[USA] Black Hills Energy announces feasibility study of hydrogen generation from coal

On May 1, 2023, Black Hills Energy, a utility that serves 1.3 million customers in eight Western states, announced that it was awarded a grant from the Wyoming Energy Authority (WEA) to conduct a feasibility analysis on hydrogen generation using coal from its Wyodak Mine in Campbell County, WY.[1] The program’s partners include Black Hills, Babcock & Wilcox (B&W), and members of the Chemical and Biomolecular Engineering Department at Ohio State University. The program will use B&W’s BrightLoopTM chemical looping technology, an oxidation reduction chemical process that produces hydrogen and a nearly pure product stream of carbon dioxide without the need for carbon capture equipment to extract carbon emissions. As part of the analysis, a conceptual design and estimate for a semi-commercial scale plant will be developed. If feasible and cost-effective, a second phase would include the construction of the facility using the BrightLoop technology at Black Hills Energy’s Neil Simpson Complex in Wyoming.

[1] https://www.blackhillsenergy.com/news/black-hills-energy-explores-versatility-of-wyoming-coal

[USA] FERC approves MISO request to keep Ameren Missouri’s Rush Island coal plant open

On October 24, 2022, the Federal Energy Regulatory Commission (FERC) approved a system support resource (SSR) agreement for Ameren Missouri’s 1,195-MW Rush Island power plant, stating that the coal plant is necessary to maintain grid reliability.[1] The SSR agreement can be renewed annually, and the contract will be paid for by load-serving entities that benefit from keeping Rush Island open. In a separate decision, FERC said the proposed monthly payments Ameren Missouri would receive for running the plant need further review through a hearing process.[2] FERC also rejected Ameren Missouri’s request for an additional 0.5% return on equity (ROE) for cost recovery for keeping the plant open longer than expected, stating that the ROE adder only applies to transmission facilities.

The Rush Island Power plant was originally set to retire on September 1, 2022. Instead, Ameren Missouri now expects to keep it running until mid-2025 to support grid reliability. According to the Midcontinent Independent System Operator (MISO), retiring the coal plant could cause severe voltage stability problems, leading to cascading power outages. In MISO’s application for an SSR agreement, the grid operator identified four transmission upgrades that are needed to maintain voltage on the grid, with the last one expected to be online by June 2025. Potential renewable energy additions or demand-response programs wouldn’t be enough.

[1] https://elibrary.ferc.gov/eLibrary/filelist?accession_number=20221024-3065&optimized=false

[2] http://elibrary.ferc.gov/eLibrary/filelist?accession_number=20221024-3066&optimized=false

[USA] DOE report: coal plant sites could host 265 GW of advanced nuclear

According to a new report released by the Department of Energy on September 13, 2022, about 80% of operating and recently retired coal-fired power plant sites could host an advanced nuclear power reactor, with nearly 265 GW in total potential nuclear capacity.[1] The report, titled Investigating Benefits and Challenges of Converting Retiring Coal Plants into Nuclear Plants, was prepared by researchers from the Argonne, Idaho, and Oak Ridge national laboratories and looked at the feasibility of a coal-to-nuclear (C2N) transition. The report identified 190 operating coal plant sites that could host 198.5 GW of nuclear capacity and 125 recently retired plant sites that could handle 64.8 GW of nuclear capacity. According to the Federal Energy Regulatory Commission (FERC), the U.S. has about 100 GW of existing nuclear capacity, accounting for 8.2% of all generating capacity in the U.S.

In a case study examining the impacts and potential outcomes of replacing a 1.2 GW coal plant with nuclear, the report found that reusing infrastructure from the coal plant sites could reduce the overnight cost of capital of a nuclear facility by 15% to 35% compared with a greenfield construction project. In the case study, the report also found that regional economic activity could increase by as much as $275 million and add 650 new, permanent jobs to the region of analysis.

[1] https://fuelcycleoptions.inl.gov/SiteAssets/SitePages/Home/C2N2022Report.pdf

［USA］Dairyland Power Cooperative plans to retire 345 MW of coal

Dairyland Power Cooperative, a Wisconsin electric utility, announced in January 2020 that it is planning to retire Genoa Station 3, a 345 MW coal plant, in 2021, five to ten years earlier than previously planned.[1] Utility officials ultimately determined cheaper, cleaner resources were preferable over keeping the coal plant open. This announcement follows a January 16, 2020 Wisconsin regulatory decision approving Dairyland’s 625 MW gas-fired Nemadji Trail Energy Center (NTEC), which will be co-owned with Minnesota Power, a Minnesota utility. The gas plant, which will serve customers in Minnesota and Wisconsin, requires permission from both Minnesota and Wisconsin regulators. Although the plant received approval from Minnesota regulators in October 2018, the Minnesota Court of Appeals ordered further analysis in December 2019 and directed Minnesota’s Public Utilities Commission to do an environmental impact assessment of the plant. Dairyland is currently reviewing the Court of Appeal’s decision to determine how it will impact the project’s timeline.

