Cover Story
Written by Jill Rose   

By bringing together government, academia, and the private sector, Illinois aims to lead the nation in building an improved electrical grid.

Image
By bringing together government, academia, and the private sector, Illinois aims to lead the nation in building an improved electrical grid.

Considering how long we’ve had our current electrical grid, it’s no surprise that updating it is a slow process. Add to that the variety of players holding pieces of the smart grid puzzle, and it’s a wonder things have progressed as far as they have.

The exact technologies and companies that will form the new electrical infrastructure remain unclear, but one thing is certain: we’re not going to get there without collaboration among private enterprise, universities, and government.

That joint effort is what the Illinois Smart Grid Collaboration is about. Bringing together the State of Illinois, the City of Chicago, and the Village of Oak Park; the University of Illinois at Urbana-Champaign and the Illinois Institute of Technology (IIT); and more than 50 companies (including utilities), the ISGC aims to put Illinois squarely in the center of the next phase of the nation’s electrical grid.

As a public/private partnership entity, the Illinois Science and Technology Coalition played a major role in creating the coalition. “It’s always difficult for private entities to interface with universities and for universities to interface with state government. Our organization was created to help iron out that process in Illinois,” said Matthew Summy, president and CEO.

In this case, Summy said his organization knew a number of entities around the state were working on pieces of the smart grid, including IIT with its Perfect Power microgrid, the University of Illinois with security validation, and a number of private companies and communities looking to do smart metering.

“There were some relationships between individuals, but at the institutional level, they weren’t connecting with each other,” said Summy. “I worked with our Department of Commerce and governor’s office. The idea was to put some resources on the table so we could bring together all of these parties together and have a single, statewide, collaborative proposal.”

That proposal sought $60 million from the US Department of Energy for a regional smart grid demonstration project, funds that would be matched by state government and private entity monies. The proposal did not receive funding in the latest round of stimulus money awards, but all of the players involved say the project will go forward, albeit more slowly.

Dream big
The roots of today’s smart grid projects in Illinois go back to 2005, when former Motorola CEO Robert Galvin and Kurt Yeager formed the Galvin Electricity Initiative with the lofty goal of transforming the power system. Yeager, executive director, says the nonprofit aims to create new business opportunities for entrepreneurial companies to transform power the same way telecommunications has been transformed.

Image
Prior to joining the initiative, Yeager had been head of the Electric Power Research Institute, and he asked his former colleagues to create the architecture for a more reliable system. By the end of 2006, the Perfect Power microgrid was ready to be implemented. “Perfect Power will never fail to provide each consumer, whether it’s a large business or a homeowner, exactly the quantity and quality of electricity they need. They can depend on lights, computers, and assembly lines never going down,” said Yeager.

Mohammad Shahidehpour, head of IIT’s electrical and computer engineering department, had met Galvin at a meeting shortly after the Northeast Blackout of 2003. Shahidehpour mentioned the difficulties IIT was having with its electrical system, and eventually, IIT was chosen as the first pilot site for Perfect Power.

“Our system was old and had grown to the point where the original design was not functional any more,” said Shahidehpour. “The price of maintaining the system and our electricity bill had been increasing, primarily because the system was outdated. It’s a microcosm of the national problem—IIT is essentially a small city made up of dorms, cafeterias, and faculty offices.”

IIT applied for a DoE grant in 2006 and received $7 million; an additional $5 million was provided by the university and several private entities. There were three components to the project: reliability (problems are contained in a small area rather than affecting other parts of the system), self-sustained generation (use IIT’s existing power plant plus renewable energy installations), and load reduction.

Shahidehpour said the increase in reliability comes from smart switches that open or close automatically in the event of a fault or disturbance, containing the problem. “We may lose one building, but it won’t be like before, where we lost all 50 buildings at once,” he said.

