King Island Renewable Energy Integration Project. Isolated Power System Connect 2015 Simon Gamble Manager Hybrid Off-Grid Solutions

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King Island Renewable Energy Integration Project Isolated Power System Connect 2015 Simon Gamble Manager Hybrid Off-Grid Solutions

Hydro Tasmania Hybrid off-grid power systems capability Government Business owned by State of Tasmania Australia s largest clean energy producer Responsible for generation, distribution and retail in the Bass Strait islands Developer, owner and operator of leading hybrid offgrid system on King Island our test bed. Leading consultant to aid agencies and utilities, including: Yap, Pitcairn, Chatham Islands, Cook Islands, Rottnest Island, Coober Pedy

King Island location Source: Google Earth

King Island hybrid power system Development path for renewable energy Population approx. 1,600 2.5MW load 6MW diesel generation 450km of 11kV Expensive system - diesel fuel is 80% of cost - incentive to use RE Adding RE is an integration challenge RE displaces diesel generation High RE requires enabling systems communication; control; services Requires holistic approach planning; phasing development Diesel fuel cost dominates

1998 First Wind Farm Low renewable energy penetration 750kW wind Low hanging fruit Deliberately limited RE installed No impact to operations Simplified Solar PV example 15% reduction in diesel

2004 Wind Farm Expansion Medium renewable energy penetration 2.45MW wind (1.2MW min load) RE controlled (limited) protect diesels Some RE is wasted (curtailed) At this point you need enablers: - 1 st enabler - automated control Simplified Solar PV example 30% annual reduction in diesel Note minimum diesel operation Diesel still regulating

2008 Dynamic resistor (2 nd enabler) Enhanced medium renewable energy penetration Enabling technology Dynamic Resistor (Load bank) elements 35% annual reduction in diesel Resistive elements artificially increase the load: convert excess to heat Load balance is maintained (dynamically by resistors) not diesel generators More RE is utilised more diesel savings Counterintuitive : taking spilled energy & converting to a useful service

Dynamic resistor operation Grey areas show dynamic resistor controlling system frequency using excess RE. Note reduction in diesel generation variability at these times driving diesel savings.

2012 Diesel UPS (3 rd enabler) Ability to operate at 100% RE penetration The need to always operate diesel generation has been a key barrier to renewables o Next logical challenge to switch off King Island flywheel supports system without diesel generation Consumes spilled renewables to operate An instant start diesel generator to provide firm capacity Inertia, Voltage regulation, Fault current To achieve 100% RE penetration systems require: Surplus RE generation Full automation high speed communication and control Enabling systems that replace all services provided by diesels

D-UPS catches system when diesel fails (as example)

2014 - Energy Storage (4 th enabler) An enabling technology option for high RE penetration Absorb excess RE (increase the load) Recover excess RE (power injected) Provide a range of services King Island battery primarily for : o o Reserves to support 100% RE operation Frequency control Australia s largest battery 3MW / 1.5MWh King Island

2014 - Demand management Further optimise RE utilisation by altering demand to match available RE generation (another option) Aggregates controllable customer load to help balance demand / supply during high RE contribution Fast load shedding, smart EV charging, smart solar PV switching Monitoring customer load and providing data to customers via smart phone app.

2015 - King Island system Proven, robust, reliable MW class hybrid system Result of planned, coordinated activity > $24m in diesel savings (>$2m per annum) > 1,300 hrs of diesel off operation 65% diesel savings now possible Good return on investment Cost of power reduced Winner 2013 innovation award

2015 King Island system operation Extended diesel off operation Combined performance of enabling systems

King Island app & web site: real time data www.kireip.com.au

Lessons from King Island (1) Renewable energy technologies can economically reduce the cost of off-grid energy supply by significantly reducing the consumption of diesel fuel o o Renewable energy integration is the key to increased utilisation Start with increasing instantaneous penetration whilst maintaining stability System wide planning is critical develop a roadmap, conduct system modelling Technology continues to mature and costs reduce o o Economics drives optimum RE contribution level (not technical capability) King Island demonstrates a range of solutions from low to very high RE Significant cost benefits are possible through standardisation Understand your business case: What items drive return? e.g. RE vs storage 16

Lessons from King Island (2) Off-Grid Projects: Significantly more costly than on-grid : 200-300% (consider in cost estimates) Easier to control cost than time logistical challenges (allow significant float) Project Planning and Design: Involve site staff integrate operational factors Test designs prior to rollout dynamic studies / HIL / parallel operation Specification know exactly what you want Implementation: Construction : manage contractors closely near enough isn t good enough 17

Lessons from King Island (3) Operations: Must be simple and robust - e.g. DUPS no more complex than a diesel engine Must default to fail safe operation with any system outage Documentation and training are critical site capability will impact returns Suppliers: Conduct due diligence proven practical performance essential Experience in the specific application is critical off-grid is different Community: critical to success Early and ongoing engagement multiple channels don t assume > engage Get them involved in project consultative committee 18

Thank you Further information: Hybrid Off-Grid Solutions Simon Gamble simon.gamble@hydro.com.au www.kireip.com.au KIREIP iphone app