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November 2007

China’s Strong Smart Grid – An Area China Will Excel Presented at Harvard China Review Conference April 17, 2010. BGE January 4, 2008. ML Chan, PhD (mlchan@quanta-technology.com) Executive Advisor, Quanta Technology, LLC, USA (www.quanta-technology.com)

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November 2007

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  1. China’s Strong Smart Grid – An Area China Will Excel Presented at Harvard China Review Conference April 17, 2010 BGE January 4, 2008 ML Chan, PhD (mlchan@quanta-technology.com) Executive Advisor, Quanta Technology, LLC, USA (www.quanta-technology.com) Executive Director of Smart Grid, JUCCCE, China (www.juccce.com) November 2007

  2. Smart Grid is …. • Overlay of Information Technology Infrastructure on Power Delivery Infrastructure to achieve: • System efficiency • Sustainability (green the grid) • Optimal utilization • Enhanced system reliability • Covers G, T, D and customer sectors • Not a set of shrink-wrapped solutions; unique to each utility

  3. Smart Grid Business Drivers: New Business Environment SG Greenhouse Gases Operational Efficiency Aging Workforce Renewable Resources & EVs CARBON FOOTRPINT PRODUCTIVITY IMPROVEMENT Condition-Based Maintenance Demand Response RELIABILITY & QUALITY OF SUPPLY Aging Infrastructure Supply Reliability Power Quality

  4. Drivers for China Smart Grid • Efficiency • Cost efficiency • Capacity credit (e.g., Peak demand management) • Operational efficiency (e.g., MDTs) • Energy efficiency • End-users • System • Carbon footprint reduction • Integration of wind and solar PV farms from remote • System reliability & integrity • Asset condition monitoring

  5. China also desires to … • Bring renewable energy from wind and solar PV farms out in the west (Xinjiang and Inner Mongolia) to load centers; over 3000 km • Bring hydro energy far from the south to load centers • Bring thermal energy from afar to load centers • Implement rural electrification; Net Zero Energy Community is a good solution

  6. China Smart Grid enables … • The integration of renewable resources, though utility scale • The efficient and reliable delivery of thermal, nuclear and hydro energy • Reliable and robust service • The integration of customer loads – Distributed Energy Resources (DER) and Dispatchable DSM resources, though may take a long time before customers become true participants of the electricity market

  7. International Conference on UHV Transmission Technology 2009Building Strong and Smart Grid State Grid Corporation of China May, 2009

  8. Strong Smart Grid Initiative • Phase I (2009-2010) – Planning • Develop Smart Grid strategy and roadmap for deployment • Develop interoperability standards and performance requirements • Phase II (2011-2015) – Deployment • Deploy transmission system Smart Grid applications • Deploy distribution system Smart Grid applications • Deploy AMI systems • Phase III (2016-2020) – Upgrade & Enhancements • Upgrade and enhance installations

  9. Status of China Strong & Smart Grid • Smart Grid strongly guided by the SGCC; planning, implementation, time schedule, demonstration sites • Initial focus on transmission system and control center systems • Will move down to distribution system and perhaps down to customer side; unlikely to go to Real-time Pricing • Will be vertically controlled by SGCC, including the vendor market

  10. Status of China Strong & Smart Grid (cont’d) • Strictly adhere to SGCC schedule • 3 phases • 4 demo sites – Beijing, Hangzhou, Xiamen and Yinchuan（北京，杭州，厦门，银川） • 10+ demo city sites for about 2,000,000 AMI meters • Purchasing vendor companies (e.g., disconnect switches, transformer monitoring systems) • Building a reliable and robust transmission backbone infrastructure – UHV DC, Sychrophasors, etc.

  11. Conclusions • Smart Grid enables the integration of supply resources and demand side resources • Implementation schedule focuses on supply resources and grid operations first, then eventually demand-side resources

  12. Thank you! Discussions!

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