepared (early July 2013), commissioning work on both units was in full swing and will likely be completed by the time you are reading this article. Performance testing for both units is the next project milestone, followed by a one-month reliability run prior to commercial operation. From its inception, Te Mihi incorporated

environmental stewardship into every phase of the project. As an example, the Te Mihi design increased the number of reinjection wells added to the Wairakei steam field so that all geothermal fluid can be reinjected back into the ground rather than being discharged into the Waikato River. Very accurate pH control is essential for successfully reinjecting the separated geothermal water. Working with Contact Energy and key suppliers, the MSP JV has designed and built a unique acid injection system on a scale that has never been achieved with any prior geothermal project (Figure 4). Geothermal energy is as renewable as that derived from the sun and wind, except that it has the added benefit of providing base-load power generation. On the North Island of New Zealand, geothermal energy has served customers for over 50 years. Te Mihi, built in the same tradition, will undoubtedly continue that tradition for another half-century. From the staff of POWER, congratulations to Contact Energy and the MSP Joint Venture for a job well done (Figure 5).

Dr. Robert Peltier, PE is POWERs editor-in-chief.

Rigorously tested for over 60 years for exceptional performance Resistant to harsh chemicals, high temperatures, and high pressures Long service life Globally available

CIRCLE 20 ON READER SERVICE CARD

42

www.powermag.com

POWER August 2013

CIRCLE 21 ON READER SERVICE CARD

SMART GRID AWARD

EPB Chattanooga Uses Smart Grid to Future-Proof Its Business Model

Courtesy: EPB

A municipal utility in the South may not be where youd expect to find an exemplary smart grid implementation, but thats just fine with EPB Chattanooga. Its leaders are raking in the kudosincluding POWERs 2013 Smart Grid Awardand their community is attracting new businesses in response to a fiber-optic-based system that has helped raise the profile of their city and bolster the sustainability of their utility.
By Gail Reitenbach, PhD

ome utilities look at the process of installing smart grid technologies as a matter of necessary, partial or piecemeal upgrades. They may install smart meters in at least a portion of their service area to cut down on truck rolls, for example. Given the pushback on smart grid technologies that some utilities have faced from small but vocal minorities, and the difficulty others have had with regulators, undertaking smart grid projects can be fraught with controversy and delays. For others, including EPB (formerly Electric Power Board) Chattanooga (EPB), a smart grid project can be the lifeline to a sustainable future. EPB, which does business under the brands EPB Electric Power and EPB Fiber Optics, was chosen as this years POWER Smart Grid Award winner for two main reasons. First, its technology choices, timing, and implementation have returned noteworthy benefits to the utility, its customers, and the community as a
44

whole. Second, and more unusual, its smart grid work has enabled the utility to enter new business sectors that broaden and deepen its customer base, thereby giving it access to new revenue streams. EPB has served the city of Chattanooga, Tennessee, since 1935 and is one of the largest municipal distribution companies in the country, serving 170,000 customers in a 600-square-mile area. As a communityowned utility, it aims to serve the community while providing reliable, low-cost services. Thanks to its smart grid, EPB has been able to deliver on that promise in unusual ways. Most notably, since September 2010, when EPB became the first company in the U.S. to offer 1-gigabit-per-second Internet speed, the high-speed communications it offers have been a distinctive selling point for city business leaders and developers. Of course, the fiber-optic cable enabling this new service was installed first and foremost to commuwww.powermag.com

nicate with smart meters, smart switches, and all other smart grid devices. Low-cost electricity is made possible in part by being a customer of Tennessee Valley Authority (TVA), whose portfolio is roughly 32% coal, 34% nuclear, 9% hydro, and 11% gas, with the balance coming mostly from natural gas combined cycle merchant plants. EPB also has 12 MW of customer-owned renewable generation on its distribution system, which includes a solar farm at an automobile manufacturing plant, one at the Chattanooga Metropolitan Airport, and 68 individual customers with varying levels of solar generation. But the smart grid has also kept costs low, as youll see.

Planning for an Integrated Grid


In April this year, President and CEO Harold DePriest was honored as the Chattanooga Area Chamber of Commerces manager of the year. Helping the midsize Southern city
POWER August 2013

S&C congratulates EPB of Chattanooga on being awarded Power Magazines Smart Grid Project of the Year

John Estey, Executive Chairman, S&C Electric Company, addresses attendees during installation of the last IntelliRupter PulseCloser for EPB of Chattanoogas Smart Grid Project.

2013 S&C Electric Company

766-A1309

CIRCLE 22 ON READER SERVICE CARD

SMART GRID AWARD


beat Google in the race to offer gigabit Internet speed to an entire city (Google has now rolled out such service in parts of Kansas City, Kan.), and the competitive advantage that gave to businesses had to have been a compelling argument for the choice. Competition, it turns out, is something DePriest embraces. He first set his sights on a fiber-optic-based smart grid as a competitive advantage in a potentially deregulated electricity market (though that threat has not yet materialized). Readers of this magazine will be interested to learn that DePriest is an engineer, so of course he was aware of what fiber-optic cable could do. However, installing the fiber isnt always easy, as Xcel Energy learned with its SmartGrid City project in Boulder, Colo., and when DePriest started thinking about using a smart grid as a competitive advantage in the 1990s, the communications technology wasnt yet where it needed to be. So he tapped an EPB employee and former cartographer, Larry Hinds, to figure out when the time was right. And then they waited. For seven years. When the technology, workforce, and price point were all aligned, EPB made the business case, to customers and its board, to build a smart grid and offer communications services to homes and businesses. Practically speaking, it was really doing two things simultaneouslybuilding the smart grid and starting a new businessexplained Danna Bailey, vice president of corporate communications. We had to get approvals for the new business that were not necessary for making the operational improvements that we call smart grid. In our customers minds, smart grid was somewhat of a sidebar to what they were perceiving as an immediate win: superfast Internet and a better option for TV and phone service. In my opinion, it wasnt until we started seeing real benefits in reliability that customers started realizing, Oh yeah, they built that smart grid too. Given the difficulties Xcel encountered in Boulder deploying its smart grid in general and fiber-optic cable in particular, I had to ask how EPB managed to be successful. David Wade responded, We engaged our community early. We spent months speaking with neighborhood associations, civic groups, business leaders, and general community members about our plans. We asked them to let us know and to let our Board and City Council knowif they wanted us to move forward with this plan, or if they didnt want us to. Overwhelmingly, our community responded with support for this initiative. Without that support, the deployment would have likely been much more challenging.
46

Key smart grid components. Because all of the components are integrated, finishing
touches and additional integrations are ongoing. The completion dates here are representative of major milestones met for each feature. Source: EPB Capital cost (including installation) $23 million

Date Sept. 2009

Component milestone Commercial services electronics: able to provide commercial services where fiber was installed Fiber-optic communications network ubiquitously operational SCADA upgrade completed Distribution management system (DMS) Installation of 12 kV and 46 kV distribution automation switches completed

Vendor Alcatel-Lucent

Feb. 2011 Mar. 2012 Sept. 2013 (expected) Apr. 2013 May 2013

Alcatel-Lucent and others OSI

$189 million $5 million

S&C Electric Co. and Schweitzer

$52 million $25.4 million

Majority of meters installed and 95% read- Tantalus ing/billing using advanced metering infrastructure (AMI) Smart grid management system (SGMS) software: meter reading/billing operational Demand reduction management system integration with DMS, SGMS

Oct. 2013 (expected) Oct. 2013 (expected)

Alcatel-Lucent/Bell $8 million Labs OATI $2.9 million $4.9 million

Distribution equipment for voltage manage- Siemens, Schweitzer, ment and others

We were able to show customers immediate benefits to the system being in placeboth in terms of offering an advanced alternative to traditional cable and phonebased communications products and also in terms of showing immediate reduction in outage duration. From a corporate culture standpoint, while we had been implementing smallerscale improvements for years, it was important that the majority of our people were aligned philosophically before we began the massive project. Incredible successes happen when everyone is working on projects that complement one anothersome small in scale and some massive in scale. As for the timing of smart grid component rollouts, EPB built its smart grid to realize the benefits of the whole, rather than individual parts (see table). This philosophy is relevant in terms of the nonlinear nature of our buildout (many initiatives were happening simultaneously) and also in terms of payback, Wade explained. When we look at payback, we dont think of it in terms of individual component payback, but in terms of the whole system. All of the components work together, and integrations and new tools continue to be in development. Some examples include the Smart Grid Management System. It was operational in terms of capturing usage and voltage reads in October 2012. However, in upcoming releases (the next one is scheduled for October 2013), Wade
www.powermag.com

noted, more functionality will be added, including outage reporting, full integration with polyphase meters, the ability to identify usage anomalies for customers, theft detection, integration with demand response and distributed resources functions enabled by the Open Access Technology International (OATI) webDistribute platform, remote connect/disconnect functionality, and more.

The Financing Path


Initially, EPB planned to deploy its smart grid over a 10-year time frame, reaching 80% of the most densely populated area first and gradually expanding to cover the more rural areas of the system. With that plan in mind, EPB, as an agency of the City of Chattanooga, issued $169 million in municipal bonds in 2008 and began construction. Additionally, it sought and gained approval from TVA, the regulator, and the Tennessee State Comptroller for approval and review of the fiber-optic business plan. In 2009, EPB applied for, and was awarded, a $111 million matching grant through the U.S. Department of Energy as part of the American Reinvestment and Recovery Act. That grant, while not changing the strategy, did expedite it.

Impressive Results
As a municipal utility, EPB measures the value of its smart grid in terms of what it provides for the community along three main
POWER August 2013

SMART GRID AWARD


1. Outage mitigation. The direct savings in customer outage minutes since EPB began
integrating smart grid technologies on its distribution system are dramatic. Data for 2013 are through March 31. Source: EPB 45 42,054,788 40 35

utes gained because the crews can go straight to Tier 3 work, explained Manager of Smart Grid Development Jim Glass.
Improvements in Operational Efficiency. Even at this early stage of implementa-

30 25 20 15 10 5 0 4,435,120 2011 2012 Includes direct savings only 2013 7,667,509

metrics: reduction in outage duration and other direct benefits to electric power customers, improvements in utility operational efficiency, and availability of next-generation communications services. Reduction in Outage Duration. A University of California, Berkeley study indicates that power outages account for roughly $80 billion annually in total losses to communities across the U.S. Based on that calculation, EPB estimates that community losses in its service area are roughly $105 million annually. But it is seeing outage reductions of 50% and higher thanks to its smart grid work, which means the community avoids $50 million or more each year in lost productivity, lost product, and lost sales. The system continues to outperform the utilitys 40% improvement goal. Here are some recent results of direct customer impacts of storm events:

Another 15 seconds later, automation restores power to another 800 homes and businesses. Three minutes later, a dispatcher remotely opens and closes switches, restoring power to 289 more homes and businesses. Two minutes and 43 seconds later, a dispatcher remotely operates the final switches to restore power to the remaining customers.

