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Livro GESEL: “Distributed Generation: International Experiences and Comparative Analyses” - Gesel

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Impact Assessment of Solar Photovoltaic Expansion in the Colombian and Brazilian Residential Sectors. These customers will actually be supplied by the distribution network for most of the day.

Introduction

Concepts and background

Distributed generation

The concept of distributed generation has often been loosely defined and associated with the idea of ​​small-scale electricity generation (Pepermans et al., 2005). In addition, electricity quality and service availability can be affected, as several scattered production plants are connected to the grid (l’abbate et al., 2007; dulău et al., 2014).

table 2. distributed generation technologies.
table 2. distributed generation technologies.

Integration and adoption challenges 1. System integration

Economic and regulatory

The integration of distributed generation requires upgrades in the systems as well as in system management processes and operations. Market access lack of transparency about market access procedures disproportionately high entry barriers for spot market trading fees.

Financial issues

This problem can be solved by developing financing options tailored to distributed generation. The distributed generation barriers described provide a broad perspective on the areas where difficulties often arise, hindering their spread.

Innovation and development

The United States Recovery Act Smart Grids Programs

The areas of development targeted smart grid technologies and processes, development of flexibility capabilities, interoperability, functionality, cyber security, situational awareness and operational efficiency (us doe, 2017). The program described is an example of the efforts that the US Department of Energy has initiated with regard to grid modernization and transformation of electric power systems (us doe, 2017b).

Figure 3. supported projects and involved organisations.
Figure 3. supported projects and involved organisations.

The European Electricity Grid Initiative (EEGI)

For an overview of the EU's overall progress in smart grid innovation, the European Union Joint Research Center contributes to the identification of smart grid research and development and demonstration efforts through its Smart Grid Monitoring reports (Catalin et al., 2014; Gangale, Vasiljevska, Covrig, Mengolini and Fulli, 2017). This new entity brings together eeGi's energy transition delivery efforts for electric grids by driving efforts towards: a reliable, economical and efficient smart grid; storage technologies and sector interface; flexible generation; digitization of network infrastructure and customer engagement; and innovation in the business environment (etip sNet, 2017).

Figure 4 european union r&d smart grid projects.
Figure 4 european union r&d smart grid projects.

Conclusion

Acknowledgements

Most of these are microgeneration systems - the average size of the solar installations is eight kWp. This phenomenon can lead to a theoretical result known as the “death spiral” of the distribution tools (Costello & . HeMpHill, 2014).

Figure 1 – example of a relation between Nominal required revenue and Nominal effective  revenue – demand Growth effect
Figure 1 – example of a relation between Nominal required revenue and Nominal effective revenue – demand Growth effect

Summary

The impacts of photovoltaic distributed generation on distribution companies and non-solar consumers - problem’s description

In short, the financial impact of dGpV on utilities and ratepayers is therefore strongly associated with the reduction in retail electricity sales (barbose et al., 2016). However, total costs to be recovered by the dso through distribution tariffs remain almost the same, as large network costs are fixed as they are not closely related to the level of sales (bird et al., 2013).

Figure 1: Conceptual schematic showing the feedback process between pV deployment and  electricity average rates.
Figure 1: Conceptual schematic showing the feedback process between pV deployment and electricity average rates.

A discussion of mitigation measures

Alternative tariff structures

The rationale behind adopting this type of rate structure is that most of the distribution costs are fixed in the short term. The results found in each of them are closely related to the assumptions regarding the size of the fixed charge and whether the charge is associated with a corresponding reduction in volumetric charges.

Case studies 1. The Italian case

The capacity and energy costs are expected to cover the costs of the network. Changes in the tariff structure to mitigate the passing on of costs are therefore necessary, given the need to impose on consumers the costs they impose on the grid.

table 1: d 1,  d 2  and d 3  tariffs for low use Consumers (<1.800 kWh/year)
table 1: d 1, d 2 and d 3 tariffs for low use Consumers (<1.800 kWh/year)

This may happen as the reduction in the cost of solar pV sparks the adoption of solar pV panels by households (Castaneda et al., 2016); this, combined with learning curve effects, reduces the costs of solar PVs, driving PV adoption. The death spiral of utilities has motivated reforms in electricity markets; for example, changing the cost structures of distribution network operators and redesigning network tariffs (pérez-arriaga et al., 2013).

