1. Success Stories in DOE’s ARRA Smart Grid Program
Steve Bossart, Senior Energy Analyst
Smart Grids & Microgrids for Government & Military Symposium
October 24-25, 2013, Arlington, VA. 

2. Topics OE ARRA Smart Grid Program OE ARRA Smart Grid Progress
Case Studies/Success Stories
Life After ARRA Smart Grid
Elements of OE ARRA smart grid program
Progress
Results, case studies, and successes
Challenge of smart grid deployment after ARRA

3. DOE OE ARRA
Smart Grid Program

4. Smart Grid ARRA Activities
American Recovery and Reinvestment Act ($4.5B)
Smart Grid Investment Grants (99 projects)
$3.4 billion Federal; $4.7 billion private sector
> 800 PMUs covering almost 100% of transmission
~ 8000 distribution automation circuits
> 15 million smart meters
Smart Grid Demonstration Projects (32 projects)
$685 million Federal; $1 billion private sector
16 storage projects
16 regional demonstrations
Biggest effort for smart grid in US is through the $4.5 B provided from ARRA.
SGIG emphasis is on building out smart grid in US. Thus , early efforts are on smart meter deployment, communications network, consumer displays, PMUs in transmission, early DA
SGDP is focused on demonstrating a fuller suite of smart grid applications and benefits. In a smaller service area.
Almost a $10 billion investment with funds from government and private sector
Still only a few percent of a national smart grid; EPRI (2011) $ billion over 20 years; Brattle $800 billion

5. Smart Grid ARRA Activities (continued)
Additional ARRA Smart Grid Activities
Interoperability Framework by NIST ($12M)
Transmission Analysis and Planning ($80M)
State Electricity Regulator Assistance ($49M)
State Planning for Smart Grid Resiliency ($52M)
Workforce Development ($100M)
Other ARRA smart grid activities include
Interoperability framework by NIST - SG Interoperability Panel
Transmission analysis and planning – ISO/RTO, NERC – improve planning within transmission RTO/ISO and between RTO/ISOs
State electricity regulator assistance – state and local government to process smart grid applications
State planning for SG resiliency – create and update energy assurance plans
Workforce development – universities, two-year colleges, trade schools, industry to train and educate next generation of electric utility workers and those already in utility workforce

6. Technology Deployment
Customer Systems
SGIG/SGDP Areas of Smart Grid Technology Deployment
Advance Metering Infrastructure
Electric Distribution Systems
Electric Transmission Systems
Displays
Internet portals
Direct load controls
Programmable thermostats
EV Chargers
Smart meters
Data management
Back office integration
Auto switches
Automated capacitors
Auto voltage regulators
Equipment monitoring
Energy Storage
Wide area monitoring
Synchrophasor Technology
Phasor data concentrators
Dynamic line rating
Equipment
Manufacturing
Energy devices
Software
Appliances
SG technologies deployed in SGIG and SGDP ranged from
Customer systems – displays, PCTs, EV chargers
AMI – meters, communications, data management
Distribution – DA, power quality, equipment health
Transmission – PMUs, DLRs
Equipment Manufacturing – connected appliances, smart meters,

7. ARRA Smart Grid Progress

8. SGIG Deployment Status
15.5 million residential and commercial smart meters
(11% US coverage )
Distribution automation equipment on about 8,000 circuits (Roughly 5% US coverage)
Over 800 networked phasor measurement units (nearly 100% US coverage)

9. Customer Devices in SGIG Projects

10. Customers with Smart Meters Enrolled in Pricing Programs in SGIG

11. Case Studies/Success Stories

12. Peak Demand Reduction from AMI, Pricing, and Customer Systems
Selected examples from SGIG projects reporting initial results
A subset of nine CS projects are conducting 11 rigorous studies of consumer behavior to estimate reductions in peak demand, shifts in demand from on-peak to off-peak periods, and reductions in overall electricity consumption. The studies also assess customer acceptance and retention. The nine projects are implementing experimental designs involving randomized assignment of participants to treatment and control groups to minimize bias and maximize the internal and external validity of the results. The projects are taking these steps because they are interested in determining the levels of impact with a high degree of statistical precision and accuracy.
Summary of results from the Demand Reduction Report published 12/2012. OG&E and MMLD are CBS projects.

