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<title>COMED Relies on Distributed Generation for Reliability</title>
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    <td width="75%" valign="top"><b><font face="Arial" size="6">COMED RELIES ON
      DISTRIBUTED GENERATION FOR RELIABILITY</font></b>
      <p><font face="Arial"><strong><big>by Joseph Fiorito<br>
      </big></strong></font><b><span style="font-size:11.0pt;mso-bidi-font-size:10.0pt;font-family:Palatino;
mso-fareast-font-family:&quot;Times New Roman&quot;;mso-bidi-font-family:&quot;Times New Roman&quot;;
mso-ansi-language:EN-US;mso-fareast-language:EN-US;mso-bidi-language:AR-SA"><font face="Arial">Senior
      Purchasing Specialist<br>
      ComEd</font></span></b></p>
      <p class="MsoNormal"><span style="font-size:10.0pt"><a href="../images/comed.jpg"><img src="../images/comed.jpg" v:shapes="_x0000_i1025" width="81" height="25"></a><!--[if gte mso 9]><xml>
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      <span style="mso-spacerun: yes">&nbsp;</span></span>raises the bar in 2000
      for Distributed Generation.<span style="mso-spacerun: yes">&nbsp; </span>This
      summer marks the third consecutive year that ComEd (A Unicom Company) will
      be utilizing diesel generators for peak shaving, distributed generation in
      the Chicago area.<span style="mso-spacerun: yes">&nbsp;</span></p>
      <p class="MsoNormal">It began back in 1997, when the effects of El Ni�o
      were forecasting increased temperatures throughout the nation.<span style="mso-spacerun: yes">&nbsp;
      </span>Research began to try and determine what alternatives existed to
      provide extra power capacity on a temporary basis.<span style="mso-spacerun: yes">&nbsp;
      </span>After reviewing data from portable diesel generator suppliers, it
      was determined that is was feasible to supply generation on an as needed
      basis.<span style="mso-spacerun: yes">&nbsp; </span>With that, a plan was
      put into place to provide temporary, regional distributed generation to
      critical areas in the territory.<span style="mso-spacerun: yes">&nbsp; </span>ComEd
      contracted to rent 90 megawatt�s of portable diesel generation during
      the months of June through August.<span style="mso-spacerun: yes">&nbsp; </span>Although
      the running hours were limited, the project was viewed as a success.<span style="mso-spacerun: yes">&nbsp;
      </span>This success shed light as to the possibilities of providing a
      quick and cost effective means of local, peak shaving generation.</p>
      <p class="MsoNormal">In 1998, ComEd researched the market for temporary
      power alternatives.<span style="mso-spacerun: yes">&nbsp; </span>Areas
      that were covered included, power barges, 3-5MW diesels on railcars, and
      small jet turbines.<span style="mso-spacerun: yes">&nbsp; </span>Once
      again the diesels won out and were contracted for the project.<span style="mso-spacerun: yes">&nbsp;
      </span>Only this time, the scope was raised to 210MW�s.<span style="mso-spacerun: yes">&nbsp;
      </span>As in the prior year, the performance of the portable units were
      put to the test on days where ambient temperatures exceeded 100 <span style="mso-char-type: symbol; mso-symbol-font-family: Symbol; font-family: Symbol; mso-ascii-font-family: Times New Roman; mso-hansi-font-family: Times New Roman">�</span>F
      and heat indexes above 150.<span style="mso-spacerun: yes">&nbsp; </span>The
      units provided substantive power to the tune of 21,420 MWH�s during the
      summer months.<span style="mso-spacerun: yes">&nbsp; </span>These needed
      MWH�s were especially appreciated when spot market pricing reached
      levels in excess of $7000 per MWH.<o:p>
      </o:p>
      </p>
      <p class="MsoNormal">So where does that put ComEd for the new millenium?<span style="mso-spacerun: yes">&nbsp;
      </span>This year�s scope has been ramped up to provide 300MW�s of peak
      shaving, distributed generation.<span style="mso-spacerun: yes">&nbsp; </span>Performance-based
      contracts have been awarded to the two suppliers from previous years.<span style="mso-spacerun:
