U.S. Smart Grid Development and Global Smart Grid Coordination Presentation to the Board on

Global Science and Technology

Eric Lightner

Director, Smart Grid Task Force June 21, 2012

Better, Smarter Electricity Grid-- A National Energy Policy Priority

2

A modernized electric system is

part of President Obama’s

Blueprint for a Secure Energy Future.

“We'll fund a better, smarter electricity

grid and train workers to build it –

a grid that will help us ship wind and

solar power from one end of this country

to another.”

President Barack Obama

“America cannot build a 21st century economy with a 20th century electricity

system. By working with states, industry leaders, and the private sector, we

can build a clean, smart, national electricity system that will create jobs,

reduce energy use, and expand renewable energy production.”

Energy Secretary Steven Chu

Source: White House: http://www.whitehouse.gov/sites/default/files/microsites/ostp/nstc-smart-grid-june2011.pdf

Smart Grid Focus

3

Institutional issues/solutions must be considered in conjunction with these technology needs

Smart Grid Domain

Generation End User Transmission Distribution

System understanding and control: visualization, communications, computation

System flexibility for stability: storage, demand response, accommodating increased variability

Interface with end users: deployment of AMI,

microgrids, etc.

Integration of renewables: improved

operation, planning, etc.

Improved efficiencies in buildings and

industry

Cleaner generation

technologies

Accessing high quality sources of renewable energy and

addressing line congestion

Accommodating increased use of EV, PV, DG, and

consumer participation

System security: physical security, cyber security, mitigating increased vulnerabilities

Seamless connection: two-way power flows and

increased data streams

DOE Smart Grid Implementation Plan

4

Smart Grid Characteristics

Enables Informed

Participation by Customers

Accommodates All

Generation & Storage Options

Enables New

Products, Services, & Markets

Provides Power

Quality for the Range of Needs

Optimizes Asset

Utilization & Operating Efficiency

Operates Resiliently

to Disturbances, Attacks, & Natural

Disasters

Smart Grid Challenges

Advancing

Functionality with New Technologies

Building a Strong

Business Case for Smart Grid

Investment

Enabling

Interoperability through Standards

Conformance

Expanding

Consumer Participation in

Energy Management

Enhancing

Cybersecurity

Sustaining a Skilled

Workforce

Key Activities

Smart Grid

Demonstrations and Deployment

Research and

Development Standards

Interconnection

Planning and Analysis

Workforce

Training

Stakeholder

Engagement and Outreach

Monitoring

National Progress

Vision

A smart grid that uses digital technology to improve reliability, security, and efficiency (both economic and energy) of the electric system from large generation, through the delivery systems to electricity consumers

and a growing number of distributed-generation and storage resources

Smart Grid Investment Grant (SGIG)

5

Customer Systems Customer Systems Customer Systems Customer Systems

Deploying technologies for immediate commercial use supporting manufacturing, purchasing, and installation of smart grid technologies

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

Equipment Manufacturing

• Energy devices

• Software

• Appliances

99 projects, $3.4B Federal + $4.6B Private Investments

6

SGIG Spending

EPRI Estimate

Brattle Group Estimate

$7.9 billion with cost share to be spent through 2015

$338 - $476 billion needed through 2030

$880 billion needed through

2030

Chupka, M.W. Earle, R., Fox-Penner, P., Hledik, R. Transforming America’s power industry: The investment challenge 2010 – 2030. Edison Electric Institute, Washington D.C.,: 2008.

EPRI. Estimating the costs and benefits of the smart grid: A preliminary estimate of the investment requirements and the resultant benefits of a fully functioning smart grid. EPRI, Palo Alto, CA; 2011.

Maximize Public Investment

DOE Analytical Approach E

xam

ple

Improves feeder 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 it do that?

What “goodness” results?

Monetary Value

What is the goodness

worth?

What are Smart Grid technologies?

Assets

$6000

7

ARRA Status

The DOE Metrics and Benefits work is transitioning into the reporting and analysis of impact metrics. Build metric reporting and analysis will continue.

