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At least 163 records · Page 9

Microreactor-liquid metal battery system in energy markets: An evaluation of potential costs, technology, and policy impacts

Microreactors represent an emerging innovation in the nuclear industry; yet have been overshadowed by their high capital costs. With the Inflation Reduction Act of 2022 (IRA), new opportunities have emerged to improve the economics of microreactor systems. This work examines liquid metal batteries (LMB) as a value-adding technology as part of microreactor-LMB systems within three U.S. electricity markets: ERCOT, PJM, and MISO. Our investigation considers key uncertainties: the cost of microreactors, the performance of LMBs, and the eligible tax credit levels. To this end, we use a dispatch optimization to trace not only the changes in system economics but also to provide a granular picture of energy delivery within the systems. We find that even with favorable costs for microreactors, significant regional variations in the project sizing and returns exist across the markets. Our heuristic method identifies their non-electric application potentials beyond electricity and technical requirements to maximize returns. The results suggest that 12–39 % of reactor heat could be cost-effectively diverted to produce more valuable by-products in U.S. markets. Including the impacts of tax credits, we establish the outcomes of each provision with varying rates. Coupling an LMB to a microreactor consistently improves the net present value of a microreactor compared to its standalone operation. In conclusion, for reasonable assumed conditions, we quantify a heterogeneous impact of round-trip efficiency (RTE) and extended LMB service life across the three markets—a one-year extension in LMB service life is roughly equivalent to a 2.11 % improvement in RTE for ERCOT, 1.16 % for PJM, and 1.04 % for MISO.

22 - GENERAL STUDIES OF NUCLEAR REACTORS↗

Agent-based modeling of supply disruptions in the global rare earths market

Several independent assessments have identified rare earth elements (REEs) as critical materials, notably neodymium (Nd), praseodymium (Pr), and dysprosium (Dy) used in permanent magnets. Factors affecting their criticality include expected growth in demand arising from their unique performance-enhancing properties in consumer, energy, and military applications and the supply risk associated with China's dominance in their production. We demonstrate the use of Argonne's Global Critical Materials (GCMat) agent-based model to explore the possible consequences to REE market dynamics of different types of regional supply disruptions including a temporary loss of production, shutdown of capacity, and diversion of supply. Results suggest that supply disruptions may foster earlier and more REE mine starts outside of China, although some of these mines may not be able to sustain operations post disruption. Further, price and associated market responses such as production, capacity, and demand tended to extend beyond the disruption period. Such market impacts in the magnet supply chain could affect the costs and availability of a number of emerging clean energy technology applications such as electric vehicles and wind turbines. In the future, GCMat could be used to evaluate the effectiveness of mitigation strategies - including recycling, conservation, product substitution, and diversification of supplies - on reducing the severity of disruptions in REE markets.

36 MATERIALS SCIENCE↗

Market optimization and technoeconomic analysis of hydrogen-electricity coproduction systems

Decarbonization efforts across North America, Europe, and beyond rely on variable renewable energy sources such as wind and solar, as well as alternative fuels, such as hydrogen, to support the sustainable energy transition. These advancements have prompted a need for more flexibility in the electric grid to complement non-dispatchable energy sources and increased demand from electrification. Integrated energy systems are well suited to provide this flexibility, but conventional technoeconomic modeling paradigms neglect the time-varying dynamic nature of the grid and thus undervalue resource flexibility. In this work, we develop a computational optimization framework for dynamic market-based technoeconomic comparison of integrated energy systems that coproduce low-carbon electricity and hydrogen (e.g., solid oxide fuel cells, solid oxide electrolysis) against technologies that only produce electricity (e.g., natural gas combined cycle with carbon capture) or only produce hydrogen. Our framework starts with rigorous physics-based process models, built in the open-source Institute for the Design of Advanced Energy Systems (IDAES) modeling and optimization platform, for six energy process concepts. Using these rigorous models and a workflow to optimally design each technology, the framework is shown to be capable of evaluating new and emerging technologies in varying energy markets under a plethora of future scenarios (i.e., renewables penetration, carbon tax, etc.). Ultimately, our framework finds that solid oxide fuel cell-based coproduction systems achieve positive profits for 85% of the analyzed market scenarios. From these market optimization results, we use multivariate linear regression (R 2 values up to 0.99) to determine which electricity price statistics are most significant to predict the optimized annual profit of each system. The proposed framework provides a powerful tool for directly comparing flexible, multi-product energy process concepts to help discern optimal technology and integration options.

