Assessing the Technical Feasibility of Integrating Renewable Energy Targets in the India Energy Security Scenarios 2047 v2.0 Investment and Operational Insights from Grid Planning and Dispatch Analysis Prepared for the NITI Aayog Nikit Abhyankar Amol Phadke August 2015 1 Assessing the Technical Feasibility of Integrating Renewable Energy Targets in the India Energy Security Scenarios 2047 v2.0: Key Findings from Grid Dispatch Simulations Prepared for the NITI Aayog Dr. Nikit Abhyankar, Dr. Amol Phadke Lawrence Berkeley National Laboratory In this document, we describe the methodology and the key results of the hourly grid dispatch simulation for the financial year 2047 (April 2046 through March 2047). The main objective of this simulation exercise is to assess the preliminary technical feasibility of some of the key energy pathways identified in the model and broadly identify the storage and balancing electricity requirement for the grid integration of renewable energy. Methodology and Assumptions We built a grid planning and dispatch model for India and simulated the hourly grid operation in FY 2047 by modeling generator unit commitment and dispatch for meeting the demand; the objective of the model is to minimize the generation cost including the variable costs (fuel, variable O&M etc) and startup and shut-down costs.1 We enforced several operational constraints such as generator ramp rates, minimum stable generation level, outages, minimum down time etc. No transmission constraints are considered in this simulation. Based on the electricity demand and supply scenarios defined in the India Energy Planning Tool, we run the simulation chronologically through all hours of the financial year 2047 (April 2046 through March 2047) in hourly intervals. In addition to the optimal grid dispatch, the simulation also estimates the balancing electricity requirement for integrating renewable energy. We conducted this exercise for the following four energy pathways identified in the Indian Energy Security Scenarios (IESS) model (v2.0): 1. 2. 3. 4. 5. 6. 7. Least Effort Pathway Determined Effort Pathway Aggressive Effort Pathway Heroic Effort Pathway Renewable and Clean Energy Pathway Minimum Emissions Pathway Maximum Energy Security Pathway 1 We built the model in Plexos, which is industry standard grid dispatch simulation software used by grid dispatchers, policymakers, utilities and researchers across the world. 2 Note that this study tests only the preliminary feasibility of grid dispatch and broadly identifies storage and balancing needs. A comprehensive study, which looks at transmission constraints and investments, specific storage technologies, and flexible capacity needs, would be required to answer more specific questions on the feasibility of grid dispatch and grid integration strategy of renewables. Electricity Demand IESS creates four levels of demand – each with different assumptions on the growth of electricity consumption in the country and efficiency of electricity utilization. Using these demand levels, we simulated an hourly demand curve for the financial year 2047 based on the historical hourly demand patterns in the country, load growth, and projected urbanization. The following charts show the hourly demand in the country for each demand level. Hourly Electricity Demand (bus-bar) - GW 1000 Demand Level 1 (Peak Load = 921 GW; Energy Demand = 5548 TWh) 900 800 700 600 500 400 300 200 100 0 Apr-46 May-46 Jun-46 Jul-46 Aug-46 Sep-46 Oct-46 Nov-46 Dec-46 Jan-47 Feb-47 Mar-47 Apr-47 For demand level 2, the electricity demand reduces by nearly 10% because of the undertaken energy efficiency measures, as can be seen from the following chart. Hourly Electricity Demand (bus-bar) - GW 900 Demand Level 2 (Peak Load = 827 GW; Energy Demand = 4985 TWh) 800 700 600 500 400 300 200 100 0 Apr-46 May-46 Jun-46 Jul-46 Aug-46 Sep-46 Oct-46 Nov-46 Dec-46 Jan-47 Feb-47 Mar-47 Apr-47 3 In level 3, the demand reduces further by about 15%. Hourly Electricity Demand (bus-bar) - GW 800 Demand Level 3 (Peak Load = 692 GW; Energy Demand = 4172 TWh) 700 600 500 400 300 200 100 0 Apr-46 May-46 Jun-46 Jul-46 Aug-46 Sep-46 Oct-46 Nov-46 Dec-46 Jan-47 Feb-47 Mar-47 Apr-47 The demand reduces further by about 5% in level 4. Hourly Electricity Demand (bus-bar) - GW 700 Demand Level 4 (Peak Load = 654 GW; Energy Demand = 3941 TWh) 600 500 400 300 200 100 0 Apr-46 May-46 Jun-46 Jul-46 Aug-46 Sep-46 Oct-46 Nov-46 Dec-46 Jan-47 Feb-47 Mar-47 Apr-47 In all demand levels, the electricity demand peaks in the summer (April through June) mainly due to space cooling load. It drops somewhat in the monsoon (July onwards) while the demand is lowest in the winter (November – February). Because of the space cooling load, the demand in the summer is mostly afternoon peaking. Winter demand, on the other hand has two distinct peaks – one in the morning (due to water heating) and one in the evening (due to lighting). The following chart shows the average daily load curve for summer (April-May) and winter (December through February) in FY 2046-47 for demand level 1. 