Smart Grid Update Where is the Electric Grid Going?
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1 Smart Grid Update Where is the Electric Grid Going? Paul A. Molitor and John F. Caskey National Electrical Manufacturers Assoc. Date
2 No, unfortunately 21 Major League Seasons Milwaukee, Toronto, Minnesota 7 Time All Star 3,319 Hits = 9 th All Time 10 th in Singles 11 th in Doubles 18 th in Runs Scored 36 th in Stolen Bases Hall of Fame Class of 2004
3 Agenda Current U.S. Electric Grid Introduction to Smart Grid Overview of NEMA Smart Grid Characteristics NIST, FERC and SGIP NEMA s Role in Smart Grid Q&A
4 National Academy of Engineering #1 Engineering Achievement of the 20 th Century ELECTRIFICATION Cray Inc., NASA Photo
5 U.S. Electric Grid Statistics NASA/GSFC Composite Image Over 3,000 electric utility companies 17,000 power plants 800 gigawatt peak demand 165,000 miles of high-voltage lines 6 million miles of distribution lines 140 million electric meters $1 trillion in assets $350 billion annual revenues 22% of world consumption
6 2009 Generation: 70% Fossil, 20% Nuclear, 10% Renewable Other gases 0.3% 2009 Total net generation: 3,953 billion kwh Natural gas 23.3% Nuclear 20.2% Conventional hydroelectric 6.9% 2009 Non-hydro renewable net generation: 141 billion kwh Other 0.3% Renewable 3.6% Wind: 1.8% Solar thermal and PV: <0.1% Petroleum 1.0% Coal 44.6% Wood and woodderived fuels: 0.9% Geothermal: 0.4% Other biomass: 0.5% Richard Newell, December 16, 2010 Source: EIA Electric Power Monthly, October 2010
7 Projected electricity mix gradually shifts to lower-carbon options, with natural gas rising 37%; renewables rising 73% electricity net generation trillion kilowatthours per year 6 History 2009 Projections % Coal 43% Natural gas 23% Renewable 10% 20% Nuclear 1% Oil and other Richard Newell, December 16, 2010 Source: EIA, Annual Energy Outlook % 14% 17% 1%
8 Non-hydro renewable sources grow nearly three-fold, meeting 23% of projected electricity generation growth non-hydropower renewable generation billion kilowatthours per year History Richard Newell, December 16, 2010 Projections Solar Biomass Wind Waste Geothermal Source: EIA, Annual Energy Outlook 2011
9 Estimated U.S. Energy Use 2008: ~99.2 Quads Lawrence Livermore National Laboratory,
10 Increasing Energy Efficiency is a Key Priority Half of U.S. coal plants > 40 years old Average substation transformer > 40 years old Major Investment $1.5 to $2 trillion through 2030 Smart Grid Energy Independence and Security Act of 2007 Sources: DOE Energy Information Administration, Brattle Group
11 Today s Electric Grid One-way flow of electricity Centralized, bulk generation, mainly coal and natural gas Responsible for 40% of human-caused CO2 production Controllable generation and predictable loads Limited automation and situational awareness Lots of customized proprietary systems Lack of customer-side data to manage and reduce energy use
12 What is the Smart Grid? The Smart Grid integrates information technology and advanced communications into the power system to: Increase system efficiency and cost effectiveness Provide customers tools to manage energy use Improve reliability, resiliency and power quality Enable use of innovative technologies including renewables, storage and electric vehicles Two-way flow of electricity and communications
13 What does the Smart Grid mean to YOU? Smart Meters Dynamic Rates Home Area Networks Demand Response T&D Reliability Distributed/Renewable Generation Electric Vehicles
14 Improving Reliability for 21st Century $80 billion/year cost to US economy Smart grid sensors and automated controls will improve reliability Sources: (1) IEEE Benchmarking 2009 Results Distribution Reliability Working Group (2) Japan Ministry of Economy Trade and Industry 2010 (3) Lawrence Berkeley National Laboratory
15 Enabling Greater Use of Renewables Electricity generation accounts for 40% of humancaused CO2 Greater use of wind and solar requires more dynamic grid control and storage Source: PJM
16 Reduce Dependence on Oil Idle capacity of the power grid could supply 70% of energy needs of today s cars and light trucks Displace half of US oil imports Reduce CO2 20% Reduce urban air pollutants 40%-90% Batteries in EVs could provide power during peak demand
17 Smart Grid A U.S. National Policy It is the policy of the United States to support the modernization of the Nation's electricity [system] to achieve a Smart Grid. Energy Independence and Security Act of 2007 We ll fund a better, smarter electricity grid and train workers to build it President Barack Obama To meet the energy challenge and create a 21st century energy economy, we need a 21st century electric grid Secretary of Energy Steven Chu A smart electricity grid will revolutionize the way we use energy, but we need standards Secretary of Commerce Gary Locke
18 US Government Roles in Smart Grid Federal Office of Science & Technology Policy; National Economic Council; & Council on Environmental Quality Smart Grid Task Force / National Science & Technology Council Smart Grid Subcommittee Federal Energy Regulatory Commission State FERC NARUC Smart Response Collaborative Public Utility Commissions Other Federal Agencies
