IEEE Power & Energy Magazine - May/June 2016 - 45
Independent decision making based on a frequently updated
market-based signal can regulate the overall feeder load for
economic and reliability benefits.
in all of the demonstrations, it would have been interesting to collect and analyze further data. for example, to
analyze household learning patterns and thermostat interactions, a demonstration program needs to operate over a long
period (perhaps two years). this would also allow for analysis of seasonal variations. in addition, a greater population of
responsive resources on the same feeder could provide direct
measurement of the ability of a portfolio of resources to regulate feeder power levels for peak shaving and other benefits.
lastly, additional sensing of equipment operation could corroborate the derived information deduced by statistical analysis of metered data and better inform simulation models.
the demonstrations only begin to address some of the
many questions about such a transactive system. due to the
complex nature of interactions between consumers, smart
equipment, and the electricity system, as well as the changing demands due to weather and time of day, week, and year,
characterizing the amount of flexibility in the distribution
system and the elasticity of demand-side resources to price
is very difficult. the field data begins to provide insights, but
predictive modeling and bell-weather metrics remain immature. More work is needed to develop a theoretical basis for
analyzing these complex systems and testing designs for performance and stability prior to deployments.
Conclusions and Future Directions
the potential benefits from harnessing the flexibility in the
operation of distributed energy resources to help meet an
evolving set of requirements for safe, efficient, reliable, and
resilient energy systems grows daily. te concepts embrace
the complex system of systems nature of electric power
systems to present practical, scalable ways to integrate the
assets of many self-directed participants working toward a
mixed set of individual and shared objectives. characteristics of any reasonable solution need to address the following
✔ mitigate privacy, free will, and cybersecurity issues
✔ define a simple cyberinteraction paradigm, applicable
at all levels of the system and supported by standards
✔ offer viable transition paths that coexist with traditional approaches
✔ provide smooth, stable, predictable operation and
graceful degraded performance when stressed.
a transition to te at the distribution level of the system challenges the status quo. Successful outcomes require
acceptance by business and policy decision makers as a
cost-effective, valid, equitable, and advantageous revenue/
investment recovery mechanism. in addition, a vibrant vendor community (or technology ecosystem) must emerge to
supply a healthy variety of transactional products and services, such as operating platforms that support the integration of a heterogeneous mix of equipment, as well as the
associated system and device-level automation needed to
negotiate, operate to expectations, and reconcile agreedupon transactions.
Work is underway to socialize te concepts through the
gWac in north america and fan in europe, while fan is
also advancing te framework standards and the Smart grid
interoperability Panel is facilitating the extension of existing
standards and development of new interface standards.
For Further Reading
gridWise transactive energy framework. (2015, Jan.). [online]. available: http://www.gridwiseac.org/about/transactive_
olympic Peninsula: Pacific northwest gridWise testbed
demonstration Projects: Part i report (Pnnl-17167). (2007,
oct.). [online]. available: http://www2.econ.iastate.edu/
aeP ohio gridSMart® demonstration Project final
technical report. (2014, June). [online]. available: https://
Pacific northwest Smart grid demonstration Project
technology Performance report. (2015, June). [online].
PowerMatcher and fan alliance websites. (2016). [online]. available: www.PowerMatcher.net, www.flexible
K. Kok. (2013, July). The PowerMatcher: Smart Coordination for the Smart Electricity Grid Book. [online]. available: www.tinyurl.com/PowerMatcherBook
o. Pruissen, et al., "Simultaneous imbalance reduction
and peak shaving using field operational VPP with heat
pumps," in Proc. 23rd Int. Conf. on Electricity Distribution
Koen Kok is with the netherlands organization for applied
Scientific research and the technical university of denmark, roskilde.
Steve Widergren is with Pacific northwest national labp&e
oratory, richland, Washington.
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