Smart Grid Vision to India Essay Sample
1. Overview and Background
Today. the electricity supply industry is wrestling with an unprecedented array of challenges. runing from a supply-demand spread to lifting costs and planetary heating. These and other forces are driving the demand to reinvent the concern. That in bend. is driving the demand for a smart grid. Unrelenting additions in electricity demand. Rising population. the turning richness of emerging engineerings. and intensifying demand for goods and services that require of all time more electricity. and the turning demand for the alone belongingss of electricity in an progressively digital universe are all driving the demand for power to unprecedented degrees. In India’s high-growth economic system. for illustration. the demand for electricity is forecast to turn by an estimated 10 % per twelvemonth until the bing supply-demand spread is closed. In India with the proliferation of electronic end-use devices. peculiarly for calculating and communications consequences in demand for more ( and more dependable ) electricity because of the edification and truth of the peripherals involved 1. 1 Basic Reasons Influence the demand for Smart Grid:
Global heating: There is wide consensus that planetary heating has already begun to do serious and permanent harm to the world’s ecology. Because electricity production is a major beginning of C emanations. “early adapters” around the universe — both authoritiess and corporations — have begun researching ways to make sustainable. low-carbon. high-growth economic systems. The smart grid offers the potency to conserve energy. both through cut downing demand at peak times and by its ability to deploy renewable energy beginnings. therefore decreasing the industry’s part to climate alteration. An upturn in the tendency in unit costs of electricity: It is going more evident that the long-run tendency of lifting unit costs of electricity began as long ago as the late sixtiess. after about a half century of worsening unit costs. Many factors will go on to set upward force per unit area on costs. including increased trade good monetary values. particularly for oil and gas. plus “dispatchability” and therefore lower works burden factors for renewable energy beginnings. among others.
At the same clip. a building rhythm of historic proportions is blossoming for public-service corporations to replace and regenerate the aging transmittal and distribution substructure in India. Reliability. The electric public-service corporation industry is confronting a diminution in quality at the same clip unit costs are lifting. For illustration. India has experienced late a monolithic blackouts in the North-Eastern Region due to Grid failure that have left a deep cicatrix on the industry and. possibly more so. society. every bit good as authorities and regulators. These blackouts led to the codification of dependability criterions and the infliction of ordinances with stiff punishments to regulate the dependability of bulk power supply webs. An of import end of the smart grid vision is a web that can better outage direction public presentation by reacting faster to mend equipment before it fails out of the blue. Efficiency: The smart grid can better burden factors and cut down system losingss. Harmonizing to the US Department of Energy’s ( DOE ) estimates. if the US electricity system were merely 5 % more efficient. the energy nest eggs would be tantamount to extinguishing the fuel and nursery gas emanations produced by 53 million autos. 1. 2 What Exactly is a Smart Grid?
Simply a Smart Grid is the integrating of information and communications engineering into electric transmittal and distribution webs. The smart grid delivers electricity to consumers utilizing bipartisan digital engineering to enable the more efficient direction of consumers’ terminal utilizations of electricity every bit good as the more efficient usage of the grid to place and rectify supply demand-imbalances outright and detect mistakes in a “self-healing” procedure that improves service quality. enhances dependability. and reduces costs. Therefore. the smart grid construct is non confined to public-service corporations merely ; it involves every phase of the electricity rhythm. from the public-service corporation through electricity markets to customers’ applications. The emerging vision of the smart grid encompasses a wide set of applications. including package. hardware. and engineerings that enable public-service corporations to incorporate. interface with. and intelligently command inventions. Some of the enabling engineerings that make smart grid deployments possible include:
?Meters
?Storage devices
?Distributed coevals
?Renewable energy
?Energy efficiency
?Demand response
?Security
?Integrated communications systems
?Superconductive transmittal lines.
Typical View of Smart Grid Technology
1. 3 Key features of the smart grid
?Self-healing: The grid quickly detects. analyzes. responds. and restores ?Empowers and incorporates the consumer: Ability to integrate consumer equipment and behaviour in grid design and operation ?Tolerant of onslaught: The grid mitigates and is resilient to physical/cyber-attacks ?Provides power quality needed by twenty-first century users: The grid provides choice power consistent with consumer and industry demands ?Accommodates a broad assortment of supply and demand: The grid accommodates a assortment of resources. including demand response. combined heat and power. air current. exposure Gur. and end-use efficiency ?Fully enables and is supported by competitory electricity markets.
1. 4 Drivers in India
Six factors will drive the acceptance of the smart grid in India: Supply deficits: Demand particularly peak demand continues to outpace India’s power supply. The increasing affordability of family contraptions is adding to the load on the grid. Official estimations of India’s demand deficit are 12 % for entire energy and 16 % for peak demand. Managing growing and guaranting supply is a major driver for all plans of the Indian power sector. Loss decrease: India’s Aggregate Technical and Commercial ( AT & A ; C ) losingss are thought to be about 25-30 % . but could be higher given the significant fraction of the population that is non metered and the deficiency of transparence. While a smart grid is non the lone agencies of cut downing losingss. it could do a significant part. Pull offing the “human element” in system operations: Labor nest eggs are non a premier driver for the smart grid in India. as contracts for outsourcing are cheap. However. automated metre reading would take down recording and other mistakes – including what are known elsewhere as “curbstone readings” or “shade tree” readings – or even calculated mistakes. which are thought to be important grounds for losingss.
