• Southern Company Battery Test

• AEP Cross-Utilization of Smart Grid Technologies

• PNM Creates GIS Data Converter for OpenDSS

• Con Edison Thermal Storage Plant

• This is it! Final EPRI Smart Grid Demonstration Meeting October 27-29, 2014

September 2014

page 1 September 2014 EPRI Smart Grid Demonstration Newsletter

EPRI Smart Grid Demonstration Update

An EPRI Progress Report September 2014

The EPRI Smart Grid Demonstration Initiative is a seven-year collaborative research effort focused on design, implementation, and assessment of field demonstrations to address prevalent challenges with integrating distributed energy resources in grid

and market operations to create a “Virtual Power Plant.” This newsletter provides periodic updates on projects, relevant industry news, and events.

Smart Grid Demonstration Host-Site Updates Southern Company Smart Grid Demonstration

Southern Company researchers are testing the performance of energy battery systems to support integration of renewable energy generation. They have found that the systems can accomplish defined objectives, but they have also encountered some performance issues.

Southern Company installed four small-scale battery systems: 2 residential energy storage systems (RESS) and 2 community energy storage systems (CESS). These are lithium-ion systems. The CESS, which are 40 kW, 50 kWh

units, are connected to separate buildings to test the ability of the system to perform the following tasks: peak shaving, back-up power, power factor correction, voltage support, and capital upgrade deferral.

The RESS are 5 kW, 20 kWh lithium-ion systems that are integrated with photovoltaic (PV) generation, 4 kW at one site and 5 kW at the other. The RESS are used in

ABOUT THE NEWSLETTER

PROJECT UPDATES

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conjunction with the output from the PV panels to demonstrate different algorithms, and renewable load following and ramp rate control. The picture below shows one of the installations in the Southern Company service territory.

Testing of the system has demonstrated the ability of the lithium-ion battery to achieve the defined objectives of power swing mitigation and load following. This is shown in the graph below. As solar generation begins to provide power, the battery begins to consume the renewable energy to charge during morning hours. Once charged, the energy is reserved until 3:00 p.m., when the battery begins to discharge. The combination of the PV and battery systems provides approximately 4 kW during the afternoon hours. The swing mitigation and load following algorithm simulates the type of dispatch that a RESS unit would have to provide so that it is of the most benefit to the grid by peak shaving (and of most benefit to a customer by minimizing bills during a peak summer day).

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The key findings after one year of demonstration and research include that the batteries performed poorly in cold weather conditions and lost a significant amount of the battery capacity (which means selecting lithium-ion batteries that will not degrade as much is very important). Since the batteries are in an above-the-ground enclosure, they are exposed to greater temperature swings than in a comparable underground enclosure or in a conditioned space.

Southern Company also found that the battery capacity has been degraded based on the repeated daily use of the batteries to achieve the defined tasks. An additional issue is frequent loss of communication. Another is failures of an inverter at one unit, which requires inverter replacement, a lengthy process.

AEP Smart Grid Demonstration

Technology installed onto an electrical distribution system has traditionally been selected and operated to achieve a specific purpose as envisioned by planners, engineers, and operators. But how does a utility go about managing the selection and operation of distributed energy resources when there are several competing needs for these resources?

AEP and EPRI have jointly developed a process that can help answer that question. EPRI’s Whitepaper on Cross-Utilization: Managing Technologies and Applications on a Distribution System (product number 3002004390) presents a process for cross utilization that considers situations where a technology could be used for more than one utility application.

A utility application refers to the intended business use of DER to address a system need. Although several applications could benefit from using the same resource, this could cause competition for the use of that DER technology or system. Examples of multiple utility applications that could be addressed with a DER system or technology are shown in the the figure on the left.

Volt-var Optimization (VVO ) System

PhotoVoltaic (PV) System

Community Energy Storage (CES) System

Voltage Management

Peak Shifting

Reliability

Applications DER Systems & Technologies

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The project team developed a theory of operation and design of a control dispatch system that can result in a workable approach to cross-utilization—a way to prioritize applications served by DER technologies. By considering a single or multi-sided balance scale, diagrammed in the figure below, the team’s proposed process can manage a number of applications.

BEAN = Business Energy Analysis Notation This represents the value of a particular application at a specific point in time

The whitepaper provides suggested steps to apply this approach to a particular set of applications and technologies. This automatable decision making is conceived so that it takes into account utility-specific business, economic, forecast, and other input to appropriately prioritize utilization of distributed energy resources.

