Principal Solar Institute
Ron Seidel
Director, Principal Solar
Ron Seidel is principal of RBS Energy Consulting, working with private
equity, investment banks, and government on electric energy issues
primarily in the ERCOT market. Previously, he was president of Texas
Independent Energy, senior vice president of Energy Supply at City Public
Service of San Antonio, and an executive at TXU where he was senior
vice president of Fossil Generation and Mining, president of TXU Energy
Trading, and operations manager at the Comanche Peak Nuclear Plant.
Delivering to the Energy Marketplace -
Texas Harvests Wind and Solar
ERCOT Facts & Figures
200,000 Square Miles
>43,000 miles of High Voltage Transmission
>74,000 MW Peak Capacity
~12,000 MW of wind capacity
<200 MW utility scale solar capacity
69,783 MW Peak Load (August 10, 2015)
– Increase of 3,356 MW over 2014 Peak Load (5.1%)
13.75% Target Reserve Margin
Source: ERCOT
Texas Ties to Mexico and the
Eastern Interconnection
Source: RBS Energy Consulting
Wind
13%
Hydro,
biomass,
other
1%
Nuclear
7%
Coal
23%
Natural Gas
56%
Installed Capacity
2011
Wind
14%
Hydro,
biomass,
other
1%
Nuclear
6%
Coal
24%
Natural Gas
55%
Installed Capacity
2014
69,704 Megawatts 73,910 Megawatts
ERCOT Capacity
2011 and 2014
Source: ERCOT
Wind
8%
Hydro,
biomass,
other
1%
Nuclear
12%
Coal
39%
Natural Gas
40%
Energy Produced
2011
Wind
10%
Hydro,
biomass,
other
1%
Nuclear
12%
Coal
36%
Natural Gas
41%
Energy Produced
2014
335,000 Gigawatt-hours 340,000 Gigawatt-hours
ERCOT Energy
2011 and 2014
Source: ERCOT
Reliability Values
100%
12%
56%
100%
70%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Reliability %
ERCOT Load Growth
ERCOT Average Load Growth 2016 –
2025 is 1.3% or about 1,000 MW per
year
Equivalent to
–One nuclear plant each year
–Two coal plants each year
–Two combined cycle gas plants each year
Sources: ERCOT , RBS Energy Consulting
ERCOT Reserve Margins
December 2012 Report
13.2
10.9 10.5
8.5 8.4
7.1
5.0
4.1
3.6
2.8
0.0
2.0
4.0
6.0
8.0
10.0
12.0
14.0
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
Target =13.75%
%
Source: ERCOT
ERCOT Reserve Margins
May 2015 Report
17.0
18.5
21.4
18.7
17.1
16.1
14.6
13.2
11.8
10.4
0.0
5.0
10.0
15.0
20.0
25.0
2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
Target =13.75%
%
Source: ERCOT
Potential Solar Capacity
2022
Long Term Assessment for the ERCOT Region, December 2012
2029 ERCOT Generation
51%
25%
9%
9%
6%
%
Natural Gas
Coal
Wind
Nuclear
Solar
Source: 2014 Long-Term Assessment for the ERCOT Region,
December 2014
Percent Energy by Source
41 46 51 49 51 51
36 31 27 28 26 25
12 11 11 10 9 9
10 12 11 11 10 9
2 4 6
0
20
40
60
80
100
2014 2018 2021 2024 2027 2029
Solar
Wind
Nuclear
Coal
Natural Gas
Source: 2014 Long-Term Assessment for the ERCOT Region,
December 2014
Solar PV Cost History
Source: NREL / DOE
Capital Cost by Generation
Technology
$0
$1,000
$2,000
$3,000
$4,000
$5,000
$6,000
$7,000
Nuclear Coal Solar PV Wind Natural
Gas CC
Capital Cost ($/kW)
Nuclear
Coal
Solar PV
Wind
Natural Gas CC
ERCOT Wind Zones
Source: ERCOT
Texas Solar Intensity
U.S. Solar PV Capacity
0
2000
4000
6000
8000
10000
12000
14000
16000
18000
20000
2009 2010 2011 2012 2013 2014
MegawattsDC
Achievable Solar PV Energy
in Texas
Reference: ERCOT Peak Load ~70 GW
Urban PV = 154 GW (13% of U.S. Total)
Rural PV = 20,000 GW (14% of U.S. Total)
Achieving just 1% of this capability would
produce over 200 GW or almost three times
the current ERCOT maximum load.
