Smart Grid Projects NSTAR

1. Smart Grid Projects NSTAR Larry Gelbien New England Restructuring RoundTable December 4, 2009

2. AGENDA • Overview of Three Smart Grid Projects • Grid Self-Healing Project • Urban Grid Monitoring and Renewables Integration Project • AMR Based Dynamic Pricing Project • Questions

3. Grid Self-Healing ProjectDOE ARRA Deployment Project

4. Automated Sectionalizing Unit Program Cumulative Number of Averted Sustained Customer Outages Due to ASU Operations: Through 10/31/09 Slide Updated November 9, 2009 4

5. Top Decile 16.1 94.4 12.4 78.2 11.8 77.5 76.6 10.9 69.5 9.8 2005 2006 2007 2008 YTD 2009 2005 2006 2007 2008 YTD 2009 Reliability Restoration Avg. months between interruptions Avg. time to restore service 5

6. Smart Grid – Distribution Automation • Over 1,300 SCADA Switches with over 7,500 smart sensors installed through the service • 40 to 60 new devices with 120 additional smart sensors annually 6

7. Smart Switch Equipment 7

8. “Self-Healing” Distribution Grid Electric delivery network using modern sensing, communications, and information processing based on digital technologies Microprocessor-based measurement and control using remote sensors Current, voltage, KVA, temperature Circuit self-healing implementation (Auto-Restoration): 900 circuits Supervisory controlled overhead and underground switches with voltage and current sensors: 220 switches Interoperability standards using PI interface SCADA interface to recloser control cabinet: 20 reclosers With State-of-the-Art Technology 8

9. Three Operational Modes • Mode 1: “Supervisory” mode • Leverages remote control of switches • Operator controlled sequences • Mode 2: “Operational Acknowledgement” mode • Computer-simulated restoration sequences • Operator validation and execution • Mode 3: “Self-Healing” mode • Computer-determined restoration sequences • No human intervention 9

10. NSTAR Grid Improvement – Example of how ASUs work 10

11. Self-Healing Auto-Restoration 11

12. GWAC Interoperability Checklist for Project 12

13. DOE Funding Approved • $20 million deployment project with 50% DOE funded • NSTAR to fund 50% as capital project • DOE grant agreement to be executed

14. Urban Grid Monitoring and Renewables IntegrationEnablers to Test Distributed Resource Integration

15. Project Objectives • Improve visibility into secondary area network grid • Deploy sensors on the underground secondary network methodology • Refine methods suitable to scale broadly across urban areas nationwide • Develop model to safely examine small inverter-based distributed resource integration • Solar PV integration from downtown customers • Potential for integration anywhere on the test grid • Pave the way for other, inverter-based DER in the future • Received DOE Smart Grid demonstration grant, pending DPU approval 15

16. Demonstration Grid Location (Shown in Red) 16

17. Functionality Deployed in “Layered” Approach Layers provide the data collection, monitoring, and analysis required for safely testing distributed resource integration 17

18. Metering and Analysis • Distributed resource interconnection on secondary networks • IEEE 1547 examined • Approach submitted for comment at August 2009 IEEE meeting • Additional metering capability • kWh smart metering on customers with PV integration • Enhanced feeder data metering including V & A phase info • Customer PV interconnection • Power flow monitored • Remotely controlled to disconnect on unsafe condition • Engineering analysis • All sensor data to be collected at Collection Server • Information forwarded to SCADA system and plant information system for Engineering, Operations, and Planning access 18

19. Project Topology View 19

20. Key Questions to be Answered • What significant deployment and installation challenges were encountered? • What is the percent of load from participating customers? • From PV vs. other sources • How effective was the mixed data collection methodology? • What is the frequency of disconnect due to grid stability concerns? • Will a higher percent of minor-node be effective in the future? • How durable is the sensing equipment, especially minor-nodes? 20

21. AMR–Based Dynamic Pricing Project • Pilot requirements • Cover at least 2,750 customers (0.25 % of subscribers) • Integrated two-way communications • Smart meters • Real-time measurements and communications • Embedded automated load management • Remote monitoring and operation of distribution system • Time-of-use or hourly pricing • Rate treatment of incremental program costs • Minimum 5% load reduction (peak and average) • Received DOE Smart Grid demonstration grant, pending DPU approval 21

22. Consumer Behavior: Provide Accurate Information to Make Informed Decisions Tendril Set-Point (thermostat) Tendril Insight (in-home display) Tendril Volt (outlet) broadband Tendril Transport (gateway) Tendril Mobile broadband • Load Control • Pricing Options • Energy Efficiency (CFL, Load Control, Solar, DG, PHEV) 22

23. Near Real-Time Information for Customers and Utilities • Communication Options • Least Cost Options • Minimize Stranded Costs Mesh AMR/AMI over Customer’s Broadband Service Broadband over Power Line Cellular 23

24. QUESTIONS?