The role of Distributed Generations and Future Energy Delivery Systems

for Reliable Power Supply in Competitive Environment

The role of Distributed Generations and The role of Distributed Generations and Future Energy Delivery SystemsFuture Energy Delivery Systems

for Reliable Power Supply for Reliable Power Supply in Competitive Environmentin Competitive Environment

Ryuichi YOKOYAMA横山横山横山横山 隆一隆一隆一隆一

Tokyo Metropolitan University

Outline of Presentations Outline of Presentations Outline of Presentations

- Liberalization and Restructuring of Electric Power Markets in Countries

- Recent Reforming of Electric Power Industries and Markets in Japan

- Functions and Constituents of New Organizations in Japan- Recognizing Significance of Supply Reliability in

Competitive Power markets- The role of Distributed Generations and Future Energy

Delivery Systems in Competitive Environment- Demonstrative Projects of Future Energy Delivery Systems

for Practical Use of Distributed Generations

Liberalization and Restructuringof Electric Power Markets

in Countries

Liberalization and RestructuringLiberalization and Restructuringof Electric Power Markets of Electric Power Markets

in Countriesin Countries

Deregulation, Privatization, Reforming,Deregulation, Privatization, Reforming,and Restructuring Everywhereand Restructuring Everywhere

DeregulationDeregulationDeregulation

PrivatizationPrivatization

ReformingReformingReforming

RestructuringRestructuringRestructuring

Transition of Electricity Supply StructureTransition of Electricity Supply Structuredue to Deregulationsdue to Deregulations

Vertically Integrated Structureof Power Supply

Generation

Transmission

Distribution

Customers

Transition of Structure in Electric IndustriesIntroduction of

Competition PrincipleOpen Access ofTransmission

Complete Competition

Competition in Wholesale Market

Competition in Retail Market

Social Requirements for Deregulation of Markets- Revitalization of economy, - Transition from economy of scale to economy of sphere- Competition principal, - Expansion of international mutual dependency- Negative aspects of the field of natural monopoly,

Competitive Structure of Power Supply

Supplier

Transmission（（（（ISO））））

Disco.

Cust.

Supplier Supplier

Disco.

Cust.

Disco.

Cust.

Competitiveness and Market Power in IndustriesCompetitiveness and Market Power in Industries

・・・・Public Utility( Electricity, and Gas )

EnormousRegulatedby Gov.

Not at allImpossibleSingleMonopoly

・・・・Steel, Oil・・・・Brewers・・・・Banks

(Automobiles、、、、Magazines )

To some degree

Almost not

To some degree

DifficultA smallOligopoly

・・・・Restaurants・・・・Hotels・・・・Publishing

To some degree

To some degreeEasyManyPseudo-

Monopoly

Incomplete Incomplete Competition Competition

・・・・Agricultures・・・・FisheriesNoNot at allEasyManyCompleteComplete

Competition Competition

ExamplesMarket Power

Difference ofProduct Quality

Possibility of Participation

No. ofProducers

Degree of Competition

Behaviors of Generators/suppliersunder Monopoly

・・・・Supply cost minimization

・・・・Integrated Generation and delivery system planning based on long-term load forecasting・・・・Monopoly in each area

・・・・Regulations on business and pricing

Behaviors of Generators/suppliersunder Monopoly

・・・・Supply cost minimization

・・・・Integrated Generation and delivery system planning based on long-term load forecasting・・・・Monopoly in each area

・・・・Regulations on business and pricing

Behaviors of Generators/suppliersunder Competition

・・・・Profit Maximization

・・・・Individual generation planning aiming at their own profit・・・・Free participation and leave

in markets ・・・・No monopoly・・・・No supply obligation

but only by contracts・・・・The antimonopoly Act

Behaviors of Generators/suppliersunder Competition

・・・・Profit Maximization

・・・・Individual generation planning aiming at their own profit・・・・Free participation and leave

in markets ・・・・No monopoly・・・・No supply obligation

but only by contracts・・・・The antimonopoly Act

DeregulationsDeregulations

Liberalization of power markets is divided into two phases; Wholesale level : Free participations of generators into Wholesale marketsRetail sale level : Free choice of suppliers by customers

Change of Enterprise CriteriaChange of Enterprise Criteriaby introducing Competition principalby introducing Competition principal

Transitions of Market Structures in CountriesWholesale Market Models

Cal-ISO（（（（USA））））

Cal-PX Abolition

1990s 2000s 2005

Pool（（（（UK,1990～～～～2001/3））））

NEM（（（（Australia））））

NETA（（（（UK,2001/3～）～）～）～）

ERCOT（（（（USA））））

NY Power Pool（（（（USA）））） NY -ISO（（（（USA））））

PJM Power Pool（（（（USA）））） PJM（（（（USA））））

Nord Pool（（（（Scandinavia））））

Cal-ISO＋＋＋＋Cal-PX（（（（USA））））

Powernext（（（（France、、、、2001））））

EEX（（（（Germany、、、、2001））））

Japan（（（（2005/4～）～）～）～）

Wholesale power tradingSystem operation（（（（Dispatching and Congestion management etc..））））

Generators

Suppliers

BilateralContracts

Wholesale PX （（（（Private））））Market operator and

System operator

Wholesale PX （（（（Private））））Market operator and

System operator

Generators

Suppliers

Wholesale PX （（（（Public））））Market operator and

System operator

Wholesale PX （（（（Public））））Market operator and

System operator

Pool MarketsPool Markets

MandatoryPool Market

ISO/RTOMarket

Generators

Suppliers

Wholesale PX （（（（ Voluntary ））））Wholesale PX （（（（ Voluntary ））））

Bilateral Contract MarketsBilateral Contract Markets

Generators

Suppliers

System Operator（（（（TSO ETC.)

NETAMarket

Japanese Market

BilateralContracts

BilateralContracts

Balancing Market（（（（Public））））

Balancing Market（（（（Public））））

Wholesale PX （（（（Voluntary））））Wholesale PX （（（（Voluntary））））

System Operator（（（（TSO ETC.)

TPA

Wholesale Trading Hubs in USA, 2005Wholesale Trading Hubs in USA, 2005

Chicago City-gateChicago City-gate

HennyHub

HennyHub

Ref.：Staff Report by the Office of Market Oversight and Investigations, Federal Energy Regulatory Commission, “Energy Market Assessment”(2003)

Bilateral contracts have been mainly conducted by trading hubs in each area, such as by NYMEX：：：：New York Mercantile Exchange and CBOT：：：：Chicago Board of Trade) for Future treading.

Wholesale Trading Power ExchangesWholesale Trading Power Exchangesin Europein Europe（（（（（（（（At the end of 2004At the end of 2004））））））））

NordPool(1993））））-Commencement of operation in Norway,1993-Sweden participationin 1996,

-merging with Finland PX in1997,-Denmark participation in2000.

PolPX（（（（2000））））

EXAA（（（（2002））））

OTE（（（（2002））））

OPCOM（（（（2002））））

APX（（（（1999））））

EEX（（（（2002））））※※※※Merging Leipzig PX (stared in June 2000））））and Frankfort EEX（（（（Stated in August,2000））））

Powernext（（（（2001））））

MIBEL

■■■■：：：：PX In operation■■■■：：：：PX Operation

under planning□□□□：：：：PX is not planned

GME（（（（2004））））

OMEL(1998））））

UKPX（（（（2001））））APX UK（（（（2001））））IPE（（（（2001））））- IPE started the future trading in March, 2001，，，，however stopped in March,2002 because of dark clouds of trading,and has been reformed as IPE/ICE

- EUROPX（（（（http://www.europx.org/）））） has beenestablished consisting of presently, nine PXsincluding EEX，，，，

- Related trading information is available from The Association of Power Exchanges (APEx)（（（（http://www.theapex.org/）））） .

Eligibility of Electricity CustomersEligibility of Electricity Customersin Each Country in Each Country

EU(go into effect in 1997））））Chile(1982～～～～) Argentina(1992～～～～)Portugal（（（（1995～）～）～）～） France（（（（1999～）～）～）～）Italia(1999～～～～) Austria（（（（1999～）～）～）～）Japan（（（（2000～）～）～）～）

Large-scaleCustomers

Competitive

Norway（（（（1991～）～）～）～） New Zealand（（（（1994～）～）～）～）Sweden（（（（1996～）～）～）～） Finland（（（（1997年年年年～）～）～）～）England &Wales（（（（1998～）～）～）～） Scotland（（（（1998～）～）～）～）Northern Ireland（（（（1998～～～～））））California in U.S.A. （（（（1998～）～）～）～）Rhode Island in U.S.A（（（（1998～）～）～）～）Massachusetts in U.S.A.（（（（1998～）～）～）～）Germany（（（（1998～）～）～）～） Australia（（（（2000～）～）～）～）Denmark（（（（2003～）～）～）～） Netherlands（（（（2007～）～）～）～）Spain（（（（2007～）～）～）～） Belgium(2007～～～～)

All Customers Competitive

Countries ( states ））））Retail SupplyGeneration

Masayuki YajimaMasayuki YajimaMasayuki YajimaMasayuki Yajima「「「「Big Bang of Electric Utilities in the worldBig Bang of Electric Utilities in the worldBig Bang of Electric Utilities in the worldBig Bang of Electric Utilities in the world」」」」Touyou Keizai Touyou Keizai Touyou Keizai Touyou Keizai (1999)））））

Deregulated Electricity Markets in Each CountryDeregulated Electricity Markets in Each Country

Japan

California ArgentinaSpain

・・・・ established the Amsterdam Power Exchange in 1999NetherlandsSweden

Australia

・・・・intended to introduce Pool at independent systemPortugal

Australia・・・・ participated in Amsterdam Power ExchangeLuxemburg・・・・ admitted two years delay by EU orderGreece

・・・・ admitted one year delay by EU order・・・・ participated in Amsterdam Power ExchangeBelgium・・・・ abolished the proposed SBSFrance・・・・ admitted one year delay by EU orderIreland

ChileCombination of Cooperated Pool by Generators and N-TPA

New Zealand Combination of Voluntary Pool and Negotiated TPA

Finland

Combination of Voluntary Pool and Regulated TPA

・・・・intended to change Mandatory to Voluntary Pool England & WalesCombination of Mandatory Pool and Regulated TPA

Pool＋＋＋＋TPA

････ introduced Mandatory Pool in January, 2001ItaliaCombination of SBSand Regulated TPA

SBS＋＋＋＋TPA

・・・・approved SBS at a self-governing body・・・・change into Regulated Base ?GermanyNegotiated TPA

・・・・ participated in Nord pool in 1999Denmark

Regulated TPA(R-TPA)TPA

NotesCountriesLiberalized Model

Recent Reforming of Recent Reforming of Electric Power IndustryElectric Power Industry and Marketand Market

in Japanin Japan

Toward Complete Liberalization Toward Complete Liberalization of Electricity Markets in JAPANof Electricity Markets in JAPAN

Generation Market Generation Market

Partial Retail Market(2000kW～～～～)

Partial Retail Market(2000kW～～～～)

CompleteRetail Market

CompleteRetail Market

1995 2000 ?

