Operating and Planning the US & China Grids for Reliability and Economic Efficiency to Enable Optimal Use of Smart Grid Presented at International Symposium on Smart Grid and Renewable Generation Impacts on the Power System Taiwan National University, Institute of Applied Mechanics Taipei by Robert Blohm卜若柏 Member North American Electric Reliability Corp. (NERC) Managing Director KEEN Resources Asia Ltd. http://www.blohm.cnc.net November 18, 2010年11月28日 1 OUTLINE 1. How the electric grid is planned and operated determines which Smart Grid investments will be made. Planning and operating models 2. Planning models. 3. Operating models 4. Challenges in grid configuration and management 5. Challenges for Mainland China 2 1. How the electric grid is planned and operated determines which Smart Grid investments will be made. Planning and operating models • are based on: – power-flow model. Model of electricity flow on the system in response to changes in system components. – models to forecast • economic/scheduled usage and • contingencies/emergencies. • are combined with 2 economic efficiency principles – choosing the least-cost (or market-chosen) alternative project – economic transfer from the causer of the cost to the bearer 3 of the cost 2. Planning models. Competitive market time horizon: less than 5 years. Two kinds often confused together. • Economic. Of scheduled power. – Based on an economic forecasting model and a targeted, controlled LOLP (loss-ofload probability) – Criticism: • biased toward excess supply • ignores price-rationing • attempts to target an unstated low price not clearly related to LOLP. 4 2. Planning models. Competitive market time horizon: less than 5 years. Two kinds often confused together. (cont.d) • Reliability. Transmission. Of unscheduled power. – Criticism: usually based on robustness to any contingency (a fault or loss of any element) without regard to probability of occurrence. • Probability must be based on historical data. The US still doesn’t have a complete database – NERC has a generation outage database, whose software was translated by China in the 1980s – DOE has a transmission outage database but no load loss database • Two events could be more probable than a single one 5 2. Planning models. Competitive market time horizon: less than 5 years. Two kinds often confused together. (cont.d) • Reliability. Transmission. Of unscheduled power. (cont.d) – Used to determine TRM (transmission reliability margin) to subtract from TTC (total transmission capacity) to get ATC (available transmission capacity) – TRM is designed to meet the NERC performance requirement of withstanding • a single uncontrolled contingency, and • a second controlled contingency to prevent an uncontrolled contingency – Reliability is strictly defined as avoidance of uncontrolled 6 outages 3. Operating models • Transmission. – Economic. Rationing of ATC (available transmission capacity) by redispatch when there is congestion. By • • out-of-“merit”-order dispatch of generation (SEE NEXT SLIDE), and possibly by allocation of FTRs (fixed transmission rights) in markets. – Reliability. Based in the US on the IDC (interchange distribution calculator) which is a DC model of the powerflow identifying source and sink and updated every hour (but updatable every minute). • • • Invocation of TLR (transmission loading relief) to reroute/redispatch power in the event of a contingency. (Under development) Allocation of unscheduled congestion by ACE Distribution Factors. Allocation of allowable ACE by IDC distribution factors determined by Kirchoff’s law. Generation. – Economic. By “merit” order of • • least cost (“system lambda”) in non-markets, or least LMP (“locational marginal price”) in markets 7 price Only physical/forward transmission rights can prevent generators from capturing congestion rents from transmission owners. Cannot be prevented by congestion contracts that value congested transmission as the difference in energy prices across the congested interface. Generators on the cheap side of the constraint collude to raise prices to capture congestion rents from transmission owner congested price to consumer on expensive side of constraint Congestion charge normally to transmission owners Supply curve energy price to generator on cheap side of constraint Demand curve congestion quantity 3. Operating models (cont.d) • Generation (cont.d) – Frequency control. Dispatch of power generation held as “reliability reserve” • Definition. Balancing of unscheduled supply (generation) and demand (load), measured by closeness to scheduled frequency (60 Hz in US, 50 Hz in China). – Upward deviation • High frequency