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8/2/2019 WS2 Deliver Able Assessment of Smart Metering for Contorl of Micro -Generation and Cells_Cardiff
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Supergen III: Highly Distributed Energy Futures
Assessment of Smart Metering for
Control of Micro-generation and Cells
Reference Date: EPSRC/HiDEF/TR/2010-09
Distribution: Public
K. Samarakoon, J. Wu, J. Ekanakaye, A. Burchill, N. Jenkins
Cardiff University
Version: 2010-V5
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Executive Summary
A network cell, as defined in HDPS, is an area of network in which a collection of
distributed resources can be controlled in response to a number of defined objectives.
The combination of the cell concept and demand-side integration (DSI) initiatives
provide a promising way to address the emerging challenges of contemporary power
systems such as infrastructure aging and large penetrations of distributed generation
and renewables. The implementation of cells and DSI needs an advanced information
and communication infrastructure. Smart metering is seen as essential to facilitate the
cell and DSI through providing real-time or near-real-time information exchange and
advanced control capabilities. The functional specifications of smart metering vary by
country/region and with variations in the technical, economic, social and political
objectives. Typical functions of smart metering are discussed and illustrated. In thisreport, existing metering technologies are categorised as Automated Meter Reading,
Automated Meter Management, Interval metering with Automated Meter Management,
Prepayment Meters, and Smart Metering, in increasing order of sophistication. The
typical functionalities and benefits of different metering technologies are compared.
International initiatives, policies and experience in and plans for smart metering are
reviewed. Progress in standardization of smart metering in the UK is discussed. Smart
metering though DSI programs is capable of providing strong support to power system
operation and planning, and facilitates the advanced control of micro-generation and the
overall cell. The support provided by smart metering to various DSI programs is
discussed. This report is intended to inform regional and UK decision makers regarding
the near-term implementation of smart metering in the UK.
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Table of ContentsTable of Contents .........................................................................................................31 Introduction..........................................................................................................4
2 Smart Metering.....................................................................................................5
3 Initiatives in the UK to deploy smart meters .........................................................8
4 Worldwide initiatives and policies to deploy smart meters .................................... 94.1 Italy................................................................................................................9
4.2 United States ................................................................................................10
4.3 Sweden.........................................................................................................114.4 Canada..........................................................................................................11
4.5 Northern Ireland ...........................................................................................12
4.6 Netherlands...................................................................................................124.7 Australia (Victoria).......................................................................................13
5 Smart metering technologies and demand side integration (DSI)......................... 13
5.1 Retrofitting existing meters...........................................................................13
5.2 AMR with usage information through the Internet ........................................ 145.3 Use of AMR Interval maters with AMI expansion capabilities... ................... 14
5.4 AMR Interval meters with wireless smart displays............................ ............ 15
5.5 Smart meter with embedded intelligence.......................................................155.6 PriceLight .................................................................................................15
6 DSI through demand response management (DRM) ........................................... 16
6.1 DRM through management companies .........................................................166.2 Smart devices for DRM................................................................................16
7 Standardisation of smart metering in the UK....................................................... 17
8 System Support from smart metering through DSI.................................. ............ 189 Conclusions........................................................................................................20
10 References....................................................................................................20
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1 Introduction
In many regions around the world, the electric power infrastructure is aging and
becoming overstressed with increasing demand. This situation will become worse if a
large amount of micro-generation, plug-in electric vehicles and heat pumps are
connected to the power system. Obtaining planning permission for new power system
assets is becoming increasingly difficult. Therefore new strategies, e.g. cell and
demand-side integration (DSI), are needed to make better use of existing infrastructure
and to improve energy efficiency.
With the targets for reducing CO2 emissions and improving energy security, there is an
increasing trend to connect distributed generation (DG) and renewable energy sources
to the power system. However the connection of a large amount of intermittent DG and
renewable generation will cause serious system operation problems (at both
transmission levels and local distribution levels). One solution to problems caused by
intermittency is to add large-scale energy storage into the power system. This is not
practical currently due to technical limitations and cost. Therefore the introduction of
the cell concept and increased flexibility in the demand side with support from micro-
generation are being considered as a promising way to address these challenges.
