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Steve Bossart, Dirk Baker, and Steve Pullins October 2009

West Virginia Smart Grid Implementation Plan. Steve Bossart, Dirk Baker, and Steve Pullins October 2009. This material is based upon work supported by the Department of Energy under Award Number DE-AC26-04NT41817

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Steve Bossart, Dirk Baker, and Steve Pullins October 2009

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  1. West Virginia Smart Grid Implementation Plan Steve Bossart, Dirk Baker, and Steve Pullins October 2009

  2. This material is based upon work supported by the Department of Energy under Award Number DE-AC26-04NT41817 This presentation was prepared as an account of work sponsored by an agency of the United States Government. Neither the United States Government nor any agency thereof, nor any of their employees, makes any warranty, express or implied, or assumes any legal liability or responsibility for the accuracy, completeness, or usefulness of any information, apparatus, product, or process disclosed, or represents that its use would not infringe privately owned rights. Reference herein to any specific commercial product, process, or service by trade name, trademark, manufacturer, or otherwise does not necessarily constitute or imply its endorsement, recommendation, or favoring by the United States Government or any agency thereof. The views and opinions of authors expressed herein do not necessarily state or reflect those of the United States Government or any agency thereof.

  3. Today’s Discussion What is the 21st Century telling us? West Virginia Smart Grid Implementation Plan Results for West Virginia Key Lessons for the State and the Nation

  4. What is the 21st Century Telling Us?

  5. From the 20th to the 21st Century 25 M residential solar 1 M PHEV/PEV 10 M PHEV/PEV 50 M PHEV/PEV 2 M architectural wind 5 M building solar 500 wind parks 50 solar parks 5,000 distributed wind 5,000 utility solar 100,000 Buildings as PP

  6. Result – Sea Change in the Network • Consumer engagement with resources to solve power issues locally • Two-way power flow in Distribution • As prices increase, local renewables will increase in residential, commercial, and industrial • Imperative to transform from passive to active control in Distribution • New ways for Distribution to become a Transmission resource

  7. Smart Grid Characteristics …the enabler The Smart Grid is “transactive” and will: Enable active participation by consumers Accommodate all generation and storage options Enable new products, services and markets Provide power quality for the digital economy Optimize asset utilization and operate efficiently Anticipate & respond to system disturbances (self-heal) Operate resiliently against attack and natural disaster Updated 02/25/2008

  8. West Virginia Smart Grid Implementation Plan (WV SGIP) If you come to a fork in the road, take it. - Yogi Berra

  9. West Virginia Smart Grid Implementation Plan • Address the role of coal in Smart Grid • Support economic development in State of West Virginia • Only state-wide Smart Grid implementation plan completed • Establishes West Virginia and NETL as leader in Smart Grid • Only second Smart Grid study to be published in the nation • $540K project jointly funded through Attachment H process by NETL, RDS, Allegheny Power, AEP, State of West Virginia, WVU, and DOE OE • Results describe the approach and value proposition of implementing Smart Grid in West Virginia • Cost & benefit analysis compare the state of current electricity grid and future Smart Grid in West Virginia

  10. WV SGIP Process Updated 02/25/2008

  11. Key Facts About West Virginia • 991,000 electric customers (142,000 commercial/industrial) • 16,500 MW of generation (90% coal-fired) • Over 47,000 miles of distribution circuits • 5,900 miles of transmission lines • 58M MWh traded outside the state • 32M MWh used inside the state • AEP and Allegheny Energy serve 98% of the customers • SAIDI (with storms) = 439 min/customer/yr • SAIFI = 1.52 • Storm SAIFI = 0.45 • NOx = 157K T/yr • SOx = 456K T/yr • CO2 = 87M T/yr Updated 02/25/2008

  12. Smart Grid Maturity Matrix Evaluation WV Smart Grid As-Is Principal Characteristics Aggregate Score Future State Current State Principal Characteristics Updated 02/25/2008

  13. Final Results

  14. West Virginia Smart Grid Solutions

  15. Important Distinctions for WV • Reductions in WV consumption go to exporting more energy • 104MW of DR, doesn’t necessarily mean a reduction of generation. It likely means 104MW of increased export. • More efficient delivery system (reduced line losses) means more export. • Benefits from reduced WV outages is higher than most states • Higher outage parameters (number and duration) are the overriding benefit potential of a WV Smart Grid Updated 02/25/2008

  16. WV Smart Grid Costs & Benefits

  17. WV Benefits by Beneficiary

  18. WV Annual Benefits ($M)

  19. Total Benefits & Cost Racking

  20. Racking Costs & Benefits by Solution

  21. Implementation Plan Updated 02/25/2008

  22. Comparing Business As Usual to the Smart Grid Plan

  23. Key Lessons for West Virginia and the Nation

  24. Conclusions • Implementing a Smart Grid will: • Radically improve system reliability • Lower the carbon footprint • Support a better sustainable business climate • Generate benefits beyond the borders • WV “numbers” (20-yr present value) • ~ 1 million meters • Total Smart Grid Cost - ~ $1.9B • Total Smart Grid Benefit - ~ $10B • Benefit Cost Ratio: 5:1 • A Smart Grid can be implemented with a portion of the business as usual (BAU) 10-year capital plan. • A WV Smart Grid benefits the regional market (others outside the state benefit greatly)

  25. For More Information For additional Information: http://www.netl.doe.gov/energy-analyses/index.html 25

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