Don’t Get Left in the Dark: Revolutionize Your Backup Power with Remote Monitoring
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Take a moment and imagine that a major power outage has just hit your city. While your competitors scramble around in the dark, your business remains brightly lit and fully operational. Why? Because you had the foresight of installing a remote monitoring package on your backup generators which allowed you to identify potential maintenance issues and get them addressed prior to any grid power outage.

This isn’t just a nice-to-have feature . . . it’s a critical component in safeguarding your business amidst the increasingly unpredictable US electrical grid!

The Silent Menace: Unpredictable Power Failures

Did you know that estimates pin business losses due to power outages in the US at over $30 billion annually? Backup generators may be the first line of defense, but without proper monitoring, they’re kind of like the old tractor stored in the back of a barn . . . it’s simply not going to start when it is needed most!

Remote monitoring solutions take the uncertainty away by  providing real-time data and empowering proactive decision-making.

Let’s delve into why this technology isn’t just an option, but a necessity.

Predictive Maintenance: A Crystal Ball for Your Generators

It’s not the unknown we should fear . . . It is being unprepared for the unknown that should be feared.

Traditional generator maintenance operates on a set schedule . . . but what if an impending failure arises between scheduled maintenance? Remote monitoring systems, with properly tuned critical alerts and data trends, function like a crystal ball. They can predict potential issues allowing you to act before the potential issue turns into a costly disaster. For instance, by monitoring; battery voltage, coolant temperature, and fuel level, you can mitigate the risk from three of the top six reasons a generator fails to start.

Cost Efficiency: More Than Just a Penny Saved

The operational cost of your business being down due to a power outage can be enormous. Add to this the lost revenue opportunity because you cannot make or sell anything! For these two reasons alone, it just makes sense to spend a few dollars on a remote monitoring system.

In addition to this, when considering the cost of remote monitoring system, it is important to take into account the cost of an emergency callout during a power outage. This callout can easily be upwards of $1000 to $2000 dollars depending on the generator issue. However, a remote monitoring system allows you to identify many of these issues before they become emergencies so they can be handled as regular maintenance items. Avoiding one emergency callout per year can easily pay for the cost of a remote monitoring system.

So it’s not just about pinching pennies. Resources must be allocated strategically to where they matter most!

Take Action

The choice to implement remote monitoring for your generator moves you and your facility from uncertainty towards assurance and from reactivity to proactivity.

Remote monitoring is not just an upgrade . . . it’s an essential pivot towards operational excellence!

Don’t wait for the next power outage to reveal your back up power generator’s vulnerabilities. Assess your backup power setup and consider how remote monitoring can transform your approach. It’s time to move from playing catch-up to leading the way in operational efficiency and reliability.

For more insights on this transformative approach, contact Collicutt Energy at 888.682.6888. We have a team of experts that would be happy to work with you to evaluate your project and determine the best fit solution for you.

Remember, in the world of backup power, being proactive isn’t just a strategy; it’s a survival imperative.

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The Role of AESO and the Operating Reserve Program
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Harnessing Alberta’s Energy Future: The Role of AESO and the Operating Reserve Program

Alberta’s electricity market is a dynamic landscape that requires balancing supply and demand with precision and foresight. At the heart of this system is the Alberta Electric System Operator (AESO), a not-for-profit entity mandated to operate an open and competitive wholesale market, ensure the safe and reliable operation of the electric system, and plan and develop the transmission system to provide access to customers​​.

 

Among many tools in the AESO’s “toolbelt” is the procurement of Operating Reserves (OR). This is a crucial mechanism that helps to maintain system reliability when there is an unexpected imbalance between supply and demand due to various system conditions.

 

In the AESO’s Operating Reserve (OR) framework, supplemental reserves are a critical component, providing a safety net for the electrical grid when demand outstrips supply or generation unexpectedly falls. Unlike regulating reserves which respond instantaneously, supplemental reserves can be activated swiftly—within a 10-minute window—enabling the system to recover from sudden imbalances. For instance, a backup generator system, whether newly installed or pre-existing, can be a perfect solution to supply such supplemental reserves. When the grid requires additional power, these generators can ramp up, and allow a facility transfer their electrical load to the generator(s) thereby curtailing or removing load from the grid.

