Forget the lights - shut down the friggin' computer

By Globe and Mail


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What's eating one per cent of the world's electricity?

As people turned off the lights for Earth Hour and pondered their electricity use, one of the world's most rapidly growing power guzzlers – for which nearly everyone carries responsibility – is largely hidden from view.

It's the network of data centres and their servers that are the invisible backbone of the Internet. The popularity of all the twittering, blogging, music downloading, and Facebooking has had a little-known environmental downside, by boosting the demand for electricity to run these centres.

The vast, worldwide scope of the Internet makes it difficult to calculate just how much power the Web and its related activities consume, but the amount is substantial and has become the subject of studies in scientific journals.

Most of the researchers pondering the question of this power usage have focused on data centres and their servers. These centres are enormous energy gluttons, with the servers consuming so much energy they're always at risk of overheating, so companies have to spend about as much on electricity to air-condition the devices as they do running them.

While a person sitting behind a computer realizes they're using electricity, that's only the beginning of the power consumption story. Ask Google to do a search and follow it up by clicking the link, or post a blog, and you're relying on servers and their stores of data and applications.

Servers are non-descript pieces of electronic hardware, each about the size of a pizza box. They typically consume about 200 watts of electricity apiece, or about the same amount needed to run 13 compact fluorescent light bulbs.

While one server has modest power demands, there is so much Internet activity that millions of them are needed. At data centres, servers are stacked in cabinets like CDs in a storage rack. A typical data centre has about the same floor space as 15 monster homes, and thousands of servers.

The concentration of many servers in one place is the reason they need so much air conditioning. When they're operating, servers collectively generate waste heat, so a constant flow of cool air around them is required to keep them from being damaged by overheating.

U.S. researcher Jonathan Koomey from California's Lawrence Berkeley National Laboratory has done some of the most extensive calculations on electricity use at data centres, and estimated that they accounted for about 1 per cent of total world electricity consumption in 2005, according to a paper he authored last year that appeared in Environmental Research Letters.

Given all the conventional uses for electricity, such as running everything from toasters to televisions and subways, the 1 per cent is a big deal.

It's a growth in demand that has come out of nowhere, and equals the amount of power produced by 17 large, coal-fired generating stations.

Another way of viewing the demand is that the world's data centres consumed about the same amount of electricity as about 10 million typical Canadian homes.

But that isn't the end of the story, because the electricity demand isn't static. Thanks to the rising popularity of fads such as twittering and Second Life, power use is surging.

The total cost of electricity needed to run the world's growing server fleet has been projected to rise by a compounded rate of about 11 per cent a year from 2005 to 2010, according to IDC, a Massachusetts-based firm that tracks Internet trends. It said the electricity bill to power and cool the world's servers should reach a stupendous $44.5-billion (US) next year.

While ordinary consumers are aware of just how much electricity they consume because of their monthly power bills, they don't see the amount they're responsible for on other parts of the Internet. It's embedded in the price of consumer goods and hidden in corporate expenses.

Given the huge amounts of power drained by the centres, companies are on the hunt for ways to make them more energy efficient.

One way has been to develop software that analyzes the layout of the centres to see if there are better ways to configure the servers to minimize the air conditioning. This approach has cut air conditioning usage by about 25 per cent, in some cases.

Still, the proliferation of blogs and Facebook postings and all the information that clutters the Internet has to be hosted somewhere.

Even the effort to have a new .eco Internet domain set up, an idea that has been backed by anti-global-warming campaigner Al Gore's group, Alliance for Climate Protection, would exact an environmental price.

Some people see the .eco domain as a boon because it would allow environmental businesses or activist groups to identify themselves more easily. While this might be a laudable goal, it would require extra server capacity somewhere in a data centre.

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Alberta's Path to Clean Electricity

Alberta Clean Electricity Regulations face federal mandates and provincial autonomy, balancing greenhouse gas cuts, net-zero 2050 goals, and renewable energy adoption across wind, solar, and hydro, while protecting jobs and economic stability in energy communities.

 

Key Points

Rules to cut power emissions, boost renewables, and align Alberta with federal net-zero goals under federal mandates.

