Smart Grids

Ian Welch - R&D Strategy Manager

National Grid:
An international electricity and gas company
Gas Distribution - UK Transmission Electricity and Gas - UK
Owns the high-voltage electricity transmission system in
England and Wales and operates the system across Britain.
Also owns and operates the high pressure gas transmission
system in Britain.
Operates the UK gas
distribution system;
distributes gas on behalf
of shippers and suppliers
to 11 million consumers
but has 20m+ meters
2
nd
largest US Utility
27,000 US employees
Distributes electricity to
3.3 million customers
Provides natural gas to
3.5 million customers
Services 1.1 million
customers of Long
Island Power Authority
(LIPA)
Currently owns over
4,000MW of generation
Gas
Electricity
National Grid:
An international electricity and gas company
The Future of Energy - Video
The Future of Energy
Click to play video
Energy Market is changing
Smart Grid is an essential enabler
Traditional Energy Market - supply driven
Coal/gas fired
power station
Energy volume
drives energy
company
revenue
Small range of
conventional
technologies
Large centralised
generation
Static infrastructure
$$$
Price and reliability are
main determinants of
customer choice
Energy
flows to
users
Gas production Hydro-
electric
power
Nuclear
power
station
Energy
flows to
users
Industrial
and
commercial
The future Market - customer driven
CO2 emission reduction
and wider energy
services drives energy
company revenue
Customers focus on economic and environmental value,
using a wider range of products and services
Electricity flows to
users, and surplus
from distributed
generation flows
back to grid
Micro wind
Smart metering
Micro Biomass
Smart network technology rolled out
Micro CHP
CCS plant
(coal/gas)
Solar
water
heating
Nuclear power
station
CO
2
transport
and storage
Hydro-
electric
power
Heat
Pumps
Large scale
CHP and
biomass
$$$
Gas
production
Onshore
and
offshore
wind
Technology choice
proliferates
Efficient
Boilers
Natural Gas
Hydrogen
CO2
Biogas
Heat
Industrial
and
commercial
Domestic
Intermittency
management
Storage +
Storage +
Smart Technology Definition
Technology that provides advanced information, automation and control capabilities to help us
to transmit, distribute, measure and use energy more efficiently, reliably, safely and sustainably
all the way from the point of generation to consumer appliances
What does it allow you to do? What is Smart Technology?
M
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r
Meter that records interval data
2-way communications, remote configuration
Informative display
Meter Data Management System
Automatic meter reading
Enable customer choice and control
Choice of tariffs e.g. time of use peak shifting
Catalyst and validation of Energy Efficiency programs
Remote configuration
D
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Sensors & measuring devices
Analytical programs e.g. pattern recognition
Automatic switches & controls
Decision support tools & graphical interfaces
Enable Distributed generation
Remotely detect, diagnose, predict and correct
network problems & faults
Condition-based, preventative maintenance
Automatic fault prevention, isolation & restoration
Automatically optimize selected home appliances
Demand response programs
Improve satisfaction levels
H
o
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e
Customer portal & Home Area Network
Automated thermostats, switches,
plugs & appliances
Load controllers e.g. PHEV controller
T
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m
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Remote Asset Management
Demand Side Management
Decision support tools & graphical interfaces
Analytical programs e.g. pattern recognition
Enable embedded generation
Condition-based, preventative maintenance
Automatic fault, isolation & restoration
Challenges for the electricity supply chain
Smart Grid drivers
Demand
Responsiveness
Efficient and Time Of Use
of energy
Integrating flexible demand
Efficient and reliable
network invest &
operation
Timely capacity planning & consent / supply chain
Providing flexibility and avoiding stranding assets
Secure and Affordable
Decarbonising
electricity
Integrating inflexible generation
Integrating Intermittency
Integrating embedded generation
Electrifying heat
and transport
Increased demand:
Electric vehicles
Heat pumps
How big is the challenge in the UK?
UK Carbon Sources
Other 2%
Heat
41%
Transport
25%
Electricity
32%
Demand offered for
interruption
Smart
Meter
Technology
Penetration
Smart
Home
Smart
Grid
Network /
TSO
Technology
Generator Consumer Supplier
DNO /
DSO
TO / SO
Stakeholder
Consumer
control
Price
signals
Network /
SO control
Capacity Management
Electricity Smart and Smart Grid
Micro-gen /
storage
Others
Virtual power plants
Electric vehicles
Competition for DSM
Matching intermittent
generation
Developments in Electricity Demand

