doe national investigation of cvr activities project …grouper.ieee.org/groups/td/dist/da/doc/doe...

Ron WilloughbyPrincipal, Applied Energy Group

DOE National Investigation of CVR ActivitiesProject Overview

IEEE Volt-Var Task Force MeetingJuly 29, 2014

IEEE VVTF Meeting - July 2014

Principal Investigators

Kellogg L. Warner is President of Deerpath Associates and Executive Associate atApplied Energy Group. Kelly has more than 30 years’ experience in energyservices for the electric and gas utility industry, and 15 years as chief executive ofmajor energy consulting and service firms. As CEO of KEMA Inc., XENERGY andDeerpath Energy, he led or participated in numerous policy, strategy and businessdevelopment initiatives that span the value chain of energy services. He is arecognized expert in utility industry restructuring, having participated in numerousregulatory proceedings. He earned his bachelor’s degree at Williams College in1978 and an MSCE in resource planning at Stanford University in 1985.

Ronald D. Willoughby is an executive consultant with more than 39 years'experience in electric power systems planning and operation, focusing onreliability, power quality, energy efficiency and automation. He was a vicepresident and market issue principal at KEMA, director of technical services atCooper Power Systems, including the Thomas A. Edison Technical Center, andManager for Westinghouse’s Advanced Systems Technology Group. He earned abachelor’s in electrical engineering at the University of Missouri-Rolla in 1973, amaster’s in EE at Carnegie-Mellon in 1977, and an honorary professional degree ofelectrical engineering from the University of Missouri-Rolla in 2003. He is aregistered licensed Professional Engineer (PE).

2IEEE VVTF Meeting - July 2014

Agenda

1 – Objectives

2 – Participation

3 – Data Gathering

4 – Findings


Background

June 2012 - AEG launches initiative to investigateCVR as potential EE resource. Conclusions:

• CVR is proven technology for reducing peaks and savingenergy

• Intersection of Smart Grid and EE brought CVR front-and-center

• Lack of compelling business case constructs holding back CVRpotential

September 2013 - DOE commissions AEG toperform National CVR investigation.


DOE Project Objectives

1. Expand the CVR knowledge base

2. Present easy-to-understand CVR value proposition

3. Identify issues/barriers preventing CVR deployment

4. Create self-sustaining CVR industry group


CVR Market Taxonomy

DA AMICore CVR Components

TRANSFORMERS

SENSORS

PLC/PLS

VOLTAGE REGULATORS CAPACITORS

METERS

AMIDMS

D-SCADA

CVR CONTROLS

RADIO

CELLULAR

RELAYS/ RECLOSERS

POINTS N TIME NEAR REAL-TIME

POINTS N TIME NEAR REAL-TIME

CommunicationInfrastructure

Software andControlSystems

Devices

COMMERCIAL

OPEN

- Planning Tools -OpenDSS

OMF

Agenda

1 – Objectives

2 – Participation


4 – Findings


Project OrganizationDOENETLBooz Allen HamiltonAEGPower Grid Technology Consulting LLC (Reed)

CVR Project Team

Market IssuesGroup (MIG)

CVR IndustryGroup (CIG)

Case Studiesn=5

Market Outreachn=41

CVR Project Database

UtilitiesVendorsIndustry GroupsUniversities

PNNLAEPEPRI

NRECASMUDDuke


Project Team

Department of Energy (DOE)Joe Paladino - SponsorRachna Handa - Project Manager

Steve Bossart - DOE/NETL Project Manager

Booz Allen Hamilton (BAH)Jesse Goellner - Program Manager

Applied Energy Group (AEG)

Kelly Warner - Project Manager / Principal Investigator

Ron Willoughby - Deputy PM / Principal Investigator

Power Grid Technology Consulting (PGTC)Greg Reed - Technical Advisor


Company Name Title

American Electric Power (AEP) Tom Weaver Mgr Dist System Planning

CRN/NRECACraig MillerDavid Pinney

OMF Technical Lead

Duke Energy Jay Oliver Director Grid Automation

EPRI Jeff Roark Sr Project Mgr SG Economics

PNNL Kevin Schneider Sr Research Engineer

Sacramental Municipal District(SMUD)

Wayne Nakamoto Distribution Planning Supv


Market Issues Group (MIG)

Agenda

1 – Objectives

2 – Participation


4 – Findings


CVR Project Database

BusinessModels

RegulatoryStrategy

OperatingModels

Tools /Methods

• Vendor / TechnologyProfiles

• F/F/B• Application Guidelines• Strengths and Weaknesses• Market Surveys• Research Projects• Unit Costs• Scalability• Technology Risk

• Capital and O&MConsiderations

• B-C Templates• ROI Targets• Business Plans• Smart Grid Plans• Internal decision

processes and keyapproval hurdles

• Regulatory Submittals• Legislation• EE Laws/Regulations• Key regulatory hurdles

