Post on 26-Jun-2020
Western Conference 2017
DER 2.0:The Evolution of
Distributed Resource Technologies
and Regulators
DER 2.0: Evolution of Distributed Energy
Resource Technologies and Regulations
John Goodin
Manager, Infrastructure and Regulatory Policy
NARUC Western Conference
May 22, 2017
The growth in renewables and distributed energy resources is transforming
California’s energy supply portfolio and how our grid functions.
0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
2016 2017 2018 2019 2020
Behind-the-meter Build-out through 2020
23,000 MW
Approx. 5,400 MW BTM solar today
130 MW/Mo. Growth Rate
System Peak Demand was 46,232 MW on July 27, 2016
Rapid DER deployment is spurring a democratized and decentralized system
calling for enhanced coordination at the T&D interface.
Diverse end-use devices and diverse owners/operators affect:
o Load shapes, peak demand, total energy consumption
o Energy flows, voltage variability, phase balance
o Variability and unpredictability of net loads and grid conditions
CAISO “sees” DER as if located at T&D substations
– No ISO visibility to distribution grid conditions/impacts
– Distribution utility is unaware of DER bids and dispatches
DER providing services to customers and the distribution
system affects the T&D interfaces
– Need accurate operational forecasting and local management
of DER variability to ensure end-to-end feasibility
Page 4
End
-to-E
nd F
easib
ility
New control and
coordination needed
at the T-D Interface
Distribution
Grid
DSO
ISO
DERP
DSOISO
Daily coordination, cooperation, and engagement is needed to
ensure feasible energy transactions.
Page 5
DERP Update
ISO/DSO on
resource
limitations and
outages
ISO Provide
schedules to
DSO to ensure
feasible
dispatch
DSO provide
advisory info on
grid conditions
to DERP to
ensure feasible
DER
bids/schedules
DSO = Local Distribution Area or
Community Micro-grid
Regional Interconnection
The future grid may be a layered hierarchy of nested optimizing
sub-systems.
Page 6
D
S
O
D
S
O
CAISO
Balancing
Authority
Area
BAABAA
• Each tier only needs to see
interchange with the next tier above &
below, not the details inside other tiers
• ISO focuses on regional bulk system
optimization while DSO coordinates
DERs
• Layered control structure reduces
complexity, allows scalability, and
increases resilience & security
Point of Interchange
XXX
XX
Smart
building
X
Micro-
grid
Micro-gridX X
Smart
building
X
Smart
building
X
X
Thank you.
John Goodin
jgoodin@caiso.com
Market & Infrastructure Policy
Page 7
Food for thought as we move into a high-DER future...
• Enabling Multi-use Applications of DER
– What grid services can be valued and stacked?
– Who has primacy over the resource in what situations?
– How to prevent double counting of capacity or resource capabilities?
– Net energy metering interactions and impacts on multiple-use applications
• Assessing DER Performance and Evaluation Methods
– Retail/wholesale metering interactions and adjustments needed.
– Sub-metering issues, rules, and manipulation concerns/
– Accounting for and removing the “typical use” of devices to ensure no double payments when selling specific grid services.
• Understanding DER Modeling and Optimization Techniques
– Setting and managing aggregate DER resource distribution factors in network models, i.e. how much expected output from each Pnode?
– How to account for the dynamic nature of DER when resource configurations and capabilities can vary greatly over time?
– How to model and manage storage device state of charge constraints?
– How to manage resource use limitations beyond 24 hour optimization horizons
• Agreeing on the Best System Architecture Design
– How to properly model and forecast interactions at the T&D interface?
– How to properly model micro-grids/Nano-grids?
– What is the most elegant system architecture to employ in a high-DER future? A Nested architecture or ?
• Coordinating Actions and Information at the T&D Interface
– How to ensure feasible dispatches from ISO to end-use customer
– What are the essential roles and responsibilities of key players at the T&D interface?
– What information must be exchanged and in what timeframes?
• Addressing Station Power Rules and Regulations
– How to treat station power when storage device is in charging mode?
– How to avoid double charging for station power at retail and wholesale level in behind the meter applications?
Page 8
Western Conference 2017
DER 2.0:The Evolution of
Distributed Resource Technologies
and Regulators
DER 2.0: The Evolution of Distributed Energy Resource Technologies and RegulationsLon Huber – Senior Director
11
BTM Technologies
Solar PV
Energy Storage
Demand ResponseEnergy Efficiency
Durable Goods
Electric Vehicles Data & Information
Utility Customer
11
12
▪ Multiple use cases and services
▪ Customer choice and empowerment
▪ Favorable technological attributes
▪ And:
Why?
