Presented by:

Barry Rederstorff, Staff Engineer

Engineering Services

APP Site Visit

October 30 – November 4, 2006

Coordinated Performance

Program&

Corporate Culture

Coordinated Performance

Program&

Corporate Culture

2

Efficiency

KEEP IT RUNNING!

What is your #1 Priority in the Power Plant?

Safety

Legal / Environmental Compliance

Capacity

3

What Determines Efficiency?

Design

Maintenance

Operation

4

AEP System vs US Average Fossil Heat Rate

8000

9000

10000

11000

12000

13000

14000

15000

16000

17000

1945

1947

1949

1951

1953

1955

1957

1959

1961

1963

1965

1967

1969

1971

1973

1975

1977

1979

1981

1983

1985

1987

1989

1991

1993

1995

1997

1999

2001

2003

2005

Hea

t Rat

e - B

tu/k

Wh

US Fossil

AEP Fossil

5

• Design–Cycle

–Equipment

–Cooling

–Emission Controls

What Determines Efficiency?

6

AEP Operated Coal-fired Units

• First & Largest Operator of Double Reheat Units (worldwide)

• 10 Active – 450 to 800 MW

• 2 Retired

• Largest Coal-fired Units – 6 x 1300 MW

• 20 supercritical units– All AEP fossil units built since 1963

were supercritical (does not include units acquired in C&SOE & CSW mergers.

Gavin Unit 1 – 1300MW

Cardinal Plant

7

AEP Efficiency AccomplishmentsU. S. Firsts

1924 First reheat generating unit -- Philo Plant

1941 First very high pressure (2,300 psi), natural-circulation generating unit -- Twin Branch Plant

1949 First high-pressure, high-temperature combination (2,000 psi & 1,050 F main steam & 1,000 F reheat) -- Twin Branch Plant

1950 First heat rate below 10,000 Btu/kwh -- Philip Sporn Plant

1957 First supercritical-pressure steam (4,500 psi) and super-high temperature steam (1,150 F) & double-reheat -- Philo Plant

1960 First Heat Rate below 9,000 Btu/kwh -- Clinch River Plant

1966 First control room simulator to train power plant operating personnel -- Cardinal Plant

1981 First application of sliding-pressure technique on supercritical-pressure generating units -- Gen. James M. Gavin Plant

8

• Maintenance –Inspection Interval

–Level of Refurbishment

–Availability for outages

What Determines Efficiency?

9

• Operation–Training

–Staffing

–Monitoring (availability of Data)

What Determines Efficiency?

10

What is Required

• Funding ($)

• Culture– Will – Dedication – Attitude

• Culture is a driving force– Can help offset lack of resources (both $ and

staff)– The wrong culture can impair the effectiveness

of adequate resources

11

CorporateCulture

12

•Corporate Culture

AccountabilityOrganization Corporate philosophy for Performance Communication Proactive programs

Efficiency Improvement for Existing Plants

13

•Corporate Culture

AccountabilityOrganization Corporate philosophy for Performance Communication Proactive programs

Efficiency Improvement for Existing Plants

Accountability

14

Accountability

• Who Does What?• What are the Incentives?

– Organizational

• Internal Competition

– Compensation

• Performance Based

– Pride

15

Organizational Accountability

Engineering, Projects& Field Service

Engineering ServicesRegion Engineering Plants

Fossil & Hydro Generation

Generation

16

•Corporate Culture

AccountabilityOrganization Corporate philosophy for Performance Communication Proactive programs

Efficiency Improvement for Existing Plants

Organization

17

Supporting Organization•Structure

– No Silos

– All Stakeholders Must be Organizationally Integrated

– Cross Organization Teams

•Generation Performance Team

•Goals Established for– Incentive Compensation

– Business Plan

– Management Overview

•Capabilities–Engineering Specialists–Experience–Thermal Performance Analysis

•Heat Balance Modeling (PEPSE)

18

•Corporate Culture

AccountabilityOrganization Corporate philosophy for Performance Communication Proactive programs

Efficiency Improvement for Existing Plants

Philosophy

19

Corporate Philosophy for Performance

“Best in Class”“L

eade

r”

IT MAKES A DIFFERENCE

“Innovator” “World Class”

20

•Corporate Culture

AccountabilityOrganization Corporate philosophy for Performance Communication Proactive programs

