SMART GRID

POLICY FRAMEWORK AND ROADMAP

FOR THE PHILIPPINES

Redentor E. Delola
Assistant Secretary
Department of Energy

27 November 2019
44th
IIEE Annual National Convention
SMX Convention Center, Mall of Asia Complex, Pasay City
Department of Energy
Powering the Nation
 Presentation Outline

Drivers of Smart Grid

Existing Technologies and Deployment

Roadmap for Utilities

Key Takeaways

Department of Energy
Powering the Nation
 Presentation Outline

Drivers of Smart Grid

Existing Technologies and Deployment

Roadmap for Utilities

Key Takeaways

Department of Energy
Powering the Nation
 The “5 D’s” Transforming Today’s Energy and Power Sector

Department of Energy
Powering the Nation
 Deregulation
Smarter Regulation
Pre-EPIRA EPIRA
• Vertically Integrated • Competitive Generation
and Supply
• Single wholesale
provider • Regulated Distribution
and Transmission
• Regulated distribution
and supply by DUs • Liberalization of Power
Industry
• Bundled costs
• Unbundled costs
• Regulated Tariffs
• Fairness and
Transparency

• Establishment of WESM
Department of Energy
Powering the Nation
 Decentralization

Before
• Distributed
Energy • Simple
Resources

• Isolated Power • One-way Power

Supply System
• Microgrids
• Centralized
• Energy Storage
Systems Generation
• Prosumers

Department of Energy
Powering the Nation
 Decentralization

Now
• Distributed
Energy
Resources
• Complex

• Isolated Power
Supply
• Two-way / Multi-way
Power System
• Microgrids

• Energy Storage • Decentralized

Systems Generation
• Prosumers

Department of Energy
Powering the Nation
 Decentralization

Before vs. Now

• Distributed
Energy
Resources

• Isolated Power
Supply

• Microgrids

• Energy Storage
Systems

• Prosumers

Department of Energy
Powering the Nation
 Decentralization

Distributed Energy Resources are becoming a ‘new normal’

• Distributed
Energy
Resources

• Isolated Power
Supply

• Microgrids

• Energy Storage
Systems

• Prosumers

Department of Energy Source: Navigant analysis

Powering the Nation
 Decentralization
Demand for storage will increase to balance the higher
proportion of variable renewable generation
• Distributed
Energy
Resources

• Isolated Power
Supply

• Microgrids

• Energy Storage
Systems

• Prosumers

Department of Energy Source: Bloomberg NEF

Powering the Nation
 Decentralization

Battery pack prices are continuously decreasing

• Distributed
Energy
Resources

• Isolated Power
Supply

• Microgrids

• Energy Storage
Systems

• Prosumers

Department of Energy Source: Bloomberg NEF

Powering the Nation
 Decentralization

Consumers can now produce and export electricity to the grid

• Distributed
Energy
Resources

• Isolated Power
Supply

• Microgrids

• Energy Storage
Systems

• Prosumers

Department of Energy
Powering the Nation
 Decarbonization

Global economies and

governments have
developed policies and
regulations to promote
low carbon technologies.

Department of Energy
Powering the Nation
 Decarbonization

• Renewable
Sources

• Energy
Efficiency

• Electric Vehicles

• Clean Tech

Department of Energy
Powering the Nation
 Decarbonization

Expected 50% of Global Energy Supply from Renewables by 2035

• Renewable
Sources
Flexible Generation to
address the • Energy
intermittency of VREs Efficiency

• Electric Vehicles

Department of Energy
Powering the Nation
 Decarbonization

The price of VREs is expected to decrease significantly in time

• Renewable
Sources

• Energy
Efficiency

• Electric Vehicles

Department of Energy Source: Bloomberg NEF

Powering the Nation
 Decarbonization
Investment in Energy Efficiency plays a vital role in
reducing GHG emissions

• Renewable
Sources

• Energy
Efficiency

• Electric Vehicles

Department of Energy Source: International Energy Agency

Powering the Nation
 Decarbonization

EVs are expected to be 50% of new vehicle sales by 2040

• Renewable
Sources

• Energy
Efficiency

• Electric Vehicles

Department of Energy Source: Bloomberg EV Outlook 2019

Powering the Nation
 Digitalization
Every Company is Investing in ICT innovation

• ICT
Innovation Retail
• Internet of
Things
• Smart Transport
Monitoring
and Control
• Smart Homes
and Cities Tourism
• Cybersecurity

