APS submits is 2017 IRP, also seeks 400-700 MWs of summer peaking supply

Written By: Stratton Report
April 12, 2017

On April 12, Arizona Public Service announced its 2017 integrated resource plan, developed via a three-year-long stakeholder process, and covering the next 15 years.

On the same day, the utility also noted it will seek competitive proposals for approximately 400 to 700 megawatts of capacity to meet peak demand, specifically during the months of June through September beginning in 2021.

The IRP, according to APS, describes the utility seeking to meet half of all new load demand with renewable resources, boosting ESS to some 500-MWs, development of DERs, reduced dependence on coal, continued operation of the Palo Verde nuke plant, and seeking a more flexible grid.

Tammy McLeod, APS Vice President of Resource Management noted:

The 2017 Integrated Resource Plan outlines how our investment in a smarter energy infrastructure will benefit customers through innovation, reliability and more ways to control their energy use. Overall, our energy mix is increasingly cleaner, and we are adding more quick-starting power sources to integrate our growing solar energy resources and emerging technologies. Increasing renewable resources, energy efficiency and energy technologies, supported with highly responsive resources such as natural gas generation, will enable APS to deliver cleaner, reliable and reasonably priced electricity. Resources that we can turn on and off quickly are critical in maintaining power reliability while keeping costs low for customers.

Additionally, APS stressed it will continue to pursue opportunities to increase operating efficiency and save customers money, such as participating in the CAISO Energy Imbalance Market and purchasing excess energy from short-term markets at low or negative (i.e., paid to take) prices.

APS emphasized that its resource requirement is projected to reach 13,000 MW by year 2032 or about 60 percent higher than today’s forecast resource requirement of approximately 8,000 MW, as a result of anticipated population growth and greater economic activity in Arizona. When determining how to meet the increased need, APS claimed it chose the combination of resource options that met a number of objectives for affordability, flexibility, reliability, risk management and sustainability.