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Integrating variable renewables: Implications for energy resilience Peerapat Vithaya, Energy Analyst – System Integration of Renewables Enhancing Energy Sector Climate Resilience in Asia Asia Clean Energy Forum 2017, Manila, 6 June 2017

Integrating variable renewables: Implications for energy resilience · 2017-06-15 · Integrating variable renewables: Implications for energy resilience Peerapat Vithaya, Energy

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Page 1: Integrating variable renewables: Implications for energy resilience · 2017-06-15 · Integrating variable renewables: Implications for energy resilience Peerapat Vithaya, Energy

Integrating variable renewables:

Implications for energy resilience

Peerapat Vithaya, Energy Analyst – System Integration of Renewables

Enhancing Energy Sector Climate Resilience in Asia

Asia Clean Energy Forum 2017, Manila, 6 June 2017

Page 2: Integrating variable renewables: Implications for energy resilience · 2017-06-15 · Integrating variable renewables: Implications for energy resilience Peerapat Vithaya, Energy

© IEA 2017

The growth of wind and solar in Asia

Wind and solar power have grown almost 10 times faster than demand. System integration requires

attention as the grow continues

0%

50%

100%

150%

200%

250%

300%

350%

400%

2009 2010 2011 2012 2013 2014

Growth

Wind and PV Total

Page 3: Integrating variable renewables: Implications for energy resilience · 2017-06-15 · Integrating variable renewables: Implications for energy resilience Peerapat Vithaya, Energy

© IEA 2017

Most relevant properties of variable renewables

Variability Non-synchronous technologies Uncertainty

Location constraint Modularity Low short-term marginal cost

Page 4: Integrating variable renewables: Implications for energy resilience · 2017-06-15 · Integrating variable renewables: Implications for energy resilience Peerapat Vithaya, Energy

© IEA 2017

Variable renewables and energy resilience

1. Benefits

- Climate change mitigation, fuel diversifications, reducing fossil-fuel import

2. Challenges

- Variability and uncertainty

- Energy security implications at high shares if system integration challenges are not addressed

3. System Transformation

- To achieve secure and resilient energy

Remaining

system

Variable

Renewable

Energy

FLEXIBLE Power system

Grid Generation Storage Demand

shaping

Classical view Coordinated view

Page 5: Integrating variable renewables: Implications for energy resilience · 2017-06-15 · Integrating variable renewables: Implications for energy resilience Peerapat Vithaya, Energy

© IEA 2017

Impact of wind and solar on net demand

• The rise of VRE amplifies certain operational challenges

- Abundance: high VRE output decreases the net load and may reduce output of

conventional power plants

- Scarcity: potentially low contribution during hours of peak demand

- Deep ramping: enhanced need for reliable flexibility options during peak periods

0

5000

10000

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1:00 3:00 5:00 7:00 9:00 11:00 13:00 15:00 17:00 19:00 21:00 23:00

MW

Load

Net LoadAbundance

Scarcity Scarcity

Deep ramping

Page 6: Integrating variable renewables: Implications for energy resilience · 2017-06-15 · Integrating variable renewables: Implications for energy resilience Peerapat Vithaya, Energy

© IEA 2017

System transformation

Integrating large shares of VRE requires system transformation

Policy and market framework

System and market operation

Actions targeting overall system Actions targeting VRE

Level o

f V

RE p

en

etr

ati

on

Flexible resources planning & investments

Grids Generation Demand shaping

Storage

System-friendly VRE

deployment

24/

7 System services

Location

Technology mix

Distributed

resources integration

Integrated planning

Generation time

profile

Page 7: Integrating variable renewables: Implications for energy resilience · 2017-06-15 · Integrating variable renewables: Implications for energy resilience Peerapat Vithaya, Energy

© IEA 2017

Maximise the contribution from

existing flexible assets

Decommission or mothball inflexible

polluting surplus capacity to foster

system transformation

Implement holistic, long-term

transformation from onset

Use proper long-term planning

instruments to capture VRE’s

contribution at system level

Transformation depends on context

Stable Power

Systems

• Little general

investment need

short term

Dynamic Power

Systems

• Large general

investment need

short term

Slow demand growth* Dynamic demand growth*

* Compound annual average growth rate 2012-20 , slow <2%, dynamic ≥2%; region average used where country data unavailable This map is without prejudice to the status of or sovereignty over any territory, to the delimitation of international frontiers and boundaries and to the name of any territory, city or area.

