doe oe arra program steve bossart senior energy analyst u.s. department of energy national energy...
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DOE OE ARRA Program Steve Bossart Senior Energy Analyst U.S. Department of Energy National Energy Technology Laboratory EnergyTech 2012 May 29-31, 2012. Topics. Background OE Smart Grid ARRA Program Metrics & benefits approach Build and impact metrics status - PowerPoint PPT PresentationTRANSCRIPT
DOE OE ARRA Program
Steve BossartSenior Energy Analyst
U.S. Department of Energy National Energy Technology Laboratory
EnergyTech 2012May 29-31, 2012
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Topics• Background• OE Smart Grid ARRA Program• Metrics & benefits approach• Build and impact metrics status• Consumer behavior projects (SGIG)• Smart grid demonstration projects (SGDP)• Case studies• Qualitative metrics• Lessons learned• Life after ARRA
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Background
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DOE OE Mission
Mission of Office of Electricity Delivery and Energy Reliability• Lead national efforts to modernize the electric grid;
• Enhance security and reliability of the infrastructure; and
• Facilitate recovery from disruptions to energy supply
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Programs created by statute Energy Infrastructure Security Act 2007:
– Smart Grid Investment Grants (Sec. 1306)– Smart Grid Regional Demonstrations
(Sec.1304)
Recovery Act Directed Programs: – Workforce Training - $100M
– Interconnection-wide Transmission Planning and Resource Analysis - $80M
– Interoperability Standards - $12M
Additional OE initiatives- State & Local Energy Assurance - State Regulatory Assistance
Recovery Act – Grid Modernization
Top 10 States by Total Awarded
State Amt ($M)
NC 434
CA 419
TX 293
NY 276
FL 270
PA 265
MD 233
DC 213
AL 166
OH 146
One-time Appropriation, $4.5B in ARRA funds
$620M for demonstration projects
$3.425B for deployment projects
Investment Grants
Smart Grid Demos
Workforce Training
Resource Assessment &Transmission Planning
Smart Grid Interoperability Standards
Other
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Value Proposition Cost to Modernize• $338-$476B over 20 years
– $ 82-90B for transmission – $232-$339B for distribution– $24-46B for consumer
• $17-24B per year
• Other cost estimate: Brattle >$800B
Benefit of Modernization• $1294 – 2028 Billion• Overall benefit-to-cost ratio
of 2.8 to 6.0
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EPRI, 2011
Previous StudiesBenefit to Cost Ratio for West Virginia of 5:1Benefit to Cost Ratio for San Diego of 6:1Benefit to Cost Ratio for EPRI (2004) 4:1-5:1
$165B Cost$638 - $802B Benefits
EPRI Report: http://www.smartgridinformation.info/pdf/3272_doc_1.pdf
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DOE Smart Grid
American Reinvestment and Recovery Act of 2009 Program
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American Recovery and Reinvestment Act ($4.3B)• Smart Grid Investment Grants (99 projects)
– $3.4 billion Federal; $4.7 billion private sector– >800 PMUs covering almost 100% of transmission– 6500 distribution automation circuits– >15 million smart meters
• Smart Grid Demonstration Projects (32 projects)– $620 million Federal; $1 billion private sector– 16 storage projects– 16 regional demonstrations
Smart Grid ARRA Activities
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Additional ARRA Smart Grid Activities
– Interoperability Framework by NIST ($10M)
– Transmission Analysis and Planning ($80M)
– State Electricity Regulator Assistance ($50M)
– State Planning for Smart Grid Resiliency ($55M)
– Workforce Development ($100M)
Smart Grid ARRA Activities (continued)
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Technology Deployment
Customer Systems
Customer Systems
Customer Systems
Customer Systems
SGIG/SGDP Areas of Smart Grid Technology Deployment
Customer Systems
Advance Metering
Infrastructure
Electric Distribution
Systems
Electric Transmission
Systems
• Displays• Portals• Energy
management• Direct load
controls
• Smart meters• Data
management• Back office
integration
• Switches• Feeder
optimization• Equipment
monitoring• Energy Storage
• Wide area monitoring and visualization
• Synchrophasor Technology
• Energy Storage
Customer Systems
EquipmentManufacturing
