Enabling Small-Scale Actors to Operate on Markets of Energy and Ancillary Services

Author(s):  
Mikhail Simonov ◽  
Luisa Tibiletti

Widespread renewable energy alters infrastructures and business by changing a way to balance between the demand and the offer. In customer-centered model, flexible economic behavior of small-scaled energy actors mitigates variability and uncertainty in flows of power and energy. Flexible cooperative behavior of many intraday market participants has a potential to reduce uncertainty in renewable energy flows. However, owners of small-scale renewable energy plants play limited market role. This chapter presents changed socio-economic and technology contexts and attracts attention to new challenges. New ICT enabler activates role of small-scale renewable energy actors by complementing their physical energy by structured information about the capacity and flexibility. In new market scenario, unpredictability of renewable energy is reduced by adding knowledge and exploiting better flexible behavior. Main conclusion is about using the information about flexibility to activate small-scale actors on real-time markets while improving ecological sustainability.

Energies ◽  
2020 ◽  
Vol 13 (20) ◽  
pp. 5348
Author(s):  
Lissy Langer

The European Commission calls for more small-scale renewable energy producers to actively participate in the energy value chain. In this study, we model an illustrative peer-to-peer (P2P) market with tariffs based on the reservation prices of market participants under the German levy regime. The study is conducted by modeling representative residential buildings with home energy management systems, modulating heat pumps, and photovoltaics, in combination with electrical and thermal storage systems. The resulting mixed-integer linear program is solved over the course of a year, using a rolling horizon approach with a time resolution of one hour. By analyzing the cost- and discomfort-minimizing behavior of the market participants, we evaluate the current levy regime and propose two additional designs. We find that in the current case, a P2P market is not economically viable. Based on feed-in tariffs (FiT) and levies no agreeable market price can be found. With no FiT or reduced levies, all participants benefit from the P2P market. The market split—where each household sources their energy from—is altered only little by the specific details of the market design when staying in the agreeable price range. As prosumagers do not consume on the P2P market, they benefit only marginally from the reduced levies—consumers are most affected. Adjusting the regime could be a measure to rebalance the distribution of renewable energy benefits towards consumers in order to foster social cohesion. Our input data and the model written in the Julia JuMP programming language are available in an open-source format.


2019 ◽  
Vol 3 (1) ◽  
pp. 1-12
Author(s):  
Lauren K. D’Souza ◽  
William L. Ascher ◽  
Tanja Srebotnjak

Native American reservations are among the most economically disadvantaged regions in the United States; lacking access to economic and educational opportunities that are exacerbated by “energy insecurity” due to insufficient connectivity to the electric grid and power outages. Local renewable energy sources such as wind, solar, and biomass offer energy alternatives but their implementation encounters barriers such as lack of financing, infrastructure, and expertise, as well as divergent attitudes among tribal leaders. Biomass, in particular, could be a source of stable base-load power that is abundant and scalable in many rural communities. This case study examines the feasibility of a biomass energy plant on the Cocopah reservation in southwestern Arizona. It considers feedstock availability, cost and energy content, technology options, nameplate capacity, discount and interest rates, construction, operation and maintenance (O&M) costs, and alternative investment options. This study finds that at current electricity prices and based on typical costs for fuel, O&M over 30 years, none of the tested scenarios is presently cost-effective on a net present value (NPV) basis when compared with an alternative investment yielding annual returns of 3% or higher. The technology most likely to be economically viable and suitable for remote, rural contexts—a combustion stoker—resulted in a levelized costs of energy (LCOE) ranging from US$0.056 to 0.147/kWh. The most favorable scenario is a combustion stoker with an estimated NPV of US$4,791,243. The NPV of the corresponding alternative investment is US$7,123,380. However, if the tribes were able to secure a zero-interest loan to finance the plant’s installation cost, the project would be on par with the alternative investment. Even if this were the case, the scenario still relies on some of the most optimistic assumptions for the biomass-to-power plant and excludes abatement costs for air emissions. The study thus concludes that at present small-scale, biomass-to-energy projects require a mix of favorable market and local conditions as well as appropriate policy support to make biomass energy projects a cost-competitive source of stable, alternative energy for remote rural tribal communities that can provide greater tribal sovereignty and economic opportunities.


2012 ◽  
Vol 8 ◽  
pp. 29-33
Author(s):  
Govind Raj Pokharel ◽  
Arjun Bahadur Chettri

Large-scale promotion of small scale decentralized renewable energy technologies to achieve a part of millennium development goal remained a great challenge until recently. However, a properly implementation of a public private partnership applied in biogas sector in Nepal has shown that scaling up of small scale renewable energy technologies is feasible if a multi-stakeholder sector development approach and favorable policy as well as modality is adopted. Nepal’s biogas program has been instrumental in helping to achieve some of the Millennium Development Goals (MDGs) by creating economic and social development opportunities in a sustainable way. Such model could also be widely replicated in any other renewable energy technologies and other continent of the world. DOI: http://dx.doi.org/10.3126/hn.v8i0.4908Hydro Nepal: Journal of Water, Energy and Environment Issue No. 8, 2011 JanuaryPage: 29-33Uploaded date: 17 June, 2011


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