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Cellular markets for distributed power grids: an exemplary study Silvan Fabender, Daniel Wittl, Janis Kaltschnee, Stefan Schroer, Eberhard Waffenschmidt Silvan Fabender 7th International Energy and Sustainability Conference 2018 Challenge


  1. Cellular markets for distributed power grids: an exemplary study Silvan Faßbender, Daniel Wittl, Janis Kaltschnee, Stefan Schroer, Eberhard Waffenschmidt Silvan Faßbender 7th International Energy and Sustainability Conference 2018

  2. Challenge and Objective  Increasing volatility between electricity generation and consumption induce more and more transmission bottlenecks  Conventional approach: ● Avoid them by building new transmission lines  Our approach: ● exploit distributed nature of renewables ● Avoid and control transmission bottlenecks • primarily in the lowest grid level as possible in the distribution grid and • secondarily in the transmission grid ● Create a resilient System based on stable subsystems 2 Silvan Faßbender 7th International Energy and Sustainability Conference 2018

  3. The cellular approach  Distributed energy management systems (automation) ● Design of an active distribution network  Each cell ● primarily supplies itself ● secondarily use transmission to supply next higher cell level  Open question: ● How to orchestrate cells? 3 Silvan Faßbender 7th International Energy and Sustainability Conference 2018

  4. Market solution  How could cellular energy markets work? ● How can the cellular behaviour be illustrated? ● Which market tools could affect which parameters?  Identify Parameters that indicate the utility of certain measures 4 Silvan Faßbender 7th International Energy and Sustainability Conference 2018

  5. Market solution  Organize and control via free market ● How could such market look like?  Ideas: ● Automated pricing by a merit order ● Differentiation of transmission distance • Transmission fee or local bonus 5 Silvan Faßbender 7th International Energy and Sustainability Conference 2018

  6. Merit Order  Increasing Supply list  Decreasing demand list  Market clearing price 6 Silvan Faßbender 7th International Energy and Sustainability Conference 2018

  7. Cellular Merit Order markets  Cells are vertically linked  Merit Order is linked to its upper and lower Merit Orders ● Transmission Capacities Cap(t) Each Cell has its own market clearing price ● Transmission Costs/Fees TC(t) Cell D MCP(t) Cap(t) Cap(t) TC(t) TC(t) Cell E Cell C MCP(t) MCP(t) Cap(t) Cap(t) Cap(t) Cap(t) TC(t) TC(t) TC(t) TC(t) Cell F Cell G Cell B Cell A MCP(t) MCP(t) MCP(t) MCP(t) 7 Silvan Faßbender 7th International Energy and Sustainability Conference 2018

  8. Simulation Tool … Cell X  Class „ Cell “ ● Properties: • Transmission capacity to neighboring cells Cell D • Own market price ● Functions: • Create Merit order Cell Cell • Calculate market clearing price E C  Cells only vertically linked ● Hierarchy can be enhanced as far as desired Cell Cell Cell Cell  Inputs: load and price profiles F G B A 8 Silvan Faßbender 7th International Energy and Sustainability Conference 2018

  9. Simulation example  Greater Cell which comprise of 5 small cells A, B, C, D, E Superior  All Cells contain suppliers Grid and consumers, e.g.: ● Wind park + storage Greater Cell ● City + CHP plant ● Industry + biogas plant Cell Cell Cell Cell Cell ● Village + PV plants A B C D E 9 Silvan Faßbender 7th International Energy and Sustainability Conference 2018

  10. Merit Order of Greater Cell Case 1: supply surplus  Cells C & D (e.g. Cities) and the superior grid are supplied by Cell A & E (e.g. Wind & PV park) Superior C C D Grid Superior D Grid E E A A 10 Silvan Faßbender 7th International Energy and Sustainability Conference 2018

  11. Merit Order of Greater Cell Different dates: supply deficit  Cells C & D (e.g. Cities) are supplied by Cell A & E (e.g. Wind & PV park), the superior grid and Cell D partly by itself (CHP plant) C C Superior Superior D D D Grid Grid A E E A 11 Silvan Faßbender 7th International Energy and Sustainability Conference 2018

  12. Fee or bonus on foreign cell trade  Greater Cell: ● Own subcells: A, B, C, D, E ● Foreign trade with superior grid  Fee on supply  Bonus on supply Superior  Fee on demand Grid  Bonus on demand Superior Superior Superior Superior C C C C C C C C C C Grid D D D D D Grid Grid Grid Superior Superior Superior D D D D D Grid Grid Grid E E E E E E E E E E Superior Superior Superior A A A A A A A A A A Grid Grid Grid 12 Silvan Faßbender 7th International Energy and Sustainability Conference 2018

  13. Conclusion  Target: Cell gets more dependent on its own resources ● Introduce fees on foreign trade • Storages, flexible generators, demand response are utilized • Renewable supply is used directly • Superior cells get less stressed  Target: Cell gets more dependent on external resources ● Introduce bonus on foreign trade • Supply surpluses can be exported • Supply deficits can be covered • Superior cells get more stressed  Cellular markets could foster the appropriate installation of ● renewable power plants, ● storages and ● grid extensions 13 Silvan Faßbender 7th International Energy and Sustainability Conference 2018

  14. Thank you for listening Contact: Silvan Faßbender, M. Sc. CIRE - Cologne Institute for Renewable Energy Cologne University of Applied Sciences Betzdorferstraße 2, 50679 Köln, silvan.fassbender@th-koeln.de www.th-koeln.de/personen/silvan.fassbender/ 14 Silvan Faßbender 7th International Energy and Sustainability Conference 2018

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