1,720,979 research outputs found
Grid financing strategies in the death spiral : a simulation based analysis of grid tariff designs
No full textRenewable energies, especially photovoltaic (PV), have started a trend towards a decentralization of energy systems. With decreasing levelized costs of energy of new renewable energies, self-consumption concepts become increasingly attractive and have even reached grid parity in some countries already. So called "prosumers" (households that are producers and consumers at the same time) start to replace grid consumers, conducting self-consumption with their locally produced electricity by the PV plants. Since complete autarky cannot be reached with a PV plant for a household, prosumers still consume electricity from the main grid. This on-going diffusion of self-consumption concepts is significantly influenced by the interplay of network externalities within the system, such as learning from peers, altering the perceived utility by households of the investment into decentral generation. The increasing penetration of PV significantly contributes to the creation of a more sustainable power supply in Europe and is considered and supported in many nations by governmental energy strategies. Nevertheless, such decentralization dynamics also lead to multiple challenges in the energy system. New investors enter the energy market, utility companies are forced to adjust their business models and grid operators face technical as well as financial challenges. The presented paper focusses on the financial challenges of grid operators caused by decentralization trends of the electricity system
From solar prosumers to flexible prosumers? On incentives for solar prosumers from power grid tariffs to provide flexibility for smart grids
Full text linkGrid financing strategies in the death spiral : a simulation based analysis of grid tariff designs
No full textRenewable energies, especially photovoltaic (PV), have started a trend towards a decentralization of energy systems. With decreasing levelized costs of energy of new renewable energies, self-consumption concepts become increasingly attractive and have even reached grid parity in some countries already. So called "prosumers" (households that are producers and consumers at the same time) start to replace grid consumers, conducting self-consumption with their locally produced electricity by the PV plants. Since complete autarky cannot be reached with a PV plant for a household, prosumers still consume electricity from the main grid. This on-going diffusion of self-consumption concepts is significantly influenced by the interplay of network externalities within the system, such as learning from peers, altering the perceived utility by households of the investment into decentral generation. The increasing penetration of PV significantly contributes to the creation of a more sustainable power supply in Europe and is considered and supported in many nations by governmental energy strategies. Nevertheless, such decentralization dynamics also lead to multiple challenges in the energy system. New investors enter the energy market, utility companies are forced to adjust their business models and grid operators face technical as well as financial challenges. The presented paper focusses on the financial challenges of grid operators caused by decentralization trends of the electricity system
The Impacts of governmental policies on the investment decision for renewable energies in the Swiss electricity market
Full text linkSwitzerland faces two major challenges in the electricity sector. The existing nuclear power plants will be phased out and at the same time new renewable electricity sources should increase their share in production. These shifts need to be managed while ensuring a secure electricity provision. The investment decision for the specific technologies is a central leverage point in the system. Currently a feed-in remuneration tariff policy with a fixed tariff is implemented to support new renewable energy technologies in their development. A System Dynamics simulation model is built to improve the understanding of central developments in the system and the interplay of different electricity technologies in the electricity production. The model is used to simulate likely developments of the Swiss electricity power plant park and test the effectiveness of feed-in remuneration policies. Results are gained on the long- term dynamics of capacity building of electricity technologies, depending on different public policies. This paper makes a practical contribution to the management of the energy transition by shedding a more dynamic light on the capacity expansion in relation to different forms of feed-in tariff policies
Decentralization dynamics of energy systems : from prosumer preferences to system-level perspectives
No full textOur generation has the task to ensure a sustainable energy provision for all. The key challenge is integrating new renewables into energy systems. Current trends show exponentially growing installations of solar photovoltaics (PV). While the electricity supply has traditionally been centralized, solar PV is well suited for decentralized installation. Self-consumption of locally generated electricity is becoming possible, allowing for a wide range of new decentralized energy solutions. The line between consumers and producers starts to blur, challenging utility companies to reshape their business models and forcing policy makers to reconsider policy settings.
With this dissertation, I contribute to a holistic understanding and management of the energy transition, by focusing particularly on the decentralization dynamics of energy systems. With three foci, each addressed in one paper, I investigate three particular challenges of the paradigm change in the energy system, linking prosumer preferences and system-level perspectives.
In the first paper, we investigate the drivers of the decentralization dynamics. We analyze the diffusion of self-consumption concepts, focusing on network effects and complementarities arising from an increasing number of prosumers and microgrids. Simulations of the conceptual model highlight that recovering distribution grid costs is a decisive network effect of decentralization dynamics.
In the second paper, I simulate the impacts of different grid tariff designs and PV metering schemes on consumers’ decision to become solar prosumers and to install storage. I also quantify the distribution effect between consumers with and without self-consumption. The role of politics and policy is crucial in balancing distributive justice of power grid costs and incentives arising from grid tariff design.
