Microgrids

– Future of the Power System?

Presented by :
Yazhou (Joel) Liu, Ph.D., PE
Schneider Electric Engineering Services
[email protected]‐electric.com
Outline
●What is Microgrids?
●Why Microgrids?
●Microgrids Development History
●Market Segment and Key Players
●Technology Challenges
●Schneider Electric Case studies
●Conclusion
Schneider Electric at a glance:
Diversified end markets – FY 2012 sales 1

●145,000 Employees
Utilities & Infrastructure 20%
● ~28
28,000
000 North America Industrial & machines 24%
Data centers 17%
Non‐residential buildings 30%
Residential 9%

The global specialist in

Energy management Making energy:
•Safe
f
•Reliable
•Efficient
•Productive
•Green

Use or disclosure of data contained on this sheet is subject to the restriction on

the cover of this document.
Definition of Microgrids

Microgrid

Square D Services by Schneider Electric – January 2012 Press ‘Esc’ to Return to Menu Slide 4
Major Components of Microgrids
• Energy Supply System
 Distributed Generation (like renewable sources, small combustion turbines)

• Energy Storage Capacity

 Like Batteries, thermal storage

• Demand Response and Efficiency Measures

 Minimize overall Energy use
 Reduce non-critical load when operating
p g in isolation

• Energy Management Systems

 Maintain Balance and Stable Systems

 Real-time response, Predictive and Forecasting analysis

• Utility Grid Interconnection

Source: Microgrid
g Institute
www.microgridinstitue.org
Typical distributed generations of
Microgrids

● Renewable
● PV
● Wind
● Small hydro
● Biomass Plant
● Non Renewable
● Emergency
Emergenc Generator
● MicroTurbine
● Fuel Cell
Why Microgrids?
- Reliability and Energy Security

Courtesy of Sandia National Laboratories

 Why Microgrids?
● “Supply Surety”, especially at mission-critical and outage-sensitive
facilities
● Militaryy and government
g installations;;
● Institutional campuses (universities, hospitals, prisons);
● Data centers;
● Communities that repeatedly endure extended outages (NE, Florida, etc)
● Social Policy, Environmental liability, jobs/economic development in
various jurisdictions – states, cities, and economic development zones
● Renewable mandates;
● Environmental constraints;
● Sustainable/domestic fuel preferences
● Local self-reliance
self reliance
● Transmission congestion;
● Economic competitiveness;
● Only
O l option
ti to
t have
h power for
f remote
t areas.
 Microgrids
– from research to real world application
Definition of
Microgrids SPIDERS pprogram,
g ,
Prof. R. Lasseter Early adopters – Security becomes
Real work applications important

Late 1990s Early 2000s Mid 2000s 2010

Research Phase Real world Application
A lot of funding from Research type real Industry applications;
government into micro
micro‐grid;
grid; worldld applications
li ti Military schools,
Military, schools remote
US, Europe, Japan, China. For for example, UCSD, off‐grids,
example, CERTS in US, 5th and CERTS Microgrids commercial/industry,
6th frame in Europe test bed,, etc.
CERTS ‐ Consortium for Electric Reliability Technology Solutions;
SPIDERS ‐ Smart Power Infrastructure Demonstration for Energy Reliability and Security;
Market Size – from Forbes
 Market Segments

Campus / Militaryy
Institutional
$ 4.0 Billion
Military
Federal $ 1.5 Billion
20% Growth 35% Growth
Market Growth
h

Utility
Campus/
Institutional
Remote
Commercial
"Off Grid"

Market Size

Remote Community / Commercial /

“Off‐Grid” Utility Industrial
Square D Services by Schneider Electric – January 2012 Press ‘Esc’ to Return to Menu Slide 12
Active Microgrids Players
Technical Challenges

● Typical Grid-Powered System Characteristics:

● “Rock
Rock-solid
solid” voltage and frequency for grid-powered
grid powered systems
● No need to worry about control and dispatch of normal-power generation
assets – this is done by the utility
● When thingsg ggo wrong,g lots of energy
gy is available from the g
grid to make the
system “behave” in an unusual manner that is usually not difficult to detect –
for example, short-circuits (Protection)
● Usually no need to worry about system stability
● Not many power electronic equipment
equipment, which can cause power quality
issue.

● None of these are necessarily true for Microgrids!

