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NREL Price Series Developed for the ARPA-E FLECCS Program

The price data for four regions (CAISO, ERCOT, MISO-W, and PJM-W) are developed using the ReEDS to PLEXOS conversion as described in (Gagnon et al. 2020). The reference ReEDS case chosen is based on the 2020 Standard Scenario Mid-case, which uses the 2020 ReEDS model version (Cole et al. 2020; Ho et al. 2021). All ReEDS model inputs use 2020 Standard Scenarios Mid-case assumptions except for CO2 prices, which are implemented as linearly increasing CO2 price trajectories beginning at $0/tCO2 in 2020 and ending at either $100/tCO2 or $150/tCO2 in 2035 to dive capacity expansion towards a low-carbon system that could support CCS deployment. However, these scenarios also prohibit CCS deployment in this time frame so that resulting price data are not influenced by the deployment and operation of CCS itself. Implementing the ReEDS to PLEXOS conversion tool, PLEXOS is then simulated using the 2035 ReEDS infrastructure for both CO2 price scenarios, with the following model version and setup: PLEXOS Version: 8.2 Solver: Xpress-MP 35.01.01 Mixed integer optimization relative gap 1% System configuration: • Total number of nodes: 134 (consistent with ReEDS balancing areas) • Line losses enforced using piecewise linear approximation • Energy dump was enabled Price data is aggregated to the ISO/RTO level using load-weighted averages. References: Cole, Wesley, Sean Corcoran, Nathaniel Gates, Daniel Mai, Trieu, and Paritosh Das. 2020. “2020 Standard Scenarios Report: A U.S. Electricity Sector Outlook.” NREL/TP-6A20-77442. Golden, CO: National Renewable Energy Laboratory. https://www.nrel.gov/docs/fy21osti/77442.pdf. Gagnon, Pieter, Will Frazier, Elaine Hale, and Wesley Cole. 2020. “Cambium Documentation: Version 2020.” NREL/TP-6A20-78239. National Renewable Energy Lab. (NREL), Golden, CO (United States). https://doi.org/10.2172/1734551. Ho, Jonathan, Jonathon Becker, Maxwell Brown, Patrick Brown, Ilya (ORCID:0000000284917814) Chernyakhovskiy, Stuart Cohen, Wesley (ORCID:000000029194065X) Cole, et al. 2021. “Regional Energy Deployment System (ReEDS) Model Documentation: Version 2020.” NREL/TP-6A20-78195. Golden, CO: National Renewable Energy Laboratory. https://doi.org/10.2172/1788425.

24 POWER TRANSMISSION AND DISTRIBUTION↗

The prospective impacts of 2019 state energy policies on the U.S. electricity system

Over the past several years state energy policies have been evolving rapidly, and are more frequently including higher targets, including 100% clean energy targets. This study assesses the aggregate impacts of state clean energy standards and emissions policies on national electricity generation, power sector carbon dioxide (CO 2 ) emissions, and electricity prices and system costs. To do so, we apply the Regional Energy Deployment System (ReEDS) model, which is a detailed electric sector capacity expansion model, to evaluate scenarios with and without state policies and using a range of renewable energy technology cost projections. Across the scenarios analyzed, we find that the state policies drive 1.9%–10.7% of total nationwide clean energy and reduce cumulative power sector CO 2 emissions by 2.6%–5.4% over the 2020–2050 study period. This incremental generation is predominantly, but not exclusively, from renewable energy technologies. In most cases, the state policies result in increases to electricity prices and electricity system costs, and policy costs are sensitive to the future cost of clean energy technologies. Across all scenarios, the levelized cost of incremental policy-driven clean energy generation is estimated to be $17–38/MWh and the average cost of CO 2 abatement from the state-level policies is estimated to be $29–74/metric ton.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

Evaluating Impacts of Sustainable Aviation Fuel Production with CO2-to-Fuels Technologies on High Renewable Share Power Grid

