Integration of distributed energy resources and demand response in energy systems

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Integration of distributed energy resources and demand response in energy systems Niamh O Connell Ben Kroposki National Renewable DTU Compute Energy NREL is a national laboratory of the U.S. Department of Energy, Office of Energy Efficiency and Renewable Energy, operated by the Allianc

NREL ESI - PSEC NREL Golden, CO NREL - Develops renewable energy and energy efficiency technologies and practices, advances related science and engineering, and transfers knowledge and innovations NREL P SEC I Power Systems Engineering Center (PSEC) - Leads research in integrating high levels of clean energy technologies into electric power systems Energy Systems Integration (ESI) - Optimizes energy systems across multiple domains (electricity, thermal, fuels, water, communication) and physical scales (local to regional) 2

What is Energy System Integration? Energy system integration (ESI) = the process of optimizing energy systems across multiple pathways and scales Electricity Thermal Fuel Data 3

ESI at all Scales 10-100GW Regions Scale Reliable, affordable and clean energy systems adopted at a pace and 1-10 GW scale to meet global Cities energy and environmental 100MWs objectives Communities 10MWs Campus, Circuits 1MW Buildings Electricity Fuel Therma Data 4

Evolution of the Power System Current Central Control Large Generation Carbon Intensive Highly Regulated Power System New Challenges in a Modern Grid Future Power Systems DRIVERS Increased variable gen More bi-directional flow at distribution level Increased number of smart/active devices Evolving institutional environment Increasing penetration of variable renewables in grid Increasing energy efficient buildings and controllable loads New communications and controls (including DR) Electrification of transportation Integrating distributed energy storage A modern grid needs increased system flexibility Capitalize on interactions between electricity/thermal/fuel systems 5

PSEC Provides Solutions Solutions Reliability and Markets Operations & Controls Sensing, Measureme nts, and Forecasting Operatio ns & Controls Design & Studies Resource Measurements Physical and Cyber Design & Studies Forecasti ng Grid Sensors Interoperability Solar EVs Integrate d Devices and Systems Wind Loads Power ElectroCharacterization nics Energ y Stora Interconnection 6

Energy Systems Integration Facility (ESIF) http://www.nrel.gov/esif Laboratories HPC - DC Offices Unique Capabilities Multiple parallel AC and DC experimental busses (MW power level) with grid simulation and loads Flexible interconnection points for electricity, thermal, and fuels Medium voltage (15kV) microgrid test bed Virtual utility operations center and visualization rooms Smart grid testing lab for advanced communications and control Interconnectivity to external field sites for data feeds and model validation Petascale HPC and data mgmt system in showcase energy efficient data center Shortening the time between innovation and practice MW-scale Power hardware-in-the-loop (PHIL) simulation capability to test grid scenarios with high penetrations of clean energy technologies 7

ESIF HPC/DC HPC DC Showcase Facility Use evaporative rather mechanical cooling. Waste heat captured and used to heat labs & offices. World s most energy efficient HPC - data center, PUE 1.06! UE = Power Usage Effectiveness 8

ESIF Laboratories Rooftop PV & Wind Energy Storage Lab Smart Power Lab Residential, Community Buildings & Loads & Grid Battery Storage, Flywheels & Thermal HPC & Data Center Energy Systems ntegration Lab uel Cells, Electrolyzers Power Systems Integration Lab Grid Simulators Outdoor Test Areas Microgrids EVs, Power Transformers Auxiliary Control Room ADMS Testbed 9

ESI Opportunity Areas Streamline Improvements within Todays Energy System Restructure, Transmission and reorganize, and Distribution upgrades modernize current Bulk-system storage energy system Updated integration standards Direct Load Control Utility Controlled Demand Response Synergize Connecting energy domains Taking advantage of Combined Heat and Power underutilized interfaces and Use of waste heat adding new Power-to-Gas interfaces between Mode-Shift - Switching Sources Daylighting Switching thevehicle means trips Reducing used to provide energytiming, through commute -requiring end-use services telework, ridesharing, car sharing City design to increase walking and use of public Empower Allowing consumers to participate Customer controlled demand response Informed customers Behind-the-meter energy as active participants storage within energy systems Congestion avoidance and pricing domains 10