In the third paper, we investigate prosumer's’ willingness to provide flexibility in three technology application areas. Decentralized generation is thus far an unexploited potential for flexibility. Utility companies, together with flexible prosumers, can co-create flexibility by pooling and valorizing flexibility on markets, potentially leading to benefits for both. The results of our choice experiment indicate the required premium to compensate flexible prosumers and locate target technology areas for business models for decentralized flexibility.Unsere Generation hat die Aufgabe, eine nachhaltige Energieversorgung sicher zu stellen. Die zentrale Herausforderung dabei ist es neue erneuerbare Energien in das Energiesystem zu integrieren. Aktuelle Entwicklung zeigen ein exponentielles Wachstum von Photovoltaik (PV). PV ist für dezentrale Installationen besonders geeignet, im Gegensatz zu der traditionell zentral organisierten Stromversorgung. Eigenverbrauch von lokal produziertem Strom wird möglich und eröffnet eine breite Palette an dezentralen Energieversorgungslösungen. Die verschmelzende Linie zwischen Konsumenten und Produzenten fordert Energieversorgungsunternehmen und politische Entscheidungsträger, einerseits neue Geschäftsmodelle zu finden sowie andererseits Gesetzgebung und Förderpolitik zu überdenken.
Mit dieser Dissertation trage ich zu einem ganzheitlichen Verständnis und Management der Energiewende bei, indem ich mich spezifisch auf die Dezentralisierungsdynamiken von Energiesystemen konzentriere. Mit drei Schwerpunkten, jeweils adressiert in einem Beitrag, untersuche ich drei spezifische Herausforderungen des Paradigmenwechsels im Energiesystem und verknüpfe Präferenzen von Prosumenten mit Systemperspektiven.
Im ersten Beitrag untersuchen wir die Treiber der Dezentralisierungsdynamiken. Wir analysieren die Diffusion von Eigenverbrauchskonzepten mit einem Fokus auf Netzwerkeffekte und Komplementaritäten, die aus der steigenden Anzahl von Prosumenten und Mikronetze entstehen. Simulationen des konzeptionellen Modells zeigen, dass die Kostendeckung von Stromverteilnetzen ein entscheidender Netzwerkeffekt von Dezentralisierungsdynamiken ist.
Im zweiten Beitrag simuliere ich die Auswirkungen verschiedener Netznutzungstarife und PV-Vergütungsschemas auf die Kundenentscheidungen ein Prosument zu werden und in Speicher zu investieren. Zudem quantifiziere ich den Verteileffekt zwischen Konsumenten mit und ohne Eigenverbrauch. Die Rolle von Politik, Gesetzgebung und Fördermassnahmen sind entscheidend, um die Kosten der Stromverteilnetze gerecht zu verteilen und kosteneffiziente Anreize zu setzen.
Im dritten Beitrag untersuchen wir in drei Technologiebereichen die Bereitschaft von Prosumenten Flexibilität bereitzustellen. Dezentrale Produktion ist ein bisher ungenutztes Potenzial für Flexibilität. Energieversorgungsunternehmen können gemeinsam mit flexiblen Prosumenten potenziell einen Mehrwert schaffen, indem sie lokale Flexibilitätspotenziale gebündelt vermarkten. Die Resultate von unserem Wahlexperiment eruieren die erwartete Prämie, um flexible Prosumers zu vergüten, und lokalisieren geeignete Technologiebereiche für Geschäftsmodelle mit dezentraler Flexibilität
Decentralization dynamics of energy systems : from prosumer preferences to system-level perspectives
No full textOur generation has the task to ensure a sustainable energy provision for all. The key challenge is integrating new renewables into energy systems. Current trends show exponentially growing installations of solar photovoltaics (PV). While the electricity supply has traditionally been centralized, solar PV is well suited for decentralized installation. Self-consumption of locally generated electricity is becoming possible, allowing for a wide range of new decentralized energy solutions. The line between consumers and producers starts to blur, challenging utility companies to reshape their business models and forcing policy makers to reconsider policy settings.
With this dissertation, I contribute to a holistic understanding and management of the energy transition, by focusing particularly on the decentralization dynamics of energy systems. With three foci, each addressed in one paper, I investigate three particular challenges of the paradigm change in the energy system, linking prosumer preferences and system-level perspectives.
In the first paper, we investigate the drivers of the decentralization dynamics. We analyze the diffusion of self-consumption concepts, focusing on network effects and complementarities arising from an increasing number of prosumers and microgrids. Simulations of the conceptual model highlight that recovering distribution grid costs is a decisive network effect of decentralization dynamics.
In the second paper, I simulate the impacts of different grid tariff designs and PV metering schemes on consumers’ decision to become solar prosumers and to install storage. I also quantify the distribution effect between consumers with and without self-consumption. The role of politics and policy is crucial in balancing distributive justice of power grid costs and incentives arising from grid tariff design.