13. AMI Improvements in Operational Efficiencies
Results from 15 projects due to automation of metering service tasks and
reductions in labor hours and truck rolls
Smart Meter Capabilities
O&M Savings
% Reduction
Remote meter reading
Remote service connections/disconnections
Meter Operations Cost
13-77
Vehicle Miles
12-59
Future SGIG examples to provide information on other benefits
Smart Meter Capabilities
Expected Benefits
Tamper detection and notification
Enables potential recovery of ~1% of revenues that may be lost from meter tampering
Outage detection and notification
Enables faster restoration (e.g., PECO avoided 6,000 truck rolls following Superstorm Sandy and accelerated restoration by 2-3 days)
Voltage and power quality monitoring
Enables more effective management of voltages for conservation voltage reductions and other VVO applications

14. Reliability Improvements from Automated Feeder Switching
Selected examples from SGIG projects reporting initial results
4 Projects involving 1,250 feeders
April 1, 2011 through March 31, 2012
Index
Description
Weighted Average (Range)
SAIFI
System Average Interruption Frequency Index (outages)
-22 %
(-11% to -49%)
MAIFI
Momentary Average Interruption Frequency Index (interruptions)
(-13% to -35%)
SAIDI
System Average Interruption Duration Index (minutes)
-18 %
(+4% to -56%)
CAIDI
Customer Average Interruption Duration Index (minutes)
+8 %
(+29% to -15%)
Examples:
Detroit Edison
In the portions of DTE’s service area that have new distribution automation devices, customers are seeing faster system restoration after outages. “This past summer we had a power outage caused by concurrent cable failures. With the new distribution management system analysis capabilities and remotely controlled switches, we were able to restore service within 30 minutes, instead of the eight hours it would have taken with the old technologies,” explains Heather Storey, Manager of DTE’s Smart Circuits Program
Florida Power and Light
For example, FPL’s SGIG-upgraded Transmission Performance and Diagnostic Center (TPDC) remotely monitors power transformers in 500 FPL substations. New bushing monitors – monitors that can detect and diagnose problems before they occur – have been installed on some of those transformers to evaluate the health of both the high and low voltage bushings, including capacitance, power factor, and the extent of current imbalance. Bushing failures can damage transformers, which means costly repairs and the possibility of extended service interruptions. In January 2012, a newly installed monitor detected an out-of-tolerance high voltage bushing. Customers served by this transformer were temporarily switched to another one, and the affected transformer was removed from service. Meanwhile, the faulty bushing was replaced, preventing an outage that would have affected several thousand customers.
Electric Power Board of Chattanooga
On April 27, 2011, EPB’s service territory was hit by the most damaging storm in the utility’s history. Nine tornados ripped through neighborhoods and business districts, impacting the entire EPB system. “The whole community was devastated by the damage done in terms of loss of life and property,” says David Wade, EPB Executive Vice President and Chief Operating Officer. “Three quarters of our customers — 129,000 residences and businesses — were out of power.”
In the wake of the April storm, EPB conducted the largest system restoration it has ever undertaken. When the storm hit, EPB had 123 smart switches in service, and only one of those switches went off line during the storm. Even though company staff spent days manually switching circuits that would have been automatically switched had the smart switches been fully deployed, restoration was improved with the data from the initial switches and other sensing devices. EPB was able to avoid sending repair crews out in the field 250 times since the data provided outage information not previously available. Restoration was formerly done by EPB dispatchers sending repair crews to outage locations only after customers informed the company of such outages, costing time, money and longer outage periods.
During the storms, the smart switches proved to be very valuable as thousands of hours of outage time were avoided due to the devices and automation already installed. Moreover, the experience with the new devices and automation indicates that EPB is on track to realize significant improvement once all of the automation is complete. Information derived from the smart switches will help the company analyze the impact of storms and will be useful for future planning purposes. "We expect the number of customer-minutes lost to power outages to be down by 40 percent or more, and that's something that will benefit customers throughout the whole area,” said Jim Glass, Manager of Smart Grid Development at EPB. EPB officials estimate the increased reliability from its project is worth at least $35 million a year to Chattanooga area businesses and homeowners.
Weighted average based on numbers of feeders