Scale ofMarket

IPP bidding system Year

Review at government-led council

Deliberation at government-led council

Partial Retail Market(50kW～～～～)

Partial Retail Market(50kW～～～～)

2005

Liberalization of Electricity Market in JapanLiberalization of Electricity Market in JapanEnacted in December 1995 by

Revision of the Electric Utility Industry Law

GenerationGeneration

Transmission Transmission DistributionDistribution

Retailing Retailing

SpecificElectricUtilities1010 powerpower companiescompanies

(Vertically integrated)(Vertically integrated)

Almost all customersAlmost all customers

①①①① Introduction of bidding system for supply from independent power producers to electricity companies

②②②② Creation of Specific Supply Utility

Wholesaleelectric

utilities etc.IPP

Specific Customers

Liberalization of Electricity Market in JapanLiberalization of Electricity Market in JapanEnacted in March 2000 by

Revision of the Electric Utility Industry Law

GenerationGeneration

TransmissionTransmissionDistributionDistribution

RetailingRetailing

SpecificElectricUtilities10 power companies

Middle＆＆＆＆Small Customersabout 70％％％％ of total demand

①①①① Partial Liberalization of power retailing by powerproducers and suppliers to sell only to Large Customers

②②②② Introduction of bidding system for developments ofall thermal generation plants

WholesaleElectric

Utilities etc.

Specific Customers

Large Customersabout 30％％％％

QualifiedElectricitySuppliers

(PPS)

Open accessOpen access to utilities grids

Note: PPS( PowerProducers and Suppliers) are new entrants.

IPP

Outcomes of Electricity Liberalization in JapanOutcomes of Electricity Liberalization in Japan

Power Generation Sector(FY1996～～～～FY2004)Generation bidding for fossil fuel power generation:

41sites，，，，6,730MW(IPPs)Power Retail Supply Sector(the end of March,2004)

Applicants：：：：9 PPS (total power capacity : 1,430MW)Tender called by local governments : 134 places (470MW)New entrants to generation bidding : 16 of them (52.9MW)

Reduction of electricity ratesin February 1998 : ▲▲▲▲4.7％％％％(10 companies average)in October 2000 : ▲▲▲▲5.4％％％％( 〃〃〃〃 )in April - October 2002 : ▲▲▲▲5.2 -▲▲▲▲7.1％％％％

The reduction in electricity rates brought about by management improvements is approximately 18～～～～20% in accumulation from 1996.

Eligible Customers Eligible Customers by Partial Liberalization in 2000 and 2005by Partial Liberalization in 2000 and 2005

The share of eligible customers accounts for about 30% in 2000 and 65% in 2005

The share of eligible customers accounts for about 30% in 2000 and 65% in 2005

(Electricity sales of TEPCO in 2004)

Liberalizedin 2000

(Eligible)

Liberalized in 2005

(Eligible)

IndustrialIndustrial CommercialCommercial ResidentialResidential

EHV(2000kW～～～～)

EHV(2000kW～～～～)

HV(50～～～～2000kW)

HV(50～～～～2000kW)

LV(～～～～50kW)

LV(～～～～50kW)

60 billion kWh(22 %)

60 billion kWh(22 %)

15 billion kWh(6 %)

15 billion kWh(6 %)

41 billion kWh(15 %)

41 billion kWh(15 %)

54 billion kWh(21 %)

54 billion kWh(21 %)

96 billion kWh(36 %)

96 billion kWh(36 %)

NonNon--Utility Retail Suppliers in JapanUtility Retail Suppliers in Japan（（（（（（（（2004.32004.3））））））））

①①①①Diamond Power(Kashimakita Power)

35MW／ By-product Gas

①①①①Diamond Power(NKK)20MW／Blast Furnace Gas

②②②②Nippon Steel(Asahi Glass)

17MW／Heavy Oil

④④④④Ennet(Gas & Power Investment)

15MW／Natural Gas

①①①①Diamond Power(Mitsubishi Chemical)

15MW／Heavy Oil

③③③③ＥＥＥＥ-Rex（（（（Asahi Kasei）

7MW／Coal

④④④④Ennet(Ennet)21MW／Heavy Oil

②②②②Nippon Steel(Toho Tenax)

8MW／Heavy Oil

⑤⑤⑤⑤Summit Energy(Sumitomo Kyodo Power)

50MW／Thermal,Hydro

④④④④Ennet(Tokyo Gas)1.5MW／Natural Gas

④④④④Ennet(Asahi Carbon)1.5MW／Off Gas／

⑥⑥⑥⑥Daio Paper（（（（Daio Paper））））10MW／Thermal

①①①①Diamond Power(Nippon Mining & Metal)

4.8MW／Hydro

Total:6 Suppliers

(260MW)

Total:6 Suppliers

(260MW)

①①①①Diamond Power(Tokyo Cleaning Association)

3.8MW／Waste Plant

⑤⑤⑤⑤Summit Energy(Amagasaki Utility Service)

4MW／Natural Gas

①①①①Diamond Power(Daiko Paper)2.6MW／Oil

Supplier(Generator)

④④④④Ennet(Asahi Kasei)6MW／Heavy Oil

②②②②Nippon Steel(Asahi Kasei)

4MW／Heavy Oil

Ennet(NTT-Facilities:40%,

Tokyo Gas:30%,Osaka Gas:30%)

Reduction of electricity rates Reduction of electricity rates by Partial by Partial Liberalization by 2004Liberalization by 2004

‘96 ‘98 ‘00 ‘02

IPPbidding

RetailLiberalization

100

△△△△3.1% △△△△4.7

% △△△△5.4%

△△△△7.0%

App. 20 %reduction

20% higher than Germany Reduction of higher priceDirected by Minister

New RetailLiberalization

？？？？

‘05 Year

Price

- In December 1995, the wholesale power business was opened up to competition.

- In March 2000, only large scale customers became eligible to purchase electricity from any company, either the new generators inside or outside the given area or the existing utilities

- In April 2005, the deregulation of electricity markets in Japan has rushed into the second stage of the liberalization but electric companies are still in monopoly (Vertically integrated).

- Electric power industries in Japan are also trying to introduce the principal of competition step-by-step for improving its efficiency and for providing reliable electricity at the lowest cost to all the customers.

Introduction of The Principal of CompetitionIntroduction of The Principal of Competitioninto Electricity markets in Japaninto Electricity markets in Japan

New Era for Power Markets and Systems in JapanNew Era for Power Markets and Systems in Japanby Revision of the Electric Utility Industry Lawby Revision of the Electric Utility Industry Law

(Effective in April, 2005)(Effective in April, 2005)現行電気事業法現行電気事業法現行電気事業法現行電気事業法(2000年年年年3月月月月からからからから施行施行施行施行) 新電気事業法新電気事業法新電気事業法新電気事業法(2005年年年年4月月月月からからからから施行施行施行施行)Law

Eligibility

WheelingTariff

・・・・Zone tariff for transfer over plural areas・・・・Related suppliers and customers pay the

wheeling chare

・・・・Constant tariff in each supply area・・・・Charge the transfer expenses impartially

to all customers in each demand area

TradingScheme

・・・・Bilateral contracts among market participants

・・・・Bilateral contracts among market participants・・・・Trading through Japan Electricity Power

Exchange(JEPX)

Responsibility ・・・・Preservation of vertically integrated electric industriesresponsible for supply obligation and reliability

Neutrality and Transparency

of Transmissions

・・・・Existing Electric industries take responsibility for neutrality and transparency・・・・Information insulations, Prohibitions of

internal mutual assistances and discriminatory dispatching

・・・・Newly established Neutral Organization（（（（Electric Power System Council of Japan））））・・・・Making operation rules, Market severance

Conflict resolutions, IntermediationsLegal enforcement of rules

Present Electric Utility Industry Law(Effective in March, 2000)

New Electric Utility Industry Law(Effective in April, 2005)

・・・・Customers connecting to High voltage lines

・・・・Capacity is over 50 KW・・・・App.70％％％％ of all demands

・・・・Large scale customers connecting to over 20Kv ・・・・Capacity is over 2000 KW・・・・App.30％％％％ of all demands

Customers in the regulated marketSupply Contracts

(Standard and optional)

Costumers in the liberalized marketElectric rates are negotiable

except for last-resort contracts

PowerGeneration

Network

Retail

Integrated utilities handle electricity generation, transmission and distribution

Improve transparency by cutting off information and accounting practices

Wheeling ServiceAbolition

of transfer service contracts

････Wholesale Electric

Power Companies

････Wholesale Suppliers

Other Utilities

Power Producers and Suppliers (PPS)

Japan Electricity Power ExchangeUnregulated and Private

Other Utilities

PPS

Specific Electric Utilities

Customers in specific locations

Self-generators

Self-consumption

Electric Power System Council of Japan

(ESCJ)

- Basic rule making for system operations(utilities make and announce the detailed rules)- Conflict management- Disclosure of underutilized grid lines

New Structure of Electricity SupplyNew Structure of Electricity Supplyin Japan Enacted in April, 2005in Japan Enacted in April, 2005

