System and market integration of renewables

Transcription

1 System and market integration of renewables 50Hertz experiences and assessment WindEurope Workshop RES system integration Brussels 21 March 2018 Björn Verse, European Energy Policy Advisor

2 Agenda 1. 50Hertz - part of the European electricity system 2. RES integration challenges in the 50Hertz grid area 3. 50Hertz experiences with RES integration 1. Grid extension & Congestion management 2. Market development and integration 4. 50Hertz assessment: Policy options on RES integration Seite 2

3 1. Introduction: 50Hertz - part of the European electricity system

4 50Hertz as part of the European Electricity System Hertz 2. TenneT TSO 3. Amprion 4. TransnetBW Seite 4

5 Transmission grids are the technical backbone of the energy supply in Germany and in Europe Owner of the transmission grid In charge of operation, maintenance and the development of extra-high-voltage lines and power junctions (substations) as well as for the connection of large-scale generators and consumers (including offshore) System operator Responsible for system stability of the transmission system around the clock: frequency control and voltage regulation, congestion management. Market developer Catalyst for the development of the energy market, especially in Northern and Central-Eastern Europe. Trustee for managing EEG* cash flows Responsible for managing cash flows resulting from the Renewable Energy Law (EEG). Source: 50Hertz * German Renewable Energy Law Seite 5

6 957 Physical imports and exports Germany and 50Hertz SWE Energinet.dk DK BENELUX POL TenneT PSE ČEPS Net exports in TWh FRA CZ 39,4 51,8 40,4 53,7 48,8 55,4 SUI AUT Imports in GWh Exports in GWh 50Hertz Germany With 49 TWh in 2017 the 50Hertz grid area was a major electricity exporter in Germany and Europe. Seite 6

7 RES integration challenges in the 50Hertz grid area

8 RES development in Germany ~ 30,000 plants * MW installed Wind in Germany PV Wind Biomass * BWE Figures - ~ 221,000 plants * MW installed Wind in Germany - ~ 1,600,000 plants * MW installed Wind in Germany Massive RES growth in Germany since the Markierungen introduction proportional of zur the installierten Renewables Leistung Energy Law (EEG) in 2000 with Wind and PV as the main growth drivers. Seite 8

9 High grid stability despite fluctuating RES feed-in RES share in final electricity consumption in 50Hertz grid area and Germany 53,4 %* Target corridor: RES share in Zielkorridor: final consumption Anteil EE in Germany am Stromverbrauch in GER Prognose: Forecast: Anteil RES share EE amin final Stromverbrauch consumption in bei 50Hertz 50Hertz grid area Ist: Status Anteil quo: EE am RES Stromverbrauch share in final bei consumption 50Hertz in 50Hertz grid area Disruptions / 100km line length 3,0 2,5 2,0 1,5 1,0 0,5 0, Source: 50Hertz, *preliminary status as of Ø TSO 50Hertz The 50Hertz grid area is frontrunner in integrating renewables while guaranteeing a high grid system stability and security. Seite 9

10 Installed capacity in GW New German government RES targets: Additional endeavours for the grid operators New German RES target: 65 % RES share in electricity consumption by 2030 results in additional 65 TWh from renewables (in comparison to the previous German RES target of 55 % until 2030) GW + 7 GW ,5 5 GW Wind onshore 55% target until 2030 Wind onshore 65% target until Wind offshore 55% target until 2030 Wind offshore 65% target until 2030 PV 55% target until 2030 PV 65% target until 2030 Seite 10

11 50Hertz experiences with RES integration Grid extension & congestion management