Live like the Jetsons
The load reduction is perhaps the most significant part of the project, according to Shahidehpour. It involves a new type of controller installed in a number of campus buildings that’s designed to communicate with wireless sensors. The controllers receive real-time electricity pricing from the utility and turn various appliances and heating/cooling units on and off, completing “jobs” that require electricity at the least cost. IIT’s goal is to reduce the university’s peak load consumption by 50%. In the home, where these controllers and sensors are eventually headed, residents will be able to specify the end-time for certain jobs, and the controller will do the rest. “The dishwasher and washing machine have jobs to be completed, but they don’t have to be done simultaneously, and they don’t have to be done right now,” said Shahidehpour. “You might program the dishwasher to be done by 5:00 am and the washing machine to be done by 7:00 am.”

If the necessary funding can be raised, residents of Oak Park, Ill. are likely to be some of the first in the country to experience the smart controllers and the Perfect Power microgrid. It’s a win/win/win for residents, utilities, and the environment, said Shahidehpour.

“The residents program what they want to use and when, and these gadgets receive the real-time price of electricity and turn the appliances on and off,” he said. “It’s in the residents’ interest because they use less electricity so they pay less, and it’s in our national interest because we don’t need to build as many coal units.”

Shahidehpour said utilities stand to benefit through better control over peak loads and faults. Rather than customers reporting problems and utilities sending out repair crews, most issues will be solved remotely. “With the smart grid, the utility will be able to pinpoint every problem in seconds—without the need to send someone to locate the problem—and fix it,” he said.

Serious savings
Indeed, Galvin Electricity Initiative’s Yeager believes utilities and towns across the US would do well to become involved with these types of projects. On the utility side, it’s a matter of not standing the way of progress, he said. “Oak Park and other communities want the opportunity to improve their infrastructure and don’t want to be held back by the utility. They’ve said to me, “We want to be treated as a partner, not a prisoner.’”

ImageFor towns, there’s potential for significant cost savings. Yeager said IIT saved $3 for every $1 invested in the Perfect Power microgrid installation.

“In a community, the benefits would be even larger,” he said. “It’s not just about the marginal savings in the electricity bill, which are important. It’s about job creation, eliminating productivity losses, being in a better position to compete in a global economy, and being able to incorporate renewable energy in a way that’s not      possible today.”

One community already seeing the benefits of an advanced power grid is Naperville, Ill., according to John Kelly, deputy director at Galvin Electricity Initiative, who played a major role in the design of the new grid at IIT. 

Kelly said Naperville’s municipal electrical department has been quietly working on a low-voltage smart grid for the past 15 years, implementing a similar design to the one at IIT. All of the substations have redundant feeds, and smart switches can isolate problems.

“If a squirrel bites in, it only affects a few homes. They don’t have to send as many crews out; they can pinpoint it and fix it locally. They have incredible control that lets them zero in on every part of the system—if something fails, they can see it,” he said.

Perhaps more importantly than the technology advances is the fact that the city achieved the changeover on a relatively small budget. “It shows that a focus on a different type of design can tremendously improve reliability,” Kelly said. “Some utilities say that reliability is storm related and can’t be improved. Naperville has shown that’s not true.”

Opening up
The main problem with projects like these is funding, say both Yeager and Kelly. “Today, new capacity always wins over efficiency because it has better financing,” said Kelly.

That’s why working prototypes like the one at IIT are so critical. “It attracted federal funding to accelerate it because it was viewed as a model for how you would begin to transform the power system of the country,” said Yeager, adding that IIT can take 10 MW off the grid whenever necessary to help the system.

Yeager believes success stories like IIT’s will help pave the way for an improved nationwide grid. “As the cost of electricity rises and the cost of building traditional infrastructure like peaking generators becomes politically unsatisfactory, I think you’ll find more utilities and regulators saying that we need to open things up and begin to look at consumers not just as energy users, but as providers,” he said.

For ISGC’s Summy, the most important lesson learned from the IIT project concerns collaboration. “When you bring together the public, private, and academic sectors, you’ve put your best and brightest forward, which aligns you to create jobs—you’re taking things out of the lab and putting them in the field. At the same time, you’re generating benefits for consumers.”

 
< Previous Story   Next Story >