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Artificial Intelligence for Natural Gas Utilities: A Primer

Modern natural gas utilities face numerous challenges and competing priorities from various stakeholders. Policymakers, customers, and advocacy groups want to see gas utilities improve performance on safety, reliability, resilience, affordability, and environmental stewardship. State utility regulators — public utility commissions — are responsible for overseeing utility performance, ensuring that ratepayer funds are being spent in the public interest, and aligning utility goals with public goals. The use of new technologies is critical to enabling cost-effective performance on these attributes. Artificial intelligence (AI) is a widely used term among utilities and regulators, but the term means different things to different stakeholders, and it is often used to describe data analytics approaches that fall short of the formal definition of AI, which is: “…the ability of a machine to receive inputs and produce a behavior or reaction similar to that of an intelligent human being.” AI (and related tools, techniques, and technologies) can help utilities solve current and emerging challenges. By combining customer and system data with analytical tools and technologies, AI can augment human decision-makers by assisting in identifying problems and events before they occur, enabling resources to be more efficiently directed across utility infrastructure. The intended primary audience for this primer is state regulators, although utilities and other stakeholders might also find it useful and relevant to improve their awareness of AI. The objectives of this primer are to: (a) offer a set of broadly applicable definitions for AI and related terms, allowing regulators, utilities, and other stakeholders to speak the same language; (b) discuss how AI is currently being implemented in the gas utility sector; and (c) understand the challenges affecting AI solutions and how tools might be implemented in the future. This primer fits within NARUC’s goals of providing impartial information to improve the ability of public utility commissions to regulate in the public interest. As such, this primer does not seek to recommend AI over any other investment, nor does it endorse any particular vendor, product, or approach. It does seek to prepare state regulators to oversee AI investments by sharing information about the current landscape of commercially available tools. To these ends, the primer is organized as follows: Section I discusses the current environment in which natural gas utilities operate and how AI, when thoughtfully designed and implemented, can enable utilities to achieve performance goals; Section II offers definitions of AI and related terms within the data analytics discipline; Section III provides three current opportunities for which AI can offer solutions: replacing aging gas distribution infrastructure, preventing excavator damage to gas distribution infrastructure, and improving energy efficiency programs. This section discusses each problem statement in detail. Second, Section III includes a discussion of how costs and benefits of investments to solve each problem are measured. And third, this section offers real-world examples of utility implementation of AI solutions; Section IV discusses challenges with implementing AI, both from the perspective of utilities and regulators; Section V suggests areas in which AI could feasibly be implemented in the near future; Finally, Section VI offers concluding thoughts and areas for further research.

03 NATURAL GAS↗

Understanding Your Utility Bills: Natural Gas

As a fossil fuel NG is a colorless and odorless gas in its natural state and is one of the cleanest burning hydrocarbons. The factors that contribute to the popularity of natural gas in the US manufacturing sector include ease of availability, clean burning properties, market deregulation, and increased domestic production. Analyzing natural gas (NG) bills can sometimes pose unique problems. Learning to read your utility bills and understand why your utility charges different fees is critical in maximizing your cost savings through energy efficiency. A key to creating a baseline is collecting and analyzing natural gas utility data. Historical data from NG bills can identify trends and help to find the baseline usage for a manufacturing operation. This guide intends to help Better Plant Program partners in understanding natural gas bills and analyzing usage to reduce costs. The guide focuses on natural gas production and transportation, understanding key charges on bills, different rate structures, and saving opportunities. A fictitious worked out example in the final section demonstrates how readers could go about analyzing natural gas bills.

03 NATURAL GAS↗

Local-Scale Framework for Techno-Economic Analysis of Subsurface Hydrogen Storage

The energy sector is evolving toward increased reliance on renewable energy technologies to meet state, national, and organization decarbonization goals. This trend is creating challenges and opportunities with meeting current and future energy demand under the variable supply conditions that most renewables provide. Hydrogen (H 2 ) is a promising energy carrier that may meet the need for both on-demand and long-duration storage to maintain energy security and resilience. Underground hydrogen storage (UHS) is a method of storing H 2 in subsurface geological systems, such as depleted hydrocarbon reservoirs, salt caverns, saline aquifers, hard rock, and other engineered systems. UHS has the potential to store large quantities of H 2 over time, providing a reliable source of energy while minimizing surface footprints at a lower investment cost compared to surface storage. Earlier work estimated that, if converted and retrofitted, existing underground natural gas storage (UGS) facilities in the U.S. can store approximately 327 TWh, or 9.8 million metric tons, of pure H 2 . However, a shift to pure H 2 would decrease the collective working-gas energy of the UGS facilities by approximately 75% due to physical and chemical differences between natural gas and hydrogen. The same work also suggests that almost 75% of the existing UGS facilities in the U.S. could maintain current energy demand buffering using a blend of only 20% H 2 to 80% natural gas, by volume at surface conditions. If we can take advantage of the suite of mature technologies of existing UGS facilities and natural gas utility systems to accelerate the transition to a hydrogen economy in the U.S., a 20% H 2 blend could lead to a 6-7% reduction of greenhouse gas emissions for energy delivered through natural gas utility systems.