• Energy devices• Software• Appliances
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Schedule for Benefits Analysis
The DOE Metrics and Benefits work is transitioning into the reporting and analysis of impact metrics. See smartgrid.gov
Metrics and Benefits Plan
Build Metric Reporting and Analysis
We are here
Impact Metric Reporting and Analysis
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Key Program Objectives
Key Stakeholders:
NARUC and PUCsEEI/EPRI
NRECA/CRN
APPA
NASPIConsumer Advocates
Utilities
Three Objectives:
Information Derived from
131 ARRA Smart Grid
Projects
Advancing the Business Case
Sharing Lessons-
Learned and Best Practices
Determining R&D Needs
• System Engineering
• Advanced Analytics
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Metrics and BenefitsApproach
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DOE Analytical ApproachEx
ampl
e Improvesfeeder voltage regulation
Reduced feeder losses worth$60 per MWh
Automatic Voltage and VAR Control
• Capacitor controls
• Distribution Management System
Functions Mechanisms Benefits
What does the Smart Grid
do?
How does itdo that?
What “goodness”
results?
Monetary Value
What is the goodness
worth?
What are Smart Grid
technologies?
Assets
$6000
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Smart Grid FunctionsSensing Control Protection
Wide Area Monitoring, Visualization, and Simulation
Power Flow Control Fault Current Limiting
Diagnosis & Notification of Equipment Condition
Automated Feeder Switching
Dynamic Capability Rating
Real-Time Load Measurement and Management
Automated Islanding and Reconnection
Adaptive Protection
Automated Voltage and VAR Control
Enhance Fault Protection
Real-Time Load Transfer
Customer Electric Use Optimization
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Energy Storage ApplicationsRenewable Support Investment Deferral Ancillary Services Load Management
Renewables Energy Time Shift
Electric Supply Capacity Deferral
Area Regulation Electric Energy Time Shift
Renewables Capacity Firming
T&D Upgrade Deferral
Load Following Transmission Congestion Relief
Wind Generation Grid Integration, Short Duration
Substation Onsite Power
Electric Supply Reserve Capacity
Time-of-Use Energy Cost Management
Wind Generation Grid Integration, Long Duration
Electric Service Reliability
Voltage Support Demand Charge Management
Electric Service Power QualityTransmission Support
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Smart Grid Metrics Reliability• Outage duration and frequency, momentary disruption, power quality
Security• Ratio of distributed generation to total generation
Economics• Electricity prices & bills, transmission congestion costs, cost of outages
Efficient• T&D electrical losses, peak-to-average load ratio
Environmentally Friendly• Ratio of renewable generation to total generation, emissions per kwh
Safety• Injuries and deaths to workers and public
Field Data Metrics Benefits Value
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Five Primary Analytical Focus Areas
Peak Demand and Electricity Consumption
• Advanced metering infrastructure
• Pricing programs & consumer devices
• Direct load control
Operations & Maintenance Savings
from Advanced Metering
• Meter reading• Service changes• Outage management
Distribution System Reliability
• Automated & remote operations
• Feeder switching Monitoring & health sensors
Energy Efficiency in Distribution Systems
• Voltage optimization• Conservation voltage
reduction• Line losses • Operational efficiency
Transmission System Operations & Reliability
• Application of synchrophasor technology for wide area monitoring, visualization, and control
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Information Relating to Technology Deployment and Impacts
Project Reporting
For SGIG/SGDP
Build Metrics:• Technologies, configurations,
functionality, costs, extent of deployment
Impact Metrics:• Peak demand and electricity consumption• O&M improvements from AMI and DA• Distribution system reliability• Energy efficiency improvements in DA• Applications of synchrophasor technology
Consumer Behavior Studies:• Response to pricing and enabling technologies• Customer acceptance and retention
Technology Performance Reports:• SGDP technology performance and impacts• Energy storage technology comparison
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Who are the Beneficiaries?