08 HYDROGEN↗

Decentralised demand response market model based on reinforcement learning

A new decentralised demand response (DR) model relying on bi‐directional communications is developed in this study. In this model, each user is considered as an agent that submits its bids according to the consumption urgency and a set of parameters defined by a reinforcement learning algorithm called Q‐learning. The bids are sent to a local DR market, which is responsible for communicating all bids to the wholesale market and the system operator (SO), reporting to the customers after determining the local DR market clearing price. From local markets’ viewpoint, the goal is to maximise social welfare. Four DR levels are considered to evaluate the effect of different DR portions in the cost of the electricity purchase. The outcomes are compared with the ones achieved from a centralised approach (aggregation‐based model) as well as an uncontrolled method. Numerical studies prove that the proposed decentralised model remarkably drops the electricity cost compare to the uncontrolled method, being nearly as optimal as a centralised approach.

Shafie‐Khah, Miadreza↗

Valuation of Distributed Wind Turbines Providing Multiple Market Services

The role of wind turbines has traditionally been limited to providing energy capacity to the grid, but the availability of smart inverters and recent regulatory changes provide the technical and policy capability for wind turbines to also provide ancillary services. However, in contrast to the technical and policy aspects, the valuation of distributed wind turbines providing such services has not been thoroughly studied. This paper presents an optimal market-participation method for distributed wind turbines and valuates different strategies in California Independent System Operator’s balancing area. The services include energy capacity, regulation up and down, and reserves. An optimization problem is formulated to determine optimal power output for each service and demonstrated using historical data for one complete year. The revenues from multiple services are quantified, and a sensitivity analysis is performed to relate market prices with revenues. It is found that the optimal strategy generates 6% more revenue compared to the revenue from participating in the energy market only. Also, the reduced energy prices in future scenarios increase the relative importance of market participation in ancillary services.

Bhatti, Bilal Ahmad↗

Flexible Ramping Product Procurement in Day-Ahead Markets

Flexible ramping products (FRPs) emerge as a promising instrument for addressing steep and uncertain ramping needs through market mechanisms. Initial implementations of FRPs in North American electricity markets, however, revealed several shortcomings in existing FRP designs. Here, in many instances, FRP prices failed to signal the true value of ramping capacity, most notably evident in zero FRP prices observed in a myriad of periods during which the system was in acute need for rampable capacity. These periods were marked by scheduled but undeliverable FRPs, often calling for operator out-of-market actions. On top of that, the methods used for procuring FRPs have been primarily rule-based, lacking explicit economic underpinnings. In this paper, we put forth an alternative framework for FRP procurement, which seeks to set FRP requirements and schedule FRP awards such that the expected system operation cost is minimized. Using real-world data from U.S. ISOs, we showcase the relative merits of the framework in (i) reducing the total system operation cost, (ii) improving price formation, (iii) enhancing the the deliverability of FRP awards, and (iv) reducing the need for out-of-market actions.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

Refrigerants: Market Trends and Supply Chain Assessment

The National Renewable Energy Laboratory (NREL), in partnership with ORNL, under the Clean Energy Manufacturing Analysis Center (CEMAC www.manufacturingcleanenergy.org) umbrella, assessed the current state of existing and low-GWP refrigerants for major end-use applications, including HVAC and those outside of the HVAC industry. The project incorporated a market overview, and supply chain assessment to determine the production, distribution, consumption, costs, and potential operating efficiency impacts of new and alternative refrigerants entering the market. Market trends and ongoing research are also documented. This work supplements other DOE efforts to support research activities on refrigerants and their applications including a refrigerant R&D roadmap and outlook into global air conditioning markets (Goetzler et al. 2014, 2016).

