Wild Horse Solar Demonstration Project Located at Wild Horse Wind Farm near Ellensburg, WA First utility-scale wind-solar facility in nation Excellent sun - same solar resource as Houston Already disturbed land Existing transmission and operational synergies Added tax benefits from co- location 500 kW Project – 300 homes at peak Largest in the Pacific Northwest by a factor of three ~5 Acre footprint $4-5 million in capital costs 90% of facility now operational; final completion spring 2008 Primary Solar Site – Former quarry, too high for wind turbines (FAA airspace concerns) Wind Farm Layout – 127 Turbines
Renewable Energy in the Northwest Looking Forward
PSE Renewable Acquisition Strategy ≈85 aMW ≈240 aMW 10% Future Renewable Acquisitions Under Active Consideration Existing PSE Renewables PSE 10% Goal RPS Requirement
Levelized Resource Cost Comparison Wind Natural Gas Hydro System PPAs 200820062004200820062004200820062004200820062004 $44-62 $76-106 $104-155 $60-85 $70-129 $102-174 $64-67 $58-100 $79-164 $42-74 $61-101 $74-118 20-year Levelized Cost $/MWh Notes: 2004 prices represent Mid-C delivery. 2006 and 2008 prices represent deliveries to PSE’s system System PPAs are offers that are shorter term in nature and not tied to a specific resource.
Rising Wind Turbine Costs Source: Berkeley Lab database.Thorndike Landing analysis. Wind turbines comprise 60% of total project costs.
Distributed Commercial Renewable Energy in the Northwest
Biomass -- Active Opportunities Dairy Digesters Wood Waste Waste Water Treatment Plants Landfill
Distributed Commercial Renewables Green Power Program Support for new, regional, small renewables REC-based program Primary supplier is Bonneville Environmental Foundation Provides customer choice
Dairy Digester Project Lynden, Washington Single Farm- Anaerobic Digester First in Washington State Number of units -1 Reciprocating engine Nominal output 300 kW (potential to 450 kW) Project output ~2,000 MWh Project costs ~$1M ($4,000/kW) 1,500 Cows PSE Involvement Power Purchase RECs Interconnection Construction completed fall 2004
Distributed Residential Renewable Energy in the Northwest
PSE Solar Demonstration Projects Schools Environmental Centers Other Buildings
PSE “Green” Tariffs Net Metering Services for Customer-Generator Systems (Schedule 150) Net metering up to 100 KW Surplus energy credited to customer bill Eligible resources: wind, solar, anaerobic digester, hydro Renewable Energy Production Incentive Payment Program (Schedule 151 works with either Schedule 150 or Schedule 91) Production payments, meters AC energy before load Eligible resources: wind, solar, anaerobic digester Cogeneration and Small Power Production (Schedule 91) Renewable production up to 2 MW Current payment ~ $.077/kWh
Renewable Energy in the Northwest Emerging Technologies
Proposed NW Geothermal China Cap Raft River Willow Springs Neal Hot Springs Newberry Crater Crump Geyser Baker Currently Operating: ~14 MW (Raft River) In Development: ~ 150 MW In Consideration: ~ 250 MW
Wave & Tidal Power in the Northwest Wave Projects Makah Bay (Finavera) OPT Reedsport (Ocean Power Tech.) Douglas County (Wavegen) OPT Coos County (Ocean Power Tech.) Humboldt County (Finavera) Tidal Projects Race Rocks (Pilot) Snohomish PUD (Planning) Tacoma Power (Halted) Willapa Bay (Planning)
Technology Development ConceptPilot Early Commercial Favorable High Market Economics Favorable Mass Market Economics Solar PV Dairy Digester Fuel Cells Wind Traditional Biomass Geothermal Wave Tidal Algae CPV CSP Solar Thermal Electric PHEV Biomass Gasification Batteries
Technology Development and Financial Support ConceptPilot Early Commercial Favorable High Market Economics Favorable Mass Market Economics State & Federal Basic research: UW/WSU Identify Washington advantages. Grants & partnerships with private entities. Establish legal frameworks Government as Customer Tax Credits for Investment (ITC) Tax Credits for Production (PTC) Tax Credits for Manufacturing RE (OR) Promote export market Reduce regulatory barriers. Private Founder Financing Venture Capital Commercial Financing
Basic Research Funding Source: Gallagher, K.S., "DOE Budget Authority for Energy Research, Development, and Demonstration Database," Energy Technology Innovation Policy, John F. Kennedy School of Government, Harvard University, February 2008.
Partnership Model for Early Commercial Government Funding STEM Personnel Disseminate Findings Utility Market Access Interconnection Distribution Customer Safety and Reliability Private Partner Site and Resource Enthusiasm Production Responsibility
Commercially available, depending on economics Tested and shows good potential Early testing with theoretical potential X Target Market Technology Utility Scale Distributed Commercial Distributed Residential Wind XX Solar XXX Geothermal XEES Tidal X Wave X Biomass Combustion XX Biomass AD XX Biomass Gasification X Algae XX Fuel Cells X Renewable Technology Outlook in the Northwest