joe polidoro, sr. engineer pjm interconnection, llc 610-666-4693 grid of the future: integrating...
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Joe Polidoro, Sr. EngineerPJM Interconnection, LLC
610-666-4693
Grid of the Future:Integrating Load Response
into the Markets
PJM Mission
• Maintain the safety, adequacy, reliability and security of the power system
• Create and operate a robust, competitive, and non-discriminatory wholesale electric power market
Ensure that customers receive the value of competitively priced generation
Utilize Advanced Information Technologies to: Simplify the life of the customer Solve the problems Integrate Load Response into the Markets
Keep the Focus
Future Footprint
PJM PJM Western Region Duquesne - Jan ‘05 AEP – Oct ’04 Dayton Power & Light
- Oct ‘04 ComEd – May ‘04 Dominion Power –
Spring 2005
“Load response is a highly useful and beneficial tool to reduce costs and maintain reliability during peak periods when generation supplies may be scarce.”
According to the April 30,2002 FERC Order
Why Is Load Response Important?
Participation in the Energy Markets
Program Name Economic-Real-Time
Frequency
I want a 100% voluntary program with no risk and no penalties where I can determine the start and stop times of my curtailment any day of the year.
I want to decide when to reduce load
RiskI want a 100% voluntary program
with no risk and no penalties
Implementation
I want to reduce load or use my emergency generators and I have the proper permits.
I will only reduce load if I'm paid a minimum of $0.50/kW or higher
(Defined by the end user)
Industrial and Commercial End User Registrations (June 2002 thru December
2004) in the PJM Load Response Programs
Emergency Program New Sites
Economic Program
New Sites
2002 61 2002116
2003 107 2003129
2004 4,144 2004 1,784
Previous rules developed when large generators were the only resource
With the right tools, load can be as reliable and robust as generation
New rules explicitly allows for load to provide contingency reserve
New technology allows load to be responsive in real-time
Removing Barriers to the Ancillary Markets
Timeline
Introduction of Implementation Approach Nov 2004
Whitepaper Revisions / Business Rule Development
Dec 2004 Reliability Council Changes
March 2005 Committee votes
June 2005 Implementation
September 2005
Spinning Reserve: No less than one minute scan rate
surrounding spin event Can be sent to PJM at end of day in
one upload
Regulation 6 second scan rate minimum Transmission to PJM in real time
Telemetry Requirements
Turn Data into Information with free web based tools (eData)
Turn Data into Information with free web based tools (eData)
Turn Data into Information with free web based tools (eData)
Register with a Curtailment Service Provider
Working group participation in 2005 will likely fix your options for the next few years
There are many protocols issues that will be addressed by the working group this year that will affect whether your load is suitable for other opportunities and assist efforts to remove barriers for participation
You can participate in person, via phone or via web (free)
Why Is Your Participation Important?
PJM is responsible for: the reliability of the electric system, the operation of competitive
wholesale electric markets, and ensuring that no member has undue
influence. An Independent Board governs PJM’s
business. The Members Committee advises the Board on changes to meet members’ needs.
A series of Internet Tools are available at www.pjm.com to assist customers with business functions.
Summary of PJM
For any additional information, please do not hesitate to contact PJM or a PJM Curtailment Service Provider at PJM’s Web site: www.pjm.com > Services > Demand Response Program
Joe PolidoroPJMPhone: [email protected]
www.PJM.com
Contact the organizers