Water energy nexus

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Presented by Mike Nasi of Jackson Walker L.L.P. at the Texas Water Conservation Association Conference in The Woodlands, Texas - March 2014

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Water energy nexus

  1. 1. Water-Energy Nexus TEXAS WATER CONSERVATION ASSOCIATION The Woodlands, Texas March 6, 2014 Mike Nasi Jackson Walker L.L.P. mnasi@jw.com 512.236.2216
  2. 2. Presentation Outline • Water-Energy Nexus • Energy for Water • Water for Energy • Using the Nexus FOR Texas 2
  3. 3. Presentation Outline • Water-Energy Nexus • Energy for Water • Water for Energy • Using the Nexus FOR Texas 3
  4. 4. TEXAS NEEDS WATER TO MAKE ELECTRICITY (2-3% of Texas water consumption) TEXAS NEEDS ELECTRICITY TO PROVIDE WATER (~ 1-3% of Texas electricity consumption) Source: H2O4Tx & Freese & Nichols
  5. 5. Presentation Outline • Water-Energy Nexus • Energy for Water • Water for Energy • Using the Nexus FOR Texas 5
  6. 6. WATER SYSTEM ELECTRICITY NEEDS WATER SOURCE CONVEYANCE WATER TREATMENT DISTRIBUTION END USERS WASTEWATER COLLECTION WASTEWATER TREATMENT RECYCLED WATER TREATMENT WATER SOURCE EXTRACTION Based on model shown in Analysis of the Energy Intensity of Water Supplies for West Basin Municipal Water District, authored by Robert C. Wilkinson, Ph.D. Source: H2O4Tx & Freese & Nichols
  7. 7. Energy Penalty of Treatment •Conventional water treatment = 0.1-1.0 kwh/1000g •Desal of brackish groundwater = 2.5-7.0 kwh/1000g •Desal of seawater = 7.6-13.6 kwh /1000g
  8. 8. Presentation Outline • Water-Energy Nexus • Energy for Water • Water for Energy • Using the Nexus FOR Texas 8
  9. 9. Consumption v. Use • Key distinction between use and consumption. • Water “used” can be reused. • Water “consumed” is not available for another use. • Example: Water use includes a power plant withdrawing water from a supply, using it as cooling water in the plant’s operation, and then reintroducing it back into a water supply. Water “consumed” is the water that is evaporated in the process and not directly reintroduced into the water supply. 9
  10. 10. Condenser “Once-Through” Reservoir Cooling System Cooling Reservoir Recirculated Cooling Water As Needed Makeup Water Evaporation, Radiation, & Convection Cool Water Generator ELECTRICITY Turbine Process Steam Process Steam from Boiler Process Water to Boiler Warmed Water Condenser Cooled Water 10 Source: AEP
  11. 11. Condenser Evaporative Cooling Tower System Turbine Process Steam Recirculated Cooling Water Generator As Needed Makeup Water Reuse in other Plant Processes Treatment Discharge Blowdown Evaporation Cools Water ELECTRICITY Process Water to Boiler Process Steam from Boiler Cooled Water Warmed Water 11 Source: AEP
  12. 12. Typical Dry Cooling System Turbine Fans Air-Cooled Condenser Convection Cools Steam Process Steam Process Steam from Boiler Process Water to Boiler Generator ELECTRICITY 12 Source: AEP
  13. 13. Presentation Outline • Water-Energy Nexus • Energy for Water • Water for Energy • Using the Nexus FOR Texas Not as spin to convince the government to pick winners & losers. 13
  14. 14. The Water-Energy Nexus Needs to be About Cooperation, not Spin BUILDING UPTEARING DOWN 14
  15. 15. Needless Attack # 1 TEARING DOWN Power plants consume “too much” water 15 REALITY Power plants are good stewards and consume relatively little of the State’s water resources BUILDING UP Texas Fleet Efficiency and Cooperation with Water Providers Ensures Drought Tolerance PERC. Acre-Feet Irrigation 60% 9,256,426 Steam Electric 3% 412,607 Mining/E&P 1% 228,542 Manufacturing 7% 1,095,789 Municipal 27% 4,158,203 Livestock 2% 308,098 TOTAL 100% 15,459,665
