Engineering Papers⌕ Search

SEARCH · Engineering Papers

Results for “PRICES”

Search indexed NASA NTRS and DOE OSTI research on propulsion, heat transfer, battery materials and energy systems. Follow report and document links to the original sources.

Quote a phrase for an exact phrase match. Source license links do not imply unrestricted reuse.

At least 775 records · Page 43

DSO+T: Transactive Energy Coordination Framework (DSO+T Study: Volume 3)

This report describes a transactive energy coordination scheme designed to integrate into existing day-ahead and real-time wholesale energy markets. This scheme was evaluated in the Distribution System Operator with Transactive (DSO+T) study to assess the engineering and economic performance of the transactive energy coordination of a large-scale deployment of distributed energy resources (DER). Transactive agents were developed for a range of DERs (heating, ventilation, and air conditioning units, water heaters, batteries, and electric vehicles) that optimize flexibility over a 48-hour horizon and adjust their strategy in response to changes in real-time prices. A transactive energy coordination scheme, executed by a DSO retail market operator, aggregates these DER bids from participating customers and clears them against a DSO supply curve using a double auction market mechanism. The process of constructing the price-quantity DSO supply curve includes distribution-level transportation constraints (for example, substation congestion limits) and forecast locational marginal price of the DSO’s connected transmission node. The resulting day-ahead and real-time quantities are then bid into a competitive wholesale market operated by an independent system operator. This report also details additional capabilities for proper marketplace simulation such as wholesale price, weather, and load forecasting. The report concludes with a discussion of lessons learned and key design features required to ensure successful operation.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

Stand-Alone and Hybrid Electric Thermal Energy Storage in the System Advisor Model

This project developed stand-alone electric-thermal energy storage (ETES), stand-alone pumped thermal energy storage (PTES), and hybrid molten-salt power tower (MSPT)-ETES performance and dispatch optimization techno-economic models. The models are available to the public through the System Advisor Model (SAM) software, scripting, and as open-source code. We compared results of the dispatch model to PLEXOS dispatch of a similar generator using the same initial grid pricing signal and found our dispatch model performed well, but closer agreement between the models was limited by the inherent differences between price-taker and unit commitment models. Nevertheless, the price-taker models developed in this project are useful to analyze proposed ETES and PTES technologies because they provide more detailed system and component models, solve several orders of magnitude faster, and are available as free open-source software. The model results represent the most optimistic returns considering grid arbitrage from the input electricity pricing, so the financial results can be applied as a feasibility stage-gate. We also submitted a journal draft paper that describes the ETES dispatch model methodology and demonstrates model functionality. An accepted journal article will serve as peer-reviewed documentation for the models, along with the open-source code, SAM help-menu content, and eventually this final project report.

14 SOLAR ENERGY↗

Hydropower Value Drivers

Conventional hydro resources generate the majority of their value by providing energy under most conditions, but the relative fraction of value generated by providing ancillary services and capacity increases with increasing penetration of resources with zero fuel costs. Pumped storage hydropower resources generate the majority of their value by providing capacity under most conditions, but the relative fraction of value generated by providing energy increases with increasing penetration of resources with zero fuel costs. The total value of conventional hydropower generally decreases in systems with increasing penetration of resources with zero fuel costs; this is largely due to the associated decrease in average energy prices. The total value of pumped storage generally increases in systems with increasing penetration of resources with zero fuel costs, largely due to opportunities to operate in pumping mode when energy prices are low or even negative. Energy storage representation must be enhanced to ensure that models accurately capture system value streams for these resources. Current power system models have a limited ability to capture the price dynamics of ancillary services, and it is still challenging to assess the role and magnitude of ancillary service value streams in future systems. Power systems are currently in a state of rapid and dramatic evolution due to a number of different factors, including the increasing penetration of variable renewable energy (VRE) sources, such as wind and solar, and battery energy storage systems (BESS). This evolution will change the way power systems are fundamentally planned and operated. Some of these changes may be incremental, while others may be more significant, but the result will likely be parallel evolution in the definition and requirement of different grid services and therefore a subsequent shift in their relative values. This report presents a framework developed to identify such system value drivers and quantify their relative impact on several different value streams, with a specific focus on implications for conventional hydropower and pumped storage hydropower (PSH) resources. This value drivers framework (VDF) encompasses five core analytical steps: 1. Identify potential drivers and develop scenarios, 2. Execute production cost models, 3. Calibrate prices, 4. Optimize hydropower operations, and 5. Quantify value drivers.

