PNNL

Abstract

Traditional distribution grids require sensing and communications for grid operations. In many cases the communications networks are owned by the Distribution Operator (DO); in some cases, carrier services such as leased telephone land lines or cellular services are used. In recent years, wireless mesh field area networks and optical fiber have become viable options for distribution. Fiber in particular has improved in cost to the point where its high performance (large bandwidth, low latency, and low packet loss) has become practical for distribution systems where geographic circumstances permit. , As grid modernization proceeds, utilities find a need to improve or upgrade distribution communications; this represents a significant investment and it is natural that both utilities and regulators would seek both to future-proof and minimize their costs. Given the development and rising penetration of smart grid edge devices such as Distributed Energy Resources (DER) that have local sensing and intelligence and can communicate via the internet or other non-utility communications channels to cloud-based services, the idea of using such devices for grid sensing and communications to support grid operations has emerged as a potential means to avoid utility investment. To a great extent, however, these DER and communication channels will be owned and operated not by the DO but by end-use customers, aggregators and other third parties pursuing their own energy needs and business models. The question of whether such devices and systems can effectively substitute for DO grid modernization investment can be assessed and resolved using grid architecture methods and by considering the appropriate roles and responsibilities of the entities and systems involved in distribution grid operations. This approach reveals that there are several compelling reasons to dismiss the idea of eliminating DO owned and operated sensing and communication entirely and relying on DER-based sensing and third party communications.