1. SMART GRID: What is it? Opportunities, and Challenges
Dr. Damir Novosel
IEEE PES President Elect
President, Quanta Technology LLC
May 15, 2015

2. Uniquely critical infrastructure providing an "enabling function"
U.S. Electric Grid
Uniquely critical infrastructure providing an "enabling function"
National Academy of Engineers: Top engineering achievement affecting the quality of life
10,000 power plants
150,000 miles of high-voltage transmission lines and 375,000 towers
Millions of miles of lower-voltage distribution lines and 30M poles
More than 12,000 substations
40 to 60 years old grid requires transformation to a modern grid
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3. Old Grid
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How to develop more redundant, less vulnerable, and safe grid to meet the energy needs of society?

4. Enabling Electric Transportation
Modern Grid
Electrical vehicles
Smart Grid uses advanced technologies to improve the grid performance to meet the energy needs of society:
Engaging Consumers
Enhancing Efficiency
Ensuring Reliability
Enabling Renewables
Enabling Electric Transportation

5. U.S. Outage Cost = $125 Billion/Year (DOE)
Grid Resilience: Challenges and Opportunities
Asset Management: Aging Infrastructure, Reliability, Grid Hardening – Weather and Security (Physical & Cyber)
Distributed Resources, Microgrids, Electric Vehicles
Demand Side Innovations
Environmental Needs
Plant Retirements and Natural Gas Usage and Electrical Interdependency
Competitive Transmission
U.S. Outage Cost = $125 Billion/Year (DOE)
Complex grid structures require "Smart Grid" solutions
Equipment with gunshot damage
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6. Grid Transformation Smart Grid Investments
Transmission made smarter with enhanced monitoring, protection & control
Distribution transformed with automation & feeder optimization
Demand response w/smart meters
Utility grade battery storage
Enabling microgrids adoption, "behind the meter“ distributed energy resources, and Electrical Vehicle requires a robust, hybrid T&D grid – Grid connection required for reliability and market reach
Smart Cities - How will electrical system help improve the livability, workability and sustainability
Geothermal
Biomass
MSW/LFG
Wind
Solar
Conventional hydropower
2000
2010
2020
2030
2040
2012
History
Projections
600
500
400
300
200
100
Non-Hydro Renewable Sources Grow 3.2% Annually Game Changer – Solar Grows 7.5% Annually

7. Energy’s Critical Role in Smart Cities
Smart meters on every home and building give residents and the utility invaluable information about energy use, leading to greater efficiency, improved reliability and cost savings.
Alternative energy reduces the need for fossil-fuel generation.
The communications network that connects smart meters can often be used for other city purposes.
Visualization and analytics provide full situational awareness of what is going on with the electric power and gas systems.
Source: ComEd
Clearly defined interconnection standards make it easy for residents to plug solar and wind into the grid.
Automation equipment can execute protection schemes in microseconds, minimizing outages.
Automated outage management detects disturbances and isolates areas before they create a cascading blackout.
Electrical Vehicles (EVs) reduce fossil fuel consumption and increase energy independence. They can fortify the grid and increase the integration of renewable energy

