EPRI Smart Grid Demonstration and CIM Standards Development John J. Simmins jsimmins@epri.com 865-218-8110 1

EPRI Smart Grid Demonstrations  Deploying the Virtual Power Plant Demonstrate Integration and Interoperability Leverage information & Communication Technologies Integration of Multiple Types of Distributed Energy Resources (DER):                    The driving focus of EPRI’s five-year smart grid demonstration project is a result of the PRISM analysis and the smart grid demonstration projects are focused on Integration of distributed energy resources. One of the challenges with integration of distributed energy resources is management of those resources. How does a utility integrate tens of thousands or possibly millions of end points in the same manner as conventional generation. One goal is to manage these resources as a “Virtual Power Plant” so they can be managed by the utility system operations group in the same manner as a conventional power plant. To achieve the goal of a virtual power plant, there are numerous challenges and the EPRI Smart Grid Demonstration project is focused on leveraging existing and emerging technologies and standards to advance the integration and interoperability of distributed energy resources and associated systems. One of the most significant enablers of a smart grid is advancements in communication technologies. This initiative will leverage information and both private and public communication technologies and infrastructures as part of this effort. In order to identify challenging smart grid projects that will support our goals, we have several criteria that the smart grid projects must meet. One of the criteria is that a smart grid project must integrate of multiple types of distributed energy resources. When we talking about distributed energy resources, it includes four main areas: Distributed Generation, Renewable Generation, Storage and Demand Response. Another key criteria is that the projects must have multiple levels of integration from the customer, distribution system, transmission system, system operator, utility enterprise systems, market operator and so on. By deploying projects with multiple levels of system integration, we are challenged to integrate systems that historically have not been integrated and by doing so lends itself to create additional benefits to the electric power industry and key stakeholders.  Distributed Generation  Renewable Generation  Storage  Demand Response  Multiple Levels of Integration - Interoperability

Demonstration Approach & Objectives to Enable Widespread Integration of DER Transmission Operator Distribution Control Center External corporations Market Operator Define information models and communications interfaces All Levels of distributed resource integration Develop application guidelines, integration requirements and standards for distributed resource integration. Field Assessments to: Understand required systems and technologies for distributed resource integration Verify Smart Grid business case assumptions Benefits associated DER Integration DER Integration Data Management Network Management Security Energy Markets Our smart grid demonstration approach and objectives are to enable widespread integration of distributed energy resources. As I mentioned in the previous slide, this includes advancing interfaces and standards among different utility system domains like the Market Operator, Transmission Operator, Distribution Control Center and External parties. Foundational research that EPRI is performing to support all the smart grid demonstration projects includes: Defining information models and communication interfaces at all levels of distributed resource integration Develop application guidelines, integration requirements and standards for distributed resource integration Field assessments of technology to understand required systems and technologies for distributed resource integration Verify smart grid business case assumptions and identify the benefits associated with distributed energy resource integration. The shared learning from these efforts will lend to expandability, scalability and repeatability supporting the industry and stakeholders to achieve our goals. Shared Learning will Lend to Expandability, Scalability, and Repeatability 3

Smart Grid Demonstration - 19 Collaborators (Utilities giving permission to list their names. 7/23/2009) Central Hudson Gas & Electric ESB Networks Con Edison Electricité de France FirstEnergy / JCP&L PSE&G AEP Duke Southern Wisconsin Public Service Ameren KCP&L Southwest Power Pool Salt River Project PNM Resources TVA Entergy Note, We don’t have permission to use SCE & Exelon names yet, but I have them on this slide Emphasize that you have smaller demos like testing so that the non host participants do not feel that we are short changing them since almost every one of our participants do have a demo but they are not a host site   Present these as industry demos that EPRI is involved in and acknowledge that there are other industry demos - while we will collaborate with the other industry demos through DOE information sharing clearing house that will be run by Virginia Tech,  be bold enough to say that we cannot influence the degree of interoperability and the adherence to IntelliGrid architecture on the other industry demos since we are not engaged in them and we do not have the funding Collaborator Collaborator / Host-Site