Public Service Company New Mexico (PNM) Smart Grid Demonstration

PNM used EPRI’s Open DSS to model the local utility grid to better understand integration of battery storage and a large photovoltaic (PV) system. PNM reports that OpenDSS was critical for the project because software products that analyze circuits with time dependent or transient aspects, like a large PV system, have been unavailable.

To successfully use OpenDSS, PNM had to come up with a way to quickly import geospatial information system (GIS) data into the OpenDSS model. GIS is not designed to provide standard output to be fed into modeling software, so the utility developed an “OpenDSS Converter” and worked with

Reliability

Peak Shaving

Frequency Regulation

Spinning Reserve

Voltage Regulation

Cross Utilization of a System, Application, or Device

BEAN Values

Applications

Cross-Utilization with

multiple technologies

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graduate students at the University of New Mexico (UNM) to refine the Converter. OpenDSS was featured in a graduate level class “Numerical Simulation Methods for Smart Grids,” that included training in modeling technologies and control algorithms, as well as other topics such smart inverters.

PNM used OpenDSS modeling to optimize the battery-system control algorithms, and it will help characterize feeders to understand where on the utility grid storage and high levels of distributed generation can be of greatest value. Developing the OpenDSS Converter resulted in a final state where all PNM circuits can be modeled in OpenDSS. The PNM circuit analysis process is shown below.

PNM’s work with OpenDSS has revealed that characterizing circuits, voltage profiles, and load in association with specific feeders is needed to better integrate multiple resources--particularly when the resources are intermittent in nature or being used to compensate for intermittency.

Specification of a 500 kW/1 MWh battery system was done by PNM at the outset of its smart grid demonstration project, prior to developing the OpenDSS Converter and prior to having simulations of the target feeder. The feeder modeling was done and combined with rigid test plans throughout the project. Results helped feed subsequent runs of the OpenDSS model to help PNM understand the capabilities and effects of the battery

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storage system. This knowledge can help better size battery systems and optimize costs for desired results. For more information on the PNM smart grid demonstration see the publicly available EPRI report, A Case Study on the Demonstration of Storage for Simultaneous Voltage Smoothing and Peak Shifting, product ID 1026445. Also look for an updated version of this case study in the fourth quarter of 2014.

Con Edison Smart Grid Demonstration

Con Edison has been evaluating the feasibility of using energy storage systems and cogeneration to simultaneously maximize demand reduction and supply ancillary services. A recent installation of a thermal storage plant at Verizon headquarters in New York City is demonstrating that the ability to supply ancillary services, as well as reduce and shift energy use, can enhance the value of a customer system.

The Verizon facility is a 1-million square-foot building with a peak demand of 4.8 MW. The Trane thermal storage plant has a storage capacity of 10,000 cooling ton-hours through the use of 63 Calmac storage tanks (see schematic).

The installation included an incremental building management system (IBMS), which has digital controls to remotely control demand of specific elements of the air conditioning system such as air handling units, chillers, cooling towers, thermal storage tanks and chilled water pumps. The IBMS provides the precision control needed to follow the NYISO ancillary service market rules. A Demand Response Command Center, which is

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managed by Innoventive Power, has two-way communication with the NYISO and directs building controls to vary demand as needed in response to regulation or reserve signals from the NYISO to change demand.

The thermal storage plant should be able to meet an approximate three-year payback desired by Verizon. This payback is based on covering some of the capital costs with a grant from the U.S. Department of Energy and a NYSERDA energy storage subsidy.

On average, ConEdison has determined that the summer monthly peak can be reduced by 1,000 kW. The total benefit of using the 10,000 cooling ton ice chiller has been estimated at $695,000 per year. This is from a combination of reduced energy consumption, peak shaving, and supplying ancillary services.

Self Healing Network Deep Dive Recording Available

A self-healing power grid is one that uses smart grid technologies—software, sensors, automated controls and communication systems—to detect and isolate faults, minimizing disruption of power flow. A number of self healing networks are being tested by Smart Grid Demonstration host utilities; this webcast features work being done by Alabama Power and Duke Energy. An excerpt of the Self-Healing Network Deep Dive webcast is provided below.