Features of Liberalization Features of Liberalization of Japanese Power Industries and Marketsof Japanese Power Industries and Markets

Efficient network utilizations under preservation of vertically integrated electric industries responsible for supply obligation and reliability Holding neutrality and transparency in transmission anddistribution sectors by;- Introduction of regulation on actions and behaviors;

Information insulations, prohibitions of internal mutual assistancesand discriminatory dispatching

- Establishment of Electric Power System Council of JapanNationwide insurances of power supply adequacy and attainments of efficiency and reliability- Establishment of Japan Electricity Power Exchange- Abolition of Pancake-wheeling charge (Constant tariff )

Functions and Constituents Functions and Constituents of New Organizations in Japanof New Organizations in Japan

- Japan Electric Power Exchange - Electric Power System Council of Japan

Compositions and Constituents Compositions and Constituents of of Japan Electric Power Exchange (JEPX)

Functions of JEPXOrganization : Japan Electric Power Exchange (JEPX)Establishment : 28th November 2004Functions : Operations of wholesale markets and all the

power exchange–related tasks

Functions of JEPXOrganization : Japan Electric Power Exchange (JEPX)Establishment : 28th November 2004Functions : Operations of wholesale markets and all the

power exchange–related tasks

Constituents of JEPXTrading members: 28 companies (As of 25th July 2005)

9 Electric power companies (Except for Okinawa Elec. Com.)Power Producers and Suppliers (14 Specific Electric Utilities including Diamond Power, Ennet））））Others（（（（J-Power, Tokyo Gas Com., JFE Holdings, Sumitomo Joint Thermal Gen.））））

Constituents of JEPXTrading members: 28 companies (As of 25th July 2005)

9 Electric power companies (Except for Okinawa Elec. Com.)Power Producers and Suppliers (14 Specific Electric Utilities including Diamond Power, Ennet））））Others（（（（J-Power, Tokyo Gas Com., JFE Holdings, Sumitomo Joint Thermal Gen.））））

Trading Mechanisms and MarketsTrading Mechanisms and Marketsof of Japan Electric Power Exchange

Seller(Generators)

Buyer( Retailers )

UtilitiesSelf-Generators

Specific Electric Utilities

Wholesalers JEPXA Day-ahead

Spot Market

Standard–type

Forward Market

Utilities

Private and voluntary market that is not ruled by the the Electric Utility Industry Lawthe Electric Utility Industry Law

Generation plants owned bySpecific

Electric utilitiesN

etworks

Generation plants owned by

Electric utilities

Others

Sell Orders Buy Orders

Custom

ers

Wholesalers

Forward Billboard

Market

Specific Electric Utilities

A Day-ahead Spot Market : Power exchanges for the next day delivery

Standardized Forward Market : Power exchanges delivered after a certain period

Forward Billboard Market : Power exchange through the Billboard

Commodities and Price MatchingCommodities and Price Matchingin A Day Ahead Spot Marketin A Day Ahead Spot Market

・・・・The market price is balanced at the cross point of supply/demand curvesby Single Price Auction

Matching

・・・・According to operation rules concerning supply/demandbalancing every 30 minutes, 48 commodities (every 30minutes) for 24 hours per day.・・・・Minimum auction unit is 1 Mw （（（（= 500 kwh）））） for 30 minutes and can be increased by the 1 Mw （（（（ = 500 kwh ））））.

Commodities

Biddings from market players

Bidding price

Bitted quantity (MW)

Market price

Aggregation

Market clearing price converges into the point that quantities from sellers and buyers match

Selling bits data

Buying bits data

Forward Market (StandardizedForward Market (Standardized––type type Commodities)Commodities)

- Individual Auction (Individual selling /buying trading basedon price matching and chronological priority)

- Operational constraints such as interconnection ATC limitsare added to the auction

Two kinds of commodities (one year ahead)- Monthly 24 hours-type

Deliver electricity of constant outputsover one month

- Monthly daytime-typeDeliver electricity of constant outputs from 8:00 to 22:00 over one monthexcluding bank holidays

Matching

Commodities

Quantity

822 22 22

8 8

１１１１st day 2nd day 3rd dayTime

Time

Quantity

１１１１st day 2nd day 3rd day 8 8 8

Trend of Spot Price and Traded Quantity Trend of Spot Price and Traded Quantity through JAPXthrough JAPX

（（（（Note））））Daytime：：：：8:00～～～～22:00, Peak time ：：：：13:00～～～～16:00

Spot price and traded quantity（（（（2005,April ～～～～July））））

4/2(土)

7 (木)

12 (火)

17 (日)

22 （金）

27 （水）

5/2（月）

7 （土）

12 （木）

17 （火）

22 （日）

27 （金）

6/1（水）

6 （月）

11 （土）

16 （木）

21 （火）

26 （日）

7/1（金）

6 （水）

11 （月）

16 （土）

21 （木）

26 （火）

31 （日）

1000

2000

3000

MWhyen／／／／kWh

Peak time averagesWeekdays Ave.：：：：10.94 yen/kWhHolidays Ave ：：：： 8.59 yen/kWh

6.00

9.00

12.00

15.00

24 hours average priceDaytime pricePeak price

Daily average：：：：686MＷｈＷｈＷｈＷｈ

24 hours averagesWeekdays Ave.：：：：8.52 yen/kWhHolidays Ave. ：：：：7.43 yen/kWh

Restrictions on Behaviors of ParticipantsRestrictions on Behaviors of Participantsin JEPXin JEPX

◆◆◆◆In introducing the principal of competition to power markets, it is mandatory that transmission networks can be used without discriminatory◆◆◆◆Background・・・・Introduction of the principal of competition into retail markets・・・・Ownership of transmission and distribution by electric companies・・・・Dominancy in market share by existing electric companies

◆ By the revision of the Electric Utility Industry Law By the revision of the Electric Utility Industry Law (Effective in April, 2005)(Effective in April, 2005), , the followings are requested to the followings are requested to existing electric companies・・・・Prohibition of information use for out-of-purpose・・・・Prohibition of discriminatory dispatching・・・・Prohibition of internal mutual assistances (Separation in accounting)

◆◆◆◆ In conformity to the Electric Utility Industry Law,the Electric Utility Industry Law,Guideline for the Fair Trade has been also revised.

Restrictions on BehaviorsRestrictions on Behaviors

Purpose of Restrictions

Requirements to Electric Utilities Requirements to Electric Utilities regarding Restrictions on Behaviorsregarding Restrictions on Behaviors

◆◆◆◆ In the Guideline for the Fair Trade, Electric utilities are requested as follows;

- Establishment of Wheeling Provision Department→→→→・・・・Isolation of Wheeling Provision Department form others・・・・Obligation of confidentiality of personnel who moved from Wheeling

Provision Department to others ・・・・Prohibition of generation and sales-related business by personnel who

belongs to Wheeling Provision Department・・・・Clarification of task collaborations between sales and distribution

departments

- Selection and Publication of responsible persons regardinginformation insulation→→→→・・・・Rigorous management of wheeling –related data and documents・・・・Preparations of internal regulations and manuals for information

Requirements to Electric Utilities

Compositions and Constituents Compositions and Constituents of of Electric Power System Council of Japan

(Neutral Organization (Neutral Organization )

（（（（利害関係者利害関係者利害関係者利害関係者））））

理事会理事会理事会理事会

評評評評議会議会議会議会

専門委員会専門委員会専門委員会専門委員会

一般電気事一般電気事一般電気事一般電気事業者業者業者業者

特定規模特定規模特定規模特定規模電気事業者電気事業者電気事業者電気事業者

学識経験者学識経験者学識経験者学識経験者中立的中立的中立的中立的メンバーメンバーメンバーメンバー

規制機関規制機関規制機関規制機関（（（（経済産業省経済産業省経済産業省経済産業省））））

Regulatory Organ（（（（METI））））

一般電気事業者一般電気事業者一般電気事業者一般電気事業者のののの送配電部門送配電部門送配電部門送配電部門卸電力取引所卸電力取引所卸電力取引所卸電力取引所（（（（JEPX））））

卸電力取引所卸電力取引所卸電力取引所卸電力取引所（（（（JEPX））））

・・・・

スタッフスタッフスタッフスタッフ

・・・・中立的中立的中立的中立的メンバーメンバーメンバーメンバー・・・・利害関係者利害関係者利害関係者利害関係者からのからのからのからのスタッフスタッフスタッフスタッフ(行動規範行動規範行動規範行動規範)

卸電気事業者卸電気事業者卸電気事業者卸電気事業者・・・・系統系統系統系統にににに連系連系連系連系ししししているているているている自家発自家発自家発自家発電設備設置者電設備設置者電設備設置者電設備設置者

・・・・理事会理事会理事会理事会によりによりによりにより、、、、当該委員会設置当該委員会設置当該委員会設置当該委員会設置、、、、委員委員委員委員構成構成構成構成、、、、委員選定委員選定委員選定委員選定プロセスプロセスプロセスプロセスがががが定定定定められるめられるめられるめられる・・・・委員長委員長委員長委員長（（（（原則中立者原則中立者原則中立者原則中立者））））

＜＜＜＜主主主主なななな業務業務業務業務＞＞＞＞・・・・流通設備流通設備流通設備流通設備のののの系統系統系統系統アクセスアクセスアクセスアクセス、、、、系統運系統運系統運系統運用用用用、、、、情報開示情報開示情報開示情報開示にににに関関関関するするするするルールルールルールルールのののの策定策定策定策定

The Interested Parties

The Board of Directors

Council

Special Committees

UtilitiesSpecific scale

suppliers

Experts Scholars

Neutral Members

Regulations after the fact

Transmission and distribution networks of electric power utilities 卸電力取引所卸電力取引所卸電力取引所卸電力取引所

