Storage Applications in the Italian Transmission Grid to ...files.energystorageforum.com/rome2/2_2...

20
Storage Applications in the Italian Transmission Grid to facilitate RES integration Rome, June 13 th 2012 Angelo Ferrante

Transcript of Storage Applications in the Italian Transmission Grid to ...files.energystorageforum.com/rome2/2_2...

Page 1: Storage Applications in the Italian Transmission Grid to ...files.energystorageforum.com/rome2/2_2 Terna Angelo Ferrante.pdfJun 13, 2012  · 7 Impact of fluctuating RES generation

Storage Applications in the Italian Transmission Grid to

facilitate RES integration

Rome, June 13th 2012

Angelo Ferrante

Page 2: Storage Applications in the Italian Transmission Grid to ...files.energystorageforum.com/rome2/2_2 Terna Angelo Ferrante.pdfJun 13, 2012  · 7 Impact of fluctuating RES generation

2

 Owner of more than 98% of the Italian EHV-HV Transmission Grid:

 Over 63.578 km of EHV and HV lines

11.261 km of 380 kV lines, 1.122 km of land and 917 km of submarine cables,  Over 445 substations 122 GVA transforming capacity  22 interconnectors

France (4+1), Switzerland (9), Austria (1), Slovenia (2), Greece (1)

 Responsible for planning, development, operation and maintenance of the NTG, as well as for the transmission and dispatching activities

 332 TWh: energy demand in 2011 ( +0,6% vs 2010)

 Peak demand: 56.5 GW (13 July 2011)

 1st fully unbundled SO in Europe and 7th in the world

Francia   380   Venaus-­‐Villarodin  

Francia   380   Albertville-­‐Rondissone  

Francia   380   Albertville-­‐Rondissone  

Francia   220   Camporosso-­‐Brioccarros  

Svizzera   380   Musignano-­‐Lavorgo  

Svizzera   380   Bulciago-­‐Soazza  

Svizzera   380   Gorlago-­‐Robbia  

Svizzera   380   Sfiorano-­‐Robbia  

Svizzera   220   Avise-­‐Riddes  

Svizzera   220   Mese-­‐Gorduno  

Svizzera   220   Valpelline-­‐Riddes  

Svizzera   220   Pallanzeno-­‐Serra  

Svizzera   220   Ponte-­‐Airolo  

Austria   220   Soverzene-­‐Lienz  

Slovenia   380   Redipuglia-­‐Divacca  

Slovenia   220   Soverzene-­‐Lienz  

Terna and the Italian EHV-HV Transmission Grid    Facts and figures

Angelo Ferrante - 13 June, 2012

Page 3: Storage Applications in the Italian Transmission Grid to ...files.energystorageforum.com/rome2/2_2 Terna Angelo Ferrante.pdfJun 13, 2012  · 7 Impact of fluctuating RES generation

3

The TERNA Group    Updated Group structure

Subsidiaries Joint ventures

Associates Companies evaluated using the equity method

Angelo Ferrante - 13 June, 2012

Page 4: Storage Applications in the Italian Transmission Grid to ...files.energystorageforum.com/rome2/2_2 Terna Angelo Ferrante.pdfJun 13, 2012  · 7 Impact of fluctuating RES generation

4

Ownership structure Share capital divided according to reference areas

Updated as of April, 2012

Angelo Ferrante - 13 June, 2012

Page 5: Storage Applications in the Italian Transmission Grid to ...files.energystorageforum.com/rome2/2_2 Terna Angelo Ferrante.pdfJun 13, 2012  · 7 Impact of fluctuating RES generation

5

Development Trend of RES Power Capacity in Italy (MW)

  Italian  Government  targets:  

  23.000  MW  (IV  Conto  energia)    12.700  MW    (target  PAN  2020)  (*)  December  2011  provisional  data    

*

Installed Capacity from Wind and Solar Power Plants

Page 6: Storage Applications in the Italian Transmission Grid to ...files.energystorageforum.com/rome2/2_2 Terna Angelo Ferrante.pdfJun 13, 2012  · 7 Impact of fluctuating RES generation

6

Evolution of the generation scenario Development of the renewable energy generation capacity* (MW)

• Short-medium term forecasts • Installed wind and PV power

(*) Provisional data – December 2011

Angelo Ferrante - 13 June, 2012

PV

Wind Wind

PV

Page 7: Storage Applications in the Italian Transmission Grid to ...files.energystorageforum.com/rome2/2_2 Terna Angelo Ferrante.pdfJun 13, 2012  · 7 Impact of fluctuating RES generation

7

Impact of fluctuating RES generation on power system

Main impacts

• Power Flow inversion in 150/20 kV distribution substations and local HV grid congestions

