Micro Grid Technologies

December 6, 2017

What are Micro Grids? A discrete energy system consisting of distributed energy sources (including demand management, storage, and generation) and loads capable of operating in parallel with, or independently from, the main power grid.

Agenda

1 The Traditional Grid

2 The Evolving Grid

3 Micro Grids

4 Energy Storage

Safety Moment Frost, Windshields, and Safe Driving

The Traditional Grid

The Traditional Grid • Central generation facilities

• Nuclear, thermal and Hydro Generation

• Transmission system • <69 kV

• Large-users directly connected to transmission system

• Local delivery of lower voltages (27.6 kV and 34.5 kV) by electric power utilities

• Further step-down by utility for connection to industrial, commercial and residential customers

• Stable supply • Not very flexible or adjustable

The Evolving Grid

The Evolving Grid

• Central generation is for base load • Distributed Generation (DG) located throughout both transmission and distribution system

comprising: Rooftop solar (typically <500 kW) Ground-mount solar farms ( typically >500 kW) Wind farms Bio-mass and bio-gas generation facilities Combined Heat and Power (CHP) facilities

• Hard to rely on renewable DG for base load due to variability • Variable load and location of DG’s can cause grid instability

Micro Grids

Micro Grids • A discrete energy system containing Distributed

Generation (DG) and storage which can run in parallel with the central grid or can run stand-alone (or islanded) from the central grid

• Generation resources are typically located closer to the load

• A backup diesel generator is an example of a basic micro grid developed for and under similar circumstances

• Focus today is on micro grids fueled by lower emitting technologies such as solar, wind, bio-mass and geothermal

Micro Grids - Components

Micro Grids - Components • Point of common coupling

• This is where the Micro Grid connects to the central grid. Think of it as a faucet that can be turned off and on, allowing electrons to pour in from a centralized power utility.

• Micro Grid controls • This is the brain of the Micro Grid. It manages the flow of electricity

throughout the system. The better the software, the more efficiently the Micro Grid will operate.

• Combined heat and power

• A combined heat and power plant that generate electricity and, as a byproduct, heat that can be used to warm water.

• Renewable energy • Rooftop solar panels and small-scale wind turbines provide power

• Energy storage • Home batteries store surplus power generated onsite.

Micro Grids - Uses • Ensures local, reliable power for communities, campuses

and buildings • Provides resiliency in the event of a storm or grid loss • Provides the ability to relieve grid congestion or to

compensate for weaker parts of the grid • Allows deferral of asset replacement / upgrade by

providing more balanced power flow • Provides a unique energy delivery model for owners and

utilities (offering off-grid services for an additional fee)

Micro Grids - Benefits • Provides power quality, reliability, and security for end

users and operators of the grid • Enhances the integration (and penetration %) of

distributed and renewable energy sources • Reduces dependency on “dirty fuels” such as diesel in

remote communities • Enables smart grid technology integration for fast-healing • Provides locally-controlled power quality • Minimize carbon footprint and GHG emissions by

maximizing clean local energy generation • Increased customer (end-use) participation

Micro Grids - Applications • University and hospital campuses • Military bases • Large commercial and industrial • Remote communities and islands • Sustainable communities • Electricity utilities • Renewable energy developers and EPC’s

Universities • Universities need safe,

reliable and secure energy supply to keep the lights on

• Facility micro grid assets can also serve as a “sandbox” or “test bed” for micro grid-based research

• Federal and provincial funding often available to augment financing when end-goal is GHG reduction as this aligns with North American climate change policy

• UC San Diego Micro Grid • Generates 92% of required load • $8M annual energy savings • Includes sola PV, a fuel cell and

cogeneration

Military Bases

• Resiliency and security are primary drivers • Micro Grids up and running at numerous US bases

Commercial Developments • Commercial viability of micro

grid where facility load is >3MW using time-shifting

• Can offer integration of renewables (solar) and EV charging within a sustainable and resilient energy cluster that can be fault-tolerant

• Can offer some energy price certainty to property owners

• Barclay Tower in New York • 225 kW lead-acid battery • 2 MWh of energy storage

Utility Micro Grids • Electric utilities can use asset-

sited micro-grids to solve many system needs: • Provides voltage and frequency

support for problem feeders • Can provide grid relief during

peak demand periods thus deferring delivery costs

• Utilities can be host sites for developer-run micro-grid initiatives

• Utilities can offer resiliency and backup power to customers located in zones prone to storm outages

• Powerstream/KEPCO micro grid at Penetanguishine, Ont.

