How IoT Affects Smart Grid Emerging Technology Strategy
Raiford Smith
Duke Energy Director, Smart Grid Emerging Technology
5/2/2014 Duke Energy – Confidential and Proprietary Information page 1
About Duke Energy • Largest electric holding company in the
United States
• Electric utility operations in North and South Carolina, Indiana, Ohio, Kentucky and Florida serving 7.1 million customers
• Over 58,000 MW of regulated generation
• 8,000 MW of commercial generation capacity including over 1500 MW of wind and 50 MW of solar located throughout the United States
• Duke Energy International principally operates and manages almost 4,300 MW of owned capacity (primarily in Latin America)
Emerging Technology Roles and Responsibilities
• Emerging Technology is responsible for: – Technology development and testing
– New technology strategy, roadmap, risk and opportunity identification
– Lab/field testing of new technology
– Establish business value and formulation of initial business case development
Emerging Technology
“Develop”
Grid Modernization
“Deploy”
Transmission
Distribution
Information Technology
“Operate”
5/2/2014 Duke Energy – Confidential and Proprietary Information page 3
The Electric Utility Industry In a Nutshell
Supply Demand Pipe
The purpose of the network is to efficiently enable whatever
transaction is desired between the customer and the supplier.
Generation / DER Transmission
Distribution
Customer
5/2/2014 Duke Energy – Confidential and Proprietary Information page 4
METCALFE’S LAW: The value of a network is directly
proportional to the square of the number of compatible
communicating devices.
A Smart Grid Consists of Operational Technology, Information Technology, and Telecommunications
Telecommunications (wired and wireless)
Electric Grid (Operational Technology)
Software (Information Technology)
Supply Demand Network
Convergence between O/T and I/T is enabled by
telecommunications 5/2/2014 Duke Energy – Confidential and Proprietary Information page 5
A Similar Convergence Has Already Occurred to Enable Smart Phones
Handset
Operational Technology
The same three technology categories have converged to enable
smart phones
Telecommunications
(wired and wireless)
Software
Information Technology
5/2/2014 Duke Energy – Confidential and Proprietary Information page 6
Remembe
r these
devices?
O
Supports 3rd party eco-system of applications
On-board memory and processing
Communicates with other 3rd party devices
Combines multiple functions into one
device
Many devices were rendered obsolete by the smart phone – a single platform that consolidated many devices into one physical, logical, and
telecommunications hub.
Many Capabilities Have Been Integrated Into A Single Smart Phone
5/2/2014 Duke Energy – Confidential and Proprietary Information page 7
Function Integration, Cost Reductions, and Performance Enhancements Are Enabled Through Standards and Inter-Operability
Top Handset Manufacturers - 10 years ago Top Handset Manufacturers -
today Handset Manufacturer Software / OS
proprietary
proprietary
proprietary
proprietary
proprietary
Handset Manufacturer Software / OS
This evolution was enabled by standards-based designs and easy inter-operability. 5/2/2014 Duke Energy – Confidential and Proprietary Information page 8
The Electric Grid of Today is Similar to the Historic Telecommunications Infrastructure (pre-smart phone)
Su
bs
tati
on
• Solar PV
• Energy Storage
• Dist. Mgmt System
• PMU (6)
• Weather stations (7)
Sh
err
ill’s
Ford
,
Ran
kin
, M
cA
lpin
e
Su
bsta
tio
ns
Cu
sto
me
r
Pre
mis
e
~60
ho
me
s s
erv
ed
by
McA
lpin
e c
ircu
its
• Solar PV
• Home Energy Manager
• PEV
• Charging Stations
• Smart Appliances
• Demand Response
• In-home load monitoring
Dis
trib
uti
on
Cir
cu
it
6
McA
lpin
e
circu
its
• Line Sensors (200+)
• Solar PV
• CES, HES Energy
Storage
• Comm. Nodes (3,000)
• Intelligent Switches
• DERMS/DMS
• AMI metering (14,000)
5/2/2014 Duke Energy – Confidential and Proprietary Information page 9
Standards-Based
Comm Node
Internet
UTILITY CENTRAL
OFFICE
• ARM processor + Memory
• Linux-based OS • Open API
Messaging • 3rd Party Apps • Security /
Network Mgr
A Standards-Based, Modular Communications Node Enables Significant Benefits for Utilities and Their Customers
3G/4G, WiFi, GPS
Ethernet / Serial
PLC / 900 MHz ISM
Required Comms.