8

Metrics and Benefits Plan

Build Metric Reporting and Analysis

We are here

Impact Metric Reporting and Analysis

Application of Advanced Metering Infrastructure

Investments in AMI are being made by 75% of the SGIG projects

9

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 Improvement

60 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

Pricing Pilot at Oklahoma Gas & Electric

10

Potentially Avoid Future Generation:

• Study results show a 1.3 kW reduction per customer is possible

• Hoping for 20% participation by Dec 2014

• Targets: Enroll ~ 40K customers in 2012 with 72MW peak reduction; 150K customers by Dec 2014 with 210 MW peak reduction (offsets a natural-gas fired peaking plant)

Customers with PCT reduced

electricity usage by 20%

Customers with IHD reduced

electricity usage by 17%

Price Level Residential VPP-CP Price

Number of days in summer 2011 at each price level

Low and off-peak

4.5¢ per kWh 63

Standard 11.3¢ per kWh 25

High 23.0¢ per kWh 28

Critical 46.0¢ per kWh 6

Critical Event 46.0¢ per kWh 7 (included in the above)

OGE deployed TOU-CP and VPP-CP programs in Summer 2011, VPP-CP is highlighted here.

Consumer Behavior Studies

11

Sierra

Pacific

Nevada

Power OG&E MMLD CVPS VEC

MN

Power* CEIC SMUD DECo

Lake

land Total

Rate Treatments

TOU l l l l 3

CPP l l l l l l l l 8

CPR l l 2

VPP l l 2

Non-Rate Treatments

Education l l l 3

Cust. Service l 1

IHD l l l l l l l l l 9

PCT l l l l l 5

DLC l 1

Features

Bill Protection l l l l l 4

Experimental Design

Opt In l l l l l l l l l l 9

Opt Out l l l l 3

Within l 1

Number of Participants

9,509 6,853 3,196 500 3,735 6,440 4,025 5,000 97,480 5,400 3,000 145,138l 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

Operational Efficiency Improvements at Talquin Electric Cooperative

12

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 & Figures

Total 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

Distribution Automation

DA investments are being made by over 50% of the SGIG projects

13

Distribution Reliability

48 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 Control

47 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

14

Reliability Improvements

A large IOU installed 230 automated feeder switches on 75 circuits in an urban area. From Apr 1 – Sep 30 2011:

SAIDI improved 24%; average outage duration decreased from 72.3 minutes to 54.6 minutes (or by 17.7 minutes).

Customer Type

Interruption Cost Summer Weekday

Interruption Duration

Momentary 30 mins 1 hr 4 hr 8 hr

Large C&I Cost Per Average kWh $173 $38 $25 $18 $14

Small C&I Cost Per Average kWh $2,401 $556 $373 $307 $2,173

Residential Cost Per Average kWh $21.6 $4.4 $2.6 $1.3 $0.9

Estimated Avg. Customer Interruption Costs US 2008$ by Customer Type and Duration

*Sullivan J, Michael, 2009 Estimated Value of Service Reliability for Electric Utility Customers in the US, xxi VOS Estimate for SAIDI Improvement on 75 feeders from Apr 1 to Sep 30 2011

Customer Class

Δ SAIDI Customers Served

within a Class Average Load (kW)

Not Served VOS Coefficient

($/kWh) Δ VOS

Residential

17.7 mins (0.295 hrs)

107,390 2 $ 2.60 $ 164,736

Commercial 8,261 20 $ 373.00 $ 18,179,477

Industrial 2,360 200 $ 25.00 $ 3,481,325

Total 118,011 $ 21,825,537

VOS Improvement Δ = Δ SAIDI x Customers Served x Avg Load x VOS Coefficient

Sullivan J, Michael, 2009 Estimated Value of Service Reliability for Electric Utility Customers in the US, xxi

Research & Development Program

15

Program Areas Goals

Clean Energy Transmission and Reliability

Transmission Reliability and

Renewables Integration

Advanced Modeling Grid Research

Develop advanced monitoring, control, and

computational applications to reliably operate

the US transmission system.

Smart Grid

Smart Grid R&D

Power Electronics

Develop advanced digital technology for applications at

the distribution level to achieve self-healing from grid

disturbances and full customer participation and choice

in load management.

Energy Storage

Develop new and advanced energy storage technologies

that will enhance the stability and reliability of the future

electric grid.

Cybersecurity for Energy Delivery Systems Develop resilient energy delivery systems that can survive a

cyber incident while sustaining critical functions.