✅ Phases out coal and curbs greenhouse gas emissions

✅ Expands wind, solar, and hydro to diversify the grid

✅ Balances provincial autonomy with national climate targets

 

In a recent development, Alberta finds itself at a crossroads between provincial autonomy and federal mandates concerning federal clean electricity regulations that shape long-term planning. The province, known for its significant oil and gas industry, faces increasing pressure to align its energy policies with federal climate goals set by Ottawa.

The federal government, under the leadership of Environment Minister Steven Guilbeault, has proposed regulations aimed at reducing greenhouse gas emissions and transitioning towards a cleaner energy future that prioritizes clean grids and batteries across provinces. These regulations are part of Canada's broader commitment to combat climate change and achieve net-zero emissions by 2050.

The Federal Perspective

From Ottawa's standpoint, stringent regulations on Alberta's electricity sector are necessary to meet national climate targets. This includes measures to phase out coal-fired power plants and increase reliance on renewable energy sources such as wind, solar, and hydroelectric power. Minister Guilbeault emphasizes the importance of these regulations in mitigating Canada's carbon footprint and fostering sustainable development.

Alberta's Response

In contrast, Alberta has historically championed provincial autonomy in energy policy, leveraging its vast fossil fuel resources to drive economic growth. The province remains cautious about federal interventions that could potentially disrupt its energy sector, a cornerstone of its economy, especially amid changes to how electricity is produced and paid for now under discussion.

Premier Jason Kenney has expressed concerns over federal overreach, and his influence over electricity policy has shaped proposals in the legislature. He emphasizes the province's efforts in adopting cleaner technologies while balancing economic stability and environmental sustainability.

The Balancing Act

The challenge lies in finding a middle ground between federal imperatives and provincial priorities, as interprovincial disputes like B.C.'s export-restriction challenge complicate coordination. Alberta acknowledges the need to diversify its energy portfolio and reduce emissions but insists on preserving its jurisdiction over energy policy. The province has already made strides in renewable energy development, including investing in wind and solar projects alongside traditional energy sources.

Economic Implications

For Alberta, the transition to cleaner electricity carries significant economic implications as the electricity market heads for a reshuffle in the coming years. It entails navigating the complexities of energy transition, ensuring job retention, and fostering innovation in sustainable technologies. Critics argue that abrupt federal regulations could exacerbate economic hardships, particularly in communities reliant on the fossil fuel industry.

Moving Forward

As discussions continue between Alberta and Ottawa, finding common ground, including consideration of recent market change proposals from the province, remains essential. Collaborative efforts are necessary to develop tailored solutions that accommodate both environmental responsibilities and economic realities. This includes exploring incentives for renewable energy investment, supporting energy sector workers in transitioning to new industries, and leveraging Alberta's expertise in energy innovation.

Conclusion

Alberta's journey towards clean electricity regulation exemplifies the delicate balance between regional autonomy and federal oversight in Canada's complex federal system. While tensions persist between provincial and federal priorities, both levels of government share a common commitment to addressing climate change and advancing sustainable energy solutions.

The outcome of these negotiations will not only shape Alberta's energy landscape but also influence Canada's overall progress towards a greener future. Finding equitable solutions that respect provincial autonomy while achieving national environmental goals remains paramount in navigating this evolving policy landscape.

 

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How Ukraine Will Keep the Lights On This Winter

Ukraine Winter Energy Strategy strengthens the power grid through infrastructure repairs, electricity imports, renewable integration, nuclear output, and conservation to ensure reliable heating, blackout mitigation, and grid resilience with international aid, generators, and transmission lines.

 

Key Points

A wartime plan to stabilize Ukraine's grid via repairs, imports, renewables, and nuclear to deliver reliable electricity.

✅ Repairs, imports, and demand management stabilize the grid.

✅ Renewables and nuclear reduce outage risks in winter.

✅ International aid supplies transformers, generators, expertise.

 

As Ukraine braces for the winter months, the question of how the country will keep the lights on has become a pressing concern, as the country fights to keep the lights on amid ongoing strikes. The ongoing war with Russia has severely disrupted Ukraine's energy infrastructure, leading to widespread damage to power plants, transmission lines, and other critical energy facilities. Despite these challenges, Ukraine has been working tirelessly to maintain its energy supply during the cold winter months, which are essential not only for heating but also for the functioning of homes, businesses, hospitals, and schools. Here's a closer look at the steps Ukraine is taking to keep the lights on this winter and ensure that its people have access to reliable electricity.

