EPRI Smart Grid Demonstrations:

Overview

September 8, 2010

Angela ChuangSenior Project Manager

Smart Metering International, San Jose

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Electric Power Research InstituteCollaboration…..Technical Expertise….Thought Leader

• Not for profit, collaborative electricity research organization with more than 450 participants in over 40 countries

• Independent electricity research in:

– Generation

– Environment

– Power Delivery & Energy Utilization

– Nuclear

• 1600+ R&D projects annually, $350M+ R&D funding, more than 400 engineers and scientists out of 700+ employees.

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Prism Analysis

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Smart Grid – One of the Technology Challenges

4. Coal-Based Generation Units with CO 2 Capture and Storage

3. Advanced Light Water Reactors

2. Transmission Grids and Associated Energy Storage Infrastructures

1. Smart Grids and Communication Infrastructure

Technology Challenges

1990 2030

CO2Emissions

~80% of Smart Grid Emissions Reductions from Integrating DER

~10%~3%% of Total U.S. CO 2

Emissions

21160

Direct FeedbackPHEV IntegrationRenewable IntegrationEE & Demand ResponsePeak Load MgmtReduced Line LossesCont. Comm. Large Commercial Buildings

Avoided CO 2 Emissions, 2030 (Tg CO 2)*Low High

* Source: EPRI Publication 1016905, The Green Grid Savings and GHG reduction Enabled by a Smart Grid

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Smart Grids can enable Integration of Distributed Resources

EfficientBuildingSystems

UtilityCommunications

DynamicSystemsControl

DataManagement

DistributionOperations

DistributedGeneration& Storage

Plug-In Hybrids

SmartEnd-UseDevices

ControlInterface

AdvancedMetering

Consumer Portal& Building EMS

Internet Renewables

PV

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Objectives and Challenges of Integrating Distributed Resources

Barriers

• Aggregation• Automation• System operator confidence• Economic justification• Wholesale market disconnect• Retail tariffs• Customer convenience

Objectives

• Defer capital expansion• Serve isolated remote load• Power quality• Low carbon future• Market economics• Reliability• System protection

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Regional Considerations

Census Regions Market Regions

Reliability Regions State-by-State Policies and Incentives

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Smart Grid Demonstration Initiative

• Multi-year Collaborative RD&D

• Widespread penetration of distributed resources

• Full integration in system operations and planning

• Leverage communication infrastructure deployed by hosts

• Scoping of multiple demonstrations

• Consistent methodology

Collaborative RD&D aimed at full integration of distributed resources in power system operations and planning

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Smart Grid Demonstration - 18 Collaborators

Wisconsin Public Service

Exelon (ComEd/PECO)

Ameren

KCP&L

Southwest Power Pool

Salt River Project

Southern California Edison

PNM Resources

Entergy

Central Hudson Gas & Electric

Con Edison

FirstEnergy/JCP&L

ESB Networks

Electricité de France

AEP

Duke Energy

TVA

Southern Company

Collaborator

Collaborator & Host Site

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Deliverable Examples

• First Two Years– Foundation or “Toolbox” to support Integration of DR & DER– Applicable today or 5 years from now

• Moving Forward– Focus on Host Demonstrations and Collaboration (with all members)– Prioritize Combined Research, Lessons Learned & Gap Identification– Public Sharing

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Deliverables Examples, Cont’d

Methodological Approach for Estimating the Benefits and Costs of Smart Grid Demonstration Projects

Product ID 1020342

Follow-Up Development: CBA Guidebook

Distributed Resource Integration Framework : A Reference Model for Characterizing Projects & Relating Programs that Integrate DR & DER

Product ID 1020313

Assessment of Wholesale Market Opportunities for Participation and Aggregation of Distributed Resources

Product ID 1020314

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Tracking Smart Grid Host Demonstrations based on Integration Issues

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Deliverables Examples, Cont’d

• Host-Site Deliverables

4-6 Newsletters Per Year

Includes Brief Host-Site Updates

Two Progress Reports Per Year

This is where the details are

Annual Deep Dive Webcast for each Host Site

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EPRI Newsletter

• Newsletter - every 8-10 weeks• Public Sharing of Information, Project Updates• Posted on www.smartgrid.epri.com

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EPRI Smart Grid Resource Centerwww.smartgrid.epri.com

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Use Case RepositoryLeveraging the IntelliGrid Methodology

