1. Smart Grid Vision: Vision for a Holistic Power Supply and Delivery Chain Stephen Lee Senior Technical Executive Power Delivery & Utilization November 2008

2. 2 © 2008 Electric Power Research Institute, Inc. All rights reserved. Smart Grid Two Way Communications….Sensors…….Intelligence Smart Grid Need an Objective Assessment of the Potential for Smart Transmission and the Path to Achieve it Hype

3. 3 © 2008 Electric Power Research Institute, Inc. All rights reserved. End-uses & DR Distribution System Transmission System Energy Storage Fuel Supply System Fuel Source/Storage Power Plants Renewable Plants Data Communication Wide Area Control Sensors Controllers ZIP M Dynamic Load Models Dynamic Power Plant Models End-to-End Power Delivery Chain Operation & Planning Monitoring, Modeling, Analysis, Coordination & Control

4. 4 © 2008 Electric Power Research Institute, Inc. All rights reserved. Alarm Management Most Needed Capabilities Requiring Research Hierarchical Integration of Entire Supply & Delivery Chain Optimal End-to-End Dispatch under Uncertainties Dynamic Models of Generators and Loads Online Alarm Root- Cause Diagnostics Prevention of Cascading Outages, Safety Nets Fast System Restoration After Blackouts Protection SCADA Data Management Network Management Security Chain Integration Outage Management Dynamic Models End-to-End Dispatch RestorationProtection

5. 5 © 2008 Electric Power Research Institute, Inc. All rights reserved. Source: California ISO Tehachapi, California Wind Generation in April – 2005 0 100 200 300 400 500 600 700 123456789101112131415161718192021222324 Hour MW  Average Each Day is a different color.  Day 29  Day 5  Day 26  Day 9 Could you predict the energy production for this wind park either day-ahead or 5 hours in advance?

6. 6 © 2008 Electric Power Research Institute, Inc. All rights reserved. Methods of Coping with Wind Uncertainty Short-Term –Better wind forecasting –Carry more operating and spinning reserve to handle up and down ramps of wind output –Rapid coordination with demand response and energy storage Long-Term –Build more energy storage, e.g., Compressed Air Energy Storage (CAES) –Controllable demand response –Holistic planning of transmission, generation and demand Virtual Service Aggregator Potential wind curtailment CAES

7. 7 © 2008 Electric Power Research Institute, Inc. All rights reserved. Potential Role of the Virtual Service Aggregator

8. 8 © 2008 Electric Power Research Institute, Inc. All rights reserved. Alarm Management Need to diagnose root-cause of alarm messages Need to link diagnosis to operator procedure Current EMS alarm management uses technologies of the 1970s Need to integrate all sources of data and messages, through a hierarchical approach

9. 9 © 2008 Electric Power Research Institute, Inc. All rights reserved. Why Accurate Load and Generator Models Are Needed? Inadequacy of current model data –Inaccurate voltage recovery simulation after disturbances –Uncertainty about generator reactive power capabilities Implications –Uncertainty about the stability margin of the power grid –Unaware of real risk of cascading blackouts or voltage collapse, or –Under utilization of available stability margin for greater economic benefits Southern Co.’s GenVARR TM

10. 10 © 2008 Electric Power Research Institute, Inc. All rights reserved. Source: Mike Adibi, NSF/EPRI Workshop on Understanding and Preventing Cascading Failures in Power Systems, Oct 28, 2005. Effective System Restoration Can Reduce The Societal Impact Of Widespread Blackouts Operators need online decision support for restoration strategies How can automation be used to improve system restoration?

11. 11 © 2008 Electric Power Research Institute, Inc. All rights reserved. Prevention of Cascading Outages – Safety Nets Application of SynchroPhasor Measurements for Controlled Separation, Load Shedding and Generation Rejection –Controlled separation is an effective last resort to mitigate severe cascading failures –Voltage Instability Load Shedding –Online risk monitoring of potential cascading outages

12. 12 © 2008 Electric Power Research Institute, Inc. All rights reserved. Thank you