19 Standards Come from Many Developers International Regional and National
20 While Paul was smashing baseballs, I was smashing atoms!
21 NEMA s Role in Smart Grid NEMA is extremely well positioned in Smart Grid Hired full-time program managers for Smart Grid and High Performance Buildings Completed first official smart grid standard on smart meters in 90 days NEMA Staff hold officer positions on SGIP and GB Created excellent relationships with DOE, FERC, NIST, NERC, GWAC, Congress, EPRI, etc. Represented US position in Europe, Canada, Mexico, Ireland, China, Japan..
22 NEMA More than those little grey boxes!
23 About NEMA Trade Association for Electrical and Medical Imaging Manufacturers Founded in 1926 Headquarters in Rosslyn, VA Four US Field Offices plus Beijing and Mexico City ~100 Professional Staff Government Relations, Technical Services, Business Information Services, Communications and Operations ~450 Member Companies ANSI Accredited Standards Development Organization
24 NEMA History in Standards Promotes development and maintenance of product standards domestic, regional, international 236 NEMA Standards Publications 266 American National Standards 72 Council for Harmonization of Electrotechnical Standards of the Nations of the Americas (CANENA) 28 Tri-National and 13 Bi-National standards 5 International Electrotechnical Commission (IEC) Secretariats 56 IEC and 6 ISO Technical Advisory Groups (TAGs) 300+ NEMA representatives on committees of other organizations NEC Code Making Panels, National Electric Safety Code (NESC)
25 NEMA Product Divisions Industrial Automation Lighting Systems Electronics Industrial Imaging Building Systems Insulating Materials Wire and Cable Power Equipment Medical Imaging Creston Lighting OSHA General Electric
26 NEMA More than standards! Government Relations Business Information Services Communications and Marketing Anti-Counterfeiting Strategic Initiatives
27 NEMA Strategic Initiatives Smart Grid High Performance Buildings Public Policy Portal (P3) Carbon Footprint Analysis Port Electrification Energy Storage
28 NEMA s Smart Grid Definition Smart Grid incorporates real-time monitoring, analysis, control and communication capabilities into the national electric grid in order to improve reliability, optimize asset utilization, improve cyber security, increase energy efficiency and allow diverse generation and storage options. Smart Grid will also allow homeowners and businesses to utilize electricity as efficiently and economically as possible.
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31 Smart Grid Characteristics from DOE Modern Grid Initiative Enable consumer participation Accommodate generation and storage Enable new products and services Provide power quality Optimize asset utilization Anticipate and respond to system disturbances Operate against physical and cyber attacks
32 Energy Independence and Security Act of 2007 Title XIII describes Smart Grid NIST given responsibilities to: Develop Smart Grid Interoperability Framework released 1/19/2010. Coordinate the development of Smart Grid standards list & PAPS. Include NEMA, IEEE, GWAC and others. FERC given responsibility to enforce consensus standards as laws.
