IEEE Power & Energy Magazine - January/February 2020 - 23

* Aggregator: buildings and microgrids forming this
segment include MEMSs and building management systems (BMSs).
✔ In parallel to utility, home and aggregator are the systems that support retail markets.
This conceptual architecture shows the change from a
centralized architecture to a decentralized architecture, which
demonstrates the following characteristics:
✔ Disparate systems: Every participant in this interaction will be using diverse systems, ranging from
homegrown products to standard offerings from vendors and customized products.
✔ Disparate interfaces: Depending on the interactions,
each entity will interact differently with each other
based primarily on business needs.
✔ Tailored functions: Every implementation of the systems is done differently, meaning that each system
identified in Figure 2 has not implemented universally. For example, for distribution operations, some
utilities will just implement a D-SCADA system and
the OMS. Some utilities will continue their D-SCADA implementation in their transmission EMS but
interface it with their OMS. Some utilities will implement a full ADMS (all functions) but may implement
their advanced applications only for a few substations or feeders. A key takeaway from all of this is

Wholesale
Energy Market

Energy Management
System

the need for standards in both models and interfaces
that will make utilities' disparate set of installations
work well with each other by delivering value to each
business entity.

What This Creates
The new environment and the systems that support it are
creating disruption in the operation and control of the T&D
system, as follows:
✔ Data rich: The addition of new sensors, devices, and systems identified above results in a large amount of data.
A smart grid optimizes the generation, distribution, and
consumption of electricity through the extensive implementation of information and communications technologies on the electricity grid. Examples of these include
new systems, such as ADMSs, OMSs, and DERMSs;
decentralized energy producers, such as residential solar PV cells; EVs; smart homes and buildings; and new
communications systems for equipment such as smart
meters, sensors, and remote-control points. All this will
cause a deluge that data energy companies will have to
face, a situation exacerbated by the continuing evolution
of many of these systems.
✔ Distributed operations: Distributed operations can be
performed by the utility centrally or distributed at the
substation, feeder, and more locally in the grid with

Market Management
System

Wholesale Market
Settlements

Transmission Energy Management System
ADMS
(Including OMS)

DERMS

Hosting
Capacity

GIS

AMI/MDMS

Feeder-Level
Load and DER
Forecasting

Utility

T&D Deliver System Planning

Home,
Grid Edge,
and Beyond

Retail Markets
and Interaction

BMS
Aggregator

HEMS

MEMS

Smart Inverter and Other
Behind-the-Meter Systems

Retail Markets
and Settlements
Locational Value
Analysis
Transactive
Energy

Cybersecurity

figure 2. A conceptual view of the grid operations and planning architecture of the future.
january/february 2020

ieee power & energy magazine

23



IEEE Power & Energy Magazine - January/February 2020

Table of Contents for the Digital Edition of IEEE Power & Energy Magazine - January/February 2020

Contents
IEEE Power & Energy Magazine - January/February 2020 - Cover1
IEEE Power & Energy Magazine - January/February 2020 - Cover2
IEEE Power & Energy Magazine - January/February 2020 - Contents
IEEE Power & Energy Magazine - January/February 2020 - 2
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IEEE Power & Energy Magazine - January/February 2020 - Cover3
IEEE Power & Energy Magazine - January/February 2020 - Cover4
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