princeton university and the smart grid, chp, and district

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Princeton University and the Princeton University and the Smart Grid, CHP, and Smart Grid, CHP, and District Energy District Energy Thomas Nyquist Director of Facilities Engineering Princeton University Michael Webster CIO & CEO Icetec Corporation

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Page 1: Princeton University and the Smart Grid, CHP, and District

Princeton University and the Princeton University and the

Smart Grid, CHP, and Smart Grid, CHP, and

District EnergyDistrict Energy

Thomas NyquistDirector of Facilities Engineering

Princeton University

Michael WebsterCIO & CEO

Icetec Corporation

Page 2: Princeton University and the Smart Grid, CHP, and District

Executive SummaryExecutive Summary

In 2003, the State of New Jersey moved to real-time pricing in the electric

market for high tension service. Princeton reacted by adopting the following

smart grid strategies:

Changed its plant production strategies for power, steam, and chilled water to

be market price driven. Saves 10%-15% of annual energy costs.

Princeton reduced its electric load on the grid during the grid’s peak demand

periods, thus reducing stress on the grid and lowering Princeton demand costs.

Princeton essentially stores electric power by using power at night to produce

large quantities of chilled water for use in the day.

Currently, evaluating how to use dispatch strategies to minimize carbon dioxide

emissions. Need real-time emissions data from the grid operator.

Page 3: Princeton University and the Smart Grid, CHP, and District

Smart GridSmart Grid

According to the United States Department of Energy’s Modern Grid Initiative report - a modern smart grid must:

(Smart Grid items in colored font are incorporated into Princeton’s Economic Dispatch, CHP, and District Energy Systems.)

• Be able to heal itself

1 - Motivate consumers to actively participate in operations of the grid and Enable

electricity markets to flourish.

2 - Resist attack and Provide higher quality power that will save money wasted from

outages.

3 - Accommodate all generation and storage options

4 - Run more efficiently

Page 4: Princeton University and the Smart Grid, CHP, and District

CHP and Chilled Water Plant Schematic

Page 5: Princeton University and the Smart Grid, CHP, and District

District Energy at Princeton UniversityBuildings on District Steam Shown in Red

Page 6: Princeton University and the Smart Grid, CHP, and District

District Energy at Princeton UniversityBuildings on District Chilled Water Shown in Dark Blue

Page 7: Princeton University and the Smart Grid, CHP, and District

1 “Motivate consumers to actively participate in

operations of the grid” and “Enable electricity markets to flourish”

Predictive electric pricing allows the plant operators to dispatch equipment based upon electric price, fuel price, business rules for equipment operation, and predicted load.

Generally – we buy power and consume more power when there is excessive power on the grid and we make power and consume less power when the system is stressed and the cost of power is high.

Page 8: Princeton University and the Smart Grid, CHP, and District

1A Plant Equipment Dispatch in Real Time Market

ICETEC

PJM Electric Price

NYMEX gas, diesel,

biodiesel prices

Current Campus

Loads

Weather Prediction

Production

Equipment

Efficiency &

Availability

“Business Rules”

Generate/Buy/Mix

Preferred Chiller &

Boiler Selections

Preferred Fuel

Selections

ICAP &

Transmission

Warnings

Operating Display

& Historical

Trends

Live feedback

to Icetec

Operator

Action

Biodiesel REC value

& CO2 value

Page 9: Princeton University and the Smart Grid, CHP, and District

1B Real Time Price Signals

Impossible to run a plant and follow this price

signal – need predictive pricing model

Page 10: Princeton University and the Smart Grid, CHP, and District

1C Integrated Smart Dispatch

+

=

Load modeling Market Volatility Modeling

Interactive Adaptive Dispatch

Page 11: Princeton University and the Smart Grid, CHP, and District

1D Load and Price Prediction

Page 12: Princeton University and the Smart Grid, CHP, and District

1E Plant Dispatch ScreenshotSimple Instructions to Plant

Operators

Page 13: Princeton University and the Smart Grid, CHP, and District

1F Cogen Dispatch

5 minute System Electric Price (green)

Cogen Output (red)

Hourly System Electric Price (blue)

Electric price rises &

turbine output goes up

Page 14: Princeton University and the Smart Grid, CHP, and District

1G Dispatch Benefits in Real Time Market

• Buy large amounts of electricity and turn down our generator when the price of grid power is low.

