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April 5, 2011Hannover, Germany

Organized by the German American Chamber of Commerce of the Midwest (AHK USA – Chicago)

Part of the Export Initiative for Energy Efficiency, supportedby the German Federal Ministry of Economics andTechnology on the basis of a decision by the GermanParliament.

SMART GRID IN THE USA

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Important OrganizationsTransmission and Distribution

InfrastructureRole of Renewable EnergyGovernment Initiatives

AGENDA

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• US Department of Energy (DOE)– Office of Electricity Delivery and Energy Reliability (OE)– Office of Energy Efficiency and Renewable Energy (EERE)

• Federal Energy Regulatory Commission (FERC)• North American Electric Reliability Corporation (NERC)• Public Service Commissions (PSC) / Public Utility

Commissions (PUC)• National Institute for Standards and Technology (NIST)• American National Standards Institute (ANSI)• Electric Power Research Institute (EPRI)• National Renewable Energy Laboratory (NREL)

IMPORTANT ORGANIZATIONS

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THE US ELECTRICAL GRID

Source: FERC

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• 160,000 mi (257,500 km) of transmission lines between power plants (generation) and substations. Including distribution, over 300,000 mi.

THE US TRANSMISSION NETWORK

Source: http://teeic.anl.gov/er/transmission/restech/dist/index.cfm

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There are 3 distinct power grids, or interconnections in North America:– Eastern

Interconnection– Western

Interconnection– ERCOT

Interconnection

THE US ELECTRICAL GRID

Source: http://www.ferc.gov/industries/electric/indus-act/reliability/blackout/ch1-3.pdf

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REGIONAL RELIABILITY COUNCILS

Source: http://www.ferc.gov/industries/electric/indus-act/reliability/blackout/ch1-3.pdf

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• Regional Transmission Organizations (RTO)

• Independent System Operators (ISO)

SYSTEM OPERATORS IN NORTH AMERICA

Source: http://www.ferc.gov/industries/electric/indus-act/rto.asp

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DEREGULATION BY STATES

Source: http://www.quantumgas.com/list_of_energy_deregulated_states_in_united_states.html

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210 investor-owned electric utilities– 38% of utility installed capacity– 42% of generation– 66% of sales– 67% of revenue in the United States– about 100 million ultimate consumers: ~ 71% of the total

2,009 publicly-owned electric utilities– 9% of generating capability– 8% of generation– 15% of retail sales– 13% of revenue.

OVER 3,273 TRADITIONAL ELECTRIC UTLITIES

Source: http://www.eia.doe.gov/cneaf/electricity/page/prim2/toc2.html

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883 consumer-owned rural electric cooperatives– owned by their members (i.e., the consumers they serve)– ~4 % of generation and generating capability– ~10 % of sales and revenue

9 Federal electric utilities

~1,738 nonutility power producers(incl CHP, small renewable energy producers up to 80 MW, and independent power producers)

OVER 3,273 TRADITIONAL ELECTRIC UTLITIES, CONT’D

Source: http://www.eia.doe.gov/cneaf/electricity/page/prim2/toc2.html

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• US Average retail Electricity price, 2008 9.74 USD-cents/kWh

#1 Hawaii – 29.20 cents/kWh#2 Connecticut - 17.79

#50 Wyoming - 5.67#51 West Virginia - 5.61

• Germany 2008 - 21.65 Euro cents/kWh (private households) In 2011 - 24.95

• Note: US is total retail sales, Germany is residential customers.Source: http://www.eia.gov/cneaf/electricity/st_profiles/us.html

ENERGY PRICES

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RENEWABLE ENERGY IN THE USA

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US WIND SPEED MAP

40 GW total installed capacity

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THE US TRANSMISSION NETWORK

Source: http://teeic.anl.gov/er/transmission/restech/dist/index.cfm

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• 10 states got 42%, or $1.9 billionCalifornia ($303.4 million)Colorado ($24.1 million)Florida ($467.2 million)Massachusetts ($28.29 million)New Jersey ($212.4 million)New York ($232.2 million)North Carolina ($403.5 million)

GOVERNMENT PROGRAMS American Recovery and Reinvestment Act (ARRA)

provided $4.5 billion

Ohio ($142.4 million)Pennsylvania ($466.3 million)Texas ($285.6 million)Source: http://www.smartplanet.com/businessblog/smart-takes/top-10-states-leading-us-smartgrid-deployment/9399/

• $1.005 billion paid out by March 25, 2011

Source: http://www.oe.energy.gov/DocumentsandMedia/11_OE_Recovery_ARRAImplementStat.pdf

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Smart Grid Investment Grant Program• Up to 50% of cost for projects with immediate

commercial use

Smart Grid Demonstration Program• Up to 50% of cost for projects examining emerging

technologies

Smart Grid Workforce Training and Development • $100 million for 54 projects: to develop training

programs, and to train workforce

ARRA FUNDING AREAS

Source: http://www.smartgrid.gov/projects

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• Support NREL with development and testing of the IEEE 1547 Series of Standards

• Support the Pacific Northwest National Laboratory and the GridWiseArchitecture Council to identify areas for standardization

• Support public/private partnerships such as the GridWise Alliance and the Grid Modernization Collaborative to coordinate and collaborate on smart grid development.

• Also projects such as VERDE: visualizing energy resources dynamically on earth, with Oak Ridge National Lab; IntelliGrid with EPRI, Smart Grid Interoperability Panel with NIST

DOE ACTIVITIES

Source: http://www.oe.energy.gov/smartgrid_02.htm

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Architecture & Communication Standards• for interoperability, also with legacy systems

Monitoring & Load Management Technologies• including fault detection & prediction, monitoring & control of loads

for demand side management

Advanced Components & Operating Concepts• Interconnection technologies, substation and equipment

advancements, advanced system operating concepts

Modeling & Simulation• Planning and operational support for contingencies and disturbance

events

DOE FOCUS AREAS

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Superconducting power cablesEnergy storageAdvanced sensors

TECHNOLOGY NEEDS