100 likes | 244 Views
Impact of Power Generation on Gas Transmission Infrastructure in the Northeast. Richard J. Kruse Senior Vice President Industry Initiatives, Pricing & Regulatory Affairs Duke Energy Gas Transmission. October 17, 2002. Operational Reliability Impact of Power Generation.
E N D
Impact of Power Generation on Gas Transmission Infrastructure in the Northeast Richard J. Kruse Senior Vice President Industry Initiatives, Pricing & Regulatory Affairs Duke Energy Gas Transmission October 17, 2002
Operational ReliabilityImpact of Power Generation • Power Generation demand characteristics • Large incremental loads • Load profile • Driven by weather and economics • Large hourly and daily variations • Require higher pressures • New efficient plants run more often than older peaking plants
Operational ReliabilityImpact of Power Generation • Power Generation capacity requirements • More often than not utilizes otherwise unfilled capacity • Not required to run (not supplier of last resort) • Mix of gas supply services (firm, release capacity, interruptible, etc.) determined by economics and reliability • Often use in-house trading and marketing firms to contract for supply
Operational ReliabilityImpact of Power Generation • Costs Implications for Pipelines • Fuel • Higher demand levels require more fuel but fuel rate impact may be positive or negative • Maintenance • Compressors required to run more hours per year • Engines/turbines not designed to operate in summer ambient temperatures • Maintenance window reduced significantly
Operational ReliabilityImpact of Power Generation • Power Generation benefits • Control • Demand level has a known limit and tends to step up in increments to that level • Communication from plant operator generally more precise about expected operation • Single point that can be controlled through pipeline control valve or by plant operator • New capacity • Facilities required for firm incremental capacity adds to the capability and flexibility of the pipeline system
Operational ReliabilityPower Generation Attachments Maritimes Algonquin Power Plants Connected through 2004 East Tennessee Texas Eastern Attached Megawatts (MW) 27,586 Total Max Load (MDth/d) 6,308 Total Contracted (MDth/d) Mainline Transportation 996
Impact of Changing FERC Policies • Firm Hourly Services • Order 637 • AGA Study “Impact of Power Generation Gas Demand on Local Distribution Companies” • October 25, 2002 FERC Conference Docket PL02-9-000