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DOE OSTI2022

Small Hydropower Interconnections: Small Hydropower in the United States

Small hydropower projects, which we define as generators below 20 MW in capacity have been the predominant source of hydropower growth over the past decade and create the most cost-effective and environmentally permissible avenues for new hydropower installation in the United States (DOE 2016; Johnson et al. 2018). Small hydropower developers across the United States have found that interconnecting these projects with the grid can be challenging due to unexpected costs and schedule overruns. Understanding the interconnection challenges and improving the process may allow more small hydropower projects to be successful. Noting these challenges, the U.S. Department of Energy Water Power Technologies Office enlisted Pacific Northwest National Laboratory (PNNL) and Oak Ridge National Laboratory (ORNL) to investigate the small hydropower interconnection landscape across the United States. To begin to analyze the existing interconnection processes and challenges facing small hydropower, the state of small hydropower development in the U.S. must first be described to understand the characteristics of the industry. The first in a series, this paper presents the state of small hydropower projects in the U.S. to describe their type, location, and size based on data extracted from the HydroSource database (ORNL 2020). The following papers in the series will detail the variety of state interconnection processes to connect power generators with the grid (“Small Hydropower Interconnections: State Interconnection Processes”), analyze these interconnection processes (“Small Hydropower Interconnections: Analysis of Interconnection Processes”), and present best practices in interconnection processes (“Small Hydropower Interconnections: Best Practices”) that will help overcome barriers to future small hydropower development.

13 HYDRO ENERGY↗

DOE OSTI2022

Small Hydropower Interconnections: Best Practices

Small hydropower projects have been the predominant source of capacity growth of U.S. hydropower for more than a decade, and they present the most cost-effective and environmentally permissible avenues for hydropower growth (DOE 2016; Johnson et al. 2018). However, interconnection to electricity distribution and transmission grids is a persistent barrier due to cost surprises and schedule overruns. As a culmination to research into the status and requirements of small hydropower interconnection across the United States, this paper presents the best practices for setting interconnection standards that can improve the process for small hydropower developers. As part of the analysis, the interconnection costs are compared between small hydropower, solar, and wind. The analysis of the small hydropower interconnection landscape across the United States was carried out by Pacific Northwest National Laboratory (PNNL) and Oak Ridge National Laboratory (ORNL) with support from the U.S. Department of Energy Water Power Technologies Office. The research team was guided by a Technical Advisory Group (TAG) and gleaned data from publicly available sources, such as the HydroSource database (ORNL 2020) and interconnection queues hosted by utilities, balancing authorities, independent system operators (ISOs), and regional transmission organizations (RTOs). The results of this work are shared in a series of papers detailing the state of small hydropower in the United States (“Small Hydropower Interconnections: Small Hydropower in the United States”), the variety of state interconnection processes to connect power generators with the grid (“Small Hydropower Interconnections: State Interconnection Processes”), and an analysis of the interconnection processes (“Small Hydropower Interconnections: Analysis of Interconnection Processes”). In this, the final paper in the series, best practices for interconnection processes (“Small Hydropower Interconnections: Best Practices”) are identified from the solar energy and distributed wind energy industries that are transferrable to small hydropower development. This information will help overcome barriers to future small hydropower development.

13 HYDRO ENERGY↗

DOE OSTI2022

Small Hydropower Interconnections: State Interconnection Processes

Small hydropower projects with rated power output between 0 to 20 MW have been the predominant source of hydropower growth over the past decade in the United States (DOE 2016; Johnson et al. 2018). However, interconnection to electricity distribution and transmission grids is a persistent barrier. Interconnection of an electricity generating unit is overseen by the distribution or transmission owner, who use interconnection standards and requirements that vary by state. The differences between standards in standards may affect the final cost, timeline, and success of a small hydropower project. Small hydropower project developers across the United States have found interconnection procedures to be fraught with cost surprises and schedule overruns. System operators have struggled to understand impacts to overburdened or rapidly evolving transmission and distribution grids. The results of these shortcomings have been stranded costs and unrealized small hydropower potential. Though regulatory actions and policy recommendations at the state level have increased the situational awareness of interconnection challenges, the remote locations of small hydropower resources and the relatively small revenues associated with energy production through small hydropower facilities continue to make interconnection processes and requirements confusing and costly. Noting these challenges, the U.S. Department of Energy Water Power Technologies Office enlisted Pacific Northwest National Laboratory (PNNL) and Oak Ridge National Laboratory (ORNL) to investigate the small hydropower interconnection landscape across the United States. The second in a series, this paper investigates the interconnection process in each state in the U.S. to compare their attributes. Subsequent papers in the series will analyze these interconnection processes (“Small Hydropower Interconnections: Analysis of Interconnection Processes”) and present best practices (“Small Hydropower Interconnections: Best Practices”) that will help overcome barriers to future small hydropower development. The first paper in the series examined the state of small hydropower projects in the United States (“Small Hydropower Interconnections: Small Hydropower in the United States”) to understand the industry characteristics.

