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Schneider Electric 1- Division - Name – DateThe Smart Grid:Supply and Demand Side Equivalent SolutionsPhil DavisSenior Man...
Schneider Electric 2/23ObjectivesUpon completion of this course, you will be able to:●Define demand response●Identify diff...
Schneider Electric 3/23Smart Grid = Supplier + End-use customers●What’s changing?●Greater regulatory pressure on utilities...
Schneider Electric 4- Division - Name – DateWhat is “Demand Response”?US Federal Position:“It is the policy of the United ...
Schneider Electric 5- Division - Name – DateWhat is “Demand Response” Really?Demand Response is how we do that:Everything ...
Schneider Electric 6●Summary●Ancilliary Services – Normal and Contingency Conditions●Load Response and Demand Response●Mat...
Schneider Electric 7/23Demand Response used in an electricgrid● Demand Response programs have been designed and piloted to...
Schneider Electric 8/23Energy Efficiency:Longer Term Demand ResponseBenefits of Demand Response in Electricity Markets – U...
Schneider Electric 9/23Today, there’s a flavor of DR thatcomplements every variety of generationBase load:Coal and Nuclear...
Schneider Electric 10/23DR Project – RGDC in ManhattanCommercial Building Facts:• Owner: Rockefeller Group Development Cor...
Schneider Electric 11/23Results: 1221 Ave of the AmericasLargest LEED-EB in NYC$575k annualizedsavings13.6% HVAC savings5x...
Schneider Electric 12/235 Types of Load ResponseUsed forEconomicProgramsUsed forReliabilityPrograms
Schneider Electric 13/23●Summary●Ancilliary Services – Normal and Contingency Conditions●Load Response and Demand Response...
Schneider Electric 14/23Types of Ancillary Services in use today(resources used for grid reliability)Emergency Operations●...
Schneider Electric 15/23Ancillary Services which DR can supply(resources used for grid reliability)Emergency Conditions● S...
Schneider Electric 16/23●Summary●Ancilliary Services – Normal and Contingency Conditions●Load Response and Demand Response...
Schneider Electric 17/23Types of Demand Response
Schneider Electric 18/23●Summary●Ancilliary Services – Normal and Contingency Conditions●Load Response and Demand Response...
Schneider Electric 19/23Matching Load Types to ReliabilityNeedsLoad Types Reliability Need●Residential Air Conditioning●Wa...
Schneider Electric 20/23●Summary●Ancilliary Services – Normal and Contingency Conditions●Load Response and Demand Response...
Schneider Electric 21/23Case StudyAlcoa selling Regulation ResponseHow DoesRegulationResponse Work?●The control centerissu...
Schneider Electric 22/23Alcoa Necessary Measurement, Controland Communications to accomplishRegulation Response
Schneider Electric 23/23Alcoa Results
Schneider Electric 24/23●Summary●Ancilliary Services – Normal and Contingency Conditions●Load Response and Demand Response...
Schneider Electric 25/23Texas has more wind power than anyother state
Schneider Electric 26/23ERCOT – Emergency Response ServiceERCOT contracts with end users to “buy” control of some loads● L...
Schneider Electric 27/23Wind Event: Feb. 26, 2008 (3pm to 9 pm)• Wind output was significantly below updated (hour-ahead) ...
Schneider Electric 28/23Wind Event: Feb. 26, 2008 (3pm to 9 pm)• Load increased by 2000 MW between 5:30 and 6:45 pm (eveni...
Schneider Electric 29/23Wind Event: Feb. 26, 2008 (3pm to 9 pm)• ‘It appears to be the deployment of LaaRs (now called ERS...
Schneider Electric 30/23Demand Response used in an electricgrid● Demand Response programs have been designed and piloted t...
Schneider Electric 31/23Thank you!
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The smart grid - Supply and demand side equivalent solutions

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With the smart grid comes new ways to solve old problems. We will compare and contrast the various ways to solve grid related problems then - the old way, and now - the smart grid way.

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The smart grid - Supply and demand side equivalent solutions

  1. 1. Schneider Electric 1- Division - Name – DateThe Smart Grid:Supply and Demand Side Equivalent SolutionsPhil DavisSenior Manager, Demand Response Resource CenterTweet Live!#SchneiderXE
  2. 2. Schneider Electric 2/23ObjectivesUpon completion of this course, you will be able to:●Define demand response●Identify different types of demand response●Describe which types of demand response are best fordifferent facilities●Identify current trends in energy management and how theyimpact daily use
  3. 3. Schneider Electric 3/23Smart Grid = Supplier + End-use customers●What’s changing?●Greater regulatory pressure on utilities to improve energyefficiency and meet Renewable Portfolio Standards●Efficiencies in Grid Operations alone are not sufficient●Grid capacity and integration issues continue to drive theneed for customer Demand Management solutions●What’s required? A Collaborative Model between utilitiesand their customers●Utilities traditionally do not have a successful history inmeaningfully engaging end users
  4. 4. Schneider Electric 4- Division - Name – DateWhat is “Demand Response”?US Federal Position:“It is the policy of the United States that time-basedpricing and other forms of demand response….shall beencouraged, the deployment of such technology anddevices….shall be facilitated, and unnecessary barriersto demand response participation in energy, capacityand ancillary service markets shall be eliminated.”– US Energy Policy Act of 2005, Sec. 1252(f)US DOE Demand Response Definition:Changes in electric usage by end-use customers fromtheir normal consumption patterns in response tochanges in the price of electricity over time, or toincentive payments designed to induce lower electricityuse at times of high wholesale market prices or whensystem reliability is jeopardized.
