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GridWise Transactive Energy Framework (DRAFT Version)

Over the past decade, the use of demand response and other flexible distributed resources for market efficiency and grid reliability has grown dramatically. Federal and state policy objectives point to an important role for customers’ loads, generation and storage in the management of an increasingly unpredictable power system. As we consider the need to substantially scale the use of flexible distributed energy resources, there has been growing attention to the need to address not only the economics, but also the control system implications to ensure grid reliability. This has led to a focus on an area of activity called “Transactive Energy.” Transactive Energy refers to the combination of economic and control techniques to improve grid reliability and efficiency. These techniques may also be used to optimize operations within a customer’s facility. The Department of Energy has supported the GridWise® Architecture Council (“the Council”) in developing a conceptual framework that can be used in developing architectures, and designing solutions related to transactive energy. The goal of this effort is to encourage and facilitate collaboration among the many stakeholders involved in the transformation of the power system and thereby advance the practical implementation of transactive energy.

GridWise↗

The View from the Top of the Mountain: Building a Community of Practice with the GridWise Transactive Energy Framework

The topic of “transactive energy” has received growing attention over the past eighteen months. It has been a part, for example, of the NY Reforming the Energy Vision discussions and the topic of activities such as the National Institute of Standards Transactive Energy Challenge. The growing discussion stems from the realization that new approaches are needed to efficiently and reliably integrate growing numbers of distributed energy resources. In anticipation of the applicability of transactive energy systems to emerging challenges in Grid integration, the GridWise® Architecture Council (GWAC) began to build a community of practice in the area of transactive energy systems. Starting with a workshop on the topic of “transactive energy” in May 2011, the Council brought together about a dozen interested researchers and practitioners from utilities, vendors, labs and academia to compare their approaches and experience in order to create common definitions and understanding within this topical area. This was followed in March 2012 with a second workshop during which about twice as many attendees continued the discussion. At this workshop the need for both a roadmap and a document documenting the foundations of transactive energy, common vocabulary and other definitional aspects was recognized. These two workshops led to the Council organizing the First International Conference and Workshop on Transactive Energy which took place May 23 – 24, 2013 in Portland, Oregon. The Council has continued this work with additional topical workshops, the Second International Conference and Workshop on Transactive Energy held in December 2014, and is currently organizing the Third International Conference and Workshop on Transactive Energy Systems to be held in May 2016. This article provides a summary of the Council’s work to build the community of practice through creation of a Transactive Energy Framework document and related activities. In addition to seeing transactive energy discussions on the agenda for many conferences there are also group activities relating to transactive energy being coordinated by both NIST and SGIP with which GWAC is also involved. The NIST work aims to develop and enhance modeling and simulation tools and integration into modeling and simulation platforms for Transactive Energy evaluation, as well as demonstrate how different transactive approaches may be used to improve reliability and efficiency of the electric grid. This will be accomplished through development of a set of scenarios that can serve as ongoing reference points for modeling and simulation. It is also an example of helping to develop a Transactive Energy community. The ongoing Transactive Energy Coordination Group formed by SGIP reviews the progress and directions of transactive energy activities in related parts of the SGIP and collaborating organizations such as GWAC. One of its activities is assembling a core set of transactive energy use cases as representative of the transactive energy interface requirements. This will enable assessment of interoperability requirements for transactive energy applications and an analysis of standards coverage, gaps, and future needs.

Tranasactive Energy↗

GridWise Transactive Energy Framework (V.1.1)

Over the past two decades, the use of demand response and other flexible distributed resources for electricity market efficiency and grid reliability has grown dramatically. Federal and state policy objectives point to an important role for customers’ loads, generation, and storage in the management of an increasingly unpredictable power system. As we consider the need to substantially scale the use of flexible distributed energy resources, growing attention has been devoted to the need to address not only the economics of the electricity grid, but also the control system implications, to address grid reliability. This has led to a focus on an area of activity called “Transactive Energy.” Transactive energy (TE) refers to the use of a combination of economic and control techniques to improve grid reliability and efficiency. These techniques may also be used to optimize operations within a customer’s facility. The U.S. Department of Energy has supported the GridWise ® Architecture Council (“the Council”) in developing a conceptual framework for developing architectures and designing solutions related to TE. The goal of this effort is to encourage and facilitate collaboration among the many stakeholders involved in the transformation of the power system and thereby advance the practical implementation of TE.