13 HYDRO ENERGY↗

Hybrid Power Plants: Status of Operating and Proposed Plants, 2023 Edition [Slides]

Improving battery technology and the growth of variable renewable generation are driving a surge of interest in “hybrid” power plants that combine, for example, wind or solar generating capacity with co-located batteries. While most of the current interest involves pairing photovoltaic (PV) plants with batteries, other types of hybrid or co-located plants with wide-ranging configurations have been part of the U.S. electricity mix for decades. This annually updated briefing tracks and maps existing hybrid or co-located plants across the United States while also synthesizing data from power purchase agreements (PPAs) and generation interconnection queues to shed light on near- and long-term development pipelines. The scope includes “co-located hybrids” that pair two or more resources (e.g., multiple types of generation and/or generation with storage) that are operated largely independently behind a single point of interconnection, and “full hybrids” that also feature coordinated operations of the co-located resources. The focus is on plants with one megawatt (MW) or more of capacity; smaller (often behind-the-meter) projects are also increasingly common, but are not included in this data synthesis. Key findings from the latest briefing include: -At the end of 2022, there were 374 hybrid plants (>1 MW) operating across the United States (+25% compared to the end of 2021), totaling nearly 41 GW of generating capacity (+15%) and 5.4 GW/15.2 GWh of energy storage (+69%/+88%). PV+storage plants are by far the most common, dominating in terms of plant number (213), storage capacity (4.0 GW/12.5 GWh), storage:generator capacity ratio (49%), and storage duration (3.1 hours). But there are nearly twenty other hybrid plant configurations as well, including several different fossil hybrid categories (each dominated by the fossil component) as well as wind+storage, wind+PV, wind+PV+storage, geothermal+PV, and others. -Last year was another strong year for PV+storage hybrids in particular: 59 of the 62 hybrids added in 2022 were PV+storage. As of the end of 2022, there was roughly as much storage capacity operating within PV+storage hybrid plants as in standalone storage plants (~4 GW each). In storage energy terms, however, PV+storage edged out standalone storage by ~2 GWh (12.5 GWh vs. 10.4 GWh, respectively). -Interconnection queue data show continued strong developer interest in hybridization. At the close of 2022, there were 51% more hybrid plants—representing 59% more generating capacity—in interconnection queues across the United States than there were at the end of 2021. Solar dominates these proposed plants as well: at the close of 2022, there were 457 GW of solar capacity proposed as a hybrid (representing ~48% of all solar capacity in the queues), most typically pairing PV with battery storage. At the same time, there were 24 GW of wind capacity proposed as a hybrid (representing ~8% of all wind capacity in the queues), again most-often pairing wind with storage. Meanwhile, more than half of all storage in the queues is estimated to be part of a hybrid plant. While many of the plants proposed in the queues will not ultimately reach commercial operations, the depth of interest in hybrid plants—especially PV+storage—is notable, particularly in certain regions. For example, in CAISO, 97% of all solar capacity and 45% of all wind capacity in the queues is proposed as a hybrid. -The report also surveys power purchase agreement (PPA) price data from a sample of operating and proposed PV+storage plants. Though PV+storage PPA prices have fallen over time, “levelized storage adders” have recently increased somewhat to ~$\$ $7000/MW-month, ~$\$ $60/MWh-stored (assuming one full cycle per day), or ~$\$ $15/MWh-PV. Some of the recent price increase could simply reflect a trend towards higher battery:PV capacity ratios over time, which increases costs, all else being equal. The well-publicized impact of inflationary and supply chain pressures on battery prices is no doubt a contributor as well.

