Smart Grids and Energy Users – Visions and Possibilities
Anders Troi Head of Intelligent Energy Systems
Setting the scene for Smart Grids
Why smart grids? Structure and Elements of the grid. Electricity Market and problems to solve. Discussing the consumer role. Danish Smart Grid Projects. 2
Risø DTU, Technical University of Denmark
Intelligent Energy Systems
The Danish electric power system 20% wind power penetration
Risø DTU, Technical University of Denmark
Danish energy consumption has been stable over the last 25 years Is it possible to continue, given structural changes and sectors ? PJ 900
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0 1980 Oil
'85 '90 '95 Natural Gas Coal and Coke
Risø DTU, Technical University of Denmark
'00 '05 Renewable Energy etc.
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Wind power in relation to total power consumption in EU, EoY 2008 25
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15
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14,8 14,4
10,1
9,4
5,3
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3,7 3,4 3,4 3,2 3,2 3,2
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2,5 2,3 2,3
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1,6 1,5 1,4 1,1 0,8 0,5 0,5
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Percentage wind power of aggregate power consumption
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Risø DTU, Technical University of Denmark
Intelligent Energy Systems
Challenges of the Future Energy System
Generation
Transmission HV
Distribution MV
Present Energy System:
Future Energy system:
• Production follows load
• Consumption follows production
• Power direction is predictable
• Power direction is unpredictable
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Risø DTU, Technical University of Denmark
Intelligent Energy Systems
The Danish Scenario – Large wind production From 20 % to 50 % wind power – massive overflow 4500
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Wind power
DK West January 2008
Demand
Wind power
Demand and Wind power
Demand
January 2008 + 3,000 MW
If Denmark doubles the wind power - there will be massive overflow. Imbalances between wind power and max load will be more that 1.5. The passive consequence is closing down wind turbines in more than 1,000 hours a year unless Denmark chooses an intelligent approach. 7
Risø DTU, Technical University of Denmark
Intelligent Energy Systems
Setting the scene for Smart Grids
Why smart grids? Structure and Elements of the grid. Electricity Market and problems to solve. Discussing the consumer role. Danish Smart Grid Projects. 9
Risø DTU, Technical University of Denmark
Intelligent Energy Systems
Services Ressources
Denmark
International
Fluctuating electricity
Electrical Vehicles
Bio mass
Gas system Electrical systems
Add. Electrical consumption
Heat pumps
Risø DTU, Technical University of Denmark
District heating net
Heating
Industry, process etc.
Gas storage
Fuel
(Hybrid cars etc.)
International
SYSTEM
Structure of the grid – part one
The future Energy System - Fundamental technologies • Market place Understanding of market and customer behaviour.
• Storage technologies Optimize storage to application and price targets.
• Power flow control Understand the power flow and the congestion issues.
• Communication system Data requirements and privacy issues.
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Risø DTU, Technical University of Denmark
Intelligent Energy Systems
Setting the scene for Smart Grids
Why smart grids? Structure and Elements of the grid. Electricity Market and problems to solve. Discussing the consumer role. Danish Smart Grid Projects. 12
Risø DTU, Technical University of Denmark
Intelligent Energy Systems
Smart Grid will be market based - Consume energy when price is low - Reduce consumption when price is high
Technologies include: Prediction Information and communication
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Risø DTU, Technical University of Denmark
Intelligent Energy Systems
Structure of power markets Operation hour Regulating power market (real-time market): -Activation minute reserves
Hours before Intra-day market: - Rescheduling production and power exchange
Automatic regulation (spinning reserves)
Day before Day-ahead power market:
-Hourly contracts for physical power delivery - Flow on transmission lines Estimate need for reserve power Procurement reserve power
Risø DTU, Technical University of Denmark
Weeks to years Financial markets: - Hedging, speculation - Forward, futures, options Auctioning of transmission capacity Fuel contracts
Procurement of ancillary services
The Value of Demand Respose Flytning af forbrug i tid optimerer Timeshifting ( demand response ) kapaciteten i elsystemet
Increases the capacity of the system
Effekt (kW)
Timer 1
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2 3 04 - 10 - 2011
4 5 side 3
6 7 8 Thorbj ø rn Nejsum
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Risø DTU, Technical University of Denmark
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Intelligent Energy Systems
Energy Market and consumer reactions • Professional customers to react to hourly prices would improve market efficiency, reduce price volatility, and increase welfare. • Private customers need additional incentives. • Danish tax policy must be considered, if a dynamic consumer market is desired. • Price structures are dependant on the penetration of the technologies in the customer base.