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Time of Day
E
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2020 Demand ~ 15
GWh (daily) - 1.5
million vehicles
Typical winter daily
demand
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12,000 miles p.a.
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Optimal Charging
Period
Electric Vehicles (~ 850k vehicles by 2020)
Heat pumps (600k by 2020; and
Other appliances
Transmission SO / TO
Widespread use of a Flexible AC Transmission System
More automated post fault action enhanced network capability
Greater control interface between TSO and DNO/DSO
Automation of control systems, flow control (QBs, DC links), voltage control, alarm management
Driving assets harder high temp conductors, on-line rating, sag, short term ratings of circuits and transformers
Flexible risk based SQSS
Balancing between operational complexity and asset investment - Automation versus IS faults / technology failure
DNO (Enabled through Smart Grid comms infrastructure)
Auto post fault action (self healing)
Condition monitoring
Capacity rationing / sharing by directly controlling some demand / embedded generation
Optimisation of embedded and micro-generation / virtual power plants. DSO role?
Electricity Network Efficiency / Reliability
Fully using assets through complexity and automation
Operating the system in 2020
How to meet these challenges in the most economic and
sustainable way whilst maintaining security?
How do we cope with
larger plant >1320 MW
when it falls off the
system?
Generation
Demand
Variable
generation
Large generation
Inflexible generation
What operating reserve to
hold in a world of variable
renewable generation and
will the market balance
demand and generation?
Can the new generation
fleet of nuclear, wind and
supercritical coal provide
the full range of services?
Active Distribution
Networks
Distribution connected
generation
TOU sensitive demand
Scnr
Mark Ops
Net
Indicative Short Term Operating Reserve Requirement
56%
16%
15%
6%
1%
2%
4%
Small Demand sites
Large Demand sites
BM STOR
Non-BM STOR
Pumped Storage
Interconnectors
Typical Current Winter Reserve
Provider Breakdown
Potential Opportunity for New
Reserve Providers in 2020
4%
9%
36%
34%
15%
2%
~3.5GW
~8.2GW
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Smart Grid US Pilot Proposals
Components
Spine Common two-way
communication system
Smart metering
In-Home energy
management
Distribution grid
monitoring and automated
control
Clean Energy Modules Photovoltaics (PV)
PHEV/EV
Energy Storage
Microgrid
Holistic Homes
National Grid Smart Technology Model
Smart Grid Cyber Security High Priority
SMART Cyber security high priority for:
Equipment Manufacturers building in security
Network Design designing the network to be secure
Network Operations monitoring, detection, prevention
Two key sources of risk:
deliberate attacks (eg. disgruntled employees, industrial
espionage, acts of terrorists)
inadvertent compromises (eg. user errors, equipment
failures, natural disasters)
SMART Grid Cyber Security - Key Risks
New and complex technology introducing vulnerabilities
Increased number of entry points and paths for potential
adversaries to exploit
Communications networks expanded all the way to the home
Radio communication networks vunerabilities
Interconnected networks can introduce common vulnerabilities
More opportunity for introduction of malicious software
Potential for compromise of data confidentiality
Breach of customer privacy.
Smart Technology Centre
Proof-of-Concept
Test and validate the technical solution before we deploy it to
our customers.
Center of Excellence
Evaluation, Demonstration, Innovation
Collaborating with several universities
developing academic curricula
workforce training programs
preparing the next generation of engineers and technicians to
work with Smart Grid technologies.
Conclusion
We are on the verge of a fundamental shift in the Energy Industry
Smart Grids will be the service platform for future years.
Smart Grids will provide and act as a catalyst for:
current green technologies (e.g. energy efficiency, demand
response)
emerging green technologies (e.g., photovoltaic, energy storage,
plug-in hybrid electric vehicles).
Smart Grids will provide customers with choice
how the electricity they use is generated
greater control over how and when they use energy in their homes
and businesses.
Significant Technology/Security risk need to be managed
Thank you
Ian Welch