Smith Jeff EPRI USC Presentation

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Distribution Costs and Benefits of Increasing Penetrations of PV

Jeff Smith, EPRI, [email protected] Nadav Enbar, EPRI, [email protected] USC 2015 San Diego, April 27 - 29

© 2015 Electric Power Research Institute, Inc. All rights reserved.

Outline  Distribution systems are unique  Summary of cost/benefit results from a range of feeders  Evaluating distribution “system-wide” impacts challenges and solutions

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Distribution Systems are Unique and Large in Scale

– Designed to reliably serve ALL customers in least-cost manner – Evolve around customer needs – Feeder design impacts reliability, costs, and benefits of DER

Ex: PV Hosting Comparison by Feeder Feeder

Distribution Feeders are Unique

D3 D2 D1 P5 P4 P3 P2 P1

Distribution Systems are Vast

G3 G2

G1 Typical Distribution Utility

Number

Service Territory

1

Planning area

1’s - 10’s

Substations

10’s - 100’s

Feeders

100’s -1000’s

Service Transformers

1000s 1,000,000’s

Customers

100,000’s 1,000,000’s

T2 T1

Decreasing visibility

R4 R3 R2 R1 J1 0

1

2

3

4

5

MW of Consumer PV

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Integrated Grid Methodology Distribution System

 To fully realize the impact and value of DER a deliberate and beneficial integration is needed  Widespread deployment of PV needs to be incorporated into both grid planning and operational processes

Hosting

Energy

Capacity

Reliability Benefit/Cost

Scenario Definition Market Conditions

DER Adoption

System Assumptions

 EPRI has developed a comprehensive benefit-cost framework aimed at better informing strategic decisionmaking

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Bulk System Resource Adequacy

Transmission Performance

Flexibility

Transmission Expansion

Operational Practices & Simulation

An Integrated Grid

System Benefits

Societal Costs/Benefits

System Costs

Customer or Owner Cost/Benefits

Method for Distribution Analysis  Determines the true costs and benefits of DER to the distribution system.

voltage

Voltage

 1st step: PV and Feeder Performance

Protection relay desensitization

Load Only

Current

Watts

limit

time 

Capacity

– Hosting capacity (voltage and protection)

unacceptable overvoltage

Load and PV

– Thermal capacity

Impedance 

Integrated Approach

Impedance 

– Energy (losses and consumption) – determine the value (costs and benefits) of the resource to the grid.

Energy

 2nd Step: Cost/benefit

Energy Losses

unserved energy

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Month

Energy

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energy exceeding normal

Time 

Reliability

Example Case Studies

Cost/Benefit Results from Three Feeders

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Feeder Results from Hosting Capacity Analysis Feeder K3

Feeder S1

Feeder Evaluation Criteria

Feeder K2

3 distribution feeders selected based on their range in characteristics and hosting capacities.

Protection & Voltage All penetrations in this region are acceptable, regardless of location

Protection

Some penetrations in this region are acceptable, site specific

Voltage

No penetrations in this region are acceptable, regardless of location

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Thermal Capacity Analysis  What is considered? Watts

– Capacity deferral: analyzed based on utility-specific practices for planning system upgrades.

Load and PV

– Thermal aging: analyzed based on IEEE Standard 57.91 for thermal aging calculations.

– Historical load and solar data. – Transformer thermal characteristics and ratings. – Ambient conditions.

Time 0.025

Cummulative Loss of Life (%)

 Quantification of impact based on:

Load Only

0.020

Increasing levels of PV

0.015

0.010

0.005

0.000 0

1

2

3

4

Year (2% load growth/year)

*example illustrations only

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5

6

Application of Thermal Capacity Assessment Method to an Example Feeder 8000

K2 7000

Normal Planning Limit of 6,600 kVA

Available capacity

Power (kVA)

6000 5000 4000 3000



Yearly load profile analyzed, peak load day/level identified for each



Planned load growth applied

2000

1000 0

Jan 3

Time (Hours)

Jan 4

Jan 5 Data

Feeder K2

Current Loading (% of normal limit)

82%

Planned Load Growth Calculated Load Growth Until Capacity Constrained 9 © 2015 Electric Power Research Institute, Inc. All rights reserved.

