A Day in the Life of a Transactive Grid

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1 A Day in the Life of a Transactive Grid GridWise Architecture Council Presented to: National Council of State Legislators Webinar March 5, 2015 Mark Knight and Tom Sloan GWAC Members Ron Melton GWAC Administrator 1

2 Trends for the grid of the future Increased penetration of DER, especially in distribution systems Increased variability due to increased renewable resource integration Load growth low or declining Potential for peak load growing Increasingly intelligent devices loads and in the electricity network 2

3 Trend impacts Move from central power station, load following operation to a coordinated multiresource, supply following operation Changes in load patterns, e.g., the California duck curve with much different net load shape Need to effectively engage all resources and loads to maintain or improve system reliability and efficiency 3

4 Transactive Systems One approach for engaging the diverse set of active parts How would this work from view of Regional system operator? Distribution system operator? End-user? 4

5 Our TE grid scenario TE deployed in a distribution system RTO offers markets for energy & services: Day-ahead Hourly Spot markets All parties involved engage in planning of: Load activity Prices Etc. A simple network topology 5

6 Our network topology 5 / kwh 20 / kwh 10 / kwh Wind Fossil Nuclear Distribution Systems Transmission System TS DS 1 DS 2 DS 3 Residential 1 Residential 2 Commercial & Industrial 6

7 Our story begins at 6 PM We plan the day ahead Weather forecast A moderate spring day is expected Not unusually warm Moderate winds overnight 6 Power forecast Wind power available Low consumption expected Low overnight electricity price No transmission or distribution constraints expected 7

8 19:00 21:00 22:00 23:00 1/1/00 0:00 1:00 2:00 3:00 4:00 5:00 6:00 7:00 8:00 9:00 10:00 11:00 12:00 13:00 14:00 15:00 16:00 17:00 19:00 21:00 22:00 23:00 24:00:00 1:00 2:00 3:00 4:00 5:00 6:00 7:00 8:00 9:00 10:00 11:00 12:00 13:00 14:00 15:00 16:00 17:00 Price and Load Forecasts Price Forecast TS - P ($/kwh) DS1 - P ($/kwh) DS2 - P ($/kwh) DS3 - P ($/kwh) Load Forecast TS - Q (kwh) DS1 - Q (kwh) DS2 - Q (kwh) DS3 - Q (kwh) 8

9 A revised weather forecast 12 New weather forecast Hotter than previously forecast Unseasonably warm Loads and prices respond More afternoon load than previously expected Prices forecast to rise in response Loads and price adjust Buildings moderate power consumption - Pre-cool from mid-morning through mid-day - Flatten load in late afternoon, early evening Prices moderate still higher than forecast 9

10 21:00 19:00 22:00 23:00 21:00 1/1/00 22:00 0:00 23:00 1:00 1/1/00 2:00 0:00 3:00 1:00 4:00 2:00 5:00 3:00 6:00 4:00 7:00 5:00 8:00 6:00 9:00 7:00 10:00 8:00 11:00 9:00 12:00 10:00 13:00 11:00 14:00 12:00 15:00 13:00 16:00 14:00 17:00 15:00 16:00 19:00 17:00 19:00 21:00 22:00 23:00 24:00:00 1:00 2:00 3:00 4:00 5:00 6:00 7:00 8:00 9:00 10:00 11:00 12:00 13:00 14:00 15:00 16:00 17:00 21:00 22:00 23:00 24:00:00 1:00 2:00 3:00 4:00 5:00 6:00 7:00 8:00 9:00 10:00 11:00 12:00 13:00 14:00 15:00 16:00 17:00 19:00 Updated Price & Load Forecasts Price responds Price Forecast to load forecast TS - P ($/kwh) DS1 - P ($/kwh) TS - P ($/kwh) DS1 DS2 -- P ($/kwh) DS2 DS3 -- P ($/kwh) DS3 - P ($/kwh) Load Load responds Responds Load to adjusted to Forecast Weather price Forecast forecast TS - Q (kwh) DS1 - Q (kwh) DS2 - Q (kwh) DS3 - Q (kwh) 10