4 Average Demand in Summer (April-May) (Level 2) 800 700 600 500 400 300 200 100 0 Average Hourly Demand (bus-bar) GW Average Hourly Demand (bus-bar) GW 900 900 Average Demand in Winter (Dec-Feb) (Level 2) 800 700 600 500 400 300 200 100 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Hour of the Day 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Hour of the Day Electricity demands for other demand levels would be lower, but will follow a very similar pattern. Each of the selected pathway assumes a different demand level. The pathway and corresponding demand level table is shown below: Pathway Demand Level Least Effort 1 Determined Effort Aggressive Effort Heroic Effort 2 3 4 Renewable and Clean Energy 2 Pathway X 3 Min Emissions 4 Max Energy Security 4 Installed Capacity As defined in the selected pathways, the following table shows the installed capacities (GW) in 2047 by technology for all pathways: Coal Gas_CCGT Nuclear Hydro Biomass+Cogen Hydro_Small Wind Solar Electricity Imports Waste to Electricity Storage Total Peak Load Least Effort Determined Effort Aggressive Effort Heroic Effort Pathway X Min Emissions 681 132 78 150 20 30 551 930 0 6 Renewable and Clean Energy 413 83 78 105 23 30 551 833 0 6 494 83 26 75 11 20 290 405 0 4 261 37 78 150 20 30 472 930 0 6 Max Energy Security 368 132 45 105 20 20 472 833 0 6 261 37 11 49 5 9 71 56 504 0 368 50 26 75 11 15 222 243 135 4 539 83 45 105 23 20 332 449 0 6 5 1008 921 25 1173 827 33 1635 692 43 2621 654 43 2164 827 33 1441 692 43 2026 654 43 2043 654 5 It can be seen that in several of the selected pathways, the generation capacity is significantly higher than the peak demand for that pathway – except for least effort and determined effort pathways. For these two pathways, the capacity reserve margin is very small and as explained subsequently, significant additional balancing resources would be necessary to avoid electricity shortages. Many pathways have very high renewable energy penetration, which could be seen in the following table showing the share of each technology in total electricity generation in 2047. Least Effort Determined Effort Aggressive Effort Heroic Effort Coal 31% 50% 48% 17% Renewable and Clean Energy 34% Pathway X Min Emissions Max Energy Security 56% 18% 28% Gas_CCGT 4% 6% 0% 1% 1% 0% 0% 1% Nuclear 1% 4% 8% 14% 11% 4% 14% 8% Hydro 2% 4% 7% 10% 6% 5% 10% 7% Biomass+Cogen 1% 2% 0% 0% 0% 0% 0% 0% Hydro_Small 0% 1% 1% 2% 2% 1% 2% 1% Wind 3% 10% 15% 21% 18% 15% 21% 22% Solar 2% 10% 21% 34% 28% 18% 34% 32% Electricity Imports 8% 2% 0% 0% 0% 0% 0% 0% Waste to Electricity 0% 1% 0% 0% 0% 0% 0% 0% Storage 0% 0% 0% 0% 0% 0% 0% 0% Additional Grid Balancing Support (Peaking plants etc) Total 47% 12% 0% 0% 0% 0% 0% 0% 100% 100% 100% 100% 100% 100% 100% 100% Operational Assumptions The assumptions regarding operational characteristics of generating plants such as ramp rates, heat rates, auxiliary consumption, outages etc are given in the following table. Unit Size (MW) Minimum Stable Level (%) Heat Rate (GJ/MWh) Auxiliary Consumption % Forced Outage Rate (%) Maintenance Rate (%) Maximum Ramp up (MW/min) Maximum Ramp down (MW/min) Start Cost ($) Coal Super Critical Gas_CCGT 660 50% 9 8% 5% 5% 2 2 10000 250 40% 7 3% 5% 5% 1 1 10000 Nuclear 410 100 50% 0% 10 0 10% 1% 5% 5% 5% 5% 1 10 1 10 10000 0 Small Hydro 20 20 0% 0% 12 0 10% 0% 5% 5% 5% 5% 0.5 2 0.5 2 100 0 Coal_CCS 660 40% 9 10% 5% 5% 2 2 10000 Hydro Biomass 6 Waste to Electricity Grid Balancing Resource (Open Cycle Gas CT) 20 0% 12 10% 5% 5% 0.5 0.5 100 50 0% 12 2% 5% 5% 5 5 100 Renewable Energy Hourly wind generation patterns (onshore) have been extrapolated from the historical actual wind generation profiles in the key states like Maharashtra and Tamilnadu. Same pattern (with higher capacity factors) are assumed for offshore wind. Solar PV generation profiles have been estimated using System Advisor Model (SAM) of National Renewable Energy Laboratory. SAM takes the historical solar irradiance data and projects the expected hourly PV output. Same irradiance pattern is used for CSP, albeit with dispatchable storage. The following charts show the average seasonal profiles (normalized to the annual average) of onshore wind and solar PV generation (national level). The same profiles have been used in all the pathways. 