EMS of the Future. EMS Users Conference Chicago, Illinois. John McDaniel September 20, Proprietary 1 Experience you can trust.

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1 EMS of the Future EMS Users Conference Chicago, Illinois John McDaniel September 20, 2010 Proprietary 1 Experience you can trust.

2 Overview Key Issues Shaping EMS Implementations Operational Issues Being Created Developing and Predicted Solutions Proprietary 2

3 Key Issues Shaping EMS Implementations Proprietary 3

4 Key Issues Shaping EMS Implementations - High Level - Depletion of global oil, gas, and coal reserves Environmental concerns Population growth and density Terrorism and blackmail Technology advances Changing utility workforce demographics Changing consumer behavior Politics and Economics Proprietary 4

5 Key Issues Shaping EMS Implementations - More Focused - Substantially increased electricity prices Increased deployment of Distributed Energy Resources Renewables Storage Increased deployment of Demand Response solutions Focused, time-limited government funding Increased regulations and standards Improved compute power and software development tools Increased necessity of knowledge transfer Proprietary 5

6 Operational Issues Being Created Proprietary 6

7 Electricity Prices Cost recovery Costs of reducing emissions Costs of modernizing grids Costs of large scale electric vehicle infrastructure Increasing carbon fuel costs Proprietary 7

8 Impacts - Electricity Prices Increasing consumer focus on energy efficiency Smart Grid Dramatically increased volumes of data Infrastructure and tools to enable consumers to reduce their energy costs Increased focus by utilities to deploy renewables and storage Increased focus by utilities on flattening load curve Increased focus on asset management Tracking component age Tracking failure mechanisms Life extension Proprietary 8

9 Distributed Energy Resources (DER) Wind & Solar Wind to Electricity Wind to Hydraulic Energy (Pump/Gen) Photo Voltaic (cryst/thinfilm) Concentrating PV (CPV) Concentrated Solar Power (CSP) Dish Sterling Systems Solar Thermal (HW/HVAC) Geo, Hydro Hydro generation Geo thermal (CP) Geo thermal (DG) Wave action Tidal Energy Nuclear Gas, Waste & Biomass Waste to Energy Bio Fuels Biogas Biomass IGCC Co-firing with coal Torrification/ Pelletizing Algae farms Storage Battery technologies SC Magnetic Energy Fly wheel Capacitors Compressed air Ice storage Pumped storage Proprietary 9

10 Renewables Renewables are being implemented throughout the grid Proprietary 10

11 Wind & Solar Wind to Electricity Wind to Hydraulic Energy (Pump/Gen) Photo Voltaic (cryst/thinfilm) Concentrating PV (CPV) Concentrated Solar Power (CSP) Dish Sterling Systems Solar Thermal (HW/HVAC) Proprietary 11

12 Impacts Wind and Solar Volatile generation Higher ramp rates than traditional sources More dynamic frequency impact Highly variable output Renewables do not follow traditional generation/load correlation and are weather dependent The higher the penetration of Wind/Solar generation to the grid the greater the need for storage Deploying renewables often requires transmission additions or reinforcements Proprietary 12

13 Storage Battery technologies SC Magnetic Energy Fly wheel Capacitors Compressed air Ice storage Pumped storage Growing Focus in the industry Considered a viable option to store renewable energies Wind production from night to use during the day Riding through clouds Proprietary 13

14 Impacts - Storage Serves as backup during voltage sags and short interruptions New battery technologies possess fast response capabilities, essentially providing square wave outputs Some advanced storage technologies are providing durations in the four to eight hour range, introducing a real potential for electricity production shifting with renewables Technologies are mobile and may be placed almost anywhere Storage technologies have the ability to be scaled. The characteristics of the battery, whether in aggregated in sizes of 10kW or 10MW are the same in each case. Proprietary 14

15 Demand Response A subset of Demand Side Management (DSM) Focuses on peak demand reduction rather than overall efficiency Benefits reliability by reducing demand for power, reducing the demand on supply-side and transmission resources Aimed at both residential and commercial/industrial users Includes load management of electric vehicles Proprietary 15

