energy 4.0
Renewable Energy

Energy 4.0: Digitalization in the Energy Industry

Energy 4.0 encompasses next-gen technologies that will digitally transform the energy and utility industry. Oil, gas, and renewable energy companies are already adopting it. This shift parallels another transition known as Industry 4.0, which is the advent of intelligent manufacturing.

These significant changes will have a profound effect on the streamlining of industrial facilities, leading to more efficiency enjoyed by manufacturers, municipalities, and consumers alike. The emerging ecosystem of smart technology, power generation, power distribution, and more efficient consumption yields lower costs and less waste.


Mixing IoT with Energy Production

Energy and utility companies have been using digital technology since the 1970s, which has prepared them well for today’s cloud-based Energy 4.0 technologies that incorporate IoT devices.

Now, IoT technology is rapidly gaining adoption among oil and gas companies because it modernizes operations through expanded data analysis. Driven by IoT sensors, machine learning, and automation, smart devices monitor operational systems to deliver greater efficiency for energy companies, identifying vulnerabilities within the system.

Power plants can share actionable data from IoT sensors with suppliers to improve the entire supply chain. Big data can detect inefficiencies in real-time, leading to faster decision-making on power distribution.


Digital Twins

Energy 4.0 also incorporates exciting new developments by NASA in energy production called digital twin technology. This technology involves digital duplication of real-life objects or processes without installing new equipment. A digital twin gathers intelligence from IoT devices connected with its counterpart for performance monitoring. Machine learning systems then provide analysts with reports on technical issues, maintenance costs and available options.

Digital twin technology is steadily being embraced by large manufacturers as well to streamline operations. General Electric, for instance, uses over a million digital twins now to monitor jet engines around the world.


Smart Cities and Smart Energy

You will no doubt hear increasingly more about smart cities in the coming years. Local governments, utilities, and other businesses are already adopting smart technology for energy and other sectors to cut costs and waste.

IoT and big data ultimately help to promote energy conservation, as more efficient infrastructure results in better quality of life. Not only can customers monitor energy usage in real-time on a daily basis, they can also reduce energy bills by planning their energy consumption more carefully.

In Europe, over 75 cities are currently working together to use smart energy solutions for the development of smart cities. The plan is known as the European Innovation Partnership on Smart Cities and Communities (EIP-SCC). Smart parking to help commuters find appropriate parking slots with their digital devices is part of this plan.


Modernizing the Grid

Distributed Energy Resources (DERs) is a solution that gives energy customers more control over their energy usage. Its evolution is moving toward upgrading the traditional grid system through self-generated power that contributes to the grid.

Apple and Google are examples of two large companies that generate their own power. Both tech giants have been successful at cutting costs and going greener with DERs. Utilities can become much more flexible at power generation by utilizing them as well.


New Blockchain Solutions

Another new technology of the past decade making factories more digital is blockchain. This system, which can also be extremely useful for power companies, allows for highly secure data storage, transactions, accounting, and much more. By distributing pieces of data in encrypted blocks, cybercriminals have a much more difficult challenge for breaching systems.

Read More
renewable energy
Renewable Energy

The Expectations for Renewable Energy Growth

Electricity generated from renewable sources in the United States has more than doubled in the past decade. This means that the demand for renewable energy, which includes solar, wind, and biofuels, is growing quickly as awareness spreads about the need for cleaner solutions and greater efficiency.

Not only does renewable energy help reduce the strain on the traditional electric grid system, it can also be produced and delivered at lower costs. It saves money for both energy producers and end users. And this trend toward rapidly increasing use of more eco-friendly energy sources is expected to continue through the next few decades.


Analyzing Renewable Power Growth

The growth of renewables can be analyzed using four key elements: a customer experience map, insights and tools, actionable results, and strategic frameworks.