4.5 Wind 2.0 Average Summer Day Average Monsoon Day 1.5 Average Winter Day 1.0 0.5 Normalized PV Generation (Annual Average = 1) Normalized Wind Generation (Annual Average = 1) 2.5 4.0 3.5 Average Summer Day Solar Average Monsoon Day Average Winter Day 3.0 2.5 2.0 1.5 1.0 0.5 0.0 0.0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Hour of the day 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Hour of the day One can see that the wind generation in India peaks in Monsoon (June through August) and has a favorable diurnal profile for meeting an afternoon peaking space cooling load. Moreover, in monsoon, wind generation is significant for all 24 hours, which is not the case in winter and therefore has a major impact on the integration costs/strategies. Solar generation peaks in the summer and the diurnal profile does not change much across seasons. The seasonal complementarity between wind and solar generation is also evident from the above charts. In summer, solar generation peaks while overall wind generation is low; in monsoon, wind generation peaks while solar generation drops. Both solar and wind generation drop significantly in winter; thus, for aggressive renewable energy penetration pathways, most of the grid balancing support (storage, gas CT etc) is required in the winter. Key Findings Based on the simulation results, we find that all the pathways are technically feasible and the electric grid can be reliably dispatched with support from additional grid balancing / flexible sources like open cycle gas turbines, storage (batteries, pumped hydro etc) or smart grid /demand response etc. 7 Balancing Electricity for Renewable Integration In general, when the grid has very high RE penetration, the system would need significant capacity of flexible resources in order to integrate the renewable energy projects into the grid reliably. The key services provided by the grid balancing sources are primarily: (a) capacity support during peak load hours, (b) ramping support (ramp-up and ramp-down) particularly during morning and evening peak hours, and (c) energy support during winter evening peak periods, as wind and solar outputs drop. In case of Least Effort and Determined Effort Pathways, significant grid balancing support in the form of additional hydro / gas turbine power plants would be required. Interestingly, in both scenarios such additional resources are needed to meet the electricity demand reliably and not necessarily to integrate the renewable energy. In all other pathways, there is significant over-capacity in generation with conventional and dispatchable generation covering nearly 80-90% of peak demand. Therefore, there is no need for additional flexible resources for grid balancing. The following table shows the additional grid balancing requirement for each pathway. Pathway Additional Grid Balancing Support (GW) (storage, peaking plants etc PLF Least Effort Determined Effort 335 82 89% 84% Aggressive Effort 0 0% Heroic Effort Renewable and Clean Energy Pathway X Min Emissions Max Energy Security 0 0 0% 0% 0 0 0 0% 0% 0% In the Least Effort and the Determined Effort pathways, significant additional grid balancing support is required. This is because the planned generation capacity is not able to meet the electricity demand fully. Therefore, the grid balancing resources are used not only as flexible resources but also as energy resources, which is evident from their high capacity factors (PLFs). In all other scenarios, although the renewable energy penetration is very high, the conventional capacity already available to balance such high RE penetration is also high and therefore, no additional flexible resources are required. RE Curtailment and Storage Requirements In most of the pathways presented above, the renewable energy penetration is as high as 30-60% by energy. In some pathways, the installed capacity of renewables is