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Electricity Rate Designs for Large Loads: Evolving Practices and Opportunities 2026 Update

Electricity demand from large-load customers such as data centers is projected to grow significantly in the near term. While these large loads play an important role in advancing technology innovation and economic growth in the United States, meeting their energy needs requires utilities and regulators to consider important operational and financial risks, such as insufficient energy supply or underutilized investments, that can impact all customers. This paper builds on similar research published in January 2025, providing an overview of how utilities and regulators are managing these risks through different tariffs, including rate structures and electric service agreements. Regulators, utilities, customers, and other stakeholders can use this paper as a foundation when discussing issues and sharing perspectives on developing or reviewing large-load tariffs.

24 POWER TRANSMISSION AND DISTRIBUTION

NASA’s Electric Propulsion Development Activities for Space Nuclear Propulsion Applications

Given increased worldwide support for advanced nuclear technology for terrestrial applications, there is a renewed interest in the possibility of nuclear-reactor-powered spacecraft. NASA continues investing in the technology areas necessary to support NASA’s future scientific and exploration goals. One of those technologies areas is electric propulsion, a highly efficient means for in-space propulsion that increases fuel economy by ionizing and accelerating an onboard propellant using spacecraft electrical power. The current NASA portfolio of electric propulsion investments in support of space nuclear applications focuses on a range of future applications with total system power levels of 50 kilowatts to multimegawatt. These investments support a fast-paced incremental rate for technology development advancement to support these applications. Systems at the 50-kilowatt power level can be accomplished today with existing technology and systems at the multimegawatt level will require further technology developments over the coming decade. Propulsion systems based an array of multiple Hall thrusters have been identified the most likely technology option for the near-term applications and systems utilizing lithium-fueled magneto-plasma-dynamic thrusters have been identified as the most promising alternative technology option for the far-term applications at very high-power levels.

Electric Propulsion

NASA’s Electric Propulsion Development Activities for Space Nuclear Propulsion Applications

Given increased worldwide support for advanced nuclear technology for terrestrial applications, there is a renewed interest in the possibility of nuclear-reactor-powered spacecraft. NASA continues investing in the technology areas necessary to support NASA’s future scientific and exploration goals. One of those technologies areas is electric propulsion, a highly efficient means for in-space propulsion that increases fuel economy by ionizing and accelerating an onboard propellant using spacecraft electrical power. The current NASA portfolio of electric propulsion investments in support of space nuclear applications focuses on a range of future applications with total system power levels of 50 kilowatts to multimegawatt. These investments support a fast-paced incremental rate for technology development advancement to support these applications. Systems at the 50-kilowatt power level can be accomplished today with existing technology and systems at the multimegawatt level will require further technology developments over the coming decade. Propulsion systems based an array of multiple Hall thrusters have been identified the most likely technology option for the near-term applications and systems utilizing lithium-fueled magneto-plasma-dynamic thrusters have been identified as the most promising alternative technology option for the far-term applications at very high-power levels.

Electric propulsion

OverFlight: Graphical Flight Operations Planning

OverFlight is an in-development graphical user interface (GUI) that implements a state-of-the-art rotorcraft maneuvering noise model using a source noise hemisphere approach coupled with the Aircraft NOise Prediction Program 2 (ANOPP2). This GUI stems from a demand for easy-to-use mission planning and community impact acoustic tools that can model the maneuvering flight of a rotary-wing vehicle. This paper covers the models used for the development of OverFlight and model validation efforts. Data from a joint NASA/Army flight test of an MD530F aircraft are used both for source noise hemispheres as well as maneuvering flight data. Analysis of the predicted maneuvering noise shows better agreement that traditional methods currently employed, while also demonstrating maneuvers where the underlying assumptions fail to hold.

rotorcraft

Electrochemical Deconstruction of Ortho-Phthalate Plasticizers and Recovery of Plasticizing Moieties

Electrochemical methods for the direct reduction of alkyl esters have been understudied but provide a potential advantage for addressing specific waste streams given that such strategies often require only a minimal chemical profile. One such waste stream that could benefit from electrochemical remediation is poly(vinyl chloride) (PVC) plastics. PVC recycling often faces challenges due to the complexity of such waste. Solvent-based recycling methods pose several advantages for addressing post-use PVC; however, such methods are complicated by the high amounts of toxic legacy plasticizers (ortho-phthalates) present in PVC. A potential solution to addressing such phthalates is to address them electrochemically, coupled with recovery of the resulting valuable products. Presented herein is an optimized electrochemical method for ester activation that is leveraged to separate and recover the aromatic and alkyl components of ortho-phthalate plasticizers. The resulting aliphatic alcohols may be reused to prepare other non-toxic plasticizers. This electro-degradation method is demonstrated on six phthalates that have been identified to pose health concerns in addition to plasticizers recovered from commercial samples of PVC.