• Utilities (What’s in it for my shareholders?)• Consumers (What’s in it for me?)• Society (What’s in it for us?)
We get what we reward!
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Metrics and BenefitsStatus
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SGIG Deployment Status
AMI and Customer System Assets
Distribution Assets Transmission Assets $-
$500
$1,000
$1,500
$2,000
$2,500
$3,000
$3,500
$4,000
$4,500
$5,000
$2,767
$888
$163
~$4,500
~$2,500
~$1,000
Total Investments in 99 SGIG Projectsas of March 19, 2012
Reported to date Estimated at completion
Tota
l Inv
estm
ents
(Mill
ions
$)
9.3 of 15.5 million residential and commercial smart meters
Distribution automation equipment on 4,200 out of 6,500
circuits
195 out of over 800 networked phasor measurement units
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Smart Meters Deployed in SGIG Projects
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Application of Advanced Metering InfrastructureInvestments in AMI are being made by 75% of the SGIG projects
Peak and Overall Demand Reduction
62 projects are pursuing ……• 40 w/ pricing programs• 25 w/ customer systems• 21 w/ direct load control devices
Operational Efficiency Improvement60 projects are pursuing ……
• 60 w/ automated meter reading• 44 w/ voltage and power quality
monitoring• 51 w/ outage detection and notification• 50 w/ tamper detection• 48 w/ remote service switch
• Reducing requirements for generation capacity and energy (less fuel)
• Improved asset utilization• Lower emissions (CO2, NOx, SOx)• Lower bills
• Operations and maintenance (O&M) cost reductions
• Greater responsiveness to customer
• Lower outage duration• Improved energy efficiency
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Status of Smart Grid Investments in SGIG Program
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Automated Distribution Circuits in SGIG
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Distribution Automation
DA investments are being made by over 50% of the SGIG projects
Distribution Reliability48 projects are pursuing distribution system reliability improvements
• 42 w/ automated feeder switches• >6 w/ equipment monitoring• 27 w/ DMS integration• 21 w/ AMI integrated with OMS
Volt/VAR Control47 projects are pursuing voltage/VAR control and optimization
• 35 w/ automated capacitor banks• 32 w/ automated voltage regulators• 22 w/ DMS integration
• SAIDI, SAIFI and CAIDI improvements
• O&M cost reductions
• Energy efficiency improvements
• O&M cost reductions
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Phasor Measurement Units in SGIG Projects
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Application of Synchrophasor Technology
Investments in synchrophasor technology are being made by 10 SGIG projects
Depl
oym
ent C
halle
nge
Oscillation Detection
Frequency Stability Monitoring
Voltage Stability Monitoring
State Estimation
Model Validation
Islanding and Restoration
Transmission Pathway and Congestion Management
Automated Controls
Detection of Imminent Disturbance Cascading
High SGIG activity (9-12 projects)
Wide Area Monitoring and
VisualizationSource: DOE
DG and Renewables Integration
1-2 Years 2-5 Years >5 Years
Controlled System Separation
Medium SGIG activity (5-8 projects)
Low SGIG activity (1-4 projects)
No SGIG activity
Post-event Analysis
Disturbance Detection and Alarming
Benefits:• Improved reliability
and resiliency• Improved asset
utilization• Reduced
transmission congestion
• Integration of distributed generation and renewables
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Customer Devices in SGIG Projects
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Customers with Smart Meters Enrolled in Pricing Programs in SGIG
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Smart Grid Demonstration ProjectsBuild Metrics
171,361 smart meters have been installed and are operational.