03 NATURAL GAS↗

Low-Income Energy Affordability Data - LEAD Tool - 2018 Update

The Low-Income Energy Affordability Data (LEAD) Tool was created by the Better Building's Clean Energy for Low Income Communities Accelerator (CELICA) to help state and local partners understand housing and energy characteristics for the low- and moderate-income (LMI) communities they serve. The LEAD Tool provides estimated LMI household energy data based on income, energy expenditures, fuel type, housing type, and geography, which stakeholders can use to make data-driven decisions when planning for their energy goals. From the LEAD Tool website, users can also create and download customized heat-maps and charts for various geographies, housing, and energy characteristics. Datasets are available for 50 states plus Puerto Rico and Washington D.C., along with their cities, counties, and census tracts. The file below, "1. Description of Files," provides a list of all files included in this dataset. A description of the abbreviations and units used in the LEAD Tool data can be found in the file below titled "2. Data Dictionary 2018". The Low-Income Energy Affordability Data comes primarily from the 2018 U.S. Census American Community Survey 5-Year Public Use Microdata Samples and is calibrated to 2018 U.S. Energy Information Administration electric utility (Survey Form-861) and natural gas utility (Survey Form-176) data. The methodology for the LEAD Tool can viewed below (3. Methodology Document). For more information, and to access the interactive LEAD Tool platform, please visit: https://www.energy.gov/eere/slsc/low-income-energy-affordability-data-lead-tool For more information on the Better Building's Clean Energy for Low Income Communities Accelerator (CELICA), visit: https://betterbuildingsinitiative.energy.gov/accelerators/clean-energy-low-income-communities

affordability↗

Low-Income Energy Affordability Data - LEAD Tool - 2022 Update

The Low-Income Energy Affordability Data (LEAD) Tool was created by the Better Building's Clean Energy for Low Income Communities Accelerator (CELICA) to help state and local partners understand housing and energy characteristics for the low- and moderate-income (LMI) communities they serve. The LEAD Tool provides estimated LMI household energy data based on income, energy expenditures, fuel type, housing type, and geography, which stakeholders can use to make data-driven decisions when planning for their energy goals. From the LEAD Tool website, users can also create and download customized heat-maps and charts for various geographies, housing, energy characteristics, and population demographics and educational attainment. Datasets are available for 50 states plus Puerto Rico and Washington D.C., along with their cities, counties, and census tracts, as well as tribal areas. The file below, "01. Description of Files," provides a list of all files included in this dataset. A description of the abbreviations and units used in the LEAD Tool data can be found in the file below titled "02. Data Dictionary 2022". A list of geographic regions used in the LEAD Tool can be found in files 04-11. The Low-Income Energy Affordability Data comes primarily from the 2022 U.S. Census American Community Survey 5-Year Public Use Microdata Samples and is calibrated to 2022 U.S. Energy Information Administration electric utility (Survey Form-861) and natural gas utility (Survey Form-176) data. The methodology for the LEAD Tool can viewed below (3. Methodology Document). For more information, and to access the interactive LEAD Tool platform, please visit the "10. LEAD Tool Platform" resource link below. For more information on the Better Building's Clean Energy for Low Income Communities Accelerator (CELICA), please visit the "11. CELICA Website" resource below.