Within 6 minutes, more than 11,000 homes and businesses were restoredan effort that would have taken about 4 hours before Chattanoogas smart grid. As Figure 1 shows, EPB avoided over 50 million customer outage minutes from July 2012 through March 2013. But Figure 1 only represents direct savings. Consider a traditional multi-day outage restoration scenario for a significant storm, which generally has three ordered tiers of work: 1. Identifying areas of damage. 2. Switching around damage. 3. Making repairs to damage. In a traditional multi-day storm restoration scenario, utilities may spend the first 20 hours on Tiers 1 and 2sending crews to manually look for damage and to manually open/close switches to energize customers around the damage. These are the steps that have been largely replaced with automated switching. Next, crews begin work on the areas with damage. We refer to direct savings in customer minutes of interruption (CMI) as the minutes saved specifically and directly by the quick identification of damage and automated switching. Just as important and significant are indirect CMI savings: the minwww.powermag.com

tion, were seeing efficiencies in operations that amount to roughly $10.5 million per year, said Assistant Vice President of Electric System Ryan Keel. Examples include meter-related trip costs, demand reduction, asset management, and reduction in storm restoration cost. When the average person thinks about the smart grid, the first thing that comes to mind is a meter that enables bidirectional communication. That capability has helped EBP provide improved customer service. For example, it is common for customers to report an outage that a field crew later finds to be a tripped breaker box. Intelligence at the meter can allow EPB staff to troubleshoot that call remotely instead of sending out a lineman in a truck to repair a perceived problem. Now that our software can see whats happening at the meter, we know that roughly 10% of our outage calls are not outages at all and can be resolved with the customer quickly and remotely, said Keel. But network intelligence is where EPB has realized even greater gains. Reliability has been significantly enhanced by its 1,170 S & C Electric Co. IntelliRupter PulseClosers (pictured in the photo at the top of this story), which have enabled dramatic outage duration reductions, which in turn led to EPB winning Greentech Medias best-in-class award for distribution automation two years in a row. Where we used to have intelligence on each end of a multi-mile feeder, we now have intelligence (smart switches) every 3,300 feet, Glass noted. The time saved by only having to search 3,300 feet for damage (versus up to 36 miles) represents very real, though indirect, savings in CMI.
Next-Generation Communications Services. Though the smart grid commu-

Millions of minutes

July 5, 2012: 55% improvement, 42,000 fewer customers affected Jan. 14, 2013: 100% improvement, 11,258 fewer customers affected Jan. 17, 2013: 70% improvement, 8,056 fewer customers affected

The story of the Jan. 14 eventwhen, at 6:51 p.m., a tree fell on a high-voltage 46 kV power line just outside of the Pine Ridge Substationis becoming legendary. Heres the timeline:

The fallen tree causes a fault serving three 12 kV distribution substations and knocks out power to 11,258 homes and businesses. A mere 28 seconds later, the automation system restores service to 10,000 homes and businesses.

nications backbone, which EPB Electric Power owns, was installed first to shorten power outages for customers and improve operational efficiencies for the utility, that fiber-optic asset can also be used as a revenue stream and is leased by the EPB Fiber Optics brand to offer next-generation communications services for a monthly subscription. The company currently has almost 50,000 homes and businesses connected to an Internet speed of at least 50 Mbps thats 10 times the national average, according to Bailey, and the largest concentration of existing connections that fast anywhere in the country. Customers do not have to put down a deposit and do not have to commit
47

August 2013 POWER

SMART GRID AWARD


in advance in order for the service to come to their neighborhood because it is available throughout the service territory. Most customers are connected at the beginning speed of 50 Mbps (available a la carte for $57.99/ month); other residential and business customers subscribe at 100 Mbps, 250 Mbps, and 1 Gbps speeds. Net Benefits. The fiber network that enables fast Internet plus high-quality TV and phone service has paid $57 million to the electric utility so far in allocations and access fees. That is the equivalent of a 4% rate increase for EPB Electric Power customers (both business and residential) that did not have to happen, Bailey noted. Every residential customer in EPBs service territory, regardless of whether they subscribe to EPB Fiber Optics services, has realized savings of roughly $330 in their electric rates since 2009. Based on a conservative estimate, the EPB Fiber Optics brand will pay the EPB Electric Power brand an average of $24.1 million per year going forward, Bailey said. Reductions in outage duration, improved operational efficiencies, and revenue from the sale of communications services result in an average annualfeb payback to the electric utilabt. power 13:Layout 1 5/31/13 ity and the Chattanooga area community of $84.6 million. Whats more, EPB has had companies say they relocated to Chattanooga in part because of its smart grid efforts and reliability. Clearly, EPBs smart grid has been a boon for customers, the community, and the utility. installation teams on customer service, behavior inside a customers premise, attire, cleaning up after themselves, etc. It was well worth the effort, as we now hear more customer praise about our installer teams than anyone else in the company. The ability to provide new information and more of it was expected, but the benefits of that information sometimes are unexpected. Keel shared the example of a call from an angry industrial customer whose equipment had tripped, shutting down production. In the past, we would have had to install monitoring equipment to watch for another anomaly before we could determine the problem. Today, our 1,200 smart switches capture waveforms. We were able to pull the waveform data and show this industrial customer that their equipment was reacting to a dip in voltage for one cycle that resulted from a fault on a 161 kV loop several miles and voltage levels away from the site. Appreciative of the quickly available data, the customer reconfigured the equipment to a less-sensitive setting, reducing the probability of another similar incident. In 2012, EPB began offering online energy monitoring options for large industrial customers, and in 2013 it began offering online viewing of interval meter data to residential and business customers, an updated demand response program for commercial/industrial customers and time-of-use rates. As EPB partners with Bell Labs, it is looking for even more ways to leverage its data for customer advantage, including:

Forging New Customer Relationships with a New Business Model


The smart grid deployment and new fiberoptic communications offerings have affected customer relationships in several ways, from the obvious to things we didnt even consider while we were planning the project, Wade noted. EPB has not only had to learn how to build and operate an entirely new system but also learn how to be a sales and marketing organization in addition to our traditional role as a technology and service organization, he said. Another big shift that EPB planned for was transitioning from a business in which all of the work takes place outside of the customers home or business to an environment where we would be spending several hours inside customers homes and businesses to set up their communications services. were1 vigilant in training our 3:56 PM We Page

Structural Bolting 102:

Torque is twist. Tension is tight.


Squirter DTIs

confirms bolt tension!

USAs only Quenched and Tempered DTIs

Improving voltage delivery to customers. Being able to inform customers that their usage is outside of normal (for example, if a heat pump fails), thereby saving the community from costs associated with unnecessary usage. (EPB estimates it will be able to help customers save 20 million to 30 million kWh annually.) Providing customers with a predictive look at future usage, so that they can plan to do something about it (if they choose), versus looking at historical usage that is too late to change. Aiming to improve on the current average 50% reduction in outage duration by using data to eliminate the other 50%, such as with predictive analysis on pending failures.

the best way to bolt!


1 800 552 1999
T R A I N I N G F I E L D

info@appliedbolting.com www.appliedbolting.com
S U P P O R T T E C H N I C A L E X P E R T I S E

Congratulations to everyone at EPB Chattanooga for demonstrating that it is possible to engineer a smart grid program that delivers both technology and economic benefits to customers, communities, and utilities.

CIRCLE 23 ON READER SERVICE CARD 48 www.powermag.com

Gail Reitenbach, PhD is POWERs managing editor.


POWER August 2013

we treat Every Project Like its

Project of the Year

Vogt Power International


From design to manufacturing and from supply of Heat Recovery Steam Generators (HRSGs) to aftermarket related services, Vogt Power International treats every project with award-winning care and focus. We are recognized throughout the world as an industry leader with a foundation of engineering excellence and expertise for HRSGs. Our longevity speaks volumes on the quality of our products and services. For more than 50 years weve stood solidly on excellence, tradition, and history. At the same time, weve grown our businessand our ability to serve our customerswith knowledge, technology, and a fearless readiness for the opportunities of tomorrow.
LET US PUT THAT EXPERTISE TO WORK FOR YOU. VISIT BABCOCKPOWER.COM OR CALL (502) 899-4500
CIRCLE 24 ON READER SERVICE CARD

PLANT DESIGN

Repowering South Mississippi Electric Power Associations J.T. Dudley, Sr. Generation Complex
Repowering two units at the J.T. Dudley, Sr. Generation Complex added 180 MW of high-efficiency capacity to South Mississippi Electrics portfolio. Now the cooperative can self-produce more than 50% of its electricity needs.
By Joseph W. Mashek and Benjamin L. Frerichs, Burns & McDonnell and Chris K. Rhodes, South Mississippi Electric Power Association

he J.T. Dudley, Sr. Generation Complex, owned and operated by South Mississippi Electric (SME), is located in Jones County, Miss. Originally installed in 1968 at what was then called the Moselle Generating Station were Units 1, 2, and 3, nearly identical 60-MW conventional steam plants. Units 4 and 5, General Electric (GE) 7EA simple cycle combustion turbines, were added in 1997 and 2005, respectively. Today, the complex consists of five units capable of generating more than 500 MW. The additional capacity will pay long-term dividends to SMEs customers in the form of increased system reliability and more control over its production costs. The cooperative forecasts that as of 2013 it can self-generate 51% of its power needs; it purchases bulk power for the remainder. The repowering project converted Units

1 and 2 into two, independent 1 x 1 combined cycle units. Both original gas-fired boilers were retired in place and the steam source for each unit was replaced with a new GE 7EA combustion turbine (CT) and a Vogt Power International (VPI) heat recovery steam generator (HRSG). The new power block is located approximately 400 feet from the existing powerhouse, with piping and cable tray routed along a three-level pipe rack between the HRSGs and powerhouse (Figure 1). Construction began in August 2010. The commercial operation date (COD) for Unit 2 and Unit 1 combustion turbines in simple cycle operation was November and December 2011, respectively. The COD dates for Unit 2 and Unit 1 in combined cycle operation were May and November 2012, respectively. Burns & McDonnell provided consult-

ing, detailed design, procurement, construction management, and startup services. SME designed, procured, and installed the CT generator step-up transformer and interconnection power line, as well as the existing plant switchyard expansion. A multi-phase and multi-contract approach was used on the remainder of the project. Beginning in August 2010, James Construction Group kicked off construction with site civil work and foundations, plus electrical and mechanical underground construction. Next, PCL Constructors followed in December 2010 with the combustion turbine and simple cycle portion of the construction project. The Saxon Group handled the final two major construction contracts: electrical and HRSG erection plus the combined cycle balance of plant, beginning work in January 2011 (Figure 2).

1. Plant overview. SMEs J.T. Dudley, Sr. Generation Complex repowered two of its three conventional steam plants built in the late 1960s
(far right) using two GE Frame 7EA combustion turbines (left) and two heat recovery steam generators (HRSGs, center). The steam produced by the HRSGs is moved across a pipe bridge to the existing steam turbines. Courtesy: Burns & McDonnell

50

www.powermag.com

POWER August 2013

WE BOTH HAVE A REPUTATION TO UPHOLD. YOURS.


INTRODUCING THE CAT C175-20, THE WORLDS FIRST 4 MW HIGH-SPEED GENERATOR SET. The Cat team shares your focus on protecting your customers and your good name. Youll have a total power solution that delivers the 100 percent uptime data centers require, with easy installation and the lowest total cost of ownership. See why the worlds largest search engines, social media sites and software companies rely on Cat power systems. We keep the power on, so you can keep your mind on getting things done. www.catelectricpowerinfo.com/POWER

CAT, CATERPILLAR, their respective logos, Caterpillar Yellow, the Power Edge trade dress, as well as corporate and product identity used herein, are trademarks of Caterpillar and may not be used without permission. 2013 Caterpillar. All Rights Reserved.

