How Do We Build the Efficient, Secure, Cost Effective Power Grid of Tomorrow? The Answer: Smart Grid. Bernard Norton Manager Energy Automation

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1 How Do We Build the Efficient, Secure, Cost Effective Power Grid of Tomorrow? The Answer: Smart Grid Bernard Norton Manager Energy Automation Transpower 2040 Conference Christchurch, 18 th June 2009

2 Ideas / Definitions of Smart Grid Auto-balancing, self-monitoring power grid that accepts any source of fuel (coal, sun, wind) and transforms it into a consumer s end use (heat, light, warm water) with minimal human intervention. A system that will allow society to optimize the use of renewable energy sources and minimize our collective environmental footprint. It is a grid that has the ability to sense when a part of its system is overloaded and reroute power to reduce that overload and prevent a potential outage situation. A grid that enables real-time communication between the consumer and the utility, allowing the consumer to optimize energy usage based on environmental and/or price preferences.

3 Starting Point: Changing Needs, Growing Demands Increased energy trading Energy efficiency Greater network complexity and vulnerability Cost pressure CO 2 reduction Aging infrastructure and lack of experts Network Conditions Operational External & Requirements Influences Factors Distance btwn generation and load Fluctuating in-feed Integration of intelligent buildings Integration of DER Integration of renewable energy sources High supply quality requirements Legal and regulatory framework

4 Starting Point: Drivers for Flexible and Efficient Grids Drivers Challenges for the utilities Need for more energy Environmental sustainability Competitive energy prices Security of supply Regulatory and political push Efficient grid for profitability Multiple in-feed for flexibility Demand side management for accessibility Aging infrastructure and workforce Quality assurance for reliability

5 What does Smart Grid really mean? From Congestion, bottlenecks, and blackouts Heterogenous communication networks varying in capacity and bandwidth Complex, personal intensive engineering and operating Primary equipment condition not well known and not overall integrated Central generation, decentralized consumption Manual and operating experience based reaction on critical situations Unmanaged, intransparent consumption Optimization of building life cycle efficiency as standalone process To Security, sustainability, and efficiency of power supply Homogeneous Smart Grid communication network with IP/ Ethernet connectivity between all components Smart substation automation Condition monitoring for better asset performance and grid asset management for advanced asset management Integration of distributed energy resources (DER) and storage by virtual power plants Smart, self-healing grid Smart metering and load management Active participation of buildings in the grid as consumer, producer, and energy storage facility Relevance Distribution Transmission

6 Transmission Solutions

7 Smart Grid Example HVDC & FACTS Smart Generation Smart Grid Smart Consumption Transmission Grid Distribution Grid System Integrity Protection Advanced Energy Mgmt System (EMS) Asset Management Distribution Management Systems (DMS) Meter Data Management (MDM) Offshore Wind Power Industrial & Commercial Loads Distant Solar Power HVDC & FACTS Substation Automation & Protection Condition Monitoring Distribution Automation Smart Meters Residential Loads Distributed Energy Resources E-Cars E-Cars Project is designed to be a cost effective energy efficient solution addressing San Francisco s need for additional transmission & in-city generation capacity. Communication Solutions

8 Security of Supply for San Francisco area with HVDC PLUS Transmission constraints before TBC 2010 Transmission constraints after TBC Elimination of transmission bottlenecks Energy exchange by sea cable No increase in short-circuit power P = 400 MW Q = +/ MVAr Dynamic voltage support

9 Communications Solutions

10 Enabling Interaction One-stop communication solutions for utilities and retailers include IP solutions SDH/PDH solutions Powerline carrier and teleprotection equipment Wireless solutions Optimized solutions for medium and low voltage applications Live line installation End to End Communication Network Solutions are the basis to build a Smart Grid for Power Utilities

11 Substation Automation Solutions

12 Substation Automation Characteristics Today s standard Partly digital system, RTU, and SAS Heterogenous communication systems and protocols Few functionality and automation Hardware oriented engineering Reactive information Evolution Persistent digital automation Standardization Totally integrated energy automation (engineering, communication, security) Basic solutions and applications Smart Grid smart substation Plug & play approach Self-healing automation functions Intelligent applications Online information (operational and non-op.)

13 Smart Grid Example Substation Automation & Protection Smart Generation Smart Grid Smart Consumption Transmission Grid Distribution Grid System Integrity Protection Advanced Energy Mgmt System (EMS) Asset Management Distribution Management Systems (DMS) Meter Data Management (MDM) Offshore Wind Power Industrial & Commercial Loads Distant Solar Power HVDC & FACTS Substation Automation & Protection Condition Monitoring Distribution Automation Smart Meters Residential Loads Distributed Energy Resources E-Cars Setup of a redundant High Speed Ethernet Process Bus system to integrate HV primary technology signals via non-conventional transducers and merging units into the digital protection and automation environment E-Cars Communication Solutions

14 Device Integration via IEC Process Bus Control Center IEC To be harmonized with CIM IEC 61970* IEC Firewall *in standardization work communication to other substatons* Router IEC61850 Station Bus IED IED IEC (Ethernet) Protection & Control IEC61850 Process Bus Digital Instrument Transformer Data via IEC CT VT Merging Unit CBC x Circuit Breaker Controller

