dynamic energy management - asertti · • cost-benefit assessment of advanced metering and demand...

Dynamic Energy Management

An EPRI Concept to Advance Energy Efficiency and Demand Response

ASERTTI Winter MeetingFebruary 13, 2007

Ellen PetrillDirector, Public/Private [email protected]

2© 2007 Electric Power Research Institute, Inc. All rights reserved.

Between a Rock..

Today’s consumers expect utilities to:• Reduce consumer energy costs• Enable automated, cost-effective use of electricity• Make environmentally sound decisions


And a Hard Place

…while government regulators and policymakers are pressuring utilities to:

• Improve infrastructure reliability• Minimize environmental impacts• Save energy and reduce demand


Per Capita Electricity Consumption is Flat in CA


Existing Energy Efficiency and Demand Response Solutions Are Good But More Can Be Done

Utilities can meet the demands of consumers and policymakers while also improving their own operations and performance by:

• Empowering consumers with real-time electricity price and usage information• Increasing reliability with accurate, real-time supply and demand information • Confidently meeting peak demand with real-time knowledge of consumer

loads


Dynamic Energy Management

Assure the reliable delivery and efficient use of electricity• Two-way communication between the electricity system and

consumer loads • Intelligence that automates the control and management of electricity


The Dynamic Energy Infrastructure

EfficientBuildingSystemsUtility

Communications

DynamicSystemsControl

DataManagement

DistributionOperations

DistributedGeneration& Storage

Plug-In Hybrids

SmartEnd-UseDevices

ControlInterface

AdvancedMetering

Consumer Portal& Building EMS

Internet Renewables

PV


Dynamic Energy Infrastructure: Basics

EfficientBuildingSystems

UtilityCommunications


SmartEnd-UseDevices

ControlInterface

AdvancedMetering


Internet


Dynamic Energy Infrastructure:Utility Operations




DataManagement


SmartEnd-UseDevices

ControlInterface

AdvancedMetering


Internet


Dynamic Energy Infrastructure:Consumer Opportunities




DataManagement


Plug-In Hybrids

SmartEnd-UseDevices

ControlInterface

AdvancedMetering


Internet


My Plug-in Hybrid Electric Vehicle

• Convenient Charging… Anytime and Anywhere

– Vehicle meter “handshakes” with network-connected “socket” to identify vehicle and billing information

• Distributed Energy Storage / Generation

– Utilize stored battery energy for short-term back-up power

– Utilize IC engine for longer-term backup power

Consumers will expect these conveniences…will the electricity infrastructure be ready?


Dynamic Energy Infrastructure:Consumer Opportunities




DataManagement



Plug-In Hybrids

SmartEnd-UseDevices

ControlInterface

AdvancedMetering


Internet Renewables

PV


Dynamic Energy Infrastructure: “Prices to Devices”sm

Day-ahead Hourly PricesPeak

=Smart End-Use Devices

Off-Peak


The Dynamic Energy Infrastructure at Work




DataManagement



Plug-In Hybrids

SmartEnd-UseDevices

ControlInterface

AdvancedMetering


Internet Renewables

PV

Thermostat receivesday-ahead hourlypricesConsumer sets upperand lower limitsThermostat “learns”thermal, consumerand weather impacts


Reducing Peak with Prices to DevicesSM

Reduce peak while maintaining comfort and productivity


DistributionOperations12

Midnight12

Midnight12

Noon

Demand

PreCool

ReducePeak Demand

Recover


For utilities:• Manage electricity distribution more efficiently and reliably through real-time

information• Reliably anticipate peak demand--and effectively encourage consumer

reduction• Reduce costs with an investment strategy that protects against obsolescence• Be environmental leader through energy and demand reduction• Improve customer satisfaction

Benefits of the Dynamic Energy Infrastructure


Benefits of a Dynamic Energy Infrastructure(continued)

For consumers:• Control their own energy usage• Reduce energy bills• Make a positive impact on the environment


Benefits of a Dynamic Energy Infrastructure, (continued)

For regulators and policymakers:• Save energy and reduce demand• Empower consumers to control energy usage and costs• Meet policy goals using new technologies• Respond to environmental pressure groups


2006 Summer Seminar: Advancing Energy Efficiency and End-Use Technologies

• Joint meeting of EPRI Board and Advisory Council, plus invited guests– 150 leaders representing 94 different organizations

• Utilities (U.S. and International)………………………………………43 • Regulators (State and Federal)………………………………………10• Academia/NGOs/Government………………………………………..18• Consumers/technology and equip. suppliers/architects/others......23