di-(2-ethylhexyl) phthalate

Structural Integrity and Durability of Reusable Space Propulsion Systems

A two-day conference on the structural integrity and durability of reusable space propulsion systems was held on June 4 and 5, 1985, at the NASA Lewis Research Center. Presentations were made by industry, university, and government researchers organized into four sessions: aerothermodynamic loads; structural dynamics, fatigue, fracture, and constitutive modeling; and instrumentation. The principal objectives of the conference were to disseminate research results to date and future plans in each of the four areas. This publication contains the extended abstracts and the visual material presented during the conference.

Stanley J Marsik

The Future of Oaks in the Santa Monica Mountains: A Case Study in Using Remote Sensing Data for Species Distributions Models

The Woolsey Fire began on November 8, 2018, and lasted for almost two weeks, during which it burned almost 100,000 acres of valuable landscape and habitat, including a vast area of woodland. The persistence of key woodland species provides aesthetic, monetary, and ecological value to the landscape through carbon sequestration, air temperature moderation, and erosion mitigation, among other ecosystem services. This study investigated the impact of the Woolsey Fire on native woodland species distributions and identified areas suitable for restoration within the Santa Monica Mountains National Recreation Area. The team partnered with the Resource Conservation District of the Santa Monica Mountains; National Park Service, Santa Monica Mountains National Recreation Area; California Department of Parks and Recreation, Los Angeles County Division; County of Los Angeles Fire Department, Prevention Services Bureau, Forestry Division; County of Los Angeles Department of Regional Planning; and the University of Montana. The Earth observations used include data from Landsat 8 Operational Land Imager, NASA ER-2 Jet Airborne Visible InfraRed Imaging Spectrometer, Shuttle Radar Topography Mission, and RapidEye. The team produced maps of burn severity from the Woolsey Fire, its impact on plant species distributions, and habitat suitability projections for 2050 and 2099 to assist partners in prioritizing areas for restoration. A plant community classification was successfully created using Multiple Endmember Spectral Mixture Analysis (MESMA). Overall accuracy was assessed at 90.54% by comparing the classification to validation pixels derived from ground truth information provided by our partners.

Roger Ly

Chapter 12 - Flight Envelope

The term "flight envelope" is used to refer to the boundaries of aircraft loading and flight conditions within which operation of the aircraft is satisfactory, and beyond which some aspect becomes unacceptable. This flight envelope represents, in fact, the limiting conditions arising from a matrix of inter-related flight envelopes covering the appropriate variables. Thus, for each loading (i.e., external stores configuration and its associated range of weight and center of gravity (c.g.) position) and aircraft configuration (i.e., position of undercarriage (u/c), flaps, slats, etc.), the envelopes of airspeed versus altitude, airspeed versus load factor, angle of attack versus angle of sideslip, etc., must be investigated to establish the limits within which all aspects such as handling qualities, engine behavior, structural loads, etc., remain acceptable. Flight testing of new or derivative aircraft models is carried out with the initial purpose of defining a flight envelope which is, first and foremost, safe and secondarily, which enables the effective use of the vehicle for its intended purpose. Flight testing occurs only after numerous reviews of the design and review of results from ground tests and predictions of flight characteristics in such areas as structures, aerodynamics, stability and control, flight controls (particularly fly-by-wire control systems, propulsion, etc.). Accordingly, opening and expanding the envelope is a task that must be approached cautiously, systematically, and with coordination and cooperation of the many disciplines involved in the design and test of an airplane. (Sections 8 and 10 cover test planning and safety of flight considerations, respectively). The fundamental tenet in establishing a flight envelope via flight test is risk reduction. This is reflected in the typical sequence of events leading to initial flight test - design reviews (both hardware and software), then ground test involving singular disciplines (windtunnel tests for aerodynamics, structurally loading the wing/fuselage/nacelle on a ground test article with loads anticipated to occur in flight, flight control system control law checkout, propulsion test cell runs and/or flying test bed tests, etc.), and then ground tests involving multi-disciplines (See Section 9). Only after these have been accomplished will an initial, limited, low-risk, flight envelope be established. The limited envelope will typically be in the middle of the projected final flight envelope. Subsequent flight tests will then be devoted to expanding the initial envelope by operating the airplane at increasing ranges - representing increasing risk - of engine operation, airspeeds both fast and slow, altitude, load factor both above and below 1g, centers of gravity (fore and aft), and with system/subsystem failures. Whether flight tests are to define a flight envelope on a new model airplane with the attendant new airframe, new engine(s), and new subsystems (hydraulics, pressurization, etc.), or on an airplane involving only a few of these areas such as new engines in an old airframe, the fundamental approach to establishing an envelope is the same.

