National Academies Press: OpenBook

Airport Microgrid Implementation Toolkit (2021)

Chapter: Appendix C - Microgrid Case Studies

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Suggested Citation:"Appendix C - Microgrid Case Studies." National Academies of Sciences, Engineering, and Medicine. 2021. Airport Microgrid Implementation Toolkit. Washington, DC: The National Academies Press. doi: 10.17226/26165.
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Suggested Citation:"Appendix C - Microgrid Case Studies." National Academies of Sciences, Engineering, and Medicine. 2021. Airport Microgrid Implementation Toolkit. Washington, DC: The National Academies Press. doi: 10.17226/26165.
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Suggested Citation:"Appendix C - Microgrid Case Studies." National Academies of Sciences, Engineering, and Medicine. 2021. Airport Microgrid Implementation Toolkit. Washington, DC: The National Academies Press. doi: 10.17226/26165.
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Suggested Citation:"Appendix C - Microgrid Case Studies." National Academies of Sciences, Engineering, and Medicine. 2021. Airport Microgrid Implementation Toolkit. Washington, DC: The National Academies Press. doi: 10.17226/26165.
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Suggested Citation:"Appendix C - Microgrid Case Studies." National Academies of Sciences, Engineering, and Medicine. 2021. Airport Microgrid Implementation Toolkit. Washington, DC: The National Academies Press. doi: 10.17226/26165.
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Suggested Citation:"Appendix C - Microgrid Case Studies." National Academies of Sciences, Engineering, and Medicine. 2021. Airport Microgrid Implementation Toolkit. Washington, DC: The National Academies Press. doi: 10.17226/26165.
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Suggested Citation:"Appendix C - Microgrid Case Studies." National Academies of Sciences, Engineering, and Medicine. 2021. Airport Microgrid Implementation Toolkit. Washington, DC: The National Academies Press. doi: 10.17226/26165.
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Suggested Citation:"Appendix C - Microgrid Case Studies." National Academies of Sciences, Engineering, and Medicine. 2021. Airport Microgrid Implementation Toolkit. Washington, DC: The National Academies Press. doi: 10.17226/26165.
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Suggested Citation:"Appendix C - Microgrid Case Studies." National Academies of Sciences, Engineering, and Medicine. 2021. Airport Microgrid Implementation Toolkit. Washington, DC: The National Academies Press. doi: 10.17226/26165.
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Suggested Citation:"Appendix C - Microgrid Case Studies." National Academies of Sciences, Engineering, and Medicine. 2021. Airport Microgrid Implementation Toolkit. Washington, DC: The National Academies Press. doi: 10.17226/26165.
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Suggested Citation:"Appendix C - Microgrid Case Studies." National Academies of Sciences, Engineering, and Medicine. 2021. Airport Microgrid Implementation Toolkit. Washington, DC: The National Academies Press. doi: 10.17226/26165.
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Suggested Citation:"Appendix C - Microgrid Case Studies." National Academies of Sciences, Engineering, and Medicine. 2021. Airport Microgrid Implementation Toolkit. Washington, DC: The National Academies Press. doi: 10.17226/26165.
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Suggested Citation:"Appendix C - Microgrid Case Studies." National Academies of Sciences, Engineering, and Medicine. 2021. Airport Microgrid Implementation Toolkit. Washington, DC: The National Academies Press. doi: 10.17226/26165.
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Suggested Citation:"Appendix C - Microgrid Case Studies." National Academies of Sciences, Engineering, and Medicine. 2021. Airport Microgrid Implementation Toolkit. Washington, DC: The National Academies Press. doi: 10.17226/26165.
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Suggested Citation:"Appendix C - Microgrid Case Studies." National Academies of Sciences, Engineering, and Medicine. 2021. Airport Microgrid Implementation Toolkit. Washington, DC: The National Academies Press. doi: 10.17226/26165.
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Suggested Citation:"Appendix C - Microgrid Case Studies." National Academies of Sciences, Engineering, and Medicine. 2021. Airport Microgrid Implementation Toolkit. Washington, DC: The National Academies Press. doi: 10.17226/26165.
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Suggested Citation:"Appendix C - Microgrid Case Studies." National Academies of Sciences, Engineering, and Medicine. 2021. Airport Microgrid Implementation Toolkit. Washington, DC: The National Academies Press. doi: 10.17226/26165.
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Suggested Citation:"Appendix C - Microgrid Case Studies." National Academies of Sciences, Engineering, and Medicine. 2021. Airport Microgrid Implementation Toolkit. Washington, DC: The National Academies Press. doi: 10.17226/26165.
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Suggested Citation:"Appendix C - Microgrid Case Studies." National Academies of Sciences, Engineering, and Medicine. 2021. Airport Microgrid Implementation Toolkit. Washington, DC: The National Academies Press. doi: 10.17226/26165.
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Suggested Citation:"Appendix C - Microgrid Case Studies." National Academies of Sciences, Engineering, and Medicine. 2021. Airport Microgrid Implementation Toolkit. Washington, DC: The National Academies Press. doi: 10.17226/26165.
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Suggested Citation:"Appendix C - Microgrid Case Studies." National Academies of Sciences, Engineering, and Medicine. 2021. Airport Microgrid Implementation Toolkit. Washington, DC: The National Academies Press. doi: 10.17226/26165.
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Suggested Citation:"Appendix C - Microgrid Case Studies." National Academies of Sciences, Engineering, and Medicine. 2021. Airport Microgrid Implementation Toolkit. Washington, DC: The National Academies Press. doi: 10.17226/26165.
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Suggested Citation:"Appendix C - Microgrid Case Studies." National Academies of Sciences, Engineering, and Medicine. 2021. Airport Microgrid Implementation Toolkit. Washington, DC: The National Academies Press. doi: 10.17226/26165.
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39 Introduction Air operations are a critical component of US national defense missions and capacities. Each of the military services employs airpower for various missions and purposes, and US Depart­ ment of Defense (DoD) owns nearly 14,000 aircraft. DoD aircraft deliver a full spectrum of capabilities, from air defense and intercontinental strategic operations to cargo delivery and personnel relocation. DoD shares many of the same requirements and infrastructure as the civilian air industry to operate, including air traffic control operations, critical weather monitoring and commu­ nications systems, hangars, and airfields. In fact, many military airlift units are co­located with civilian airports and utilize the same runways, and many airframes employed by the military are variations of those used in the civilian air industry. In response to concerns over reliance on commercial power to meet critical requirements, DoD and the military services are increasingly focusing on domestic energy resilience.10 His­ torically, DoD’s energy resilience efforts have focused on mitigating short­term power inter­ ruptions. Recent threat analyses have indicated an increasing risk of regional prolonged power disruptions from extreme weather and determined adversaries.11 DoD has been steadily updat­ ing its policies to place a greater emphasis on critical infrastructure protection: • The Office of the Secretary of Defense established a policy requiring military bases to assess their critical infrastructure vulnerabilities and to deploy energy efficiency, distributed genera­ tion, and/or renewable energy sources to enhance energy resilience as needed.12,13 DoD also requires the development of Installation Energy Plans that identify the critical mission opera­ tions on military bases that require a continuous supply of energy.14 • The Army has issued an energy and water security policy for its installations, requiring that critical missions be provided with their required energy and water for 14 days, and the Air Force has issued a policy that critical infrastructure be able to function independently of the grid for at least 7 days.15,16 The Department of the Navy’s Energy Security Framework also requires backup power for up to 7 days, depending on the type of facility.17 • The 2019 National Defense Authorization Act (NDAA) amended the Energy Policy of DoD to include additional energy resilience requirements. These included establishing specific resilience metrics, conducting energy system readiness assessments, reporting on resilience initiatives, and prioritizing resilience in energy procurement contracts.18 Given the role of airpower in core national defense missions, it is unsurprising that many investments to strengthen the energy resilience of DoD installations are made to protect facilities and infrastructure involved in air operations. In this report, four case studies capture how A P P E N D I X C Microgrid Case Studies