32 ENERGY CONSERVATION, CONSUMPTION, AND UTILIZATI↗

Smart Grids in Emerging Markets - Private Sector Perspectives

Information presented in this report is based on qualitative and quantitative data collection and analysis methods to provide an empirical understanding of barriers to private sector clean energy investment in emerging markets as it relates to smart grids. Through literature review, a survey, and a series of webinar dialogues, the U.S. Agency for International Development (USAID) and the U.S. Department of Energy's National Renewable Energy Laboratory (NREL) solicited input from private sector actors, including developers, project financiers, manufacturers, and technical assistance service providers on the challenges they face to market entry in developing and emerging markets, and their suggestions for improving market competitiveness.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

U.S. Hydropower Market Report (January 2021 edition)

This is the third complete edition of the U.S. Hydropower Market Report (the first two were the 2014 and 2017 Hydropower Market Report published in 2015 and 2018, respectively). In intervening years between publishing the full report, updated data are also summarized and released, and can be found at the Oak Ridge National Lab (ORNL) HydroSource website. This report combines data from public and commercial sources as well as research findings from other Department of Energy (DOE) R&D projects in order to provide a comprehensive picture of developments in the U.S. hydropower and PSH fleet and industry trends. Prior to the first Market Report being published, there was a noted lack of publicly available and easily accessible information about hydropower in the United States and other important trends affecting this important sector of the energy industry. New and valuable types of information are constantly being developed in the course of DOE research activities and, in a rapidly evolving energy industry, it is important that these data be made available in a predictable and consistent manner for use by all different types of stakeholders and decision-makers.The report highlights developments in 2017–2019 (the years for which new data has become available since the publication of the 2017 Hydropower Market Report), and contextualizes this information compared to evolving high-level trends over the past 10–20 years. Apart from presenting trends over time, the report discusses differences in those trends by region, plant size, owner type, or other attributes.

13 HYDRO ENERGY↗

Packaged Combined Heat and Power Technology Overview and Market Profile

Combined heat and power (CHP), sometimes referred to as cogeneration, is an efficient and clean approach to generating electric power and useful thermal energy onsite from a single fuel source, offering reliable and affordable energy services to businesses and institutions. Furthermore, CHP provides a cost effective opportunity to improve the environmental footprint and resilience of industrial and commercial facilities across the United States. CHP equipment can be custom-engineered or installed as a predesigned and assembled package. A packaged CHP system is a standardized, pre-engineered system that includes all equipment, piping, wiring, and ancillary components to deliver electricity and thermal energy to a host facility with minimal onsite engineering and design time. Packaged CHP systems can be shipped as single or multiple modules with standard interconnections (e.g., fuel; electrical; thermal—hot water, steam, and/or chilled water), which simplifies installation and reduces the costs associated with the project. Most containerized or single packaged CHP system offerings range from 10 kW to 3 MW in capacity. Packaged CHP systems are extending the operating, efficiency, and emissions benefits of CHP to nontraditional markets in commercial, institutional, multifamily, light manufacturing, government, and military applications. These markets tend to be served by smaller systems (less than 5 MW) that are conducive to pre-engineered packaging and/or modularization. Many of these sectors have limited CHP experience and technical resources to adequately evaluate, install, and maintain onsite CHP systems. The introduction of packaged CHP offerings from experienced CHP Packagers and Solution Providers has accelerated CHP adoption, lowered energy costs, reduced emissions, and strengthened energy resilience in these sectors. In 2019, the US Department of Energy (DOE) launched the Packaged CHP eCatalog to promote increased acceptance of efficient, cost-effective CHP in these applications. The Packaged CHP eCatalog is a web-based, searchable platform that hosts DOE-recognized packaged CHP systems with features designed to reduce economic and performance risks for designers, developers, owners, and facility operators interested in installing CHP. DOE established the Packaged CHP Accelerator at the same time to help launch and publicize the eCatalog, and to validate project performance, cost, and installation time of CHP packages across a variety of applications. Accelerator efforts documented installed cost reductions and installation time reductions of more than 20% for packaged CHP systems over 100 kW compared with custom-engineered systems. The Packaged CHP Accelerator and eCatalog established a peer-to-peer network connecting public and private sector partners including utilities, state energy offices, and energy efficiency program administrators interested in promoting cost-effective, efficient CHP systems, Packagers, and Solution Providers. Feedback from these partners, along with input from DOE’s CHP Technical Assistance Partnerships (CHP TAPs), was critical in understanding the current market for packaged CHP technologies, stimulating investment in these technologies, and guiding future directions for packaged CHP systems and their applications. This report provides background on packaged CHP systems, an overview of their benefits, a profile of current packaged CHP installations, and a summary of future market trends; this report is intended for facility owners, project developers, engineers, policymakers, and other stakeholders looking to increase the adoption of efficient, flexible, and resilient packaged CHP systems.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