A customer experience map encompasses customer pain points and fears that need resolving. Using insights and tools will be key in energy analysis to make more accurate estimations and projections regarding energy needs. Actionable results associated with better performance give energy stakeholders more confidence and reasons to invest further in renewables. And strategic frameworks lead to infrastructure improvements to achieve more reliability and resilience in energy production.

Now that utilities are becoming increasingly invested in building more efficiency for the future of energy production, here are the steppingstones they are using to improve performance with the help of renewables:

  • Investment in new products and services
  • Research and development funding
  • Analysis of regulations that will benefit stakeholders
  • Geographical studies on which regions need the most transformation in meeting demands with renewables
  • Emphasis on cost optimization strategies within supply chains
  • Awareness of political and economic factors in shaping renewables
  • Understanding barriers to entry for new players

Monitoring the trends in renewable energy growth will offer a clear idea why utilities around the world are moving in this direction. Meanwhile, scientists are constantly discovering new ways to harness energy from nature, including the ocean and the ground.


Research on Renewable Growth

  • While hydropower is still the most prevalent form of renewables on a global level, solar and wind are gaining quickly. Geothermal energy from below the earth's surface is also steadily gaining in electricity production. Utilities need backup energy to supply baseload requirements when traditional sources have momentary shortfalls; geothermal has become useful to utilities as a viable alternative.
  • Utilities are becoming more flexible when it comes to drawing electricity from renewable sources as part of an energy mix. Current conditions are sufficient to allow 80% of U.S. electricity to be generated by renewables by 2050. This new system will be far more efficient at meeting electricity demands on an hourly basis throughout the nation.
  • As modern utilities become more flexible at energy generation, they will have the ability to meet energy demands more effectively. Utilities will have more options for supplementing the primary energy sources with secondary sources. This direction also emphasizes more flexibility in grid storage so that backup power is instantly available to account for voltage drops in transmission.
  • The more diverse a utility is, the more efficient it will be in meeting customer demands during peak periods. This factor will help utilities drive toward more sustainable and environmentally-friendly operations. It will help reduce greenhouse gas emissions and wasted resources.


Conclusion

The future of renewable energy is set to experience continued growth, as the need for diverse and cleaner energy sources grows. Innovation in the development of these much-needed renewable sources will also be more prominent. The conversion of coal plants to wind and solar facilities will continue as fossil fuels now fall behind renewables in efficiency in certain places. Look for renewables to be part of big energy company mergers throughout the coming years.

Read More
grid energy storage
Renewable Energy

How Grid Energy Storage Integrates with the Smart Grid

A major component to understanding emerging smart grids is how grid energy storage works for power companies. The electricity business is currently experiencing a fast-moving shift toward more efficient energy systems integrated with decentralized renewable energy sources. The falling costs of solar panels, along with climate change concerns, have helped fuel interest in this modern form of electricity distribution and energy storage.

Just as the EIA predicted in January 2019, non-hydro renewable energy sources, such as solar and wind, have become the fastest growing segment for electricity production. Now, interest is building quickly for developing reliable storage systems that allow solar and wind to work around the clock even when there's no sunlight or wind.


The Essence of Grid Energy Storage

The use of large-scale energy storage within a power grid, more commonly called "grid energy storage", is helping smart technology and renewable energy become increasingly attractive to utilities. Surplus energy can be stored when the grid draws from sufficient power generation sources and electricity costs are low. When electricity demand and costs rise, the utility can tap into its pool of stored renewable energy to create more balance in the system.

Overall grid system performance is greatly improved with the deployment of multiple storage systems across an electricity network. It allows for better voltage control, as well as many other benefits for utilities, and their customers.

In the past, power companies have had to rely on meeting electricity demands while dealing with intermittent voltage drops. But now, with the help of smart sensors, power generation can be streamlined in real-time to meet public demand more effectively.


