Results for “Resource adequacy” — Page 2

DOE OSTI2026

Impact of hydropower availability on resource adequacy of the United States western interconnection

Hydropower is a key energy source in the western interconnection of the United States, comprising about 25% of the annual installed nameplate capacity in 2020. However, its generation is increasingly impacted by changing hydrological conditions, operational constraints, environmental factors, water availability, and aging dam infrastructure. Assessing hydropower availability and resource adequacy is valuable for shaping energy policies and infrastructure requirements. In this study we evaluate the sensitivity of resource adequacy in the Western Interconnection to the unavailability of hydropower plants, under a wide-ranging set of 16,384 hydropower loss scenarios derived from a combination of 14 major hydrologic regions. Although a complete loss of hydropower capacity in any region is unlikely, studying such scenarios helps in identifying hydrologic regions most critical for maintaining resource adequacy. So, we identify key hydrologic regions with disproportionately large adequacy impacts relative to their installed hydropower capacity and study compounding effects between regions using classification and regression trees. Even after controlling for total installed capacity, we find that hydropower resources in the Pacific Northwest contribute the most to interconnection-wide adequacy outcomes, with resources in Northern California and the Desert Southwest providing more moderate incremental contributions.

13 HYDRO ENERGY↗

DOE OSTI2022

Impact of Storage Dispatch Assumptions on Resource Adequacy and Capacity Credit

Representing energy-limited resources in power system probabilistic resource adequacy assessment introduces new considerations that invalidate classical modeling assumptions. In particular, such resources have multi-period operating objectives and constraints that in real systems are addressed via a sequence of rolling intertemporal optimizations. Ideally, adequacy models would develop dispatch decisions by solving a similar sequence of problems, but this approach has historically been too computationally intensive for practical use in Monte Carlo simulations, with studies making use of simplifying approximations instead. These simplifications have the potential to distort the assessed value of energy-limited resources on the system.This work describes three classes of storage dispatch assumptions in current use and discusses their theoretical differences. It then provides an empirical analysis of their differences on test systems with different levels of storage, assessing the potential for a study's modeling assumptions to influence the perceived contribution of energy-limited resources.

capacity credit↗

DOE OSTI2023

Assessing the Resource Adequacy and Community Impacts of an Evolving Grid: Considerations for State Regulators

As U.S. power systems continue to decarbonize, state regulators must be able to broadly assess the cost and reliability implications of proposed fossil retirements and the corresponding resources that are coming online to replace them. Specifically, regulators must evaluate whether proposed infrastructure investments are sufficient to ensure the long-term reliability of the system, while also protecting rate payers by ensuring that such investments are necessary and not excessive. Broadly speaking, this objective is typically framed in terms of maintaining long-term resource adequacy at the lowest cost, while also ensuring that other social and/or environmental objectives are satisfied. System planners currently have a host of sophisticated analytical tools at their disposal to evaluate the cost-benefit trade-offs of different approaches to ensuring resource adequacy. However, most of these tools and associated metrics were designed with traditional power systems in mind. Over the past decade, it has become increasingly clear that the metrics and models that have reliably assessed resource adequacy in systems dominated by large thermal and hydropower resources will be insufficient for systems with significant contributions from emerging technologies such as wind, solar and storage. Therefore, in recent years many new metrics and modeling approaches have been developed, and are increasingly being implemented, to meet the needs of the clean energy transition.