25 ENERGY STORAGE↗

Marine Algae Industrialization Consortium (MAGIC): Combining biofuel and high-value bioproducts to meet the RFS

The Marine Algae Industrialization Consortium (MAGIC) was formed to address pressing challenges in the commercialization of microalgae as a source of biofuel. The “Marine Algae Industrialization Consortium (MAGIC): Combining biofuel and high-value bioproducts to meet the RFS” project formally addressed two US Department of Energy Bioenergy Technologies Office (BETO) goals: (1) Model the sustainable supply of 1 million metric tonnes ash free dry weight (AFDW) cultivated algal biomass and (2) Demonstrate valuable co-products produced along with biofuel intermediates to increase value of algal biomass by 30%. To achieve these goals, the project demonstrated and validated high-value co-products to drive down the cost of biofuel by increasing the value of algae “co-products” towards increasing the selling price of total algae biomass as one of the key drivers of economics and adoption. This was accomplished through five core, interdependent tasks including: (1) strain selection to identify and deliver strains for mass culture, (2) mass culture using a hybrid cultivation system and following key operating parameters for downstream applications to provide algae feedstock, (3) recovery and conversion to evaluate two alternative methods to separate dry algae biomass into oil and residuals for downstream testing, (4) product assessment to determine biofuel, aquafeed or poultry feed product efficacy using algae biomass fractions as well as to provide critical performance data for valuation and (5) commercialization to use technoeconomic and life cycle assessments (TEA/LCA) as iterative design and assessment tools including consideration of target markets, competitors, and distribution channels to guide product assessment, development and valuation. A total of 46 peer-review publications, many open-access, provide detail of much of the work carried out and the results of the tasks. Additional reports and presentations provide other technical and public engagement material. At a high level, using a variety of approaches, more than 1000 marine microalgae strains were evaluated to ultimately identify the seven winners that were down-selected to be grown in mass culture. Strain selection demonstrated that there were no ‘super strains’ and that each candidate had strengths and limitations for specific products, growth conditions or operational considerations. Mass culture growth of these seven strains at >5000 L / 29 m 2 scale found that four them were suitable for product assessment. More than 250 kg of biomass was produced across hundreds of pond runs along with thousands of cultivation entries on the growth and biomass characteristics as well as environmental parameters. In the process, dozens of standard operating procedures were generated as was custom software to process and analyze cultivation data. Recovery and conversion of algae biomass demonstrated that a hexane solvent based extraction protocol was most effective at recovering oil (biocrude) from algae and four strains were processed to produce oil and lipid extracted algae (residuals) for downstream testing. Membrane-based oil separation was less successful, but may still be applicable to other commercial applications in the future. Product testing demonstrated that algae biocrude is of high quality and hydrotreating generated numerous fractions of high quality composition for fuel and lubricate based applications. Aquafeed studies performed at a variety of scales showed that both whole and defatted (lipid extracted algae) microalgae were suitable as a feed ingredient, but that the specifics of the fed animal and biochemical composition of the algae are critical factors when determining formulation. Similarly, poultry studies on whole and defatted microalgae generally showed positive outcomes on animal growth and health, with some microalgae providing enhanced nutritional composition of the animal product. Economic and life cycle assessments covered a wide range of possible commercialization and sustainability scenarios. Replacement value, improved product value added, consumer values marketing added valuation and improved animal health were considered as alternatives for microalgae valuation. Using the open pond system, algae productivity was identified as the key driver of commercialization economics, but combination of co-products (e.g. animal feed) with biofuel production substantially increased the total selling price of algae. Modeled microalgae selling price exceeded $\$$1500/tonne and could generate competitive biofuel selling prices below $\$$5 gallon gas equivalents using realistic algal productivities. Short (process scale) and longer (decadal trends) sustainability assessments show that marine microalgae can enhance the sustainability of energy production and lead to other realized benefits in water, fertilizer and land use for other sectors (e.g. agriculture). This project successfully demonstrated all of the components of an end-to-end process from mass microalgae cultivation and dewatering, to recovery and conversion of algae biomass components, to final product demonstration and process valuation; the combined results provide a framework for future commercialization of algae based biofuels.