The implementation of DSI and the cell concept needs an advanced information and
communication infrastructure. However the presently installed electro-mechanical
meters without or with very limited communication channels, particularly in domesticpremises, do not support these initiatives. Smart metering refers to systems that
measure, collect, analyse, and manage energy usage. It includes two-way
communication networks between smart meters and various parties. Smart metering is
seen as a key technology that facilitates the cell and DSI through providing real-time or
near-real-time information exchange and advanced control capabilities.
The term cell, as defined in HDPS, is used to define an area of network in which a
collection of distributed resources can be controlled in response to a number of defined
objectives. These can be defined with a scope that is either external or internal, and are
specified at both the time of the cell definition and by an external parent entity when
operational.
As an ICT solution, the benefits of installing smart meters have being discussed in
various forums. The installation of smart meters has been mandated in Norway [1],
USA [2], Canada [3] and the European Union (EU) [4]. In the UK, pilot programmes
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and a series of policy making activities are taking place. In some other countries pilot
programmes have already been conducted.
DSI based on smart metering is expected to be effective in three ways.
Consumer behaviour changes through feedback [5] of accurate information ofenergy consumption with flexible tariffs schemes (e.g. time of use) thus promoting
efficient use of energy.
Demand control during critical peak events.
Consumer participation in energy supply through domestic micro-generation.
In addition, Utilities can use accurate, online information obtained through smart
metering for better network planning, operation and management including cell control.
In order to provide these facilities, a smart meter system should be capable of two-way
communication, preferably with a high data rate and associated functionalities. If such acommunication network is available, additional facilities and services can be provided
to the consumers as well as suppliers.
2 Smart Metering
The functions of smart metering vary by region and requirements from technical,
economical, social and political aspects. Smart Metering solutions need to provide
several of the following functions shown in Figure 1.
Metering technologies can be broadly categorised in an increasing order of
sophistication as follows [6][7]:
Automated Meter Reading (AMR)
Automated Meter Management (AMM)
Interval metering with Automated Meter Management (AMM)
Prepayment Meters (PPM)
Smart Metering or Advanced metering infrastructure (AMI)
Commercially available meters have overlapping functionalities, but in general, the
functionalities can be broadly grouped as Table 1, and the benefits are listed in Table 2.
Formatted: No underlin
Formatted: No underlinCheck spelling and gram
Deleted: Figure 1
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MetrologyCommunications
and Data Processing
Human-Manchine
InterfaceMeter Management Control
Power System
Operation an
Planning Suppo
Major Functions of Smart Metering
Meets all statutory &
legislative metrology
requirements
Four quadrant
measuring unit, i.e.
