Proving the Business Case for the Internet of Things

Hitachi helps smart grid demonstration in Poland

Steve Rogerson
March 28, 2017



Japanese electronics giant Hitachi is helping implement a smart grid demonstration project in Poland. Also involved are the New Energy & Industrial Technology Development Organization (Nedo), Sumitomo Mitsui Banking (SMBC), Polskie Sieci Elektroenergetyczne (PSE), Energa-Operator (EOP) and Energa Wytwarzanie (EW), supported by Poland’s Ministry of Energy.
 
This month, Nedo and the Ministry of Energy signed a memorandum of understanding for the project to support the power system security in response to an increasing share of renewables connected to the Polish power system. The project goal is to test a special protection scheme (SPS) and hybrid battery energy storage system (BESS) to increase power system security. This will use Japanese network stabilisation and battery storage technologies.
 
To carry out the project, Hitachi, its subsidiary Hitachi Chemical and SMBC each will sign an entrustment agreement with Nedo. Alongside this, Hitachi and Hitachi Chemical have signed an implementation document to realise the project in cooperation with PSE, EOP and EW.
 
As an EU member state, Poland plans to increase the renewables energy ratio in its power system. To handle the additional burden on the electricity networks, essential work is required to upgrade and enhance the grid. This can be supported by using advanced grid automatics such as SPS preventing the grid overloading and allowing for optimal management of renewables generation, especially wind generation.
 
The decision on project execution in the next three and a half years were based on the results of a feasibility study conducted from February 2015 to November 2016 by Hitachi, Hitachi Chemical, SMBC and other companies. Hitachi working with PSE, EOP and EW will build the SPS while Hitachi Chemical will be responsible for provision of hybrid BESS equipped with lithium-ion and lead-acid batteries. In addition, Hitachi, Hitachi Chemical and SMBC will explore business models for network protection systems and battery energy storage systems.
 
An SPS plans countermeasure actions for specific accidents on the power network based on online information extracted from scada. If an accident occurs, the SPS carries out controls automatically to prevent overloads in the power system.
 
The project aims to reduce the total costs of energy storage by introducing hybrid energy storage. The hybrid energy storage is intended to achieve both high-performance thanks to the use of lithium-ion batteries and cost-effectiveness through applying lead-acid technology.
 
The objective of the BESS installation is to demonstrate the use of lithium-ion and lead-acid batteries and evaluate possibilities of their wider adoption in power system protection against overload on transmission and distribution lines, energy storage in high wind generation conditions, and provision of required reserves.
 
These objectives also include functionalities such as: curtailment of short-term fluctuations in wind farm output; provision of ancillary services in the scope of frequency regulation for the transmission system operator; ancillary services similar to those provided by the pumped storage hydropower plants; provision of reserve capacity services; and price arbitrage for electric energy time shift.
 
Hitachi, Hitachi Chemical and SMBC plan to verify the advantages of SPS and BESS, and present business models aimed at their wider adoption.