Peak burden direction: India’s supply deficits are expected to prevail for many old ages. A smart grid would let more “intelligent” burden control. either through direct control or economic pricing inducements that are communicated to clients in a dynamic mode. Such steps would assist extenuate the supply-demand spread. Renewable energy: India has supported the execution of renewable energy. Historically. much of its support was for air current power. but the freshly announced National Solar Mission and its end to add 20. 000 MW of solar energy by 2020 should be an accelerant. Spurred by environmental concerns and the desire to tap into all available beginnings of power. this move can besides be a smart grid driver. Technological leapfrogging: Possibly the most challenging driver for India is the possible to “leapfrog” into a new hereafter for electricity. as it did with telecommunications. Besides. the “smart” an country of alone capableness in India. 1. 5 Potential Benefits of the Smart Grid
?The smart grid presents a broad scope of possible benefits. including: ?Optimizing the value of bing production and transmittal capacity ?Incorporating more renewable energy
?Enabling step-function betterments in energy efficiency ?Enabling broader incursion and usage of energy storage options ?Reducing C emanations by increasing system. burden and bringing efficiencies ?Improving power quality
?Improving a utility’s power dependability. operational public presentation. plus direction and overall productiveness ?Enabling informed engagement by consumers by authorising them to pull off their energy use ?Promoting energy independency.
1. 6 Smart Grid and the Environment
There is a wide consensus that smart grid deployments will supply environmental benefits. including important decreases in nursery gas emanations. EPRI has projected that by 2030. the execution of a smart grid across the United States would cut down one-year nursery gas emanations by 2. 5 to 9 % of the nursery gas emanations of the US in 2006. Smart grids can convey about environmental betterments by:
Pull offing extremum burden through demand response instead than whirling militias.
Reducing transmittal losingss through better direction of transmittal and distribution webs. A recent survey shows that a smart grid could cut down transmittal and distribution losingss by 30 % from the business-as-usual instance in 2020. the equivalent of $ 10. 5 billion in energy nest eggs and $ 2. 9 billion in C costs. Monitoring equipment in existent clip. which will enable the redirection of power flows in response to early warnings of system jobs. observe and rectify mistakes in a “self-healing” manner and maintain of import system constituents runing at high efficiency.
Increasing transparence in electricity monetary values to assist consumers understand the true cost of electricity by clip of twenty-four hours. Giving uninterrupted feedback on electricity usage could cut down one-year CO2 emanations by 31-114 million metric dozenss of CO2 equivalent in 2030 as consumers adjust their use in response to pricing and ingestion information. Reducing new substructure building by assisting optimise the usage of bing coevals and transmittal and distribution capacity. Together with energy efficiency and preservation nest eggs. this will cut down the gait at which new supply and bringing substructure must be built to fulfill increasing demand. Integrating more renewable energy beginnings and energy storage to back up system operators by supplying more real-time information to do determinations on choosing coevals from clean energy beginnings. therefore replacing renewable energy Beginning: GE T & A ; D Marketing. The smart grid. May 2009.
Mechanism | Reductions in Electricity Sector Energy and CO2 Emissions ( % ) * | | Direct| Indirect |
Conservation consequence of consumer information and feedback systems | 3 | — | Joint selling of energy efficiency and demand-response plans | — | 0 | Deployment of nosologies in residential and small/medium commercial edifices | 3 | — | Measurement and confirmation for energy efficiency plans | 1 | 0. 5 | Switching burden to more efficient coevals | & lt ; 0. 1 | — | Support for extra electric vehicles and plug-in intercrossed electric vehicles | 3 | — | Conservation electromotive force decrease and advanced electromotive force control | 2 | — | Support the incursion of renewable air current and solar coevals ( 25 % renewable portfolio criterion ) | & lt ; 0. 1 | 5 | Total decrease 12 6 | Assumes 100 % incursion of smart grid engineerings Source: R. G. Pratt et Al. . Smart Grid ; An Appraisal of the Energy and CO2 Benefits. Pacific Northwest National Laboratory. January 2010. |
Table 1: Smart grid mechanisms for cut downing CO2
2. The Technology of Smart Grids
A assortment of calculating and telecommunications engineerings can do many of the smart grid’s envisioned benefits a world. A few of these include detection and rapidly reacting to power outages. supplying consumers with near real-time information on the sum and cost of the power they use. bettering the security of the system. and associating all elements of the grid to enable better determination doing on resource usage. As these engineerings progress. they will bring forth more and better-quality informations. which will give public-service corporations new chances to better their analyses. For illustration. client burden forms and duties. and therefore offers better services to their clients. After a brief overview of the electricity value concatenation and a reappraisal of the germinating function of the smart grid engineerings within the public-service corporation system’s architecture can easy understand. 2. 1 The Electricity Value Chain
The procedure for bring forthing electricity and transporting it through the majority power supply web ( the transmittal grid ) has been in topographic point for many decennaries. A critical early measure was the acceptance of AC power to enable the cost-efficient transit of majority power over long distances. This enabled the proficient construction of the electric industry that was set about 100 old ages ago. viz. . big. central-station power workss connected to a transmittal grid ( the expressway of the electric system ) to travel power to burden centres where transformers cut down electromotive force degrees to distribution degrees for usage by clients. The nucleus procedure remained mostly unchanged. except for proficient progresss that allowed for ever-larger workss bring forthing power at ever-lower unit costs every bit good as the uninterrupted sweetening of transmittal engineering. The undermentioned figure shows the major elements of the value concatenation.
2. 2 Evolutionary Changes In Network Operations
The traditional system web operation theoretical account has evolved from the cost-based supply-side system despatch paradigm when companies operated as vertically-Integrated public-service corporations. Electric utilities operated big. distant power Stationss. long transmittal lines. and a distribution system chiefly designed to present power to a reasonably inactive burden.
