RET_2015-01-02-03-04_Flipbook

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Demand Response: which place in the future energy system - Peter SCHELL 2 SECONDARY ASSET USE The key to the solution is secondary asset use. Indeed while the cost per MW of assets that are used exclusively for services to the energy system grow significantly with reduced running hours. This is true for traditional generation of course but also for new technology such as “utility” batteries. The more appropriate solution lies in the creative use of assets that have a different prime purpose but can also deliver suitable capacity to the energy system especially if it is for a limited hours a year. This means that while traditional technologies and newer technologies dedicated to the energy system will aim at covering the capacity required for a significant number of running hours, starting from the right of the graph in Fig. 1. And moving up, DR will start from the left and move down. Where they will meet should not be decided upfront by the market model but should depend on the further evolution of all technologies and approaches that compete today and in the future. 3 POTENTIAL OF DR We have now defined the qualitative role DR will play. Therefore the question remains what quantitative role DR will be able to play. This will depend on the following factors: • How much capacity is needed for limited periods • How much extra potential is added through elecro-mobility, electric heating & cooling and distributed storage • How interesting the opportunity is and remains (see below) the opportunity In an optimistic scenario where all 3 of these elements are present then 2-3 GW of capacity are plausible in the Belgian context. That is about 20-25% of max load. Today already 10% of max load i.e. about 1,4 GW are realistically available assuming a full market opening. Currently there are about 850 MW already commercialized in R1,R3 and strategic reserves. 4 HOW TO GET THERE The key required change is a market model that will allow the fair competition for capacity that is required a limited number of hours. This obviously means giving access to the new technology an DR in particular to all markets where this capacity is traded: Balancing market, intraday market, day-ahead market and forward hedging solutions (central capacity mechanism or market based solution). But, as forgotten by most governments, it also means not subsidizing existing technologies such that they are able to enter or remain in this market not withstanding their structurally uncompetitive cost structure. In Belgium the first condition is about to be met but there is significant risk regarding the second one. Revue E Tijdschrift – 131 ste jaargang/131 e année – n° 1-2-3-4-2015 (publication mars/publicatie maart 2017) 3
Demand Response: which place in the future energy system - Peter SCHELL CONCLUSION DR will play a very significant role in the future energy system, the more so where and when significant roll-outs of intermittent energy sources and cross-boarder capacity happen. This is planned to be the case in Belgium and as such the already leading position regarding DR should be further extended to maximize the efficiency and sustainability of the energy system, while guarantying the essential security of supply our society needs. The CREG has set the example and put out a path towards a future market model. This now needs to be changed into a real working market and this will depend on the constructive attitude of all market players and the continued will and vision of the federal and regional governments. REFERENCES [1] http://www.creg.info/pdf/Etudes/F1459FR-2.pdf THE AUTHOR Peter Schell, Vice-president regulatory affairs Peter is an engineer with a large experience in the energy field, especially in models of energy markets. For the last 15 years, he was active in the energy distribution area, with the liberalization of gas and electric markets, the decoupling of retail and distribution. In the transmission area, he advocates the necessary change of rules to allow the application of innovative smart grid technologies. Peter represents Sirocco BVBA. Revue E Tijdschrift – 131 ste jaargang/131 e année – n° 1-2-3-4-2015 (publication mars/publicatie maart 2017) 4
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ISSN 07700024 DRIEMAANDELIJKS - TRI
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LA FLEXIBILITE DE LA DEMANDE: COMME
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MOYENS A METTRE EN ŒUVRE POUR FACI
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Moyens à mettre en œuvre pour fac
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De rol van flexibiliteit in onze en
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Page 97 and 98: The solution for electrical systems
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Ontwerp van een robuuste datalogger
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