means insufficient supply • Excessive high frequency means surge in power flow which spreads throughout the system (SEE NEXT SLIDE) – Downward deviation • Low frequency means insufficient load • Excessive low frequency means generator vibration and explosion 9 Time on August 14, 2003 15:15:38 15:15:16 15:14:56 15:14:26 15:14:03 15:13:40 15:13:18 15:12:53 15:12:32 15:12:06 15:11:42 15:11:22 15:10:58 15:10:38 15:10:12 15:09:52 15:09:30 15:09:06 15:08:46 15:08:20 15:08:00 15:07:36 15:07:16 15:06:54 15:06:30 15:06:08 15:05:42 Hertz Eastern Interconnection Blackout 60.3 60.25 60.2 60.15 60.1 60.05 60 Frequency 59.95 59.9 59.85 59.8 3. Operating models (cont.d) • Generation (cont.d) – Frequency control. Dispatch of power generation held as “reliability reserve” (cont.d) • Means. Deployment of “reliability reserve” power generation to manage unscheduled changes. – Instantaneous governor response (within seconds): socialized responsibility because all operating generators are equipped to “respond” to any frequency change in order to maintain frequency. • The most expensive reserve • The most difficult to measure and require – Regulation & AGC (automatic generation control) by more slowly deployable reserve (within ten minutes) that is deployed to free-up the governor response for response to the next frequency change. 11 The value of resources lies not just in the amount of energy but also in how readily the energy is available to counter sudden frequency error. Resources stacked by value Frequency Response Regulation Operating Reserves Load Following Following Energy Market Energy Capacity Response Time in order of quickness \\ Seconds A Few to Several Minutes 10 to 15 Minutes 30 Minutes Market Interval – One Hour Response Not Defined Adapted from Energy Mark, Inc. Rapidly Stopping a Frequency Drop All generators rapidly slow down when generation is suddenly lost while inertia, shared governor response, and load-response counter and arrest the slowdown within seconds. 40 60 Seconds 59.925 Hz (Shared) Rapid Response 1 60 59.925 AGC & Regulation (including by the party responsible for the power loss) 10 Minutes Hz AGC & Regulation Gradually Restore Frequency Some generators subsequently gradually provide additional excess power to replace the original power loss, while all shared governor response is gradually withdrawn in readiness for the next sudden power loss. Source: “Author’s analysis and Robert W. Cummings “Overview Frequency Response Initiative”, North American Electric Reliability Corp. (Princeton, NJ) 2010. http://www.spp.org/publications/NERC%20Frequency%20Response%20Initiative%20Overview.pdf Perverse Governor Response 40.8 60.2 40.6 60.1 60 40.4 40.2 59.9 Frequency 59.8 40 59.7 39.8 59.6 39.6 59.5 Poplar Hills MW Output 39.4 39.2 8:24:00 59.4 8:31:12 8:38:24 8:45:36 8:52:48 9:00:00 9:07:12 POPLAR H.A790S POPLAR HILL GEN .AV 9:14:24 9:21:36 Freq 9:28:48 59.3 9:36:00 3. Operating models (cont.d) • Generation (cont.d) – Frequency control. Dispatch of power generation held as “reliability reserve” (cont.d) • US Measure/standard: – Instantaneous response: • based on a self-measure of responsiveness • included as an obligation in the non-instantaneous response measure • Result: • --Cheaper, non-instantaneous response is being used to meet the • instantaneous response obligation • --frequency response deterioration in North America (SEE NEXT • SLIDES) • --2003 Northeast blackout because the instantaneous response • obligation was not strictly met 15 3. Operating models (cont.d) • Generation (cont.d) – Frequency control. Dispatch of power generation held as “reliability reserve” (cont.d) • US Measure/standard (cont.d): – Instantaneous response (cont.d): • Result (cont.d): • --Introduction of more wind & solar power is further deteriorating • frequency stability » Add to variability rather than add to system responsiveness » They displace fossil generation that could have provided response capability. » Add to slower acting variability that requires a large amount of slower-acting “regulation” reserve that must in turn be backed by a proportional amount of frequency-responsive reserve for when the regulation reserve runs out. » Newer wind turbines can be programmed to provide inertial response that only slows frequency deterioration, but not governor response which stops and begins reversal of frequency deterioration. » Wind’s capacity utilization factor of 5-30% would require a back-down reserve margin of 17-140% to provide a rapid-response reserve comparable to the 5-7% reserve margin of traditional fossil generators. • --A measure is currently being developed but will take at least 16 2 • years