• Lessons Learned• Staffing Impacts• Operational Impacts• O&M costs• Equipment impacts• Mid-course corrections• Pilot –to –full scale

deployment issues• Future Directions• CVR Factors• Centralized/Decentralized

• Planning• Screening• Guidelines• M&V Studies• Model Development• Data Management• Performance Prediction• Technology Application

Guidelines

Project Data

Business Case Driver

Key Risk Factors

Financial Metrics

Lost Revenues

Cost Recovery

EE / Env Credits

Enabling Regs / Laws

Communications

Static vs Dynamic

Planning Methods

Planning Tools

B-C for Methods

B-C for Tools

M&V Protocols

Categorized Data

Future Plans

Case Studies & Open Format Data

TechnologyApplications

Control Type/Points

Control System/Tech

Operational Issues

Operational Driver

MWh/MW Savings

Project Type

Results Overview

Project Name

Utility

VAR Regulation

CVR Factors

Voltage Regulation

Benefit-Cost Metrics

Data Collection Process


Reference Library- Business- Regulatory- Technology- Operations- Tools / Methods- Case Studies- Fundamentals/Standards

Summary Tables / Figures

Request MissingData from

Individual Utilities

Conduct LiteratureSearch

Populate CVRData Sheets

Update CVRData Sheets

Categorize andStore Documents

Excel Database

Data Analysis

Literature Search

581 References Cataloged (overlapping areas)

332 Business Model Information

115 Regulatory Support Materials

39 Regulatory Filings

181 Technology Application Information

124 Operating Models Information

117 Tools & Methods: Planning, M&V

120 Case Study Documentation

128 Fundamentals & Standards


Regulatory Filings - 19 States1) Alabama

2) California

3) Colorado

4) Idaho

5) Illinois

6) Indiana

7) Louisiana

8) Maryland

9) Michigan

10) Missouri

11) North Carolina

•12) Ohio

•13) Oregon

•14) Pennsylvania

•15) South Carolina

•16) Tennessee

•17) Utah

•18) Washington

•19) Wyoming


BOLD = States where CVR counts as EE credit

Utility Participants• Adams Columbia EMC

• Alabama Power Co

• Ameren - Illinois

• AEP - Ohio

• Avista Utilities

• BG&E

• BPA

• Central Hudson

• Central Lincoln PUD

• Clark County PUD

• Cowlitz County PUD

• Clinton Utilities Board

• ComEd

• Connecticut Lt & Pow

• Dickson Electric System

• Dominion VirginiaPower

• Duke Energy

• Fort Loudon EMC

• GPC

• Hydro Quebec

• Idaho Power Company

• Indianapolis P&L

• Inland P&L

• Iowa Lakes EMC

• Johnson City PUB

• Morristown UtilitySystems

• NEEA

• OG&E

• Oneida-Madison EMC

• PacifiCorp

• Palmetto Electric Coop

• PECO

• Public Service Co ofOK

• Ripley Power & Light

• SMUD

• Snohomish PUD

• West Penn Power

• Xcel Energy - PSCo


CVR Projects Reviewed

NEEA = Northwest Energy Efficiency Alliance


Voltage Control Terminologies


IVVO (Integrated Volt VAR Optimization) Optimizes volt/VAR levelsusing near real-time information from sophisticated metering andcommunication systems.

VVO (Volt/VAR Optimization) Uses near real-time information toreduce losses, improve reliability, and improve power quality usingcapacitor banks, voltage regulators, transformer load-tap changers, andDG through volt/VAR controls.

VO (Voltage Optimization) Combines CVR, VVC, and systemimprovements to control voltage levels.

CVR (Conservation Voltage Reduction) Reduces energy consumption(kWh) and power levels (kW) by reducing voltages on distributionsystems.

VVC (Volt/VAR Control)Manages power factors and voltages usingload tap-changer, line voltage regulator, and capacitor bank controls.

InterrelationshipsVoltage Control Terminologies


IVVO: Integrated Volt-VAR Optimization

VVO: Volt-VAR Optimization

VO: Voltage Optimization

CVR: Conservation Voltage Reduction

VVC: Volt-VAR Control

Agenda

1 – Objectives

2 – Participation


4 – Findings


Findings


1 - Technology advancements enabling greater CVR savingswithout compromising PQ/Reliability

2 - CVR deployments yielding verifiable energy savings andpeak reductions; however, cost-effectiveness thresholdsstill under development; M&V standards needed

3 - Most states not allowing CVR to be counted as qualifiedEnergy Efficiency resource

4 - Regulatory hurdles impeding CVR adoption

5 - Market barriers impeding CVR deployment

Thank You


Ron WilloughbyApplied Energy Group (AEG)

[email protected]