15. Value of Service from Improvements in Reliability
Selected example from an SGIG project reporting initial results
1 project involving 230 automated feeder switches on 75 circuits in an urban area
From Apr 1 – Sep
SAIDI improved 24%; average outage duration decreased from 72.3 to 54.6 minutes
Estimated Average Customer Interruption Costs US 2008$ by Customer Type and Duration
Customer Type
Interruption Cost Summer Weekday
Interruption Duration
Momentary
30 mins
1 hr
4 hr
8 hr
Large C&I
Cost Per Average kWh
$173
$38
$25
$18
$14
Small C&I
$2,401
$556
$373
$307
$272
Residential
$21.6
$4.4
$2.6
$1.3
$0.9
Value of service is a measure of the amount that customers are willing to pay for electricity. It is used by many utilities in power system planning for determining the amount of new capacity needed to keep the system reliable and customers satisfied.
VOS is estimated through surveys of customers involving sophisticated questionnaires and statistical models to determine their “willingness to pay” and from analysis of actual outage costs to customers from events.
For the past decade, DOE-OE has supported data collection and analysis activities at LBNL on VOS. LBNL has published several reports including one that estimates national annual outage costs at about $75 billion. The LBNL studies are based on a “meta” analysis of value of service studies conducted by dozens of utilities across the country.
LBNL, and its consultant, Freeman-Sullivan Group, has developed a downloadable analysis tool for applying value of service estimates to determine the monetary benefits from reliability improvements. The Interruption Cost Estimate (ICE) calculator is available from smartgrid.gov.
Estimated monetary value of this improvement in reliability based on value-of-service data is $21 million
VOS Improvement Δ = Δ SAIDI x Customers Served x Avg Load x VOS Coefficient
VOS Estimate for SAIDI Improvement on 75 feeders from Apr 1 to Sep
Customer Class
Δ SAIDI
Customers Served within a Class
Average Load (kW) Not Served
VOS Coefficient ($/kWh)
Δ VOS
Residential
17.7 mins
(0.295 hrs)
107,390 2 $
$ 164,736
Commercial
8,261 20 $
$ 18,179,477
Industrial
2,360
200 $
$ 3,481,325
Total
118,011
$ 21,825,537
Sullivan J, Michael, 2009 Estimated Value of Service Reliability for Electric Utility Customers in the US, xxi

16. Applying Volt/VAR Optimization to Improve Energy Efficency
Conservation voltage reduction (CVR) reduces customer voltages along a distribution feeder for lowering peak demands and overall energy consumption
Example Using SGIG Project Data
Energy and Capacity CVR Factors
Results averaged across 11 circuits
% Reductions
Potential savings for a 7 MW peak circuit with 53% load factor
Customer Energy Reduction
2.9%
943 MWh/year
$75,440
(at $.08/kWh)
Peak Demand Reduction 3%
210 kW
Defer construction of peaking plants
Customer Voltage
“CVR-off” voltage profile
Voltage reduced by adjusting the LTC set-points
“CVR-on” voltage profile
OG&E Example:
Implementing control algorithms to set voltage levels at the substation
Applying smart meter data
Capability turned on when power price exceeds $0.22/kWh
Achieved 8 MW reduction from application of CVR technologies on 50 circuits during peak periods in the Summer 2011
Goal – 74 MW reduction over 400 circuits by 2017 (SGIG contributes 16 MW)
Typical feeder is approximately 5 MW; however, utilities are targeting larger, heavier-loaded feeders to apply CVR. Therefore, used a 7 MW feeder in the example. (PNNL estimated that targeting 40% of the feeders nationwide for CVR results in 80% of the energy savings benefits nationwide)
Studies dating back to the 1980s have shown that small reductions in distribution voltage can reduce electricity demand from customer equipment and save energy. This has become known as “conservation voltage reduction (CVR)”.
Recent utility pilot programs have demonstrated that lowering distribution voltage by 1% can reduce demand and energy consumption by 1% or more.
Distribution Source Voltage
Distance along circuit 16