16 Impacts - Demand Response Communication technologies have made DR dispatchable in timeframes of a few minutes DR is increasingly being classified as non-spinning reserves and used as ancillary services DR is displacing generation deployed as operating reserves and/or regulation Helps maintain grid stability as grid is operated closer to limits and use of unpredictable renewables increases Supports changing the load shape Alternative to peaking generators Typically use IEC communications, but sometimes OPC Proprietary 16

17 Focused, Time-limited Government Funding Explosion of Smart Grid deployments Postponed Transmission and Generation improvements Increased R&D by suppliers Storage Plug-in Hybrid Electric Vehicles (PHEVs) Communications Applications Increased substation automation Increased meshing of distribution grids Proprietary 17

18 Impacts - Focused, Time-limited Government Funding Smart Grid deployments will produce dramatically increased data quantities for operators to deal with Increased investments in historical data storage, asset data (GIS), and real-time business intelligence systems (focused on visualization of temporal and spatial queries) Higher integration between Transmission operations, Distribution operations, and Outage Management Increased use of IP-based communications Increased need for Network Operating Centers (NOCs) Increased PMU deployment Compressed demand for EMS replacements and upgrades Prototype projects will help determine viable solutions Proprietary 18

19 Increased Regulations and Standards Increased deployment of cyber-security NERC CIP Smart Grid communications Shift of control room support costs to NERC CIP compliance Focus on minimizing critical assets within security perimeter Standards Proprietary 19

20 Improved compute power and software development tools Increased CPU speed Makes it possible to deploy extremely compute-intensive applications not deployable in the past Allows for higher frequency execution of real-time sequence Increased use of commercial databases Network communication speeds allow architectures that weren t viable in the past Application to application and application to client Center to Center Software development tools allow development from a higher level of abstraction Increased adherence to standards Proprietary 20

21 Increased necessity of knowledge transfer Aging workforce Less focus on power system engineering background Decades worth of failed efforts to store knowledge in articial intelligence solutions Increased dependence on root cause alarms Increased dependence on situational awareness Proprietary 21

22 Developing and Predicted Solutions Proprietary 22

23 EMS System Changes Transmission Applications Integration with Smart Grid deployments Treatment of Smart Grid as Virtual Power Plant Virtual Power Capture Combination of consumer distributed generation, storage, and demand management to participate in energy markets and grid operations Increased EMS/DMS/OMS/AMI integration Integration of variable generation Severely increased data volumes, much of it stored in historians Storage and communications impacts Increased integration with external Business Intelligence applications Increasingly dynamic load curves Increased deployment of Volt/VAR optimization apps Proprietary 23

24 EMS System Changes Transmission Applications (cont) Integration of PMUs (phasor angles, phase angle differences) Faster monitoring of grid disturbances (oscillation detection/alarming) State Estimator improved network observability and detection of bad data Contingency Analysis - Probabilistic Risk Assessment Voltage and Transient Stability Analysis Improved Wide Area Situational Awareness Improved arming/disarming of Special Protection Schemes Dynamic Remedial Action Plans Improved real-time sequence enhances Improved operating boundary visualization Increased Transmission utilization Integration of Dynamic Thermal Circuit Ratings PMU integration Proprietary 24

25 EMS System Changes Transmission Applications (cont) Improved Asset Management Condition-based line ratings Tracking of component usage, failure mechanisms Focus on life extension Increased System Restoration flexibility Decentralized electricity generation (Micro-grids) De-centralized controls Geographic view of grid dynamics Increased integration with Distribution systems Increased focus on asset utilization Increased situational awareness Proprietary 25

26 EMS System Changes Generation Applications Increased integration with markets Support for Distributed/Renewable Generation AGC, Economic Dispatch, and Load Forecasting More frequent, higher resolution forecasting and scheduling Fast ramping replacement generation Increasing amount of uncertainties in load and duration Better holistic and forward view of system conditions and generation patterns Integration of Demand Response and Dispatchable Storage resources Planning tools for non-traditional resources Enhanced load forecast tools Account for impact of wind, solar, PHEVs, etc Proprietary 26