1. Repairing Damaged Infrastructure

One of the most immediate concerns for Ukraine's energy sector is the extensive damage inflicted on its power infrastructure by Russian missile and drone attacks. Since the war began in 2022, Ukraine has faced repeated attacks targeting power plants, substations, and power lines, including strikes on western regions that caused widespread outages across communities. These attacks have left parts of the country with intermittent or no electricity, and repairing the damage has been a monumental task.

However, Ukraine has made significant progress in restoring its energy infrastructure. Government agencies and energy companies have been working around the clock to repair power plants and transmission networks. Teams of technicians and engineers have been deployed to restore power to areas that have been hardest hit by Russian attacks, often under difficult and dangerous conditions. While some areas may continue to face outages, efforts to rebuild the energy grid are ongoing, with the government prioritizing critical infrastructure to ensure that hospitals, military facilities, and essential services have access to power.

2. Energy Efficiency and Conservation Measures

To cope with reduced energy availability and avoid overloading the grid, Ukrainian authorities have been encouraging energy efficiency and conservation measures. These efforts are particularly important during the winter when demand for electricity and heating is at its peak.

The government has implemented energy-saving programs, urging citizens and businesses to reduce their consumption and adopt new energy solutions that can be deployed quickly. Measures include limiting electricity use during peak hours, setting thermostats lower in homes and businesses, and encouraging the use of energy-efficient appliances. Ukrainian officials have also been promoting public awareness campaigns to educate people about the importance of energy conservation, which is crucial to avoid grid overload and ensure the distribution of power across the country.

3. Importing Energy from Abroad

To supplement domestic energy production, Ukraine has been working to secure electricity imports from neighboring countries. Ukraine has long been interconnected with energy grids in countries such as Poland, Slovakia, and Hungary, which allows it to import electricity during times of shortage. In recent months, Ukraine has ramped up efforts to strengthen these connections, ensuring that it can import electricity when domestic production is insufficient to meet demand, and in a notable instance, helped Spain during blackouts through coordinated cross-border support.

While electricity imports from neighboring countries provide a temporary solution, this is not without its challenges. The cost of importing electricity can be high, and the country’s ability to import large amounts of power depends on the availability of energy in neighboring nations; officials say there are electricity reserves and no scheduled outages if strikes do not resume. Ukraine has been actively seeking new energy partnerships and working with international organizations to secure access to electricity, including exploring the potential for importing energy from the European Union.

4. Harnessing Renewable Energy Sources

Another key part of Ukraine's strategy to keep the lights on this winter is tapping into renewable energy sources, particularly wind and solar power. While Ukraine’s energy sector has historically been dependent on fossil fuels, the country has been making strides in integrating renewable energy into its grid. Solar and wind energy are particularly useful in supplementing the national grid, especially during the winter months when demand is high.

Renewable energy sources are less vulnerable to missile strikes compared to traditional power plants, making them an attractive option for Ukraine's energy strategy. Although renewable energy currently represents a smaller portion of Ukraine’s overall energy mix, its contribution is expected to increase as the country invests more in clean energy infrastructure. In addition to reducing dependence on fossil fuels, this shift is aligned with Ukraine’s broader environmental goals and will be important for the long-term sustainability of its energy sector.

5. International Aid and Support

International support has been crucial in helping Ukraine keep the lights on during the war. Western allies, including the European Union and the United States, have provided financial assistance, technical expertise, and equipment to help restore the energy infrastructure, though Washington recently ended some grid restoration support as priorities shifted. In addition to rebuilding power plants and transmission lines, Ukraine has received advanced energy technologies and materials to strengthen its energy security.

The U.S. has sent electrical transformers, backup generators, and other essential equipment to help Ukraine restore its energy grid. The European Union has also provided both financial and technical assistance, supporting Ukraine’s efforts to integrate more renewable energy into its grid and enhancing the country’s ability to import electricity from neighboring states.

6. The Role of Nuclear Energy

Ukraine’s nuclear energy plants play a critical role in the country’s electricity supply. Before the war, nuclear power accounted for around 50% of Ukraine’s total electricity generation, and for communities near the front line, electricity is civilization that depends on reliable baseload. Despite the ongoing conflict, Ukrainian nuclear plants have remained operational, though they face heightened security risks due to the proximity of active combat zones.

