EE132 – POWER SYSTEM ANALYSIS AND DESIGN

KEVIN D. DUGAY
Edited by MCBLOYOLA
• Describe the growth of electric power system structure, the
evolution of power system structure, and recent trends and
innovations in power system. (CO1)
• Describe the general power system structure, the new power
system under EPIRA, and the interconnected power system
structure. (CO1)

EE132 – POWER SYSTEM ANALYSIS AND DESIGN

 • Electricity is the lifeblood of modern society, and for
many people, that electricity is obtained from large,
interconnected power grids.
• Engineered to offer the ultimate in plug-and-play
convenience, the wall outlet is the gateway to one of the
world’s largest and most complex machines.
• Economies of scale resulted in most electric energy
being supplied by large power plants.
• Control of the electric grid was centralized through
exclusive franchises given to utilities, which in turn had an
obligation to serve all existing and future customers.

National Academies of Sciences, Engineering, and Medicine. (2016). Analytic research

foundations for the next-generation electric grid. National Academies Press.
EE132 – POWER SYSTEM ANALYSIS AND DESIGN
 • Incremental improvements in the 20th century is no longer
adequate to completely meet the needs of the 21st century.
• The next-generation electric grid must be more flexible and
resilient.
• Grid of the future will need to accommodate a wider mix of
more intermittent generating sources such as wind and
distributed solar photovoltaics.
• Some customers want more flexibility to choose their
electricity supplier or even generate some of their own
electricity, in addition to which a digital society requires much
higher reliability.
Some End User Demands:
• Availability of real-time data from automated distribution networks
• Smart metering systems

National Academies of Sciences, Engineering, and Medicine. (2016). Analytic research

foundations for the next-generation electric grid. National Academies Press.
EE132 – POWER SYSTEM ANALYSIS AND DESIGN
 • Original grid developed by Edison was about 100 V direct current
but could only distribute over a few blocks.
• The alternative, alternating current (ac) power, championed by
Nikola Tesla and George Westinghouse, soon won out because
the voltage could be easily changed by transformers.
• Currently, 1000-kV ultra-high-voltage circuits are already
operational at China.
• Most of the hydropower resources are in the west, and coal is
in the northwest, but huge loadings are in the east and south.

National Academies of Sciences, Engineering, and Medicine. (2016). Analytic research

foundations for the next-generation electric grid. National Academies Press.
EE132 – POWER SYSTEM ANALYSIS AND DESIGN
 • While ac transmission is widely used, the reactance and
susceptance of the 50- or 60-Hz lines without compensation or
other remediation limit their ability to transfer power.
• The alternative is to use high voltage dc (HVDC), which eliminates
the reactance and susceptance.
• Large-scale interconnects have two significant advantages:
• Reliability
• Economic

National Academies of Sciences, Engineering, and Medicine. (2016). Analytic research

foundations for the next-generation electric grid. National Academies Press.
EE132 – POWER SYSTEM ANALYSIS AND DESIGN
Demand response
• Demand response is a grid management technique where retail
or wholesale customers are requested either electronically or
manually to reduce their load.
Aging infrastructure
• Aging equipment
• Obsolete system layout
• Outdated engineering
• Old cultural value

EE132 – POWER SYSTEM ANALYSIS AND DESIGN

Distributed generation
• Smaller generators, usually not owned by the utility, can be
brought on-line to help supply the need for power.
• The smaller generation facility might be a home-owner with
excess power from their solar panel or wind turbine. It might be a
small office with a diesel generator.
• These resources can be brought on-line either at the utility's
behest, or by owner of the generation in an effort to sell
electricity.

EE132 – POWER SYSTEM ANALYSIS AND DESIGN

Smart Grid
• Enhancement of the 20th century electrical grid, using two-way
communications and distributed so-called intelligent devices
• Research is mainly focused on three systems of a smart grid:
• Infrastructure system - energy, information, and communication
infrastructure underlying of the smart grid that supports:
• Advanced electricity generation, delivery, and consumption
• Advanced information metering, monitoring, and management
• Advanced communication technologies
• Management system - subsystem in smart grid that provides
advanced management and control services
• Protection system - provides grid reliability analysis, failure
protection, and security and privacy protection services
EE132 – POWER SYSTEM ANALYSIS AND DESIGN
ELECTRIC POWER INDUSTRY REFORM ACT of 2001 (RA 9136)
• On June 8, 2001, President Gloria Macapagal-Arroyo signed into
law Republic Act 9136, or the Electric Power Industry Reform Act
of 2001.
• The said enactment was the culmination of more than seven years
of public hearings and floor deliberations on various versions of
the said measure in Congress.
• Among other benefits, RA 9136 is designed to bring down
electricity rates and to improve the delivery of power supply to
end-users by encouraging greater competition and efficiency in
the electricity industry.