Smart Grid Demonstration Host-Site Criteria Integration of Multiple Distributed Resource Types Connect retail customers to wholesale conditions Integration with System Planning & Operations Critical Integration Technologies and Standards Compatibility with EPRI’s Initiative and Approach Funding requirements and leverage of other funding resources We have just reviewed 5 of the existing smart grid projects and we expect to have between 8 and 12 large scale smart grid projects as part of this five year initiative. EPRI has a selection process to evaluate smart grid demonstration project proposals from our utility members. Projects must meet a set of six criteria to become a host-site. Due to the large scale nature of the projects, all utilities will not be able to become a host-site, but they will be able to actively participate in the research and benefit from the results. We are in a smart grid review cycle now with one project being evaluated and we have two more review cycles that end in April 2010 and August of 2010. No additional host-site projects will be selected after August 2010 to ensure we have sufficient time to perform the necessary research. The 6 Critical Elements or Criteria for host-site projects include Integration of Multiple Distributed Resource Types (Projects must have 2 or more distributed energy resources types of demand response, distributed generation, renewable generation, and storage ) Connect retail customers to wholesale conditions (Some type of dynamic rate to incent consumers to respond when wholesale prices or grid conditions will benefit from customer and/or resource response) Integration with System Planning & Operations. Giving visibility and control of distributed energy resources in real-time as well as for planning purposes Critical Integration Technologies and Standards. In the deployment, leverage or enhance open communication standards. Use of proprietary technologies and communication standards is frowned upon although we understand that not all aspects of the project can leverage open standards and will allow exceptions. Compatibility with EPRI’s Initiative and Approach. This includes sharing of information publicly and openly engaging the smart grid members and contributing to use case development using the IntelliGrid methodology. Funding requirements and leverage of other funding resources. The intent of this criteria is that the project must be fully funded. EPRI is funding research, not the capital costs of equipment or installation of that equipment, so utilities are encouraged to reach out to a broad range of funding resources that will help accomplish the goals of the initiative and result in a successful project. 5

Objectives of the Smart Grid Demonstrations Provide real world experience with a new technology Characterize the economics of broader deployment Help characterize the benefits of the technology within the overall infrastructure Identify integration requirements of the technology with the overall architecture (especially compliance with standards such as the Common Information Model) Identify work force requirements (manpower requirements, skill sets, training, etc.) associated with broader deployment, operation, and maintenance Provide the basis for overall cost/benefit assessment of the technology application within the overall architecture.

The Industry Smart Grid Demonstrations

Con Edison Interoperability of Demand Response Resources Con Edison’s smart grid project is focused on Interoperability of Demand Response Resources. It targets development of interoperability techniques including the development of protocols and software to leverage multiple types of customer owned distributed generation (DG) along with the integration of intermittent renewable generation and commercial building demand response. In order to achieve the project objective, interoperability between the delivery company and the demand response resources is important because Con Edison does not own or actively control the demand response resources. This project will demonstrate methodologies to enhance the ability of customer owned demand response resources to more effectively interface with electric delivery companies and demonstrate simple, safe, cost-effective methods of interconnection. The primary business case for integrating customer-owned distributed resources is related to a major reliability challenge of the Con Edison delivery system due to growth in demand, which has increased by 20% in the past decade and is projected to increase another 10% in the next decade. Given the large resident and working population and high infrastructure and load density, it is difficult to expand the delivery capacity. Therefore, increasing the ability to harness demand response resources is key to enabling Con Edison to maintain and enhance its high level of reliability. While enhanced use of demand response is critical, it is also a great challenge to harness such a resource, which is not typically under the complete control of the delivery company. This project will be the site of our Fall 2010 Smart Grid Meeting

FirstEnergy / Jersey Central Power & Light Integrated Distributed Energy Resources (IDER) The FirstEnergy Smart Grid Project is deploying its smart grid project in the central region of its Jersey Central Power & Light operating company. It is an Integrated Distributed Energy Resource management smart grid project and will deliver operational and market program benefits by managing distributed energy resources (DER). Demand management with distributed resources is its focus and includes 23 MW of direct load control (DLC) equipment at 10,000 residential and approximately 100 commercial & industrial customer locations. The project will give the utility the ability to monitor and control non-critical customer electrical loads at a granular level via two-way communications architecture. The Integrated Distributed Energy Resource architecture provides monitoring and control through an Integrated Control Platform (ICP) which monitors the local distribution circuits for system reliability while also monitoring for wholesale energy market opportunities. The Integrated Control Platform can aggregate multiple Distributed Energy Resource for optimal wide area management. This smart grid project is designed to provide utility operations with real-time system status based on pre-defined utility operational rules with management through the Integrated Control Platform. Other Distributed Energy Resource technologies, including electricity storage, permanent peak load shift devices in the form of ice storage as well as distribution line sensors, substation meter/monitors and photovoltaics are being added to the system to maximize the lessons of this smart grid project. This project was the site of our June 2009 Smart Grid Meeting

