Lessons Learnt in International Demand Response -...
Transcript of Lessons Learnt in International Demand Response -...
1 ALSTOM © 2012 Confidential
GRID Laurent SCHMITT,
Vice-President Strategy & Innovation
May, 2014
Alstom Grid
Lessons Learnt in
International Demand Response
Alstom Grid Energy Management leadership
Grid
Stability
30 years of experience in energy management
30 years ago 5 years ago 3 years ago Today
+ + + Renewable
integration
Demand
Response
Smart
City
The New System Flexibility Challenge
Renewable Subsidy
Renewable Connection
Renewable Integration
FENIX Future Distributed control FENIX Future Distributed control Integrated DG FENIX Future Distributed control FENIX Future
Capac
ity
2009 2012 2020
10%
Central
Generation
Transmission networks
Distribution networks
Central
Generation
Transmission networks
networks
Central
Generation
Transmission networks
Distribution
Central Generation
Transmission networks
Flexible Supply
Intermittent Renewable 3-5%
Central
Generation
Transmission networks
Distribution networks
Central
Generation
Transmission networks
networks
Central
Generation
Transmission networks
Distribution
Central Generation
Transmission networks
Flexible Supply
Passi
ve Di
spatch
ed Re
source
s
Intermittent Renewable 10-15%
15-20%
Passi
ve Di
spatch
ed Re
source
s
Central
Generation
Transmission networks
Central
Generation
Transmission networks
Central
Generation
Transmission networks
Central Generation
Integrated T&D Control
Zones
Flexible Supply
Intermittent Renewable
Dispa
tched
Resou
rces
15-25%
Flexible Demand & Storage 5-10%
20-25% fenix‘… a step towards the future of
electricity networks’
fenix‘… a step towards the future of
electricity networks’
The Grid 2.0
From centralised Energy Management towards bi-directional Energy Management
Today
a simple, one way model for energy
Tomorrow
an open, flexible, interconnected and interactive model for energy:
I
II
III
IV
II I
III
IV
Distributed Energy Resources integration
Integrated Grid controls for AC-DC Grid
Integrated & active distribution grid management
Smart metering & grid automation integration
How can it work ? Integrated Smart Networks
Large RES
Plant
Industrial Customers
Smart City
Local Energy
Optimization
H2 Storage
RES Distributed
Plant
Transport Networks
Local H2
Storage
Water Networks
Heating
Network
H2 Large Scale
Storage
H2
H2
H2 Distribution
Gas Network
Transportation
Gas Network
National Market
Global Energy
Optimization
Battery
Storage
International New Zealand (Transpower) France (ERDF, Dalkia) Hong Kong (CLP)
Alstom DR Experiences
Key DR Succes factors
• Scale and adapt while
regulation matures
• Automate and streamline
demand response integration,
from the customer thermostat
to the grid control room
• Target most Flexible DERs
Electrical Heating, Heat Pumps,
Distributed Gen, batteries, EVs
• Improve visibility and control of ‘active loads’ within TSOs/DSOs
Business Model Inertia
• Sell watts, not nega-watts
• 10-30 year decision cycles
• Asset base revenue
models
• Engineering, construction
cultures oriented to build
• Mistrust of unreliable and
unobservable resources
• Naturally competitive with
bulk generation
Retailing
Transmissio
n
Generation
Distribution
Resistance to move beyond
pilots or ‘low-hanging fruit’ of
large industrial DR or
residential AC programs
DR also conflicts with
traditional business models
But needs a critical mass of
investment and participation to
have noticeable impact
Regulations often serve
the status quo
DR Scale Up Model
Daily
Energy
Efficiency
Daily
Time-Of-
Use
Energy
(TOU Rates)
Dynamic
Peak Load
Management
(Dynamic
Rates)
Scheduled
Demand
Response
Real-Time
Demand
Response
(Ancillary
Reserves)
Regulation
(Ancillary
Services)
Service Levels
Optimized
Time of Use
Optimized
Service Levels
Temporarily Reduced
Increasing Levels of Granularity of Control
Increasing Speed of Telemetry
Increasing Interactions with Grid (OpenADR & Smart Grid)
Resources Sold Back to Grid
Time Scale of DR Source: LBNL
ADR Sweet Spot
Residential
Customers
Demand Response Management System (DRMS)
C&I
Customers
Aggregation
Customers
EmailSMSVOIP
Open
ADR
e-terraControl
ICCP/DNP3
Building
EMS
Systems
Hot Water AC
Home Gateways
· WiFi
· ZigBee
· DLC
· Other
Home
Area NetworkAMI Meter
IHDEV/PHV
LMS
Systems
AMI
Head
endsSMTP
Load
Mgmt
Systems
Back Office Systems Integration Layer
Standards Based Integration
We
b U
I &
We
b S
erv
ice
s
Wh
ole
sa
le M
ark
ets
Customers
Customer
Service
DR Operations
Aggregators
ISO/RTOs
Exchanges
Capital Markets
Dispatching
Systems
(ADS/AGC)
Balancing
Authority
(EMS/DMS)
Customer
Information
Systems
Metering
Systems
(AMI/MDMS)
Forecasting &
Unit Commitment
(GMS)
User
Access
(Portal/LDAP)
Settlement
Systems
Market
Mgmt Systems
(MMS)
Manage
Programs
Manage
Enrollments
Forecast
Availability
Create
Events Monitor
Response
Notify
Customers Calculate
Settlements
Optimize
Dispatch
A single DER Management Platform to optimise DER operation
across programs and providing a single point of dispatch.