Efficiency Improvement for Existing Plants

Communication

21

Communication

• Information on heat rate performance is readily available:– Actual/Design/Baseline Information

• GADS (Generating Availability Data System• Heat Rate Deviation Report (HRDR)• Heat Balances• Thermal Performance Kits• On-line heat rate monitoring system - PI/OM

• Communicating/Sharing across System– Region Heat Rate Meetings– Generation Performance Team (GPT)

22

AEP GADS

GADS

ENERATING

VAILABILITY

ATA

YSTEM

•AEP GADS •Uses North America Electric Reliability Council Standard definitions•Data is reported to NERC•Additional data is added to generate custom internal reports

•AEP GADS •Uses North America Electric Reliability Council Standard definitions•Data is reported to NERC•Additional data is added to generate custom internal reports

EFOR

AVAILABILITY

SERVICE HOURS

OUTAGE CAUSES

HEAT RATECOSTS

CAPACITY FACTOR

GENERATION

FUEL CONSUMPTION

LOAD DISTRIBUTION

BASELINE HEAT RATE

HEAT RATE DEVIATION

23

AEP GADS Standard Reports

Consolidated Data• Operating Performance Data Summary

Event Data• Unit Descriptive Listing of Outages & Curtailments

• Continuous Operation Report • Unit Performance Hours

• Unit Performance Statistics • Cause Code Summary

Performance & Cost Data• Generating Plant Production Cost Data • Coal & Production Expense Summary

• Plant Performance & Fuel Consumption • Unit Performance & Fuel Consumption

• Heat Rate Statistics • HR Deviation by Series

• Unit Loading & Starts

24

•Corporate Culture

AccountabilityOrganization Corporate philosophy for Performance Communication Proactive programs

Efficiency Improvement for Existing Plants

Proactive Programs

25

Routine Heat RateImprovement Guidelines

1. Drain Valve Leakage

2. Steam Trap Leakage

3. Reheat Steam Attemperation

4 Sootblowing Schedules

5. On-line Monitoring of Operator Controllable Losses (PI/OM Screens)

6. Auxiliary Power

7. Condensers

8. Boiler Flue Gas Exit Losses

9. Steam Temperature Thermocouple Calibration or Replacement

10. Steam Temperature Controls Tuning

11. Feedwater Heater TTD and DCA

26

Infrared Thermography

Heat Rate Improvements

at Kanawha River Plant

Unit 1

27

Before 2004 GBIR

Managers used the vent stack to determine if the unit was on-line

Average 15,000 #/hr make up to the boiler

28

Find the Leaks

• Steam Cycle places to look– Problem valves

– High value valves

– Blow down tank

– Miscellanous Drain Tank

– Condenser Drip Leg

• Scans required about 24 hours total (field and reporting).

After 2004 GBIR, Average 6,000 #/hr make up to the boiler

29

Identify Benefits

• Make-up Water $ Savings

• Fuel $ Savings

• Reduced Maintenance $– Fewer Pulverizers needed

for Full Load

– Boiler less stressed

• Reduced Emissions $

• Culture – Increased Support for the

PdM program

– Morale Improvements

30

Drain Valve Leakage Penalty Estimator – Subcritical Unit

Additional Heat Input to Compensate fora 10,000 lb/h Steam Leak to CondenserTypical for a Subcritical Unit

0

2,000,000

4,000,000

6,000,000

8,000,000

10,000,000

12,000,000

050010001500200025003000

Full Load Pressure at Source of Leak - psia

Ad

dit

ion

al H

eat

Inp

ut

- B

tu /

h

100% Throttle Flow

75% Throttle Flow

50% Throttle Flow

40% Throttle Flow

a

31

On-Line Monitoring

Sample PI OM Screens

32

PI/OM Screens (Partial Listing)

• Heat Rate Controllable Cost – Main Steam Pressure Penalty– MS Temperature Penalty– RH Temperature Penalty– Attemperation Penalty– Excess Air Penalty– Auxiliary Power Penalty

• Turbine/Condenser Screen– Turbine Eff. & Penalty– Condenser Penalty– Waterbox Differentials– Condenser Air Leakage – Air Heater Schematic– Dry gas loss penalty– SCAH penalty

• Feedwater Heaters Screen– HP Heater TTD– HP Heater DCA– LP Heater TTD– LP Heater DCA

