Xcel Energy Inc. · NASDAQ:XEL
Xcel Energy — Technical Presentation (2023)
25 slides from Xcel Energy's technical presentation, Aug 20, 2023
Slide 1: Statement of Need & Electric System Requirements
STATEMENT OF NEED & ELECTRIC SYSTEM REQUIREMENTS Ben Elsey | Director, Resource Planning & Bidding 1 © 2023 Xcel Energy
Slide 2: Statement of Need
Statement of Need 17.7.3.10 STATEMENT OF NEED: A. The statement of need is a description and explanation of the amount and the types of new resources, including the technical characteristics of any proposed new resources, to be procured, expressed in terms of energy or capacity, necessary to reliabl
Slide 3: Electric System Requirements - Tenets
Electric System Requirements - Tenets SPS is committed to providing clean and reliable energy, while keeping bills affordable for Clean customers Resiliency is an equally important metric that, at times, can be Reliable challenging to quantify. SPS takes a qualitative approach Affordable when evalua
Slide 4: Determining the cost of resource portfolios
Determining the cost of resource portfolios • SPS uses the EnCompass production cost model to determine the most cost- effective portfolio(s) of resources to meet projected future energy demand • Resource Portfolios must meet predetermined reliability and clean energy requirements (e.g., planning re
Slide 5: Modeling System Reliability
Modeling System Reliability Demand: SPS Annual Hourly Demand Profile Resource portfolios must meet the 4,500 15% planning reserve margin requirement in all months. 4,000 Energy: EnCompass will typically add either 3,500 additional resources and/or MW purchase energy from the market to ensure energy
Slide 6: Modeling Demand: Resource Capacity Accreditation
Modeling Demand: Resource Capacity Accreditation The Southwest Power Pool is responsible for determining the capacity accreditation for each resource type. The following capacity accreditation methodology is expected to be implemented before the action period: Performance Based Accreditation Effecti
Slide 7: ELCC Example
ELCC Example At 1,000 MW of Solar across the entire SPP footprint accreditation for Summer is 72% (e.g., 100 MW Solar facility would count 72 MW towards SPS capacity need Declines as the penetration of solar generation increases © 2023 Xcel Energy 7
Slide 8: Modeling Energy: Dispatchable vs Intermittent
Modeling Energy: Dispatchable vs Intermittent Resources can be defined as either dispatchable or intermittent. Dispatchable resources, including thermal generation and battery energy storage, can be called upon when needed (subject to start times, state of charge etc.). Intermittent resources, inclu
Slide 9: New Mexico - Renewable Portfolio Standards
New Mexico - Renewable Portfolio Standards • New Mexico Renewable Portfolio Standards require the following: • No later than January 1, 2015, renewable energy shall comprise no less than 15% percent of each public utility’s total retail sales to New Mexico customers; • Increases to 20% no later than
Slide 10: Modeling Clean Energy Requirements
Modeling Clean Energy Requirements • Resource Planning is conducted at the SPS system level (not individual jurisdictions) • Can create challenges when modeling state specific requirements such as New Mexico’s Renewable Portfolio Standards • SPS typically does not constrain EnCompass for RPS complia
Slide 11: Post Analysis Review
Post Analysis Review • EnCompass selects the most cost-effective portfolio of resources that meet predetermined reliability and clean energy requirements • However, economic analyses do not fully capture all the complexities of integrated resource planning, for example (not exhaustive): The benefi
Slide 12: Questions?
QUESTIONS ? © 2023 Xcel Energy
Slide 13: System Resources
SYSTEM RESOURCES Chris Whiteside | Resource Planning Analyst © 2023 Xcel Energy
Slide 14: System Resources – Important Considerations
System Resources – Important Considerations • Different resources play different roles in meeting demand and energy requirements Time of generation vs peak load, system transients, weather, etc. • Supply-side resources provide generation capacity to serve load • Traditional supply-side resources a
Slide 15: System Resources – Important Considerations
System Resources – Important Considerations • System resources must connect to the Grid • Generator Interconnection Procedures: Attachment V of the Southwest Power Pool Open Access Transmission Tariff (“OATT”). • New interconnection – Section 3 • Reuse existing interconnection – Section 3.9 • Surplu
Slide 16: System Resources – Established Technologies
System Resources – Established Technologies • Renewable Energy Resources: • Wind • Solar – Photovoltaic (“PV”) • Thermal Energy Resources: • Combustion Turbine Generators (“CTG”) • Combined Cycle (“CC”) • Energy Storage Resources: • Battery Energy Storage Systems (“BESS”) • Commercially competitive
Slide 17: Renewable – Wind
System Resources – Renewable – Wind • Converts the wind energy into electricity • Large, three-bladed Wind Turbine Generators (“WTGs”) aggregated to produce hundreds of MWs • Intermittent resource • Capacity factors range from 45%-55% in eastern New Mexico. • Moderate capacity accreditation due to n
Slide 18: Renewable – Solar (PV)
System Resources – Renewable – Solar (PV) • Converts the sun’s energy (photons of light) into electricity • Several forms: Photovoltaic (“PV”), concentrating PV, or concentrating solar power • Intermittent resource • Capacity factors range from 30%-35% in eastern New Mexico • Max output occurs prior
Slide 19: Thermal – CTG
System Resources – Thermal – CTG • Typically referred to a simple-cycles because they operate on a single thermal cycle known as the Brayton Cycle • Operate on several fuel sources but are traditionally fired with natural gas with a backup fuel such as fuel oil • Technological advancements have allo
Slide 20: Thermal – CC
System Resources – Thermal – CC • Utilize CTGs in conjunction with Heat Recovery Steam Generators (“HRSGs”) and a Steam Turbine Generator (“STG”) • Referred to as CCs because they combine the thermodynamic Brayton and Rankine Cycles • Exhaust heat from the CTG(s) are ducted through the HRSG(s) to ge
Slide 21: Storage – BESS
System Resources – Storage – BESS • Power from Electrochemical Process, or other Potential Energy Sources (springs, gravity, etc.) • Various battery chemistries available, Lithium-ion currently most prevalent • Storage typically ranges in size from 10 MW to over 250 MW for durations from 2 to 8 hour
Slide 22: System Resources – Attributes
System Resources – Attributes Attribute CTG CC Wind Solar BESS3 Firm and Dispatchable Yes Yes No N0 Yes Limited Duration No No N/A N/A Yes Proposed Accreditation Method PBA1 PBA1 ELCC2 ELCC2 ELCC2 Summer Capacity Accreditation >95% >95% ~20% ~75% >95% Winter Capacity Accreditation >95% >95% ~20% <5%
Slide 23: Emerging Technologies
System Resources – Emerging Technologies • Battery Chemistries: Iron-air Redox-flow • Nuclear: Small Modular Nuclear Reactors • New technology/retrofitting existing to utilize hydrogen combustion • Carbon capture technologies • Linear Generators • Again, all generation resources will be eligib
Slide 24: System Resources – Alternatives
System Resources – Alternatives • Behind the meter resources Similar to supply side resources above, but behind the customer meter Rooftop solar, etc. • Demand Side Management or Demand Response Participation in programs that incentivize reduced consumption during periods of high electricity d
Slide 25: Questions?
QUESTIONS ? © 2023 Xcel Energy