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Roadmapping the California Smart Grid Through Risk Retirement

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Roadmapping the California Smart Grid Through Risk Retirement 12 !"#$%&'()*+,-&(+')(-& & & ()$./$''"#0&-1+&,$%"!)(#"$& 2/$(-&0(".&-1()301&("24& (+-"(+/+#-& & -56789:9;<&/=8>?=6@>A5A&=8B&C58B9A& '5ADE56@FG5! "#$%&#$'!()#*! +&,-()#.-&!/.$#01!+)22-33-).! "#$%&#$'!41*! 5676!8$9!"#)%:,3-).!;&4)#&9)#1<!+&,-()#.-&!=.39-9:9$!)(!>$?@.),)01! !"#$%&$'()*+,( -./(01234567(089*:;;('5<=>=16(?@( A()*+,(BCD=E1F6=C(G6>7=7375(1E(H52I61D1JK@( L1<5F64567(>M16>1F>I=M(C2N61OD5PJ5P@( ( Prepared by: Primary Authors: David M. Tralli Robert W. Easter Martin S. Feather Gerald E. Voecks NASA Jet Propulsion Laboratory 4800 Oak Grove Drive Pasadena, CA 91109 818-354-1835 www.jpl.nasa.gov Contract Number: 500-09-021 Prepared for: California Energy Commission Matt Coldwell Contract Manager Mike Gravely Office Manager Energy Systems Research Office Laurie ten Hope Deputy Director ENERGY RESEARCH AND DEVELOPMENT DIVISION Robert P. Oglesby Executive Director DISCLAIMER This report was prepared as the result of work sponsored by the California Energy Commission. It does not necessarily represent the views of the Energy Commission, its employees or the State of California. The Energy Commission, the State of California, its employees, contractors and subcontractors make no warrant, express or implied, and assume no legal liability for the information in this report; nor does any party represent that the uses of this information will not infringe upon privately owned rights. This report has not been approved or disapproved by the California Energy Commission nor has the California Energy Commission passed upon the accuracy or adequacy of the information in this report. ACKNOWLEDGEMENTS GE Global Research Workshop Additional Participants John Garrity Michael Mahony Workshop #1 (Caltech, Pasadena) Andrew Reid Peter Meiesen, Global Energy Network John Kern Institute Michael Krok Helen Tocco, Think Energy, Inc. Eliot Assimakopoulos Michael Hindus, Pillsbury Winthrop Balki Iyer Shaw Pittman LLP John Quandt Jon Pietruszkiewicz, Black & Veatch Matt Lecar Chris Eich, Enphase Energy Greg Mungas, Firestar Technologies, LLC A123 Systems Kirk Neuner, Greenwich Blackhawk Charlie Vartanian Trung Soai, SolarReserve Eric Hsieh David Kaufman, Honeywell Steve Clarke, Applied Intellectual Capital American Council on Renewable Energy (ACORE) Workshop #2 (Energy Commission, Tom Weirich Sacramento) Jan Siler Matt Coldwell (Energy Commission PIER) Jamie Patterson (Energy Commission National Electrical Manufacturers PIER) Association (NEMA) Paul Molitor Workshop #3 (AT&T, Washington DC) Jeff Dygert, AT&T Gas Technology Institute Brian C. Meeley, Potomac Kiran Kothari Communications Group, Inc. Tim Kingston James Filanc, Southern Contracting Chris Ziolkowski Sanjay Parthasarathy, Honeywell Robert Thomas Brown Company Bob Danziger FuelCell Energy And the 214 ACORE and NEMA members Pinakin Patel who responded to the Key Smart Grid Frank Wolak Attributes Survey SunPower Corp. Brock Laporte CALSTART Jasna Tomic’ ClearView Energy Partners John Allen i PREFACE This report documents a study conducted by the NASA Jet Propulsion Laboratory under contract to the California Energy Commission, Public Interest Energy Research Program. The nine-month study took place in the 2009-2010 timeframe and recommended key technology developments, system demonstrations and other actions on a roadmap to achieve the Smart Grid 2020 targets provided at that time. The smart grid in California remains a work in progress, as technologies continue to evolve and mature, and new understanding is gained from demonstrations and deployments to-date. Noteworthy aspects of the study are: • The perspective taken herein (as directed by the Energy Commission)—that of suppliers of smart grid goods and services— to our knowledge has not been collectively represented before. This perspective complemented two other studies (also commissioned by the Energy Commission) representing the investor-owned utilities and municipal utilities, respectively, in the State. • Much can be gleaned from the information gathered in the course of this study, which took primary inputs from more than 300 members of the smart grid stakeholder community. The study focuses on how this community can, over a decade or more, play a key role in origination, infusion, supply and maturation of innovative technologies into the California smart grid. Many of the findings are applicable to smart grids anywhere. • The Energy Commission currently has several microgrid grid demonstration projects underway around the State, and a modest-sized portfolio of relevant R&D projects. The study anticipated the growth of the interest in and perceived importance of microgrids in meeting challenges on both the supply and demand sides of