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Energy Systems Research Laboratory, FIU 1
Smart Grid Overview & Electricity Market Design
Professor O. A. Mohammed
ESRL, ECE. FIU
Energy Systems Research Laboratory, FIU
US Electricity Grid
• Aged
• Centralized
• Manual operations
• Fragile
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Energy Systems Research Laboratory, FIU
• Affected 55 million people
• $6 billion lost
• Per year $135 billions lost for power interruption
10/19/2005
Cost of Power Disturbances:
$25 - $188 billion per year
Northeast Blackout – August 14, 2003
4http://en.wikipedia.org/wiki/Northeast_Blackout_of_2003
Energy Systems Research Laboratory, FIU
Goal
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Upgrade the grid in Smart way
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Energy Systems Research Laboratory, FIU
Smart Grid
• Uses information technologies to improve how electricity travels from power plants to consumers
• Allows consumers to interact with the grid
• Integrates new and improved technologies into the operation of the grid
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Energy Systems Research Laboratory, FIU
Smart Grid Attributes
• Information-based• Communicating• Secure• Self-healing• Reliable• Flexible• Cost-effective• Dynamically controllable
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Energy Systems Research Laboratory, FIU
Outline
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• Motivation
• Sensing and Measurement
• Communications and Security
• Components and Subsystems
• Interfaces and Decision Support
• Control Methods and Topologies
• Trading in Smart Grid
• Sustainable Energy
Energy Systems Research Laboratory, FIU
Advanced Sensing and Measurement
• Enhance power system measurements and enable the transformation of data into information.
• Evaluate the health of equipment, the integrity of the grid, and support advanced protective relaying.
• Enable consumer choice and demand response, and help relieve congestion
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Energy Systems Research Laboratory, FIU
Advanced Sensing and Measurement
• Advanced Metering Infrastructure (AMI)– Provide interface between the utility
and its customers: bi-direction control
– Advanced functionality• Real-time electricity pricing
• Accurate load characterization
• Outage detection/restoration
– Most utilities are/will deploy the new smart meter
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Energy Systems Research Laboratory, FIU
Advanced Sensing and Measurement
• Health Monitor: Phasor measurement unit (PMU)– Measure the electrical
waves and determine the health of the system.
– Increase the reliability by detecting faults early, allowing for isolation of operative system, and the prevention of power outages.
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Energy Systems Research Laboratory, FIU
Advanced Sensing and Measurement
• Distributed weather sensing– Widely distributed solar
irradiance, wind speed, temperature measurement systems to improve the predictability of renewable energy.
– The grid control systems can dynamically adjust the source of power supply.
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Energy Systems Research Laboratory, FIU
Outline
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• Motivation
• Sensing and Measurement
• Communications and Security
• Components and Subsystems
• Interfaces and Decision Support
• Control Methods and Topologies
• Trading in Smart Grid
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Energy Systems Research Laboratory, FIU
Integrated Communications and Security
• High-speed, fully integrated, two-way communication technologies that make the smart grid a dynamic, interactive “mega-infrastructure” for real-time information and power exchange.
• Cyber Security: the new communication mechanism should consider security, reliability, QoS.
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Energy Systems Research Laboratory, FIU
Wireless Sensor Network
• The challenges of wireless sensor network in smart grid– Harsh environmental conditions.
– Reliability and latency requirements
– Packet errors and variable link capacity
– Resource constraints.
• The interference will severely affect the quality of wireless sensor network.
