DOE Microgrid R&D Needs Steve Bossart Military Smart Grid & Microgrids Symposium November 15, 2012

Topics Vision and goals Workshop background DOE microgrid R&D needs List of topics Vision and goals of OE and its R&D program Background on creation of the R&D needs Specific R&D needs aligned by these five areas. Standards and best practices to ensure interoperability and cyber protection -Technology development Modeling, simulation, visualization Analytical work - cost and benefits, sensing and control, protection -Evaluation and demonstration – integration of technologies into a smart grid

Vision and Goals

Microgrid and OE’s Performance Target Definition by Microgrid Exchange Group OE’s 2020 Performance Target A microgrid is a group of interconnected loads and distributed energy resources within clearly defined electrical boundaries that acts as a single controllable entity with respect to the grid. A microgrid can connect and disconnect from the grid to enable it to operate in both grid-connected or island-mode. Develop commercial scale (<10MW) microgrid systems capable of reducing outage time of required loads by >98% at a cost comparable to non-integrated baseline solutions (UPS + diesel genset), while reducing emissions by >20% and improving system energy efficiencies by >20% Definition developed by the Microgrid Exchange Group (MEG)—a group of individuals working on microgrid deployment and research Key attributed are underlined. Doe developed long term performance targets as the first step in a microgrid research effort Required loads include such things as hospitals, police & fire, data centers, military facilities, telecom switch centers, some industrial processes was thinking of $1,600 per kW (2001 $) but I believe this was the figure that we used for peak load reduction:  Demonstrate peak load reduction on distribution feeders with the implementation of distributed energy (DE) and energy management Systems (EMS) at a cost competitive with a system/capacity upgrades (i.e., cost not to exceed $1,600 per kW in 2001 dollars). 4

Microgrids & Smart Grids Central Generation Transmission Load Distributed Generation E-Storage Distribution Microgrid

A Possible Future Distribution Architecture Municipal Microgrid Distribution Control Utility Microgrid Military Microgrid Industrial Microgrid Campus Microgrid Commercial Park Microgrid

Microgrid-Enhanced Distribution System Ease CHP application Support increase in renewables Arbitrage of energy price differentials Enhance G&T using DER for peak shaving Enhanced reliability with intentional islanding High local reliability Energy during outages Serve critical loads Arbitrage – balance cost between MG consumption, export, import, and storage

Background FY2012 DOE Microgrid R&D Workshop

DOE Microgrid R&D Needs Workshop Topics FY2011 FY2012 Standards and Protocols System Architecture Development Systems Design and Economic Analysis Modeling and Analysis System Integration Power System Design Switch Technologies Steady State Control and Coordination Control and Protection Technologies Transient State Control & Coordination Inverters/Converters Operational Optimization These will be the areas that guide future microgrid R&D FOA.

Development of Microgrid R&D Needs 2012 DOE Microgrid Workshop Details Followup to August, 2011 microgrid workshop in San Diego, CA July 30-31, 2012 at Illinois Institute of Technology, Chicago, IL 100 participants including 13 from 8 foreign countries Vendors, electric utilities, national labs, universities, research institutes, end users Purpose Identify system integration gaps Define R&D needs to meet functional requirements Contribute to DOE microgrid R&D roadmap Contribute to DOE Smart Grid R&D multi-year program plan Provide content for possible microgrid R&D FOA

DOE OE Microgrid R&D Needs Microgrid Workshop Results www.e2rg.com/reports Much of this presentation is derived from the DOE OE multiyear R&D plan covering 2010-2014. It was originally published in 2010 and an update is under review prior to release. The original smart grid R&D plan was created from discussions held at a smart grid roundtable meeting in December 2009 that included multiple types of stakeholders (e.g., national laboratories, utility commissioners, utilities, vendors). Stakeholders were divided into five R&D groups to focus on particular topics. Guides R&D solicitations Sets priorities Sets interim goals Measures progress

FY2012 DOE Microgrid R&D Areas Planning and Design System Architecture Development Modeling and Analysis Power System Design Operations and Control Steady State Control and Coordination Transient State Control and Coordination Operational Optimization