Business Process Integration & Automation are key for DR Scale up
Integrating a wide range of Load Control subsystems
Direct Load
Control Switch
(~$25)
Low-tech, low-cost devices for Residential DR
.
Higher-cost and capable devices for
high-yielding Commercial & Industrial DR
Programmable
Communicatin
g
Thermostat
(~$75)
Home Energy
Manager
(~$200)
Remote Terminal
Units & Loggers
(~$1000)
Residential
Commercial
& Industrial
SCADA (~$$$)
Managing Real-time Coms : need to be selective
DLCs
Communication performance vs cost trade-offs
PCTs
HEMS
RTUs
SCADA
Ne
w G
en
era
tion
Ma
rke
t
Pla
ce (N
GM
)
Distribution Node
Balance
National
Balance
Regional
Balance
Offers
Offers Awards
Awards
Schedules
Constraints
RT Resources
conditions
RT Dispatch
instructions
VPP
Local Market Place
TSO
DSO
Prosumers
Regional Market Place Regional Coordination
Commercial Operation
Physical Operation
New Regulatory step : towards multi-tier markets
ALSTOM Grid proprietary information – Do not Disclose or copy without any prior consent –
2013 - P 13
RT Dispatch
instructions RT Resources
conditions
Central Market Place
Fuel Markets
CO2 Markets
Future byproduct Markets :
Heat ? Water ? Transportations
Flexible MW Duration Reaction
time Typical Energy Transactions Time horizon
Regulation Reserve
Emergency
Grid Operation
< 200 Seconds
< 10 Minutes
Hours
< 200
Grid security
Power Quality
Minutes
Seconds
Hours
Minutes Minutes
Market Operation
Minutes Peak/Off Peak Day Ahead 100 - 1,000
Energy Infra Day < 100 Minutes Hours
DER do no need to be able to tap in all revenue stream
New framework required for DER
Peak/Off Peak Week Ahead 10,000
Hours Hours Day Days Days Week
Consumer (KWh efficiency)
Islanding Quality
Power Quality
500 Minutes
Seconds < 10 Minutes
Load Management
Minutes Seconds
Minutes Hours Seconds
Minutes
100,000 Days Energy Efficiency Days Week
< 100 Minutes Minutes
Minutes
• Key SmartGrid challenges :
1. Level playing integration of Distributed Renewable within wholesale
markets (including new Renewable tariffs for Self consumption)
2. New Balancing & ancillary service mechanism for level playing
integration of DER flexibility across the Energy System
3. Regulatory framework for storage integration, roles of storage and grid
operators and services offered to the system
4. Prosumer Data management principles (data ownership, opt-in
mechanisms, DSO rights)
5. New mechanisms for Energy Management at Distribution Grid Node (grid
operator role, interfaces with other network, city role)
6. Prosumer integration principles (service quality, standards, security,
privacy)
Top 6 Regulatory hurdle for Smart Systems
New System Operator Role at Distribution Level
New DER Situational Awareness in MV/LV
DSO
Manage Distribution
Constraints/AS
Energy Supplier
Provide Energy
Prosumers/Microgrids
Manage DER
Contracts
Public Data Operator accross Networks (Smart City Operators)
DER Flexibility
Aggregator
National Balancing & Ancillary Service Mechanism
Manage Submetering
Exchange market/grid information
Buy/Sell Flexibility
Within National Balancing
Buy/Sell
Flexibility
Sell Information
Offer Grid
Access
Sell
Energy
Sell Information Share Information
Local Energy Stakeholders National Energy Stakeholders
New Distribution Market Place
IssyGrid Smartcity concept
Welcome in Alstom Smart Grid connected world !