40 Airport Microgrid Implementation Toolkit the DoD has integrated microgrids into domestic installations and lessons learned from the process that could be applied to civilian airports. In order to choose these case studies, Converge Strategies, LLC, reviewed its database of close to 60 military microgrids. A primary selection criterion was whether the installations had active airfields or were Air Force bases. The case study selections were further narrowed to focus on microgrids that use different technology configurations, are at different stages of project devel­ opment, and employ different procurement and financing strategies. The structure of the case studies was benchmarked against other reports that feature profiles of civilian, military, and remote community microgrids.19 Also included is a case study on the microgrid at John Wayne Airport (SNA) as an example of a civilian airport microgrid project. Joint Base Cape Cod (Otis Air National Guard Base) Microgrid Summary The Otis Air National Guard Base (ANGB) microgrid project was initiated in 2015 and expected to be completed in 2019 when this report was written. The Otis ANGB microgrid combines conventional diesel power generation, battery storage, and wind power production. The grid can be operated in island mode to support the 1.5 megawatt (MW) peak load of the base for up to 120 hours. Financing was provided through a $7.5 million DoD Environmental Security Technology Certification Program (ESTCP) grant, $925,000 in funding from the Commonwealth of Massachusetts, and $3 million of in­kind military labor. The grid is owned and operated by the Air National Guard along with its ESTCP project partner, Raytheon. Through participation in the ISO New England (ISO­NE) market, the microgrid will be able to generate an estimated $565,000 in annual revenue, in addition to the estimated yearly savings of $122,000 to the base from reduced electricity costs. Status Currently operating. Technologies • Generation: 1.5 MW wind turbine, 1.6 MW diesel generator. • Storage: 1.6 MW/1.2 megawatt hours (MWh) Ecoult Ultrabattery® Battery Energy Storage System (BESS). • Control system: Raytheon’s Intelligent Power and Energy Management (IPEM) Microgrid Control System (MCS). Capabilities • Resilience: Supports entire peak load (1.2 MW) of the base for up to 120 hours in island mode. • Economic benefits: Configured to generate revenue by participating in the regional frequency regulation, capacity, and demand response markets. On­site generation creates savings by offsetting power purchases from the grid.

Microgrid Case Studies 41 Sources of Funding The project was financed through federal and state grants plus in­kind military contributions: • $7.5 million from DoD ESTCP. • $925,000 general obligation bond funds from the Commonwealth of Massachusetts. • $3 million of in­kind military labor, specialized construction, and engineering support. Background Joint Base Cape Cod (JBCC) is a military base home to Air Force, Massachusetts Air National Guard, Massachusetts Army National Guard, and Coast Guard installations. JBCC is located on the western portion of Cape Cod in Barnstable County, Massachusetts.20 Otis ANGB is one of the primary components of JBCC. Otis ANGB is the home of the 102nd Intelligence Wing (120IW) and the Otis Distributed Ground Station Intelligence Group, which conducts near real­ time analysis by receiving data from U­2, RQ­4, and MQ­9 aircraft. The mission of the 102IW is to provide worldwide precision intelligence and command and control along with trained and experienced airmen for expeditionary combat support and homeland security.21 Microgrid Architecture Generation, Storage, and Controls Otis ANGB began development of a microgrid project in 2015.22 The microgrid was on schedule to be fully commissioned in December 2018 and operational in the first quarter of 2019. The microgrid is capable of powering the entire Otis ANGB campus, which has a base load of 0.8 MW and peak load of 1.5 MW, for 120 hours. JBCC has an airfield that is used by Coast Guard Air Station Cape Cod, but the microgrid does not serve it since it falls outside the Air National Guard mission. The microgrid is the first wind­powered microgrid in the DoD, and it integrates an existing 1.5 MW wind turbine. The microgrid also integrates an existing 1.6 MW diesel generator and a new 1.6 MW/1.2 MWh Ecoult UltraBattery® BESS (see Figure C­1). The UltraBattery is a lead acid battery with an ultracapacitor built into its electrode, which allows the system to provide greater power for longer periods than traditional storage options.23 The microgrid is controlled by Raytheon’s IPEM MCS, which enables the system to operate as an island during power outages and to earn revenue from electricity markets while operating in grid­connected mode (see Cybersecurity section). Wind generation coupled with the battery is the main source of islanded power; the installation aims to prove that renewables plus storage— with minimal diesel generator backup—can be a viable primary power source for an islanded microgrid. Cybersecurity In order to participate in the regional electricity markets, the microgrid must maintain an inter­ net connection to the ISO­NE wholesale electricity market. As a result of the funding it received from DoD (see DoD ESTCP section), Otis ANGB is currently the only military microgrid in compliance with DoD cybersecurity requirements. This DoD process—the Risk Management Framework—has not previously been fully navigated by an Air Force installation, and Otis ANGB is leading the way. Project Development and Resourcing Timeline Wind turbine. In 2009, the Air Force Civil Engineer Center (AFCEC) installed a 1.5 MW Furhländer wind turbine (“Wind 1”) at Otis ANGB in order to offset energy consumption and

42 Airport Microgrid Implementation Toolkit emissions caused by nine pump and treat systems used to remediate contaminated ground­ water.24 (See Figure C­2.) The project was funded with Air Force and Army Defense Environ­ mental Restoration Account dollars. In 2011, AFCEC installed two additional 1.5 MW General Electric wind turbines; the three wind turbines combined offset 100 percent of the energy used by the cleanup program.25 Massachusetts Military Task Force support. In 2014–2015, the 102IW received support from the Massachusetts Military Asset and Security Task Force (MASS­TF) and its partner agencies within the Commonwealth of Massachusetts. Created in 2012, the MASS­TF aims to “protect and expand missions, jobs and economic investments at and surrounding Massachusetts’ military instal­ lations.”26 In 2014, the MASS­TF commissioned a study that identified opportunities for employ­ ing advanced energy technologies such as microgrids, energy­efficiency upgrades, and renewable energy at each of the state’s six military installations. Following the study, the state—using general obligation bond funds targeted through its FY 2015 capital investment plan27—provided grants to Figure C-1. Schematic of OTIS ANGB microgrid. Figure C-2. Project development timeline for OTIS ANGB microgrid.