Breakdown based on 2013 percentages
13
Possible Services and Benefits
• Revenue Gener~tJnl value
• Cos! MJIJptIOn V~I~ • RIsk fledl>diOfl """'e • Non·flewnueV~lue
....... STRATEGEN
..,: .... CO N SUI..T1NG
, --
T&D losses
EnVIronmental Bene/Its
EconomIc Develo ent , --
locational 1&0 Losses
RIsk Hedge
Enwonmental Benefits
ECOflormc Development
14
“Smart Home” Ecosystem Players
14
GTM Research
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Source: GTM Research15
GTM Research
Residential Segment
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Not Just CA and NY
Many states are pursuing:
▪ Grid modernization efforts
▪ Distributed generation compensation improvement
▪ Energy efficiency and demand response
▪ Rate design reform
16
17
Source: GTM Research
Wholesale Market Opportunities for DERs are Evolving
17
California ISO -.-'-lIquiltoty Tral'llfOl'lNldon: "
OU 00110 hI ,:. ,-.p'lTY AcI~ptlCln: ~
DEli Market",,": .
Gqflphll: ~: ..
o-~· . UnwpportNe F...ot1Ible
tl sTRATEGEN CON$ULTING
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..... '" Aclrq.don: ()
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▪ Economies of scale
▪ Control
▪ Security
▪ Stranded assets
▪ Consumer protection
▪ Rate design
▪ Fairness
A Cleaner, Smarter and more Distributed Future
for the Electricity Sector ?
18
Thank you!Lon HuberSenior DirectorStrategen Consulting, LLC
Email: lhuber@strategen.com Phone: 928-380-5540
More Information
19
Western Conference 2017
DER 2.0:The Evolution of
Distributed Resource Technologies
and Regulators
Imagination at work
Energy Connections Digital
Leonard Rainow
Chief Technology OfficerImagination at work
Confidential. Not to be copied, distributed, or reproduced without prior
approval.
GE Digital
Jamshid
Predix Edge-to-Cloud
22
Cloud fo.m~ry
Ooto ,"I'UUucturo
Confidential. Not to be copied, distributed, or reproduced without prior
approval.
GE Digital
Jamshid
23
Digital Solutions Platform – Predix for Digital Grid
Grid Digital Solutions
ApplicationsCloud
Services
End–to-End Security
Connectivity
Enterprise Apps
EAM
GIS
AMI Head-End
Predix Appliance
SCADA
Asset
Data
S
erv
ices
Analy
tic
s
Apps
Security
S
erv
ices
Edge
Mgr.
ADMS
Apps
Utility Data Infrastructure
on-Prem
3rd Party Apps
EMS
Beyond the meter IOT
C&I,
Residential
Dis
trib
ute
d
Inte
lligence
Control Server
Digital Substation
Dig
ita
l C
on
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l B
us (
oF
MB
)
Distributed
Control
Predix Connect
Data/Control Bus
Grid Analytics
Asset Invest Planning Management
OutagePrediction
FLISR Performance
Storm Response
HistoricalOutage
Machine &Equipment Health
ReliabilityManagement
MaintenanceOptimization
Predix Platform
BusinessOptimization
OperationsOptimization
Asset Performance
Cyber Security Mobility T&D Assets IT Integration OT SystemsEdge Analytics
Renewable Mgmt. & ForecastingGrid Health
Network Connectivity
Grid APM
24
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GE Digital 25
Distribution & Grid Modernization Drivers
September 5, 2017DERM Overview
2
5
Retiring Workforce Grid ModernizationMore devices, more data
Situational IntelligenceData finds the user
Cyber-Security
EnvironmentPublic Safety, Storm
Restoration, Weather, GHG
System ScalabilityFrom energy cluster to
large Interconnected grids
System DynamicsOperating near to true real-
time limits
New TechnologiesDER, DA, AMI, Smart
Inverters Storage, Fuel Cells
CAPEX & OPEX Growing acceptance for
hosted & managed solutions
Regulatory ChangeNew business models
Distributed Energy ResourcesRenewable deployment & CO2-free energy new generation mix
Western Conference 2017
DER 2.0:The Evolution of
Distributed Resource Technologies
and Regulators
No smoking: Toward 100% renewable
• Routinely achieving 90% renewable during mid-day
• All but 1 generator shut down on clear days forup to 6 hours
Next up: periods of
100% renewable
during mid-day
No ability to take solar without significant storage
• SolarCity / Tesla 13 MW / 52 MWh
• AES 20 MW / 100 MWh
• Additional projects in the works
KIUC’s Storage Fleet
Smoothing
Frequency Control v1
4.5 MW / 3.0 MWh advanced lead acid (own)
Frequency Control v2
6 MW /4.6 MWh lithium ion (own)
Shifting
'--------;> Dispatchable Solar v1
13 MW / 52 MWh lithium ion (PPA)
Dispatchable Solar v2
20 MW /100 MWh lithium ion (PPAplanned)
100% RPS
We're working on it ...