09 BIOMASS FUELS↗

Empirical Assessment of Interregional Coordination to Support Resource Adequacy [Slides]

This study examines where interregional transmission could most effectively support resource adequacy in the contiguous United States. We use hourly load, renewable generation, and real-time price data from 2016–2023 for 18 planning subregions to identify periods of elevated adequacy risk, defined as the top 100 annual hours of net load and wholesale prices in each region. We then measure the temporal coincidence of these peak periods between adjacent regions and compare price patterns to assess the potential for capacity sharing. Results show that NorthernGrid West, a winter-peaking region, has low coincidence of peak net load with its summer-peaking neighbors, indicating high potential for interregional support. In contrast, regions in the Northeast have highly coincident peak periods, suggesting limited adequacy benefits from additional transmission. Price-based analysis shows peak-hour differences in the Midwest and between ERCOT and neighboring regions, indicating potential economic benefits from increased transfers. The findings provide an empirical screening of where transmission may offer the greatest reliability benefits without adding new generation capacity.

24 POWER TRANSMISSION AND DISTRIBUTION↗

Progressing Analysis of Variable Electric Rates (PAVER) Study

The Progressing Analysis of Variable Electric Rates (PAVER) study analyzed the impact of a range of time-varying electric rates on the performance of a regional electric grid and the resulting costs for participating and non-participating customers. This analysis leveraged and extended the work of PNNL’s Distribution System Operator with Transactive (DSO+T) study. Five different rate designs were included: a flat volumetric energy charge, a typical Time of Use (TOU) rate, a dynamic energy (DE) rate (based on wholesale locational marginal prices), a dynamic energy and capacity (DE+C) rate, and, finally, a Block and Swing (B&S) rate that billed customers based on their average load profile at constant pricing, but used the DE+C dynamic price for load deviations from their average profile. These rates were analyzed in a large-scale co-simulation of an entire regional grid with a customer population representative of the current state. A large fraction (80%) of residential and commercial customers were assumed to participate in these time-varying rates with automatically controlled HVAC, water heaters, electric vehicles, and batteries. This study assumed no industrial sector participation. The DE and DE+C rates saw system peak loads reduced by 6-7%, while the large participation in the TOU rate case saw a significant rebound effect and a resulting peak load increase of >5%. The impacts to the annual and peak system demand impacted system wholesale prices and the overall grid operating costs. This cost structure determined the revenue needed to be collected from customers by each rate design. Participating customers on the DE and DE+C rates (located in one of the modeled DSOs) saw reductions in average annual electricity bills of 11-17% with average increases in monthly bill variation of no more than 13%. At such high participation levels, TOU customers saw 10% higher average annual bills (due to system-wide rebound effects) and average increased monthly bill variation of 16%. Residential owners of large flexible loads (such as electric vehicles) saw larger bill savings (17-20%) when on a fully dynamic rate. The presence of on-site generation (such as rooftop solar) did not appear to appreciably change customer outcomes. Customers on the Block and Swing rate did see 6% lower monthly bill variation (as intended) than the flat rate case, but at the expense of appreciable bill savings, which were only 3%, comparable to the savings seen by non-participants. Given this finding we recommend that additional research be conducted into how best various bill protection mechanisms can balance minimizing customer bill variation with providing financial incentives commensurate with the flexibility customers provide. We also recommend that customer outcomes be explored across a range of regions using current actual customer and system cost data.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