17. Case Study Investor-Owned Utility

18. Smart transformers report on health and status to FPL control centers
Florida Power and Light (FPL)
Smart Grid Solutions Strengthen Electric Reliability and Customer Services in Florida
Key Activities
3 million smart meters being installed with pilot programs testing customer systems and time-based rate programs.
Thousands of substation devices for automating switches, capacitors, transformers, and regulators and equipment health monitors at substations.
45 phasor measurement units and supporting transmission line monitors.
Aims and Strategies
Improve reliability by monitoring key transmission and distribution equipment for preventative maintenance and avoidance of outages.
Make operational efficiency improvements by reducing truck rolls for service calls by automating meter functions.
Engaging customers through information exchange via web portals and pilot programs with customer systems and time-based rates
Results and Benefits
In January, 2012, monitor detected an out-of-tolerance high voltage bushing and customers served by this transformer temporarily switched to another one. Meanwhile, the faulty bushing replaced, preventing an outage that would have affected several thousand customers.
In September, 2011, an alarm signaled a potential problem with a degraded phase on a capacitance voltage transformer. Field engineers located the damaged transformer, removed the affected transmission line section from service, and replaced the defective device thus preventing an extended outage and that could have affected several thousand customers.
One of SGIG’s largest and most comprehensive projects
Smart transformers report on health and status to FPL control centers
Talking Points
The Florida Power & Light (FPL) project is deploying advanced metering infrastructure (AMI), distribution automation, new electricity pricing programs, and advanced monitoring equipment for the transmission system.
AMI supports two-way communication between FPL and its 3 million consumers receiving smart meters associated with the DOE grant, providing detailed information about electricity usage and the ability to implement new electricity pricing programs.
New distribution automation devices expand the functionality of FPL’s distribution system to increase reliability, reduce energy losses, and reduce operations and maintenance costs.
Synchrophasor and line monitoring devices help increase the reliability and security of the transmission system.
Equipment:
Advanced Metering Infrastructure
Automated Capacitors
Automated Distribution Circuit Switches
Automated Voltage Regulators
Distributed Energy Resource Interface
Distribution Automation
Equipment Condition Monitor
Home Area Network
In-Home Display
Phasor Measurement Unit (PMU)
Smart Meter - Industrial
Transmission Line Monitoring System
Targeted Benefits:
Reduce Electricity Costs for Customers
Reduced Meter Reading Costs
Reduced Operating and Maintenance Costs
Improved Electric Service Reliability and Power Quality
Reduced Costs from Equipment Failures and Theft
Reduced Greenhouse Gas Emissions
Reduced Truck Fleet Fuel Usage
Facts & Figures
Total Project Budget: $578,000,000
Federal Share:
$ 200,000,000
FPL Facts:
4.5 million customers
70,000 miles of power lines
16 power plants

19. Case Study Electric Cooperative

20. eEnergy Vermont A State-Wide Strategy for Smart Grid Development
Utilities working together to modernize the grid.
Key Activities
Smart metering roll-out for outage management and time-based rates for demand response.
Distribution system automation including switches, reclosers, SCADA, and communications backbone systems.
Consumer behavior studies by Vermont Electric Cooperative (VEC)and Central Vermont Public Service to assess customer acceptance, response, and retention.
Aims and Strategies
A collaborative effort involving all of the state’s electric distribution companies to modernize Vermont’s electric grid and foster economic growth as part of the state’s “eState Initiative” with telecommunications and health care.
Results and Benefits
VEC’s outage management system has improved SAIFI by 50% and CAIDI by 40% since installed in 2008.
VEC’s smart metering roll-out and outage management system has a 5 year payback period from operational saving alone.
VEC received POWER Magazine’s first “Smart Grid Award” in August for its pioneering efforts in outage management.
Restoration of the grid from Tropical storm Irene occurred quicker and with greater customer awareness of repair schedules due to smart meters, web portals, and more effective outage management.
Vermont Electric Cooperative’s Smart Grid Operations Center
Facts & Figures
Total Project Budget: $137,857,302
Federal Share:
$69,928,650
Distribution Automation:
47 circuits and substations
Smart meters:
311,380
Time-Based Rates:
1,500 customers targeted
Talking Points
Tropical storm Irene hit several eastern states during August 2011 and caused flooding, wind damage, and power outages. In Vermont, restoration of the power grid was accomplished more efficiently than in other places because of smart grid investments by the utilities there, some of which were made possible by eEnergy Vermont, a $138 million Smart Gird Investment Grant (SGIG) project involving $69 million in Recovery Act funds.
Striving for a more competitive position in the global economy, eEnergy Vermont is part of a broader “eState Initiative” that includes telecommunications and health care and involves broadband and advanced information technologies deployed throughout the state.
The project is already playing a role in Vermont’s economy. For example, a business in northern Vermont is expanding and plans to triple its electric demand from 5 to 15 megawatts over the next three years. By employing smart grid approaches to peak load management and energy efficiency, the serving utility says they will be able to make the business one of the state’s “most efficient electric customers.”
Of the eEnergy Vermont utilities, VEC is furthest along the smart grid learning curve. since 2008, when VEC’s outage management system was completed, improvements have been realized in two key reliability indicators: the System Average Interruption Frequency Index decreased 50% and the Customer Average Interruption Duration Index decreased 40%. Participation in eEnergy Vermont enabled VEC to extend its smart meter roll-out to 100% of customers and to install automation equipment and SCADA systems on most of its substations.
For these and other reasons, POWER Magazine gave VEC its first “POWER Smart Grid Award” in August 2011 saying, “A cooperative in northern Vermont serving a largely rural area has proven that even small utilities can achieve great smart grid results by planning wisely. For improving service to its members by developing a grid modernization strategy before “smart grid” was a buzz phrase, Vermont Electric Cooperative is the winner of the first POWER Smart Grid Award.”
Participation in eEnergy Vermont has also been an opportunity for VEC to make workforce improvements. VEC has retained all positions and there have been no significant job losses even with the economic slowdown and the efficiency improvements from the smart grid investments. VEC now has a new “Substation Automation Group” comprised of 4-5 new positions, several of which were filled by retraining former meter technicians.
DRAFT v. 1