significantly higher than the system peak demand. For example, in the Heroic Effort or Minimum Emissions pathways, renewable capacity is more than 1400 GW and the system peak demand is 650 GW. Therefore, at times (particularly, during 8 peak RE seasons i.e. summer and monsoon), the total RE generation is more than the demand or the conventional plants cannot back down anymore because of the system security constraints or minimum flow constraints of the hydro power plants. In those hours, renewable energy needs to be curtailed. As shown in the hourly dispatch charts (negative generation), the curtailment could be significant in summer and monsoon (average hourly curtailment reaching as high as ~165GW in monsoon). For Heroic effort and Minimum Emissions pathways, more than 15% of the energy generated by wind and solar projects needs to be curtailed for a reliable grid operation. Note that with aggressive RE penetration, winter requires significant energy support especially to meet the evening peak. This implies that the cost-effective energy storage solution should be cross-seasonal i.e. it should be able to transfer the energy from summer/monsoon to winter. For example, the total RE curtailment in the Minimum Emissions pathway is more than 80% of the total hydro generation. Battery storage or other diurnal storage technologies would help manage the diurnal capacity support issues (like ramping, reserves, and other ancillary services) in summer or monsoon, but their support would be limited in winter. Hydro projects (with optimized dispatch) could serve as the cross-seasonal energy storage; however, their effectiveness would be restricted given the long construction lead times and limited potential in the country. Therefore, aggressive demand response (for peak capacity issues) and energy efficiency programs (for energy support) would be the key to the grid balancing solutions. Hourly Dispatch The following charts show the average hourly grid dispatch for each pathway in summer (April-May), monsoon (June-August) and winter (December-February). 9 Least Effort Pathway Key insight: Electricity Imports (from the Calculator) and Grid Balancing resources dominate the total supply. Although renewables penetration is significantly lower than the other pathways, significant grid balancing support is required – mainly as a base load energy resource. Average hourly dispatch in each season Least Effort - Summer (April - May) 900 Generation at bus-bar (GW) 700 500 300 100 -100 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Hour of the day -300 Least Effort - Monsoon (June - August) 900 Generation at bus-bar (GW) 700 500 300 100 -100 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Hour of the day -300 Least Effort - Winter (Dec - Feb) 900 Generation at bus-bar (GW) 700 500 300 100 -100 1 2 -300Nuclear Other_RE Storage 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Hour of the day Coal Wind Grid_Balancing Gas Solar RE Curtailment Hydro Electricity_Imports 10 Determined Effort Pathway Key insight: Solar PV and CSP (with thermal storage) make significant dent in the summer afternoon peak, while wind provides significant electricity in monsoon. However, grid still needs additional balancing resources as a base load supply to meet the demand; solar thermal storage does help, but given its installed capacity the grid needs additional balancing support. Average hourly dispatch in each season Determined Effort - Summer (April - May) 900 Generation at bus-bar (GW) 700 500 300 100 -100 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Hour of the day -300 Determined Effort - Monsoon (June - August) 900 Generation at bus-bar (GW) 700 500 300 100 -100 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Hour of the day -300 Determined Effort - Winter (Dec - Feb) 900 Generation at bus-bar (GW) 700 500 300 100 -100 -300 1 2 3 Nuclear Other_RE Storage 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Hour of the day Coal Wind Grid_Balancing Gas Solar RE Curtailment Hydro Electricity_Imports 11 Aggressive Effort Pathway Key insight: Renewable energy generation increases. But there is enough conventional capacity in the grid to integrate that. No RE curtailment is necessary. Average hourly dispatch in each season Aggressive Effort - Summer (April - May) 900 Generation at bus-bar (GW) 700 500 300 100 -100 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Hour of the day -300 