  5. 5. Schneider Electric 5- Division - Name – DateWhat is “Demand Response” Really?Demand Response is how we do that:Everything about an (intentional) electron’s journey is shapedby someone’s desire to accomplish a goal. Those goals aredetermined by the vast community of electron users; i.e.,customers. In that sense, everything a utility does is DemandResponse.Electrons obey the laws of Physics:They travel to ground over the paths of leastresistance. Our job is to get them to do a little workalong the way without wreaking havoc, which they liketo do.Now is the time to re-design demand response to meetsocietal and investor goals of efficiency andenvironmental stewardship
  6. 6. Schneider Electric 6●Summary●Ancilliary Services – Normal and Contingency Conditions●Load Response and Demand Response●Matching the Loads and DR to the Reliability Service●Case Study – Alcoa selling DR for Regulation Service●Case Study – Texas Wind Event Uses DR for Spinning Reserves
  7. 7. Schneider Electric 7/23Demand Response used in an electricgrid● Demand Response programs have been designed and piloted to enhance thereliability of the electric grid.● This presentation will discuss the various mechanisms used in DemandResponse programs to enhance reliability, and will discuss two case studies –one involving emergencies and one involving normal operations – in whichDemand Response has proven to improve grid reliability● Demand Response, adaptingthe consumption of electricitybased on control and pricesignals sent to the consumer,has successfully mitigatedhigh market prices in thewholesale energy marketsConventional Demand Response ProgramsReliability DR Programs
  8. 8. Schneider Electric 8/23Energy Efficiency:Longer Term Demand ResponseBenefits of Demand Response in Electricity Markets – US DOE
  9. 9. Schneider Electric 9/23Today, there’s a flavor of DR thatcomplements every variety of generationBase load:Coal and NuclearVariable Power:Gas Turbine, CHPEnergy Efficiency,Building CodesRebate drivenprocess improvements(motors, metering, software, etc)ProgrammableThermostatsVariable PricingTraditionalSupplyResourcesTheVirtualPowerPlantPeakersSpi n ReserveOpenADRDLC
  10. 10. Schneider Electric 10/23DR Project – RGDC in ManhattanCommercial Building Facts:• Owner: Rockefeller Group Development Corp.• Location: 1221 6th Ave, Mid Manhattan NY• Peak Load: 12.5+ MW• Size: 50 stories plus 4 sub floors• Tenants: Residential, Data Center, Restaurants, Commercial Offices• Building Automation System – TAC Continuum• DR – Originally enrolled 600KW in NYISO demand responseprogramProject Goals:• Reduce Operation Expenses• Increase DR Capacity from 600KW to 900KW through improvedmonitoring of energy systems and more reliable control strategies• Apply strategy to other RGDC buildings throughout the USBenefits Delivered:• DR registration went from 600KW to 1.4MW• Reduced KWHR (*approx $2M/yr)• Reduced KW demand• OWNER: Efficiency funding provided an upgraded BASCommercial Building Facts:• Owner: Rockefeller Group Development Corp.• Location: 1221 6th Ave, Mid Manhattan NY• Peak Load: 12.5+ MW• Size: 50 stories plus 4 sub floors• Tenants: Residential, Data Center, Restaurants, Commercial Offices• Building Automation System – TAC Continuum• DR – Originally enrolled 600KW in NYISO demand responseprogramProject Goals:• Reduce Operation Expenses• Increase DR Capacity from 600KW to 900KW through improvedmonitoring of energy systems and more reliable control strategies• Apply strategy to other RGDC buildings throughout the USBenefits Delivered:• DR registration went from 600KW to 1.4MW• Reduced KWHR (*approx $2M/yr)• Reduced KW demand• OWNER: Efficiency funding provided an upgraded BAS
  11. 11. Schneider Electric 11/23Results: 1221 Ave of the AmericasLargest LEED-EB in NYC$575k annualizedsavings13.6% HVAC savings5x payback on fees
  12. 12. Schneider Electric 12/235 Types of Load ResponseUsed forEconomicProgramsUsed forReliabilityPrograms
  13. 13. Schneider Electric 13/23●Summary●Ancilliary Services – Normal and Contingency Conditions●Load Response and Demand Response●Matching the Loads and DR to the Reliability Service●Case Study – Alcoa selling DR for Regulation Service●Case Study – Texas Wind Event Uses DR for Spinning Reserves
  14. 14. Schneider Electric 14/23Types of Ancillary Services in use today(resources used for grid reliability)Emergency Operations● Replacement Reserve● Non-spinning Reserve● Spinning ReserveNormal Operations● Load Following● Regulation● Voltage Control
