ISGF TECHNOLOGY SESSION(Last Mile connectivity in Smart Grid)

“Regulatory Perspectives on Distribution Automation”

Vijay L Sonavane ME(Elect.)

Member(Tech) MERC Mumbai 400 005

Date: 1st June 2012

Maharashtra Power System• Area :3.08 L Sq. km, 40,615 Villages

& 457 Towns, 121 M Citizens• Installed capacity: 24000 (+) MW • Daily Demand met: 325-375 MU• 4 DL, 3 GENCO, 4TRANSCO, 3 JV TRANSCO• 22 M Customers (3.4M Ag Pumps)• ARR: Rs 60,000 Crores • Demand Growth: 8%• Dist Losses: MSEDCL: 16.8% &

Mumbai Utilities: 7-9.5 % • Load shedding free by Dec 2012

Existing Grid Operation in Maharashtra

• Centralized Generation disseminated via a relatively passive limited control

• Limited two- way communication between utilities & end users

• Many Slow Analog & Electro Mechanical legacy systems (prone to failures leading to black outs)

Thomas Edison & Present Grid System

“He has been dead for more than 75 years, but Thomas Edison-

hailed as father of Electric blub- probably could have run the

Nation’s modern day Electric Grid- It has not changed much”

- Denver Business Journal (Mar. 2007)

EA 2003: Mandate for Reforms

• An Act for taking measures conducive to (1) Development of electricity industry,(2) Promoting competition therein,(3) Protecting interests of consumers (4) Promotion of efficient & environmental

friendly policies

• S 61 (c): “ Commission…. shall be guided by the factors which would encourage competition, efficiency, economical use of resources, good performance & optimum investments”

Regulator’s Concern

• Key Regulatory concepts:– “Prudent” management decisions– “Used & Useful” Technology– “Least cost/Least risk”

• Investment approval only if it enhances service quality & Reliability/Efficiency

• Cost Recovery more likely if:– Technology is proven & benefits are certain

Example for impact on Tariff Capitaliation 400 Rs Cr

Debt (Loan)

Equity (Own Funds)

%age 70% % age 30%Rs Cr 280 Rs Cr 120

Annual Fixed Costs Computation

Interest on Loan (@ 10%) 28 Rs CrReturn on Equity (@16%) 19 Rs CrO&M Exp(Salaries/R&M/A&G) 10 Rs CrInterest on Working Capital 10 Rs CrDepreciation(@ 5%) 20 Rs Cr

Total burden on 1st year tariff 87 Rs Cr

(Consider a utility with ABR=Rs 4 PU & 10000 MU sale Rs 87 Cr additional ARR means PU tariff rise 8.7 Ps)

Difference in Objectives of Regulators & Innovators

• Regulators set tariffs based on known cost & proven technology : to protect consumers from tariff shock

• Regulators are Risk-averse: (strong disliking) “It’s the second mouse that gets the cheese”, first having proved its use.

• Innovators seek capital to bring new technology to market & reap benefits of being an “early mover”.

• Innovator: Risk-taker: “It’s the early bird that gets the worm”

Key issues in front of Regulators(Agent of “CHANGE”?)

• What is Distribution Automation? • Is Dist Automation helpful for system?• Is technology sufficiently mature?• Whether DA Investments are prudent?• Who should bear “dry hole” risk?

Main players of Dist Automation Market:Utilities/ Electricity Consumers/R&D Institutions/Equipment Vendors & System integrators/ &

REGULATORS

Distribution Automation (IEEE Definition)

• “A system that enables an electric utility to monitor, coordinate & operate Dist components in a real-time mode from remote locations.’’

• WHY AUTOMATION?: – Improvement of Efficiency/ Reliability/ Quality of supply

• HOW? By Using advanced communication & IT systems • Decision making feature of DA distinguishes it from the normal

SCADA system.

• BENEFITS OF AUTOMATION: – Released capacity/ Reduced Dist losses– Increased Service Reliability (Regulatory requirement).– Life Extension of equipments / Effective utilization of Assets

Dist Automation Functions• MONITORING FUNCTIONS: Meter reading/ System &

equipment status/ Unusual events• CONTROL FUNCTIONS: Switching operations/ Feeder

sectionalizers/ Change of settings/ Capacitor bank control /Voltage Regulators/ Protective equipment

• PROTECTION FUNCTIONS : Over current protection/ Distance protection/ Differential protection

• Dist Automation Sub-system CATEGORIZATION: Information management/ Reliability management/ Efficiency management/ Voltage & VAR management/Load management/ Power quality management

Need for DA in Indian Utilities. • T&D losses: 24%. DT failure Rate: 10-15%

per year • DT failure: Due to non-availability of DT

health parameters & its loading conditions.• O&M of Dist system: Non-availability of

system topological information, current health information of Dist components

• Lack of use of efficient tools for planning & quick detection of fault & service restoration

• GOI’s positive step: Restructured Accelerated Power Development & Reforms Program (R-APDRP): Objective to introduce DA with IT solutions for better Management & Control of Dist system .

