C M Y CM MY CY CMY K Distributed Generation The Power Paradigm for the New Millennium Ann-Marie Borbely Jan F. Kreider CRC Press Boca Raton London New York Washington, D.C. Library of Congress Cataloging-in-Publication Data Distributed generation: the power paradigm for the new millennium / edited by Anne-Marie Borbely and Jan F. Krieder. p. cm. Includes bibliographical references and index. ISBN 0-8493-0074-6 1. Power resources. 2. Energy development. 3. Environmental protection. 4. Distributed generation of electric power. I. Borbely, Anne-Marie. II. Kreider, Jan F., 1942- TJ163.2 .D56 2001 333.79—dc21 2001025250 This book contains information obtained from authentic and highly regarded sources. Reprinted material is quoted with permission, and sources are indicated. A wide variety of references are listed. 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Visit the CRC Press Web site at www.crcpress.com © 2001 by CRC Press LLC No claim to original U.S. Government works International Standard Book Number 0-8493-0074-6 Library of Congress Card Number 2001025250 Printed in the United States of America 1 2 3 4 5 6 7 8 9 0 Printed on acid-free paper Preface Behind the public eye a quiet revolution is taking place, one that will perma- nently alter our relationship with energy — the building block of our indus- trial, digital society. Most people today have heard about deregulation of the electric utility industry. A smaller but significant portion of people have joined the stock-buying frenzy surrounding fuel cell developers and other darlings of the energy IPO world. But there’s much more at stake here, and this book is a first step in understanding the myriad issues facing both home- owners and businesses. Distributed generation is not a new concept. Originally, all energy was produced and consumed at or near the process that required it. A fireplace, wood stove, and candle are all forms of “distributed” — small scale, demand-sited — energy. So is a pocket watch, alarm clock, or car battery. The key to today’s energy revolution, however, involves turning the resource clock backwards (from large power plants hundreds or thousands of miles away to a “heat engine” in the building) by riding the rapidly accelerating technology wave forward. For that reason, this book describes not only the technologies being devel- oped today — fuel cells, microturbines, Stirling engines, photovoltaics — but also the communications and control systems that will populate the new energy landscape. The new energy world has as many questions attendant upon its birth as answers. What regulatory issues are at stake? What are the financial and economic implications? How do the installation and operation affect the building owner? What fuels can be used, and what does this all mean for the existing electric distribution system? All these questions are addressed here as well. And, finally, the profound resource and air-quality implications of combined heat and power, an old idea also given new life by a suite of technical advances, are discussed. The editors invited the developers to represent their respective technolo- gies, with regulatory personnel, research scientists, economists, and financial advisors all providing their unique perspectives. The final product is intended to give the engineer or energy business developer a broad under- standing of the distributed generation world as it is emerging today. The editors wish to thank several individuals, in addition to the expert chapter authors, whose contributions were critical to this book. Christian Yoder contributed to the financial sections, sharing his experience with elec- tricity and gas trading. Craig Moorhead shared his wisdom on the future of natural gas markets. Lois Arena and Peter Curtiss undertook critical readings of the final manuscript. William Reinert first stimulated the interest of both editors in the new energy paradigm for the 21st century. ©2001 CRC Press LLC Editors Anne-Marie Borbely is a technology policy and planning manager with the Pacific Northwest National Laboratory in Richland, Washington. Ms. Bor- bely works with both private industry and the public sector to develop the distributed generation industry in the United States. Clients include manu- facturers and electric or gas utilities, who contract for market analysis, distri- bution channel development, sales/customer support, and systems integration. Her 10 years of publishing and editorial experience include over 60 popular and industry articles published in English, Hungarian, and Romanian, as well as editorship of nine popular and technical texts. Ms. Bor- bely frequently lectures on distributed generation at industry conferences and popular forums. Jan F. Kreider, Ph.D., P.E. is professor