Microgrid Case Studies 43 each military base to complete energy efficiency upgrades in 2015. The 102IW received $1.1 million for high­efficiency boilers and an upgrade to the central energy management system.28 These efficiency investments reduced the load that the microgrid would have to serve. DoD ESTCP. Otis ANGB, in partnership with Raytheon, submitted a proposal to the DoD ESTCP to demonstrate two primary innovations: 1. Ability to provide 120 hours of reliable off­grid islanding using the existing high­power wind generation and minimal backup generation in combination with energy storage and a control system, while minimizing fuel usage and maintaining the required level of power quality for the Air Force mission. 2. A cyber­secure integration with ISO­NE to generate revenue through participation in regional electricity markets.29 The project was awarded $6 million from ESTCP to support design and construction in 2016. Under ESTCP, Otis ANGB and Raytheon have divided project responsibility, with the base handling the organization of construction and operations. In addition to deploying the control system, Raytheon has served as the fiscal agent for the project. The company received the fund­ ing from ESTCP and is responsible for financial accounting, reporting, and contracting require­ ments under the grant. Construction. In order to connect Wind 1 directly to the loads on the base, the 249th Engi­ neering Battalion Delta Company (Reserves) installed over 3.5 miles of electric distribution cable. The 212th Engineering Installation Squadron also installed 4.5 miles of dedicated fiber control network for the microgrid, and the 102IW Communications Flight and 102IW Civil Engineer Squadron contributed significant design and construction support work. In total, the construction that the military labor force was able to complete reduced construction costs by approximately $3 million.30 Additional state and federal resources. The original project concept assumed that military labor would be sufficient to complete the construction. The complexities of the microgrid instal­ lation, however, required additional specialized construction support and additional resources. In 2017, the MASS­TF recommended that the state provide a $925,000 grant specifically to sup­ port the installation of the UltraBattery for the microgrid. In 2018, the project was awarded an additional $1.5 million in ESTCP funds to close other budget shortfalls. Project completion. The formal ribbon cutting for the project occurred in August 2018, and the project completed additional testing and commissioning during Fall 2018. The project was projected to begin operations in the first quarter of 2019. Ownership, Operations, and Performance Ownership and operations. The Air National Guard owns and operates the microgrid with support from its ESTCP project partner, Raytheon. Otis ANGB also owns and operates the distribution system that serves the base. The microgrid may face an operations and mainte­ nance challenge for several reasons. Microgrid projects funded through ESTCP demonstrations have a set timeline for implementation that does not include operations and maintenance (O&M) costs after the project period ends. The microgrid system will require funding above and beyond Otis ANGB’s current budget to sustain microgrid functionality after the ESTCP grant funding comes to an end. Otis ANGB has also stated that it faces shortages in skilled utility system personnel as a result of pending retirements and competition for talent from the private sector. These personnel shortages may further constrain the base’s utility system and microgrid operation in the future.

44 Airport Microgrid Implementation Toolkit Technical performance. The microgrid was not yet operational and did not yet have a per­ formance record during outage events. Economic performance. The microgrid has a target simple payback of under 5 years and a target savings to investment ratio of greater than two.31 The key to meeting these targets is the ability for the microgrid to provide grid services and participate in the ISO­NE markets to generate revenue. Specifically, the base plans to use the microgrid storage and generation resources to participate in frequency regulation, capacity, and demand response markets. It is projected that the base could earn more than $565,000 in annual revenue, based on 2015 data. In addition to market participation, the microgrid is projected to save the base up to $122,000 each year by offsetting electrical energy purchases from the grid. The microgrid is expected to reduce both generator emissions and the environmental impacts associated with maintaining and refueling generators, though these environmental benefits have not been calculated. Utility engagement. One of the main challenges faced by the microgrid project has been the lack of involvement from the local distribution utility, which demonstrated limited interest in the project because it has few incentives to quickly interconnect microgrid projects. Marine Corps Air Station Miramar Microgrids Marine Corps Air Station Miramar (MCAS Miramar) is implementing two microgrids: one that serves the entire base and one that is sited at an individual building. These are referred to as 1) “Installation Microgrid” and 2) “Building­Level Microgrid.” This case study provides details for these microgrids separately and, where applicable, draws overall conclusions regard­ ing MCAS Miramar as a whole. MCAS Miramar Installation Microgrid Summary The MCAS Miramar Installation Microgrid project began in 2009 and is continuing to evolve as the base’s mission set expands. The microgrid combines 3.2 MW of landfill gas, 2.8 MW of traditional natural gas generation, 3.6 MW of diesel, and solar generation. It is able to support mission­critical facilities in island mode for 3 weeks. In economic mode, the microgrid operates to save on­base peak demand charges and offset electricity purchases from the grid. The project was funded with DoD Energy Resilience and Conservation Investment Program (ERCIP) fund­ ing but was also supplemented with a California Energy Commission (CEC) grant. Status Construction (completion anticipated 2019). Technologies • Generation: – Landfill gas. � Two 1.6 MW gas generators (3.2 MW total) (existing). � 1.6 MW additional gas generator (under development). – Power plant. � Natural gas generators: two 1.4 MW natural gas reciprocating engines. � Two 1.8 MW diesel engines. – 1.2 MW of behind­the­meter solar photovoltaics (PV) located within the islandable area.

Microgrid Case Studies 45 • Storage: 3 MW/1.5 MWh battery (under development, projected 2020). • Demand-side resources: 1.6 MW load­shedding capability enabled by the Area Wide Energy Management System (AWEMS) managing building HVAC loads (under development). • Control system: – Energy and Water Operations Center (EWOC) provides the base microgrid and plant operators with direct control of the integrated microgrid control system, utilizing Schneider Electric’s OASyS supervisory control and data acquisition (SCADA) software. – AWEMS via Johnson Controls (under development). Capabilities • Resilience: The microgrid can completely island mission­critical loads for 3 weeks without outside fuel deliveries. • Economic benefit: The microgrid is able to shave on­base peak demand charges and generate savings by offsetting electricity purchases from the grid.32 The base also uses the microgrid to participate in the demand response program offered by its utility. Sources of Funding The project was financed through DoD MilCon funding, state grants, and private capital. • DoD Energy Conservation Investment Program (now ERCIP): $5 million for a 12 kilovolt (kV) distribution line between the landfill gas power plant and the flight line, and a $20 mil­ lion project for additional generation assets and microgrid controllers. • CEC’s Electric Program Investment Charge (EPIC) grant: $5 million funded a 3 MW/1.5 MWh battery (through Schneider Electric) and modifications to the AWEMS for demand response capability (through Johnson Controls). • Power Purchase Agreement (PPA): MCAS Miramar entered into a 15­year PPA under 10 USC § 2922a authority for electricity from 3.2 MW of landfill gas generation. The landfill gas power plant is financed, owned, and operated by Fortistar, a private energy development company. MCAS Miramar Background MCAS Miramar contains 23,000 acres and is located 10 miles north of downtown San Diego, CA. MCAS Miramar is home to the 3rd Marine Aircraft Wing, the aviation element of the 1st Marine Expeditionary Force. The 3rd Marine Aircraft Wing’s mission is to provide combat­ ready expeditionary aviation forces capable of short notice worldwide deployment to Marine Air Ground Task Force, fleet, and unified commanders.33 Microgrid Architecture Generation, Storage, and Controls The main components of the microgrid are a 3.2 MW landfill gas power plant sited at a municipal waste facility at the city landfill and a centralized power plant consisting of 3.6 MW of diesel generation and 2.8 MW of natural gas generation sited on­base.34 (See Figure C­3.) The microgrid is connected and controlled using fiber optic infrastructure, utility control, and a SCADA system through the EWOC on the installation. The microgrid island can provide power to over 100 facilities for three weeks without the need for additional diesel fuel delivery, assuming natural gas and landfill assets are all fully functioning. The microgrid serves all critical facilities, including the 6 MW peak load of the flight line.35

