Emerging energy generation and storage technology by Mark Tinkler

Future of Energy Summit

MaRS Discovery District

Toronto, Canada Dan Rastler

Electric Power Research Institute

Electric Energy Storage Systems for the Electric Enterprise Trends and Opportunities

Presented by:Mark TinklerPrincipal Energy ConsultantEmerging Energy Options

June 8, 2012

2© 2012 Electric Power Research Institute, Inc. All rights reserved.

Key Takeaways

• Key Technical Challenges in the Electric Enterprise offer New Business Opportunities

• The Evolving Smart Grid Landscape is a channel to new products and services; business models

• Energy Storage Solutions / Services are a key thread and part of this evolving landscape;

• Opportunities for the right enabling technology(ies), services solution(s), providers, business model(s)

• Global markets vary & require different solutions

• Barriers and economics are also challenging – but that is why there is the opportunity for Innovation!

5© 2012 Electric Power Research Institute, Inc. All rights reserved.

Help Move Technologies to the Commercialization Stage…

EPRI’s Role…

Technology Accelerator!

7© 2012 Electric Power Research Institute, Inc. All rights reserved.

Key Strategic Technical Issues in the Electric Enterprise

Long-TermOperations

SmartGrid

EnergyEfficiency

Near ZeroEmissions

Water ResourceManagement

Renewable Resourcesand Integration

Solutions and services in each of these areas are potential growth & new business opportunities

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Today’s Power System …is Evolving, Creating New Opportunities for Products and Services

Central generation, one-way power flow, passive consumersCentral generation, one-way power flow, passive consumers

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Tomorrow’s Power System …will require expertise and know how in a variety of disciplines/services

Distributed generation & Storage, two-way power flow, Distributed generation & Storage, two-way power flow,

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Drivers and Opportunities for Electric Energy Storage Solutions in the U.S.

• Managing increased wind and PV penetration on the grid • Increased need for flexible grid: Ancillary Services, balancing • Transmission and Distribution grid asset management

– Managing grid peaks, T&D capital deployment, outage mitigation • High penetration of distributed PV systems on the grid• Enhancing the value of a Smart Grid: peak energy management;

end-use energy management.

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ThermalStorage

Bulk Storage

The Roles of Storage on the GridUtility or customer side of meter; central to distributed; “silent & clean capacity“;

energy management when and where it is needed.

V2G

Ancillary Services

DistributedStorage

DistributedStorage

ResidentialStorage

CommercialStorage

Emerging Energy Options E2OSource: Sandia Report: Energy Storage for the Electricity Grid, Feb ruary 2010

Categorizing Energy Storage Applications

Emerging Energy Options E2OSource: Sandia Report: Energy Storage for the Electricity Grid, Feb ruary 2010

Application-Specific Benefits and Market Potential (US)

14© 2012 Electric Power Research Institute, Inc. All rights reserved.

Technology Trends and ReadinessElectric Energy Storage Options

Research Development Demonstration Deployment Mature Technology

Time

Ant

icip

ated

Lev

el o

f RD

&D

Inve

stm

ent

Compressed Air Energy Storage (CAES)

Pumped Hydro

Flow Batteries

Left end of arrow indicates current status;Right end of arrow indicates estimated 2020 development level.

Nano-capacitors

Flywheels

Superconducting Magnetic Energy Storage (SMES)

Super-capacitors

Adiabatic CAES

2nd Generation

NaS

Li-ion

Lead AcidAdvanced Lead Acid

ZnCl FeCr ZnBr

Adv Li / metal Zn / Air

Na-ion

NaNiCl2

1st Generation

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Energy Storage Demonstrations in the U.S. Planned or Underway – List is Not Complete

SMUD 500 kW / 3 MWh ZnBrSacramento, CA (Premium Power)

SMUD 5 kW / 9 kWh Li-ion(Saft)

25 kWh Li-ionBerkeley, CA (Seeo)

Amber Kinetics FlywheelFremont, CA (LLNL)

PG&E 300 MW Adv. CAESKern County, CA (EPRI)

250 kW / 1 MWh Iron / Chrome flow battery Modesto, CA (Ktech Corp )

SCE 8 MW / 32 MWh Li-ionTehachapi, CA (A123)

PNM Adv, Lead AcidAlbuquerque, NM (East Penn)

PJM 20 MW FlywheelChicago, IL (Beacon)

KCP&L Li-ionKansas City, MO (Dow Kokam, Siemens)

DTE 500 kW / 250 kWh Li-ionMI (A123)

AEP 2 MW Li-ion for CESOH (International Battery, S&C)

Carnegie Melon Na IonPittsburgh, PA (Aquila)

NGrid 500 kW / 3 MWh ZnBrSyracuse, NY (Premium Power)

NYSEG 145 MW Adv. CAESWatkins Glen, NY (EPRI)

SustainX 1 MW / 4 MWhIsothermal CAES MA / NH

NGrid 500 kW / 3 MWh ZnBrEverett, MA (Premium Power)

DTE 500 kW / 250 kWh Li IonMA (A123)

Duke 20 MW TBD Wind SupportNotrees, TX

25 MW Zn-Air Flow BatteryModesto, CA (Primus)

PJM 3MW Adv Lead AcidLyon Station, PA (East

Penn, Ecoult)

Xcel Energy 1.5 MW / 1.0 MWDenver, Co (Xtreme Power)

25 kW / 50 kWh NaNiCl2(FIAMM)

PG& E NaS Battery(NGK)

Vanadium ReDox(Prudent Energy)

17© 2012 Electric Power Research Institute, Inc. All rights reserved.

