Project Title

Realization of APEC Low Carbon Model Town through Smart Grid Development (LCMT-SGD) 

Project Year

2014   

Project Number

EWG 07 2014A 

Project Session

Session 2   

Project Type

Standard 

Project Status

Completed Project   
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Project No.

EWG 07 2014A 

Project Title

Realization of APEC Low Carbon Model Town through Smart Grid Development (LCMT-SGD) 

Project Status

Completed Project 

Publication (if any)

 

Fund Account

APEC Support Fund 

Sub-fund

ASF: Energy Efficiency 

Project Year

2014 

Project Session

Session 2 

APEC Funding

267,500 

Co-funding Amount

357,500 

Total Project Value

625,000 

Sponsoring Forum

Energy Working Group (EWG) 

Topics

Energy 

Committee

SOM Steering Committee on Economic and Technical Cooperation (SCE) 

Other Fora Involved

 

Other Non-APEC Stakeholders Involved

 

Proposing Economy(ies)

Thailand 

Co-Sponsoring Economies

China; United States 

Expected Start Date

01/12/2014 

Expected Completion Date

30/11/2015 

Project Proponent Name 1

Dr Twarath Sutabutr 

Job Title 1

Deputy Director General 

Organization 1

Department of Alternative Energy Development and Efficiency (DEDE) 

Postal Address 1

17 Rama 1 Rd, Kasatsuk Bridge, Pathumwan, Bangkok 10330, Thailand 

Telephone 1

66-2 22300219 

Fax 1

Not Applicable 

Email 1

twarath@dede.go.th 

Project Proponent Name 2

Not Applicable 

Job Title 2

Not Applicable 

Organization 2

Not Applicable 

Postal Address 2

Not Applicable 

Telephone 2

Not Applicable 

Fax 2

Not Applicable 

Email 2

Not Applicable 

Declaration

Dr Twarath Sutabutr 

Project Summary

The development of Smart Grids, which can contribute greatly to low carbonization by stabilizing power grid and enabling efficient operations, has only become widespread in developed economies recently. The technologies and lessons learned from such projects may not be applicable to Smart Grid projects implemented within APEC Low Carbon Model Towns and also within developing economies.

The focus of this project is therefore to evaluate not only the technical feasibility, but also the economic and regulatory viability of implementing Smart Grid in APEC Low Carbon Model Towns and developing economies. The potential issues and strategies towards Smart Grid introduction will be identified by studying the technical requirements of demand-side and supply-side components, financial analysis, and regulatory planning activities prior to commercialization. This 12 month project will examine Smart Grid deployment in Samui Island, Thailand which was selected as APEC Low Carbon Model Town Phase 2, as a case study.

The project outcomes should be adaptable to any area not only in Thailand but also in other APEC economies, and thus will help them shift away from dependence on fossil fuels and power shortages in the future. 

Relevance

Smart Grid, which adjusts energy supply and consumption by networking conventional and renewable energy services, forms part of solutions for energy saving and low carbonization.  The introduction of Smart Grid system could also facilitate the implementation of an Electric Vehicle (EV) sharing system, which could be efficiently operated with intelligent communications between charging stations and the grid. Smart Grid and EV have also been recommended as low carbon technologies in the Feasibility Study of APEC Low Carbon Model Town (LCMT).

However, Smart Grid is not yet adopted widely, especially in developing economies. This project therefore aims to identify the potential issues to be overcome and strategies towards Smart Grid introduction, and thus will enhance and support the realization of APEC LCMT initiative.

This project will provide a case study of the planning and facilitation process for Smart Grid deployment in APEC Low Carbon Model Towns and also in developing APEC economies. The proposed study area is Samui Island, Thailand, in which the “APEC LCMT Project Phase 2 Feasibility Study” had been conducted and Smart Grid initiatives are currently being planned. The project will study the feasibility of Smart Grid implementation not only from the technical viewpoint, but also from the perspective of economic performance and regulatory and management structure, which are crucial in ensuring the long-term sustainability of the system. The cost analysis conducted based on detailed reviews of conditions on the island will provide the local community with realistic cost information which supports informed decision-making in the actual implementation and commercialization phase in the immediate future. 

By identifying the potential issues and strategies when introducing Smart Grid technologies, this study could offer practical lessons for all APEC economies and non-APEC economies that are planning to deploy the same technologies. 