24 POWER TRANSMISSION AND DISTRIBUTION↗

Future Electric Power Industry and Grids—Now What Again is Our Destination?

Having a vision that others agree to support and work toward is highly desirable but hard to achieve. We seem to lack a common and shared understanding of the vision—or worse, multiple visions (vivid mental images or documented statements) with varying areas of focus and details: • some appear to be similar but have differing underlying goals and characteristics, or • some reflect differing viewpoints as to effects on various stakeholders. These desirable and undesirable situations apply to realizing visions for enterprise and industry, including the electricity sector. Multiple industry stakeholder groups have developed goals, industry vision statements, and characterizations of the future. The viewpoints are promoted, discussed, refined by their stakeholder group, and often published to promote broad understanding and to inform or influence others. The GridWise Architecture Council asked itself how well-aligned these characterizations of the future are. If these publications collectively set the overall direction for the industry, it is useful to identify their answers to questions such as, where is the electric industry headed, guided by what objectives, and with what role(s) for the customers, electric utilities, and other stakeholders? Are these goals, visions, and future states moving toward a common vision, do they provide value for the stakeholders, and are they likely to meet the objective stated? This paper addresses these questions via an assessment and characterization of a sampling of stakeholder groups’ publicly available vision and future state reports for the electricity industry. Identified electric power grid architectural topic areas needing further work are described, along with GridWise Architecture Council analysis and observation, potential collaborative work efforts, and suggested next steps.

24 POWER TRANSMISSION AND DISTRIBUTION↗

Creating a Transactive Energy Framework: Improving Reliability and Efficiency

The use of demand response and other flexible distributed resources over the past decade for market efficiency and grid reliability has grown dramatically. Federal and state policy objectives point to an important role for customer loads, generation and storage in the management of an increasingly unpredictable power system. As we consider the need to substantially scale the use of flexible distributed energy resources, there has been growing attention to the need to address not only the economics, but also the control system implications to ensure grid reliability. This has led to a focus on an area of activity called “Transactive Energy.” Transactive Energy refers to the combination of economic and control techniques that improve grid reliability and efficiency. These techniques may also be used to optimize operations within a customer’s facility. The Department of Energy has supported the GridWise® Architecture Council (“the Council”) to develop a framework to provide opportunity for collaboration among the many stakeholders involved in the transformation of the power system.

GWAC↗

Maturity Model for Advancing Smart Grid Interoperability

Abstract—Interoperability is about the properties of devices and systems to connect and work properly. Advancing interoperability eases integration and maintenance of the resulting interconnection. This leads to faster integration, lower labor and component costs, predictability of projects and the resulting performance, and evolutionary paths for upgrade. When specifications are shared and standardized, competition and novel solutions can bring new value streams to the community of stakeholders involved. Advancing interoperability involves reaching agreement for how things join at their interfaces. The quality of the agreements and the alignment of parties involved in the agreement present challenges that are best met with process improvement techniques. The GridWise® Architecture Council (GWAC) sponsored by the United States Department of Energy is supporting an effort to use concepts from capability maturity models used in the software industry to advance interoperability of smart grid technology. An interoperability maturity model has been drafted and experience is being gained through trials on various types of projects and community efforts. This paper describes the value and objectives of maturity models, the nature of the interoperability maturity model and how it compares with other maturity models, and experiences gained with its use.

