Thursday, April 21, 2011

Understanding energy generation and the ICT structres behind it

Before I could even attempt to understand renewable energy, I realized how critical it was for me to understand the role energy, as a whole, plays in the world today. 

At first glance, it is easy to think of energy simply as the ability to flick a switch at home and have a light bulb come on. When I talk about the energy industry with most people, they only see it as a local power plant that feeds electricity directly into their homes allowing them to have light, watch TV, run AC units, wash their clothing, and cook food in their microwave ovens. Even though they are not wrong, it is amazing how limited an understanding we, everyday people, have on the complexities of energy generation, distribution, and usage.

First, let's start from the beginning and consider energy generation.

This list is useful in giving us an idea on the different types of energy generation means utilized in the US and the respective amounts of thousands of Megawatts each one produces.




The chart is a screen grab from the excel file exported from the site and has been slightly formated to only include the relevant information for this Blog. (http://www.eia.doe.gov/cneaf/electricity/epm/table1_1.html) for Table 1.1 and http://www.eia.doe.gov/cneaf/electricity/epa/epat5p1.html) for Table 5.1



 There are a few things that I would like to point out regarding these charts and map.
  1. Electric power is generated in many different ways.
  2. Total power generation has grown by 18% in the past 13 years.
  3. Number of power plants has not grown significantly in the same period (except for renewables).
  4. Power plants are scattered throughout the country.
If we consider that the U.S. population has grown by approximately the same amount between 1997 and  2010, it stands to reason that the complexity of the energy generating network has and will continue to become more and more complex.
Population data taken from (U.S. Census Bureau, Statistical Abstract of the United States: 2011 (130th Edition) Washington, DC, 2010; <http://www.census.gov/statab/www/>.


In order for thousands of power plants to be able to generate power and distribute it all across the country, it is critical for an advanced and complex information exchange network to be available. It is at this junctions that realize how ICT is the indispensable component of the grid infrastructure that allows for electricity to be generated in different places from where it is consumed.

It is a common occurrence for one part of the country, on a hot day, to not be able to generate enough power to feed the local demand needed when all the air conditioning units kick on at the same time. This is why "peak" prices exist. As more and more power plants need to come on-line to meet this need, energy is traded in real time all across the country, and in many cases, across international borders.

In order for these transactions to occur in the mos efficient manner, highly advanced information networks need to be in place. These networks provide real time information regarding weather patterns, electricity market bids and asks, grid loading conditions, as well as the ability for companies to sell their planned production as futures. The picture below shows Energy Trading Risk Management Trading Platform (ETRM) (OpenLink-Endur & pMotion) reviewing the flow of commodity (Power and Gas) trading.(http://blog.prestiva.com/index.php/category/photos/)





I hope this was not too vague or overwhelming, every time you start digging into this vasts amounts of information comes your way. Now that we have a basic understanding on the production and distribution of power and the ICT infrastructure behind it, we are free to go one step further and in my next entry discuss how energy is used and how information and communication technology plays a role there too.


Sunday, April 10, 2011

Where to start?

Getting into renewable energy.

What a nice thought. 

After many years working in product development for a leader in the industrial power tools arena I thought it would be easy. I have professional experience in marketing, sourcing, testing, manufacturing, mechanical as well as electrical engineering, and some project finance. I'm a good engineer...It cannot be that hard!

But it is...

There is a difficulty in accepting that it's not easy switching industries after a certain age. I am 32 and cannot even dare imagine how complicated and difficult it must be for anybody older than myself. I have worked for only one company since I graduated from college. Some people tell me this is great because it shows that I care and have dedication and loyalty while others tell me this is terrible because it shows lack of ambition and hunger for success...
Whatever it may be, I believe I became pretty good at what I did and I enjoyed every minute of it. I developed products for one of the best power tools manufacturers in the world.
As much as I liked my job, I felt a higher calling... I wanted to do something that would benefit my fellow man.
Renewable energy called my name... I didn't know what that meant, I just wanted to be part of the energy revolution. I looked for jobs in the space for a few years and never found anything that matched my profile. Everybody seemed to look for people that had previous experience in renewable energy! People that came from other industries didn't seem to have a chance of ever getting hired... I looked in every job board,  industry specific website, and online group. If you were not already in the industry, it seemed impossible to get in...
I understand some of the reasons for this selectivity, but it felt like I was 21 again... you cannot get a job without experience, but nobody will hire you to give you the experience because you don't already have it... oh yes, just like graduating from college all over again... but now in my thirties...

My first Eureka moment, I'm hoping to have many others, came when I realized that education was the way. So, to keep this introduction brief, I'm going to skip the details and just tell you that I quit my job and started a full time MBA program in an attempt to move into the energy space, more specifically the renewable energy space.

But being in a full time MBA program quickly proved to not be enough. I have quickly come to the realization that business, marketing, human resources, accounting, and finance classes will not take you there on their own merit.

Endless hours of networking and independent study, on the other hand, hopefully will... I'm hoping that speaking to the right people... and having the right things to say when speaking to them, will prove to be the right way to go.

So as part of this blog, I will explore the oceans of information that surround renewable energy in the internet. I have, in my haste to become learned in the topic, come across many pieces of information that contradict each other. I believe that all information posted has a certain amount of bias to it, and it is my goal to reach a basic understanding of the industry by sifting through this information.

Information and communication technology (ICT) can be a powerful friend and adversary in this quest. The vast amount of information available on this topic make it very difficult to feel confident about anything you read. I will attempt to make good use of ICT in order to cross reference information and navigate through the mine field of renewable energy garble in the internet and find the basic trends and the most compelling and important information required to carry an intelligent conversation on the topic... and hopefully get a job in the industry...

Stay tuned for more!
Joao