1%/year ~20 years

Application of Thermal Capacity Assessment Method Continued Statistical Distribution of Hourly Output - K2 100%

Normalized PV Power (% of PV Rating)

90%

K2 Feeder

peak load hour

80% 70%

Max and Min Median Inner quartile (25th and 75th)

60% 50% 40% 30% 20% 10% 0% 5

6

7

8

9

10

11

12

13

14

Hour of Day

15

16

17

18

19

20

21

Dec 1-Feb 29, 2011

In order to defer capacity, the resource (PV) must be available when the asset is most constrained

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Thermal Capacity Assessment: Summary of Results for Three Feeders  The differences in deferral potential were driven primarily by the available capacity on the feeder and the utility planning practices employed. Technical Metrics Current Loading (% of normal limit) Planned Load Growth Calculated Load Growth until Capacity Constrained

Feeder K2

Feeder K3

Feeder S1

82%

67%

64%

1%/year

0.5%/year

1%/year

~ 20 years

~ 80 years

~ 50 years

$13,050

0

0

Economic Metrics Deferral Savings

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Energy Analysis Line and core losses

 What is considered?

– Energy loss and consumption on feeder with no PV. – Energy loss and consumption on feeder with PV.

 Quantification of impact based on: – Difference in losses and consumption with and without PV. – Annual simulation using measured load profiles and local ground-based PV measurements to drive simulations. 12 © 2015 Electric Power Research Institute, Inc. All rights reserved.

Low-voltage line losses

Customer meter

 Analysis Metric

Transmission

– Change in losses on distribution feeder resulting from PV. – Change in consumer energy consumption due to changes in delivery voltages.

Medium voltage line losses

Transformer load and noload losses

Energy consumption

Energy Assessment: Summary of Results Continued  Line losses are more greatly impacted (reduced) for feeders with greater initial losses  Change in consumption can impact net losses  At higher penetration levels, improvement in losses are lessened – Increased consumption on feeder – Reverse power flow

Feeder K2 4.10% 3.14

Feeder K3 2.70% 5.3

Feeder S1 6.30% 4.6

0.70%

0.32%

0.71%

New Losses with PV

3.40%

2.38%

5.59%

% Change in losses/MW of PV

-5.44%

-2.24%

-2.45%

Net Reduction in Losses with PV (line & core & consumption)

0.47%

0.07%

0.10%

New Losses with PV (Net) % change in Net Losses/MW of PV

3.63% -3.65%

2.63% -0.49%

6.20% -0.35%

Base Losses without PV PV Capacity (MW) Reduction in Losses with PV (line & core)

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Mitigation Analysis (Voltage and Protection)  Impacts Considered

Voltage Mitigation Options Considered

– Voltage

• Reconductoring

– Protection

• Service transformer replacement • Service upgrade

 Mitigation Measures – Prevent adverse voltage or additional control operations – Prevent inadvertent protection operation

 Quantification of Mitigation

• Add voltage regulator • Smart inverters

Protection Mitigation Options Considered  Directional relay/settings  Reconductoring

– Existing utility upgrade practices

 Grounding recloser/transformer

– Cost of mitigation

 Direct transfer trip

 Breaker replacement

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Application of Voltage & Protection Assessment Method to Feeder K2  Three PV penetration levels (0.5/1.0/2.0 MW)  Mitigation is needed at all three PV penetrations selected for consideration.  More optimal PV deployments typically require less upgrades. 0.5 MW scenario 1.0 MW scenario 2.0 MW scenario Secondary Overvoltage Secondary Voltage Deviations

No Issues Primary Imbalance

May require upgrades

Regulator Voltage Change

Requires upgrades

Primary Voltage Deviations Primary Overvoltage

0 15

2 Hosting Capacity (MW)

4

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*protection upgrades also needed at 2MW level

Application of Voltage & Protection Assessment Method Continued

 Cost of voltage and protection mitigation options needed based on utility estimates for each Mitigation Means

Materials Installation

Units

Lifetime

3Ø Reconductor to 795AA

$ 50,000

$ 250,000

per mile

40

1Ø Reconductor to 795AA

$ 16,667

$ 125,000

per mile

40

3Ø Regulator

$ 40,000

$ 35,000

each

30

Capacitor Bank

$10/kvar

$ 1,000

each

30

Distribution Transformer

$ 1,000

$ 600

each per Ø

40

Line Recloser

$ 30,000

$ 20,000

feet

40

Secondary/Service Upgrade

$ 60 + $2/ft

$ 80+$3.2/ft

feet

40

Assumed in 2014$ 16 © 2015 Electric Power Research Institute, Inc. All rights reserved.

