DIMACS Workshop on Algorithmic Decision Theory for the Smart Grid Challenges of Generation from Renewable Energy on Transmission and Distribution Operations James T. Reilly Consultant October 25, 2010

Evolution of Smart Grid IntelliGrid Architecture Integration of the power and energy delivery system and the information system (communication, networks, and intelligence equipment) that controls it. Demand Response / Smart Meters Customers reduction or shift in use during peak periods in response to price signals or other types of incentives. Smart meters with two way communications Integration of Renewable Energy Renewable Portfolio Standards

IntelliGrid (2000) Electrical Infrastructure Intelligence Infrastructure Integrated Energy and Communications System Architecture – 2001 Rev 0 Architecture – 2004

IntelliGrid Vision Power System of the Future  A power system made up of numerous automated transmission and distribution systems, all operating in a coordinated, efficient and reliable manner.  A power system that handles emergency conditions with ‘self-healing’ actions and is responsive to energy-market and utility business-enterprise needs.  A power system that serves millions of customers and has an intelligent communications infrastructure enabling the timely, secure and adaptable information flow needed to provide reliable and economic power to the evolving digital economy.

Smart Grid Domains (2010) Source: NIST Smart Grid Framework 1.0, September 2009

Direction of Smart Grid To date, the smart grid in the United States has been dominated by smart metering and as an enabler for demand management. Now, the direction is turning towards being an enabler for the integration of renewables into distribution networks and the bulk power system.

US Electric Power Industry Net Generation (2008) Sources: U.S. Energy Information Administration, Form EIA-923, "Power Plant Operations Report.”

Renewable Portfolio Standards 8 State renewable portfolio standard State renewable portfolio goal Solar water heating eligible Extra credit for solar or customer-sited renewables Includes non-renewable alternative resources WA: 15% x 2020* CA: 33% x 2020 NV : 25% x 2025* AZ: 15% x 2025 NM: 20% x 2020 (IOUs) 10% x 2020 (co-ops) HI: 40% x 2030 Minimum solar or customer-sited requirement TX: 5,880 MW x 2015 UT: 20% by 2025* CO: 30% by 2020 (IOUs) 10% by 2020 (co-ops & large munis)* MT: 15% x 2015 ND: 10% x 2015 SD: 10% x 2015 IA: 105 MW MN: 25% x 2025 (Xcel: 30% x 2020) MO: 15% x 2021 WI : Varies by utility; 10% x 2015 statewide MI: 10% + 1,100 MW x 2015* OH : 25% x 2025 † ME: 30% x 2000 New RE: 10% x 2017 NH: 23.8% x 2025 MA: 22.1% x 2020 New RE: 15% x 2020 (+1% annually thereafter) RI: 16% x 2020 CT: 23% x 2020 NY: 29% x 2015 NJ: 22.5% x 2021 PA: ~ 18% x 2021 † MD: 20% x 2022 DE: 20% x 2020* DC: 20% x 2020 VA: 15% x 2025* NC : 12.5% x 2021 (IOUs) 10% x 2018 (co-ops & munis) VT: (1) RE meets any increase in retail sales x 2012; (2) 20% RE & CHP x 2017 KS: 20% x 2020 OR : 25% x 2025 (large utilities )* 5% - 10% x 2025 (smaller utilities) IL: 25% x 2025 WV: 25% x 2025* † 29 states + DC have an RPS (6 states have goals) 29 states + DC have an RPS (6 states have goals) DC * † Source: Interstate Renewable Energy Council (June 2010)

Variable Generation Impact on Bulk Power System Dispatch – No Renewables Study Area Dispatch – Week of April 10th – No Renewables

Variable Generation Impact on Bulk Power System Dispatch – 10% Renewables Study Area Dispatch – Week of April 10th – 10% R

Variable Generation Impact on Bulk Power System Dispatch – 20% Renewables Study Area Dispatch – Week of April 10th – 20% R

Variable Generation Impact on Bulk Power System Dispatch – 30% Renewables Study Area Dispatch – Week of April 10th – 30% R

Could you predict the energy production for this wind park, either day-ahead or 5 hours in advance? Hour Megawatts Each Day is a different color.  Day 29  Day 5  Day 26  Day 9 Tehachapi Wind Generation April 2005  Average Source: CAISO

Variable Generation Impact on Bulk Power System  Output can be counter to load ramps or faster than system ramp  Unpredictable patterns – wind variability and large imbalances, esp. during disturbances and restoration efforts  Low capacity factor – can be zero at times of peak  Voltage issues – low voltage ride through (LVRT)  Reactive & real power control issues  Frequency & Inertial Response issues  Oversupply conditions

Operational Issues The operational issues created by variable generation result from the uncertainty created by the variable output and the characteristics of the generators themselves, such as the inertial response and dynamic response during fault conditions. The impacts are also affected by factors specific to the particular variable generation site, its interconnection to the power system, the characteristics of the conventional generators within the system being operated, and the rules and tools used by the particular system operator. The operational issues created by variable generation can be considered in terms of various time frames: seconds to minutes, minutes to hours, hours to day, day to week, and week to year and beyond. Source: Integration of Variable Generation into the Bulk Power System, NERC. July 2008.

Operational Issues – Time Scale Source: John Adams, GE

Operational Practices to Accommodate Variable Generation  Substantially increase balancing area cooperation or consolidation, either real or virtual  Increase the use of sub-hourly scheduling for generation and interchanges  Increase utilization of existing transmission  Enable coordinated commitment and economic dispatch of generation over wider regions  Incorporate state of the art wind and solar forecasts in unit commitment and grid operations  Increase the flexibility of dispatchable generation where appropriate (e.g., reduce minimum generation levels, increase ramp rates, reduce start/stop costs or minimum down time)  Commit additional operating reserves as appropriate  Build transmission as appropriate to accommodate renewable energy expansion  Target new or existing demand response or load participation programs to accommodate increased variability and uncertainty  Require wind plants to provide down reserves Source: Western Wind and solar integration study, May 2010 Prepared for NREL by GE Energy. May The technical analysis performed in this study shows that it is operationally feasible for WestConnect to accommodate 30% wind and 5% solar energy penetration, assuming these changes to current practice are made over time.

Distributed Energy Technologies Interconnection Technologies Electric Power Systems Fuel Cell PV Micro turbine Wind Generator Inverter Switchgear, Relays, & Controls Functions Power Conversion Power Conditioning Power Quality Protection DER and Load Control Ancillary Services Communications Metering Micro grids Energy Storage Loads Local Loads Load Simulators Utility System PHEV; V2G DER Interconnection

Technologies to Accommodate Renewable Generator Behaviors  Energy Storage & Intelligent Agent (temporal power flow control)  Solar and Wind Forecasting Tools  Power Flow Control (spatial)  Demand Response  Distributed Generation  Generator and Load Modeling  Statistical and Probabilistic Forecasting Tools  Advanced Intelligent Protection Systems  Synchrophasor Monitoring

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