yes">&nbsp; </span>Patten Power Systems and Aggreko will be challenged once
      again for the project.<span style="mso-spacerun: yes">&nbsp; </span>These
      two suppliers have proven themselves over the last two years and will be
      called upon to deliver the MW�s.<span style="mso-spacerun: yes">&nbsp; </span>Patten
      Power Systems, the local Caterpillar dealer, will be providing the
      lion�s share with 160 power modules, producing 240 MW�s at 8
      locations.<span style="mso-spacerun: yes">&nbsp; </span>Aggreko�s
      portion will be supported by 60 power modules generating 60 MW�s at 2
      locations.</p>
      <p class="MsoNormal">The Patten Power Systems� sites typically consist
      of 20, Caterpillar 1750 kW, utility-grade power modules, each one tied to
      a single 2500 kVA transformer, then paralleled together into a substation.<span style="mso-spacerun: yes">&nbsp;
      </span>The typical installation shown below depicts the arrangement of
      equipment at one of ComEd�s transmission substations.<span style="mso-spacerun: yes">&nbsp;</span></p>
      <p class="MsoNormal" align="center"><img border="0" src="../images/comed01.jpg" width="400" height="277"><!--[if gte vml 1]><o:wrapblock><v:shape id="_x0000_s1027"
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      &nbsp;<o:p>
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      <p class="MsoNormal">After extensive planning and coordinating, it will
      take about a month to set and place the generators, fuel tanks and cabling
      at all 8 sites.<span style="mso-spacerun: yes">&nbsp; </span>Mechanically,
      the equipment is installed by dedicated crews utilizing cranes, lift
      trucks, and tractors.<span style="mso-spacerun: yes">&nbsp; </span>There
      are over 21 miles of power leads alone.<span style="mso-spacerun: yes">&nbsp;
      </span>Electrically, the power from each module is delivered through 4,
      535 MCM leads per phase.<span style="mso-spacerun: yes">&nbsp; </span>For
      system protection, each generator is wired with specific safety trips that
      can be activated both from the substation and the control cabinet within
      the power module.<span style="mso-spacerun: yes">&nbsp;&nbsp; </span>Examples
      of those safety measures include reverse power, over-speed, over/under
      voltage, over/under frequency, and ground/electrical fault.</p>
      <p class="MsoNormal">Similarly, the Aggreko sites include 30, 1250 kW,
      utility-grade power modules paired to a single 2500 kVA transformer, then
      paralleled into a substation.<span style="mso-spacerun: yes">&nbsp; </span>Due
      in part to the unique containerized design of the Aggreko components, they
      are able to set up a typical site within a week�s time.<span style="mso-spacerun:
yes">&nbsp;</span></p>
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      <!--[if gte vml 1]></o:wrapblock><![endif]-->
      <img border="0" src="../images/comed02.jpg" width="400" height="279"><br style="mso-ignore:vglayout" clear="ALL">
      <span style="mso-tab-count:11">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</span></p>
      <p class="MsoNormal">As with last year, fuel capacity and consumption
      shall be a major factor.<span style="mso-spacerun: yes">&nbsp; </span>During
      a critical operation, fuel was being burned at a rate of 18,000 gallons
      per hour for more than 15 hours a day.<span style="mso-spacerun: yes">&nbsp;
      </span>Each site�s generators are paired to a single, external, fuel
      storage tank.<span style="mso-spacerun: yes">&nbsp; </span>The fuel tanks
      vary in capacity from 2300 to 2500 gallons, and are certified, double
      steel wall construction to prevent spillage and leaks.<span style="mso-spacerun: yes">&nbsp;
      </span>Total site storage capacity was 285,000 gallons.<span style="mso-spacerun: yes">&nbsp;
      </span>As one might expect, keeping the individual fuel storage tanks
      filled in the heat of a Chicago summer day, became a monumental task.</p>
      <p class="MsoNormal">ComEd�s contracted fuel supplier Bell Fuels,
      managed to keeps the trucks running.<span style="mso-spacerun: yes">&nbsp;