before implemented Deteriorating Eastern Interconnection Frequency Response 4,000 3,500 * 3,000 MW / 0.01 Hz 2,500 2,000 1,500 1,000 500 * 1999 Data Interpolated 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 Source: J. Ingleson E. “Tracking Eastern Interconnection Frequency Governing Characteristic”, IEEE Power & Energy Year Source: J. Ingleson&&July E. Allen, Allen, "Tracking thethe Eastern Interconnection Frequency Governing Characteristic" to be presented at 2010 IEEE PES Society, Minneapolis, 26, 2010. MW/0.1 Hz WECC Frequency Response 1600 1550 1500 1450 1400 1350 1300 1250 1200 1150 1100 1998 1999 2000 Year 2001 2002 20 NJ) Source: Robert W. Cummings “Overview Frequency Response Initiative”, North American Electric Reliability Corp. (Princeton, 2010, slide 13. Slide 30 of http://ewh.ieee.org/cmte/pes/etcc/B_Cummings_Latest_Developments_on_NERC_Standards.pdf Asleep at the Switch. Robbing Peter to Pay Paul. Deadbanding of Governors Worsens the Frequency Volatility/Risk on an Interconnection Deadbanding All the Governors on an Interconnection Fattens the Tails of the Probability Distribution of Frequency Error by at least a 1/2 Standard Deviation Worth of Extra Probability Mass Near Normal Distribution Flat-top Near Normal Distribution stretched by ½ SD of 0.0239 Within the Deadband, Frequency Error is Distributed Uniformly with No Central Tendency 0.0209 Count as a Share of 1 0.0179 0.0149 Deadbanding Transfers Central Probability Mass from the Old Distribution to Tail Mass of the New Distribution 0.0119 0.0089 Deadbanding Transfers Central Probability Mass from the Old Distribution to Tail Mass of the New Distribution 0.0059 0.0029 Frequency Error (Hz) 0.250 0.200 0.150 0.100 0.050 0.000 -0.050 -0.100 -0.150 -0.200 -0.250 -0.0001 Source: Author’s analysis and H.F. Illian & S.L. Niemeyer, “Integrating Variable Renewable Energy Resources into the Smart Grid”, Carnegie Mellon University Transmission Conference, Pittsburgh, March 10, 2009. http://www.ece.cmu.edu/~electricityconference/2009/2009%20CMU%20Smart%20Grids%20Conf%20Disk/P resentations/Day%201/Session%201/P11_H%20Illian_Integrating%20Renewable%20Resources.pdf Governor response is proportional at the deadband reaching 5% at 3 Hz deviation Frequency Grid Deviation Frequency Hz Hz -0.04000 -0.03900 -0.03800 -0.03700 -0.03600 -0.03500 -0.03400 -0.03300 -0.03200 -0.03100 -0.03000 -0.02900 -0.02800 -0.02700 -0.02600 -0.02500 -0.02400 -0.02300 -0.02200 -0.02100 -0.02000 -0.01900 -0.01800 -0.01700 -0.01600 59.96000 59.96100 59.96200 59.96300 59.96400 59.96500 59.96600 59.96700 59.96800 59.96900 59.97000 59.97100 59.97200 59.97300 59.97400 59.97500 59.97600 59.97700 59.97800 59.97900 59.98000 59.98100 59.98200 59.98300 59.98400 Frequency Response MW ERCOT Frequency Grid Deviation Frequency Hz Hz Droop % 4.69287 8.52357% 4.49175 8.68258% 4.29064 8.85650% 4.08952 9.04752% 3.88840 9.25830% 3.68728 9.49208% 3.48617 9.75283% 3.28505 10.04551% 3.08393 10.37636% 2.88281 10.75338% 2.68170 11.18694% 2.48058 11.69081% 2.27946 12.28359% 2.07835 12.99110% 1.87723 13.85020% 1.67611 14.91548% 1.47499 16.27125% 1.27388 18.05512% 1.07276 20.50786% 0.87164 24.09245% 0.67052 29.82737% 0.46941 40.47654% 0.26829 67.09147% 0.06717 100.00000% 0.00000 100.00000% 0.01666 Hz Dead-Band Governor response “Steps” to the 5% droop curve at the dead-band Step response at the dead band, absolutely do not want. Proportional implementation frominside the 36 mHz dead band, absolutely what we want. It is linear from thea 16 mHz dead band to +/-3 Hz (but droop is nonlinear: does this matter?). Yes, linear/”proportion al” by 2011.2 MW/0.1Hz. Dead-band -0.04000 -0.03900 -0.03800 -0.03700 -0.03600 -0.03500 -0.03400 -0.03300 -0.03200 -0.03100 -0.03000 -0.02900 -0.02800 -0.02700 -0.02600 -0.02500 -0.02400 -0.02300 -0.02200 -0.02100 -0.02000 -0.01900 -0.01800 -0.01700 -0.01600 59.96000 59.96100 59.96200 59.96300 59.96400 59.96500 59.96600 59.96700 59.96800 59.96900 59.97000 59.97100 59.97200 59.97300 59.97400 59.97500 59.97600 59.97700 59.97800 59.97900 59.98000 59.98100 59.98200 59.98300 59.98400 Frequency Response MW 8.00000 7.80000 7.60000 7.40000 7.20000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 Droop % 5.00000% 5.00000% 5.00000% 5.00000% 5.00000% Dead-band 100.00000% 100.00000% 100.00000% 100.00000% 100.00000% 100.00000% 100.00000% 100.00000% 100.00000% 100.00000% Do you call this 100.00000% response “continuous 100.00000% but non-linear change 100.00000% 100.00000% inside the dead band? 100.00000% No. It’s 100.00000% “discontinuous”. 