LoCal Presentation on AutoGrid CEC Project… and some other stuff… May 2012 1 AutoGrid Background Founded in 2011 Stanford Spinout Located in Palo Alto 2 Autogrid Solution: Demand Response Optimization and Management System (DROMS) AutoGrid’s DROMS is an open standards based, highly scalable software platform to rapidly implement demand side management programs at 90% lower cost, and 30% higher “yield” compared to any other solution. 3 Project Summary • CEC Emerging Technology Demonstration Project – $1.2M grant + $600k cost share – LoCal ~$200k, focused on sMAP integration – Awarded April, expect Contract by June • Project will demonstrate Autogrid DROMS platform to implement 365x24x7 Fast Demand Response in 2 Industrial sites: – Sunnyvale SmartStation and Water Control Treatment Plant • Partners – UCB, LBNL, Demand Energy, Stanford • 2 year project starting this year running until EOY 2014 4 Water Storage Pond 5 The Problem (Grand Challenge Maybe?) 851,879 MW 2011 US Peak • ~200 IOUs • ~3,000 Public/Municipal Utilities • 4.8 Million Buildings • 130M Residential Meters DR predominantly here today < 40 GW (<5%) 1 Migrating Internet scale technology to the Grid takes us here Residential 37% Small C&I 15% Large C&I 24% Med C&I 24% New Model Targets This Potential2 1. 2. NERC 2011 Summer Reliability Assessment FERC Report, A National Assessment of DR 6 Supply Following Resources: Future: Virtual Power Plant 24x7x365 balancing Today: Demand Response Peak Shaving Only DR Shed estimates (GW) 1.4-1.5 1.3-1.4 1.2-1.3 1.1-1.2 1-1.1 0.9-1 Open Standards Big Data Cloud DR Shed es mates (GW) 1.5-1.6 1.6 1.5 1.4 1.3 1.2 1.1 1 0.9 0.8 0.7 0.6 0.5 0.4 0.3 0.2 0.1 0 0.8-0.9 0.7-0.8 0.6-0.7 0.5-0.6 0.4-0.5 0.3-0.4 1 4 Fall 7 10 13 Summer 16 19 22 Emerging Models 0.2-0.3 0.1-0.2 1.6 1.4 1.4-1.6 1.2 1.2-1.4 1 1-1.2 0.8 0.8-1 0.6 0.6-0.8 0.4 0.4-0.6 0.2-0.4 0.2 0-0.2 0 0 3 6 0-0.1 Spring Winter High Initial cost to adopt High Endpoint Cost - Proprietary Systems Suited for only a few large customers Used for <50 hours for “Peak Shaving” Response Time in Day/Hours, Unpredictable 24 Fall 9 12 her Pr o fi l 15 Summer 18 21 Spring 24 Winter No Cap Ex – Cloud-based Low End-point Cost – Open Standards Suited for all customers of all utilities Can be used 365/24/7, predictable Response Time in minutes/seconds “Virtual Power Plants” of “NegaWatts” that are 90% lower cost than existing approaches and 100% clean CAISO Feb 24, 2012 1 AM Wind Ramp, ~1GW/hr Load, not to scale freq Load minimum, DR needed to maintain freq 8 Production Value of DR in California • 2011 analysis: • 10% peak reduction • (2011 peak = 45,545 MW) • Production cost reduction • : ~$24.28 million • or $5.33/kW • or $425,965/hr • or $xx /kWh • Emission reduction: • ~211.10 million tons 9 DROMS: Big Data Analytics, Internet Scale Web users DR Participants Maximize CTRs Minimize Opt-outs Ad server: DROMS server: Big Data Analytics, Machine Learning, Personalization, Real-Time Optimization Big Data Analytics, Machine Learning, Personalization, Real-Time Optimization Ad network inventory, Cost, Constraints Resource Inventory, Cost, Constraints Highly Scalable technology applied to Demand Optimization 10 Site Data for CEC Project • Sunnyvale – Smart Station – Water Pollution Control Plant (WPCP) 11 Meter Year Data Thermal Maps SUNNYVALE 2820054520 301 CARL RD 7904R5 VVJ82-1 (kW) 12 All Meter CDF,LDC • • • 5% CDF point is of cumulative power Translates to % of total time/year = % of peak power