How Energy Storage Improves Smart Grids

As utilities shift to smart grids, a growing focus will be placed on renewable energy to help cut costs and meet public demand. Energy storage is needed at various locations within transmission and distribution systems. Since power generation involves fluctuations in energy output, energy storage plays a vital role in reducing strain on the traditional grid during peak periods of electricity demand.

Managing energy fluctuation with renewable energy storage brings many benefits to utilities, such as the following:

  • Enhanced Grid Voltage Stability - Energy storage helps maintain consistent voltages in power generation with reactive power and real power for up to a few seconds. Over time, this additional energy injection helps maintain balance, lower costs, and reduce waste.
  • More Reliable Grid Power - The concept of uninterrupted power supply is a major key to more reliable electricity production.
  • Enhanced Power Quality - Instead of intermittent electricity, utilities can use renewable energy storage to account for voltage fluctuations. Drawing from stored energy reduces technical problems such as harmonic distortions and momentary outages.
  • Integration with Renewable Energy - The proliferation of stored energy opens the door for a wider use of renewable energy. It will help make solar and wind more attractive to utilities and achieve a greater balance between power generation and consumer demand.
  • Better Grid Energy Management - Energy storage supplies active and reactive support for peak shaving and load leveling. Ultimately, it leads to lower costs of power generation for the utility.
  • Greater Grid Frequency Control - Electric grid frequency responses can be better maintained when energy storage is added to a grid system. Inconsistent frequencies in power generation can damage equipment and create energy losses.
  • Enhanced Grid Angular Stability - Using energy storage for backup power allows for a more cohesive and stable flow of energy.
  • Customer Energy Management - Stored energy can be used to accommodate unexpected customer demands during off-peak periods.


Conclusion

Power generation is going through a rapid evolution to encompass grid energy storage that provides immediate solutions to common problems that utilities face. Not only will storing renewable energy provide solutions for cutting energy costs, but it will also be less taxing on the environment. Essentially, electricity will become more reliable and consistent for utilities and consumers alike.

Read More
smart grid technology
Renewable Energy

How Smart Grid Technology Will Revolutionize the Electric Power Industry

A growing number of power companies across America and beyond have become the vanguard of smart grid technology. This modern shift is a win-win-win for utilities, consumers, and the environment alike. It's a model that points to more efficient power generation, and less waste.

Electricity is at the core of the global economy, as it has powered most major technology and businesses of the past century. Adding in AI and IoT devices transforms traditional systems into smart systems. These additions reduce power leaks and grid congestion, which helps utilities generate a better profit margin, while boosting customer satisfaction. This also helps consumers monitor their own energy use. And as both utilities and consumers conserve energy, this helps the environment by reducing the amount of greenhouse gases that enter the atmosphere.

The Energy Information Administration expects energy demand to rise 30 percent by 2030. Without upgrades, the conventional grid system will become increasingly strained, and unreliable. It's crucial for utilities to be prepared for this increase. By creating a more resilient system, smart grids can help ensure that customers receive much more reliable power.


Smart Grids Explained

Interconnected digital communication across power generation networks is the foundation of smart grids. IoT sensors communicate with a centralized database to alert utility officials on data concerning the distribution of electricity. These sensors along with other intelligent device and automated controls, monitor the status and condition of the network to identify any issues and abnormalities.

Additionally, one of the most powerful aspects of smart grids is they have self-healing properties based on AI and automation. The system is programmed to monitor itself to detect peak usage, power leaks, and other problems that used to take a much longer time frame for utilities to identify. Smart technology operates in real-time, allowing companies to not just simply detect problems but to correct them immediately.


Capabilities of a Smart Grid

The smart revolution has been growing at a rapid pace over the past decade, alongside the cloud, machine learning, and smart sensors. The ability to collect as much actionable data as possible is the driving force behind this game-changing development, and smart grids are one thing that puts this technology to work in a major way.