（（（（JEPX））））

Wholesale PX

（（（（JEPX））））

・・・・Neutral members,Network users・・・・Check all tasks from the view points

of neutrality off the interested parties

StaffsStaffs fromthe interested partiesNormative behavior

・・・・Wholesalers・・・・Self-generators

connected to grids

Compositions,tasks and neutral members are selected and approved by the Council

Main Tasks・・・・Making rules on Grid access,Operations,

Information disclosures ・・・・Conflict resolutions and intermediates・・・・Information system of ATC and TTC・・・・Liaison for operations and congestions in

interconnections・・・・Provision of information for preparation

of interconnection lines・・・・Researches,studies and publicity for

Trans/Dist task aidMembers: neutral and interested parties

Neutral Members

Electric Power System Council of Japan （（（（ESCJ））））Inauguration on 10th January 2004Harmonious task aid for transmission and distribution operations

Electric Power System Council of Japan （（（（ESCJ））））Inauguration on 10th January 2004Harmonious task aid for transmission and distribution operations

Tasks of Tasks of Electric Power System Council of Japan

Main Tasks of ESCJ:・・・・Making rules on Grid access, Network operations,

Information disclosures ・・・・Conflict resolutions and intermediates・・・・Information system concerning ATC and TTC・・・・Liaison for operations and congestions in interconnections・・・・Provision of information for interconnection lines・・・・Researches, studies and publicity for Trans/Dist task aid

Members: ・・・・Neutral and interested parties

Main Tasks of ESCJ:・・・・Making rules on Grid access, Network operations,

Information disclosures ・・・・Conflict resolutions and intermediates・・・・Information system concerning ATC and TTC・・・・Liaison for operations and congestions in interconnections・・・・Provision of information for interconnection lines・・・・Researches, studies and publicity for Trans/Dist task aid

Members: ・・・・Neutral and interested parties

Rules by Rules by Electric Power System Council of Japan

Policies for contents to be published and Information disclosures related to wheeling services such as ATCRules of information publication

Policies for system operation, load dispatching instruction and calculation formula of ATCRules of power System operation

Technical requirements and procedures for interconnections of generation facilities and customers

Rules of System Interconnection including Wheeling Services

Policies for System planning ,configuration and securityRules of System Development

An example of rules concerning System Development ;Reliability criterion to be satisfied in case of outage of single facility (N-1 criterion)•Principally, no interruption against the outage of single facility (N-1 criterion)•Regarding the above-mentioned N-1 criterion, transmission sectors in electric powercompanies should draw up and publish the reliability policies by taking account of theimportance of power systems and social impacts

Each electric power company is required to draw up individual rules in the light of the policies of ESCJ , and to publish the rules in each home-page.

Additional Power System Dispatching Additional Power System Dispatching under New Scheme of ESCJunder New Scheme of ESCJ

Conventional dispatching tasks

Supply/demand Balance

Monitoring and switching

Outage countermeasures

Maintenance /operation planning

Additional dispatching tasksunder new scheme

Transmission management・・・・Interconnection line operation・・・・Evaluation of ATC・・・・Interconnection line planning

Area dispatching-related tasks・・・・Generation planning and submission・・・・Supply/demand forecast and report・・・・Record/report of Supply/demand in area

Wholesale trading–related tasks・・・・Estimations of available trading quantity

in wholesale markets

Transmission and Congestion managementby ESCJ

■■■■ATC＝（＝（＝（＝（Operational Capacity）－（）－（）－（）－（Margins）－（）－（）－（）－（ Based flows））））■■■■Operation planning

：：：：Long term, annual, monthly, weekly and daily planning of interconnection lines are drawn up and presented to related power producers and suppliers (PPS)

■■■■Valuations of serviceability：：：：Evaluate the serviceability of interconnections based on ATC

■■■■Congestion management：：：：Control actions to keep flows of interconnection lines within ATC

CompanyＡＡＡＡ

CompanyＢＢＢＢ

Interconnection linebetween areas

OperationalCapacity

Based flows

Margins

ATC

First Come First ServedInterconnection lines are served in order of application【【【【An example of rules】】】】

Fundamental Rules Fundamental Rules for Use of Interconnection Lines by ESCJfor Use of Interconnection Lines by ESCJ

Use it or Lose itWhen applicants do not use capacities of interconnection lines, the capacities must be released to use immediately

User Ａ：Ａ：Ａ：Ａ：３０３０３０３０

User Ｂ：Ｂ：Ｂ：Ｂ：６０６０６０６０

User Ｃ：Ｃ：Ｃ：Ｃ：２０２０２０２０

Application time 9:50

9:55

10:10

According to the rule、、、、the last come-user

can not be served

Company ＡＡＡＡ Company ＢＢＢＢ

ATC100

Procedure of Interconnection Use PlanningProcedure of Interconnection Use Planning・・・・Contents and time limits for submissions of plans are common in thewhole interconnection lines.・・・・Interconnection plans are aggregated and ATCs are calculated by transmission sectors reflecting the requirements of applicants.・・・・The obtained results are offered to ESCJ and are released by systeminformation publication system.

The maximum kw (single section) in each year in long-term plan and kw every 30 minutes (48 sections) in the day plan

Long-term

Next 3～～～～10 years

Maximum-kWin every year

AnnualOne or two years later

Weekday Day/night maximum kW

MonthlyOne or two months later

Weekday Day/night maximum kW

WeeklyOne or two weeks later

Every 30minutesin every day

A day-ahead

Every30 minutes

Next day

The day

March 10th Every year

March 1st Every year

15th Every month

Every Wednesday

12:00Previous day

Operation by notice

17:00Previous day

[Example]

Occurrence of Transmission CongestionsOccurrence of Transmission Congestions

Company ＡＡＡＡ Company ＢＢＢＢ

ATC100

ＡＡＡＡ ＢＢＢＢ５０５０５０５０４０４０４０４０２０２０２０２０３０３０３０３０

①①①①②②②②③③③③④④④④

１００１００１００１００

①①①① ②②②② ③③③③ ④④④④

ＡＡＡＡ→→→→ＢＢＢＢ １２０１２０１２０１２０

Congestion

・・・・In case of flows ①①①①～～～～④④④④ ：：：：No congestion・・・・In case of flows ①①①①～～～～④④④④ without flow ③③③③ ：：：：Congestion

→→→→Congestion relief actions are taken

１００１００１００１００

①①①① ②②②② ③③③③ ④④④④

ＢＢＢＢ→→→→ＡＡＡＡ ２０２０２０２０

ＡＡＡＡ→→→→ＢＢＢＢ １２０１２０１２０１２０

Wheeling

Area

Priorities of Congestion managements Priorities of Congestion managements by ESCJby ESCJ

Priorities of Congestion Relief countermeasures

Power flows from long-term based resoureses

Power flows of existing contracts

Power flows of nationwide power exchange

Power flows in the day ahead market

Scheduled Power Flows

Prio

ritie

s

High

Low Depending on the situation

Depending on the situation

According to the FCFS rule

In the reverse order of the FCFS rule

According to the FCFS rule

- Congestion relief actions are taken according to the pre-determined priority.

- Flows that cause the congestion are suppressed or discontinued.

Solution of Pancake Problem in Wheeling ChargeSolution of Pancake Problem in Wheeling Charge

Conventional Scheme

(Pancake problem)

G L

Company A Company B Company C

0.3 yen 0.3 yen Area trans.cost: 3 yenPayment by users（（（（Profit for company A and

B））））

G L

Company A Company B Company C

0.3 yen 0.3 yen Area trans.cost: 3 yen＋＋＋＋αααα yen

New scheme

- Company C paysthe wheeling cost tocompanies A and B.

- The cost is chargedto customers incompany C.

Recognizing Significance Recognizing Significance of Supply Reliabilityof Supply Reliability

in Competitive Power Marketsin Competitive Power Markets

Happenings of Negative Matters Happenings of Negative Matters in Front Runners of Liberalizationin Front Runners of Liberalization

Complexity of Power Flawsin wholesale market Design

Market manipulation

Decrease in Investmentsfor Delivery Networks ?

CALIFORNIACRISIS

Large Scale Blackouts

Liberalization of Electricity Markets

ENRONDEBACLE

Occurrence of Large Scale BlackoutsOccurrence of Large Scale Blackoutsunder Liberalization of Power Industryunder Liberalization of Power Industry

CountryCountry Date and Date and TimeTime Influenced AreaInfluenced Area Cause of BlackoutCause of Blackout Scale of Scale of

DamageDamageDuration Duration TimeTime

Italia 2003.6.262003.6.27

Major cities including Rome and Milan

Rapid increase in demands because of summer heat wave

App. 6 mil.people

Rotationblackout

USA and

Canada2003.8.14

North-east US and Canada including 11 major cities

Cascading trips of transmissions and generations in northern Ohio

App. 62Gw

App. 50 mil.people

43 hours

U.K. 2003.8.2820% of London area、、、、Underground and traffic lights stopped

Transmission failure caused by failure of transformer’s alarm

724 Mw0.15 mil.People

35 minutes

China 2003.9. 4 ShanghaiStop of a thermal generation plant by full loading operation during summer heat

App.1.2Gw

App.1000 Com.

2 hours

Denmark and

Sweden2003.9.23

Denmark and Southern Sweden including Copenhagen

Cascading outages and voltage collapse caused by a nuclear generation plant

App. 3Gw

App. 4 mil. people

2 hours

Italia 2003.8.28All areas in main land of Italia except for Sardinia Island

Deficiency of domestic supply capacity caused by cascading trips of International interconnection lines

App. 24Gw

App. 57 mil.people

Longer than

13 hours

Date and Time ：：：：- August 14th, 2003 16:10(EDT)、、、、Temperature in NY , 33℃℃℃℃

Scale of Outage ：：：：- Area : North-east US and Canada around the Great Lakes- Deficiency : App. 61.8GW- Gen. Loss ：：：：100 thermal plants including 22 nuclear plants- Influence ：：：：App. 50 million people- Damage ：：：：App. 6～～～～8 billion US$ (Estimated)

Cause of blackout：：：：- Occurrence of cascading trips of transmission lines ,generationplants and loads due to voltage declines ,frequency deviations and long term oscillation originated in northern Ohio and spread over to wide areas

Restoration ：：：：- Restoration was completed by noon on August 16th, 2003.

