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8.0 Discussion As the U.S. policy and industrial communities grapple with movement both domestically and abroad toward energy portfolios that include larger proportions of renewables and other low-carbon power generation technologies, there is a growing need to address the intermittency of some of these technologies. Wind and solar power, in particular, have seen expanded deployment in many parts of the country. However, the uncertainty inherent in both production technologies require supporting technologies to ensure grid stability. Highly flexible, rapidly dispatchable generating units are currently used to fill this gap, but in some areas, the cushion of increasing and decreasing reserves available to balancing authorities may be increasingly inadequate as additional wind and solar deploy to the grid. Also, balancing needs are typically served by peaking natural gas plants, which carry a high CO2 emissions burden, relative to baseload gas plants. As the U.S. and global economies move toward policies that incentivize decreased CO2 emissions, via the use of cost-based mechanisms such as carbon markets or emissions taxes, the price of power will rise, in part, as a function of the carbon price associated with each individual generation technology. Rising CO2 prices and/or subsidies associated with low-emissions or renewable electric generation will help to shift the generation mix toward lower-emitting technologies. However, as this happens, the intermittency issue will become increasingly important. Indeed, the Federal Energy Regulatory Commission (FERC) has worked to address regulatory barriers to implementation and provision of energy storage and other ancillary services (FERC 2011; 2013). Of the many technologies available for energy storage, only a few are available to address grid-scale storage needs. Of these, CAES and pumped hydroelectric storage are among the most oft-discussed. While CAES offers significant potential, its deployment has been limited by the need for a salt cavern to hold compressed air. In previous work to address energy storage needs in the Pacific Northwest (McGrail et al., 2013) and in Texas (McGrail et al., 2015), the authors have examined the potential for porous geologic media – basalts and sandstones, respectively – to serve as storage reservoirs for compressed air, obviating the need for a salt cavern and potentially making CAES accessible in a wider geographic area. In both studies, CAES has been evaluated using a geothermal energy component to provide cooling, air preheating prior to turboexpansion, or both. While the geothermal aspect of the concept appeared technically and economically feasible in both studies, the difficulty associated with finding a location that possessed both high quality geothermal resources and suitable reservoir geology for the air storage portion of the project posed significant challenges to the broad applicability of the concept. In this study, the authors have attempted to address this challenge by evaluating the use of existing wellfield infrastructure—wells and existing casing strings—to serve as storage containers for compressed air, in lieu of a geologic reservoir. This is appealing for a number of reasons, but particularly for the potential it holds to leverage existing capital and field data for energy storage while also limiting the pressure effects associated with injection of compressed air into geologic reservoirs. In conjunction with an existing or new geothermal generation project, this technological approach could offer a zero-emissions, grid-scale energy storage capability which would leverage one form of renewable energy to facilitate the integration of others. Aside from the “green” appeal of such an approach, it would also assume less overall project risk associated with carbon price volatility, and could qualify for credits or subsidies. Also, as noted earlier, FERC and many states, including California, are recognizing the importance of balancing and ancillary services, and are working to make these projects easier to implement. With capital costs well below those for pumped hydro, and without the financial liabilities associated with future carbon emissions that would be borne by conventional CAES plants (i.e., coupled with gas-fired generation), the well-based, geothermally-coupled CAES concept evaluated here appears to be competitive, particularly in 30PDF Image | Geothermally Well Based Compressed Air Energy Storage
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