21. Case Study Municipal Power

22. Smart switches help ensure grid reliability and power quality
Electric Power Board of Chattanooga
Improved System Restoration
Key Activities
EPB’s Smart Grid Project covers 600 miles throughout 9 counties of Georgia and Tennessee affecting 170,000 customers.
Installing automated feeder switches, automated circuits, advanced SCADA, AMI, in-home displays, and communications infrastructure.
Aims and Strategies
Electric Distribution System Automation – installing automated feeder switches and sensor equipment for distribution circuits that can be used to detect faults and automatically switch to reroute power and restore all other customers.
Communications Infrastructure – includes fiber optic systems that enable two-way communication between the meters, substations, and control office which provides EPB with expanded capabilities and functionality to optimize energy delivery, system reliability, and customer service options.
Results and Benefits
During the April 2011 storms, three fourths of EPB customers – 129,000 residences and businesses – lost power.
Smart switches avoided thousands of hours of outage time due to the devices and automation already installed
  EPB was able to avoid sending repair crews out 250 times
Integrating Smart Grid Applications
Smart switches help ensure grid reliability and power quality
Facts & Figures
Total Project Budget: $226,707,562
Federal Share: $111,567,606
Equipment Deployed:
Smart Switches: 1,500 AMI:170,000
Direct LC Devices: 5,000
HEMS: 5,000
Thermostats: 5,000
Automated Circuits:164
Talking Points
EPB’s service territory (portions of TN and GA) experiences frequent severe weather. More than half of its customers lost power during April 2011 tornadoes, but already installed smart switches enabled fast system restoration for most customers.
The smart switches are able to remotely detect customer outages, isolate damaged sections of their power lines, and restore power to customers more quickly and for much less cost.
EPB expects customer-minutes lost to power outages to decrease by 40% or more as a result of the system upgrades.
EPB will also upgrade its SCADA system, which will improve system controllers’ ability to see events happen in real time over the entire EPB service territory.
Advanced metering infrastructure with improved two-way communications capabilities will also be deployed throughout EPB’s service territory.
Project facts and figures:
Total budget: $227 million
Federal share: $111.5 million
- 170,000 customers
- Service territory of approximately 600 square miles
- One of the largest publicly-owned power providers in the U.S.
DRAFT
DRAFT v. 1

23. Life After ARRA Smart Grid Program

24. Life After ARRA Smart Grid Program
Build and maintain momentum
Make business case
Identify, allocate, and quantify benefits
Identify and quantify costs
Address technical issues
Address regulatory issues
Address customers concerns
Key is to build and maintain momentum of ARRA smart grid program
Make the business case for electric service providers and consumers that benefits outweigh costs
Identify, quantify, and monetize benefits and allocate to utility, consumer, and society
Identify and quantify incremental costs
Address technical issues such as interoperability, cyber, communications, controls, stability
Address regulatory issues of allocation of costs and benefits and recovery of costs; address issues with costs outweighing benefits during early implementation
Address consumers concerns such as privacy, benefits, cyber risks, comfort and convenience, understanding

25. Contact Information
Steve Bossart
(304)
Federal Smart Grid Website
Smart Grid Clearinghouse
Smart Grid Implementation Strategy
Questions ?