Meter % t/yr %peak kW kW point M1 1.13 29.5 680 13 M1 14 Meter 1 Monthly LDCs 15 4 Meters Year Data Thermal Maps SUNNYVALE 6022590160 P94919 E3753-1 (kW) SUNNYVALE 1105922858 P28191 E0169-1 (kW) SUNNYVALE 0314283005 5036R0 (kW) SUNNYVALE 1105922145 P95143 E1335-1 (kW) 16 All Meter CDF,LDC • • • 5% CDF point is of cumulative power Translates to % of total time/year = % of peak power Meter % t/yr %peak kW kW point M1 0.75 9.7 362 M2 3.4 11.5 184 M3 0.27 18.2 922 M4 2.7 27.5 187 17 M1 400 300 200 100 0 5000 10 000 15 000 20 000 25 000 30 000 35 000 18 M2 19 M3 20 M4 21 Meter 1 Monthly LDCs 22 Meter 2 Monthly LDCs 23 Meter 3 Monthly LDCs 24 Meter 4 Monthly LDCs 25 DROMS – Open, Automated, Scalable Platform Cloud Based Architecture Open Standards 90% Lower IT cost Highly Scalable 80% Lower Endpoint Cost DROMS-RT Hardware Device Neutral Higher Customer Choice Higher Customer Adoption Advanced Analytics 30%-50% more “yield” 26 DROMS: Provides Unified view of all devices over all protocols, across all customer segments DROMS analyzes terabytes of data from millions of endpoints to perform real-time forecasting & optimization for Optimal Monetization of endpoints 27 Technology Overview: Analytics for Utilities & Participants 28 Trend: US Competitive Market More 68% of all C&I load is open to Competition across 18 jurisdictions 29 Trend: Competitive Markets Showing Benefits 30 Trend: Demand for Direct Access & DR “California 2012 Direct Access Markets Full in 47 Seconds” PG&E was oversubscribed in under 6 seconds, San Diego Gas & Electric's space was used up in 24 seconds SCE's load caps for 2012 and 2013 were exhausted in 47 and 45 seconds, respectively. “Nearly 29,000 enrollment requests for direct access were denied after the cap was reached” PJM already at >10% peak load met with DR “PJM's latest capacity auction saw a record amount of new generation, DR and energy efficiency procured for 2015/2016, the RTO announced Friday” 31 Price Responsive Demand…the Next Step 32 CAISO Current • Minimal demand response participation in the wholesale market • Retail and wholesale markets for DR not yet integrated In 2011, only 12 MW registered in the wholesale market, no bids dispatched 2011 capability ~5% of total peak load, >3% available in emergency only Source: 2011 Annual Report on Market Issues& Performance CAISO Department of Market Monitoring 33 Value of Demand Response Estimated Revenue by Service $550,000,000 $450,000,000 Economic Energy Incentives Economic Energy Emergency Energy Synchronized Reserve Capacity* $350,000,000 $250,000,000 $150,000,000 $50,000,000 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 as of 04/08/2012 -$50,000,000 *Capacity revenue prior RPM implementation on 6/1/07 estimated based on average daily ALM capacity credits and weighted average daily 34 PJM capacity market clearing price. www.pjm.com Offers of Demand Resources and Energy Efficiency as Capacity in PJM by Delivery Year 822 MW of EE cleared in the 2014/2015 BRA 35 DR Integrated into PJM Markets • Energy – Real time flow of electrons where demand=supply – $2,052,996 paid to DR in 2011 for Economic • Capacity – 3 year forward market to assure capacity adequacy – $487,104,180 paid to DR resources in 2011 • Synchronized Reserve – 10 min. reserves when largest unit trips off-line – $9,399,509 paid to DR resources in 2011 • Regulation – 5 min. reserves maintain frequency at 60 hertz – $124 paid to DR resources in 2011 36 Price Ticker Landing Page 37