record kWh & kVarh
input & export
separately
Provide on demand
reading, i.e. provide
timed & stored meter
readings when the
metering system is
polled
Send data periodically
as scheduled
Resilient 2-way
communication
Timing function
Calculate values from
measured quantities
Last grasp
communication
(outage alarms) for
outage management
Display of
measurements and
calculated quantities
Display and
configuration of
metering / account
seetings
Display and response
to messages /
instructions
Remote / local
calibration
Remote / local
software / firmware
configuration and
upgrades
Account management,
e.g. credit / debit or
rate settings
Theft / tamper
management
Diagnostics
Event logs, e.g. fault,
tamper and diagostics
Remote disablement /
enablement of supply
Load limiting
Distributed generation
control
Advanced home-area
energy management
Provide rele
information
network per
assessemnt
Provide rea
near-real-tim
voltage con
current contfrequency c
the system i
in islanded
Provide out
and system
outage man
Prompt outa
verification
restoration
verification
Figure 1. Main functions of smart metering
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Functions AMR AMM
Intervalmetering with
AMM PPM AMI
Has a communication link from meter to supplier toread meter remotely
Has a communication link from supplier to meter Network operator can remotely limit energy supply anddisconnect if required
Tariffs can be changed remotely
Real time data can be displayed to user
Fraud and tamper protection Measure energy consumption and related informationat shorter intervals (half hourly or less) and store andsend to the supplier
Can have multiple tariffs structures (Time-of-use tariffs) Supplier can switch the meter between credit orprepayment
Remote calibration facility Can provide detailed information such as historical costand credit remaining
Allow for changes of tenancy
Credit entry through keypad
Can add credit remotely
Can control appliances remotely Provide facilities for network design, operation,management
Table 1. Comparison of functions of different metering technologies
Benefits AMR AMM
Intervalmetering
withAMM PPM AMI
Manual meter reading is not required thus reducing thecost and practical difficulties of meter reading Allows the production of bills based on actual readingsrather than inaccurate estimated bills Customer can change the supplier quickly as accuratemeter readings are available Detect and notify fraud when a meter has beentampered with
Visits and manual re-setting of meter are not necessarywhen price and tariff changes Make the customer energy, cost and efficiency aware,so that consumption is adjusted to reduce the cost
Improved facilities for pre-paid customers Could help to avert large scale black-outs throughcontrolled load shedding during critical peak events
Table 2. Comparison of benefits of different metering technologies
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3 Initiatives in the UK to deploy smart meters
History and Progress:
o The UK has thirty years of advanced metering history. This started in the
mid 1980s but with energy-industry re-structuring, and the introduction
of retail competition within meter development, no significant progress
had been taken place from 1990-98 [6].
o From 2000 onwards, four significant policy reports were produced.
Despite the efforts, consultations, reviews and policy initiatives, the
policy-push on smart meters stalled [6].
o In December 2005, the European Parliament issued the directive [4] on
energy end-user efficiency improvement. It requires member countries
to provide meters that give actual energy consumption and actual time of
use to improve the efficiency of demand side behaviour.o Between 2005 and 2007 EnergyWatch proposed the introduction of
smart meters to benefit energy suppliers, consumers, energy distributors
and finally the environment. From the perspective of consumers, it
anticipated a behavioural change resulting from the updated information
provided via a smart meter [8][9]. It also analysed the cost benefits of
smart meters [10].
o In February 2006 Ofgem began a consultation [7] to explore the strategy
needed to introduce smart meters in the context of the UKs competitive
domestic metering services market and also to realise the benefits of
smart meters.
o In November 2006, the DTI issued the Energy Review consultation [11]
regarding the provision of detailed consumer billing and smart meters.
The response was issued in July 2007.
o In April 2007, BERR issued a report [12] identifying the costs and
benefits of the various smart meter roll out options, and discussing
issues such as displays and communication options.
o In May 2007, the DTI issued the White Paper on Energy [13] which
proposed the introduction of smart meters within the next decade. In
August 2007 BERR issued a consultation [14] on policies presented inthe White Paper and in April 2008 issued the Government's response to
the consultation.
o The Energy Demand Research Project (EDRP) managed by Ofgem
began conducting trials in 2007 Final reports on these trials are expected
at the end of 2010. Out of four trials two have been conducted by
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installing visual displays for 8,500 households and smart meters for
18,000 households [15].
o The UK Government decided upon a roll-out of smart meters from
January 2009 for large scale, non-half hourly metered customers whose
annual consumption is above 732 MWh and to complete installation by2013 [16]. BERR issued the final consultation on the above in January
2008 [17].
o BERR issued a consultation on smart meters for small and medium scale
commercial customers in July 2008 [18].
o In May 2009, DECC issued a consultation seeking views on the
proposals for the roll-out of smart metering to all domestic customers
and at small and medium non-domestic sites in the UK [19].
o In May 2009, DECC also issued impact assessments examining the
impact of a smart meter roll-out on domestic customers [20] and small
and medium sized commercial customers [21]
o In July 2010, DECC and Ofgem issued the Smart Metering
Implementation Programme: Prospectus, a series of consultation
documents concerning smart metering in the context of domestic
consumers in the UK [22]
Motivators:
o CO2 emission reduction and to meet the 20% energy saving expected by
2020.
o Energy saving by providing information through accurate bills and real
time displays.
