Track Overview

I2G (Industrial-to-Grid) Summit

Track Leader:  Dave Hardin
Tuesday May 20, 2008

Industrial and electrical systems are interwoven throughout the power grid from generation through consumption. Generation facilities are often collocated with industrial plants and share equipment and support services from common suppliers. As major consumers of electrical energy, industrial facilities have a significant impact on grid operations. With rising energy costs, power is becoming a first-class asset that requires active management for profitable industrial operations. This system interdependency represents both challenges and opportunities as the electric system evolves and traditional interoperability boundaries are expanded.

Business case development: The economics of distributed energy and power management are starting to drive new business opportunities within the industrial segment. Facilities that maintain captive cogeneration will have opportunities to expand production with on-site renewable generation and increase participation in peak-demand management. Economic benefits will be further derived from integrating time-varying power costs into production management and shedding low-priority loads in response to grid events. Augmenting these economic drivers will be investment incentives outlined in the Energy Act of 2007.

Technical Interoperability: Electric systems and industrial systems have typically been viewed as separate domains that have different connectivity requirements and therefore different communication standards. This is changing. The Smart Grid will require that these systems cost-effectively interoperate, thus requiring the evolution of cross-domain interoperability standards. In addition, most vendors supply both electrical and industrial equipment so the benefits of standards harmonization can provide very tangible cost benefits.