11 Wind forecast update 12 Winds stronger than forecast until 7 AM Price drops to encourage use of excess wind power 9 3 Loads adjust and new load forecast provided 6 No need to adjust wholesale prices Distribution feeder constraint Causing local distribution price differences Iteration of load & price to resolve constraint 11

12 22:00 23:00 1/1/00 0:00 1:00 2:00 3:00 4:00 5:00 6:00 7:00 8:00 9:00 10:00 11:00 12:00 13:00 14:00 15:00 16:00 17:00 19:00 21:00 22:00 22:00 23:00 23:00 24:00:00 24:00:00 1:00 1:00 2:00 3:00 4:00 5:00 6:00 7:00 8:00 9:00 10:00 11:00 12:00 13:00 14:00 15:00 16:00 17:00 19:00 21:00 Updated Price & Load Forecasts Price Starting forecast DS2 - local price with price updated forecast adjustment at wind 11pm forecast TS - P ($/kwh) DS2 - P ($/kwh) DS1 - P ($/kwh) DS3 - P ($/kwh) DS Load loads Starting forecasts respond load updated to forecast manage - DS2 at local 11pm problem TS - Q (kwh) DS1 - Q (kwh) DS2 - Q (kwh) DS3 - Q (kwh) 12

13 Real time constraint 12 Temperature increases Loads increase Unexpected transmission constraint Prices changes Price at constrained node (LMP) increases Prices downstream rise now and later Loads changes on affected feeders Load curtailment Load shifting LMP = Local Marginal Price 13

14 14:00 15:00 16:00 17:00 19:00 21:00 22:00 23:00 1/1/00 0:00 1:00 2:00 3:00 4:00 5:00 6:00 7:00 8:00 9:00 10:00 11:00 12:00 13:00 14:00 14:00 15:00 15:00 16:00 16:00 17:00 17:00 19:00 19:00 21:00 22:00 23:00 24:00:00 1:00 2:00 3:00 4:00 5:00 6:00 7:00 8:00 9:00 10:00 11:00 12:00 13:00 Updated Price & Load Forecasts Unexpected 2PM prices transmission - hot weather constraint as expected - prices jump TS - P ($/kwh) DS2 - P ($/kwh) DS1 - P ($/kwh) DS3 - P ($/kwh) Loads respond 2pm loads to transmission and forecast constraint TS - Q (kwh) DS1 - Q (kwh) DS2 - Q (kwh) DS3 - Q (kwh) 14

15 Key points from the simulation Exchange of information between systems Systems: bulk power, distribution, and end-uses Critical to engaging all elements of the system Price changes based on: Time Location Grid conditions Price changes must be transparent to all Various mechanisms for price-response actions Forecasts of price and load are useful at all levels 15

16 Key points: End-user view End-user response is useful if: Based on actionable information such as price forecast Magnitude of price change Magnitude of response End-users should: Provide more information than available now Provide information about planned consumption Responses will vary across categories of end-user 16

17 Key points: Distribution view Distribution system coordinates: Response of end-users Needs of the bulk power system Roles of distribution system Moderate responses Maintain distribution reliability Distribution compared to transmission Distribution system is more dynamic Flexible approaches are required 17

18 Key points: Regional operator view Regional operations manage: Financial risk Reliability risk Reduce risks with better information about: Present loads Future load behavior Reducing risk reduces costs to all stakeholders 18

19 For more information: GridWise Architecture Council GridWise Architecture Council Administrator: Dr. Ron Melton Acknowledgement: Material in this presentation was created by David Forfia, David Holmberg and Ron Melton 19

A Day in the Life of a Transactive Grid

A Day in the Life of a Transactive Grid GridWise Architecture Council Presented to: Council of State Governments Webinar December 3, 2014 Mark Knight and Tom Sloan GWAC Members Ron Melton GWAC Administrator