Outline of the Large Scale BlackoutOutline of the Large Scale Blackoutin the United States and Canadain the United States and Canada

Cascading Events Cascading Events toward the Large Scale Blackouttoward the Large Scale Blackout

①①①①①①①①①①①①

②②②②②②②②②②②②

④④④④④④④④④④④④ ③③③③

⑥⑥⑥⑥

⑦⑦⑦⑦⑦⑦⑦⑦⑦⑦⑦⑦

⑤⑤⑤⑤⑤⑤⑤⑤⑤⑤⑤⑤⑧⑧⑧⑧⑧⑧⑧⑧⑧⑧⑧⑧

⑨⑨⑨⑨⑨⑨⑨⑨⑨⑨⑨⑨

⑩⑩⑩⑩⑩⑩⑩⑩⑩⑩⑩⑩

Cascading events①①①①Trip of Eastlake unit 5 (550MW)②②②②Trip of Stuart-Atlanta 345kV③③③③345kV lines between N.and E.Ohio

sagged and contacted trees④④④④Voltage drop in Northern Ohio,

600MW load were dropped⑤⑤⑤⑤FE is pulling 2200MW from

Michigan-Indiana⑥⑥⑥⑥Multiple 138kV lines Trip and

First power swing 700MW from NY-Ontario-Michigan⑦⑦⑦⑦Large power flow from Southern

Ohio to Northern Ohio,Michigan and Ontario and cascading generator trips⑧⑧⑧⑧Counter-clockwise power flow from PJM to N.Y.,Ontariothrough Lake Erie loop⑨⑨⑨⑨Second swing 2000-4000MW

over 12sec NY-Ontario-Michigan⑩⑩⑩⑩Long term poor dumping oscillationfrom Michigan,Canada to N.Y.

Cascading eventsCascading events①①①①Trip of Eastlake unit 5 (550MW)②②②②Trip of Stuart-Atlanta 345kV③③③③345kV lines between N.and E.Ohio

sagged and contacted trees④④④④Voltage drop in Northern Ohio,

600MW load were dropped⑤⑤⑤⑤FE is pulling 2200MW from

Michigan-Indiana⑥⑥⑥⑥Multiple 138kV lines Trip and

First power swing 700MW from NY-Ontario-Michigan⑦⑦⑦⑦Large power flow from Southern

Ohio to Northern Ohio,Michigan and Ontario and cascading generator trips⑧⑧⑧⑧Counter-clockwise power flow from PJM to N.Y.,Ontariothrough Lake Erie loop⑨⑨⑨⑨Second swing 2000-4000MW

over 12sec NY-Ontario-Michigan⑩⑩⑩⑩Long term poor dumping oscillationfrom Michigan,Canada to N.Y.

Interim Repot by US-Canada TF

Ohio

Michigan

Pennsylvania

Ontario

Quebec

New York

L.Erie

Ohio

LakeMichigan Connecticut

LakeHuron

Cleveland

LakeOntario

Philadelphia

Compound Cause of the Large Scale Blackout Compound Cause of the Large Scale Blackout in the United States and Canadain the United States and Canada

Influences of Composed Power Equipment in the Area

Inverter Air Conditioners Require large currents

Induction Motors Absorb reactive powers

Influences of Composed Power Equipment in the Area

Inverter Air Conditioners Require large currents

Induction Motors Absorb reactive powers

- Area voltage decline by increase of noon time demand- Voltage control by ISO but Eastlake Unit 5 shutdown- Lack of reactive power in this area and Import of reactive power from adjacent areas

Compound Cause of Widely Spread System Collapse

Overloads on Lines Sagged lines contacted treesVoltage Collapse Disconnections of equipmentImbalance of Power Long term poor dumping oscillation

Compound Cause of Widely Spread System Collapse

Overloads on Lines Sagged lines contacted treesVoltage Collapse Disconnections of equipmentImbalance of Power Long term poor dumping oscillation

Countermeasures of the Large Scale BlackoutCountermeasures of the Large Scale Blackout・・・・Complexity in Area Interconnections and System Operations・・・・Decline in Incentive on investments for Power Delivery Networks・・・・Inadequate Protection and Delay of Corrective Actions by Operators ・・・・Lack of Authority and Confusion in NERC・・・・Ambiguities of ISO and RTO Tasks in the transition of Liberalization

・・・・Complexity in Area Interconnections and System Operations・・・・Decline in Incentive on investments for Power Delivery Networks・・・・Inadequate Protection and Delay of Corrective Actions by Operators ・・・・Lack of Authority and Confusion in NERC・・・・Ambiguities of ISO and RTO Tasks in the transition of Liberalization

The Comprehensive Energy Bill (H.R.6 and S.2095, passed)・・・・Incentives for investments on delivery networks（（（（ROR, Favorable tax））））・・・・Making rules for reliable system operations (Enforcement, Penalty)

New Establishment of Energy Reliability Organization・・・・Make reliability standards mandatory and enforceable ・・・・ERO-proposed reliability standards would take effect upon approval of

the FERC

The Comprehensive Energy Bill (H.R.6 and S.2095, passed)・・・・Incentives for investments on delivery networks（（（（ROR, Favorable tax））））・・・・Making rules for reliable system operations (Enforcement, Penalty)

New Establishment of Energy Reliability Organization・・・・Make reliability standards mandatory and enforceable ・・・・ERO-proposed reliability standards would take effect upon approval of

the FERC

Expansion and Standardization of Delivery System・・・・Expansion of control regions Regional trans. Organization (RTO)・・・・Standardization of markets Standard Market Design（（（（SMD)

Expansion and Standardization of Delivery System・・・・Expansion of control regions Regional trans. Organization (RTO)・・・・Standardization of markets Standard Market Design（（（（SMD)

Administrative Regions by ISO and RTOAdministrative Regions by ISO and RTO(As of June 2005)(As of June 2005)

ERCOT ISO

GridFlorida

SETrans

Grid South

PJM

ISO New England

NY ISO

Grid America

MISO RTOTRANSlink

RTO West

CaliforniaISO

West Connect

PSCo(TRANSlink West)

SPP

TVA

ERCOT ISO

GridFlorida

SETrans

Grid South

PJM

ISO New England

NY ISO

Grid America

MISO RTOTRANSlink

RTO West

CaliforniaISO

West Connect

PSCo(TRANSlink West)

SPP

TVA

Proposal of Standard Market Proposal of Standard Market Design(SMD)Design(SMD)

• FERC's SMD NOPR proposed that- Independent Transmission Providers (ITPs) should

operate all transmission facilities with independent control of the transmission system

- Other elements of SMD included; - Congestion revenue rights, - Transmission tariff streamlining, - Transmission operating company rule changes, - Congestion management through LocationalMarginal Pricing (LMP)

• However, the proposed Rulemaking has not been implemented up to now.

• FERC's SMD NOPR proposed that- Independent Transmission Providers (ITPs) should

operate all transmission facilities with independent control of the transmission system

- Other elements of SMD included; - Congestion revenue rights, - Transmission tariff streamlining, - Transmission operating company rule changes, - Congestion management through LocationalMarginal Pricing (LMP)

• However, the proposed Rulemaking has not been implemented up to now.

Reliability Evaluation Practices in USA and UKReliability Evaluation Practices in USA and UK

- Survey of frequency and voltagedeviations based on NGC reports

- The number of complaints about voltage per 10,000 customers

Power Quality

- Survey of operations of dist. lines- The number of annual outages per distance, outage duration, restoration delay outages of underground lines

Distribution

- Survey of operations of transmissionlines

- The number of outages, interruptedpower per outage ,annual interruptionrate of transmission and tie lines

- Frequency of occurrence of Transmission Lad

Relief(TLR)- Future expansion plans (miles) of transmission lines over 230kV

Transmission

- Demand and supply balance, - Supply margin rateGeneration

- Evaluation of quality of system security and availability based on reports from Disco. And Transco.

- Focused on continuity and quality of supply services to end -users

- Evaluations of Reliability (Adequacy and Security) of generation and transmissionfacilities toward 2009

Purpose

UK (OFGEM)USA (NERC)

Ref: NERC,OFGEM reports

Eva

luat

ion

item

s

Adequacy

Reliabilityin Power System

Supply–side Reliability（（（（Supply Reliability））））

Customer-side Reliability（（（（Outage ））））

Security( Trunk system )

Capability of power supply against maintenances and outages of facilities

Capability of preventing the spread of outages of facilities

Static reliability Dynamic reliability

Concept of Adequacy and Security Concept of Adequacy and Security in Power System Reliabilityin Power System Reliability

New Issues related to System ReliabilityNew Issues related to System Reliabilityin USA and EU Countriesin USA and EU Countries

- From deterministic index to probabilistic index- Risk-based evaluations of planning and operation - Development of reliability analysis and tools- Reliability-centered maintenance

Quantitative Evaluations of

Reliability

- Shift from minimization of cost to maximization of social cost, social efficiency, and social benefit

- Diversity of services to answer various customer's requirements

Coordination of Cost and

Reliability

- Reliability management based on The principle of Competition( Market Mechanism )

- Trading of ancillary service in markets- Effective reliability management scheme and authority

ReliabilityManagement

Scheme

- Increase of social uncertainties lager than stochastic (conventional) uncertainties such as outages of facilities

- Frequent occurrence of transmission congestions- Strengthening of energy delivery system due to constraints

caused by financial power trading

Uncertainties for Reliability

Deterioration

- Customers do not desire reduction of cost at the sacrifice of decrease of reliability

- However, customers have been holding common anxieties for deterioration of reliability caused by liberalizations

General Tendency

IssuesItems

The role of Distributed Generations and Future Energy Delivery Systems

in Competitive Environment

The role of Distributed Generations and The role of Distributed Generations and Future Energy Delivery SystemsFuture Energy Delivery Systems

in Competitive Environmentin Competitive Environment

US Energy Strategies and the Role of DER US Energy Strategies and the Role of DER in Competitive Environmentin Competitive Environment

（1999.10）

Technology Development programsElectric power delivery systems toward 21st Century due to low emission and high efficiency

