“Building to Grid”: Enabling Buildings to Trade Their Energy 11:00 am - 12 noon Toby Considine Systems Specialist, Facility Services, University of North Carolina Chapel Hill and his online blog The New Daedalus Ken Sinclair, Editor/Owner Online Industry Magazine

“Building to Grid”: Enabling Buildings to Trade Their Energy We and International Exposition, the producer of AHR Expo 2008, welcome you to Chicago. It has been a stormy year of politics, economics and radical changes that cries for more change and reinvention of almost everything. Our buildings must be green while presenting a financial blue bottom line of sustainable connected real estate. Our existing stock of large buildings in North America, which uses 50% more energy than they should, presents a huge opportunity.

My name is Ken Sinclair, Editor/Owner This is Toby’s 2 nd year and my 10th year doing these sessions. Toby is a contributing editor and writes a monthly column for our online magazine Who are we and why are we here? Toby Considine Systems Specialist, Facility Services, University of North Carolina Chapel Hill

The vision of interactive buildings as full participants in the smart grid Building-to-Grid (B2G) interactions will create whole new business models outside buildings. Developing communication standards between building and grid will make the economic consequences of each operating decision visible. These communications will be critical to the development of Net Zero Energy (NZE) buildings. Economic service interactions will create new markets for building-based equipment and new models for building system integration.

B2G Events

Tuesday, Jan. 27 at 1:30 PM: B2G and Next Frontier for BACnet Jack Mc Gowan President & CEO Energy Control Inc. moderator David Holmberg NIST Building & Fire Research Lab Building Environment Division, Mechanical Systems and Controls Group Ronald E. Jarnagin is a staff scientist and program manager at Pacific Northwest National Laboratory

Cloud Computing is a name for putting computing services up in the wider network. Traditional control systems have no clouds – only towers in the sky For buildings, only the core processes, those elements on the traditional low voltage protocols such as BACnet and LON, are on the ground. Enterprise energy monitoring and building control, then, are in the low lying cumulus clouds. A well architected system does not put the EMCS center in the center of any control loops. TCP/IP is by design a non- deterministic protocol, meaning it does not belong inside a control loop. Anything off the ground is in the clouds. Anything in the clouds should interact using internet protocols.

Preparing Buildings for Trading Energy Toby Considine TC9, Inc University of North Carolina at Chapel Hill gmail.com

Setting Ken has already set the stage

Perspectives Infrastructure Analyst, UNC Facilities Services - 20 years of facility operations support - Architect of EBMS Chair, OASIS oBIX Technical Committee Co-Chair, OASIS Technical Advisory Board FIATECH Element 5 Co-Champion “The Self Maintaining and Self Repairing Facility” NIST Domain Expert Workgroup, Building to Grid NIST Emergency Response Situation Awareness Workgroup TC9 – product architecture and market alignment – Emerging Markets and Venture Technical Analysis

Today, building operation is a cost to be minimized, not source of income

Owners must manage risk before they will seek new revenue in energy trading

Learn standards-based interactions of autonomous agents to manage risk and open new markets

Today’s energy markets are dysfunctional because buildings aren’t full participants

Today's systems do things right rather than doing the right thing

Design for no complaints and using a fixed schedule

Most systems are designed in the field and discovered by the owner

Code compliance merely limits your revenue

Half of all energy generated is wasted due to poor coordination between buildings and grid

Wholesale power prices are regularly negative.

17% of generation capacity is used for less than 110 hours/year.

Power suppliers are will pay to make DR fulfillment a top priority.

Process integration limits building response to grid.

We’ll operate efficiently when we get the signal

Building owners will limit risk of tenant dissatisfaction

Owners will avoid risks they cannot quantify.

New business models require autonomous agents using enterprise standards.

Only agents can defend building systems from enterprise programmers

Diversity and complexity are barriers to interoperability

Each building system must defend its mission.

Systems must offer up information of value Live burn rates IAQ Emergency Situation Awareness

Enterprise standards are quite different than control protocols IP TCP ASCII / Unicode SMTP IMAP / POP3 HTML URIs

Security and Identity are part of every transaction

Enterprise protocols rely on discovery and abstraction WS-DD and WS-DP oBIX

Business interactions will replace process integration BACnet Load Control Object OpenADR WS-Calendar

Building systems will become aware of scarcity and value

Optimize systems for real time cost as well as for service availability.

Intra-building markets can create self-managing load.

Building analytics can be cloud- hosted.

Micro-markets in energy will drive system adoption

Give leasing agents the language to sell service performance

Target revenue generation rather than cost avoidance.

Energy suppliers will demand DR Fulfillment

Live prices will be used to set optimum schedules.

Net-Zero Energy buildings will have internal markets for energy use

Greater system diversity requires simpler integration than we use today. Energ y Use Energy Purchase Energy Storage Energy Conversion Situation Awareness Energy Recycling Energy Generation

Schedule results rather than processes.

The building agent will be your personal day trader in new energy markets

Agile economic interactions will enable E-Tech

Healthy building indices will counter-balance of energy efficiency

Distributed generation requires symmetrical interfaces

Shallow integrations allow rapid entry of new products.

Use enterprise techniques to enable B2G participation and work in new markets

Discussion For further information, contact me at: gmail.com