Technical Perspective in System Operation: US Perspective€¦ · • Sunny days lead to high BTM...

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CAISO Public CAISO Public Technical Perspective in System Operation: US Perspective Guillermo Bautista Alderete, Ph.D. Director, Market Analysis and Forecasting California ISO Delhi India September 2019

Transcript of Technical Perspective in System Operation: US Perspective€¦ · • Sunny days lead to high BTM...

Page 1: Technical Perspective in System Operation: US Perspective€¦ · • Sunny days lead to high BTM penetration and lower mid-day loads Page 15 (cloudy day) (sunny day) (0 kWh) (5 kWh)

CAISO Public

CAISO Public

Technical Perspective in System

Operation: US Perspective

Guillermo Bautista Alderete, Ph.D.

Director, Market Analysis and Forecasting

California ISO

Delhi India

September 2019

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CAISO Public

• One of 38 balancing

authorities in the western

interconnection

• Uses advanced technology

to balance supply &

demand every 4 seconds

• Operate markets for

wholesale electricity &

reserves

• Manage new power plant

interconnections

• Plan grid expansions

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The California ISO: One of nine grid operators in North

America – 2/3 of the U.S. is supported by an ISO

WECC

BC

WA

OR

MT (p)

ID SD (p)

NVUT

AZ NM(p)

CO (p)

NE (p)

TX (p)

WY

CFE

CA

AB

Quebec

Interconnection

Interconnection

Eastern

Interconnection

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CAISO Public

Key functions of an ISO

• Uses advanced technology to

balance supply and demand

every 4 seconds

• Operate markets for wholesale

electricity and reserves

• Manage new power plant

interconnections

• Plan grid expansions

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CAISO Public

Western Energy Imbalance

Market (EIM):

• Total savings of $650 million

since start in Nov 2014

• 810,116 MWh curtailment

avoided, displacing an

estimated 346,649 metric tons

of CO2

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The Modernization of the Western grid

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CAISO Public

Wind

• 6,705 MW Installed Capacity

• 5,221 MW Peak – May 8, 2019

Solar Thermal / Photo Voltaic

• 11,949 MW Installed Capacity

• 11,363 MW Peak – June 1, 2019

Roof Top Solar

• Behind the meter – Residential

• 7,500 MW Estimated Capacity

Power industry transformation

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CAISO Public

Comparing conventional to variable generation

Predictability

No surprises

Dependable energy schedules

Accurate forecasts

Contingency reserves available

Generators that follow dispatch

commands

Excellent tools for visibility of

system status

High quality data

De-rate information on units is

timely and accurate

Hard to predict

Forecast inaccuracy is high

Maximum generation at night when

loads are low and there is no place for

the energy – 70 % of the wind produced

during a 24 hour period is at nights and

30 % of the Solar produced in a week is

on weekends

Large ramp demands both up and down

Lack of visibility of anticipated

generation production changes

May not follow dispatch commands ---

treated as “Must Take” generation

Conventional Generation Variable Generation

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CAISO Public

Our Challenge• System needs (ramping, load following, etc) changing dramatically

over this decade.

• Resource mix changing dramatically

– Increasing levels of wind & solar

– Decreasing levels of flexible/dispatchable resources due to:

• OTC Retirements

• Potential retirements due to current market conditions

Slide 7

The right

capability

In

the

right

place

At the

right

time

At the

minimum

cost

Challenges –

How to ensure we identify and

secure the resource capabilities

needed in future years.

How to ensure we optimally

utilize and price resource

capabilities in the ISO markets.

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CAISO Public

Changing Net Load

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Typical Spring Day

Actual 3-hour

ramp of

15,639 MW

on 1/1/19

Net load of

5,439 MW

on 5/5/19

Net load = load – wind – solar

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CAISO Public

Distribution of negative prices have shifted from early

morning hours to midday hours

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Last updated: September 2, 2019

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CAISO Public

Wind and Solar production can vary significantly

between days

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CAISO Public Page 11

July 18, 2015 illustrates variability and forecast challenges

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CAISO Public

Net load varies significantly day-to-day and

minute-to-minute

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CAISO Public

Behind the Meter Solar is Growing

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2018 2019 2020 2021 2022

BTM 7,452 8,714 10,045 11,327 12,587

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000M

W

Expected BTM Cumulative Capacity Through 2022

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CAISO Public

Seasonal Load Shapes

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• Load shape varies by:

– Month

January

July

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CAISO Public

BTM Impacts

• Behind the meter solar

– Non-utility scale solar, such as commercial or residential rooftop

panels

• Sunny days lead to high BTM penetration and lower mid-day loads

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CAISO Public

Day-Ahead uncertainty in CAISO market

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CAISO Public

Flexible ramping product conceptual design

Forecasted net load

(FNL)

FNL+

upward uncertainty (UU)

t+1 (advisory interval)t (binding interval) Time

Net system demand

FRU(t)

procurement

target

FNL –

downward uncertainty (DU)

FNL(t+1)+UU(t+1)

– FNL(t)

FRD(t)

procurement

target

FNL(t+1) – DU(t+1)

– FNL(t)

FRU and FRD cover the net load movements from

binding interval t to the advisory interval t+1

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CAISO Public

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