HVDC Inter-Island Link Upgrade Project Pole 1 Replacement Options Report No: Revision: Date: 598-05-4000-1 2 1 August 2005 ʧ Teshmont HVDC Inter-Island Link Upgrade Project - 598-05-4000-1 Pole 1 Replacement Options Disclaimer This report was prepared under the supervision of Teshmont Consultants LP. (“Teshmont”), whose responsibility is limited to the scope of work as shown herein. Teshmont disclaims responsibility for the work of others incorporated or referenced herein. This report has been prepared exclusively for Transpower NZ Ltd. and the project identified herein and must not be reused or modified without the prior written authorization of Teshmont. Rev 2 - 1 August 2005 i ʧ Teshmont HVDC Inter-Island Link Upgrade Project - 598-05-4000-1 Pole 1 Replacement Options Table of Contents Page 1. Introduction ..................................................................................................................1 2. Recent HVDC Refurbishment Projects .......................................................................1 2.1 2.2 2.3 Nelson River Bipole 1- Pole 1 .............................................................................................1 Nelson River Bipole 1 Pole 2 ..............................................................................................2 Pacific Intertie Mercury-Arc Valve Replacement ................................................................4 3. Costs of Replacement of Benmore-Haywards Pole 1 on Piece by Piece Basis.........8 3.1 3.2 3.3 Option 1 - Piece by Piece Equipment Replacement ..........................................................8 Option 2: Single Pole with Equivalent Rating and Voltage of the Existing Pole1 ..............9 Option 3: Replace with Single Pole with Equivalent Rating to Pole 2..............................10 4. Discussion..................................................................................................................10 5. Conclusions ...............................................................................................................11 6. References.................................................................................................................12 Rev 2 - 1 August 2005 ii ʧ Teshmont HVDC Inter-Island Link Upgrade Project - 598-05-4000-1 Pole 1 Replacement Options 1. Introduction This document describes an assessment of two possibilities for replacement of Pole 1 of the Benmore-Haywards HVDC link; i) complete replacement and ii) replacement of the pole by replacement of individual pieces of equipment. The assessment was carried out at the request of Transpower. Renewal of HVDC systems by other owners in recent years has followed both of the philosophies noted above. The reasons for following a particular philosophy of replacement are primarily economic but may not be exclusively so. This memo discusses in a qualitative way some of the factors considered in some of the recent HVDC refurbishments. The systems that are most relevant to this discussion are the replacement by Manitoba Hydro of the mercury-arc valves on the Nelson River Bipole 1 system and the recent replacement of the mercury-arc valves by Bonneville Power Authority (BPA) and Los Angeles Department of Water and Power (LADWP) on the Pacific Intertie system. The memo concludes, based on cost and other factors, that complete replacement of the equipment with new equipment is the preferable replacement option for NZ HVDC Pole 1. 2. Recent HVDC Refurbishment Projects There are two projects that have recently been refurbished in conjunction with phase out of the mercury-arc valves at these stations; the Nelson River Bipole 1 Valve replacement and the MAV replacement of the Pacific Intertie. It is useful to consider the circumstances that lead to the upgrade paths selected in each case as they may be directly relevant to the upgrade of the HVDC Hybrid Link in New Zealand. 2.1 Nelson River Bipole 1- Pole 1 The Nelson River Bipole 1 HVDC system consists of three mercury-arc valve groups in each pole. The MAV’s were replaced in two steps. The first Pole consisting of three mercury-arc valve groups was replaced in the early 1990’s while the second pole was replaced in 2004. The replacement of the first pole was justified based on the shortage of spare parts, especially porcelains, for the mercury arc valves. When the first pole was replaced, the six individual valve groups in each 6-pulse valve group were replaced by three double-valves, which could be accommodated within the original valve halls as shown in Figure 2-1. This required the replacement of all of the equipment in the valve halls except the bypass switch, which needed to be retained due to the series configuration of valve groups within each pole. Other equipment that was replaced included the valve cooling equipment and the valve group controls. Oil filled reactors in the ac and dc filters were also replaced to reduce maintenance effort and reduce a source of unreliability. Valve