Customer Systems7,612 customer system assets
– 3,665 in-home displays– 1,605 direct load control devices – 1,920 programmable communicating thermostats– 155 smart appliances– 267 energy management devices
58,922 active web portal accounts have been created.
Transmission System Assets– Dynamic capability rating systems (DCRS) on 11 transmission
lines– 11 phasor measurement units (PMUs) – 4 phasor data concentrators (PDCs).
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Smart Grid Demonstration ProjectsBuild Metrics
• Distributed Energy Resources176 distributed generation units with combined capacity of 1.05 MW 30 storage units with combined capacity of 1.43 MW 25 plug-in electric vehicle charging points.
• Distribution System Assets– 382 automated feeder switches– 264 automated capacitors – 105 automated regulators– 12,947 feeder monitors– 1 transformer monitor– 428 smart relays.
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Consumer Behavior Studies
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SGIG Consumer Behavior Studies
Sierra Pacific
Nevada Power OG&E MMLD CVPS VEC
MN Power* CEIC SMUD DECo
Lakeland Total
Rate TreatmentsTOU l l l l 3CPP l l l l l l l l 8CPR l l 2VPP l l 2
Non-Rate TreatmentsEducation l l l 3Cust. Service l 1IHD l l l l l l l l l 9PCT l l l l l 5DLC l 1
FeaturesBill Protection l l l l l 4
Experimental DesignOpt In l l l l l l l l l l 9Opt Out l l l l 3Within l 1
Number of Participants9,509 6,853 3,196 500 3,735 6,440 4,025 5,000 97,480 5,400 3,000 145,138
l l Sierra Pacific and Nevada Power are testing the effect of a technology package, including an IHD and a PCT* MN Power is also testing the difference between hourly energy feedback and daily energy feedback
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SGIG Consumer Behavior Studies:Study Population Statistics
• Total of ~145,000 customers are expected to “participate” as treatment or control customers• Plan to collect key demographic information on all treatment and
control customers (ideally), subject to survey response rates• Assuming 3 years worth of hourly interval usage meter data (1
year pre-treatment and 2 years post-treatment); this represents 3.9 billion data observations
• To put our SGIG analysis and evaluation effort into perspective:• ComEd’s CAP study included ~8,500 participants and ran for 12
months (June 2010 - May 2011)• CA Statewide Pricing Pilot included ~2,500 participants and ran
for 18 months (July 2002 – December 2003)
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SGIG Consumer Behavior Studies: Overview of Research Topics
Given the diversity of studies being undertaken as part of the SGIG program, we have a unique opportunity to evaluate issues in
several topical areas:Research Topical Areas
1. Customer Acceptance: What motivates customers to accept time-based rate programs?2. Customer Retention: What motivates customers to remain on time-based rate programs?3. Customer Response: Will customers respond, and if so by how much will they respond, to time-based rate programs?4. Role of enabling technology and information/education: Will customers respond, and if so by how much will they respond, to control and/or information technology and/or education alone?