Attributes of Dist Automation • Acquire , distribute, Manage, correlate & share large amounts

of real-time data & non-operational data• Enhance network security of real-time & non-operational data• Perform functions of several individual devices by one device

(reduce Capex)• Utilize modern S/S communication solutions (reduce costs)• Support reuse of legacy equipment by communicating with

existing devices & adding new functions on integrated devices (reduce Costs)

• Monitoring of S/S equipment & feeders• Implement expandable scalable architecture to meet future

physical & functional requirements (reduce life cycle costs )

Feeder Automation • Dist S/s Automation Feeder

Automation • By acquiring data & automating

responses on feeder: Reliability to end customer significantly improves

• Functions: – Voltage & load measurement, – feeder protection, – auto-sectionalizing, auto-restoration,– VOLTAGE/VAR control, – power quality monitoring & auto-

restoration (in communications with other equipment) & load shedding.

Dist Transformer & other equipment Monitoring

• Monitor DT load, Oil & winding Temp• Check Health of DT using DG Analysis• Controlled loading on Xmers under

emergencies Reclosers & breakers: • Change settings remotely • Record energy interrupted by contacts/ • Refurbish contact only when necessary• Labour & parts savings/ Capacitor

switching for voltage & VAR control• On Load-tap-changer & Voltage regulator

control

Regulator’s views: How DA Can Help Dist. System in Maharashtra?

1. Effective Load Management: As Real Time info is available, LM can be effective. DR Scheme can also be implemented.

2. Solar & RE Issues: Wind/Solar power is infirm (can not be predicted). What happens when 20 % homes in a neighbourhood go solar & a cloud passes overhead?: Grids have trouble accommodating that two-way, intermittent flow. With too much solar/RE power: Local grid voltage could rise, Control can be effective through DA

3. Electricity Pilferage by meter tamper & Unauthorized tapping: DA gives real time alert in case of Pilferages.

Regulator’s views on DA: Risks

• High capital costs: Communication network & large hardware costs: Investment approval needed

• Software integration risk: Establishing Common Standard Interoperability: Comm. Protocol

• Sharing of Benefits to customers & Utility due to: Loss reduction & efficiency improvements

• Large scale integrated pilots needed in Metro cities. • Only after sharing pilot learning, there can be reduction of risk

premium on capital & operating cost levels. • Integration of Distributed Gen, RE Gen & Captive Gen • IT enablness in Rural area: Communication issues

Case Studies: DA Initiatives in Maharashtra

(Data Centre & Customer Facilitation Centre in MSEDCL)

Current Meter Reading Methods in MSEDCL

CMRI for HT & High value LT Customers Dom : Low Revenue: Photo Meter

ReadingTechnology proposed – AMR Common Frame Work developed Protocols used: IEC 62056/21 AMR Coverage : Feeder Meters, HT

Consumers & DTC Meters& LT Commercial consumers (over 100,000 Customers)

Total Customers: 20 Million (+)

GIS Field Survey/Modem installations

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New Technology initiated in Energy Metering

• Meters with Infrared Ports: Rural Consumers• Meters with Low Power Radio Frequency Modems: Urban

Consumers– Frequency : Free 2.4 GHz Global Band at 250kbps– Protocol used for RF Modems IEEE 802.15.4 Standard

ZigBee• Pre-paid Meters with RF Modules: Online Recharge• Common Meter Protocol for Hand Held Units developed• Advantage: Single hand held Machine for Different Types

of Meters (1/3 PH) & Different Make of Meters

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R-Infra D Case Study Network Focus : State-of-Art Systems

• State-of-the-Art Dist SCADA

(certified ISO 27001)• Dist Management System• Integrated GIS • Remote Substation monitoring• Fault Passage Indicator & Relay

intelligence – Faster Detection of faulty Section– Enhancing Equipment Life– Reduced voltage fluctuations

Leading to a

System Reliability of 99.98%

TRANSFORMER SWITCHGEARAPFC

FPICAMERAFIRE-ALARM

A TYPICAL SUB-STATION

INTELLIGENTBLACK BOX

OIL TEMP. / LEVEL

AMR / APFC CONTROL

FPI & SWITCHGEAR MGMT.