100.00000% 100.00000% 100.00000% 100.00000% 0.036 Hz Dead-Band 600 MW Steam Turbine 5% Droop Setting ERCOT ±16 mHz deadband MW Response Responsiveness=Slope=-20 MW/0.1Hz Droop: linear (5%) Responsiveness=Slope=-20.112 MW/0.1Hz Droop: geometrically decreasing (to 5% at ±3Hz) MW Response ±36 mHz deadband 600 -2 DHz -1 DHz 1 DHz 2 DHz 0 -600 -3 DHz 0 DHz 3 DHz 3. Operating models (cont.d) • Generation (cont.d) – Frequency control. Dispatch of power generation held as “reliability reserve” (cont.d) • US Measure/standard: (cont.d) – Non-instantaneous response: CPS1 Control Performance Standard. (SEE EQUATION & GRAPH) • Measures: • --a statistical average over time • --a combination of (“covariance” between) system frequency • deviation and individual deviation. • ----When the system deviates very much, the individual member is • allowed to deviate very little • ----When the system deviates very little, the individual member is • allowed to deviate very much • The deviation limits can be statistically determined (SEE GRAPH) • --by the US standard of a once-in-ten-years probability of a major • blackout event. (Economies have experienced recessions at • approximately the same rate in the past century.) 24 • --by a database of scanned frequency and tie-line error NERC ' s _ CONTROL _ PERFORMANC E _ MEASURE _ FOR _ BALANCING _ AUTHORITY _ i 1 T i 10Bi DF t 10Bi 2 DF t 525,600 tyear 10B I 10B I Control _ Performanc e _ S tan dard _ for _ Interconne ction _ I : 1 525,600 iI tyear T i 10Bi DF t B DF t i 2 10B I iI B I T i 10DF t Bi Bi 1 iI iI DF iI 2 t 525,600 tyear 10B I BI 1 2 DF t 2 525,600 tyear : t arg et _ lim it _ on _ average _ frequency _ deviation DF t : 1 min ute average _ frequency _ deviation _ at _ min ute _ t T i : 1 min ute average _ Tie line _ Error _ of _ Balancing _ Authority _ i. Ti 0 iI Bi : MW / 0.1Hz _" bias " _ of _ Balancing _ Authority _ i' s _ generation _ fleet B I : MW / 0.1Hz _" bias " _ of _ Interconne ction _ I' s _ generation _ fleet . Bi BI I i i _ are _ synchronou sly _ int erconnecte d _ to _ each _ other iI ACE i : Area _ Control _ Error _ of _ Balancing _ Authority _ i ACE i T i 10Bi DF t 10Bi DF t : the _ shared _ obligation _ to _ provide _ ins tan tan eous _ governor __________ response _ to _ prevent _ ins tan tan eous _ frequency _ deviations _ from _ getting _ l25 arg er 525,600 : number _ of _ min utes _ in _ a _ year NERC’s Control Performance Standard p : Instantaneous Approximate CPS1 Probability On average over the past year: or p : Annual standard + MW, : in same direction as D F deviation of D F + RMS 2 "No inadvertent allowed Limit : + m 2 DF in the direction of m D F : Year's Mean of D F Frequency error when DF : 1-minute average of " DF Frequency error + Bi < 0: Control area i's bias - -50 50 10 Bi D F DF +(mHz) 10 B i D F : Control area i's maximum allowed 1-minute average tie-line error (plus response obligation) in direction of the frequency error: : Ti 10Bi DF DF One-year probability density limit on 1-minute averages of frequency error, adjusted for deviation of the mean from 0 Reducing the Standard Deviation Bandwidth to Reduce the Area/Probability under the Tails of the Distribution NormalDistribution4SD NormalDistribution 0.0239 0.0209 0.0179 0.0119 0.0089 0.0059 0.0029 FrequencyError(Hz) 0.250 0.200 0.150 0.100 0.050 0.000 -0.050 -0.100 -0.150 -0.200 -0.0001 -0.250 Probability 0.0149 3. Operating models (cont.d) • Generation (cont.d) – Frequency control. Dispatch of power generation held as “reliability reserve” (cont.d) • Deterioration in North American frequency response performance – Specifically • upward drift in frequency to near the control limits (SEE NEXT SLIDE) • persistent imbalance accumulations by system participants – Due to no “price” for unscheduled power • no cost or penalty assessment to the causers of imbalance (users of somebody else’s reliability reserve) • no reward to the remediators of imbalance (holders of reliability reserve). – Result • Cost is socialized in fixed transmission fees paid by consumers • Imbalance increases because it is free power to the entity who produces it or consumes it. 28 in The New York Times, August 20, 2003: 10 Hz of DF h Frequency Response Measure for BA i: DMWi/Df. DMWi is response provided by i. 31 Decomposition of Near-Normal Distribution of Frequency Error into Normal Distribution of Normal Errors, & Back-to-Back Chi-Square Distribution of Events. Back-to-Back Chi-Square Distributions NormalDistribution 0.0239 0.0209 0.0179 0.0119 0.0089 0.0059 0.0029 FrequencyError(Hz) 0.250 0.200 0.150 0.100 0.050 0.000 -0.050 -0.100 -0.150 -0.200 -0.0001 -0.250 Probability 0.0149 Distribution/Decomposition of Frequency Response Performance/Responsibility 33 4. Challenges in grid configuration and management • Radial versus networked. Active