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c i f i c a DIgSILENT Pacific P Power system engineering and software T N REZ development in the NEM E Technical challenges and potential solutions L I Joseph Leung S Technical Seminar PowerFactory 2020 14 February 2020 g I D

  1. c i f i c a DIgSILENT Pacific P Power system engineering and software T N REZ development in the NEM E Technical challenges and potential solutions L I Joseph Leung S Technical Seminar PowerFactory 2020 14 February 2020 g I D

  2. c i f i c a Introduction P • In Australia, the industry has identified the biggest risk for VRE integration is grid T connection. N • For grid connection, the top 3 issues are: • Thermal congestion E • System strength • Loss factor L • A good Renewable Energy Zone (REZ) should be able to manage these issues I S • How? g I 2 D

  3. c i f i c a Study scope P ARENA engaged Baringa and DIgSILENT to investigate the challenges for REZ development and potential technical, regulatory and commercial solutions T Phase one Phase two Phase three Stakeholder consultation N - 16 bilateral meetings - Governments, energy market bodies, investors, developers, technology providers E Draft report International case study review Stakeholder - Challenges of, and approaches workshop L to, increasing renewable energy development Final report Case study modelling: NW-VIC and CW-NSW I - Near-term and long-term modelling of technical challenges and S impact of potential solutions: network build, synchronous condensers, synchronous static series compensators, battery with grid-following inverters, battery and VRE with grid-forming inverters. g Regulatory and commercial options - Qualitative analysis of potential options for near and longer-term REZ development, and supporting uptake of I complementary technologies 3 D

  4. c i f i c a Project at a glance P Two REZs: • Central West NSW and North West VIC T • Five technologies: • Syncon, • N Battery with grid-following inverter • Battery with grid-forming inverter • VRE with grid-forming inverter • Synchronous Static Series Compensator • E Two constraints: • System strength • Thermal • L Two networks: • No change • I ISP augmentation • S Three comparisons: • 5 technologies • Technology vs network augmentation • Coordinated vs uncoordinated approach g • I 4 D

  5. c i f i c a Renewable Energy Zones P • The two REZs demonstrate different technical challenges T • Both have significant resource potential, as identified in the ISP, N that cannot be facilitated by the current network E • The NSW and VIC regions of the NEM are also facing coal plant retirements in the coming decade, L and leveraging new generation potential will be important to I replacing this capacity and S maintaining reliability g I 5 D

  6. c i f i c a Technical solutions investigated P Technology Description System strength Thermal capacity solution* T Essentially act as a motor that spins freely, without being Synchronous connected generation or load. It either absorbs or generates Improve Neutral condenser reactive power to adjust to regulate the voltage in the grid. N Battery with Utility-scale battery connected to the grid with an inverter that grid-following ensures the output voltage follows that in the local grid (rather Reduce Improve inverter than a fixed output voltage). Battery with Utility-scale battery connected to the grid with an inverter that can Neutral / Improve E grid-forming set the voltage in the local grid (rather than a fixed output (Depending on technology Improve inverter voltage). suppliers) VRE with VRE connected to the grid with an inverter that can set the voltage Improve grid-forming Neutral L in the local grid (rather than a fixed output voltage). (Technology under development) inverter Improve Synchronous Often considered a ‘smart wire’ technology. An SSSC is a Improve (Existing SSSC may have a I Static Series technology (transformer and inverter) that can inject voltage into a (Depending on network limitation during fault; technology Compensator transmission line to manage voltage or alter the power flow. topology) under development) S NW-VIC Based on ISP 2018 and Western VIC RIT-T – assumes both the Western Victorian RIT-T projects and longer-term augmentation identified g network build by ISP are built CW-NSW Based on ISP 2018 and discussion with TransGrid - assumes new 500kV circuits are built to Liverpool Ranges in 5-10 years I network build 6 D

  7. c i f i c a Modelling scenarios overview [1] P • DIgSILENT and Baringa models explore the technical hosting capacity of the REZ, how T much developers could be expected to build commercially in the REZ, and the associated costs and benefits. N • ‘Do nothing’ scenario : • This assumes that all existing and committed projects in each REZ (and across the NEM) are operational, with the current network E • It then explores the current technical challenges (e.g. curtailment risk and poor system strength) and the potential future headroom if there were to be no additional network or non-network intervention • Uncoordinated technology implementation assumes that when a technology solution is L needed, triggered by connecting generation, it will be implemented at the site of the connecting generation. This is a simplified representation of the ‘do no harm’ approach. I • Coordinated technology implementation assumes that when a technology solution is S needed, it is implemented at a network location and of a scale that is efficient for the REZ as a whole. (connection groups) g I 7 D

  8. c i f i c a Modelling scenarios overview [2] P Scenario (C: coordinated implementation, Technology deployed T U: uncoordinated implementation) Do nothing Nil network or technology development in REZ N C1/U1 Synchronous condenser E C2/U2 Grid-following battery C3/U3 Grid-forming battery L C3B/U3B Grid-forming battery with higher fault contribution I C4/U4 Grid-forming VRE S C5/U5 Synchronous Static Series Compensator ISP ISP network build g Hybrid ISP network build and optimal technology solution I 8 D

  9. c i f i c a Hosting capacity study P • The hosting capacity of the two REZs are based on consideration of two key factors: T • System strength • Thermal constraint N • System strength assessment is based on the steady state methodology provided in AEMO’s system strength impact assessment guidelines, which assume the minimum SCR at the POC to be 3 E • New VRE entries are based on AEMO’s generator information page and locations are assigned to the nearest existing substations for modelling simplicity L • Actual operational limit will be dependent on: • Generation dispatch, e.g. higher SCR can be available at night time when solar farms I are not in service S • System conditions like planned outages • Other special protection schemes g I 9 D

  10. c i f i c a P T N Results E L I S g I D

  11. c i f i c a REZ – CW NSW P T N E L I S g I 11 D

  12. c i f i c a REZ – NW-VIC P T N E L I S g I 12 D

  13. c i f i c a Key findings P 1. Summary of resource potential and network constraint T 2. Different technologies N 3. Coordination vs. un-coordination 4. NW-VIC vs. CW-NSW E L I S g I 13 D

  14. c i f i c a Challenge of developing REZs P These two REZs have recently seen active VRE development with available network capacity being rapidly exhausted. This is leading to increased risk of curtailments and hindering access to the significant remaining potential. Resource potential and network constraint T VRE under curtailment risk 2 CWNSW Future export limit – Do nothing 2 N Future export limit (some curtailment risk remains) – Best technology solution 2 E NWVIC 10,300MW L 4,300MW I S 1,650M 590MW 1,875MW W 0MW 940MW 216MW g Sources: 1. AEMO - ISP 2019 Input and Assumptions Workbook Existing & Existing & 2. Own research in this study based on current network I Future VRE Future VRE Committed Committed Potential 1 Potential 1 Capacity Capacity 14 D

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