CIRCLE 25 ON READER SERVICE CARD

PLANT DESIGN
2. Refurbish instead of rebuild. The existing three conventional units are shown
in the background (outdoor boilers with a single steam turbine building located behind the boilers) with the two existing 7EA simple cycle combustion turbines (CTs) to the right of the existing units. The new 7EA CTs are visible in the foreground. Between the new CTs and the three existing boilers are the two HRSGs being assembled. Each 7EA-HRSG combination supplies steam to a single, existing steam turbine. The HRSGs are Vogt Power Internationals Enhanced Constructability Smart design. The design incorporates pressure parts, pressure part support steel, interconnecting piping, casing, and structural steel into only six shop-fabricated module boxes per HRSG, significantly reducing erection labor expense. The photo was taken during construction in October 2011. Courtesy: Burns & McDonnell

3. New power block. One of the two new gas-fired GE 7EA combustion turbines is shown. The ductwork located on top of the CT is the air inlet system that includes an evaporative cooler. The upper left shows the CT bypass stack during erection with a small portion of the new HRSG shown at the upper left edge of the photograph. A bypass damper is located at the base of the bypass stack, which may be closed to direct CT exhaust gas through the bypass stack or opened to allow the gas to continue to the HRSG. Courtesy: Burns & McDonnell

Design Characteristics
The engineering and design of the repowering project was performed with two goals in mind: increased operational flexibility and reuse of existing equipment, where feasible, to minimize project cost. Reused equipment included the steam turbine, boiler feed pumps, condensate pumps, condenser, cool52

ing towers, deaerator, plant air system, and flash evaporator. Details about the major components and equipment used on the repowering project follow. Combustion Turbines. The two new natural gasfired GE 7EA CTs are equipped with dry low-NOx technology (DLN1) and each is rated at ~85 MW. Each CT is also
www.powermag.com

equipped with evaporative cooling technology, which increases summer capacity by ~8 MW. At full load, the combustion turbines will provide a flow of 2,225,000 pounds per hour of exhaust gas at 1,022F to each HRSG (Figure 3). Heat Recovery Steam Generators. The VPI HRSGs are two-pressure, non-reheat, natural circulation drum type with horizontal gas flow and duct firing. A two-pressure nonreheat HRSG economically maximizes the combined cycle efficiency of the repowered 1960s technology non-reheat steam turbines. Given the steam turbine flow limits and the cost of a new steam turbine, an HRSG with more than two pressure levels was not cost justified. Coen Co. Inc. supplied the duct burner system that is located after the finishing highpressure (HP) superheater section within the casing of the HRSG. The system includes pressure-reducing and flow measurement stations, burner runners mounted horizontally across the HRSG duct, a burner management system, and a cooling air blower skid for flame scanners. Duct-firing the HRSG can increase the HP superheater outlet flow rate up to 60%, thus adding the ability to quickly respond to load fluctuations. In addition to the CTs DLN1 system, a selective catalytic reduction (SCR) system is located downstream of the HP evaporator to further reduce NOx emissions. A 19% aqueous ammonia reducing agent is injected onto the catalyst as part of the NOx reduction process. In sum, the system is capable of reducing NOx emissions by 98%. A space allocation was provided upstream of the SCR to accommodate a future CO catalyst. To maximize HRSG heat recovery, a condensate preheater is provided just upstream of the HRSG exhaust stack, which heats condensate to near saturation temperature prior to entering the existing deaerator. A recirculation system is used to maintain a minimum condensate inlet temperature to the HRSG to prevent external condensation and corrosion on preheater tubes. The system has two 100% recirculation pumps that take hot condensate exiting the preheater and mixes it with cold condensate entering to maintain a minimum inlet temperature of 140F (Figure 4). Stack Bypass System. The stack bypass system adds operating flexibility by allowing each CT to operate independently of the HRSG, such as during a steam turbine outage or trip. However, the number of hours each year the bypass may be used is limited by the plants operating permit. The combustion gas bypass system also allowed SME to generate power in simple cycle mode during construction of the combined cycle portion of the project. For additional safety, a blanking
POWER August 2013

PLANT DESIGN
4. Maximize steam production. The HRSG produces ~300,000 lb/hr of high-pressure
(HP) steam at 950F/780 psig and ~55,000 lb/hr of low-pressure (LP) steam at 520F/74 psig when the CT is operating at baseload at average ambient conditions, with no duct firing. The steam production can be peaked by duct firing the HRSG. Under maximum duct-firing conditions, the HP and LP superheater outlet flow rates are approximately 490,000 lb/hr at 950F/1,280 psig and 45,000 lb/hr at 590F/100 psig, respectively. The maximum heat input to each duct burner is 240 MMBtu/hr. Courtesy: Burns & McDonnell

plate was installed on the diverter outlet to the HRSG, allowing construction to progress while operating the combustion turbines. WhalcoMetroflex supplied the gas flow diverter damper, Merrill Iron & Steel supplied the bypass stack, and Higgot Kane, a division of ATCO Noise Management, supplied the bypass stack silencer. The gas flow diverter uses a toggle-driven single blade within an internally insulated cube. The single blade directs combustion turbine exhaust flow by isolating either the bypass stack inlet or HRSG inlet. The blade offers 99.97% sealing efficiency by mating with a double seal boundary that uses pressurized seal air to eliminate exhaust gas leakage. The blade completes a cycle in only 90 seconds and can close to bypass position in 60 seconds in an emergency. The gas flow diverter damper allows online switching from combined cycle to simple cycle mode but does not allow switching from simple cycle to combined cycle. Steam Turbine Refurbishment. GE originally furnished the Unit 1 and 2 steam turbines in 1968. Each is a 17-stage straight condensing unit rated at 60 MW. Each was designed to pass 503,000 lb/hr of steam at in-

Before: worn throatbush

Silicon Carbide Polymer (SiCP) repair is now available at the Cartersville, Georgia Total Care Center We can bring worn components back to original dimensions. Our specialized SiCP process can repair your worn parts to meet original equipment standards.

SiCP is the optimum solution for severe corrosion resistance where erosion is a concern.
Contact a Weir Minerals Services Total Care Center today. 155 Wansley Drive Cartersville, Georgia 30121 T: 770-386-WEIR (9347) www.weirminerals.com/Service Excellent Minerals Solutions

After: restored throatbush using SiCP


Copyright 2013 Weir Slurry Group, Inc.. All rights reserved. MATERIAL MATTERS and the M2 Material Matters logo are trademarks and/or registered trademarks of Weir Minerals Europe Ltd.; WEIR is a trademark and/or registered trademark of Weir Engineering Services Ltd.

CIRCLE 26 ON READER SERVICE CARD

August 2013 POWER

www.powermag.com

53

PLANT DESIGN
5. Modernized steam turbine. As part of the repowering project, the two existing
steam turbines were retrofitted with modern steam path components. The replaced parts include a new 17-stage rotor forging with new buckets, nozzles, shaft packing, bucket seals, and control valve camshaft assembly. The mechanical components found to be acceptable for reuse were the turbine casing, thrust bearings, and shaft end coupling. Courtesy: Burns & McDonnell

let conditions of 1,250 psig/950F and exhaust 354,000 lb/hr to the steam condenser vacuum of 2.5 inches HgA. The steam turbine has five uncontrolled extraction openings that were used for feedwater heating. GE performed a study to determine the most efficient and cost-effective way to repower the steam turbines using steam produced by an HRSG instead of by a conventional boiler. Numerous options were evaluated, ranging from minimum turbine modification required for safe operation to completely replacing the steam turbines steam path to optimize efficiency and improve reliability.

SME determined that the best economic choice was to replace the steam path with modern components and enjoy the long-term economic benefits of a more efficient steam turbine. All the steam turbine upgrades design, manufacturing, and assembly of the upgraded steam pathwere performed by GE (Figure 5). The turbine redesign required modification of all five turbine extraction ports. Each modification followed ASME TDP-1, Recommended Practices for the Prevention of Water Damage to Steam Turbines (see Preventing Turbine Water Damage: TDP-1 Updated,

August 2009, in the POWER archives at powermag.com). HP extraction No. 1 and LP extractions No. 4 and No. 5 were not required in the repowered arrangement. Instead, each was cut, capped, and turned into a drain pot with redundant level switches and a smallbore drain line routed to the condenser. A motor-operated valve was located in each drain line that opens when a defined liquid level is sensed by the level switch. HP extraction No. 2 was converted to a bleed line to the existing flash evaporator, which is used for makeup to the cycle rather than a demineralizer. Flow in the bleed line varies between 0 and 19,000 lb/ hr, depending on makeup demand. The bleed line low point drains were also modified with drip pots. Extraction No. 3 was converted to an LP steam admission point. GEs turbine redesign included upgrades to steam inlet valves and overspeed trip protection. Butterfly style LP admission stop and control valves were located near the turbine. The HP stop and control valve actuators were replaced with direct-acting, high-pressure actuators. A new, high-pressure hydraulic power unit (HPU) replaced the existing lowpressure HPU and supplies hydraulic oil to the LP and HP stop and control valves. A new trip manifold assembly (TMA) was incorporated for overspeed trip protection. The TMA is a hydraulic circuit that protects the steam turbine by closing the admission stop valves in emergencies. It replaced the existing mechanical overspeed trip device. At fired baseload operating conditions, the modernized steam turbines produce 66 MW, a 10% increase in output. Each can pass 490,000 lb/hr of HP steam at 950F/1,160 psig and 28,000 lb/hr of LP steam at 590F/100

Thousands of enclosures Hundreds of options Designed and delivered in 10 days


ENCLOSURES POWER DISTRIBUTION CLIMATE CONTROL

54

www.powermag.com

POWER August 2013

PLANT DESIGN
Plant performance test results. Source: SME
Increase over existing plant (%) NA 42% 108% 150% Heat rate (Btu/ kWh) 11,700 10,500 7,000 7,400 Decrease from existing plant (%) NA 10% 40% 36%

Case Existing plant Simple cycle Combined cycle, no duct firing Combined cycle, max. duct firing

Output (MW) 60 85 125 150

lb/hr, respectively. A 3-inch spray water curtain line was designed to fit in the condenser above the bypass lines to keep temperatures below 200F to protect the condenser expansion joint and steam turbine. Structural modifications were made to the condenser transition to facilitate additional loading from the bypass lines. Tube stakes and steam impingement protection were added to the tube bundles for reducing tube vibration and for protection from increased steam velocity from the bypass lines.

psig. The exhaust flow was designed between 518,000 and 499,000 lb/hr at 3 inches HgA, depending on the extraction flow to flash evaporator. HP steam inlet flow decreased by 3%; however, exhaust flow increased approximately 30% when the extraction ports were secured and with the addition of the LP steam admission. Steam Turbine Bypass. The plant is equipped with a 100% HP and LP steam turbine bypass system, which directs steam to the condenser rather than venting to atmosphere during startup and trip conditions. The bypass system required modification of the existing condenser as well as the addition of engineered HP and LP steam bypass valves. During startup conditions, after condenser vacuum is established, the bypass valves control steam flow to the turbine based on turbine shell temperature and bypass the remaining steam flow to the condenser. During trip conditions, the bypass valves direct 100% steam flow to the condenser and prevent a steam system overpressure event that can result in lifting of safety valves. Control Components Inc. (CCI) provided the bypass valves chosen for the steam by-

pass system. The HP bypass valve is configured as a 10-inch inlet to 18-inch outlet pressure-reducing valve with exterior steam ring attemperator. The valve is designed to reduce approximately 310,000 lb/hr of steam at 931F/750 psig to steam at 417F/175 psig. The LP bypass valve consists of a 10-inch inlet to 10-inch outlet pressure-reducing valve with integral steam attemperating nozzle. The valve is designed to reduce approximately 64,000 lb/hr of steam at 521F/91 psig to steam at 358F/70 psig. Both the LP and HP bypass valves are located approximately 100 feet from their respective condenser inlets. De Laval Turbine Inc. furnished the condensers that were originally installed in 1968. They are single-shell, two-pass, divided condensers with an LP feedwater heater located in the condenser neck. Thermal Engineering International performed a mechanical design evaluation and concluded that each of the condensers could be retrofitted with a 100% HP and LP steam bypass valve. An 18-inch HP bypass line with 336 holes (-inch) and a 10-inch LP bypass line with 264 holes (3/8inch) were designed to fit in the condenser transition and pass 400,000 lb/hr and 70,000

Performance Goals Met


Performance testing for the combustion turbines in simple cycle operation was completed in November 2011 and combined cycle performance testing was completed in April and October 2012, respectively. The table shows the results of that testing for different operating cases. The performance goals for the project were met: Plant output increased 150% and the heat rate decreased 39%. The additional operational flexibility provided by the combustion gas bypass system and the steam turbine bypass system now permits stable operation from 55 MW to 150 MW for each of the two repowered units. In addition, the capacity addition has increased the SMEs overall system efficiency so that its members will enjoy reasonably price power for decades to come.

Joseph W. Mashek (jmashek@burnsmcd. com) and Benjamin L. Frerichs (bfrerichs@


burnsmcd.com) are business development managers for Burns & McDonnell. Chris K. Rhodes (crhodes@smepa.coop) is generation projects manager for South Mississippi Electric Power Association.

IT INFRASTRUCTURE

SOFTWARE & SERVICES


www.rittal.us

CIRCLE 27 ON READER SERVICE CARD August 2013 POWER

www.powermag.com

55

ENERGY POLICY

Challenges Facing Power Generators in ERCOT


Although nearly all energy experts agree that demand for electric energy in Texas will outstrip supply in the coming years, developers of new power generation facilities are facing significant headwinds. The cause of the problems is a unique mix of circumstances.
By Stuart Zisman and Katherine Milton, Bracewell & Giuliani LLP

he competitive energy markets managed by the Electric Reliability Council of Texas (ERCOT) have been hailed by some as the best in the country for allowing the free hand of the wholesale generation market alone to send the appropriate pricing signals for new power plant construction. The following factors, however, pose challenges to ERCOTs future energy supply: An unwillingness on the part of suppliers to enter into long-term power purchase agreements. A related lack of liquidity in the term energy markets. A general reluctance on the part of lenders to provide financing for merchant projects. Regulatory changes affecting both existing generators and developers of new power plants. The absence of a capacity market.