This will alter to a more sophisticated market driven system despatch with multiple plus proprietors with a broad scope of commercial involvements. This
development has been underway for several decennaries and will go on ; the gait of alteration may speed up. The new attack will hold to suit more demand-side resources. coevals and storage resources on the distribution system. and well higher degrees of air current. solar and other types of renewable coevals. The Traditional or Classical system despatch focused chiefly on: * Unit Commitment Scheduling
* Economic Dispatch
* Automatic Generation Control
* Grid Security
* Local despatch with some regional deductions
The development into a smart grid system despatch environment will add even more dimensions. which include the undermentioned: * Dynamic reconciliation of centralised and distributed resources. * Integration of distributed energy resources and demand response resources. * Integrating large-scale intermittent renewable coevals. * Increased coordination of renewable coevals and storage resources. Given the variableness of some renewable coevals ( e. g. . air current. solar ) . more real-time control will be needed to outright equilibrate supply and demand. New signifiers of storage resources. such as plug-in electric vehicles. could supply a critical buffer. * Switching tonss to more efficient coevals utilizing demand response and distributed coevals and storage with the purpose of salvaging energy and cut downing C emanations. depending upon the mix of base. intermediate. and peak burden bring forthing resources in usage at any given clip. * Integrating technological progresss in transmittal to command power flows ( FACTS. SVC. etc. ) . It Can be under base from the undermentioned Figure
Beginning: Generation Dispatch. AREVA – IEEE Smart Grid Conference January 2010
Smart grid engineerings will let better direction of web flows. Specific web operation solutions include: * More accurate monitoring of the web and analysis of the operational province of the web. including lower electromotive force degrees * Increasingly efficient allotment of cross-border interconnectedness capacity * Power flow control ( e. g. . by stage switching transformers. FACTS and HVDC devices ) * Improved coordination of operations across states
* Exploitation of real-time thermic monitoring for power overseas telegrams and/or critical operating expense lines * Increasingly intelligent post-contingency disciplinary actions and defence strategies * Activation of pre-contingency preventative actions after transcending pre-defined stableness bounds and thresholds * Improved mechanization in distribution grids and optimum usage of grid reconfiguration after mistakes. 2. 3 How the smart grid can impact coevals and transmittal Primary Function| Description of Functions| How the smart grid affects these functions| How an intelligent communications substructure enables and amplifies the smart grid impact| Generation|
Load control and dispatch| Economical burden despatch programming and optimisation aid to choose the right despatch for the right burden at the right clip. cut downing the cost of coevals ( startup. operations. and weave down ) | The smart grid helps with the programming of committed bring forthing units so as to run into the needed burden demand at minimal runing cost while fulfilling all units and system equality and inequality constraints| Economic burden despatch during unanticipated events warrants robust real-time communicating substructure between the demand and coevals functions| Load determining | Determining the burden during peak demand times reduces the idle and standby bring forthing capacity| Demand-side direction helps to pull off and accurately estimate demand to as to run into demand without excess generation| Load determining with DSM involves dependable communicating between AMI and CIS ( client information systems ) and coevals functions| Distributed. renewable coevals
The integrating of micro-grids every bit good as client premises with the public-service corporation infrastructure| The smart grid enables distributed coevals and machine-controlled accommodation of feed-in duty ordinance to have premiums in the instance of forced switch-off of distributed-generation plus for balancing| Infrastructure is needed to corroborate. analyze. and despatch available burden to distribution coevals sources| Generation Equipment maintenance| Diagnoses and care of the coevals equipment reduces mistakes and prevents their propagation| The smart grid helps plus direction and conditioning in preventative care. It besides helps accessing freshly sensed data| Data from public-service corporations need to be transferred to the coevals control centre for better equipment conditioning and monitoring. | Distribution|
Transmission-grid monitoring and control | Energy direction systems and transmittal SCADA for informations acquisition needed for the undermentioned functions:1. Outagemanagement. 2. Volt/VAR direction. 3. State appraisal. 4. Network sensitiveness analysis. 5. Automatic coevals control and 6. Phasor information analysis. | Automatic ordinance of burden pat modifier and capacitance Bankss for electromotive force ordinance. Wide-area phasor direction and control for grid optimisation and control. Volt/VAR direction utilizing capacitance switches and controls| Substation mechanization consequences in bipartisan communicating between transmittal SCADA equipment and the energy direction system. Communication between transmittal and coevals units is necessary for automatic coevals control. | Maintenance of transmittal control center|
The transmittal control centre is the first line of defence for the transmittal mistake sensing and prevention| Automated operations eliminate human intercessions in mistake bar. sensing. isolation and correction| Real-time communicating between primary and backup transmittal control centre. Transmission. coevals and distribution units is necessary for the control centre operationsSecurity engineering deployment provides for secure informations sharing between transmittal and oter public-service corporation functions| Equipment care | Maintenance of transmittal equipment. including surfs. relays. whippers. transformers. and regulators. bar of faults| The smart grid helps plus direction and conditioning for preventative maintenance| Data from transmittal equipment demand to be transferred to the coevals control centre for better equipment conditioning and monitoring| Beginning: Smart Grid – Leveraging Intelligent Communications to Transform the Power Infrastructure 2. 4 Intelligent Electronic Devicess
Utilities have used electromechanical devices such as land lines and power line bearers for many old ages. But today. many of these devices are taking on enhanced. and even new. characteristics and maps in the signifier of intelligent electronic devices ( IEDs ) . For illustration. the old single-function electromechanical metres have given manner to multi-function electronic metres that can pass on with a cardinal computing machine. Besides. the add-on of electronics to the control units of reclosers has enabled them to pass on with a utility’s cardinal computing machines. which automatically store the outage informations ( e. g. . figure. continuance ) needed for dependability and handiness indices ( SAIDI. CAIFI. SAIFI. etc. ) . Distant terminal units ( RTUs ) for supervisory control and information acquisition systems ( SCADA ) are smaller and less expensive than earlier. For this ground. the usage of SCADA RTUs is spread outing out from the transmittal system to the distribution system.
