USING DEMAND RESPONSE TO REDUCE DEMAND AND TOU ENERGY COSTS

Jim Belcher Demand Response Engineer UTA Conference October 24, 2012

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640Kb ought to be enough for anybody. Bill Gates, 1981 There is no reason anyone would want a computer in their home. Ken Olson , President, Chairman and founder of Digital Equipment Corp., 1977 I invented it, Bill made it famous.David Bradley (wrote the code for Ctrl-Alt-Delete on the IBM PC) I have traveled the length and breadth of this country and talked with the best people, and I can assure you that data processing is a fad that won't last out the year. Prentice Hall, editor in charge of business books, 1957

TVA Municipal 14,500 customers

• 305 miles distribution

• 46 customers/mile

• 72% Load Factor

• 70% sales industrial/commercial

Peaks: 167 MW Summer / 165 MW Winter Regional Water System (11 MGD)

• 12,281 Retail Customers

• UD Resale

Telecommunications – Triple Play • First Customer Connected in May 2006

• FTTH Network (5450 Customers)

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Service area

contiguous with

cooperatives

33.6 MW

15.4 MW 17.3 MW

15.3 MW

21.6 MW

Of 163.3 MW Total

Power - Industry makes up 70% of the

load!

10.6 MW

19.7 MW

3.9 MW

25.9 MW

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MUS MUS TVA Peak is not coincidental in

summer

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Modified TOU Wholesale Billing Structure 1) Demand Charges (Seasonal) [~20% of monthly bill]

• Highest 60 min average (top of hour) per month after removal of TDMSA, TDGSA, MSB/C/D customers.

2) TOU Energy Charge [~60% of monthly bill] • For Winter & Summer periods, ON/OFF peak energy is billed

after the removal of the rate schedules mentioned above during the same ON or OFF times.

• For Transitional periods, all is OFF peak billing. Above schedules subtracted.

So reducing the demand during the peak times will yield credit for both demand and energy.

1) TVA Called Demand Reduction per Smart Grid Pilot

• 24 hour notice with direct feedback to TVA required

• 100 hours per year maximum, 2 hours minimum per event

Voltage Reduction (6005 kW)

DLC devices included in this event (2000 kW)

Water load reduction included in this event (740 kW)

2) Demand Peak Control Monthly by MUS • Daily monitoring/control of monthly peak (kW)

• Control only at substations (no VR down line)

• Notification systems in place (Text, Email, SCADA, etc)

• Does not include DLC or Water (at this time)

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Month Date

MUS Billed

Peak

Total System

Peak

Max Temp

at Peak in

Fahrenheit

Demand

Reduction

by VR

Total Days

in VR

Total Hours

in VR

Peak Billed

Demand

(MW) from

TVA Power

Bill

Est. Demand

Reduction

off Billed

Peak

Apr 2011 Tuesday, April 26, 2011 101.11 126.144 81.6 5.02 7 26.5 101.110 4.02 $34,146

May 2011 Tuesday, May 31, 2011 120.01 145.272 93.9 5.78 8 35.5 120.009 4.78 $35,797

Jun 2011 Thursday, June 09, 2011 123.51 149.612 95.5 5.95 7 123.510 4.91 $40,540

July 2011 Wednesday, July 20, 2011 124.86 145.730 93.1 5.80 11 42.3 124.863 4.97 $36,547

Aug 2011 Monday, August 08, 2011 125.26 153.063 93.1 6.09 5 19.0 125.258 4.98 $43,839

Sep 2011 Thursday, September 01, 2011 120.56 147.792 93.6 5.88 1 2.5 120.564 4.80 $44,414

Oct 2011 Tuesday, October 18, 2011 95.87 120.836 79.8 4.81 6 27.5 95.873 3.82 $29,228

Nov 2011 Friday, November 18, 2011 102.57 129.480 25.0 5.27 5 17.5 102.566 3.72 $30,521

Dec 2011 Thursday, December 01, 2011 107.66 133.480 24.0 5.48 4 13.8 107.664 4.1 $34,146

Jan 2012 Wednesday, January 04, 2012 121.83 149.279 12.6 6.50 2 11.9 121.832 5.45 $46,363

Feb 2012 Did not Curtail (TVA Data) 117.80 146.420 17.6 117.800 5.13 $0

Mar 2012 Tuesday, March 06, 2012 101.04 135.740 23.0 5.49 2 4.6 100.496 3.80 $27,672