Aggressive Effort - Monsoon (June - August) 900 Generation at bus-bar (GW) 700 500 300 100 -100 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Hour of the day -300 Aggressive Effort - Winter (Dec - Feb) 900 Generation at bus-bar (GW) 700 500 300 100 -100 -300 1 2 3 Nuclear Other_RE Storage 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Hour of the day Coal Wind Grid_Balancing Gas Solar RE Curtailment Hydro Electricity_Imports 12 Heroic Effort Pathway Key insight: Significant increase in the RE capacity requires the conventional plants to back down to their minimum during summer and winter. Given the large conventional capacity available, no additional grid balancing is required but significant RE curtailment is necessary in all seasons. Solar CSP (with storage) helps in meeting the evening peak demand in all seasons. Average hourly dispatch in each season Heroic Effort - Summer (April - May) 900 Generation at bus-bar (GW) 700 500 300 100 -100 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Hour of the day -300 Heroic Effort - Monsoon (June - August) 900 Generation at bus-bar (GW) 700 500 300 100 -100 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Hour of the day -300 Heroic Effort - Winter (Dec - Feb) 900 Generation at bus-bar (GW) 700 500 300 100 -100 -300 1 2 3 Nuclear Other_RE Storage 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Hour of the day Coal Wind Grid_Balancing Gas Solar RE Curtailment Hydro Electricity_Imports 13 Minimum Emissions Pathway Key insight: Significant increase in the RE capacity requires the conventional plants to back down to their minimum during summer and winter. Given the large conventional capacity available, no additional grid balancing is required but significant RE curtailment is necessary in all seasons. Solar CSP (with storage) helps in meeting the evening peak demand in all seasons. Average hourly dispatch in each season Min Emissions - Summer (April - May) 900 Generation at bus-bar (GW) 700 500 300 100 -100 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Hour of the day -300 Min Emissions - Monsoon (June - August) 900 Generation at bus-bar (GW) 700 500 300 100 -100 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Hour of the day -300 Min Emissions - Winter (Dec - Feb) 900 Generation at bus-bar (GW) 700 500 300 100 -100 -300 1 2 3 Nuclear Other_RE Storage 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Hour of the day Coal Wind Grid_Balancing Gas Solar RE Curtailment Hydro Electricity_Imports 14 Renewable and Clean Energy Pathway Key insight: RE penetration is lower than the Minimum Emissions and Heroic Efforts Pathways. Therefore, RE curtailment is significantly lower (~5%). The grid still has very large under-used conventional capacity. Therefore, no additional balancing support is required. Average hourly dispatch in each season Renewable and Clean Energy - Summer (April - May) 900 Generation at bus-bar (GW) 700 500 300 100 -100 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Hour of the day -300 Renewable and Clean Energy - Monsoon (June - August) 900 Generation at bus-bar (GW) 700 500 300 100 -100 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Hour of the day -300 Renewable and Clean Energy - Winter (Dec - Feb) 900 Generation at bus-bar (GW) 700 500 300 100 -100 -300 1 2 3 Nuclear Other_RE Storage 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Hour of the day Coal Wind Grid_Balancing Gas Solar RE Curtailment Hydro Electricity_Imports 15 Maximum Energy Security Pathway Key insight: RE penetration is lower than the Minimum Emissions and Heroic Efforts Pathways. Therefore, RE curtailment is somewhat lower (~10%). The grid still has very large under-used conventional capacity. Therefore, no additional balancing support is required. Average hourly dispatch in each season Max Energy Security - Summer (April - May) 900 Generation at bus-bar (GW) 700 500 300 100 -100 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Hour of the day -300 Max Energy Security - Monsoon (June - August) 900 Generation at bus-bar (GW) 700 500 300 100 -100 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Hour of the day -300 Max Energy Security - Winter (Dec - Feb) 900 Generation at bus-bar (GW) 700 500 300 100 -100 -300 1 2 3 Nuclear Other_RE Storage 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Hour of the day Coal Wind Grid_Balancing Gas Solar RE Curtailment Hydro Electricity_Imports 16