Smart grid analyses field projects

technologies

control strategies

cost/benefits

Time scale: sec. to yrs

Open source

Contributions from government

industry

academia

Vendors can add or

extract own modules

GridLAB-D: A Unique Tool for Designing and Studying Smart Grids

Power Systems Loads Markets Unifies models of the key elements of a smart grid:

16

GridLAB-D is a DOE-funded, open–source, time-series simulation of all aspects of operating a smart grid from the substation level down to loads in unprecedented detail

Simultaneously Unbalanced, 3-phase power flow (radial or network), w/explicit control strategies solves: End use load physics, voltage-dependency, behavior & control in 1000s of buildings Double-auction retail supply/demand markets

National Conservation Voltage Reduction Study

Region Feeder kV # of feeders % within a region

Region 1

R1-12.47-1 12.5 2,200 20.56%

R1-12.47-2 12.47 2,500 23.36%

R1-12.47-3 12.47 2,000 18.69%

R1-12.47-4 12.47 1,800 16.82%

R1-25.00-1 24.9 1,200 11.21%

GC-12.47-1 12.47 1,000 9.35%

Region 2

R2-12.47-1 12.47 3,500 18.72%

R2-12.47-2 12.47 3,200 17.11%

R2-12.47-3 12.47 3,000 16.04%

R2-25.00-1 24.9 3,500 18.72%

R2-35.00-1 34.5 4,000 21.39%

GC-12.47-1 12.47 1,500 8.02%

Region 3

R3-12.47-1 12.47 1,500 30.00%

R3-12.47-2 12.47 1,500 30.00%

R3-12.47-3 12.47 1,000 20.00%

GC-12.47-1 12.47 1,000 20.00%

Region 4

R4-12.47-1 13.8 14,000 33.14%

R4-12.47-2 12.5 15,000 35.50%

R4-25.00-1 24.9 12,500 29.59%

GC-12.47-1 12.47 750 1.78%

Region 5

R5-12.47-1 13.8 400 8.79%

R5-12.47-2 12.47 600 13.19%

R5-12.47-3 13.8 650 14.29%

R5-12.47-4 12.47 500 10.99%

R5-12.47-5 12.47 450 9.89%

R5-25.00-1 22.9 450 9.89%

R5-35.00-1 34.5 500 10.99%

GC-12.47-1 12.47 1,000 21.98%

Key Results:

1. Peak load reductions between 0.5% and 3%

2. Benefits vary widely depending on feeder, etc.

3. 100% deployment saves ~3% national energy

4. 40% deployment saves ~2.4% national energy

Total Cumulative Benefits of CVR Deployment in the USA

% of Feeder Upgraded

% o

f B

enef

it A

chie

ved

GridLAB-D 25 feeders x 1 minute over 1 year x 2 cases

Ref: Evaluation of Conservation Voltage Reduction on a National Level Schneider, K.P., Fuller, J.C., Tuffner, F., Singh, R. Pacific Northwest National Laboratory report for the US Department of Energy, 2010

17

Standards – Key Aspect of US Policy

18

DOE provided $12 million in Recovery Act funds to NIST to support carrying out its responsibility, stipulated under the US 2007 Energy Independence and Security Act, “to coordinate development of a framework that includes protocols and model standards for information management to achieve interoperability of smart grid devices and systems…”

Congress directed that the framework be “flexible, uniform, and technology neutral”

Use of these standards is a criterion for federal Smart Grid Investment Grants

Input to federal and state regulators

Standardized architectural concepts, data models, and

protocols are essential to achieve interoperability, reliability, security, and evolvability

Smart Grid Interoperability Standards

19

NIST Smart Grid Interoperability Standards Program

• Added 22 standards, specifications, and guidelines to the 75 previously recommended as immediately applicable

• Expanded cyber security and product testing guidance

• Expanded discussion of Smart Grid architecture

• New framework for testing conformity – the Interoperability Process Reference Manual

Published Interoperability Framework and

Roadmap, Release 2, in

Feb 2012

• Public-private partnership created in Nov. 2009 to coordinate standards developed by Standards Development Organizations (SDOs) including IEC, ISO, ITU, IEEE, …

• >700 member organizations (>1,800 individuals)

• Open, public process with international participation

Launched the Smart Grid

Interoperability Panel (SGIP)

Interconnection Transmission Planning

20

DOE is helping to strengthen long-term analysis and planning in the three interconnections serving the lower 48 United States with technical support from the DOE’s National Laboratories and leading universities ($20 million).

