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The Values of Geothermal Energy October 2013 Energy Imbalance Service is a market service that provides for the management of unscheduled deviations in individual generator output or load consumption. Intermediate and Peaking Units are power plants that have fast ramp rates and relatively lower minimum generation levels and can be shut down and started up relatively quickly. Intermediate and peaking units are most often used to provide load following generation service due to their ability to ramp up and down quickly. Load Following is a slower response (from several minutes to a few hours) whereby available resources are dispatched to follow system ramping requirements. Load following is not a defined FERC service, but is obtained from intra-hour and hourly energy markets. Furthermore, a load following power plant is a power plant that adjusts its power output as demand for electricity fluctuates throughout the day and typically falls between baseload and peaking power plants in efficiency, speed of startup and shutdown, construction cost, cost of electricity, and capacity factor. Non-Spinning Reserve is similar to spinning reserve, except that response does not need to begin immediately. Full response is still required within 10 minutes, however. Organic Rankine Cycle (ORC) is named for its use of an organic, high-molecular mass fluid with a liquid- vapor phase change, or boiling point, which occurs at a lower temperature than the water-steam phase change. The fluid allows Rankine cycle heat recovery from lower temperature sources such as biomass combustion, industrial waste heat, geothermal heat, solar ponds, etc. Power Purchase Agreement (PPA) is a contract between two parties, one who generates electricity (the seller) and one who is looking to purchase electricity (the buyer). The PPA defines all of the commercial terms for the sale of electricity between the buyer and the seller, including when the project will begin commercial operation, the schedule for delivery of electricity, penalties for under delivery, payment terms, and termination of the agreement. The PPA is the principal agreement that defines the revenue and credit quality of a generating project and is thus a key instrument used in project finance. There are many forms of PPAs in use today and they vary according to the needs of buyer, seller, and financing counterparties Peaking power plants, also known as “peakers,” are power plants that generally run only when there is a high demand for electricity, often referred to as peak demand. Although these plants supply only occasional power, the power supplied commands a much higher price per kilowatt hour than a plant supplying baseload power. Ramp Rate is essentially the speed at which a generator can increase (ramp up) or decrease (ramp down) generation. Generating units have different characteristics making some more suited to supplying certain needed functions. Regulation is the time frame during which generation (and potentially load) automatically responds to minute-by-minute deviations in a supply-demand balance. Typically, signals are sent by an automatic generation control (AGC) system to one or more generators to increase or decrease output to match the change in load. The frequency regulation control portion of the AGC system is typically called the load frequency control (LFC). Changes in load during the regulation time are typically not predicted or scheduled in advance and must be followed by generation reserve capacity that is online and grid- synchronized. 6PDF Image | Values of Geothermal Energy October 2013
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