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Home My WebLink About09/20/2023 - Natural Resources Advisory Board - Agenda - Regular Meeting Natural Resources Advisory Board REGULAR MEETING – September 20, 2023 Location: 222 Laporte, Colorado Room & Zoom: https://fcgov.zoom.us/j/94115567733 6:00 CALL TO ORDER / ROLL CALL 1. AGENDA REVIEW 2. COMMUNITY MEMBER PARTICIPATION 3. APPROVAL OF MINUTES – JULY & AUGUST (POSTPONED) 4. NEW BUSINESS 6:10 – 7:00 Platte River Integrated Resource Plan Platte River Power Authority (PRPA) will be presenting their upcoming Integrated Resource Plan (IRP) for awareness and discussion. (Discussion) 7:00 – 7:30 Downtown Parking System Update Eric Keselburg (Parking Services Manager) and Drew Brooks (Deputy Director, Planning Development and Transportation) will share current activities, financial and maintenance trends, and seek input on future policy/operational improvements prior to an October 24 City Council Work Session. (Discussion) 5. OTHER BUSINESS / UPDATES • Board Member Reports • Six Month Calendar Review https://www.fcgov.com/cityclerk/planning-calendar.php • Revisit action items from previous meetings & preview of next meeting City Websites with Updates: • Natural Resources Advisory Board webpage: https://www.fcgov.com/cityclerk/natural-resources.php • Our Climate Future: https://ourcity.fcgov.com/ourclimatefuture 6. ADJOURN Resource planning update Agenda •About Platte River Power Authority | Javier Camacho •2024 Integrated Resource Plan process and timeline | Masood Ahmad Stay engaged Stay informed •prpa.org/2024irp •Join us for the fall community engagement meeting Submit additional questions and request community presentations •2024irp@prpa.org Regional identity and philosophy About Platte River Power Authority Platte River Power Authority is a not-for-profit, community-owned public power utility that generates and delivers safe, reliable, environmentally responsible and financially sustainable energy and services to Estes Park, Fort Collins, Longmont and Loveland, Colorado, for delivery to their utility customers. At a glance Headquarters Fort Collins, Colorado General manager/CEO Jason Frisbie 2023 projected deliveries of energy to owner communities 3,301,376 MWh (~33% renewable) Employees 297 Peak demand 707 MW on July 28, 2021 2023 projected deliveries of energy 5,174,234 MWh Began operations 1973 Transmission system Equipment in 27 substations, 263 miles of wholly owned and operated high-voltage lines and 522 miles of high-voltage lines jointly owned with other utilities. Resource Diversification Policy Purpose To provide guidance for resource planning, portfolio diversification and carbon reduction. Goal To support owner community clean energy goals, we will proactively work towards a 100% noncarbon resource mix by 2030 while maintaining our foundational pillars of providing reliable, environmentally responsible and financially sustainable energy and services. Passed by Platte River’s Board of Directors in 2018 \ •Transmission and distribution infrastructure investment must be increased •Transmission and distribution delivery systems must be more fully integrated •Improved distributed generation resource performance •Technology and capabilities of grid management systems must advance and improve •Advanced capabilities and use of active end user management systems •Generation, transmission and distribution rate structures must facilitate systems integration •Battery storage performance must mature and the costs must decline •Utilization of storage solutions to include thermal, heat, water and end user available storage •An organized regional market must exist with Platte River as an active participant Accomplished In progress Awaiting technology Foundational pillars Platte River is committed to decarbonizing our resource portfolio without compromising our three pillars: •Reliability •Environmental responsibility •Financial sustainability Progress since 2018 The 2024 IRP builds on the 2020 IRP and resource planning and modeling that occurred in 2021 and 2022 •225 MW of Roundhouse wind •Announcement to decommission coal resources •Developed a distributed energy resources strategy •Filed 2020 IRP •22 MW Rawhide Prairie Solar with 2 MWh battery •150 MW Black Hollow Solar power purchase agreement •Additional solar and energy storage RFPs •Filed Clean Energy Plan with the state of Colorado, which requires all electric utilities to achieve 80% carbon reduction by 2030 •Entry into Southwest Power Pool Western Energy Imbalance Service market 33.3% noncarbon resources 2023 budget system total2018 system total 61.8%15.0% 11.8% 8.2% 1.6%1.6% Coal Wind Hydropower Solar Other purchases