Sources: NREL, RBS Energy Consulting
Source: ERCOT
ERCOT Transmission
CREZ Program
A CREZ is a geographic area with optimal
conditions for the economic development of
wind power generation facilities
Enabled by Senate Bill 20, passed in 2005
 Designed to move wind electricity from West
Texas to the more heavily populated areas
Allow transmittal of about 18,500 MW wind
CREZ Metrics
2008
$4.97 Billion
2963 miles
109 Projects
2015
$6.9 Billion
+39%
3589 miles
+21%
169 Projects
+55%
Source: ERCOT
CREZ Transmission Additions
Source: ERCOT
CREZ in Prime Solar Area
Source: ERCOT
ERCOT Transmission + CREZ Lines
Source: ERCOT
Impact of Solar generation on the
2029 summer hourly load
0
10000
20000
30000
40000
50000
60000
70000
80000
90000
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24
Load Solar Net Load
Source: ERCOT 2014 Long Term System Assessment Report
Solar Synergy with Load
0
2000
4000
6000
8000
10000
12000
0
10000
20000
30000
40000
50000
60000
70000
0:00
1:00
2:00
3:00
4:00
5:00
6:00
7:00
8:00
9:00
10:00
11:00
12:00
13:00
14:00
15:00
16:00
17:00
18:00
19:00
20:00
21:00
22:00
23:00
Generation(MW)
SystemLoad(MW)
Hour
System Load Wind Generation Solar Generation
ERCOT Load
Wind
Profile
Solar
Profile
Source: RBS Energy Consulting
Solar Synergy with Load
0
1000
2000
3000
4000
5000
6000
7000
8000
0
10000
20000
30000
40000
50000
60000
70000
System Load Solar Wind Solar + Wind MW
Source: RBS Energy Consulting
MW
Solar, Wind and Natural Gas
Summary
 Demand for electricity in Texas is growing
 ERCOT has a large renewable portfolio
– Currently almost 12,000 MW of wind is in operation
– Less than 200 MW of utility scale solar PV operating
 Texas has an enormous solar PV opportunity
 CREZ transmission supports wind and solar
 Solar PV has a higher capacity value than wind and is
synergistic with load
 Solar costs are nearing grid parity and and continue to fall
 ERCOT provides a unique opportunity to combine solar , wind
and natural gas generation
Questions and Discussion
Ron Seidel
Director, Principal Solar
Please enter your questions into the Chat window

Delivering to the Energy Marketplace - Texas Harvests Wind and Solar

  • 1.
    Principal Solar Institute RonSeidel Director, Principal Solar Ron Seidel is principal of RBS Energy Consulting, working with private equity, investment banks, and government on electric energy issues primarily in the ERCOT market. Previously, he was president of Texas Independent Energy, senior vice president of Energy Supply at City Public Service of San Antonio, and an executive at TXU where he was senior vice president of Fossil Generation and Mining, president of TXU Energy Trading, and operations manager at the Comanche Peak Nuclear Plant. Delivering to the Energy Marketplace - Texas Harvests Wind and Solar
  • 2.
    ERCOT Facts &Figures 200,000 Square Miles >43,000 miles of High Voltage Transmission >74,000 MW Peak Capacity ~12,000 MW of wind capacity <200 MW utility scale solar capacity 69,783 MW Peak Load (August 10, 2015) – Increase of 3,356 MW over 2014 Peak Load (5.1%) 13.75% Target Reserve Margin Source: ERCOT
  • 3.
    Texas Ties toMexico and the Eastern Interconnection Source: RBS Energy Consulting
  • 4.
    Wind 13% Hydro, biomass, other 1% Nuclear 7% Coal 23% Natural Gas 56% Installed Capacity 2011 Wind 14% Hydro, biomass, other 1% Nuclear 6% Coal 24% NaturalGas 55% Installed Capacity 2014 69,704 Megawatts 73,910 Megawatts ERCOT Capacity 2011 and 2014 Source: ERCOT
  • 5.
    Wind 8% Hydro, biomass, other 1% Nuclear 12% Coal 39% Natural Gas 40% Energy Produced 2011 Wind 10% Hydro, biomass, other 1% Nuclear 12% Coal 36% NaturalGas 41% Energy Produced 2014 335,000 Gigawatt-hours 340,000 Gigawatt-hours ERCOT Energy 2011 and 2014 Source: ERCOT
  • 6.
  • 7.
    ERCOT Load Growth ERCOTAverage Load Growth 2016 – 2025 is 1.3% or about 1,000 MW per year Equivalent to –One nuclear plant each year –Two coal plants each year –Two combined cycle gas plants each year Sources: ERCOT , RBS Energy Consulting
  • 8.
