POLICY ENABLING DISTRIBUTED INTELLIGENCE AND INTEROPERABILITY By Donald Pollock, Ambient Corporation Briefly put: A cost-effective future for the grid depends on the ability of devices to interoperate. This article explores the value of a smart grid infrastructure based on an architecture that decentralizes and distributes processing power and intelligence as a catalyst to enhance grid operations and create a truly smart grid. • Delivering network visibility and control. • Providing for new applications and technology through a flexible foundation. • Incorporating and extending the value of legacy assets. Smart grid development and deployment activities are accelerating globally. Avoiding fragmented, isolated and unconnected systems is paramount to achieve the cost and operational benefits expected of new technologies and applications. The future of the electric grid will depend on the ability of new smart devices from many different manufacturers to work together in order to enhance grid operations. The catalyst to create a truly smart grid is an architecture that allows, where appropriate, the decentralisation and distribution of processing power and intelligence throughout the distribution grid, while supporting integrated systems interoperability, which is critical for smart grid deployments with an ever-expanding scope. Learning from best practice suggests a better approach to grid modernisation Early smart grid adopters have identified challenges and gained significant insights into best practices that can benefit utilities looking to deploy new devices and systems today: • Achieving alignment of business, regulatory, and functional requirements, across various departments and operating units, is a major challenge. • As internal design and operating policies are developed for new technologies to be installed on the grid, company-wide alignment and consensus will hasten the achievement of grid modernisation goals. • In order to fully leverage new investments, a comprehensive and forward-looking technology strategy must be developed. • Striving for flexibility and interoperability between existing and future systems and assets through adoption of standards-based technologies will act as a catalyst to speed progress. METERING INTERNATIONAL ISSUE - 3 | 2014 Seemingly, the prevailing norm for grid modernisation is the deployment of disparate systems independent of one another, using an array of communications technologies and, in most cases, managed independently of one another. The data generated within these disparate systems are typically collected, transmitted to, and analysed at a centralised location with the resulting control decisions emanating from the same location. Learning from best practice suggests a better approach to grid modernisation, an approach that emphasises system-wide common architectures, capable of pushing data collection, analysis and application out to the edge of the utility network while leveraging multiple communications technologies. This approach can maximise value by: • Reducing the cost of implementation, communications and operations. The case for distributed intelligence The addition of monitoring, analysis, control and communications to the electric distribution system makes the grid smart, and helps utilities optimise its use over a variety of conditions and events. One of the major challenges is an exponential increase in the volume of data being generated. These data will help a utility to understand its distribution grid operations at a granular level, enabling more targeted operational decisions and ultimately more effi cient operation of the distribution Figure 1: Interoperability and distributed intelligence unlock the benefits of a smart grid. 45