Smart Power Grids - Talking about a Revolution
At first glance, "revolution" may seem too strong a word to describe the changes happening in electrical power grid technologies. But take a closer look and you'll find that the transition from today's grids to "smart" grids more than qualifies as nothing less than revolutionary.
Amazingly, much of the thinking behind today's power grid is based on design decisions originally published by Nikola Tesla in 1888 (see war of currents)! While valid for his time, Tesla's assumptions like centralized power generation, demand-driven control and unidirectional transmission are now considered obsolete.
According to the U.S Government's International Energy Outlook 2008, world energy consumption is projected to increase by 50 percent from 2005 to 2030. So it should come as no surprise that future power grids must meet several needs that Tesla never imagined.
Specifically, a "smart" grid must be capable of providing power from multiple and widely distributed sources, e.g., from wind turbines, concentrating solar power systems, photovoltaic panels and perhaps even plug-in hybrid electric vehicles . Moreover, since all renewable energy sources invented so far vary greatly with time, a smart grid must be capable of flexibly storing electric power for later use, e.g., in batteries, flywheels or super-capacitors or again even in plug-in hybrid electric vehicles. Last but not least, to improve power reliability a smart grid must make use of new and highly sophisticated adaptive generation and distribution control algorithms.
Partly in response to these needs, in December, 2007, the U.S. Congress passed, and the President signed, the Energy Independence and Security Act (Pub.L. 110-140) requiring that the:
- Department of Energy (DOE) establish a Smart Grid Advisory Committee to provide advice on both smart grid technologies and on using Federal incentives to encourage transition to these technologies.
- DOE develop a smart grid research and development program, including $100 million per year in 2008-2012 for demonstration projects.
- National Institute of Standards and Technology (NIST) develop a
framework for the standards and protocols for the inter-connection of
smart grid devices and systems.
- Federal Energy Regulatory Commission (FERC) adopt such standards and protocols.
- DOE administer a matching grant program to pay for one-fifth of smart grid investment costs.
- State regulators consider requiring and funding smart grid investments.
Smart Grid Components
While still new enough to lack a universally agreed upon definition, some typical components of a smart grid include:
- Intelligent appliances capable of deciding when to consume power based on pre-set customer preferences. This can go a long way toward reducing peak loads which has a major impact on electricity generation costs - alleviating the need for new power plants and cutting down on damaging greenhouse emissions. Early tests with smart grids have shown that consumers can save up to 25% on their energy usage by simply providing them with information on that usage and the tools to manage it.
- Smart power meters featuring two-way communications between consumers
and power providers to automate billing data collection, detect outages
and dispatch repair crews to the correct location faster.
- Smart substations that include monitoring and control of critical and
non-critical operational data such as power factor performance,
breaker, transformer and battery status, security, etc.
- Smart distribution that is self-healing, self-balancing and
self-optimizing including superconducting cables for long distance
transmission, and automated monitoring and analysis tools capable of
detecting or even predicting cable and failures based on real-time data
about weather, outage history, etc.
- Smart generation capable of "learning" the unique behavior of power
generation resources to optimize energy production, and to
automatically maintain voltage, frequency and power factor standards
based on feedback from multiple points in the grid.
- Universal access to affordable, low-carbon electrical power generation
(e.g., wind turbines, concentrating solar power systems, photovoltaic
panels) and storage (e.g., in batteries, flywheels or super-capacitors
or in plug-in hybrid electric vehicles).
Smart Grid Technologies
For DOE's Modern Grid Strategy, the specific technologies of the smart grid are grouped into the following five areas:
- Integrated Communications include data acquisition, protection, and control, and enable users to interact with intelligent electronic devices in an integrated system.
- Sensing and Measurement technologies support acquiring data to evaluate the health and integrity of the grid and support automatic meter reading, elimination of billing estimates, and prevent energy theft.
- Advanced Components are used to determine the electrical behavior of the grid and can be applied in either standalone applications or connected together to create complex systems such as microgrids. The success, availability, and affordability of these components will be based on fundamental research and development (R&D) gains in power electronics, superconductivity, materials, chemistry, and microelectronics.
- Advanced Control Methods are the devices and algorithms that will analyze, diagnose, and predict grid conditions and autonomously take appropriate corrective actions to eliminate, mitigate, and prevent outages and power quality disturbances.
- Improved Interfaces and Decision Support convert complex power-system
data into information that can be easily understood by grid operators.
Smart Grid Benefits
The U.S. Department of Energy's (DOE's) National Energy Technology Laboratory (NETL) states that the "Modern Grid" will have seven key benefits for consumers, business, utilities and the Nation:
- Self-Healing
A smart grid automatically detects and responds to routine problems and quickly recovers if they occur, minimizing downtime and financial loss.
- Motivates and Includes the Consumer
A smart grid gives all consumers - industrial, commercial, and residential - visibility into real-time pricing, and affords them the opportunity to choose the volume of consumption and price that best suits their needs.
