Transcript Slide 1

New Challenges
Facing System
Operators
Stephen G. Whitley
President & Chief Executive Officer
New York Independent System Operator
Past Present and Future of the Power Grid
A Cornell University workshop in honor of Robert J. Thomas
Ithaca, NY
August 9, 2012
© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.
Topics
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Growth of the Grid
Renewable Resources
Demand Response
Advancing Technology
Regional Collaboration
© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.
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Growth of the Grid
1882
Pearl Street Station
59
customers
600 kW
of generation
10.5 miles
of main lines
2012
New York Control Area
7 million
electric utility customers
43,000,000 kW
of generating capacity,
transmission capability &
demand-response
11,000 circuit-miles
of high-voltage transmission
Pearl Street Station distribution area, New York, Image 69231, Electricity & Modern
Physics Collection. National Museum of American History - Smithsonian Institution
© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.
3
Looking Ahead
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•
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Integrating Renewable Resources
Empowering Consumers
Advancing Technology
Enhancing Collaboration
© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.
4
Wind Power
• 2006 – NYISO exempts wind from undergeneration
penalties as a variable energy resource
• 2008 – NYISO establishes centralized wind
forecasting system established
• 2009 – NYISO integrates wind into Economic
Dispatch system (First in nation)
Growing wind in NY…
 Wind-powered generating capacity in NY grew
from 48 MW in 2005 to 1,414 MW in 2012
 Another 4,000 MW of wind projects proposed
for interconnection to NY grid
© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.
5
Energy Storage
 2009 -- NYISO implements first market rules in
US enabling storage systems to participate in
the markets as frequency regulation providers
 Energy storage complements development of
variable energy resources
NY’s Energy Storage Firsts…
 First commercial grid-scale battery-based storage
system to operate as a generator in the US
 First full-scale flywheel energy storage facility to
provide frequency regulation service in the US
© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.
6
Solar Power
 2012 – NYISO exempts solar power from undergeneration penalties to compensate solar fully for
all energy production
 Future – Market evolution for solar resources
likely to parallel wind power initiatives
Grid-scale solar in NY…
 The largest photovoltaic array in the
eastern US is the 32-MW Long Island
Solar Farm at Brookhaven National
Laboratory – completed in Nov. 2011
© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.
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Demand Response
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8
Shaving the Peak
July 2011 heat
waves could have
pushed demand
to over 35,000 MW
-- a new record
peak -- had DR
programs not
served to reduce
load by more than
1,400 MW
NYCA 2011 Peak Day
With & Without Demand Response
38,000
36,000
Estimated Load
without DR
34,000
32,000
30,000
Actual Load
with DR
28,000
26,000
24,000
22,000
20,000
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24
Actual
© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.
Without Demand Response
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Dynamic Pricing
Impact of Dynamic Pricing on Hourly Loads
 NYISO/Brattle Group Study
 Dynamic pricing can encourage shift to off-peak usage
 Potential 10-14% reduction in system peak
 Market-based customer cost reductions of 2-5%
© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.
10
Smart Grid
 Smart Grid Investment Grant (SGIG)
 Three-Year project -- $74 Million (DOE SGIG funding of
$37 Million to cover 50% of project cost)
 Project components
 Creation of a statewide Phasor
Measurement Network
 Installation of Capacitor Banks
 Enhanced reliability
 PMU Installation one of key DOE recommendations
from 2003 blackout study endorsed by FERC and NERC
© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.
11
NYISO Infrastructure
 New state-of-the-art
primary control
center in a facility
adjacent to existing
corporate center
 Renovation of 42year-old power
control facility to
serve as alternate
control center
© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.
Existing
Corporate
Center
New Primary
Power Control
Center
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Regional Collaboration
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Broader Regional Markets
 Address “seams” between regional
markets and grid operations
 Collaborative effort - NYISO, PJM
Interconnection, Midwest ISO, ISONew England, Ontario’s Independent
System Operator and Hydro Quebec
 More frequent scheduling can facilitate
better regional integration of variable,
renewable resources
© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.
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Interregional Planning
 Eastern Interconnection
Planning Collaborative
 25 electric system planning
authorities in U.S. and
Canada representing 95%
of Eastern Interconnection
 Grassroots effort to
integrate local planning
interconnection-wide
© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.
14
Moving Forward
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The New York Independent System Operator
(NYISO) is a not-for-profit corporation
responsible for operating the state’s bulk
electricity grid, administering New York’s
competitive wholesale electricity markets,
conducting comprehensive long-term planning
for the state’s electric power system, and
advancing the technological infrastructure of
the electric system serving the Empire State.
www.nyiso.com
© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.
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