      </span>Their efforts will be challenged once more to keep the units
      filled.<span style="mso-spacerun: yes">&nbsp; </span>With the increase in
      scope of the project, the fuel deliveries could reach 70 truckloads a day
      to keep the generators running.<span style="mso-spacerun: yes">&nbsp; </span>The
      on site storage this year has been increased to 430,000 gallons to
      accommodate the additional gensets and anticipated consumption.</p>
      <p class="MsoNormal">Additional lessons learned from the previous years
      have included the derating of the gensets.<span style="mso-spacerun: yes">&nbsp;
      </span>Given the extreme operating conditions that the generators will be
      running, each generator will be derated 250 kW.<span style="mso-spacerun: yes">&nbsp;
      </span>This will give a comfortable operating margin for Aggreko at 25%
      and Caterpillar with 17%.<span style="mso-spacerun: yes">&nbsp; </span>These
      margins will yield 1000 kW and 1500 kW for Aggreko and Caterpillar
      respectfully.<span style="mso-spacerun: yes">&nbsp; </span>At the same
      time, both Patten Power Systems and Aggreko have incentives built into
      their contracts to produce additional power at the direction of ComEd.</p>
      <p class="MsoNormal">Where does it go from here?<span style="mso-spacerun: yes">&nbsp;
      </span>ComEd�s distributed generation project this year is the largest
      of its kind. With the increased demand for power and physical limitations
      of existing transmission and distribution systems, distributed generation
      has the ability to get the power where it�s needed most.<span style="mso-spacerun: yes">&nbsp;
      </span>The marketplace is emerging, providing many alternatives for
      localized power production.<span style="mso-spacerun: yes">&nbsp; </span>As
      deregulation occurs throughout the nation and the call for competitive
      solutions continues,<span style="mso-spacerun: yes">&nbsp; </span>OEMs and
      utilities will be pushed to provide answers.<span style="mso-spacerun: yes">&nbsp;
      </span>The large diesel engine manufacturers have been forthcoming by
      developing diesel engines with lower sound and exhaust emissions.<span style="mso-spacerun: yes">&nbsp;
      </span>Combine that with their relative small size per kW and the ease of
      installation, the diesel generators have carved their way as the clear,
      low-cost provider for peak shaving, distributed generation for ComEd.&nbsp;</p>
      <hr width="98%" color="#FFFF00" size="1">
      <p class="MsoNormal"><span style="font-size:10.0pt;font-family:Arial;mso-bidi-font-family:&quot;Times New Roman&quot;"><font face="Arial" size="3"><b>ABOUT
      THE AUTHOR
      </b></font></span></p>
      <p class="MsoNormal"><span style="font-family:Arial;color:black;mso-bidi-font-style:
italic"><font face="Arial" size="2">Joseph Fiorito (<a href="mailto:[email protected]">[email protected]</a>)
      is a Senior Purchasing Specialist for ComEd and initiated the idea in 1997
      and has been advancing the project to this stage.<span style="mso-spacerun: yes">&nbsp;&nbsp;
      </span>Incorporated in 1994 and based in Chicago, Unicom Corporation (NYSE:UCM)
      is a public company dedicated to meeting the energy needs of residential,
      commercial, industrial and wholesale customers. With $7 billion in
      revenues, Unicom Corporation is the parent holding company to Commonwealth
      Edison Company (ComEd), its principal subsidiary, and Unicom Enterprises,
      Inc. (UEI), offering competitive energy-related products and services.<o:p>
      </o:p>
      </font></span></p>
      <p class="MsoNormal"><span style="font-family:Arial;color:black;mso-bidi-font-style:
italic"><font face="Arial" size="2">Engaged principally in the production,
      purchase, transmission, distribution and sale of electricity to retail and
      wholesale customers, ComEd provides service to more than 3.4 million
      customers across Northern Illinois, or 70 percent of the state�s
      population.</font></span><span style="font-family:Arial;
mso-bidi-font-style:italic"><o:p>
      </o:p>
      </span></p>
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