• Self generate to save energy costs when grid price is high.

• Saves $2.5M - $3.5M in energy costs.

Page 15: Princeton University and the Smart Grid, CHP, and District

2 Resist attack and Provide higher quality power that will save money wasted from outages

As applied to Princeton:

• CHP allows us to run significant portions of the campus should the grid go down.

• CHP reduces effects of utility power quality problems.

• Computerized dispatch system does not control our equipment – operators do. This insulates the plant from computer viruses.

Page 16: Princeton University and the Smart Grid, CHP, and District

3 Accommodate all generation and storage options

• CHP since 1996

• Chilled water storage

since 2006

• Backpressure turbines

installed in 2009*

• Solar PV to be completed in 2009

* First use of back pressure turbines dates back to the 19th century.

Page 17: Princeton University and the Smart Grid, CHP, and District

VIX values for TES Dispatch ExampleVIX values for TES Dispatch ExampleGreen line indicates power prices

Red line indicates Volatility Index Value

3A Electric Price Prediction

Page 18: Princeton University and the Smart Grid, CHP, and District

3B Optimal TES Dispatch in Real Time Electric Market

Page 19: Princeton University and the Smart Grid, CHP, and District

3C Dispatch Effects on CampusElectric Power Use

Green line indicates power prices

Red line indicates Campus Load

Campus Load for TES Dispatch ExampleCampus Load for TES Dispatch Example

Page 20: Princeton University and the Smart Grid, CHP, and District

3D Storage and Generation Benefits

• Reduces campus and grid electrical demand

• TES provides immediate capacity when a

chiller trips offline.

• TES saves $700K in annual energy costs.

Page 21: Princeton University and the Smart Grid, CHP, and District

4 Run more efficiently

• Princeton demand on major substation is zero when grid is at maximum (stressed) load. Reduces future transmission and power plant needs

• Reduces need for expensive generation during peak periods. If used on larger scale, this operation will reduce electric costs on the grid by keeping the most expensive generation off-line.

Page 22: Princeton University and the Smart Grid, CHP, and District

4A Power Grid Benefit

Princeton Demand

Grid demand

Page 23: Princeton University and the Smart Grid, CHP, and District

4B Demand Reduction Strategies

• Gas Turbine in CHP plant run at full capacity

• Chilled Water Storage Tank discharged within 4 ours. All electric motor driven chillers and related equipment are turned off. Steam turbine drive chillers run at full capacity.

• Reduced campus lighting.

• HVAC systems at reduced capacity.

• Local building chillers off.

Page 24: Princeton University and the Smart Grid, CHP, and District

4C Light Dimming Systems

Light systems can dimmed or be turned off because:

• Space is lit by daylight

• Space is over lit

• No occupancy

• Demand control due to high electric grid

loads and costs

• Occupant choice

Page 25: Princeton University and the Smart Grid, CHP, and District

4D Annual Generation(RPM/ICAP) & Transmission Savings

• RPM $390,000

• Transmission $110,000

Page 26: Princeton University and the Smart Grid, CHP, and District

Conclusions

• District energy , CHP, and chilled water storage have significant benefits to the utility grid and can be operated with most “smart grid” functions.

• Predictive electric pricing allows for optimization of assets and load in the real-time electric market to the benefit of the grid and the owner.

• Real time carbon dioxide emissions from the grid (if known) could be used to minimize a district energy systems carbon footprint by affecting the equipment dispatch schedules.

Page 27: Princeton University and the Smart Grid, CHP, and District

Contact InformationContact Information

Thomas Nyquist

Director of Facilities Engineering

Princeton University

MacMillan Building

Princeton NJ, 08543

609 -258-5472

[email protected]

www.princeton.edu

Michael Webster

CEO

Icetec Corporation