    ERCOT Reserve Margins December2012 Report 13.2 10.9 10.5 8.5 8.4 7.1 5.0 4.1 3.6 2.8 0.0 2.0 4.0 6.0 8.0 10.0 12.0 14.0 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 Target =13.75% % Source: ERCOT
  • 9.
    ERCOT Reserve Margins May2015 Report 17.0 18.5 21.4 18.7 17.1 16.1 14.6 13.2 11.8 10.4 0.0 5.0 10.0 15.0 20.0 25.0 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Target =13.75% % Source: ERCOT
  • 10.
    Potential Solar Capacity 2022 LongTerm Assessment for the ERCOT Region, December 2012
  • 11.
    2029 ERCOT Generation 51% 25% 9% 9% 6% % NaturalGas Coal Wind Nuclear Solar Source: 2014 Long-Term Assessment for the ERCOT Region, December 2014
  • 12.
    Percent Energy bySource 41 46 51 49 51 51 36 31 27 28 26 25 12 11 11 10 9 9 10 12 11 11 10 9 2 4 6 0 20 40 60 80 100 2014 2018 2021 2024 2027 2029 Solar Wind Nuclear Coal Natural Gas Source: 2014 Long-Term Assessment for the ERCOT Region, December 2014
  • 13.
    Solar PV CostHistory Source: NREL / DOE
  • 14.
    Capital Cost byGeneration Technology $0 $1,000 $2,000 $3,000 $4,000 $5,000 $6,000 $7,000 Nuclear Coal Solar PV Wind Natural Gas CC Capital Cost ($/kW) Nuclear Coal Solar PV Wind Natural Gas CC
  • 15.
  • 16.
  • 17.
    U.S. Solar PVCapacity 0 2000 4000 6000 8000 10000 12000 14000 16000 18000 20000 2009 2010 2011 2012 2013 2014 MegawattsDC
  • 18.
    Achievable Solar PVEnergy in Texas Reference: ERCOT Peak Load ~70 GW Urban PV = 154 GW (13% of U.S. Total) Rural PV = 20,000 GW (14% of U.S. Total) Achieving just 1% of this capability would produce over 200 GW or almost three times the current ERCOT maximum load. Sources: NREL, RBS Energy Consulting
  • 19.
  • 20.
    CREZ Program A CREZis a geographic area with optimal conditions for the economic development of wind power generation facilities Enabled by Senate Bill 20, passed in 2005  Designed to move wind electricity from West Texas to the more heavily populated areas Allow transmittal of about 18,500 MW wind
  • 21.
    CREZ Metrics 2008 $4.97 Billion 2963miles 109 Projects 2015 $6.9 Billion +39% 3589 miles +21% 169 Projects +55% Source: ERCOT
  • 22.
  • 23.
    CREZ in PrimeSolar Area Source: ERCOT
  • 24.
    ERCOT Transmission +CREZ Lines Source: ERCOT
  • 25.
    Impact of Solargeneration on the 2029 summer hourly load 0 10000 20000 30000 40000 50000 60000 70000 80000 90000 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Load Solar Net Load Source: ERCOT 2014 Long Term System Assessment Report
  • 26.
    Solar Synergy withLoad 0 2000 4000 6000 8000 10000 12000 0 10000 20000 30000 40000 50000 60000 70000 0:00 1:00 2:00 3:00 4:00 5:00 6:00 7:00 8:00 9:00 10:00 11:00 12:00 13:00 14:00 15:00 16:00 17:00 18:00 19:00 20:00 21:00 22:00 23:00 Generation(MW) SystemLoad(MW) Hour System Load Wind Generation Solar Generation ERCOT Load Wind Profile Solar Profile Source: RBS Energy Consulting
  • 27.
    Solar Synergy withLoad 0 1000 2000 3000 4000 5000 6000 7000 8000 0 10000 20000 30000 40000 50000 60000 70000 System Load Solar Wind Solar + Wind MW Source: RBS Energy Consulting MW
  • 28.
    Solar, Wind andNatural Gas
  • 29.
    Summary  Demand forelectricity in Texas is growing  ERCOT has a large renewable portfolio – Currently almost 12,000 MW of wind is in operation – Less than 200 MW of utility scale solar PV operating  Texas has an enormous solar PV opportunity  CREZ transmission supports wind and solar  Solar PV has a higher capacity value than wind and is synergistic with load  Solar costs are nearing grid parity and and continue to fall  ERCOT provides a unique opportunity to combine solar , wind and natural gas generation
  • 30.
    Questions and Discussion RonSeidel Director, Principal Solar Please enter your questions into the Chat window

Editor's Notes