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Energy Systems Research Laboratory, FIU
Experiments for Noise and Interference
• They measured the noise level in dbm (the larger the worse)
• The outdoor background noise level is -105dbm
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Energy Systems Research Laboratory, FIU
Experiments for Noise and Interference
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In door power control room‐88dbm
500‐kV substation‐93dbm
Underground transformer vault‐92dbm
In door with microwave oven‐90dbm
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Energy Systems Research Laboratory, FIU
Outline
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• Motivation
• Sensing and Measurement
• Communications and Security
• Components and Subsystems
• Interfaces and Decision Support
• Control Methods and Topologies
• Trading in Smart Grid
Energy Systems Research Laboratory, FIU
Advanced Components and Subsystems
• These power system devices apply the latest research in materials, superconductivity, energy storage, power electronics, and microelectronics
• Produce higher power densities, greater reliability and power quality, enhanced electrical
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Energy Systems Research Laboratory, FIU
Advanced Components and Subsystems
• Advanced Energy Storage– New Battery Technologies
• Sodium Sulfur (NaS)
– Plug-in Hybrid Electric Vehicle (PHEV)• Grid-to-Vehicle(G2V) and Vehicle-to-Grid(V2G)
• Peak load leveling
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Energy Systems Research Laboratory, FIU
Grid-to-Vehicle (G2V)
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Energy Systems Research Laboratory, FIU
V2G: Wind With Storage
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Energy Systems Research Laboratory, FIU
Outline
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• Motivation
• Sensing and Measurement
• Communications and Security
• Components and Subsystems
• Interfaces and Decision Support
• Control Methods and Topologies
• Trading in Smart Grid
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Energy Systems Research Laboratory, FIU
Improved Interfaces and Decision Support
• The smart grid will require wide, seamless, often real-time use of applications and tools that enable grid operators and managers to make decisions quickly.
• Decision support and improved interfaces will enable more accurate and timely human decision making at all levels of the grid, including the consumer level, while also enabling more advanced operator training.
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Energy Systems Research Laboratory, FIU
Improved Interfaces and Decision Support
• Advanced Pattern Recognition
• Visualization Human Interface– Region of Stability Existence (ROSE)
• Real-time calculate the stable region based on the voltage constraints, thermal limits, etc.
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Energy Systems Research Laboratory, FIU 25
Outline• Motivation
• What’s Smart Grid
• Sensing and Measurement
• Communications and Security
• Components and Subsystems
• Interfaces and Decision Support
• Control Methods and Topologies
• Trading in Smart Grid
Energy Systems Research Laboratory, FIU 26
Control Methods and Topologies
• Traditional power system problems:– Centralized
– No local supervisory control unit
– No fault isolation
– Relied entirely on electricity from the grid
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Energy Systems Research Laboratory, FIU 27
IDAPS: Intelligent Distributed Autonomous Power Systems
• Distributed• Loosely connected APSs• Autonomous
– Can perform automatic control without human intervention, such as fault isolation
• Intelligent– Demand-side management– Securing critical loads
Energy Systems Research Laboratory, FIU 28
• A localized group of electricity sources and loads– Locally utilizing natural gas or renewable energy
– Reducing the waste during transmission• Using Combined Heat and Power (CHP)
APS: Autonomous Power System (Micro
Grids)
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Energy Systems Research Laboratory, FIU 29
Multi-Agent Control System
• IDAPS management agent– Monitor the health of the system and perform fault
isolation– Intelligent control
• DG agent– Monitor and control the DG power– Provide information, such as availability and prices
• User agent– Provide the interface for the end users
Energy Systems Research Laboratory, FIU
IDAPS Agent Technology
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Energy Systems Research Laboratory, FIU
IDAPS Agent Technology
• Securing critical loads
Energy Systems Research Laboratory, FIU
IDAPS Agent Technology
• Demand‐side management
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Energy Systems Research Laboratory, FIU
Quantifying Necessary Generation to Secure Critical Loads
• Non-linear optimization model– Minimize the total annual levelized capital and
operating costs of the candidate generators
– Subject to• Reliability constraints
• Maximum size of each technology
• Maximum number of units to be installed
• The annual emission caps for CO2, NOx, and SOx
Energy Systems Research Laboratory, FIU
Test Case
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Energy Systems Research Laboratory, FIU
Electricity Supply Candidates
Energy Systems Research Laboratory, FIU
Solutions for Reliability
Improvement
LOLP: Loss of load probability
52 minutes per year
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Energy Systems Research Laboratory, FIU
Value of DG for Peak Shaving
Energy Systems Research Laboratory, FIU
Outline
• Motivation
• What’s Smart Grid
• Sensing and Measurement
• Communications and Security
• Components and Subsystems
• Interfaces and Decision Support
• Control Methods and Topologies
• Trading in Smart Grid
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Energy Systems Research Laboratory, FIU
Diverse Energy Sources
39http://powerelectronics.com/power_systems/smart‐grid‐success‐rely‐system‐solutions‐20091001/
Wind
Solar
Nuclear
Fossil
Energy Systems Research Laboratory, FIU
Electricity Market
• Current practice: Fixed market– Few producers, less competition – Regulated by government
• The future : Free market – Many producers (wind, solar, …) – Less regulation
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“Trading Agents for the Smart Electricity Grid,” AAMAS 2010.