• Significant breakthrough statements– Jim Rogers, CEO, Duke Energy

• EE is 5th fuel, utilities need to change mission, regulatory pact– Diane Munns, President, NARUC

• Regulators need to enable utilities to make money

Significant opportunity to improve efficiency and effectiveness of energy use


Four Building Blocks: Dynamic Energy Management


EPRI Board of DirectorsAd-Hoc Committee on Energy Efficiency

• Michael Chesser (Chair), Great Plains Energy(also the Chair of EEI Task Force)

• Charles Shivery, Northeast Utilities• Richard Silverman, Salt River Project• Steve Hickok, Bonneville Power Administration• Kathryn Jackson, Tennessee Valley Authority• Tony Ahern, Buckeye Power• Michael Dworkin, Vermont School of Law• Nick Brown, Southwest Power Pool


Energy Efficiency Regional Workshops

West Central

South

North East

SCE (Los Angeles, CA) October 31, 2006

TVA (Knoxville, TN) November 9, 2006

NU (Hartford, CT)December 13, 2006

Great Plains Energy (Kansas City, MO) November 3, 2006

EPRI (Washington, DC) November 8, 2006

Mid-Atlantic

150 Attendees85 Organizations


Workshop Results – Overall

• There is enthusiasm for energy efficiency and demand response – the time is now

• EPRI should do this!• There are both immediate needs and longer-term

requirements: need some tactical results to enable support for a long-term program

• There is a need for catalyzing technology development• Regulatory barriers need to be addressed


Energy Efficiency InitiativeJanuary 31, 2007 – Kansas City

• 50 participants• Over 30 organizations• 16 members have signed Expression of Interest• 13 signed at SummitTarget:• 40+ members• $5.0M funding

Michael ChesserChairman and CEOGreat Plains Energy


Elements of the Research

Energy Analytics• Assessments and tools:

technical, economic andenvironmental

Infrastructure• Enabling dynamic energy

management, “prices to devices”

Smart and EfficientEnd-Use Devices• C&I focus in year one

AnalyticsAnalytics InfrastructureInfrastructure

Smart & EfficientEnd-Use DevicesSmart & EfficientEnd-Use Devices


Start Today to Meet Long-Term Objectives with No-Regrets Investments

Ana

lytic

sIn

fras

truc

ture

Smar

t Dev

ices

Short-Term Mid-Term Long-Term

DeployExisting

Technology(Where to PutResources?)

Design BasisFramework &Technology

Dynamic Energy

Management Systems


$$$

Dynamic Energy Management Research Needs

Historic• Low time-of-use

rate penetrationand response

• Limited verification

• Modest useof load control

Tomorrow• Standardized

design

• Interoperabledevices

• Make it simpleand automated

Future• Learn and adapt

to consumer and building behavior

Evolve toProvidefordevelopment

Enable

AutomatedDemandResponse

$ UbiquitousSystem$$ Dynamic

Systems

Can the Dynamic Energy Management Vision Be Justified ByIts Benefits to Utilities, Consumers, and the Society at Large?


EPRI’s Energy Efficiency Initiative

Research to advance the efficient and effective use of energy

Analytics Smart End-Use Devices

Infrastructure


Analytics

Analytics

• Guidebook for demand planning • Methods for calculating environmental (CO2) benefits of dynamic

energy management• Strategies for making long-term infrastructure investments today• Assessments of economic impact of dynamic energy management,

including verifiable demand response levels


Dynamic Energy Infrastructure

• Cost-benefit assessment of advanced metering and demand response systems

• Specifications for dynamic energy management interoperability • Access to a “living laboratory” to assess technologies and work with

vendors• Plans for dynamic energy management infrastructure design basis

Infrastructure


Smart and Efficient End-Use Devices

• Specifications for commercial building intelligence interface• Access to EPRI clearinghouse for commercial and industrial

technologies (e.g., what works and what doesn’t)

Smart End-Use Devices


Next Steps

• Funding Requirements: $5M• Number of Participants Required: 30–50• Timeframe:

– Funding Commitment: February 28, 2007– Executive Steering Committee Established: February 2007– Work Initiated: February 2007 – Public Advisory Group established: March 2007--First meeting:

April 23, 2007


Public Advisory Group

Gain commitment of key public sector stakeholders to help shape the landscape for dynamic energy management

Advice and outreach


How Can We Work Together?

• Embrace the vision; help move it forward

• Coordinate and cooperate in research• Fund the EPRI research initiative • Participate in EPRI Public Advisory

Group

Will You Join Us In Being Part of This Important Initiative for our Nation?


Together…Shaping the Future of Electricity

dynamic energy management - asertti · • cost-benefit assessment of advanced metering and demand...

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