H Walgemoed

Overview of the Center for Advanced Space Propulsion

The mission of the Center for Advanced Space Propulsion (CASP), a Center for the Commercial Development of Space (CCDS), is to strengthen U.S. competitiveness in space technology, foster cooperative research with industry and government, assist industry in developing commercial products and services, and perform research in advanced space propulsion. Current areas of focus are (1) advanced chemical propulsion, including high area ratio nozzle performance, variable thrust engine performance, and spray combustion stability; (2) artificial intelligence propulsion applications, including health monitoring of rocket engines, fault pattern detection and diagnosis, and intelligent hypertext applications; (3) microgravity fluid management, including liquid storage and transfer, a subscale orbital fluid transfer experiment, and helical, two-phase flow; (4) electric propulsion, including magnetic annular arc thruster, ion thrustor, and electrostatic plasma accelerator; and (5) laser materials processing.

George W Garrison

Exploring the Model Design Space for Battery Health Management

Battery Health Management (BHM) is a core enabling technology for the success and widespread adoption of the emerging electric vehicles of today. Although battery chemistries have been studied in detail in literature, an accurate run-time battery life prediction algorithm has eluded us. Current reliability-based techniques are insufficient to manage the use of such batteries when they are an active power source with frequently varying loads in uncertain environments. The amount of usable charge of a battery for a given discharge profile is not only dependent on the starting state-of-charge (SOC), but also other factors like battery health and the discharge or load profile imposed. This paper presents a Particle Filter (PF) based BHM framework with plug-and-play modules for battery models and uncertainty management. The batteries are modeled at three different levels of granularity with associated uncertainty distributions, encoding the basic electrochemical processes of a Lithium-polymer battery. The effects of different choices in the model design space are explored in the context of prediction performance in an electric unmanned aerial vehicle (UAV) application with emulated flight profiles.

Saha, Bhaskar

Effect of Preparation Conditions of Fe@SiO2 Catalyst on Its Structure Using High-Pressure Activity Studies in a 3D-Printed SS Microreactor

Fischer–Tropsch synthesis (FTS) in a 3D-printed stainless steel (SS) microchannel microreactor was investigated using Fe@SiO2 catalysts. The catalysts were prepared by two different techniques: one pot (OP) and autoclave (AC). The mesoporous structure of the two catalysts, Fe@SiO2 (OP) and Fe@SiO2 (AC), ensured a large contact area between the reactants and the catalyst. They were characterized by N2 physisorption, H2 temperature-programmed reduction (H2-TPR), scanning electron microscopy (SEM), transmission electron microscopy (TEM), X-ray diffraction (XRD), Fourier-transform infrared spectroscopy (FTIR), X-ray photoelectron microscopy (XPS), and thermogravimetric analysis–differential scanning calorimetry (TGA-DSC) techniques. The AC catalyst had a clear core–shell structure and showed a much greater surface area than that prepared by the OP method. The activities of the catalysts in terms of FTS were studied in the 200–350 °C temperature range at 20-bar pressure with a H2/CO molar ratio of 2:1. The Fe@SiO2 (AC) catalyst showed higher selectivity and higher CO conversion to olefins than Fe@SiO2 (OP). Stability studies of both catalysts were carried out for 30 h at 320 °C at 20 bar with a feed gas molar ratio of 2:1. The Fe@SiO2 (AC) catalyst showed higher stability and yielded consistent CO conversion compared to the Fe@SiO2 (OP) catalyst.

