Draft Version 3.0
Jan 186, 2002
MOpen markets work best when all participants have access to the information they need
to make intelligent buying and selling decisions. A nNew architecture breaks through
age-old barriers that isolate decision makers from real-time business data.
Architecting the Next Generation and systems that create it into the hands of
consumersof consumers and market participants is
RTO: …Let the information flow keyis key to successful deregulation.
William E. Lewis, Compaq Computer
Regional Transmission Organizations (RTOs) are
under pressure to meet increasing demands for
information by regulatory agencies and the
marketplace. In this article, we present a new
information architecture designed to enable IT Requirements: -Ppushing the envelope
interaction with energy management and business
informationbusiness information systems in real- Deregulation business processes are IT- intensive and
require significant resources to deliver the required
time. Like open access to the grid, open access to
functionality. In the US, with its decentralized
information makes the marketplace work. Envisioned
transmission structure, the IT challenge is even
is a self regulatingself-regulating energy marketplace
in whichwhere consumers use or conserve energy greater as Independent Systems Operators (ISOs) are
based upon real-time pricing information; and market consolidatedare consolidated into large Regional
Transmission organizations (RTOs). The new RTOs,
participants compete on a level playing field made
with their wide- area view of the grid, are expected to
possible by open access to to real-time information.
significantly enhance the trading experience while at
real-time information. the same time improving congestion management
and market monitoring.
Today’s reality is that consumers are on a roller
coaster ride with limited abilitylimited ability to Such improvements require This means enhanced
moderate usage in response to energy prices. application functionality and performance, effective
Distribution organizations lackorganizations lack business intelligence systems and betterand better
automated processes for demand side management. Wweb-based information access.
Transmission oOrganizations lack market
monitoringmarket -monitoring tools. Atools. And the Systems are evolving from homogeneous, tightly
field of market participants is littered with casualties coupled architectures that impede rapid deployment
ranging from small brokers to giants in the industry. of new business processes to new designs built
around Enterprise Applications Integration (EAI)
Transmission oOperators, the intermediaries between strategies. However, current EAI technologies
generators and consumers of electric power, keep the have limitationslimitations , as we’ll discusswhich
lights on and run the marketplace according to state are discussed later.
and federal regulations. They are the linchpins in a
complex, dynamic supply chain where parameters RTO IT organizations are faced with a set of
effecting electron travel are the purview of a few conflicting requirements.
specialists with advanced degrees in electrical Scale: Increased data volumes and
engineering. processing throughput. Systems Data
volumes and processing throughput are
In no other industry do so many variables effect growing in size but most existing systems do
profiteffect profit and loss. These factors include not don’t scale gracefully to meet surges in
w…weather, fuel, supply, demand, emissions, user access and . lLegacy applications run
transmission capacity/congestion, and, and of course too slowly.
the rules of the trading game as set forth by local and
Scope: RTOs require real-time access to
federal governments. All of these variables are
real-time data and increased functionality of
knownare known and understood to a greater or
and breadth of analytical tools; Yet
lesseror lesser degree. Getting data from the people
existing. d Data warehousing
implementations come up short in enabling time analysis and its capacity to assist is impossible,
fast response incontinuous monitoring and resulting in missed opportunities for rapid
responding fast response to market activity. troubleshooting and remediation.
Security: Ttransaction reliability, enhanced
transaction integrity and prevention of ZLE captures real-time energy and business data as
intrusion are musts; however safeguards can it is produced, with linear scalability well beyond
slow down system performance and 1000’s of terabytes and allows users to
negatively impact business results. simultaneously query the system without degrading
Addressing any one of these is a daunting task. performance.
Taking on all three at the same time, in a constantly
changing business and IT environment, challenges Real-time consolidationDynamic Data Consolidation
the best IT organizations and pushes the envelop of
conventional information architectures. ZLE provides dynamic data consolidation, a
breakthrough that enables ISOs and other grid
Breaking through information barriers: The Zero operators to unite into RTOs without dismantling
Latency Energy Enterprise (ZLE) Architecture their own formation of RTOs without dismantling
the IT systems. of local area grid operators (ISOs).
The issues of sScale, sScopecopes and sSecurity must Through the facilities of dynamic data mapping,
be addressed to achieve needed improvements in RTOs simply aggregate real-time energy and market
energy management and market operations and to data from member ISOs and reassemble this data into
significantly enhance the participant experience. This wide- area views. . Applications include power
is certainly thecertainly the case in the US as flow, congestion management, settlement, market
consolidation of ISO control areas into Regional monitoring and customer information. This “virtual”
Transmission Organizations generates a manifold approach enables deregulation architects to easily
increase in data volume. configure or reconfigure the boundaries governing
control areas;, to rapidly deploy new business
Compaq Computer Corporation has already processes; and to greatly enhance the market
responded toresponded to the dramatically participant experience.
accelerating information needs of theof the
telecommunications and financial services industries While allowing ZLE not only allows real-time access
by developing the ZLE architectureZLE architecture. to mission- critical data, ZLE but also enables
Now Compaq is applying this unique, proven operators to instantly modify business rules to be
platform to the Energy and Utilities industries. modified on the fly based upon up- to- the-
minutesecondminute information oninformation on
Simply, ZLE is a new hybrid architecture the energy environment (grid congestion, trading
whicharchitecture, which marries the technologies of activity, weather forecasts, outages, etc.). Real-time
EAI, transaction processing and a real-time highly OASISasis, real-time -Available Transmission
scalable Operational Data Store (ODS) and deploys Capabilitycity (ATC) and real-time compliance
them on a continuously available platform. monitoring become realities. Transmission systems
are operated closer to their physical limits.