（2000.9）

The Electricity Technology Roadmap Initiative

（1999.7）

（2001.5）

Strategic Planfor Distributed Energy Resource

Fundamental StrategyEstablishment of clean, efficient and reliable energy systems by making use of DER

Fundamental Objects①①①①Modernized Energy Conservations②②②② Energy Infrastructure ③③③③ Increase of Energy Supply④④④④ Environment Protections⑤⑤⑤⑤ Energy Security

The President's

Offices

DOE

EPRIFundamental Objects・・・・Strengthen of electric delivery infrastructures for competitive environment・・・・Customer management service utilizing IT・・・・Rapid increase of economic productivity by using innovative electronic technology・・・・Efficient and economical framework for reduction of CO2 and global warming・・・・Utilization of clean and economical energy

National Energy Policy

DOE Budgets（（（（2003～）～）～）～）

R&D projects

（～2015）

Long Term Energy Development Strategy「「「「Vision 21」」」」

US Energy Strategy for Development and diffusion US Energy Strategy for Development and diffusion of Distributed Energy Resourcesof Distributed Energy Resources

Strategic Plan for Distributed Energy Resource(Since 2000.9)(Since 2000.9)

Reference:DOE

- Development of DER and energy delivery networktechnology for the 21st century - Removal and revision of institutional and regulatory obstacles related to installation, permission and connection of DERs

～～～～2005Short Term

- 20% of generation plants to be newly constructed is supplied by DERs aiming at reduction of costs and emission, and improvement of efficiency and supply reliability

～～～～2010Mid term

- Construction of clean, efficient, reliable and low cost nation-wide energy delivery systems by making the best use of cost effective distributed energy resources (DERs)

～～～～2020Long term

ObjectivesPeriodsTerms

Configuration of Micro Turbine (by Capstone)

Configuration of DomesticConfiguration of Domestic--use Gas Cogenerationuse Gas Cogeneration

Ref : Japan Gas AssociationRef : Japan Gas Association

Fuel Cells used for Fuel Cells used for Apron Space ShuttleApron Space Shuttle

Configuration of SpaceConfiguration of Space--use Fuel Celluse Fuel Cell

Development and Usage of Fuel CellsDevelopment and Usage of Fuel Cells

Remarkable features of PEFCRemarkable features of PEFCGeneration possibleat low temperature

High output density per capacity

・・・・Ease of start and stop・・・・Use of less expensive materials

・・・・Downsizing and portable

Comprehensive Use in Wide Industrial Areas

Cellular phones

Domestic Cogenerations Vending

machinesPortable

generationsTransportations

Advantages of Fuel Cells (PEFCAdvantages of Fuel Cells (PEFC--Type)Type)

Large Scale Wind Firm in Uighur, ChinaLarge Scale Wind Firm in Uighur, China

Generation CapacityGeneration Capacity19981998 ：：：：：：：： 57.5MW (111Unites)57.5MW (111Unites)20002000：：：：：：：： 200MW, Planned200MW, Planned20102010：：：：：：：： 500MW, Planned500MW, Planned20202020：：：：：：：：1,000MW, Planned1,000MW, Planned

Wind CharacteristicsWind CharacteristicsAverage speed Average speed ：：：：：：：： 6.4 m/s 6.4 m/s Annual operation Annual operation ：：：：：：：： 6000 hours6000 hoursMaximum capacity Maximum capacity ：：：：：：：： 1000 MW1000 MWAnnual generation Annual generation ：：：：：：：： 6G kWh6G kWh

Output Fluctuations Output Fluctuations of Natural Energy Generationsof Natural Energy Generations

Generationoutput

PV GenerationsPV Generations

FineFine

Wind GenerationWind GenerationHourHour

For five daysFor five days

Strong windStrong wind

No windNo wind

CloudyCloudy

RainyRainy

Virtual Power Plant : System operation and ancillary service by integrated control of numerous DGs

①①①①Virtual Power Plant (Encorp)②②②②Dispatching Backup Generation (Electrotec)③③③③Virtual Utility(ABB, Edison-Project)

Micro Grid : Power supply network for a specific area ①①①①CERTS

Consortium for Electric Reliability Technology Solution ②②②②Micro Grid (Encorp)

Power Park : Multi quality and multi menu power supply ①①①①Delaware Premium Power Park(AEP, EPRI, Siemens)②②②②Pleasanton Power Park(Real Energy)③③③③Custom Power Park（（（（Westinghouse Elec.Co, EPRI））））

Others①①①①Energy Web

New Business Models and Technical DevelopmentsNew Business Models and Technical Developmentsin Competitive environmentsin Competitive environments

Concept of Virtual Power PlantsConcept of Virtual Power Plants

Concept;Integrated management system of a number of stand-by or emergency generations by using communication networks and management software

Project;①①①①Dispatching Backup Generation project

by Electrotec②②②②VPP Project

by Encorp

Features of Virtual Power Plant ProjectsFeatures of Virtual Power Plant ProjectsProject Virtual Power Plant Dispatching Backup

Generation

Company ・・・・Encorp(Established in 1993)

・・・・Invested by NY Power Technology Development Co. and developed by Electrotec

Objective ・・・・Used for tight supply period

・・・・Used for peak -cut at summer period in NY area

Period ・・・・Offer of products since 1996

・・・・Commencement of implementation tests from 2001

Status

・・・・Total capacity; 300 MW

・・・・Incorporation of 1,000 DGs ranging whole U.S.A.

・・・・Total Capacity; 30MW・・・・Consists of 8 units (4~6MW

class emergency generations) at Long Island, NY.

Others ・・・・Practical Stage ・・・・Supported by NY state

By internet-based communication and integrated control of numerous distributed generations (both emergency and normal use ), aiming at contributing power system operation and power supply with high efficiency and high quality.

Virtual Power Plant (ENCORPVirtual Power Plant (ENCORP））））））））for for Ancillary Services by Integrated Control of DGsAncillary Services by Integrated Control of DGs

・・・・Power Demand and Supply in NY Area- Concentration of large demands into New York city and Long Island area- Mal-distribution of generation plants at North West area

・・・・Problems of the Power System- Voltage and stability problems due to the bottleneck of transmissions

between generation plants and demand center- Insufficiency of supply capacity

against demand growth・・・・Features of the Power System

- 8 electric companies in the State- Total capacity : 37 GW- Peak demand : 31 GW

(Summer in 2002)

・・・・Needs for New Transmission Constrictions or Distributed Generations

Why VPP Projects by Electrotek Why VPP Projects by Electrotek in New York Areain New York Area

Typical Backup Generator InstallationTypical Backup Generator Installationin VPP by Electrotekin VPP by Electrotek

ATSTransformer

Customer Load

VoltageSensingSwitch

~~

Utility SupplyCustomer

Backup Generator

w

w

12 kV/120 volts

Electrotek Concepts

Customers of Utility

Concept ;・・・・ A cluster consisted of a number of small generators, power

storages and customers equipments・・・・ Behave as a good citizen to power systems・・・・ Possible to connect both with Micro Grids and conventional

grids・・・・ Customers are able to design,install and control according to

their needs regarding quality, technology,and economy

Project ;CERTS（（（（Consortium for Electric Reliability Technology Solution））））

Micro Grid (EOLBNL) for Efficient Use of Micro Grid (EOLBNL) for Efficient Use of DG Clusters by Information TechnologyDG Clusters by Information Technology

Power Park for Power Park for New Business Concept based on DGs New Business Concept based on DGs

Definition;Optimized assembly of distributed generations based on mini-grid, local

energy loop system and advanced communication technology having

competitiveness in liberalized power markets

Concept;- Capability of Islanding operation and connecting to grid- Integration of numerous DGs- Integrated control of DGs using communication technology

(Internet, Web, etc.)- Cogeneration and heat supply

Project;- Pleasanton Power Park- Premium Power Park- University Research Park

Power ParkPower Parkfor Multifor Multi--quality Power Supply Systemquality Power Supply System

Power supply system in accordance with quality needs of customers in a specific high-tech industrial area

Supported by DOE and CA Energy CommissionInvested by EPRIOthers

Implementation test at North California

Implement in Retrofit Industrial Area in Delaware, Ohio.Participation of 11 companies in the area total demand adds up to 14.4 MW

Status

Under constructionImplementation test for the system( 2000 ~ 2002)

Period

Multi quality power supply according to customer needs in the area

Multi quality power supply according to customer needs in the areaObjective

Real Energy, Panattoni Development, DTI Energy, BP/Solarex，，，，Astro Power Power Light Corporation, Nextek Inc

American Electric PowerSiemens Power

Company

Pleasanton Power ParkDelaware Premium Power Park

Custom Power Park (Westinghouse Elec.Co)Custom Power Park (Westinghouse Elec.Co)for Multifor Multi-- Quality Power SupplyQuality Power Supply

Custom Power ParkCustom Power Park

Commodity PowerCommodity Power

Commodity Commodity PowerPower

Improved Improved PowerPower

Premium Premium PowerPower

Power forPower forNonNon--Linear LoadsLinear Loads

IncomingPower

Conditioning(DVR)

Dirty LoadBuffer and

Compensation(DSTATCOM)

Short TermEnergy Storage

(SMES,FW,Battery)

On-LineMonitoring

andDiagnostics

SeamlessIsolation

(SSB)

Load Management

and Optimization

Long TermBackup Option

(M/G,Fuel.Cell)

SeamlessTransfer(SSTS)

Modules:

Services : InstallationTraining

MaintenanceEngineering

Custom Power ParkCustom Power Park

Commodity PowerCommodity Power

Commodity Commodity PowerPower

Improved Improved PowerPower

Premium Premium PowerPower

Power forPower forNonNon--Linear LoadsLinear Loads

IncomingPower

Conditioning(DVR)

Dirty LoadBuffer and

Compensation(DSTATCOM)

Short TermEnergy Storage

(SMES,FW,Battery)

On-LineMonitoring

andDiagnostics

SeamlessIsolation

(SSB)

Load Management

and Optimization

Long TermBackup Option

(M/G,Fuel.Cell)

SeamlessTransfer(SSTS)

Modules:

Services : InstallationTraining

MaintenanceEngineering

Power Park Projects Power Park Projects for DGs Use and Customer Servicefor DGs Use and Customer Service

Area Use Components

University Research Park

IrvineCA.

