Assignment
Power System Management EECS 4460/5460-901
Lecture #1
Development of the U.S. Power System
1
Static charges have been observed for thousands of years
1600: Dr. Wm Gilbert wrote “Magneticisique Corporibus” in Latin. (“On the Magnet”). Coined the word “electrica”. Subsequent developments in Europe.
1745 – The Leyden Jar
1792 – Ben Franklin observed:
“lightning is electricity”
“Electricity”
2
Consider a Timeline for Development:
__________________________________________________________________
________________________________
3
Evolution of the Industry
JP Morgan & Thomas Edison
Separate local utility companies
Integration for reliability
The “Natural Monopoly”
Changing Regulation
Today
Markets/Merchants
Regulated Utilities
The Early Years
Late 1700’s/Early 1800’s: theories
1825 – Electromagnet
1830’s – DC Motor/Generator/AC Transformer
1850 – AC Generator
1840’s – Telegraph
1866 – TransAtlantic Telegraph
1870s – Arc Lamps/First Incandescent Light Bulb
1878 – First Hydroelectric Plant
1879 – Long lasting filament by Edison
1882 – First Thermal Power Plants
1890 – Edison invents the fuse
1900 – Marconi builds the first radio
5
Thomas Edison (1847-1931)
Born in Milan, Ohio
Age 16: Telegraph “Automatic Repeater)
NYC: Stock-ticker repair
Menlo Park/West Orange N.J. Labs (1874/1887)
Brockton, Mass. Power Station (1882)
Many inventions: Phonograph, Incandescent Bulb……
Patents: 1093 of them and many disputes
The Early Years – Key Players
Nikola Tesla (1856-1943)
Austrian (today’s Croatia)
Came to U.S. in 1884
Edison Machine Works
Developed AC induction motor and polyphase AC system
Consultant for Niagara Falls
Celebrity status
Wireless Communication
Waredenclyff Tower project
Many patents and disputes
The Early Years – Key Players
George Westinghouse (1846-1914)
New York native
Invented rail car air brakes @ 22
Interest an AC systems
Obtained rights to Tesla motor and other patents
Ames Hydro Plant in Colorado (1890)
2-100hp alternators, 3kv 133Hz line
Columbian Exposition in Chicago (1893)
Niagara Falls Project (1895)
Patent disputes with GE
Settlement in 1896
The Early Years – Key Players
The Early Years – New York City
Pearl Street: First Commercial U.S. Central Power Station
Began Operating September 4, 1882
6 x 100Kw Dynamos (D.C system)
82 customer/ 400 lamps
Grew to 508 customers / 10,164 lamps by 1884
High speed steam engines @ 175hp, 700 RPM
Replaced by Armington & Sims machines in 1886
1898 - 775 Power Stations in Manhattan and the Bronx
1901 to 1910 – Price in NYC drops from 20 to 10 cents/kwhr
($2.70 today)
Pearl Street Station
The Early Years – “Current Wars”
By 1887:
Edison built 121 DC-based systems
Westinghouse built 68 AC-based systems
Thomson-Houston Co. built 22 AC-based stations
Public safety campaign/Electric Chair Demonstration (1890)
JPMorgan pushed AC option
General Electric formed in 1892 (Edison out)
Westinghouse won bid for Columbian Exposition and (later) Niagara Falls
| Utility | Industrial | Total | Utility% Of Total | % Investor-Owned | |
| 1902 | 1200 | 1800 | 3000 | 40 | 91 |
| 1907 | 2700 | 4100 | 6800 | 40 | 92 |
| 1912 | 5200 | 5800 | 11,000 | 47 | 92 |
| 1917 | 9000 | 6500 | 15,500 | 58 | 94 |
| 1922 | 14,200 | 6300 | 20,500 | 69 | 95 |
| 1927 | 25,100 | 9500 | 34,600 | 73 | 93 |
| 1932 | 34,300 | 8500 | 42,800 | 80 | 93 |
Electricity Generating Capacity, 1902-1932 (Mwe)
Source: EEI Pocketbook (1979)
The Early Years – Growth
The Early Years - Efficiency
| Production per Kw (inKWhr) | Avg Plant Size(KW) | Coal Burned/KWhr (lbs.) | Percent Hydro | ||
| 1902 | 2068 | 539 | 6.5 | 24 | |
| 1907 | 2164 | 847 | 5.5 | 33 | |
| 1912 | 2240 | 1467 | 4.0 | 33 | |
| 1917 | 2838 | 2061 | 3.5 | 31 | |
| 1922 | 3074 | 3813 | 2.5 | 29 | |
| 1927 | 3007 | 6765 | 1.8 | 27 | |
| 1932 | 2309 | 8539 | 1.5 | 27 |
Electricity Generation Operating Statistics, 1902-1932
Source: Historical Statistics
The Early Years – Price
Commonwealth Edison
Samuel Insull
Secretary to Edison
Moved to Chicago
Eight holding companies
Controlled 75% industry
$500M value/$28M Equity
Depression/ ComEd collapse
1935 – Public Utility Holding Company Act
The Early Years
The Early Years
Great Depression Impacts
Federal Power Commission (later FERC) -1930
“Just and reasonable cost-based rate regulation
to the wholesale power market”
Tennessee Valley Authority (TVA) -1933
Bonneville Power (BPA) – 1937
Rural Electrification Act (REA)
Federal Loans to Cooperatives
Rural areas – 7200v system
Added Phones in 1949/Internet in 2008
Utility Business Structures
Investor-Owned Utilities
Public Power
Co-operatives
Next Lecture(s)
16