Locational Net Benefit
Analysis
Working Group
January 11, 2017
Webinar
1pm-3pm
drpwg.org
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Purpose
To continue discussion on the use of LNBA within the context of the planning use case, and provide a
demonstration of the LNBA tool
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ICA and LNBA Working Group Background
ICA and LNBA WG Purpose - Pursuant to the May 2, 2016, Assigned Commissioner’s Ruling (ACR) in
DRP proceeding (R.14-08-013), the Joint Utilities are required to convene the ICA and LNBA WG to:
1. Refine ICA and LNBA Methodologies and Requirements
2. Authorize Demonstration Project A and Project B
CPUC Energy Division role
•
Oversight to ensure balance and achievement of State objective (ensure adequate stakeholder representation in
consensus statements, keeping WG activities on track with Commission expectations/needs, demonstration project
results review, quality control on deliverables)
•
Coordination with both related CPUC activities and activities in other agencies (IDER CSF WG, CEC and CAISO
interagency matters, interconnection/Rule 21/SIWG, other proceedings that may impact or be impacted by
locational value calculation such as AB 350/IRP and LTPP/TPP/RPS)
•
Steward WG agreements into CPUC decisions when necessary
More Than Smart role
•
Engaged by Joint Utilities to facilitate both the ICA & LBNA working groups. This leverages the previous work of MTS
facilitating stakeholder discussions on ICA and LBNA topics.
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Updated LNBA timeline
Wednesday, 1/11: LNBA webinar (1pm-3pm)
Friday, 1/13: First round of comments, questions, and recommendations due
Thursday, 1/19: First draft of LNBA report circulated
Friday, 1/20: Joint ICA/LNBA meeting to review and form recommendations
• At meeting: decide whether to request report extension past 1/31
• If no extension, tentative schedule:
• Tuesday, 1/24: Second draft of LNBA report circulated
• Friday, 1/27: Final round of comments due
• Monday, 1/30: Report finalized
• Tuesday, 1/31: Report submitted
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DRP LNBA Demonstration (Demo B)
Q&A on Applications in Distribution
Planning and Tool Demonstration
January 11, 2017
READ AND DELETE
For best results with this template, use PowerPoint
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Transmission and Distribution Planning
November 6, 2015
Agenda
1) Distribution Planning and LNBA/Demo B
– Review LNBA Use Case Discussion
– Overview of IOUs’ Proposed Distribution Infrastructure
Deferral Framework (DIDF) and Prioritization Process
– Other Learnings from Demo B related to Distribution
Planning
2) LNBA Tool Demonstration
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LNBA Use Cases Refresher
Heat Map of Potential
Optimal Locations
Prioritization for DER
Deferral Opportunities
• Public/Indicative
• Confidential/Commercial
• Generic OR DER Specific
• Generic OR DER Specific
• No DER Costs Included
• DER Costs May Be
Included
• Visual heat map to inform
DER providers and
stakeholder of locations
where DERs may be most
valuable.
• Use LNBA to identify &
prioritize locations for
deploying DERs (results
may be shared with DPAG
non-market-participants)
Demo B
Future?
May not include all the same
components and inputs as public LNBA
LNBA uses outputs of the distribution planning process, but is not part of that process.
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July 26, 2016 LNBA WG Meeting
Proposed DIDF Process
Planning
Deferral Framework and
IPE/DDAG Review
Develop
Assumptions
and
Scenarios
Distribution
Planning
Assessment
Evaluate
Conventional
Solutions and
determine
projects
LNBA
Planning Activities
Nondeferrable
Projects
Apply
Deferral
Criteria Potentially
Deferrable
Projects
Planning Activities
following application
of Deferral Framework
Implement conventional
Incorpora
te into
Future
Demand
and DER
Forecast
solution
Prioritization and
selection of
projects for
RFO
Projects not selected:
Reassess next planning cycle
Selected Projects:
Develop contingency plan
Implement
contingency
plan (if
necessary)
Project list drives
Public LNBA
output
LNBA Activities
Cost Recovery
Mechanism
Procurement
Selected Projects:
Proceed to RFO
Select DER Portfolio to
meet needs of potentially
deferrable projects
Develop
requirements
Launch RFO
Receive
bids
Least-Cost/
Best Fit
Valuation &
Selection
Monitor
Perform
ance
RFO and IE/PRG
Seek Cost Recovery
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Cost Recovery for
Contingency planning
Cost Recovery for Selected
Portfolio
December 12, 2016 DRP Workshop
Prioritization Process
•
•
•
Prioritization Process
– Process occurs following the identification of DER deferrable candidate projects
– Process will determine which potentially deferrable projects should be sourced
immediately via RFO, and which projects may be sourced in a future year
– Process will consider both Timing of need, as well as Market/Economic
Considerations
– We envision a “Walk – Jog – Run approach” to sourcing for DER Deferrals (expand
scope as knowledge increases)
– Projects not selected for current RFO will be reassessed through next year’s
planning cycle
Timing Considerations
– Higher Priority: Timing of Need is soon (less than 5 years out) with a high certainty
of need
– Lower Priority: Timing of Need is further out (greater than 5 years) and is relatively
uncertain
Market/Economic Assessment
Likely to be a location– Based on market knowledge gained over time
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specific benefit analysis
that includes some
components of LNBA
with additional
confidential
December
12, 2016information
DRP Workshop
Other Demo B Learnings Relevant in
Distribution Planning
•
•
Different DER Growth Scenarios do impact LNBA results, not always intuitively
– Increasing DER growth embedded in forecast can increase or decrease locational
T&D benefits of incremental DERs
 Level of DER growth assumed in distribution planning can impact the
magnitude and timing of a deficiency, however, not always intuitively
Learnings from Load Reduction Requirements Development
– New methods to create load reduction requirements for distribution upgrade
deferrals in Demo B will be refined/evaluated as DERs are increasingly deployed for
this purpose.
– Load reduction requirements to mitigate voltage issues are large and very locational
 Relatively low cost of voltage support equipment and large amount of load
reduction needed in a very small area results in relatively low benefit
 Using DERs to reduce load to mitigate voltage issues may not be as successful
as using DERs to manage reactive power
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LNBA Tool Demonstration
Public Version of LNBA Tool and Documentation is available here:
https://e3.sharefile.com/d-sb2965cf362c48399
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Conclusion
http://www.drpwg.org
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