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What's Happening in Energy - June 20

What's Happening in Energy highlights the most interesting findings from public utility commission filings.

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What's Happening in Energy — June 20
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Arizona’s Salt River Project gives some detail on its data center demand. Quote: “SRP's current projections indicate that the data center segment accounts for 60% of SRP's peak load growth and 70% of total energy sales over the next decade.” Potential total demand? 12,000 megawatts…in a system with an 8,000 MW peak load.

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Batteries in Vermont: a report on front-of-the-meter storage is being built for today while planning for tomorrow. Not the biggest system, but lots of detail: Thirty-two battery storage units, or “blocks,” will occupy approximately 0.37 acre and co-located next to a 500 kW solar system. Four battery blocks are proposed to be installed in a single row approximately ten years from now as part of “augmentation” as shown on the site plan.  The energy storage system project is a subsidiary of Encore Renewable Energy and will operate as a merchant plant participating in ISO New England (ISO-NE) regional wholesale markets, specifically the Frequency Regulation Market, the Real Time Energy Market, and the recently expanded Day-Ahead Energy Market. 

VT_GMP_Battery_photos

VT_GMP_Diagram

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More (you guessed it) data center action, in Texas. The Data Center Coalition (DCC) presented to ERCOT stating data centers contribute $52.6B to Texas’ GDP. Virginia leads in the number of data centers followed by Oregon, Phoenix, and Dallas. DCC notes that data centers can be built in as little as nine months to two years, but permitting for generation and transmission facilities can take four to seven years — creating a reliance on existing grid power.

TX_ERCOT_DCC_IncreasingDataCenterDemand

TX_ERCOT_DCC_DataCenterPowerMarketsByPowerCapacity

TX_ERCOT_DCC_DataCenterTrends_TotInvvsUnderConsH22024

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In New Mexico: PNM files a 1,566 page request for approval of a series of contracts with Meta Platforms affiliate Greater Kudo, LLC.  It includes 20-year agreements for:

  • Three new Purchased Power Agreements (PPAs) totaling 290 MW of solar energy.
  • Three new Energy Storage Agreements (ESAs) totaling 268 MW of four-hour battery storage, co-located with the solar facilities.

Lots to look at in this massive file, but worth noting are Greater Kudo’s comparison of load projections and renewable energy supplies acquired by the customer.

NM_PNM_Kudu_CustLoadPrj+RenewES_Figure2-Load+ResourceEnergyNM_PNM_Kudu_CustLoadPrj+RenewES_Figure3-DataCenterPeakvsEffResourceCap(PNM Exhibit TPD-2

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Ride sharing? Old news. The new news, in New York State? Transformer sharing — which is now happening between New York State Electric & Gas Corporation (NYSEG) and Rochester Gas and Electric Corporation (RG&E). 

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In Pennsylvania, Gas-On-Gas Competition with the Flex Rate natural gas distribution companies are incentivized, with Commission approval, to compete for individual nonresidential customers by offering them natural gas distribution at prices less than the approved maximum tariff rate. 

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Last week, we gave you the PJM Interconnection’s stern warning about phishing.  This week, it’s real actual fishing in Louisiana and South Louisiana Electric Cooperative Association’s (SLECA) request to abandon electrification after a hurricane.  The challenge between balancing cost effective service to customers and the economic and lifestyle implications for customers like camp owners in Terrebonne Parish who might no longer receive service.

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In Colorado, there is an Application by Public Service Company of Colorado (PSCo) to join the Southwest Power Pool’s Markets+ (“SPP Markets+” or “Markets+”), a regional, day-ahead market (DAM) developed in collaboration between the SPP and various western utilities that is anticipated to launch in 2027. Lots of perspectives including a request from PSCo to strike parts of Advanced Energy United comments.

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In Utah, the IRA. Not the Inflation Reduction Act, or even Individual Retirement Account, though it is retirement of a sort. Get ready for Utah Enbridge Gas and its Infrastructure Replacement Adjustment for aging gas assets. The company’s 2025 Tracker reports an average 16 miles per year for the replacement of high pressure (HP) feeder lines ($74.2m) and intermediate high pressure (IHP) belt lines ($11m) in Utah's natural gas infrastructure, originally filed by Dominion Energy Utah and continued by its successor, Enbridge Gas Utah.

UT_Embridge_IRAProgramBackground

UT_Embridge_IRAProgramProgress

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In California, the California Independent System Operator, Demand and Distributed Energy Market Integration (DDEMI) working group covered Introducing Models for Pumped Storage and Participating Load. Stakeholder presentations included:

CAISO_NCPA

CAISO_DR_ComparisonofOptions

CAISO_DR_July2024

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Bonus round! In Maryland, are you “active” or “inactive” with Smartenergy? That is the question…since 2019.