Some of the progresss India is doing in the country of intelligent electronic devices include: * The Restructured-Accelerated Power Development and Reforms Programme ( R-APDRP ) is exciting progress toward 100 % metering on distribution transformers and feeders. * The transition from electromechanical to inactive ( electronic ) metering is come oning at the low-voltage degree ( 400/220 Volts ) to residential and little commercial clients. * The Bureau of Indian Standards is scheduled to publish a standardised metre protocol in March 2010 to turn to metre interoperability. The Meter Inter-Operability Solution being promoted by the Indian Electrical and Electronics Manufacturers Association and Device Language Message Specification are besides deriving land. * Although metre informations acquisition and direction are still within the horizon of metre sellers. which is impeding the interoperability of the merchandises of different metre providers. R-APDRP is working on a holistic attack to meter informations direction. 2. 5 Telecommunications
The nucleus of the smart grid transmutation is the usage of intelligent communications webs and systems as the platform that enables grid instrumentality. analysis. and control of public-service corporation operations from power coevals to trading. and from transmittal and distribution to retail. Telecommunications channels can be divided into four classs: * Land line: this includes parallel endorser lines. digital endorser lines. coaxal overseas telegram. and fiber optics. * Radio: this includes cell phone communications systems ( both the GSM/GPRS/ EDGE method and the CDMA method ) and Wi-Fi. * Private wireless: this includes bole Mobile despatching channels and meshed metre webs. * Power Line Carrier: this encompasses traditional power line bearers between substations and the new engineering of broadband-over-power line at the distribution electromotive force. A smart grid system could be constructed from merely one of these telecommunications engineerings. but a public-service corporation will frequently utilize two or three in order to add more dependability to its service district coverage. Telecommunication engineerings for the smart grid
Telecommunication in India
Land Line Wireless Telecom | Power Line Carrier | Private Radio | Infrastructure available in India | Remote country connectivity non available everyplace Available besides in distant countries. Connectivity bettering | Not widely used in India until now | Remote country connectivity may non be available and point-to-point webs would necessitate to be established | Cost of reassigning informations | Low Low ( based on transmittal during off-peak clip ) | Low ( different criterions must be implemented foremost so initial cost may be high ) | Free | Reliability | Low ( due to hazard of physical harm ) High | Low ( due to utilize of newer and unseasoned engineerings ) | High | Risk involved | Physical harm High traffic during day-time | Newer. comparatively unseasoned engineering | Onsite support | Scalability |
2. 6 Information Technology
The head-end system is the apex node of the web ; it consists of the telecommunication system and field devices. The function and map of the head-end system vary depending on the system’s application ( for illustration. metering for charge. SCADA. automatic coevals control with economic despatch. metering for burden research. demand-side and load direction. burden casting. disjunction and reconnection as portion of charge. energy accounting. and SAIDI. SAIFI. and CAIDI indices ) . Physical and cyber security
Smart grid communications will play a critical function in keeping high degrees of electric system dependability. public presentation and manageableness. But at the same clip. the grid is progressively capable to assail. as many of the engineerings being deployed to back up smart grid undertakings ( such as smart metres. detectors. and advanced communicating webs ) are interoperable and unfastened. Meeting the critical demand for an incorporate security substructure will necessitate the constitution and execution of a security model for pull offing both physical and cyber security. every bit good as an attach toing security policy. In add-on to cut downing the system’s exposure to physical or cyber onslaughts. a comprehensive attack to security will assist public-service corporations better manage their systems. maintain costs lower. and better the system’s resiliency against security breaks and informations privateness invasions. This model should cover:
* Physical safety and security
* Generation works security
* Substation security
* Utility regulative conformity
* Identity direction
* Access control
* Threat defence
* Wide Area Network security
* Security direction and monitoring.
2. 7 Substation Automation for the Smart Grid
To accomplish this vision of omnipresent near–real clip information. a transmutation of the power grid communications substructure is needed. peculiarly in transmittal and distribution substations. While modern informations communicating has evolved from telephone modems to IP webs. many power public-service corporations are still deploying modem entree and consecutive coach engineering to pass on with their substations. The bing supervisory control and informations acquisition ( SCADA ) remote terminal unit ( RTU ) systems located inside the substation can non scale and germinate to back up following coevals intelligence. Since flexible IEC 61850–compliant intelligent electronic devices ( IEDs ) and utility-grade rugged IP routers and Ethernet switches have become more widely available. many public-service corporations are now ready to transform their communications webs from consecutive to IP-based communications. Substation Automation Business Factors and Benefits
The passage from a bequest to future substation is taking topographic point because of assorted substation mechanization factors: Reduce operations disbursal: The hereafter substation reduces operational disbursals by meeting multiple control and supervising systems onto a individual IP web while assisting guarantee higher precedence for grid operational and direction traffic. This web convergence enables public-service corporation companies to cut down power outages and service breaks every bit good as lessening response times by rapidly placing. insulating. naming. and mending mistakes. These betterments are achieved through mechanization and flexible entree to operational control systems and. in the hereafter. through better informations correlativity across multiple monitoring systems. In add-on. many public-service corporations are confronting an aging work force. which will be retiring in the following 5 to 10 old ages. Utilities need to make full their grapevine of endowment with a younger work force that is capable of runing today’s electric grid. but who can besides assist construct the smart grid of the hereafter. Utilities can profit from substation mechanization by more expeditiously utilizing their bing work force and cut downing the sum of service calls through plans such as condition-based care.