46 Airport Microgrid Implementation Toolkit The microgrid is made up of distinct, interconnected assets:36 • Landfill gas energy plant: The City of San Diego’s Miramar Landfill sits on approximately 476 acres on the south end of the installation. The Navy leases the landfill property to the city, and all waste management operations at the landfill are run by the city. Fortistar, a private company, operates two civilian landfill gas generating facilities associated with the landfill. A 15­year PPA, discussed in the following section, enabled the construction of two addi­ tional landfill gas­powered, 1.6 MW gas generators and the installation of 43 new landfill gas extraction wells. Although physically sited at the landfill, the two new landfill gas generators are directly connected to MCAS Miramar by a 12 kV distribution line; their entire output supplies the base. • Diesel and natural gas power plant: – Natural gas generators: two 1.4 MW natural gas reciprocating engines. – Diesel engines: two 1.8 MW diesel engines. • Communications and control systems: additional fiber optic infrastructure and upgrades to control systems/SCADA. • EWOC: The EWOC will provide microgrid and plant operators as well as base energy per­ sonnel with direct control of the integrated microgrid control system, utilizing Schneider Electric’s OASyS SCADA software. • Solar PV: The installation has 1.2 MW solar PV assets installed within the islandable area of the microgrid, but they are not controlled through the energy management or microgrid control systems. MCAS Miramar plans to add an additional 3 MW/1.5 MWh battery energy storage system next to the power plant to be incorporated into the microgrid. The base will also modify its exist­ ing AWEMS to enable basewide HVAC load­shedding capability. These two enhancements will allow the base to participate in the utility demand response program and will enable the base to better manage power quality, load, and energy resources in the microgrid island. Project Development and Resourcing Timelines The process to develop and install the MCAS Miramar Installation Microgrid started in 2009 and is still evolving as the installation’s mission set continues to grow. The base has worked with Figure C-3. MCAS Miramar microgrid components.

Microgrid Case Studies 47 state and municipal partners in innovative ways at each stage of the energy resilience project’s development. See Figure C­4 for a detailed timeline of the process. 2009 ECIP Distribution Line Project: MCAS Miramar was awarded $5 million through the DoD ECIP (see Figure C­4) to build a 12 kV distribution line from the Miramar Landfill to the flight line south of the airfield. At the time, the line provided no additional resilience to the instal­ lation, but the landfill’s ability to provide power to the flight line was the first building block for the microgrid concept. ECIP is the predecessor to the DoD ERCIP. ERCIP is a subset of the Defense­Wide MilCon Program specifically intended to fund projects that improve energy resilience, contribute to mis­ sion assurance, save energy, and reduce DoD’s energy costs. ERCIP accomplishes this through construction of new, high­efficiency energy systems and technologies or by modernizing exist­ ing energy systems. Authority for the ERCIP program is established by 10 USC § 2914.37 Military bases submit project concepts through DD Form 1391 in order to compete for ERCIP funding on an annual basis. The MCAS Miramar project addressed the modernization of existing energy systems requirement of ECIP. 2010–2011 Net Zero Study38 and Microgrid Planning and Design Analysis: The Net Zero initiative was launched in 2008 by the DoD and Department of Energy to address military energy usage. The concept of a net zero energy installation (NZEI) evolved from the definition of a net zero energy building. The task force initially defined an NZEI as “a military installa­ tion that produces as much energy on or near the installation as it consumes in its buildings and facilities.” Included in the report was the start of the analysis of a distributed generation microgrid, which paved the path for further planning and design analysis. An outcome of the analysis was the DD Form 139139 that was completed and submitted for FY14 ECIP funding. 2012 PPA: MCAS Miramar finalized a 15­year PPA contract under 10 USC § 2922a with Fortistar Methane Group of White Plains, NY, which enabled the construction of two 1.6 MW internal combustion engines fueled by landfill gas. The landfill gas power plant is financed, owned, and operated by Fortistar. 2016 ECIP Microgrid Project Award: MCAS Miramar was awarded $20 million from the ECIP to support the development of a central power plant and microgrid infrastructure. The project was submitted for FY14 ECIP funding, but funds were not awarded until 2016 because of an extended contractor selection process. The ECIP funding supported the natural gas and diesel reciprocating engine power plant, fiber optic infrastructure, control systems, SCADA, and the EWOC. 2018 EPIC grant: MCAS Miramar, in partnership with the University of California San Diego, was granted $5 million from the CEC EPIC (see Figure C­4) that funded a 3 MW/1.5 MWh National Renewable Energy Laboratory (NREL) Net Zero Study NREL Microgrid Planning & Design Analysis $5M ECIP Funding for 12kV distribution line PPA with City of San Diego complete Submit Application for FY14 ECIP Funding $20M ECIP Microgrid Project Award $5M CEC EPIC Grant Award Figure C-4. Project development timeline for MCAS Miramar installation microgrid.

48 Airport Microgrid Implementation Toolkit battery sited next to the microgrid power plant. The battery will be installed and incorporated into the microgrid in 2020. The base will also modify its existing AWEMS to enable basewide HVAC load­shedding capability. The CEC EPIC program was created by the California Public Utilities Commission (CPUC) in December 2011 to support investments in clean energy technologies that provide benefits to the electricity ratepayers of Pacific Gas and Electric Company, San Diego Gas & Electric Com­ pany (SDG&E), and Southern California Edison Company that pay into the EPIC fund as part of their rate. The EPIC program funds clean energy research, demonstration, and deployment projects that support California’s energy policy goals and promote greater electricity reliability, lower costs, and increased safety.40 Any project that meets the stated goals of the EPIC program is eligible, which could include projects or studies involving airports. The CEC identifies spe­ cific goals or target areas for the program each funding cycle. In regard to how applications are evaluated, projects spending at least 60 percent of their allotted funds in California will receive preference. Ownership, Operations, and Performance Ownership and operations. The microgrid is owned by the US Marine Corps (USMC), and Naval Facilities Engineering Command (NAVFAC) Southwest will have operational control. MCAS Miramar is currently working with the US Army Corps of Engineers on a sustainment project41 for the entire system. The installation is also working to hire a NAVFAC microgrid operator to be based at the new EWOC. Technical performance. As of the end of 2018, the microgrid was not operational. The microgrid as planned will support the facilities and mission­essential functions within the islandable area in the event of an outage. The microgrid has four modes of operations: • Standby mode: This is the normal operating mode of the system. The microgrid is online but not participating in islanding or participating in the demand response program. • Economic mode: See the following section on economic performance. • Test mode: This enables operators to assess the microgrid and its ability to respond to a com­ plete power outage. Under this mode, the microgrid is used to island half the base while the other half continues to receive power from SDG&E. This exercise is done one to two times per year. • Emergency island: This mode is used to provide electricity to critical facilities during true power interruptions when the facilities outside of the island would not have power. Economic performance. The microgrid’s main objective is to enable critical missions at MCAS Miramar to continue operations in the event of a power outage. When not islanding for emergency purposes, the microgrid will use its generation, storage, and load­shedding capabili­ ties to create savings and generate revenue. The microgrid controller will automatically dispatch microgrid resources to maximize eco­ nomic performance. The four options to capture savings and revenue include: • Energy optimization mode: The microgrid generators run when it is cheaper to supply power to the base than it is to purchase power from the utility. • Peak shaving: The microgrid runs specifically to shave on­site peak loads and reduce monthly demand charges. • Demand response: Storage and load management mode. The microgrid receives incen­ tives from the utility for participating in the demand response program. Under the demand response program, the microgrid is activated by the utility when there is a need to reduce consumption of grid power, and in return MCAS Miramar is paid a monthly enrollment fee and additional funding per event or is provided a credit on their energy bill.