- Resists Attack
A smart grid has security built-in from the ground up.
- Provides Power Quality for 21st Century Needs
A smart grid provides power free of sags, spikes, disturbances and interruptions. It is suitable for use by the data centers, computers, electronics and robotic manufacturing that will power our future economy.
- Accomodates All Generation and Storage Options
A smart grid enables "plug-and-play" interconnection to multiple and distributed sources of power and storage (e.g., wind, solar, battery storage, etc.)
- Enables Markets
By providing consistently dependable coast-to-coast operation, a smart grid supports energy markets that encourage both investment and innovation.
- Optimizes Assets and Operates Efficiently
A smart grid enables us to build less new infrastructure, transmit more power through existing systems, and thereby spend less to operate and maintain the grid.
Smart Grid Challenges
Major change usually entails substantial challenges, and the smart grid is no exception. DOE's National Energy Technology Laboratory report, A Systems View of the Modern Grid, lists the following as major barriers to achieving smart grids:
- Financial Resources
The business case for a self-healing grid is good, particularly if it includes societal benefits. But regulators will require extensive proof before authorizing major investments based heavily on societal benefits.
- Government Support
The industry may not have the financial capacity to fund new technologies without the aid of government programs to provide incentives to invest. The utility industry is capital-intensive, with $800 billion in assets, but it has undergone hard times in the marketplace and some utilities have impaired financial ratings.
- Compatible Equipment
Some older equipment must be replaced as it cannot be retrofitted to be compatible with smart grid technologies. This may present a problem for utilities and regulators since keeping equipment beyond its depreciated life minimizes the capital cost to consumers. Early retirement of equipment may become an issue.
- Speed of Technology Development
The solar shingle, the basement fuel cell, and the chimney wind generator were predicted 50 years ago as an integral part of the home of the future. This modest historical progress will need to accelerate.
- Policy and Regulation
Utility commissions frequently take a parochial view of new construction projects. A critical circuit tie crossing state boundaries has historically met significant resistance. The state financing the project may not always be the one benefiting most from it. Unless an attractive return on smart grid investments is encouraged, utilities will remain reluctant to invest in new technologies.
- Cooperation
The challenge for 3,000 diverse utilities will be the cooperation needed to install critical circuit ties and freely exchange information to implement smart grid concepts.
A Sampling of U.S. Smart Grid Projects
Xcel Energy
In May, 2008, Xcel began implementation of a smart grid network in Boulder, CO. SmartGridCityTM is a multi-phase project planned for completion in December 2009. It is expected to provide customers with a portfolio of smart grid technologies designed to provide environmental, financial and operational benefits.
Centerpoint Energy
In May, 2008, CenterPoint Energy filed with the Texas Public Utility Commission (PUC) for an Advanced Metering System (AMS) initial deployment plan. The Company anticipates that it would begin deployment of up to 250,000 interactive meters and related infrastructure over a three-year period.
Oncor
In March 2007, Oncor became the world's first utility to install S&C Electric Company's new TripSaver Dropout RecloserTM as a part of a Smart Grid initiative in which the electric grid will monitor, think, act, repair and prepare itself to respond quickly to consumer needs. The Smart Grid will heal itself, sense outages as they occur, monitor equipment performance, report back on needed maintenance, and more, all of which will result in an increase in reliability and service quality.
Southern California Edison
Between 2009 and 2012, Southern California Edison plans to replace more than 5 million existing traditional electric meters with next-generation smart devices, making possible money-saving time-differentiated rates and demand response options as well as home area connectivity with appliances of the future. The new meter system will allow Edison customers with smart, communicating thermostats and appliances to set them to respond automatically to periods of peak pricing and grid emergencies, potentially reducing overall peak demand on Edison's grid by as much as 1,000 megawatts -the output of a major power plant. The company also has a joint program with the Ford Motor Company to explore the plug-in hybrid vehicles and vehicle-to-grid technology.
Pacific Gas & Electric
Pacific Gas and Electric is partnering with Tesla Motors to further evolve vehicle-to-grid (V2G) technology by researching smart charging - a form of V2G designed to allow remote control charging of electric vehicles connected to the power grid.
American Electric Power
American Electric Power is currently deploying advanced metering and an enhanced infrastructure. Initially systems are expected to be in place by 2010, and will be fully deployed by 2015 to more than five million customers. The company is also collaborating with General Electric to address the full energy pathway from the power plant to the home.
San Diego Gas and Electric
San Diego Gas and Electric is currently deploying smart metering technology that will enable customers to remotely control many different automated digital devices. For example, a homeowner on vacation can use a cell phone to switch appliances on or off, arm a home security system, control temperature gauges, control lighting or program a home entertainment system. On a hot day, the smart meter can send a signal to the home area network to help conserve energy, e.g., a smart refrigerator could reduce energy consumption for the duration of the conservation effort.
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