A Deregulated Energy Market


As of Dec. 31, 2001, investor-owned utilities (IOUs) in ERCOT were required to unbundle their operations. Following deregulation of the ERCOT electricity markets in areas served by IOUs, the provision of service to end-use retail customers became competitive, and electric providers no longer had a captive body of retail customers. Without a captive body of customers, it became extremely difficult for suppliers to predict prospective demands for power. As a result, they are now generally unwilling to commit to long-term wholesale power purchase agreements or to the construction of new projects. Although the useful life of a thermal generation facility can exceed 40 years, the capital costs to complete those facilities are extremely high. Though a 40-year power purchase agreement is not necessary to induce investors to build a new power plant, some level of predictable cash flows for a significant period of time will likely be necessary. Those investors having a larger appetite for risk may be willing to invest without a long-term contact, but in order to do so, these higher-risk investors would also expect higher returns on their investment and would need to see forward pricing fundamentals/signals that suggest that those higher returns are forthcoming. In recent times, however, the low price of natural gas has depressed the forward market for power and, as a result (with limited exceptions), those higher-risk investors have yet to see sufficient potential returns at the level required to start construction. Moreover, even if such investors are persuaded that their equity investment is warranted, in most instances, project debt will also be needed to finance construction. As lenders tend to be risk-averse, securing financing for uncontracted projects is likely to be a challenge in the current debt markets.
www.powermag.com

A Unique Regulatory Environment


The Environmental Protection Agency (EPA) has promulgated multiple regulations in recent years that affect the production of electricity. In addition, President Obama recently renewed his commitment to combatting global warming and described his plans to impose strict limits on greenhouse gas (GHG) emissions. These existing and pending regulations affect both existing generation, because the laws will require many owners to complete expensive capital upgrades, and developers of new power generation projects, because of the regulatory uncertainty, the added time required to obtain the necessary permits, and the resultant higher costs of development. In the case of existing power generation, these regulations will give rise to the need for capital improvements and/or increased costs of compliance for many facility owners. Certain types of existing generation (namely, coal-fired) could be rendered uneconomic and forced offline if the costs to comply with environmental laws exceed the expected profits. Rather than investing significant funds in retrofitting existing units, investors may prefer to dismantle or mothball them if they cannot reasonably expect to recover those additional costs through future operations. In some extreme cases, carbon dioxide emissions standards may not be achievable because the technology does not yet exist to bring plants into compliance. In such circumstances, even if producers were prepared to invest in the necessary capital improvements, they will have no choice but to decommission their units. Implementation of these new environmental regulations has proven to be particularly difficult in the ERCOT area because of the nature of the deregulated market. In regulated markets, utilities can reasonably expect to be able to recover the added costs of compliance through rate increases for
POWER August 2013

Because the time needed to develop and complete an electric generating facility can exceed three years, Texans may face serious power shortages if some of these issues arent resolved in the near term. Demand for electricity in ERCOT is rapidly approaching the level of existing supply. ERCOT has a target reserve margin (the percentage of available resources above peak demand) of 13.75%. Maintaining that reserve margin is critical to ensuring stability of supply and avoiding blackouts and brownouts. However, in each reporting year after 2014, ERCOT currently projects the reserve margin to fall below this target level. Three main factors make adding new generation in Texas difficult: its deregulated market, regulatory issues specific to ERCOT, and weak market signals.

56

ENERGY POLICY
their customers. In many parts of ERCOT, however, generators have no mechanism by which they can pass those costs along because customers are free to choose another provider at any time. Development of new generation in Texas has also been rendered more difficult because of the recent changes in federal environmental regulations and Texass legal challenges to EPA actions. Developers seeking to build new large fossil-fueled power generation facilities must ordinarily obtain a Prevention of Significant Deterioration (PSD) permit under the federal Clean Air Act. PSD permits can be issued by the EPA; however, if a state is willing, the EPA may delegate its authority to the state. Alternatively, in accordance with a concept referred to as cooperative federalism, if a state develops and the EPA approves a state implementation plan (SIP), which in this context is basically an air permitting program sufficiently similar to that of the EPA, federal law allows the state to run its own PSD permitting program. In late 2010, the EPA decided that SIPs that did not address GHG-emitting sources were inadequate. At that time, the EPA concluded that 13 states SIPs did not include GHG permitting. Twelve of those states either revised their SIPs consistent with the EPAs nascent GHG permitting program or sought delegation of the EPAs authority. Texas, however, refused. In response, the EPA imposed a federal implementation plan that purportedly put the EPA directly in charge of issuing a part of the PSD permit related to GHG emissions in Texas. As a result, the PSD permitting process became bifurcated between Texas and the EPA, and developers of new power plants are now required to obtain two permits (one from the state of Texas and another from the EPA). This bifurcation has caused a fair amount of regulatory confusion, which has resulted in a significant increase in the time needed to get full authorization to proceed with new power projects, especially considering the additional requirements imposed by other federal laws, such as the Endangered Species Act, when the EPA is the issuing agency. Furthermore, regardless of which agency is responsible for issuing PSD permits, controlling GHG emissions under the general legal requirement that facilities must apply Best Available Control Technology where no reasonably economic control technology exists for carbon dioxide and other GHGs has introduced substantial uncertainty into the permitting process. These added requirements, bureaucracy, and technical uncertainties have substantially contributed to the chilling of new development.

Market Weaknesses
In a market where long-term supply contracts are extremely rare, forward pricing plays a significant role in determining whether an investor will be willing to build a new facility. With most forecasts anticipating low gas prices for the foreseeable future, the market is not currently sending the necessary pricing signals to those power plant developers/investors that might take the risk of building without a longterm contract. Unlike other regions in the country, ERCOT does not have an organized capacity market (pursuant to which generators can be compensated for having available generation regardless of whether or not such generation is actually producing power). Many market participants in ERCOT believe that the development of a capacity market could help to mitigate the impending supply

Specializing in advanced steam generation technology and heat recovery applications.

C0GENERATION EXPERTISE
Patented HRSG design solutions for combustion turbine and process exhaust streams Shop-assembled modular solutions minimize construction/ield cost

INNOVATIVE BOILER DESIGN


Industrys highest steam production eficiencies for reinement and processing applications Long-term reliability under the most extreme demands

COMPLETE MODULARIZATION
Modularization minimizes time and labor costs in the ield Unparalleled in-house engineering staff brings application speciic expertise to every project

PROVEN EFFICIENCIES
Full line of economizers and industrial-duty air pre-heaters Thermal oil heaters and other secondary heat recovery equipment
F O L L O W A L E A D E R

www.victoryenergy.com | tel: 918.274.0023 | hot line: 877.783.2665


CIRCLE 28 ON READER SERVICE CARD

August 2013 POWER

www.powermag.com

57

ENERGY POLICY

Certain regulatory changes being considered, along with other commercial innovations, might be just enough to deliver to ERCOT the additional power generation resources that it so desperately needs.
problem. However, detractors suggest that while a capacity market may help to keep existing power generation units online, it may not provide the necessary incentives to construct new generation. This is because most envision the development of a capacity market similar to the one that currently exists in PJM (a regional transmission organization that coordinates the movement of wholesale electricity in all or part of 13 northeastern states and the District of Columbia). PJM uses a reliability pricing model, which is based on the use of capacity auctions to obtain a one-year capacity commitment three years ahead of the delivery period. Though this model does provide some increased certainty around project revenues, that certainty is fairly limited because pricing beyond the near term cannot be predicted and, in fact, is subject to myriad factors that could potentially cause volatility in prices. As an example, the recent 2016/2017 reliability pricing model auction for PJM resulted (in many areas) in significantly lower prices than those obtained in its 2015/2016 auction, leading many market participants to be concerned with the reliability of the capacity market to be able to support new development. Given the recent events in PJM, questions remain as to whether implementation of a similar capacity market in ERCOT would provide the necessary incentives to both retain existing generators and incentivize new sources of supply.
New Generation. Even with the challenges affecting developers of new generation, wind power remains economically viable in ERCOT. Through a combination of federal production tax credits and various financial and physical hedging, certain skilled wind power producers have been able to obtain the necessary capital to start construction of new wind farms. Moreover, the regulatory approval process for wind generation is far less arduous than it is for fossil-fired power generators. While wind energy adds to the available supply in ERCOT, it produces other problems of its own. Intermittency is a material problem, as is the timing of much of the wind generation. Because the wind typically blows strongest at night, it results in a spike in supply when demand is generally at its lowest point. In addition, as the wind cannot be predicted with any certainty, other sources of more reliable power generation must also be included as part of the incremental supply of generation. Another source of potential supplyenergy storageis being considered by many both because of its ability to balance the timing of power supply and demand and because of its ability to provide another source of revenue (in the form of ancillary services) to the investors in such products. Demand Response. Demand response is a meaningful way to help address ERCOTs pending supply shortfall. The ability to reduce demand through voluntary conservation, however, is limited by the availability of willing participants during peak periods of the day. At some point, though, even full conservation by willing participants will not prevent shortfalls in supply. Although demand response may help ERCOT in the near term, new power generation facilities will ultimately be needed. Raising the Price Cap. In October 2012, the Public Utility Commission of Texas voted to double the cap on wholesale electricity prices over the succeeding three years. The commission stated that raising prices was necessary to encourage more plant construction and prevent power outages in areas served by ERCOT. Although this may encourage more interest in the ERCOT market, the continual increase in
www.powermag.com

the price cap does not guarantee that prices at those higher levels will actually be achieved. It may actually give rise to potential concerns for investors, because a facility that experiences an outage when it is committed in the day-ahead market could see significant penalties if there is a spike in power prices in the hourly market. Capacity Market. As described above, though there are significant issues to consider with the development of a capacity market in ERCOT, such a regulatory solution may be critical to spawning the much-needed construction of new power generation facilities. In the short term, a capacity market could induce generators to keep existing generation resources online or remove them from mothball status. Though this may provide a short-term solution, the uncertainty of future pricing remains an impediment to new development. It is also worth mentioning that keeping older generation around, while effective, may be costly in the short term because older units are generally less efficient and more expensive to operate. Other Solutions. Creative structuring has also been used to get new projects built in ERCOT. In addition to the wind facilities discussed above, at least one company has been able to begin new construction on two different gas-fired projects. Panda Energy is currently building two large power generation facilitiesSherman and Templeand each is being partially funded with project debt. By using revenue put options in lieu of a long-term power purchase agreement, Panda was able to assure its investors of a stable stream of revenues sufficient to obtain the necessary commitment of capital.

Reason for Hope


Although the challenges facing developers in the ERCOT market today are significant, new and creative solutions are emerging that have the potential to provide ERCOT with the energy supply that it needs in the coming years. Energy demand is expected to grow significantly because of the high population growth rate anticipated for the state of Texas. As a result, finding viable solutions to ERCOTs supply shortage is extremely important. Many of the short-term fixes mentioned above may be helpful in alleviating the problem, but some regulatory changes may be necessary in order to allow ERCOT to be certain that it can meet the demands of its end users over the long term.

