PGE Smart Grid Report

Public Meeting – UM 1657 Date: September 23, 2014

Presenter: Bill Nicholson, SVP of Customer Service, Transmission & Distribution

© 2014 Portland General Electric. All rights reserved.


 PGE’s smart grid vision and strategy  Where we were  2013 Feedback  2013-14 Progress  Roadmap going forward  Questions


PGE’s smart grid vision Through PGE’s smart grid investments we continually strive to deliver the following benefits for our customers:

 Increased operating efficiency  More customer choices  Enhanced system reliability

 Improved system asset utilization  Reduced cost of integrating renewables  Informed use of electricity


Smart grid strategy

Enable smart grid capabilities in equipment replacement Be strategic with smart grid technologies pursued Use proven and interoperable technology, when feasible

Demonstrate technologies in early stages Track technologies through industry organizations


Feedback on PGE’s 2013 Smart Grid Report

 Continue demonstrating the value of PGE’s smart metering infrastructure  Pricing programs pilot  HVAC/smart thermostat pilot

 Integrate traditional demand-side management programs with smart grid initiatives  Explore grid optimization opportunities (e.g. CVR)  Provide a roadmap of our smart grid plans


PGE Continues to be a Smart Grid Leader Smart meters  One of the first utilities in the country to implement Advanced Metering Infrastructure (AMI)  More than 825,000 digital Smart Meters installed  Over 150,000 customers have accessed Energy TrackerSM Grid optimization  1st of its kind 5 MW lithium-ion battery and high reliability zone (Salem Smart Power Project)  Expanded SCADA to more than 70% of PGE substations  Installed automated feeder switches in areas with greater than average outage duration  Built systems that utilize Smart Meter data to identify overloaded transformers and confirm outages prior to dispatching crews Dispatchable Standby Generation  1st program of its kind in the country and the largest in the U.S.  93 MW online; 50MW potential opportunities Electric vehicles  Positioned Oregon as an early deployment market for electric vehicles and completed Oregon’s Electric Highway 6

Building a smarter grid: 2013-14 Progress


Delivering customer value from smart meters Energy TrackerSM  Over 150,000 users have used the Energy Tracker portal  Launched in late 2013, our alerts functionality delivers 5,000 up-to-date bill estimates and forecasted next bill alerts each month  Customers using the system have seen a 1.8% greater reduction in kWhs on average than non-users on a weather adjusted basis since 2011  Customers are connected to Energy Trust of Oregon incentive opportunities  Ongoing trainings offered to low income agencies since 2011

Ways to Save directs customer to Energy Trust of Oregon


Delivering customer value from smart meters Demand Response  2011-2013 Flex PriceSM pilot demonstrated overall savings to customers

 9MW enrolled in Energy PartnerSM Commercial Automated Demand Response program with EnerNOC  18.3MW enrolled in Schedule 77 Load Reduction Tariff


Customer engagement roadmap  2015 Pricing Pilot plans to test customer response to different incentives  2015 Residential DR Pilot intends to show what savings might be achieved in a connected thermostat demand response program


Grid optimization: Conservation voltage reduction  Launched in 2013, PGE has completed fieldwork on our Conservation Voltage Reduction (CVR) pilot  Initial results suggest: • CVR reduces customer demand and energy consumption when used as a peak shaving method or on a continuous basis • Some substations may achieve 1-2% energy savings for retail customers

 PGE is evaluating database and infrastructure requirements for a comprehensive program


Grid optimization: Synchrophasor pilot  Synchrophasor deployment is being evaluated to enhance real-time situational awareness and to measure the state of the electrical system  Initial field work and laboratory tests are underway for PGE’s first transmissionlevel substation installation  PGE is working with Bonneville Power Administration on synchophasor deployment  If successful, PGE will implement its 3year plan for deploying synchrophasors in strategic transmission substations 12

Grid optimization roadmap


Transportation electrification  Through PGE’s leadership electric vehicle (EV) drivers can travel from California to Washington on electric power  PGE continues to leverage our relationships with manufacturers to secure additional charging stations for our service territory  Usage data from these sites could help inform potential grid-integrated EV charging initiatives in the future 1 in 5 quick-charge charging stations are located in Oregon 14

Smart Salem Power Project  5MW grid-tied battery developed as part of Pacific Northwest Smart Grid Demonstration Project  Completed contractual obligations with USDOE in September 2014  Currently developing additional business cases for future testing  Continue operating the facility in gridtied mode for highest and best use case (e.g. frequency regulation) 15

Smart grid R&D Home battery pilot  Developing a prototype aqueous ion battery with Portland State University  Creating specifications for a utility-owned system that could be remotely controlled and monitored Thermal storage pilot  “Smart” water pilot with EPRI and AO Smith to demonstrate low cost load control to reduce the cost of renewables integration


Smart Grid Roadmap: Overview


Closing thoughts  PGE is committed to leveraging the power of smart grid technologies to deliver the innovative solutions they value.

 PGE will continuously improve the operation of our business by pursuing Smart Grid technologies where it makes sense.  PGE has made significant strides to take advantage of smart grid technologies, but there is more to be done.