By Allan R. Budris
Last month's Pump Tips column provided many pump system efficiency improvement opportunities that could significantly reduce a municipality's electric utility bill by reducing the total electrical consumption. However, total electric consumption is only one portion of the utility electric bill. Peak demand charges (which are added to the consumption rate charge) can account for half of the utility electric bill in a municipal or industrial plant.
Demand is a charge based upon the maximum or peak rate of energy use during the billing period. In addition, there are typically multiple consumption rates based on the "time-of-use." This means that any electrical usage that can be shifted from "on-peak" periods to "off-peak" periods can further cut a facility's electric bill. In fact, some electrical utilities in Texas actually have a zero nighttime, off-peak rate for selected customers.
One way to reduce these demand and higher on-peak electric charges is to store excess power during off-peak periods and then tap into this stored energy during on-peak periods. Pumped storage has been found to be the most efficient means of storing the large amounts of energy required to have a measurable impact on a municipal or industrial electric bill. Such a pump energy storage system would consist of two reservoirs, each capable of storing large amounts of water at a significant elevation difference.
During off-peak (lower-demand) periods, low-cost electricity is used to pump water from the lower-elevation reservoir to the higher-elevation reservoir. Then, during times of peak demand, this extra stored water can be released from the higher-elevation reservoir and run through the pump (operating in reverse as a turbine) to generate electricity, which can be used to offset local usage. This not only reduces the amount of electricity that must be purchased from the utility during higher-rate periods but also reduces the maximum period demand charges.
Municipal pumped storage systems are not always feasible, however, because of the high initial capital costs and/or excessively long financial payback. This is especially true if reservoirs must be built and pumps/turbines and piping must be purchased and installed.
AQUIFER-BASED PUMPED STORAGE SYSTEM
There is, however, a lower cost option that may be available to many municipalities for storing off-peak energy and recovering this energy during peak demand periods: an aquifer-pumped storage system (See Fig. 1). Many municipalities already have the basic infrastructure in place that could be (relatively easily) modified to store energy during low-peak demand periods and then generate hydroelectric power for the municipality during periods of peak demand.