IEEE↗

Distributed Smart Grid Asset Control Strategies for Providing Ancillary Services

With large-scale plans to integrate renewable generation driven mainly by state-level renewable portfolio requirements, more resources will be needed to compensate for the uncertainty and variability associated with intermittent generation resources. Distributed assets can be used to mitigate the concerns associated with renewable energy resources and to keep costs down. Under such conditions, performing primary frequency control using only supply-side resources becomes not only prohibitively expensive but also technically difficult. It is therefore important to explore how a sufficient proportion of the loads could assume a routine role in primary frequency control to maintain the stability of the system at an acceptable cost. The main objective of this project is to develop a novel hierarchical distributed framework for frequency based load control. The framework involves two decision layers. The top decision layer determines the optimal gain for aggregated loads for each load bus. The gains are computed using decentralized robust control methods, and will be broadcast to the corresponding participating loads every control period. The second layer consists of a large number of heterogeneous devices, which switch probabilistically during contingencies so that aggregated power change matches the desired amount according to the most recently received gains. The simulation results show great potential to enable systematic design of demand-side primary frequency control with stability guarantees on the overall power system. The proposed design systematically accounts for the interactions between the total load response and bulk power system frequency dynamics. It also guarantees frequency stability under a wide range of time varying operating conditions. The local device-level load response rules fully respect the device constraints (such as temperature setpoint, compressor time delays of HVACs, or arrival and departure of the deferrable loads), which are crucial for implementing real load control programs. The promise of autonomous, Grid Friendly™ response by smart appliances in the form of under-frequency load shedding was demonstrated in the GridWise Olympic Peninsula Demonstration in 2006. Each controller monitored the power grid voltage signal and requested that electrical load be shed by its appliance whenever electric power-grid frequency fell below 59.95 Hz. The controllers and their appliances responded reliably to each shallow under-frequency event, which was an average of one event per day and shed their loads for the durations of these events. Another objective of this project was to perform extensive simulation studies to investigate the impact of a population of Grid Friendly™ Appliances (GFAs) on the bulk power system frequency stability. The GFAs considered in this report are represented as demonstration units with water heaters individually modeled.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

Interoperability Maturity Model

This document presents the relevant concepts for specifying criteria that support a grid modernization strategic vision for interoperability. It focuses on the ways to assess levels of interoperability. The assessment of interoperability needs to clearly show the relationship to interoperability and provide the necessary data to create a roadmap for how to improve interoperability. A key point to understand is that interoperability has several crucial elements, any of which may have areas for improvement. To measure interoperability, it is helpful to focus on specific areas based on the objectives of the stakeholders that are initiating the desired interoperability advancement. The measurement tool for interoperability allows the measurement tool and the area to which it is being applied to be segmented and applied in various ways. The measurement tool is based on, and developed from, the GridWise® Architecture Council’s (GWAC’s) Beta release of its Interoperability Maturity Model (GWAC 2011). As such, it represents an evolution of that approach, so the working name used in this document is IMM.

24 POWER TRANSMISSION AND DISTRIBUTION↗

A Practical Introduction to Common Grid Architecture Techniques

The focus of this white paper is to understand the uses and benefits of the practice of Grid Architecture from various stakeholder perspectives. It introduces a few selected Grid Architecture techniques based on their centrality to understanding key structural considerations and their linkage to emerging trends in electricity infrastructure. However, Grid Architecture has many dimensions, some of which exceed the scope of this limited work. This document is a work of the GridWise Architecture Council (GWAC). It is based on guidance from GWAC's Grid Architecture working group members of which have been acknowledged in the document.

24 POWER TRANSMISSION AND DISTRIBUTION↗

Interoperability Strategic Vision

The Interoperability Strategic Vision whitepaper aims to promote a common understanding of the meaning and characteristics of interoperability and to provide a strategy to advance the state of interoperability as applied to integration challenges facing grid modernization. This includes addressing the quality of integrating devices and systems and the discipline to improve the process of successfully integrating these components as business models and information technology improve over time. The strategic vision for interoperability described in this document applies throughout the electric energy generation, delivery, and end-use supply chain. Its scope includes interactive technologies and business processes from bulk energy levels to lower voltage level equipment and the millions of appliances that are becoming equipped with processing power and communication interfaces. A transformational aspect of a vision for interoperability in the future electric system is the coordinated operation of intelligent devices and systems at the edges of grid infrastructure. This challenge offers an example for addressing interoperability concerns throughout the electric system.

24 POWER TRANSMISSION AND DISTRIBUTION↗