AMI↗

Central Africa Energy: Utilizing NASA Earth Observations to Explore Flared Gas as an Energy Source Alternative to Biomass in Central Africa

Much of Central Africa's economy is centered on oil production. Oil deposits lie below vast amounts of compressed natural gas. The latter is often flared off during oil extraction due to a lack of the infrastructure needed to utilize it for productive energy generation. Though gas flaring is discouraged by many due to its contributions to greenhouse emissions, it represents a waste process and is rarely tracked or recorded in this region. In contrast to this energy waste, roughly 80% of Africa's population lacks access to electricity and in turn uses biomass such as wood for heat and light. In addition to the dangers incurred from collecting and using biomass, the practice commonly leads to ecological change through the acquisition of wood from forests surrounding urban areas. The objective of this project was to gain insight on domestic energy usage in Central Africa, specifically Angola, Gabon, and the Republic of Congo. This was done through an analysis of deforestation, an estimation of gas flared, and a suitability study for the infrastructure needed to realize the natural gas resources. The energy from potential natural gas production was compared to the energy equivalent of the biomass being harvested. A site suitability study for natural gas pipeline routes from flare sites to populous locations was conducted to assess the feasibility of utilizing natural gas for domestic energy needs. Analyses and results were shared with project partners, as well as this project's open source approach to assessing the energy sector. Ultimately, Africa's growth demands energy for its people, and natural gas is already being produced by the flourishing petroleum industry in numerous African countries. By utilizing this gas, Africa could reduce flaring, recuperate the financial and environmental loss that flaring accounts for, and unlock a plentiful domestic energy source for its people. II. Introduction Background Africa is home to numerous burgeoning economies; a significant number rely on oil production as their primary source of revenue. Relative to its size and population density, the continent has a wealth of natural resources, including oil and natural gas deposits. The exploration of these resources is not a new endeavor, but rather one that spans decades, up to a century in some places. Their resources, if realized, could provide a great means of economic and social mobility for the people of Africa. Currently, Africa represents about 12 % of the energy market, yet at the same time, consumes only 3 % of the world's energy (Kasekende 2009). The higher

Jones, Amber↗

Integration of Nuclear with an Oil Refinery

This presentation presents the oil refinery requirements and conditions needed for the steam, the integration of the oil refinery with a small modular reactor light water reactor (LWR) and small modular reactor high temperature gas reactor (HTGR), and the carbon avoided by replacing the currently utilized natural gas with nuclear energy.

22 GENERAL STUDIES OF NUCLEAR REACTORS↗

Portable chemical detection platform for on-site monitoring of odorant levels in natural gas

The adequate odorization of natural gas is critical to identify gas leaks and to reduce accidents. To ensure odorization, natural gas utility companies collect samples to be processed at core facilities or a trained human technician smells a diluted natural gas sample. In this work, we report a detection platform that addresses the lack of mobile solutions capable of providing quantitative analysis of mercaptans, a class of compounds used to odorize natural gas. Detailed description of the platform hardware and software components is provided. Designed to be portable, the platform hardware facilitates extraction of mercaptans from natural gas, separation of individual mercaptan species, and quantification of odorant concentration, with results reported at point-of-sampling. The software was developed to accommodate skilled users as well as minimally trained operators. Detection and quantification of six commonly used mercaptan compounds (ethyl mercaptan, dimethyl sulfide, n-propylmercaptan, isopropyl mercaptan, tert–butyl mercaptan, and tetrahydrothiophene) at typical odorizing concentrations of 0.1–5 ppm was performed using the device. We demonstrate the potential of this technology to ensure natural gas odorizing concentrations throughout distribution systems.

03 NATURAL GAS↗

Solar-assisted gas-energy water-heating feasibility for apartments

Studies of residential energy use, solar-energy technology for buildings, and the requirements for implementing technology in the housing industry led to a project to develop a solar water heater for apartments. A design study for a specific apartment was used to establish a solar water-heater cost model which is based on plumbing contractor bids and manufacturer estimates. The cost model was used to size the system to minimize the annualized cost of hot water. The annualized cost of solar-assisted gas-energy water heating is found to be less expensive than electric water heating but more expensive than gas water heating. The feasibility of a natural gas utility supplying the auxiliary fuel is evaluated. It is estimated that gas-utilizing companies will find it profitable to offer solar water heating as part of a total energy service option or on a lease basis when the price of new base-load supplies of natural gas reaches $2.50-$3.00 per million Btu.

Davis, E. S.↗

Federal Utility Partnerships & Clean Production of Natural Gas

Karen Thomas from NREL will discuss utility partnership programs with the federal government under the Federal Energy Management Program (FEMP) of the Department of Energy (DOE). These programs offer a way for a utility to partner with federal agencies. She will describe the federal government's ability to work directly with their serving natural gas utility to implement successful energy efficiency projects. Also, Jill Engel-Cox from NREL's Joint Institute for Strategic Energy Analysis will briefly share their analysis to identify opportunities to reduce emissions and increase efficiency of the production and delivery of natural gas.