Storing Affordability: Battery Storage as an Asset to Reduce Data Center Cost Shifts

This report examines how battery energy storage systems (BESS) can help utilities accommodate large load growth while protecting affordability for existing ratepayers. Rapid growth in electricity demand from artificial intelligence (AI) data centers is straining the U.S. grid. Furthermore, many new data centers are entering rural markets, which could offer economic benefits but may also pose implementation challenges for smaller utilities. At the same time, retail electricity prices are increasing faster than inflation, elevating customer affordability as a key challenge. While data centers have not been the primary driver of increases in residential prices to date, they have pushed wholesale energy and capacity prices higher in several markets. Fundamental utility cost-allocation principles show that data center growth can be rate-positive for existing customers only if new peak demand grows faster than the costs a utility must incur to serve it. Several factors, including a utility’s degree of wholesale market exposure, forecast uncertainty and stranded-asset risk, and tariff design can determine the outcome of load growth on retail rates. Energy storage can make several affordability contributions in the face of this landscape of uncertainty and market volatility, including deferral of higher-cost grid investments through improved utilization of existing assets and flexibility of new large loads, insulation from volatile wholesale prices through peak shaving, and reliability support to address grid risks stemming from the behavior of AI data center loads. Different potential BESS deployment pathways—utility-scale front-of-the-meter systems, aggregated small-scale storage installations, and data center-sited behind-the-meter storage—are compared against each other and against conventional capacity alternatives. This framework is intended as a conceptual resource to utilities, particularly smaller public utilities with rural service territories, who may be considering the role that energy storage can play in insulating existing ratepayers from data center cost shifts.

25 ENERGY STORAGE↗

GCAM v4.3 SSP-RCP-GCM Output Products

Supplemental dataset to: Graham N.T., M.I. Hejazi, M. Chen, E. Davies, J.A. Edmonds, S.H. Kim, and S. Turner, et al. 2020. "Humans drive future water scarcity changes across all Shared Socioeconomic Pathways." Environmental Research Letters 15, no. 1:Article No. 014007. PNNL-SA-151297. doi:10.1088/1748-9326/ab639b This analysis makes deterministic classifications of how, when water resources are limited and constrained, the human and climate systems interact. The relative effects of both systems on water scarcity are quantified at global and basin scales across 15 global futures that include five different socioeconomic conditions (the Shared Socioeconomic Pathways, SSPs) and four different climatic conditions (the Representative Concentration Pathways, RCPs). These 15 scenarios are used to first analyze a 'Human Alone' component by isolating the human impact on future scarcity. This is accomplished by holding all climate variables to their 2005 levels while altering socioeconomic growth and technological change. General circulation model (GCM) derived climate impacts for five models are applied to establish 75 'Human and Climate' scenarios which allows for the quantification of climate impacts. Climatic impacts to water supply, agricultural productivity and change, hydropower availability, and building energy demands are applied from 5 different bias-corrected GCMs to make a suite of 75 climate runs. By subtracting the human derived impacts from the 'Human Alone' scenarios, from the 'Human and Climate' scenarios the climate impact is isolated. First, the drivers of future water scarcity are evaluated by isolating the impacts that both humans and climate have while accounting for feedbacks between humans, energy, and land. Secondly, the simultaneous impacts that human and climate systems have on water scarcity are analyzed by determining whether each system is increasing or decreasing scarcity in all global water basins. Below we describe the GCAM model, the scenario components, climate derived impacts, and the calculations of scarcity changes and attribution. This study uses the global change assessment model (GCAM), with inclusions of water constraints to both renewable and nonrenewable sources of water, to investigate the relative contributions of climate and human systems on water scarcity regionally and globally under a wide range of scenarios. GCAM links socioeconomics, the energy system, land-use change, climate, and the water sector. GCAM is a market-equilibrium model that allows for prices to be adjusted within each time step to ensure that the supply and demand of goods and services remains equilibrated at each time step allowing for simultaneous market clearing across sectors. This study accounts for a limited supply of water by employing cost resource curves across all 235 basins that follow a logit formulation to determine the share of each water source (renewable surface water, nonrenewable groundwater, and desalinated water) needed to meet the water demands within all basins. As depletion of various water sources increases the extraction price increases, which leads to compounding price increases on the goods and services that require higher-priced water sources.