Page 8: Integrating variable renewables: Implications for energy resilience · 2017-06-15 · Integrating variable renewables: Implications for energy resilience Peerapat Vithaya, Energy

© IEA 2017

0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50%

Vietnam

Indonesia

Korea

Thailand

South Africa

New Zealand

India

Japan

China

USA

Mexico

Australia

Italy

Spain

UK

Germany

Ireland

Wind

Solar PV

Policy guidance for different phases of system integration

Integration strategies differ by phase of VRE deployment.

Phases one and two currently most relevant for majority of countries.

Phase 1: No relevant system impact

Phase 2: Improve system operation

Phase 3: Flexibility is key

Phase 4: Short-term stability

Page 9: Integrating variable renewables: Implications for energy resilience · 2017-06-15 · Integrating variable renewables: Implications for energy resilience Peerapat Vithaya, Energy

© IEA 2017

Priority during the early phase of VRE deployment

At initial deployment, integration of VRE technologies requires very little effort

• VRE output is not noticeable for system operator

• VRE variability is negligible compared to fluctuations in demand

• Priority areas are connection requirements and grid codes

Priorities for VRE Integration

Source: IEA 2017, Getting wind and sun onto the grid

Can the grid accommodate VRE at the identified sites?

Are there appropriate technical grid connection rules?

Solve local grid issues

Establish connection rules

Successful integration of first wind and solar plants

Issue

Action

Outcome

Yes

No

Action taken

Page 10: Integrating variable renewables: Implications for energy resilience · 2017-06-15 · Integrating variable renewables: Implications for energy resilience Peerapat Vithaya, Energy

© IEA 2017

Addressing operation challenges

• A range of measures to maintain reliability and cost-effectiveness

• Different measures are needed for different phases of VRE deployment

• Grid code is important for successful integration

• Address system reliability

issues arising from VRE

• Some measures can also

improve the cost-effectiveness

of power system operation

• E.g. real-time monitoring and

control, power plant flexibility,

enhancing line capacity

Technical measures

• Improve the cost-effectiveness

of power system operation

• Without economic measures, the

grid can still operate in a reliable

manner (but more costly)

• E.g. better forecasting, reduce

dispatch interval, include VRE in

the dispatch

Economic measures

Page 11: Integrating variable renewables: Implications for energy resilience · 2017-06-15 · Integrating variable renewables: Implications for energy resilience Peerapat Vithaya, Energy

© IEA 2017

Key action areas and policy examples

System services: wind and sun contribute to

balance system 24/7

System services: wind active

on balancing market

Location: siting VRE closer to existing

network capacity and/or load centers

Location: new auction

design for wind and PV

Technology mix: balanced mix of VRE

resources can foster lasting synergies

Technology mix: Integrated

Resource Plan

Local integration with other resources

such as demand-side response, storage

Australia: incentives for

self-consumption

Optimising generation time profile: design

of wind and solar PV plants

California: incentive to

produce at peak times

Integrated planning: wind and solar

embedded in energy strategy

Denmark: integrated

energy strategy

Action area Policy example

Page 12: Integrating variable renewables: Implications for energy resilience · 2017-06-15 · Integrating variable renewables: Implications for energy resilience Peerapat Vithaya, Energy

© IEA 2017

Conclusion

• Variable renewables can enhance energy system resilience

- Fuel diversity, environment benefits, long-term security

• It is technically possible and economically feasible to integrate high shares of

wind and solar despite their variability and uncertainty

• Integration of high shares in a cost-effective and reliable manner requires

changes to the power system

- Operation practices

- Planning practices

- Policy, market and regulatory frameworks

Page 14: Integrating variable renewables: Implications for energy resilience · 2017-06-15 · Integrating variable renewables: Implications for energy resilience Peerapat Vithaya, Energy

© IEA 2017

Additional Slides

Page 15: Integrating variable renewables: Implications for energy resilience · 2017-06-15 · Integrating variable renewables: Implications for energy resilience Peerapat Vithaya, Energy

© IEA 2017

… but also challenges

Curtailment levels are a good indicator for successful VRE integration – growing curtailment signals

shortfalls in power system flexibility

Wind penetration and curtailment in selected countries, 2012-2015

Grids + + + o + o o o o o o

Generation + + + + + o o + o + -

Operation + + + + + + + + + + -

0%

2%

4%

6%

8%

10%

12%

14%

16%

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

Denmark Portugal Spain Ireland Ireland Spain Germany Germany UK Italy UK Italy China