12 Transmission grid congestions in the 50Hertz grid area Grid loads >5h/a WP Wikinger Rostock Lüdershagen Lubmin Audorf Bentwisch Iven Brunsbüttel Hamburg Nord Güstrow Siedenbrünzow Dollern HH-Nord Kummerfeld HH-Ost Krümmel Görries Parchim Süd Altentreptow Nord Passewalk HH-Süd Lüneburg Wessin Putliz Altentreptow Süd Bertikow Vierraden Perleberg Putliz Süd Krajnik Gransee Stendal/West Henningsdorf Neuenhagen Heinersdorf Helmstedt Wolmirstedt Magdeburg Brandenburg West Thyrow Eisenhüttenstadt Förderstedt Preilack Marke Jessen Nord Ragow Wolkramshausen Klostermansfeld Lauchstädt Pulgar Schönewalde Taucha Steumen Eula Schmöln Graustein Bärwalde Hagenwerder Mecklar Eisenach Vieselbach Großschwabhausen Röhrsdorf Freiberg Nord Niederwiesa Dresden Süd Mikulowa Altenfeld Goldisthal Crossen Zwönitz Rempten -dorf Herlasgrün Markersbach Hradec Redwitz Load 50 % 50 % < Load < 70 % Load 70 % No indicator Seite 12

13 Congestion management in the 50Hertz grid area Congestion management volumes in GWh Congestion management costs in Mio ** * * cross-border/international 13.1 national redispatch 13.2 national RES curtailment redispatch * Preliminary data, Source: 50Hertz **Net costs as of Congestion management costs were stable in 2017 at the level of previous years despite additional MW of RES capacity added to the 50Hertz grid. Seite 13

14 Rising RES shares require an adaptation of the transmission grid infrastructure Till 2025: ~ 25 GW ~ 20 GW Increasing power transport capacities to connect consumption centers with RES generation Increasing transmission need (25 GW) Targets Increasing European connectivity to improve RES and market integration the key element of EU energy policy A strategic grid development in a European context is the key for a successful energy transition. Seite 14

15 Progress in transmission grid extension in the 50Hertz grid area 50Hertz-grid extension EnLAG (2009): Nr 3, part Vierraden Krajnik (PL) 3 km Nr 4, Lauchstädt Vieselbach Altenfeld Federal state Thuriginia / Bavaria 159 km Nr 9, Görries Krümmel Nr 11, Neuenhagen Wustermark 66 km 29 km 50Hertz Germany 59% 41% 36% 64% 50Hertz-grid extension BBPlG (2013/15): Nr. 26, Bärwalde Schmölln 46 km Nr. 27, Abzweig Förderstedt 12 km Nr. 28, Abzweig Parchim/Süd 1 km 50Hertz Deutschland 8% 92% 4% 96% Operational: ~456 km In construction: ~129 km Permitting phase: ~629 km Seite 15

16 Grid extension decreases costs Avoided congestion management costs due to 50Hertz Südwest-Kuppelleitung (SWKL) Transmission lines Remptendorf-Redwitz / Altenfeld-Redwitz Second system SWKL 8000 First system SWKL Adaptation of substation High temperature lines 50Hertz Jan 2009 Jan 2010 Jan 2011 Jan 2012 Jan 2013 Jan 2014 Jan 2015 Jan 2016 Jan 2017 Jan 2018 Status as of Seite 16

17 50Hertz counter-measures to master unplanned load flows through the European transmission grid Re-dispatch ( virtual PST ) Phase shifters (physical PST) Grid extension - Reduces system-securityrelevant flows - The challenge is to grant efficiency and cost effectiveness - Reduces system-securityrelevant flows - Requires major investments - Grants security of the whole electricity system - Paves the way for an integrated European market Short-term Mid-term Long-term Seite 17

18 50Hertz experiences with RES integration Market development and integration

19 Overview of current electricity market setup in Germany Energy Balancing Balancing Capacity FCR / afrr Balancing Capacity mfrr * FCR afrr mfrr Forward Market Day-Ahead- Market Intraday- Market Activation of Balancing Energy by Balancing Service Providers Cross Border Capacity Auction Auction Cross Border Transmission Capacities Market Coupling (MRC) Market Coupling (XBID) t-6 years t-1 week t-(1-3) days t-15min t+6sec t+30sec t+15min * Nordpool allows local trading within the control area until real time FCR Frequency Containment Reserve (PRL) afrr automatic Frequency Restoration Reserve (SRL) mfrr manual Frequency Restoration Reserve (MRL) Seite 19