• Boiler Screen– Tube Temperature Data– Sootblower Optimization

• Environmental Screen– Opacity– NOx– SO2

• Business Summary Screen– Dispatch Accuracy– Heat Rate – Commercial Availability

• Miscellaneous– Water Loss Trends

33

8/27/02 10:29:04 AM622 MWG.IPW

Current Comm. Avail. per Hr ($)

Unaudited Total Shift P&L $$ $ $

Net Load (Mw)

Dispatch Cost

Current Hourly Market Price

Current Spark Spread

Actual Heat Rate (Btu/kWh)

Dispatch Load Mw (High/Low)

Mw Error

Shift Total Unaudited ICP Score Card

Target HR Dev. (Btu/Kwh)

Target Heat Rate (Btu/Kwh)

Fuel Efficiency per Hr ($)

Bad

Bad

Bad

-0.4110

10,362

191

10,553

Bad

$48

/Mw

$34

$84

/Mw

9,274

136

9,398

597.6101.492.3

/Mw

$136

$435

/Mw

$23.22 /Mw $23.22/Mw $23.22/Mw

/Mw

$23.22 /Mw

/Mw

$23.22 /Mw

/Mw/Mw

11,11811,184

66

$14

$28

10,290

11,032

747

$94

$276

/Mw

/Mw

Current Steady-State Accuracy ($)

Comm. Avail. Credited Load

Extended Load Credit

Fuel Efficiency Total

Dispatch Accuracy Total

Commercial Avail. Total

Unaudited P&L per Shift

Current CA Left on Table $/ Hr Lost

This information is considered proprietary and confidential in regards to system operation and should not be distributed.All information is unaudited. For audited information refer to tapis summary screens.

Ext. Load Avail. per Hr ($)

6100205190190

$13.94$17.98$18.35$18.59$18.78

$9.27$5.24$4.86$4.63$4.43

35

$698

$325

$-987$85$106$96

0 0 0 0

$0 $0 $0 $0

$0 $0 $0 $-1,074

Total CA Left on Table Lost

$0

$0 $0 $0 $-1,715 $0

$0

90

Current Ramp Rate Accuracy ($)

$0

90/ /100 100 /0 0 /600 600/110 110

$0

$0

$0

$0

$0

$0

$0

$0

$142 $189 $146 $-1,560 $1,584

Muskingum River

2

$0

1 -0 -0

$0 $0 $-8

$169 $464 $230 $-1,519

$-21

-3

$1,998

50

10

90

300

700

10

90

-1

1

0

16

Unit 5

Unit 4

Unit 3

Unit 2

-10

290

9000

10600

9000

10600

-10000

40000

Unit 1

-25000

16

80

230

80

230

80

230

80

230

-7

0

-1

1

10

70

10

70

-10

290

-140

0

-500

0

Dispatch Acc. Fuel Eff. Comm. Avail.

300

630

300

630

300

630

-140

60

-160

0

300

630

Dispatch Acc.

Units 1-5 Left on Table

80

230

80

230

80

230

80

230

-1

1

-1

1

Dispatch Acc. Fuel Eff.

-20

120

9000

10500

9000

10500

80

160

10

70

16

22

-20

120

-3000

0

-25000

0

Comm. Avail.

Dispatch Acc.

80

230

80

230

80

230

80

230

-100

100

-80

0

Fuel Eff.

100

220

9000

10500

20

50

9000

10500

Comm. Avail.

10

70

14

21

100

220

-1

1

-30

0

Dispatch Acc.

80

230

80

230

80

230

80

230

-40

50

-250

0

Fuel Eff.

-50

250

9500

11500

-15

25

8500

12500

Comm. Avail.

10

70

15

21

-50

250

-1200

0

-1800

0

Fuel Eff. Comm. Avail.

9000

9800

300

650

9300

10100

0

300

-20000

14000

Units 1-5 Comm. Avail.

Unit 1 Unit 2 Unit 3 Unit 4 Unit 5

Total NOx Projection $/shift

Current NOx Projection $/hr $847

$2,857 $-125

$-95 $224

$1,660

0

2

0

300

0

2

0

2

NOx Trend

0.5

1.5

0

300

0.5

1.5

0.5

1.5

NOx Trend

0

700

0

2

0

2

0

2

0

2

NOx Trend

0

25

0

25

0

25

0

25

0

25

0

250

Business Summary Screen

34

Heater PenaltyHigh

Adjust Levelto design set point

Done

CheckHeaterVenting

Done

DidDCAIncrease

Did TTDIncrease

DidDCAIncrease

Yes Yes

No No

Is thereHigh HtrLevel ?

