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Costing network services for consumers with photovoltaic self-generation Mathieu Bordigoni Laurent Gilotte IAEE Vienna 2017 Date et rfrences Introduction Most EU grid tariffs mainly based on energy Adopting self-consumption reduces


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Costing network services for consumers with photovoltaic self-generation Mathieu Bordigoni Laurent Gilotte

IAEE Vienna 2017

Date et références

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Introduction

Most EU grid tariffs mainly based on energy Adopting self-consumption reduces clients grid bill substantially

  • France : typical client gains 30€ per self-generated MWh

But no comparable decrease in long-term network costs Rethink : services provided, costing, and pricing Research work. Not necessarily the position of Enedis

Bordigoni and Gilotte, IAEE Vienna 2017

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From services to costs and to tarifs

1) Identify the services provided 2) Allocate the costs per services 3) Allocate costs to clients according to the services they use 4) Construct tarifs (price offers) so as to

1) Cover total costs 2) Give good price signals (efficiency) 3) Reflect individual costs (equity)

Bordigoni and Gilotte, IAEE Vienna 2017

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From services to costs and to tarifs

1) Identify the services provided 2) Allocate the costs per services 3) Allocate costs to clients according to the services they use 4) Construct tarifs (price offers) so as to

1) Cover total costs 2) Give good price signals (efficiency) 3) Reflect individual costs (equity)

Bordigoni and Gilotte, IAEE Vienna 2017

This work

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From services to costs and to tarifs

1) Identify the services provided 2) Allocate the costs per services 3) Allocate costs to clients according to the services they use 4) Construct tarifs (price offers) so as to

1) Cover total costs 2) Give good price signals (efficiency) 3) Reflect individual costs (equity)

Bordigoni and Gilotte, IAEE Vienna 2017

This work The questions we raise Illustrate with self-generation

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Services provided by the grid

Bordigoni and Gilotte, IAEE Vienna 2017

access guaranteed power energy quality

  • Clients become able to drop one service and keep the others
  • Can no longer be priced through energy as an homogenous bundle

Reach to all peers and markets from home Call power up to max subscribed when required Receive energy without interruption 99.99% of time Ensure security and life-duration of household equipements

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Tentative costing of distribution grid services

Bordigoni and Gilotte, IAEE Vienna 2017

Network Sizing Geographical extent

access

35% of costs

guaranteed power energy quality

65% of costs

  • Maintenance and operations
  • Amortization and capital
  • Losses treated separately
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Hourly unit costs for network use

Bordigoni and Gilotte, IAEE Vienna 2017

Network Sizing Geographical extent

access

35% of costs

guaranteed power energy quality

65% of costs

  • For each voltage level
  • Divided among hours
  • According to hourly load
  • Peak-load allocation
  • Based on probabilities
  • Any hour can be a local peak

… but chances vary

Overhaul of a method pioneered by the regulator Three services still bundled with energy as proxy

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Peak-load costing of hourly use of the network

Bordigoni and Gilotte, IAEE Vienna 2017

Example : allocation of Medium Voltage costs among hours

Probability of hour being in top 5% quantile For the load of any of the 2000 substations

LV costs with top 0,5% , HV top 20%  Compounded unit cost for using LV in an hour

Add HV and MV weighted by induced flows

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Unit costs for LV use – monthly agregation

Bordigoni and Gilotte, IAEE Vienna 2017

Summer costs close to short-term marginal costs (losses) Additional costs from some networks with summer peak loads (For illustration. Paper results based directly on hourly costs)

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Costing of clients based on services required

Bordigoni and Gilotte, IAEE Vienna 2017

Network Sizing Geographical extent

access

35% of costs

guaranteed power energy quality

65% of costs

  • Divided among clients
  • Depending on LV/MV
  • Peak load costing
  • Hourly unit cost
  • Divided among clients
  • Individual hourly uses
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Interpretation of the costing

Costs allocated to a client : according to the likelihood that

the services required may contribute to future investments including the network renewal to maintain access

Bordigoni and Gilotte, IAEE Vienna 2017

  • an allocation of

billable costs

  • may not match the

grid value or long- term marginal cost i.e. present value of a permanent increase in services requirement

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Results for typical clients

Bordigoni and Gilotte, IAEE Vienna 2017

Clients who adopt PV self-consumption

Reduced use of the energy delivery service Less costs allocated, around 13 €/self generated MWh (LV clients) Average over summer (large self-consumption low grid value) and winter Less than half the individual gain from reducing network bill

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Conclusions

Case for clarifying the services provided Renewed method for costs allocation

But we still treat power as energy

Can be used to analyse clients bills Application to self-consumption consistent with widespread concerns

Current grid tariffs

  • vercharge energy

undercharge fixed and power components

Borenstein 2016, Pollitt 2016, Simshauser 2016

Bordigoni and Gilotte, IAEE Vienna 2017

Perspectives

  • Consider large

penetration of PV self- generation

  • Tend to lower the value

per self-generated MWh (decreasing marginal returns)

  • Applications to shared

self-generation

  • Develop comparison w.

Cohen et al. 2016

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Retrouvez-nous sur Internet

enedis.fr enedis.officiel @enedis enedis.officiel Enedis - Tour Enedis, 34 place des Corolles - 92079 Paris La Défense - enedis.fr

SA à directoire et à conseil de surveillance au capital de 270 037 000 euros - R.C.S. Nanterre 444 608 442

Contacts Mathieu Bordigoni mathieu.bordigoni@enedis.fr Laurent Gilotte laurent.gilotte@enedis.fr