IEEE Electrification Magazine - December 2016 - 32
Olympic Peninsula demonstration. A challenge for the
RTPda program was establishing a new, dynamic retail
tariff based on wholesale locational marginal prices for
those whose devices (in this case, residential thermohe following responsive devices participated in the GridWise
stats) would participate in the transactive auctions
Olympic Peninsula field demonstration:
every 5 min. This tariff also included an incentive for
■ residential devices, such as
consumers to participate in constrained operating sce- electric water heaters
narios, such as feeder peak capacity situations. Using a
- thermostats for both heating, ventilation, and air conditioning
shadow price in the previous demonstration had
(HVAC) heating and cooling modes
deferred the need to develop a new tariff.
The PNWSGD, the largest of the ARRA-funded DOE
■ commercial building devices, such as
smart grid demonstrations, gave researchers an oppor- thermostats for both HVAC heating and cooling modes
tunity to design and test another novel transactive tech- real distributed backup generators
nique. The PNWSGD region encompassed much of five
- virtual (simulated) distributed backup generators
Northwest states and needed to represent the interests
■ municipal devices, such as
of 11 utility sites, the entire BPA transmission and
- municipal water reservoir pumps.
hydropower basin, and numerous additional wind,
hydro, gas, and nuclear generation resources. Particular
challenges included
action according to whether its bid had been higher or
the relatively sparse representation of active particilower than the cleared price. The system's responses were
pants in the vast electrical circuit
the need to emulate production cost impact in a
compared against control groups with time-invariant
region that has no existing transparency to this
time-of-use pricing and flat pricing. This early historical
impact comparable to locational marginal pricing
field demonstration continues to inspire transactive sys the need to create meaningful incentive signals in a
tem innovation.
system that is highly meshed rather than radial.
Funding from the American Reinvestment and
The PNWSGD decided to strictly enforce the hierarchy
Recovery Act (ARRA) of 2009 allowed the DOE to cofund
of transactive system signal peer-to-peer communicamultiple smart grid field demonstrations across the
tions along the conductive pathways that electrons follow
United States. PNNL researchers supported one such
through an electric power grid, as conceptually illustrated
demonstration to help AEP Ohio design and operate its
in Figure 2. Each location (node) in the PNWSGD system
gridSMART Real-Time Pricing double-auction program
had two responsibilities. Every 5 min, each node location
(RTPda), part of which closely mirrored the type of enerhad to predict for each interval in a set of future intervals
gy auction that had been demonstrated in the GridWise
1) the dynamic, blended cost of
electricity at the node and 2) the
energy that would flow to or from
Site
Distribution
Distribution
each neighbor node. The PNWSGD
Loads
Sites
Transformer
Substation
Transmission Generation
transactive system operated for
two project years (see "Assets
Engaged by the PNWSGD").
The GridWise Olympic Peninsula
Field demonstration
T
current department of
energy Transactive
Program Activity
Status and Opportunities
Operational Objectives
Figure 2. The conceptual illustration of the Pacific Northwest Smart Grid Demonstration's hierarchical signaling of opportunities and objectives along pathways that electrons flow in an electric
power grid.
32
I E E E E l e c t r i f i c ati o n M agaz ine / december 2016
The DOE Office of Energy Efficiency
and Renewable Energy (EE) Building Technologies presently conducts its transactive systems
research under the name Sensors,
Controls, and Transactive Energy
Research. The DOE Office of Electricity Delivery and Energy Reliability (OE) funds transactive system
development under its MarketBased Control Strategies program.
The four topic areas-simulation,
Table of Contents for the Digital Edition of IEEE Electrification Magazine - December 2016
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