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NRG Microgrid Case Study
November 10, 2014
Creating a more sustainable future
32 NRG Energy, Inc. Confidential
Wind Repowering Solar Electric vehicle charging
We are at the forefront of changing the way people think about and use energy
Our innovative spirit – fueled by advances in renewables, on-site generation, smart energy technology and the exploration of carbon capture – is why we are poised to be the premier energy company of the future.
NRG by the numbers
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55K megawatts generated
Global, diverse energy
NRG Energy, Inc.
Largest independent power producer in U.S.
$3 billion+ Invested on environmental improvements
Fortune 250 - and –
S&P 500 Index
One partner – delivering a full suite of energy solutions
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Smart energy solutions
Fuel Cells Electric vehicle charging
Combined heat & power systems
Retail electric providers
Backup generation
Micro-grid solutions
Energy Services
District Energy Systems
Demand Response
Repowering
Diverse generation resources
Distributed wind
Distributed solar
NRG dGen, distributed generation
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Combined Heat & Power
District Heating and Cooling
Reliability Solutions
Offered by the NRG dGen family of businesses
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Why microgrids?
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Ground PV solar array Electric vehicle infrastructure
Utility-scale energy storage
Rooftop solar
Microturbine
Energy storage
Home energy system
Switches & power
electronics
Distributed Generation
Wind turbines
Backup generation
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Increased reliability Reduced environmental footprint Energy cost savings Increased energy security
BENEFITS
Critical care – around the clock
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Princeton Hospital, NJ
Our investment allowed Princeton Hospital to focus capital dollars on buildings vs. central plant.
This state-of-the-art microgrid system increases reliability, reduces emissions, and cuts energy costs.
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NRG micro-grid solution for Princeton Hospital
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CHP
Solar
Chillers
Thermal Storage
Backup generation
Grid
Princeton Hospital
4.6MW natural gas plant supplies 100% of heating & cooling needs and most of the electrical needs
With the grid down, the 3 back-up generators can support the hospitals essential power needs
Can draw power from or export to the PJM power grid
200kW Solar Array provides electricity and shaded parking
1.2 M gallon chilled water storage for cooling the hospital
Three 1,000-ton electric chillers and one 700-ton absorption chiller provide chilled water
Enterprise Energy Management
eVgo
Two 30 amp electric vehicle charging stations
Optimizing the system
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Dol
lars
per
MW
h TES tons of Inst kW
PJM price Chillers charge tons Site power
Princeton Hospital microgrid benefits
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• Enhanced reliability and 100% redundancy for power needs
• Optimizes feeder usage for energy cost savings during normal operation
• Efficiency of about 70 to 73% versus 30 to 35% from a traditional power plant
• Islands from the grid and serves critical loads during grid outages
• Lower total costs by using a packaged approach to energy
• Sells extra capacity into PJM market
• Eliminates 18.1 million lbs. of carbon emissions annually
• Optimal energy efficiency – CHP enhanced with “smart” appliances and meters
Operating benefits
Financial benefits
Environmental benefits
Cost Categories
Annual Expense*
Commodity^ -50%
Operation, maintenance +25%
Capital recovery - 5%
Annual weighted avg -30%
* First full year economic performance ^ Electricity, fuel, steam, chilled water
Princeton Hospital microgrid development
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Unique opportunity to build a hospital from the ground up
Outsourcing the energy plant freed up capital and allowed Princeton Hospital to invest in what it knows best: delivering exceptional health care
A long-term energy services agreement established that NRG would provide electric and thermal energy to the hospital through a collateralized investment
By integrating engineering, construction and startup, NRG was able to meet the project’s schedule and budget
7 year project from conception to completion
NRG was responsible for designing, building, and financing the project. Today, NRG owns the energy assets and operates and maintains them.
Innovative model for securing financial support
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Alternative Funding
Significant grant from the local utility provided funding directly to PHCS for energy efficiency upgrades
$1.9M Clean Energy Solutions American Recovery and Reinvestment Act Combined Heat and Power Program grant
$3M Clean Energy Solutions Capital Investment (CESCI) Fund no-interest direct loan
$2M CESCI grant from the New Jersey Economic Development Authority (NJEDA)
1 Energy Services Agreement (ESA) A financing solutions that allows building owners to implement energy infrastructure projects without any upfront capital expenditures.
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Q & A
NRG microgrid solutions
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NRG dGen can replicate this innovative model for securing financial support, constructing, and
operating campus energy systems in similar projects throughout the country
Nisha Desai Vice President, NRG Distributed Generation 713-537-3234 [email protected]
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