Christine Brandstätt

Locational distribution network pricing in Germany

Increasing shares of renewable generation in distribution networks drive the debate on locationally differentiated network charging. We investigate the potential of individual contracts to implement locational signals within the existing framework as an alternative to a complete change of the current tariff methodology. The analysis starts from the framework of Germanys electricity supply as of today and presents different perspective on the option of smart contracts to implement locational signals in distribution networks.

Smart Pricing to Reduce Network Investment in Smart Distribution Grids—Experience in Germany

Publisher Summary This chapter focuses on the locational, rather than the time-differentiated dimension of the problem and on the potential this has to increase investment efficiency. The implementation of locational pricing results in socially beneficial investment based on locational coordination of investments. This chapter examines smart pricing as a means to defer distribution network investment. Experience with locational distribution pricing is still scarce, but shows a trend to more flexible pricing structures. In distribution networks, locational differentiation appears in network tariffs if at all. In the future smarter tariffs can be expected to gain further importance. The energy system becomes more flexible with high shares of renewable generation and flexible demand in smart distribution systems. A flexible tariff structure is necessary to exploit the benefits of smart grids. Locational pricing can be in the form of locational network pricing or locational energy pricing. The former includes deep connection charges and locationally differentiated use-of-system charges.

Price incentives for smart electric vehicle operation - Status quo and perspectives

Integrating electric vehicles (EVs) into future smart power systems is challenge and opportunity in one. Achieving system optimization, renewables integration and quick diffusion requires coordination of EVs with the power system. This paper analyzes price differentiation as a means to incentivize smart EV operation. For smart EV operation time, location and volume are important dimensions of price incentives. A diverse portfolio of tariffs caters to different business models and actors. Ideally this induces a win-win situation with benefits for both users and system operation. However, the quality and effectiveness of price incentives and thus the success of coordination depends on conditions such as price level, consumer behavior and regulation.

How to handle generation at the lowest grid levels in network charges

The paper presents a model based analysis of different network charging schemes with respect to their ability to provide good incentives for prosumers with or without storage as well as to achieve a fair distribution of network cost between different network levels with varying shares of distributed generation. It finds charging schemes based on net energy or net peak to reflect the effects of generation better than other charging schemes and thus provides valuable insights for policy making.