Microgrid Case Studies 49 • Landfill gas backup: When the landfill gas generator trips offline, the natural gas and diesel generators can be run to prevent sudden spikes in demand (which could result in high peak demand charges). This feature addresses the challenge from one of the landfill gas generators that does not operate for close to 9 percent of the time because of poor quality landfill gas supply. The economic modes of the microgrid will be the main source of economic payback for the microgrid. MCAS Miramar staff project that the savings and revenues from the microgrid will balance the sustainment costs of the system going forward. Utility engagement. MCAS Miramar has been able to work collaboratively with SDG&E on innovative energy resilience projects. The utility has a managerial position dedicated to work­ ing with MCAS Miramar, providing a direct channel between them that is able to immediately muster SDG&E to assist with any disruptions faced by MCAS Miramar. MCAS Miramar Building-Level Microgrid Summary This 200 kW solar and battery storage system is able to power a single office building on MCAS Miramar for up to five hours in island mode. The DoD ESTCP demonstration project ($3 million) was funded in 2012 and was successfully demonstrated in 2016. The original battery was decommissioned, and the site is provisioning for three newer energy storage technologies through a $3 million CEC grant and $600,000 from the Navy Energy Support Budget. The Office of Naval Research’s (ONR’s) Energy System Technology Evaluation Program (ESTEP)—which is run in collaboration with Naval Information Warfare Systems Command—has completed a controls integration project as well, which integrated the building’s HVAC system into the microgrid. Recently, a second follow­on project has been funded to integrate plug loads and lighting into the microgrid as well, for 100 percent control over loads, generation, and storage resources. Status Operational in 2016, phase 2 completion in 2020. Technologies • Generation: – 200 kW carport PV system. • Storage: – Primus Power zinc­bromide EnergyPod®2 flow battery (25 kW/125 kWh) (replaced a 250 kW/1 MWh EnergyPod® flow battery). – TransPower lithium­ion battery (250 kW/600 kWh). – Six bidirectional charges/hybrid electric vans (vehicle to grid, or V2G). • Controls: – Raytheon’s IPEM system. – Direct digital control system to control building loads. � HVAC. � Lighting. � Plug loads. Capabilities • Resilience: During system testing, it was demonstrated that the battery and PV system could support the building’s operation for more than five hours.42

50 Airport Microgrid Implementation Toolkit • Economic benefits: – During normal grid conditions, the PV system offsets power purchased from the elec­ tricity grid. – Under the ESTCP, the Primus Power battery was used to demonstrate peak shaving.43 – Under the V2G project, Lawrence Berkeley National Laboratory (LBNL) will evaluate the participation of the electric vans in demand response and ancillary services programs.44 Sources of Funding The project was funded through DoD, state grant, and private funds: • $3 million DoD ESTCP grant supported the original battery PV system microgrid. • Raytheon used its own development funds to support hardware­in­the­loop (HiL) testing for the microgrid. • $1 million from ONR ESTEP program for integration. • $3 million from the CEC for a vehicle­to­grid demonstration program. • Navy energy support budget and CEC funding for a lithium­ion battery. Microgrid Architecture Generation, Storage, and Controls Similar to the larger scale, installation­level microgrid, the building­level microgrid continues to grow as new technologies are integrated into the project and as additional funders become interested.45 The project began in 2012 when an existing PV system was connected to a battery storage system and Raytheon’s IPEM microgrid control system (see Figure C­5). The project has continued to expand through the addition of a V2G project, a flow battery upgrade, and a lithium­ion battery.46 Project Development and Resourcing Timeline MCAS Miramar has funded this microgrid through a variety of sources, including the DoD and the CEC (see Figure C­6). Figure C-5. MCAS Miramar building microgrid design.

Microgrid Case Studies 51 2012 ESTCP grant: MCAS Miramar was awarded a $3 million grant from the DoD ESTCP program in partnership with Raytheon to integrate an existing 202 kW solar PV carport system and a Primus Power 250 kW/1 MWh battery to provide resilience to a building on the instal­ lation.47 The PV system’s inverters were upgraded so that PV system output could be con­ trolled. The installation was able to conduct HiL testing of the PV, the battery, and inverters at the National Renewable Energy Laboratory (NREL) Energy System Integration Facility in 2014.48,49 The HiL testing was paid for by Raytheon. The battery energy storage system was installed in 2015.50 The base is also installing a new inverter on an existing 30 kW rooftop PV system so that it can also be integrated into the microgrid. ONR ESTEP funding: The ONR ESTEP awarded Phase 1 funding of $600,000 to the instal­ lation to research cybersecurity concerns, conduct data analysis, install a direct digital control (DDC) system to control HVAC, and develop a public utility awareness display. MCAS Miramar plans to work with ESTEP in the near future to conduct additional cybersecurity research, plug load monitoring, and lighting controls. 2016 CEC V2G: The CEC had awarded a V2G project to LBNL in partnership with an Army base, but the project was unable to move forward after the award. The CEC and LBNL then trans­ ferred the project location to MCAS Miramar.51 The project provided $3 million to support the purchase of six electric vans with bidirectional charging, two of which will connect to the building­ level microgrid. The CEC also amended the contract to upgrade the original ESTCP­funded battery to a second generation Primus Power zinc­bromide flow battery (25 kW/125 kWh). 2018 Engineering and Expeditionary Warfare Center (EXWC) lithium-ion battery: With support from the NAVFAC EXWC, MCAS Miramar will also install a 250 kW/600 kWh TransPower lithium­ion battery.52 The battery was tested by EXWC for use at Naval Outlying Field San Nicolas Island, but the system was not installed because the microgrid configura­ tion would have been cost­prohibitive. MCAS Miramar’s existing microgrid infrastructure will enable the battery to be integrated with minimal upgrades and modifications. Ownership, Operations, and Performance Ownership and operations. The building­level microgrid is owned and operated by the USMC. Technical performance. During system testing, it was demonstrated that the battery and PV system could support the building’s operation for more than five hours.53 Economic performance: • During normal grid conditions, the PV system offsets power purchased from the elec­ tricity grid. Figure C-6. Project development timeline for MCAS Miramar building-level microgrid.