Here are some of the proven benefits of smart grid technology:

  • Designed for greater economic and energy efficiency
  • Repairs itself automatically using AI analysis
  • Makes it easy for consumers to monitor their energy use
  • Provides high-quality power without losses
  • Successful model for utility growth

On the consumer side, one of the most important contributions of smart grids is that it empowers them to manage their energy bills better. By letting consumers actively monitor how much energy they're using, it can potentially eliminate any surprises and cost hikes in their utility bills.


Smart Grid Features

In terms of features, here’s what smart grids can do:

  • Load Handling - Power generation involves fluctuations, which smart technology can monitor, and then alert consumers to make usage adjustments during heavy loads.
  • Electricity Demand Alerts - Smart grids are able to communicate directly with consumers through automations that help them make decisions on energy use and electronic devices that use less power.
  • Decentralized Power - Unlike the conventional grid, which distributes power from central locations, a smart grid system allows for decentralized power. That means homeowners can add solar panels to their homes, which not only lower energy bills, but reduces the strain of demand on the main grid.


The Next Phase of Development

The evolution of smart grid technology is moving forward at a steady pace. Within the next few decades, it could become an omnipresent force. The smart revolution is more than a trend or experiment; It's where power generation is headed around the world because the efficiencies and reliability that smart grids offer makes sense to utilities, and their customers. Utilities that get onboard with smart grids in the next few years will be well prepared to meet the increasing energy demands of the future.


Read More
microgrids
Renewable Energy

Maximizing the Potential of Microgrids

Energy generation is rapidly evolving to become more localized. At the core of this power shift is local governments looking to become more cost-efficient. The rise of microgrids, a form of decentralized power, can serve as a solution for cities and communities seeking more reliable and cost-effective energy solutions. As this emerging concept of more flexible, independent power spreads, the more energy security residents and businesses will have.


Definition of a Microgrid

A microgrid is simply a smaller version of the traditional grid. It's a subsystem that serves a select property or community with electricity. It can either be connected to the main grid or operate completely autonomous from it.

In the event of a power outage, a microgrid can kick in to provide temporary power to its community. The switch to alternative power can be controlled automatically or done manually.

The three components that define a microgrid are: a subsystem that produces local energy, a storage system, and a smart energy management system. The ability to transmit both power and information surrounding it is one reason why a microgrid is so attractive to cities looking to cut costs. Analyzing data on production processes and gaining actionable insights from it is one of the most effective ways to streamline an operation.


Microgrid Power

The main grid provides power to buildings and homes on a continuous and expected basis, although sometimes there is downtime due to power failure and maintenance. In these cases, a microgrid can operate in "island mode" and provide electricity until primary grid power is restored.

A microgrid can power either a single building or an entire business district. The U.S. Department of Energy is currently exploring new ways to expand upon this technology. Many cities are already integrating this technology into local infrastructure.


How a Microgrid Improves a Community

While major urban centers can use microgrids for backup power, various types of other communities can benefit enormously from this emerging power distribution concept as well. Rural and wilderness areas are prime examples of places where a microgrid will be helpful, since as much as 15% of electricity transmitted over long power lines goes to waste. Schools and local co-op organizations should also look into this solution for ensuring energy is delivered and used as efficiently as possible.

Seattle is one of several major cities that has moved toward adopting microgrid solutions. One of the city's developments in this transformation includes a $3.3 million solar project to renovate its Miller Community Center. The 200-kilowatt microgrid utilizes an 800-kilowatt-hour battery. This amount of electricity can power the average home for about a month.

Industrial microgrids can ensure reliable electric power generation for factories. It's important for large factories to avoid disruptions to production schedules, which can trigger a domino effect of consequences to partners in the supply chain.

The military can also benefit from the use of microgrids. Transporting fuel in warzones is one of the most dangerous jobs in the world. Eliminating this job by being able to efficiently generate and store energy independently is one of the main reasons military bases are looking at renewable energy microgrids.

Additionally, microgrids can help save lives during emergencies caused by natural disasters. Hospitals, for instance, could still operate even if the grid gets damaged and goes offline.