2014 2014 2013 2014 2013 2012 2015 2014 2015 2015 2014 2014 2015

Wind penetration

level in the energy

mix (left axis)

Curtailment rate

(right axis)

Page 16: Integrating variable renewables: Implications for energy resilience · 2017-06-15 · Integrating variable renewables: Implications for energy resilience Peerapat Vithaya, Energy

© IEA 2017

Recent renewable integration milestones…

Denmark, 2 September 2015: The

Western Danish power system runs

without centralised power

generation for the first time

Spain, 28 February 2016: For the first

time, wind power provides upward

balancing reserves

Portugal, 7-11 May 2016: Renewable

energy (including hydro) covers the

equivalent of 100% of power

demand for 107 consecutive hours

Germany, 8 May 2016: Wind and

solar PV cover the equivalent of

approx. 75% of power demand

Scotland, 14 August 2016 : Daily wind

power production exceeded

demand

Page 17: Integrating variable renewables: Implications for energy resilience · 2017-06-15 · Integrating variable renewables: Implications for energy resilience Peerapat Vithaya, Energy

© IEA 2017

Example: Geographical spread of VRE

The dispersal of VRE power plants makes their output easier to accommodate. REDZ are a good starting

point for the larger implementation of VRE in South Africa.

VRE output and the benefit of geographical spread, South Africa

Page 18: Integrating variable renewables: Implications for energy resilience · 2017-06-15 · Integrating variable renewables: Implications for energy resilience Peerapat Vithaya, Energy

© IEA 2017

Phases of VRE system integration

Phase Description

1 VRE capacity is not relevant at the all-system level

2 VRE capacity becomes noticeable to the system operator

3 Flexibility becomes relevant with greater swings in the supply/demand

balance

4 Stability becomes relevant. VRE capacity covers nearly 100% of demand

at certain times

5 Structural surpluses emerge;

electrification of other sectors becomes relevant

6 Bridging seasonal deficit periods and supplying non-electricity

applications; seasonal storage and synthetic fuels

Page 19: Integrating variable renewables: Implications for energy resilience · 2017-06-15 · Integrating variable renewables: Implications for energy resilience Peerapat Vithaya, Energy

© IEA 2017

Variability – a familiar challenge

Power systems already deal with demand variability; they have flexibility available from the start.

Exceptionally high variability in Brazil, 28 June 2010

Source: ONS, Brazil

Page 20: Integrating variable renewables: Implications for energy resilience · 2017-06-15 · Integrating variable renewables: Implications for energy resilience Peerapat Vithaya, Energy

© IEA 2017

IEA System Integration of Renewables analysis at a glance

• Formally established as a Unit on 1 June 2016 – build on GIVAR work

• Global expert network covering policy making, engineering and modelling

• Analysis based on extensive research on current global state of play and

modelling tools

• Fostering exchange in international fora (G20, CEM) and capacity building

Technical Progress & Tracking

2011 2017

Framework, Technology,

Economics

2014 2016 2017

Policy Implementation

Page 21: Integrating variable renewables: Implications for energy resilience · 2017-06-15 · Integrating variable renewables: Implications for energy resilience Peerapat Vithaya, Energy

© IEA 2017

Priority during the early phase of VRE deployment

Phase 2 of VRE integration

• First instances of grid congestion

• Incorporate VRE forecast in scheduling and dispatch

• Focus on system-friendly VRE deployment

The level of adaptation needed to integrate VRE changes according to the level of penetration

Source: IEA 2017, Getting wind and sun onto the grid

Is grid connection code appropiate?

Develop or upgrade grid

code

Successful integration of increasing shares of wind and solar PV plants

Is VRE reflected in system operation?

Ensure visibility and controllability of power plants; Implement VRE

forecast system

Is the grid still sufficient for continuing VRE

deployment?

Improve operations; Consider grid

expansion

Is VRE deployed in a system-friendly way?