The sharing of the study outcomes will help promote low carbonization among APEC economies.

This project falls under Rank 3 of APEC Funding Criteria which directly supports the APEC Leaders' Growth Strategy. Through the study of Smart Grid deployment in Thailand, the project directly promotes “Renewable Energy, Energy efficiency and Low Carbon technology” in a developing economy.

Objectives

The study will comprise the necessary steps for the preparation of Smart Grid and EV system deployment. The following objectives have been established for the study:

1. To demonstrate the deployment of a Smart Grid and EV sharing system through detailed case study, which includes the analysis of the project scope and scale, formulation of technical specifications, cost estimates, fundraising approaches, business models, etc.

2.  To identify the obstacles and the solutions towards the introduction of Smart Grid in a developing APEC economy.

3.  To share the knowledge and experiences gained through the case study to promote Smart Grid in the APEC region. 

Alignment

At the 9th APEC Energy Ministers Meeting (EMM9), held in Fukui, Japan on 19 June 2010, focused on the theme “Low Carbon Paths to Energy Security,” the Ministers observed that “Introduction of low-carbon technologies in city planning to boost energy efficiency and reduce fossil energy use is vital to manage rapidly growing energy consumption in urban areas of APEC.” This project directly responds to this observation by promoting Smart Grid, a low-carbon technology, through a case study in Samui Island of Thailand. This project will also contribute to the achievement of the goal to reduce APEC’s aggregated energy intensity by 45% by 2035 as agreed by APEC leaders in 2011.

Smart Grid technologies can facilitate the integration of intermittent renewable power sources into the power grid, allow businesses and consumers use energy more efficiently through building control systems, and enhance the reliability of electricity supply. By promoting Smart Grid, this project is aligned with three Energy Working Group’s (EWG) initiatives, i.e. Energy Security, Energy Smart Communities Initiative and Sustainable Development.

TILF/ASF Justification

Part of this study is to identify the potential issues and strategies when introducing Smart Grid technologies in a developing economy, and guidance will be sought from the local stakeholders to ensure that the study outputs are tailored to their needs and sufficiently accommodate relevant economic and political factors. The final study outputs could help all APEC developing economies to avoid prior mistakes when planning to deploy the same technologies.

The workshop for this project will invite participants from both developed and developing economies, and thus will provide a chance for developed and developing economies to share knowledge and experience in Smart Grid development.

Beneficiaries and Outputs

Outputs: 

The main outputs to this project are:

1)  A draft report that sets out:

a) The technical specifications of Smart Grid system and EV infrastructure.

b) Detailed technical review and cost estimates for Smart Grid implementation.

c)   Scenario analysis of implementation alternatives.

d)  Business models required for smart grid commercialization.

2) A workshop with stakeholders and policymakers to solicit their opinions, knowledge and needs, as well as to share and discuss the preliminary findings from initial investigations.

3) A final report which includes background information, project methodology, key study findings and recommendations for Smart Grid implementation in a developing economy.

Outcomes: 

The expected outcomes from this project include: 

1) Increased awareness among the Smart Grid stakeholders in Thailand of the benefits and challenges of Smart Grid and EV infrastructure deployment.

2) Increased awareness among APEC economies of best practices for developing and implementing Smart Grid and EV infrastructure.

3) A reference case for all APEC economies and non-APEC economies that are planning to deploy the Smart Grid technologies including business model for Smart Grid implementation.

4) Smart Grid network adaptation in Energy Policy. The PO will be invited to review the “Outcomes” so that the long term impact in various aspects be reflected. They may include “providing further feedbacks to the other and/or future LCMT projects from Smart Grid perspectives” 

Beneficiaries: 

The main beneficiaries of this project would be the local people of Samui Island. The implementation of the Smart Grid system and EV program could not only contribute to the sustainable development of the island, but also provide economic and employment opportunities to the area.

The project stakeholders would include policymakers, regulatory agencies, business owners, local residents and system providers, ranging from power suppliers to facility managers and service providers. During the study implementation, the project team intents to engage the potential stakeholders and solicit their opinions, knowledge and needs through workshops, interviews and meetings.

Presentation of the study outcomes at EGNRET and other related meetings provides opportunities for both APEC and non-APEC economies to acquire information and knowledge on procedures, effects, etc. for Smart Grid deployment projects.