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Qualitative Feedback
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Lessons Learned
Surveys
RecommendationsCorrective Actions
Root Cause
Preferences
Best PracticesCompliments
Anecdotes
Observations
Complaints
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Variety of Stakeholders
Electric Service Provider• Decision makers• Operations &
maintenance• Planning • Engineering & design• Customer service• Traders• Purchasing• Regulatory support• Billing
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Smart Grid Demonstration Projects
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AMI Assets
Customer Systems
Distributed Energy Resources
Distribution Assets
Transmission Assets
0 2 4 6 8 10 12
Number of SGDP Regional Demonstration Projects With Various Types of Smart Grid Assets
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Fault Current Limiting
Wide Area Monitoring, Visualization, & Control
Dynamic Capability Rating
Power Flow Control
Adaptive Protection
Automated Feeder Switching
Automated Islanding and Reconnection
Automated Voltage & VAR Control
Diagnosis & Notification of Equipment Condition
Enhanced Fault Protection
Real-time Load Measurement & Management
Real-time Load Transfer
Customer Electricity Use Optimization
0 2 4 6 8 10 12
Number of SGDP Regional Demonstration Projects Addressing Various Smart Grid Functions
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Improved Asset Utilization
T&D Capital Savings
T&D O&M Savings
Theft Reduction
Energy Efficiency via Reduced Losses
Electricity Cost Savings
Reduced Power Interruptions and Restoration Costs
Improved Power Quality
Reduced Pollutant Emissions
Improved Energy Security
0 2 4 6 8 10 12 14
Number of SGDP Regional Demonstration Projects Seeking Various Smart Grid Benefits
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Case Studies
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eEnergy VermontA State-Wide Strategy for Smart Grid Development
Key Activities• Smart metering roll-out for outage management and time-based rates for
demand response. • Distribution system automation including switches, reclosers, SCADA, and
communications backbone systems.• Consumer behavior studies by Vermont Electric Cooperative (VEC)and
Central Vermont Public Service to assess customer acceptance, response, and retention.
Aims and Strategies• A collaborative effort involving all of the state’s electric distribution companies
to modernize Vermont’s electric grid and foster economic growth as part of the state’s “eState Initiative” with telecommunications and health care.
Results and Benefits • VEC’s outage management system has improved SAIFI by 50% and CAIDI
by 40% since installed in 2008.• VEC’s smart metering roll-out and outage management system has a 5 year
payback period from operational saving alone.• VEC received POWER Magazine’s first “Smart Grid Award” in August 2011 for
its pioneering efforts in outage management.• Restoration of the grid from Tropical storm Irene occurred quicker and with
greater customer awareness of repair schedules due to smart meters, web portals, and more effective outage management.
Utilities working together to
modernize the grid.
Facts & FiguresTotal Project Budget: $137,857,302Federal Share: $69,928,650Distribution Automation:47 circuits and substationsSmart meters:311,380Time-Based Rates:1,500 customers targeted
Vermont Electric Cooperative’s Smart Grid Operations Center
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Oklahoma Gas & ElectricReducing peak demand in Oklahoma
Key Activities• OG&E’s “Positive Energy Smart Grid Project” is installing 750,000
smart meters system-wide and distribution automation equipment on 40% of the circuits serving homes, offices, farms, and factories.
Aims and Strategies• Defer construction of two 165 MW power plants by lowering peak
demand using demand response programs that involve time-based rates and customer enabling technologies.
• Improve service and lower costs by operating automated capacitors and distribution switches.
Results and Benefits • Pilot demand response project of 3,000 customers during the
summer of 2010o 98% of participating customers saved money on their billso Measureable demand reductions from customers participating
in critical peak and variable peak pricing and who use the web portal, programmable communicating thermostats, and in-home displays
• Expect to lower operations and maintenance costs and improve service reliability and power quality.
Customer-Enabling
Technologies Used by OG&E
Facts & FiguresTotal Project Budget: $293,201,332
Federal Share: $130,000,000
Customers Served:766,866
Service Area: 30,000 square miles in Oklahoma and Western Arkansas
Generation Capacity: 6,600 MW
In-Home Display
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City of NapervilleEmpowering Consumers in Illinois
Key Activities• Naperville’s “Smart Grid Initiative” completes a decade long efforts
to automate the city’s entire electric distribution grid.• Deploys smart meters city wide to all customers.• Provides consumer education programs to engage public
participation in shaping smart grid policies and programs.
Aims and Strategies• Strengthen reliability and reduce the frequency and duration of
power outages.• Empower consumers to manage their own power consumption
and costs to enhance energy efficiency, reduce peak, and reduce power purchase costs from wholesale suppliers.
Results and Benefits • Distribution automation investments have improved System
Average Interruption Duration Index each years since 1991 by from 15% to 55%.
