320 likes | 476 Views
D ISPATCHABLE DG N ETWORK. 1 st AIF Research Forum Sonny Xue, 19-May-2006. Outline. Electricity Market Reviews Opportunities & Requirements for DGs Enhanced Dispatchability through Networking Approach A Case Study: D-DGNet in NB Conclusion . Reviews on NA Power Deregulation.
E N D
DISPATCHABLEDGNETWORK 1st AIF Research Forum Sonny Xue, 19-May-2006
Outline • Electricity Market Reviews • Opportunities & Requirements for DGs • Enhanced Dispatchability through Networking Approach • A Case Study: D-DGNet in NB • Conclusion
Reviews on NA Power Deregulation • In 1992, US Energy Policy Act empowered the Federal Energy Regulatory Commission (FERC) to deregulate the power industry. • Slowly until 1998 beginning in California. • Debates after 2003 North America Blackout. • Nevertheless, it is a “real animal” today!
What is Power Deregulation? • Industry Structure change Vertically integrated Horizontal & competitive • Electricity price basis change Average cost Marginal Cost1 1.Marginal Cost -- The operating cost of providing next kWh above any energy currently being produced using the most expensive generating unit in the market.
Management of Wholesale Electricity Trading Markets • In USA, Regional Transmission Organizations (RTOs) are converting to Independent System Operators (ISOs). • Under FERC, ISOs oversee the regional restructuring of power industry, establishing and operating of competitive wholesale electricity markets.
Electricity Deregulation in Canada • In 1995, Alberta passed the Electric Utilities Act. • In 1998, Ontario passed the Energy Competition Act. • On October 1, 2004, New Brunswick proclaimed the new Electricity Act.
NB Power Transmission • Interconnections with QC, NS, PEI, NE • New 345kV power line to NE, 400MW. • Open for "out" and "through" service by Open Access Same Time Information System (OASIS).
Opportunity for Wind Energy • NB Power Distribution seeking 400MW wind energy by 2016. • 20MW purchasing from the wind farm at Dark Harbour, owned by Eastern Wind Power Inc.
Wholesale Electricity Trading 1. Bilateral Transactions (long term fixed contracts -- future market) 2. Short-Term Forward Market Trading (day-ahead market) 3. Spot Market (real-time market)
Causes Behind the Price Spikes • Market policies or rules • Cost recovery or participants playing games • Transmission congestion • Lack of demand-side bidding • Unbalanced demand and supply • Market power • Uncertain factors
Potential Markets for DGs (1) • Compete for regional electricity market • On-site power (reliability, CHP, peak-shaving) • Grid operating reserve (10 min calling, >= 2 hours running) • Unopen market (avoided cost through net-metering program) • Open market (benefit from government incentives, customer support through green Power Content Label)
Potential Markets for DGs (2) • Export to other networks through OASIS
Requirements for DGs (≤10MVA) • Cost & Efficiency Improving and still challenging… • Safety & Reliability Interconnection Standards (IEEE 1547) and Safety Standards (UL 1741) • Dispatchability1 Not required by IEEE 1547 but extremely necessary if small DG wants to play in the market and to obtain added value. 1.One of ancillary services (identified by FERC), including Reactive Power, Load Following, Loss Compensation, Energy Imbalance, Scheduling and Dispatch services, and System Protection, i.e. Operating Reserves.
Dispatchabilities of DGs • Dispatchable DGs (firm power) • Microturbines, diesel generators, fuel cells, biomass plants, etc. • Non-dispatchable DGs • Wind turbines, photovoltaics, micro hydros, etc. • penetration certain burden in system operation and scheduling
Some “Firming” Technologies • PV + direct load control (DLC) • Wind + dispatchable load (dump) • Wind or PV + energy storage (battery, hydro pump, flywheel, or probably superconductive magnetic?) • Hybrid system (wind + gas turbine) in a Microgrid
New Approach: Dispatchable DG Network • A WAN approach (Microgrid is a LAN.) • DG siting for congestion management. • Increased aggregated generation strengthen competition in market • Balance power among DGs of different technologies, especially the firm DG. • Optimal power generation in terms of cost
Components of D-DG Network • Dispatchable DGs in the network • Centralized Control Center to monitor and dispatch the generators • SCADA or Communication backbone network or Broadband over Power Lines (BPL) • RTU = DG Generator + Com Interface
Basic Dispatch Modes • Base Loading • Load Following • Peak Shaving (Time of Using)
Generation Commitment & Scheduling • Long-term commitment • Day-ahead commitment • Hourly commitment
How DGNet meets the commitment? • Basic Ideas • Dispatch the firm DGs against non-dispatchable DGs • Weather forecast & generation estimation • Utilize DG as storage, e.g. hydro pump • Systematic Research Approach • Optimization problem • Stochastic generation Probabilistic methodology • Uncertainties Fuzzy logic approach
SimulationModel Using HOMER • First Step Collecting data
Economic Analysis • Value of Dispatchable DGNet VD = RD – RC RD – Dispatchable DGNet Revenue RC – Conventional DGs Revenue
Conclusion • Power deregulation brought about both opportunity and challenge to DGs. • Dispactchable DGNet can strengthen its competitiveness in open electricity market over traditional single DG to the utility. • Dispatchable DG network expects added values on price arbitrage, congestion management, and ancillary services.