Biochemistry & Molecular Biology

Design and Analysis of Battery Thermal Management Systems

Thermal management of battery cell packs is a critically needed technology. The purpose of this work is to design new and improved Battery Thermal Management Systems (BTMS) for use in electric airplanes. The BTMS should be 3D printable and hold twelve to sixteen 18650 batteries. To minimize aircraft’s weight, an actively air-cooled battery pack was chosen to avoid the excess weight of water-cooled and phase change material (PCM) cooled packs. As a result, significant changes were made to remove all metal in the pack and replace it with lower density polymer matrix composites (PMCs) which can be additively manufactured. Two air cooled battery pack configurations (traditional propeller fans & bladeless fans) were designed, modeled, and compared. These packs were first modeled in SolidWorks 2021 3D CAD, then imported into COMSOL MultiPhysics to be studied using the “Heat Transfer in Solids and Fluids” module. The design with the bladeless fans eliminated the need to use high conductivity heavy metal to remove unwanted thermal energy. These bladeless fans were designed entirely out of PMCs. This thermal pack design weighs 0.04 kg less than that of the traditional propeller fans design and has increased the battery pack energy density by 8.25 Wh/kg.

Thermal Management System for Battery Packs

UL 1741SC Conformance Development, Evaluation, and Proposal [Slides]

V2G AC is a type of grid interconnection by mobile battery that transforms an EV into a DER with the potential to stabilize the grid and lower costs for electricity. UL 1741SC is a critical new standard to enable grid interconnection of V2G AC-capable vehicles, by defining requirements for V2G AC-intended EVSEs as a gatekeeper between the grid and the EV to support grid safety, such as through redundant voltage trip (namely oversight). EVSE manufacturers need a clear set of conformance test cases and criteria by which to evaluate their equipment and confirm the compliance with UL 1741SC, so that the EVSEs performs as intended for the grid safety. Hence, NLR identified necessary conformance tests and performed the tests identified to understand the maturity.

29 ENERGY PLANNING, POLICY, AND ECONOMY

Coalition for Community-Supported Affordable Geothermal Energy Systems (C2SAGES)

The C2SAGES project evaluated the feasibility of a community geothermal system for the planned Windy Ridge affordable housing development in Hinesburg, Vermont. Led by GTI Energy with Vermont Gas Systems, LN Consulting, NREL, and Frontier Energy, the work assessed technical design, energy performance, costs, business models, community engagement, maintenance, workforce development, and permitting. The proposed system was designed to serve 100% of the development’s heating, cooling, and domestic hot water loads. Compared with a baseline using air-source heat pumps and natural gas water heating, the geothermal system was estimated to reduce HVAC and domestic hot water energy use by about 45% to 48%, lower operating and maintenance costs, and reduce 30-year life-cycle costs by 37% for Phase 1 and 10% for Phase 2. Technical testing and modeling indicated that the Windy Ridge site is suitable for a community-scale geothermal system. The project also developed borehole field layouts, piping concepts, pump house designs, controls, maintenance plans, and supporting engineering drawings. The business model analysis found that first cost, ownership structure, and customer affordability remain major deployment challenges. Utility-led maintenance and operation were viewed favorably, but traditional utility cost-recovery models may require subsidy or revised financing structures to be practical for affordable housing. Community engagement highlighted the need for clear public education, transparent financing, reliable long-term maintenance, trained technicians, and the potential to pair geothermal systems with weatherization. Overall, the report concludes that community geothermal is technically feasible and offers meaningful energy, emissions, and life-cycle cost benefits, but broader deployment will depend on workable financing models and workforce readiness.

15 GEOTHERMAL ENERGY

Behavior of Ullage Bubbles During Blowdown in Low-g Experiment (BUBBLE): Overview of a Cryogenic Tank Depressurization Test

Behavior of Ullage Bubbles during Blowdown in Low-g Experiment (BUBBLE) is a cryogenic tank depressurization drop tower experiment currently being designed at NASA Glenn Research Center. There is a need for liquid level rise data while venting a cryogenic propellant tank below the liquid saturation pressure in a reduced gravity environment. When a cryogenic tank is vented to a vapor pressure below the liquid saturation pressure, bubbles become entrained in the liquid causing the bulk liquid-vapor interface to rise. In reduced gravity, bubble rise velocity is diminished leading to a larger liquid level rise compared to a 1g environment. The purpose of the experiment is to gain further understanding of tank depressurization fluid physics and obtain high-fidelity data for model validation in 1g and reduced gravity environments. On-orbit cryogenic propellant tanks operating at high fill levels must efficiently manage venting operations to avoid the risk of liquid entrainment in the vent line, which could lead to asymmetric control thruster loads, freezing and clogging, and loss of liquid propellant. Validated models could be used to design settling and venting profiles to reduce risk and increase efficiency for cryogenic storage and transfer operations.

