policy forum series: smith - natural gas as fuel for electric generation in the midwest
TRANSCRIPT
Natural Gas as a Fuel for Electric Generation in the
Midwest: The Regional Context
Policy Forum Series: Natural Gas and Minnesota’s Energy Future
September 21, 2012
2
MISO Reliability Coordination Area, June 2012
Coal48%
Gas/Oil32%
Nuclear6%
Renewables14%
MISO Overview
Energy Production Mix
3
77% 78%74%
65%
14% 14% 14% 13%
3% 3% 6%
12%
3% 3% 5%7%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
2009 2010 2011 2012
Contrib
ution to Total Ene
rgy Served
Year
January through July Energy Contribution by Fuel Source
Coal Nuclear Gas Wind
Queue Makeup Reflects Shifting Energy Policies
4
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Wood
Wind
Waste Heat Recovery
Steam
Solar
Nuclear
Landfill Gas
Hydro
Gas
Diesel
Combined Cycle
Co-‐Gen
Coal
Biomass & Natural Gas
Biomass
Generation Interconnection Queue
MISO’s September survey still indicates many EPA compliance decisions have yet to be made
• Vacated by District Court • Minimal impact on MISO coal
retirements • Uncertainties remain • Most retrofits focused on Dry
Sorbent Injection (DSI) and Activated Carbon Injection (ACI)
• Less capital • Less outage • Higher production costs
Cross State Air Pollution Rule
Mercury and Air Toxins Standard
Sept Survey Results* 66 19 47 35 5 7 June Survey Results 66 19 47 35 4 8 March Survey Results 66 18 48 31 5 12 MISO Study (10/2012) 66 9 57 44 13 -
GWs Impacted
Coal Resources Affected – 3rd Quarter Survey Capacity, GW
Total Affected
Uneconomic / Replace
No Action
Required
Total Coal
Control Required
TBD / No Response
47 35
5 7
66 19
295 Units
242 Units
74 Units
98 Units
70 Units
53 Units
6 *Sept survey results does not represent all expected respondents. June results used where needed.
Overview of MISO region major pipelines
7