This paper investigates the impact of Sustainable Aviation Fuel (SAF) production using CO 2 -to-Fuels technologies on a future power grid with a high share of renewable energy. We focus on understanding the implications of the 2050 SAF production goal on the U.S. power system's long-term planning, encompassing generation, transmission, and cost analysis. Via the Regional Energy Deployment System (ReEDS) model, we developed a detailed SAF electricity demand model based on a low-temperature electrolysis-syngas fermentation-ethanol pathway. Four SAF target scenarios which aim to meet 10%, 15%, 20%, and 27% of SAF demand by 2050. These scenarios are exhaustively simulated to assess their impact on the power grid. Our results reveal that increasing SAF demand will result in higher electricity requirements, as well as expanded generator and transmission capacities, leading to an overall rise in system costs. However, these impacts are manageable within the broader context of U.S. capacity expansion plans. This study provides valuable insights into incorporating the CO 2 -to-Fuels electricity demand model and other carbon capture technologies into power system planning, emphasizing their significance in shaping a sustainable energy future.

capacity expansion model↗

2022 Standard Scenarios Report: A U.S. Electricity Sector Outlook

This report documents the eighth edition of the annual Standard Scenarios. It summarizes 70 forward-looking scenarios of the U.S. electricity sector that have been designed to capture a wide range of possible futures. In August 2022, the United States Congress passed the Inflation Reduction Act (IRA), a law aimed at accelerating U.S. decarbonization, clean energy manufacturing, and deployment of new power and end-use technologies. This year’s scenarios include representations of the main electricity-sector provisions from IRA and the potential impact on electricity demand. The Standard Scenarios are simulated using the Regional Energy Deployment System (ReEDS) model, which projects utility-scale electricity sector evolution for the contiguous United States using a system-wide, least-cost approach subject to policy and operational constraints. A subset of the scenarios are simulated in the PLEXOS production cost model to obtain a broader suite of metrics at the hourly resolution, which are made available through the National Renewable Energy Laboratory’s (NREL’s) annual Cambium data sets. The scenarios can be viewed and downloaded from NREL’s Scenario Viewer. Annual results are available for the full suite of scenarios in the Standard Scenarios projects in the viewer, whereas the Cambium projects contain hourly data for a subset of scenarios. The Standard Scenarios includes a scenario called the Mid-case, which has central or median values for core inputs such as technology costs and fuel prices, moderately paced demand growth averaging 1.3% per year, and electricity sector policies as they existed in September 2022 (including IRA). The remaining 69 scenarios are created by varying inputs such as technology and fuel prices, resource availability, demand growth, whether nascent generation technologies are allowed, and by introducing national decarbonization constraints.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

Evaluating Impacts of Sustainable Aviation Fuel Production with CO2-to-Fuels Technologies on High Renewable Share Power Grids

This paper investigates the impact of Sustainable Aviation Fuel production using CO2-to-Fuels technologies on a future power grid with a high share of renewable energy. We focus on understanding the implications of the 2050 SAF production goal on the U.S. power system's long-term planning, encompassing generation, transmission, and cost analysis. Via the Regional Energy Deployment System (ReEDS) model, we developed a detailed SAF electricity demand model based on a low-temperature electrolysis-syngas fermentation-ethanol pathway. Four SAF target scenarios which aims to meet 10%, 15%, 20%, and 27% of SAF demand by 2050. These scenarios are exhaustively simulated to assess their impact on the power grid. Our results reveal that increasing SAF demand will result in higher electricity requirements, as well as expanded generator and transmission capacities, leading to an overall rise in system costs. However, these impacts are manageable within the broader context of U.S. capacity expansion plans. This study provides valuable insights into incorporating the CO2-to-Fuels electricity demand model and other carbon capture technologies in power system planning, emphasizing their significance in shaping a sustainable energy future.

BIOMASS FUELS,POWER TRANSMISSION AND DISTRIBUTION↗

Evaluating Impacts of Sustainable Aviation Fuel Production with CO2-to-Fuels Technologies on High Renewable Share Power Grid: Preprint

This paper investigates the impact of Sustainable Aviation Fuel (SAF) production using CO2-to-Fuels technologies on a future power grid with a high share of renewable energy. We focus on understanding the implications of the 2050 SAF production goal on the U.S. power system's long-term planning, encompassing generation, transmission, and cost analysis. Via the Regional Energy Deployment System (ReEDS) model, we developed a detailed SAF electricity demand model based on a low-temperature electrolysis-syngas fermentation-ethanol pathway. Four SAF target scenarios which aimto meet 10%, 15%, 20%, and 27% of SAF demand by 2050. These scenarios are exhaustively simulated to assess their impact on the power grid. Our results reveal that increasing SAF demand will result in higher electricity requirements, as well as expanded generator and transmission capacities, leading to an overall rise in system costs. However, these impacts are manageable within the broader context of U.S. capacity expansion plans. This study provides valuable insights into incorporating the CO2-to-Fuels electricity demand model and other carbon capture technologies into power system planning, emphasizing their significance in shaping a sustainable energy future.