Energy
Department of Energy
Powering the Nation
 Digitalization
Empowering Consumers through Digitalization

• ICT
Innovation
• Internet of
Things
• Smart
Monitoring
and Control
• Smart Homes
and Cities
• Cybersecurity

Smart Homes
Department of Energy
Powering the Nation
 Digitalization
The introduction of digital solutions
imposes that cyber security and power-
communication systems must be dealt with
• ICT extensively
Innovation
• Internet of
Things
• Smart
Monitoring
and Control
• Smart Homes
and Cities
• Cybersecurity

Department of Energy
Powering the Nation Source: Cyber Security and Power System Communication—Essential Parts of a Smart Grid Infrastructure, G.N. Ericsson
 Democratization

• Full Customer
Choice

• Energy
Monopoly to
Energy
Democracy

• Microgrids and
Power Trading

Department of Energy
Powering the Nation
 To address these 5Ds affecting our energy and power system, we need

Deregulation Decarbonization Decentralization Digitalization Democratization

• Distributed • Internet of • Full Customer

• Renewable Energy Things Choice
• Smart Sources Resources • Smart • Energy
Regulation • Energy • Isolated Monitoring Monopoly to
• Policy and Efficiency Power Supply • ICT Energy
Regulatory • Electric • Energy Innovation Democracy
Framework Vehicles Storage • Cybersecurity • Microgrids
• Clean Tech Systems • Smart Homes and Power
• Prosumers and Cities Trading

Department of Energy
Powering the Nation
 in one glimpse

Generation
Transmission Distribution
Automation

Grid Automation
DER & ESS
Integration

Remote control, switches

Real-time Monitoring

Electric Vehicles Smart Sensors and

Metering
Direct Connection

Consumer Distribution
Department of Energy
Powering the Nation
 Why shift towards a Smarter Grid?

Department of Energy
Powering the Nation
 Presentation Outline

Drivers of Smart Grid

Existing Technologies and Deployment

Roadmap for Utilities

Key Takeaways

Department of Energy
Powering the Nation
 Smart Grid Technologies
Geographic Information System (GIS)
➢ Can be integrated with other automation and Smart Grid applications in the utility which
will help asset optimization, outage detection, and faster restoration.

Content

Department of Energy
Powering the Nation Source: Gartner IT
 Smart Grid Technologies

Mobile Workforce Management System (MWMS)

➢ MWMS enables a utility to allot maintenance jobs and
field work to the mobile crews on real-time basis.
➢ With OMS, identification of type of fault is made
available on their Mobile Crew to support trouble
shooting.

Outage Management System (OMS)

➢ OMS provides the capability to efficiently identify and
resolve outages and to generate and report valuable
historical information.
➢ Integration with GIS will help to identify fault locations
and resolve power outages faster and more efficient.
Content

Department of Energy
Powering the Nation Source: ISGF Smart Grid Handbook for Regulators and Policy Makers, November 2017
 Smart Grid Technologies
Fault Location, Isolation and Service Restoration (FLISR)
➢ A system involving monitoring, communication systems, automated switching, SCADA
systems, GIS, OMS, analytics, and data processing tools designed to locate faults,
isolate the affected area/s, automate power restoration and reduce both the impact
and duration of power interruptions.

Content

Department of Energy Source: U.S. DOE – smartgrid.gov © MERALCO

Powering the Nation
 Smart Grid Technologies
Advanced Metering Infrastructure (AMI)
➢ AMI is an integrated system of smart meters and other related devices, communication
networks, and data management systems that enables two-way communication between
utilities and its customers.

Department of Energy
Powering the Nation Reference: ERC - AMI Rules
 Smart Grid Technologies
Advanced Distribution Management System (ADMS)

➢ ADMS is a software platform that

integrates numerous utility systems
and provides automated outage
restoration and optimization of
distribution grid performance.

Department of Energy
Powering the Nation Source: ISGF Smart Grid Handbook for Regulators and Policy Makers, November 2017
 Smart Grid Technologies

Net Metering A system, appropriate for a

distributed generation, in which a
distribution grid user has a two-way
connection to the grid

Department of Energy
Powering the Nation
 Presentation Outline

Drivers of Smart Grid

Current Smart Grid Deployment

Roadmap for Utilities

Key Takeaways

Department of Energy
Powering the Nation
 APDU’s Smart Metering

Department of Energy
Powering the Nation
 MERALCO’s Advanced Network Automation System

Department of Energy
Powering the Nation
 MERALCO’s Advanced Metering Infrastructure