 

One very recent example that I’m sure all Albertans remember, is the Emergency Alert issued on January 13th during a serious cold snap of -40°C. Operating Reserve was a crucial tool for keeping Alberta from power outages, and Voltus played a key role by dispatching their supplemental reserve portfolio.

 

 

Participating in the OR market not only contributes to the stability of Alberta’s power grid but also represents a strategic business opportunity to create an additional revenue stream. Through our partnership with Voltus, Collicutt Energy Services is positioned to make participation in the OR program simple and easy.

 

We invite you to be part of Alberta’s energy resilience story.

 

Visit our Webpage to discover how we can energize your business with a WIN-WIN through Alberta’s Operating Reserve program and Voltus.

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Alberta Emergency Alert Jaunary 13th, 2024

How Demand Response Supports Grid Reliability
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On January 13th, I was sitting with my extended family watching the Hockey game. We celebrated every shot on goal for our team, and shrieked every time the other team almost scored. However, close to the end of the game the feed cut out and all of our phones in horrible harmony issued this obnoxious blaring noise: an Alberta Emergency Alert had been issued, because of a high risk of rotating blackouts.

 

Why did this alarm concern me?

This was deeply concerning! It was at least -30C and our house’s furnace was already struggling to keep up; we had an electric space heater in the living room helping keep that specific room warm for everyone.

Without power, we’d immediately lose our house lighting, the power to the space heater and potentially lose the power to our furnace ignition system. This would leave all 10 of us without any form of energy to stay warm.

What caused this grid alert?

  • Problem 1: High Grid Demand – As you can see in image 2, There was a significant increase in power consumption within the province: The Alberta Electric System Operator (AESO) reported an Alberta Interconnected Load (AIL) of 11,802 MW, up from ∼10,500 MW earlier that day. The primary reason for the high load was the extremely low temperatures we were experiencing in the province.

 

Image 2: Weekly Energy Summary posted on January 15th. Source (Linkedin). Graph shows how on January 13th, there was a marked uptick in power consumption around 6pm. At this time, power prices in the province shot up to the AESO price limit of $999/MWh, 10 times the 30-day rolling average at the time of $100/MWh.

 

  • Problem 2: Loss of Generation in the Province – The larger issue that led to the emergency alert was the lack of available power generation in the province. As shown in Image 3, there was a significant lack of both wind and solar at the time of alert.

 

Image 3: Alberta electricity production by type (Source: Alberta Energy). Generation by natural gas made up 81.7% of power generation at the time of the emergency alert. At the time of the alert, Solar and wind provided 100MW of the 6,131MW of installed power generation as reported on AESO Supply page.

 

How Collicutt Energy Helped Support Grid Reliability

At Collicutt Energy Services, our primary business is ensuring reliable power to your facility; whether this is through onsite natural gas generation or backup standby diesel power.

 

During this grid emergency event, many of our clients responded to an AESO directive to reduce their consumption. This is referred to as ‘Demand Response’. Over the last year, we have been helping clients prepare for events like this by getting their facility set up with backup generation that could, at a moment’s notice, provide relief to the grid.

 

Over the weekend of January 12-14th, our customers helped provide seven hours of grid relief; two and a half of those hours occurring on January 13th.

 

FAQ

  • Why did our clients participate in Demand Response?

A natural question many people would ask is “Why would a large industrial customer participate in Demand Response? especially if it could impact the production of that company?”

Great question – other than being a great corporate citizen, they were compensated for it.

 

In 2022, the average customer who participated in Demand Response (Also formally referred to as Operating Reserve: Supplemental Reserves) earned between $200-250,000 for every Megawatt they were able to curtail. So for a facility that consistently consumed 2MW and participated in Demand Response, they could earn as much as $500,000 for reducing load for approximately 20-30 hrs of the year.

 

  • Can your facility participate in Demand Response?

With further deployment of renewables in Alberta and greater demand for electricity in the province, we are expecting more events like the grid emergency event of January 13th to happen in the future.

 

  • Can I enroll my facility in Demand Response?

Here are the eligibility criteria:

  1. Are you consistently consuming 400kW or greater between 7 am and 11 pm?
  2. Can you reduce your power consumption within a 10 minute period?

 

If your answer to the above questions is yes, then your facility is eligible. Reach out to us.