BIOMASS FUELS,ENERGY PLANNING, POLICY, AND ECONOMY↗

Multiscale Electricity Modeling for Evaluating Carbon Capture and Sequestration Technologies (MEME-CCS)

This effort employs and adapts an existing, rigorous multiscale electricity modeling platform at the National Renewable Energy Laboratory (NREL) to evaluate carbon capture and sequestration (CCS) and negative emissions technologies (NET) from the ARPA-E FLECCS program. NREL's modeling platform includes the Regional Energy Deployment System (ReEDS) electric sector capacity expansion model, which projects future electricity generation mixes at sub-state-level resolution that are downscaled to the unit-level to enable hourly, zonal or nodal electricity production cost modeling in the PLEXOS model. The resulting hourly price data from PLEXOS is provided to technology developers under the ARPA-E FLECCS program to enable technology-specific economic analysis. The ReEDS-PLEXOS modeling suite is well-established for examining electric sector futures with high renewable energy penetrations, energy storage, electrification, and distributed generation. The key advancement proposed herein utilizes collaboration with CCS experts at the University of Wyoming and the FLECCS teams to create innovative methods for representing CCS and NET in the ReEDS and PLEXOS models. Expanded technology options, new operational parameterizations, and detailed data defining CO2 capture, transportation, and storage systems are being integrated into these models to allow an unprecedented combination of scope and resolution for exploring the future of CCS and NET. The resulting capabilities will take advantage of high-performance computing resources to permit wide-ranging scenario analysis to assess CCS and NET deployment under alternative CO2 prices, fossil fuel prices, electricity demand growth, and other electric sector characteristics. Final outcomes will include publicly available hourly grid operation and price data for any U.S. region of interest along with open-access capacity expansion tools for evaluating CCS/NET systems. These products will help an emerging CCS/NET industry in the United States by providing economics-driven guidance to technology developers while informing policy and investment decisions in the public and private sectors.

air capture↗

Multiscale Electricity Modeling for Evaluating Carbon Capture and Sequestration Technologies (MEME-CCS)

This effort employs and adapts a rigorous multiscale electricity modeling platform at the National Renewable Energy Laboratory (NREL) to evaluate carbon capture and sequestration (CCS) and negative emissions technologies (NET) from the ARPA-E FLECCS program. NREL's modeling platform includes the Regional Energy Deployment System (ReEDS) electric sector capacity expansion model, which projects future electricity generation mixes at sub-state-level resolution that are downscaled to the unit-level to enable hourly, zonal or nodal electricity production cost modeling in the PLEXOS model. The ReEDS-PLEXOS modeling suite is well-established for examining electric sector futures with high renewable energy penetrations, energy storage, electrification, and distributed generation. The key advancement proposed herein utilizes collaboration with CCS experts at the University of Wyoming (U.WY) and the FLECCS technology development teams to create innovative methods for representing CCS and NET in the ReEDS and PLEXOS models. Expanded technology options and new operational parameterizations are integrated into these models to allow an unprecedented combination of scope and resolution for exploring the future of CCS and NET. The resulting capabilities permit wide-ranging scenario analysis to assess CCS and NET deployment under alternative scenarios of CO2 prices and competitiveness of flexible CCS and NET technologies. We demonstrate sample deployment and operational outcomes to show how these models are being used to assess the future potential for FLECCS technologies and their impacts on the U.S. electricity system. These products will help an emerging CCS/NET industry in the United States by providing economics-driven guidance to technology developers while informing policy and investment decisions in the public and private sectors.