Department of Energy
Powering the Nation
 MERALCO’s K-LOAD

Department of Energy
Powering the Nation
 Higatangan Micro-Grid Project Donated by ELT Korea

Department of Energy
Powering the Nation
 Malalison Island, Antique Hybrid Solar Mini-Grid

Department of Energy
Powering the Nation
 Solar-ESS Hybrid in New Ibajay, Palawan

Department of Energy
Powering the Nation
 Presentation Outline

Drivers of Smart Grid

Existing Technologies and Deployment

Roadmap for Utilities

Key Takeaways

Department of Energy
Powering the Nation
 SMART DISTRIBUTION UTILITY ROADMAP (SDUR) SMART GRID
VISION
BY 2040
Level 0 Level 1 Level 2 Level 3 Level 4
Physical Network • Remote voltage • Smart Distribution and
Transformation regulators, and capacitor Substation Automation
Automation
• SCADA-Ready Reclosers banks • Smart
Advanced Distribution
Substation
•• Manually-
Manually- • Sectionalizers • Implementation of Management System
Automation ❑ Self-healing Grid
operated • Load Break Switches Distribution Management • Advanced
(ADMS) Distribution ❑ Full RCOA, RPS,
operated
Distribution • Fault Circuit Indicators System (DMS) • Fault Location,
Management System GEOP and Net
Distribution
Network
Network • Distribution Transformer • Distribution and (ADMS) Isolation, and • Full Smart Distribution Metering
Networks System Monitoring Equipment Substation • Fault
Service
Location, and Substation
System Implementation
• SCADA System Automation Restoration
Isolation, and Automation
• Outage Management (FLISR)
Service ❑ Full Customer
• Remote Feeder
Lines System (OMS) • Restoration
Integrated Volt- Choice
• Remote • Mobile Var Optimization
(FLISR) ❑ Demand
Substation Workforce • Integrated
(IVVO) Volt- Response
• Implementation of Management Var Optimization ❑ Peak Load
Geographic Information System (MWMS) (IVVO) Management
System (GIS) ❑ Virtual Power
Plants
• Initial Implementation of ❑ Islanding
• Implementation of AMI ❑ Optimized ESS,
Customer • Conventional
Automated Meter • Smart Meters • Scaling-up AMI
• Full deployment of AMI EMS and DER
Metering • Data Management deployments
Service Reading (AMR)
System
Management
• Data Center and
System
Server ❑ Smart Homes
and Cities

• Integration of Energy Storage System (ESS) and Electric Vehicle (EV) Charging Station
• Distributed Energy Resources Integration and Energy Management Systems
Continuous/ • Consumer Education
Parallel • Updating of GIS
• Interoperability and Cybersecurity
Programs • Telecommunications infrastructure
Department of Energy
Powering the Nation
 Smart Grid Framework
Smart Grid Vision
➢ Smart Utility
➢ Smart Homes and Cities
➢ DDP
➢ Advanced Metering Infrastructure
➢ Roadmap for Distribution Utilities
➢ Electric Vehicles
➢ Smart Metering
➢ Demand Response
➢ Real Time Monitoring
➢ Peak Load Management

➢ Smart Power Generation

➢ Transmission Modernization
➢ PDP
➢ TDP
➢ Distributed Energy Resources
➢ Automation and Network
➢ Energy Storage Systems
Optimization
➢ Hybrid Systems
➢ System Enhancement
➢ Intermittent & Flexible
➢ Long-term interconnection-wide
Generation
expansion plans
➢ Clean Coal Technology

Department of Energy
Powering the Nation
 Smart Grid Vision

“
Transform the Philippine Power Sector into a secure,
stable, flexible, sustainable, digitally enabled and
interoperable system that provides reliable, efficient

”
and quality energy towards consumer empowerment

Department of Energy
Powering the Nation
 Presentation Outline

Drivers of Smart Grid

Existing Technologies and Deployment

Roadmap for Utilities

Key Takeaways

Department of Energy
Powering the Nation
 Key Takeaways

➢ Challenges in the Power Sector are evolving

➢ Venturing to Smart Grids is inevitable
➢ Policies and Regulations should evolve
➢ National Strategy for Smart Grid is a must!
➢ Establish National Framework and Roadmap

Department of Energy
Powering the Nation
 Thank You!
(+632) 479-2900
name@doe.gov.ph
(+632) 840-2173
www.doe.gov.ph
delola.redentor@gmail.com
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Department of Energy
Powering the Nation