power versus reactive power – A radial grid consists of remote large generation such as coal, hydro, and nuclear – A networked grid is a mix of • remote generation to take advantage of trade, and • local, typically gas-fired generation to provide – “peaking” plants to serve infrequent peak load at low capital cost at a high enough electricity price to pay the capital cost (SEE NEXT SLIDE) – local reliability reserve to deploy to • meet local disturbances/contingencies without • --disturbing the systemwide powerflow by deploying remote reserve • generation, and thereby • --making a local disturbance rapidly spread to collapse a wide area • of the power system and • --adding a second possible contingency (loss of transmission) to a • single contingency (loss of generation accessed by that 34 • transmission) (SEE SLIDE) Electric systems based on marginal-cost pricing use low-capital-cost gas turbines to most efficiently meet peak load. High natural gas prices just lower the “capacity factor” which is how long the plant can operate before the coal plant becomes cheaper. High gas prices just rotate the GT line upward around the pivot point of intersection with the price axis 30 % Peak, shortduration load served by gas turbines 35 Load Local Balancing May Require Less Transmission Centralized Balancing May Require More Transmission G G L L RISO Rlocal G G Sudden local generator loss Rlocal Local Balancing Authority deploys local responsive reserve Sudden local generator loss Congested transmission L ISO deploys responsive reserve from big central source L RISO G Rlocal Local responsive reserve still available to the system RISO Sudden remote generator loss G G Without congesting transmission L Build transmission L L 4. Challenges in grid configuration and management (cont.d) • Radial versus networked. Active power versus reactive power (cont.d) – A networked grid is a mix of (cont.d) • local, typically gas-fired generation to provide (cont.d) – local reliability reserve to deploy to (cont.d) • provide a source of “reactive” power to prevent reduction of transmission capacity due to the import of “active” power. • --Reactive power supports voltage and is determined by the phase• shift between alternating voltage and alternating current. It • ----can travel only a short distance (150 km) • ----affects the electrical capacity of transmission lines, and • ----must be provided locally by capacitors, synchronous condensers, • generation or extra unused transmission capacity. • --Active power is scheduled energy. • ----Too much long-distance power flowing from the Midwest to the • Northeast on a grid network not designed for long-distance • power flow was a factor in the US Northeast Blackout of 2003 • ----This fact was expressly omitted in the final DOE blackout report 37 • on the basis that long-term power transactions are economics, • not reliability. 4. Challenges in grid configuration and management (cont.d) • Integrating the natural-gas pipeline network with the electricity grid – A robust open-access natural-gas pipeline grid • stabilizes an electricity grid by providing the natural gas to fire local gas-fired power plants • dramatically reduces coal-mining accidents by enabling the sale and distribution of all coal-bed methane gas before coal mines are dug. – The presence or not of local gas-fired electric power affects the configuration of the electric grid providing remote power – A gas pipeline grid and the electric transmission grid are complements to each other, not competitors of each other 38 4. Challenges in grid configuration and management (cont.d) • Interconnection or isolation – US transmission interconnections between integrated utilities, and eventually control areas • were originally entirely reliability reserve (begun in the late 1920s), then • became used for economic transactions (after WWII). When the concepts of economics and reliability were separated, an unused portion of capacity was assigned for reliability/contingencies – Advantages & disadvantages of interconnection • Interconnected power systems – benefit from the • economics of long-distance power trade, and • the reliability benefit of frequency support among the interconnected regions, but – suffer from vulnerability that a local disturbance can spread to become a collapse of an entire wide-area system 39 4. Challenges in grid configuration and management (cont.d) • Interconnection or isolation (cont.d) – Advantages & disadvantages of interconnection (cont.d) • Non interconnected systems – are completely robust to disturbances from neighbors – do not benefit from gains from trade between systems • The world financial