tank venting

Field Validation of Thermoelectric Generation System at Holcim Cement Plant in Alpena, Michigan

Executive Summary Project Background The Industrial Technology Validation (ITV) program aims to identify and demonstrate the performance of new, emerging, and underutilized energy-saving technologies in the industrial sector to help inform decisions to help accelerate their commercialization and deployment, as well as to help make industries more competitive. This ITV demonstration evaluated a thermoelectric generation (TEG) technology at a cement plant, aiming to reduce energy demand in the cement industry. A median cement plant consumes 5.73 million British thermal units per ton of clinker production (resulting in 0.838 metric tons of carbon dioxide [CO₂] emissions per ton of clinker) (Boyd and Zhang 2011, EPA 2021), equivalent to approximately 6.9 trillion British thermal units (TBtu) per year in energy consumption at a cement plant producing 3,300 tons of clinker per day.¹ Collaborating with Holcim, Advanced Thermovoltaic Systems (ATS) developed and deployed a pilot-scale thermoelectric power system to efficiently capture and convert waste heat to electricity. The system leverages the Seebeck effect to convert temperature differences on two sides of semiconductor cartridges into electrical power (ScienceDirect, n.d.). This generation is realized with minimal moving parts compared to existing waste-heat-to-generation solutions and allows capture from heat sources with temperatures as low as 150°C. This project aimed to validate a scalable solution applicable for capturing medium-temperature waste heat, including ambient losses from other high-temperature processes, and high-temperature sources less suitable for other waste-heat-to-power solutions. By recovering this otherwise wasted heat, this project intends to validate improvements to overall process efficiency through reduction in purchased electricity, thereby reducing operational costs while enhancing resiliency and competitiveness. Description and Scope This study evaluated the performance of a TEG system from ATS as a solution to convert waste heat into useful power at a Holcim cement plant in Alpena, Michigan. This plant is a fully integrated cement plant that has been operating since 1907. The facility operates continuously (24/7/365) with approximately 250 employees and five long dry kilns, yielding a total production capacity of 7,852 tons of cement per day (EPA 2023). Currently, the Alpena plant uses waste heat boilers to convert waste heat from the exhaust of each kiln into steam, which drives steam turbine generators. The ATS TEG is being evaluated for its potential to supplement the steam turbines by capturing the remaining lower grade heat. This technology is also being considered for other Holcim plants where steam turbines are not a viable option. ATS installed a pilot-scale TEG unit with an array of 582 individual thermoelectric semiconductor cartridges, of which 573 were operational. The cartridges are sandwiched between 48 hot plates and 49 cold plates. Each cartridge is designed to generate 20 watts (W) of gross power at a hot-side temperature of 240°C and cold-side temperature of 20°C. As such, the total gross generation capacity of the installed system is 11.5 kilowatts (kW) at design conditions. The system configuration for the evaluation was designed to prioritize convenience of installation and minimize disruption to production at the site, while ensuring that the heat required can be obtained for evaluating the TEG system at various operational conditions. To accomplish this, a portion of the steam supplied to Alpena’s steam turbine generation system was diverted to be used as the heat source for the TEG system, while water was supplied to the cold side of the system from nearby Lake Huron. This configuration was designed for the evaluation of the pilot-scale system to assess the performance at different conditions. A commercial-scale system will likely vary from the pilot system depending on typical configurations, including both scale and application. Future commercial applications of the ATS system would involve integrating the system into the exhaust from kiln preheaters, clinker coolers, or radiant heat capture from kiln shells for the heat source. For the cold source, a range of cooling solutions can be considered, including a mechanical cooling system, depending on the location and the application. To increase the generation capacity for commercial applications, the technology provider is working toward developing a commercial-scale TEG system, which would combine multiple TEG units (each similar in design to the pilot system) together. The scope of this evaluation includes the pilot-scale TEG system and all impacted equipment including pumps, controllers, and power handling equipment. Study Objectives The evaluation's goal was to assess the potential of the ATS TEG system to generate useful electrical power by capturing waste heat from cement production kilns. The objectives of this study are to evaluate and verify the following claims made by ATS regarding the pilot-scale system installed at the Holcim Alpena plant. The following design parameters and claims are also outlined in Table ES- 1 and