| | DEC 2018 - JAN 20199a recognized need for creating a distribution market with the distribution network as a platform for both technical connection as well as for real-time market transactions. To enable such a market that ensures reliable market operations requires a broad range of attributes from the smart grid. The commercial framework has to work in conjunction with system balancing with resources as varied as microgrids, battery storage, solar arrays, electric vehicles, etc., coupled with dynamic load balancing and configuration management of the distribution system2. Deployment of digital twins:In the last few years, the term digital twin is used to refer to a digital representation of a physical system. The primary purpose of a digital twin is to conduct real-time optimization by feeding large amounts of data. Digital twins go beyond traditional simulations and models with their ability to replicate the situational context the system, processes and life cycle of the physical system. By applying self learning techniques, artificial intelligence and machine learning, these digital power system models are adaptive and provide a virtual copy of what is happening in the physical world. Digital twin will require to use smart grid data among other data sources to provide one integrated view of the physical system--for asset and system planning, real-time grid operations to operating ancillary support services. With growing complexity in the system, the needs will no doubt keep expanding for more integrated simulation versus siloed analyses to provide insights on asset behavior, making tradeoffs between pushing the operating limits, and guiding capital and resource allocation. 3. Implementing Flexible operations As generation resources become intermittent and fragmented with decentralization, intraday load profiles become highly uncertain and volatile. As different fit for purpose resources switch on and off, resulting in a rise in the number of operating modes, operational flexibility will become a performance defining attribute. Being able to respond to changing system dynamics will not only require better forecasting techniques based on data, but also fast response controls and in certain cases predictive control of operations. Flexibility as an ancillary service has the potential of becoming a market by itself. As the industry embark on the next chapter of the smart grid, companies will have to ask themselves how much to bet and invest in their future positioning. For years, their focus, capabilities, and talent structure have been on specific technologies. The future will pose more transformative questions that will have lasting impact on business models, culture, and day-to-day execution. Traditional roles will change including the role of the CIO. There will be a need to acquire and retain data and analytical talent. And adoption and execution of new and emerging technology must be fast and part of on-going business. Smart Grid will be the platform or the foundation that will enable aggregation of real-time information on electricity consumption and usage with the supply sideJagoron Mukherjee
< Page 8 | Page 10 >