99 GENERAL AND MISCELLANEOUS↗

A Geospatial Cost Comparison of CO2 Plume Geothermal (CPG) Power and Geologic CO2 Storage

CO 2 Plume Geothermal (CPG) power plants can use gigatonne-levels of CO 2 sequestration to generate electricity, but it is unknown if the resources that support low-cost CPG power align with the resources that support low-cost CO 2 sequestration. Here, we estimate and compare the geospatially-distributed cost of CPG and CO 2 storage across a portion of North America. We find that the locations with lowest-cost CO 2 storage are different than the locations with lowest-cost CPG. There are also locations with low-cost CO 2 storage (<$5/tCO 2 ) that do not support CPG power generation due to insufficient reservoir transmissivity or temperature. Thus, CPG development may require electricity prices that are greater than the levelized cost of electricity (LCOE) to offset the increased cost of sequestration. We introduce the “Additional Cost of Electricity (ACOE)” metric to account for this cost and add it to the LCOE to calculate breakeven electricity prices that are required for CPG development. We find that breakeven prices are lower when new CO 2 injection wells are drilled specifically for CPG (i.e., “greenfield” CPG development) compared to if only existing CO 2 sequestration injection wells are used (i.e., “brownfield” CPG development). This is because comparatively few wells are needed for sequestration-only, and the increased power capacity from having more CPG wells outweighs the increased costs from more drilling. We also find that sequestered CO 2 could be used to approximately triple the United States geothermal electricity power capacity via a single CPG “sweet spot” in South Dakota, but that breakeven electricity price for this development is on the order of $200/MW e h.

15 GEOTHERMAL ENERGY↗

Economic Dispatch Model of Nuclear High-Temperature Reactor with Hydrogen Cogeneration in Electricity Market

Hydrogen produced without carbon emissions could be a useful fuel as nations look to decarbonize their electricity, transport, and industry sectors. Using the iodine–sulfur (IS) cycle coupled with a nuclear heat source is one method for producing hydrogen without the use of fossil fuels. An economic dispatch model was developed for a nuclear-driven IS system to determine hydrogen sale prices that would make such a system profitable. The system studied is the HTTR-GT/H2, a design for power and hydrogen cogeneration at the Japan Atomic Energy Agency’s High Temperature Engineering Test Reactor. This study focuses on the development of the economic model and the role that input data plays in the final calculated values. Using a historical price duration curve shows that the levelized cost of hydrogen (LCOH) or breakeven sale price of hydrogen would need to be 98.1 JPY/m3 or greater. Synthetic time histories were also used and found the LCOH to be 67.5 JPY/m3. The price duration input was found to have a significant effect on the LCOH. As such, great care should be used in these economic dispatch analyses to select reasonable input assumptions.

21 SPECIFIC NUCLEAR REACTORS AND ASSOCIATED PLANTS↗

An MILP-Based Distributed Energy Management for Coordination of Networked Microgrids

An MILP-based distributed energy management for the coordination of networked microgrids is proposed in this paper. Multiple microgrids and the utility grid are coordinated through iteratively adjusted price signals. Based on the price signals received, the microgrid controllers (MCs) and distribution management system (DMS) update their schedules separately. Then, the price signals are updated according to the generation–load mismatch and distributed to MCs and DMS for the next iteration. The iteration continues until the generation–load mismatch is small enough, i.e., the generation and load are balanced under agreed price signals. Through the proposed distributed energy management, various microgrids and the utility grid with different economic, resilient, emission and socio-economic objectives are coordinated with generation–load balance guaranteed and the microgrid customers’ privacy preserved. In particular, a piecewise linearization technique is employed to approximate the augmented Lagrange term in the alternating direction method of multipliers (ADMM) algorithm. Thus, the subproblems are transformed into mixed integer linear programming (MILP) problems and efficiently solved by open-source MILP solvers, which would accelerate the adoption and deployment of microgrids and promote clean energy. The proposed MILP-based distributed energy management is demonstrated through various case studies on a networked microgrids test system with three microgrids.