52 Airport Microgrid Implementation Toolkit • Under the ESTCP project, the Primus Power battery was used to demonstrate on­site peak shaving.54 • Under the V2G project, LBNL will evaluate the participation of the electric vans in demand response and ancillary services programs.55 MCAS Miramar Future Energy Resilience Plans MCAS Miramar is currently working with the Navy Resilient Energy Program Office (REPO) to execute an Intergovernmental Support Agreement (IGSA) with the City of San Diego to purchase an additional 1.6 MW of landfill power, for a total of 4.8 MW. The NDAA of 2013 authorized the military to enter into IGSAs with local and state governments if those agreements result in financial benefits or enhance mission effectiveness. During the course of the PPA, MCAS Miramar determined that one of the two landfill gas turbines is unable to operate for about 9 percent of the time due to landfill gas quality issues. As noted by the base, the unpredictable downtime of the landfill gas can pose challenges during island mode and can also cause utility bill spikes when operating in grid­connected mode. MCAS Miramar plans to install a 3 MW battery storage system in 2020 that will be interoperable with the microgrid and will be used to fill in for drops in the landfill gas output, rather than using a diesel generator. The current installation­level microgrid supports the critical loads on the installation, but due to the changing nature of the mission on the installation, those critical loads are continu­ ing to evolve over time. A new telecommunications facility is being built on the installation, which is programmed with an additional backup generator. This additional generator will be built with paralleling capability56 so that it will be able to operate with the microgrid. This way, the microgrid can support the new building and the generator can support the microgrid in an emergency to provide more benefit to the installation as a whole. Marine Corps Air Station Yuma Microgrid Summary In response to needs from the Marine Corps Air Station Yuma (MCAS Yuma) and the need to support the operation of the local utility grid, Arizona Public Service (APS) Company installed a diesel generator microgrid project through a 30­year Enhanced Use Lease (EUL). The microgrid provides frequency response capabilities to APS and energy resilience islanding capabilities to MCAS Yuma. Status Operational February 2017. Technologies • Generation: Ten 2.5 MW diesel generator blocks. • Storage: None currently, but it has the required configuration for a future storage integration control system. • Owned and operated by APS. Capabilities • Resilience: The generators can operate independently of the main utility grid, and the micro­ grid supports the entire base peak load (15 MW), which includes the critical mission assets

Microgrid Case Studies 53 as well as the support and administrative assets on the installation. The system can auto­ matically power up within 8–9 seconds of a disruption, and the installation is islandable for over 40 hours at peak load without fuel resupply. • Reliability: The generators are used by the utility to provide frequency regulation service and to reduce peak load on the grid. • Economic benefits: The microgrid is used by the utility to provide frequency regulation service and to reduce peak load on the grid. The microgrid will deliver avoided maintenance and fuel costs of approximately $300,000 by reducing the number of building­level generators needed on the installation. Sources of Funding • Private capital–EUL: APS financed the $21.6 million cost of the generators and now owns and operates the system. APS leases the land where the generators are sited from the USMC under a 30­year EUL. Under the terms of the EUL, APS provides an in­kind contribution to the USMC equal to the fair market value of the leased land. That contribution allows the USMC to access generator output during power quality and frequency events. • US Navy (USN) funding: The land identified for the lease was part of the Munitions Response Program (MRP), which required the land to be cleared before use. The cost to address the MRP requirements was approximately $1.5 million for the 1 acre for the microgrid. Project Timeline • Project conceived, September 2011. • APS approached to design and construct microgrid, December 2011. • Design began, December 2014. • Construction, April 2016–December 2016. • Fully operational, February 28, 2017. MCAS Yuma Background MCAS Yuma, located in the town of Yuma in the southwest corner of Arizona, is a mili­ tary installation home to the 3rd Marine Aircraft Wing, Marine Aviation Weapons and Tactics Squadron 1, Marine Operational Test and Evaluation Squadron 1, Marine Fighter Training Squadron 401, and the 4th Marine Aircraft Wing of the Marine Corps Reserve. The base is the primary facility for training Marine and Navy aviation units for both the Atlantic and Pacific fleets. Microgrid Architecture Generation, Storage, and Controls The MCAS Yuma microgrid is powered by 25 MW of centralized diesel generation, comprised of 10 2.5 MW diesel generation power blocks, with each power block comprised of multiple generators (see Figure C­7). The entire microgrid sits on a 2,000 square foot parcel of land. The microgrid control room was built to allow for the integration of additional renewable energy generation capacity and battery storage at a future date. At its current capacity, the microgrid can power the entire air station in island mode for over 40 hours, with a startup time of 8–9 seconds. Contracts with local diesel suppliers for deliveries of additional fuel supplies in case of a pro­ longed grid outage are in place. The microgrid will automatically power up when a disruption is detected through the microgrid control system, which continuously monitors the microgrid and the utility grid.

54 Airport Microgrid Implementation Toolkit Figure C-7. MCAS Yuma microgrid. Figure C-8. MCAS Yuma microgrid schematic. Security and Cybersecurity The microgrid is monitored 24 hours a day by APS and state regulators from Arizona and California (due to APS grid services crossing state lines). Only APS­cleared personnel are allowed to enter and maintain the facility, removing the need for the military to go through the arduous clearance process required for utility maintenance personnel (see Figure C­8). APS has delegated signature authority to three military personnel to bring maintenance workers into the micro­ grid facility, and only two USMC personnel are authorized to go into the breaker room. With APS owning the cybersecurity requirement there is less burden on the installation but also less oversight on how the cybersecurity requirements are being met. Project Development and Resourcing Timeline 2011 power outage. MCAS Yuma began developing its microgrid project in response to a 14­hour power failure on September 8, 2011, caused by an extended period of high temperatures

Microgrid Case Studies 55 in the region. At that time, the installation had emergency generation capacity for 39 critical facilities, but support facilities were left completely inoperable. The lack of functioning support facilities constrained the missions of the critical facilities. Three months after the outage, MCAS Yuma leadership approached APS to discuss potential for renewable energy development. How­ ever, this solution was not pursued because APS had already met its renewable portfolio standard requirements and was not interested in supporting additional renewable energy at the base. EUL development. Although APS did not pursue a renewable energy project with MCAS Yuma, the utility needed to site a power plant to provide frequency regulation and peak shaving to the grid. APS approached MCAS Yuma with a proposal to site a diesel power plant on the base through a 30­year EUL agreement in conjunction with the microgrid. As a requirement of the EUL, APS must provide an in­kind contribution to the USMC equal to the fair market value of the leased land. APS provides the in­kind contribution by allowing the USMC to access generator output during power quality and frequency events. EULs were not new to the USN, but the MCAS Yuma process was one of the first times that the Navy recognized the resilience value provided by third­party energy infrastructure as an in­kind contribution. Negotiating this novel funding approach to leasing slowed down project development. The project’s proposal coincided with USN efforts to procure 1 gigawatt (GW) of renewable energy by 2020 in response to policy requirements passed under Secretary of the Navy Ray Mabus in October 2009.57 This alignment allowed MCAS Yuma to find strong project champions within Navy Facilities (NAVFAC) HQ, USMC HQ, and the recently stood­up REPO. Environmental remediation. Prior to the construction of the microgrid, the USN had to address environmental and hazardous waste requirements on the 3 acres of land identified for the microgrid, which were included in the MRP. The costs to address the remediation and National Environmental Policy Act requirements were approximately $1.5 million. Securing the buy­in of the nearby community was also an important and time­consuming process. The installation had to convince local residents—including a number of nearby farms— that the project would not negatively impact their day­to­day lives. During grid power events, the microgrid actually supports both the installation and the local grid. Ownership, Operations, and Performance Ownership and operations. APS built, owns, operates, and maintains the microgrid at MCAS Yuma. With this ownership structure, APS is responsible for all maintenance and opera­ tion of the microgrid. APS is also responsible for complying with regulatory requirements from the State of Arizona, such as air quality assessments. In addition to providing resilience to the installation, the generator provides APS’ customers with another source of generation during peak demand times, which has reduced the need for additional energy infrastructure off­base and improved local frequency regulation. For these reasons, there are only two APS­trained, Marine personnel authorized to enter the breaker room that can disconnect APS from the system. Technical performance. To date, the microgrid has been primarily used by the utility for frequency regulation during short­term events, which last only 15 to 20 minutes. This service helps balance grid frequency and counteract larger systemwide blackouts. APS is a balancing authority and is mandated by federal authority to mitigate frequency events in the area, which may impact the entire West Coast. Since the microgrid was installed, there have been 78 instances in which the generators were used to provide frequency regulation. As a result of the frequency regulation, the base itself has experienced fewer frequency events resulting in negative impacts to equipment (e.g., equipment being damaged or tripping offline). If necessary, the microgrid can

