| Far-reaching changes are taking place around the
world in the way that utilities control and manage their
electric systems. The onset of active market competition and
deregulated electricity markets have mandated development of
new market structures, such as independent system operators
(ISO).
Early last year the
state of California awarded an ISO system contract to the
System Control segment of ABB Information Systems, a division
of ABB Power T&D Company, Inc. The initial development
effort was for a power management system (PMS) similar to the
traditional energy management system (EMS) that utilities have
used for years. The big difference between a traditional EMS
and the California's ISO's system is that the PMS will manage
the transmission assets of all utilities in the state of
California—a new concept that will forever change the
operations of the utility industry.
ABB and its alliance
partners, Perot Systems and Ernst & Young, were then
awarded a subsequent contract to develop a Web-based
Scheduling System and a Balance of Business System to compete
the package.
The Scheduling
System has two main sub-systems:
- Scheduling
Infrastructure-to manage contract bidding and scheduling
activities.
- Scheduling
Applications-to handle ancillary services, congestion
management and pricing , balancing market and ex-posting
pricing, assessment of transmission capacity, and routing
activities.
The Balance of
Business System covers settlements, billings, credits and
system administration modules.
The California ISO
system development and integration project (actually two
separate, but related, project awards) is especially notable
for three reasons:
- Lack of
Precedence: The project had no prior model to follow. In
fact, this system architecture may well become the model for
several other states. Much will depend on the operational
effectiveness and "market acceptance" of the technology in
the first few weeks of live operation.
- Short Development
Schedule: Incredibly tight scheduling—numbered in months,
rather than years—was mandated to ensure availability of the
PMS and related scheduling infrastructure, scheduling
applications and balance of business systems.
- Complexity of
Linkage with External Systems: Adding to the complexity of
the PMS, external linkages had to be implemented with other
operating control systems in three large California
utilities using multiple standard and proprietary
communications protocols (fig. 1). A specially developed,
and secure, Web site provides market demand and supply
information, and enables collection of power contract
bidding and publishing capabilities.
While some
formidable obstacles have been in place, including
"glass-house" working conditions, significant technical
challenges and the complexities of working with multiple
organizations, the system was working in test environments
within the design criteria originally established.
Based on a personal
demonstration of the system, albeit in "lab conditions," my
impressions are:
- The first phase
of the ISO system will likely exceed the key design criteria
specified for Phase One deliverables. Keep in mind that this
project is a multi-phased development effort with phased
deliverables running well into the future.
- The power
exchange (PEX) system will work in a technical sense. We
have to remember that the California initiative is the
"Lewis and Clark expedition" of today's electric utility
industry, charting a course into unknown territories. It is
understandable to expect that changes have been requested
and will continue to be made during the system's initial
period of testing and operation.
In closing, remember that a wide range of people
and interests are involved in this project. After observing
the commitment of the state ISO organization and the multiple
companies involved in this project, I believe that once
implemented, the California PMS will perform better than some
industry observers have predicted.
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