Under the Recovery Act DOE awarded $60 million to five organizations that will perform this work in the Western, Eastern, and Texas Interconnections.

As a result of these planning efforts, each of the awardees is producing long-term resource and transmission planning studies in 2011/2012, with updated documents in 2013.

Electricity Reliability

Council of Texas

Interconnection

Western

Interconnection

Eastern Interconnection

Interconnection Transmission Planning

Interconnection Organization Recovery

Act Funding

Eastern Interconnection

PJM Interconnection, LLC $16,000,000

The National Association of Regulatory Utility Commissioners (NARUC)

$14,000,000

Western Interconnection

Western Electricity Coordinating Council $14,500,000

Western Governors’ Association $12,000,000

Texas Interconnection

Electric Reliability Council of Texas (ERCOT) $2,500,000

Electric Reliability Council of Texas (ERCOT) for work with Texas government agencies

$1,000,000

Workforce Development Training Projects

21

51 recipients implementing 52 Workforce Training projects with a total budget of $185 million. Federal share is equal to $100 million; private share is equal to $85 million.

Projects are leveraging funding from community colleges, universities, utilities, and manufacturers to develop and implement training programs.

Programs estimate training approximately 30,000 American workers to help modernize the nation’s electrical grid and implement smart grid technologies in communities across the country.

Source: www.smartgrid.gov

Stakeholder Engagement and Outreach

22

Key to effective and efficient build of a smart grid nationwide, with engagement activities from planning, through partnerships in all stages of a technology development process, and through dissemination of results, lessons learned, and best practices

Government Agencies

Smart Grid Task

Force to coordinate

with federal agencies

Technical assistance

to state agencies

International Smart

Grid Action Network

to coordinate smart

grid development

internationally

Consumer Advocates

Green-button data

and information tools

to empower

consumers

Smart grid privacy

workshop to facilitate

a dialog on consumer

electricity data

access and privacy

Technology Development

Partners

Partnerships with

national labs,

industry, and

universities from

planning through

implementation of

RD3 activities

Electricity Industry

Sharing RD3 results

with and among

utilities, regulators,

and consumer

advocates

Peer-to-peer

workshop to share

lessons learned

Green Button Data and Information Tools

23

Allow consumers to download a standardized data file by clicking on an online “Green Button” for viewing their energy use information and for transmitting to third parties for value-added services

DOE FOA awards to demonstrate and adopt information tools to allow consumers to better manage energy use

Value-added Services Standard EUI File Format

DOE Green Button Apps for Energy Contest to get the most out of Green Button data

20 utilities committed to provide Green Button data access to 31 million customers (as of May 2012)

Insight: entrepreneur-created web portals analyze energy usage and provide actionable tips; Heating and Cooling: customized heating and cooling activities for savings and comfort; Education: community and student energy efficiency competitions; Retrofits: improved decision-support tools to facilitate energy efficiency retrofits; Verification: measurement of energy efficiency investments; Real Estate: provide energy costs for tenants and/or new home purchasers; and Solar: optimize the size and cost-effectiveness of rooftop solar panels.

Empower Consumers and Spur Innovation

What is Green Button data?

FOA Supports NSTC recommendation & Implementation of Green Button Initiative

Requires standardized data format be made available to residential customers and designated third parties

Specifies North American Energy Standards Board (NAESB) Priority Action Plan (PAP) for Energy Usage Information (EUI) and Energy Service Provider Interface (ESPI ) standards

Phase I

Demonstrate third-party consumer-oriented information tool that creates a value-added service for a minimum of 1,000 residential consumers

7 awards were selected at the end of May for a total federal funding of $3.2 million

Press Release: http://energy.gov/oe/articles/doe-announces-nearly-32-million-help-consumers-better-manage-their-energy-consumption

Phase II

Adopt the data access tool demonstrated in Phase I across an entire service territory, region, or community

1 aware, up to $2,000,000 (plus 50% cost share), 9-month POP

DOE Smart Grid Data Access FOA (DE-FOA-0000579)

DOE held the Apps for Energy Competition to help increase customer awareness of value of the data and to educate developers on the electricity sector