56 Airport Microgrid Implementation Toolkit support the 15 MW load of MCAS Yuma for over 40 hours, and APS has diesel supply delivery contracts in place to bring in additional fuel if required. Though the fuel delivery process is well­ coordinated between the installation and the utility, relying on civilian sources for additional supplies could pose a risk to base operations if a long­term disruption impacts transportation and base access infrastructure. Economic performance. APS is seeking to recover its $21.6 million investment in the microgrid through an ongoing rate case before the Arizona Corporation Commission (E­01345A­16­0036).58 The utility cites the benefits that the microgrid offers its civilian custom­ ers, including peaking capacity and frequency regulation from a single plant. The microgrid offers these services at a cost savings compared with other market options, according to the rate filing.59 The base has also been able to capture an economic benefit from the project above and beyond the resilience benefits that would be provided during power interruptions. APS’ cen­ tralized generators have reduced the number of smaller generators required to provide backup power at the base, which has reduced the time required from base staff for generator O&M. The power plant has also reduced the amount of O&M caused by frequency events. Combined, these two factors will reduce annual MCAS Yuma O&M costs by $300,000. Utility engagement. One of the main challenges of any microgrid project is securing involvement from the local utility. As discussed previously, APS recognized the economic, resil­ ience, and reliability benefits of the MCAS Yuma microgrid project, not only to the base itself but to the utility and to utility ratepayers as well (through peak shaving and response to grid frequency events). Working with the base also allowed the utility to avoid siting challenges, and locating the power plant behind the base’s fence line provided the added benefit of strong physical security (limited base access, armed guards, etc.). For the base, utility financing, ownership, and operation of the microgrid facility at MCAS Yuma have demonstrated the value to the military of outsourcing these responsibilities. Leveraging APS’ capital, expertise, and know­how increased the speed at which the project was completed. APS ownership has also streamlined and de­risked power plant O&M for the military, eliminated the need to hire additional O&M personnel, and reduced the need for addi­ tional project sustainment funds from DoD budgets. Relying on APS for the operation of the microgrid does pose a potential risk if, in the event of a large disruption, APS personnel are unable to get on base and MCAS Yuma personnel cannot operate or maintain the complex system. As part of a vertically integrated utility, the microgrid communicates only with APS and does not have to communicate with an independent market like ISO­NE. Consequently, the installa­ tion does not need to send data through less cyber­secure networks to participate in the market, which provides a cyber­secure way for the microgrid to connect to the utility infrastructure.60 Lessons Learned for Airports from DoD Examples • Lesson 1: Plan on a phased approach. Military microgrids have taken several years to develop and have progressed in phases. The microgrids in the case studies took more than 4 years to conceive, plan, and build. There have not yet been standardized or turnkey solutions deployed at military bases. In the cases of Otis ANGB and MCAS Miramar, different components requiring different resourcing strategies were added successively over time. In some cases, this phasing was necessitated by a lack of readily available funding for the full microgrid proj­ ect. In other cases (e.g., Miramar), the foundation created by the existing microgrid attracted new opportunities for expansion. Airports should plan on a multi-year—and potentially phased—timeline for projects, depending on funding sources and balancing needs with other airport priorities.

Microgrid Case Studies 57 • Lesson 2: Use existing integrated resources. Military microgrids have often integrated existing assets. Both Otis ANGB and MCAS Miramar built their microgrids around existing energy infrastructure. Otis ANGB built its microgrid around an existing wind turbine. MCAS Miramar leveraged a dedicated distribution line that connected the base to landfill gas resources for its basewide microgrid and incorporated an existing PV system into its building­level micro­ grid. Airports should assess opportunities to use existing energy assets as building blocks for a microgrid. • Lesson 3: Understand local energy. Military microgrid configurations are highly customized as a result of differences in available local resources, such as wind on Cape Cod, landfill gas at Miramar, and solar PV at the Marine Corps base in Twentynine Palms, CA. Airports should similarly take careful stock of their local energy resources when designing their microgrid. • Lesson 4: Explore revenue generation. Military microgrid operations are a result of different regulatory and utility structures. In Massachusetts, Otis ANGB is positioned to sell ancillary services into ISO­NE’s wholesale market. In Arizona, where no such markets exist, the verti­ cally integrated utility is using resources on the base to supply frequency regulation. Airports should identify the market opportunities and constraints of their utilities and the struc- ture of the regional electricity market. • Lesson 5: Determine mission criticality. Military microgrids vary widely in scale. Microgrid solutions are different depending on the specific missions they are designed to support and the size of the critical loads on the base. At MCAS Yuma, for example, the microgrid supports the entire base. At MCAS Miramar, there are two separate microgrids at the base and building levels. Airports should identify and prioritize their critical “missions” and determine the specific energy requirements of those functions as part of microgrid design. • Lesson 6: Involve tenants. Military bases may include a broad range of tenants with their own energy resilience objectives, requirements, and capabilities. MCAS Yuma and MCAS Miramar each host multiple tenant commands. The relationships between these tenants may shape how the microgrid is designed and deployed. At JBCC, the microgrid supports the mission of the 102IW and does not serve the other services. US Air Station Cape Cod, for example, has separate energy resilience infrastructure with capabilities to island for 30 days as a result of its specific mission.61 Airports may have a large number of tenants (e.g., airlines), with dif­ ferent energy resilience requirements and expectations. Airports may also wish to engage and align with the energy resilience strategies and architectures of stakeholders such as the FAA. Airports should work with the tenants to understand their energy resilience requirements and expectations to scope the scale and size of the microgrid design. • Lesson 7: Partner with military. Close to 70 Air National Guard sites are co­located with civilian airports around the country. Airports should seek to engage with co-located military bases on joint energy resilience planning. • Lesson 8: Consider third-party operators. Military microgrids can be complex and expensive to operate. Otis and Miramar each own and operate their microgrid systems. Miramar is leveraging its microgrid assets to earn additional revenues and generate additional savings while operating in grid­connected mode. These additional earnings are being used to offset the costs to operate and maintain the microgrid. Nevertheless, the costs of sustaining the microgrid will be a challenge going forward. Otis ANGB is already facing challenges in hiring and retaining utility system operators as a result of competition for talent from the private sector. The lack of skilled operators may pose a challenge to microgrid function in the future. At MCAS Yuma, the local utility owns and operates the generating assets and is responsible for maintaining them at its expense. Airports should consider which ownership/management structures for energy resilience assets would be most available, attractive, and feasible for them. • Lesson 9: Leverage state and regional resources. Military microgrids have been built through partnerships with civilian authorities.62 In each case, military partnerships with state and local