O&M

$2000/yr

Summary of Example Feeder Results for Three Feeders Feeder K2 Capacity Deferral 0.5 MW 1 MW 2 MW

-.15 ȼ/kWh -.15 ȼ/kWh -.15 ȼ/kWh

Feeder K3

Feeder S1

0

0

Mitigation Costs 0.5 MW 1 MW 2 MW

.01 to 2 ȼ/kWh .01 to 5 ȼ/kWh 1 to 7 ȼ/kWh

Losses (line & core)

5.4% per MWPV

2.2% per MWPV

2.4% per MWPV

Losses (net)

3.6% per MWPV

0.5% per MWPV

0.3% per MWPV

0

0.64 ȼ/kWh 0.3 to 0.8 ȼ/kWh 0.2 to 0.8 ȼ/kWh

 Each feeder has a unique benefit and cost based on its particular characteristics and utility planning methods.

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Assessing DER Across Entire Distribution System  Challenge – Distribution feeder impacts are unique

Substation Level

=

– Distribution system is vast – Issues/value streams we want to identify are unique and at the “edge” of the grid – Need to consider unique response at the individual feeder level

 EPRI Approach – New method that captures impact and value efficiently w/o sacrificing accuracy – Individual feeder response level

Feeder Level

Feeder Level

– Can be applied throughout entire distribution system 18 © 2015 Electric Power Research Institute, Inc. All rights reserved.

Feeder Level

Assessing DER Across Entire Distribution System  Challenge – Distribution feeder impacts are unique

System-Wide Assessment Capturing Feeder-Specific Results

– Distribution system is vast – Issues/value streams we want to identify are unique and at the “edge” of the grid – Need to consider unique response at the individual feeder level

 EPRI Approach – New method that captures impact and value efficiently w/o sacrificing accuracy – Individual feeder response level – Can be applied throughout entire distribution system 19 © 2015 Electric Power Research Institute, Inc. All rights reserved.

Distribution-Wide Assessment of DER EPRI Streamlined Hosting Capacity Method

 Utilizes current utility planning tools and data (no new tools are needed)  Evaluates each feeder individually  Can be applied throughout entire system (1000’s of feeders) in automated fashion  Considers “feeder-level” response with results that can be aggregated up to substation level  Captures value/cost efficiently w/o sacrificing accuracy  Applications – Distribution resource plans – Screening – …. Distribution diagrams courtesy of Salt River Project 20 © 2015 Electric Power Research Institute, Inc. All rights reserved.

Conclusion Voltage

Thermal Capacity

 New EPRI approach allows for system-wide assessment without sacrificing necessary details

limit

time 

Protection relay desensitization

Current

Load Only

 Distribution systems are unique in terms of the cost/benefits of DER

Load and PV

Impedance 

Integrated Approach

Impedance 

unserved energy

Energy Losses

 Assessing DER impacts across entire system can be challenging

unacceptable overvoltage

Energy

Watts

 Distribution systems are unique in terms of their response to DER

voltage

 Must consider where DER connects – often at customer level

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Month

Energy

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energy exceeding normal

Time 

Reliability

Questions Reference  Understanding the Costs and Benefits of Increasing Grid Penetrations of Solar Photovoltaics. EPRI, Palo Alto, CA: 2014. 3002003270.  Distributed Photovoltaic Feeder Analysis: Preliminary Findings from Hosting Capacity Analysis of 18 Distribution Feeders. EPRI, Palo Alto, CA: 2013. 3002001245.  A New Method for Characterizing Distribution System Hosting Capacity for DER: A Streamlined Approach for PV. EPRI, Palo Alto, CA: 2014. 3002003278.  The Integrated Grid: A Benefit-Cost Framework, EPRI, Palo Alto, CA: 2015. 3002004878 22 © 2015 Electric Power Research Institute, Inc. All rights reserved.