On-site batteries, low-pressure biogas storage, and wastewater storage could position wastewater resource recovery facilities as a widespread source of industrial energy demand flexibility. This work introduces a digital twin method that simulates the coordinated operation of current and future energy flexibility resources. We combine process models and statistical learning on 15 min resolution sensor data to construct a facility's energy and water flows. We then value energy flexibility interventions and use an iterative search algorithm to optimize energy flexibility upgrades. Results from a California facility with anaerobic sludge digestion and biogas cogeneration predict a 17% reduction in electricity bills and an annualized 3% return on investment. A national analysis suggests substantial benefit from using existing flexibility resources, such as wet-weather storage, to reduce electricity bills but finds that new energy flexibility investments are much less profitable in electricity markets without time-of-use incentives and plants without existing cogeneration facilities. Profitability of a range of energy flexibility interventions may increase as a larger number of utilities place a premium on energy flexibility, and cogeneration is more widely adopted. Our findings suggest that policies are needed to incentivize the sector's energy flexibility and provide subsidized lending to finance it.
Keywords: decarbonization; electricity; energy flexibility; technoeconomic assessment; wastewater.