[1] https://www.dairylandpower.com/content/dairyland-announces-genoa-station-3-retirement-plans

［USA］ NorthWestern Energy to acquire 25% share of Colstrip; plans to reduce carbon by 90%

NorthWestern Energy, a utility company based in Sioux Falls, SD, announced on December 10, 2019 that it plans to purchase Puget Sound Energy's (PSE) 25% share of Montana's coal-fired Colstrip Unit 4 for just $1.[1] If the plan is approved by the Montana Public Service Commission and Washington Utilities Transportation Commission, NorthWestern would procure 185 MW of generation from Colstrip Unit 4 which would bring its totally share of the unit to 55%. According to NorthWestern, the purchase, although contrary to its carbon-reduction goals, will help the utility to meet a winter peak capacity deficit and preserve reliability for its customers. Currently, NorthWestern’s energy portfolio for Montana is 60% carbon-free. The utility will set aside the benefits from the transaction to address the environmental costs associated with its existing ownership when the time comes to retire Unit 4. For PSE, the sale of its share of the Colstrip unit will help the utility reduce its coal fleet by 50% and give them a lead on meeting Washington state’s requirement for electric utilities to eliminate coal-fired generation from their portfolios in the next five years.[2],[3]  

[1] http://www3.northwesternenergy.com/our-company/media-center/current/news-article/2019/12/10/NorthWestern-Energy-to-acquire-25-share-of-Colstrip-Unit-4-from-Puget-Sound-Energy

[2] https://www.pse.com/press-release/details/pse-moves-closer-to-coal-free-electricity-years-ahead-of-schedule?utm_source=Social&utm_medium=TWITTER&utm_campaign=Engagement

[3] https://www.utc.wa.gov/regulatedIndustries/utilities/energy/Pages/CETAoverview.aspx

[Japan] NEDO Initiated the Third Phase of an Integrated Coal Gasification Fuel Cell Combined Cycle Demonstration Project

New Energy and Industrial Technology Development Organization (NEDO) recently announced that it had initiated the third phase of an Integrated Coal Gasification Fuel Cell Combined Cycle (IGFC) Demonstration Project on April 17, 2019. The third phase of the IGFC Demonstration Project will focus on combining an Oxygen-blown Integrated Gasification Combined Cycle (IGCC) with CO2 capture technology and fuel cells, aiming to verify the system performance. This system will capture CO2 from syngas to produce hydrogen-rich gas to use as fuel. The project is being conducted by NEDO and OSAKI CoolGen Corporation, a joint venture company between Chugoku Electric Power and Electric Power Development Company (J-POWER).

In Japan, coal-fired power generation accounts for approximately 30% of the domestic power generation. However, coal-fired power generates more CO2 than other fossil fuels. NEDO has launched the IGFC Demonstration Project in order to explore opportunities to reduce CO2 emissions from coal generation in FY2018. The project aims to develop a commercial-scale IGFC system (500 MW-class) with approximately 47% Higher Heating Value (HHV) and a CO2 capture rate of 90 percent. The first phase of the project consisted of a demonstration of Oxygen-blown IGCC and the second phase included testing the IGCC with CO2 separation and capture technology. The IGFC Demonstration Project will run until FY2022.[1]

[USA] “Broad Energy Coalition Condemns Action to Subsidize Failing Coal, Nuclear Plants”

[SEIA, 1 June 2018]

Numerous energy industry and trade groups, including those focused in energy efficiency and storage, oil, solar and wind, and natural gas, have come together to condemn the Trump Administration’s recently revealed plan to “bail out coal and nuclear plants.” These groups include Solar Energies Industries Association (SEIA), American Petroleum Institute (API), Advanced Energy Economy (AEE), American Council on Renewable Energy (ACORE), the Business Council for Sustainable Energy (BCSE), Electricity Consumers Resources Council (ELCON), Electric Power Supply Association (ESPA), Energy Storage Association (ESA), and Natural Gas Supply Association (NGSA). The comments by these groups-against the bail out plan- are very similar; they say that it is not economically profitable or reasonable to support failing plants and that this will have negative repercussions on the electricity grid. For instance, Kelly Speakes-Backman, the ESA CEO, states, “Any action that undermines market stability to support new entrants like energy storage – resources that enhance grid resilience and reduce costs to consumers – will erode opportunities to create a more reliable and resilient, efficient, sustainable and affordable grid.” Todd Foley likewise comments, ““The Administration’s draft plan for potential emergency action would be unwarranted, and would actually undermine competitive markets, raising electricity costs to consumers and businesses across the country. Arbitrary market interventions deprive businesses of the certainty they need to invest in power plants of all types, harming not helping electric reliability.”