Technology:
o The reports imply that the meters to be installed will be AMM Interval
meters. The White Paper proposes import-export tariffs and EDRP trails
have used combined electricity and gas meters.
4 Worldwide initiatives and policies to deploy smart meters
4.1 Italy
History and Progress [7][23]:
o From the early 1990s Enel had implemented AMR and AMM for energy
intensive customers.
o A pilot of 70,000 installations confirmed the technical viability of
Distribution Line Carrier on the low voltage grid, and also confirmed
that retrofitted meters are not cost effective.
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o In 2001, Enel started to replace electromechanical meters with AMM
meters. By 2005, 27 million meters had been replaced.
o In 2006, the Italian regulatory authority (AEEG) mandated the full
introduction of smart meters for all the consumers by 2011
o The Italian governments timetable is for 95% of customers to be onsmart meters by by 2011
Motivators [7][23]:
o Italy sees a large number of visits to consumer premises per year as a
result of fraud, theft and changing power entitlements. Outstanding debts
were difficult to collect due to a number of hard to access areas which
necessitated AMR technology.
o They faced blackouts due to insufficient generation and expected
efficiency improvements through smart meters to alleviate the situation.
Technology: (See section 5.3 for details)
o AMM Interval Meter
PLC (over Distribution circuit) between meters and transformers and then GSM/fixed
lines to data centres with IP communication.
4.2 United States
History and Progress [2][7]:
o USA consumers have had access to AMR for some time.
o The Energy Policy Act of 2005 required all public electricity utilities tooffer AMM Interval meters to customers upon request.
o The act allowed three tariffs to be specified, namely time-of-use prices
that are allowed to change twice a year, critical-peak-prices as an
exception to time-of-use price (for certain days) and real time prices that
can be changed every hour.
o In the USA, the states of California, Tennessee, Illinois, New Jersey, and
Washington DC are at the forefront of smart meter initiative
o The California Public Utilities Commission approved a request by
Southern California Edison to install 5.3 million smart electricity meters
into houses and small-business sites by 2012. At the end of 2010,
around 1.8 million had been installed. It is expected that at least 40% of
customers in the US will have smart meters installed by 2012.
Motivators [2][7]:
o It is particularly challenging to ensure a reliable supply during the
summer peak demand period when air conditioners are used extensively.
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Technology [2][7]:
o AMR Interval Meter and AMI
o Most systems use radio as the communication medium
o All utilities are now aiming for AMI
4.3 Sweden
History and Progress [1][7][27]:
o Studies were started in 2001
o In 2003 a bill was passed to mandate new metering regulation requiring
all energy meters to be read monthly by July 2009.
o Meter installation of over 5 million users is now complete, permitting
automatic monthly readings nationwide
o The Swedish regulators are now considering mandating hourly readings
Motivators [1][7][27]:
o Higher energy prices and unclear and inaccurate bills
o Need of energy conservation
Technology [1][7][27]:
o From AMR to AMM Interval Meter
4.4 Canada
History and Progress [7][24][25][26]:
Ontarioo Installed 1 million smart meters by 2007 and has now achieved almost
complete coverage.
o The Energy Conservation Responsibility Act of 2006, sets out the broad
purposes and objectives for Meter Data Management and Repository
(MDM/R)
o Acts were changed to accommodate AMI specifications, released after
several consultations, in order to allow them to access the latest
technologies
o The project has been heavily criticised by consumer groups, with many
customers already placed on time of use tariffs complaining of increased
bills.