Offered over $100,000 in prizes to software developers who built the best applications that helped utility customers make the most out of Green Button data

The competition was launched in April; five winners were announced at Connectivity Week on May 22

The five winners were:

Press Release: http://energy.gov/articles/first-round-apps-energy-winners-announced-today

Best Overall App Grand Prize “Leafully” submitted by Seattle-based team, Timothy Edgar & Nathan Jhaveri

Best Overall App Second Prize “Melon” submitted by DC-based startup Melon

Best Overall App Third Prize “Velobill” submitted by cleantech/software service company Zerofootprint

Best Student App Grand Prize “Wotz” submitted by students at University of California, Irvine

Best Student App Second Prize “Budget It Yourself” submitted by students at Case Western Reserve University and Cleveland Institute of Art

Apps for Energy Competition

Regional Peer-to-Peer Workshop

27

“...there was a consistent theme of community involvement as essential to the success of smart grid deployments,” blog by Assistant Secretary Pat Hoffman on her

attendance of the Southeast Workshop

Workshops on consumer engagement and

technical implementation of smart grid related

technologies:

› Co-hosted with an ARRA recipient to focus

› on regional issues

› Typically a two day event (First Day for Utilities only)

› Provide a forum to share lessons learned with non-ARRA utilities

› Foster productive communication among stakeholder groups (consumers, utilities, and the various governing bodies)

› Help keep DOE informed of any ongoing challenges

Regional Smart Grid Peer-to-Peer Meetings

Northeast Meeting Location: Burlington, VT Date: July 19 & 20, 2011 Host: VELCO

Southern Meeting Location: Dallas, TX Date: April 29 Host: Oncor

Southeast Meeting Location: Charlotte, NC Date: October 26, 27, 2011 Host: Duke Energy/Progress Energy

Mid-Atlantic Meeting Potential Location: Philadelphia, PA Timeframe: July 11 &12, 2012 Possible Host: PECO

Great Lakes Meeting Location: TBD Timeframe: TBD Host: TBD

Midwest Meeting Location: TBD Timeframe: Fall 2012 Possible Host: KCP&L

Northwest Meeting Location: Portland, OR Timeframe: May 9 & 10, 2012 Host: Portland General Electric

Southwest Meeting Location: Las Vegas, NV Timeframe: March 21 & 22, 2012 Host: NV Energy *Focus exclusively on Consumer Engagement

Smart Grid Task Force: Federal Coordination

29

To ensure awareness, coordination, and integration of the diverse smart grid activities in the Federal Government

Strategic Planning for International Activities

Task force member collaboration website Industry outreach

Smart Grid Data Access FOA

FOA requirements defined through multi-agency process Task force members serving on the review committee

Inventory of the International Smart Grid Activities of Each U.S. Agency

Development of an inventory framework Population of the inventory with agency data and information

Federal Government as a Driver for Smart Grid

Assessment of impacts of federal policies on employing smart grid

2011/12 Work Plan

Member Organizations DOE (OE / EERE / NETL) FERC DHS

DOC (NIST, ITA, NOAA, NTIA) EPA DoD

USDA FCC USTDA

FTC OSTP

Monitoring National Progress

30

Smart Grid Metrics and Status, 2010 Smart Grid System Report (A Biennial Report to Congress)

2009 SGSR 2011 SGSR

# Metric Title (type: build or value) Penetration /

Maturity Trend

Penetration /

Maturity Trend

Area, Regional, and National Coordination Regime

1 Dynamic Pricing (build): fraction of customers and total load

served by RTP, CPP, and TOU tariffs. low moderate low moderate

2 Real-time System Operations Data Sharing (build): total SCADA

points shared and fraction of phasor measurement points

shared.

moderate moderate moderate high

3 Distributed-Resource Interconnection Policy (build): percentage

of utilities with standard distributed-resource interconnection

policies and commonality of such policies across utilities

moderate moderate moderate high

4 Policy/Regulatory Progress (build): weighted-average

percentage of smart grid investment recovered through rates

(respondents’ input weighted based on total customer share).

low moderate low moderate

Distributed-Energy-Resource Technology

5 Load Participation Based on Grid Conditions (build): Fraction of

load served by interruptible tariffs, direct load control, and

consumer load control with incentives.