capacity expansion↗

Value of Geothermal Energy Storage for Supply-Side and Demand-Side Applications

This report presents the results of a study examining the value potential for geothermal energy storage (GES), a long-duration energy storage resource that stores thermal and/or geomechanical energy in the subsurface. GES could benefit the overall U.S. power system by temporally shifting electricity generation (supply-side) or meeting building heating and cooling load (demand-side). This report analyzes supply-side and demand-side opportunities independently because of differences in applications and models. Currently there is significant uncertainty about the development costs for GES, with only a limited number of demonstration plants for electric energy storage and building heating and cooling storage developments. In this report, we estimate the value of supply-side and demand-side GES to the bulk power system in the contiguous United States. Because of the significant uncertainty about GES development costs, this analysis does not consider GES deployment costs but instead focuses on the value of GES to the U.S. electricity system. The estimated values of GES provide reference points for economically competitive commercial cost targets. Supply-side GES is modeled as part of an enhanced geothermal system (EGS) generation plant in NREL's Regional Energy Deployment System (ReEDS) capacity expansion model (Ho et al. 2021). In contrast to conventional geothermal plants, which generate constant power, EGS plants have unique features that may allow for in-reservoir energy storage for flexible generation. Demand-side GES for heating and cooling, including seasonal hot and cold storage and short-duration heat pump storage, is incorporated into a price-taker model using Cambium electricity marginal cost projections. To establish an upper bound for the value of GES, analysis focused on favorable scenarios for storage with high generation from zero marginal cost, variable renewable energy resources. High penetrations of variable renewable energy generation can increase hourly electricity price variability, which increases the value of temporal energy arbitrage for storage technologies like GES.

15 GEOTHERMAL ENERGY↗

Life-Cycle Assessment Integration into Scalable Open-Source Numerical Models (LiAISON) for Prospective Impact Analysis of Novel Technologies

Decarbonizing the industrial sector is a significant challenge in achieving a net-zero greenhouse gas (GHG) emissions economy by 2050 and the Paris Agreement, i.e., a global climate change mitigation target of achieving a maximum average temperature change potential of 1.5 Degrees Celsius or less by 2100 with respect to pre-industrial levels. In the United States (US), the industrial sector accounts for 23% of total GHG emissions and is home to a number of hard-to-electrify activities. The chemicals subsector has the single largest subsector emissions profile after direct emissions from fossil fuel combustion and leakage from fossil fuel distribution systems. Within the chemicals subsector, many processes depend on hydrogen or ammonia precursors. Decarbonizing these two commodities would contribute significantly to decarbonizing the industrial sector as hydrogen could also be used for low carbon steel production (e.g., hydrogen-based direct reduction of iron) and other industrial applications. Emerging technologies require the application of prospective life cycle assessment (LCA), which can account for technology (foreground) scaling and process improvements via learning-by-doing, among others. In many cases, the future system context (background) in which the technologies are assumed to operate in is equally relevant. Background scenarios generated by integrated assessment models (IAM) can coherently incorporate potential future dynamics of the energy-climate-human-land system. Further, IAM scenarios are harmonized across socioeconomic and climate change mitigation pathways, which facilitates the comparability of prospective LCAs using different IAMs. We introduce an open source prospective LCA framework, the Life-cycle Assessment Integration into Scalable Open-source Numerical models (LiAISON), to analyze the non-linear relationships between technology foreground and the future energy system background across a series of midpoint and resource use metrics. The integration of LCA and IAM data is achieved using prospective environmental Impact assessment (PREMISE). We showcase it by assessing two Power-to-Hydrogen (PtH2) processes, namely Solid Oxide Electrolysis (SOE) and Polymer Electrolyte Membrane Electrolysis (PEME). We compare the technologies to a baseline of hydrogen production via natural gas-based Steam Methane Reforming (SMR) in a US context of multiple energy system and climate change mitigation futures. Besides providing an analysis that specifies the LCA results ranges with temporal and geospatial explicitness across the two technologies, metrics, and impact assessment methods, this research also aims to establish a base framework that can be expanded to use other IAM generated scenarios and US open-source life cycle inventory (LCI) databases. We find that the temporal environmental performance of either technology or their difference to SMR is directly influenced by the underlying background dynamics. Additionally we compare our results by linking two other prospective models with LiAISON - GCAM (Global Change Assessment Model) and ReEDS (Regional Energy Deployment System) to analyze the effect of changing background scenarios using varying predictions in life cycle analysis.

decarbonizing↗

Towards Prospective LCA Using Life-Cycle Assessment Integration into Scalable Open-Source Numerical Models (LiAISON) Framework for Analyzing Emerging Low-Carbon Technologies

