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1 ALSTOM © 2011 1 ALSTOM © 2011 Grid Impacts of Variable Generation at High Penetration Levels Dr. Lawrence Jones Vice President Regulatory Affairs, Policy & Industry Relations Alstom Grid, North America ESMAP Training Program The World Bank Group Washington, DC October 22, 2012
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Page 1: Esmap ifc re_training_alstom_jones

1 ALSTOM © 2011 1 ALSTOM © 2011

Grid Impacts of Variable Generation at

High Penetration Levels

Dr. Lawrence JonesVice President

Regulatory Affairs, Policy & Industry RelationsAlstom Grid, North America

ESMAP Training ProgramThe World Bank Group

Washington, DCOctober 22, 2012

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Outline

Four Coupled Dimensions of Integrating Variable Generation Slide 12

Highlights from Global Study of Variable Generation Integration Slide 16

Conclusions Slide 43

Introduction to Grid Integration Issues Slide 3

Strategies, Solutions and Decision Support Systems Slide 25

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Introduction to Grid Integration Issues

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Power System Operation

Supply Demand

Maintaining the Balance between Supply and Demand

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Key Grid Operation Issues

Stability

Balancing

Adequacy

Variability

Uncertainty

Net Load

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Two Common Characteristics of all Power Systems: Variability and Uncertainty

Supply

Demand

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Balancing Challenge - Simultaneous Variation of Generation and Load, Subject to Uncertainty

• Load varies by seconds, minutes, hours, by day, weather etc

• Variable generation vary based on fuel availability

• Dispatchable generation may not be available

Variability

• System operational decision is made by using the best available forecasts (load, generation, etc)

• Forecast error is common – there is no perfect forecast

• Dispatchable resources may deviate from scheduled set points

Uncertainty

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Power System Operations – Time Frames Matter

Source: Ref. 1

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Variability in Demand and Net Load

Source: WWIS, NREL, 2010

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Interaction of Variable Generation with Power Grid Operations - Time Scales Matter

Graphic Illustration – Courtesy of Russ Philbrick . See Ref. 2

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Impacts of Variable Generation on Grid Operations

• Procuring the flexible resources necessary to cope with increased system variability

• Managing congestion

• Forecasting to cope with ramp events.

• Efficient electricity markets

• Determining adequate operating reserves and transmission capacity

• Unit commitment and economic dispatch that takes into account the transmission network

• Managing new operational constraints, e.g., inertia, fault currents, unusual power flow limit

• Controlling system voltages

• Maintaining dynamic performance – Transient and Small signal stability (voltage, frequency and rotor angle)

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Four Coupled Dimensions of Integrating Variable Generation

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Four Dimensions of Integration

Physics Operation

Economics Information

Variable Generation Integration

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Physical, Operational, and Informational

• Physical• How wind and solar plants are connected to

the T&D grids

• Operational• Considers the system conditions and

performance goals, and also operational requirements and guidelines for the physical grid and electricity markets

• Informational• How information is managed and used by

assets and human operators

Physical

Informational

Operational

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What is the cost of balancing power systems with high penetration of variable generation?

Operational

Physical

Informational

Perform operational impact studies accounting for various costs factors

Cost

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Highlights from Global Study of Variable Generation Integration

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Global Survey on Variable Generation Integration

• DoE‟s goals for this ground-breaking global research project were to establish a central source for information on:• Wind integration trends• Global best practices• Examples of excellence• Lessons learned• Recommendations for

tomorrow

Available at: http://energy.gov/articles/new-report-integrating-variable-wind-energy-grid.

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Three Complimentary Research Methods

Questionnaire for Grid Operators

6 In-Depth Control Center Visits

Survey of Existing Literature

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Unprecedented Gathering of Global Data

Power Grids

represented in this

survey account for

72% of worldwide wind capacity

• 33 grid operators • 18 countries• Combined wind generation of 141 GW

Source: Ref. 2

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Wind Generation Capacity Distribution by Country & Region

*AKNZSA: Australia, Korea, New Zealand, South Africa

MW

Source: Ref. 2

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Wind Generation Capacity Penetration Level

• Large operators do not necessarily have the most experience with wind

• Smaller operators with higher penetration have valuable insights

Source: Ref. 2

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Five Elements for Successful Variable Generation Integration

1. Accurate Forecasting

2. Decision Support

3. Policy/Regulation

4. Flexibility

5. Workforce

Source: Ref. 2

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Forecasting is Vital to Successful Integration

The need for short-term forecast (5-10 minutes) will be increasingly

important as wind penetration increases

Key Forecasting Tools (Cited by at Least 40% of Respondents)

Next-Hour ForecastRamp ForecastingEnsemble Forecast

Weather Situational AwarenessRamp Risk ForecastShort-Term Forecast

Source: Ref. 2

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Decision Support Systems Are Essential

Forecast and uncertainty information must be incorporated into

real-time decision support systems and planning tools

Key Decision Support Tools (Cited by at Least 50% of Respondents)

Voltage Stability AnalysisOptimal Power Flow with Wind Forecast

Transients Stability AnalysisOptimization-Based Transmission Planning

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Strategies, Solutions and Decision Support Systems

•The role of system flexibility • Advanced transmission and distribution systems applications• Market design and mechanisms• Demand response

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System Flexibility

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Power System Flexibility

Power system flexibility expresses the extent to which a power system can increase/decrease electricity production or consumption in response to variability, expected or otherwise.