  16. 16. Water Consumption in Texas by Sector 16 Source: Kent Zammit, Viability and Impacts of Implementing Various Power Plant Cooling Technologies, 2012 Technical Report, Electric Power Research Institute (EPRI) (Oct. 2012)
  17. 17. Power Plant Stewardship of Water Thermoelectric, freshwater Year 1950 1955 1960 1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 Withdrawal(billiongallonsperday) 0 20 40 60 80 100 120 140 160 Gallons/MW-hour 0 10000 20000 30000 40000 50000 Source: EPRI 17
  18. 18. Needless Attack # 2 TEARING DOWN One of the best things you can do to “save” water is turn your lights off. 18 REALITY Of all the things Texans can do to save water, turning off the lights is not high on the list. BUILDING UP Energy efficiency and water conservation groups should join forces in educational efforts.
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  20. 20. Needless Attack # 3 TEARING DOWN Texas could “save” water if it shut down coal plants and replaced them with natural gas plants. 20 REALITY Allegation of water “savings” flawed: • Fleet consumption rates skewed • Resource adequacy realities ignored BUILDING UP Let the market work and newer technologies will come on line that use less water for every type of fuel.
  21. 21. Press Release Graphic of UT BEG Study Flawed Assumption: assumed the worst consumption rate for replaced coal units and the best consumption rate for the gas units that the study alleges would “replace” them 21
  22. 22. Comparison of Power Plant Water Consumption Rates 22 WATER COOLED POWER PLANT WATER CONSUMPTION RATES (gal/kWh) FUEL SOURCE Cooling Tower Once-Through AVERAGE RATE OVER TEXAS FLEET Coal .60 - .66 .34 - .45 0.51 Natural Gas (water cooled) Simple Cycle -.70 -1.03 Combined Cycle-.22-.23 Simple Cycle - .35-.37 Combined Cycle-.22-.23 0.73 Nuclear .60 .60 0.67 Sources: Water Consumption and Withdrawal for Power Generation in Texas, TWDB, 2008, 2012. Cherry-picking consumption rates when assuming water “savings” is inappropriate.
  23. 23. NO MEGAWATTS TO SPARE: Production & Manufacturing = Rising Demand for Electricity (& Water) • Texas uses more energy than any other state in the nation, almost as much as the next two states (California and Florida) combined. • Nearly half of Texas’ electricity use is for industry and manufacturing, which includes the oil & gas and petrochemical industries (more than next 3 states combined). 23 Source: Energy Consumption by End-Use Sector, Ranked by State, 2010 Rankings, U.S. EIA.
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  25. 25. “Saving” Water By Attacking Existing Investment / Assets – an example closer to home • Closing an existing power plant in Texas under the theory that a new plant will be more water- efficient is like. . . • . . .closing an existing surface water reservoir in Texas under the theory that a new project will be more water-efficient (e.g., less evaporation) NO MEGAWATTS OR ACRE FEET TO SPARE! 25
  26. 26. NO MEGAWATTS TO SPARE: Cloud Computing’s Growing Electricity Demands 26 The Cloud will consume more electricity this year than all of the world’s lighting in 1985 & that consumption will grow significantly every year. . . Source: Mark P. Mills, Big Data, Big Networks, Big Infrastructure, and Big Power (August 2013)
  27. 27. If the Cloud Were A Country. . . 27 Source: Mills, Big Data.
  28. 28. In Terms We Can All Understand… 28 Source: Mills, Big Data. = 1 Year 1 Hour/Week/Year “…using [a phone or tablet] to watch an hour of video weekly consumes annually more electricity in the remote networks than two new refrigerators use in a year.”
  29. 29. And the Cloud is Growing in Texas… 29 Source: The Texas IT Services Industry, Texas Wide Open for Business, 2013.
  30. 30. 30 ALL of the ABOVE !
  31. 31. Remember . . . WATER-ENERGY NEXUS FOR TEXAS 31

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