In the winter months, nuclear plants are expected to continue providing a significant portion of Ukraine's electricity, which is essential for meeting the country's heating and power needs. The government has made efforts to ensure the safety and security of these plants, which remain a vital part of the country's energy strategy.

Keeping the lights on in Ukraine during the winter of 2024 is no small feat, given the war-related damage to energy infrastructure, rising energy demands, and ongoing security risks. However, the Ukrainian government has taken proactive steps to address these challenges, including repairing critical infrastructure, importing energy from neighboring countries, promoting energy efficiency, and expanding renewable energy sources. International aid and the continued operation of nuclear plants also play a vital role in ensuring a reliable energy supply. While challenges remain, Ukraine’s resilience and determination to overcome its energy crisis are clear, and the country is doing everything it can to keep the lights on through this difficult winter.

 

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3-layer non-medical masks now recommended by Canada's top public health doctor

Canada Three-Layer Mask Recommendation advises non-medical masks with a polypropylene filter layer and tightly woven cotton, aligned with WHO guidance, to curb COVID-19 aerosols indoors through better fit, coverage, and public health compliance.

 

Key Points

PHAC advises three-layer non-medical masks with a polypropylene filter to improve indoor COVID-19 protection.

✅ Two fabric layers plus a non-woven polypropylene filter

✅ Ensure snug fit: cover nose, mouth, chin without gaps

✅ Aligns with WHO guidance for aerosols and droplets

 

The Public Health Agency of Canada is now recommending Canadians choose three-layer non-medical masks with a filter layer to prevent the spread of COVID-19, even as an IEA report projects higher electricity needs for net-zero, as they prepare to spend more time indoors over the winter.

Chief Public Health Officer Dr. Theresa Tam made the recommendation during her bi-weekly pandemic briefing in Ottawa Tuesday, as officials also track electricity grid security amid critical infrastructure concerns.

"To improve the level of protection that can be provided by non-medical masks or face coverings, we are recommending that you consider a three-layer nonmedical mask," she said.

 

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According to recently updated guidelines, two layers of the mask should be made of a tightly woven fabric, such as cotton or linen, and the middle layer should be a filter-type fabric, such as non-woven polypropylene fabric, as Canada explores post-COVID manufacturing capacity for PPE.

"We're not necessarily saying just throw out everything that you have," Tam told reporters, suggesting adding a filter can help with protection.

The Public Health website now includes instructions for making three-layer masks, while national goals like Canada's 2050 net-zero target continue to shape recovery efforts.

The World Health Organization has recommended three layers for non-medical masks since June, and experts note that cleaning up Canada's electricity is critical to broader climate resilience. When pressed about the sudden change for Canada, Tam said the research has evolved.

"This is an additional recommendation just to add another layer of protection. The science of masks has really accelerated during this particular pandemic. So we're just learning again as we go," she said.

"I do think that because it's winter, because we're all going inside, we're learning more about droplets and aerosols, and how indoor comfort systems from heating to air conditioning costs can influence behaviors."

She also urged Canadians to wear well-fitted masks that cover the nose, mouth and chin without gaping, as the federal government advances emissions and EV sales regulations alongside public health guidance.

Trust MedProtect For All Your Mask Protection

www.medprotect.ca/collections/protective-masks

 

 

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EU outlines $300 billion plan to dump Russian energy

REPowerEU Plan accelerates the EU's shift from Russian fossil fuels with renewable energy, energy efficiency, solar, wind, heat pumps, faster permits, and energy security measures by 2027, backed by grants, loans, and grid investments.

 

Key Points

EU plan to quit Russian fossil fuels via renewables and efficiency, with faster permits, by 2027.

✅ €300bn in grants and loans for efficiency and renewables

✅ Streamlined permits; solar mandate on new buildings

✅ Targets 2027 independence; cuts Russian gas, oil, coal

 

The European Union’s executive arm moved Wednesday to jump-start plans for the 27-nation bloc to abandon Russian energy amid the Kremlin’s war in Ukraine, proposing a nearly 300 billion-euro ($315 billion) package that includes more efficient use of fuels and faster rollout of renewable power, even as rolling back electricity prices remains challenging.

The European Commission’s investment initiative is meant to help the 27 EU countries start weaning themselves off Russian fossil fuels this year, a move many see as a wake-up call to ditch fossil fuels across Europe. The goal is to deprive Russia, the EU’s main supplier of oil, natural gas and coal, of tens of billions in revenue and strengthen EU climate policies.

