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Presentation to:SWEDE Conference

Austin, TXMay 2, 2013

Tom Weaver, PE

Historical VoltageRange

VVO Range

120

124

128

116

112

108

104

“A”

Se

rvic

e

“A” U

tilizatio

n

“B” U

tilizatio

n

“B” S

erv

ice

American Electric Power’s Experience with

Volt/Var Optimization

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Volt VAR Impacts on Customer’s Motors

Real Power consumption is 8% lower @ 115V than at

125V

kVAR ↓ ~ 20%

kW ↓ ~ 8%

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Volt VAR Optimization Architecture

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Volt VAR Controllers

Mesh Network

Mesh Master

EOL Monitors

Line Regulators

Line Capacitors

DMS - GENe

Fiber or Mesh

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AEP’s Volt / VAR Optimization Technology Deployments

• AEP Ohio :– 17 circuits in service– Additional circuits being considered to meet EE State Targets

• Indiana & Michigan Power Co.:– 9 circuits in service– Planning to include VVO as an EE Program

• Public Service Company Oklahoma :– 11 circuits in service

• Kentucky Power Co. :– 25 circuits going in service in 2013– Planning to include VVO as an EE Program

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AEP Ohio: Gahanna – 4505 Voltage Profile

Substation

EOL 2CAP 2 CAP 3

Without AdaptiVolt™ = 6-7-11 @ 4:30 pm With AdaptiVolt™ = 6-6-11 @ 4:30pm

REG

Flatter voltage profile, lower voltage, reduced tap changer operations

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AEP Ohio: East Broad 1406 Voltage Profile

Normal Operation = 7-23-10 @4:44pmVolt / Var Control Operating = 7-24-10 @4:44pm

Substation

EOL 55CAP 1 CAP 3 CAP 4REG 1 REG 2CAP 2

116.0

118.0

120.0

122.0

124.0

126.0

Normal Operation With VVC

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Demand and Energy Reduction Results

• VVO technology works as-expected Testing demonstrates ~2-4% energy and demand reduction is

achievable.

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Example of Energy Savings on Circuit 4503

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SCADA / PI View

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SCADA / PI View

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“Value” of VVO Compared to

Generation Alternatives

Levelized cost of VVO is in the low part of the Energy Efficiency range due to low initial capital cost and no on-going fuel cost

“LEVELIZED COST OF ENERGY ANALYSIS “– VERSION 3.0 Lazard, February 2009

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VVO for Energy Efficiency / Capacity Reduction

• Energy Efficiency (24/7 Operation)– Help meet state Energy Efficiency targets– Receive incentives / participate in DR markets – TRCs 2 to 3 – better than many current programs– Reduce Energy Consumption by Customers– Not limited by “participation rates”– Reduce Emissions – Relieve Transmission Congestion

• Capacity (Demand Reduction Only )– Reduce amount of capacity required at peak / critical times– Short payback period if generation charges are based on peak demand– Defer investment in capacity replacement or upgrades– Engage in DR Market– Relieve Transmission Congestion

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Questions?Tom Weaver – tfweaver@aep.com