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Distributed Energy Resources: Going Small
IEP 2015 Annual ConferenceSeptember 30, 2015
Colin CushnieV.P., Energy Procurement & Management
Southern California Edison Company
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SCE’s LCR RFO ProcurementContracted ~2,220 MW of resources, including 422 MW of customer-side resources (EE, DG, DR, behind-the-meter (BTM) solar, and BTM energy storage)
RESOURCEBUCKET COUNTERPARTY DETAILS
TOTAL MW
Renewables SunPower Behind the Meter Solar PV 50
Energy Storage (ES)Ice Bear ES BTM Permanent Load Shift Thermal ES
161Stem BTM 4 hour like DRHybrid Electric BTM 4 hour like DR
Energy Efficiency (EE)
Onsite Energy, Sterling Analytics, & NRG Aggregated EE 136
Demand Response (DR) NRG Aggregated DR offer with at least 4 hour
dispatch 5
Distributed Generation (DG) NRG Aggregated BTM distributed generation 70
TOTAL DISTRIBUTED RESOURCES 422
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Preferred Resources Pilot
Electrical needs in the PRP region are changing:• Loss of generation in the area with the closure of
SONGS and retirement of OTC plants• Population and business growth is resulting in an
increased peak demand
Proposed solution:• In order to avoid the need for new gas-fired generation
in PRP region, prove Preferred Resources can deliver what is needed and when it is needed
• Measurement is key• Stakeholder participation is required
Procurement of Preferred Resources:• Leverage existing programs (e.g., LCR, RPS, SPVP)• PRP specific RFOs – PRP RFO 1 is wrapping up and PRP
RFO 2 launched last week
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SCE’s Energy Storage Targets
Storage Grid Domain(Point of Interconnection) 2014 2016 2018 2020 Total
Transmission 50 65 85 110 310
Distribution 30 40 50 65 185
Customer 10 15 25 35 85
Total 90 120 160 210 580
• 265 MW of SCE’s Energy Storage target are distribution-level resources
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SCE Demonstration Projects
Irvine Smart Grid Demonstration
Large Distributed Energy Storage (2MW/500kWh unit – Q2 2014)
Large-Scale Community Energy Storage (CES) (100kW/100kWh – Q4 2013)
Community Energy Storage (CES) (25kW/50kWh – Q2 2013)
Residential Home Energy Storage Unit (RESU) (4kW/10kWh – Q3 2013)
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Tehachapi Storage ProjectLarge-Scale Energy Storage (8MW/32MWh – Q2 2014)
Large Commercial PLS Program (100kW/500kWh – Q2 2014)
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SCE Demonstration Projects (2015-2016)
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Distributed Energy Storage Integration (DESI 1) Pilot Program (approx. 2MW/4MWh – Q2 2015)• Deployed energy storage on the distribution system to
solve a challenge or for economic benefit
Distribution Optimized Storage (DOS) (1MW/1MWh – 2016)• Evaluate aggregated energy storage units on the
distribution system with optimized controller
Distributed Energy Storage Integration (DESI 2) Pilot Program (2016)• Finalization of design for storage system,
communication and interconnection
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SCE’s Distributed Resources Plan
• SCE’s DRP reflects the Commission’s three objectives:• Modernize the distribution system to accommodate customer choice• Enable new technologies & services that reduce emissions and improve
reliability• Animate opportunities for DERs to realize benefits by providing grid services
Growth Type Scenario 1 Scenario 2 Scenario 3
Solar PV (nameplate AC) 1,636 MW 1,905 MW 4,770 MW
Demand Response 1,265 MW 2,087 MW 2,981 MW
Storage (D&C) 270 MW 270 MW 637 MW
Storage (T) 310 MW 310 MW 731 MW
AAEE (annual) 10,536 GWh 17,031 GWh 17,243 GWh
CHP (annual) 6,350 GWh 8,576 GWh 13,612 GWh
EV (annual) 2,422 GWh 3,395 GWh 3,395 GWh
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Some Open Challenges Associated with DERs
Interconnection• How can the interconnection process be optimized without jeopardizing
safety• What level of utility control, if any, is needed to ensure reliable operations• How can we reconcile the need for specific resources in specific locations
while still maintaining open access requirements
How will DERs be monetized?• Will DERs be bid into the CAISO market• Will a DSO be developed and, if so, how will it integrate with the CAISO