damping components that were no longer needed following removal of the mercury-arc (MA) valves were removed. The converter buildings, converter transformers, ac filters and synchronous condensers were not replaced. The Bipole level controls were also retained. These controls are of an analogue design and are not duplicated. Spares are not a problem as Manitoba Hydro has its own in-house designs of the control cards and has the ability to manufacture replacements locally. Rev 2 - 1 August 2005 1 ʧ Teshmont HVDC Inter-Island Link Upgrade Project - 598-05-4000-1 Pole 1 Replacement Options Nelson River Pole 1 - Rearrangement of Equipment within Each 6-Pulse Valve Group During Valve Replacement Figure 2-1 2.2 Nelson River Bipole 1 Pole 2 By 2003, it had become clear that the second pole of mercury arc valves should also be replaced. Reasons for the replacement included • • • Deteriorating reliability of the MAV's and associated equipment. Continuing high maintenance costs for the valves combined with a decline in the number of skilled personnel available for maintenance. Concern for the converter transformers, which are stressed by arc-backs and CAB’s. The condition of the converter transformers was known to be deteriorating and Manitoba Hydro had already embarked on a programme of providing spares for each type of transformer. Rev 2 - 1 August 2005 2 ʧ Teshmont HVDC Inter-Island Link Upgrade Project - 598-05-4000-1 Pole 1 Replacement Options • Favourable market conditions. Due to the lull in HVDC market at the time, and because the timing was just after the replacement of the MAV’s at Celilo it was felt that the prices would be favourable. Other items of note include: • It was decided not to replace the controls (with the exception of the valve firing controls) as these controls were still functioning reliably and Manitoba Hydro personnel were fully capable of maintaining the controls. • The buildings at both converter stations were in good shape and no significant changes would be needed to accommodate the new valves. • The insulators for the valve stands had recently been replaced. • Manitoba Hydro did not want to replace the converter transformers as they had already initiated a program of obtaining converter transformer spares. • Manitoba Hydro wanted to perform much of the construction work using its own construction forces. • Much of the development work for the roll-on valve had already been completed by suppliers for the Celilo valve replacement and thus the supplier was in a good position to offer a favourable price. Another supplier also offered a roll-on valve of a new design at a very competitive price. A third valve design similar to the earlier Pole 1 replacement carried out earlier was not competitive with the two roll-on designs. All of the above factors made it extremely favourable for use of a roll-on replacement valve rather than a full replacement of the MAV equipment. The final configuration selected was a onefor one replacement of the six MAV’s in the valve hall with thyristor valves. As with the Pole 1 replacement, it was necessary to retain the bypass switch because of the series valve groups in the pole. Rev 2 - 1 August 2005 3 ʧ Teshmont HVDC Inter-Island Link Upgrade Project - 598-05-4000-1 Pole 1 Replacement Options Nelson River Bipole 1 Pole 2 – Showing One-for-One Replacement of Each MAV In One Valve Group Figure 2-2 2.3 Pacific Intertie Mercury-Arc Valve Replacement The Pacific Intertie project in the western USA has also undergone a recent upgrade in which the MAV’s have been replaced by thyristor valves. The replacement method used was different at the two ends primarily due to condition of equipment. The configuration of the Pacific Intertie prior to and after the upgrade is shown conceptually in Figure 2-3 and Figure 2-4. The initial project included three 133 kV valve groups per pole. Due to conservative line design, it was possible to add a fourth series 100 kV group at a later time. This was implemented using thyristors rather than mercury-arc valves. Later it was decided to add parallel valve groups to fully use the current capability of the line conductors. The parallel valve groups consisted of a single 500 kV - 550 MW valve group in each pole. At the Celilo Station, the Converter transformers and other HVDC equipment were in relatively good condition. As the Celilo area has lower seismic requirements and has had fewer earthquakes during the lifetime of the plant than the Los Angeles region there was less concern Rev 2 - 1 August 2005 4 ʧ Teshmont HVDC Inter-Island Link Upgrade Project - 598-05-4000-1 Pole 1 Replacement Options with the condition of the building or equipment. The primary concern was over the condition of the mercury-arc valves, which could easily be replaced on a one-for-one basis. These factors made the selection of roll-on valves to replace the mercury arc valves at Celilo extremely favourable. At Sylmar, the situation was quite different compared to