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Transform Executive Summary Long Duration Storage
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Solana Beach, California


Response


Executive Summary

Thank you for the opportunity to present this offer for Long Duration Storage (LDS). The grounding for the offer is large systems architecture composed of proven, off-the-shelf components with histories of operation, eliminating new technology risk. The capital investment and O&M is significant; thus, this a 25-year offer. Transform Power & Water is the developer; Siemens Energy, Siemens AB and Linde Engineering are the project integrators; Generate Capital is the lead financing resource.  Qualitatively, the project addresses the scoring rubric:

Expected Value (ESSA Cost minus Project value)

The 25-year cost competitively provides the buyer with peaking capacity from an emission-free source and accelerates the replacement of natural gas with hydrogen gas as  a replacement fuel. The offer is for Resource Adequacy  and blocks of energy.

Project Risk

In the 70s and 80s, the US pioneered by combining liquid hydrogen and oxygen for powering jet and rocket turbomachinery. This technology is now being commercialized by the likes of Siemens Energy, Mistsubishi and GE to adapt their turbines to burn hydrogen as well as natural gas. Electrolyzing, steam reforming, compressing and liquifying hydrogen have been widely used in industry for decades to produce and store hydrogen. The project risk is primarily economic and this has been minimized by requiring a 25-year term.

Technology/viability

There is nominal technology risk because all of the aforementioned companies and others are in a competitive race to adopt their turbomachinery and combined cycle configurations to burn this zero-emission fuel.

Offeror Experience delivering projects of similar scope and magnitude        

The offeror has experience in large scale systems integration and energy project delivery. The EPC of a hydrogen refinery and power plant with direct or dynamic delivery to CAISO poses typical environmental, interconnection and permitting risk which is why the delivery is set for April 2026.

Environmental impact

The project is committed to a zero-emission production process to the extent that the grid can supply an economic carbon-neutral supply of electricity for the production and storage of hydrogen gas. The project will explore over its lifetime the sourcing of atmospheric water vapor for input to electrolysis (water vapor forces 2.5 more warming than CO2).

Delivery Term

The delivery term is 25 years, intended to minimize economic risks for both buyer and seller.

The offer is for a 250 MW hydrogen-fueled combined-cycle gas plant with a duration of 12 hours comprising Siemens turbomachinery including steam turbines in a combined cycle power plant configuration to achieve 60.5% efficiency and 99.2% availability of the full 250 MW. The gas turbines have been manufactured in the Finspång Sweden plant since 1903. The gas turbines are being retrofitted to burn hydrogen under the direction of Dr. Jenny Larfeldt, the expert behind the conversion work. It is a zero-emission gas plant.

Storage consists of Linde tanks containing liquid hydrogen. These tanks are what you see on a tractor trailer or a rail car. Each tank contains 5 or more tons of liquid hydrogen. When full, the plant in an emergency could deliver 250 MW of power for 12.2 hours. Accounting for seasonality, the costs of grid energy and hydrogen production, the tanks will maintain 95% of nominal capacity. The tanks are seismically erected in a vertical configuration outside.

A hydrogen refinery will be located adjacent to the site. Fresh water and electricity are the inputs to this refinery. For permitting and environmental purposes, the plant does not refine natural gas though in an emergency, the plant could truck in hydrogen gas refined from methane or bio-methane. The plant contains an array of electrolyzers, unpressurized and pressurized tanks, and hydrogen liquefiers. The outputs are hydrogen as a gas, as a liquid, and oxygen. The refinery produces and delivers liquid hydrogen to the energy storage turbine plant via a dual, redundant pipe. The electrolysis plant will be one of the largest in the world with a nominal output 3.35 metric tons per hour. In 6 hours, it would fill 50% of the capacity of the storage tanks.

The hydrogen refinery serves other industries including transportation, health, agriculture and advanced manufacturing. It produces green hydrogen and oxygen for downstream consumers propelling California into a leadership role in the hydrogen economy. The timing is not better. 


Conclusion

For the sake of brevity, the Executive Summary has omitted scores of details of cost, economics, conversion tables, engineering, siting, supplying and running a modern hydrogen power plant and refinery. Thus, this is a call to lead to finalize the energy transition with hydrogen as a primary element for energy storage and to supplement renewable generation.

With the experience of Transform, Siemens Energy, Siemens AB, Linde and Generate Capital, we can deliver this operating asset cost-effectively and allow California’s CCAs to continue to expand the production, procurement and consumption of renewable energy for a better world.[1]



[1] Siemens Energy Turbo-Machinery Conversion for Hydrogen. Link

Liquefaction of hydrogen for achieving very high density of energy per unit volume. Link

Large Scale Electrolysis by Siemens Energy. Link (There are others like Nels)