Bridging the Pending Supply Gap


Though the challenges of power generation facility development abound, all hope is not lost. Certain regulatory changes being considered, along with other commercial innovations, might be just enough to deliver to ERCOT the additional power generation resources that it so desperately needs. Some new generation is being constructed, and efforts are being made to reduce demand and potentially increase revenues for power generators in ERCOT. Additionally, developers are working to find creative ways in which to make new projects economically feasible.
58

Stuart Zisman is a partner and Katherine Milton is an associate with Bracewell & Giuliani LLP in Houston.
POWER August 2013

42nd Turbomachinery 29th Pump SYMPOSIA

GEORGE R. BROWN CONVENTION CENTER

9.30 10.3.2013
turbolab.tamu.edu
/TurbolabatTAMU @PumpTurbo

CARBON CAPTURE & MANAGEMENT

R&D Projects Target Cheaper Carbon Capture, Use, and Storage


In order to burn abundant supplies of coal globally while minimizing carbon dioxide emissions, cheaper methods of capturing, using, and storing greenhouse gas emissions from power plants are needed. A new federal agency is on the leading edge of identifying and supporting promising technologies.
By Gail Reitenbach, PhD

he technology options available today for capturing carbon dioxide (CO2) from fossil-fueled power plants are limited and involve daunting energy penalties. Theyre also expensive, adding up to 80% to the cost of power generation. Current options for using captured CO2 are mostly limited to enhanced oil recovery, which means this use of the captured, compressed, and transported greenhouse gas is limited geographically and practically. Other storage options are in their infancy and look expensive, if not cost-prohibitive. So where does that leave the power industry as it looks to a future that (especially given President Obamas recently announced Climate Action Plan) is sure to include some sort of imperative to capture carbon emissions? A few carbon capture and sequestration (CCS) research and pilot projects are under way around the world, but most have been on-again/off-again ventures, mostly because of uncertain regulatory, legal, and financing environments. But that doesnt mean the issue is going away. In the U.S., the Department of Energys (DOEs) newest agency takes the challenge seriously and is encouraging innovative research and development (R&D) to solve the puzzle of how to keep CO2 from energy-production activities out of Earths atmosphere. At the 4th Annual Energy Innovation Summit (EIS) in February, more than 20 Technology Showcase displays focused on carbon capture, utilization, and storage (CCUS). The EIS is sponsored by the DOEs Advanced Research Projects AgencyEnergy (ARPAE), the four-year-old sibling of the Defense Departments DARPA. As of this spring, the ARPA-E website listed a total of 15 projects that were part of the agencys Innovative Materials and Processes for Advanced Carbon Capture Technologies (IMPACCT) program. ARPA-E focuses on modest-size, shortterm grants for projects that are at too early a stage to attract private, venture capital. And
60

although the funding provided by ARPA-E may be its most visible role, at least as important are the partnerships it arranges for the projects it funds. By bringing a variety of researchers, national laboratory scientists, and corporate partners together, ARPA-E connects individuals and groups that might not have had access to each other or who wouldnt have thought they could help solve each others problems. Such strategic partnerships are important not just for solving technical problems but also for making the transition to a stage where private investors become interested. (For more on the agency, search for ARPA-E Plays Matchmaker for Innovative Energy Research Projects at powermag.com.)

sources will promote a safe, reliable, and consistent electric grid as the renewable energy industry develops. The IMPACCT projects are not the only research efforts out there, but they do represent a carefully curated portfolio of U.S.based R&D programs and, as such, provide a glimpse at what the future may hold. Fifteen IMPACCT projects have been awarded a total of $39,929,110. Other projects related to CCUS have been funded through other funding opportunities, including open (non-program-specific) funding opportunities. ARPA-E has also funded carbon capture technology projects through 2009 and 2012 open funding opportunities with a combined award total of approximately $19 million.

Make an IMPACCT
IMPACCTs goal is to develop technologies for existing coal-fired power plants that will lower the cost of carbon capture. It is geared toward minimizing CO2 capture costs by developing materials and processes that have never before been considered for this application. As the program description notes, Retrofitting coal-fired power plants to capture the CO2 they produce would enable greenhouse gas reductions without forcing these plants to close, shifting away from the inexpensive and abundant U.S. coal supply. Note that this approach is in contrast to the original vision of the public-private FutureGen project, which was to be a newbuild coal-fired plant with near-zero carbon emissions. FutureGen 2.0 aims to use oxy-combustion technology on an upgraded plant (see Oxy-Combustion: A Promising Technology for Coal-Fired Plants in the January 2011 issue). ARPA-E acknowledges that Coal will continue to provide most of the electricity in the U.S. for the foreseeable future. Enabling the continued use of abundant, domestic rewww.powermag.com

New Ways Forward


ARPA-Es general approach is to carefully select the most promising candidates from a variety of proposed technology approaches for funding, provide access to strategic partners who can more quickly advance the research, and limit the dollar amount and timeframe for the award to motivate fast learningand success or failure. When asked which CCUS projects are furthest along the path toward potential commercialization, the agency noted that several IMPACCT projects are showing signs of success:

Texas A&M University created a spinout company, Framergy, to help commercialize its technology. Ohio State University has begun Phase 3, Construction and Operation, of a pilotscale demonstration of Syngas Chemical Looping at the National Carbon Capture Center in Wilsonville, Ala. ATK and ACENT Laboratories have developed ICES (Inertial CO2 Extraction System) to centrifugally separate solid CO2.
POWER August 2013

poWer maGazine readerS reCeive 10% oFF reGiStration uSinG Code: poWer

Game-changing energy storage solutions are being deployed throughout the grid, providing a diverse new tool kit for addressing todays grid challenges. At ESNA 13, hear irst hand the lessons learned, network with utilities, policy-makers, and energy storage solution providers from North America, Europe, and Asia. Energy storage is a necessary and inevitable part of the evolution of our power system.

COME TO ESNA TO PARTICIPATE IN THIS TRANSFORMATION September 10-12, 2013 San JoSe Convention Center San JoSe, CaLiFornia reGiSter at WWW.eSnaeXpo.Com

the onLy enerGy StoraGe ConFerenCe in north ameriCa FoCuSinG on appLiCationS, CuStomerS, and deaL-makinG.

CARBON CAPTURE & MANAGEMENT


1. Designing a superior solvent process. The approach taken by the RTI International team, shown here, is to reduce the temperature required for regenerating solvent and CO2 captured from coal plant exhaust. Source: RTI

You can find descriptions of all the IMPACCT projects on the ARPA-E website. The handful of projects described below will give you a feel for the types of novel approaches being explored.

Solvent-Based Capture
RTI International is developing a solvent and process that it says could significantly reduce the temperature associated with regenerating solvent and CO2 captured from coal plant exhaust (Figure 1). Its process may be most similar to familiar approaches. However, the project team makes the distinction that Traditional CO2 removal processes using water-based solvents require [a] significant amount of steam from power plants in order to regenerate the solvent so it can be reused after each reaction. RTIs solvents can be better at absorbing CO2 than many water-based solvents, and are regenerated at lower temperatures using less steam. Thus, industrial heat that is normally too cool to re-use can be deployed for regeneration, rather than using high-value steam. The result is a lower cost penalty for CO2 capture.

Researchers say the approach is more efficient than other solvent-based processes because it avoids the heating of extraneous solvents such as water. This ultimately leads to a lower cost of CO2 capture and will lower the additional cost to produce electricity for coal-fired power plants that retrofit their facilities to include this technology.

exhaust while restricting the flow of other materials through it. The design involves few chemicals or moving parts and is more mechanically stable than current technologies. The team is now working to further optimize the gelled materials for CO2 separation and create a membrane layer that is less than 1 micrometer thick. According to ARPA-E, the payoff is that If successful, CU-Boulders design would create a membrane that captures CO2 at a cost of less than $20 per ton, a level significantly lower than current-generation technologies. (Nevertheless, that could still mean a significant increase in the price of electricity, as the typical conventional coal plant emits about 1 ton of CO2 per MWh, so the incremental cost of the technology is equivalent to $20/MWh. For reference, the U.S. Energy Information Administration found that the average on-peak cost of wholesale electricity in 2012 ranged from $22.56/MWh in the Northwest to $46.57/ MWh in the New York ISO.) The process results in an enriched gas after capture, Noble told me in February. Other researchers are working on ways to convert that enriched CO2 to a fuel that can then be recycled right at a power plant, which could result in a carbon-neutral facilityand potentially offset the carbon capture cost. Now in its third year, the project is working with 3M to do small-scale pilot testing.

Electrical Separation Gel Capture


Several IMPACCT projects are sidestepping the familiar carbon storage paradigm that involves compression, transportation via pipeline, and underground injection. Instead, they are exploring options for transforming CO2 into a state that can be more easily stored or, better, reusedsometimes onsite, as fuel. When taking this route, cost is not necessarily a deal-breaker, Dr. Richard Noble assured me. Noble is a professor in the Chemical and Biological Engineering Department at the University of Colorado at Boulder and co-director of its NSF Industry/University Cooperative Research Center for Membrane Applied Science and Technology. The project Noble leads at CU-Boulder has Los Alamos National Laboratory and the Electric Power Research Institute as partners in developing a membrane made of a gelled ionic liquid to capture CO2 from flue gases (Figure 2). The project site explains that The membranes are created by spraying the gelled ionic liquids in thin layers onto porous support structures using a specialized coating technique. The new membrane is highly efficient at pulling CO2 out of coal-derived flue gas
www.powermag.com

In contrast with current heat-based amine systems for CO2 capture, Massachusetts Institute of Technology researchers are working with Siemens Corp. on electrically driven systems that promise to be more energy efficient. The process would separate CO2 from the exhaust of coal-fired power plants by using electrical energy to chemically activate and deactivate sorbents, or materials that absorb gases. The team found that certain sorbents bond to CO2 when they are activated by elec-

2. Smart gel. A gel membrane being


developed at the University of Colorado at Boulder promises to capture and hold carbon dioxide from flue gas. Courtesy: CU-Boulder

Phase-Changer
GE and the University of Pittsburgh are developing a CO2 capture process in which a liquid absorbent, upon contact with CO2, changes into a solid phase. Once in solid form, the material can be separated and the CO2 can be released for storage by heating. Upon heating, the absorbent returns to its liquid form, where it can be reused to capture more CO2.
62

POWER August 2013

Need an easy way to obtain more information to make an informed decision?


Customized newsletters are now available giving you everything you need to make the right decision.

INTRODUCING

DecisionBriefs |

PRODUCT DETAILS. SPECS. TUTORIALS.


Look for DecisionBriefs on www.powermag.com
For information, contact Matt Grant at mattg@powermag.com

CARBON CAPTURE & MANAGEMENT


trical energy and then transported through a specialized separator that deactivates the molecule and releases it for storage. This method directly uses the electricity from the power plant, which is a more efficient but more expensive form of energy than heat, though the ease and simplicity of integrating it into existing coal-fired power plants reduces the overall cost of the technology. The team expects this process could cost $31 per ton of CO2 stored. so identifying the best to use for CO2 capture and storage can be a difficult task. LBNL uses high-throughput instrumentation to analyze nearly 100 materials at a time, screening them for the characteristics that optimize their ability to selectively adsorb CO2 from coal exhaust. gies to drop the temperature and freeze out the CO2 as dry ice, a condensed solid, for collection and capture. The project site explains that ATKs design incorporates a special nozzle that converges and diverges to expand flue gas, thereby cooling it off and turning the CO2 into solid particles which are removed from the system by a cyclonic separator. This technology is mechanically simple, contains no moving parts and generates no chemical waste, making it inexpensive to construct and operate, readily scalable, and easily integrated into existing facilities. The increase in the cost to coal-fired power plants associated with introduction of this system would be 50% less than current technologies.

Carbon Sponge
Oak Ridge National Laboratory (ORNL) is working with Georgia Tech to develop a new technology that will act like a sponge, integrating a new, alcohol-based ionic liquid into hollow fibers [Figure 3] to capture CO2 from the exhaust produced by coal-fired power plants. Heres the rub: Ionic liquids, or salts that exist in liquid form, are promising materials for carbon capture and storage, but their tendency to thicken when combined with CO2 limits their efficiency and poses a challenge for their development as a cost-effective alternative to current-generation solutions. Adding alcohol to the mix limits this tendency to thicken in the presence of CO2 but can also make the liquid more likely to evaporate, which would add significantly to the cost of CO2 capture. To solve this problem, ORNL is developing new classes of ionic liquids with high capacity for absorbing CO2.