Motivators:
o To reduce needle peak time (a few hours every day in summer)
Technology [7][24][25][26]:
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o AMM Interval Meter with two way communication
o Distributors should comply with the AMI functional specifications and
should be able to connect to the proposed Meter Data Management and
Repository (MDM/R) system.
4.5 Northern Ireland
Progress [1][7][27]:
o Started in 2000
o Installation of keypad type prepayment meters is now complete
Motivators [1][7][27]:
o Consumers had been using Power Cards (a magnetic prepayment
card). Due to operational and servicing costs, and concerns about
security and fraud, an alternative payment solution was required.
o Poor customer satisfaction due to self-disconnection and additional
surcharges.
Technology [1][7][27]:
o Prepaid meter (PPM)
o New trials for using time-of-use tariff have been undertaken since 2005
4.6 Netherlands
Progress [1][7]:
o Conducted detailed cost-benefit analysis
o The grid operator (Continuon) started a pilot project in 2006 proposing
the installation of 50,000 smart meters.
o Some suppliers (Oxxio) offered combined smart meters for electricity
and gas from 2006
o The Government proposed in September 2007 that all 7 million
household should have a smart meter by 2013
o In April 2009, following concerns from consumer groups about privacy,
the government was forced to revise its mandate on the installation of
smart meters in favour of a voluntary scheme
Technology [1][7]
o AMR meters
o Continuon meters read electricity and gas and communicate through
power line carrier (PLC)
o Oxxio meters communicate through GSM/GPRS
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o Customers can access energy consumption information through the
Internet
4.7 Australia (Victoria)
Expectations [1][7][27]:
o In the case of new and replacement meters, installation commenced from
2006
o It was proposed that all customers consuming greater than 160
MWh/year would have have a smart meter installed by 2008
o and that all customers consuming less than 160 MWh/year and more
than 20MWh/year by 2011
o As of March 2010, the state government has placed an indefinite
moratorium on the smart metering rollout
Motivators:
o To reduce the summer needle peaks through information provided to
customers
o To eliminate manual meter readings
Technology [1][7][27]:
o AMM Interval Metering facilitating future innovation
5 Smart metering technologies and demand side integration (DSI)
As shown in Figure 1, smart metering solutions are available with different
functionalities and employing different technologies. The following examples are
selected as representative cases.
5.1 Retrofitting existing meters
Conventional electro-mechanical meters and digital meters without pulse output cannot
be used to provide any feedback to the consumer or to the supplier. Some technologies
facilitate retrofitting such analogue and digital meters through non-invasive equipment
such that those meters are converted to AMR. Techniques such as introducing optical
position sensors [29] or optical character recognition (OCR) based readers [30] are
commercially available. However, most smart meter initiatives do not consider
retrofitting as a feasible solution due to the cost and the limited capability for future
expansion and instead opt for digital smart meters.
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5.2 AMR with usage information through the Internet
This option does not give the full flexibility of interval metering, but collects meter
readings remotely and provides information to the customer through the Internet.
As an example, Energy Controls [31] has smart meters that can be fitted in
standalone installations or as part of a comprehensive metering system that comes with
a module slot for simple Plug & Play connection of a communications unit. It permits
direct connection or a CT based installation. The Plug & Play communications
module offers universal connection for high-speed reliable data transmission including
RS232/485, PSTN, GSM/GPRS and Ethernet. It reads meters automatically through
these communication lines. Collected consumption data is stored on the company's
secure server which can be backed up daily.
Customers can access their meter readings using a standard internet browser. The datacan be manipulated to produce reports in a graphical format to identify consumption
trends.
5.3 Use of AMR Interval maters with AMI expansion capabilities
The use of AMR Interval meters is the most common approach in smart meter
deployment and the principal implementation expected to expand to AMI in the future.
As an example, theTelegestore smart meter system used by Enel of Italy [23] is
shown in Figure 2.
