smart grid & battery energy storage€¦ · ꟷ micro grids / hybrid systems ꟷ energy...

A company ofConfidential Restricted Public Internal

Smart Grid &Battery Energy StorageRalf Bucher, MSc

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Renewable Energy ProjectsBerlin, 16 April 2018

AGENDA

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Status Quo & Trend Reversals

Smart Grid

Battery Energy Storage

Global Vision 2050

Chapter 1

Chapter 2

Chapter 3

Chapter 4

Summary & ConclusionChapter 5

Status Quo &Trend Reversals

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Status Quo

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Primary power networks designed decades ago to meet the needsof centralized carbon-based or nuclear generation facilities

Distributed wind and solar PV affect operational characteristics ofpower infrastructure due to temporal and geographic variabilities

Renewable energy is redefining the energy mix

Innovation is crucial to transformation of energy sector

Major Trend Reversal: Decoupling of GDP* and CO2 emissions

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In 2015, the world economy grew by 3.4%, BUTthe energy-related CO2 emissions stayed level

.

2015

* gross domestic product

Trend Reversal: Rooftop-PV plus battery becomes cost competitive

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In 2017, grid parity between rooftop-PV with battery storage, ANDcommonly charged utility tariffs was reached in Perth, Australia

2017

https://mozo.com.au/energy/guides/home-battery-storage

average utility tariff

rooftop PV plus battery

Trend Reversal: Less total investment but more in networks

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Since 2014, global investment in energy infrastructure decline, BUTinvestment in electricity networks increase against falling trend

2014

http://www.iea.org/publications/wei2017/#section-2

2014 to 2015:+ USD 31 bn

2015 to 2016:+ USD 16 bn

2016 to 2017:trend continued

Smart Grid

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Definition & Characteristics

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First official definition in 2007 by US Energy Independence Act.

Smart grid exploits communication networks to cost-efficiently integrate all elements connected in order to ensure an economically efficient power

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Conventional & Smart Grid

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http://smartgrid.epri.com

Network spending is dominated by lines and power equipment, but digital grid infrastructure now

accounts for over 10% of investment.IEA – World Energy Investment 2017

Increasing reliability/efficiency concernsdue to volatile renewable infeed

and market liberalisation.

Multi-layer Conceptual Model

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Regulatory / Market

Business Applications

Data Management / Utility Communication

Power Infrastructure

Regulatory framework advisoryMarket and incentive designLow carbon development strategies

Investment & planning studiesFinancial & economic assessmentSmart Grid program implementation

Cyber securityNetwork analysis and optimizationAutomated grid control

Transmission & Distribution management ꟷ Load Dispatch Centers (SCADA/EMS)ꟷ Automated Metering Infrastructure (AMI)ꟷ Digital Substation Technology

Decentralized generationꟷ Micro Grids / Hybrid systemsꟷ Energy storage

Lahmeyer International Services:

Since 2002, 459 smart grid projects were launched in 47 countries, totaling €3.15 bn.

20% were on DSO- and only 4% on TSO-level.

Electricity network investments of €600 bn for Europe until 2035, where 80% will go into the distribution grids.

Smart grid starts with DSOs* and expands to TSO* voltage levels

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* Distribution System Operator** Transmission System Operator

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„Digital Substation“ (high voltage level): … represents a smart grid enabling technology necessary for a power

infrastructure based on bulk renewable energy infeed.

… is critical for the efficient integration of renewable generation by centralized monitoring of T&D networks and real-time automated grid management.

… allows transitional overloading of equipment, so that supply peaks that may occur during periods of strong wind or high solar radiation can be benefitted from. Costly peak shaving can be reduced.

Smart grid starts with DSOs* and expands to TSO* voltage levels

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* Distribution System Operator** Transmission System Operator

Battery Energy Storage

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Battery Energy Storage: Cost drop in cells

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cost drop in 10 years to ¼ th

Battery Energy Storage: Capacity projection

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https://www.iea.org/Textbase/npsum/WEI2017SUM.pdf

Energy storage systems allow for the increased use of renewable energy and provide ancillary services for managing the supply/demand challenges.

Investment in grid-scale battery-based energy storage is ramping up quickly, having reached over US$1 bn in 2016.

A recent implementation project by ENGIE Germany: 12.5 MW / 13.5 MWh at Pfreimd PSP in Bavaria

25,400 Li-Ion cells in 4 containers (40ft & 45t, each)

110 kV grid inter-connection

1 year from contract signature to grid operation

Battery Energy Storage: Characteristics and Reference

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BESS and PSP are natural partners! They combine:- fast ramping functionality (battery enery storage)

- high storage capacity (pumped-hydro)

Battery Energy Storage (BESS) vs. Pumped-Hydro (PSP)?

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Global Vision 2050

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Global Energy Interconnections (formed by State Grid, China)

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When taking a strategic perspective on the development of the future electricity supply, the Chinese initiative GEIDCO needs to be taken into consideration.

A major element of their 2030 to 2050 strategic goal of intra- and trans-continental backbone networks builds on ultra-high voltage DC transmission equipment and smart grid technology.

“Smart grid is the foundation, UHV grid is the key, and clean energy is the priority”

Smart Grid + UHV Grid + Clean Energy

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Global Energy Interconnections (formed by State Grid, China)

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Project example: Kenya-Ethiopia Interconnector

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Burundi, DRC, Egypt, Ethiopia, Kenya, Rwanda, Sudan, Tanzania, Libya and Uganda

2 GW converter stations for 400 kV (AC) to ±500 kV (DC) converter station (2 GW)

1,000 km ±500 kV DC power transmission linehttp://eappool.org/interconnection-code-compliance-program/

2018: Consulting Services Tendered

Summary & Conclusion

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Summary

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For both transmission and distribution networks, real-time wide-area situational awareness of grid status through advanced metering and IP-based communication and monitoring systems is the trend.

The increased amount of data created by smart grid devices (phasor measurement units and smart meters) can overwhelm utilities if data management ability and computing power are not scaled up accordingly.

Blockchain is a fundamental technology that can provide an open and shared public network in order to execute transactions at very low costs.

Conclusion

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Future power infrastructure will be an interoperable environment where billions of points of supply and demand exchange information and transact.

For the efficient integration of renewables, real-time automated grid control and centralised monitoring of T&D networks is required.

The global vision 2050 is based on renewable energy, smart grid technologies, including UHVDC transcontinental backbone networks.

Global investment streams direct towards this goal (renewables-based power capacity as largest area of spending, rising investment in electricity networks).

A company of

THANK YOU FOR YOUR ATTENTIONYOUR QUESTIONS ARE WELCOMERalf Bucher, MScralf.bucher@de.lahmeyer.com+49-(0)-6101-55-1693

LAHMEYER INTERNATIONAL GmbHFriedberger Strasse 17361118 Bad Vilbel, Germany