EE132 – POWER SYSTEM ANALYSIS AND DESIGN

• Consumer Empowerment
• Higher Efficiency
• Open Access
• Industry Accountability
• Competition in Generation and Supply
• Electricity Tariff Unbundling

EE132 – POWER SYSTEM ANALYSIS AND DESIGN

• Consumer Empowerment. This can be achieved by giving
consumers the power to choose their source of electricity from
among a host of generators and suppliers of electricity.
• Higher Efficiency. Consumers will be assured of adequate and
reliable power supply at lower rates.
• Open Access. There will be open access to transmission and
distribution network/facilities so that the benefits of competition
in the generation/supply sector could really trickle down to the
consumers.

EE132 – POWER SYSTEM ANALYSIS AND DESIGN

• Industry Accountability. There will be higher levels of
environmental, health and safety standards. Non-complying
companies will be subject to appropriate fines and penalties.
• Competition in Generation and Supply. There will be
competition between and among generating companies where
prices will be market-driven and competitive. There will be long-
term contracts and a spot market where the trading of electricity
between buyers and sellers will be undertaken.
• Electricity Tariff Unbundling. This includes the itemization and
the segregation of various components of electricity tariffs to
make the rates more transparent. With rates unbundled,
customers will be able to know how much they would be paying
for generation, transmission, distribution and other benefits or
charges.

EE132 – POWER SYSTEM ANALYSIS AND DESIGN

• These reforms are aimed at making sure our country will have
reliable and competitively priced electricity.
• The strategy is to put an end to monopolies that breed
inefficiency, encourage the entry of many more industry players,
and generate competition that will benefit consumers in terms of
better rates and services.

EE132 – POWER SYSTEM ANALYSIS AND DESIGN

Major Provisions
• Regulation of the electric power industry
• Privatization of the assets of the national power corporation
• Promotion of rural electrification
• Open access

EE132 – POWER SYSTEM ANALYSIS AND DESIGN

Industry Structure Prior to EPIRA

Generation Transmission Distribution Consumer

Owned and Owned and

Private
operated by operated by
Distribution
National Power National Power
Utility or Electric
Corporation Corporation
Cooperative Captive
(NPC) (NPC)
Customers

Rates are fixed Rates are fixed by

Rates are
by NPC subject NPC subject to
approved by ERB
to review of PSC review of PSC

EE132 – POWER SYSTEM ANALYSIS AND DESIGN

Regulatory Framework Under EPIRA

Generation PEMC NGCP Distribution Consumer

NPC
Generating Owned and
Private Private
Assets were operated by
Distribution Distribution
privatized to National Captive
different Utility or Utility or
Power Customers
entities to Electric Electric
Corporation
jump-start Cooperative Cooperative
(NPC)
competition

Open and Self- Regulated as Regulated as

Competitive regulating Public Utility Public Utility

EE132 – POWER SYSTEM ANALYSIS AND DESIGN

Retail and Open Access (RCOA)
Generation PEMC NGCP Distribution Consumer

Suppliers of
electricity can
be any of the Captive
following:
1. Generation 2 Markets: Customers
1. Wholesale
Companies
Market
(GenCo) Open
2. GenCo
2. Competitive Open Access
Retail Access
affiliated Electricity
retail Market Contestable
suppliers
3. DU affiliated
Consumers
retail
suppliers
EE132 – POWER SYSTEM ANALYSIS AND DESIGN
a
The New Industry Structure

❑ Establishment
of WESM

❑ Privatization of NPC

❑ Unbundling of electricity rates for

transparency

❑ Establishment of an Independent
Transmission Company
❑ Open Access of distribution network and retail
competition

EE132 – POWER SYSTEM ANALYSIS AND DESIGN