● Cyber security
 Conventional Generation

● Synchronous Generators – The mainstay of the conventional power

grid
● Over 1000GW of net conventional generation capacity in US Power Grid
Voltage
Regulator
Exciter

Prime Alternator Electrical

Mover ((Generator)) Output

Governor
Conventional Generation
● “Conventional” Electric Power User Scenario = Utility Power
Utility = 60HZ, 1.0 pu Voltage
1000 GW Capacity

10 000 kW
10,000
Supply and
User’s Utility Service
Demand are
AutomaticallyBal
anced 10,000 kW
(from User’s
perspective)

10,000kW Load
Critical Load = 1500kW
Conventional Generation
● Utility + User’s Paralleled Conventional Generation
Utility = 60HZ, 1.0 pu Voltage
1000 GW Capacity

8 000 kW
8,000
Supply and
User’s Utility Service
Demand are
AutomaticallyBal
anced 10,000 kW 2,000 kW
(from User’s
perspective)
User’s Conventional
Generator

10,000kW Load User’s

U ’ GGenerator
t can provideid
power up to its rating
Critical Load = 1500kW
Conventional Generation – Loss of Utility

Utility = 60HZ, 1.0 pu Voltage

1000 GW Capacity

0 kW
Supply must be
User’s Utility Service
controlled to
match demand –
accomplished 1,500 kW 1,500 kW
with generator
governor
User’s Conventional
Generator
Usually all but
“critical” loads 1,500kW Load U ’ G
User’s Generator
t can provide id power up
are shed to its rating
Load = 1500kW
Conventional Emergency System
● Changes in load can and will cause voltage and frequency variations
Generator must
Utility = 60HZ, 1.0 pu Voltage
adjust prime
prime‐
mover input 1000 GW Capacity
power to match Voltage and Frequency will
load change. 0 kW experience “transient”
transient
Frequency will fluctuation
dip as load is User’s Utility Service
added – rate of
change of
1,500 kW 1,500 kW
frequency is
proportional to +500 kW +500 kW
mismatch in User’s Conventional
power into and
Generator
out of the
generator
t 1,500kW Load+ 500kW User’s
U ’ G Generatort can provide id power up
sudden addition to its rating
Load = 1500kW
Conventional Emergency System
● Traditionally used for only for emergency or critical load continuity

● Typically require shedding of load to match generation capacity

● Control is typically
yp y contained within the g
generators and g
generator
control system

● Voltage
g and frequency
q y fluctuate as load varies

● Performance can be improved by raising Generation Capacity relative

to load
● This can be in the form of larger generators or a larger prime mover
matched to the same size alternator
● Ratio of generation capacity to load depends upon ratio of prime mover to
alternator ratings
● Run time limited by fuel source
Alternative Energy Sources – PV & Wind
● Variable source of energy – there when it is
there, not when it’s not!
● Typically connected to the grid via an
inverter
● Allows DC power output to be connected to
the AC electricityy g
grid
● Inverter typically acts as a current source –
voltage and frequency are established by the
grid
● Not suitable for large-scale stand-alone
operation
Controller

Electrical
Inverter
Output
Alternative Energy Sources – Batteries
● Derives energy from chemical reaction
● Limited run time due to fixed amount of
energy
gy storage
g
● Wide range of technologies and operating
characteristics
● Typically connected to the grid via an
inverter
● Allows DC power output to be connected to
the AC electricity grid
● Can respond to fast-changing loads
● Suitable for stand-alone operation – but run
time is limited
Controller

Electrical
Inverter
Output
Alternative Energy Sources – Fuel Cell
● Derives energy from chemical reaction
● Fuel + Oxygen => DC voltage + Heat
● Base
Base-load
load device – runs best at constant
power output
● Output power ramp-up rate is limited
● Unit can ramp down quickly (idle mode
● Typically connected to the grid via an
inverter
● Allows DC power output to be connected to
the AC electricity grid
● Inverter can act as current-source (grid-
paralleling)
p g) or voltage-source
g ((stand-alone))
Controller
● Stand-alone operation requires means of
accomodating limited power ramp-up rate

Electrical
Inverter
Output
Alternative Energy Sources - Variable
● Utility + Paralleled Variable Alternative Energy Source
Utility = 60HZ, 1.0 pu Voltage
1000 GW Capacity

8 000 kW
8,000
Supply and
User’s Utility Service
Demand are
AutomaticallyBal
anced 10,000 kW 2,000 kW
(from User’s
perspective)
User’s Variable
Alternative

10,000kW Load E
Energy Source
S
Variable Power
Load = 1500kW
Alternative Energy Sources – Variable
Loss of Utility
● Typically no microgrid capability with a variable alternative energy source alone!
Utility = 60HZ, 1.0 pu Voltage
1000 GW Capacity

0 kW
Alternative
User’s Utility Service
Energy Source
Goes Offline due
to Loss of Utility 0 kW 0 kW
Voltage
User’s Variable
Alternative

Facility is in the dark E

Energy Source
S

Load = 1500kW (Solar or Wind)

Alternative Energy Sources – Base Load
● Utility + Paralleled Base-Load Alternative Energy Source
Utility = 60HZ, 1.0 pu Voltage
1000 GW Capacity

8 000 kW
8,000
Supply and
User’s Utility Service
Demand are
AutomaticallyBal
anced 10,000 kW 2,000 kW
(from User’s
perspective)
User’s Base‐Load
Alternative

10,000kW Load E
Energy Source
S
Constant Power
Load = 1500kW (Fuel Cells)
Alternative Energy Sources – Base Load
Loss of Utility
● This works as a microgrid…
Utility = 60HZ, 1.0 pu Voltage
1000 GW Capacity