27 EMS System Changes Architecture/System Increased integration between EMS, DMS, and OMS systems Improved visualization tools for temporal and spatial correlation of anomalies, losses, etc Ability to share easily with others (e.g. shared screen, capture) Increasingly sophisticated operator station designs Development of applications that computer performance and software development tools wouldn t allow in an economically feasible manner in the past (e.g. TSA) Increased use of Service-Oriented Architecture Decoupled applications within EMS, simpler upgrades Easier integration with non-ems applications Proprietary 27

28 EMS System Changes Architecture/System (cont) Extreme cyber security for critical assets Minimal core within Security Perimeter Improved root-cause alarm packages Faster, two-way, IP-based, secure communications to field devices Increased IED integration Increased Health Monitoring of assets Increased incorporation of CIM Increased platform independence Consider NERC CIP Proprietary 28

29 VPP Integration, Aggregation and Control of Energy Resources in Real-time Wind Farms Photo Voltaic Fuel Energy Source and Supply Generation Transmission Distribution Consumer Conditioning & Conversion to Electricity Bulk Transport Regional Supply Network Customer Service The Virtual Power Plant brings together a specific set of energy resources, which when combined, integrated and controlled in real-time create value in: Ancillary Markets Capacity Markets Deferred construction generation and distribution Distribution operations The Energy Resources are typically renewable and sustainable assets, such as: Consumer distributed generation: i.e. solar PV Commercial and Industrial distributed generation: i.e. solar, wind, FC Storage in the form of electric and thermal energy Demand Response enabled loads Smart Loads and Smart Charging This capability enables load shaping and deployment of ancillaries to address dynamic grid needs, and avoids the need to build new base capacity. The expert panels will address current and future technology to facilitate this phenomenon along with business and enabling policies that can make this a reality. Proprietary 29

30 Distributed generation enabled by Smart Grid energy networks need to be managed New DG is predominantly renewable based Grid coupling via controllable smart inverters Consumers have more control of their load New business models around Energy Network Management Aggregation and Control of DG Sustainable generation business will own and ensure control of the load along with building, community, industrial and consumer distributed generation Proprietary 30

31 Electric Storage transforms the energy delivery model - enabled by Smart Energy Networks Diurnal storage; Ramp-rate control; Frequency regulation; Spinning reserves; System stability control; RES CF Improvement Backup power Sustainable generation business with Storage is now being considered a tool and component of Smart Grid Proprietary 31

32 Demand Response providing control of individual loads in real-time Peak shaving potential Real-time control of load Control of heating and Cooling loads Aggregation of the DR Integration into DMS and EMS systems Intelligent load - residential, industrial and commercial aggregated to create virtual power / megawatts Proprietary 32

33 Energy Resources coupled in real-time via the Distribution and Transmission Management Systems (DMS, TMS) Integrate disparate energy resources DR, DG, Storage Aggregate energy sources and intelligent load Advance algorithms to peak shave and shift programs Gaining real-time control of appropriate distributed energy resources including Vehicle to grid, building to grid, and community, campus grid coupling. Proprietary 33

34 Networking and Merging management of DG, DR and Storage Demand Response: Balance and Integration: EMS and DMS Electric Storage: Distributed Generation : VPP Proprietary 34

35 OTS System Changes Support for renewables, energy storage, and demand response Proper dynamics of renewables to allow operators to practice responding to the high variability Visualization of flow to/from storage Visualization of available demand response and how it is aggregated Use of Training Simulators as planning tools To forecast the impacts of wind/solar additions to the grid before the renewables are deployed Need dynamic response properly modeled Increased use as a means of knowledge transfer Artificial intelligence? Repository of knowledge-base Proprietary 35

36 Any Questions? Proprietary 36 Experience you can trust.

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