Inclusion of Energy-Shifting Demand Response in Production Cost Models Super Market Refrigeration Niamh O Connell Technical University of Denmark Elaine Hale, Ian Doebber, and Jennie Jorgenson National Renewable Energy Laboratory 11

Understanding Load Shifting Appliances Supermarket Refrigeration Thermal mass in refrigeration display cases facilitates the adjustment of power consumption while maintaining acceptable temperatures for food. Supermarkets operate at a low profit margin, incentivizing them to pursue opportunities for cost savings. Energy costs account for 1% of the operating costs of a supermarket, but if demand response can offer easily accessible cost savings. The structure of a supermarket chain lends itself to the formation of an aggregator. While individual supermarkets are considered large commercial loads, the flexibility they offer is likely below the threshold for participation on many electricity markets. By aggregating a number of supermarkets and offering their combined flexibility as a single product, this Characterizing Demand Response through the Saturation Curve Resource Efficiency Seasonality in the Demand Response Resource 12

Response Saturation in Refrigerator Top figure shows that the power consumption is steady until it is reduced from 14kW to 8kW. The reduction of 6kW can be maintained until the temperature in the refrigeration system reaches its upper bound (as seen in Bottom Figure). Once the upper temperature limit is reached the prescribed reduction can no longer be maintained, at this point it is said that the response has saturated. When the power reference is no longer active, the system will recover the 13

Maximum flexibility of a load shifting device Saturation Curve - The relationship between a power adjustment in a flexible load and the duration for which the adjustment can be maintained It is not suitable for direct inclusion in a power system model or market clearing algorithm because it is nonlinear 14

Round-Trip Efficiency of DR Round trip efficiency of a demand response event. The red lines show the 100% efficiency contours, and the yellow lines show the efficiency of symmetric events, i.e. a response and recovery of the same power magnitude. 15

Seasonality of Loads When considering thermal end-end uses for the provision of load shifting demand response, there are three key characteristics to consider: baseline power consumption maximum possible power consumption energy required to achieve a given temperature change 16

Variations in available flexibility at the device level 17

Representation of DR for use in Power System Models Each population of flexible devices can offer a number of demand response products Each product resembles a battery sufficiently to use this description in a power system model, subject to some additions Each product has a defined maximum power supply to and draw from the grid, and a period within which the response and recovery must balance. Products are mutually exclusive 18

Case Study Rocky Mt. Power Pool DR Model framework is suitable for large scale power system studies spanning substantial geographic and temporal scales RMPP test system (Colorado and Wyoming) is employed for a demonstration of the DR model capabilities The value of DR is assessed through the reductions is brings about in power system operational costs. DR is considered a flexible resource and dispatched at real-time to aid the balance of forecast errors in load and renewables The DR resource represent the population of all supermarkets located in Colorado, and are clustered according to supermarket size: small 19

DR Capacity 20

The Value of DR DR Value: $2.089M/year $32.85/kW-year $4980 per large supermarket Reduces total system cost by 0.0144%. There is a seasonal trend in the value of DR, with lowest value during the warmer months, though it is not as extreme as could be expected. Much of the value that DR offers is due to its ability to avoid the curtailment of renewables. Despite being a tiny resource on the system, its impact on 21

Impact of More DR DR displaces the higher cost gas and uses more baseload Coal. Displacement of conventional storage at high penetrations of DR, though this is unlikely to remain when we put a price on DR. 22

New Load Curves DR does what all storage does and mitigates the variations in price, reducing peak prices and increasing the lower prices, thought the effect is only visible at the highest penetrations, i.e. the yellow curve. 23

Conclusions A bottom-up model was developed for use in power system analysis Facilitates an assessment of the power system operational cost reductions offered by DR over a year time period A case study was conducted on supermarket refrigerators in the Rocky Mountain Power Pool and was found to have a value of $32.85/kW-year. The capacity of the population of supermarkets modelled was very small, representing a maximum of 0.02% of the generation capacity on the system. Consequently the absolute value it offers per year is very low, at $2.089M, or $4890 for each large supermarket providing demand 24

Thank You For more information on Supermarket DR contact Niamh O Connell noco@dtu.dk Ben Kroposki, PhD, PE, FIEEE National Renewable Energy Laborator benjamin.kroposki@nrel.gov 25