Carbon Mineralization
Columbia University is developing a way to turn flue gas CO2 into a solid that can be easily and safely transported, stored above ground, or integrated into value-added products (e.g. paper filler, plastic filler, construction materials, etc.). The researcher I spoke with at the EIS noted that these uses would be limited to perhaps 3% of the output so as not to flood the market; the rest would go to underground storage. Carbon mineralization already occurs in nature, when CO2 reacts with various minerals over long periods of time, resulting in a solid carbonate. However, The use of carbon mineralization as a CO2 capture and storage method is limited by the speeds at which these minerals can be dissolved and CO2 can be hydrated. To facilitate this, Columbia University is using a unique process and a combination of chemical catalysts which increase the mineral dissolution rate, and the enzymatic catalyst carbonic anhydrase which speeds up the hydration of CO2. If the Columbia project is successful, it would offer a simple way to limit CO2 emissions, and the easily visible evidence of stored carbon eliminates the need for longterm monitoring of stored CO2. No worries about invisible seepage of compressed gas.

Whos in the Lead?


When speaking at the EIS about the agencys CCUS focus, IMPACCT Program Director Dr. Karma Sawyer noted that were not ready to capture carbon at scale; theres a massive technical gap where CCUS is concerned, which is why ARPAE is looking at it. The current amine-based technologies increase the cost of electricity by 60% to 80%. When asked by POWER this spring if she expected one technical approach to become the clear market leader or if a handful of different approaches were likely to become viable, Sawyer responded: ARPA-E always funds multiple approaches towards a program goal to hopefully catalyze breakthroughs in multiple energy technologies; IMPACCT is no different. She added, Right now, I am particularly excited about some of our technologies that have the potential to drastically reduce (>50%) the capital cost of a large-scale project and technologies that utilize changes in entropy to substantially reduce the parasitic power load for the capture process. When asked about R&D competition from other countries, Sawyer noted, ARPAE has sparked a lot of interested both domestically and abroad, as you can see from the ARPA-E Summit with over 20 countries engaged at the conference. Were also heavily engaged with the carbon capture community as a whole, to help foster connections, partnerships, and gain a better understanding of CCUS technology R&D. That being said, right now, my focus is to advance IMPACCT projects here in the U.S. to help our awardees achieve their technical and techto-market milestones and strive to develop technologies that will reduce CO2 emissions from coal-fired power plants.

From Aerospace to Power Generation


University and national lab researchers arent the only ones involved in visionary CCUS research. A video that ran during one of the EIS general sessions featured work by Alliant Techsystems (ATK) and ACENT Laboratories that involves applying an aerospace technology to carbon capture to develop a solution that can be retrofitted to coal plants. It entails compressing flue gas by accelerating it supersonically using wind-tunnel technolo-

Crystalline Compounds
You might think of Lawrence Berkeley National Laboratorys (LBNLs) project as a more benign version of the Start Trek crystalline entity (which grabbed on to anything and everything organic to turn it into power). LBNL is trying to identify the best metal organic frameworks for use in capturing CO2. Heres how LBNL describes its approach: Metal organic frameworks are porous, crystalline compounds that, based on their chemical structure, vary considerably in terms of their capacity to grab hold of passing CO2 molecules and their ability to withstand the harsh conditions found in the gas exhaust of coal-fired power plants. Owing primarily to their high tunability, metal organic frameworks can have an incredibly wide range of different chemical and physical properties,
64

3. Carbon sponge. When you spill something at home, odds are you use an absorbent towel or sponge to clean up the mess. Researchers at Georgia Tech and ORNL are working on a carbon clean-up technique that absorbs carbon dioxide in an analogous way. Source: ORNL

Gail Reitenbach, PhD is POWERs managing editor.


www.powermag.com

POWER August 2013

3 rd ANNUAL

SEPTEMBER 30 OCTOBER 3, 2013 EASTERN & ORIENTAL HOTEL GEORGE TOWN, MALAYSIA

Exclusive discount for POWER Readers!


ASIAS PREMIER COAL USERS CONFERENCE
FIRST 100 REGISTRANTS get a FREE tour of the Stesen Janakuasa Sultan Azlan Shah, TNB Janamanjung Sdn. Bhd. power plant.
3 days of industry exclusive coverage from power generation leaders such as Tenaga Nasional Berhad, Korea South-East Power Co., Omaha Public Power District, Alstom, Burns & McConnell, Coal Combustion Inc., NIPSCO and more Usage of Supercritical Technology Spend LessGain More A case study for continual improvement Coal-Handling System: Fire case study Burning coal blends Obstructions in the cooling water intake Choice of Coal vs. Boiler Design Economic Total Optimum Performance System Plus more!

ANNUAL MEETING CO-HOST:

FOUNDING MEMBERS:

Generation companies have access to the exclusive, generating company only discussion session on the final day of the conference

SECURE YOUR SEAT TODAY! Register at www.asiansbcusers.com with VIP code POWER13 to receive a 10% discount

ORGANIZED BY:

PLATINUM SPONSOR:

CORPORATE SPONSOR:

ADDITIONAL SPONSORS:

ENERGY STORAGE

Let Gravity Store the Energy


Gravity Power LLCa startup based in Santa Barbara, Californiahas developed a low-cost, quick-start, and fast dynamic response energy storage technology that competes with classical pumped storage hydro and gas turbines for peaking and intermediate duty power generation. The system is simple, yet its potential is profound.
By Dr. Robert Peltier, PE

uch of the power generation equipment now being installed is either for renewable energy (predominately wind and solar) or gas-fired combined cycles that leverage the historic low prices of natural gas. However, many of those gas-fired plants were built with an additional purpose: to serve as a fast-reacting source of electricity that can replace renewable generation when the wind stops blowing or the sun doesnt shine. A better technology choice for chasing wind and solar is bulk electricity storage. The system planning and grid operation complications posed by renewables were thoroughly discussed in an earlier article (Energy Storage Enables Just-in-Time Generation, April 2011, available at powermag .com). The key theme of that article was that utility-scale energy storage must be commercialized before renewable electricity can reach its full potential. Today, most large energy storage projects appear to be little more than a shipping container filled with tens of thousands of small batteries. The value of energy storage is truly realized with utility-scale systems capable of moving bulk wind power produced chiefly during off-peak hours to on-peak hours when the value of the energy is significantly greater. The value is equally important to solar photovoltaic systems that wildly cycle when clouds pass overhead. Several large-scale energy storage technologies in their early stage of development were discussed in the earlier article. Gravity Power LLC was identified as a company that stood out from the others, principally because its technology fully embraces the KISS principal (Google it) and should be deployable in the near term. In fact, the U.S. Department of Energy took a look at the technology and was unable to fund development work because no research and development was needed. In the time it takes to read this article, even nontechnologists will intuitively understand how the system works and appreciate its simplicity.

1. Gravity works. The piston (shown in red) moves up and down in the power shaft, depending on its operating mode. Power from the grid is used to pump water (the pump is shown in green) into the power shaft and raise the piston. When electricity is required, the piston drops, forcing water through the pump that now functions as a turbine, producing electricity from the motor that now functions as a generator. The penstock shaft is used to capture and return water to the system. Courtesy: Gravity Power LLC

According to Gravity Power CEO Tom Mason, the final design concept took shape in 2008, which was immediately followed by the companys first round of funding in early 2009 from The Quercus Trust, followed by a series of other small investments. The company is currently raising a Series B round to fund final design and testing of the system. The first Gravity Power patent covering its technology was issued by the U.S. Patent Office in May 2012, and other global patents are pending.

Simple Technology
The Gravity Power Module (GPM) is a simple machine (Figure 1). At the heart of the system
www.powermag.com

is a reversible pump-turbine and motor-generator, much like those used in conventional pumped storage hydro (PSH) systems for 70 or more years. Sitting 40 meters (m) below ground is the top of an underground water circuit where the pump-turbine is located. The circuit consists of two sealed water-filled vertical shafts. The first is a large-diameter vertically bored shaft called the power shaft. The smaller is the penstock shaft. Within the power shaft rests a large piston that stores or returns energy when hydraulically moved up or down by water. The water is simply a hydraulic fluid. The water flows in a circuit in both directions: Either water flows within the system loop, pushing the
POWER August 2013

66

ENERGY STORAGE

CPUC Pushes Energy Storage


On June 10, the California Public Utilities Commission (CPUC) released a proposal that would require the states three investor-owned utilities (Pacific Gas and Electric Co., San Diego Gas & Electric Co., and Southern California Edison Co.) to procure 1.325 GW of energy storage by 2020. The proposal, Proposing Storage Procurement Targets and Mechanisms and Noticing All-Party Meeting, is in response to A.B. 2514, which requires the CPUC to design electricity market procurement and regulatory rules for grid-scale energy storage. These rules are expected to become effective early next year. The proposal suggests procurement targets for energy storage with the goal of market transformation so that the energy storage market becomes sustainable, procurement targets for storage will no longer be needed and it will compete to provide services alongside other types of resources. piston up, or the water is being pushed in the other direction by the piston as it drops. Much like a conventional PSH system, electricity is consumed when the reversible drive pumps the water from the penstock into the power shaft below the piston, lifting the piston to store the pistons potential energy. To release its stored energy, the piston is released, and as it descends, water is forced through the pump that is now acting like a water turbine and generating power using the motor that now functions as a generator. The speed at which the piston drops determines the instantaneous power generated. The depth and diameter of the power shaft and the mass of the piston determine the amount of energy stored. Once explained, the function of the system is intuitive. Gravity does most of the work. The response of the system is on par with modern PSH systems and much faster than other fossil-fueled backup power sources. A synchronized pump-turbine motor-generator can ramp from zero to full power in less than 15 seconds. The overall energy storage efficiency (power produced divided by the power consumed to charge the system) exceeds 80%. Also, siting of the facility is very flexible: 1,600 MW or more can be installed on less than three acres, unlike a typical PSH system that requires two large reservoirs and perhaps 15 to 20 years to complete the environmental permitting process and construction. Gravity Power proposes that its first comAugust 2013 POWER

The proposal rightly recognizes that there are many different energy storage technologies, so it is written to be inclusive. Although the primary purpose of the proposal is to help bring down market barriers, reduce costs, and increase scale of market penetration over time, it is not an R&D proposal but instead is meant for commercially available, eligible storage technologies utilized in grid applications that have been demonstrated. The suggested procurement approach is a clone of the Renewable Auction Mechanism now in place. This is good news for bulk energy storage proponents, and given the significant levels of energy storage contemplated by the CPUC, investment in energy storage technologies will surely rise. My only wish is that the bureaucrats who write these proposals will soon learn that energy storage is measured in MWh, not MW. mercial demonstration GPM be designed with a 30-m-diameter power shaft extending 500 m deep. These design parameters will produce the equivalent of 160 MWh, or 40 MW for 4 hours of bulk energy storage in return for consuming 40 MW for about 5 hours. The cost of this system is estimated as $4,400/kW or $1,100/kWh. Although constructing the first demonstration project is the major hurdle now facing Gravity Power, Mason is looking beyond the demonstration project to a future commercial product line. His goal is to construct larger systems, ranging upward from 200 MW to 1,600 MW and greater with estimated sell prices of $2,000/kW to $950/kW, based on scale economies, perhaps dropping as low as $500/kW in special cases where existing infrastructure is available. These are overnight cost estimates (they dont include the cost of money during construction) and carry the usual exclusion caveats: land purchase, permitting, transmission interconnect, water fill, and other developer soft costs. The estimates do include a generous 25% contingency. As good as the system sounds, a solid product, market interest, and government support doesnt guarantee success. Investors demand a strong commitment from customers, while utilities (thought to be the primary customers for the GPM) want to see for themselves a demonstration plant in operation. Building serial No. 1 is the sticking point for Gravity Power, which is ready to move forwww.powermag.com

ward today, as it will soon become for other bulk energy storage technologies now on the drawing board. Within the U.S., the challenge is compounded by a flat rate of load growth that dampens utility enthusiasm to offer power purchase and sale agreements that will incentivize developers and excite investors. Many utilities look upon bulk energy storage as another loss of load instead of a progressive step toward a hardened yet very responsive smart grid. Successful commercialization of developing energy storage technologies will also require electricity markets to formally place a tangible value on bulk energy storage. Several regions are now developing specific tariffs for energy storage, in conformance with Federal Energy Regulatory Commission Orders 890 and 719, which require independent system operators to develop tariffs and market rules for nongenerating resources. Current market rules focus on real-time or day-ahead markets, where bulk energy storage technologies must be assured of a long-term revenue stream, such as power purchase agreements or feed-in tariffs for their products, in order for developers of new technology to attract investors. The California Public Utilities Commission, for example, recently put forward a proposal that will surely accelerate the commercialization of bulk energy storage technologies in its state (see sidebar).