In the third paper, we investigate prosumer's’ willingness to provide flexibility in three technology application areas. Decentralized generation is thus far an unexploited potential for flexibility. Utility companies, together with flexible prosumers, can co-create flexibility by pooling and valorizing flexibility on markets, potentially leading to benefits for both. The results of our choice experiment indicate the required premium to compensate flexible prosumers and locate target technology areas for business models for decentralized flexibility.Unsere Generation hat die Aufgabe, eine nachhaltige Energieversorgung sicher zu stellen. Die zentrale Herausforderung dabei ist es neue erneuerbare Energien in das Energiesystem zu integrieren. Aktuelle Entwicklung zeigen ein exponentielles Wachstum von Photovoltaik (PV). PV ist für dezentrale Installationen besonders geeignet, im Gegensatz zu der traditionell zentral organisierten Stromversorgung. Eigenverbrauch von lokal produziertem Strom wird möglich und eröffnet eine breite Palette an dezentralen Energieversorgungslösungen. Die verschmelzende Linie zwischen Konsumenten und Produzenten fordert Energieversorgungsunternehmen und politische Entscheidungsträger, einerseits neue Geschäftsmodelle zu finden sowie andererseits Gesetzgebung und Förderpolitik zu überdenken.
Mit dieser Dissertation trage ich zu einem ganzheitlichen Verständnis und Management der Energiewende bei, indem ich mich spezifisch auf die Dezentralisierungsdynamiken von Energiesystemen konzentriere. Mit drei Schwerpunkten, jeweils adressiert in einem Beitrag, untersuche ich drei spezifische Herausforderungen des Paradigmenwechsels im Energiesystem und verknüpfe Präferenzen von Prosumenten mit Systemperspektiven.
Im ersten Beitrag untersuchen wir die Treiber der Dezentralisierungsdynamiken. Wir analysieren die Diffusion von Eigenverbrauchskonzepten mit einem Fokus auf Netzwerkeffekte und Komplementaritäten, die aus der steigenden Anzahl von Prosumenten und Mikronetze entstehen. Simulationen des konzeptionellen Modells zeigen, dass die Kostendeckung von Stromverteilnetzen ein entscheidender Netzwerkeffekt von Dezentralisierungsdynamiken ist.
Im zweiten Beitrag simuliere ich die Auswirkungen verschiedener Netznutzungstarife und PV-Vergütungsschemas auf die Kundenentscheidungen ein Prosument zu werden und in Speicher zu investieren. Zudem quantifiziere ich den Verteileffekt zwischen Konsumenten mit und ohne Eigenverbrauch. Die Rolle von Politik, Gesetzgebung und Fördermassnahmen sind entscheidend, um die Kosten der Stromverteilnetze gerecht zu verteilen und kosteneffiziente Anreize zu setzen.
Im dritten Beitrag untersuchen wir in drei Technologiebereichen die Bereitschaft von Prosumenten Flexibilität bereitzustellen. Dezentrale Produktion ist ein bisher ungenutztes Potenzial für Flexibilität. Energieversorgungsunternehmen können gemeinsam mit flexiblen Prosumenten potenziell einen Mehrwert schaffen, indem sie lokale Flexibilitätspotenziale gebündelt vermarkten. Die Resultate von unserem Wahlexperiment eruieren die erwartete Prämie, um flexible Prosumers zu vergüten, und lokalisieren geeignete Technologiebereiche für Geschäftsmodelle mit dezentraler Flexibilität
Squaring the sunny circle? On balancing distributive justice of power grid costs and incentives for solar prosumers
No full textSolar prosumers are about to revolutionize the power sector. Utilities are challenged in recovering the costs of distribution grids, as parts of their revenue basis decreases through self-consumption. Adjusting the grid tariff sets off a reinforcing feedback loop that increases the attractiveness of solar investments, but also leads to a distribution effect between solar prosumers and conventional consumers. The question is: How to recover distribution grid costs equitable without hampering the diffusion of solar power? Can the two criteria be fulfilled at the same time, or is do we aim for squaring a circle? To address this question, I present a System Dynamics simulation model designed to understand the interactions and assess these competing goals. The occurring distribution effect under the volumetric grid tariff with net purchase and sale appears to be rather limited. Simulation experiments reveal that grid tariff designs strongly influence investments for solar power. A capacity tariff can reduce deviations from the cost causation principle of solar prosumers and incentivizes investments in decentralized storage solutions to reduce peak demand. Nevertheless, also the capacity tariff causes a distribution effect
Business strategies for flexibility aggregators to steer clear of being “too small to bid”
Full text linkFlexibility aggregation is seen as a promising solution to facilitate the integration of solar and wind power into the energy system. While the solution is well known, it remains fairly uninvestigated in terms of the components needed to result in a business success. This study investigates the long-term business dynamics of flexibility aggregators with a simulation model. Our study finds that new entrants in flexibility markets are likely to be trapped in a “technology valley of death” situation on account of being “too small to bid”. Therefore, we test different strategies to overcome this critical initial phase. Diversifying revenue streams and introducing a leasing offer for flexible prosumers to enlarge the customer base are promising strategies to reach the relevant bidding size required to compete in balancing power markets. The analysis offers insights on the long-term uncertainties of the business case. The findings of this paper contribute to the discussion on how to develop functioning and robust business models for low-carbon flexibility. Furthermore, the study is of high practical relevance, as one of the burning questions for new entrants in flexibility markets is addressed with a concrete strategy analysis
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