13 HYDRO ENERGY↗

DOE OSTI2025

Using Artificial Intelligence to Improve Reliability and Operational Efficiency of Small-Scale Hydroelectric Distributed Generation

Reliability and resilience are critical concerns for distributed generation (DG) at the rural electric level. The integration of renewable energy sources, such as small-scale hydroelectric distributed generators (hydro DGs), introduces operational challenges, particularly regarding aging infrastructure and grid stability. Artificial Intelligence (AI)-driven Machine Learning (ML) models and applications of Large Language Models (LLMs) offer promising solutions for optimizing DG operations and enhancing resilience. This paper explores AI-based models for improving efficiency, fault resolution, and outage mitigation in small-scale hydro DGs. Furthermore, it highlights the development of a centralized, AI-powered information portal for rural electric cooperatives and municipalities. The research evaluates hydro DG plant models and discusses the applicability of AI-powered question-answering tools for real-time operations, focusing on statistical data, load flow, voltage regulation, and generation power. The findings demonstrate AI’s potential to transform DG management to ensure greater stability and resilience in rural electric grids.

Bhattacharyya, Arjun [ORNL] (ORCID:000900060976046↗

NASA NTRS1980

Monitoring and control requirement definition study for Dispersed Storage and Generation (DSG). Volume 3, appendix B: State of the art, trends, and potential growth of selected DSG technologies

Present and future relatively small (30 MW) energy systems, such as solar thermal electric, photovoltaic, wind, fuel cell, storage battery, hydro, and cogeneration can help achieve national energy goals and can be dispersed throughout the distribution portion of an electric utility system. Based on current projections, it appears that dispersed storage and generation (DSG) electrical energy will comprise only a small portion, from 4 to 10 percent, of the national total by the end of this century. In general, the growth potential for DSG seems favorable in the long term because of finite fossil energy resources and increasing fuel prices. Recent trends, especially in the institutional and regulatory fields, favor greater use of the DSGs for the future.

Source record↗

DOE OSTI2022

Coupled Heat Power Operation of Smart Buildings via Modular Pumped Hydro Storage

In the United States, building sector is responsible for around 40% of total energy consumption and contributes about 40% of carbon emissions since 2012. Within the past several years, various optimization models and control strategies have been studied to improve buildings’ energy efficiency and reduce operational expenses under the constraints of satisfying occupants’ comfort requirements. However, the majority of these studies consider building electricity demand and thermal load being satisfied by unidirectional electricity flow from the power grid or on-site renewable energy generation to electrical and thermal home appliances. Opportunities for leveraging low-grade heat for electricity have largely been overlooked due to impracticality at small scale. In 2016, a modular pumped hydro storage technology was invented in Oak Ridge National Laboratory, named Ground Level Integrated Diverse Energy Storage (GLIDES). In GLIDES, employing high-efficiency hydraulic machinery instead of gas compressor/turbine, liquid is pumped to compress gas inside high-pressure vessel creating head on ground level. This unique design eliminates the geographical limitation associated with the existing state-of-the-art energy storage technologies. It is easy to be scaled for building level, community level, and grid level applications. By using this novel hydro-pneumatic storage technology, opportunities for leveraging low-grade heat in building can be economical. In this research, the potential of utilizing low-grade thermal energy to augment electricity generation of GLIDES is investigated. Since GLIDES relies on gas expansion in the discharge process and the gas temperature drops during this non-isothermal process, available thermal energy, e.g., from thermal storage, combined cooling, heat and power system (CCHP), can be utilized by GLIDES to counter the cooling effect of the expansion process and elevate the gas temperature and pressure and boost the roundtrip efficiency. Here, several groups of comparison experiments have been conducted, and the experimental results show that a maximum 12.9% cost saving could be achieved with unlimited heat source for GLIDES, and a moderate 3.8% cost improvement can be expected when operated coordinately with CCHP and thermal energy storage in a smart building.

