Simplifying Smart Grids

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1 Simplifying Smart Grids RE integration- simple, robust and affordable Joint workshop IEA-EPIA and PVPS: Self consumption business models. Amsterdam, Sept. 22nd, 2014 Dr. Thomas Walter & Marie Berger

2 Agenda 1. How grids can benefit from Smartness 2. Smart evolution of established methods 3. Smart Grid key functionality simple, robust, affordable 4. Business model and approach 2

3 1. How grids can benefit from smartness : Focus today: grid balance Grid Control 2. Communicate balance of G/D 4. Incentive for user reaction 5. Execution of user reaction System Recovery Black Start Voltage Control Phase Control Identify Bottlenecks 1. Measure balance of G/D 3. Enable user reaction (e.g. DSM) Grid infrastructure: lines and topology Grid balance: generation and demand 3

4 2. Smart evolution of established methods Two (mostly) separate worlds Owners Time range Detection Control by frequency: Engineering people Milliseconds to hours Automatic (rotating mass) Transmission Automatic (grid frequency) Reaction Automatic/semi automatic (primary to tertiary control) Owners Time range Detection Control by price: Commercial people Quarter hour to days Prediction, bidding, exchanges Transmission ICT (computers and communication) Reaction Transferred into schedule, enforced by contract or penalty 4

5 2. Smart evolution of established methods - combine the best from two worlds Information processing and communication uses existing technical system. Low cost high speed data security. Price setting and incentives by money rather than central control with energy exchange approach. Decentral control market function variable prices. 5

6 2. Smart evolution of established methods - combine the best from two worlds 0.55 P [$/kwh] Consumer: Switch off if possible f [Hz] Consumer or storage: Switch on or charge if possible 6

7 3. Smart Grid key functionality Five steps to balance generation and demand with near zero transaction cost low G price average 2. Communicate balance of G&D 4. Incentive for user 3. Enable user reaction reaction (price) D high price signal power Trading decision yes/ no Algorithm (Reference price) System status Market price model User preferences Demand 1. Measure balance of G&D 5. Execution of user reaction (billing by ESG meter) Generation Storage 7

8 Benefits : simple, robust, affordable Data Security - inherent protection of private data Cost - massively reduced ICT infrastructure and storage need Stability - improved by less processing + transmission delay Robust against grid or communication failure, and hacker attacks Near Zero Transaction Cost to use full flexibility potential Simple - to understand, maintain and develop 8

9 4. Market segments that benefit from ESG Public Weak grid Grid Operators - Protect assets and customer satisfaction - Improve stability in weak grids - Better use of limited capacity Public/ Private Shared Grid Infrastructure Players (governments, facility managers) - fair electricity pricing in - Green-/brownfield developments - Clusters and anchor models, PPP Private Diesel hybrid Multi energy RE developers and industry - Multi source integration (PV+Wind+Hydro +Biomass) complementarity, fair pricing PV developers and industry - More PV in diesel+pv hybrids Small (100 kw) Medium (3 MW) Large (100 MW) 9

10 Easy Smart Grid with step by step approach Step 1: Harvest low hanging fruit Step 2: Higher RE integration and storage Step 3: Full ESG implementation SmaCo box ESG meters 10

11 Thank you for your interest! Marie Berger, Dr. Thomas Walter Easy Smart Grid GmbH, Karlsruhe

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