37 INORGANIC, ORGANIC, PHYSICAL, AND ANALYTICAL CH↗

BETO 2021 Peer Review - Biomethanation to Upgrade Biogas to Pipeline Grade Methane WBS 5.1.3.102

We are developing, innovating and de-risking a biomethanation process capable of megawatt-scale deployment that upgrades biogas waste streams to produce pipeline quality renewable natural gas (RNG). Biomethanation is a two-step process using a methanogenic microorganism to convert renewable hydrogen (H2) and waste carbon dioxide (CO2) to renewable methane (CH4) - the primary component in natural gas. Using biogenic CO2 from biogas sources like dairies, wastewater treatment plants, and landfills allows production of this drop-in direct replacement fuel to participate in the growing number of carbon markets; like California's Low Carbon Fuel Standard and the Federal Renewable Fuel Standard. The end-of-project goal is to demonstrate pipeline quality RNG production (> 95% CH4, < 4% H2, <1% CO2, < 0.2% O2 and < 4 parts per million hydrogen sulfide) using real biogas feedstocks. We will accomplish this goal by designing and building a pressurized (18 bar) mobile lab-scale (20L) bioreactor research platform, including integrated electrolyzer system, based on lessons learned from operating the 700L pilot system from Southern California Gas Company. In collaboration with Electrochaea, natural gas utilities and Argonne National lab, will provide the data to establish a preliminary range of carbon intensity to help accelerate the deployment of utility-scale H2 production and qualify the biomethanation pathway process for RNG production.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

Developing a Robust Market for CHP: A Plan for Fostering Economic Development, Business Competitiveness and Resiliency in the Mid-Atlantic Region

The Department of Energy’s Mid Atlantic Combined Heat and Power Technical Assistance Partnership (MA CHP TAP) was established to develop public-private partnerships to advance the technology, policies, and programmatic support for combined heat and power (CHP), including its application in microgrids, heat to power and district energy. The MA CHP TAP’s work includes education and outreach as well as technical assistance to a variety of stakeholders including end-users (commercial, industrial, institutional and more), state decision makers, electric and gas utilities, trade associations and non-profit organizations. This assistance includes evaluating the economic, energy, reliability and environmental value of proposed systems. The MA CHP TAP represents the multi-state Mid- Atlantic region and is the CHP expert in the region who provides fact-based, un-biased information on CHP, including technologies, project development, project financing, local electric and natural gas utility interfaces, and related state best practice policies.

20 FOSSIL-FUELED POWER PLANTS↗

Fundamental Experimental Tests and Modeling of LOX/CH4 Engines at High Pressures

In recent years, the space travel industry has grown exponentially, resulting in the need for a low-cost, efficient rocket engine fuel. As such, there has been renewed interest in utilizing liquid natural gas (LNG) as it is less likely to soot than kerosene-based fuels and has widespread availability and low cost of use as compared to the traditional RP-X and even liquid methane (LCH4) fuels due to the reduced need for refinement. However, current literature does not fully cover varying blends of natural gas and the effects that impurities have on natural gas/methane fuels, with most studies being confined to low-pressure applications. Therefore, new experimental ignition delay time measurements at rocket engine relevant pressures are essential to ensure current chemical kinetic models capture the ignition behavior at these elevated conditions and to determine the optimal purity levels for a reliable, cost-efficient, aerospace-grade LCH4/LNG fuel. The current work explores various blends of natural gas/methane fuel with various impurities, including higher hydrocarbons as well as nitrogen-carriers. A shock tube study was carried out to study the ignition delay times and carbon monoxide time histories of these natural gas blends utilizing chemiluminescence and laser absorption spectroscopy at 20, 50 and 100 atm over temperatures ranging from 1400-1700K and at an equivalence ratio of 1. The experimental data was then compared to two different chemical kinetic mechanisms: the industry-standard GRI 3.0 and the in-house UCF 2022. The data is used to improve chemical kinetic mechanisms and modeling of LNG fuels for rocket engine applications.

Methane↗

Energy Efficient, Cost-Effective Power and Co-Generation Technologies: Techno-Environmental Analysis

Development of energy solutions for addressing grid resiliency and energy efficiency while lowering greenhouse gas emissions is critical in today’s energy scenario. Chemical energy provides on demand power. Cogeneration technologies offer numerous benefits in meeting the growing energy demand while lowering the impact on environment. Utilization of waste heat from prime movers in conjunction with energy efficient heat pumps and renewable photovoltaics is an attractive approach. Efficient utilization of available resources to support current and future building energy needs targeting grid resiliency, energy and environmental security via co-generation approaches is the focus of this study. A detailed techno-environmental analysis of hybrid system configurations consisting of conventional and emerging technologies utilizing natural gas, electric grid, and renewable power resources along with heat recovery systems and heat pump technologies are analyzed and presented. The key objective is to present integrated system configurations and thermodynamic analysis of various co-generation systems suitable for providing building energy. Design solutions targeting low carbon footprint and high energy efficiency are presented.

