Distributed Power Analysis with

NREL’s HOMER Model

Peter Lilienthal
January 10, 2002
 Outline
• What is HOMER
• History
– Off-grid
– Grid Connected
• Short Demo
• Sample Results

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 What is HOMER?
HOMER is a computer model for
designing small electric power systems.
• Electrification of remote villages
• Off-grid houses
• Dedicated Applications
– telecom sites, water pumping…
• Distributed generation (grid-connected)
– green power
– cogeneration (combined heat and power)

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 Economic optimization for
least-cost design
• Compete technologies - consistent approach
• 8760 hour simulations
– renewable resource variability
• Extensive sensitivity analysis
• Graphical outputs

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 HOMER’s capabilities:
HOMER can model any combination of:

• Wind turbines
• PV
• Small hydro (run-of-river)
• Generator (fossil fuel or biomass)
• Battery storage
• Grid extension or support

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 Hybrid Optimization Model for
Electric Renewables
• Developed by NREL’s Village Power
Program in 1993
• Major redesign in 1997 to make it
accessible to general public
• Has become an international standard
for off-grid power design and analysis
• 1300 users in 110 countries

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 Current Status

• 100% funds-in CRADA with ESKOM (South

Africa) to incorporate into their GIS
• Training in Argentina, Philippines & Australia
• DDRD for grid-connected DG analysis
• Simplified web interface in beta testing
• Collaborate with 7 NREL center/offices

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 Enhancements for Grid-
connected DG
• Tariff module
• Cogeneration
• Additional Technologies
– Modular and decentralized
– RET’s competition
• Micro-turbines
• Fuel cells
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 Current Accomplishments
• New technologies have been added
– Biomass, micro-hydro
– Multiple fuel capability
– More flexible generator module that can handle micro-
turbines and fuel cells
– More kinds of hybrids
• Thermal loads for cogeneration
• Simplified Rate structure
– Retail, buyback & demand
• Carbon Tax

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 Proposed Work
• Rates
– Standby/backup rates
– Time-of-use and seasonal pricing
– Net metering
– Hourly pricing
– Ratchet clauses
– Block pricing???
• Facilitate comparing stand-alone and grid-connect
• Create beta version
• Case studies; verify parameters
• Documentation
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Main window

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 Main window

There are 4 types of inputs.

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 Inputs – electric load

Multiple types of loads, can vary monthly.

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 Inputs – wind resource

Data can be entered from a file or generated.

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 Inputs – wind turbine

Each component requires simple cost and

performance data.
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 Inputs –optimization

The user has to tell HOMER what types of

systems to consider.

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 Outputs

HOMER rank orders the solutions by Net Present Value

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 Outputs

HOMER also categorizes them.

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 Sensitivity analysis

Useful for uncertain parameters; technology, market

and policy analysis.
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 Sensitivity analysis

Which technology is best at different wind speeds or

fuel prices.
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 Village power system

How does the cost of energy change?

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 Village power system

How does the fuel use vary?

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 Market Impact of Carbon Tax
Optimal System Type Legend
100
Grid/PV
Grid
80
Fixed
Carbon Tax ($/t)

Pow er Price = 0.120 $/kWh

60

40

20

0
0 1 2 3 4 5
PV Array Capital Cost ($/Watt)

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 Market Impact of Tax Credits
Optimal System Type Legend
6.5
Grid
Grid/Wind
6.0
Wind Speed (m/s)

5.5

5.0

4.5
0.5 0.6 0.7 0.8 0.9 1.0
Wind Turbine Capital Cost Multipler

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 Hybrid Design
Optimal System Type Legend
10
Grid
Grid/Wind
8
Grid/Diesel
Demand Rate ($/kW/mo.)

Grid/Wind/Diesel
6

0
6.0 6.2 6.4 6.6 6.8 7.0
Wind Speed (m /s)

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 Engine Competition
Optimal System Type Legend
1.0
Grid/Microturbine
Fuel Cell Capital Cost Multiplier

Grid/Diesel

0.8 Grid
Grid/Fuel Cell

Fixed
0.6
Thermal Load = 200 kWh/d
Demand Rate = 5.00 $/kW/mo.

0.4

0.2
0.2 0.4 0.6 0.8 1.0
Diesel Price ($/L)

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Explanation of Counter-intuitive Result
Optimal System Type Legend
1.0
8,760 200 200 200 0 Grid/Microturbine
Fuel Cell Capital Cost Multiplier

Grid/Diesel

0.8 Grid
8,760 200 200 200 0 Grid/Fuel Cell

Superimposed
0.6
Generator Hours (hrs/yr)
8,760 200 200 200 0
Fixed
Thermal Load = 200 kWh/d
0.4
Demand Rate = 5.00 $/kW/mo.
8,760 200 200 200 0

8,760 8,760 200 200 0

0.2
0.2 0.4 0.6 0.8 1.0
Diesel Price ($/L)

The less efficient technology is chosen at higher fuel prices

because it is only used for peak shaving.
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 Cogeneration
Optimal System Type Legend
1.0
Grid/Diesel
Grid

0.8 Grid/Fuel Cell

Grid/Microturbine
Diesel Price ($/L)

Fixed
0.6
FCell Cap. Mult. = 0.60
Demand Rate = 5.00 $/kW/mo.

0.4

0.2
0 50 100 150 200 250 300
Therm al Load (kWh/d)

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 HOMER Online

Very simplified interface.

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 HOMER Online

All of the outputs are still available.

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 Contact information
Main website:
www.nrel.gov/international/homer/
HOMER Online:
analysis.nrel.gov/homer
Questions
peter_lilienthal@nrel.gov

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