Virtually any operation that involves big machinery and large energy consumption can become more efficient and reliable by using alternative power sources integrated with energy storage and IoT monitoring devices. In some cases, it's possible to always use a microgrid system in "island mode" as the main source of power.

The future of electric power will include the expansion of microgrids, which will make electricity more reliable. No longer will people depend on one source of energy with the advent of overlapping microgrids throughout the traditional system. Communities will more likely have continuous access to energy in the future, thanks to the integration of smaller power generation systems. And urban planning will improve significantly, as more forms of alternative energy sources emerge.


Read More
distributed energy resources
Renewable Energy

Building a Modern, Sustainable Energy System with Distributed Energy Resources

The demand for power among consumers and businesses will only grow over the next decade. And the traditional grid system will be challenged to meet these needs. Additionally, any form of disruption can cause volatile swings in energy prices.

But with the help of on-site renewable energy sources paired with advancing off-grid technologies, distributed power systems can help take the strain off the conventional grid.

Due to a need for enhanced resiliency and lower energy costs, utilities are increasingly seeking to implement distributed energy resources (DERs).


Distributed Energy Resources Defined

Various types of distributed energy resources include energy generators and energy storage solutions. DER systems commonly generate less than 10 megawatts (MW) of power, and depending on your specific needs, can be compact enough to fit in small areas at your facility.

These systems can also either be grid-tied or operate independently off the grid, running on renewable energy systems, such as solar, wind, and hydrogen fuel production, as well as energy storage. Other DER systems include fuel cells, cogeneration, reciprocating engines, and combustion turbines.


DER Systems Applications

Power plants can use DER systems in multiple ways to enhance their service. Not only can these systems reduce energy strain and costs, they can also make electric power generation more reliable. With the ability to island, a facility no longer has to depend on the grid to remain connected.

Microgrids, localized grids that can operate independently from the conventional grid, will also play an important role in the proliferation of DER systems. By having the ability to function while the main grid is down, microgrids can help strengthen grid resilience and help mitigate any disturbances. They can also serve as a grid resource for faster system response and recovery.

The Stone Edge Farm Microgrid is one example of a self-sustaining island. It can store energy generated from clean resources indefinitely, access it instantly, and even export it to the grid. The microgrid also creates fuel for zero emission vehicles.


How DER Helps the Traditional Grid

Designed to produce and distribute electricity in flexible ways, DER systems help improve the grid and quality of life for its users. Some of the key reasons state and local governments are investing more in DERs include:

  • Reliability and Resilience - Using an off-grid DER system gives companies backup power when the grid experiences an outage. This solution can help homeowners and businesses deal with natural disasters.
  • Greater Efficiency for Energy and Costs - By staying closer to the source of energy generation, you can reduce energy use and cut costs. Companies and individuals that also invest in solar PV panels will be able to feed any excess energy they generate back into the grid, and in some cases, sell them back to utility companies that will pay for it.
  • Eco-Friendly Solution - Not only do DERs reduce the amount of electricity generation at a power plant, but the sources can also be emissions-free, such as solar and wind. Most power plants are still driven by fossil fuels, so the more society utilizes renewable resources, the less damage will be done to the environment.
  • Better Security Through Decentralization - National security depends on reliable electricity. However, as the conventional grid is extremely vulnerable to natural disasters, hacking, and general outages due to aging equipment, companies are at risk of losing power during times when they need it the most. Communities will be more protected the more they utilize decentralized backup energy plans.

As the conventional grid continues to age, outages due to old equipment, natural elements, or human disruption will become more common. Energy independence has become an increasingly important issue, and the use of distributed energy resources are a practical solution. Buildings and industrial complexes that can provide their own energy needs are significantly less vulnerable to disruptions on the primary grid. Ultimately, in a time of crisis, the ability to maintain business and other service operations is what brings resilience to communities when they need it most.


Read More