0 kW

User’s Utility Service

Supply power
ramp rate is
limited 2000 kW 2,000 kW

User’s Base‐Load
Alternative
Usually all but
“critical” loads 2,000kW Load E
Energy Source
S
are shed (Fuel Cells)
Load = 1500kW
Constant Power
Alternative Energy Sources – Base Load
Loss of Utility
● …but load swings outside the capabilities of the fuel cells will cause shutdown
Utility = 60HZ, 1.0 pu Voltage
1000 GW Capacity

0 kW
Alternative
User’s Utility Service
Energy Source
Goes Offline Due
to load swings 0 kW 0 kW

User’s Base‐Load
Alternative

Facility is in the dark E

Energy Source
S

Load
Idle= 1500kW (Fuel Cells)
Alternative Energy Sources - Battery
● Utility + Paralleled Batteries
Utility = 60HZ, 1.0 pu Voltage
1000 GW Capacity

Up to 12
12,000
000 kW
Supply and
User’s Utility Service
Demand are
AutomaticallyBal Up to
anced 10,000 kW 2,000 kW for
(from User’s Battery Charging
perspective)

User’s Battery/
10,000kW Load Inverter System
Energy Storage
Load = 1500kW
Alternative Energy Sources – Battery
Loss of Utility
● This works as a Microgrid...
Utility = 60HZ, 1.0 pu Voltage
1000 GW Capacity

0 kW
Supply must be
User’s Utility Service
controlled to
match demand –
accomplished 1,500 kW 1,500 kW
using inverter
controller

User’s Battery/
Usually all but
“critical” loads 1,500kW Load Inverter System
are shed Controlled Power
Load = 1500kW
Output
Alternative Energy Sources – Battery
Loss of Utility
● …but cannot operate indefinitely!
Utility = 60HZ, 1.0 pu Voltage
1000 GW Capacity

0 kW
Battery System
User’s Utility Service
Goes Offline due
to discharge of
batteries 0 kW 0 kW

User’s Battery/
Facility is in the dark Inverter System
Load = 1500kW
Discharged
Microgrids with Alternative Energy
Sources
● Desirable due to operating economics – OpEx for renewable energy
sources is extremely low compared to conventional generators

● Desirable due to positive environmental impact at site of operation

● Typically not possible using Alternative Energy Sources Alone

● The solution (until the perfect alternative energy source comes along):
● Combine alternative and conventional sources
● Utilize energy storage (variable sources such as PV, wind) and/or variable
loads (base-load sources such as fuel cells) to minimize the impact of
source or load variability
● Typically requires “plant controller” to dispatch energy sources and control
loads
 Microgrid – Conventional Generation +
Variable Alternative Energy Source
● This arrangement is stable Generator is forced to supply base
load plus variable power
Voltage
V lt anddFFrequency will
ill
experience “transient”
fluctuation 0 kW

100 kW 1,500 kW 1,400 kW

User’s Variable
User’s Conventional
Alternative
Generator
Energy Source
User’s Generator can provide power up
Variable Power to its rating

1,500kW Load
Load = 1500kW
Microgrid – Conventional Generation +
Variable Alternative Energy Source
● …But too much variable source contribution leads to instability
Generator cannot provide enough
power to cover swings
i iin variable
i bl
power output
System is unstable 0 kW

1,500 kW 100 kW
1400 kW

User’s Variable
User’s Conventional
Alternative
Generator
Energy Source
User’s Generator can provide power up
Variable Power to its rating

1,500kW Load
Load = 1500kW
Microgrids – Conventional Generation +
Variable Alternative Sources
● Operating economics dictate that variable component be as large as
possible compared conventional component

● Allowable ratio of variable to conventional source components

(“penetration”) is dependent upon capabilities of conventional generator
source
● Generally 10% - 20%
● Subject of numerous studies – EPRI, NREL, others
● Some researchers say about 25%
25%, an interesting research area
area, power
researchers use computer simulation to study this

● Performance can be improved and allowable penetration can be increased by

using
i energy storage
● Requires dispatch controller to regulate energy storage operation
 Microgrid – Conv+Variable+Storage
● This arrangement can be made to operate in a stable manner

Energy Storage must be dispatched

Voltage and Frequency as required
fluctuations are reduced
0 kW

300 kW 1,500 kW 1,200 kW

Up to 300kW
User’s Variable
As req’d
Alternative
Energy Source User’s Conventional
Variable Power Generator User’s Battery/
y
Inverter System
Controlled Power
1,500kW Load
Output
Sources: (1) U.S. Department of Energy
(2) Microgrid Institute
U.S. DOE Net Zero Microgrid 2011
Solar Decathlon Microgrid 2011
Conclusion
● Microgrids – a new concept being implemented in many places;
● A system includes distributed generation, advanced control, and
possibly cybersecurity;
● Energy reliability, surety,
● Market data predicts a rapid growth of Microgrids;
● Next
N t bi
big thi
thing – Microgrids?
Mi id ?
Thank you!

Questions?

Contact:
Yazhou (Joel) Liu, Ph.D., PE
Schneider Electric Engineering Services
[email protected]‐electric.com
408 228 2579
408‐228‐2579