Hydropower Impacts on Electrical System Production Costs in the Southwest United States
The Colorado River is an important natural resource for the Southwestern United States. Predicted climate change impacts include increased temperature, decreased rainfall and increased probability of drought in this region. Given the large amount of hydropower on the Colorado River and its importanc...
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Published in | Energies (Basel) Vol. 11; no. 2; p. 368 |
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Main Authors | , |
Format | Journal Article |
Language | English |
Published |
Basel
MDPI AG
01.02.2018
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Abstract | The Colorado River is an important natural resource for the Southwestern United States. Predicted climate change impacts include increased temperature, decreased rainfall and increased probability of drought in this region. Given the large amount of hydropower on the Colorado River and its importance to the bulk electricity system, this purpose of this study was to quantify the value hydropower in operating the electrical system, and examined changes in hydropower value and electricity costs under different possible future drought conditions and regional generation scenarios. The goal was to better understand how these scenarios affect operating costs of the bulk electrical system, as well as the value of the hydropower produced, and proposed a method for doing so. The calculated value of the hydroelectric power was nearly double the mean locational marginal price in the study area, about $73 to $75 for most scenarios, demonstrating a high value of the hydropower. In general, it was found that reduced water availability increased operating costs, and increased the value of the hydropower. A calculated value factor showed that when less hydroelectric power is available, the hydropower is more valuable. Furthermore, the value factor showed that the value of hydro increases with the addition of solar or the retirement of thermal generating resources. |
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AbstractList | The Colorado River is an important natural resource for the Southwestern United States. Predicted climate change impacts include increased temperature, decreased rainfall and increased probability of drought in this region. Given the large amount of hydropower on the Colorado River and its importance to the bulk electricity system, this purpose of this study was to quantify the value hydropower in operating the electrical system, and examined changes in hydropower value and electricity costs under different possible future drought conditions and regional generation scenarios. The goal was to better understand how these scenarios affect operating costs of the bulk electrical system, as well as the value of the hydropower produced, and proposed a method for doing so. The calculated value of the hydroelectric power was nearly double the mean locational marginal price in the study area, about $73 to $75 for most scenarios, demonstrating a high value of the hydropower. In general, it was found that reduced water availability increased operating costs, and increased the value of the hydropower. A calculated value factor showed that when less hydroelectric power is available, the hydropower is more valuable. Furthermore, the value factor showed that the value of hydro increases with the addition of solar or the retirement of thermal generating resources. |
Author | Bain, Dominique Acker, Thomas |
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CitedBy_id | crossref_primary_10_1061_JOEEDU_EEENG_7505 crossref_primary_10_1029_2021EF002187 crossref_primary_10_1016_j_apenergy_2020_115467 crossref_primary_10_1016_j_heliyon_2020_e04626 crossref_primary_10_1093_ce_zkaa010 crossref_primary_10_3390_w14152320 crossref_primary_10_1061__ASCE_WR_1943_5452_0001531 crossref_primary_10_1016_j_envsoft_2020_104667 crossref_primary_10_3390_en17071723 crossref_primary_10_3390_en13040938 crossref_primary_10_1016_j_envsci_2018_11_027 crossref_primary_10_1016_j_renene_2021_12_024 crossref_primary_10_1016_j_energy_2021_122049 |
Cites_doi | 10.1007/s10584-009-9750-8 10.1016/j.apenergy.2016.07.039 10.1260/0309-524X.32.4.339 10.1016/j.apenergy.2016.09.054 10.1016/j.energy.2016.05.131 10.1016/j.energy.2014.07.017 10.1016/j.apenergy.2013.04.092 |
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SubjectTerms | bulk electric system Climate change Colorado River Drought Electricity Electricity pricing grid integration of solar and hydropower Hydroelectric power hydropower value Impact prediction Industrial engineering locational marginal prices Manufacturing engineering Natural resources Navajo Generating station Operating costs production cost modeling Production costs Rain Rainfall Retirement Rivers Southwestern United States Water availability |
Title | Hydropower Impacts on Electrical System Production Costs in the Southwest United States |
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