A recording of the session and a copy of the presentations is on the Smart Grid Demonstration Cockpit on www.epri.com/. After logging in to the Member Center, select All Program Cockpits, and then “D_SG Smart Grid Demonstration.” Make sure to select the “Meetings & Webcasts” link on the left side of the page and scroll to “Past Meetings & Webcasts” to find recordings.

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Smart Grid Demonstration Initiative Meeting – Charlotte, North Carolina, October 27 - 29, 2014 The Smart Grid Experience: Applying Results, Reaching Beyond

This is it! The final conference of the EPRI Smart Grid Demonstration Initiative is being held October 27-29. Register now.

Agenda: The last meeting of the Smart Grid Demonstration Initiative is being conducted

with the U.S. Department of Energy. Recipients of U.S. smart grid related grants as well as EPRI members will share results of utility demonstration projects, and will focus on:

Smart grid successes

Technology readiness

Surprises & challenges Among the applications and technologies to be addressed are:

Smart grid infrastructure: Communications, field area networks, cyber security

Volt/var optimization (VVO) and conservation voltage reduction (CVR)

Customer facing programs, technology, and consumer behavior

Distributed energy resource integration

AMI: beyond meter reading

Integration of DER: Energy storage, EV/PEV, PV & renewables

Distribution automation, DMS, DER management systems & concurrent operation of multiple technologies

See an at-a-glance program on the following page. Registration: There is no registration fee for members of the EPRI Smart Grid

Demonstration, and a $300 fee is being charged for non-members. Register here.

Where: The conference will take place at EPRI Charlotte, North Carolina facilities: 1300 West WT Harris Blvd. Room 741 B,C,E,F Charlotte, North Carolina 28262

Accommodations will be at the Hilton Charlotte University Place.

KEY EPRI SMART GRID DATES

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Program at a Glance —The Smart Grid Experience: Applying Results, Reaching Beyond

Time Monday, October 27

Tuesday, October 28

Wednesday, October 29

7:15 –8:00

Coffee and Continental Breakfast

Coffee and Continental Breakfast

8:00 – - 10:00 a.m.

Panel: Conservation and Optimization via Volt/Var Control

Presentations:

Enabling the Smarter Customer

10:30 a.m.– 12:00 noon

Presentations:

Systems Driving the Integrated Grid

Closing Plenary: Reaching Beyond the Smart Grid

12:00 – 1:00 p.m. (Mon/Weds) 12:30 – 1:30 p.m (Tues)

REGISTRATION

(Lunch will not be provided)

LUNCH

12:30 – 1:30 p.m.

LUNCH

12:00 – 1:00 p.m

1:00 – 2:30 p.m. (Mon)

1:30 – 3:00 p.m. (Tues)

Opening Plenary

Realization of the Smarter Grid

Presentations:

Communications and Cyber Security: The Foundations of the Modern Grid

3:00 –5:00 p.m. (Mon) 3:30 – –5:00 p.m. (Tues)

Presentations: Transforming the Grid through Integration

Presentations: AMI Beyond Meter Reading

Evening Social Event

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Animations

The Sacramento Municipal Utility District Smart Grid (SMUD) recently developed two animations, one an overview of renewable energy projects and another on SmartSacramento®.provided below. The animations are also available at http://www.smartgrid.epri.com/DemoProjects.aspx.

RESOURCES

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Deliverables since Last Newsletter

Unless labeled “public,” reports are for funding members. Use the linked product IDs below to access the documents or go to www.epri.com and enter the product ID number in Search.

Product ID Name Published

3002003870 A Case Study on Demand Side Uses of a Thermal Storage Plant: Con Edison Smart Grid Demonstration

September 2014

3002002962 IntelliGrid Smart Grid Interoperability Newsletter

July 2014

Also, go to the publicly accessible www.smartgrid.epri.com to view or download the Information & Communications Technology (ICT) Newsletter:July 2014.

A continuous thank you to the 24 member utilities of EPRI’s Smart Grid Demonstration Initiative

American Electric Power | Ameren | Central Hudson Gas & Electric | CenterPoint Energy | Consolidated Edison | Duke Energy | Electricité de France | Entergy | Ergon | ESB Networks | Exelon (ComEd & PECO) | HECO | Hydro-Québec | FirstEnergy | KCP&L | PNM Resources |

Sacramento Municipal Utility District | Southern California Edison | Southern Company | Southwest Power Pool | Salt River Project| Tokyo Electric | Tennessee Valley Authority | Wisconsin Public Service Corporation

Together...Shaping the Future of Electricity®

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