Figure 1. Global map of national renewable energy targets of all types, 2005 vs 2015.
Figure 1. Global map of national renewable energy targets of all types, 2005 vs 2015.

Simulation model

Households” is the unit of analysis used to measure populations of potential adopters and adopters, as a solar PV system is usually owned by one family. Here Dt is the distribution charge, DNC is the costs of the distribution network, Evt is the electricity demand per voltage level, EM is the electricity demand of PV users, AND is the electricity demand of non-PV users, Z is the average energy consumption per household, and S is the microgeneration per households.

Figure 2. stocks and flows of the utility death spiral residential sector.
Figure 2. stocks and flows of the utility death spiral residential sector.

Application cases

Colombia

Brazil

Credits are valid for up to five years; in addition, the electricity drawn from the grid is paid according to the applicable electricity tariff (aneel, 2015). Efforts by the Brazilian government to exploit the true potential of distributed solar energy are evidenced by other legislation such as the iCM tax exemption, pis and CoFiNs for net metered solar pV systems (epe, 2012).

Results

Large-scale deployment of solar PV provokes the highest residential tariff, because grid costs are spread over a shrinking energy consumption until 2035 – as total solar PV production minus total energy consumption falls dramatically in the sector housing for this hypothetical case (Castaneda et al., 2017). However, there may be an incentive if PV adopters with some features decide to take advantage of virtual net metering.

Figure 3. share of households with solar pV
Figure 3. share of households with solar pV

Conclusions

Medium to long-term consequences of the death spiral include sales declines due to greater PV adoption and greater revenue losses for utilities. Medium to long-term consequences of the death spiral for the incumbent electricity distribution industry include sales declines due to increased PV adoption and greater revenue losses for utilities.

Advantages and Disadvantages of the NEM Rate Structure

Benefits offered by NEM

Fourth, rooftop solar PV installations reduce solar gain, reducing the need for air conditioning and potentially increasing the need for heating. Finally, distributed solar installations can reduce carbon emissions, to the extent that this energy production replaces fossil fuel production.

Challenges posed by NEM

Case Study: Controversy and Policy in Nevada

The trajectory of the solar industry in Nevada was further accelerated by the state's ambitious economic diversification efforts in addition to environmental goals. The tariff included three components: a basic service charge, which is a fixed charge that the NeM customer pays regardless of the level of consumption; a volumetric charge that increases with the kilowatt-hours consumed; and the compensation rate that the utility pays to the NeM customer for the exported electricity.

GAPS IN AVAILABLE ANALYTICAL RESULTS

Conclusion

Controversy surrounding efforts to change and rationalize policies to compensate owners of distributed generation capacity has been prominent in Nevada in recent years, but elements of Nevada's experience are shared by regulators and policymakers in most states in the United States. Growing adoption of time-of-use meters and the expected adoption of smart-grid technology will generate rich databases to support the detailed analyzes needed to fully understand the impacts of distributed generation on utility costs, carbon emissions, water use, sensitive ecosystems and other environmental properties.

Tables and Figures

Tables and Figures

Bibliography

Finally, we revisit the previous theoretical questions in the light of the specific development of DG in Brazil. Therefore, it is particularly important to recognize the current challenges in the sector and understand how bM innovations can successfully contribute to the pursuit of the country's goals, namely in terms of market enablement, sustainability, efficiency, flexibility, resilience and reliability of the Brazilian electricity system.

Distributed electricity generation: an overview of recent developments and trends

This fact is illustrated in the figure below which shows the lCoe for utility scale power (range and averages). This may not be easy to achieve, both in the short term (where effective price signals can result in overly complex dynamic pricing schedules) and in the long term (where the incentives to invest in back-up capacity are almost non-existent). ).

Figure 1. expected pathways to reduction in Co2 emissions from energy
Figure 1. expected pathways to reduction in Co2 emissions from energy

New business model configurations in the era of distributed energy

Our research includes some keywords "Energy, power, electricity, renewable and ." and "Business Model" in the title. Utilities: Financial-Economic Sustainability in the Age of DG4.1 The DG's Threat to the Conventional BM of the Utilities.