58 Airport Microgrid Implementation Toolkit governments have played a pivotal role in the military energy resilience project’s success. As with the example of Otis ANGB, state energy or infrastructure funds can be made available to support military projects. As with the example of MCAS Yuma, state regulatory approval may be necessary to enable resilience projects to move forward. As with the example of MCAS Miramar, airports should explore joint resilience planning with other state and local enti- ties that have shared energy resilience goals and objectives. • Lesson 10: Start utility engagement early. Utility engagement is critical in military microgrid planning, although the degree of utility involvement varies across the bases. In the case of Otis ANGB, delays in the utility interconnection process hampered project progress. In the case of Yuma, the utility and the base were able to achieve a win­win partnership in which the base met its energy resilience objectives, while the utility was able to install critically important electricity infrastructure at a secure site. Airports should engage their local utility provider at the outset of the energy resilience planning process to identify opportunities for partner- ship and to spot challenging issues early on. • Lesson 11: Address cybersecurity as priority. Cybersecurity presents a significant threat to the commercial electricity grid upon which both the military and airports depend. Some mili­ tary emergency power systems are completely disconnected from the internet. These backup systems, however, are unable to take advantage of potentially available revenue streams. Both Otis ANGB and Miramar are planning to participate in demand response and/or ancil­ lary services markets. Participation in programs such as these creates both an opportunity for additional revenue and the risk of additional cyber vulnerability. Both Otis ANGB and Miramar are in the process of implementing processes to address their cybersecurity risks. Airports should integrate considerations of cybersecurity early on in their microgrid design process. • Lesson 12: Explore procurement innovations. The DoD has used a range of different procure­ ment methodologies to install microgrids. At MCAS Miramar, different components of the project were procured using different vehicles. The landfill gas project, for example, was par­ tially enabled by a PPA, whereas the next phase of landfill gas development may be devel­ oped under an IGSA. MCAS Yuma, by contrast, used a real estate transaction authority to support its energy resilience project. There are a broad range of procurement authorities available to airports, which vary depending on their institutional structure and by state and local policy. Airports should explore whether their available procurement pathways can be combined as “building blocks” for different phases of energy resilience project develop- ment, whether existing authorities can be utilized in new ways, or whether new authorities could be created. John Wayne Airport Microgrid Project Overview Location John Wayne Airport, Orange County, CA (SNA). Developer/Vendor • Design engineer: ARUP. • Construction Manager at Risk (CMAR): Swinerton Renewable Energy. • Natural gas engines: Cummins, Inc. Host Organization SNA, owned and operated by Orange County.

Microgrid Case Studies 59 Capacity • 7–9 MW of generation (includes 7 MW of existing natural gas engines plus 2 MW of added solar). • 6–8 MW of battery storage. Electric Utility Southern California Edison. Total Cost Approximately $19.6 million (total project budget, includes some non­microgrid work). Project Installation Timeline Figure C-9. John Wayne Airport Microgrid project timeline. Technical Characteristics In 2010, SNA installed a natural gas cogeneration system consisting of four 1.75 MW Cummins reciprocating engines that operate around 1.6 MW. The airport also has 14 additional emer­ gency diesel generator sets. In 2015, SNA contracted ARUP as consultants to improve the performance of the energy generation system. ARUP released the results of the study in a report on June 26, 2017—which identified seven issues including power quality and capacity concerns—and recommended that most of the problems could be addressed with a battery and microgrid. In early 2018, SNA decided to proceed with the recommendation to develop a microgrid and contracted ARUP as the design engineer and Swinerton Renewable Energy as the CMAR. While the project is still in the pre­design phase (as of November 2018), several of the fundamental project details have been planned. The microgrid’s generation capacity will be approximately 7–9 MW (the four existing Cummins engines plus 2 MW of additional planned solar PV). The initial plan includes 6–8 MW of four­hour battery storage—enough to replace one natural gas generator. The existing controls have several issues and will be replaced; General Electric is a candidate for the basis of design. The system will include black start capability.

60 Airport Microgrid Implementation Toolkit However, there is limited ability to seamlessly island the microgrid from the main grid; the system will be designed to ride through short outages or power quality issues on the main grid, not necessarily to make immediate transitions to operating as a separate microgrid. The microgrid will have the ability to support all sources of airport loads. SNA is not a 24­hour airport, shutting down from 11:30 pm to 4:30 am each night. The airport experiences two load spikes each day—once in the morning until 7:00 am and around 5:00 pm until 10:00 pm up to 5 MW—while operating around 3.5 MW the remainder of the time. The airport typically runs its cogeneration system during the day to avoid paying the peak time of use utility rates. Costs The total project budget is $19.6 million. This includes $3 million for power distribution upgrades in addition to the microgrid development, which is unique to SNA. Business Model/Procurement and Ownership Strategy SNA is funding the entire $19.6 million project itself with the exception of a $1.4 million Self­Generation Incentive Program (SGIP) grant from the CPUC that will help fund the battery storage. The airport will own, operate, and maintain all aspects of the microgrid except for the battery storage. SNA will pay $6.5 million up front for the battery itself and also pay $4 million to the battery supplier to operate, guarantee performance, and conduct mainte­ nance for 20 years. The value proposition of the microgrid for SNA focused on reliability and resilience, and while solar will be included (a requirement of the SGIP grant), low­carbon solutions were not a motivation. For SNA, resilience means eliminating the brief outages it experiences, rather than protecting the airport’s energy systems from major catastrophic events such as an earthquake. In such a scenario, SNA views itself as essentially a landing strip for the military and is not con­ cerned with losing power for a couple days. SNA is not highly cost­sensitive and is not interested in arbitraging power prices with the microgrid. However, there are expected economic benefits from the use of batteries and reduced maintenance/replacement costs for generators. Barriers to Execution There were significant delays in beginning the design work due to contracts requiring approval from county supervisors and not just the airport. Lessons Learned • In its efforts to more effectively participate in load shedding in the event of an outage without losing all service from the utility, SNA learned that the airport should ensure that not all of the load is shared by a single feeder. This allows the utility to disconnect only a portion of the airport’s load rather than the full airport, in the event of any issue on the grid that requires load shedding. • It is helpful to engage local and utility code officials early on in the process. Part of SNA’s contracting team includes the inspector, which ameliorates a lot of potential issues with meeting the Authority Having Jurisdiction codes. • It is important to examine all the use­cases, owner requirements, and needs from the microgrid before beginning the design of how it will operate (e.g., SNA did not prioritize low­carbon solutions, so the contractors are not focused on solar).

Microgrid Case Studies 61 • Since microgrids are a unique, specialized, and nascent industry with few players who can meet airport needs, a CMAR contracting model can minimize project risk over other approaches such as design­build and design­bid­build. In design­bid­build projects, the requirements of the design engineers can often get lost in translation to the contractor; however, the CMAR arrangement can offer multiple design iterations before building and allows for a lot of exchange between the designer and the contractor. Contacts and Sources Douglas Nordham, ARUP energy consulting practice, Los Angeles, CA.

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Awareness of the vulnerability of the country’s existing electrical system has increased with the frequency of short-term blackouts and long-term utility outages. Power outages impact airport operations by causing flight delays, extended layovers, disruptions in cargo operations, loss of revenue, and limitations in airports’ ability to provide emergency support.

The TRB Airport Cooperative Research Program's ACRP Research Report 228: Airport Microgrid Implementation Toolkit addresses site-specific criteria for airports of all types and sizes.

The implementation toolkit is a suite of reference materials, including an online tool that can be used to obtain an analysis and determine feasibility of a microgrid for your airport.

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