-Research andDevelopment Facilities

-Total area : 8.0 mil.f 2-Photovoltaic generation,

-Natural gas,-Power storage

Pleasanton Power Park

PleasantonCA

-Development and

Manufacturing Facilities

-Total area : 0.77 mil.f 2-Photovoltaic generation, -Gas, Power storage, -Optical fiber, wireless communication line

West Pullman Business Park

ChicagoIllinois

-Business center,

-Office buildings

-Supply Reliability -Reduction of Environmental Impact by demand

Pleasanton Power Park Pleasanton Power Park

for Practical use of Distributed generationsfor Practical use of Distributed generations

Pleasanton Power Park (Real Energy)Pleasanton Power Park (Real Energy)• Power Park developed by Real Energy locating at

the suburbs of San Francisco, CA.

• Construction of tenant buildings by spring, 2004, and Completion by spring 2005. (The Plan has been delayed)

• High-quality AC and DC power supply as well as conventional quality power by utility.

• As distributed generations, Micro turbine, Fuel cell, Photovoltaic generation and Batteries are planed to be installed.

Current Situations ( Ruins ? ) of Current Situations ( Ruins ? ) of Pleasanton Power Park (Real Energy)Pleasanton Power Park (Real Energy)

The Exterior of Pleasanton Power Park

Aims and functions of Energy WebAims and functions of Energy Web

- Integration of Utility own networks,- Communication systems and Energy Marketsin pursuit of ;

• Optimal Load managementin the Network

• Cost reduction of customers and utilities

• Promotion of renewable energy• Enhancement of supply reliability• Reductions of impacts due to demand growth

- Integration of Utility own networks,- Communication systems and Energy Marketsin pursuit of ;

• Optimal Load managementin the Network

• Cost reduction of customers and utilities

• Promotion of renewable energy• Enhancement of supply reliability• Reductions of impacts due to demand growth

Demonstrative Projects of Demonstrative Projects of Future Energy Delivery Systems for Future Energy Delivery Systems for

Practical Use of Distributed GenerationsPractical Use of Distributed Generations

Targeted New Energy in SupplyTargeted New Energy in Supply--side side by the year 2010by the year 2010

( New Energy Council in METI, 2002 )( New Energy Council in METI, 2002 )

App. 2.2 GWFuel Cell

App. 4.64 GWNatural Gas Cogenerator

App. 3,480,000Clean Energy Automobile

App. 580 MlUnutilized Energy including Snow/Ice latent heat

App. 140Ml & 670MlUse of Waste and Biomass heatsApp. 4.39GlUse of Sunshine

App. 0.33GWBiomass

App. 4.17GWWaste

App. 3 GWWind

App. 4.82 GWPhoto Voltaic

CapacityType of New Energy usage

Concepts and Objectives of Concepts and Objectives of Future Energy Delivery System Projects in JapanFuture Energy Delivery System Projects in Japan

Project Producers Objectives and Features Demand Area Power System

CRIEPI(EPRI Japan)

・ Loop or mesh configuration・ Autonomous control of DGs ・ Use of information technology・ Customer services

FRIENDSPro.H.NaraProf.J.HasegawaProf. T. Oyama, etc.

・ Multi-menu and multi-quality・ Practical use of DGs and storages・ Information service・ Home automation

Super Node Network

National Institute of Advanced Industrial Science and Technology

・ Integration of FACTS devices・ Mesh-structure of dist. networks・ Cluster control of D Gs in blocks・ Enhancement of power Quality

New Power Network System

METI

The Institute of Applied Energy

・ Multi-quality power supply・ Integrated control of numerous DGs・ Flexible interconnections of DGs・ Excavation of Technological issues

Backgrounds and Functions of Backgrounds and Functions of Demand Area Power SystemDemand Area Power System by CRIEPIby CRIEPI

•Increase of electricity demand in urban area

•Decline of incentives for investments onto trunk network

・・・・Active network of distribution system

・・・・Autonomous decentralized control of loop network

Formation of New Distribution Network

Application of active network technology・・・・Introduction of Intelligent System into distribution networks・・・・Free access of DG to distribution Network

The Role of Demand Area Power System The Role of Demand Area Power System in the Futurein the Future Energy Delivery NetworkEnergy Delivery Network

Demand Area Demand Area Power SystemPower System

Distribute Power Generation

Distribute Power Generation

StorageBatteryStorageBattery

Supply - Demand Interface Supply - Demand Interface

CustomerCustomerCommunication-line

PowerGenerationPowerGeneration

Storage BatteryStorage Battery

Distributed PowerGeneration Distributed PowerGeneration Gas, HeatGas, Heat

Power line

PowerGenerationPowerGeneration

PowerGenerationPowerGeneration

Demand Area Power System

Demand Area Demand Area Power SystemPower System

Distribute Power Generation

Distributed Power Generation

StorageBatteryStorageBattery

Supply - Demand Interface Supply - Demand Interface

CustomerCustomer-

Transmission network

PowerGeneration

PowerGeneration

Storage BatteryStorage Battery

Distributed PowerGeneration Distributed PowerGeneration Gas, HeatGas, Heat

Power line

PowerGeneration

PowerGeneration

PowerGeneration

PowerGeneration

Demand Area Power System

Structure of Demand Area Power SystemStructure of Demand Area Power System

High　　　　voltageLow voltage

Supply-Demand Interface

Loop Controller

Low voltage customer

Communication line

Central operatingsystem

Customer

Pole mounted Transformer

Communication line

Upper transmission network

High　　　　voltageLow voltageHigh　　　　voltageLow voltage

Supply-Demand Interface

Loop Controller

Low voltage customer

Communication line

Central operatingsystem

Customer

Pole mounted Transformer

Communication line

Upper transmission network

The Role of Components The Role of Components in Demand Area Power Systemin Demand Area Power System

・・・・Energy management inside customers・・・・Autonomous coordinated control of DG

in case of system emergency

Supply Demand Interface

・・・・Voltage and power flow control・・・・Emergency power flow control at outage

Loop Controller

・・・・Monitoring and Control of whole DAPS・・・・Information exchange with upper

transmission network

Control Operating System

Major functionComponent

Customer Information Service byCustomer Information Service byDemand Area Power SystemDemand Area Power System

Utilities CommunicationCo. CATV Co. Municipal Information

Providers

Customer Oriented Information NetworkCustomer Oriented Information Network

Home multimedia communication SystemHome multimedia communication System

Effective Power Utilization systemHome Automation System

Effective Power Utilization systemHome Automation System

Demand ControllerDemand Controller

Tel

Tel

ＦＡＸ

ＦＡＸ

ＦＡＸ

ＦＡＸ

ＦＡＸ

ＦＡＸ

ＦＡＸ

ＦＡＸ

T V

T VP C

P C

Load Conditioner

Load Conditioner

Heat storageAir-conditioning

Heat storageAir-conditioning D GD G Electrical

ApplianceElectricalAppliance

Customer’s houseTV Coaxial Cable

Flexible, Reliable and Intelligent ENergy Delivery System

FFlexible, lexible, RReliable and eliable and IIntelligent ntelligent ENENergy ergy DDelivery elivery SSystemystem

Backgrounds and functions of FRIENDSBackgrounds and functions of FRIENDS

・・・・Advanced information technology・・・・Use of power electronics devices・・・・Distributed generators and energy storage

system・・・・Customers needs and promotion of

deregulation

・・・・Advanced information technology・・・・Use of power electronics devices・・・・Distributed generators and energy storage

system・・・・Customers needs and promotion of

deregulation

Customer Needs for Energy Delivery SystemCustomer Needs for Energy Delivery Systemunder Competitive Environmentunder Competitive Environment

・・・・Demand Side GenerationsSmall scale DG, Small scale storage

・・・・Harmony with environmentFriendliness to environmentEnergy and power saving

・・・・Multi-menu／／／／Multi-grade electricity SupplyHigh quality power (expensive））））

no outage, no harmonics , no voltage dip／／／／voltage fluctuation,no frequency deviation

Low quality power (less expensive)acceptance of short-term voltage fluctuation, frequencydeviation and outages

・・・・Seasonal price and Automatic measuring・・・・Provision of information for customers・・・・Home Automations

Unbundled Power Quality ServiceUnbundled Power Quality Servicein Deregulated Electricity Marketsin Deregulated Electricity Markets

Quality Improvement Center(Custom Power Park)

Commodity PowerCommodity PowerCommodity Power(Some Customers desire higher quality)(Some Customers desire higher quality)

Quality

Monitoring

Services

Combinatorial supply by Combinatorial supply by CustomerCustomer ’’s choices choice

Commodity Power

Constant Voltage

Non-harmonics

Non-interruptible

DirectCurrent

Implementation Projects in Japan Implementation Projects in Japan for Future Energy Delivery Systemsfor Future Energy Delivery Systems

Under ImplementationIn Hachinohe

Centralized Installation Demonstrative Project on Centralized Installation Demonstrative Project on Photo Voltaic SystemsPhoto Voltaic Systems

Under Implementationin KyotoKyoto EcoKyoto Eco--energy Projectenergy Project

Under Implementationin Hachinohe

HachinoheHachinohe Municipal Project onMunicipal Project onRestoration of Electricity from Water StreamRestoration of Electricity from Water Stream

Under ImplementationIn Nagoya

EXPOEXPO--2005 Chubu Area Centralized New Energy 2005 Chubu Area Centralized New Energy Installation Demonstrative Research ProjectInstallation Demonstrative Research Project

Current status(at Oct. 2004.)ProjectsProjects

Under ImplementationIn Roppongi

RoppongiRoppongi Hills Urban Area Energy supply SystemHills Urban Area Energy supply System

EXPOEXPO--2005 Demonstrative Research Project2005 Demonstrative Research Project

330 kWPV-generation

2400 kWTotal capacity500 kWNAS-secondary battery

800 kWPAFC (Phosphoric Acid Fuel Cell) 720 kWMCFC (Melting Carbonic Acid Fuel Cell) 50 kWSOFC (Solid Oxidized Fuel Cell)OutputsComponents