Figure 2. Telegestore System Architecture [23]
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The Central Management System communicates via public telecommunication
networks (GSM, GPRS, PSTN & satellite) with LV concentrators installed in every
MV substation (one concentrator per transformer), as shown in Figure 2. LV
Concentrators have two-way communication with the Central Management System and
meters through PLC half-duplex with net speed of 2400 bits/sec. Electronic meters areintegrated ones (equipped with breakers or disconnectors) providing metering, contract
management and PLC communication functions.
5.4 AMR Interval meters with wireless smart displays
Some smart meter solutions [32] provide AMR Interval meters with wireless smart
displays. These displays mostly use the ZigBee communication protocol and provide
detailed information to the user through remote displays.
5.5 Smart meter with embedded intelligence
A smart metering device developed by Oxford University [33] claims it identifies the
type of appliance based on the time of use, period of use and the current waveforms and
accurately measures the amount of energy being used by the individual appliance. It
uses acquired data and probabilistically determines what the appliance is. It
incorporates a learning mode and can independently identify appliances when they are
used for the first time. It also identifies appliances operating outside of their normal
modes of electricity consumption and can detect malfunctions and 'energy-guzzling'
devices.
It does not use monitoring devices on each plug, rather using a single-point
interrogation of the mains supply providing building-wide information on appliance
use. It can be used to identify opportunities for short and long term savings by
analysing the captured data. The device is capable of providing captured information to
a home PC or a mobile phone.
5.6 PriceLight
In 2007 American Illinois Utilities (AIU) started a pilot, real time pricing programme
called the Energy PriceLight Program [34]. The PriceLight is a small orb that glows in
different colours based on the current estimated price of electricity. The PriceLight
receives a wireless radio signal and glows different colours to reflect advisory hourly
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market prices of electricity. It has a colour spectrum that ranges form blue to red. The
best time to use is when the colour is cooler, whilst warmer colours remind participants
that prices are high and to use their energy more sparingly.
The programme was intended to study whether customers would modify theirelectricity consumption behaviour in response to the PriceLight display. The study
showed these customers did have a higher elasticity than customers without the
PriceLight.
6 DSI through demand response management (DRM)
6.1 DRM through management companies
In the USA, there have been small scale initiatives of demand response managementthrough management companies. Comverge (with over 500 utility clients, 4.5 million
devices and 495 MW) [35] and EnerNOC (cumulative participation of 1.5 GW) [36] are
such two companies.
The initiatives use prior agreements with electricity utilities and with commercial and
domestic customers to reduce the consumption when required by the utilities.
Comverge installs equipment in consumer premises (with whom they already have an
agreement) such as smart thermostats capable of reducing power on request. In an
emergency, suppliers can communicate directly with these devices and reduce their
consumption.
EnerNOC operates a 24 hour Demand Response Control Centre (DRCC) which
monitors utilities load balance and intervenes during an emergency to bring down the
power consumption of contracted customers. In an emergency the DRCC informs
contracted consumers to reduce their consumption manually or it can control equipment
directly through communication links. In addition to the load reduction contracted
consumers can start backup generation in anticipation of an impending critical event.
6.2 Smart devices for DRM
Smart devices such as Smart Thermostats [37] can be programmed locally by the user,
or remotely over the Internet to operate on a time based or tariff based schedule such
that they are responsive to real-time and critical peak pricing. They use adaptive
algorithms to save energy and one can control multiple appliances such as electric
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water heaters, pool pumps, and hot-tubs. The thermostats display information such as
energy usage, monthly bill data, and current energy price etc. During a critical peak
event they change their settings automatically to reduce electricity consumption. Some
of the smart devices communicate with the smart meter so that energy demand response
companies or the supplier can control devices remotely by changing the settings torespond to critical peak events. The users are given the option to override in a non-
critical event and if it is a critical event, the thermostats settings will be changed or
devices will be switched off according to the instructions given from the network
operating centre or the supplier without the immediate consent of the contracted user.