32 ENERGY CONSERVATION, CONSUMPTION, AND UTILIZATI↗

DOE OSTI2026

Frequency Control and Dynamics (Part 1) [Slides]

This presentation provides an introductory overview of system dynamics and frequency control in electric power systems, with a focus on concepts relevant to small and interconnected grids such as those in Malawi. It explains foundational principles of AC system frequency, the relationship between generation-demand balance and frequency deviations, and the operational limits of generators and end-use equipment. The deck discusses frequency stability within broader system stability classifications and illustrates how inertia and turbine-governor dynamics shape system response to disturbances. It then outlines the tiered approach to frequency control - primary, secondary, and tertiary - detailing the roles, characteristics, timescales, and response mechanisms of each. Special emphasis is placed on hydro and thermal unit behavior, area control error (ACE), automatic generation control (AGC), and the operational implications of interconnecting small systems with larger grids. The material was developed to support Malawi's electricity sector and the establishment of the Southern Africa Battery Energy Storage Center of Excellence (SABESS CoE).

24 POWER TRANSMISSION AND DISTRIBUTION↗

DOE OSTI2026

Frequency Control and Dynamics (Part 2) [Slides]

24 POWER TRANSMISSION AND DISTRIBUTION↗

DOE OSTI2024

Resilient Energy Transition Planning for Ouzinkie, Alaska

This report documents an energy system planning study for the village of Ouzinkie, Alaska, conducted by the U.S. Department of Energy's (DOE) Energy Transitions Initiative Partnership Project (ETIPP). Ouzinkie is a small remote community located on Spruce Island, Alaska, in the Kodiak Archipelago. The Ouzinkie community is served by a local electrical system powered by a combination of diesel generators and a hydroelectric turbine. Due to aging assets, however, the power system reliability has declined in recent years, while the cost of operating the diesel generators has increased significantly. To address these problems, Ouzinkie asked ETIPP to provide technical assistance to develop an updated integrated plan for improvements to the Ouzinkie power system, in order to transition to a more reliable and resilient system powered by renewable energy resources.

13 HYDRO ENERGY↗

DOE OSTI2026

Industrial Conduit Hydropower Opportunities in the United States: Scoping Assessment

Industrial conduit hydropower involves generating electricity from flowing water in existing industrial water supply, process flow, or wastewater discharges. The broader range of conduit hydropower involves powering existing water infrastructure in municipal, industrial, or agricultural systems. Whereas municipal and agricultural water systems have been retrofitted somewhat broadly in the United States, there are very few examples of industrial conduit hydropower. As stated in Kao et al. (2022), “conduit hydropower opportunities associated with industrial conduits are the least understood […] industrial developments are likely to be particularly efficient and cost-effective since they are typically eligible for on-site net-metering.” Therefore, additional insight into industrial opportunities is needed.

13 HYDRO ENERGY↗

DOE OSTI2022

Coordinated operation of pumped-storage hydropower with power and water distribution systems

Small pumped-storage hydropower (PSH) units have gained popularity as distributed energy storage options that can provide flexibility to the operation of power distribution systems. Optimal operation of small PSH units is not only dependent on the energy storage provided to power distribution system, but also on the inflow and outflow of water from and to the water distribution system. Here, in this context, this paper develops an optimization model for coordinated operation of PSH units with power and water distribution systems. The proposed model optimizes the operation of water tanks, variable-speed pumps and PSH in pumping and generating modes to minimize the operation cost of power distribution system, while respecting the power flow constraints of power distribution and hydraulic constraints of water distribution system. Appropriate electricity tariffs are implemented to avoid additional expenses in water distribution system that can be enforced by its coordinated operation in favor of power distribution system. The proposed model is implemented on a 33-bus and a 123-bus test power distribution system connected to a 16-node test water distribution system. Results demonstrate the effectiveness of proposed model in tapping PSH flexibility to reduce the operation cost of power and water distribution systems, while meeting the power and water demands.