33 President Signs American Recovery and Reinvestment Act Feb 14, 2009 $787 Billion
34 US Smart Grid Investment Grants Category Integrated/Crosscutting $ Million 2,150 AMI 818 Distribution 254 Transmission 148 Customer Systems 32 Manufacturing 26 Total 3, million smart meters 1.2 million in-home display units 206,000 smart transformers 177,000 load control devices 170,000 smart thermostats 877 networked PMUs 671 automated substations 100 PEV charging stations
35 Where is the money going? Top 5 California Texas New York Florida Illinois (1 55) (2-34) (3-31) (4-27) (T5, PA - 21) Bottom 5 New Hampshire Rhode Island Delaware Vermont Wyoming (T39-4) (T39-4) (T44-3) (T44-3) (T44-3)
36 NIST Takes the Lead!
37 FERC Issues Smart Grid Policy Statement July 16, 2009 Documents FERC s perspective on Smart Grid and Demand Response. Asks for guidance on open protocols, priority standards areas, and potential consensus standards. NEMA met with FERC and also provided formal comments to FERC.
38 NIST Special Publication 1108 Release 1.0 dated January 25, Standards identified for implementation 50 Standards designated for further review 15 Priority areas identified for new standards activity Later expanded to 17
39 NIST Conceptual Model for Smart Grid
40 Smart Grid Interoperability Panel
41 Smart Grid Interoperability Panel Public-private partnership created in Nov member organizations Open, public process with international participation Coordinates standards developed by Standards Development Organizations (SDOs) Identifies Requirements Prioritizes standards development programs Works with over 20 SDOs including IEC, ISO, ITU, IEEE, Web-based participation SGIP Twiki: 41
42 SGIP Membership Total # of Member Organizations: 664 # of Participating Member Organizations: 555 # of Observing Member Organizations: 109 # of Organizations who joined in Q1 2011: 19 Total # of Individual Members*: 1,708 # of Participating Member Organizations by Declared Stakeholder Category
43 SGIP Officers Governing Board NIST SGIP Administrator Test & Certification Committee (SGTCC) Architecture Committee (SGAC) Cyber Security Working Group (CSWG) PAP 1 PAP 2 PAP 3 PAP 4 PAP 5 PAP Priority Action Plan Teams Standing Committees & Working Groups Program Mgmt Office (PMO) Comm. Marketing Education (CME) Bylaws & Operating Procedures (BOP) Coordination Functions H2G TnD B2G I2G PEV2G BnP Domain Expert Working Groups SGIP Membership
44 SGIP Governing Board Provides overall guidance to SGIP. First meeting Dec 8 & 9, individual members 22 stakeholder groups 3 at-large members 2 ex-officio members Officers John McDonald (GE) Chair John Caskey (NEMA) Vice Chair George Bjelovuk (AEP) - Secretary
45 Filling Gaps in the Standards # Priority Action Plan # Priority Action Plan 0 Meter Upgradeability Standard 9 Standard DR and DER Signals 1 Role of IP in the Smart Grid 10 Standard Energy Usage Information 2 Wireless Communication for the Smart Grid 11 Common Object Models for Electric Transportation 3 Common Price Communication Model 12 IEC Objects/DNP3 Mapping 4 Common Scheduling Mechanism 13 Time Synchronization, IEC Objects/ IEEE C Harmonization 5 Standard Meter Data Profiles 14 Transmission and Distribution Power Systems Model Mapping 6 Common Semantic Model for Meter Data tables 15 Harmonize Power Line Carrier Standards for Appliance Communications in the Home 7 Electric Storage Interconnection Guidelines 16 Wind Plant Communications 8 CIM for Distribution Grid Management 17 Facility Smart Grid Information
46 Global Collaboration is Key to Success The laws of physics do not differ from country to country the electric grid must obey them! There are many technical challenges to solve sharing knowledge helps all Global standards avoid unnecessary adaptations for different markets, resulting in lower costs and greater innovation
47 Current Challenges Global Collaboration Definition of Consensus Voluntary vs. Mandatory Catalog of Standards Home Area Networks
48 REVIEW - What can Smart Grid mean to YOU? Smart Meters Dynamic Rates Home Area Networks Demand Response T&D Reliability Distributed/Renewable Generation Electric Vehicles
49 REVIEW - NEMA s Role in Smart Grid NEMA is extremely well positioned in Smart Grid Hired full-time program managers for Smart Grid and High Performance Buildings Completed first official smart grid standard on smart meters in 90 days NEMA Staff hold officer positions on SGIP and GB Created excellent relationships with DOE, FERC, NIST, NERC, GWAC, Congress, EPRI, etc. Represented US position in Europe, Canada, Mexico, Ireland, China, Japan..
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