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100-MWe solar photovoltaic facility would generate electricity for fewer than 16,300 households (less than 200,000 megawatt-hours-electric [MWhe]), whereas a wind energy project of the same capacity could generate electricity for around 37,000 households (about 400,000 MWhe). By comparison, a geothermal power plant with the same nameplate capacity would produce enough electricity to power more than 74,000 households (about 800,000 MWhe) (Cole et al. 2016).40 2.3.3.2 Grid Reliability and Flexibility Changes in the U.S. energy-generation mix and energy demands are altering how the electric grid operates. Utilities and system operators increasingly require generation sources that can balance changes in load and generation that occur throughout the day and across the seasons and ensure continued operation to meet the country’s energy needs. An example of some of the challenges presented by this changing energy mix has been documented in California (Text Box 2-3). Geothermal power plants can provide essential grid services and operate in a load-following mode, thus helping to support reliability and flexibility in the U.S. grid and ultimately facilitate a diverse, secure energy mix. A 2017 study by Orenstein and Thomsen illustrates that the economic value of geothermal power remains relatively constant as its deployment increases, as compared to variable-generation sources. Orenstein and Thomsen assessed data from California and found that geothermal generation is worth $32/MWhe more than generation from solar photovoltaics on a combined energy and capacity basis. When considering the ancillary services and operational flexibility that geothermal can provide, the study finds that combined values can be more than $40/MWhe higher than solar photovoltaics. A geothermal plant will generate 2-4 times as much electricity as a wind or solar plant of the same capacity due to its high capacity factor (CF) Solar PV 20% CF Wind 45% CF Geothermal >90% CF 1 house = 10,000 U.S. Residential Customers (EIA, 2016) 200,000 400,000 600,000 800,000 1,000,000 MWh 0 Figure 2-14. Capacity factors for geothermal, wind, and solar photovoltaic indicating annual generation (MWhe) from equivalent 100-MWe nameplate-capacity power plants Source: EIA 2016b, Cole et al. 2016 40 Capacity factors for geothermal, wind, and solar were each selected as mid-level capacity factors from each of the technologies to be analytically agnostic and consistent, as detailed in the 2016 Annual Technology Baseline (Cole et al. 2016). For wind technologies, an average capacity factor of 45% from the middle technology resource group (TRG 5) was selected. For solar photovoltaic technologies, the mid-range capacity factor of 20% was selected, equivalent to a system in Kansas City. The geothermal capacity factor was selected for geothermal flash plants. Chapter 2 | What is Geothermal Energy? 31 Mosses thriving on ground altered by geothermal hot spring and fumarolic activity. Photo credit: Greg Rhodes Chapter 2 Generation with 100% Capacity FactorPDF Image | What is Geothermal Energy
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