24 POWER TRANSMISSION AND DISTRIBUTION↗

DOE OSTI2020

Impacts of Price Formation Efforts Considering High Renewable Penetration Levels and System Resource Adequacy Targets

Future markets with very high penetrations of renewable energy could have many low- to zero-cost periods, which would reduce energy revenues for the generation fleet. This can impact the ability of resources that are needed for long-term reliability to recover operating and capital costs. This paper explores the impact of an alternative pricing mechanism, relaxed minimum pricing, on revenue sufficiency on existing and future resource mixes, including those with high penetrations of wind and solar. This study evaluates eight scenarios encompassing three different sensitivity categories: (1) one alternative pricing mechanism versus traditional LMP pricing, (2) high versus low renewable penetration levels, and (3) using a resource mix that has been adjusted to a preset resource adequacy target versus one that contains a full set of resources. Results show renewable penetration has a greater impact on pricing and resulting profits than does the adjusted resource mix, the two pricing methods have modest variations in profits, and prices under the higher renewable penetration case were higher than under low renewable penetration. These conclusions are not intended to be direct predictions for future outcomes but rather to lead to additional research on the impacts of pricing on investment incentives and future resource adequacy targets.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

DOE OSTI2024

Evaluating Transmission's Role in Resource Adequacy

Transmission can play an important role in ensuring systems are resource adequate, yet in many cases quantifying that value can be difficult. This presentation explores different ways to understand transmission resource adequacy value, and in particular highlights how transmission can impact the tradeoff between reliability and cost.

ENERGY PLANNING, POLICY, AND ECONOMY,POWER TRANSMI↗

DOE OSTI2022

Renewables, Resource Adequacy, and Reliability

Presentation to the Legislative Energy Horizons Institute on grid reliability and renewable integration, including resource adequacy, flexibility, and distributed energy resource considerations.

ENERGY PLANNING, POLICY, AND ECONOMY,POWER TRANSMI↗

DOE OSTI2026

Solar and Storage Integration in the U.S. Southeast: Implications for Resource Adequacy [Slides]

In this study, we evaluate how an iterative portfolio approach compares to a more traditional capacity credit method, using the U.S. Southeast as a case study region. Using open-source planning and resource adequacy tools, we compare results using a capacity credit approximation method with those from iterating behind the two. We also explore how the iterative approach performs under a range of sensitivities, including higher load growth, regional coordination, and alternative weather years. We find that traditional capacity credit approximation methods can function well in today's system, but may face challenges for systems with higher levels of solar and storage. As such, integrating planning and resource adequacy models can address some of these gaps, helping planners deliver more reliable systems.

14 SOLAR ENERGY↗

DOE OSTI2024

Wholesale Electricity Market Design to Support Resource Adequacy

Wholesale electricity markets are intended to incentivize system generation investments and operations outcomes that meet evolving system needs. In this work, we evaluate the effectiveness of wholesale market structures, rules and policies in achieving system resource adequacy (RA) and clean energy targets in the presence of self-interested generation investors using the Electricity Markets and Investment Suite Agent-based Simulation (EMIS-AS) model. Results highlight that both capacity markets and operating reserve demand curves (ORDCs) can help achieve a reliable system but with different RA compliance timelines and distribution of generation technologies. Structures with capacity markets tend to favor more capital-intensive peaking technologies while reducing wind and solar build-outs due to suppressed energy and clean energy market prices, particularly in the absence of strong clean energy targets. Conversely, ORDCs improve the commitment of available generation units, but this comes at the expense of higher system costs and renewable generation curtailment. We also find that well-calibrated static capacity demand curves can yield similar reliability and total cost compared to capacity market demand curves informed dynamically by resource adequacy while also yielding stable annual capacity prices. Different approaches to formulating ORDC curves can also yield key trade-offs, namely that a more efficient treatment of storage chronology results in lower ORDC curves and prices, yielding less investment and cost but at the expense of reliability. Finally, the effectiveness of wholesale electricity markets in practically achieving very high clean energy generation targets highly depends on the cost-competitiveness of clean energy technologies that can support critical balancing needs across multiple timescales.

agent based modeling↗

DOE OSTI2024

Wholesale Electricity Markets and Resource Adequacy with High Clean Energy Generation Targets