Further. substation mechanization allows public-service corporations to pull out farther value from their corporate webs by supplying a distant work force secure entree to applications and informations that are located in the operations centre. Reduce capital disbursal: As demand for energy continues to turn. public-service corporations must happen ways to bring forth power to run into peak tonss. As a regulated industry. public-service corporations must supply power regardless of the sum of power consumed. The cost of supplying whirling militias for peak burden hours of the twelvemonth is highly high for society. Utilities are challenged to happen new ways to shave peak burden to assist cut down costs and pull off supply and demand of energy more expeditiously. Substation mechanization can be the enabling engineering for mass-scale extremum burden shave and demand response. which will cut down the demand to construct as many power workss to run into peak demand. Additionally. substation mechanization can cut down the disbursal and complexness of dedicated control wiring between devices found in many transmittal and distribution substations today by meeting to an Ethernet based web.
Logical web cleavage and reconfiguration of IED connectivity are much simpler to accomplish. Point-to-point wiring non merely is expensive. but besides increases the trouble of mistake isolation sensing. Enable distributed intelligence: As web intelligence expands beyond the control centre out into the substations. new applications can be developed that enable distributed protection. control. and automation maps. A distributed intelligent web besides introduces chances for new service creative activity. such as concern and place energy direction. Meet regulative conformity: For many authoritiess. public-service corporations are considered critical substructure and have economic and national security concerns. Because of this. assorted regulative authorizations exist or are emerging that require public-service corporations to procure. proctor. and pull off their critical informations webs in conformity with regulative demands. such as NERC-CIP.
Improve grid security: Grid security is non merely about procuring the electronic security margin ( ESP ) in the substation ; it is besides approximately making a unafraid end-to-end architecture that maximizes visibleness into the full web environment. devices. and events. Substation mechanization enables an of import portion of the end-to-end security architecture and allows web operators to command web users. device. and traffic. Physical security can be layered on top of this web security to make security zones of entree control. IP cameras for surveillance monitoring. and video analytics to protect and alarm web decision makers of interlopers. A secure IP web for transmittal of grid communications. physical security. and remote work force direction applications can be achieved through substation mechanization. 3. Technology. Economicss and Financing
Since the early 2000s. the Government of India’s policy has been to equilibrate the development of coevals. transmittal. and distribution. This policy has served as the standard for a figure of funding inventions to cover with the power sector’s big capital investing shortage: unbundling the vertically-integrated power companies to better their public presentation and answerability. pulling increasing private sector engagement. spread outing all beginnings of capital market funding ( bonds. listings and denationalizations ) . and go oning public and many-sided investings in beef uping and spread outing transmittal and distribution. in peculiar. These new capital beginnings are expected to play a function in smart grid roll-outs in India. A figure of jobs. nevertheless. will go on to halter smart grid deployments and must be factored in during undertaking design. including the finding of the fiscal feasibleness of puting in undertakings. 3. 1 Engineering Economic Issues
The smart grid is a system that enables bipartisan communicating between consumers and electric power companies. In this system. electric power companies receive consumer’s information in order to supply the most efficient electric web operations. At the same clip. consumers get better entree to data to assist them do intelligent determinations about their ingestion. Thus. undertaking economic sciences will necessitate to reflect the benefits to both consumers and public-service corporations. 3. 2 Traditional Cost-Benefit Analysis
Although many states have been discoursing the construct of a smart grid for several old ages. undertakings are merely now get downing to travel frontward. Smart power metres having bipartisan communications between consumers and power suppliers to automatize charge informations aggregation. detect outages. and despatch fix crews to the right location faster. This one component — detectors and bipartisan communicating and control equipment — is cardinal to most definitions. Smart measuring and metering besides frequently embrace smart substation and smart distribution ( together known as distribution mechanization ) . Jointly. these elements represent the de facto nucleus of most plans that are being proposed or implemented. Smart substations include the monitoring and control of critical and non-critical operational informations such as power factor public presentation. security. and ledgeman. transformer and battery position. Smart distribution is self-healing. self-balancing and self-optimizing. including superconducting overseas telegrams for long-distance transmittal. and automated monitoring and analysis tools capable of observing or even foretelling overseas telegram and other failures based on real-time informations on conditions. outage history. etc.
