Distributed Energy Resources

Size: px
Start display at page:

Download "Distributed Energy Resources"

Transcription

1 Distributed Energy Resources Tim Burdis Lead Strategist, State Government Policy October 10, 2017 Cleveland, Ohio

2 PJM as Part of the Eastern Interconnection Key Statistics Member companies 1,000+ Millions of people served 65 Peak load in megawatts 165,492 MW of generating capacity 176,569 Miles of transmission lines 82, GWh of annual energy 792,314 Generation sources 1,304 Square miles of territory 243,417 States served 21% of U.S. GDP produced in PJM 13 + DC As of 2/2017 2

3 Focus on Just 3 Things 3

4 The Distribution of Power 4

5 Value Proposition 5

6 Distributed Energy Resource Power generator or load modifying resource situated at or near an end-use customer Interconnected and metered on the distribution network Serves retail / end-use customer demand Retail / state jurisdictional 6

7 Snapshot of DER in PJM Today Wholesale DER Non-Wholesale DER 1.1 GW (Demand Response) Behind-the-meter generation: Offers into capacity, energy and/or ancillary services markets 74% Diesel 24% Natural Gas 2% Other Remaining ~6,900 MW DR is load modification without any generation (e.g., Industrial process management) 0.8 GW (Generator) Front-of-the-meter generation: Offers into capacity, energy and/or ancillary services markets.6 Solar.2 Other ~6.6 GW DER Solar PV DER: Retail / rooftop solar Municipal DER: Municipal electric company distribution-level generators Process DER: Industrial generators, combined heat and power Resilience DER: Emergency back-up Qualified Facilities: Direct sales to distribution utilities 7

8 Behind-the-Meter Energy Storage in the Regulation Market ~10% of Reg market Registered resource types 8

9 Solar Capacity in PJM by State ~80% of installed solar PV is retail, not wholesale 9

10 Solar PV in PJM 10

11 DER Visibility PJM has limited visibility into the operation of non-wholesale DERs. DERs in the Wholesale Market Energy, Capacity or Ancillary Service markets DERs brought to market participate as: Demand Response (potentially aggregated) Single front of meter generators connected to distribution system DERs not in the Wholesale Market General locational awareness of some nonmarket DERs but lack visibility of: Status Output Scheduling 11

12 DER Visibility Today, PJM has limited visibility into the operation of DERs. DERs in the Wholesale Market Control (dispatch) and visibility required, albeit to varying degrees based on market and participation framework Generally, less operational information from demand response than generators DERs not in the Wholesale Market General location and size awareness of some non-market DERs, but not all If non-market, situation awareness increasingly important to operators during emergency operations PJM building new tools (DIMA) 12

13 The 5 Pillars Visibility Forecast & Measure Incent Resilience 13

14 Operations: Energy Dispatch Visibility Load (MW x 1000) $ Hour of Day $5 $15 $25 $20 $45 $40 $35 $30 14

15 MW Operations: DR Visibility Visibility 19,000 18,000 17,000 Emergency Demand Response Event Probable Load Curve without DR 16,000 15,000 14,000 13,000 12,000 11,000 10,000 00:00 07/17/ :00 07/17/ :00 07/17/2012 Emergency Event Dominion, July 17, :00 07/17/ :00 07/17/ :00 07/17/ :00 07/18/

16 Operations: Making DER Visible Visibility Ongoing New tools to turn data into information for operators DIMA Short-term solar forecast What s next Forecast DER operation? 16

17 Operations: Example Behind-the-Meter Solar Actual Output During 8/21/2017 Eclipse Visibility 17

18 Planning: Load Forecast Forecast 18

19 Planning: Making DER Forecastable Forecast Energy efficiency and behind-the-meter solar PV now explicitly impacting long-term load forecasting, but what else Customer peak shaving? Combined heat and power? Storage? 19

20 Markets: Rules for Wholesale DER Transmission Grid Incent - Incentivize market participation - Allow Wide-area Aggregation - Accommodate Multi-use - Retail and Wholesale value - Proper Accounting - No double-counting! DER Bus 1 Tx Sub-meter M2 EDC Bus 1 Tx Meter M1 Loads RM1 Main Electrical Panel DER Retail meter Wholesale DER Sub Electrical Panel Loads Retail DER 20

21 DERs for Customer Resilience Emergency Backup Microgrids Resilience 21