Apr 2012 Monday, April 30, 2012 101.57 131.162 85.0 6.22 4 14.8 101.568 4.35 $36,678

May 2012 Tuesday, May 29, 2012 112.55 141.670 76.0 6.50 5 17.0 112.546 5.04 $42,484

June 2012 Friday, June 29, 2012 120.11 147.740 101.5 6.08 13 50.0 120.109 5.03 $40,843

July 2012 Thursday, July 26, 2012 124.56 152.910 96.0 6.08 10 35.9 124.560 5.44 $47,213

Aug 2012 Wednesday, August 08, 2012 118.01 144.100 94.0 5.67 6 16.9 118.006 4.79 $43,961

Sep 2012 Wednesday, September 05, 2012 113.83 140.370 93.0 5.91 3 12.0 113.833 4.83 $44,466

Averages 5.80 5.8 21.7 Total Savings to date= $658,859

MW Days Hours Per month= $38,756

SCADA Data (MW) during VR Net Wholesale

Savings (Demand

for one day minus

energy for all VR

days)

Savings since 4/2011

$658,859! Skipping 1 month

~($45,970) Bucket Truck every 3

months

13 days in June, setting new peak nearly every day. Peaked next to last day Loss of energy sales lowers the overall savings

Date

System

Peak

Time of

Peak (EST)

L BCD

Peak

minus BCD

Max Temp

at Peak in

Fahrenheit

Peak Billed

Demand

(MW) from

TVA Power

Demand Red

off TVA Peak

Demand Start Time End Time Event Hours

Demand

Reduction

Savings

kWh Sales Loss

(total kWh

assuming 75%

coincidence

kWh Lost

Sales

Revenue

Net Wholesale

Savings (Demand

for one day minus

energy for all VR

June 2012 50.02

Monday, June 04, 2012 127.080 14:59 101.150 81.0 100.499 4.63 10:20 AM 4:52 PM 6.53 22,683 $984.06

Friday, June 08, 2012 129.310 15:59 96.460 84.3 96.276 4.22 1:00 PM 3:30 PM 2.50 7,906 $343.00

Monday, June 11, 2012 127.790 14:59 97.360 81.3 97.860 4.10 10:48 AM 4:52 PM 6.07 18,643 $808.79

Tuesday, June 12, 2012 136.050 14:59 109.420 85.2 109.129 4.57 2:20 PM 4:20 PM 2.00 6,854 $297.34

Wednesday, June 13, 2012 137.070 14:59 108.180 85.8 108.001 4.52 1:55 PM 4:00 PM 2.08 7,066 $306.53

Thursday, June 14, 2012 138.650 14:59 109.670 90.2 109.291 4.58 1:16 PM 5:30 PM 4.23 14,529 $630.30

Friday, June 15, 2012 135.660 14:59 105.880 87.5 105.540 4.42 12:50 PM 4:30 PM 3.67 12,152 $527.19

Monday, June 18, 2012 139.920 16:59 110.200 91.0 110.313 4.62 1:53 PM 4:55 PM 3.03 10,508 $455.86

Tuesday, June 19, 2012 139.910 14:59 111.760 91.2 111.550 4.67 12:44 PM 4:54 PM 4.17 14,595 $633.20

Wednesday, June 20, 2012 146.870 14:59 117.780 96.0 118.060 4.94 1:14 PM 5:00 PM 3.77 13,964 $605.82

Thursday, June 21, 2012 144.420 14:59 117.700 93.0 117.212 4.91 1:14 PM 5:02 PM 3.80 13,987 $606.79

Monday, June 25, 2012 146.580 14:59 120.240 90.0 120.027 5.03 1:00 PM 5:00 PM 4.00 15,076 $654.06

Friday, June 29, 2012 147.740 14:59 120.040 101.5 120.109 5.03 12:50 PM 5:00 PM 4.17 $48,378 15,715 $681.78 $40,843

Event WindowSCADA Data (MW) during VR

Top 20 hours of June 2012

DRIVING FORCE: TVA returned Distributors to Demand Charge & TOU Energy

How to control peak

hour 20 hrs within 4.7 MW 5 different days Peaked on Friday, June

29, 2-3 pm EST, at 104 °F

END USER METERING

AMI

SCADA DNP

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SUB

RTU

LTC Controls

MUS performs Demand Reduction through Dynamic Voltage Regulation (DVR) while ensuring that we adhere to the “A” range standard of ANSI C84.1-1995.