13 HYDRO ENERGY↗

DOE OSTI2022

NPD Classification Tools – User Guide NPD Explorer and NPDamCAT Apps

The existing infrastructure at non-powered dams (NPDs) presents a variety of opportunities from generating electricity and economic value to the myriad services they provide. However, it also presents a significant challenge because aging structures must be maintained, and changes to the ecosystems and river systems by NPDs must be managed. The various stakeholders interested in these opportunities and challenges require varying information about NPDs; in many cases, interest in NPDs can extend across the entire population of dams. Even when interest is more narrowly focused on an individual dam or a small subset of dams, understanding how these dams relate to the broader context of NPD infrastructure can be important. As noted in TM 2021/2155, “Each NPD has unique characteristics describing its design, operation, environmental impacts, social impacts, and economic potential. The large number of dams, the diversity of interests related to dams, the variety of dam characteristics, and the types of data required to describe dams all pose major challenges to an analysis of the entire dam population." This user guide describes two web-based tools that facilitate exploration of dams from a variety of perspectives: the NPD Explorer and the NPD Custom Analysis and Taxonomy (NPDamCAT). These tools facilitate access to information about dams and help users interact with the information, making small- to large-scale analyses more convenient for a broad set of stakeholders.

13 HYDRO ENERGY↗

DOE OSTI2022

Small Hydropower Interconnections: Analysis of Interconnection Processes

Small hydropower projects have faced the challenge of navigating the process to interconnect their generation source to electricity distribution and transmission grids. Small hydropower developers have found interconnection procedures to be opaque and ultimately result in unexpected cost surprises and long timelines. Noting these challenges, the U.S. Department of Energy Water Power Technologies Office enlisted Pacific Northwest National Laboratory (PNNL) and Oak Ridge National Laboratory (ORNL) to investigate the small hydropower interconnection landscape across the United States. After reviewing the status of small hydropower (“Small Hydropower Interconnections: Small Hydropower in the United States”) and the interconnection procedures across the United States (“Small Hydropower Interconnections: State Interconnection Processes”) in the first two white papers of this series, this paper uses recent data from small hydropower interconnection applications to benchmark the efficacy of the process. Using data from interconnection queues hosted by utilities, balancing authorities, independent system operators (ISOs), and regional transmission organizations (RTOs), this paper provides context for the costs, timelines, and types of upgrades required for small hydropower projects. Interconnection applications and study reports for small hydropower projects were analyzed to collect key pieces of information about the interconnection process, timeline, costs, and type of upgrades required for interconnection. Information sourced from the reports was entered into an Interconnection Benchmarking database (IBdb), which may be found in Appendix A.1. Information from this database was used to evaluate the performance and challenges associated with interconnecting small hydropower projects. This white paper presents a description of the sources contained in the interconnection database (Section 2.0), an analysis of the interconnection timeline (Section 3.0), an evaluation the cost of interconnection upgrades (Section 4.0), and a description of the types of infrastructure upgrades (Section 5.0). The final paper in this series (“Small Hydropower Interconnections: Best Practices”) will use the analysis described here to outline best practices for interconnection processes that will help overcome barriers to future small hydropower development.

13 HYDRO ENERGY↗

DOE OSTI2026

Water-Fed, Photovoltaic-Driven Anion-Exchange Membrane Water Electrolysis for Solar Hydrogen Production

Direct coupled photovoltaic (PV)-electrolysis is a promising approach for low-cost hydrogen production, avoiding the need for separate electricity generation. Without solar concentration, the operating current densities of a PV-electrolyzer are small, and low capital costs are needed to reach hydrogen production cost targets (<$2/kg). Anion-exchange membrane (AEM) electrolyzers could be well-suited for this application due to their ability to use platinum group metal (PGM)-free catalysts and operate without supporting electrolytes, but a water-fed PV-AEM system has not yet been demonstrated. In this work, the performance of two AEM electrolyzer designs under pure-water, low-temperature, and diurnal-cycling conditions was evaluated. A simple PV-electrolyzer system design with direct electric coupling to a commercial 84 cm2 Si mini module and passive heating and water flow to the electrolyzer was used for on-sun testing in October 2025. The best-performing PV-AEM system achieved an average solar-to-hydrogen (STH) efficiency of 6.6% and a production rate of 15 mg/kWh/m2 of solar irradiance over 11 days. Minimal electrolyzer corrosion was observed, with no loss in efficiency over the diurnal cycles. While highlighting areas for improved electrolyzer and system design, this work is a proof of concept for distributed hydrogen production using inexpensive and abundant materials.

