AEP Ohio Seeking To Own 10 Microgrids, Nearly 1,300 EV Chargers (Will Socialize Energy Draw From Microgrids As UFE)

AEP Ohio, as part of its proposed extension of its electricity security plan, is proposing to own 10 microgrids and nearly 1,300 EV charging stations.

The proposals are part of AEP Ohio's Distribution Technology Investment Plan and meant to be undertaken as part of Smart Columbus

AEP Ohio proposes to install 10 microgrids for critical infrastructure, such as police and fire stations, medical facilities, social service agencies, or other critical facilities serving public safety needs, including consideration for facilities that serve lower-income communities. AEP Ohio said that microgrids are integrated batteries, smart controls, and (in some cases) small-scale generation that are capable of isolating – or 'islanding' – small sections of the distribution grid and keeping power flowing when there are outages on other parts of the grid

"Although the exact specifications of each microgrid must be determined by the particular characteristics of the load to be served, AEP Ohio anticipates that a typical microgrid will consist of smart controls, a battery storage system, and a small-scale photovoltaic (i.e., solar) generation system sized to meet the load requirements. AEP Ohio may also allow customers on the microgrid to elect to have a Company-owned generator connected to the microgrid, though this would be a customer option that the Company would expect the customer to pay for," AEP Ohio said

AEP Ohio said that the utility-owned microgrids will be installed in front of the meter

AEP Ohio said that, "For settlement of this energy usage and production, AEP Ohio proposes that the microgrid energy be treated as unaccounted for energy. This means that the energy usage or production will be socialized to all load-serving entities in AEP Ohio’s territory – i.e., to all CRES [competitive retail] providers and SSO auction providers. This approach also has the benefit of having no effect on the metered usage of customers on the microgrid."

Since UFE is implicated, note that AEP Ohio is simultaneously proposing changes to language regarding retail supplier settlement and billing, including UFE (click here for story)

AEP Ohio proposes to install ten microgrid systems over a four-year period, at total capital cost of $51.87 million.

AEP Ohio also proposes building nearly 1,300 EV charging stations, including 250 public Level 2 chargers, 25 DC Fast Chargers, and 1,000 residential chargers.

AEP Ohio proposes that costs of the microgrids and EV chargers installation be recovered on a nonbypassable basis