• Increase of congestions on 400 kV network in daily off peak conditions

• Balancing of generation surplus in very low load condition

• Security issues (frequency stability, lack of primary reserve, evening ramps)

Further impacts expected in the short-medium term horizon

• Extension of network congestions to further grid portions in South Italy

• National and zonal (South Italy and Sicily) Over-Generation that cannot be balanced

Current difficulties and possible envisaged problems

Page 8: Storage Applications in the Italian Transmission Grid to ...files.energystorageforum.com/rome2/2_2 Terna Angelo Ferrante.pdfJun 13, 2012  · 7 Impact of fluctuating RES generation

8

Impact of fluctuating RES generation on power system Power Flow inversion

325 (9%)

543* (17%) 252

(7%)

358* (11%)

Annual data – 2011 vs. 2010

(*) provisional data – end 2011 / Source: ENEL Distribuzione

Total HV/MV sections in Italy Inversion >1% (>87 h/ year)

Inversion >5% (>438 h/ year)

Angelo Ferrante - 13 June, 2012

150  kV  

20  kV  

HV  transmission  grid  

MV  distribuMon  grid  

Page 9: Storage Applications in the Italian Transmission Grid to ...files.energystorageforum.com/rome2/2_2 Terna Angelo Ferrante.pdfJun 13, 2012  · 7 Impact of fluctuating RES generation

9

SE 380/150 kV

Surplus of installed RES vs load + energy transfer capacity

Grounds for limiting the production of intermittent RES:

 Solve local grid congestions

 Security of the 150kV grid

 Compliance with reserve requirements for secure operation of insular grids

Angelo Ferrante - 13 June, 2012

Impact of fluctuating RES generation on power system Local HV grid congestions

Page 10: Storage Applications in the Italian Transmission Grid to ...files.energystorageforum.com/rome2/2_2 Terna Angelo Ferrante.pdfJun 13, 2012  · 7 Impact of fluctuating RES generation

10

Impact of intermittent RES on reserve and balancing

Primary reserve

The increase of intermittent RES implies an equivalent reduction of the conventional generation required for providing primary reserve    

Secondary reserve/ Tertiary reserve

The power produced by intermittent RES determines a further level of uncertainty for real-time balancing of production and load    

The increase of intermittent RES generation increases reserve needs but, at the same time,

reduces reserve availability

Risks for lack of regulating capacity margins

Angelo Ferrante - 13 June, 2012

Page 11: Storage Applications in the Italian Transmission Grid to ...files.energystorageforum.com/rome2/2_2 Terna Angelo Ferrante.pdfJun 13, 2012  · 7 Impact of fluctuating RES generation

11

D1 D2 D3

Risks  of  modulaEng  RES  generaEon  

PV generation

Minimum Import

Not dispatchable generation

Minimum Thermal capacity necessary for system security

Load

Load – PV – Not predictable RES

•  Constraints  on  use  of  regulaEng  plants  

•  Maximize  use  of  exisEng  hydro-­‐pumping  power  plants  

•  Import  reducEon  •  Massive  use  of  defense  

systems  

Impact on System Reserve and Power Balancing Effects of Huge Amount of RES on Generation Dispatching

Page 12: Storage Applications in the Italian Transmission Grid to ...files.energystorageforum.com/rome2/2_2 Terna Angelo Ferrante.pdfJun 13, 2012  · 7 Impact of fluctuating RES generation

12

Limit (transmission capacity)

Curtailed intermittent energy

Curtailment reduction (storage)

Energy from ESS

Stored intermittent energy

Relieving  congesEons  Effect  of  storage  devices  on  a  congested  line  

Dispatched Intermittent production

Page 13: Storage Applications in the Italian Transmission Grid to ...files.energystorageforum.com/rome2/2_2 Terna Angelo Ferrante.pdfJun 13, 2012  · 7 Impact of fluctuating RES generation

13

Law Decisions on Electricity Storage

Dlgs 3 march 2011, n. 28  

•  projects of new electricity storage plants aimed at supporting RES integration •  projects included in the TNDP •  Regulator provides for remuneration of investments

Dlgs 1 June 2011 , n. 93

•  Terna and Distributors can build and operate storage plants with batteries •  hydro-pumping power plants included in the TNDP are awarded by competitive procedures.