Smart coevals capable of “learning” the alone behaviour of power coevals resources to optimise energy production. and to automatically keep electromotive force. frequence and power factor criterions based on feedback from multiple points in the grid. Universal entree to affordable. low-carbon electrical power coevals ( e. g. . air current turbines. concentrating solar power systems. photovoltaic panels ) and storage ( e. g. . in batteries. flywheels or super-capacitors or in plug-in intercrossed electric vehicles ) . Intelligent contraptions capable of make up one’s minding when to utilize power based on pre-set client penchants. This can travel a long manner toward cut downing peak tonss. which has a major impact on electricity coevals costs by relieving the demand for new power workss and cutting down on damaging nursery gas emanations. Early trials with smart grids show that consumers can salvage up to 25 % on their energy use by merely supplying them with information on that use and the tools to pull off it. Cost analysis
The typical costs associated with the smart grid are categorized harmonizing to the elements and maps they provide. The major cost points are: * Cost of undertaking design and feasibleness surveies
* Cost of plan direction
* Cost of puting up substructure to enable bipartisan communications between the consumer and the public-service corporation ; this will include the costs of the communications medium ( e. g. . fiber ocular. PLC ) . put ining detectors. monitoring equipment. and package. and an on-line trailing mechanism * Cost of buying and put ining the smart metres
* Costss for in-home devices and client information systems
* Training and development of cardinal staff
Benefits analysis
The move to a smarter grid promises to alter the power industry’s full concern theoretical account and its relationship with all stakeholders. affecting and impacting public-service corporations. regulators. energy service suppliers. engineering and mechanization sellers. and all consumers of electric power. Peak burden decrease. Smart grids can utilize time-of-day monetary value signals to cut down peak burden – this benefit has peculiar importance for Indian public-service corporations get bying with urban tonss. AT & A ; C loss decrease. For Indian public-service corporations. this is a major driver from a commercial and regulative point of position. For distribution operations with high losingss that are upgrading metres and other equipment. companies may see smart grid constituents as a manner to construct in extra communicating engineering and ascents. Self-healing. A smart grid automatically detects and responds to routine jobs and rapidly recovers if they occur. minimising downtime and fiscal loss. Consumer motive. A smart grid gives all consumers – industrial. commercial. and residential – visibleness into real-time pricing. and affords them the chance to take the volume of ingestion and monetary value that best suits their demands.
Attack opposition. A smart grid has security built-in from the land up. Improved power quality. A smart grid provides power free of droops. spikes. perturbations and breaks. It is suited for usage by the informations centre. computing machines. electronics and robotic fabrication that power an economic system. Adjustment of all coevals and storage options. A smart grid enables “plug-and-play” interconnectedness to multiple and distributed beginnings of power and storage ( e. g. . air current. solar. battery storage ) . Enabled markets. By supplying systematically reliable operation. a smart grid supports energy markets that encourage both investing and invention. Optimized assets and runing expeditiously. A smart grid enables the building of less new substructure and the transmission of more power through bing systems. thereby necessitating less disbursement to run and keep the grid. These benefits can be combined under three wide classs: 3. 3 Economic benefits.
Five types of economic benefits can be derived from the smart grid. Cost nest eggs from peak burden decrease. Smart grids conveying about a decrease in per-unit production costs due to demand response / burden direction plans. Decreases in capacity costs. These can be attributed to residential client decreases in demand during the 50 to 100 hours of highest system demand each twelvemonth ( critical extremum periods ) in response to some signifier of dynamic pricing. either peak clip discounts or critical extremum pricing. Deferred capital disbursement for coevals. transmittal. and distribution investings. By cut downing peak demand. a smart grid can cut down the demand for extra transmittal lines and power workss that would otherwise be needed to run into that demand. Reduced operations and care costs. Smart grid engineerings allow for remote and machine-controlled disjunctions and reconnections. which eliminate unnecessary field trips. cut down consumer outage and high-bill calls. and finally cut down O & A ; M costs.
Reduced costs can besides ensue from near real-time distant plus monitoring. enabling public-service corporations to travel from time-based care patterns to equipment condition-based care. Reduced industrial consumer costs. Industrial and commercial consumers could profit significantly from a smart grid. Electric motors account for approximately 65 % of industrial electricity use because they power virtually every traveling procedure necessary for procedure industries. including power coevals. oil and excavation extraction. and pharmaceuticals. every bit good as for the compaction and pumping needed for warming and chilling edifices. Motors are besides indispensable to India’s turning fabrication sector for cars and other merchandises. Small betterments in motor efficiency can bring forth important nest eggs in energy costs. but more sophisticated motors require higher-quality power. 3. 4 Service benefits.
The smart grid will convey benefits to residential. commercial. and industrial consumers likewise: Improved dependability. A smart grid enables important betterments in power quality and dependability. Smart metres will let public-service corporations to corroborate more easy that metres are working decently. Bipartisan communications all across the grid will allow public-service corporations remotely identify. locate. isolate. and reconstruct power outages more rapidly without holding to direct field crews on problem calls. A smart grid could extinguish up to 50 % of problem calls in a mature power sector. Increased efficiency of power bringing. Up to a 30 % decrease in distribution losingss is possible from optimum power factor public presentation and system reconciliation. Today. this job is managed to some extent by controlled or automated capacitor Bankss on distribution circuits and in substations. But the control of these devices can be greatly improved with better real-time information through a smart grid. Consumption direction. Smart grid engineerings offer consumers the cognition and ability to pull off their ain ingestion wonts through in-home or edifice mechanization.
Advanced metres tell consumers how energy is used within their place or concern. what that use costs them. and what sort of impact that use has on the environment. They can pull off their use interactively or put penchants that tell the public-service corporation to automatically do accommodations based on those picks. Improved system security. Utilities are progressively using digital devices in substations to better protection. enable substation mechanization. and increase dependability and control. Enhanced concern and residential consumer service. The smart grid will let automatic monitoring and proactive care of end-use equipment. which can be an avenue for energy nest eggs and decreased C emanations. Equipment is sometimes non decently commissioned when it is first installed or replaced. With the bipartisan communications of a smart grid substructure in topographic point. a public-service corporation could supervise the public presentation of major consumer equipment through advanced interval metering and on-premise energy direction control systems. The public-service corporation would therefore be able to rede the consumer on the status of specific installations. 3. 5 Environmental benefits.