Table ES- 2: • Gross Power: The thermoelectric system converts heat into power to create gross power, the total measured power generated by the system. The 573 active cartridge pilot-scale system is expected to generate 11.5 kW of gross power at the designed hot-side temperature of 240°C and cold-side temperature of 20°C. Power production is dependent on the temperature difference between the heat source (ultimately from the waste heat) and cold temperature supply source. • Net Power: The net power is the total usable power provided to the site by the TEG system after deducting parasitic power loads from the gross generated power. Supplementary equipment is required to operate the TEG system including pumps, controllers, and, in certain anticipated applications, mechanical cooling, which introduce parasitic loads to system operation. After deducting the parasitic loads from the gross power generation, ATS anticipates achieving a net power generation of 7.5 kW from the pilot-scale system. • Thermal Efficiency: The thermal efficiency is the percent of the total heat transferred to the TEG system that is converted to gross power. Historically, TEGs have a thermal efficiency of 2%–5% (DOE 2008). Prior industrial-scale TEG systems, such as the E1 TEG offered by Alphabet Energy, operated at an efficiency of 2.5% (Lamonica, 2014). ATS anticipates achieving an average efficiency of 4.8% or higher in converting heat energy to usable electricity. • Cartridge Performance: The TEG system comprises 573 active individual semiconductor cartridges, each of which generates a portion of the total power. Cartridge optimization and selection is an important design consideration for potential future TEG system design performance. Therefore, understanding the distribution of gross power and efficiency within the pilot system is vital to understanding what is achievable. At a design hot-side temperature of 240°C and cold-side temperature of 20°C, ATS anticipates a cartridge performance of 20 W of gross power per cartridge at an efficiency of 4.8% per cartridge. In addition to evaluating the claimed performance of the TEG pilot-scale unit, the study estimated the potential annual impacts of a scaled-up commercial system used to capture kiln waste heat over annual operations. The evaluation estimated the gross and net annual electric generation achievable by capturing heat from the two proposed tap-in points: the kiln exhaust and the clinker cooler exhaust; see Section 2.1 for details. Two use cases were examined: • Holcim Alpena: The Holcim Alpena site consists of long dry kilns with superheater boilers, which differs from the rest of Holcim’s cement plant portfolio and results in lower waste heat temperatures. The study estimates gross and net annual generation using the superheater boiler exhaust and clinker cooler exhaust, based on 2023 operational data. • Typical Installation: Common cement plants have preheater kilns with higher exhaust temperatures than Holcim Alpena across a range of production rates. The study estimates gross and net annual generation using the preheater exhaust and clinker cooler exhaust, with a sensitivity analysis to account for the typical range of preheater exhaust temperatures, clinker cooler exhaust temperatures, and clinker production rates. Methodology The evaluation methodology followed a measurement and verification (M&V) strategy based on the International Performance Measurement and Verification Protocol Option B through comprehensive measurements and analyses of the affected systems. Evaluation data was collected from March 9 to March 11, 2024, the test period of the pilot TEG system. During the test period, in coordination with the ITV team, the ATS team adjusted system operations to capture the range of variability expected for each of the variables pertinent to performance of the system. The methodology consisted of two parts: evaluating the performance of the pilot unit's TEG system and estimating the annual TEG impact in terms of gross and net power based on a given waste heat profile. First, the evaluation of the thermoelectric generation performance of the pilot unit relative to the claims was performed by analyzing the collected test data. Gross power of the pilot TEG system was directly measured. Net power was determined by deducting the measured parasitic power from the gross power. The gross power generation was compared to heat transferred to the system by the working fluid (which was heated by steam generated from the kiln waste heat) to calculate the thermal efficiency achieved by the system. Performance of individual semiconductor cartridges within the pilot array was also assessed in terms of measured gross cartridge power and calculated cartridge thermal efficiency. The second part of the evaluation estimated the annual TEG impacts in terms of gross power and net power (calculated from the difference between gross power and parasitic power). This analysis comprised development of mathematical regression models for gross power and parasitic power, with assessment of each model’s goodness-of-fit characteristics to ensure satisfaction of statistical requirements. The models predicted the gross power generation, the parasitic load based on the temperature difference