PNM High-Penetration PV thru Grid Automation and Demand Response PNM’s project emphasizes high penetration Photovoltaics through grid automation and demand response. It will develop and deploy an advanced distributed control and communication infrastructure with the goal of optimizing renewable resource utilization and system benefits. The project will integrate high-penetration distributed Photovoltaic (PV) systems, local storage, and substation-sited PV and storage with both local distribution system management and overall load management at the system level. At the local level, the project will evaluate smart inverter interface technologies to enhance system benefits, applying previous work in the area of smart inverter interface software to residential and substation-based PV. This project aims to match local loads with rate structures to identify and resolve technical issues related to high penetration of renewable generation at the utility distribution level. The project will investigate and analyze additional consumer-based demand response opportunities using a modern communication infrastructure integrated with a Home Area Network (HAN), commercial building control systems and smart devices. This project is the site of our October 2009 Smart Grid meeting

EDF PREMIO: Distributed Energy Resources Aggregation & Management EDF’s project is based on the PREMIO project: “Distributed Energy Resource Aggregation and Management.” The project objective is to demonstrate an innovative, open and repeatable architecture aimed at optimizing the integration of distributed generation, storage, renewable energy resources, demand response and energy efficiency measures in order to provide load relief, local network support and reduce CO2 emissions in the PACA region (South East of France). The project includes deploying and integrating 9 types of distributed energy resources. This region of France is an electric peninsula supplied by a unique 400kV transmission line to fulfill most of the electricity needs of the customers. In addition, local electricity generation covers less than half of the needs and this peninsula effect is aggravated by the distance between generation and consumption sites. During peak periods, congestions occur and the demand supply balance of the system becomes difficult to guarantee especially in periods of extreme weather conditions (heat waves or thunderstorms). This project is unique in that it is using Internet based protocols for communications and security, unlike many of the projects in North America. This project will be the site of our June 2010 Smart Grid Meeting

AEP Virtual Power Plant Simulator (VPPS) American Electric Power’s smart grid project is a Virtual Power Plant Simulator. This project intends to address functionality and performance of a fully integrated and robust smart grid, from end-use to regional transmission operator (RTO). It leverages a foundational system, a South Bend, Indiana 10,000 customer pilot, that includes smart meters, communications, end-use tariffs and controls, and distribution automation and volt/var control with robust modeling and simulation platforms (e.g., GridLab-D and OpenDSS). Through these simulation platforms we are able to integrate other distributed and end-use technologies that are being evaluated by AEP, either in a real system environment or at American Electric Power’s Dolan Technology Center, including four MW scale sodium sulfur battery installations, two 70-kW roof-top photovoltaic systems, a new 5.7 kW concentrating solar technology (with 1.2 kW electrical and 4.5 kW thermal outputs), three 60 kW natural gas-fired reciprocating engines (with the potential for combined heat and power), two plug-in hybrid electric vehicles, one Ice Bear air conditioning system, two 10 kW wind turbines, and several 25 kW community energy storage systems (CES). Each of these individual demonstrations will be evaluated and reported separately as part of this EPRI project; however, the simulation platforms will enable us to virtually “install” these same systems on the South Bend system, utilizing real performance and temporal data as input to the simulations and to develop and validate system and component models. From a temporal perspective, we can simulate system operation as though it was integrated into a PJM market. In this way AEP can create a very robust representation of a “virtual power plant”, leveraging real device and system information and data. This project will be the site of our March 2010 Smart Grid Meeting.

Coordinated EPRI Engagement Across Multiple Programs Smart Grid Demo Initiative Electric Transportation IntelliGrid (161) # NIST Priority Action Plan 1 IP for the Smart Grid 2 Wireless Communications for the Smart Grid 3 Common Pricing Model 4 Common Scheduling Mechanism 5 Standard Meter Data Profiles 6 Common Semantic Model for Meter Data Tables 7 Electric Storage Interconnection Guidelines 8 CIM for Distribution Grid Management 9 Standard Demand Response Signals 10 Standard Energy Usage Information 11 Common Object Models for Electric Transportation 12 IEC 61850 Objects/DNP3 Mapping 13 Time Synchronization, IEC 61850 Objects/IEEE C37.118 Harmonization 14 Transmission and Distribution Power Systems Model Mapping Energy Efficiency Efficient T&D Distribution Smart Distribution Applications Renewable Integration Energy Storage 13 13

Distribution Architecture for a Smart Grid Slide 14 Distribution Roadmap 14

Summary – Smart Grid Demos and CIM Maximize the use of standards, particularly CIM in each Demonstration Project. Provide feedback on the successes and challenges of CIM implementation. Promote interoperability tests. Needed now more than ever. Multispeak – CIM harmonizations Inter-operability among Advanced Metering Infrastructure (AMI) head-end systems, Meter Data Management (MDM) systems, and Outage Management Systems (OMS). Topology and electrical model compatibility between GIS and OMS and/or SCADA/DMS using the Common Distribution Power System Model (CDPSM). Promote other programs such as research into cleaning up GIS data. 15

Questions?