24 POWER TRANSMISSION AND DISTRIBUTION↗

Offshore Wind Farm Turbine and Energy Storage Optimization

Abstract This paper evaluates the technical and economic feasibility of repurposing decommissioned offshore oil and gas platforms as electrical substations for offshore wind projects in the U.S. Gulf of America, a region characterized by relatively low and highly variable wind speeds, extensive legacy offshore infrastructure, and exposure to merchant electricity markets. A unified techno-economic framework is developed using the Repurposing Offshore Infrastructure for Continued Energy (ROICE) Economic Model (REM) to integrate Gulfspecific wind resource assessment, commercial wind turbine performance, offshore infrastructure cost modeling, and wholesale electricity market exposure. Gulf wind speed data are vertically extrapolated to turbine hub height and combined with manufacturer power curves to compute annual energy production and capacity factors across a broad portfolio of commercial turbines, enabling identification of turbine designs best suited for low-wind offshore environments. Hourly electricity price data from the Midcontinent Independent System Operator (MISO) day-ahead market are incorporated to characterize revenue potential, price volatility, and the temporal alignment between wind generation and market conditions. In addition, a conceptual framework for offshore battery energy storage system (BESS) integration is developed to support future investigation of market-responsive energy shifting at repurposed platforms. Results from the turbine evaluation demonstrate that machines with lower cut-in wind speeds and earlier ‘rated-power’ characteristics significantly outperform larger, industry-standard offshore turbines for the same net power under Gulf wind conditions, underscoring the need for region-specific technology selection. Market analysis further reveals substantial price variability and limited intrinsic alignment between wind production and high-price periods, motivating consideration of operational flexibility mechanisms. While storage optimization is not implemented in this study, the REM framework establishes a transparent and replicable foundation for co-evaluating turbine selection, infrastructure constraints, and market exposure, providing a practical pathway for assessing the potential role of repurposed offshore platforms in enabling economically viable offshore wind development in the Gulf of America.

02 PETROLEUM↗

IDAES-PSE Software Tools for Optimizing Energy Systems and Market Interactions

Modern power grids coordinate electricity production and consumption via multi-scale wholesale energy markets. Historically, levelized cost metrics were the de facto standard for techno-eco-nomic analyses of energy systems and comparison of technology options. However, these metrics neglect the complexity of energy infrastructure including the time-varying value of electricity. An emerging alternative is multi-period optimization, which considers the locational marginal price of electricity as input data (parameters). In this work, we present a general interface for multi-period optimization with time-varying energy prices to facilitate rapid analysis and comparison of potential energy systems models. The PriceTakerModel class is written in the IDAES-PSE platform and allows users to generate a multi-period, price-taker model instance, as well as automatically generate common operational constraints for their model, such as start-up and shutdown. We show this interface successfully generates multi-period price-taker models, facilitates model discrimination, and aids in analyzing various technologies for deployment in unique energy markets.