With the use of a flexible tariff, manufacturers expect to include indicators for the
equipment which cannot be controlled directly, such as dish-washers and washing
machines, to warn the customer about the higher tariff.
7 Standardisation of smart metering in the UK
An interoperable platform for smart metering is required in order to provide an energy
supplier with protection for the smart metering systems they choose to install. Without
this guarantee of interoperability, energy suppliers may need to replace a proprietary
smart meter when a customer changes gas or electricity supplier, leaving the previous
supplier at risk of bearing the outstanding costs for the replaced meter. The requirement
to replace the meter after stranding a supplier highly influences the cost-benefit analysis
which decides the future of smart meter deployment.
The Energy Retail Association (ERA) has started the Supplier Requirements for Smart
Metering (SRSM) project to present Smart Metering Operational Framework Proposals
[OFP]. The purpose of the OFP is to provide the expected interoperability
[38][39][40][41][42]. To meet this objective, the OFP has defined a number of non-
functional elements as well as functional elements relating to:
Data transfer protocol definitions and communication solution options
Metering System definitions and solution options
Business process definitions
Local device definitions
In the OFP, functionalities are specified as M - Mandatory or as P - Potential, where
potential functionalities are the desired features that will be considered for cost/benefit
in future specification development.
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The OFP specifies all basic functionality that is required by a smart meter such as two-
way communication, remote meter management, flexible tariff structures, and import
export metering, credit and debit payment methods as mandatory requirements. These
functions are essential for DSI as well. It proposes a modular design allowing plug and
play replacement of components which could facilitate the future addition of DSIfunctions. Load limiting, load switching and remote interruption functions are
identified as potential functions for DSI.
The OFP mentions that the requirement for possible future applications of demand side
management such as home control solutions for intelligent load shedding, the next
generation of home appliances and signalling to micro-generation could all be included.
It specifies potential measurements such as maximum demand kW, kVA, kVAR and
power quality information which will generate notifications upon deviation from
standard limits. In addition to the above, more metering parameters would be needed in
future DSI. In order to accommodate future micro-generation, the specification
indicates that reactive power measurement and the measurement of gross and net
values of micro-generation could be included.
Even though the OFP specifies the basic functions required for DSI, it may be
necessary to make some of the potential features mandatory and add more features to
support future DSI applications.
8 System Support from smart metering through DSI
Smart metering though DSI programs is capable of providing support to the power
system operation and planning, and facilitates the advanced control of micro-generation
and cell. DSI initiatives are implemented to provide supports to TSOs/DSOs or non-
TSOs/DSOs participants. In a deregulated environment most of this support will be
provided through a market. The support provided by smart metering through various
DSI programs are briefly discussed in Table 3.
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Load reduction in
case of frequency
drop
Supports Description
Load shedding has been widely used as a Demand Side Management measure implemented to maintain power system security,
which is triggered when the frequency drops under a certain threshold, for example 49 Hz in Europe. In particular, it consists of
tripping (usually automatically) of the whole distribution feeder. Load shedding is planned by the TSOs but is implemented by
the DNOs with regard to the tripping of distribution feeders (and the choice of the feeders to trip).
DSI programs are able to provide load reduction instead of load shedding in this case in a much smarter and more efficient waywhile reducing inconvenience to the customers.
Frequency control
Frequency control is mainly the responsibility of the TSO, which consists of primary frequency response, secondary frequency
control, tertiary frequency control and ba lancing mechanism.
DSI has already participated into primary frequency response through the self-regulating effect of frequency sensitive loads
such as induction motors or the action of frequency sensitive relays that disconnect or connect loads at given frequency
thresholds. However the self-regulating effect of loads is not controllable. Further utilisation of demand side resources will be
able to improve the reliability of the primary frequency response.
Large industrial loads can contribute to secondary frequency control, however the involvement of medium and small loads is
more complicated and will require some sort of load aggregation along with appropriate control strategies.