and economic system is experiencing this – China’s banking system was • largely immune from the financial crisis because not integrated into the global financial system, but • did not benefit from the previous advantages of financial integration – China’s economy is • affected by the economic recession because integrated into the world trade system, and • threatened by protectionism by other countries to substitute their increased national production/jobs for imports/jobs from China. • DC ties provide – the economic advantages of interconnection, but 40 – not the reliability advantages or disadvantages of interconnection 4. Challenges in grid configuration and management (cont.d) • Congestion management – Transmission congestion is efficiently managed only on an economic basis through market-based • long-term transmission contracts/rights and • spot locational marginal pricing of purchased power – Transmission congestion pricing provides an objective economic basis for eliminating or not the congestion bottleneck by building more transmission or building more generation on the expensive side of the constraint – For an efficient power grid, price-based congestion management applies to railroad transportation, a key means of transporting coal to power plants. 41 4. Challenges in grid configuration and management (cont.d) • Centralized versus decentralized control – Transmission congestion management is best centralized into a single control-room/area because actions have a systemwide effect on powerflow and locational prices – Frequency control is best decentralized because the control error by a single central control center is greater than the combined errors of multiple control-centers which cancel each other out • This was evident when the ERCOT (Electric Reliability Council of Texas) centralized frequency control into a single control center and frequency performance deteriorated • There is an unfortunate trend in the US to centralize frequency control into ever larger ISOs (Independent System Operators) which operate centralized spot markets for pricing congestion. The 2003 Northeast Blackout originated in the hastily-organized, largest and newest of those, the Midwest ISO. 42 4. Challenges in grid configuration and management (cont.d) • Adequate reserve generation – “Economic” reserve can be handled by a robust market whose participants use their own market-based planning models – Reliability reserve is driven by a system “requirement” enforceable by a penalty since reliability is a “public good” like clean air. The requirement can be • a direct reserve requirement not directly relatable to – operating performance, and – causation of cost • or a(n operating) performance requirement – whereby the entity decides the level of reserves/risk to bear in order to perform within the targeted performance requirement, and – can be directly related to cost causation. 43 4. Challenges in grid configuration and management (cont.d) • Market pricing to address the environment – Market pricing of energy • curtails energy consumption when prices are high because demand is too great • increases energy consumption when prices are low because the economy is depressed • is called Demand Response, or Demand-Side Management – Global Warming and renewables have displaced other environmental concerns, such as with hydro and nuclear – The reliability cost of the frequency instability caused by wind and solar • is not being included in their economic cost • needs to be measured and allocated directly to the specific wind and solar generators and paid to the providers of frequency support • instantaneous systemwide governor response cannot be selfprovided economically by a wind or solar renewable generator.44 4. Challenges in grid configuration and management (cont.d) • Market pricing to address the environment (cont.d) – Global warming and renewables are likely to be ignored if a sustained global recession takes hold. A likely at least 5 % drop in global GDP for at least a year meets the global warming reduction goal of 1 % GDP reduction for the next 5 years! 45 4. Challenges in grid configuration and management (cont.d) • Smart Grid does not by itself solve the hardest grid configuration & management challenges. Smart Grid – provides uiseful tools like • FACTs devices to route power to avoid congestion • Frequency responsive hot-water heaters that nevertheless cannot provide instantaneous frequency response • Batteries to drain and discharge variation excesses and deficits caused by wind power. – does help solve the challenge of limited US grid expansion – does not address cost causation and allocation for these devices, nor least cost. – should not be used to subsidize and socialize the costs of devices and to override attempts to market price and allocate those costs. For example, • instead of congestion cost being borne by the parties causing it, and • without comparing the cost of the FACTS device with the cost of other remedies, such as increasing transmission capacity or adding 46 generation. 