The Next Next Grid – A Transactive Energy Ecosystem for Electricity Distribution
Today’s electrical grid is an on-demand system with multiple forms of generation to meet demand in real-time. With Distributed Energy Resources (DER) becoming prevalent, generation is not controllable. For example, a solar array makes power when the sun shines not when the load requires it. For this reason, there is great interest in energy storage. In California, the grid operators (CAISO) are trying to manage depressed load in the middle of the day (12pm-3pm) then very quick ramp-ups to meet load at 6pm. The different operating conditions require highly flexible resources to ensure that renewables can be integrated well to help maintain grid reliability.
Grid operators need new control options to adjust production to meet the variances in electricity demand. Utility companies are implementing more aggressive demand side management (DSM) strategies to curtail load. These strategies fall short when variable, intermittent renewable generation is a high percentage of the overall supply.