15 Asset Management Solutions

16 Why Condition Monitoring? Cutbacks on expenditure Retirements Downsizing Postponed invest in T&D infrastructure Extended component lifetime Renewable energy transmission Increasing energy demand Penalties Loss of expertise Ageing equipment Higher loads Increasing performance targets Condition monitoring: 1. enables effective prediction and, thus, failure avoidance 2. offers a possibility for safe use of assets at higher loads and, therefore, supports both asset management and operation

17 Seamless Integration of Energy Resources

18 Smart Grid Example Distributed Energy Resources Smart Generation Smart Grid Smart Consumption Transmission Grid Distribution Grid System Integrity Protection Advanced Energy Mgmt System (EMS) Asset Management Distribution Management Systems (DMS) Meter Data Management (MDM) Offshore Wind Power Industrial & Commercial Loads Distant Solar Power HVDC & FACTS Substation Automation & Protection Condition Monitoring Distribution Automation Smart Meters Residential Loads Distributed Energy Resources E-Cars Define, build and commonly market a virtual power plant and associated business model for integration of distributed energy ressources E-Cars Communication Solutions

19 Distributed Energy Resources (DER) and Storage Virtual power plant with RWE (Germany) Cost-optimal planning and management of decentralized power supply plants Generation ranging from 500 kw to several MW each Includes coordination of different carriers

20 Infusing Intelligence into the Last Mile

21 Smart Grid Example Smart Metering & Load Mgt Smart Generation Smart Grid Smart Consumption Transmission Grid Distribution Grid System Integrity Protection Advanced Energy Mgmt System (EMS) Asset Management Distribution Management Systems (DMS) Meter Data Management (MDM) Offshore Wind Power Industrial & Commercial Loads Distant Solar Power HVDC & FACTS Substation Automation & Protection Condition Monitoring Distribution Automation Smart Meters Residential Loads Distributed Energy Resources E-Cars Multi-Phase Smart Metering Project using our AMIS concept: Distribution Automation integration due to smart PLC communication architecture Integrated metering, load switching and power quality E-Cars Communication Solutions

22 AMIS Reference Project at control center infrastructure transformer stations households, small industries, farming XML IEC RTU functionality*) meters of other media*) SAP IS-U engineering OPM II radio (IEC ) AMIS data concentrator AMIS meter AMIS load-switching device load profile meter AMIS third-party device gateway transformer stations connected via radio ripple control center AMIS management 40 radio relay stations RTU functionality*) AMIS meter meters of other media *) PQ center AMIS transaction server frontend Fiber optics (IEC ) AMIS data concentrator RTU functionality*) AMIS load-switching device load profile meter AMIS third-party device gateway meters of other media*) AMIS meter remote meter reading for load profile meters *) planned SCADA system*) AMIS data concentrator 600 transformer stations connected via fiber optics AMIS load-switching device load profile meter AMIS third-party device gateway

23 The benefits of Smart Grid Minimum downtime and optimized life cycle costs through online monitoring and control of all grid assets Reliability Flexibility Accessibility Profitability Reduction in CO 2 emissions through grid access of large wind, hydro, and solar power plants Significant improvement of customer processes and services Over 50 percent time savings in engineering and commissioning Active management of power generation and load profiles of buildings

24 Entire Energy Conversion Chain - Smart Infrastructure Decentralized energy management system Communications solutions Smart substation automation Condition monitoring/ asset management Power transmission Distribution automation Smart metering Building automation

25 The Future Enabled by Smart Grid wind turbines as part of tower building architecture solar-cell films on building surfaces contribute to power generation Urban Areas and Underground Grid underground power corridors and substations coupled with storage facilities car-parking for plug-in vehicles, buy or sell electricity shaving peak loads CO 2 emissions are constantly on display nano-materials enhance insulation and conductivity of equipment

26 The Future Enabled by Smart Grid large storage plants buffer fluctuating generation nano-materials enhance insulation and conductivity of equipment CO 2 sequestration and storage facilities Bulk Power Generation and Long Distance Transmission large centralized power plants supply the majority of power demand supply of deep-sea oil & gas exploration and production wind farm connected by Gas Insulated Lines or cables (DC or AC)

27 The Future Enabled by Smart Grid large centralized power plants supply the majority of power demand CO 2 emissions are constantly on display Smart Grid Application at Decentralized Generation large and very small generation plants need to be managed in parallel car-parking for plug-in vehicles, buy or sell electricity shaving peak loads energy corridors underground by Gas Insulated Lines or cables (DC or AC) wireless sensors and smart metering coupled to load management and market driven energy supply software storage plants buffer fluctuating generation

28 The Future Enabled by Smart Grid Decentralized Generation and Storage in Rural Areas large and very small generation plants need to be managed in parallel large and very small generation plants need to be managed in parallel storage plants buffer fluctuating generation wireless sensors and smart metering coupled to load management and market driven energy supply software

29 For internal use only / Copyright Siemens For internal Australia use & NZ only / Copyright All rights Siemens reserved. Australia & NZ All rights reserved.

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