Delib. ARG/elt 199/11, 29.12.2011

•  I3 incentives (ΔWACC: 2% 12yrs) for investments allowing to: •  reduce congestions between market zones; •  increase Net Transfer Capacity (NTC); •  reduce intrazonal congestions, subject to approval of AEEG

•  I4 incentives (ΔWACC: 2% 12yrs) for pilot projects on ESS (TSO and DSOs)  

Planning, Realization and operation of electricity storage devices

Page 14: Storage Applications in the Italian Transmission Grid to ...files.energystorageforum.com/rome2/2_2 Terna Angelo Ferrante.pdfJun 13, 2012  · 7 Impact of fluctuating RES generation

14

Analysis of the technical solutions Typical capacity values vs discharging time*

Angelo Ferrante - 13 June, 2012

*  Electricity  Storage  AssociaMon  (November  2008/  Ref.  to  installed  devices  )

Focusing  on  energy  intensive  and  flexible  soluMons,  to  be  developed  within  next  2  years  

InvesMgaMng  technical  soluMons  able  to  take  advantage  of  exisMng  substaMons  in  order  to  reduce  environmental  impact  and  permiZng  Mmes    

Page 15: Storage Applications in the Italian Transmission Grid to ...files.energystorageforum.com/rome2/2_2 Terna Angelo Ferrante.pdfJun 13, 2012  · 7 Impact of fluctuating RES generation

15

Advantages of Batteries

Installation of batteries vs BAU (grid development as the only solution)

•  Congestion reduction

•  Primary reserve

•  Tertiary reserve

•  Limited implementation time

•  Modular, capillary and removable

•  Limited impact on the territory

Underutilization of the grid (<10%)

Only if available in neighbouring area

Batteries BAU

Angelo Ferrante - 13 June, 2012

Page 16: Storage Applications in the Italian Transmission Grid to ...files.energystorageforum.com/rome2/2_2 Terna Angelo Ferrante.pdfJun 13, 2012  · 7 Impact of fluctuating RES generation

16

GWh/a *

Expected results   Avoid curtailment of about 230 GWh/yr from RES   Provide additional tertiary reserve on the market for

approximately 410 GWh/yr

FIRST  STEP  (130  MW)  

Angelo Ferrante - 13 June, 2012

Recovered energy assessment

SECOND  STEP  (+110  MW)  

ESS sizing

Expected results   Avoid curtailment of about 440 GWh/yr from RES   Provide additional tertiary reserve on the market for

approximately 750 GWh/yr

Page 17: Storage Applications in the Italian Transmission Grid to ...files.energystorageforum.com/rome2/2_2 Terna Angelo Ferrante.pdfJun 13, 2012  · 7 Impact of fluctuating RES generation

17

The following overall benefits should be assessed:

•  Reductions in the cost of energy:

Storage of RES energy when the grid is congested and then possible release of the energy stored,

replacing equivalent conventional thermal energy

•  Increase of the adequacy/security margins:

•  Meet the increased needs for secondary and tertiary reserves.

•  Compensation of the frequency regulation capacity reduction of the system frequency/power

adjustments.

•  Reduced costs for new HV lines and increased voltage regulation capacity

A

B

C

D

Benefits evaluation

Angelo Ferrante - 13 June, 2012

Benefits for the system Energy: reduced curtailment A Security: secondary– tertiary reserve B Security: primary regulation C Security: reduced costs for new HV lines D

Performance index

(A+B+C) NPV benefits

CapEx - D =

Page 18: Storage Applications in the Italian Transmission Grid to ...files.energystorageforum.com/rome2/2_2 Terna Angelo Ferrante.pdfJun 13, 2012  · 7 Impact of fluctuating RES generation

18

7

53

8

21

60 Avoiding  to    cut  RES  Energy  

Secondary  and  terEary  reserve  resources  for  system    balancing  

Primary  reserve  resources  for  system  security  

Benefits  Mln€/year*  

Costs  Mln€/year*  

*  Actualized  benefits  and  costs  in  the  lifeMme  horizon  of  15  years    

PI  =  Benefit/Cost  raEo  >  1,8  

Ba_eries    CAPEX  +  OPEX    

Benefit /Cost ratio of a 240 MW batteries investment

Avoid  Network  investments    

Page 19: Storage Applications in the Italian Transmission Grid to ...files.energystorageforum.com/rome2/2_2 Terna Angelo Ferrante.pdfJun 13, 2012  · 7 Impact of fluctuating RES generation

19

Strategies for integration of RES into the national power system

Investments planned by Terna for a stronger smart transmission system

•  More than 2,5 Billion € within next 5 years to develop   transmission network infrastructures   distributed storage devices

Energy Policy Makers to be aware:

• Embedded generation to be compliant ASAP with grid requirements

• Fluctuating RES (esp. on MV and LV side) to improve their production forecast and to make available system regulation services

• Review market rules to realize  more efficient price signals   effective markets coupling

Conclusions

Page 20: Storage Applications in the Italian Transmission Grid to ...files.energystorageforum.com/rome2/2_2 Terna Angelo Ferrante.pdfJun 13, 2012  · 7 Impact of fluctuating RES generation

20

Thank you for your

attention!