Harmonizing to recent surveies. the smart grid can cut down emanations at a lower cost than many of the newest clean energy engineerings. The smart grid will cut down emanations in four ways: * Enabling the integrating of clean. renewable coevals beginnings * Reducing electrical losingss
* Increasing the incursion of distributed energy resources * Increasing energy preservation through feedback to consumers. 3. 6 Challenges for the Smart Grid Several challenges present themselves for smart grid development. and may impact the consequences of a cost-benefit analysis. Fiscal resources. The concern instance for a self-healing grid is good. peculiarly if it includes social benefits. But regulators will necessitate extended cogent evidence before authorising major investings based to a great extent on social benefits. Government support. The industry may non hold the fiscal capacity to fund new engineerings without the assistance of authorities plans to supply inducements for investing. The public-service corporation industry is capital-intensive. but has been prolonging extortionate losingss due to larcenies and subsidisation. Compatible equipment. Some older equipment must be replaced as it can non be retrofitted to be compatible with smart grid engineerings. This may show a job for public-service corporations and regulators since maintaining equipment beyond its depreciated life minimizes the capital cost to consumers. The early retirement of equipment may go an issue. Speed of engineering development.
The solar shake. the cellar fuel cell. and the chimney air current generator were predicted 50 old ages ago as an built-in portion of the place of the hereafter. This modest historical advancement will necessitate to speed up. Lack of policy and ordinance. No defined criterions and guidelines exist for the ordinance of smart grid enterprises in India. Capacity to absorb advanced engineering. Most Discoms have limited experience with even basic information and communications engineering and. as a consequence. they have weak internal accomplishments to pull off this critical constituent of smart grids. R-APDRP purposes to supply some damages. but it is comparatively recent and has non yet had a major impact on the industry. Consumer instruction. “Customer response” is the phrase used to depict the reaction of clients to the new characteristics and functionality enabled by the smart grid. If. for illustration. a company installs advanced metering and bipartisan communicating along with time-of-use rates. the inquiry is “Will clients use it? ” If there aren’t adequate clients who use the characteristics. the benefits of a smart grid will non be achieved. Therefore. two critical and frequently unmarked constituents of a smart grid executions are 1 ) sufficient selling analysis and merchandise design to optimise the likeliness that clients will utilize the new engineering. and 2 ) an instruction. communicating and public dealingss plan aimed at making an apprehension of smart grids. the associated benefits and the possible execution issues.
The plan should be aimed at clients but besides policy shapers. sentiment leaders. regulators and fiscal establishments. Cooperation. The challenge for diverse State public-service corporations will be the cooperation needed to put in critical circuit ties and freely exchange information to implement smart grid constructs. Cost appraisal. Costss could finally be higher than projected because the criterions and protocols needed to plan and run an advanced metering substructure are still in a province of flux. Thus. investings made now. before the criterions are settled. hold a higher hazard of obsolescence. Failure to include estimations of the costs for the control equipment clients will put in to automatize their response to time-differentiated pricing could set smart grid investings at hazard. Other hazards include 1 ) no presentation that the proposed undertaking is more cost-efficient than alternate attacks that will accomplish the same major energy cost decrease aims at less cost and 2 ) exclusion of incremental costs of “stranded” bing metres ( i. e. . accelerated depreciation ) . Rate design. Many public-service corporations are suggesting to retrieve these costs via a client surcharge.
This is non sensible. based on the position of cost causing. and will hold disproportional inauspicious impacts on low-usage clients. Consumer protection. Privacy concerns about client use informations and other personal informations are existent. but it is non clear how such informations will be protected. Besides. the installing of smart metres will open the door to remote nonvoluntary disjunction and the usage of service clippers. all of which bound client entree to and command over electricity service. Even baseless concerns about a “spy in the house” may impact consumer attitudes. Therefore. issues related to consumer privateness will probably be submitted to regulators and consumer protection bureaus every bit shortly as new engineerings are planned. Lack of empirical grounds.
Utilities have done a figure of pilot undertakings to prove AMI and dynamic pricing on a limited footing. but it is merely late that several US public-service corporations received regulative blessing to deploy AMI and dynamic pricing duties on a broad graduated table. In fact. most of those public-service corporations are still in the procedure of finishing deployment. The absence of robust empirical grounds sing the public presentation and economic sciences of AMI and dynamic pricing on a system-wide footing over clip is a beginning of uncertainness over both long-run proficient public presentation and the magnitude of peak burden decreases that will really be sustained in the long term in response to dynamic pricing. 3. 7 Funding issues for India
Historically. constructing the grid through transmittal and distribution lines has been undertaken by Power Grid Corp. and assorted state-regulated distribution companies. Cardinal plans such as APDRP and R-APDRP provided some support in modernizing and apologizing the charge and metering systems. but there have been comparatively few such plans. While no 1 has estimated with any degree of item the costs required for India to upgrade to a smart grid. estimations range widely depending on the public-service corporations involved and the timing. Given the big investing required to construct out the current set of programs. Indian public-service corporations will necessitate to experiment with how best to fund such undertakings. Based on a study by the writers. most public-service corporations are suggesting to retrieve all of these costs via a to the full reconcilable surcharge. Many are suggesting to apportion these costs among rate categories harmonizing to the figure of clients in each category. Some public-service corporations are besides suggesting to retrieve these costs via a monthly client surcharge.