Decarbonizing the industrial sector is a significant challenge in achieving a net-zero greenhouse gas (GHG) emissions economy by 2050 and the Paris Agreement, i.e., a global climate change mitigation target of achieving a maximum average temperature change potential of 1.5 Degrees Celsius or less by 2100 with respect to pre-industrial levels. In the United States (US), the industrial sector accounts for 23% of total GHG emissions and is home to a number of hard-to-electrify activities. The chemicals subsector has the single largest subsector emissions profile after direct emissions from fossil fuel combustion and leakage from fossil fuel distribution systems. Within the chemicals subsector, many processes depend on hydrogen or ammonia precursors. Decarbonizing these two commodities would contribute significantly to decarbonizing the industrial sector as hydrogen could also be used for low carbon steel production (e.g., hydrogen-based direct reduction of iron) and other industrial applications. Emerging technologies require the application of prospective life cycle assessment (LCA), which can account for technology (foreground) scaling and process improvements via learning-by-doing, among others. In many cases, the future system context (background) in which the technologies are assumed to operate in is equally relevant. Background scenarios generated by integrated assessment models (IAM) can coherently incorporate potential future dynamics of the energy-climate-human-land system. Further, IAM scenarios are harmonized across socioeconomic and climate change mitigation pathways, which facilitates the comparability of prospective LCAs using different IAMs. We introduce an open source prospective LCA framework, the Life-cycle Assessment Integration into Scalable Open-source Numerical models (LiAISON), to analyze the non-linear relationships between technology foreground and the future energy system background across a series of midpoint and resource use metrics The integration of LCA and IAM data is achieved using prospective environmental Impact assessment (PREMISE). We showcase it by assessing two Power-to-Hydrogen (PtH2) processes, namely Solid Oxide Electrolysis (SOE) and Polymer Electrolyte Membrane Electrolysis (PEME). We compare the technologies to a baseline of hydrogen production via natural gas-based Steam Methane Reforming (SMR) in a US context of multiple energy system and climate change mitigation futures. Besides providing an analysis that specifies the LCA results ranges with temporal and geospatial explicitness across the two technologies, metrics, and impact assessment methods, this research also aims to establish a base framework that can be expanded to use other IAM generated scenarios and US open-source life cycle inventory (LCI) databases. We find that the temporal environmental performance of either technology or their difference to SMR is directly influenced by the underlying background dynamics. Additionally we compare our results by linking two other prospective models with LiAISON - GCAM(Global Change Assessment Model) and ReEDS (Regional Energy Deployment System) to analyze the effect of changing background scenarios using varying predictions in life cycle analysis.

emissions↗

Renewable Energy and Efficiency Technologies in Scenarios of U.S. Decarbonization in Two Types of Models: Comparison of GCAM Modeling and Sector-Specific Modeling

Energy system projections from quantitative models inform actions ranging from short-term and local decisions, such as those about technology and infrastructure deployment, and global and long-term negotiations and targets. Computational limits require model designers to balance coverage and resolution (i.e., breadth versus depth). Some models, such as the Global Change Analysis Model (GCAM), represent all energy sources and uses with less resolution than models that focus on a single sector's energy use. GCAM balances global supply and demand of all energy carriers projecting prices using internal calculations for energy sources and costs of greenhouse gas mitigation while capturing interlinkages between the energy system, water, agriculture and land use, the economy, and the climate. This globally comprehensive model was used to frame the Long-Term Strategy of the United States: Pathways to Net-Zero Greenhouse Gas Emissions by 2050, which the White House released in 2021 and has been used to inform national and global economy-wide climate change mitigation discussions and strategy development for decades. Unlike GCAM, sectoral models focus on a portion of the energy sector and with greater detail and resolution. The Regional Energy Deployment System (ReEDS) electricity-sector model, for example, projects electricity system capacity expansion and operation with high-fidelity representation of emerging technologies for deep decarbonization, such as variable renewable energy and energy storage, and integration of these technologies into the electric grid. The Transportation Energy and Mobility Pathway Options (TEMPO) transportation-sector model enables analysis of household choices, with a focus on adoption, charging, and use of electric vehicles. The Scout buildings-sector model supports detailed consideration of the policies and markets that can accelerate the adoption of electrification and energy conservation measures in buildings. Such sector-specific models are instrumental in informing technology research, sectoral planning strategies, and sector-specific aspects of greenhouse gas mitigation strategies in the United States. The integrated multisector and sector-specific modeling approaches represented by GCAM and these sectoral models are complementary. The integrated multisector approach calculates energy pricing and resource allocation within the model, which is important for consistency when future conditions substantially diverge from current conditions in transformative scenarios. The sector-specific approach facilitates representation of granular details across spatial, temporal, technological, and market dimensions that enable exploration of particular interactions and trade-offs. This report presents the results of recent work to explore the differences and trade-offs between these approaches by comparing GCAM with the sector-specific ReEDS, TEMPO, and Scout models. The report compares both model structures and results, and it addresses their potential relevance and applications.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