between the hot working fluid and the cold-side fluid (cold water from Lake Huron) entering the system, the volumetric flow rate of the cold-side fluid at the inlet, and the volumetric flow rate of the hot working fluid at the inlet. The annual impact analysis considered a theoretical commercial-scale system sized to capture the available waste heat at a cement plant, consisting of linked pilot-scale units that receive heat from a theoretical gas-to-working-fluid heat exchanger. To estimate annual impacts at the Alpena plant, the gross power and parasitic power regression models were applied to the arrays in the theoretical commercial-scale system. The heat supplied to the unit was calculated based on the kiln run time, annual production, kiln exhaust waste heat, and clinker cooler waste heat derived from 2023 Holcim Alpena kiln operational data. Net power impacts were calculated by deducting the resulting parasitic power from the estimated gross power. Inputs for the model were generated from a combination of hourly data, assumed design considerations for TEG system scale-up from the pilot-scale unit, and assumptions regarding TEG system operations. This analysis was then used as the basis for estimating annual impacts of typical TEG installation at cement plants, by applying sensitivity analyses to key kiln operational characteristics including kiln preheater exhaust temperatures, cooler clinker exhaust temperatures, and plant daily production rates across a range of expected values. Project Results/Findings Table ES- 2 and Table ES- 2 provide a summary of the operating conditions and evaluation results compared to the stated claims from the technology provider. Key takeaways include: • Gross Power: The peak gross power achieved during the testing period was 10.0 kW, compared to the 11.5 kW expected for 573 active cartridges. The claimed gross power was associated with a target hot side of 240°C; however, the system only received a maximum hot-side mean plate temperature of 212°C during the testing period. • Net Power: The pilot-scale unit exceeded the claims for net power, achieving a peak of 7.7 kW net compared to a claim of 7.5 kW. One factor contributing to the higher achieved net power is the relatively high water pressure available through Lake Huron. The pilot TEG system did not require cold-side pumps during the test, whereas most installations would. This reduced the parasitic loads on the system, ultimately contributing to higher net power relative to the gross power. • Thermal Efficiency: The pilot-scale unit outperformed the claimed efficiency, achieving a peak system efficiency of 5.0% thermal efficiency compared to the stated 4.8%. • Cartridge Performance: To compare cartridge performance against claims, the study focused on the third day of testing, which aimed for conditions closest to the design specifications, with a hot side of 240°C and cold-side exit temperature of 6.4°–30°C. On this day, the mean gross power observed in the cartridges within the TEG array was 18.1 W/cartridge, and the peak performance was 34.7 W/cartridge. The estimated mean cartridge efficiency was 5.2%, and the estimated efficiency at peak gross cartridge power was 10%. The regression models developed for gross power generation and parasitic loads were used to estimate the generation impact for given heat input to the TEG from the working fluid (captured from the waste heat) and from the cold loop (Lake Huron) on an hourly basis for a year of operation. Based on this analysis, installation of a commercial-scale TEG system at the Holcim cement plant in Alpena, Michigan, with a waste heat exchanger of 0.85 effectiveness, would generate up to 391 kW of net power, translating to between 920,000 and 1,800,000 kilowatt-hours (kWh) in net electricity per year. Based on typical grid emissions for Alpena, this would avoid estimated net emissions by 752 metric tons of CO₂ annually.² The sensitivity analysis estimated that typical TEG system installations at cement plants could generate an average of 56–1,040 kW of net power, or between 488,000 and 9,110,000 kWh of net energy. This generation potential is most significantly affected by plant production rates and also influenced by preheater and clinker cooler exhaust temperatures. Applying the national average emission rate, typical commercial-scale installations at Holcim plants are projected to avoid between 182 and 3,401 metric tons of CO₂ annually per site. Table ES- 3 shows a summary of the estimated annual impacts.³ While parasitic loads are significant and vary by application, this analysis assumed the use of heating loop pumps and access to Lake Huron as a cold sink. This setup assumed no need for cooling loop pumps due to the available water pressure at the test site. Applications that require cooling towers or additional equipment are likely to experience higher parasitic loads. Therefore, the study’s estimates are most applicable to scenarios with similar parasitic load configurations—namely, access to a high-pressure cold sink. Applicability to other locations may be limited, as differing conditions could necessitate additional pumps and cooling systems, potentially impacting performance significantly.

32 ENERGY CONSERVATION, CONSUMPTION, AND UTILIZATI