the grid, as the penetration of renewables increases. This report, through its comprehensive roadmap, recommends ways to accelerate their maturation process and adoption into the California grid. As there’s still a need for a range of perspectives and ideas on how to meet California Smart Grid targets, the report’s primary findings are relevant today. Roadmapping the California Smart Grid Through Risk Retirement is the final report for the Defining the Pathway to the California Smart Grid 2020 project (Contract Number 500-09-021). ii ABSTRACT Variations in electricity demand, growth in generation with clean and distributed energy resources, and requirements for secure and reliable power set the context for assessing technology solutions for the California Smart Grid 2020. The smart grid is a complex engineering system that provides benefits to utilities, technology manufacturers and vendors, ratepayers, and to the State in meeting its integrated energy policy objectives. The smart grid is key to enabling the integration of renewable resources with more efficient grid operation, as distribution systems expand and the ratepayer participates more in energy management decisions. New business opportunities are arising, ranging from the manufacture of equipment and smart devices to third-party services. This report documents perspectives from a project team comprising manufacturers and vendors. The study used the Technology Infusion Maturity Assessment process and software tool, and addressed nine energy policy objectives, the combination of which achieves significant reduction of greenhouse gas emissions through clean energy supply and reduced electricity demand. Findings and recommendations are documented. Researchers present six cases that use fundamental smart grid technologies, encompassing selected communications and automation and other critical technologies, and end-use applications. Microgrids are highlighted as system architecture options that incorporate distributed energy generation, storage, and management versatility. Microgrids enable energy efficiency and operational advantages to accommodate the uncertainties in renewable energy supply, energy costs, climate change and natural events possible in the decades ahead. Time frames are given and are subject to real-world constraints associated with regulatory and policy changes, funding availability for technology development and demonstration, the evolution of key smart grid technologies as they are evaluated, and models developed and risks retired through pilots, followed by scaled-up deployments of smart grid technologies as a sustainable market takes hold. Keywords: Smart grid, greenhouse gas (GHG), microgrid, combined heat and power (CHP), distribution automation, demand response, Advanced Metering Infrastructure (AMI), energy efficiency, rooftop photovoltaics, electric vehicles, renewables, net zero energy construction, peak reduction, natural gas, energy storage, thermal energy, battery, fuel cell, biomass, hydrogen generation, distributed generation, systems engineering, risk retirement, grid parity, ratepayer, loading order Please use the following citation for this report: Tralli, David M., Robert W. Easter, Martin S. Feather, and Gerald E. Voecks, 2011. Roadmapping the California Smart Grid Through Risk Retirement. NASA Jet Propulsion Laboratory, California Institute of Technology, Pasadena, CA. California Energy Commission. JPL Document D-80955 Revision A. iii TABLE OF CONTENTS Acknowledgments ..................................................................................................................................... i PREFACE .................................................................................................................................................... ii ABSTRACT .............................................................................................................................................. iii TABLE OF CONTENTS .......................................................................................................................... iv LIST OF FIGURES AND TABLES ..................................................................................................... vii EXECUTIVE SUMMARY: California Smart Grid 2020 Roadmap .................................................. 1 The Integrated Roadmap ..................................................................................................................... 2 CHAPTER 1: Introduction to California Smart Grid 2020 Roadmap Study .................................. 5 1.1 Smart Grid Definition ..................................................................................................................... 6 1.2 The California Energy Landscape ................................................................................................. 7
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