low low low low

6 Load Served by Microgrids (build): the percentage of total

summer grid capacity. nascent low nascent low

7 Grid-Connected Distributed Generation (renewable and non-

renewable) and Storage (build): percentage of distributed

generation and storage.

low high low high

8 EVs and PHEVs (build): percentage shares of on-road light-duty

vehicles comprising EVs and PHEVs. nascent low nascent low

9 Grid-Responsive Non-Generating Demand-Side Equipment

(build): total load served by smart, grid-responsive equipment. nascent low nascent low

2010 SGSR

Monitoring National Progress (continued)

31

Smart Grid Metrics and Status, 2010 Smart Grid System Report (Continued)

2009 SGSR 2011 SGSR

# Metric Title (type: build or value)

Penetration /

Maturity Trend

Penetration /

Maturity Trend

Delivery (T&D) Infrastructure

10 T&D System Reliability (value): SAIDI, SAIFI, MAIFI. mature declining mature declining

11 T&D Automation (build): percentage of substations having automation. moderate high moderate high

12 Advanced Meters (build): percentage of total demand served by

advanced metering (AMI) customers. low high low high

13 Advanced System Measurement (build): percentage of substations

possessing advanced measurement technology. low moderate moderate high

14 Capacity Factors (value): yearly average and peak-generation

capacity factor. mature flat mature flat

15 Generation and T&D Efficiencies (value): percentage of energy

consumed to generate electricity that is not lost. mature improving mature improving

16 Dynamic Line Ratings (build): percentage miles of transmission circuits

being operated under dynamic line ratings. nascent low nascent low

17 Power Quality (value): percentage of customer complaints related to

power quality issues, excluding outages. mature declining mature declining

Information Networks, Finance, and Renewable Energy

18 Cyber Security (build): percent of total generation capacity under

companies in compliance with the NERC Critical Infrastructure

Protection standards.

nascent nascent low low

19 Open Architecture / Standards (build): Interoperability Maturity Level –

the weighted average maturity level of interoperability realized between

electricity system stakeholders.

nascent nascent nascent low

20 Venture Capital (value): total annual venture-capital funding of smart

grid startups located in the U.S. and R&D Funding (value): total annual

smart grid R&D funding in the U.S.

nascent high nascent high

21 Grid-Connected Renewable Resources (build): percent of renewable

electricity, both in terms of generation and capacity. None None low moderate

2010 SGSR

ISGAN: What and Why

32

32 February 24, 2012

ISGAN…

• Fulfills a key recommendation in the Smart Grids Technology Action Plan

(released by Major Economies Forum Global Partnership, 2009)

• Was launched as one of 11 initiatives under the Clean Energy Ministerial (in 2010)

• Is organized as an IEA Implementing Agreement (in 2011)

• 21 signatory member nations (as of June 2012)

• Six annexes established, with the U.S. leading on Annex 1

• Builds on the momentum of and knowledge created by the substantial smart grid

investments being made globally

• Will leverage cooperation with the Global Smart Grid Federation and others

A mechanism for bringing high-level government attention and action to accelerate

the development and deployment of smarter electricity grids around the world.

33

12 CEM Initiatives

International Smart Grid

Action Network

Super-Efficient Equipment and

Appliance Deployment

Initiative

Electric Vehicles Initiative

Bioenergy Working Group

Carbon Capture Use and Storage

Action Group

Clean Energy Education and Empowerment

Women’s Initiative

Clean Energy Solutions Centers

Global Superior Energy

Performance Partnership

Multilateral Solar and Wind Working Group

Solar and LED Energy Access

Program

Sustainable Development of

Hydropower Initiative

21st Century Power

Partnership (new in 2012)

ISGAN’s Formal Structure

ISGAN is formally organized as the IEA Implementing Agreement for a Co-operative Programme on Smart Grids (ISGAN)

ISGAN is managed by its Executive Committee (ExCo)

o Consists of representatives from all Participants

o Meets semi-annually. Next meeting: France, September 2012

ISGAN is supported by a Secretariat at the Korea Smart Grid Institute

o Email address: isgan@smartgrid.or.kr

The ISGAN community includes representatives of governments, transmission and distribution system operators, national laboratories and research institutions, power generators, and more.

Projects are largely task-shared through Participants’ in-kind contributions. However, ISGAN has a common fund for certain joint expenses at its Secretariat.

