Akshay Rai Saini | MEL Candidate | Dec 3, 2024.
Mentor: Brijal Patel | Energy Manager | Seaspan ULC
Abstract
This capstone project tackled the energy challenges at Seaspan’s North Vancouver facility, where sporadic operation of high-capacity water pumps caused significant peak load charges. To address this, an innovative solution integrating a Battery Energy Storage System (BESS) with rooftop solar energy was developed to reduce grid reliance during high-demand periods.
By leveraging BC Hydro’s energy storage incentive program, the project enhanced the financial feasibility of BESS adoption while aligning with Seaspan’s sustainability goals. It also demonstrated the potential to improve grid stability by shifting demand away from peak times.
Introduction
This capstone project presents a transformative solution to Seaspan’s high-energy demand costs by integrating a state-of-the-art Battery Energy Storage System (BESS) with rooftop solar. Faced with significant peak load charges due to sporadic high-capacity pump operations, the solution reduces demand charges and grid dependency during peak periods. By leveraging BC Hydro’s energy storage incentives, the project enhances financial viability and supports grid stabilization. A comprehensive analysis of load patterns, site conditions, and optimal BESS configurations resulted in an efficient system for peak shaving. This initiative showcases the potential of innovative LFP battery technology in advancing energy efficiency, resilience, and sustainability.
Methods and Materials
The process accounted for seasonal load variations to ensure the BESS design could manage peaks year-round, flatten the load profile, and reduce demand charges, enhancing cost efficiency.
The BESS modeling process started with a detailed analysis of one year’s hourly load data (8,760 data points) to identify peak demand patterns caused by intermittent pump operations. Excel was used to process the data, highlighting distinct monthly peak trends. A baseline load profile was created by excluding pump operations, enabling the design to focus on peak shaving for maximum cost efficiency.
Storlytics, a specialized BESS design tool, was utilized to conduct sensitivity analyses on various charging and discharging cycles and system configurations. This analysis optimized critical parameters, including State of Charge, Depth of Discharge, and charging efficiency. Multiple scenarios were evaluated to develop an effective peak shaving strategy that aligned the BESS discharge cycles with the facility’s annual load profile.
The design approach aimed to flatten the load profile, reduce monthly demand charges, and improve cost-effectiveness. Seasonal variations in load were also considered, ensuring the BESS could efficiently manage peak loads throughout the year.
Limitations
Uncertain Future Demand Growth: The current BESS design may prove insufficient if future facility demand increases, potentially necessitating system oversizing or additional upgrades.
One-Time Incentive Limitation: BC Hydro’s incentive applies exclusively to the initial BESS installation, meaning future expansions would not benefit from similar financial support, potentially affecting the economic feasibility of upgrades.
Challenges with Solar Generation: Vancouver’s low solar irradiation presents several issues, including limited year-round energy generation, prolonged payback period for solar investment, high upfront capital expenditure relative to energy output and lack of significant solar-specific incentives from BC Hydro.
Conclusions
This BESS project, supported by BC Hydro’s substantial incentive of $10,000 CAD per kW, offers a strong financial opportunity for Seaspan. By efficiently shaving peak demand, the system has significantly lowered the facility’s demand charges, with 50% demand charge savings. Beyond addressing immediate energy challenges, this initiative sets the stage for broader adoption of BESS across industries. The innovative approach has the potential to transform British Columbia’s energy landscape by enhancing grid stability and reducing reliance on carbon intense energy from neighbouring province during peak demands, advancing sustainability, and delivering substantial cost savings to businesses through reduced demand charges.