Engineering and Construction Plans


The GPM concept of operation may be straightforward, but investors and potential purchasers must ensure their investment dollars are not exposed to excessive risk, particularly product cost, construction, and schedule risks. Gravity Power commissioned Babendererde Engineers, underground engineering and construction experts located in Bad Schwartau, Germany, to produce GPM construction plans, cost estimates, and schedules. That work was further examined by Hochtief, a large international engineering and construction firm headquartered in Essen, Germany. After completing its analysis of the GPM, Hochtief has offered to construct GPM plants, providing customary warranties. Andritz Hydro, the worlds largest manufacturer of pump-turbines, has also signed on to supply equipment with customary warranties, as have other equipment suppliers. Mason said the GPM preliminary design, which includes engineering and construction details for all the critical elements of the system, is nearing completion. The most significant task in building a GPM is constructing the power and penstock
67

ENERGY STORAGE
shafts. Shaft construction uses open pit mining techniques, and the pump-turbine motorgenerator is the same design as that used for classical pumped storage. The piston is constructed of rock, either carved in place or removed and mixed with concrete. The piston is then encased in reinforced concrete, covered with a stainless steel skin, and mounted on a steel base plate. The civil work, which includes construction of the power shaft, penstock shaft, and the piston, will take approximately two years and four months for the 160-MWh-size system (40 MW for 4 hours). The projects critical path is the delivery schedule for the rotating equipment. running into severe public opposition and zoning issues, making it impossible for Baden-Wrttemberg to proceed with its Regional Plan. Regionalverband, the local planning authority, has included the GPM as a cost-effective alternative to classical PSH in its revised resource plan, which was approved and published in April 2013. The Regional Plan provides the legal framework that qualifies technology selections in this region of Germany. This is the first time that a new storage technology has been included in its regional grid planning. The Neckar-Alb Regionalverband also is investigating two sites for a 300-MW GPM, and GPM is being seriously considered as a lessinvasive replacement for a proposed 700MW conventional PSH project in Bavaria. Clearly, the market for bulk energy storage is booming in Germany. Although there is considerable interest in large-scale bulk energy storage in Germany, barriers remain. For example, the existing German feed-in tariffs do not include energy storage. These issues may be resolved after the fall elections, when the newly elected German Bundestag considers legislation for federal and state support of bulk energy storage technologies.

Next Steps
To maintain its market momentum, Gravity Power must complete the Series B round financing while completing final steps of product development. The final design hurdle is developing the piston seal. The GPM uses a stationary seal system mounted halfway down the main shaft. The seal must have low friction along the moving piston but must also hold against a pressure differential of ~500 psi and accommodate small piston diameter variation. In planning is a 2-m seal test to identify the optimum sealing material, followed by a full-scale 30-m test at full pressure and maximum piston speed. The seal development is a solvable problem; it may even involve using an off-the-shelf product. The piston seal is the last preliminary design milestone for the GPM. The next step is to build the proposed demonstration plant. It is for these tests that the Series B round financing is being sought. Gravity Power holds the promise of reasonably priced, easily sited, and insignificantenvironmental-impact bulk energy storage. I predict that the GPM will soon be a critical part of grid of the future, both in the U.S. and other countries.

Interest Grows in Germany


The German grid is undergoing dramatic changes caused by the shutdown of its nuclear plants and its fast-rising reliance on wind and solar power. The Neckar-Alb Region in the German state of Baden-Wrttemberg is considering GPM technology in lieu of one or more of the five proposed conventional PSH plant designs (each over 300 MW) that would provide backup to its renewable energy assets. As expected, these large PSH plants are

Dr. Robert Peltier, PE is POWERs editor-in-chief.

Enhanced PDF version now available

The 2013 UDI Whos Who Directory covers more than 4,200 U.S. and Canadian generating plants. The directory provides: Nearly 8,500 plant management and support contact names, titles, and primary job functions. Basic plant operating statistics for more than 1,500 power stations, including: Generation (MWh) Availability (%) Heat rate Capacity Factor (%) Power plant design characteristics Choose which purchase option that best suits your needs: Hardcopy Book Enhanced Directory PDF (CD-ROM) - NEW FOR 2013 Mailing List (CD-ROM), Enhanced Directory PDF & Hardcopy Book

UDI WHOS WHO AT ELECTRIC POWER PLANTS


For more detailed information and a list of all available data, visit us online at UDIDATA.COM or contact the UDI Editorial team at UDI@Platts.com.
68 www.powermag.com

POWER August 2013

NEW PRODUCTS

TO POWER YOUR BUSINESS

240-W LED High-Bay Light for Hazardous Areas


Larson Electronics released the the HAL-HB-240W-LED 240-W LED light for high-bay and oodlight applications in Class 1 Division 2 areas. Available with 19-, 25-, 40- and 125-degree optic conguration, this high-powered LED light comes closer to replicating 1,000-W metal halide illumination. At 240 W, the HAL-HB-240W-LED Class 1 Division 2 LED light moves past 400W metal halide performance with less current draw, higher life hours, and more durability with respect to vibration. (magnalight.com)

Integrated High-Purity RO and EDI Solution


GEs new PRO E-Cell Series is designed for ultrapure water production in applications such as makeup water to high-pressure boilers, combined cycle gas turbine power systems, or replacement of aging ion exchange systems. Combining a PRO Series reverse osmosis (RO) system and an E-Cell electrodeionization (EDI) system, the PRO E-Cell Series is built on a single skid with one controller. That design offers customers a 40% smaller footprint, installation simplicity, and ease of operation. (ge.com)

LED Light Source for Borescope Inspection Applications


KARL STORZ Industrial Group America launched the new KARL STORZ TECHNO LED NOVA 150, a next-generation high-output light source for technical borescope inspection applications. The light sources compact projector delivers cold bright white light (6400K) that generates virtually no heat, and illumination is transmitted through the borescope using robust ber optic light guide cables. The LED NOVA 150 is energy efcient, noiseless, and has an industrial grade LED illumination module, making lamp changes virtually unnecessary. An international power supply enables worldwide use. (karlstorzindustrial.com)

August 2013 POWER

www.powermag.com

69

NEW PRODUCTS
Online Thermowell Calculation Tool
Endress+Hauser introduced a free online thermowell calculation tool to to help customers stay compliant with the new ASME PTC 19.3 TW2010 thermowell standards. The thermowell sizing tool calculates the thermowells ability to withstand stresses under given process conditions, important for safety-critical or demanding applications with high ow rates or high process pressures. Because a thermowell is subjected to a variety of stresses in these types of applications, typically because of inline and transverse vibrations, it is necessary to run calculations on the thermowell design to make sure these stresses do not exceed the maximum allowable limit. Endress+Hausers thermowell sizing calculator gives users a safe alternative not only to thermowell failure but also to loss of measurement, damage to expensive equipment, and safety risks to plant personnel. The calculation tool includes a larger variety of thermowell geometries, such as stepped thermowells, and the updated ASME PTC 19.3 TW-2010 standards have enhanced resonant frequency calculations that allow the maximum thermowell length to be determined based upon the process conditions. The tool is available via the Endress+Hauser Applicator tool. (us.endress.com)

Corrosion-Resistant Anti-Seize
Chesterton introduced the 783 ACR Corrosion Resistant Anti-Seize, an industrial grade antiseize designed to protect threaded fasteners up to 900C (165F). Ideal where corrosion is the primary cause of bolt seizure, the product features exceptional resistance to water washout and corrosion. (chesteron.com)

Radar Level Meter for Liquid Applications


KROHNE released the OPTIWAVE 5200 C/F, a new 10 GHz FMCW radar level meter for liquid applications of a measuring range up to 30 meters/98 feet. The two-wire loop-powered device measures level and volume in storage or process tanks with process conditions up to 250C/482F and pressures up to 40 bar/580 psi. The OPTIWAVE 5200 C/F electronics are compatible with a wide selection of antennas. KROHNEs unique PP and PTFE Wave Horn antennas are process sealed by their antenna material instead of a traditional process seal construction with O ring gaskets. These gasket-free antennas are therefore ideally suited for extreme corrosive environments. The modular design of the housing with unique bayonet locking system and antenna extensions ensures suitability for a variety of mounting positions and applications. (krohne.com)

Inclusion in New Products does not imply endorsement by POWER magazine.


70 www.powermag.com

POWER August 2013

September 9-11, 2013 | Marriott Wardman Park | Washington, DC

MAJOR GLOBAL PLAYERS


Looking for the latest developments on the industry? RETECH attracts over 70 experts, innovators and power players in the renewable energy community to lead discussions on whats driving growth in our market, and what challenges we face today and in the future.
CONGRESSMEN PAUL TONKO
House Energy and Commerce Committee U.S. House of Representatives

DAVID WAGMAN
Content Director, Electric Power Events Group Access Intelligence

JOSEPH VAILLANCOURT
Vice President, Corporate Venturing Waste Management

PAUL VOLKMAN, CEM


Energy Program Manager US Army

JEFF HAHN
Cyber Security Manager GE Digital Energy

DAVID WALTERS
Former Governor of Oklahoma President Walters Power International

Connecting the Renewable Energy Community


Register with VIP Code: POWER and save 10%
www. RETECH2013.com

NAVIGATE YOUR CAREER IN THE


Employment Opportunities New Mass Burn Waste-to-Energy Facility
Resumes are now being accepted for employment in the new mass burn waste-to-energy facility in Palm Beach County, Florida. Instrumentation & Electrical Technicians Shift Supervisors Control Room Operators Equipment Operators Water Treatment Operator Auxiliary Operators Crane Operators

RIGHT DIRECTION

Stafng of key positions is scheduled for early 2014, with stafng of all positions completed by late 2014. Qualied candidates must be experienced in their eld. Prior waste-to-energy experience and certication preferred. Applicants can submit resumes to: Human Resource Manager Palm Beach Resource Recovery Corporation 6501 N. Jog Rd., West Palm Beach, FL 33412 cjweyhe@babcock.com 561-616-6222 / Fax: 561-616-6200 An Equal Opportunity Employer

CSC-ATD, LLC Johnson Space Center Houston TX is seeking a Registered Professional Engineer* for the position of High Voltage Manager! Ideal candidate will have a minimum 4 years experience maintaining and operating 138KV and 15KV class transmission, distribution equipment, and supervising Linemen. To apply, visit csc.com/careers job# 1300CCQ recruiter: janis.l.roderman@nasa.gov.
*PE Registration in Texas, or reciprocity from another State, is required.

CSC is an Equal Opportunity Employer, M/F/D/V

POWER PROFESSIONALS
Opportunities in Operations and Maintenance, Project Engineering and Project Management, Business and Project Development, First-line Supervision to Executive Level Positions. Employer pays fee. Send resumes to:
P.O. Box 87875 Vancouver, WA 98687-7875 email: dwood@powerindustrycareers.com (360) 260-0979 l (360) 253-5292 www.powerindustrycareers.com

CAREERS IN POWER
NAES Corporation is a leading provider of 3rd party O&M services to the Independent Power Industry. As we continue to grow, we have constant needs for power professionals across the nation. For more info, log onto: www.naes.com/careers

POWER PLANT BUYERS MART


TUBE PLUGS
Brass, S/S, Alum, Titanium, Alloy20, ChromeMoly, Monel, CuproNickel, Hastelloy.Buna-N, Fiber, Neoprene, Phenolic, Silicone

FOR SALE/RENT

24 / 7 EMERGENCY SERVICE BOILERS


20,000 - 400,000 #/Hr.