5. Challenges for China • Greater efficiency is needed in the resources sector of the economy, including electric power (SEE NEXT SLIDE) • Greater transparency is needed in the models used to plan and operate the grid, to – enable providers to propose hardware and software solutions and not just respond to requests from central grid management – enable market participants to better forecast, plan and manage risk 47 48 http://ihome.ust.hk/~socholz/China-productivity-measures-web-22July06.pdf 5. Challenges for China (cont.d) • End below-cost and below-market price regulation – Below world-commodity-market-cost based pricing, such as for electricity, coal and oil-products, prompts excess Chinese consumption that • pushes world prices higher and only hurts China because China has now become a net coal importer, not just oil importer (SEE NEXT SLIDES) • creates unnecessary environmental problems. – Consequently, China imposes administrative demand reduction measures to compensate for the adverse environmental effect of too-low prices, when the simplest solution is • eliminate the below-market, below-cost pricing • subsidize poor people directly by giving them cash not related to electricity usage. They will consume less electricity and use the cash for something else. – Begin demand-side pricing/bidding in the electric power49 market, now that world energy prices were lower for a while. China's Coal Imports and Exports, 2002-2007 Source: National Bureau of Statistics http://www.researchinchina.com/report/UploadFiles_8547/200708/20070802151002331.gif 50 Source: International Energy Agency World Energy Outlook 2007 51 Coal Production Peak production in 2025 According to the Energy Watch analysis, world coal production will peak in around 2025. In that case output would undershoot official forecasts from the International Energy Agency’s World Energy Outlook (WEO) by a substantial margin. Source: (1) Energy Watch Group, of scientists led by the German renewable energy consultancy Ludwig Bölkow Systemtechnik (LBST) , & (2) Energy Data Associates, Dorset, UK 52 http://www.energybulletin.net/39236.html 5. Challenges for China (cont.d) • Build an interconnected national natural gas pipeline grid, China’s only missing piece of world-class infrastructure (A good economic stimulus infrastructure project. Planning of the electric transmission system and the gas pipeline system should take each other into account and not fight each other. SEE NEXT SLIDES) – to provide the local power generation needed to stabilize the radial grid from outage, especially if the grid is elevated to 1000 kV transmission, by bringing • Western gas to the East and • Eastern gasified LNG to inward areas – to provide an energy delivery system that is immune to winter icing – to provide environmentally friendly gas power – to increase the amount of peaking generation on the system • to improve the system economics of too much base-load generation (coal, nuclear and hydro) SEE SLIDES • to reduce the use of peak-load shedding corresponding to too 53 big a share of base-loaded generation in the fleet Thermal Base 3000MW 2500MW 1800MW 7200MW 10000MW Hydro Power Base 9000MW 2000MW 3000MW AC DC Regional Grids Interconnection in 2005 54 Thermal Base 3000MW 2500MW 1800MW 7200MW 10000MW Hydro Power Base 9000MW 2000MW 3000MW Possible International connection AC DC Regional Grids Interconnection in 2010 55 Thermal Base 3000MW 2500MW 1800MW 7200MW 10000MW Hydro Power Base 9000MW 2000MW 3000MW Possible International connection AC DC Regional Grids Interconnection in 2015-2020 56 Existing and planned, North & South China, but excluding CNOOC’s proposed Coastal Grid 0 300 公里 Km 57 Existing and planned, North & South China, plus CNOOC’s proposed Coastal Grid SOURCE http://www.iea.org/textbase/work/2005/LNGGasMarkets/session_5/1_Yugao_Xu.pdf 58 Source: http://www.ieej.or.jp/aperc/final/ne.pdf 59 China’s natural-gas fired power generation capacity expected at least to exceed nuclear and new energies, and use 30-40 % of natural gas supply capacity of 100 BCF in 2010 and 200 BCF in 2020 gas-fired Source: Investment in China’s Demanding and Deregulating Power Market, 60 Capgemini Consulting 2005. SOURCE: http://www.ieej.or.jp/aperc/pdf/GRID_COMBINED_DRAFT.pdf 61 62 SOURCE: http://www.ieej.or.jp/aperc/pdf/CHINA_COMBINED_DRAFT.pdf 63 SOURCE: http://www.ieej.or.jp/aperc/pdf/CHINA_COMBINED_DRAFT.pdf 5. Challenges for China (cont.d) • Build an interconnected national natural gas pipeline grid, China’s only missing piece of world-class infrastructure (A good economic stimulus infrastructure project. Planning of the electric transmission system and the gas pipeline system should take each other into account and not fight each other.) cont.d – to eliminate coal-mining fatalities by enabling all the coal-bed methane gas to be removed from from mines for sale and distribution to consumers. (SEE NEXT SLIDE) – to protect areas like Guizhou from winter blackouts like 2007’s by enabling it to extract and distribute coal-bedmethane gas that • enables mining abundant local coal to fuel abundant local coal-fired power plants and end remote coal delivery interruptible by winter icing conditions • fuels sufficient local gas-fired reserve power generation deployed if the transmission system collapses from icing, or during winter 64 peaking or during low rainfall/reservoir periods (SEE SLIDES) http://www.worldcoal.org/assets_cm/files/PDF/coalmining.pdf 65 http://www.mapsofworld.com/business/industries/coal-energy/china_coal_deposits.jpg 66 http://www.american.com/graphics/2007/may-june-2007/coal-in-china/China%20Map.JPG 67 68 http://www.platts.com/Coal/Resources/News%20Features/ctl/images/chinamap.gif 5. Challenges for China (cont.d) • Build an interconnected national natural gas pipeline grid, China’s only missing piece of world-class infrastructure (A good economic stimulus infrastructure project. Planning of the electric transmission system and the gas pipeline system should take each other into account and not fight each other) cont.d – The current NPC will vote the new energy law that will make the gas pipeline grid like the electric transmission grid by • opening access to gas pipelines to any producer or consumer under a single regulated tariff, • by separating the pipeline operation function from the production and sales function • Develop congestion pricing, including for railways to enable contract and supply certainty during times of congestion, such as coal delivery during winter. The 2007 winter blackout occurred partly because remote coal delivery to coal-fired power plants was interrupted 69 by congestion. Appendix 70 North American Synchro Phasor Initiative • Funded by DOE & NERC • At first stage: providing better measurement of – – – – frequency transients excessive angular separation between PMUs voltage drop oscillations: often precursors seen minutes or hours before a major disturbance – MW flows – size & location of large generation trips – & other signs of grid stress • by a Phasor Measurement Unit (PMU): high speed – 30 samples per second – versus 1 sample per 4 seconds 71 • North American Synchro Phasor Initiative (cont.d) In order to – provide • wide-area monitoring. Now (see slides) achieved in the – Eastern Interconnection by Real Time Dynamic Monitoring System from central data maintained by Tennessee Valley Authority – Western Interconnection by Wide Area Monitoring System (WAMS) • forensic analysis of grid disturbances – to trigger • corrective action ahead of time (see slides), not just • post mortem analysis • Data – is time-stamped to a common time reference for the entire interconnection, but – Format must be converted to conform across the interconnection • Problem: PMUs are not “plug N play” – Not all the same output – No cookbooks: much engineering & IT time to set up 72 http://www.naspi.org 73 Why Phasors? • Wide-Area and Sub-SCADA Visibility • Time Synchronization Allows us to see Dynamics not Visible in SCADA Environment • Analysis of Major Events Typically Show Angular or Dynamic Warning Signs Minutes to Hours Beforehand Relative Phase Angle August 14 Angular Separation 0 -10 -20 -30 -40 -50 -60 -70 -80 -90 -100 -110 -120 -130 -140 -150 -160 -170 Normal Angle ~ -25º 15:05:00 15:32:00 15:44:00 15:51:00 16:05:00 16:06:01 16:09:05 16:10:38 Time (EDT) Reference: Browns Ferry Source: www.nerc.com 74 Cleveland West MI 30min plot: 9/18/2007 MRO Event Source: Virginia Tech FNet Data 75 Fill the Gaps 76 Current Dashboard CA Independent System Operator (CAISO) Real Time Dynamics Monitoring System (RTDMS) 77 Small Signal Monitoring Observable Mode Clusters Spectral Monitoring of Select Signal Poorly Damped Mode Mode Frequency (Hz) Alarm Threshold <3% damping Damping Ratio (%) 78 Download this presentation: • In English at http://www.blohm.cnc.net/SmartGrid.ppt • In Chinese at http://www.blohm.cnc.net/SmartGridHanyu.ppt Note: .ppt file name is case sensitive 79