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MINISTRY OF ENERGY Energy Storage Presentation to APPrO Storage Symposium November 19, 2014.

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Presentation on theme: "MINISTRY OF ENERGY Energy Storage Presentation to APPrO Storage Symposium November 19, 2014."— Presentation transcript:

1 MINISTRY OF ENERGY Energy Storage Presentation to APPrO Storage Symposium November 19, 2014

2 MINISTRY OF ENERGY 2 From Today’s Grid….to Tomorrow’s Grid From less integration… Today’s grid: electricity wires and connections are the focal point of the grid …to greater integration Tomorrow’s grid - the distribution, exchange of information and integration of technologies become the focus Technology is evolving. The grid of tomorrow will be very different than the grid of today.

3 MINISTRY OF ENERGY 3 Ontario Policy Framework for Smart Grid The Green Energy Act has provided guidance on smart grid for Ontario, including the vision to enable innovative technologies such as energy storage. Power System Flexibility Enable more renewables and better efficiency in grid operation Adaptive Infrastructure Encourage more innovation and ensure adaptivness to future conditions (e.g. electric vehicles) Customer Control Enable more conservation through a shift to smarter homes Mobile charging infrastructure to support EVs Storage opportunities Enabling innovative technologies More Innovation Customer based micro-generation More distributed generation, used more efficiently (i.e. less transmission investment) Cleaner supply and lower costs Smart meters Time-of-use rates Home Energy Management Load control More Conservation Expected Outcomes Focus Area

4 MINISTRY OF ENERGY Ontario is Active in All Aspects of Storage 4 Bulk System Support:  Ancillary Services  Renewables Integration  Peak Shaving  Reserve Capacity Bulk System Support:  Ancillary Services  Renewables Integration  Peak Shaving  Reserve Capacity Tx Support:  Congestion & Loss reduction & Investment Deferral  Renewables Integration  Grid support, power quality & reliability, etc. Tx Support:  Congestion & Loss reduction & Investment Deferral  Renewables Integration  Grid support, power quality & reliability, etc. Behind the Meter:  Customer back-up, power quality & reliability  DG Integration  Cost management Behind the Meter:  Customer back-up, power quality & reliability  DG Integration  Cost management Dx Support:  Loss reduction & Investment Deferral  DG & EV Integration  Grid support, power quality & reliability, etc. Dx Support:  Loss reduction & Investment Deferral  DG & EV Integration  Grid support, power quality & reliability, etc. 10’s - 100’s MW 10’s MW < 2 MW < 1 MW 50 MW IESO/OPA Procurements Under Consideration ~10 Demos Underway +Smart Grid Fund Energy storage is important for Ontario & the government recognizes its key role in grid modernization.

5 MINISTRY OF ENERGY Energy Storage in the Long Term Energy Plan 5 2013 LTEP Storage Initiatives:  50MW procurement process for storage by end of 2014  Work to address Regulatory Barriers  Providing opportunities for storage under the large renewables procurement (LRP)  Examining the opportunities for storage under net-metering and conservation policies  Independent study to establish the value of energy storage’s many applications

6 MINISTRY OF ENERGY Sector’s Innovation Challenge Utility investment in R&D is among the lowest across sectors (see graph) Only a few of the 80 utilities in the Province have the customer base required to attract large scale technology vendors and the sufficient balance sheet strength to pursue innovation. Traditional regulatory approval process has not been conducive to rapidly evolving technology and is only beginning to evolve with the OEB’s Renewed Regulatory Framework for Electricity. The sector’s low innovation performance has been a long-standing challenge for advancing technologies like energy storage, and also became a catalyst for Ministry of Energy to create the Smart Grid Fund program. 6 CANADA INDUSTRIAL R&D INTENSITIES (R&D SPENDING RELATIVE TO REVENUES) Source: Mowat Centre

7 MINISTRY OF ENERGY Smart Grid Fund The Smart Grid Fund (SGF) is a $50M competitive grant program designed to leverage Ontario’s advantages in the energy sector and build the smart grid industry by funding technology demonstration projects on Ontario’s distribution system. SGF has three objectives: advance Smart Grid in Ontario, support economic development, and reduce the risk and uncertainty in electricity sector investments. Since launched in 2011, SGF has supported over 15 projects with more to be announced in the near future. The program has created over 600 jobs and leveraged over $100M in investment. SGF Technology Areas Sample SGF Portfolio Organizations 7 Behind the Meter Data Analytics Microgrids Grid Automation DG & Storage EV-Grid Integration

8 MINISTRY OF ENERGY Smart Grid Fund & Energy Storage 8 Energy Storage was a focus area for the most recent call for applications. The projects below have been recently announced and incorporate forms of storage. More storage projects will be announced in the near future. Projects Examples Featuring Storage

9 MINISTRY OF ENERGY Other Activities to Keep Pulse on Innovation 9


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