Wholesale electricity markets are intended to incentivize system generation investments and operations outcomes that meet evolving system needs. In this work, we evaluate the effectiveness of wholesale market structures, rules and policies in achieving system resource adequacy (RA) and clean energy targets in the presence of self-interested generation investors using the Electricity Markets and Investment Suite Agent-based Simulation (EMIS-AS) model. Results highlight that both capacity markets and operating reserve demand curves (ORDCs) can help achieve a reliable system but with different RA compliance timelines and distribution of generation technologies. Structures with capacity markets tend to favor more capital-intensive peaking technologies while reducing wind and solar build-outs due to suppressed energy and clean energy market prices, particularly in the absence of strong clean energy targets. Conversely, ORDCs improve the commitment of available generation units, but this comes at the expense of higher system costs and renewable generation curtailment. We also find that well-calibrated static capacity demand curves can yield similar reliability and total cost compared to capacity market demand curves informed dynamically by resource adequacy while also yielding stable annual capacity prices. Different approaches to formulating ORDC curves can also yield key trade-offs, namely that a more efficient treatment of storage chronology results in lower ORDC curves and prices, yielding less investment and cost but at the expense of reliability. Finally, the effectiveness of wholesale electricity markets in practically achieving very high clean energy generation targets highly depends on the cost-competitiveness of clean energy technologies that can support critical balancing needs across multiple timescales.

capacity expansion↗

DOE OSTI2024

Can Wholesale Electricity Markets Achieve Resource Adequacy and High Clean Energy Generation Targets in the Presence of Self-Interested Actors?

Wholesale electricity markets are intended to incentivize system generation investments and operations outcomes that meet evolving system needs. In this work, we evaluate the effectiveness of wholesale market structures, rules and policies in achieving system resource adequacy (RA) and clean energy targets in the presence of self-interested generation investors using the Electricity Markets and Investment Suite Agent-based Simulation (EMIS-AS) model. Results highlight that both capacity markets and operating reserve demand curves (ORDCs) can help achieve a reliable system but with different RA compliance timelines and distribution of generation technologies. Structures with capacity markets tend to favor more capital-intensive peaking technologies while reducing wind and solar build-outs due to suppressed energy and clean energy market prices, particularly in the absence of strong clean energy targets. Conversely, ORDCs improve the commitment of available generation units, but this comes at the expense of higher system costs and renewable generation curtailment. We also find that well-calibrated static capacity demand curves can yield similar reliability and total cost compared to capacity market demand curves informed dynamically by resource adequacy while also yielding stable annual capacity prices. Different approaches to formulating ORDC curves can also yield key trade-offs, namely that a more efficient treatment of storage chronology results in lower ORDC curves and prices, yielding less investment and cost but at the expense of reliability. Finally, the effectiveness of wholesale electricity markets in practically achieving very high clean energy generation targets highly depends on the cost-competitiveness of clean energy technologies that can support critical balancing needs across multiple timescales.

capacity expansion↗

DOE OSTI2022

Insights into Methodologies and Operational Details of Resource Adequacy Assessment: A Case Study with Application to a Broader Flexibility Framework

Assessing and maintaining resource adequacy (RA) is a core pillar of power systems. However, recent changes in the physical makeup of these systems and the conditions under which these systems must operate have yielded a renewed interest in the methods, metrics, and assumptions that underpin RA assessments. In this paper, we systematically explore a wide range of RA modeling dimensions, including: the objective function and level of operational detail in the underlying model formulation; the quantity (look-ahead) and quality (accuracy) of data that is available for making operational decisions within those models; and the physical configuration of solar photovoltaics (PV) with battery storage hybrid resources. We apply a set of probabilistic RA tools and production cost modeling tools to a realistic test system based loosely on a future Electric Reliability Council of Texas power system dominated by solar PV resources. Under the assumptions of our system and models, we find that multi-stage probabilistic assessments may provide a more robust evaluation of RA by capturing a wider range of operational and system interactions, but this comes at a computational cost of 1-2 orders of magnitude longer run time depending on the specific configuration. In addition, the information on thermal generator availability impacts RA performance by an order of magnitude more than solar resource forecasts, which is driven by the comparatively larger magnitude of thermal outages than solar forecast errors within our test system. Lastly, the flexibility provided by hybrid and other resources can help reduce system load-shedding event frequencies and enable the system to be more robust to inaccurate forecast information, and alternative hybrid inverter sizes can impact RA levels by 1-2 orders of magnitude. Our results point to the importance of a broader flexibility framework to describe the interaction between (1) flexibility "supply" from both physical resource capabilities and operational constraints considered in the modeling, and (2) flexibility "demand" from forecast errors, thermal generator outages, and other sources of uncertainty, as well as their RA impacts. Results are likely sensitive to the system buildout explored; future work could consider additional system configurations and conditions.