Celilo: • The converter transformers were not in good condition due to the effects of earthquakes. • The original converter building was not in good condition due again to the effects of an earthquake that had resulted in damage to the MAVs. There was also a safety concern due to the spillage of mercury in earlier earthquakes. • Even the converter transformers of the 1100 MW expansion were considered suspect as some damage had occurred in the Northridge earthquake. The bushings of the spare transformers were also damaged. Thus it was felt that transformers with higher earthquake withstand capability were needed. • The building of the 1100 MW expansion valve groups was designed to higher seismic standards and was large enough to accommodate a single 500 kV 12-pulse valve group per pole with sufficient rating to replace all five valve groups in the pole. A new building was not needed. • Replacing the five existing valve groups with a single converter would significantly reduce maintenance and would solve an ac system restriction that existed between the two buses at the Sylmar station. Taken together these factors clearly pointed to a different upgrade path than was chosen at Celilo. It was decided to replace all of the HVDC equipment at Sylmar with two new ±500 kV valve groups with a total rating of approximately 3200 MW. Rev 2 - 1 August 2005 5 ʧ Teshmont HVDC Inter-Island Link Upgrade Project - 598-05-4000-1 Pole 1 Replacement Options Sylmar Station 12P-THY 12P-THY 6P-THY 6P-MA 6P-MA 6P-MA 6P-MA 6P-MA 6P-MA 6P-THY 6P-MA 6P-MA 6P-MA 6P-MA 6P-MA 6P-MA 12P-THY 6P-THY 6P-THY 12P-THY Celilo Station Valve Group Configuration of the Pacific Intertie prior to MAV Replacement Figure 2-3 Rev 2 - 1 August 2005 6 ʧ Teshmont HVDC Inter-Island Link Upgrade Project - 598-05-4000-1 Pole 1 Replacement Options Valve Group Configuration of the Pacific Intertie after MAV Replacement Figure 2-4 The equipment shown in red in Figure 2-4 indicates the main equipment changed in the upgrade of the Pacific Intertie project. Rev 2 - 1 August 2005 7 ʧ Teshmont HVDC Inter-Island Link Upgrade Project - 598-05-4000-1 Pole 1 Replacement Options 3. Costs of Replacement of Benmore-Haywards Pole 1 on Piece by Piece Basis The cost of replacing the HVDC equipment in Pole 1 at Benmore and Haywards has been estimated to determine whether there is any advantage to taking a piece-by-piece replacement approach or a complete replacement approach. The cost of equipment and construction only was considered without factoring in such factors as costs due to outage time. The costs were determined using Teshmont’s in-house HVDC estimating sheet, which is based on prices for recent projects, and pricing information requested from suppliers for other projects. Due to the short time frame of this work, it was not possible to obtain new costs for this project. Items not included in the cost estimates any of the Options are: • • • • • • 3.1 AC breakers for the converter valve groups. It is assumed that the existing breakers would be used in the one-for-one replacement option Synchronous condensers. - In any new configuration including the piece-by piece replacement, it should be reviewed whether the condensers should be installed at the tertiary of the converter transformers. From an operational point of view it would be preferable if the condensers were connected at the 110 kV or 220 kV buses using unit transformers. However this would not be easy to achieve in the piece-by-piece replacement scenario due to space constraints at the site. The Haywards synchronous condensers are an important part of the system voltage control in the Wellington region and are needed to provide adequate short circuit capacity for reliable HVDC recovery following disturbances. The inertia of the condensers also helps to reduce the frequency drops during transient disturbances. For these reasons it is expected that the routine maintenance synchronous condensers would continue regardless of whether the HVDC is replaced on a piecemeal or complete basis. The cost of new unit transformers has been added for the complete HVDC replacement options. For the piece-by-piece replacement, the cost of the converter transformers includes an allowance for tertiary windings to accommodate the condensers. Taxes and duties. Interest during construction. Cost of losses is not considered but by inspection the losses in the piece-by piece replacement option where all four valve groups are retained as in the present configuration, would be significantly higher than if pole 1 were replaced by a single 12pulse valve group at each station. Cost of outages needed when replacing equipment on a piece-by-piece basis. Option 1 - Piece by Piece Equipment Replacement The estimated costs shown in Table 3-1 below were determined based on replacing the equipment at each converter station with the four valve groups retained in the same configuration as the existing Pole 1 configuration. The cost includes a contingency amount