Cost-Effectiveness of Distributed Generation Technologies

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Cost-Effectiveness of Distributed Generation Technologies ( cost-effectiveness-distributed-generation-technologies )

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Cost-Effectiveness of Distributed Generation Technologies The SGIPce model generates PCT results by DG technology, electric IOU territory, sector (e.g., commercial, residential, or government/non-profit) and geographical region (“coastal” and “inland”). Please see Section 5 for a comprehensive list of results and Figure 1-2 below for the 2010 results for the technologies without an incentive. Key findings of the PCTs modeled without an incentive include the following:  The PCT results are always higher for PG&E and SCE than for SDG&E. SDG&E’s electrical rates are lower than PG&E and SCE for the commercial sector so the avoided bill benefit is lower for SDG&E.  IC engines (1,500 kW) fueled by on-site biogas has the highest PCT value of any commercial system analyzed under the Base Scenario without incentives. The PCT is 1.81 for PG&E, 1.82 for SCE, and 1.54 for SDG&E. Note that IC engines (1,500 kW) fueled by on-site biogas also have a relatively high STRC. The STRC for IC engines (1,500 kW) is 1.5 in 2010 and 1.74 in 2016 for the statewide electricity weighted results.  Wind and ORC pass the PCT for all three utilities without incentives. These two technologies also pass the STRC for all three utilities.  IC engines (500 kW) have a PCT greater than 1.0 for natural gas, on-site biogas, and directed biogas-fueled systems without an incentive for PG&E and SCE. Natural gas and on-site biogas systems have PCT values of nearly 1.0 for SDG&E.  Both electric-only fuel cells and fuel cells using waste heat recovery pass or nearly pass the PCT without an incentive when fueled by on-site biogas. The PCT values for systems fueled by natural gas and directed biogas are slightly lower, though still over 0.90 for PG&E and SCE.  Gas turbines in the 2-5 MW range (modeled as 3.5 MW) pass the PCT when fueled by on-site biogas for all three utilities without an incentive. Gas turbines in this range also pass the PCT when fueled by natural gas in PG&E and SCE territory.  Gas turbines in the less than 2 MW range (modeled as 1 MW) pass the PCT when fueled by on-site biogas for PG&E and SCE.  Microturbines, regardless of fuel type, fail to pass the PCT without an incentive, but are very close to passing the test when fueled by natural gas, rather than on-site biogas or directed biogas.  Storage fails to pass the PCT without an incentive by a wide margin for all utilities. Itron, Inc. 1-4 Executive Summary

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