Dissemination

The project team intends to disseminate the study outputs by:

・  Posting the study reports on the website of the Department of Alternative Energy Development and Efficiency (DEDE) and other relevant departments under the Ministry of Energy of Thailand and APEC database

・  Distributing the study reports in electronic format to all businesses or organizations related to the energy sector of Thailand.

・  Presenting the study findings at the stakeholders’ workshop.

・  Presenting the study outputs at APEC EGNRET and other related meetings.

We will also look to build upon the lessons learned from this project and at the workshop to develop future projects in this area. 

Gender

The focus of this project is to evaluate the feasibility of implementing Smart Grid in APEC Low Carbon Model Towns and developing economies and aims to benefit all beneficiaries described in Item 7 above, regardless of their gender.  To ensure that no gender is disadvantaged in this project:

・  The project team will comprise members from both genders.  

・  The workshop organizers will be careful to include women speakers and participants in the workshops. 

The smart grid and technology will control electrical network system for both demand side and supply side. The involvement for utility suppliers, operators and business owners to decide the investment of system changes may be controlled by both genders unequally. However, at project perspectives, the engagement of both genders will not be limited.

Additionally, the project is executed in a professional manner. The qualified personnel are equally assigned based on their capabilities and competencies, not gender. The consideration of teamwork spirit is the most important issue. In the project execution, the project team consists of multi-level and multi-disciplinary fields to work with which contains both men and women. All activities in the project that involve external participants both genders will be equally invited.

Work Plan

Overall project duration is 12 months. The key activities and deliverables are:

1)  Dec 2014: Perform data gathering.

The project team will perform gathering and updating of all necessary data and background information.

2)  Dec 2014 - Feb 2015: Formulate technical specifications of Smart Grid system and EV infrastructure.

The technical specifications of Smart Grid system (e.g., system architecture, software, standards and protocols, information network, distributed power source types and grid connectivity, etc.) and EV infrastructure (e.g., plug-in vehicle types and battery technologies, EV charging types and technologies, standards and protocols, etc.) appropriate for deployment in Samui Island will be studied. 

3) Mar - Apr 2015: Conduct detailed technical review and cost estimates for Smart Grid and EV infrastructure development

The project team will perform a detailed review of all technical requirements (e.g., sizing of demand-side and supply-side components) for implementing Smart Grid and EV infrastructure in Samui Island. Detailed cost estimates for Smart Grid and EV infrastructure implementation will also be conducted. 

4) May - Jul 2015: Perform scenario analysis of implementation alternatives.

The implementation alternatives for Smart Grid system and EV infrastructure will be formulated based on the examination of existing and emerging technologies as well as the level of grid integration and ownership models. A comparison of the potential implementation scenarios will be performed. 

5) Aug - Sep 2015: Perform identification/structuring of regulatory agencies and approval process and development of business models required for smart grid commercialization.

The project team will study the energy sector’s regulatory framework and energy supply structure of Thailand, focusing on the regulatory requirements and approval process that pertain to Samui Island. With these inputs, business models required for smart grid commercialization on Samui Island will be developed.

6) Sep - Oct 2015: Prepare draft report and hold stakeholders workshop

Upon the completion of all preliminary investigations, a draft report will be prepared.

Subsequently, the project team will organize a workshop with stakeholders to share the findings of the preliminary analysis, and to solicit their feedback and concerns with regard to Smart Grid implementation on Samui Island. Speakers in the workshop will also include Smart Grid experts and/or representatives of manufacturer which has successfully developed Smart Grid in developing economies, e.g., Japan, USA. Inputs from the workshop will be incorporated into the final report.

7)  Nov 2015: Prepare final report.

The final report of the study will be prepared and submitted to APEC.

Risks

The main overall project risk is the possibility of not being able to collect sufficient information, engage all stakeholder groups (policymakers, regulatory agencies, business owners, power companies, local residents etc.) and coordinating their participation in the study process and/or workshop to perform a comprehensive study. There is also a risk of not finding sufficient speakers for the workshop. The project will mitigate this risk by carrying out the following:

1. Engage expert from advanced economy: In order to achieve the project objectives effectively, the experienced international consulting firm shall be engaged in order to utilize their related experiences in SMART Grid Development. Experiences of the consulting firm on the development of Low Carbon Town initiative should also be considered.