± MW / time

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Flexibility Needs and Resources

Existing and new flexibility needs can be met by a range of resources in the electricity system – facilitated by power system markets, operation and hardware.

Source: Ref. 1

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Understanding the Unique System Attributes that Affect Flexibility

Source: Ref. 1, Case Studies

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Flexibility Assessment Method (FAST) – IEA Method to Identify a Power System‟s Balancing Capacity

Source: Ref.1

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Smarter T&D Electricity Grids Increase Flexibility

Source: Ref. 2

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Advanced Transmission and Distribution Systems Applications

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Implement Advanced Decision Support Systems to Support Wind Integration

Grid operators are at different stages of deploying advanced decision

support tools in control center

Source: Ref. 2

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Importance of Processes, Policies, and Procedures

Source: Ref. 2

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Bridging the gap between Forecast and Operations

Renewable ForecastManagement

Day AheadUC & Dispatch

Real Time Control

Studies & Outage Evaluation Simulation

Performance Analysis & Reporting

Numerical Weather

Prediction

HistoricalMet & Power

Data

Future Availability& Outages

Wind / SolarDescription &

Location

• Market or Regulated env• Wind Integration Policies• Reserve Adequacy

• Network security (current and look ahead)

• Load-following power balancing

• Wind Generation Monitoring and control

• Reserve Monitoring• Real time curtailment• Archiving

• Steady State• Dynamic Stability• Look-ahead• What-if scenarios• Transmission Planning• Generation Adequacy

• Operator Training• Realistic wind simulation• Scenario creation• Event replay

• Centralized forecast• Public publishing• Market participants• Wind plant operators• Researchers

Load Forecast

Managing and Mitigating Operational Uncertainty

Source: Alstom Grid

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Deploy Smarter Technologies and Applications

Integration of smart applications with wind power forecast improves real-

time operations, but some smart technologies must become more efficient

and cost competitive for benefits to be fully-realized.

Source: Ref. 2

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Market Design and Mechanisms

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Market Design and Mechanisms

• Market should be designed to support the frequent scheduling (e.g., sub-hourly) and dispatching of generation and transmission resources.

• Ancillary services markets (e.g., efficient procurement of more flexible resources).

• Greater coupling and harmonization between national and regional electricity markets (e.g., reserve sharing and transmission scheduling).

• Congestion management

• Regulatory policies should be designed and implemented to support the development of multi-regional markets for ancillary services and reserves..

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Demand Response

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Notify

The CSP initiates a load curtailment by sending a signal to its customers to reduce their loads by a specified amount.

Curtail

1:00pm – Clients manually shut off lights and other devices, or use an Energy Management System (“EMS”).

Verify

The CSP verifies the status of the load reduction among all customers until it meets the level required by the grid operator.

Restore

3:00pm – Clients return systems to normal operation.

Demand Response Event

During a period of peak capacity, the grid operator initiates a demand response event and calls the CSP.

A basic concept – utilities provide incentives to electricity customers toreduce their consumption during periods of peak demand.

Demand Side Response Scheduled CurtailmentsAugust 8, 2007

0

200

400

600

800

1000

1200

1400

1600

1800

2000

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24

Hour Ending

Curta

iled

Load

(MW

)

0

100

200

300

400

500

600

700

800

900

1000

PJM

LM

P ($

/MW

h)

Economic Emergency PJM LMP

• To address the challenge ofpeak demand, utilities typicallybring new generation assetsonline, known as “peakerplants.”

• Demand response offers afaster and cheaper alternativeto peak generation.

• Utilities, grid operators, andend users all have incentivesto adopt demand response.

Demand Response (DR): A Smart Grid Technology

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Smart Applications Currently Implemented or Will be Implemented

Respondents who have implemented DR programs

are in systems with competitive electricity markets,

and Storage has huge growth potential

Source: Ref. 2

Source: Ref. 2

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Instantaneous Wind Ramp in ERCOT on February 28, 2008

Source: Presentation by John Dumas, ERCOT

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Conclusions

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Conclusion (1)

More and more grid operators are interested in

applying industry best practices and examples of

excellence as the starting point for deploying their

own decision support systems built specifically to

address wind energy integration at the control

center level.

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Conclusion (2)

Efficient integration of wind and solar energy requires

grid operators to have access to a proper mix

of flexible resources ranging on the supply-side,

delivery-side and demand-side.

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References

1. International Energy Agency. Harnessing Variable Renewables: A Guide to the Balancing Challenging, 2011. www.iea.org/publications

2. Lawrence E. Jones, Strategies and Decision Support Systems for Integrating Variable Energy Resources in Control Centers for Reliable Grid Operations. 2011. Download at: http://energy.gov/articles/new-report-integrating-variable-wind-energy-grid.

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Dr. Lawrence JonesAlstom Grid

+1 (425) 241 0649 [email protected]

Thank You