Integration of Hybrids into Wholesale Power Markets

With growing commercial activity around utility-scale hybrid storage projects in the Unites States, independent system operators (ISOs) and regional transmission organizations (RTOs) are faced with making decisions on how to represent such emerging technology resources in the market clearing software through the definition of hybrid resource participation models. System operators are facing increasing uncertainties around efficient and reliable ways to operate these resources given the ambiguity around their impacts, particularly when high levels of hybrid resources are present. This study aimed to evaluate and compare the performance implications of different hybrid resource participation models in a realistic wholesale electricity market setting with significant deployment of hybrid resources, and to provide the industry with metrics that quantify the advantages and disadvantages of different participation options using realistic electricity market simulations. The different participation models are compared in terms of the impact to reliability of the overall system, the ability of the market to access the full capabilities of hybrid resources as measured by the economic efficiency, and asset profitability.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

A Survey of Direct Heating Equipment Market Actors in California

Direct Heating Equipment (DHE) is a category of ductless space heating appliances that provide warm air directly to the space where they are installed. We investigate, from the perspective of the DHE supply chain in California, what types of DHE are marketed in the state, how they are sold and serviced, and whether any potential barriers to adoption of high-efficiency DHE exist. We find that the market for DHE in the state is almost exclusively a replacement market, with some additional repair and maintenance services. We also find that, even though manufacturers sell high-efficiency DHE models in California, most contractors report installing baseline models most of the time. Contractors say their customers do not see any value in high-efficiency units, and they (contractors) do not believe that high-efficiency DHE is worth the additional cost to their customers. In addition, the majority of contractors purchase DHE from distributors and, therefore, distributors are a key piece of the supply chain that can constrain DHE purchase choice. Distributors do not see a demand for high-efficiency DHE and, hence, do not keep stock of these units. They argue that, since the market is driven mostly by replacements and these replacements occur typically in an unplanned way, homeowners are unwilling to pay for any additional costs associated with a high-efficiency model. Rather, homeowners usually prefer to replace the failed unit with a new unit that can fit in the same location with no- or minimal additional replacement costs. Considering that most DHE purchases are made by contractors, on behalf of their customers, informing contractors (and homeowners) of the potential cost-effectiveness of efficient DHE could help mitigate some of the barriers to the adoption of high-efficiency DHE in the state. In addition, monetary incentives and more stringent building codes that apply to DHE replacements can contribute to increasing adoption of high-efficiency DHE in California. This will not only reduce energy costs, but also increase safety and comfort to DHE users.

32 ENERGY CONSERVATION, CONSUMPTION, AND UTILIZATI↗

Distribution Network Capacity Market Design: Marginal Distribution Capacity Pricing Mechanism for Efficient Investment and Cost Allocation

As electricity markets begin to shift from reliance on large, centralized power plants and towards distributed energy resources (DERs), there is a growing acknowledgement that more efficient planning, operations, and oversight is needed in the distribution system. This paper addresses one step in that direction by proposing an auction mechanism that uses a detailed distribution system planning model that allocates permits to end-used customers who request capacity to install new devices at their location and network upgrade contracts to utilities or 3rd-party companies who offer to upgrade system components. The resulting plan maximizes market surplus, that is, maximizes the total benefit to consumers minus the cost of network upgrades. We apply a marginal pricing scheme to the auction’s results such that the cost of each permits or contracts is differentiated by time and location, based on the Lagrangian multipliers of binding network constraints. These prices are shown to be no greater than the bid price of any awarded contract and no less than the offered cost of any awarded upgrade contract. Furthermore, the nonlinearity of power flows in the planning model result in an additional surplus that would be collected by the entity that hosts the auction, which could then be refunded to market participants or used to cover overhead costs of running the market. We provide four example auction results in a simple three-node distribution feeder to demonstrate the properties of the design. Results suggest that larger or more realistic case studies could be a promising next step.