2. Engage local consultant in the project team: For its effectiveness, local consultant who has knowledge on local policies and market situations should be considered as part of the project team. The capable consultant shall study as co-partners to assist in the identification of stakeholders, coordination and communication with the stakeholders as well as the organization of workshops, interviews and meetings. The local consultant shall have experiences in engagement local authorities though low carbon development planning, specifically to Samui Island, and therefore their engagement will greatly reduce the project risks.

3. Identify and invite workshop speakers and participants early: The project team will begin the process of identifying speakers and participants as soon as the project is approved. The workshop program and agenda will be drafted during the early stage of the project, and invitations will be sent out with sufficient lead time to allow for advanced scheduling of speakers and participants.

Monitoring and Evaluation

The project will be scheduled with milestones to closely monitor the progress of works. Depending on the activities and timeframe. 

The multiple indicators shall be use for project monitoring including;

- Percentage of work completed in each period (month, quarter) compared with the approved project schedule

- Percentage of data collection completion for designing Smart Grid and EV

-  At least 3 meetings with key stakeholders such as Provincial Electricity Authority (PEA), Department of Alternative Energy Development and Efficiency (DEDE), Samui municipality and commercial sector including large hotels, resorts and superstores will be conducted. Additional meetings may be required, if necessary, to refine the concept of Smart Grid and EV development in Thailand.

- At least 10 eligible-traveling participants will be invited to attend seminars. The participants for both genders will be equally invited.

-  Estimate energy savings and carbon reduction from the smart grid and EV implementation. However, the target energy savings will be estimated once the Smart Grid and EV system has been selected. 

The multiple indicators shall be use for project evaluation including;

- Number of stakeholders’ participants and feedbacks during the workshop will be collected and compiled, and reflected in the study reports.  

-  Number of APEC Economies which is interested to participate in the seminar or workshop

-  Number of stakeholders who are interested in the results of project. 

PO promise to supervise the whole process of the project in order to guarantee the project’s quality. Strictly quality assessment for the project would be regularly organized by PO. Regularly meeting will hold per month. Accordingly quality assessment reports and conference note will be recorded on time.

Linkages

The project is built upon the previous APEC LCMT Phase 2 (Samui Island, Thailand). The “APEC Low Carbon Model Town Project (LCMT) Phase 2 - Feasibility Study” has identified Smart Grid and EV as two of the key measures for the low carbon development of Samui Island. Following the LCMT FS, Department of Alternative Energy Development and Efficiency (DEDE), Ministry of Energy, Thailand has initiated the project namely “Development of Action Plans for LCMT” which includes the tasks to develop a broad-level conceptual design for Smart Grid for Samui Island. This conceptual design will provide the basic concept and rough cost estimates which are inadequate for actual Smart Grid implementation. The proposed project will succeed the conceptual design, and provide detailed and realistic design and planning package to further prepare the project stakeholders for the implementation and commercialization phase of Smart Grid and EV deployment, in Samui Island. This can be a case study on how to realize low carbon model town initiative through SMART Grid Development and be able to disseminate to other APEC Economies through series of seminars and workshops in the future.

Smart Grid and EV deployment could increase mobility of visitors and support efficient management of tourism-related activities, and hence promote sustainable tourism on Samui Island. This project may promote the collaboration between the Energy Working Group and Tourism Working Group.

Sustainability

The project outputs will outline a number of recommendations for Smart Grid deployment in Samui Island. The Project Overseer will make every effort to ensure that communications on this subject with the beneficiaries, i.e., local municipality, local residents of Samui Island and project stakeholders, do not end upon the project completion. The Low Carbon Board (LCB) of SAMUI Island will be recommended to formulate, shared by Mayor or Representative from SAMUI Municipality, all stakeholders will be invited as committees to move forward the result from the project and also other low carbon activities. Possible next steps to build on the project outputs and outcomes would be targeted seminars and workshops to exchange and disseminate information developed by the project to all stakeholders not able to attend the workshop, which could lead to future research collaboration or project implementation. In addition, the project outputs will be used to propose future projects in Energy Working Group (EWG) that will help to ensure the realization of project goals.

To ensure the sustainability of the project, it is important that this study takes into consideration the future outlook and both the latest and emerging technologies, and includes clear identification of the project stakeholders and examination of project cost-effectiveness. These elements will help carry forward the project results and lessons in the form of a PDCA management plan which we plan to formulate and implement.