Optional Comms.
Computing
Capabilities
5/2/2014 Duke Energy – Confidential and Proprietary Information page 10
Smart Meter
Capacitor Bank
Line
Sensor
X Street Light
Smart
Assets
Distributed
Energy
Resources
Transformer
Intelligent
Switch
DE
MA
ND
E
LE
CT
RIC
GR
ID
Smart Generation
Continuous
Emission
Monitoring
Weather Sensor SU
PP
LY
Other Nodes
One common platform that
can connect to generation,
transmission, distribution,
and customer-owned
assets using a standards-
based, modular design can
unlock a wide variety of
capabilities.
The Communications Node as a Computing Platform
1 Node Deep Blue
(1997) Super Computer
McAlpine Test Area
Ohio Deployment
Watson (2011) Super
Computer
System-Wide
Units 1 N/A 3k 150k N/A 2.2MM
MIPS 750 3MM 2.3MM 113MM 100MM 1.7Bn
Memory 256 MB 64GB 768 GB 38.4 TB 16TB 563 TB
The processing and memory capabilities of our smart grid compared to two notable super computers. This demonstrates the considerable capabilities of a distributed intelligence system
to solve complex optimization problems.
5/2/2014 Duke Energy – Confidential and Proprietary Information page 11
Interoperability and Rapid Response with Distributed Telemetry
Traditional Design – Centralized Decision-Making Future State – Distributed Decision-Making
Complements Centralized Systems
Meter Line Sensor
Cellular Network
Utility Office
Battery Storage
Rapid Swing in
Production
Meter Line Sensor
Communication Node
Cellular Network
Utility Office
Battery Storage
Rapid Swing in
Production
Update
Model
Response
Decision +
Update
Model
Response
Decision
Centralized Response > 15 min Distributed Response < 500 msec
Transformer Transformer
Line Sensor
Head End Line Sensor
Head End
Using a communications node, we are able to make decisions faster, reduce outage times
and lower the cost to operate the system.
5/2/2014 Duke Energy – Confidential and Proprietary Information page 12
– Interoperability between OT, IT, & Telecom
– Filtered & Compressed Telecom backhaul
– Modular & Scalable Hardware and Software
– End-to-End Encryption & Virtual Firewall
Current State – Message Bus at Data Center Future State – Message Bus in Field and Data Center
UTILITY CENTRAL OFFICE
HeadEnd B
Vendor B Solution
Proprietary Network
HeadEnd A
Vendor A Solution
PrivateCarrier
R
HeadEnd C
Vendor C Solution
3G / LTE Carrier
900MHzISM
Da
ta C
en
ter M
essa
ge
Bu
s
R
UTILITY CENTRALOFFICE
HeadEnd A
HeadEnd B
HeadEnd C
Da
ta C
en
ter M
essa
ge
Bu
s
Communication Node
3G/LTE, WiFi, Ethernet,
or Fiber
Communication Node
Fie
ld M
essa
ge
Bu
s
The Field Message Bus: The Distributed, Standards-Based, Open-Source “Internet of Things” Enabler
Speed / Cost / Security
5/2/2014 Duke Energy – Confidential and Proprietary Information page 13
page 14 Duke Energy– Confidential and Proprietary Information
Storage (Unstructured)
Storage (Structured)
CIM (Contextualization)
Visualization / Discovery
Business Intelligence
S
e
c
u
r
i
t
y
Analytics at the Central
Office
Analytics at the
Substation
Analytics at the Edge
Smart Meter Line
Sensor
X Street
Light
Smart
Assets
Distributed
Energy
Resources
Transformer Protection
& Control
Weather
Sensor
Comm.
Node
Field Message Busses (Translation)
IoT Enabled Data and Analytics Framework
Capacitor Control Weather Sensor Regulator Control Streetlight Control AMI and Line Sensors
One System, Multiple Functions, Many Savings
5/2/2014 Duke Energy – Confidential and Proprietary Information page 15
Opportunity Impact
Cost-Savings • 90% Transmission Telecommunications cost reduction • 16-33% Distribution Automation cost reduction
Performance Gains • 15 minute to 250msec response time improvement • Interoperability of diverse assets unlocks data and allows systems
to coordinate better
Customer Benefits • Detect outages faster • Respond more efficiently • More direct and interactive customer experiences possible