Effective integration of Distributed Solar PV Project summary - - PowerPoint PPT Presentation

November 2019

Effective integration of Distributed Solar PV

Project summary

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The team

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The environment

1 2 3

May 2009 Sept 2009 Jan 2010 May 2010 Sept 2010 Jan 2011 May 2011 Sep 2011 Jan 2012 May 2012 Sep 2012 Jan 2013 May 2013 Sep 2013 Jan 2014 May 2014 Sep 2014 Jan 2015 May 2015 Sep 2015 Jan 2016 May 2016 Sep 2016 January 2017 May 2017 September 2017 January 2018 May 2018 September 2018 January 2019

$/Wp

German spot market prices for polycrystalline modules from Europe

86 % drop in the last 10 years

• Reduction of solar PV

investment Competitive LCOE compared with other technologies

• Improvement in

monitoring solutions

• Enhancement of the

technology characteristics

Nowadays, distributed generation and integrated local energy systems are an affordable solution

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Cost of the electricity supply in the consumption location based

• n distributed solar PV

€600/kW

1,700 x 25

= c€1.4/kWh

• Investment:

€600-1,000/kW

• Production in

Madrid area: 1,700 kWh/kW

• Useful life: 20-

30 years

• Maintenance

cost: no relevant

The environment

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The scope: distributed solar PV

• Integration approach: demand + solar

PV + batteries

• Optimal sizing of solar PV equipment

and storage devices according to consumption patterns and radiation profile: affordable business models

• Impact on wholesale market price
• Impact of the solution on the electricity

system reliability: static and dynamic assessment

• Recommendations: business,

regulation and technical Test in different EU environments:

• Greece
• Poland
• Lithuania
• Germany
• Spain

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Distributed solar PV: Prosumer

Electricity wholesale market (pool)

Electricity (export)

€

Electricity system (DSO) Electricity retail market (retailer) Electricity system (DSO)

Electricity (import)

€

The solution is sized according to the consumption profile, the irradiation pattern (electricity production) and the energy storage devices characteristics, taking into consideration different regulatory frameworks: net metering, feed in tariff, the retail and wholesale electricity prices, etc.

The method for sizing the solution

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The case studies

More than 80 case studies

• Economic affordable solution,

IRR higher than 7% (in some EU locations higher than 10%)

• Relevant self-sufficiency.

Depending on the consumption profile, up to 60%

• The effectiveness of the

solution is based on self- consumption rather export energy to the market

• Currently, the storage reduces

the return of the investment

Example: Residential prosumer in Germany

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The impact of the distributed solar PV on the wholesale market Simulating the Spanish pool with 1 TWh of distributed solar PV, the price had dropped:

• €0.44/MWh in 2015
• €0.37/MWh in 2016
• €0.35/MWh in 2017

0.00 20.00 40.00 60.00 80.00 100.00 120.00 140.00 160.00 180.00 200.00 0.00 1150.00 2300.00 3450.00 4600.00 5750.00 6900.00 8050.00 9200.00 10350.00 11500.00 12650.00 13800.00 14950.00 16100.00 17250.00 18400.00 19550.00 20700.00 21850.00 23000.00 24150.00 25300.00 26450.00 27600.00 28750.00 29900.00 31050.00 32200.00 33350.00 34500.00 35650.00 36800.00 37950.00 39100.00 40250.00 41400.00 42550.00 43700.00 44850.00 46000.00 47150.00 48300.00 49450.00 50600.00 51750.00 52900.00 54050.00 55200.00 56350.00 57500.00 58650.00 59800.00

Price (€/MWh)

Energy (MWh)

Supply and demand

Supply Demand Price Self-consumption Demand’ Supply’ Energy surplus due to distributed generation

2017 Day_Ahead_Auction Model_Price NoPV_Model_Price Mean Price 34.20 34.19 40.47 Peak Price 37.99 37.90 49.67 None Peak Price 30.41 30.48 31.28 2016 Day_Ahead_Auction Model_Price NoPV_Model_Price Mean Price 28.98 28.98 33.96 Peak Price 31.93 31.83 41.14 None Peak Price 26.03 26.14 26.78

Germany

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The impact of the distributed solar PV on reliability of the system

Static and dynamic assessment, simulating the impact of different levels of distributed PV penetration

• n the

electricity flows

• Voltage control: reduction of this

variable volatility with reference to the voltage reference

• Reduction of losses in the

transmission and distribution grid

• Reduction of the load of circuits
• Reduction of risk exposure with

reference to incidents in the system (contingencies)

• Solar PV increases the impact of

frequency drops. Batteries mitigate this impact.

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Recommendations

In progress

• The solar PV panels can cover most of the demand at sunlight

hours while the rest of the time the electricity is purchased from the grid: self-consumption Relevant economic savings in the variable and fixed prices.

• Clustering prosumers is an effective approach: optimization in the

investment process and in the self-consumption (reduction of electricity excesses).

• Net metering approach could promote the installation of distributed

solar PV, but it is not an optimal method.

• The effective integration of prosumers to provide energy/services

to the market/system operators require to establish intermediaries (aggregator): optimizing.

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Recommendations

In progress

• It is necessary to establish a regulatory framework for the

aggregators activities (integration with the market and system

• perators).
• In order to incentivise the distributors to collaborate in the large

penetration of distributed generation, economic incentives has to be established based on the positive impact of this solution.

• It is pending to decide the information flow of the distributed solar PV

with the DSO and TSO, and the monitoring process.

• The usage of batteries to enable the penetration of distributed solar

PV requires the reduction of its costs to around €120/kWh Batteries is an accurate solution to provide frequency control services.

• The effective management of the electricity system requires to

establish connection grid criteria for large distributed solar PV penetration.