retail transaction platforms for california “the grid of people” edward g. cazalet, ph.d. ceo,...
TRANSCRIPT
Retail Transaction Platforms for California
“the grid of people”
Edward G. Cazalet, Ph.D.
CEO, TeMix Inc.
April 21, 2015
Power Association of Northern CaliforniaCity Club of San Francisco
Current California Issues
GHG & 50%
Renewables
Solar Overgeneration and Duck
Curve
Storage Mandate and
Operation
Wholesale Market
Complexity
Net Energy Metering and
Cost Recovery
Complex and Ineffective
Retail Tariffs
DER Planning
Expanded Direct Access
© 2014 Baker Street Publishing, LLC. All Rights Reserved.
The “grid of people” who manage the “grid of things”
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Transaction
PlatformProviders
Energy ServicesParties
Intermediaries
- Exchanges- Marketers- Retailers- System
Operators- Automated
Market Makers
Transport Services Parties
ServiceInterface
- Consumer- Producer- Prosumer- Storage
Owner
Tenders and Transactions
- Transmission Operator (TO)
- Distribution Operator (DO)
Regulators
© 2014 Baker Street Publishing, LLC. All Rights Reserved.
People who (automatically) manage facilities and devices interacting through transaction platforms
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Service Interface 0321
Grid
HVACSystem
WaterHeater
Battery
SmartAppliances
IntervalMeter
Transaction Platforms
EMS
Forward & Spot Tenders &
Transactions
Generator
© 2014 Baker Street Publishing, LLC. All Rights Reserved.
The four big ideas of Transactive Energy (TE):
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Forward transactions are used to coordinate investments and manage risk.
There are two products: energy and transport..
Spot transactions are used to coordinate operating decisions.
All parties actautonomously.
© 2014 Baker Street Publishing, LLC. All Rights Reserved.
The two-way Transport product delivers the Energy product.
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Electric energy (at a place and
time)Example:
Transmission Connected Substation
TransportExample: Two-way Feeder
Electric energy (at a different
place and same time)
Example: Building
Bidirectional forward and spot transactions (tariffs) for transport
© 2014 Baker Street Publishing, LLC. All Rights Reserved.
Distribution operator controls transport systems, makes investments and posts forward and spot tenders.
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Planning & Operations
Available Capacity
Substation and Feeders
Control Signals
& Investments
Transaction Platform
Service Interface
Feeder Net Energy Flow @ Substation
Transport
TendersTransport
Transactions
Net SoldΣ Surplus-
© 2014 Baker Street Publishing, LLC. All Rights Reserved.
Parties automatically control devices/systems, make investments and manage tenders and transactions.
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Management Algorithms(EMS)
Device State
Devices and Systems
Control Signals &
InvestmentsWeather
forecasts
Objectives
Transaction Platforms
Benefit
Tenders
Service Interface
Energy in/out
Transactions
© 2014 Baker Street Publishing, LLC. All Rights Reserved.
Standardized platforms can be local and interact over large areas.
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TransactionPlatforms
Energy ServicesParties
Intermediaries
Transport Services Parties
Neighborhood
Substation
City/Town
Region
Balancing Area
NERC Area
National
© 2014 Baker Street Publishing, LLC. All Rights Reserved.
Platforms may be dedicated to classes of transactions and operated by various entities.
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TransactionPlatformsEnergy
ServicesParties
Intermediaries
Transport Services Parties
Yearly, Monthly
Daily
Hourly
5 min, 4 sec
Energy @ Substation
Yearly, Monthly
Daily
Hourly
5 min, 4 sec
Transport to Facility
© 2014 Baker Street Publishing, LLC. All Rights Reserved.
Many TE Platforms appear as a Virtual Platform to Parties
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TransactionPlatform Providers
Energy ServicesParties
Intermediaries
Transport Services Parties
“Frequent small tenders facilitated by automated intermediaries help coordinate investments and operations of all parties.”
© 2014 Baker Street Publishing, LLC. All Rights Reserved.
Regulators will have new tools to oversee transactions
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TransactionPlatform Providers
Energy ServicesParties
Intermediaries
Transport Services Parties
Regulators:
Congress, DOE, EPA, FERC, NERC, Legislatures, PUCs, Munis, CCAs, PMAs, Coops
Tender and Transaction Data Bases
© 2014 Baker Street Publishing, LLC. All Rights Reserved.
Retail platforms can be incrementally deployed to work with current wholesale platforms and retail customers.
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Consumers, Prosumers, and DERs
Device
Service Interface
Device
Device
Retail Transaction Platforms
Energy Distribution Transport
Forwards and Futures
Existing Wholesale Platforms
Balancing Operators
One year
Tenders and Transactions
Tenders and Transactions
One hour Five minute
One month
wOne year
One hour Five minute
One month
Device
Interoperable Transactive Retail Tariffs
© 2014 Baker Street Publishing, LLC. All Rights Reserved.
An example of a transactive retail tariff for a consumer/prosumer.
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• Based on my typical usage, I automatically transact with one or more suppliers for a fixed quantity of energy and transport in each hour of the year(s) for a fixed monthly payment (subscription.)
• If I use less than I subscribed for in each hour then I am paid for the difference at an hourly spot price.
• If I use more than I subscribed for then I pay for the difference at an hourly spot price.
• At any time I can automatically buy or sell at current tendered prices.
Ref: A Model InteroperableTransactive Retail Tariff: Smart Grid Interoperabltiy Panel (SGIP) http://www.sgip.org/Publication-Retail-Tariff
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© 2014 Baker Street Publishing, LLC. All Rights Reserved.
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