With the debut of smart grid engineering at the distribution degree. consumers will hold more incentive to exchange to a new duty. The bing duty construction will hold to be rationalized and time-of-day duties must be introduced to supply inducements to consumers. Similarly. for new renewable coevals. more system integrating will be required to guarantee system security. Some possible options for support are presented below. However. these are merely exemplifying in nature. Detailed unit of ammunitions of negotiations with authorities. Bankss and the private sector will necessitate to be undertaken to apologize and formalize the plausibleness of these options. For cardinal sector loaning. develop a new assessment procedure for smart grid undertakings. Grant and loan support for the smart grid can come through traditional beginnings ( e. g. . PFC ) . but a revised undertaking assessment procedure that incorporates operational benefits will be needed to measure undertaking submittals. Reach self-funding. Following the lead of ongoing loss decrease undertakings. many smart grid undertakings will go self-funded by transcending the stipulated payback periods. Attract new participants and convey in seller funding.
Information and communicating engineering companies such as IBM. Infosys. and Wipro have started smart grid plans and are developing commercial theoretical accounts. Some illustrations of pilot undertakings include those with existent estate developers to implement small-scale smart grid undertakings for residential and commercial composites. Expand bank apprehension of the smart grid. Banks that are already imparting to the power sector will see the concern instance for the smart grid rapidly and can move to increase funding straight to undertakings. or indirectly to companies and public-service corporations. The most prudent path is nevertheless. a combination of these beginnings through public-private partnerships. State public-service corporations can take the lead on developing the concern instance for pilot executions of smart grids and so ask for private participants to take part by supplying both proficient know-how and support. Private participants can farther near the Bankss to fund their investing. 4. Recommendations
The still-evolving construct of the smart grid is a vision of an industry transformed. The electric industry’s historic concern theoretical account will be changed. possibly every bit much as the long-successful concern theoretical account of the telephone industry was. For the electric industry. engineering is the cardinal enabling factor. but the state of affairs is more complicated. The smart grid construct consequences from the convergence of a figure of tendencies that have been germinating for up to a half century. including: Information and communications engineering ( ICT ) – Moore’s Law continues in consequence and ever-cheaper computing machine french friess. detectors and accountants. coupled with progressively sophisticated Mobile and WiFi capablenesss. have already begun to radically transform the data-intensive electric concern. Progresss in metering engineering – Likewise. digital metres are progressively low-cost and rugged. and they have begun to replace electro-mechanical metres on a sweeping footing. even in some underdeveloped states. Costss – The tendency in the unit cost of electricity turned upward several decennaries ago. although that wasn’t clear until more late. The world is that electric companies need to larn how to thrive during an epoch of increasing costs and worsening service quality. That may good necessitate a “next new thing. ”
If the smart grid is non the reply. the industry’s hereafter could be unpleasant every bit good as unprofitable. The morning of the digital age – The mechanization of about everything is happening at a breathless gait. Likewise. the enlargement of hi-tech electronic fabrication has spread in response to mushrooming demand. One side consequence of the digital age is the increased demand for electricity as the premium signifier of energy ( as the writers of Perfect Power put it. “Try running your laptop on a ball of coal” ) and the demand for higher-quality power to run everything from delicate preciseness machinery to progress family contraptions. 35 Turning prosperity – It is hard to admit in the thick of the most serious recession in 75 old ages. but the universe is going more flush.
There are important hazards attached to recent economic developments but. with the exclusion of a worst-case scenario. the long-run tendency is still up. And client outlooks are lifting in tandem with single richness. Climate Change – Mounting grounds is reenforcing the consensus of taking scientists that planetary heating is existent. that it is a map of historic sums of C that have been released to the environment as the consequence of human behaviour. The world of planetary heating and the increasing public concern it has triggered — and the close nexus between electricity production and C emanations — add an accelerant to the technological. public-service corporation cost and behavioural economic influences that are meeting.
Mentions
1. A White Paper: “The Smart Grid Vision for India’s Power Sector” by PA Consulting Group. PA Government Services. inc NJ. USA. 2. A Presentation on Smart Grid Technology by Saremi. Fatemeh ; from Engineering at Illinois.
3. A White paper on Smart Substations by CISCO India Ltd. 4. In India. the province politician might be the “real” client. 5. Judith Warrick. in a address at a clean engineering conference in Palm Springs. California. on January 10. 2010 and as published in Morgan Stanley’s Energy Insight. January 25. 2010 6. Banglaore Electricity Supply Company ( BESCO ) in Karnataka. MGVDCL in Gujarat. MSEDCL in Maharashtra. and North Delhi Power. Ltd. in New Delhi. 7. Robert Galvin and Kurt Yeager. Perfect Power: How the Microgrid Revolution Will Unleash Cleaner. Greener. More Abundant Energy. McGraw-Hill Companies. 2008. 8. The American Recovery and Reinvestment Act ( ARRA ) . known as the Stimulus Plan. provided $ 4. 5 billion in grant support for smart grid investings for qualified applications that were approved by the US Department of Energy 9. Pacific Northwest National Laboratory. The Smart Grid: An Appraisal of the Energy and CO2 Benefits. January 2010. 10. Smart Grid – Leveraging Intelligent Communications to Transform the Power Infrastructure 11. Position Paper on Smart Grids. ” An ERGEG Public Consultation Paper. December 2009 12. EPRI. The Green Grid: Energy Savings and Carbon Emissions Reductions Enabled by a Smart Grid. 1016905. Palo Alto. Calcium: 2008. 13. hypertext transfer protocol: //www. pewclimate. org/technology/factsheet/SmartGrid. 14. The Climate Group. Smart 2020: Enabling the Low Carbon Economy in the Information Age. 2009. 15. hypertext transfer protocol: //www. pewclimate. org/technology/factsheet/SmartGrid.