The future outlook could be presented by a project roadmap that entails steps towards Smart Grid realization and post-study review process. To investigate the applicability of technologies, all new technologies including those in the development and demonstration stage should be considered.

The Project Overseer and study team will make all efforts in sharing the project outcomes with the project stakeholders, mainly comprising APEC economies, Thailand government, local municipality, power companies, independent power producers (IPP), domestic and foreign investors, developer, IT companies, and automobile manufacturers, during and upon completion of the study. The awareness among the project stakeholders of the benefits, challenges and best practices of Smart Grid and EV infrastructure implementation could be evaluated through the expressed interests and enquiries by individual stakeholder groups.          

The cost-effectiveness of the project could be evaluated through indicators such as CO2 reduction rate, energy consumption rate, cost benefit analysis, impact on the domestic economy of Thailand, number of employees, and economic ripple effect.

In addition, this project could also collaborate with other studies based on Samui Island, for example, the APEC Low Carbon Model Town (LCMT) Promotion through Eco-Point Program (LCMT-EPP). It may be possible to incorporate the outcomes from this project into the LCMT-EPP Guidelines.

Project Overseers

The project will be managed by the Department of Alternative Energy Development and Efficiency (DEDE), Ministry of Energy, Thailand. The Project Overseer is Dr. Twarath Sutabutr, Deputy Director General of DEDE 

Dr. Twarath Sutabutr will be in charge of the general supervision of this project. Dr. Twarath’s working experiences are in the area of energy efficiency and renewable energy promotion as the Deputy Director General of Department of Alternative Energy Development and Efficiency (DEDE), Ministry of Energy, and led the study of APEC Low Carbon Model Town Phase 2 (Samui Island, Thailand) funded by APEC which later on concept expanded to Songkhla and Phuket in the southern region of Thailand.  He was awarded an Outstanding Civil Service Award, the 1st officer to receive such an honor from the Ministry of Energy. He holds a Doctor of Science (Sc.D.) in Civil and Environmental Engineering from Massachusetts Institute of Technology (MIT), Cambridge, Massachusetts, USA, Master Degree of Geotechnical Engineering from Asian Institute of Technology (AIT), Bangkok, Thailand and Bachelor of Engineering (Civil) from Chulalongkorn University, Bangkok, Thailand.

Cost Efficiency

Not Applicable.

Drawdown Timetable

Not Applicable.

Direct Labour

The general duties of DEDE will be monitor and supervise the project and make the alignment to recent work on Development of Samui Low Carbon Action Plan, which is self-funded by DEDE, project follow on APEC LCMT Phase 2: Samui Island. 

The capable contractors or consultants will be engaged to implement the project to align the existing work. 

The general duties of the contractors or consultants will be providing relevant resources which enable to strengthen the professional level of the Smart Grid project. The resources include expert resources, research resources, and other resources relevant to the Smart Grid project.

Waivers

Not Applicable.

Are there any supporting document attached?

No 
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Project No.

Project Title

Project Status

Publication (if any)

Fund Account

Sub-fund

Project Year

Project Session

APEC Funding

Co-funding Amount

Total Project Value

Sponsoring Forum

Topics

Committee

Other Fora Involved

Other Non-APEC Stakeholders Involved

Proposing Economy(ies)

Co-Sponsoring Economies

Expected Start Date

Expected Completion Date

Project Proponent Name 1

Job Title 1

Organization 1

Postal Address 1

Telephone 1

Fax 1

Email 1

Project Proponent Name 2

Job Title 2

Organization 2

Postal Address 2

Telephone 2

Fax 2

Email 2

Declaration

Project Summary

Relevance

Objectives

Alignment

TILF/ASF Justification

Beneficiaries and Outputs

Dissemination

Gender

Work Plan

Risks

Monitoring and Evaluation

Linkages

Sustainability

Project Overseers

Cost Efficiency

Drawdown Timetable

Direct Labour

Waivers

Are there any supporting document attached?

hdFldAdmin

Project Number

Previous Fora

Secretariat Comments

Reprogramming Notes

Consolidated QAF

Endorsement By Fora

PD Sign Off

Batch

Forum Priority

Committee Ranking Category

Committee Priority

PDM Priority

Priority Within Funding Category

Monitoring Report Received

Completion Report Received

PMU Field 1

PMU Field 2

PMU Field 3

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