OVERLOAD / PHASE IMBAL

FIRE / INTRUDER ALARM

DETECT MOTION / CAMERA

CONTROL-ROOM

Equipment Monitoring System (EMS) (R-IN D)

Future – Smart Substation monitoring- Predictive Approach

Technology for Meter reading (R-Infra D)

NEW METER INSTALLATION

METER READING

Tamper Evident electronic meter

MRI enabledBuilt-in

validations

Time < 7 days

Mapping on GIS

Easy and Quick

Reduced errors

Grid Meters / Feeder meters/ DT Meters/ HT Consumers: AMR enabled:

AMR: Load forecasting, EA , LM, Equipment health monitoring/ Value added customer services/ Theft detection module

Near 100% Electronic Meters for LT Consumers

Over 100,000 meters read daily with (accuracy 99.7%)

Meter Reading date remindersOver SMS/On Energy Bill

TPC-D Dist Automation System • DA in all 17 DIST SS & 238/ 507 Consumer SS (FY

2005) • Remote control of all connected DSS & CSS• Monitoring of equipment status & analog values• Alarms & event logs with time stamping • Dynamic network coloring for indicating live & dead

network • Server level redundancy / work Station at PSCC &

zonal control centers. (ML, SAKI, BRVLY, VKRLY, SLSTE, DHRVY)

• Success rate of remote operations thro’ DAS: 98%• Loss of Communication link/ CDMA & Modem

related issues• Replacement being planed in FY 2013 to cater

growing requirements & advanced features (LF/SE/Optimization)

DA in BEST Undertaking • DT Metering : 87 % of completed.• ALSTOM make SCADA at RSS level: WIP • At 11 RSS, local level SCADA system is

ON. Balance 23: WIP• Total DSS: 400 Nos. (RTU: Measurands/

Indications) • 115 DSS SCADA equipments

Commissioned • DA Project: Orders on M/S R.F ARRAYS

M/S EASUN RAYROLE • Control Centre at Backbay Veej Bhavan

& Pathakwadi• Communication link is ZIG-BEE wireless

2.44 GHZ with router/repeaters.

Distribution System Reliability• System Reliability & Customer Satisfaction depends on:

• No. of momentary & sustained interruptions• Duration of interruptions• No. of Customers interrupted

• Reliable system: Regulatory requirements• Need: Maintenance scheduling & Resource allocation• Planning systems for future based on Reliability indices.

– SAIFI (System Average Interruption Frequency Index)– SAIDI (System Average Interruption Duration Index)– CAIDI (Customer Average Interruption Duration Index) – MAIFI (Momentary Average Interruption Frequency

Index)

DA & System ReliabilityDA can increase the System Reliability by • Increasing Utilization of Existing Infrastructure:

enable more efficient operation of PS, allowing closer control of voltage profiles

• Contributing to outage prevention & recovery, optimal system performance under changing conditions, & reduced operating costs.

• Easy Operations & Improved efficiency, management of peak loads via predictive technologies (DR) & communications with equipments: Quick Restoration technologies

What is Smart Grid To a….?• Meter Engineer: Advanced

Metering Infrastructure (AMI) • Protection & Control Engineer:

Substation & Dist Automation• Control Room Operator:

Dist & Outage Management• Design & Planning Engineer:

Asset Management• IT Engineer: Challenge of

bringing it all together• And they all are right!!!!!!!!

MERC Smart Grid Coordination Committee (MERC SG-CC)

• MERC issued DSM Regulations in 2010 & also formulated DSM-CC for speeding up the DSM projects.

• DSM-CC: Secretary MERC is the Chairman of the Committee, with members from utilities & IIT Mumbai, Experts in field

• All DSM proposals received from utilities are discussed in detail in DSM-CC & comments on the scheme are sent to the Commission. No DSM scheme is approved unless it is cleared by DSM CC

• On similar grounds, MERC SG-CC is being formed; with representatives from Utilities (GTD), IIT Mumbai, MERC. First meeting on 12th June 2012. Special Regulations for SG implementation

Let Us Make a SMART beginning towards Smart Grid

• Operational Improvements:– Metering & Billing/Outage management – Work force management /Reduced losses/ Better Asset

Utilization• Asset Management : System Planning (Deferment of CAPEX

Program) /Improved Maintenance practices • DA empowers system operators & provides them

unprecedented visibility & control over the system (Efficiency Improvement

• DA helps in Promoting RE Gen & Captive Gen/ Reducing AT&C losses & Improving System reliability & quality of supply

• Win-Win Situation: Regulator: to work as catalyst for benefit to customers

“If it is to be It is up to me!!”

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Thank You !!(Contact me: vlsonavane@gmail.com)

Utilities/ Consumers/R&D Institutions/Equipment Vendors & System integrators/

& REGULATORS