CLOSED LOOP

FEEDBACK

Sag alarms in Seconds!

Can Use Any Meter on System!

Feedback Immediate!

Fiber network ensures fast

response!

Needed System Improvements Identified! Not

Just EOL!

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R&D development of DNP product w/ Tantalus

AMI – Tantalus TUNet V2.59 • Voltage Regulation Application (DCVR-via DNP3)

• GE kV2c / ITRON C1SX Meters, Badger Water Meters

• Water Heater SW (LM-1421), Thermostat (ST-1480) Fiber-to-the-home (FTTH) network SCADA – Efacec ACS Prism V10.1

• Dell Servers (Primary, Backup, Oracle, Portal, ICCP)

• Various Networking (Servers, Switches, Firewalls, VLAN, etc.) Substation Control Hardware (DNP3 Protocol)

• ACS Remote Terminal Units (Connex 30)

• ACS Virtual RTU (ACS 7510)

• ACS PCI + ACS 7000 Radio (900 MHz)

• Beckwith LTC Controls (M-2270B)

• Schweitzer Relay Controls (SEL 351, SEL 351S)

• ABB Relay Controls (DPU 2000R)

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FTTH network: Fiber passes each home

FTTH Customers: 43% take telecom services

VPLS network- Cyber secure: 500 IPC collectors

IPC collectors: Targeted <30 meters/collecter via

900 MHz wireless mesh then backhauled over high

speed Ethernet network

Push system: Meters report up every 15 min

Abnormal events: report in sec/min

Special application: Tantalus TUNet server posts

meter info (V) to SCADA real time (DNP3)

SCADA: Linked to TVA through ICCP

Fiber-to-the-Home Optical Network

Keypoint: FTTH Network is not required but has given MUS the ability to process the meter data quickly

• Electric Infrastructure: $15M • Debt retirement: $800K/yr over 20 • Custodian of base network

• Telecom Infrastructure: $5M • 1GB GPON network • Managed VPLS services for electric AMI

STB,

Wiring

STB,

Wiring

DLC switch

Smart Thermo

IP Collector

Smart Meter

Voltages & LV Alarms

Customer Independent (DVR) • Peak Reduction by Voltage Control

• Dispatchable load

Customer Engaged (DLC) • Smart Thermostats

• Water heater Controls

• *Appliances

• DR Programs (5MR, 60MR, Enernoc)

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1) CONSTANT POWER (P) LOADS • Induction motors (manufacturing machines, etc)

• Certain lighting (fluorescent)

• Electronics

P=IV: If we fix P, then ΔI is the inverse of ΔV. -2% ΔV means +2% ΔI = 0 effect!

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Therefore Voltage Reduction has no reducing effect on power, and can

sometimes increase it!

2) CONSTANT IMPEDANCE (Z) LOADS • Incandescent Lighting

• Resistive loads (water heaters, home heat)

• Household appliances (toaster, oven, hair dryer, ..)

Z=V/I: If we fix Z, then ΔI = ΔV. So, using the P=IV formula, decreasing V by 2% yields: P=(.98I)(.98V)=(.96) IV

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Therefore a 2% voltage reduction gives a 4% power reduction!

114V

126V Typical MUS Feeder

Drop 3-5 Volts to EOL Flatter drop = more DR

Cap

Cap

Reg

LTC lowers voltage

X

MUS uses LTC at substation & cap banks, no regulators

114 V

110 V

ANSI c84.1 Voltage Standard

TVA Contract

Requires adherence to

Range A

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Allows for short excursions down to

110V, Range B

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Historical information & temperature Voltage reduction between 2-6% Instigate voltage reduction in steps Script files in SCADA issue commands and

alarms and/or exit VR AMI interface for selected meter

alarms/voltages provide performance verification

Operators can poll for individual voltages Monitor customer calls & LV alarms

"Do, or do not. There is no 'try'." - Yoda ('The Empire Strikes Back')

If 5 min avg demand >

Target : ALARM

Real time Power

VR Activate Target

Prev. Hour Demand

Substation Status

Time to Peak < 30 Min: ALARM

TVA Called Event Status

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Prev Hour Demand

Monthly High Demand

Key point: Flexible SCADA system to

enable calculations

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(time)

(MW

)

Slope = (MW/min)

1) Take 2 points (30 minutes of data) and calculate rate of climb (if non-negative). Resultant is in units of MW/minute (R(ate)).

