Frequency Response for Technology Neutral OR Rules Technical Workshop June 6, 2016 Presented by: Will Chow and Kevin Wiens
Agenda 1. What are the AESO’s core functions? 2. Reasons for proposed changes 3. Purpose of Frequency Response workshops 4. Why are operating reserves required? 5. Proposed performance standard changes 6. Next steps 1
Background Info Power Industry Structure in Alberta Minister of Energy Appoints AESO Board Members, MSA & AUC Chair Electric Utilities Act Independent Market Surveillance Balancing Alberta Utilities System Operator Pool Commission (AUC) Administrator (MSA) (AESO) Transmission Distribution Generators Retailers Facility Owners Facility Owners 2
Background Info The AESO’s Core Functions Transmission System System Development Operations Provide continued reliability and Direct the reliable facilitate the 24/7 operation of competitive market Alberta’s power grid and investment in new supply Transmission Market Services System Access Develop and operate Provide access for Alberta’s real-time both electricity wholesale energy generators and large market to facilitate industrial customers fair, efficient and open competition 3
Reasons for Proposed Changes • With the announced climate change policy by the Alberta government, the AESO anticipates a much higher volume of renewable energy resources to be connected to the Alberta electric system. • As indicated in Energy Storage Integration Recommendation Paper dated June 18, 2015, the AESO recommended that: The AESO will revise, where appropriate, ISO Rule 205.4 Regulating Reserve Technical Requirements and Performance Standards , ISO Rule 205.5 Spinning Reserve Technical Requirements and Performance Standards and ISO Rule 205.6 Supplemental Reserve Technical Requirements and Performance Standards and other rules as may be incidentally impacted to reflect how energy storage technology will participate in operating reserve products (RR, SR) and Supplemental Reserve (SP). • Upon further consideration, the AESO has determined that the revisions to the ISO rules described above should allow all technologies to participate in the operating reserves market provided that the required performance standards are met. 4
Purpose of Frequency Response Workshops • Explain the reasons for frequency response • Illustrate desired frequency response performance and some observed performance problems • Explain the proposed changes to OR performance standards • Seek input from Market Participants to ensure that the proposed changes are reasonable and generally achievable – Today is about presenting the proposed concepts and why we are proposing them – A second workshop will be held after the Market Participants have had an opportunity to review the proposed performance standard to discuss the capabilities of the various resources 5
Operating Reserves - Definitions • Operating Reserves – means the real power capability above system demand required to provide for regulation, forced outages and unplanned outages . – Regulating Reserves means the component of operating reserve : (i) responsive to automatic generation control ; and (ii) frequency responsive ; that is sufficient to provide normal regulating margin. 6
Operating Reserves - Definitions • Contingency Reserves – means the component of operating reserve used to recover the area control error in accordance with reliability standards . – Supplemental Reserves means contingency reserve that is (i) generation capable of being connected to the interconnected electric system and loaded within ten (10) minutes; or (ii) load connected to the interconnected electric system which can be reduced within ten (10) minutes. – Spinning Reserves means contingency reserve that is immediately and automatically responsive to frequency deviations through the action of a governor or other control system. 7
WECC Region … shown in green below The requirements and obligations described here are contained in Alberta versions of NERC/WECC reliability standards 8
Applicable Reliability Standards (ARS) • In Alberta currently we have adopted the following ARS’s • BAL-001 Real Power Balancing Control Performance • BAL-002 Disturbance Control Performance • BAL-002-WECC Contingency Reserves • BAL-003 Frequency Response and Bias • BAL-004 Time Error Correction • BAL-004-WECC Automatic Time Error Correction • BAL-005 Automatic Generation Control • BAL-006 Inadvertent Interchange – For the most part these ARS’s apply only to the AESO. – As the AESO does not own any generating or load resources these requirements fulfilled through the third party resources by market mechanisms. 9
How operating reserves help mitigate problems – For loss of supply events experienced outside Alberta • Initially all of WECC responds, including Alberta –Automated response of spinning & regulating reserves (Primary Frequency Control) • Within 15 minutes, the balance has been restored by the area that has had the issue (Secondary Frequency Control) – With the WECC region being synchronously interconnected, we all assist each other without placing undue burden on our neighbors 10
How operating reserves help mitigate problems (cont’) • For a loss of supply events experienced within Alberta – Initially all of WECC responds, including Alberta • Automated response of spinning & regulating reserves (Primary Frequency Control) – Within 15 minutes, the balance has been restored • Remaining spinning reserves plus supplemental directed to respond (Secondary Frequency Control) – Within 60 minutes, the reserves have been restored • Re-dispatch of the energy market (Tertiary Frequency Control) • Again, we all assist each other without placing undue burden on our neighbors • Of course for a loss of the tie lines we are on our own 11
NERC Terminology • Primary Frequency Response – Actions from uncontrolled (natural) sources in response to changes in frequency: rotational inertia (H) response from resources and load response from frequency dependent loads (e.g. motors). In addition, it can come from Primary Frequency Control (as described below). • Primary Frequency Control – A subset of Primary Frequency Response actions provided by prime mover governors in an interconnection to arrest and stabilize frequency in response to frequency deviations. Primary Frequency Control comes from local control systems. • Secondary Frequency Control – Actions provided by an individual Balancing Authority to correct the resource- to-load imbalance that created the original frequency deviation that will restore both Scheduled Frequency and Primary Frequency Response. Secondary Frequency Control comes from either manual or automated dispatch from a centralized control system such as Automatic Generation Control (AGC). 12
NERC Terminology • Tertiary Frequency Control – Actions provided by Balancing Authorities on a balanced basis that are coordinated so there is a net-zero effect on area control error (ACE). Examples of Tertiary Control include dispatching generation to serve native load, economic dispatch, dispatching generation to affect interchange, and re-dispatching generation. Tertiary Control actions are intended to replace Secondary Control Response by reconfiguring reserves. 13
Frequency Bias • NERC Definition – A value, usually expressed in megawatts per 0.1 Hertz (MW/0.1 Hz), associated with a Balancing Authority Area that approximates the Balancing Authority Area’s response to Interconnection frequency error. • Required to be calculated and reported annually. – NERC supplies events to be analyzed • Typically only interconnected events • The upcoming BAL-003 standard will place an obligation on participants to meet a minimum requirement. 14
Frequency Bias 15
Frequency Event with Ideal Resource Response 16
Frequency Event, Ideal Frequency Response Vs. Actual 17
Good response from an actual unit 18
Withdrawal of response from actual units 19
Countering response from actual units SCADA latency or slow response SCADA Latency or slow response? 20
No Response & Outer Control Loops 21
Slow response 22
Current OR Rules • Current Rules include: – Section 205.4 Regulating Reserve Technical Requirements and Performance Standards • http://www.aeso.ca/downloads/Division_205_-_Section_205- 4_Regulating_Reserve_Tech_Req_and_Performance_Standards_(Dec_23_201 4).pdf – Section 205.5 Spinning Reserve Technical Requirements and Performance Standards • http://www.aeso.ca/downloads/Division_205_-_Section_205- 5_Spinning_Reserve_Technical_Requirements_and_Performance_Standards_( March_27_2015).pdf – Section 205.6 Supplemental Reserve Technical Requirements and Performance Standards • http://www.aeso.ca/downloads/Division_205_-_Section_205- 6_Supplemental_Reserve_Tech_Req_and_Performance_Standards_(Dec_23_ 2014).pdf 23
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