“We are taking our ambition to yet another level to make sure that we become independent from Russian fossil fuels as quickly as possible,” European Commission President Ursula von der Leyen said in Brussels when announcing the package, dubbed REPowerEU.

With no end in sight to Russia’s war in Ukraine and European energy security shaken, amid what some describe as an energy nightmare for the region, the EU is rushing to align its geopolitical and climate interests for the coming decades. It comes amid troubling signs that have raised concerns about energy supplies that the EU relies on and have no quick replacements for, including Russia cutting off member nations Poland and Bulgaria after they refused a demand to pay for natural gas in rubles.

The bloc’s dash to ditch Russian energy stems from a combination of voluntary and mandatory actions. Both reflect the political discomfort of helping fund Russia’s military campaign in a country that neighbors the EU and wants to join the bloc.

An EU ban on coal from Russia is due to start in August, and the bloc has pledged to try to reduce demand for Russian gas by two-thirds by year's end, while debating gas price cap strategies to curb volatility. Meanwhile, a proposed EU oil embargo has hit a roadblock from Hungary and other landlocked countries that worry about the cost of switching to alternative sources.

In a bid to swing Hungary behind the oil phaseout, the REPowerEU package expects oil investment funding of around 2 billion euros for member nations highly dependent on Russian oil.

Energy savings and renewables form the cornerstones of the package, which would be funded mainly by an economic stimulus program put in place to help member countries overcome the slump triggered by the coronavirus pandemic.

The European Commission said the price tag for abandoning Russian fossil fuels completely by a 2027 target date is 210 billion euros. Its package includes 56 billion euros for energy efficiency and 86 billion euros for renewables.

Von der Leyen cited a total funding pot of 72 billion euros in grants and 225 billion euros for loans.

The European Commission also proposed ways to streamline the approval processes in EU countries for renewable projects, which can take up to a decade to get through red tape, as part of a broader effort to revamp the electricity market across Europe. The commission said approval times need to fall to as little as a year or less.

It put forward a specific plan on solar energy, seeking to double photovoltaic capacity by 2025 and pushing for a phased-in obligation to install solar panels on new buildings.

Simone Tagliapietra, an energy expert at the Bruegel think tank in Brussels, called REPowerEU a “jumbo package” whose success will ultimately depend on political will in the bloc’s national capitals, with examples such as Germany’s 200 billion euro energy price shield illustrating the scale of national responses.

“Most of the actions entailed in the plan require either national implementation or strong coordination among member states,” Tagliapietra said. “The extent to which countries really engage is going to be defining.”

The German energy think tank Agora Energiewende said the EU’s plan “gives too little attention to concrete initiatives that reduce fossil fuel demand in the short term and thereby misses the opportunity to simultaneously enhance Europe’s energy security and meet Europe’s climate objectives.”

The group's research shows rapidly expanding solar, wind parks and use of heat pumps for low-temperature heat in industry and buildings could be done faster than constructing new liquefied natural gas terminals or gas infrastructure, said Matthias Buck, its director for Europe.

The European Commission’s recommendations on short-term national actions to cut demand for Russian energy, which include potential emergency measures to limit electricity prices as well, coincide with deliberations underway in the bloc since last year on setting more ambitious EU energy-efficiency and renewable targets for 2030.

Those targets, being negotiated by the European Parliament and national governments, are part of the bloc’s commitments to a 55% cut in greenhouse gases by decade's end, compared with 1990 emissions, and to climate neutrality by 2050.

Von der Leyen urged the European Parliament and national governments to deepen the commission’s July proposal for an energy efficiency target of 9% and renewable energy goal of 40% by 2030. She said those objectives should be 13% and 45%, respectively.

Belgium, the Netherlands, Germany and Denmark plan to build North Sea wind farms to help cut carbon emissions.

 

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South Australia rides renewables boom to become electricity exporter

Australia electricity grid transition is accelerating as renewables, wind, solar, and storage drive decentralised generation, emissions cuts, and NEM trade shifts, with South Australia becoming a net exporter post-Hazelwood closure and rooftop solar surging.

 

Key Points

Australia electricity shift to renewables, distributed generation and storage, cutting emissions, reshaping NEM flows.