for additional civil works to strengthen the building or improve foundations/retaining walls for other equipment as needed. The amount cannot be established with confidence at the moment but, as some subsidence in both the converter buildings and synchronous condenser foundations has been noted, it is considered prudent to add an allowance to permit the necessary remedial work. Rev 2 - 1 August 2005 8 ʧ Teshmont HVDC Inter-Island Link Upgrade Project - 598-05-4000-1 Pole 1 Replacement Options Table 3-1 Estimated Cost Breakdown (per station) For a Replacement of Pole 1 Valve Groups On a Piece by Piece Basis Unit Cost Total Cost USD 4 Valve Groups $4,700,000 $18,600,000 4 Control Sets $1,500,000 $6,000,000 1 DC Filter (Reuse existing) $0 $0 4 Smoothing Reactor Coils(2 per Pole) $1,150,000 $4,600,000 DC Valve Group Switching for 4 groups $475,000 $1,900,000 (bypass switch and disconnects) 4 Valve Group Cooling 14 Converter Transformers (2 spare) DC Line Switching AC Filters Electrode Line Switching (disconnects plus commutating switches/etc) $575,000 $2,250,0003 $2,300,000 $31,500,000 $240,000 $950,000 $480,000 $1,900,000 $800,000 Miscellaneous (Arresters, Auxiliary power, Instrument Transformers) $2,320,000 Installation of Converter Equipment Civil Work Converter Building Contingency for additional civil work, seismic strengthening, correction of settlement1 $16,300,000 $1,900,000 $1,900,000 $3,000,000 Valve Hall Air Conditioning/Air handling (four halls) Overhead2 TOTAL $500,000 $2,000,000 $19,440,000 $114,940,000 Notes: 1. Civil work contingency is very preliminary. The work would be defined following detailed site investigations. A substantial value is needed due to indications of settlement of the converter building and synchronous condenser foundations at Haywards. 2. Overhead includes engineering, project management, owner's administration, and 10% overall contingency. 3. Includes cost of tertiary winding for the condensers at Haywards. At Benmore the transformers would be slightly cheaper but it would be necessary to add a new interconnecting transformer between the 16 kV and 220 kV bus. 3.2 Option 2: Single Pole with Equivalent Rating and Voltage of the Existing Pole1 Costs for 600 MW, 270 kV, 1 valve group per pole (per station): USD$63,800,000 This assumes a new converter valve hall adjacent to the pole 2 building, new ac filters, new dc side switches, new step-up transformers for the synchronous condensers at Haywards and a third 220/16 kV interconnecting bank at Benmore. New smoothing reactors are also assumed at each station. Cost of dismantling and disposal of the existing Pole 1 equipment is not included. Rev 2 - 1 August 2005 9 ʧ Teshmont HVDC Inter-Island Link Upgrade Project - 598-05-4000-1 Pole 1 Replacement Options 3.3 Option 3: Replace with Single Pole with Equivalent Rating to Pole 2 Costs for 560 MW, 350 kV, 1 valve group per pole (per station): ........................USD$65,800,000 The assumptions are the same as for Option 2. 4. Discussion Many of the technical issues that provide support for replacing or refurbishing Pole 1 have been documented in the condition assessment of the Pole 1 equipment by Transpower[1] and the 17 July report prepared by Mike O’Brien [2]. These factors include many of the same factors that have lead to the replacement of mercury arc valves at other locations. • High cost of maintaining mercury arc valves • Declining number of skilled personnel to maintain valves both within New Zealand and worldwide. • Health concerns with mercury • Earthquake risks ( the MAV’s, damping components and pole 1 converter building at Haywards would not be capable of withstanding the design basis earthquake) • Concern over converter transformer condition due to the cumulative effects of arc-backs and CAB’s. • Age of equipment especially valves, bushings, valve-damping equipment. Spares of this equipment are no longer available. • The ac filter capacitors are also questionable due to seismic concerns and corrosion of the capacitor can mounts. While spares can be obtained, the cost of individual spare capacitor cans is significantly higher than cost of replacing the complete filters with new components. • Fire risk • Concern over control system reliability • Audible noise concerns with older equipment • Synchronous condenser unreliability (the synchronous condensers on the HVDC transformer tertiaries are required for voltage control of the HVDC system) As these reports indicate that most of the major equipment in pole 1 is in need of major refurbishment or replacement, the above issues provide a relatively strong case for complete replacement rather than piece-by-piece replacement. Piece by piece replacement would be advantageous only if there were some major equipment that was in good condition with sufficient remaining life to make it worth maintaining. The equipment would also need to have a low risk of sudden deterioration due to end of life effects. In the case of Pole 1 there is