Table 1. New business model configurations within the future electricity paradigm:
Table 1. New business model configurations within the future electricity paradigm:

Utilities: financial-economic sustainability in the era of DG 1 The DG threat to the utilities’ conventional BM

  • New business opportunities for utilities
  • Regulatory innovation envisaging utilities’ financial-economic stability The utilities’ financial-economic sustainability constitutes a key aspect in the de-

In addition, utilities are also beginning to learn (and in some cases are actually deeply involved) in the creation and deployment of innovative DG technologies and solutions. Managers are also concerned (to a somewhat lesser extent) with the regulatory specification of the role of public services regarding permits and authorizations of distributed energy, the introduction of innovative technologies in the network and the use of response to consumption for network optimization/.

Figure 9. impact of network assets on utilities by 2030
Figure 9. impact of network assets on utilities by 2030

Case Study - Brazil

This is quite far from the country's full potential, representing only 0.15% of Brazil's electricity capacity. The dynamism of the pV solar industry is shown in the number of companies participating in the sector today (despite the economic crisis in Brazil).

Table 3. photovoltaic solar Generation incentives in brazil Incentives targeted to DG
Table 3. photovoltaic solar Generation incentives in brazil Incentives targeted to DG

Conclusions and Future Research

Finally, we wanted to illustrate all these things in the specific case of the Brazilian electricity system, where dG is still in a relatively early stage, but the growth potential is huge, taking into account the natural conditions of the countries for solar PV. For example, postponing investments in the network is generally seen as an advantage of the spread of decentralized generation.

Characterization of the electricity sector

Usually, the proliferation of the distributed solar photovoltaic generation is considered to be beneficial to the electricity system. This paper describes the potential impacts that Brazil may see as a result of the large-scale uptake of distributed photovoltaic generation.

Figure 1 illustrates a hypothetical example of a system consisting of plants with  variable costs of 50, 80, 100, 120, 150 and 250 monetary units per megawatt-hour  ($/MWh)
Figure 1 illustrates a hypothetical example of a system consisting of plants with variable costs of 50, 80, 100, 120, 150 and 250 monetary units per megawatt-hour ($/MWh)

Impacts of photovoltaic diffusion on the Brazilian electricity sector 1. Avoided generation costs

  • Postponement of investment in new power plants
  • Postponement of investments in transmission and distribution
  • Need for investments in distribution networks
  • Cross-subsidies, cost shift and commercial losses
  • Impacts on energy trading contracts
  • Environmental impacts of distributed photovoltaic diffusion
  • Diversification of the Brazilian energy matrix
  • Duck curve and system flexibility
  • Ancillary services

This table also reflects the evolution of the participation of these sources in the production of electricity in the country. The first is the reduced net load during the day, also called generation risk.

table 1: evolution of the brazilian energy matrix
table 1: evolution of the brazilian energy matrix

Conclusions

The first is to assume that this dispersion does not affect the supply of auxiliary services. When estimating the avoided costs of production of the solar cell source, it is estimated that the avoided costs of future auxiliary services will be in the same ratio (e3, 2013).

The next chapter will examine the political dispute surrounding the implementation and reform of the Renewable Energy Sources Act (Germany's main incentive policy) in order to shed light on the political dispute over the way in which the electricity sector should be transformed. The next chapter will examine the political struggle surrounding the implementation and reform of the Renewable Energy Sources Act (Germany's main incentive policy) in order to shed light on the political dispute over the manner in which the electricity sector should be transformed.

Graph i: accumulated photovoltaic Capacity installed and annual photovoltaic Capacity  growth.
Graph i: accumulated photovoltaic Capacity installed and annual photovoltaic Capacity growth.

Imagem

Figure 1 represents the main changes between these two paradigms, while the electric- electric-ity distribution activities under a traditional system operation are dedicated to ensuring  electricity delivery, the situation under a smarter grid system opera
Figure 3. supported projects and involved organisations.
table 4. electricity distribution automation investments under sGiG Electric Distribution Automation Assets Investment
Figure 4 european union r&amp;d smart grid projects.
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Referências

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