Silo and Bin Cleaning Services and Equipment

John R.Robinson Inc. Ph# 800-726-1026 www.johnrrobinsoninc.com


READER SERVICE NUMBER 200

DIESEL & TURBINE GENERATORS


50 - 25,000 KW

GEARS & TURBINES


25 - 4000 HP Air Pre-Heaters Economizers Deaerators Pumps Motors Fuel Oil Heating & Pump Sets Valves Tubes Controls Compressors Pulverizers Rental Boilers & Generators

WE STOCK LARGE INVENTORIES OF:

NEED CABLE? FROM STOCK


Copper Power to 69KV; Bare ACSR & AAC Conductor Underground UD-P & URD, Substation Control Shielded and Non-shielded, Interlock Armor to 35KV, Thermocouple Fax (773) 539-3500 Ph. (800) 227-4292 E-Mail: basicwire@basicwire.com WEB SITE: www.basicwire.com
READER SERVICE NUMBER 201
72

847-541-5600 FAX: 847-541-1279 WEB SITE: www.wabashpower.com

BASIC WIRE & CABLE

wabash
www.powermag.com

POWER
EQUIPMENT CO.

444 Carpenter Avenue, Wheeling, IL 60090

Call 800-322-6653 or visit www.molemaster.com


READER SERVICE NUMBER 203

READER SERVICE NUMBER 202

POWER August 2013

PRODUCT

Showcase

Disconnect switch rated plugs & receptacles are ideal for cord drop applications technicians can easily deenergize equipment without having to wear cumbersome PPE and without having to climb a ladder to disconnect power.

OFF Button
Provides push button circuit disconnection

READER SERVICE NUMBER 204

READER SERVICE NUMBER 205

To Advertise in POWER Classieds


CONTACT: Diane Burleson PHONE 512-337-7890 FAX 512-213-4855 dianeb@powermag.com
CONDENSER OR GENERATOR AIR COOLER TUBE PLUGS THE CONKLIN SHERMAN COMPANY, INC.

Safety Shutter Keeps NFPA 70E risk category =

FREE SAMP AA VILA BLE


800.433.7642 meltric.com
READER SERVICE NUMBER 206

Easy to install, saves time and money.


ADJUSTABLE PLUGS - all rubber with brass insert. Expand it, install it, reverse action for tight t. PUSH PULL PLUGS- are all rubber, simply push it in. Sizes 0.530 O.D. to 2.035 O.D. Tel:(203)881-0190Fax:(203)881-0178 E-mail:Conklin59@aol.comwww.conklin-sherman.com OVER ONE MILLION PLUGS SOLD

READER SERVICE NUMBER 207

GEORGE H. BODMAN, INC.


Chemical cleaning advisory services for boilers and balance of plant systems

George H. Bodman
Pres. / Technical Advisor
BoilerCleaningDoctor.com Ofce 1-800-286-6069

Ofce (281) 359-4006 PO Box 5758 E-mail: blrclgdr@aol.com Kingwood, TX 77325-5758 Fax (281) 359-4225
READER SERVICE NUMBER 208

Layup Desiccant Dehumidification & Filtration Units for long term layup of power generation equipment. Call us.

Tom Haarala 612-202-0765 thaarala@cdims.com Todd Bradley 810-229-7900 tbradley@cdims.com www.cdims.com

READER SERVICE NUMBER 209


August 2013 POWER

READER SERVICE NUMBER 210


www.powermag.com 73

POWER PLANT BUYERS MART


GAS TURBINES FOR SALE LM6000 FRAME 9E FRAME 5
50/60Hz, nat gas or liq fuel, installation and service available Available for Immediate Shipment Tel: +1 281.227.5687 Fax: +1 281.227.5698 John.clifford@woodgroup.com

READER SERVICE NUMBER 211

Turbine Controls Woodward, GE, MHC Parts and Service


TurboGen (610) 631-3480 info@turbogen.net
READER SERVICE NUMBER 212 READER SERVICE NUMBER 213

READER SERVICE NUMBER 214


74 www.powermag.com

POWER August 2013

Advertisers Index
Enter reader service numbers on the FREE Product Information Source card in this issue.
Page
www.alcatel-lucent.com/smartgrid www.appliedbolting.com www.babcock.com

Reader Service Number


Reader Service Page Number


ProEnergy Services . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Cover 4 . . . . . 30 Rittal Corp . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 54-55 . . . . . . 27 S&C Electric . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 45 . . . . . . . 22 Samsung C&T . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41 . . . . . . . 19 Santee Cooper . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 . . . . . . . . 7 Sealeze . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19 . . . . . . . 10 Siemens . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 . . . . . . . . . 3 SPX . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Cover 3 . . . . . 29
www.spxcooling.com www.victoryenergy.com www.victoryenergy.com www.weirminerals.com www.terrasource.com www.siemens.com/energy/solutionsets www.sealeze.com www.santeecooper.com www.secc.co.kr www.sandc.com www.rittal-corp.com www.proenergyservices.com/experience

Alcatel-Lucent . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 43 . . . . . . . 21 Applied Bolting . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48 . . . . . . . 23 Babcock & Wilcox . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-3 . . . . . . . . 2 Babcock Power . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 49 . . . . . . . 24 Baldor Electric. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17 . . . . . . . 90 Burns & McDonnell . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35 . . . . . . . 17 Carboline . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 42 . . . . . . . 20 Caterpillar . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 51 . . . . . . . 25 CleaverBrooks . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15 . . . . . . . . 8 Elgin Sweeper . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21 . . . . . . . 11 Kiewit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27 . . . . . . . 14 Magnetrol . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 . . . . . . . . 6 Mitsubishi Power Systems . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 . . . . . . . . . 4 NRG Energy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22 . . . . . . . 12 Paharpur . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 . . . . . . . . . 5 Process Barron . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 37 . . . . . . . 18
www.processbarron.com/power www.paharpur.com www.nrgenergy.com www.mpshq.com www.magnetrol.com www.kiewit.com www.elginsweeper.com www.cleaverbrooks.com/engineered www.catelectricpowerinfo.com/pm www.carboline.com www.burnsmcd.com www.baldor.com www.babcockpower.com

Victory Energy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Cover 2 . . . . . . 1 Victory Energy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 57 . . . . . . . 28 Weir Minerals . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 53 . . . . . . . 26 TerraSource Global . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23 . . . . . . . 13

Classified Advertising
Pages 72-74. To place a classified ad, contact Diane Burleson, 512-250-9555, dburleson@powermag.com

POWER
From the editors of POWER: The online magazine devoted to the coal-fired power generation industry
Te c h n o l o g i e s f o r c o a l - f i r e d p o w e r p l a n t s a r e e v o l v i n g ra p i d l y , a n d COA L P O W E R h a s e v o l v e d t o o . I n i t s l a t e s t o n l i n e f o r m a t y o u g e t everything you valued in print and so much more:
A c c e s s t o COAL POWE R w h e r e v e r y o u c a n u s e a b r o w s e r. Te c h n i c a l a r t i c l e s , c o a l p o w e r n e w s , b l o g s , o p i n i o n , a n d i n f o r m a t i o n . E a s y r e t r i e v a l o f a r c h i v e d COAL POWE R f e a t u r e s . Instant access to our advertisers for more information about their products. The ability to comment on stories and share your knowledge with the c o a l - b u r n i n g p o w e r p l a n t c o m m u n i t y. Job board.

Subscribe today for e-mail alerts when each new issue is posted. e-mail: subscribe@coalpowermag.com

T h e n v i s i t t h e o n l i n e h o m e o f COAL POWE R w w w. c o a l p o w e r m a g . c o m

August 2013 POWER

www.powermag.com

75

COMMENTARY

Soul of the Universe


By Mark Glaess
he theologian John Wesley, so taken with electricity, reverently called it the soul of the universe. Less impressed, perhaps, are state regulatory commissions that nonetheless set service territory boundaries to avoid the added expense in duplicative facilities. Becoming the sole source of the good stuff also invited regulation of rates, service standards, and whatever else commissions could conjure. That model has worked well for many of the 3,250 or so electric cooperatives, municipal-owned utilities, and private power companiesdespite efforts at deregulation, a memorable but largely disastrous effort to introduce competition. The enactment of renewable standards affecting half of the states, along with net metering in 43 states, has challenged power suppliers. Still, the reliable service territory law ensures a base of customers to pay for those mandates, whether beneficial or not.

velop renewable energy, including solar, to meet the interest of the co-ops member-owners. Responding to customers (a novel idea given the domain utilities have been given to dictate) provides a way to scale solar based on membership appetite and pay attention to thisensure that solar deployment covers the cost for the facilities necessary to offset the intermittency driven by clouds and dark of night.

Iowa Goes First Now comes an Iowa District Court that favors competition at the expense of the incumbent utility. The Iowa Utilities Board (IUB) ruled that Eagle Point Solar could not deliver electricity to a municipal building in Dubuque because that was the province of the local utility, Interstate Power and Light. On appeal, the Polk County District Court said otherwise. That ruling noted that Eagle Point Solar was not a utility in the statutory sense, that the company didnt own infrastructure, and that it couldnt meet the buildings total load, among other defining utility characteristics. The District Court opined that solar should be treated similarly to conservation andget thisto encourage the development of alternative energy as balancing against the utilities monopoly status. Boom, the exclusivity of the service territory law is off the board, at least in Polk County, Iowa. (The decision has been appealed by the IUB, utility interests that intervened, and Eagle Point Solar.) Ah, solar. In the past five years the cost of solar has dropped 61%. USA Today said that over that same period the average homeowner has seen an annual rate increase of some $300. Next year the U.S. is predicted to be the worldwide leader in solar deployment. Allan Kind, in a paper entitled Disruptive Challenges written for the Edison Electric Institute, observed that solar growth is limited to about 20 major utilities in states that possessed three characteristics for deployment: sun, subsidies, and high electric rates. Being on someones tab for subsidies has long been attractive to renewable interests, but the certainty of ever-escalating rates will make solar all that more attractive as a hedge against rates certain to increase. Electric cooperatives, an occasionally contemplative bunch, formed the National Renewables Cooperative Organization to de76

Electric cooperatives, an occasionally contemplative bunch, formed the National Renewables Cooperative Organization to develop renewable energy, including solar, to meet the interest of the co-ops member-owners.
New Utility Paradigm Electric utilities are no longer the soul of their service area. New entrants will take roofs away from them and, if the Iowa District Court decision is upheld and replicated elsewhere, then the exclusivity will go the way of, well, exclusive service areas. Think not? Consider then an admittedly overhyped observation by NRG Energy CEO David Crane, who is of the mind that, say, Hardware Hank will soon sell generating units to slap onto a homeowners natural gas line to firm rooftop solar. That would make the next call, once the province of survivalists, to the utility to disconnect that line. In 2009, Anya Kamenetz wrote an article in Fast Company that said the microgrid could be the answer to our energy crisis. The availability of the juice isnt an issue, but the quality of that kilowatt-hour is. Kamenetz wrote of a neighborhood in Cambridge, Mass., buying renewables from Sue Butlers home that supplied power to houses on either side of her boutique energy plant. IBM VP of Strategy and Development for Energy Allan Schurr was quoted as saying, distributed energy is happening. If Iowa, first in the nations presidential caucus, also dictates utility decisions, the case decided by the Polk County District Court will presage the energy equivalent of mobile phones. Now is the time to determine how to incorporate solar into the array of electric options available to your customers because most assuredlyothers are doing so. Mark Glaess is manager of the Minnesota Rural Electric Association.
POWER August 2013

www.powermag.com

HARNESS THE POWER OF COLD-END OPTIMIZATION

A FU LL RANG E OF COLD-E N D COM PON E NTS Theres no doubt the cold-end of a component system is highly complicated and vastly interdependent. Even a minimal change in condenser specications affects the performance and/or the specications of the cooling tower and vice-versa. Fortunately, SPX has experience in the full range of cold-end components including SPX Heat Transfer LLC condensers and Marley cooling towers to provide an optimized solution to keep your system running smoothly and efciently. The potential benets of an optimized system include: Greater power generation capacity Decreased auxiliary power usage Decreased system lifetime costs Optimized footprints for space constrained sites

SPX HEAT TRANSFER LLC

SPX COOLING TECHNOLOGIES, INC

2121 North 161 East Avenue Tulsa, Oklahoma 74116 USA P: 918 234 6000 info@spxht.com spxheattransfer.com
CIRCLE 29 ON READER SERVICE CARD

7401 West 129 Street Overland Park, KS 66213 USA P: 913 664 7400 spxcooling@spx.com spxcooling.com

Power Generation Services

Fast Track Power Solutions

Energy Parts Solutions

Depot Services

CIRCLE 30- ON READER SERVICE CARD

You might also like