Risø DTU, Technical University of Denmark
Setting the scene for Smart Grids
Why smart grids? Structure and Elements of the grid. Electricity Market and problems to solve. Discussing the consumer role. Danish Smart Grid Projects. 17
Risø DTU, Technical University of Denmark
Intelligent Energy Systems
Examples of utilities with flexibility potential Ressource
Caracteristics
Heat pumps
Invisible to consumers
Electric Vehicles
Range Anxiety ?
Freezers
Several days ”storage”
Battery operated devices ( Laptop etc) Dish Washer
Can run at any time?
Washer/Dryer
Can run at any time?
Aircon
Pre cooling possibility.
18
Risø DTU, Technical University of Denmark
Intelligent Energy Systems
But do consumers accept ? Public concern on : • Smart meters – may reveal privacy ?
• How about privacy – who owns my data ? • Do you really need the devices ? • Impact on my way of living?
But You accept or neglect: • The smartphone can track you. • Internet history is stored for AD use. • Your house is full of other computers. • Facebook profile / Linked In are open? 19
Risø DTU, Technical University of Denmark
Policies and Legislation Needed!
Intelligent Energy Systems
Setting the scene for Smart Grids
Why smart grids? Structure and Elements of the grid. Electricity Market and problems to solve. Discussing the consumer role. Danish Smart Grid Projects. 22
Risø DTU, Technical University of Denmark
Intelligent Energy Systems
National Research projects in Denmark from Cell Controller to iPower
Power Exchange Electric Vehicle
Power Dealer
Balance Responsible
Socioeconomi c and investor
WP5 WP3
Cell Controller
WP1 + WP2 Households Industry
End users
Wind turbines
WP6
Households
Local CHP units
WP4 23
Risø DTU, Technical University of Denmark
Intelligent Energy Systems
EDISON Key figures Electrical Vehicles technology and infrastructure 8 Partners, (Universities, Small and Large Companies) Duration 3 years , 60 Mio DKK ~ 8 Mio. € ~ 11 Mio $ Risoe DTU / IES Experimental site and Charging concepts
First European EV Project • EV Communication • Battery characteristics • Charging Concepts • Grid Impact • VPP/Market place • Demonstration
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Risø DTU, Technical University of Denmark
Intelligent Energy Systems
iPower coverage area
Socio-economic and investor
WP5
WP3 WP1 + WP2
End users
WP4 Risø DTU, Technical University of Denmark Source: Based on drawing from Danish Energy Association
WP6
iPower Platform Objective The iPower platform focuses on power system integration of large amounts of electricity from fluctuating renewable energy sources such as wind power and photovoltaic’s by activation of flexible consumer demand. The iPower platform : - links research and demonstration to actual product development - Specifies methods, technologies and requirements for products - Integrates understanding of consumer behavior . - Enables industry partners to become first movers in a new and growing world market. Risø DTU, Technical University of Denmark
iPower Key figures 32 Partners, ( Universities, Small and Large Companies )
Duration 5 years , 120 Mio DKK ~ 16 Mio. € ~ 22 Mio $ Cross Disciplinary Research and Innovation platform Socioeconomic and investor
WP5
WP3
WP1 + WP2
End users
WP6
Largest Danish Smart Grid Project • Research & Development • Products/Solutions • Identification • Communication • Demand Control • Integration
WP4 Risø DTU, Technical University of Denmark
Source: Based on drawing from Danish Energy Association
iPower – focus on demand response:
Market model And It solution
Solutions Behaviour
Not to be adressed Requirements Risø DTU, Technical University of Denmark
Energy for the future
Risø DTU, Technical University of Denmark