Project Vigilance
Value of Ambri Batteries at Joint Base Cape Cod
Paul Hibbard
June 27, 2014
BOSTON
CHICAGO
DALLAS
DENVER
LOS ANGELES
MENLO PARK
MONTREAL
NEW YORK
SAN FRANCISCO
WASHINGTON
STUDY
Functional Feasibility Study
 Funded through the InnovateMass
Program of the MA Clean Energy
Center
 Part of a Demonstration Pilot Project
to support the development and
deployment of energy storage in the
Commonwealth
 FFS involves assessing the potential
value of energy storage installations
paired with substantial renewable
generation output
 Subsequent stages: deployment of
Ambri liquid metal battery systems
at JBCC, other MA sites
Partners
•
•
•
•
•
MA Development Finance Agency
Ambri Inc.
Joint Base Cape Cod
Raytheon
Analysis Group
Page 1
Functional Feasibility Study Questions
•
Can Ambri’s LMB storage technology benefit the Commonwealth’s
energy and environmental policy goals?
•
Can installation of Ambri batteries at JBCC generate meaningful cost
savings for JBCC as a retail end-use customer, and what factors affect
this outcome?
•
Can Ambri’s storage support more economic integration of current
and/or expanded installations of renewable generation (primarily wind
and solar) at JBCC (and in similar settings)?
•
Can Ambri batteries enhance the resilience of power supply for
JBCC’s critical mission activities if separated from the surrounding
power grid? What combinations of generation and Ambri batteries
would maximize resilience of critical mission activities in the most
economical fashion?
•
What is the value of Ambri batteries – alone or in combination with
traditional and/or renewable generating assets – in regional wholesale
electricity markets?
Page 2
Joint
Base
Cape Cod (JBCC)
Analysis Group
– 2012 Orientation
Large Producer/Consumer




26 GWh load (50,000 homes)
4.5 MW avg, 6 MW peak load
$4 million electric bill
(Soon) over 10 MW supply/backup
7.5 MW wind, 6 MW solar, diesel
Critical Missions
 Coast Guard
 Army National Guard
 Air Force communications, intelligence,
PAVE PAWS
 State & federal military/civilian opn’s,
disaster response, law enforcement,
municipal agencies
Cost and Policy Goals





Lower electric costs
Maximize value of generation
Maintain uninterrupted power supply
Enable operations separate from grid
Support grid restoration
Page 3
Ambri
Analysis Group – 2012 Orientation
 Stackable liquid metal battery
cells
 Systems about size of an 18wheeler
 Can switch between store &
discharge instantly
 Can operate as capacity/
ancillary service resource
 Can be used as energy storage
(optimize value of variable
output; price arbitrage)
Page 4
Functional
Study
Analysis Group – 2012 Feasibility
Orientation
Retail Energy Expense
Hourly load across the
Base
 Aggregate hourly demand
across multiple agencies
Hourly renewable
generation from Base
resources
 Existing wind, new wind
 New solar
Energy Storage
Renewable
Energy Needs
Charge (-) /
Energy Needs
Hour
Load (kWh)
Generation
(From Grid)
Discharge(+)
with Storage
Energy price
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
3,000
3,000
3,000
3,000
3,000
3,000
3,000
3,200
3,200
3,200
3,400
3,500
3,700
3,800
3,900
3,900
3,800
3,700
3,500
3,400
3,200
3,000
3,000
3,000
2,100
2,100
1,800
2,100
1,800
2,100
2,250
2,100
1,900
1,600
1,200
1,400
1,100
900
1,000
1,400
1,600
1,650
1,650
1,450
1,300
1,800
2,100
2,100
900
900
1,200
900
1,200
900
750
1,100
1,300
1,600
2,200
2,100
2,600
2,900
2,900
2,500
2,200
2,050
1,850
1,950
1,900
1,200
900
900
1,300
1,300
1,600
1,300
1,600
1,300
750
1,100
1,300
1,600
2,200
2,100
2,100
1,900
1,900
1,500
1,700
2,050
1,850
1,950
2,300
1,600
1,300
1,300
$0.13
$0.13
$0.13
$0.13
$0.13
$0.13
$0.14
$0.14
$0.14
$0.14
$0.15
$0.18
$0.19
$0.20
$0.20
$0.20
$0.18
$0.16
$0.15
$0.14
$0.13
$0.13
$0.13
$0.13
79,400
40,500
38,900
(400)
(400)
(400)
(400)
(400)
(400)
0
0
0
0
0
0
500
1,000
1,000
1,000
500
0
0
0
(400)
(400)
(400)
(400)
0
38,900
Total
Demand Charge
Grand Total
Without Energy
With Energy
Storage
Storage
$117
$117
$156
$117
$156
$117
$105
$154
$182
$224
$330
$378
$494
$580
$580
$500
$396
$328
$278
$273
$247
$156
$117
$117
$169
$169
$208
$169
$208
$169
$105
$154
$182
$224
$330
$378
$399
$380
$380
$300
$306
$328
$278
$273
$299
$208
$169
$169
$6,219
$1,160
$7,379
$5,954
$920
$6,874
Battery charge/discharge “mode”
 Storage: fully charge and then let sit? Maintain a minimum level
 Cycle: allow swing of full capability based on needs?
 Sizing: in consideration of needs and value, how big should the system be?
Value to JBCC
 Maintain specific Base “reserves?” Act as a capacity resource?
 Buy and sell energy strategically?
