Transcript Role of Private Investment

Microgrids: Engaging the Customer
ACCELERATING INNOVATION AND INVESTMENT
Power System
Slow to Change
Carbon, billion
mtons
Generation,
million MWh
2,500
3,000
2,000
2,500
1,500
– CCCT/CHP
– Wind
1,000
Green
2,000
Coal
1,500
Gas
1,000
Carbon
500
500
0
0
1990
1995
Energy Information Association
2000
2005
2010
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Improve Competitiveness of
Cities by Eliminating Waste
Waste Type
Wasted Fuel
Market Inefficiency
Outages/Repair
Emissions Cost
Total Waste
Performance
Wasted $, Billions
35% Efficiency
~ $70
~ 2₵/kWh
SAIDI 2 hrs.
~ $100
~ $150
High CO2, SO2,
NOx, HAP
~ $70
~$400 or 8¢/kWh
PPI Report, Grid Modernization: The Case for Empowering
Consumers, Communities, and Utiltieis
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4
The Pursuit of Perfection
or Perfect Power
“The pursuit of new measures and perfection
changes your perspective, revealing gaps in
performance that were hidden; thereby
enabling innovation and levels of performance
not before thought possible.”
– Bob Galvin, Founder of the Galvin
Electricity Initiative and Perfect Power
Institute, former CEO and Chairman,
Motorola, Inc.
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Reading the World
•
•
•
•
Technology
Policy
Economics
Demographics
Learning will inspire you:
• Fifth Discipline
• Environmental Engineering
• America’s Founding Secret
• The Idea of Ideas
• Made to Stick
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2
Perfect Power
Transformation
Microgrid
Smart Switch
Smart Switch
Local Substation
Substation
Area Area
Substation
Renewable,
CHP
Clean DG
Backup/DR
Central Power
Natural Gas
Transmission
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2
Systems Approach
Gaining Leverage
Home Automation
Advanced Meter
Internet/
Cloud
Mobile
Devices
TV, Router,
Cable Box
Energy Management System
Applications
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IIT Microgrid Prototype
Minigrids in a microgrid
Smart
Meter
Smart
Switch
10 MW
Smart
Loop
Loops
Smart Switch
Backup, CHP, Solar, UPS
New Products and Services
• Core power and thermal
• Distribution of power and thermal
• Automation and intelligence
– Distribution/substations
– Buildings
• Loops, smart switches, self-healing, physical
protection, cyber security
• Smart meters and intelligent aps
• Master controller, intelligent monitor, trend
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Utility is at the Heart of the
Future Grid
Private Invest
Rate Payer Invest
Entrepreneurs
Local Government
Power
Suppliers
Distribution
Utility
Customer
Microgrids/
Power Refiners
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Utility Investment
How will reliability be improved?
SUB
Neighborhood
Wiring
Before
Substation
Feeder
138 or 34.5 kV
Circuit 1
X
SUB
Feeder
138 or 34.5 kV
X
After-Self Healing
Smart
Switches
Circuit 2
Neighborhood
Circuits
Substation
Circuit 1
Smart
Switches
Circuit 2
SUB
Underground Intelligent
Switches
• Out of sight
• Controllable
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Overhead Intelligent
Switches
Role of Private Investment
• Power suppliers
– Carbon free power
– Financed solar
– Financed back-up generators tied to real-time
• Entrepreneurs
– Home automation for demand response and EE
– Financed permanent EE
– Virtual home inspection and failure detection
• Microgrids
– Ice storage for load shifting
– Power quality refining
– Island capability
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Restructured electricity markets
Replace with REC Version
Siemens Gearless
Wind Turbine (3 to 10MW)
Gearbox Eliminated
by
Permanent Magnet
Generator
Strategies and Technology
GE New CCCT – 60% Efficient
GE FlexEfficiency* 50 Combined Cycle Power Plant
http://www.geenergy.com/products_and_services/products/gas_turbines_heavy_duty/flexefficiency_50_combined_cycle_power_plant.jsp
Private Investment
Power Supplier
IIT Power Mix
No Carbon Wind
5%
Hydro
35%
Nuc.
60%
MARIN ENERGY AUTHORITY
POWER CONTENT LABEL
RESOURCES
MEA 2008 CA
Eligible Renewable 27%
2%
Large Hydroelectric 46%
18%
Natural Gas
12%
42%
Coal
10%
33%
Nuclear
1%
5%
Other
3%
0%
TOTAL
100% 100%
Private Investment
Entrepreneur
Pecan Street Consortium
Pecan Street Consortium
Home Becomes a
Power Source
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Uninterruptible Power
Supplies (UPS) Units
• 60 seconds ride through
• Eliminates 99% of all
power quality issues
• 98% energy-efficient
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Community Energy Storage
(CES)
Pad-mounted
Transformer
CES Unit
Private Investment
Microgrid - Princeton University
Backup Gen
40
MW 35
30
25
20
DR
On-peak Procurement
Solar
Gas Gen
Elect. Storage
Ice Storage
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On-peak tri-gen
10
5
Base-load Procurement
Base-load Tri-generation and district energy (in lieu of boiler)
Number of hours at the demand level
8760
Flatten the Curve –
Lower Prices and Need for New Capacity
Demand/
Price
$/Mwh
• Demand Response
• Price Transparency
• Ancillary Service Payments
PJM secures 11 GW in DR
and capacity auctions
• Price Transparency
• Electric Vehicles
500
4,000
# of Hours at the Demand Level
8,760
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Microgrid Services?
• Conserve to save money and energy
• Flatten load curve to lower costs for everyone
– Leveraging technology
• Provide grid services in return for payments
– Demand response, voltage support, VAR’s, capacity
• Install cleaner more efficient power to meet
peek demand
• Recycle waste heat to generate power as a
(turbine in lieu of a boiler)
• Improve local reliability and power quality
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Add 2,000 MW by 2016
• Institutional/Campus
• Muni/Utility Community
– Poor reliability pockets – Japan, Connecticut,
Developing Countries
• Military
• Remote/Off Grid
• Commercial/Industrial
– Big Data – Google
• Developments/Planned Community
• Virtual microgrids
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Role of Private Investment
• Power suppliers
– Carbon free power
– Financed solar
– Financed back-up generators tied to real-time
• Entrepreneurs
– Home automation for demand response and EE
– Financed permanent EE
– Virtual home inspection and failure detection
• Microgrids
– Ice storage for load shifting
– Power quality refining
– Island capability
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Q&A
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References
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Grid Modernization
IIT
Mesa del Sol
Illinois Policy Framework
?
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