Wind integration studies benefit utilities and project developers by demonstrating the true costs of integrating wind energy.
To lay the groundwork for increased use of renewable energy, the Minnesota legislature adopted a requirement for a Wind Integration Study to examine the impacts on both reliability and cost associated with increasing wind capacity to 20 % of retail electric energy sales by 2020. The study was directed by MPUC, with the participation of all Minnesota-based electric utilities including Xcel Energy (NSP), Great River Energy, Minnesota Power and Otter Tail Power.
MPUC selected the EnerNex/WindLogics team to perform this critical analysis, with WindLogics providing all wind resource characterization, long-term chronological wind speeds and wind forecasting data sets for this effort. The results of the study showed that this regional electric power system can reliably accommodate the addition of wind generation to supply up to 25% of the state’s retail electric energy sales if sufficient transmission investments are made to support it. Other key findings and observations of this study include:
- Integration costs ranging from $2.11 per MWh for 15% penetration to $4.41 per MWh for 25% integration.
- Considerable cost savings resulting from consolidation into a single balancing authority.
- Substantial smoothing of wind generation variation as a result of the study area’s geographic expanse.
The results of this study paved the way for additional energy resource planning to meet the state’s aggressive renewables requirements. Through this study and other wind integration work, WindLogics and its partners continue to help electric utilities meet the challenge of renewable portfolio standards and economic use of renewable energy.