20 Intraday Trading Volumes in TWh per month Day-Ahead Trading Volume in TWh per month Short-term markets Trading volume has increased in order to better balance RES forecast errors Day-Ahead Volume Intraday Volume Intraday 15min cont. Intraday 15min auct. Intraday hours Day-Ahead Seite 20

21 Grid Control Cooperation (GCC) Avoiding counteractive balancing to reduce overall balancing costs National GCC (Module 1-4) International GCC (Module 1 Imbalance Netting) Module 1 - IGCC: Avoid counteractivation Module 2: Common dimensioning Module 3: Common procurement of capacity Module 4 National GCC: Activation based on common Merit Order List RTE (4/2016) Elia (10/2012) Energinet.dk TenneT (02/2012) (10/2011) Swissgrid (03/2012) Germany (since 2008) CEPS (06/2012) APG (04/2014) Seite 21

22 50Hertz achievements in integrating balancing markets on a cross-border scale International Grid Control Cooperation (since 2012) Frequency Control Reserve (FCR) cooperation Eight countries Cooperation started in 2011 Main feature: Imbalance netting >300 Mil. EUR saved since 2011 Six countries Cooperation started in 2012 Main features: Common procurement Seite 22

23 Renewables and ancillary services? Renewables have to contribute to balancing the system in the future 50Hertz stands for RES integration into the markets for ancillary services. The very high share of RES in the 50Hertz control area demonstrates the high demand for those activities. Objective: Reducing the conventional must-run capacities! Seite 23

24 Innovative approaches towards system and market integration of renewables Example voltage control Example battery storage Example negative control power Storm Xaver 2013/12 After a loss of one two system line, wind park brings voltage back to the initial level Five batteries in the control area of 50Hertz participate in primary control E-mobility storing solutions possible in the future February 2016: Prequalification of two wind farms (60 MW) for tertiary reserve by 50Hertz RES system and market integration is proceeding. Besides voltage control, wind has a strong potential for providing negative control power. Seite 24

25 [ / MWh] Concept of the WindNODE Flexibility platform Conventional power plants and large Storage new Flexibility providers mainly wind generators EnWG conventional redispatch EnWG RES curtailment In order to reduce RES curtailment costs, additional flexibility sources will be incorporated in the established redispatching process in the 50Hertz grid area. Therefore new processes and communication structures (between grid operators and between flexibility provider and grid operator) are needed. WindNODE Flexibility Platform Seite 25

26 German WindNODE project to foster RES integration Project targets Efficient integration of 100% or even more RES-E into the grid & system Tangiable solutions, which are scalable Strategy: Promoting flexibility in the grid Intelligent interconnection of all elements in an increasingly renewable-based electricity system (Microproducers, prosumers, demand response, heat storage, e-mobility, Smart Home applicants) DSOs and TSOs participate in the project Optimization of volatile feed-in and demand Preconditions Source: WindNODE ( Digitalization Enhanced price signals Sector coupling and regulatory frameworks Seite 26

27 50Hertz assessment Policy options on RES integration

28 Policy options Grid extension Optimized usage of existing grid infrastructures Appropriate incentive framework for grid operators Improved permitting procedures, taking into account public acceptance Congestion management Clear RES curtailment and compensation rules Bid-/market-based procurement of redispatch measures problematic due to potential strategic bidding and market power of generators Fair cost-sharing principles for cross-border redispatch in order to incentivize grid investments in the long-run Market development and integration Strengthening short-term wholesale markets Developing new flexibility markets through close TSO and DSO cooperation on EU level Seite 28

29 Thank you for your attention! Björn Verse European Energy Policy Advisor Communications and Public Affairs 50Hertz Transmission GmbH Heidestraße Berlin, Germany bjoern.verse@50hertz.com Brussels, 21 March 2018