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Economic and Reliability Optimization for Central Energy Facilities: Two Case Studies

This presentation explores the optimization of energy resources in two distinct case studies: a large university and a metropolitan newspaper. The university's approach involved optimizing existing resources, including gas turbine cogeneration units, boilers, and a campus-wide chilled water system. The newspaper's evaluation focused on the upgrade of its self-generation capability. Key lessons learned highlight the effectiveness of resource utilization in minimizing energy costs and the importance of tailored load analysis for capital investment decisions.

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Economic and Reliability Optimization for Central Energy Facilities: Two Case Studies

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  1. Economic and Reliability Optimization for Central Energy Facilities F i n a n c i a l C o n s u l t i n g S e r v i c e s James T. Drews, Presenter POWER-GEN International Orlando, Florida November 30, 2004

  2. Two Case Studies • Large university: Optimized existing resource utilization • Metropolitan newspaper: Self generation upgrade evaluation

  3. Large University • Two campus electrical load • 2 gas turbine cogeneration units (13.6 MW) • 2 power purchase agreements (46 MW) • Campus-wide heating requirement • 5 boilers (225 kpph) & 2 HRSGs (48 kpph) • Campus-wide chilled water system • 15 electric chillers (23,500 tons)

  4. Management Model

  5. Operating Scenarios Instantaneous Operating Conditions

  6. Scenario 1: Hourly Energy Cost

  7. Scenario 2: Hourly Energy Cost

  8. Scenario 3: Hourly Energy Cost

  9. Lessons Learned • Distinct resource utilization option results in lowest energy cost • Effective modeling will determine lowest energy cost options • Management utilization of resource tool will minimize energy costs

  10. Metropolitan Newspaper • Approximate 4 MW peak load • Installed 3 MW gas turbine • Heat recovery steam generator (17 kpph) • 3 chillers: electric & absorption

  11. Strategic Options Evaluated

  12. Hourly Electric Load Profile

  13. Hourly Chilling Load Profile

  14. Electricity and Natural Gas Prices

  15. Nominal Electric / Gas Rates

  16. Low Electric / High Gas Rates

  17. High Electric / Low Gas Rates

  18. Supply Options Results • Existing installation most cost effective • Larger units inefficient given load profile • Payback 11+ years on other viable options • Potential improvements • Peak load reduction • Third-party fuel supply • Client avoided an undesirable investment

  19. The Bottom Line • Hourly load profiling is critical • Integrated annual hourly energy supply/use model must be tailored for client specifics • Capital investment/supply contracting options require detailed load analysis • Management & accountability is critical

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