 

About the Author

Matthew Swinamer is a mechanical engineer with APEGA. In Matthew’s role as Technical Sales Engineer, he works to help commercial and industrial clients understand the power of onsite generation to reduce utility costs and increase sustainability of their energy consumption.
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Powerlines and Backup Power Generation

The Importance of Backup Power Generation: Safeguarding Your Business Amidst the Fragile US Electrical Grid
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Reliable electricity is the lifeblood of our entire society! Without electricity, we would not be able to grow, transport, or store food; heat or cool our homes; transact business; secure our country, and the list goes on! However, the stability of the US electrical grid has become a growing concern. This has been highlighted by an increasing frequency of power outages caused by weather events, accidents, and natural disasters. These events highlight the urgent need for businesses to consider backup power generation as a crucial investment.

Fragility of the Electrical Grid

According to a recent paper written by Robert Bryce1, the US electric grid has a generation capacity of 1.25TW and is interconnected across the continent by:

  • 6.1 million miles of wire, poles and transformers
  • 12,538 utility scale power plants
  • 9 federal power agencies
  • 2,003 public utilities
  • 856 coops
  • 315 power marketers
  • 178 investor owned utilities

This ad hoc compilation of disparate parts and systems results in an extremely complex and potentially unstable system! The vulnerability challenges that the grid is facing can be categorized into a few main areas:

  1. Complex interconnections – All of the different organizations involved in the regulation, power generation, transmission, and distribution of electric power create a myriad of single points of failure. These single points of failure may be minor but could cause a cascade of additional failures impacting a large geographical area.
  2. Aging infrastructure – Much of the US power grid is outdated and in need of modernization. These aging components add to the risk and complexity identified in point (1) above.
  3. Extreme weather – Weather events can cause outages due to loss of sub stations or powerplants, downed powerlines, etc.. Add to this grids that don’t have enough gas, hydro, or nuclear power generation to cover their demand when that demand is high and wind turbines or solar are not producing.
  4. Overload – The pace of urbanization has outstripped the pace of new power generation capacity. This results in increased grid overload and eventually brownouts or blackouts.
  5. Cybersecurity – Technology has advanced over the years and the threat of cyber attacks on our power grids is significant2, 4, 5. Although, there are many efforts underway to address this (reference this paper published in September 2021 “Cybersecurity in Power Grids”3) we still have a lot of work to do in this area.

Options for Backup Power Solutions for Your Business

The fragility of the US electrical grid system that is outlined above requires businesses to invest in backup power solutions that will keep them operational while the grid power is unavailable.

Every business is unique and the backup power solution for each business needs to be designed accordingly. Fortunately, there are many options and combinations of products available, including:

  1. Diesel – A standby power generator that is only stated and run during a power outage. When using HVO fuel, these sorts of systems have reduced emissions significantly. See What is HVO and Why Should You Care for more details.
  2. Battery – As battery technology is advancing, using batteries as part of your backup power is something that should be considered. They are particularly effective when you have a microgrid system that may need a method of storing extra power that cannot be used at the time it is generated.
  3. Natural Gas or Biogas – Natural gas power generation is much cleaner than diesel6 so this may be a great option for your business. If you have a source of biogas then you may be able to use this directly or blend7 it with natural gas to create low cost fuel source to generate electricity.
  4. CHP, Combined Heat and Power8 – CHP systems are typically a natural gas or biogas fueled generator that also capture the heat produced by the generator and use this energy to improve the overall efficiency of the system to greater than 90%. Colleges, schools, commercial buildings, hospitals, and casinos are some examples of where CHPs can be used effectively.
  5. Microgrid9 –  This is a localized group of electricity sources and loads that can operate independently of the traditional centralized power grid. A typical system would include power generation from solar, wind, batteries, and a natural gas or diesel power generator.
  6. EaaS, Energy as a Service – This is typically supplied as part of a CHP or microgrid power system and consists of a natural gas or biogas fueled generator that is operated and maintained by a third party rather than by the business. See A Sustainable Solution for Uninterrupted Power for more details and advantages of an EaaS solution.

Take Action Today

Businesses cannot afford to overlook the fragility of the U.S. electrical grid. Power outages can have severe consequences for revenue, reputation, and operations. Investing in backup power generation solutions is not just a smart move, it’s a necessity to ensure business continuity, reliability, and peace of mind in the face of an unpredictable electrical grid.

Don’t wait until the next power outage . . . contact Collicutt now tollfree at 1.888.682.6888 and let us guide you to a solution that safeguards your business’s future.

