Hiroshi Kuniyoshi

Executive Director New Energy and Industrial Technology Development Organization

Creating a Smarter Future Together

Kyoto, November 18, 2014

SupplyEnergy

Emissions CO2

Energy Security/Resiliency

What Can Be Achieved by Integrating RE and DE?

GDPGDP

SupplyEnergy

Integration of renewable energy

Non-fossil

Integration of distributed energy

Energy Efficiency

Low carbon society

Quality of Life/Welfare

Emissions CO2

2

3

Next-generation gas station

Zero energy buildings

Energy management system

GE GE

Solar power

Smart house

Storage battery

Biogas

Wind power

Mega solar

NaS battery

EVs and PHEVs

Utilization of biogas as a heat and power source

Construction of an energy system is mutually beneficial for main grid operators and regional energy

management providers

Home storage battery

Waste heat

Utilization of IT for peak shaving

Regional energy management provider

EV charging stations

GE GE

Information network

Smart meter to enable customers to

monitor home energy use and demand control

Connection of BEMS with regional EMS

Main Grid

Cogeneration

Wind power

Solar power

Smart Community Concept

4

Improvement

Grid Modernization

Supplier

Evolution

Smart Grid

Supplier (Producer) +

Consumer

Revolution

Smart Community

Power

Gas Heat

Mobility

?

Prosumer

Smart Community Inspires Creation of New Paradigm

5

…GIS …

… Green Investment Scheme …

Government

… Geographic Information

System…

IT engineer

… Gas Insulated Switch …

Utility

Collaborative Process Involving Various People

G・I・S…?

Residents

6

GWEC: Global Wind Report ANNUAL MARKET UPDATE 2014 EPIA: GLOBAL MARKET OUTLOOK FOR PHOTOVOLTAICS 2014-2018

IAEA: Energy, Electricity and Nuclear Power Estimates for the Period up to 2050 (2014)

0

1000

2000

3000

4000

5000

6000

PV WF TotalGeneration…

Estimated Generation Capacity in 2013

GW

0

50000

100000

150000

200000

250000

300000

350000

Estimated Installed Capacity

WF

PV

Global Renewable Energy Capacity

7

• High penetration issues related to renewable energy such as the “duck curve” problem in California

• Discussions about the value of “ancillary services” for system operators (ISO)

• Focus on microgrid as a resilient energy supply system

North America

• Low operational rate of thermal plants that back up renewable energy

• Increase of congestion in distribution and transmission of power

• Unification of requirements for grid integration (Grid Code)

Europe

Recent Issues

8

• Restarting operation of nuclear power plants after the Great East Japan Earthquake

• Introduction of feed-in-tariffs and subsequent confusion

• Electricity system reform

Japan

• Insufficient infrastructure

• Introduction of high-tech, high-efficiency systems in certain industries

• Promotion of renewable energy introduction following adoption in advanced countries

Developing Countries

Recent Issues

Present Situation in Japan

10

Transport sector

Residential and commercial sector

Industrial sector

Oil crisis Oil crisis

Source: Comprehensive Energy Statistics from Preliminary Report for 2012 and Annual Report on National Accounts

LCD-TV

PRIUS LEAF

EcoCute (Heat pump)

ENE-FARM

(Fuel cell)

LED

Li-ion battery

Energy and Product Trends in Japan

11

Smart Meters (2011-2024)

Smart Community

Electricity System Reform (2003-2020)

Demonstration Projects (2010-)

Earthquake (2011)

Establishment of JSCA (2010)

Power Shortages and Outages

(2011)

Feed-in-Tariff Scheme (2012-)

Recent Developments in Japan

12

Ａ

Ｂ Ｃ

Third Parties

Utility

Users

HGW

HEMS

Smart Meters

Private network

Public network

Smart Meters in Japan

Expand use of nationwide grid

Full retail competition

Unbundling T&D sector

13

Establishment of OCCTO*

Source: Adapted from Prime Minister of Japan and His Cabinet

2018-2020

2016

2015

*Organization for Cross-regional Coordination of Transmission Operators

Electricity System Reform in Japan

14

Kitakyushu City Local Community

Keihanna Science City Housing Subdivision

Toyota City Detached Housing with EVs

Yokohama City Metropolis

Smart Community Demonstration Projects

15 Source: New Energy Promotion Council (NEPC)

Thirteen demonstration projects in Iwate, Miyagi, and Fukushima

Earthquake center

Demonstration Projects for Resiliency

16

Lyon (France) Smart city applications for redeveloped urban areas

Malaga (Spain) Navigating EV drivers to charging stations efficiently considering power system status while solving traffic congestion

Java (Indonesia) Supplying reliable quality electricity to industrial parks

Maui (USA) Maximizing use of renewable energy by managing EV charging

New Mexico (USA) Energy management for power systems with large-scale PVs

Manchester (UK) Developing aggregation system with electricity and heat pumps installed in households

NEDO International Demonstration Projects

17

C route

B route A route

Peak shift/cut (control with HEMS)

Time

Price: Signal from Grid EMS

Energy consumed

・Meter reading ・DR Signal output TOU Change of contract capacity Load control

DR server (Grid EMS)

Smart Meter

Internet

Distribution Network Simulation System

(ANSWER)

wire Current Information

Charge/ Discharge Control

Current Control

International Standard Protocol

Air Conditioner

Heat Pump Water Heater

Battery+PCS

EV/PHV

Light

PV

HEMS

Output control

Fuel Cell

Smart control Peak Shift/cut

・Voltage control ・Current control

DR Signal →

← Evaluation

HEMS

Gather Inform-

ation

Decide Orient-ation

Order

Interactive information (Demand Response: DR)

Current Control

Elec

tric

ity

Pri

ce

Elec

tric

ity

Co

nsu

mp

tio

n

Charge/ Discharge Control

Source: Waseda University

Waseda EMS Shinjuku R&D Center

Way to Create a Smart Community

Smart Community

New Paradigm

Network Externality

Regulations New

Regulations New Business

New Community

New System

Designing Appropriate Regulations

Initial Investment & Strategic Standardization

•Smart Meters •EV Chargers •Etc.

Standardization of Interfaces

Black Boxes VS.

Cross-disciplinary/Cross-sectoral Approach

•Utilities •Manufacturers •Government •Citizens

•Policy •Technology •Regulation •Etc.

19

Way to Create a Smart Community

20

International Cooperation

Creating a Smarter Future Together

Enjoy IRED in Kyoto!

& Enjoy with your EYEs beautiful RED leaves in Kyoto!