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Offering Integrated Services That Assist In Making Informed Decisions
ZGlobal projects span the globe supporting the energy strategies of utilities, independent power producers and investors. Listed below are just a few examples of the breadth and depth of the services ZGlobal offers its clients. For additional information on these projects or any project that you would like to discuss, please Email: info@zglobal.biz
Congestion and Locational Marginal Pricing (LMP) Forecasts
ZGlobal provides LMP and transmission congestion estimates for many of its clients to support its clients’ dispatch decisions for generation assets, design of structured energy products, and selection of hedging instruments such as financial transmission rights (FTRs). ZGlobal utilizes market-based production simulation to perform a detailed modeling of the California, Western Electricity Coordinating Council (WECC) and Electricity Reliability of Texas (ERCOT) by modeling all the physical transmission facilities and constraints, economic generation injections, and hourly nodal loads. The analysis provide forecasts of LMPs at each node, load zone, and the California and ERCOT trading hubs, as well as disaggregated hourly energy, congestion and marginal loss cost estimates across all transmission lines and interfaces. ZGlobal prides itself in its practical understanding of the physical characteristics of the transmission system based upon decades of utility experience.
Financial Transmission Rights (FTR) Strategy Design
Transmission Congestion Assessment. ZGlobal has assisted many clients, including large generation and transmission companies in the Western Electricity Coordinating Council (WECC) and Electricity Reliability of Texas (ERCOT) regions with multi-year forecasts of locational marginal prices (LMPs) and disaggregated transmission congestion costs. The ZGlobal team has designed FTR strategies to help its clients make informed decisions to nominate the appropriate FTRs for their unique operations and to provide expected hedges against expected congestion costs. For each of the clients’ transactions, the FTR design provides important information, such as:
- Expected congestion for point-to-point (PTP) energy transactions and network resources to network load
- Expected negative congestion revenues
- Expected equivalent FTR revenues, and whether there are any seasonal patterns
- Expected equivalent FTR risk exposures
- Whether and what quantity of FTRs the client should hold
Transmission Risk Exposure Assessment. ZGlobal continues to assist many of its clients to manage their operational risks and transmission options in the California and ERCOT markets. ZGlobal utilizes market-based analytical tools to:
- Estimate transmission risks, such as congestion and marginal loss exposure on the major bulk power transmission facilities
- Estimate revenues from energy, capacity and ancillary services sales into the market
- Estimate the duration of hours of congestion on each transmission line link and the optimal value and type of FTR needed to hedge that transmission price risk for physical transactions and for supporting trading positions
Project Cost-Benefit Assessment. ZGlobal modeled the California Independent System Operator (CAISO)-controlled grid and market to determine the limits on power imports into California for a major power developer. The analysis involved an economic dispatch of power plants while enforcing transmission line and nodal voltage constraints. ZGlobal determined that rate of increase in imports with increases in local power generation, and the net benefits to be the system due to the addition of new line and or generators.
ZGlobal is able to perform system impact, and transmission interconnection studies, as well as recommend various alternatives to interconnect thermal and renewable generation resources.
Generation Dispatch Analysis in the Southern California Area. ZGlobal helped two major power generation project developers in the Los Angeles Basin evaluate how their respective projects would likely be dispatched in the Western Electric Coordinating Counsel (WECC) and the local market, given existing, as well as significant amounts of new, generation capacity coming on line. ZGlobal further assessed the impacts on the proposed plants due to “contingencies,” (in which certain regional generating stations or transmission lines become unavailable) in addition to analyzing the impacts of the potential addition of a new transmission line that would enhance the project’s ability to sell power to more distant wholesale customers. ZGlobal formulated and created the presentations for management, state regulators, and other stakeholders in the relevant markets based on the ZGlobal grid analysis.
Marketing Strategy for Underground Transmission, Pan-European Energy, Industrial Association. ZGlobal is currently advising a European energy association with member companies in the transmission sector. ZGlobal created a series of recommendations to position the association to take commercial advantage of the opportunities presented amongst the mandates of several European energy directives. These mandates included the reduction of carbon emissions, the promotion of renewable energy projects, and the acceleration of efforts to create a liberalized and inter-connected European electricity market.
Optimal Power Flow Analysis and Siting
Local and System Reliability Assessment. ZGlobal performed an assessment for an independent power producer to estimate the economic impact of local reliability requirements for a specific load pocket in the WECC market. The ZGlobal team was able to clearly identify the maximum reliability requirements from the load pockets against revenue projections.
Siting Analysis. ZGlobal identified suitable sites to build a 500 MW combined-cycle generation unit for a client entering the CAISO power market. The study consisted of assessing the potential risk factors, such as demand growth, existing installed capacity, transmission adequacy, voltage support and transmission congestion, all of which could affect the deliverability of the generation.
Optimal Power Flow Simulation. ZGlobal performed an optional power flow simulation of the WECC market to determine dispatch scenarios for a large power plant in Southern California and regions of Arizona, Nevada and Mexico. The work included the economic dispatch of units, contingency analysis and snapshots of expected summer peak nodal prices. The analysis demonstrated the capability of the transmission system to deliver power to market with all transmission facilities in-service and under various contingency scenarios.
Value of Reactive Power. ZGlobal estimated the market value of supplying reactive power from a portfolio of units to maintain flow gate capacities between two regional markets in the mid-Atlantic and Northwest region. The study estimated the target portfolios leverage to keep the flow gate open between the regions and converted the leverage into value.
Site Assessment Due Diligence. ZGlobal assisted clients entering the California power market by employing our transmission modeling expertise to identity suitable sites to build a combined-cycle and renewable generation unit. In recommending potential locations for the client, the study considered potential risk factors, such as demand, existing installed capacity, transmission adequacy, voltage support, and transmission congestion issues on the deliverability of generation, while providing the necessary initial due diligence to support further project review.
Transmission Security & Critical Infrastructure Protection (CIP)
Evaluating Terrorist Threats Against Energy Transmission Systems. ZGlobal recently conducted a joint public and private sector exercise, focusing on terrorist threats to the electric power transmission system for a federal client. The exercise was designed to test and educate key personnel on new threats and vulnerabilities. This exercise tested the capabilities of state, local, and private-sector organizations to jointly respond to a terrorist attack. ZGlobal further analyzed the transmission load-flow under multiple scenarios to evaluate potential contingencies and identify critical points of concern on the transmission network.
Regulatory and Policy Assessments
Helping your Company Keep Pace with the Changing Energy Environment. For years, ZGlobal’s individual consultants have been at the forefront of an ever-evolving energy and regulatory policy environment. We have been asked by our clients to provide insight on all aspects of market design and regulatory policy, from the assessment of congestion management and marginal loss design to the impact of FERC Order 890 and mandatory reliability standards. Whether technical or policy, regulatory or implementation, ZGlobal has the capabilities to help your company succeed in a complex and advancing energy market. |