25 May 2012

34

ISGAN Website: http://iea-isgan.org

35

ISGAN Work Portfolio

Annex 5: Smart Grid

International Research Facility Network (SIRFN)

Annex 6: Power T&D

Systems

Foundational Projects New

Projects*

Annex 4:

Synthesis of

Insights for

Decision

Makers**

Annex 2:

Smart Grid Case

Studies

Annex 3:

Benefit-Cost

Analyses and

Toolkits

Annex 1:

Global Smart

Grid Inventory

**Knowledge sharing by design *Approved March 2012

2 Smart Grid Projects tracked and reported on by each member country

Up to 10 projects with data/information housed in a sharable project inventory in each country

All Smart Grid

Projects in a Country 1st filter using the

individual country’s

prioritized assessment

framework

Annex 1 in Brief

Up to 10

Smart Grid

Projects

2nd filter using the clusters

of driver/technology pairs

of high priority to many

ISGAN countries

36

37

Web-based Assessment Tool

Web-based survey tool for

prioritization by each

country of:

Top 1-6 motivating drivers

Top 1-5 smart grid

technologies contributing to

each top-ranked driver

Up to 5 surveys allowed to

reflect geographic diversity

Using survey results to identify driver-technology pairs that are top-ranked by countries for cooperation in qualitative and quantitative assessments

Used for Completing Prioritized Assessment Framework

38

Illustrative Survey Results (to be updated with new data)

Scores for each driver are calculated as follows:

Each 1st through 6th place ranking is scored on a scale of 1 to 6 points,

with 1st place receiving the highest points.

1st = 6 pts 2nd = 5 pts 3rd = 4 pts 4th = 3 pts 5th = 2 pts 6th = 1 pt

The overall score for each driver is the sum of all ranking points received

from all respondents.

55

46

35 31

25 18 15 14 14 13

0

10

20

30

40

50

60

Top 10 Ranked Drivers

24 21

15 14 13 13 12 11 11 9

0

5

10

15

20

25

30

Top 10 Ranked System Efficiency Improvements Technologies

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Scores for each technology are calculated as follows:

Each 1st through 5th place ranking is scored on a scale of 1 to 5 points,

with 1st place receiving the highest points.

1st = 5 pts 2nd = 4 pts 3rd = 3 pts 4th = 2 pts 5th = 1 pt

The overall score for each technology

is the sum of all ranking points received from all respondents.

Illustrative Survey Results (to be updated with new data)

40

Linkage Among Annexes 1-3

Annex 2:

Smart Grid Case

Studies

Annex 3:

Benefit-Cost

Analyses and

Toolkits

Annex 1:

Global Smart Grid

Inventory

Common projects for assessment/analysis

• Identify national drivers and tech preferences

• Select projects with strong opportunities for int’l comparison

• Qualitative assessment of selected projects (narrative)

• Quantitative assessment of selected projects

Common contextual information, metrics, and KPIs

ISGAN Schedule

Week of 26 March 2012 Mexico City, Mexico

March 26-27 – Joint IEA/ISGAN Workshop:

“Smart Grids in Distribution Networks:

How2Guide drafting workshop” March 28-30 – ISGAN 3rd

Executive Committee meeting

25-26 April 2012 London, UK

Third Clean Energy Ministerial

21 May 2012 Bregenz, Austria

ISGAN Workshop on PV integration in

distribution systems (with IEA PVPS; part of

Austria Smart Grids Week 2012)

18-19 June 2012 Milan, Italy

ISGAN Annex 6 workshop on interactions between

T&D systems

Week of 24 Sept 2012 Nice, France

ISGAN ExCo meeting, workshop(s), and technical

visits

3 December 2012 Berlin, Germany

ISGAN Workshop on SIRFN (as part of 5th Int’l

Conference on Integration of

Renewables and Distributed Energy

Resources)

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Contact Information

Eric M. Lightner Director, Smart Grid Task Force Office of Electricity Delivery and Energy Reliability U.S. Department of Energy (202) 586-8130 eric.lightner@hq.doe.gov For more Smart Grid information:

OE: www.oe.energy.gov

Smart Grid: www.smartgrid.gov

Smart Grid Task Force: www.smartgrid.gov/federal_initiatives/federal_smart_grid_task_force

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