Retail Transaction Platforms
for California
“the grid of people”
Power Association of Northern California
City Club of San Francisco
April 21, 2015
Edward G. Cazalet, Ph.D.
CEO, TeMix Inc.
[email protected]
Current California Issues
GHG & 50%
Renewables
Storage
Mandate and
Operation
Wholesale
Market
Complexity
Solar
Overgeneration
and Duck Curve
DER Planning
Net Energy
Metering and
Cost Recovery
Expanded Direct
Access
Complex and
Ineffective Retail
Tariffs
The “grid of people” who manage the “grid of things”
Regulators
Energy
Services
Parties
- Consumer
- Producer
- Prosumer
- Storage Owner
Intermediaries
Exchanges
-
Transaction
Platform
Providers
Transport
Services
Parties
- Transmission
Operator (TO)
- Distribution
Operator (DO)
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- Marketers
- Retailers
- System
Operators
- Automated
Market Makers
Service
Interface
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Tenders and
Transactions
People who (automatically) manage facilities and
devices interacting through transaction platforms
Forward & Spot
Tenders &
Transactions
Service
Interface
0321
Interval
Meter
EMS
HVAC
System
Generator
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Water
Heater
Smart
Appliances
Battery
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Transaction
Platforms
Grid
The four big ideas of Transactive Energy (TE):
Forward transactions are used to
coordinate investments and manage risk.
Spot transactions are used to
coordinate operating decisions.
All parties act
autonomously.
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There are two products:
energy and transport..
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The two-way Transport product delivers the Energy product.
Bidirectional forward and spot transactions
(tariffs) for transport
Electric energy (at a
place and time)
Example:
Transmission
Connected
Substation
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Transport
Example:
Two-way
Feeder
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Electric energy
(at a different
place and same
time)
Example: Building
Distribution operator controls transport systems, makes
investments and posts forward and spot tenders.
Feeder Net Energy Flow
@ Substation
Service Interface
Σ
Net Sold
Substation and Feeders
Control Signals
&
Investments
Available
Capacity
-
Surplus
Planning & Operations
Transport
Tenders
Transport
Transactions
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Transaction Platform
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Parties automatically control devices/systems, make
investments and manage tenders and transactions.
Energy
in/out
Weather
forecasts
Objectives
Devices and Systems
Device
State
Management Algorithms
(EMS)
Tenders
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Control
Signals &
Investments
Service
Interface
Benefit
Transactions
Transaction Platforms
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Standardized platforms can be local and interact over large
areas.
Energy
Services
Parties
Transaction
Platforms
Neighborhood
Substation
City/Town
Region
Transport
Services
Parties
Balancing Area
NERC Area
National
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Intermediaries
Platforms may be dedicated to classes of transactions and
operated by various entities.
Energy
Services
Parties
Transaction
Platforms
Energy @ Substation
Yearly, Monthly
Daily
Hourly
5 min, 4 sec
Transport
Services
Parties
Transport to Facility
Yearly, Monthly
Daily
Hourly
5 min, 4 sec
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© 2014 Baker Street Publishing, LLC. All Rights Reserved.
Intermediaries
Many TE Platforms appear as a Virtual Platform to Parties
Energy
Services
Parties
Transaction
Platform
Providers
Intermediaries
Transport
Services
Parties
“Frequent small tenders facilitated by automated intermediaries
help coordinate investments and operations of all parties.”
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Regulators will have new tools to oversee transactions
Regulators:
Congress, DOE, EPA, FERC, NERC, Legislatures, PUCs, Munis, CCAs, PMAs, Coops
Energy
Services
Parties
Transaction
Platform
Providers
Transport
Services
Parties
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Tender and
Transaction
Data Bases
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Intermediaries
Retail platforms can be incrementally deployed to work
with current wholesale platforms and retail customers.
Consumers, Prosumers, and DERs
Device
Device
Device
Device
Service Interface
Tenders and
Transactions
One
year
One month
One hour
Five minute
Retail Transaction Platforms
Energy
Tenders and
Transactions
One
year
Distribution Transport
One month
One hour
Five minute
w
Existing Wholesale Platforms
Forwards and Futures
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Balancing Operators
© 2014 Baker Street Publishing, LLC. All Rights Reserved.
Interoperable
Transactive
Retail Tariffs
An example of a transactive retail tariff for a
consumer/prosumer.
•
Based on my typical usage, I automatically transact
with one or more suppliers for a fixed quantity of
energy and transport in each hour of the year(s) for a
fixed monthly payment (subscription.)
•
•
•
If I use less than I subscribed for in each hour then
I am paid for the difference at an hourly spot price.
If I use more than I subscribed for then I pay for the
difference at an hourly spot price.
At any time I can automatically buy or sell at current
tendered prices.
Ref: A Model InteroperableTransactive Retail Tariff: Smart Grid Interoperabltiy Panel (SGIP) http://www.sgip.org/Publication-Retail-Tariff
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www.tea-web.org
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