 

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A blog post image that talks about the case for methane fueled electrical power generation

A CASE FOR METHANE FUELED ELECTRICAL POWER GENERATION: PART 2 – All ENERGY TAKES ENERGY TO PRODUCE ENERGY!
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In Part 1 of this series we discussed greenhouse gas emissions, how they are applicable to methane and other energy sources including solar PV and batteries, and why the responsible use of methane must be considered as a viable energy source for the production of electricity.

In Part 2 of this series we will focus on the energy required to create energy.

All Energy Takes Energy to Create Energy!

As we strive for a sustainable and efficient energy future, the choice of fuel source becomes crucial. One component of the equation that must be considered as we plan our energy future is Energy Return On Energy Invested or EROEI.

EROEI assesses how much energy is obtained from an energy source relative to the energy invested in extracting, refining, and using that source. It provides insights into the energy profitability and effectiveness of a particular energy system.

The calculation of EROEI involves considering all the energy inputs throughout the lifecycle of an energy source, including exploration, extraction, transportation, refining, and operation. This encompasses both direct energy inputs, such as fuel used for extraction, and indirect energy inputs, such as the energy used in manufacturing and maintenance of equipment.

A higher EROEI indicates a more energy-efficient and sustainable energy source, as it signifies that more usable energy is obtained compared to the energy invested. Conversely, a lower EROEI suggests that the energy source requires a significant amount of energy input relative to the energy it generates.

EROEI is a valuable tool for assessing the viability, economic feasibility, and environmental impact of different energy sources. It helps inform decision-making processes regarding energy investments, resource management, and the transition to more sustainable energy systems.

As you can imagine, the EROEI varies greatly per power source. The following chart shows average EROEI multiples for various fuels (data from ARC Financial Research (2) – Peter Terzakian “The End of Energy Obesity” (1))

Conclusion

This chart clearly illustrates that methane has a very high return on energy invested compared to energy sources like solar PV or biodiesel. In fact, methane has about three times the return on energy invested than a source like solar PV. This is a significant difference considering the abundance of methane in North America and the well-established methane distribution methods that exist (e.g., pipelines, LNG, CNG, etc.).

When this EROEI is factored into a decision matrix along with the GHG emissions conclusions from Part 1 of this series, one must seriously consider the responsible use of methane as a fuel for energy generation.

If you have any questions regarding this article or if you have a microgrid or power project of any kind that could benefit from a methane powered generator, give us a call at Collicutt at 888.682.6888. We have a team of experts that will work with you to evaluate your project and determine the best fit solution for you.

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HVO Diesel Fuel

What is HVO and Why Should You Care?
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As the world seeks to transition to cleaner and more sustainable energy sources, the choice of fuel plays a crucial role in achieving these goals. Hydrotreated Vegetable Oil (HVO) has emerged as a promising alternative to conventional diesel fuel. According to Neste Oil (1) it is “the highest quality diesel in the world.”

 

How is it Made?

HVO is created from a feedstock of various vegetable oils and animal fats. This feedstock is treated to remove impurities (moisture, particles, etc.). It is then mixed with hydrogen gas and fed through a hydrotreating reactor which creates the HVO fuel. It goes through some additional post-reactor purification steps to remove any remaining impurities like sulfur and nitrogen compounds. For more details you can refer to the Beginners Guide to Hydrotreated Vegetable Oil article here (4).

 

Why is it Important?

HVO is a “drop-in” ready fuel replacement for many diesel engines. This means that HVO can replace diesel fuel in a diesel engine without any modifications or adjustments to the diesel engine. All of mtu’s diesel engines used in their power generation equipment are HVO ready.

 

Advantages of HVO

 

  • It is a more stable fuel than diesel – Diesel fuel that is stored in a tank for any length of time (e.g., standby power generation) requires periodic fuel scrubbing to remove algae that grows in the fuel. HVO is not susceptible to this issue and remains stable over long periods of time.

 

  • Mixes seamlessly with diesel – HVO can be added to existing diesel so existing tanks do not have to be drained prior to topping up with HVO.

 

  • Lower greenhouse gas (GHG) emissions – One of the significant advantages of HVO over diesel is its potential for reducing greenhouse gas (GHG) emissions. HVO fuel has a significantly lower carbon footprint compared to conventional diesel. According to studies (2), HVO can achieve up to 90% CO2e (carbon dioxide equivalent) emissions reduction compared to diesel.