ENERGY PLANNING, POLICY, AND ECONOMY,POWER TRANSMI↗

DOE OSTI2023

Resource Adequacy for State Utility Regulators: Current Practices and Emerging Reforms

This report was developed by staff in the National Association of Regulatory Utility Commissioners (NARUC) Center for Partnerships and Innovation (CPI). Additional support was provided from commissioners, commission staff, and other technical experts to provide foundational information for state utility regulators on the evolving nature of resource adequacy for the electric system. With the changing nature of the system, state commissioners will continue to play a vital role in their respective jurisdictions. Their roles in overseeing resource decisions are growing in complexity, with consideration for customer costs, state and federal environmental requirements, extreme weather events, fuel supply limitations, generation retirements, shifting requirements for system operators, and growing levels of intermittent and energy-limited resources (e.g., wind, solar, and battery storage). Reliability concerns continue to be an urgent and immediate priority for utility regulators in most parts of the United States. The information in this report is designed to support state commissioners and their respective staff members as they navigate an evolving resource adequacy landscape to maintain reliability amidst a rapidly changing system.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

DOE OSTI2022

2022 Summer Resource Adequacy in the ERCOT Region

This report is a 2022 update to the National Energy Technology Laboratory (NETL) report that examined the potential system performance of the Electric Reliability Council of Texas (ERCOT) system during the summer of 2021. Anticipated summer reserve margins in ERCOT have risen year-over-year from the 15.7 percent reported in ERCOT’s Final Seasonal Assessment of Resource Adequacy (SARA) for Summer 2021 to 22.8 percent in the Final SARA for Summer 2022, driven mostly by increases in wind and solar generation. Using data from ERCOT’s 2022 Summer SARA, Capacity, Demand and Reserves (CDR) reports, and historical performance data obtained from ERCOT and Hitachi Energy Velocity Suite, six economic dispatch scenarios using PROMOD were developed to assess the risk to ERCOT of a load shedding event for Summer 2022. The results suggests that ERCOT may be facing a very tight resource adequacy situation, with the potential for a serious shortfall during the summer peak, usually the end of July through mid-August, if demand and generator outage rates significantly exceed peak levels. Under these conditions, ERCOT will need to call on its operating tools, including Energy Emergency Alerts (EEA) and calls to conserve electricity, to maintain reliability and continue serving load. Those measures alone may not be sufficient to avert a shedding of load.

24 POWER TRANSMISSION AND DISTRIBUTION↗

DOE OSTI2026

Development of A High-Resolution Dataset for Solar Resource Adequacy Studies

High-resolution, long-term solar dataset is essential for characterizing the variability of solar energy resources and for informing strategies that ensure grid reliability and resilience in grid systems with high levels of solar energy integration. We present the development of a new 4-km, hourly Earth system dataset for the contiguous United States (CONUS), using a statistical downscaling approach that integrates the National Solar Radiation Database (NSRDB) with regional Earth system model projections. The new high-resolution Earth system dataset includes key variables - GHI, DNI, DHI, surface air temperature, and wind speed - under two future scenarios. Preliminary results show a reasonable agreement with NSRDB observations, with nBias less than 1% for GHI across CONUS. The dataset is expected to support in-depth analyses of extreme weather impacts and provide input to resource adequacy for future energy systems with diverse generation sources.