• 4MW BESS provides 11 hours of backup to 400 customers including a hospital

• Station located at end of long feeder which exhibits frequent outages from storms

Remote Communities

• Remote communities are located throughout Maine • Most sparsely populated state east of Mississippi • 14 year round offshore communities • High fuel cost, and therefore electricity cost, can deter

economic advancement in these communities

Image: Ken Jorgustin

Microgrids Deployed

Micro Grid Expansion – United States

• Matinicus and Monhegan are the only year-round islands powered by diesel generators in Maine*

• Residents here pay electric rates four times higher than the average Mainer, roughly 65 cents per kilowatt hour.*

• Combination of power delivery and generation methods could deeply discount their rates *Press Herald, Nov. 2015

• Micro Grid enabled critical mission readiness during Superstorm Sandy; only USCG facility to remain in full operation throughout the event in the Storm Affected Area.

• Peak shaving and Micro Grid energy savings fully funded the distributed generation Micro Grid at the facility

• Serves 200 buildings and 2,500 employees including two runways

Costal Demand Response Micro Grid USCG Elizabeth City, NC

• NIBC Fort Detrick Micro Grid was developed as a Public Private Partnership and contracted under a Micro Grid

• NIBC has experienced uninterrupted electric service since 2008 including during PJM wide outages following Superstorm Sandy and record snowfall events

National Interagency Biodefense Campus Micro Grid Fort Detrick, MD

• 40MW of energy produced for 60,000 residents • Supplies heating, cooling, and electricity • Ability to run in island mode as demonstrated during

Superstorm Sandy while the grid was down

Riverbay Cogeneration Micro Grid Bronx, NY

• NYU runs on a Micro Grid • Micro Grid was able to run independently of the standard grid • Thanks to the NYU Micro Grid lights stayed on in and around

Washington Square. • Originally developed in the 1960’s (disclaimer – not a Stantec project)

New York University Micro Grid Manhattan, NY

Micro Grid Expansion in US – New York • New York offered

funding for feasibility studies for municipal Micro Grids.

• Overwhelmed by proposals, the state awarded funds for 83 feasibility studies

Image: NYSERDA

Why Not Disconnect Entirely from the Grid?

Economics and Balance

• Economics is the driving force • Currently a balanced approach decreases the initial capital outlay while

complimenting the existing Grid’s continued operation and reliability

Image: Hitachi

Supplementing and Complimenting “The Grid”

Energy Storage

Energy Storage & Micro Grids– Integral Parts of Grid Reliability and Stability

• Micro Grids when developed in conjunction with renewable sources and energy storage can provide numerous benefits to consumers and utilities • Balancing load against generation (load leveling) • Providing frequency support / regulation • Providing voltage support • Provide “spinning reserve” • Provide grid support in weak areas to defer asset replacement /

investment

Energy Storage - Types

Jumpstarting Maine’s Development of Resiliency, Reliability, and Stability

Needs • Ability to generate “across the street”; Micro Grids to date are

predominately ideal scenarios concentrated to Universities, Hospitals, and Military installations.

• Means of generating and collecting income from participants in a defined Micro Grid

• Ability to utilize existing infrastructure to implement a Micro Grid in a defined area agreed to by CMP and MPUC

• Mechanism to compensate utilities for use of infrastructure in defined Micro Grid location; i.e. transmission fee as percentage of generation

• Standard for implementation of Micro Grids agreed to by MPUC for interconnection and operation; i.e. switching to and from Island mode automatically and / or at will

Contributors

Mike Voll Stantec Consulting Sector Leader, Power- Micro Grids & Energy Storage mike.voll@stantec.com

Jonathan N. Traynor Stantec Consulting Mid-Atlantic Lead - Power Division jonathan.traynor@stantec.com

Mark Vilchuck Power Surety Inc. Director - Technology & Project Development mvilchuck@powersurety.com