Grid Integration at the Distribution Level: Challenges and Trends Thomas Ackermann, PhD, Energynautics GmbH

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Grid Integration at the Distribution Level: Challenges and Trends Thomas Ackermann, PhD, Energynautics GmbH t.ackermann@energynautics.com Deep Dive Workshop, Asia Clean Energy Forum (ACEF) 5 June 2018, 09:00-17:30 Asian Development Bank Headquarters, Manila, Philippines

Lecturer: Dr.-Ing. Thomas Ackermann Founder and CEO of energynautics Dipl.-Wi.-Ing. Economics and Mechanical Engineering, TU Berlin Master of Science in Physics, Otago University (New Zealand) Ph.D. from Royal Institute of Technology (KTH), Stockholm Editor: Wind Power in Power Systems Worked as a consultant in the renewable and power system industry for the past 25 years: Germany, Sweden, China, New Zealand, Australia, India, Denmark, Japan, Costa Rica, Guatemala, Honduras, Philippines, Seychelles, Barbados, USA, Indonesia, Mongolia and Vietnam Lecturer at: Royal Institute of Technology (KTH), Stockholm (ongoing) Karlsruhe Hector School, Germany (ongoing) Technical University Darmstadt (2010-2012) Various Capacity Building Courses for GIZ, SINDA, World Bank 2

Denmark: 1980 to 2004 Primary generation Local generation 3

Distributed Generation Example: Development in Germany Source: 50Hertz around 30.000 plants Source: 50Hertz around 220.000 plants Source: 50Hertz around 1.500.000 plants 2000 2006 2014 Wind Photovoltaics BIOMASS 4

Actual share of roof-top PV-plants < 100 kw in Germany Total Installed PV: 43 GW, 1.6 Million PV Systems Of which 30 GW is roof top PV (distributed generation) Minimum demand in Germany: around 40 GW Annual installation of PV power Cumulated installation of PV power 100% 90% 80% 70% 60% 50% 40% 100% 90% 80% 70% 60% 50% 40% rooftop pv open space pv 30% 30% 20% 20% 10% 10% 0% 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 0% 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 5

Actual share of roof-top PV-plants < 100 kw in Germany High Shares even larger >100% are now very common in many distribution networks 6

The Distribution System Changes from pure Consumption... 7

to a Production System with Bi-directional Load Flow. 8

Volatage Deviations Source: Uhlig, CIRED Workshop 2014 Source: Maschinenfabrik Reinhausen GmbH Transformer from high voltage to medium voltage is usually the last instance of voltage control. Reversal of power flow at high VRE feed-in may lead to unacceptably high line voltage (which frequently happens in German rural LV grids with high PV share). Solutions: VRE generators with reactive power control, on-load tap changers in MV/LV transformers 9

Short Circuit Situation? LV/MV?? MV/HV How should the DER react during this time? Should the all have the same behaviour? How will the short-circuit be cleared? How does the grid protection react? * Source: K. Heuck, K.-D. Dettmann und D. Schulz, Elektrische Energieversorgung, Wiesbaden: Vieweg + Teubner Verlag, 2010. 10

The Typical Vision The future power grid will be bidirectional and intelligent Electricity and information flow in power grid Source: IFEU Figure: The Future Power Grid. Source: energytransition.de 11

Progress of RES in Germany Accomplished without any Large Grid Problems, and NO Smart Grids / Micro-Grids ALMOST NO NEW Energy Storage But with a strong interconnected European Power System and significant grid upgrades in Germany/Europe 12

Sometimes an Investment in more Copper is also very Smart, particular in Countries with fast Demand Increase 13

Example from Case Study in India with 100% PV Penetration level Voltage Loading 1.1 pu 0.9 pu PV Penetration: 100 % of DTs 14

Very Smart: Curtailment (vs. Grid Expansion) Grid expansion can be avoided by curtailing a small part of the renewable energy in case of grid congestion Example Europe: Curtailment with 2.8 % energy loss reduces grid expansion cost to 25 %. Even a little curtailment goes a long way... 15

Lessons learned... VRE Shares of 75-100% of the transformer rating can often be integrated without any major Smart Grid Innovation. Draft application form for data collection Lesson 1: Learn by doing and collect data about your system Lesson 2: Start to pepare for increasing share of VRE, learn with Smart Grid Demonstration projects Lesson 3: Cooperation between DSOs and TSOs are very important, particular regarding grid codes!!!! 16

The 50.2 HZ Problem in Germany: Several thousand megawatts of installed renewable capacity disconnect at unfavorable frequency thresholds Germany Considered in the Philippines Grid Code Reasons Underestimation of DG development Slow grid code updating Missing coordination between DSOs and TSOs as of end 2010 Source: EEG-registry of TSOs (1997-2008) and Federal Netzwork Agency (2009-2010) 17

Examples of Smart Grid Solutions 18

Challenges at Distribution Level 19

Voltage Issues with high VRE Infeed Voltage Issues with high VRE Infeed DER Feed-In Permissible Voltage Range Heavy Loads 20

Priority List of Technical Solutions for LV Grid 21

P&Q support of inverter based DGs Overfrequency support Voltage support Courtesy to Must 22

Voltage Regulation on LV Secondary Transformer (Automatic voltage regulators / On-load tap changers) Control the voltage on the LV side Increase voltage during high load situations Decrease voltage during situations with high PV generation Increases capability of distribution grid to integrate demand and distributed generation Courtesy to ABB 23

Innovative Energy/Distribution Network Management System Solution 24

Virtual Power Plant (i) Results Bids Forecast Outages Live Data Schedules 25

Map of Aggregated Power Plants 26

Virtual Power Plant (ii) - Operation 27

Conclusion There is no reason to be afraid of VRE in the distribution network; Allow DG in your system but monitor (SCADA System) it to allow lessons to be learned; Understand the challenges with increasing VRE in your system and try to develop simple solutions; The biggest challenges are often regulatory challenges 28

Example of a typical three Class Consumer Power Tariff an Issues! Basic Idea Large (wealthy) consumer subsidize small (poor) Consumer; This way all network/generation costs are paid for by all consumer (plus be may some profit for the utility) X% Above Costs Introduction of net-metering and/or feed-in tariff Large (wealthy) consumer invest into rooftop PV systems; this way they reduce their consumption and drop to a lower tariff; Less consumers are available to subsidize small consumers Utility cannot recover its costs anymore! Utility are fully or partly government owned, so they will complain directly about the introduction of the net-metering and/or feed.in tariff, but: Utilities start to mention technical issues grid limits. grid instability due to renewables This was the same in Europe 20 years ago! X% Below Costs 0-1000 kwh At Average Costs 1000-2500 kwh > 2500 kwh 29

Thank you for your attention. 30