Myanmar Electricity Planning Distribution Planning ... - NEDO

Imagination at work

Energy Management Systems: Industry Perspectives on Challenges and Opportunities

Sasank Goli

IRED 2014 Kyoto, Japan

20 November 2014 1

© 2014 General Electric Company. All Rights Reserved.

Outline:

I. Introduction II. Technology-Standards-Policy III. Conclusions

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Purpose – to allow consumers to better manage energy consumption (DSM) thereby leading to sustained cost savings with better:

• Analytics - Information brings improved understanding of how energy is used and how it impacts the organization’s costs.

• Decision making tools

• Control over devices - Improved utilization of assets

Planning considerations:

• Technology

• Standards

• Policy

End-user energy management systems

3

Te

chn

olo

gy

End-user Energy Management

Systems


C-I-R Sector Relative Proportions

4

Industry (%) Comm. (%) Res. (%) Other (%) Total TWh

USA 24 35 36 5 3886

China 68 6 15 11 4693

Singapore 34 38 17 11 41

Japan 33 36 29 2 860

India 46 8 21 25 1051

Thailand 42 36 21 1 132

Philippines 35 29 34 2 54

Malaysia 44 34 21 1 94

Indonesia 37 24 39 0 129


High Emergency lighting,

product cooling Business dependent

HVAC, Lighting, defrost

circuits, some food prep equipment

Time-sensitive process

equipment Business Impact to Load Reduction

Time insensitive process

equipment


circuits, cold storage

Forklift battery chargers,

“normal” office temp. controls


circuits, cold storage

Participation depends on

regulation Low Rare due to relative costs

Commercial Load

Examples Industrial Load

Examples

End User Load Considerations

Classification of available loads for end user management

Rare

Rare

HVAC, Lighting,

Appliances

HVAC, Lighting,

Appliances

Solar, Storage

Residential Load

Examples

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Market drivers include: • Energy cost saving potential • Improved device functionality • More service providers • Desire to be green • Incentives and mandates. Market inhibitors include: • Insufficient consumer motivation • Capital costs • Complexity of use • Confusing choice of products • Lack of standards • Low utility support

Sector overall is expected to grow significantly in coming decade

Market Potential Overview for EM

6


Other

Devices

IHD

Home and Bui ldings Energy Solutions

Automation

Server DRMS

Smart Meter

Internet

Home Energy

Manager

Non-Meter Solution

Other Devices PCT

server

server

7


Energy Management

and Control System

Loads

Storage

Generation

Industrial Facility Boundary

Secure External Communications

Intra-Facility Communications

Electrical Flows

Smart Grid Extending into Industrial Facility E

ne

rgy

Se

rvic

es

Inte

rfa

ce

E

SI

8

http://www.amazon.com/gp/product/images/B0009726GU/ref=dp_image_0/102-1883522-2689753?ie=UTF8&n=284507&s=kitchen


NIST Smart Grid Conceptual Model

Customer

9

Standards Operational

Technical


Structured Approach Why Energy Management Matters Ad hoc approach to Energy Management

Δ in

En

erg

y U

se/E

xp

en

se

Co

mp

are

d t

o B

ase

lin

e

Cost high = audit

0 3 Years

-20%

-25%

-15%

-10%

-5%

0

+5%

Costs

Investment

Waste cutting; Some investment

The cycle repeats

Under control

Source: UNIDO 2010

Cost high again: Where’s that last audit


Structured Approach Why Energy Management Matters Benefits of a Structured Approach

Δ in

En

erg

y U

se/E

xp

en

se

Co

mp

are

d t

o B

ase

lin

e

Senior management commit to program

0 3 Years

-20%

-25%

-15%

-10%

-5%

0

+5%

Costs

Investment

Initial savings sustained

Housekeeping first – then investment

Becomes company culture

Source: UNIDO 2010

Business As Usual:

Programs funded

only when energy

use/costs increase.

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Energy Management Planning Benefits for Organizations

Organizations that establish an energy management plan gain a number of benefits:

• Actively manage energy use and reduce costs

• Reduce emissions without negative effect on operations

• Document savings for internal and external use

(e.g. emission credits, GHG reporting), consistent

with their business needs

• Continue to improve energy performance over

time

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ISO 50001 – Key Concepts

• Shifts the energy efficiency focus from individual projects to a

systematic, data-driven management approach

• Requires top management to be engaged on an ongoing basis.

• Provides a context for informed decisions concerning proposed energy efficiency projects, including new technologies.

• Increases reliability of outcomes through emphasis on business

processes rather than reliance on a few individuals

• Involves energy users and decision makers, not just facility

personnel and physical systems, to sustain the change.

systems processes facilities equipment personnel

Scope of energy management

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Policies that promote energy management

A non-exhaustive list includes:

• Energy Efficiency Standards

• For consumer products e.g. EnergyStar, MEPS

• Building codes e.g. California Title 24

• Smart meter installation targets

• Renewable Portfolio Standards (RPS)

• DR incentives

• Outreach and Education

• Facility and Building Energy Management Systems

• Business processes. E.g. ISO 50001 Energy Management Std

• Technology. E.g. Dashboards; Big Data Analytics

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Example – Utility and Developer

MV

cub

icle

Util

ity m

eter

Real Estate Developer managed

(sub) Distribution and Retail billing Utility managed Generation, Transmission and Distribution

Advanced Metering Infrastructure and

Microgrid Controller Distributed Storage

Rooftop Solar

Plug-in Electric Vehicles

4.4 kV

15


GE App

Key Takeaway from research and pilots

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Thank You! [email protected]

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Key insights from implementations • Focus, focus, focus on interoperability • Realize that compliance to standards does not in itself guarantee

interoperability • Share information among stakeholders to ensure success • Build a collaborative team with technical and project management

expertise

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Possible further steps for Japan • Japan has achieved high growth in DSM in a

short period helped by: o Subsidies, grants, roadmaps

o Electricity market reform

• DSM market is becoming self sustainable • Further steps that can be taken: o Decoupling

– Utility’s profits should not depend on the electricity sold – Regulatory framework that encourages investment in EE

o Market mechanism for trading demand – DSM is Japan is currently limited to bilateral contracts – PJM interconnect in US meets 6-10% of peak demand

through DR

• Long term energy mix – Will determine the extent or DSM and/or storage required

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Cr t ca Load Critical Load

Availability of loads to participate in end user demand management

On-Site Generation

Ancillary Load

Flexible Load

Base Load – Not Available

Total Reduction Hours Low High

Ava

ilab

le k

W

Load Participation Opportunities

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Demand-Side Resources

On-site generation and storage

Smart charging for electric vehicles

Automated management of energy use:

• Automated demand response

• Voluntary load control

• Dynamic pricing

Industrial plants

Advanced Metering Infrastructure (AMI) 21

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Energy Efficiency vs Demand Response

Electricity Value Chain Portfolio of actions that industrial facilities can undertake in terms of

Type ↔ Duration ↔ Rapidity of response

Auto-DR only

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Policy and standards are closely linked

Competing standards can inhibit markets Leading to calls for harmonization

By default…

•Disparate standards bodies give rise

to competing standards

•Firms face higher transaction costs,

diseconomies of scale

By design…

•Technical standards as industrial

policy…non-tariff trade barriers

•“Prescriptive” standards development

undermines “market-based” approach

•Country-to-country MOUs

Joint R&D

Standards working groups

•Foreign participation in

national/regional standards bodies

•Government support for development of international standards

• Internationally-recognized conformance

testing procedures

•Funding for standards development in

emerging markets

•Other…

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Myanmar Electricity Planning Distribution Planning ... - NEDO