 

  • Improved air quality – Compared to diesel, HVO offers improved air quality due to its cleaner combustion properties. HVO fuel reduces emissions of harmful pollutants such as particulate matter, nitrogen oxides (NOx), and sulfur oxides (SOx). Dependent on load profiles, a 50% to 80% reduction in particulate matter has been seen.

 

  • Improved performance – Switching from diesel to HVO can result in improved engine performance and decreased fuel consumption. In addition to this, when used with mtu diesel engines there is no engine derate (3).

 

Take Action

If you need more convincing before you make this change, Rio Tinto has recently moved to HVO fuel for their large vehicles in their California open pit boron mine (6). Sinead Kaufman, Chief Executive Rio Tinto Minerals said: “We are proud that our U.S. Borax operations have become the first open pit mine to operate a fleet running entirely on renewable diesel. This is an excellent example of what happens when internal and external partners collaborate toward a carbon reduction goal. Support from the state of California has also been incredibly important, as without their vision, this would not have been possible.”

Take action now for your standby diesel generators and get improved performance, decreased fuel consumption, less emissions, and longer fuel life! Contact Collicutt today and we will work with you to evaluate your generator and arrange for HVO fuel delivery.

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pexels-pok-rie-5850492

California Faces Multiple Increased Risks for Power Outages
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The state of California is known to be near, if not at the top of the list when it comes to most power outages in the United States. The most common causes of California power outages are related to extreme weather. California is prone to extreme heat, droughts, winds and deadly wildfires and this year is no exception as this extreme weather is predicted to hit California once again.

With that being said, it’s vital that you are prepared for both planned and unplanned power outages. Unfortunately, as most of you know, there are still global supply chain issues, resulting in lead times that are longer than expected. Therefore, if you’re looking to be proactive versus reactive, start planning now. We can help with all your power generation needs!

To assist in your preparation, we have prepared a list of factors to be aware of that could increase the risk of power outages this summer:

  1. Extreme Heat

During the hot summers that California encounters, more people use power to cool down their homes and business; this greatly increases power demand. When this heat is combined with adverse weather conditions that could reduce output from other power sources, system operators may also be forced to use emergency procedures to prevent catastrophic grid failures and extended outages. In addition to that, the extreme heat will cause electrical equipment to fail.

  1. Drought

In relation to California’s hot temperatures, droughts may also increase the risk of a power outage as they can strain the electricity supply. Hydroelectricity is another energy source that California highly depends on and if its reservoirs run low – likely due to extreme heat – there will be a significant drop in hydroelectric generation. With this drop in energy production, the chances of an electricity shortages rises.

  1. Wind

Extreme heat coupled with drought conditions gets exponentially worse when extreme winds come into play. This is what California is faced with every year when the Santa Ana winds start blowing or when the state is hit with the fierce Diablo Winds. Beside knocking out power, these winds can cause power line breakages which will spark wildfires.

  1. Wildfire Season

Summer and early fall in California tend to also be referred to as “wildfire season”.  Wildfires are devastating, unpredictable and they move extremely quickly. They can destroy transmission lines and electrical infrastructure which results in power outages that may last days or weeks.

  1. Planned De-Energization Events – Public Safety Power Shutoffs (PSPSs)

PSPSs are a newer, more proactive solution where utility companies shut off power during extreme and dangerous weather conditions to reduce the changes of wildfires breaking out in high-risk areas.  Numerous high-risk areas have been identified in California and, for that reason, these events are anything but out of the ordinary for California residents and businesses.

  1. Supply Shortages

As mentioned above, hot California summers can result in low electricity generation. At the same time, electricity demand peaks during periods of extreme heat as, people tend to use their air conditioning all at the same time. Because of this, the grid will be challenged and will struggle to meet the energy demands.

All these factors listed above, substantially increase the risk of power outages. We know that, in today’s world, the majority of industries and businesses rely on electricity to be operational and to provide their goods and services to their customer base. Therefore, these hazards cannot be ignored. We want to ensure that you and your businesses are safe, with the ability to still maximize your uptime. We can support you by maintaining your existing generators, upgrading you to a new generator where it makes sense, or providing backup power generation solutions.

Contact us for more information. Our team is always happy to help!

888.682.6888 or info@collicutt.com

Find more solutions here!

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