8. Building a Stronger, Smarter Grid
What is Required?
Reinforcing the transmission system to provide access to renewable resources
Transformation into a modern grid with coordinated planning and operations and use of automation and communications
Integrating new types of generation and new loads into the system
Distributed and variable generation resources, storage, microgrids
Demand response
Electrical vehicles
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9. Smart Grid Highly Instrumented Advanced Sensors & Computing
Example:
1,700 networked GPS-synchronized measurements, funded by DOE Smart Grid Investment Grants and private sector funds
Source: North American Synchro- Phasor Initiative (NASPI)
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10. What Value Can Smart Grid Offer?
4/19/2017
What Value Can Smart Grid Offer?
More resilient and more efficient grid: REDUCED OUTAGE COST U.S. Outage Cost = $125B/Year (DOE)
Enhanced ability to ACCOMMODATE RENEWABLES, CUSTOMER GENERATION, MICROGRIDS
Ability to handle ELECTRIC TRANSPORTATION
NEW/BETTER SERVICES for consumers
Seamless DEMAND RESPONSE OPTIONS and SYSTEM EFFICIENCY
Opportunity to include CYBERSECURITY and DATA PRIVACY into architecture/ protocols
• More resilient grid -- More data, hence much faster response to disturbances & recovery, potential avoidance
• More efficient grid – More data, hence closer to optimal “dispatch” capability
• Enhanced ability to accommodate variable resources (renewables), distribution-side generation, microgrids
• Ability to handle and integrate electric transportation into the grid
• Opportunity to integrate cybersecurity and data privacy into architecture/ protocols
• Opportunity to create better services for consumers
• Opportunity to seamlessly respond to demand profile changes and integrate demand response
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11. 4/19/2017
How Congress Can Help
Support regulatory policies for coordinated & consistent approach in simultaneously managing assets: Aging infrastructure, Grid hardening, and System reliability
Development of regional planning and operational tools to more accurately forecast renewable resource, energy load, market price, and the availability of natural gas supply for generators
Developing sensors and tools to monitor, protect and control the grid and prevent wide-spread blackouts
System
Reliability & Capability
Sustainability & Business Goals
Capital/O&M
Budgets
Aging
Infrastructure
Grid Hardening
Holistic Asset Management
• More resilient grid -- More data, hence much faster response to disturbances & recovery, potential avoidance
• More efficient grid – More data, hence closer to optimal “dispatch” capability
• Enhanced ability to accommodate variable resources (renewables), distribution-side generation, microgrids
• Ability to handle and integrate electric transportation into the grid
• Opportunity to integrate cybersecurity and data privacy into architecture/ protocols
• Opportunity to create better services for consumers
• Opportunity to seamlessly respond to demand profile changes and integrate demand response
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12. 4/19/2017
How Congress Can Help
Promote incentives for the development of new transmission
Continue supporting power electronics and control applications for renewable generation, electrical vehicles, and other equipment
Develop low-cost distributed energy storage technologies, microgrids, and demand response for integration of distributed generation
Develop and support new types of generation and new uses of electricity for fuel and usage diversity
Regulatory policy for connecting microgrids should support value creation and enable both incumbent utilities and energy service companies to develop it
• More resilient grid -- More data, hence much faster response to disturbances & recovery, potential avoidance
• More efficient grid – More data, hence closer to optimal “dispatch” capability
• Enhanced ability to accommodate variable resources (renewables), distribution-side generation, microgrids
• Ability to handle and integrate electric transportation into the grid
• Opportunity to integrate cybersecurity and data privacy into architecture/ protocols
• Opportunity to create better services for consumers
• Opportunity to seamlessly respond to demand profile changes and integrate demand response
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13. 4/19/2017
How Congress Can Help
Improve grid communication and interoperability through timely development of Smart Grid standards and roadmaps
Put selected standard development on a “fast-track”
Address cyber security issues
Develop an institutional infrastructure for testing and certification of products to be compliant with Smart Grid standards
Resolve technical and jurisdictional issues associated with equipment and devices that operate across institutional, regulatory, and information architectural boundaries (e.g. grid spare parts)
Support energy sector workforce training programs, apprenticeships and best practices, including military veterans transition
• More resilient grid -- More data, hence much faster response to disturbances & recovery, potential avoidance
• More efficient grid – More data, hence closer to optimal “dispatch” capability
• Enhanced ability to accommodate variable resources (renewables), distribution-side generation, microgrids
• Ability to handle and integrate electric transportation into the grid
• Opportunity to integrate cybersecurity and data privacy into architecture/ protocols
• Opportunity to create better services for consumers
• Opportunity to seamlessly respond to demand profile changes and integrate demand response
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