24 POWER TRANSMISSION AND DISTRIBUTION↗

Distributed Wind Market Report: 2024 Edition

The annual Distributed Wind Market Report provides stakeholders with market statistics and analysis along with insights into market trends and characteristics for wind technologies used as distributed energy resources. This report presents the distributed wind market from 2003 through 2023. Key findings with respect to installed capacity, deployment trends, customer types, incentives, policies, installed costs and performance, and the future outlook are presented.

17 WIND ENERGY↗

Quantum Computing Market Report

The quantum computing market is entering a rapid growth phase. Growth was originally driven by private investment interest in high value applications such as drug discovery, materials science, and finance. Currently the main market drivers include technical advances, continued private investment, and rising public funding. The quantum computing market is poised for explosive growth — with its market size estimated at $1.42 billion USD in 2024, and an expected compound annual growth rate of 20.5% from 2025 to 2030 [4]. Superconducting qubits are the largest qubit type by revenue. However, alternative approaches such as trapped ion, neutral atom, spin based, and photonic qubits are also attracting investment.

97 MATHEMATICS AND COMPUTING↗

Heat Pumps in the United States: Market Potentials, Challenges and Opportunities

The US heat pump market has been affected by the socioeconomic impacts of the COVID-19 pandemic. However, the US administration’s electrification goal accelerates the deployment of heat pumps, and the US heat pump market has experienced steady growth since 2010. In 2020, heat pumps surpassed gas furnace shipments for the first time, and the trend maintained through 2022. The heat pump market share is expected to grow as policies, and financial incentives steer the building sector toward decarbonization. Here, this paper reviews the US heat pump market trends and discusses the challenges and opportunities in the current policy landscape.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

Structural Break and Causal Analyses of U.S. Corn Use for Ethanol and Other Corn Market Variables

The causal basis for many of the relationships in models used to estimate the indirect effects of U.S. biofuels on global agricultural markets has not been adequately established. This paper addresses this gap by examining causal interactions among corn market variables through which the indirect effects of U.S. corn use for ethanol would be transmitted. Specifically, structural break and causal analyses of U.S. corn supply, uses, trade, and price are performed using quarterly data for marketing years 1986 to 2017. The structural break analysis identifies three breaks in corn use for ethanol that reflect the policy-driven evolution of U.S. corn ethanol production and other market factors. The causality analysis finds that U.S. corn use for ethanol is not a driver of the corn price and net corn exports. Changes in corn supply and domestic corn use are found to be the key factors in accommodating the large increase in corn use for ethanol between 2003 and 2010. These results mean that common assumptions linking U.S. corn ethanol production to large reductions in corn availability and exports, and higher global corn prices merit reconsideration.

09 BIOMASS FUELS↗

Optimal Equilibrium Selection of Price-Maker Agents in Performance-Based Regulation Market

This paper analyzes the oligopolistic equilibrium of multiple price-maker agents in performance-based regulation (PBR) markets. In these markets, there are price-maker agents representing some frequency regulation (FR) providers and a number of independent price-taker FR providers. An equilibrium problem with equilibrium constraints (EPEC) model is employed in this paper to study the equilibria of a PBR market in the presence of price-maker agents and pricetaker FR providers. Due to the incorporation of the FR providers' dynamics, the proposed model is reformulated as a mixed-integer linear programming (MILP) problem over innovative mathematical techniques. An optimal equilibrium point is also selected for the market, where none of the agents is unique deviator and the dynamic performance of power system is improved simultaneously. The effectiveness of proposed optimal equilibrium point is evaluated in the numerical results section by comparing the outputs with conventional optimal dispatches of the FR providers.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