Tertiary frequency control is generally associated with the balancing mechanism. The TSO calls for bids and offers from power
system participants to actively manage either their load or their generation in particular locations at particular times. In some
countries, industrial loads are used to contribute to tertiary frequency control or to the balancing mechanism. DSI programs are
able to facilitate the possible contribution from medium and small loads. Load aggregation has to be implemented to collect
enough load to reach the minimum size limit.
With the large penetration of DG and the development of DSI in distribution networks, DNOs will also be requested to
contribute to frequency response.
Volt/Var control
Customers have already contributed to voltage control at the transmission level through power factor correction.
Industrial customers often have to compensate reactive power at their own installations in order to avoid penalty.
The control of reactive power by customers improves the voltage profile on the network.DSI is able to contribute to voltage control in the distribution network but appropriate monitoring in order to avoid adverse
effects is necessary.
Relief of network
congestion
DSI programs can be used to mitigate congestions on the distribution network through load modification (therefore modify the
power flow on the network).
Regarding congestions on the transmission system, the TSO may request the DNOs to reduce loads and DSI programs on
distribution networks are able to provide solutions.
Supply restoration
DSI is capable of contributing to supply restoration after a partial or complete loss of power supply on part of the distribution
or transmission network or after a blackout.
Limiting consumption will help generation units or substations to restore the network segments and then reconnect the whole
network.
Many large industrial customers have contractual commitments with the TSO to contribute to supply restoration.
DSI programs can help medium and small customers to contribute to supply restoration.
Load limitation
DNOs may have contracts with the TSOs for the access to the transmission network and the power delivered at the substations
between the transmission and the distribution networks. DSI can be used to limit the load so that DNOs can meet the
contractual commitments at the delivery points.
DSI programs can also reduce system peak load levels therefore defer investments from DNOs and TSOs.
Maintain system
voltage stability
Loads play a crucial role in maintaining power system voltage stability, which is mainly the responsibility of TSOs.DSI programs can be used to provide complementary solutions provided that they can be coordinated with other measures, e.g.
increasing reactive power injection, and starting standby generation units.
Islanded operation
If some section of a power system is operated in islanded mode, the real-time balance between load and generation must be
maintained.
DSI programs can to be used to provide cost-effective solutions.
Reduction of CO2
emissionDSI programs can be used to reduce the use of fossil-fuel based generation units and therefore provide a way to reduce the
CO2 emissions.
Reducing the energy
price
For a retailer, by shifting the customer load from high-price periods to low-price periods through DSI initiatives, the cost of
sourcing and the customer bills can be reduced.
If DSI programs are deployed at a large scale, the peak prices in the energy markets can be reduced.
Management of load and
generation variability
For a balancing responsible party (other than a TSO) or an electricity company with a portfolio of generation and load, DSI
programs can be used to compensate the variability of both load and generation, which will help to firm up the net generation
and consumption declared to the TSO, as well as the offers made on the balancing market.In particular, DSI programs can contribute to compensate the intermittency of renewable energy resources such as wind energy.
Provision of ancillary
services
DSI can be used to provide ancillary services to the system operators, e.g. active and/or reactive power reserves, frequency
response, and voltage control.
Therefore depending on the regulatory constraints, DSI programs can be used by the power system participants to access the
ancillary service market.
Table 3. System supports from smart metering through DSI
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9 Conclusions
Smart meters and associated control technologies have huge potential to contribute to
real time control and operation of low-carbon power systems. This potential goes a long
way beyond the current trials of automatic meter reading, improved billing information,living-room displays, multi-band tariffs and high-resolution (e.g. half-hourly) logging.
The report provides a review of international experience in and plans for the use of
smart meters for local control and system-wide operation. The typical functionalities of
smart metering and its capabilities to support system operation are discussed. The
information provided will be able to inform the UK decision makers regarding the near-
term implementation of smart metering in the UK.
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