Advanced Energy Delivery System Projectfocusing on Fuel Cells

- Micro grid with distributed generations for supply to Aichi EXPO-2005- Autonomous demand/supply control to minimize the impact on grids - Combinatorial use of advanced energy technologies,such as, PV- generations,

fuel cells (SOFC, MCFC, PAFC etc.) and NAS-battery- Generation by biogas from deforestations and methane gas from rubbish- Air-conditioning for pavilions by effective use of waste heat from FCs- Verification of future energy systems with environmental friendliness

Aichi EXPOAichi EXPO--2005 New Energy System 2005 New Energy System Demonstrative Research ProjectDemonstrative Research Project

High temperature Gas system

SOFC

Garbage from EXPO pavilions

Timber tips from Pavilion constrictions

PV-generation：：：： 330ｋｋｋｋW

Refrigerator

Methane fermentation system

- Sodium and Sulfur secondary battery

- Storage system 500ｋｋｋｋW

PAFC

Monitoring and consol

Refrigerator

Airconditioning

Refrigerator

MOFC

Receiving terminal

panel

Global Common 5 building

Ngate Gov.Pavilion

City Gas

Grid

Power

Power

Power Power

Power

Cool water

HachinoheHachinohe Municipal Project onMunicipal Project onRestoration of Electricity from Water StreamRestoration of Electricity from Water Stream

710 kWTotal capacity

100 kWSecondary battery

20 kWWind generation

80 kWPV generation

510 kWBiogas engine generation

OutputsComponents

Specified Area by Government on Environment/Energy industry Creation

- Micro grid, Grid connection, Independent Dist. Lines, Optical-fiber used control- Independent operation without any restrictions due to own-funds- Heating and snow melting by PV and wind generations- Utilization of biogas from sewage treatment plants and exhaust gas from gas

engines - Promoting the development of industries by utilizing gases from farming and

dairy farming

Distributed Energy System by Distributed Energy System by HchinoheHchinohe AreaArea

Area sewage treatment office

Tohoku Elec. Com.

City Hall and OfficePV generation：：：：10ｋｋｋｋW

Wind generation：：：：4ｋｋｋｋW

K Primary schoolPV generation：：：：10ｋｋｋｋW

K Middle schoolWind generation：：：：8ｋｋｋｋW

E Middle schoolPV generation：：：：10ｋｋｋｋW

E Primary schoolWind generation：：：：8ｋｋｋｋW

PV generation：：：：50ｋｋｋｋW

Conventionalboiler

Layered tankGas holder

Biogas engine 170ｋｋｋｋW ××××３３３３Unites

Digested Gases are used Digested Gases are used for engine fuelsfor engine fuels

Control system

Lead battery50ｋｋｋｋW ××××２２２２Unites

Waste timbers

Wooden biogas boiler

1.0 ton／／／／h

Kyoto EcoKyoto Eco--energy Project for Microenergy Project for Micro--gridgrid

50 kWWind generation

850 kWTotal capacity100 kWSecondary battery

50 kWPV generation (Already installed)250 kWMCFC (Melting Carbonic Acid Fuel Cell) 400 kWBiogas engine generationOutputsComponents

Implementation Research Project on Centralized New Energy Installation by NEDO

- Distributed generation-based network, Micro-grid structure, Connection toutility grid

- Minimizing influences on utility grid by a dispatching control system- Effective use of distributed PV and wind generations- Electricity supply to municipal offices and hospitals by biogas-use engines

and fuel cells- Revitalization of the area and creation of industries and employments

through new energies

Configuration of Kyoto EcoConfiguration of Kyoto Eco--energy Projectenergy Project

Comprehensive supports(Kyoto Prefecture)

Swiss Village Small scale wind generation：：：：50kw

PV generationT-area ：：：：30kw Sewage treatment center

：：：： 20kw

Generalized responsibility on Research and summary

Dispatching control.s,System developments

(Fuji Elec.Com.)

Y- Town officeY- Hospital

Kyoto Wind Museum

EnergyDemands

Dispatching Control

EnergySupply

Technical supportGrid connection

(KEPCO)

Biogas generation in F-area

Biogas generation：：：：400kw Fuel cell：：：：250kw

Research projects (NRI)

Urban Area Energy Supply System (Urban Area Energy Supply System (RoppongiRoppongi Hills) Hills)

201,711MJ/h (89.4t/h)Total capacity

56,407MJ/hＸＸＸＸ 3 Unites10,830MJ/hＸＸＸＸ 3 Unites Steam boilerHigh temperature

energy supply

66,810kW(19,000RT)Total capacity

8,791kW(2,500RT)ＸＸＸＸ 6 Unites7,032kW(2000RT)ＸＸＸＸ 2 Unites

Steam absorption refrigeratorLow temperature

energy supplyHeat Supply

36,500kWTotal capacity500kWＸＸＸＸ 1 UniteSteam turbine

6,000kWＸＸＸＸ 6 UnitesGas turbineGenerationElectricity

Supply

Urban Area Energy supply System with high efficiency and environmental friendliness

- Electricity/Heat supply to a specific area as a Specified Power Supplier- Requirement for high energy security by financial and IT-related enterprises- Electricity-centered energy supply based on Variable heat/electricity ratio-type

Cogeneration- Backup contract with conventional utility and kerosene reservation

(for three days) against emergencies- High turbine efficiency 74.6％％％％(at maximum) and reduction of CO２２２２ and NOx- Urban Area Energy supply System with high efficiency and environmental

friendliness at newly developed area

Configuration of Urban Area Energy Supply SystemConfiguration of Urban Area Energy Supply System

Power Cool waterSteam

BuildingsBuildings

Receiving Receiving terminalterminal

DistributionDistributionequipmentsequipments

Waste heat boilerWaste heat boiler

City gasCity gas

Electricity for Area airElectricity for Area air--conditioningconditioning

SteamSteam

Stream absorption refrigeratorStream absorption refrigerator66,81066,810ｋｋｋｋｋｋｋｋW W (19,000RT)(19,000RT)

Gas turbineGas turbine6,0006,000ｋｋｋｋｋｋｋｋW W ××××××××６６６６６６６６Unites Unites

WaterWater

Steam boilerSteam boiler201,711 MJ/201,711 MJ/ｈｈｈｈｈｈｈｈ

(69.47(69.47ｈｈｈｈｈｈｈｈ))

WaterWater

CoolingCoolingtowertower

City gasCity gas

Area airArea air--conditioningconditioning66,81966,819ｋｋｋｋｋｋｋｋW W (19,000RT)(19,000RT)

Electricity supplyElectricity supply36,50036,500ｋｋｋｋｋｋｋｋW W

Steam turbineSteam turbine500500ｋｋｋｋｋｋｋｋWW××××××××1Unite 1Unite

Steam headerSteam header

Steam headerSteam header

Technological Issues for DER and Realizing Technological Issues for DER and Realizing New Energy Delivery SystemsNew Energy Delivery Systems

Domestic customersSubstation

Distributed gen.

G

Social impact evaluation•Global environmental conservation•Reduction of Loss and Co2•Energy conservation•Curb of large scale plants constriction

Interconnection and control•Interconnection devices•Loop control•System switching operation•Current limiter•Instantaneous blackout

Power storage•Secondary battery•SMES•Fly wheel

（（（（Large capacity plants））））

DGs (Connection and operation））））•Wind, PV, Fuel cell•Gas turbine, Gas engine•Biomass, Waste generation

Interface with customers•Items to be monitored•Frequency and accuracy of information•Metering and profiling•Standardization of protocol

G

G

UPS/SSTS Integrated energy management•Multi quality power supply•DC power supply•Renewable Portfolio Standard（（（（RPS)•Energy conservation and load leveling

HV and large customers

Loop

By The Institute of Applied Energy

Road Map for Future Energy Delivery SystemRoad Map for Future Energy Delivery System

2000 2010 2020

Monitoring of Interconnecting Points, voltage control, Dist. Loss Control, Load Leveling by Storage

Open Loop Operation of Interconnecting

Points including DGs（（（（High Frequency and Fast

Switching））））

Loop Operation of Interconnecting Points

including DGs

Radial NetworkIndividual control by Conventional Devices

SVR, Coordination of Protection, Counter measure against circuit SCR, Detection of Islanding Operation

Power Flow Control by Loop Controller,Increase of voltage to 22kVDemand System

• Reinforcement of HV Dist. Monitoring• Common Information System• Monitoring of DGs and Disconnections• Unified Data Base• Strengthen of Functions at Planning Stage• Completion of Customer Management Data

Decentralized System

Function shirring by WSsat a Substation

Wide Inter-regional

OperationCoordination of Monitoring and Control at a Substation

Monitoring and Control of System and DGs

Generation Control, Power Flow Control, V&VAR Control Stabilization, Preventive Control, System Protection and restorative Control

Configuration of Network

Distribution Automation System

Generation Resource at Both Ends

→→→→Generators connected

by Loop Network

By Dr. Y.Nakanishi, Fuji Electric Co.By Dr. Y.Nakanishi, Fuji Electric Co.

Toward ReliableToward Reliable and Efficient Power Supplyand Efficient Power Supplyin the Progress of Liberalizationin the Progress of Liberalization

Increase in efficiency of managementIncrease in efficiency of management

Reliable supply and environmental preservationReliable supply and environmental preservation

Strengthening and upturn of a profit baseStrengthening and upturn of a profit base

・・・・Improvement in profitability (Return on total assets)・・・・Improvement of financial structure (Capital ratio)・・・・Installation of high efficiency generations (Cogeneration)

・・・・Diversification of power supply (Generation Best Mix)・・・・Development of nuclear and new energy technologies・・・・Adequacy of energy delivery networks and control margins

・・・・Development of new business (ESCO, Solution and Information business, Distributed energy technologies, etc.)

・・・・Foreign business (Investment and consulting)

Thank you for your attention

Ryuichi YOKOYAMATokyo Metropolitan University

yoko@eei.metro-u.ac.jp