Yes

No

Partion PlateMaybe Leaking

Write J.O. to check partion

plater

Done

Check for heatertube leaks & inc.drain flow

Write J.O. to check for tubeleaks. take htr out if necessary

Done

No

Yes

Check for low heater level

Adjust Level toset design set

point

Done

Heater Troubleshooting Guideline

Feedwater Heaters Help Screen

35

36

GPT Mission

• Develop an integrated performance monitoring program for the entire Fossil & Hydro Generation fleet in order to provide a disciplined approach to monitoring and tracking of performance to support the improvement of System Heat Rate

• Deliver a program that includes accountability, data collection, analysis, and retention, an educational program, and a reporting/ distribution/ communication system

37

Components of an Integrated Program

• Centralized Accountability and Coordination• Education Program• Monitoring System• Test Program• Data Evaluation and Test Trends• Maintenance of Records • Management and Engineering Reports• Audit for Quality and Compliance• Benchmark other Utilities

38

F&H MgtSponsor

F&H MgtSponsor

EngineeringServices

EngineeringServices

PlantsPlants

RegionEngineering

RegionEngineering

GenerationPerformance

Team

GenerationPerformance

Team

GPT Make-up

39

Team Organization

GenerationPerformance

Team

Region HRChampions

Plant HRChampions

40

Roles and Responsibilities

Generation Performance Team

Establish and coordinate the overall program

Engineering Services

Provide a system heat rate overview and Expertise

Region Engineering (Region Heat Rate

Champions)

Support Plant Heat Rate Champions and plants

Plant Heat Rate Champions

Support heat rate monitoring and improvement activities at their plant

41

Education Program

• Audience– Test/Analysis Personnel

– Equipment/System Engineers

– Operators

– Management

• Subject Matter– Modeling Software

– Test Instruments

– Test Procedures

– Test Analysis

– Power System Concepts

– Data Relevance

– Optimization

• Providers– Simulator Learning Center

– Generation Performance Team

– Engineering Services

T

42

Formal Testing Program• 1960s

– Extensive Program– Faded away by 1970s due to focus on capacity

• 1988– New Test Program Defined in response to Regulatory Interest– Backed by inclusion in the Incentive Compensation Plan

• 1990s– Scope Reduced to Mostly Voluntary due to Staffing and

Organization Issues Resulting from Restructuring for Competition

• 2005– Revised Voluntary Program to align with Instrumentation and

Data Collection Improvements

• Future– Full Automation of Collection & Calculation with Station

Instrumentation

43

Formal Testing

• Requirements– Corporate Guideline identifies tests and frequency

• Instructions for Performing Tests & Calculating Results– In-house developed Performance Test Manual

• Type of Instrumentation– Dedicated Test Instrumentation– Installed Plant Instrumentation– PI Data Collection System– Combination of the above

44

Components of an Integrated Program

• Data Evaluation and Test Trends– Automate to the extent possible

– Look at trends, do not just accumulate and file

• Management and Engineering Reports– Formatting Important

• Good Summary

• Graphs of trends

• Maintenance of Records– Retrievability

– Completeness

– For Tests, Design Basis, Computer Models, etc.

45

46

Heat Rate Deviation Report (HRDR)

The Heat Rate Deviation is the difference between the Actual Heat Rate and Baseline Heat Rate.

This tool is designed to breakdown the unit deviation into individual equipment and

operational components.

47

HRDR Benefits

– Replaces time consuming, manual to semi-automated data collection and calculations requiring a high level of expertise with limited availability of results to others outside of the plant

– Engineering or management tool, unlike real time displays that are more of an operations tool

– Provides consistent results across the system for easy unit to unit comparison

– Widespread data availability

48

HRDR Summary Screen

49

HRDR Summary Screen(Lower Portion)

50

HRDR Detail Screen

51

Questions?

52

Come Join Us

Performance Focus Session

53

Performance Focus Session

• Generation Performance Team– Charlie Powell– Kim Stalnaker– Dan Keck– Warren Ashton

• Engineering Services– Tom McCartney– Bill Reinhart– Bal Sood

• Barry Rederstorff, Engineering Services– Generation Performance Team Lead