2) Subtracting the last demand reading from the monthly peak will yield the amount of power before peak is reached. (P2pk =Pm-P2)

3) Dividing P2pk/R results in time (t2pk ) to reach the peak given the rate remains the same.

t2pk==(Pm-P2)/(P2-P1)/30

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As the current demand approaches the target, notifications go out to responsible individuals to take control of the substation voltage and perform DVR.

Email Text Msg

Upon activation of DVR, notifications are sent to inform us that DVR is in progress.

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Voltage Level from RTU

Manually Activate Tap

Changer

Sag Alarm Status (instant)

VR Feedback from RTU

Key Items: 1) EOL Volt

Feedback 2) SAG Alarming 3) LTC on subs 4) Password

Protected

Voltage Status (5 min)

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Prev Hour Billing Demand

Rolling 60 min Demand

5-Min Demand Load

Temp Previous

High

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4.8 MW Reduction

Because our load is comprised of over 70% industry and commercial, we can see big swings in our load

in a short period of time.

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Peak Demand Avoided

Voltage reduction period

First TVA Event Called Sept 6, 2012

Held VR till 5pm EST past own peak for TVA demand response

While in DVR, Tantalus TUNet with DCVR program sends voltages and alarms for the meters of our choice.

Information Updated every 5 min –allows time for LTC to change

Sag is instantaneous.

Key Points: • Use any meter • Using 3 meters per

phase per breaker

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Virtual RTU DNP3

DLC – Direct Load Control • Water Treatment Plant Load • Smart Thermostats • Water Heater Switch

Must be able to cycle the devices as to not create a peak upon leaving DLC control

Intelligent controls a necessity (communication is 2 way)

Customer must have a monetary benefit to allow control (TOU rates)

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Programmed Cycle

Committed kW: 1500 Operational Tests Ongoing

• Difficulty Programming

• Operates on Command

• Feedback Not Robust

Evaluating Viability of Device Plan 1000 Units for Installation 11 Switches Installed Target 3Q 2013 Completion

Committed kW: 500 Communication Tests Ongoing

• Legacy 1.0 Devices - Tantalus

Expanding Testing of Devices • MUS employees

• Local Apartment Owner

Plan 1000 Units for Installation 5 Switches Installed Target 3Q 2013 Completion

Once outside the Peak window and there is no reason to believe that the load will change drastically.

Step the transformer voltage back to standard voltage in

a controlled manner as to not “shock” the system and raise the demand.

Raised Voltage by 1 LTC step

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As slope increases, the time to reach monthly high decreases

DVR Activated

DVR Cut Loose

Avoided setting a new peak!

(est 127.5 MW)

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For low voltage alarms: • determine the feeder,

• amount of voltage drop from the substation

• and compare to other locations on same feeder.

Make plan to improve low voltage locations. The goal is to have the ability to take the feeder as close

to 114V as possible to yield the best results.

"I can go only as far as my weakest feeder, so [DCVR] allows me to identify the weaker feeders and provides valuable information to tell you where you need to improve your

system.” Jody Wigington in Renew Grid, 4/18/2012

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8 of 9 substations in voltage reduction Only 15 of 11,000 installed meters under 114V 10 of the 15 on one street off same feeder

Review the reports for the event to determine if next step is required

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Sometimes End-of-feeder voltages are not the bellwether indicators

These meters displayed sag alarms before the end-of-feeder

meters due to undersized conductors

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EOL Meters

Substation Feeder

As we perform DR, continuously review the events for problems

Correct any SAG issues quickly Finalize the Voltage Control Program Installation of VAR control where it makes

sense • Controlled automatically by level and production

days of industry • To flatten the curve to allow control close to 114V

EOL

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DR has been around for long time. It does not require a sophisticated system. If you do not have a DR program, maybe

now is the time to develop one!

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Since April 2011, MUS has saved an

estimated $658,859 with the DR

program.

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“The improvement of

understanding is for two ends: first,

our own increase of knowledge;

secondly, to enable us to deliver

that knowledge to others”

- John Locke, 17th century philsopher

Questions?

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“Politicians and diapers

need to be changed

regularly, ….usually for

the same reason.”

For the Season at Hand

Thank You

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