UCSD: 15 kWh(Sanyo)

SMUD: 5kW / 9kWh(Saft)

HECO: 5 kW / 20 kWh(GreenSmith)

HECO: 1 MW / 15 min(Altairnano)

Southern Co: 60 kW / 240 kWh(GreenSmith TS)

Progress Energy: 5 kW/ 20 kWh(GreenSmith TS)

AES: 1 MW / 250 kWh(Altairnano)

NYPA: 1 MW / 250 kWh(Ultralife Corp)

SCE: 8 MW / 32 MWh(A123)

DTE: 500 kW (A123)

AEP: 2 MW(Int’l Battery)

KCPL: 1 MW(Dow Kokam)

Battery OEMs• A123Systems• AltairNano• EnerDel• Saft• Dow Kokam• International Battery• GreenSmith /

Thundersky• Sanyo• Ultralife• Electrovaya• Kokam• Boston Power

Auto Major Contract No Auto Contract

*Size of star indicates scale of demo

Current / Planned U.S. Li-ion Demonstrations List is Not Complete

SCE: distributed Li-ion systems, 10 kWh

each(LG Chem)

APS: 0.5 MW(Electrovaya, ABB)

Duke Energy: 25 kW & 250 kW (Kokam)

Field Trials of Li-ion Systems has Accelerated in the past 2 years

Southern Co: 25 / 75 kWh(RW Beckett)

19© 2012 Electric Power Research Institute, Inc. All rights reserved.

Present Value Installed Cost in $/kWhAccounting for both capital and operating costs

Notes: All costs in 2012$; Costs will vary significantly based on site-specific conditions;

Financials: IOU ownership; 15 year life; $30/MWH off-peak charging costs; natural gas @ $3/MBtu for CAES

20© 2012 Electric Power Research Institute, Inc. All rights reserved.

The Value of StoragePresent value of benefits expressed in $/kWh is a proxy for total allowable installed cost

$0

$200

$400

$600

$800

$1,000

$1,200

$1,400

$1,600

$1,800

$2,000

Target High Target High Target High Target High Target High

CAISO ERCOT ISONE NYISO PJM

PV $

/kW

h of

Ene

rgy

Stor

age System Capacity

VAR Support

Distribution Losses

Defer Dist. Investment

Voltage Support

Power Reliability

In ISO NE, there may be a few places where storage costing up to $650/kWh is justified.

But in most places in ISO NE, storage must cost less than $350/kWh to be justified.

21© 2012 Electric Power Research Institute, Inc. All rights reserved.

The Value of Storage

$0

$200

$400

$600

$800

$1,000

$1,200

$1,400

$1,600

$1,800

$2,000

Target High Target High Target High Target High Target High

CAISO ERCOT ISONE NYISO PJM

PV $

/kW

h of

Ene

rgy

Stor

age

Regulation

System Capacity

VAR Support

Distribution Losses

Defer Dist. Investment

Voltage Support

Power Reliability

Regulation services offer a way to improve value…

…assuming storage is allowed to bid into the market

22© 2012 Electric Power Research Institute, Inc. All rights reserved.

Opportunities in the Energy Storage Value Chain

• Anode

• Cathode

• Electrolyte

• Packaging

• New enabling materials

System Integration

DC Storage

System

Packages

Power

Electronics

Controls

Materials Service Provider

• DC Packs

• Firmware for SOC Mgt

• Packaging

• Lower cost sub systems

• 1-phase

• -3phase

• Bi-directional

• Islanding

• Lower cost systems

• Smart Inverters

• Application solution provider

• Turn key system provider

• Smart Grid Integration

• O&M Support and Services

• Planning & Analysis tools and services

• Application solution provider

• IPP

• ESCO

• Smart Grid Integration

• O&M Support and Services

• Tools & software to monetize value streams and support business case

• Aggregation & management

23© 2012 Electric Power Research Institute, Inc. All rights reserved.

Some Key Areas to Consider

• PV and Storage Solutions– Max Penetration of PV on Distribution Grid– Storage / non-storage solutions

• Customer Premise Energy Solutions– Development of win-win solutions for customer / utility– Natural gas DG + Storage - “the killer app?”

• Centre of Excellence for Storage / DG in Smart Grid– Industry cluster; Public/Private Partnership– Inter-governmental collaboration

25© 2012 Electric Power Research Institute, Inc. All rights reserved.

Together…Shaping the Future of Electricity

Dan Rastler

Sr. Mgr. Strategic Initiatives and Demonstrations

Electric Power Research [email protected]

650-855-2034

Presented by:Mark TinklerPrincipal Energy ConsultantEmerging Energy [email protected]: 705-745-1243