14 SOLAR ENERGY↗

DOE OSTI2025

Electric Grid Reliability in an Era of Unprecedented Uncertainty: A Review of Advances in Electric Sector Resource Adequacy Assessment and Planning

Recent changes to the principal causes of energy shortage events on the electric grid have necessitated are thinking of paradigms for resource adequacy (RA) assessment and the related topic of procurement of a reliable portfolio. Prior studies have laid out elements of a modern paradigm for these planning activities, but there does not exist a comprehensive overview of the topic spanning academic and gray literature, and the relationship of these suggested paradigms to methods used in industry has also not been surveyed. In this paper we review recent literature establishing best practices for RA assessment and reliable portfolio procurement, and survey current practices used in industry in relation to these best practices. We establish seven key best practices for RA assessment, cover a modern methodology for capacity accreditation, and find that industry practices are not far behind the identified best practices, though some key gaps remain. We also present a suggested agenda for both academic research on the topic and opportunities for advancement in the industry.

24 POWER TRANSMISSION AND DISTRIBUTION↗

DOE OSTI2025

Empirical Assessment of Interregional Coordination to Support Resource Adequacy [Slides]

This study examines where interregional transmission could most effectively support resource adequacy in the contiguous United States. We use hourly load, renewable generation, and real-time price data from 2016–2023 for 18 planning subregions to identify periods of elevated adequacy risk, defined as the top 100 annual hours of net load and wholesale prices in each region. We then measure the temporal coincidence of these peak periods between adjacent regions and compare price patterns to assess the potential for capacity sharing. Results show that NorthernGrid West, a winter-peaking region, has low coincidence of peak net load with its summer-peaking neighbors, indicating high potential for interregional support. In contrast, regions in the Northeast have highly coincident peak periods, suggesting limited adequacy benefits from additional transmission. Price-based analysis shows peak-hour differences in the Midwest and between ERCOT and neighboring regions, indicating potential economic benefits from increased transfers. The findings provide an empirical screening of where transmission may offer the greatest reliability benefits without adding new generation capacity.

24 POWER TRANSMISSION AND DISTRIBUTION↗

DOE OSTI2020

2020 Summer Resource Adequacy in the ERCOT Region

The study looks at the evolution of the Electric Reliability Council of Texas (ERCOT) market across the last decade to provide an understanding of how the market arrived at its current condition. In addition, the study examines four scenarios and utilizes probabilistic dispatch analysis to assess the potential for resource adequacy and reliability concerns under those scenarios. The study finds that under three of the four scenarios, the region will see an increased risk for Energy Emergency Alerts and need for emergency operator actions to ensure the reliable delivery of electricity to the more than 25 million people who ERCOT serves.

2020↗

DOE OSTI2025

A resource adequacy assessment of correlated wide-area outages in the power grid

As the power grid is undergoing rapid transformations, numerous questions are emerging about its vulnerability to wide-area extreme events (WAEE), which could influence its operations. Relatively few analyses have been conducted to date regarding the impact of correlated outages during WAEEs on the grid’s ability to balance resources with demand. This study addresses this gap by conducting a resource adequacy analysis for a hurricane-inspired WAEE on a 2035 synthetic power grid system for the United States. A sensitivity analysis was also conducted to characterize the relative impact of weather on unserved energy. Our results indicate that although the magnitude and duration of the shortfalls vary depending on weather conditions, persistent shortfalls are observed in some regions. Initial explorations indicate a strong correlation between transmission-constrained regions and regions with persistent shortfalls. Future work could generate empirically-grounded representations for generator outages as well as conduct causal analyses of these shortfalls to improve understanding of drivers as well as possible mitigation strategies. Continued exploration of extreme weather impacts on the grid is important to develop more robust understanding of the reliability and resilience of our power systems, especially as they undergo rapid transformations.

24 POWER TRANSMISSION AND DISTRIBUTION↗