Office of Electricity Transmission and Distribution September 2003 Marshall Reed

1. Office of Electricity Transmission and Distribution September 2003 Marshall Reed U.S. Department of Energy

2. What is the Office of Electric Transmission and Distribution • A new Program Office like EERE and FE • Reports to the Under Secretary • Derives funding from EWD programs only

3. How We Got Here “…It is a plan to modernize our electricity delivery system. It is a plan which is needed now. It is needed for economic security. It is needed for national security…” George W. Bush February 6, 2003 September 2002 May 2002 May 2001

4. Recent Major Blackouts Detroit ‘00 Midwest, Canada, & New York - Aug. ‘03 West Coast ’96 New York ‘99 Chicago ‘99 Detroit ‘00 Texas ‘03 Northern California ‘01 18 18 Delaware ‘99 West Coast ’96 San Francisco ‘00 San Francisco ‘00 New York ‘99 Atlanta ‘99 Atlanta ‘99 Delaware ‘99 New Orleans ‘99 New Orleans ‘99 Chicago ‘99 17

5. Major Transmission Bottlenecks

6. Need for U.S. DOE Leadership • Past grid studies remain un-implemented • Electric system essential for U.S. economic and national security • Neutral facilitator of solutions that benefit the entire country – federal agencies, regions, states, and consumers

7. OETD Mission To lead a national effort to modernize and expand America’s electricity delivery system to ensure economic and national security.

8. OETD Structure Office of the Director Electric Power Systems Operations and Analysis Program Electric Power Systems R&D Program

9. Electric Power System R&D • Transmission Systems • Including high capacity conductors • Distribution and Integration • Including interconnection of distributed energy • Electricity Storage • Superconductivity

10. Electric Power System Operations and Analysis • Electricity Policy Modeling and Analysis • Provide check/balance to the FERC • Electricity Restructuring • Electricity Import/Exports • Including Presidential permits • Power Marketing Administration Liaison

11. National Electric System Vision and Roadmap Process “Pathways to Success…” Vision Implementation Roadmap RD&D Regulations Market Designs TechnologiesMarkets Policies Action Agenda Goals Priorities Partnerships Industry Tomorrow Industry Today

12. Who Will Our Partners Be • Electricity Consumers • Electric and Gas Utilities • Independent System Operators • Equipment Manufacturers • IT Companies • State Agencies • Other Federal Agencies • Canada, Mexico, and other countries • Trade Associations • Environmental and Labor Groups

13. Conclusions • Modernizing and expanding America’s electric delivery system is a Presidential priority • DOE leadership is needed now to implement solutions that benefit all stakeholders • New Office of Electric T&D is focused on both near and long term needs • National vision and roadmap process key to building stronger public-private partnerships

14. Advanced Conductors Evaluation of 3M Advanced Composite Conductor: • The Aluminum Matrix Composite (AMC) conductor as a replacement conductor can double the capacity of existing lines • DOE/ORNL funded 3M to develop the AMC starting in 1998 • ORNL and 3M will evaluate the conductor in high current tests at ORNL, and field tests at WAPA • Cost could confine initial use to niche applications and upgrades of short, strategic lines

15. Communications and Controls Enables aggregated control of integrated systems across multiple sites

16. Energy Storage

17. Wires: HTS wires will carry 100 times the current without the resistance losses of comparable-diameter copper wire. Equipment: HTS equipment is half the size of conventional alternatives with the same power rating, and has only half the energy losses. Superconductivity Goals