08 HYDROGEN↗

DOE OSTI2025

Intersection of Hydrologic Change and Hydropower in the United States: Needs for Future Research and Practice

Hydropower is crucial for electric‐grid stability in the context of variable renewables but faces threats from changing hydrology. Here, we summarize the state of the science at the intersection of hydropower operations and planning, hydrologic science, and climate. We focus on the United States, outlining research, development, and training needs. Key knowledge gaps include the risk that intensification of compound extreme events poses to future generation, as well as uncertainties surrounding greenhouse gas emissions from hydropower reservoirs with relevance to hydropower's role in energy decarbonization. Quantifying such impacts and reducing uncertainty are critical where possible, but remaining irreducible or deep uncertainty will require new approaches. Future monitoring and modeling methods must provide a better understanding of the complexity inherent in large watersheds that is critical to managing both hydropower and watersheds in the context of hydrologic change. Yet, research and development will have little impact if they do not inform practice. Standardization and consolidation of platforms are essential for data, modeling, and tool translation to local scales and small operators. An enhanced industry‐academia dialog is pivotal for fostering a robust pipeline of hydropower professionals. Collaboration among researchers, policymakers, authorities, and industry stakeholders emerges as a recurring theme, highlighting the imperative for collective efforts.

13 HYDRO ENERGY↗

DOE OSTI2026

An Assessment of Technical Hydropower Potential at Non-Powered Dams in the United States

Historically, dams have been constructed for a variety of purposes, such as providing a more secure and reliable water supply, mitigating impacts from variations in river flow, allowing continuous navigability, and harnessing mechanical power. A relatively small portion of dams have been designed to store or regulate flows for the purpose of generating electricity (roughly 3% of nationally inventoried dams in the US and 17% of the dams included in the World Register of Dams). The remaining population of existing non-powered dams (NPDs) presents both an opportunity to generate renewable energy and a need to modernize aging infrastructure. This report describes an assessment of more than 2,600 NPDs in the US that have a collective potential of nearly 4 GW in new power capacity. Previous national-scale assessments were aimed at evaluating the theoretical maximum power potential at existing dams in the United States. These estimates were based on the best available information at the time for water availability, hydraulic head, and representative regional capacity factors. This study revisits a subset of 3,299 dams identified in the most recent theoretical resource assessment and uses more detailed and updated hydrologic data to produce estimates of technical potential. These improvements in data enable estimates that more realistically reflect what is physically possible given simple assumptions about the existing structure and constraints on flow and head (Figure 1).

13 HYDRO ENERGY↗

DOE OSTI2022

Pumped Storage Hydropower Augmented with Pressurized Air: The Ground-Level Integrated Diverse Energy Storage (GLIDES) System — GLIDES System Configurations and Use Cases

Energy storage is essential for cost-effective integration of variable renewable energy sources to support a low-carbon grid. It is also a key enabler of a modern grid infrastructure for demand management. However, several main challenges remain for different kind of energy storage technologies in grid scale deployment. Currently, the largest source of utility-scale storage and long-duration storage in the US is pumped storage hydropower (PSH). Prospect of growth in conventional PSH faces challenges that have limited its deployment over the last three decades, including high capital costs and long deployment timelines. Batteries have high energy densities and are the primary technology of choice for small-scale energy storage. Compressed air energy storage (CAES) is another large-scale energy storage technology, but there are few plants deployed worldwide. They suffer from their low round trip efficiency (RTE) due to the use of high-pressure air compressors. To address some of the challenges associated with these various storage technologies, the Ground-Level Integrated Diverse Energy Storage (GLIDES) is a modular PSH technology that was invented in 2015 at Oak Ridge National Laboratory. It utilizes gas compression to store electric energy. GLIDES stores energy by compressing gas using a liquid piston in high-pressure vessels. In doing so the vessels act as the upper reservoir in conventional PSH. Initially, the vessels are filled with gas to a prescribed pressure. To store energy, GLIDES uses a hydraulic piston pump to pump water into the pressurized vessels. As the water volume increases inside the vessels, water acts as a hydraulic piston compressing the gas on top of it. This process can be thought of as pumping water from the lower reservoir to the higher reservoir in PSH, increasing the water head. To dispatch the stored energy, the high-head water in the vessel is discharge through a high head Pelton hydraulic turbine that is connected to an electric generator. Employing high-pressure vessels enables GLIDES to reach water heads ~10-80 times higher than conventional PSH, achieving ~40 times higher energy densities, and overcomes the geographic limitation of conventional PSH. Although its energy density is much lower than that of batteries, GLIDES holds the potential advantages of having long service life, ease of system integration and being less hazardous over batteries. GLIDES prospective scalability could make it suitable for wide range of applications from behind the meter storage in buildings to grid-scale storage. It also makes it suitable for installations in densely populated urban areas where energy storage is most needed and real estate is limited. Over the last 5 years, work has focused on increasing GLIDES’ energy density, decreasing its initial capital cost of the system, and increasing its revenue potential. Several designs were developed and prototyped to verify and demonstrate the improvement in energy density. The latest prototype achieved energy density of 1.21 kWh/m 3 . Our analysis showed that it could achieve up to 1.7 kWh/m 3 with a mixture of air and carbon dioxide as the gas being compressed.