very little equipment that has significant useful life remaining. The MAV’s, converter transformers, ac filters and dc controls are all reaching end of life. The converter buildings especially at Haywards may not have adequate seismic capability. The only major equipment that appears worth retaining is the synchronous condensers (C7-C10) which can likely be refurbished for much less than replacement cost. The condensers are needed to provide short circuit strength inertia and voltage control in the Haywards area, regardless of which upgrade option is selected, and therefore planned maintenance expenditures on the condensers should continue. Comparing the cost of these replacement options further strengthens the case for full replacement rather than piece-by-piece replacement. The cost estimates indicate that installation of a new single 12-pulse valve group to replace the four 6-pulse valve groups now making up Pole 1 would be about 55% of the cost of a one-for-one replacement of the existing equipment. As there would be significantly less equipment in the single 12-pulse valve group configuration, Rev 2 - 1 August 2005 10 ʧ Teshmont HVDC Inter-Island Link Upgrade Project - 598-05-4000-1 Pole 1 Replacement Options the control complexity would be less, the amount of maintenance needed would be less and the reliability would be expected to be higher than the existing arrangement. The control system would be a standard solution common for both poles. The configuration at Benmore would seem to be more likely to be suitable for a piece-by-piece replacement as there are some limitations in interconnecting bank capacity between the 16 kV busses and the 220 kV. However, the above cost estimates indicate that the price differential between a completely new pole and piece-by-piece replacement is high enough to allow the purchase of an additional interconnection bank between the 16 kV bus and the 220 kV bus. This would make it possible to flexibly dispatch the Benmore generation for use on the South Island or for transmission to the North using either pole of the HVDC. The piece-by-piece replacement solution would also involve very extensive outages of existing capacity, and significant difficulties (especially at Haywards) in working around and close to other operational equipment. This could add huge additional costs not factored into the above cost estimates. These technical difficulties and associated costs could well completely rule out the piece-by-piece replacement option. Installation of a completely new 12-pulse converter at the 220 kV buses at both Benmore and Haywards would result in a symmetrical HVDC circuit configuration and would remove some operating limitations of the existing system. The new pole could be completely constructed while the existing pole 1 equipment remains in service. This would avoid the inconvenience and costs associated with long outages and allow commissioning to begin at any suitable time. It would also be possible to switch back to the existing Pole 1 equipment when not actively testing during commissioning. Consolidation of the four existing 6-pulse valve groups in Pole 1 into a single new 12-pulse converter would provide many advantages including reduced maintenance, reduced footprint, reduced audible noise and simplified operation. 5. Conclusions The condition assessment indicates that there is very little major equipment or infrastructure (buildings) in Pole 1 at Benmore or Haywards that can be maintained in service without substantial effort and cost for refurbishment. It is also significantly cheaper (by a ratio of about 1.8 to 1) to install a single new 12-pulse converter per pole rather than refurbishing the 4 existing 6-pulse valve groups at each station. A single new 12-pulse converter would have lower losses and simplified main circuit configuration. This would improve reliability and make operation and maintenance easier. As there is very little existing equipment in Pole 1 that would have substantial remaining life with little risk of sudden deterioration or failure, there are no apparent technical or financial benefits to upgrade Pole 1 of the HVDC link on a piece by-piece basis. Construction of a completely new 12-pulse converter would also permit the existing Pole 1 equipment to remain in service until the new Pole 1 equipment can be commissioned thus avoiding inconvenience and costs associated with long outages during construction and commissioning. Based on these considerations, the most suitable way to refurbish the existing Pole 1 equipment would be complete replacement as a single 12-pulse converter at each station. Rev 2 - 1 August 2005 11 ʧ Teshmont HVDC Inter-Island Link Upgrade Project - 598-05-4000-1 Pole 1 Replacement Options 6. References 1. “HVDC Link Pole 1 Condition And Risk Assessment” dated June 2005 prepared by Transpower 2. “HVDC Transmission Pole Life Extension Options” dated 17th July 2005 prepared by Michael O’Brien Rev 2 - 1 August 2005 12 ʧ Teshmont