How Eversource Energy Is Cutting Costs for Ratepayers with Advanced Transmission Technologies
In the ever-evolving landscape of the utility industry, reducing costs for ratepayers remains a paramount objective. Eversource Energy, a leader in the transmission grid sector, has been at the forefront of implementing advanced transmission technologies and high-performance conductors to achieve this goal.
The Challenge of Line Losses
One challenge inherent to the physical operation of the electric grid is managing line losses, which are the energy losses that occur during the transmission of electricity. These losses are an unavoidable cost shared by all ratepayers. Line energy loss costs have the greatest impact on ratepayers for lines with an average annual load exceeding 13% of their maximum capacity. For lines with lower average annual loads, the initial cost of the conductor system becomes the largest impact on ratepayers.
Advanced Transmission Technologies
Eversource Energy has been proactive in adopting advanced transmission technologies to address these challenges. It is important to select the right conductors to minimize costs to customers. Conductors operating at high temperatures impact ratepayers more due to high line energy losses. Therefore, Eversource Energy focuses on using conductors sized for low-temperature operation, reserving high-temperature capacity for rare events. This approach ensures that conductors operated at low to moderate temperatures have lower ratepayer impact because line loss is a much smaller fraction of the power delivered.
High-Performance Conductors
In comparing conductors, Eversource concluded that steel core conductors, such as ACSR (Aluminum Conductor Steel Reinforced) and ACSS (Aluminum Conductor Steel Supported), are superior in terms of capacity, efficiency, reliability, cost, and sustainability. Polymer composite core conductors, while advantageous in certain scenarios, generally have higher costs and lower capacities.
Eversource Energy's commitment to using high-performance conductors is evident in its selection of ACSS/TW (Trapezoidal Wire) conductors. These conductors offer double the capacity and reduced line losses at only slightly greater initial costs compared to traditional ACSR conductors. The value of the capacity and loss reduction justifies the investment in ACSS/TW conductors, making them a prudent choice for both new lines and reconductoring existing lines.
Economic Analysis and Sensitivity
Eversource did an economic analysis of different conductor options, considering factors such as the net present value (NPV) of annual owning costs and the impact of average annual load assumptions. The analysis showed that the least-cost option depends on the assumed average annual load. For example, ACSR "Drake" is the lowest cost for average annual load assumptions below 13% of the 1700A target capacity. However, for higher loads, ACSS/TW conductors become more economical due to their lower line losses.
Eversource Energy's approach to conductor selection is guided by these economic analyses, ensuring that the chosen conductors provide the best holistic value for ratepayers. By considering both the initial costs and the long-term operational costs, Eversource Energy can make informed decisions that minimize the financial burden on ratepayers.
Eversource Energy's involvement in reducing costs to ratepayers through the implementation of advanced transmission technologies and high-performance conductors is a testament to its commitment to efficiency and sustainability. By focusing on minimizing line losses and selecting the most cost-effective conductors, Eversource Energy ensures that ratepayers benefit from reliable and affordable electricity.
As the utility industry continues to evolve, Eversource Energy's proactive approach can serve as a model for other utilities aiming to reduce costs and enhance service reliability for their customers.
By leveraging advanced transmission technologies and high-performance conductors, Eversource Energy is not only reducing costs for ratepayers but also paving the way for a more sustainable and efficient future in the utility industry.