Microgrid R&D Needs

System Architecture Development Define microgrid applications, interfaces, and services ideal architecture and use cases electrical and information architecture transition existing grid to better incorporate microgrids Interface standards for interconnection, communications & information Open architectures with flexibility, scalability, & security develop interoperable distributed controls and flexible architecture to facilitate different applications move to plug-and-play features for generation & load controls to include flexibility for power consumption, storage, import, and export

Modeling and Analysis Performance optimization methods and uncertainty in the modeling and design process Local and dynamic control of power quality Assessment of diminishing returns of PQ & outages Better modeling of vehicle-microgrid connection including understanding of mobile sources Model power & communication together to assess interoperability Develop a standard set of collaborative tools that: addresses uncertainty has a more holistic approach to integration of assets broadly assesses value streams validates the models and other tools

Power System Design DC Power establish codes and standards for DC applications in residential, commercial, and industrial environments develop standard design methodologies and software tools develop DC system control methods and algorithms implement a strategy to promote DC microgrids Improve power electronics (lower cost, higher function and reliability) Microgrid Integration develop a resource guide (i.e., handbook) to available products, costs, installation methods, valuation methods standard methods for analysis of microgrid e-storage vs. using main grid control and communications interfaces from microgrid to main grid modeling needs to benchmark performance, support design, stochastics universal power electronics to fit multiple resources

Steady State Control and Coordination Internal Services within a Microgrid Develop a standard set of hardware and software that supports the communication protocols and cybersecurity standards already developed to allow DER to plug-and-play Develop three-phase estimators based on phasor measurement units (PMUs) and compatible instrumentation for run time control Develop a better understanding of methods of decoupling frequency and voltage Demonstrate a system that can synchronize and reconnect a microgrid under all edge conditions (high PV penetration) for all classes of microgrids. DER interface with legacy systems such as dumb inverters Interaction of Microgrid with Utility or Other Microgrids Evaluate microgrids against other existing utility mitigation tools and schemes (e.g., counter intermittent renewables) Evaluate potential effects of multiple microgrids on the stability of the grid and potential regulations, economic incentives, and control schemes that could be used for mitigation Tools to manage microgrids and their resources in cooperation with main grid assets Develop a technical, operational, and economic model to demonstrate the value of microgrids to utilities through simulation and case studies Evaluate risk of microgrid to add instability (rogue agents) State estimation in distribution Run time control – generation and load on/off and cycling Voltage control – inject VAR; frequency control - watts

Transient State Control & Coordination Develop transient control strategies considering stability limits, additional local and system-wide controls, … Develop system-wide ride-through capabilities while protecting personnel and equipment Define impact of types of communication and identify requirements (e.g., latency, reliability, redundancy, …) Develop 3-phase unbalanced dynamic stability analysis models and Reference Study for transient stability analysis Develop technically mature, commercially-available autonomous transition control and protection concept and products that meet the defined capabilities Validate standard microgrid component models for protection and transient studies

Operational Optimization Operational Optimization of a Single Microgrid Develop real-time (RT) and near-RT controls that incorporate optimization Evaluate a variety of optimization techniques Data management (i.e., collect, validate, store, analyze, visualize) Develop methodology for comparing microgrid baseline to optimized microgrid operations for potential input into business case analysis. Operational Optimization of Multiple Microgrids Develop RT and near-RT controls that optimize multiple microgrids Develop methods to negotiate conflicting objectives and optimizations between multiple microgrids Evaluate variety of optimization techniques applied to multiple microgrids Develop methodology for comparing multiple microgrid baseline to optimized microgrid operations for potential input into business case Address possible issue with processing capabilities

Contact Information Merrill Smith & Dan Ton Program Managers Microgrid R&D U.S. Department of Energy Office of Energy Delivery and Energy Reliability Merrill.smith@hq.doe.gov (202) 586-3646 Dan.ton@hq.doe.gov (202) 586-4618 Steve Bossart Senior Energy Analyst U.S. Department of Energy National Energy Technology Lab Steven.bossart@netl.doe.gov (304) 285-4643 Key Microgrid Resources: DOE OE www.oe.energy.gov Smart Grid www.smartgrid.gov