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CPS Energy Water Use Louisa Eclarinal, P.G. December 18, 2013 CATEE.

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Presentation on theme: "CPS Energy Water Use Louisa Eclarinal, P.G. December 18, 2013 CATEE."— Presentation transcript:

1 CPS Energy Water Use Louisa Eclarinal, P.G. December 18, 2013 CATEE

2 Outline 1.CPS Energy Overview 2.Water Resources and Requirements 3.Water Supply Management and Strategies –Historical –visionary shift from GW to reuse –Fleet diversification to include renewables and demand efficiency –Water conservation and drought management measures 4.Challenges 2

3 Overview 3 Largest municipally-owned electric and gas utility in the U.S. Oldest energy utility in Texas – Founded in ,000 electric customers 323,000 natural gas customers 3,500 employees Nearly $10B in assets with highest credit ratings among municipal utilities is the U.S. $250 million annual return to owner, the City of San Antonio Outstanding customer satisfaction track record Lowest electric rates of all major cities in the U.S. – 2011 Residential rates averaged about 9¢/kwh J.D. Power Survey – Southern Region Electric Residential Customers1st3rd2nd1st Gas Residential Customers1st

4 Generation Capacity Leon Creek – 184 MW Net (Gas) V. H. Braunig/Arthur von Rosenberg/CT – 1549 MW Net (Gas) O. W. Sommers/J. T. Deely – 1670 MW Net (Gas & Coal) J.K. Spruce 1&2 – 1340 MW Net (Coal) Rio Nogales MW Net (Gas)-Guadalupe County STP 1&2 – 1080 MW Net (Nuclear)-Bay City Total Generation Capacity – 6573 MW Net 4

5 Renewable Energy Sweetwater 3 & 4 Wind Covel Gardens Landfill Gas Penascal Wind Papalote Creek Wind Cedro Hill Wind Dos Rios & Somerset Solar Blue Wing Solar Desert Sky Wind Los Vientos Wind Commercial Operation Wind 1059 MW Solar 44.3 MW Landfill Gas 9.6 MW Total 1113 MW Development / Construction Landfill Gas 4 MW Solar 400 MW Total 404 MW

6 Generation Portfolio Projected Generation 2020 Traditional sources = 83.4% Renewable sources = 13.7% Demand Reduction = 2.9% Traditional sources = 89.5% Renewable sources = 9.4% Demand Reduction = 1.1% 2012 Generation CY 2012 Generation ~ 29.4 TWh CY 2020 Generation ~ 32.4 TWh Low & Non-emittive: 56% Low & Non-emittive: 68% 6

7 Withdrawal vs Consumption WithdrawalConsumption 7

8 Power Plant Water Usage 8 State of Texas: Vast majority of water in electric generation process is cycled through power plant for cooling and returned to reservoir 2% of statewide water use; an important but relatively small amount on a statewide basis *Source: Texas Water Development Board %2fWU%2fSumFinal_RegionReport&rs:Command=Render Retrieved12/4/2013

9 How Electricity is Made - Spruce 9

10 CPS Energy Water Supplies CPS Energy: Bexar County Plants: 16 power generating units located at 4 Bexar Co. sites Braunig and Calaveras Power Stations 60% of total generating capacity - Water Supplies Edwards Aquifer GW permit-3046 acre-ft /yr (Leon Creek) Surface water rights-99,000 acre ft/yr Braunig -12,000 acre-ft surface water from San Antonio River Calaveras -27,000 acre-ft surface water from Calaveras Creek watershed 60,000 acre-ft surface water and treated sewage effluent from the San Antonio River SAWS reuse water contract 50,000 acre-ft /yr (Calaveras) Potable Water (SAWS and East Central for Braunig and Calaveras) 10

11 Historical Water Management Strategies Post 1950s Drought of Record: Visionary shift from Edwards GW to reuse water 1967 Ordinance providing for use of citys sewage effluent for cooling water purposes Pioneer use of treated effluent for power plant cooling Secure supply with ACRD contract in late 90s- $2M/year 11

12 Braunig Lake Construction

13 Braunig Lake Power Station (2012)- 1966, 1968, 1970, 1999,

14 Calaveras Lake Construction

15 15 Calaveras Lake (2012) – 1972, 1974, 1977, 1978, 1992,

16 Edwards Aquifer Water Use 16 Dry years: , 2009, 2011

17 17 Growth in Edwards Aquifer Water Use ( )

18 Water Management Strategies Strategic Water Resources Plan SAWS Reuse Contract (Increased to 50K/year in 2011) Renewables –increased to 15% of capacity by 2020 Demand reduction- 771MW Water Conservation Drought Management 18

19 Water Demand Projection 19

20 Renewables and STEP Water Savings 20

21 Water Conservation Re-circulate cooling water in reservoir for reuse Recycle all waste streams-99% Evaluate low water usage processes when considering capital investments (water efficient gas turbines instead of gas steam turbines) Investigate new water treatment technologies Increase power plant efficiency Encourage energy conservation and provide rebates to reduce growth in demand for generation 21

22 Drought Management Drought Management Plan updated Peak load demand reduction Strategic scheduling of river pumping operations and enhanced monitoring for optimal lake level management Increased communication and collaboration with San Antonio Water System, San Antonio River Authority and South Texas Water Master Participate in industry working groups to develop best practices for drought preparedness (e.g., ERCOT) Examine dispatching units based on water use or availability; moving water between power plant cooling reservoirs Monitor market conditions-may purchase wholesale power 22

23 Challenges A. TAP Lawsuit Recent court ruling against TCEQ –Over-allocation of water rights in the basin caused death of 23 whooping cranes TCEQ cant issue new water rights 5 th Court of Appeals granted stay –Additional arguments in August 2013 Potential impact on existing SW rights 23

24 Challenges (cont.) B. Endangered Species Proposed federal listing of 5 mussels species in Central TX River basin by USF&W UT Bureau of Economic Geology/Texas Comptrollers Office Study (draft) on economic impact of listing –Would result in $107M losses for CPS Energy for non- generation at Braunig and Calaveras due to potential higher flow requirement Mussel studies underway by SARA and USGS Potential reallocation of existing surface water rights 24

25 Challenges (cont.) C.Regulatory 316 b –Cooling Water Intake Structure final rule in Jan 2014 New Effluent Guidelines for Steam Electric Thermal Discharge Limits Potentially limit operations at Braunig and Calaveras Need to assess costs and benefits 25

26 Take Away Early pioneer in Edwards Aquifer water conservation efforts and reuse water, partnered with SAWS and its predecessors Diversification, shift to renewables, and emphasis on energy efficiency keep water demand consistently low and decrease water requirements Continuous review and improvement of plant operation efficiencies and water management strategies Continued close cooperation with SAWS and other agencies allow for better management of water supplies Enough water supplies for future expansion and during period of prolonged drought Proposed regulatory and environmental requirements create challenges and uncertainties 26

27 27 Questions


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