✅ South Australia now exports power post-Hazelwood closure

✅ Rooftop solar is the fastest-growing NEM generation source

✅ Gas peaking and storage investments balance variable renewables

 

The politics may not change much, but Australia’s electricity grid is changing before our very eyes – slowly and inevitably becoming more renewable, more decentralised, and in step with Australia's energy transition that is challenging the pre-conceptions of many in the industry.

The latest national emissions audit from The Australia Institute, which includes an update on key electricity trends in the national electricity market, notes some interesting developments over the last three months.

The most surprising of those developments may be the South Australia achievement, which shows that since the closure of the Hazelwood brown coal generator in Victoria in March 2017, and as renewables outpacing brown coal in other markets, South Australia has become a net exporter of electricity, in net annualised terms.

Hugh Saddler, lead author of the study, notes that this is a big change for South Australia, which in 1999 and 2000, when it had only gas and local coal, used to import 30% of its electricity demand.

#google#

The fact that wholesale prices in South Australia were higher in other states – then, as they are now – has nothing to with wind and solar, but the fact that it has no low-cost conventional source and a peaky demand profile (then and now).

“The difference today is that the state is now taking advantage of its abundant resources of wind and solar radiation, and the new technologies which have made them the lowest cost sources of new generation, to supply much of its electricity requirements,” Saddler writes.

Other things to note about the flows between states is that Victoria was about equal on imports and exports with its three neighbouring states, despite the closure of Hazelwood. NSW continues to import around 10% of its needs from cheaper providers in Queensland.

Gas-fired generation had increased in the last year or two in South Australia as a result of the Northern closure, but is still below the levels of a decade ago.

But because it is expensive, this is likely to spur more investment in storage.

As for rooftop solar, Saddler notes that the share of residential solar in the grid is still relatively small but, despite excess solar risks flagged by distributors, it is the most steadily growing generation source in the NEM.

That line is expected to grow steadily. By 2040, or perhaps 2050, the share of distributed generation, which includes rooftop solar, battery storage and demand management, is expected to reach nearly half of all Australia’s grid demand.

Saddler, says, however, that the increase in large-scale solar over the last few months is a significant milestone in Australia’s transition towards clean electricity generation, mirroring trends in India's on-grid solar development seen in recent years. (See very top graph).

“Firstly, they are a concrete demonstration that the construction cost advantage, which wind enjoyed over solar until a year or two ago, is gone.

“From now on we can expect new capacity to be a mix of both technologies. Indeed, the Clean Energy Regulator states that it expects solar to account for half of all (new renewable) capacity by 2020, and the US is moving toward 30% from wind and solar as well.”

 

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Utilities see benefits in energy storage, even without mandates

Utility Battery Storage Rankings measure grid-connected capacity, not ownership, highlighting MW, MWh, and watts per customer across PJM, MISO, and California IOUs, featuring Duke Energy, IPL, ancillary services, and frequency regulation benefits.

 

Key Points

Rankings that track energy storage connected to utility grids, comparing MW, MWh, and W/customer rather than ownership.

✅ Ranks by MW, MWh, and watts per customer, not asset ownership

✅ Highlights PJM, MISO cases and California IOUs' deployments

✅ Examples: Duke Energy, IPL, IID; ancillary services, frequency response

 

The rankings do not tally how much energy storage a utility built or owns, but how much was connected to their system. So while IPL built and owns the storage facility in its territory, Duke does not own the 16 MW of storage that connected to its system in 2016. Similarly, while California’s utilities are permitted to own some energy storage assets, they do not necessarily own all the storage facilities connected to their systems.

Measured by energy (MWh), IPL ranked fourth with 20 MWh, and Duke Energy Ohio ranked eighth with 6.1 MWh.

Ranked by energy storage watts per customer, IPL and Duke actually beat the California utilities, ranking fifth and sixth with 42 W/customer and 23 W/customer, respectively.

Duke ready for next step

Given Duke’s plans, including projects in Florida that are moving ahead, the utility is likely to stay high in the rankings and be more of a driving force in development. “Battery technology has matured, and we are ready to take the next step,” Duke spokesman Randy Wheeless told Utility Dive. “We can go to regulators and say this makes economic sense.”