Laky, Daniel↗

Q1-2024 Solar Cost Benchmarks

Each year, the U.S. Department of Energy’s (DOE) Solar Energy Technologies Office (SETO) and its national laboratory partners develop cost benchmarks for U.S. solar photovoltaic (PV) systems. These benchmarks track progress toward reducing solar costs and guide R&D priorities. Unlike typical studies that report only $/W, SETO uses intrinsic units (e.g., $/m² for mounting structures) to better capture how technology improvements such as module efficiency would impact system costs. This allows flexible modeling where inputs can vary significantly to assess cost sensitivity. Costs are reported in two ways: Minimum Sustainable Price (MSP): Long term, financially viable price under stable market conditions. Modeled Market Price (MMP): Actual market price, influenced by short term distortions such as tariffs or subsidies. Three national labs collect cost data from industry stakeholders, ensuring no duplication in outreach to stakeholders. Data reflects real transactions (primarily from Q1) and is weighted based on the number of sources per cost element. The PV System Cost Model (PVSCM) divides total installed system cost into eight categories: 1. Module (PV) 2. Inverter 3. Energy Storage System (ESS) 4. Structural BOS (SBOS) 5. Electrical BOS (EBOS) 6. Fieldwork 7. Office work 8. Other (developer/EPC costs) The first five are hardware costs, while the last three are soft costs. Each category includes fixed and variable cost components, where “size” depends on context (e.g., manufacturing capacity for modules vs. system capacity for installation costs). Variable costs are expressed using appropriate intrinsic units. The model reflects the owner’s upfront overnight capital cost, excluding tax credits. Tariffs and subsidies are treated as temporary market distortions affecting MMP but not MSP. PVSCM is implemented in Excel, where cost elements are aggregated into total system cost. Additional sheets handle unit conversions and operation & maintenance (O&M), with O&M costs levelized over the system’s lifetime.

14 SOLAR ENERGY↗

Analysis of economics of a TV broadcasting satellite for additional nationwide TV programs

The influence of a TV broadcasting satellite, transmitting four additional TV networks was analyzed. It is assumed that the cost of the satellite systems will be financed by the cable TV system operators. The additional TV programs increase income by attracting additional subscribers. Two economic models were established: (1) each local network is regarded as an independent economic unit with individual fees (cost price model) and (2) all networks are part of one public cable TV company with uniform fees (uniform price model). Assumptions are made for penetration as a function of subscription rates. Main results of the study are: the installation of a TV broadcasting satellite improves the economics of CTV-networks in both models; the overall coverage achievable by the uniform price model is significantly higher than that achievable by the cost price model.

Becker, D.↗

Solar thermal technologies benefits assessment: Objectives, methodologies and results for 1981

The economic and social benefits of developing cost competitive solar thermal technologies (STT) were assessed. The analysis was restricted to STT in electric applications for 16 high insolation/high energy price states. Three fuel price scenarios and three 1990 STT system costs were considered, reflecting uncertainty over fuel prices and STT cost projections. After considering the numerous benefits of introducing STT into the energy market, three primary benefits were identified and evaluated: (1) direct energy cost savings were estimated to range from zero to $50 billion; (2) oil imports may be reduced by up to 9 percent, improving national security; and (3) significant environmental benefits can be realized in air basins where electric power plant emissions create substantial air pollution problems. STT research and development was found to be unacceptably risky for private industry in the absence of federal support. The normal risks associated with investments in research and development are accentuated because the OPEC cartel can artificially manipulate oil prices and undercut the growth of alternative energy sources.

Gates, W. R.↗

Solar thermal technology development: Estimated market size and energy cost savings. Volume 1: Executive summary

Estimated future energy cost savings associated with the development of cost-competitive solar thermal technologies (STT) are discussed. Analysis is restricted to STT in electric applications for 16 high-insolation/high-energy-price states. The fuel price scenarios and three 1990 STT system costs are considered, reflecting uncertainty over future fuel prices and STT cost projections. STT R&D is found to be unacceptably risky for private industry in the absence of federal support. Energy cost savings were projected to range from $0 to $10 billion (1990 values in 1981 dollars), dependng on the system cost and fuel price scenario. Normal R&D investment risks are accentuated because the Organization of Petroleum Exporting Countries (OPEC) cartel can artificially manipulate oil prices and undercut growth of alternative energy sources. Federal participation in STT R&D to help capture the potential benefits of developing cost-competitive STT was found to be in the national interest.

Gates, W. R.↗