Poul Erik Morthorst

Hydrogen as an energy carrier: scenarios for future use of hydrogen in the Danish energy system☆

Scenarios for a transition to a hydrogen society are constructed for Denmark. The physical basis for the scenarios is the exploitation of renewable energy resources already in progress in Denmark. Hydrogen is proposed as a convenient energy carrier due to its versatility in use, transmission and as an energy storage medium. Two main scenarios are constructed, differing in the degree of decentralisation of energy production and management: one resembles the current system with centralised facilities and commercial management, the other being based upon a projected scale-independent cost structure of energy producing and handling equipment, that will allow extreme decentralisation of the physical energy conversion system, possibly accompanied by a similar decentralisation of ownership and control. The simulation studies show that both scenarios are technically feasible, and that the storage problems arising from the mismatch between demand and intermittent sources can be solved in both a centralised and a decentralised fashion.

Case Study Analysis

The case studies in DECENT were chosen in order to facilitate a detailed research of the DG project’s framework in relation to the hypotheses. Furthermore, a good representation of the different Member States had to be ensured, in order to be able to get case study information on possible effects of different settings of the power markets. As relevant indicators the level of liberalisation and market conditions, and the type of RES-E/CHP support scheme were chosen. In addition, a fair mix of the generation technologies covered in DECENT had to be maintained.

Decentralised Power Generation in the Liberalised EU Energy Markets

1 Introduction.- 2 What is Decentralised Generation?.- 3 Outline of Research Methodology.- 4 Status Quo and Developments of DG Technology.- 5 Liberalisation and Decentralised Generation in the EU Member States.- 6 Scenarios: Europes DG Power Generation in the Year 2020.- 7 Case Study Analysis.- 8 Barriers and Success Factors for DG.- 9 Policy Implications.- 10 DG and Security of Supply.- 11 DG and EU Energy Technology R&D Policy.- 12 Conclusions and recommendations.- 13 References.- 14 Index.- Annex A: Survey questionnaire of the DECENT Futures Study.- Annex B: Characterisation of Case Studies.- Annex C: EU energy legislation applicable to DG.

Coordinated Renewable Energy Support Schemes

This paper illustrates the effect that can be observed when support schemes for renewable energy are regionalised. Two theoretical examples are used to explain interactive effects on, e.g., the price of power, conditions for conventional power producers, and changes in import and export of power. The first example covers countries with regional power markets that also regionalise their support schemes, the second countries with separate national power markets that regionalise their support schemes. The main findings indicate that the almost ideal situation exists if the region prior to regionalising RES-E support schemes already has a common liberalised power market. In this case the introduction of a common support scheme for renewable technologies will lead to more efficient sitings of renewable plants, improving economic and environmental performance of the total power system. But if no such common power market exits regionalising RES-E support schemes might due to interactions introduce distortions in the conventional power system. Thus contrary to intentions we might in this case end up in a system that is far from optimal with regard to efficiency and emissions. Thus considerable cautious should be taken when coordinated or regionalised support schemes are introduced, the outcome depending especially on the conditions at the power market.

Wind Energy Resource Potential

How much of the world’s electricity needs could actually be met using wind energy? This is a question of fundamental importance. Detractors of wind energy, and of renewable energy in general, often assert that modern renewable energy will never contribute more than a few per cent of world energy demand and is therefore not worthy of serious consideration. Is such scepticism justified?

Economics of Wind Energy

As described in Chapter 3, wind power is used in a number of different applications, including both grid-connected and stand-alone electricity production, as well as water pumping. This chapter analyses the economics of wind energy primarily in relation to grid-connected turbines, which account for the vast bulk of the market value of installed turbines.1

Barriers and Success Factors for DG

Within DECENT, barriers and success factors for Decentralised Generation in the EU were identified through extensive case studies, expert interviews, and literature review. First, however, a characterisation of the actors and typical constellations is given, as it was found to be typical in the DG field. These form an integral part of the barriers and success factors presented thereafter.

Outline of Research Methodology

The aim of the DECENT research project was to investigate the regulatory, economic, market, social and environmental aspects that influence the development of decentralised power generation and the way they can be influenced by EU and national policies.

DG and EU Energy Technology R&D Policy

Technology research and development plays a key role in developing and implementing decentralised energy generation in the EU. One of the findings from the DECENT futures survey “Future Decentralised Energy Systems 2020”25 (cf. Chap. 4.3) was that lack of R&D was considered one of the main barriers to the realisation of decentralised energy generation. In this study, for example, the lack of R&D resources was highlighted as a barrier for the realisation of statements regarding: Development of new revolutionary wind turbine concepts Cost reduction in biomass Improvement of energy efficiency in CHP Improvement in lifetime of CHP fuel cells

Liberalisation and Decentralised Generation in the EU Member States

On 19 February 1997, the Directive 96/92/EC on the Internal Market in Electricity entered into force. Each Member State had 2 years to adapt it into national legislation. After the Directive on price transparency (90/377/EG) from 29.6.1990 (for electricity and gas) and the one on electricity transit (90/547/EG) from 20.10.1990, this Directive marks a further step to the liberalisation of the electricity sector in the European Union.