of engineering and founding director of the University of Colorado’s (CU) Joint Center for Energy Management. He is cofounder of the Building Systems Program at CU and has written seven textbooks on alternative energy, two books on building systems and other energy related topics, and more than 175 technical papers. He is presi- dent of Kreider and Associates, LLC, an energy consulting company. For 10 years he was a technical editor of the ASME Transactions Journal of Solar Energy Engineering. During the past decade, Dr. Kreider has directed more than $5,000,000 in energy related research and development. His work on energy systems for buildings, building performance monitoring, building diagnostics, and renewable energy research is known all over the world. Among his major accomplishments are the first applications of neural networks to building control, energy management, and systems identification, as well as the devel- opment of applied artificial intelligence approaches for building design and operation. He has assisted governments and universities worldwide in estab- lishing renewable energy and energy efficiency programs since the 1970s. In 1980 Dr. Kreider and his colleagues connected the first wind-powered dis- tributed generation system to the grid of the Public Service Company of Col- orado. He has designed numerous systems since then. He is a Fellow of the American Society of Mechanical Engineers, a registered professional engi- neer, and a member of several honorary and professional societies. Dr. Kre- ider received ASHRAE’s E. K. Campbell Award of Merit, CU’s Outstanding Researcher Award (College of Engineering, Boulder), and the Distinguished Engineering Alumnus Award, CU’s highest honor. ©2001 CRC Press LLC Dr. Kreider earned his B.S. degree (magna cum laude) from Case Institute of Technology, and his M.S. and Ph.D. degrees in engineering from the Uni- versity of Colorado. He was employed by General Motors for several years, where he was involved in the design and testing of automotive heating and air conditioning systems. ©2001 CRC Press LLC Contributors Anne-Marie Borbely Pacific Northwest National Laboratory, Richland, Washington Richard Brent Solar Turbines Incorporated, Washington, D.C. Jacob Brouwer University of California, National Fuel Cell Research Center, Irvine, California Sunil Cherian Sixth Dimension, Inc., Fort Collins, Colorado Peter S. Curtiss Kreider and Associates, LLC, Boulder, Colorado Jeffrey Dagle Pacific Northwest National Laboratory, Richland, Washington Paul Dailey Stirling Technology, Inc., Kennewick, Washington James Daley ASCO Power Technologies, Florham Park, New Jersey Peter Fusaro Global-Change Associates, Inc., New York, NY Michael Godec ICF Consulting Group, Inc., Fairfax, Virginia Yogi Goswami University of Florida, Department of Mechanical Engineering, Gainesville, Florida Bruce Hedman Onsite Energy Corporation, Washington, D.C. Tina Kaarsberg U.S. Department of Energy, Washington, D.C. Jan F. Kreider Kreider and Associates, LLC, Boulder, Colorado Ken Nichols Barber-Nichols, Inc., Arvada, Colorado Ari Rabl Ecole des Mines, Paris, France Colin Rodgers San Diego, California ©2001 CRC Press LLC Branch Russell Syntroleum Corporation, Tulsa, Oklahoma Lawrence Schienbein Pacific Northwest National Laboratory, Richland, Washington David Shearer AVES, Sausalito, California Don Stevens Battelle Northwest Laboratory, Richland, Washington Dan Thoren Barber-Nichols, Inc., Arvada, Colorado James Watts Ingersoll Rand Energy Systems, Portsmouth, New Hampshire Herb Whitall EGSA Headquarters, Boca Raton, Florida Morey Wolfson National Renewable Energy Laboratory, Golden, Colorado Eric Wong Caterpillar, Inc., Sacramento, California ©2001 CRC Press LLC Contents Preface 1. Distributed Generation: An Introduction Anne-Marie Borbely and Jan F. Kreider 2. Combustion Engine Generator Sets Eric Wong, Herb Whitall, and Paul Dailey 3. Combustion Turbines Richard Brent 4. Photovoltaic Systems Yogi Goswami and Jan F. Kreider 5. Microturbines Colin Rodgers, James Watts, Dan Thoren, Ken Nichols, and Richard Brent 6. Fuel Cells Jacob Brouwer 7. Principles of Control of Distributed Generation Systems Peter S. Curtiss 8. Economic and Financial Aspects of Distributed Generation Ari Rabl and Peter Fusaro 9. The Regulatory Environment Morey Wolfson 10. Combined Heat and Power (CHP) Bruce Hedman and Tina Kaarsberg 11. Electric Power Distribution Systems Lawrence A. Schienbein and Jeffrey E. Dagle 12. Installation and Interconnection James M. Daley and Anne-Marie Borbely ©2001 CRC Press LLC 13. Fuels Branch Russell, Don Stevens, and Michael Godec Nomenclature ©2001 CRC Press LLC This book is dedicated to Billy, who had the vision.
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