Burns & McDonnell

Firming Capacity in a Changing Energy Landscape

Written by Sara O'Dell | July 18, 2024

With coal plants retiring, the intermittent availability of renewable solar and wind energy, and data centers and artificial intelligence capabilities expanding, it’s clear that the U.S. is in need of reliable energy sources. Utilities face the complex challenge of firming capacity to continue to provide consistent services. 

Dispatchable, reliable power is crucial, but several obstacles complicate the issue, including the limited availability for procurement of gas turbines and gas engine-driven compressors; limitations of regional gas capacity; unpredictability of weather that can affect the availability of renewable energy sources, and the lengths of permitting processes. Understanding where greater energy capability is needed and what solutions might be available is the first step. There are a variety of options available to help firm capacity.

Compressor Stations

Compressor stations are facilities located along natural gas pipelines that compress the gas to maintain pressure and provide for continuous gas flow at the required delivery points. Increasing the number of compressor stations, or upgrading existing ones, can enhance the capacity and reliability of a natural gas network system. This is particularly useful in regions where the gas supply might be constrained.

While new compressor stations and pipelines face many regulatory hurdles, such stations offer a reliable solution to improve natural gas delivery. The increased capacity that comes with using compressor stations can help meet rising power demands without the need for entirely new pipelines.

Dual Fuel

Dual fuel systems allow power plants to switch between natural gas and an alternative fuel, typically diesel or oil. This flexibility can be invaluable during times of gas supply constraints or price spikes. A dual fuel system provides an immediate backup fuel source, allowing for continuous power generation.

Such systems enhance reliability and operational flexibility, reduce the risk of power outages and enable effective management of fuel costs. The systems may also require additional storage and handling facilities for the secondary fuel, which can drive up costs related to implementing the solution.

LNG Peak Shavers

LNG peak shavers are facilities that store liquefied natural gas (LNG) and can quickly vaporize and inject it into a natural gas pipeline during peak demand periods. These facilities produce LNG during periods of low natural gas demand, such as the summer months, allowing utilities to manage the cost of gas and power for customers. LNG peak shavers provide a buffer during periods of high demand, keeping the gas supply steady even when demand spikes unexpectedly.

The benefits that LNG can provide with a continuous gas supply during peak periods and enhanced system stability are hard to ignore. LNG can be stored and vaporized in a stand-alone facility, either connected to a pipeline or directly feeding an existing power generation station. If stored and vaporized in a stand-alone facility, the LNG is delivered via trucks rather than produced on-site.

Hydrogen

Hydrogen can be used as a fuel for power generation, either blended with natural gas or used in dedicated hydrogen turbines. Hydrogen is often a clean energy source that can significantly reduce greenhouse gas emissions. Hydrogen also can come from various sources, including renewable solutions, providing a versatile and sustainable option.

Hydrogen currently has high production costs and requires significant infrastructure development before operations can begin. However, the solution offers the hope for greater energy security through the diversification of fuel sources and the possibility of long-term energy sustainability.

Meeting the Demand

Firming generation  in the face of changing power demands and shifting energy landscapes requires innovative solutions and strategic planning. Compressor stations, dual fuel systems, LNG peak shavers and hydrogen each offer unique benefits and challenges. By carefully considering these options, utilities can enhance stability and reliability while meeting the growing energy needs of the future.

 

Serving as an efficient and clean energy source, natural gas provides a potential solution to meet load growth and maintain grid stability. Discover how natural gas is playing a significant role as the energy transition continues to advance.