Natural gas 56.8% 22.7% 8.4% 7.4% 2.5%2.2% Includes renewable energy credit allocations to carbon resources Due to drought conditions, not all hydropower may be considered noncarbon 24.8% noncarbon resources 33.3% noncarbon resources 2023 budget system total 2030 projected system total 88.4% noncarbon resources Renewable resources Dispatchable resources (includes purchases) Includes renewable energy credit allocations to carbon resources Due to drought conditions, not all hydropower may be considered noncarbon 33.3% 66.7% 88.4% 11.6% Timeline June July Aug Sept Oct Nov Dec Jan Feb Mar April May June Community engagement Resource planning Ongoing public engagement in collaboration with owner communities Listening session Listening session Listening session IRP modeling Portfolio development Review results Board presentation IRP document development Reliability assessment with renewables and DER integration •Pre-IRP studies •Load forecasting •Other inputs, assumptions 2024 Integrated Resource Plan Masood Ahmad, resource planning manager What is an IRP •IRP is a planning process which integrates customer demand and distributed energy resources (DERs) with utility resources to provide reliable, economical and environmentally desirable electricity to customers •Typically developed for the next 10-20 years and updated every few years •IRP assists with preparing for industry changes including: •Technological progress •Consumer preferences •Regulatory mandates •Required by Western Area Power Administration (WAPA) every five years •WAPA requires a short-term action plan and an annual follow up on plan execution •Last IRP was submitted in 2020 IRP modeling process •Load forecast •DER potential •Power price forecast •Resource cost forecast •Extreme weather models •Renewable profiles Input assumptions Portfolio development Reliability testing •Resource mix •Renewable •New technology •Least cost •Carbon reduction •Reserve margins •Portfolio testing with •Dark calms (low supply) •Extreme weather (high demand) •Different wind/solar profiles Plexos model •Extreme weather modeling •Load forecast, customer load contributions/flexibility •Market prices, volatility and congestion •Required reserve margin and ELCC •Beneficial electrification assessment External Consulting Studies •Emerging technology screening •Cost curves •Time to maturity •Dispatchable technology evaluation •High flexibility •Low carbon •Proven technology •Distributed energy resource assessment •Customer adoption rate •Usage profiles Complex modeling of an uncertain future Technology evaluation Integration of renewable resources Currently planned renewable supplies Renewable integration challenges •Renewable intermittency •Day to day operation •Extreme weather operation •Ensuring reliability in all weather conditions •Serving load with intermittent renewable generation will require: •Long duration energy storage •Flexible DERs •Dispatchable generation Renewable intermittency challenges Hourly (Summer 2030 forecast) Extreme weather (Valentine’s week 2021) Trends in renewable costs 0 5 10 15 20 25 30 35 40 Solar Wind$/MWh 2020 2023 75%80% Technology evaluation and implementation •Currently available technology: four-hour storage (short duration storage) •Major use cases include clipping daily peaks (charge and discharge within 24 hours) Battery storage technology •Technology is not viable for long duration storage strategy •Primary challenge in decarbonization •Example: adopting this technology for 24 hours of storage would cost $3 billion and more than double rates (2020 IRP portfolio 3) Opportunities Challenges •Exploring and possibly piloting technologies •Hydrogen •Carbon sequestration •Renewable fuels •Will adopt when commercially and economically viable •DERs Future technology •Time to maturity •Cost Opportunities Challenges Distributed energy resources Energy efficiency Demand response Distributed generation Distributed energy storageElectrification Save energy and save money by using energy more efficiently Reduce greenhouse gases by replacing fossil fuel use with increasingly decarbonized electricity On site noncarbon generation provides customer benefits and reduces utility investments Shift energy to align electric use to renewable availability and to decarbonize the electric system in a cost effective and reliable manner Flexible DERs that can form a virtual power plant Summary •Modeling is a complex and challenging process •Next steps: modeling, reviewing studies, engaging industry experts •New technologies •Incorporate commercially proven ones •Monitor emerging technologies •Pilot those that are promising •Your input is appreciated Questions prpa.org/2024irp