  15. 15. Schneider Electric 15/23Ancillary Services which DR can supply(resources used for grid reliability)Emergency Conditions● Spinning Reserve - Online generation, synchronized to the grid, that canincrease output immediately in response to a major generator or transmissionoutage and can reach full output within 10 min to comply with NERC’sDisturbance Control Standard (DCS)Normal Conditions● Regulating Reserve - Online resources, on automatic generation control, thatcan respond rapidly to system-operator requests for up and down movements;used to track the minute-to-minute fluctuations in system load and to correct forunintended fluctuations in generator output to comply with Control PerformanceStandards (CPSs) 1 and 2 (or CPM and BAAL) of the North American ElectricReliability Corporation (NERC 2008)
  16. 16. Schneider Electric 16/23●Summary●Ancilliary Services – Normal and Contingency Conditions●Load Response and Demand Response●Matching the Loads and DR to the Reliability Service●Case Study – Alcoa selling DR for Regulation Service●Case Study – Texas Wind Event Uses DR for Spinning Reserves
  17. 17. Schneider Electric 17/23Types of Demand Response
  18. 18. Schneider Electric 18/23●Summary●Ancilliary Services – Normal and Contingency Conditions●Load Response and Demand Response●Matching the Loads and DR to the Reliability Service●Case Study – Alcoa selling DR for Regulation Service●Case Study – Texas Wind Event Uses DR for Spinning Reserves
  19. 19. Schneider Electric 19/23Matching Load Types to ReliabilityNeedsLoad Types Reliability Need●Residential Air Conditioning●Water System Pumps Spinning Reserve●Oil Well Injection Pumps●Aluminum Smelters●Other Chemical Processes Regulating Reserve●Electric Vehicle Charging Stations
  20. 20. Schneider Electric 20/23●Summary●Ancilliary Services – Normal and Contingency Conditions●Load Response and Demand Response●Matching the Loads and DR to the Reliability Service●Case Study – Alcoa selling DR for Regulation Service●Case Study – Texas Wind Event Uses DR for Spinning Reserves
  21. 21. Schneider Electric 21/23Case StudyAlcoa selling Regulation ResponseHow DoesRegulationResponse Work?●The control centerissues commandsto raise or lowergeneration or loadto match them upin near-real time
  22. 22. Schneider Electric 22/23Alcoa Necessary Measurement, Controland Communications to accomplishRegulation Response
  23. 23. Schneider Electric 23/23Alcoa Results
  24. 24. Schneider Electric 24/23●Summary●Ancilliary Services – Normal and Contingency Conditions●Load Response and Demand Response●Matching the Loads and DR to the Reliability Service●Case Study – Alcoa selling DR for Regulation Service●Case Study – Texas Wind Event Uses DR for Spinning Reserves
  25. 25. Schneider Electric 25/23Texas has more wind power than anyother state
  26. 26. Schneider Electric 26/23ERCOT – Emergency Response ServiceERCOT contracts with end users to “buy” control of some loads● Load must be “sheddable” within 10 minutes● Generally loads not critical to a process including water pumping and oil wellsecondary injection pumps● Loads are “paired” with generation from wind so that a MW of load “backsup” a MW of wind generationRenewables (solar and wind) are inherently unreliable● At 2 - 3% of a utility portfolio, this can be hidden, but● At 8 – 10% of a utility portfolio this must be addressed in the case of loss ofgeneration, or else instability and a blackout is a possibility
  27. 27. Schneider Electric 27/23Wind Event: Feb. 26, 2008 (3pm to 9 pm)• Wind output was significantly below updated (hour-ahead) wind resourceplans
  28. 28. Schneider Electric 28/23Wind Event: Feb. 26, 2008 (3pm to 9 pm)• Load increased by 2000 MW between 5:30 and 6:45 pm (evening peak)
  29. 29. Schneider Electric 29/23Wind Event: Feb. 26, 2008 (3pm to 9 pm)• ‘It appears to be the deployment of LaaRs (now called ERS) which haltedfrequency decline and restored ERCOT to stable operation.’ --ERCOT EECP Event Report
  30. 30. Schneider Electric 30/23Demand Response used in an electricgrid● Demand Response programs have been designed and piloted to enhance thereliability of the electric grid.● This presentation will discuss the various mechanisms used in DemandResponse programs to enhance reliability, and will discuss two case studies –one involving emergencies and one involving normal operations – in whichDemand Response has proven to improve grid reliability● Demand Response, adaptingthe consumption of electricitybased on control and pricesignals sent to the consumer,has successfully mitigatedhigh market prices in thewholesale energy marketsConventional Demand Response ProgramsReliability DR Programs
  31. 31. Schneider Electric 31/23Thank you!

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