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Energy Systems Research Laboratory, FIU
Goal
• Setup an Electricity market – Self interested (producer, buyer, grid owner)– Free (no central regulation) – Efficient (no overload, no shortage)
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Energy Systems Research Laboratory, FIU
Market Design
• Trading Mechanism– Buy/sell electricity
• Overload Prevention Mechanism – Transmission charge
• Online Balancing Mechanism – Price for extra demand and supply in real-time
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Energy Systems Research Laboratory, FIU
Stock MarketBuy orders Sell orders
• Market order : buy or sell at market price • Limit order : specify price to sell or buy
Energy Systems Research Laboratory, FIU
Proposed Electricity Trading
• A day ahead market – Based on prediction of a day ahead demand/supply
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PriceQuantity
A day ahead electricity market
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Energy Systems Research Laboratory, FIU
Overload Prevention Mechanism
• Charging transmission (line charge = pt)– Protect overload because
• If pt is high then demand goes down
• If pt is low then demand goes high
– Line charge is geographically different depending on congestion
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Energy Systems Research Laboratory, FIU
Online Balancing Mechanism
• Balancing unpredictable demand/supply on real-time basis– + demand
• need to buy at market price
– - demand • Need to sell at market price
– - supply • Buyer need to buy at market price
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Energy Systems Research Laboratory, FIU
Evaluation
• How efficient the market is?
• What’s the best trading strategy?
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Energy Systems Research Laboratory, FIU
Market Efficiency• Efficient-market hypothesis (EMH)
– If all information (buyer’s and seller’s cost structure) is publicly available
– Market price is determined solely by supply/demand
• maximally efficient market
• Cost structure– Buyer : minimum and cost sensitive dynamic
demand – Seller : minimum and quantity proportional
production cost– Line owner : minimum and quantity proportional
cost
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Energy Systems Research Laboratory, FIU
Trading Strategy
• Maximum efficiency is not possible – Hidden cost information– Line charge constraint
• ZI – Random pricing
• AA-EM – Follow the market price but weighted
• Bias to the same node due to line charging
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Energy Systems Research Laboratory, FIU
Market Efficiency
• With respect to capacity
50Average Transmission Line Capacity (log‐scale)
Efficien
cy
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Energy Systems Research Laboratory, FIU
Closing Remarks on this Topic
• Smart Grid provides intelligent, advanced power control for the next century
• Many new technologies involve for supporting sensing, controlling, human interfaces.
• Charging electricity cost is fundermental infrastructure can be implemented similar to stock market in smart grid.
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Energy Systems Research Laboratory, FIU 52
References1. S. Massoud Amin and Bruce F. Wollenberg, “Toward a Smart Grid,” IEEE Power and Energy
Magazine, September/October 2005.2. M. Pipattanasomporn and S. Rahman, “Intelligent Distributed Autonomous Power Systems
(IDAPS) and their Impact on Critical Electrical Loads,” IEEE IWCIP 2005.3. R. Li, J. Li, G. Poulton, and G. James, “Agent-Based Optimization Systems for Electrical Load
Management,” OPTMAS 2008.4. J. Li, G. Poulton, and G. James, “Agent-based distributed energy management,” In Proc. 20th
Australian Joint Conference on Artificial Intelligence, pages 569–578. Gold Coast, Australia, 2007.5. http://www.smartgrid.gov/, November 2010.6. “GRID 2030: A National Vision for Electricity’s Second 100 Years”, United States Department of
Energy, Office of Electric Transmission and Distribution, July 2003.7. “What the Smart Grid Means to America’s Future”, Technology Providers – One of the Six Smart
Grid Stakeholder Books, 2009.8. “Multi-Agent Systems in a Distributed Smart Grid: Design and Implementation”9. “Emissions and Energy Efficiency Assessment of Base load Wind Energy Systems”10. “Microgrid Energy Management System”11. “Opportunities and Challenges of Wireless Sensor Networks in Smart Grid”12. P. Vytelingum and S. D. Ramchurn, “Trading Agents for the Smart Electricity Grid,” AAMAS
2010.