Real-time access Consumers rapidly respond to price signals. Traders
compete on a level playing field.
The architecture breaks down through the barriers
age oldage-old brick wall separating end users from Paradigm shift: The power of the Operational
real-time operationalproduction data. Conventional Data Store (ODS)
wisdom holds that for data intensive applications, Immediate access to real-time data
queries should never be allowed inallowed in real- By solving the classic IT problem of “mixed
time because such access would degrade of the workloads”, real-time access to production
impact on transaction throughputtransaction operational data becomes possible, thus bringing , or
throughput and/or user response. managing “mixed workloads”, ZLE brings an
immediacy to energy information akin to that seen in
Most architectures employ data warehousing, which today’sin today’s financial and securities
involves taking snapshots or extracts ofextracts of markets.securities and telecommunications industries.
production data for off line business analysis. But,
such a design cannot support with such a design, real-
Rather than visualizing applications communicating
with each other over a message bus with employing a
data warehouse to extracting information for off line
analysis, a ZLE configuration puts a real-time
operational data store (ODS) is at the center of the
scheme. The ODS acts as a dynamic n integration
hub collecting and securingand buffering real-time
real-time grid data and business datatransactions
from applications such as EMS/SCADA, metering,
trading and settlements. on the fly...from every
application. And, since the ODS resides on a
continuously available platform, system-wide data
availability is ensured.
Rather than connecting directly, aApplications go to
the ODS to access data from peer applications. rather
than communicating with each other over the bus.
The ODS buffers application data and residesand
resides on a continuously available, fault tolerant
platformtolerant platform. This design prevents The As implied earlier in this paper, the ZLE
disruption from overloaded or out of service architecture hits its stride when reconfiguring or
applications thus overcoming a serious limitation of consolidating business operations. Take the example
conventional EAI technologies. The ZLE of redefiningof redefining control areas orareas or
architecture also overcomes other limitations of EAI combining multiple local transmission
message brokers including OLTP latency; no organizationsentities into a single RTOsingle
message archiving; and inadequate reporting and regional or national organization.RTO.
auditing. Other limitations with EAI message brokers
include In Figure 1, Individual ISO applications such as
congestion management continue to run as they did
Not designed for large scale transaction pre-merger. But now, data is simultaneously Formatted: Bullets and Numbering
systems and sub second response transmitted to the RTO where the ZLE hub
oLatency! Inability to handle OLTP consolidates the data and delivers it to applications
levels of traffic for analysis and presentation on an RTO-wide basis
Don’t provide message store
oNo message archiving, reporting and Since all relevant data resides in the ODS , data can
auditing be easily re-mapped according to new boundaries.
oLike “traffic cop” with no memory For example, in Figure 1, congestion, congestion
Don’t provide a data store management analysis for each ISO could now be
oDoes not enable new applications implemented over the wide area defined by A+B+C
oDesigned only to move messages simply by re-mapping data within the ODS.
Similarly, ISO level market monitoring could be
expanded to encompass A, B and C.
Integration is “non-invasive”; ISO applications run as
Meanwhile, mMarket participants enter the RTO’s
ZLE Hubthe ODS over the Web through a secure
gateway and are allowed to view the state of real-
time information in raw or summary form as defined
Real-time pricing information is available to
consumers with privileged W web access a.nd
iIndustrial/commercial enterprise information
systems receive this information directly for
automated demand response.
Behind the scenes, EAI middleware provides
messaging services and the ODS data base stores
“stateful” ISO information. Incoming data is
evaluated on-the-fly by the Rules Engine whose
parameters can be dynamically modified based upon
energy conditions (i.e. Power outages, shortages, etc.)
or trading abnormalities. Data models such as EPRI’s
Common Information Model (CIM) or Tradewell’s
Enyware are used to map data between disparate
In conclusion, transmission organizations now have
next generation technologies which can dramatically
improve energy management and market operations
in the face ever increasing requirements of scale,
scope and security.
Compaq in Utilities and Deregulation
According to Newton-Evans Research Inc.This paper
is based upon the experience of Compaq and its
partners in serving the energy, telecommunications
and finance industriesfinance industries over the past
20 years. Today, , 65% of the world’s power is
controlled by systems from Compaq and itsits
solution energy management partners.1 The largest
telecommunications companies and the world’s
largest securities exchanges employexchanges
employ Compaq high availability systems for
mission critical applicationscritical applications.
Beginning in the UK, Compaq has and its partners William E. Lewis is Director of Compaq’s Global Energy and
have been directly involved with Utilities industry segment. He received his BSEE in Power
implementationwith implementation of Engineering from the University of Colorado and MBA from
Colorado State University and is a member of the IEEE Power
theparticipated in the vast majority of the world’s Engineering Society.
power industry deregulation projects. . Compaq
iInstallations include: National Grid-UK, California
ISO, New York ISO, Midwest ISO, Grid South, New
England ISO, Ontario IMO, KEPCOepco-Korea,
NEEMCO-Australia, Singapore, ONS-Brazil. At the
heart of these installations are the EMS/SCADA
systems that monitor and control the transmission
grid and the market systems that enable participants
to conduct business.
Presently Compaq is collaborating with leading
industry consultants, application developers and
standards organizations on the implementation of
ZLE in ISO/RTO, Generation, Distribution and
Energy Trading environments.2
Newton-Evans Research , January 2002
ABB, Tradewell, Tabors, Caraminis & Assoc, Decision Systems
International, EPRI and others