13 HYDRO ENERGY↗

DOE OSTI2022

Combined Cycle Integrated Thermal Energy Storage “CiTES” (Final Scientific/Technical Report)

The Phase I of this project confirmed the technical feasibility of a Combined Cycle integrated Thermal Energy Storage “CiTES” system, calculated the key performance parameters like power efficiency and costs, and proved its commercial value with full-year simulations for several US electricity markets with high degree of variable renewable generation and volatile hourly electricity prices. The core element of this project is the Electro Thermal Energy Storage (ETES) technology from Siemens Gamesa Renewable Energy GmbH, using thermally stable and inexpensive volcanic rocks as storage material and air as heat transfer medium. This technology is backed by more than 10 years of experience and a 440MMBTU (130MWh-th) pilot plant in Hamburg, Germany, which is in operation since 2019. The integration of this thermal storage in an existing combined cycle power plant (CCPP) is typical power plant technology without any major technology risks. It allows the storage of inexpensive renewable energy during times of surplus renewable generation and the discharge of this energy in times of high energy demand when the fossil plant is in operation. This supplements the fossil power generation with CO2-emission-free energy. The secondary effect of the CiTES system is that a small part of the stored thermal energy is used to keep the heat recovery steam generator (HRSG) and steam turbine (ST) of the combined cycle power plant in hot and ready-to-start condition. This enables the plant to start rapidly when fossil generation is required to satisfy demand as soon variable generation drops off in the evenings or during cloud cover and calm wind periods. Without pre-warming of the HRSG and ST, the CCPP would need several hours for a cold or warm start, burn a lot of gas and release high NOx emissions during start and wouldn’t be able to use the short times of high energy prices in an efficient or economical manner. The economic parameters of CiTES were determined by a full year “8760” simulation using a data set calculation for each of the hours of the year, and historical electricity and gas prices. For consistency, the simulations were focused on the pre-COVID year 2019. The financially most attractive markets were in the Energy Reliability Council of Texas (ERCOT) region, which allowed substantial value generation with arbitrage (charge with cheap energy during renewable surplus times and discharge when energy is needed and expensive). The improvement of flexibility with the CiTES system by pre-heating and warm-keeping of the CCPP allowed for additional power generation during short time periods when demand is high but renewable generation is down; when the hourly energy prices are highest in these markets. The simulations are based on 2019 data, when ERCOT had 27GW of installed photovoltaic (PV) and wind generation. They showed that the created revenue with the prototypically sized CiTES system of 1,000MMBTU (300MWh-th) falls a little bit short of what is expected from a commercially viable investment. The system has optimization opportunities for cost reduction and increased effectiveness which will be realized during a potential Phase II Pre-FEED study following this project. Furthermore, it is safe to assume that a lot of renewable generation capacity will be added all over the US in the coming years. As an example, ERCOT is predicting to more than double its renewable generation from 27GW in 2019 to a forecasted 63GW in 2023. This will increase the amount of renewable overproduction exponentially. This rapid increase of local overproduction and the need to curtail renewable generation is well documented by the California ISO (www.CAISO.com / managing oversupply). However, the simulations also revealed a weakness in the structure of the electricity markets in the US. More specifically, when electricity prices are very low and approaching negative levels, the owners of Variable Renewable Energy (VRE) will curtail a part of their facility to stabilize the price by reducing supply. This results in a situation in which storage facilities, which are integrated in existing fossil assets and don’t have the behind-the-meter benefit of a VRE, won’t be able to purchase low cost – otherwise curtailed – renewable energy off the grid. A special tariff, which motivates VRE owners to sell otherwise curtailed renewable energy to storage facilities (Hydrogen, thermal, pumped hydro, etc.) can solve this issue. The implementation of such a regulating tariff by Independent System Operators, thus avoiding renewable curtailment, is a pre condition for successful commercialization for renewable energy storage technologies. With this advancement of design and technology and improvements in the market environment, it can be expected that the Combined Cycle integrated Thermal Energy Storage proves itself as an important innovation to keep highly efficient, natural gas-based power generation economically successful and relevant for the power industry in the United States of America.

Wolf, Thorsten↗