Marko Aunedi

Whole-Systems Assessment of the Value of Energy Storage in Low-Carbon Electricity Systems

Energy storage represents one of the key enabling technologies to facilitate an efficient system integration of intermittent renewable generation and electrified transport and heating demand. This paper presents a novel whole-systems approach to valuing the contribution of grid-scale electricity storage. This approach simultaneously optimizes investment into new generation, network and storage capacity, while minimising system operation cost, and also considering reserve and security requirements. Case studies on the system of Great Britain (GB) with high share of renewable generation demonstrate that energy storage can simultaneously bring benefits to several sectors, including generation, transmission and distribution, while supporting real-time system balancing. The analysis distinguishes between bulk and distributed storage applications, while also considering the competition against other technologies, such as flexible generation, interconnection and demand-side response.

Decentralized Participation of Flexible Demand in Electricity Markets—Part II: Application With Electric Vehicles and Heat Pump Systems

Realizing the significant demand flexibility potential in deregulated power systems requires its suitable integration in electricity markets. Part I of this work has presented the theoretical, algorithmic and implementation aspects of a novel pool market mechanism achieving this goal by combining the advantages of centralized mechanisms and dynamic pricing schemes, based on Lagrangian relaxation (LR) principles. Part II demonstrates the applicability of the mechanism, considering two reschedulable demand technologies with significant potential, namely electric vehicles with flexible charging capability and electric heat pump systems accompanied by heat storage for space heating. The price response sub-problems of these technologies are formulated, including detailed models of their operational properties. Suitable case studies on a model of the U.K. system are examined in order to validate the properties of the proposed mechanism and illustrate and analyze the benefits associated with the market participation of the considered technologies.

Economic and Environmental Benefits of Dynamic Demand in Providing Frequency Regulation

Increase of penetration of intermittent renewable power connected to the system will increase the requirements for frequency regulation services. If these services are met by conventional plant running part-loaded, this will not only reduce the system operational efficiency but will also limit the ability of the system to accommodate renewable generation. This work quantifies the value of Dynamic Demand (DD) concept, which enables domestic refrigeration appliances to contribute to primary frequency regulation through an advanced stochastic control algorithm. The benefits of DD providing frequency response are determined for a wide range of future low-carbon generation systems, using an efficient generation scheduling model which includes scheduling of frequency regulation and reserve services. The analysis also considers the potential impact of wind generation on system inertia and primary frequency regulation. Simulations indicate that the benefits of DD increase considerably in systems with high wind penetration, making DD an attractive option for significantly improving system efficiency.

Efficient system integration of wind generation through smart charging of electric vehicles

Electrification of road transport is becoming increasingly important in the context of reaching the objective to reduce carbon emissions, particularly when combined with the increased share of renewable and other low-carbon electricity generation. However, the efficient integration of renewable generation and electrified transport might be put at risk unless the flexibility of electric vehicles (EVs) is not utilised to support system operation. This paper therefore develops an analytical approach for including flexible EV load into power system scheduling while taking into consideration detailed driving patterns of a nationally representative EV fleet. This approach enables the quantification of the impact of different EV charging strategies (smart vs. non-smart) on the economic and environmental performance of the system, and in particular on the ability of the system to integrate intermittent renewable output. The approach is demonstrated on a case study for the GB system in 2030, suggesting massive cost and emission savings resulting from smart EV charging, as well as dramatic improvements in terms of reduced curtailment of intermittent wind output.

Optimizing the operation of distributed generation in market environment using genetic algorithms

Restructuring and deregulation of the electricity sector have altered the behavior of market players, shifting the objective from cost minimization to profit maximization. Development of distributed generation units, along with concerns raised over the security of supply has prompted many customers to consider the installation of their own local capacity for generating electricity (and heat). This paper proposes a methodology for optimizing the operation of a portfolio of distributed units, based on profit maximization using genetic algorithms. Genetic algorithms are an optimization method based on the analogy with biological evolution, where the so-called population of solutions evolves through generations as a result of recombination, mutation and selection processes. Optimization is carried out based on the day-ahead forecast of hourly market prices of electricity. The method is tested on a set of distributed units, demonstrating the ability to find good solutions in an acceptable time period.

Value of integrating Distributed Energy Resources in the UK electricity system

Continuous connection of Distributed Energy Resources (DER) technology on a “fit and forget” basis may lead to inefficiently low utilization of generation and network assets. In order to mitigate this effect, a reappraisal of the technical, regulatory, and commercial frameworks that shape decisions on future network design, investment, operation, and pricing are required. The transition of distribution network operation from passive to active would facilitate cost effective integration of DER and an efficient evolution towards a low carbon electricity system. In this context, this paper summarizes the results from a range of quantitative studies on the UK electricity system that have been carried out to assess the benefits of active management of distribution networks.

Opportunities for Energy Storage: Assessing Whole-System Economic Benefits of Energy Storage in Future Electricity Systems

Any Cost-effective transition toward low-carbon electricity supply will necessitate improved system flexibility to address the challenges of increased balancing requirements and degradation in asset use. Energy storage (ES) represents a flexible option that can bring significant, fundamental economic benefits to various areas in the electric power sector, including reduced investment requirements for generation, transmission, and distribution infrastructure as well as reduced system operation and balancing costs. The additional flexibility offered by ES could also significantly reduce the requirement for investment in low-carbon generation capacity while achieving the established carbon intensity targets. Moreover, ES may present significant option value, as it can provide flexibility for dealing with uncertainty in future system development.

Benefits of Demand-Side Response in Providing Frequency Response Service in the Future GB Power System

The demand for ancillary service is expected to increase significantly in the future GB electricity system due to high penetration of wind. In particular, the need for frequency response, required to deal with sudden frequency drops following a loss of generator, will increase because of the limited inertia capability of wind plants. This paper quantifies the requirements for primary frequency response and analyses the benefits of frequency response provision from DSR. The results show dramatic changes in frequency response requirements driven by high penetration of wind. Case studies carried out by using an advanced stochastic generation scheduling model suggest that the provision of frequency response from DSR could greatly reduce the system operation cost, wind curtailment and carbon emissions in the future GB system characterised by high penetration of wind. Furthermore, the results demonstrate that the benefit of DSR shows significant diurnal and seasonal variation, whereas an even more rapid (instant) delivery of frequency response from DSR could provide significant additional value. Our studies also indicate that the competing technologies to DSR, namely battery storage and more flexible generation could potentially reduce its value by up to 35%, still leaving significant room to deploy DSR as frequency response provider.