Smart Grid Concept, Applications and Lessons Learned from Recent Deployments

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1 GE Energy POWERING POTENTIA L Smart Grid Concept, Applications and Lessons Learned from Recent Deployments Gagan KAKKAR General Manager India Region

2 GE Energy What is Smart Grid P O W E R I N G P O T E N T I A L

3 What is Smart Grid Energy Mgt & SCADA Transmission Replacing with Cu w Optical Fibre Control Business Savvy Distribution Co. Smart Metering Analyze Upgrade old protection devices to IEDs Creating reliable communication network Wide-Area, Real Time View Monitor & Visualize Measure & Record Online Asset Monitoring e. g. Transformers 200 Plus Engineers developing Smart Grid Applications in Hyderabad Engineers in JFWTC developing Green Energy Technologies India s first EMS (West & Southern Grid), GIS, OMS (NDPL) Smart Grid CoEin Bangaluru 3

4 What is not Smart Grid Primitive Equipment in T&D Lack of IT at Distribution level Control Cash Flows for key projects and funding Under-addressed human and culture issues Analyze Disconnected Ecosystem Lack of focus on Micro Grids Ignoring Business Objectives Monitor & Visualize Not having Consumers in mind Critical progress of RAPDRP Technologies not driving Interoperability Measure & Record Lack of good Project Managers Lack of creativity around Pilots 4

5 GE Energy Smart Grid Applications P O W E R I N G P O T E N T I A L

6 Smart Grid Interoperability Model 6

7 Smart Grid Benefits Operational Efficiency Integrate distributed generation Optimize network design Enable remote monitoring and diagnostics Improve asset & resource utilization Customer Satisfaction Reduce outage frequency and duration Improve power quality Enable customer self-service Reduce customer energy costs Smart Grid Energy Efficiency Reduce system and line losses Enable DSM offerings Improve load and VAR management Comply with state energy efficiency policies Green Agenda Reduce GHG emission via DSM and peak shaving Integrate renewable generating assets Comply with Carbon/GHG legislation Enable wide adoption of PHEV 7

8 GE Smart Grid offerings Generation Transmission Distribution Industrial Commercial Residential Protection & control Distributed generation management Microgrid Control Protection & control Reliability optimization Grid management Digitizing primary equipment Protection & control Network communication Grid & Asset management Distribution automation Fault Diagnostics & analytics Protection & control Energy management Plant load shedding & peak demand mgmt Asset monitoring Emergency backup power Sub metering and cost allocation Wireless communications Advanced Meter infrastructure Electric Vehicle infrastructure Home Energy management 8

9 GE Energy Smart Grid Recent Deployments and Lessons Learned P O W E R I N G P O T E N T I A L

10 Maui Smart Grid Project Develop a Smart Grid controls and communication architecture capable of coordinating DG, energy storage and loads to: Reduce peak load by 15% relative to loading on the distribution circuit. Mitigate the impacts of short-timescale wind and solar variability on the grid 10

11 Energy Smart Cities Miami proposes to lead the nation in energy efficiency with $200 million smart grid initiative Scope and revenue Average city scope ~200k endpoints Revenue pool ~$500/endpoint ~20 cities in wave 1. New York, Chicago, Detroit, San Francisco, London, Lyons Implementation over 2-3 yrs Global growth + city scale expansion $1B/ yr opportunity 11

12 AEP Smart Grid Project Summary American Electric Power is one of the largest electric utilities in the United States, delivering electricity to more than 5 million customers in 11 states 36,000 MW of generating capacity; 39K miles of transmission lines, 208K miles of distribution lines Drivers Enhanced Customer Experience (Customer control, tools to understand usage) Operational Efficiencies (Reduce operational costs of the network) Energy Efficiency Status Utilize AMI infrastructure for Automation Partnership developed to work together toward developing, demonstrating, & deploying Smart Grid solutions. Implement Smart Grid solutions to over 5MM customers by 2015 First Smart Grid pilot complete in South Bend, IN. Next city-scale project in planning phase. GE and AEP working as partners to develop most effective Smart Grid 12

13 AEP Project Integrated System View Dispatch Adv Aps WAMS, IVVC, FDIR, DPA, DR, DER... EMS DMS Fiber Backhaul Comms OMS Substations Local HMI Integration with Business Applications M&D GIS FFA & Mobile Map Wireless Backhaul Comms MDM S NMS Wireless Backhaul Comms Vehicles AMI Access Backhaul Comms Wireless AMI Feeders Consumers Smart Meter Residential Smart Meter Commercial & Industrial HAN G&S LAN G&S Fiber Backhaul Comms Station IEDs & I/ O Transformer Monitoring & Diagnostics Protection Relays PMU Station Controller Station Capacitor Volt Reg or LTC Microgrid Controlle r Gen & Storage FDIR CVVC Substations Backhaul Comms Substatio n Devices Distribution Substations Backhaul Comms Smart Recloser & Switches Devices Gen & Storage Large Distributed Backhaul Comms DNP Cap Controller Cap Banks Backhaul Comms DNP Volt Regulator Voltage Reg 13

14 AEP Project Solutions Delivered Demand Optimization Smart meters with AMI Time of use pricing Home Area Network Smart Appliances Delivery Optimization Integrated Volt/Var Control Analysis of theoretical and measured results Analysis of financial benefits (MW, MWH, MVAR, and MVARH savings) Smart meters linked to Outage Management System (OMS) GE DMS Poweron OMS Integration of DMS and OMS Leverage AMI for Distribution Automation Asset Optimization Remote transformer monitoring of at-risk transformers 14

15 AEP Smart Grid Lessons Learned Technology: Challenge: Hype versus Reality Utility expectations were that basic SG solutions were shovel ready Reality - Component technology was not as mature as advertised when combined to create a Smart Grid Solution In many cases components were field re-engineered or upgraded to meet objectives and expectations Challenge: Integration / Interoperability Integrating multiple supplier products to create a SG solution Lesson Learned: adopt and insist on standards and open architecture methodology drive for plug and play solutions Test, Test, Test Lesson Learned: Extensive lab testing for SG Solutions is mandatory prior to implementation understand the capabilities Re-do s are expensive and time consuming! 15

16 AEP Smart Grid Lessons Learned Change Management: Smart Grid solutions involve multiple stakeholders (actors) Residential / Commercial customers are now a Major Stakeholder For example: PCT s, In-home devices, utility incentivized customer programs, 2-way communication with the Utility Define and develop Use-Cases for each component of Smart Grid Use-Cases provide a scenario description, defines the benefits, actors, functional requirements, and business rules and assumptions Lesson Learned: Use-cases form the basis for the benefits achieved, functional requirements, development, and training Smart Grid actors require Significant Training on the operation and maintenance of the deployed system (i.e., Operations Center, Communications, Customer Call Center, Engineering, Field Crews, etc.) 16

17 AEP Smart Grid Lessons Learned Project Management: Establish Program Management Office Multiple Project Managers reporting to the Program Manager Adhere to PM guidelines such as Communication, Status Reporting, Risk Management, etc. Build an A team with project and technical members there will be challenges to collectively solve Establish Corporate Steering Committee Key status meetings with Utility Executives and Alliance Suppliers Escalation and Risk Mitigation in timely manner is critical Build Strategic Alliances with Key Suppliers Define, Engineer and Build the Smart Grid solutions collectively Alliance Supplier provides On-site management and technical support 17

18 Thank you! 18