Manage VRE deployment location and

technology mix

Issue

Action

Outcome

Yes

No

Action taken

Page 22: Integrating variable renewables: Implications for energy resilience · 2017-06-15 · Integrating variable renewables: Implications for energy resilience Peerapat Vithaya, Energy

© OECD/IEA 2017 - 22

Options for addressing power system operation

challenges

Measures Phase 1 Phase 2 Phase 3 Phase 4

Te

ch

nic

al

Real-time monitoring and control

Enhancing capacity of transmission lines

Power plant flexibility

Special protection scheme

Advanced VRE technologies and design

System non-synchronous (SNSP) limit

Smart inverter

Advanced pump hydro operation

Inertia-based fast frequency response (IBFFR)

Grid level storage

Ec

on

om

ic Sophisticated sizing of operating reserves

Integrating forecasting into system operations

Faster scheduling and dispatch

Incorporating VRE in the dispatch

Coordination across balancing areas

Page 23: Integrating variable renewables: Implications for energy resilience · 2017-06-15 · Integrating variable renewables: Implications for energy resilience Peerapat Vithaya, Energy

© IEA 2017

System transformation for VRE integration

• Institutional – different stake

holders involved; increased

cooperation is key

• Economic – system planning;

market operations

• Technical – operations of

power systems

Technical, economic and institutional aspects are linked through policies, markets and regulatory

frameworks

Page 24: Integrating variable renewables: Implications for energy resilience · 2017-06-15 · Integrating variable renewables: Implications for energy resilience Peerapat Vithaya, Energy

© IEA 2017

Policy implementation

Phase 2 of VRE integration

• First instances of grid congestion

• Incorporate VRE forecast in scheduling and dispatch

• Focus on system-friendly VRE deployment

Getting Wind and Solar onto the Grid – A Manual for Policy Makers

The level of adaptation needed to integrate VRE changes according to the level of penetration

Source: IEA 2017, Getting wind and sun onto the grid

Is grid connection code appropriate?

Develop or upgrade grid

code

Successful integration of increasing shares of wind and solar PV plants

Is VRE reflected in system operation?

Ensure visibility and controllability of power plants; Implement VRE

forecast system

Is the grid still sufficient for continuing VRE

deployment?

Improve operations; Consider grid

expansion

Is VRE deployed in a system-friendly way?

Manage VRE deployment location and

technology mix

Issue

Action

Outcome

Yes

No

Action taken

New Publication released

March 2017

Page 25: Integrating variable renewables: Implications for energy resilience · 2017-06-15 · Integrating variable renewables: Implications for energy resilience Peerapat Vithaya, Energy

© IEA 2017

Example of technical measures – Power plant flexibility

• Power plants are an important source of flexibility

- evident in countries such as Germany, Denmark, Spain, the United states

Generation pattern of coal plants in Germany, May 2016

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01 May 02 May 03 May 04 May 05 May 06 May 07 May

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Page 26: Integrating variable renewables: Implications for energy resilience · 2017-06-15 · Integrating variable renewables: Implications for energy resilience Peerapat Vithaya, Energy

© IEA 2017

Power system transformation assessment framework

Aspect Sub-aspects

Markets and operations Wholesale level

Retail level

Planning and

infrastructure

Integrated planning frameworks

Electricity grids

Uptake of innovative

technology

Smart technologies

Flexible resources

Resource-efficient technologies

Efficiency and sector

coupling

Electrification of other sectors

Energy efficiency

Page 27: Integrating variable renewables: Implications for energy resilience · 2017-06-15 · Integrating variable renewables: Implications for energy resilience Peerapat Vithaya, Energy

© IEA 2017

Grid code is important for VRE integration

• Need to ensure the grid code is appropriate for VRE

• Prioritising technical requirements according to the share of VRE

• Need to be in the context of individual power system

Always Phase One Phase Two Phase Three Phase Four

Typical technical

requirements

• protection systems

• power quality

• frequency and voltage ranges of operation

• visibility and

control of large generators

• communication systems for larger generators

• output reduction during high

frequency events

• voltage control

• FRT capability for large units

• FRT capability for smaller

(distributed) units

• communication systems

• VRE forecasting tools

• Frequency regulation

• reduced output operation mode for reserve provision

• integration of general

frequency and voltage control schemes

• synthetic inertia

• stand-alone frequency and

voltage control

Page 28: Integrating variable renewables: Implications for energy resilience · 2017-06-15 · Integrating variable renewables: Implications for energy resilience Peerapat Vithaya, Energy

© IEA 2017

Decrease baseload

requirements

• At rising VRE shares, lower net load may impact must-run requirements • Over time, large shares of VRE shift the optimal generation mix towards more

mid merit and peaking capacity. • Change operational practices to allow more frequent cycling and improve

accuracy of VRE forecasts to avoid holding excessive reserves. • Allow VRE to provide operating reserves

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high-flexibility

mid-flexibility

low-flexibility

Load

Net Load

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