Multiscale Electricity Modeling for Evaluating Carbon Capture and Sequestration Technologies (Final Report)

Carbon capture and sequestration (CCS) technologies that can operate with a high degree of operating flexibility could provide necessary electric grid flexibility in a system with high shares of variable renewables. This project examines the deployment and dispatch potential of twelve unique flexible CCS (FLECCS) technologies that encompass post-combustion carbon dioxide (CO 2 ) capture designs, concepts using a storage media to enable energy arbitrage, and hybrid processes that integrate CCS with direct air capture (DAC) for flexibility with net zero or negative CO 2 emissions. FLECCS technology potential is explored with a multi-model, multi-scale framework including the Regional Energy Deployment System (ReEDS) electric sector capacity expansion model (CEM) and the PLEXOS production cost model (PCM). Innovative methods were developed to represent FLECCS technology operating modes, performance, and cost in the two models. ReEDS was then used to simulate nine scenarios for each FLECCS technology, three CO 2 emissions price futures reaching $\$$150, $\$$225, and $\$$300/tCO 2 in 2050; and three scenarios for FLECCS technology deployment favorability relative to competing technologies. For each CO 2 price and reference FLECCS favorability, the 2050 infrastructures from ReEDS model are downscaled and implemented in PLEXOS to examine hourly dispatch under detailed operational constraints that are not included in ReEDS. FLECCS technologies exhibited a wide range of deployment potential ranging from none to several hundred gigawatts of capacity, with outcomes highly sensitive to input cost and performance parameters that are inherently highly uncertain. When deployed, FLECCS tended to displace a combination of wind, solar, and natural gas-based technologies rather than supporting increased renewable deployment. As a result, CO 2 emissions reductions facilitated by FLECCS deployment tended to come with higher overall system costs and electricity prices. When economically competitive, FLECCS technologies can contribute significant flexible generation and firm capacity to the grid, but continued technology development and an expanded analytical scope are necessary to fully understand FLECCS deployment potential its impact on the electric power sector. Follow-on analysis incorporating captured CO 2 tax credit value from the Inflation Reduction Act (IRA) and other potential policy scenarios could be particularly valuable, as this policy can substantially change the relative competitiveness of FLECCS technologies.

03 NATURAL GAS↗

Discrete versus continuous: Enhancing battery optimization in capacity expansion models

This study compares two battery modeling approaches for capacity expansion models: discrete-duration and continuous-duration formulations. In the discrete approach, battery duration is fixed, and power capacity is optimized. In the continuous approach, both power and energy capacities are decision variables, allowing storage duration to be optimized endogenously. Although both discrete-duration and continuous-duration battery formulations are used in long-term power system planning models, the literature has provided limited direct, systematic comparisons of their implications within a common modeling framework. To address this gap, this study implements both approaches in the Regional Energy Deployment System (ReEDS TM ) capacity expansion model using two resource adequacy methods, across a range of future system conditions, and with varying battery cost projections. Results show continuous-duration and high-resolution discrete approaches produce similar capacity expansion outcomes. The continuous formulation achieves faster runtimes compared to discrete-duration runs with many discrete-duration options. However, the discrete-duration approach allows users to choose to have limited fidelity for storage duration options, which in some cases can outperform the continuous formulation. The continuous formulation has the lowest overall system costs, indicating its ability to fine-tune storage duration to better meet specific system needs. This study's findings provide a side-by-side evaluation of discrete and continuous battery modeling approaches and offer guidance for improving the representation of real-world systems, flexibility, and computational efficiency for representing energy storage in long-term power system planning models.