Duke began exploring energy storage in 2012, and until now most of its energy storage efforts were focused on commercial projects in competitive markets where it was possible to earn revenues. Those included its 36 MW Notrees battery storage project developed in partnership with the Department of Energy in 2012 that provides frequency regulation for the Electric Reliability Council of Texas market and two 2 MW storage projects at its retired W.C. Beckjord plant in New Richmond, Ohio, that sells ancillary services into the PJM Interconnection market.

On the regulated side, most of Duke’s storage projects have had “an R&D slant to them,” Wheeless said, but “we are moving beyond the R&D concept in our regulated territory and are looking at storage more as a regulated asset.”

“We have done the demos, and they have proved out,” Wheeless said. Storage may not be ready for prime time everywhere, he said, but in certain locations, especially where it can it can be used to do more than one thing, it can make sense.

Wheeless said Duke would be making “a number of energy storage announcements in the next few months in our regulated states.” He could not provide details on those projects.

More flexible resources
Location can be a determining factor when building a storage facility. For IPL, serving the wholesale market was a driving factor in the rationale to build its 20 MW, 20 MWh storage facility in Indianapolis.

IPL built the project to address a need for more flexible resources in light of “recent changes in our resource mix,” including decreasing coal-fired generation and increasing renewables and natural gas-fired generation, as other regions plan to rely on battery storage to meet rising demand, Joan Soller, IPL’s director of resource planning, told Utility Dive in an email. The storage facility is used to provide primary frequency response necessary for grid stability.

The Harding Street storage facility in May. It was the first energy storage project in the Midcontinent ISO. But the regulatory path in MISO is not as clear as it is in PJM, whereas initiatives such as Ontario storage framework are clarifying participation. In November, IPL with the Federal Energy Regulatory Commission, asking the regulator to find that MISO’s rules for energy storage are deficient and should be revised.

Soller said IPL has “no imminent plans to install energy storage in the future but will continue to monitor battery costs and capabilities as potential resources in future Integrated Resource Plans.”

California legislative and regulatory push

In California, energy storage did not have to wait for regulations to catch up with technology. With legislative and regulatory mandates, including CEC long-duration storage funding announced recently, as a push, California’s IOUs took high places in SEPA’s rankings.

Southern California Edison and San Diego Gas & Electric were first and fourth (63.2 MW and 17.2 MW), respectively, in terms of capacity. SoCal Ed and SDG&E were first and second (104 MWh and 28.4 MWh), respectively, and Pacific Gas and Electric was fifth (17 MWh) in terms of energy.

But a public power utility, the Imperial Irrigation District (IID), ended up high in the rankings – second in capacity (30 MW) and third  in energy (20 MWh) – even though as a public power entity it is not subject to the state’s energy storage mandates.

But while IID was not under state mandate, it had a compelling regulatory reason to build the storage project. It was part of a settlement reached with FERC over a September 2011 outage, IID spokeswoman Marion Champion said.

IID agreed to a $12 million fine as part of the settlement, of which $9 million was applied to physical improvements of IID’s system.

IID ended up building a 30 MW, 20 MWh lithium-ion battery storage system at its El Centro generating station. The system went into service in October 2016 and in May, IID used the system’s 44 MW combined-cycle natural gas turbine at the generating station.

Passing savings to customers
The cost of the storage system was about $31 million, and based on its experience with the El Centro project, Champion said IID plans to add to the existing batteries. “We are continuing to see real savings and are passing those savings on to our customers,” she said.

Champion said the battery system gives IID the ability to provide ancillary services without having to run its larger generation units, such as El Centro Unit 4, at its minimum output. With gas prices at $3.59 per million British thermal units, it costs about $26,880 a day to run Unit 4, she said.

IID’s territory is in southeastern California, an area with a lot of renewable resources. IID is also not part of the California ISO and acts as its own balancing authority. The battery system gives the utility greater operational flexibility, in addition to the ability to use more of the surrounding renewable resources, Champion said.

In May, IID’s board gave the utility’s staff approval to enter into contract negotiations for a 7 MW, 4 MWh expansion of its El Centro storage facility. The negotiations are ongoing, but approval could come in the next couple months, Champion said.

The heart of the issue, though, is “the ability of the battery system to lower costs for our ratepayers,” Champion said. “Our planning section will continue to utilize the battery, and we are looking forward to its expansion,” she said.” I expect it will play an even more important role as we continue to increase our percentage of renewables.”

 

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