EATONTOWN, N.J.--(BUSINESS WIRE)--IPKeys announced today an Advanced Technology Resource (ATR) pilot demonstration of core functionality in its Energy Interop™ Server and System (“EISS™”) and end point hardware at PJM Interconnection. The pilot distributed, validated and confirmed Energy Interop (“EI”)/Open Automated Demand Response (OpenADR) 2.0 demand response and wholesale price signals in a highly secure web services environment to a variety of participants that included:
- Energy ICT – an energy management system provider
- American PowerNet – a PJM member and aggregator
- Redners Markets, Inc. – an American PowerNet customer
- PJM Interconnection, LLC
“On behalf of IPKeys and the pilot participants, we are delighted to announce the technological feasibility of implementing the EI and OpenADR 2.0 standards in the field with representative stakeholders” said IPKeys Managing Director & CFO, Robert Nawy.
“This new, highly secure technology enables energy consumers such as Walmart and Redner’s Markets to receive actionable open standard and machine interoperable market signals directly from ISO’s and begin the process of automating participation in wholesale markets”. Nawy added, “EISSTM also acts as a physical hedge by automating load reductions in response to price signal thresholds, this capability reduces risks associated with the wholesale market and empowers participants to focus on realizing value.”
“PJM continually explores new and evolving technologies to make it easier for our members, such as Walmart, to work with us” said Chantal Hendrzak, Director, Applied Solutions for PJM Interconnection, LLC. Ms. Hendrzak continued, “PJM, through the ISO/RTO Council, was a contributor to the Energy Interop and OpenADR 2.0 profiles. We are doing an advanced technology pilot with IPKeys to explore certain applications of OpenADR 2.0 for demand response participants, which is an area of interest to PJM that could fit well into our new Price Responsive Demand market construct.”
Spencer Rigler, VP Energy Management for Elster EnergyICT, noted, “EnergyICT is excited to bring its EIServer capabilities to this pilot, demonstrating the integration and messaging capability that can be done down to the store level remote terminal unit (RTU) to enable DR participation in the programs provided by PJM. In conjunction with these open standards, the functionality of EIServer allows the connection of the Smart Grid to the energy management system (EMS), for the benefit of customers and utilities.”
What is the Energy Interop™/OpenADR 2.0 standard?
The EI standard defines interactions between Smart Grids and their end nodes, including smart buildings, enterprises, industry, homes, and vehicles. The standards also provide data and communication protocols that enable the interoperable and standard exchange of signals for dynamic pricing, grid reliability, and emergencies. EI also extends to the communication of market participation data (such as bids), load predictability, and generation information. EI provides an interoperable information and communications protocol to perform all these tasks and provides the following potential advantages:
- Significant operational savings to commercial and industrial consumers and utilities by using open standard control protocols
- Dramatic capital expenditure savings by reducing need for continued development of “peaker” power plants, due to improved Demand Response “DR” signaling capabilities based on two way machine to machine communications
- Reduced frequency of potential grid disturbances and the enormous costs associated with power outages by allowing real-time load control
- Economic and environmental benefits of alternative energy and renewable sources such as solar and wind power by using load control to compensate for intermittent power generation methods and permitting renewable sources to trade energy in various markets
- Empowering and enabling consumers to act as smart purchasers of energy and make informed decisions about their energy usage and, potentially, reduce their energy costs.
FERC 745 and EI
In March 2011, in FERC Order Number 745, the Federal Energy Regulatory Commission (FERC) amended its regulations under the Federal Power Act to provide compensation to demand response resources at the locational marginal price (LMP). The Commission also listed several technology and market barriers to implementation of these new incentives that the EI standard and its OpenADR 2.0 profile uniquely solve, including:
- Real-time information sharing
- Enabling technologies that allow electric customers and aggregators to see and respond to changes in marginal costs of providing electric service as those costs change.
EI addresses both these barriers by providing an open standards-based method of conveying market information – including Locational Marginal Prices (LMP) and demand response signals. The EISS™ system enables a “physical hedge” that automatically reduces energy consumption during periods of high prices with the implementation of machine to machine interactions and specified programmable logic controls.
What is EISSTM?
EISSTM is an EI standards-based scalable, secure and automated 2-way information and communication system designed to deliver interoperable market signals to wholesale and retail consumers and their energy management systems and devices via web services. These services include 1) market based dynamic pricing, 2) demand response messages and 3) transactive energy trades.
What was tested?
The group of web services EI uses for price conveyance and demand response signaling are grouped into EI’s OpenADR 2.0 profile. IPKeys ATR pilot work at PJM focused on testing various services and functionality offered in this profile, as listed below:
|PJM-IPKeys ATR Pilot Use Cases||Notes|
|Convey LMP Prices||
Conveys PJM zonal prices to end point
devices in an open standards-based
|Distribute Demand Response (DR) Events||
This use case demonstrates two way
machine to machine conveyance of DR
signals and receipt of automated
confirmation messages from end point
|Price Conveyance and Confirmation||
Sends zonal LMP pricing to end point
hardware; the end point has logic to
shed load, based on pricing levels and
return confirmation of the load shed
|Verification of Load Shed by Meter Telemetry||
Receive one minute interval meter
telemetry via multiple methods,
including pulse counting, direct
measurement, and database to database
interaction during a DR event
IPKeys Technologies, LLC is a strategic partner in the energy, federal, DoD, and commercial sectors delivering expertise in Smart Grid communications technology. IPKeys provides the standards based energy interoperations software, network communications engineering and enterprise security solutions that enable utilities and their customers to achieve the promise of a more reliable, safer and more economically beneficial Smart Grid.