25 ENERGY STORAGE↗

Renewable Energy and Efficiency Technologies in Scenarios of U.S. Decarbonization in Two Types of Models: Comparison of GCAM Modeling and Sector-Specific Modeling

Energy system projections from analytic models inform actions ranging from short-term and local decisions, such as technology and infrastructure deployment, to global and long-term negotiations and targets. Computational limits require the designers of these models to trade off between coverage and resolution. Some models, such as the Global Change Analysis Model (GCAM), represent all energy sources and uses but at a relatively coarse level of resolution. GCAM balances global supply and demand of all energy carriers by endogenously projecting prices for energy sources and costs of greenhouse gas mitigation while capturing interlinkages between the energy system, water, agriculture and land use, the economy, and the climate. This global model was used to frame the Long-Term Strategy released by the White House in 2021 and has been used to inform national and global economy-wide decarbonization discussions and strategy development for decades. Other models instead focus on a portion of the energy sector with greater detail and resolution. The Regional Energy Deployment System (ReEDS) electricity-sector model, for example, projects capacity expansion with an emphasis on integration of variable renewable energy into the grid of the future. The Transportation Energy and Mobility Pathway Options (TEMPO) transportation-sector model enables analysis of household choices in adoption, charging, and use of electric vehicles. The Scout buildings-sector model supports detailed consideration of the policies and markets that can accelerate the adoption of energy conservation measures in buildings. Such sector-specific models are instrumental in informing technology research, sectoral planning strategies, and sector-specific aspects of greenhouse gas (GHG) mitigation strategies in the United States. These global and sector-specific modeling approaches can complement each other. The global approach ensures consistent, endogenous energy pricing and resource allocation, which can substantially diverge from current conditions in transformative scenarios, while the sector-specific approach facilitates representation of granular details across spatial, temporal, technological, and market dimensions that enable exploration of particular interactions and trade-offs. This report presents the results of recent work to explore the differences and tradeoffs between these approaches by comparing GCAM with the sector-specific ReEDS, TEMPO, and Scout models. The report compares both model structures and results, and discusses their potential relevance and applications.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

Impacts of Spatial Resolution in a High-Fidelity Capacity Expansion Model: An ERCOT Case Study

Capacity expansion models are important tools in examining the evolution of the electric power sector. Embedded in these tools are many modeling choices with consequential impacts on computational burden and associated analysis. In this study, we adjust the spatial resolution of the Regional Energy Deployment System (ReEDS) to understand the implications of higher-fidelity modeling on energy system projections and model solve times. The native ReEDS regions capture the contiguous United States in 134 balancing areas whereas the regions in the higher-resolution version are defined by over 3,000 U.S. counties. Using both resolutions, we conduct a case study of the Texas Interconnection (The Electric Reliability Council of Texas [ERCOT]) to explore differences in model projections and to inform appropriate applications of high spatial resolution in a large-scale, applied capacity expansion model.

county↗

Enhanced Geothermal Shot Analysis for the Geothermal Technologies Office

In 2021, the U.S. Department of Energy (DOE) began the Energy Earthshots initiatives to accelerate breakthroughs of reliable clean energy solutions within the next 10 years. In 2022, the National Renewable Energy Laboratory (NREL) was asked by the DOE Geothermal Technologies Office (GTO) to provide analysis for developing Energy Earthshot targets for Enhanced Geothermal Systems (EGS), human-made underground reservoirs that extract thermal energy from the earth for electricity generation and/or heating applications. The Enhanced Geothermal Shot analysis is based on the technology assumptions in the 2019 GTO report GeoVision: Harnessing the Heat Beneath Our Feet. For Earthshot, we updated some of the technology cost and performance assumptions based on recent technology advances and updated the EGS resource potential to include more detailed analysis. We used the updated EGS supply cost curves to forecast the amount of geothermal electricity generation that could be deployed in the US by 2050 using a capacity expansion model. The results were used to develop a cost target for EGS. On September 8th, 2022, the Enhanced Geothermal Shot was announced. Its target - reduce the cost of EGS by 90%, to $45 per megawatt hour by 2035. This paper summarizes the cost and resource assumptions used in the Enhanced Geothermal Shot. It describes the assumptions used in the Regional Energy Deployment System (ReEDS) capacity expansion model to forecast geothermal deployment and discusses the results.

15 GEOTHERMAL ENERGY↗