• O&M costs from dispatching repair crews reduced by about 40%.• Enacted Naperville Smart Grid Consumer Bill of Rights.• Implemented Smart Grid Ambassadors Program
Consumer programs for
smart grid-savvy customers
Facts & FiguresTotal Project Budget: $21,988,220Federal Share: $10,994,110Distribution Automation:Remaining 6 of 117 circuitsSmart meters:57,000Time-based Rates:1,500 customers targeted
Residents provide feedback on Naperville’s smart grid policies
and programs.
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M2M Communications Agricultural Demand Response Program Saves Electricity in California
Key Activities• M2M Communications of Boise, Idaho, has developed a two-way,
web-to-wireless controller for irrigation pumps. The controller is part of an irrigation load control system that includes sensors, smart meters, and other monitoring equipment.
• M2M created the Peak Energy Agricultural Rewards (PEAR) program, a demand response program marketed to agricultural customers of California’s investor owned utilities.
Aims and Strategies• As part of the PEAR program, farmers can earn cash incentives
and avoid peak demand charges.• Water consumption and soil moisture can be monitored from a web
portal, enabling farmers to make informed decisions about possible participation in peak demand events.
• Farmers can schedule irrigation pump start up/shut off, saving water, time, and manpower, and improving overall efficiency.
Results and Benefits • DOE ARRA funds greatly contributed to M2M’s final R&D push to
get the controller to market.• PG&E called four peak pricing events in 2011; PEAR program
participation reduced summer peak demand by an average of 18 MW per event.
Reducing Peak Electric Demand and
Increasing Efficiency of Farm Operations
Facts & FiguresTotal project budget:
$4,342,340Federal share:
$2,171,170Devices installed: 300 Total summer peak demand reduction in 2011: 72 MW
An irrigation pump connected to and controlled by M2M’s web-to-wireless controller
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Operational Efficiency Improvements at Talquin Electric Cooperative
Background:• For over 70 years, members submitted their own meter
readings (highly inaccurate)• Rolling trucks 6,000 times/year for routine service
connection/reconnection and 9,000 times/year for non-payment problems ($40-$50/truck roll)
• Outage locations based on pattern of customer phone calls
TEC’s SmartGrid Program:• Deployed AMI to about 56,000 customers and upgraded 46
of 86 circuits with advanced capacitors for voltage control and outage management.
• With AMI, TEC avoided 8,800 truck rolls in 2011 for non-payment problems saving more than $350,000
• Expecting to avoid additional 5,500 truck rolls for routine service connections (savings of $200,000/year)
• Expecting to reduce outage durations from more precise pinpointing of faults and dispatching of repair crews to exact locations without guesswork.
Technician changes out analog meter with a smart meter
Facts & FiguresTotal Project Budget: $16,200,000
Federal Share: $ 8,100,000
Customers Served:57,000
Service Area: 2,600 square miles spanning 4 counties in northern Florida
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Lessons Learned
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Regional Smart Grid Peer-To-Peer Meetings8 regional meetings in 2011 and 2012
Common Themes• Be prepared to address customer’s sensitive issues• One size does not fit all• Set reasonable expectations• Prepay is showing promise for low income customers• Strategy needed for change management• Measure and communicate benefits to consumers• Opt-out provisions are important• Invest in staff training• Customers need actionable information• Grid modernization is an evolution
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Life After ARRA Smart Grid Program
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Life After ARRA Smart Grid Program
Build and maintain momentum • Make business case• Identify, allocate, and quantify benefits• Identify and quantify costs• Address technical issues• Address regulatory issues• Address customers concerns
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Contact InformationSteve Bossart(304) 285-4643
Federal Smart Grid Websitewww.smartgrid.gov
Smart Grid Clearinghousewww.sgiclearinghouse.org/
Smart Grid Implementation Strategywww.netl.doe.gov/smartgrid/index.html
Questions ?