Integrating DER. Thomas Bialek, PhD PE Chief Engineer. Smart Grid & Climate Change Summit October 13, 2015

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Integrating DER Thomas Bialek, PhD PE Chief Engineer Smart Grid & Climate Change Summit October 13, 2015

Integration of DER Solar & Electric Vehicle Customers

SDG&E s Vision Consistent with State Policy Goals SDG&E supports the concept of open access for all types of DER and seeks to enable seamless integration of DERs while providing safe and reliable electric service across the distribution system contingent upon successful rate reform The Distribution Resources Plan OIR (AB327) is intended to enable the widespread integration of DER in a cost effective manner while maintaining safety and reliability at the lowest cost to ratepayers SDG&E supports anytime anywhere interconnection for Energy only DER SDG&E supports the right time, right size, right location, right certainty approach to DER integration for cost effective grid alternatives(capacity and Reliability) D.03-02-068 Mass deployment of electric vehicles and electrification is critical to meeting state GHG goals Getting the rate structure right will enable and encourage Plug and Play DER 3

Solar PV Investment at SDG&E ~ 65,000 PV systems in SDG&E territory ~ 438 MW installed PV ~2,400 systems installed each month SDG&E invests ~$2M/year to expedite NEM interconnections Solar PV Distribution System Challenges DER generation should have the same characteristics as traditional generation Widespread PV penetration can lead to operational issues Volt/VAr control, intermittency Smart inverters are a good first step Investment in Storage and EV can compliment PV 4

INTEGRATION OF DER Location on the Circuit Near Substation vs End of Circuit Circuit Rating 4 kv vs 12 kv Type of Circuit Urban vs Rural Circuit minimum loading High vs Low Circuit X/R ratio at location High vs Low Aggregate DG capacity Transmission issues Voltage Regulation Equipment Factors Determining Impact Generation +5% Load 0 CVR -5%

PV Intermittency Mitigation Based Upon Modeling with Smart Inverters With and without dynamic VAr device With and without energy storage -P Q -Q P With and without storage and 4 quadrant control Red = With Blue = Without 6

Solar PV Capacity Challenges Solar does not coincide with residential distribution system peaks Solar output curve does not match typical residential customer daily usage profile Opportunity for distribution and residential energy storage Commercial load profile is more aligned to solar output 10/15/2014 7

Investing in Energy Storage Energy Storage can enhance the reliability and resiliency of the distribution system Meet and manage residential peak demand Smooth PV intermittency Enable customer choice Target by 2020 165 MW 40 MW 40 MW Target In Service/In Progress 30 MW 8 20 MW 51MW 0 MW 31 % 10 MW 0 MW 6 MW 4 MW 7 MW 10 MW 3 MW Transmission Distribution Customer

Investing in an EV ready Distribution System Goal: Integrate as many EVs as possible with minimal impact and cost to the distribution system Proactive management of EV charging can reduce on-peak charging and the need to build system or circuit capacity VGI Pilot EV rates will incentivize efficient charging behavior Large potential for low cost charging in off-peak hours Potential elimination of the duck curve resulting from high PV penetration 9

The Possible: PV, EVs and Storage San Diego Zoo - May 5, 2014 150.00 100.00 San Diego Zoo Solar to EV Project PV Smoothing and Peak Shifting from Battery PV Smoothing Battery Discharge During Evening Peak to Offset Drop in PV Production kw or % 50.00-22:00 0:00 2:00 4:00 6:00 8:00 10:00 12:00 14:00 16:00 18:00 20:00 22:00 0:00 2:00 PV Power (kw DC) Grid Power (kw AC) Battery Power (kw DC) Battery SOC (%) EV Charger (kw) (50.00) (100.00) Battery Charging Time of Day (5/5/2014)

Borrego Springs Microgrid

The Distribution System of the Future Leverage existing systems: AMI - Advanced Metering Infrastructure GIS - Geographic Information Systems & SCADA Implement new tools/systems: ADMS - Advanced Distribution Management System, DERMS - Distributed Energy Resource Management System Modelling: Advanced tools are necessary to plan, monitor, and control the distribution system of the future Rate Design: The proper rate structure will result in a more Plug and Play distribution system 12

Questions? Thank you. Thomas Bialek Chief Engineer tbialek@semprautilities.com www.sdge.com/smartgrid/ 13

PV Issues - Intermittency PV Intermittency