Research Needs for Grid Modernization

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1 Research Needs for rid Modernization WPI Annual Energy Symposium Worcester, MA September 29, 2016 Dr. Julio Romero Agüero Vice President Strategy & Business Innovation Houston, TX

2 Utility Of The Future Drivers rowth in energy products and services provided to customers by 3rd parties interest for greater control of energy use and costs Increasing expectations for reliability and power quality Importance of cybersecurity Deployment of costeffective D Need for new electric utility business models and regulatory frameworks Increasing adoption of energy management technologies Deployment of smart grid technologies, products and services rowing adoption of PEVs and BESS Deployment of microgrids interest for sustainable energy options Increasing expectations regarding resiliency Expanded use of utility-scale renewables Rise of data analytics Page 2

3 rid Parity Imminent PV distributed generation is experiencing significant growth Prices continue decreasing despite falling state/utility incentives Source: Tracking the Sun IX: The Installed Price of Residential and Non- Residential Photovoltaic Systems in the United States Page 3

4 Key Modernization Driver DER Integration High penetration of D (mainly PV) is already a reality in several utility systems D interconnection can have significant and diverse impacts in numerous business and technical activities of distribution utilities Source: Energy/Integration-Tools-and-Resources/Locational-Value-Maps Page 4

5 Examples of Research Needs Engineering Future distribution system architecture ( closed loop operation) Applications of microgrids (intentional islanding, hierarchical microgrids, blackstart of distribution systems) Distribution state estimation Distribution applications of synchrophasors Smart inverters (generation emulation) Joint modeling and simulation of T&D systems Modeling, simulation and analysis of secondary (low voltage) systems Volt-VAR control of modern distribution systems (need for modern voltage control devices) Page 5

6 Examples of Research Needs Business Models, Regulatory and Policy Aspects Distribution markets and transactive energy Distribution System Operator (DSO) Distribution Locational Marginal Pricing (DLMP) rid modernization strategy Rate design Rate unbundling (demand charges) Value of Solar (VOS) Regulatory models for DER and microgrids Ownership and compensation models Ancillary services pricing Page 6

7 Examples of Research Needs Future Distribution System Architecture DER is an intrinsic component of modern distribution systems Distribution feeders have been traditionally designed to be operated radially with unidirectional power flows DER proliferation does not comply with this basic assumption Mitigation measures (some of them expensive) are needed to address impacts caused by DER proliferation New distribution system designs are needed to prepare the grid for DER adoption and prevent impacts This requires review and update of distribution planning, operations, protection, and engineering practices in general Distribution feeders should be flexible and robust to allow bidirectional power flows and evolve into lower voltage subtransmission and transmission grids Page 7

8 Closed-Loop Operation Two kv radial feeders (same substation transformer) and three 2 MW Ds Three normally open tie-switches suitable for close-looping or meshing both feeders Close-loop operation may help increase stiffness at point of interconnection and mitigate voltage increase and fluctuations 2 S3 S2 1 S1 3 Substation Page 8

9 Results radial feeders Radial Base Case (No D) Radial D Case (6 MW D) Closed-loop D Case (6 MW D) Page 9

10 Distribution State Estimation Source: RWTH Aachen Page 10

11 Hierarchical s Distribution Blackstart Sub-transmission Distribution Substation Full Substation Full Feeder Single Normally Open Tie Neighbor Feeder Partial Feeder Secondary System Single Page 11

12 Traditional Distribution rid No D Sub-transmission Distribution Substation Normally Open Tie Neighbor Feeder Page 12

13 Modern Distribution rid D Proliferation Sub-transmission Distribution Substation Normally Open Tie Neighbor Feeder Page 13

14 Single- s (Nanogrids) Sub-transmission Distribution Substation Single Normally Open Tie Neighbor Feeder Single Page 14

15 Secondary System s Sub-transmission Distribution Substation Single Normally Open Tie Neighbor Feeder Secondary System Single Page 15

16 Partial Feeder s Sub-transmission Distribution Substation Full Feeder Single Normally Open Tie Neighbor Feeder Partial Feeder Secondary System Single Page 16

17 Full Feeder s Sub-transmission Distribution Substation Full Feeder Single Normally Open Tie Neighbor Feeder Partial Feeder Secondary System Single Page 17

18 Hierarchical s The Future? Sub-transmission Distribution Substation Full Substation Full Feeder Single Normally Open Tie Neighbor Feeder Partial Feeder Secondary System Single Page 18

19 Distribution Applications of Synchrophasors Source: LBNL Page 19

20 Deployment Example 1.5 MW Auto-Cap 1.8 MVAr PV 3 MW Auto-Cap 1.2 MVAr PV Substation Auto-Cap 1.8 MVAr I I RCS I I X PS X PS I I PS Auto-Cap 1.2 MVAr R Adjacent Feeders Page 20

21 Distribution System Operator (DSO) DSO Balancing Authority/ Transmission System Operator DSO Merchant DER DSO Consumers & Prosumers Source: Page 21

22 rid Modernization Strategy rid modernization strategy must address challenges prompted by grid transformation drivers and take advantage of emerging opportunities Developing business and technology roadmaps Addressing and preparing for various scenarios Deploying pilot projects to test and prepare for changes Developing and applying industry standards Developing a skilled workforce Speed and success will depend on clear and balanced regulatory policies to promote safe, cost-effective, and reliable deployment of technologies Page 22

23 rid & Utility of the Future Framework Source: Page 23

24 Conclusions DER proliferation and other key drivers are changing the way T&D systems are designed, engineered, planned, and operated New techniques, methodologies and applications need to be developed to address important technical, business, regulatory and policy challenges More research, pilot, proof-of-concept, and demonstration projects are needed to address these issues Multidisciplinary research and collaboration is needed to propose solutions that are practical, realistic and applicable Page 24

25 The Utility and rid of the Future Source: Page 25

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