Cheekatamarla, Praveen↗

Direct Conversion of Methane to Ethylene and Acetylene over an Iron-Based Metal–Organic Framework

Conversion of methane (CH 4 ) to ethylene (C 2 H 4 ) and/or acetylene (C 2 H 2 ) enables routes to a wide range of products directly from natural gas. However, high reaction temperatures and pressures are often required to activate and convert CH 4 controllably, and separating C 2+ products from unreacted CH 4 can be challenging. Here, we report the direct conversion of CH 4 to C 2 H 4 and C 2 H 2 driven by non-thermal plasma under ambient (25 °C and 1 atm) and flow conditions over a metal–organic framework material, MFM-300(Fe). The selectivity for the formation of C 2 H 4 and C 2 H 2 reaches 96% with a high time yield of 334 μmol g cat –1 h –1 . At a conversion of 10%, the selectivity to C 2+ hydrocarbons and time yield exceed 98% and 2056 μmol g cat –1 h –1 , respectively, representing a new benchmark for conversion of CH 4 . In situ neutron powder diffraction, inelastic neutron scattering and solid-state nuclear magnetic resonance, electron paramagnetic resonance (EPR), and diffuse reflectance infrared Fourier transform spectroscopies, coupled with modeling studies, reveal the crucial role of Fe–O(H)–Fe sites in activating CH 4 and stabilizing reaction intermediates via the formation of an Fe–O(CH 3 )–Fe adduct. In addition, a cascade fixed-bed system has been developed to achieve online separation of C 2 H 4 and C 2 H 2 from unreacted CH 4 for direct use. Integrating the processes of CH 4 activation, conversion, and product separation within one system opens a new avenue for natural gas utility, bridging the gap between fundamental studies and practical applications in this area.

37 INORGANIC, ORGANIC, PHYSICAL, AND ANALYTICAL CH↗

Assessing the Current State of U.S. Energy Equity Regulation and Legislation (2024 Update) [Slides]

Lawrence Berkeley National Laboratory (LBNL) partnered with E9 Insight (E9) to update the 2022 database of executive, legislative, and regulatory actions focusing on energy equity and directed at electricity and natural gas utilities. The resulting database contains 307 energy equity actions, which consist of documents (e.g., bills, dockets, and executive orders) identified through keyword searches associated with energy equity. Based on our review, almost half of states (32 + DC) were taking some sort of action on energy equity (i.e., executive order, PUC activity, agency plan, or executive bill). In the report, we explored temporal trends to track state actions over time across regions, outcomes, equity tenets, and objectives. We also explored what drivers led to what outcomes. Drivers were organized into legislative, regulatory, executive, and stakeholder-driven.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

Comparison of Commercial, State-of-the-Art, Fossil-Based Ammonia Production

This NETL report provides a comprehensive techno-economic analysis of current, state-of-the-art, fossil-based ammonia production processes, explicitly utilizing natural gas as the feedstock. The study thoroughly investigates three distinct configurations: conventional Steam Methane Reforming (SMR) without carbon capture, SMR integrated with carbon capture and storage (CCS), and Autothermal Reforming (ATR) also with CCS. The analysis incorporates detailed equipment cost accounting as part of its methodology. The primary objective is to meticulously evaluate the cost and performance of these established and emerging technological pathways, considering factors such as capital expenditures, operational costs, and energy consumption. While the report acknowledges and quantifies environmental impacts, its central focus remains on the economic and technical feasibility of each process design employing these current technologies. The analysis provides a direct comparison of the Levelized Cost of Ammonia (LCOA) for each pathway, revealing how the integration of CCS within these state-of-the-art systems impacts the overall production cost. The ATR+CCS configuration, representing an advanced approach, emerged with a slightly more favorable LCOA compared to SMR+CCS. This benefit was attributed to its inherent process efficiencies, high carbon capture rates, and economy of scale advantages. The report details the energy consumption profiles for each case, including metrics like net energy consumption and thermal efficiency, which are critical for assessing the performance of these contemporary industrial processes. Sensitivity analyses further explore how variables such as natural gas price, capital costs, and capacity factors influence the LCOA across all scenarios, offering critical insights into the economic robustness and scalability of these current ammonia production technologies.

03 NATURAL GAS↗