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Louisa Eclarinal, P.G. December 18, 2013 CATEE

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

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

2 Outline CPS Energy Overview Water Resources and Requirements
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 Challenges

3 Overview Largest municipally-owned electric and gas utility in the U.S. Oldest energy utility in Texas – Founded in 1860 717,000 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 2009 2010 2011 2012 Electric Residential Customers 1st 3rd 2nd Gas Residential Customers

4 Generation Capacity Total Generation Capacity – 6573 MW Net
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

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

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

7 Withdrawal vs Consumption

8 Power Plant Water Usage
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 Retrieved12/4/2013

9 How Electricity is Made - Spruce

10 CPS Energy Water Supplies
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)

11 Historical Water Management Strategies
Post 1950s Drought of Record: Visionary shift from Edwards GW to reuse water 1967 Ordinance “providing for use of city’s 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

12 Braunig Lake Construction 1964

13 Braunig Lake Power Station (2012)- 1966, 1968, 1970, 1999, 2010

14 Calaveras Lake Construction 1967

15 Calaveras Lake (2012) – 1972, 1974, 1977, 1978, 1992, 2010 15

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

17 Growth in Edwards Aquifer Water Use (1940-2011)

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

19 Water Demand Projection

20 Renewables and STEP Water Savings

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

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

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 can’t issue new water rights 5th Court of Appeals granted stay Additional arguments in August 2013 Potential impact on existing SW rights

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 Comptroller’s 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

25 Challenges (cont.) 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

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

27 Questions

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