• Internationally Recognized

• Defines Technical Requirements

• Industry Can Leverage Existing Work

• Ongoing Contributions

– Over 160 Smart Grid Applications (and growing)

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Two-Year Update Now Availablehttp://www.smartgrid.epri.com/Demo.aspx

• Initiative Overview• Work Completed To-Date• Vision & Strategy Moving Forward

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Conclusions

• Smart grids to accommodate widespread penetration of DR and DER,including renewable resource integration

– A key contributor to CO2 reductions and energy sustainability

• Diverse integration challenges and drivers, regional in nature

• Collaboration with the industry that operates the grid is key to advancing distributed resource integration in system operations and planning

• Technology demonstrations key to advancing DR and DER integration

• Rate structures and programs aligned with operational needs also key

– Customers needs vary; choice is imperative

– Value to be captured through smart-grid enabled operational advancements

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Together…Shaping the Future of Electricity

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Using IntelliGrid Methodology to Develop the Smart Grid Architecture

• Business Case/Cost Benefit Analysis

• Define Requirements of Each Smart Grid Application using the Use CaseProcess

• Design an Architecture for Security, Data Management and Network Management

• Select Technologies, Finalize Cost Benefit Assessment

AutomatedMeter

Reading

Data ManagementNetwork Management

Security

EnergyMarkets

EPRI’s IntelliGrid Methodology is Accepted as an In ternational Recommended Specification and an Industry Best Practice to Arch itect a Smart Grid

IntelliGrid Methodology for

Developing Requirements for Energy Systems

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EPRI Smart Grid DemonstrationsLeveraging Today’s Technology to Advance the Indust ry

• Deploying the Virtual Power Plant

• Demonstrate Integration and Interoperability

• Leverage information & Communication Technologies

• Integration of Multiple Types of Distributed Resources

• Storage• Demand Response

• Renewable Generation• Distributed Generation

• Multiple Levels of Integration - Interoperability

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2008 & 2009 – Laying the Smart Grid Foundation2010 & Beyond – Integration, Collaboration….

• Deliverables & Reports Lay the Foundation for 2010-2013Tools and Methodologies to Support SG Demo’sSmart Grid Reference materialNews and Technology Tracking UpdatesHost Site Updates

• Fall 2010, our focus transitions– Collaboration (with ALL members)– Prioritize Combined Research– Lessons Learned & Gap Identification– Public Sharing

Tech/Knowledge Transfer

Host-Site Research

Integration Tech’s & Stds

Analytic Methods & Tools

2014201320122011201020092008

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Cost Benefit Analysis Methodology

• Accomplishments– Framework developed with DOE

• Product ID 1020342– Application methods requirements defined

• DOE requirements• EPRI extended requirements

• On the Go Activities– Continued DOE coordination to ensure

comparability and compatibility– Application guide development underway– Test-runs of guide underway

• Next Steps– Initial application to all project this summer/fall

Count everything, but nothing twice

Ensures transferability

of results

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First Four Host Sites

Technologies and Standards for Renewable Integration

15% peak load reduction at feeder

Large deployment of Residential PV.Optimization Incl. Volt and Freq control

HAN, SCADA, System Ops and Planning

Solar PV (residential and System)Storage and DR

PNM Resources

Risk Evaluation of DER ImplementationAdvances Simulation Tools

Reduce Risk of Smart Grid Deployment with Simulation Tools

Modeling of large scale DER. “Deployed” in Real System (South Bend) via Simulator

System Ops and Planning Simulation SoftwarePower Flow Communications

• NaS Batteries• kW-scale storage• Panel and Conc. Solar• Small Wind Systems• Nat Gas fired DG• T-Stat Control• PHEV Charging• Ice Bear (Thermal)• Volt/Var Mgmnt

AEP

Smart Grid w/Out use of AMI systemMaster Controller Concept

Dense Urban EnvironmentCustomer Owned Resources

Diversity

Local delivery system Integration of DER

Interoperability of Distributed Energy Resources (DER)

Furthers Industry

Grid efficiency and reliability at local level

Increase Reliability Reduce Peak Demand

Business Case

Real TimeT&D Ops and PlanningPJM

End-to-end (Customer owned DG, DR provider, Con Edison, NYISO)

Integration

HVAC (Res., C&I) DRElectric StorageThermal Storage

Distributed GenerationDemand ResponseWind Plant

Resources

FirstEnergyConsolidated

Edison