Page 5
Ambri Battery Value Streams
Battery Value
Perspective
Description
Model Approach
Retail Costs
End-use customer
Battery used to minimize all-in cost of
electricity
Apply constrained optimization on battery
use to minimize customer monthly bills
End-use customer
Battery used to protect critical end-use
operations against transmission or
distribution outages, or minimize use of backup generation
Iterative application of battery optimization
to minimize hours with net positive critical
load
Available battery storage capability used to
maximize the daily/weekly value of generation
in energy market
Apply constrained optimization on battery
use to maximize energy market revenues
(and/or minimize wholesale energy costs)
considering base generation resources and
load
Battery used in power/capacity mode to gain
revenues in capacity market
Calculate annual capacity market revenues
under different market forecasts
Battery used in power/capacity mode to gain
revenues in reserve market
Calculate annual reserve market revenues
based on historical reserve market prices
Battery capability offered as a regulation
resource
Calculate annual regulation market revenues
based on average historical market prices
Critical Load; Resilience
& Independence
Energy Market Arbitrage
Capacity Market
Revenues
Reserve Market
Revenues
Regulation Market
Revenues
End-use customer or
wholesale market
participant
End-use customer or
wholesale market
participant
End-use customer or
wholesale market
participant
End-use customer or
wholesale market
participant
Deferral of
Infrastructure
Investment
Transmission or
distribution utility
Strategic placement of battery storage to
support local system reliability
Discuss qualitatively
Power System Reliability
and Efficiency
Regional power system
operator, wholesale
customers
Integration of storage to improve the
reliability and efficiency of managing power
system peak loads, load-following, and reserve
requirements
Discuss qualitatively
Public Policy
Facilitate greater use of low/zero carbon
resources to meet state or federal policy
objectives; reduce need for traditional
peaking resources to balance variability
Iterative application of battery optimization
to reduced use of backup generation at
increasing levels of renewable integration;
discuss qualitatively
Integration of Renewable
Resources
Page 6
Battery Optimization
AG’s Renewable/Storage Optimization Model (RSOM)
Inputs
Optimization
Criteria
Output
Load
• Selectable load source
Optimal Hourly
Battery Usage
(Charge /
Discharge)
• Hourly profile
Generation Sources
•Selectable generation,
expandable; hourly profile
•Behind-the-meter
Minimize Retail Charges
• Minimize Volumetric
Charges
• Minimize Demand Charges
• Minimize both
Customer Perspectives
• End-users
• Wholesale Participants
• System operators
• Utilities
• Municipalities/Coops
Location
Maximize Wholesale
Benefits
• Reserve Market
• Capacity Market
• Regulation Market
• Energy Market
•Nodal, zonal, state, utility or
regional price streams
Minimize Load (Energy
Independence)
Battery Specifications
• Increase Battery Size
• Increase Generation
• MW max output
• MWh total storage
• Round-Trip Efficiency
• Lifetime (years/cycles)
RSOM
Tables and Charts
• Daily/monthly/annual
values for net load, battery
use, and net load with
storage
• Total customer monthly/
annual/lifetime cost with
and without storage
• Monthly/five-day charts
showing battery use, net
load, and net load with
storage
•Tabular comparisons of key
metrics across multiple
scenarios
Page 7
Full base results: 16MWh battery
Page 8
Full base results: 16MWh battery
Electricity Costs and Savings
Complete Base with 16 MWh Battery - Monthly Optimization
Delivery Price as Demand Charge
$2,500,000
$851,791
$2,000,000
$2,006,357
$ (470,451)
$1,535,907
$1,500,000
$516,514
$1,000,000
$638,052
$500,000
$Demand Charges
Energy Charges
Delivery Charges
Total without Battery
Savings due to Battery
Total with Battery
Page 9
Critical Load Analysis
• Pave Paws plus rest-of-base critical load; essentially
a flat load profile
• Testing two questions:
• How much more resilient would base be – and how much less back-up
fuel would be needed – at different combinations of renewables and
storage?
• How would batteries/renewables need to be sized to in effect go offgrid completely?
• Ultimately, approach would weigh combinations of
renewables, storage, back-up generation, and specific
resilience objectives
• Analysis demonstrates that batteries can be used to
significantly increase resilience of operations, and
reduce diesel (or other backup) fuel consumption
Page 10
Critical Load Analysis
Days with Net Positive Critical Load at Various Levels of Ambri
Storage and Renewable Generation
100
90
80
Renewable Capacity
Days with Positive Load
70
13.5 MW
(Baseline)
15MW
60
20MW
50
25MW
40
30MW
35MW
30
40MW
* 15 - 20 MW of
renewable capacity
* 60 - 80 MWh of Ambri
battery capacity
20
10
20
40
60
80
100
120
Battery Size (MWh)
Page 11
Wrap Up
• Battery value depends on many factors – optimization objective,
prevailing prices (wholesale/retail), surrounding infrastructure,
climate (output, load), etc.
• Ambri battery flexibility generates meaningful across a wide
range of sizes and user objectives
• Storage can harden Base operations against local power
outages, and at various levels of renewable/storage
combinations could dramatically reduce the use of back up fuel
for critical mission operations
• Storage can facilitate the integration (operationally) of higher
amounts of variable renewable generation (as a local
distribution issue and/or regional bulk power system issue),
and enhance local and regional power system reliability
• Meaningful potential for grid defection in certain circumstances
through optimal sizing of flexible Ambri storage and BTM
renewable capacity
Page 12