Integration Of Demand Response Into The Electricity Chain

The concept of Demand Response (DR) generally concerns methodologies, technologies and commercial arrangements that could allow active participation of consumers in the power system operation. The primary aim of DR is thus to overcome the “traditional” inflexibility of electrical demand and, amongst others, create a new powerful tool to maximize deployment of renewable energy sources as well as provide active network management solutions to help reducing the impact of limited grid capabilities. DR allows consumers to actively participate in power system operation, thus bringing new opportunities in emerging energy markets as well as tangible system benefits. In this sense, DR is considered one of the key enablers of the Smart Grid concept. However, DR also poses a number of challenges, particularly when “active demand” is connected to the Low Voltage network, thus affecting all the actors involved in the electricity chain. This book presents for the first time a comprehensive view on technical methodologies and architectures, commercial arrangements, and socio-economic and regulatory factors that could facilitate the uptake of DR. The work is developed in a systematic way so as to create a comprehensive picture of challenges, benefits and opportunities involved with DR. The reader will thus be provided with a clear understanding of the complexity deriving from a demand becoming active, as well as with a quantitative assessment of the techno-economic value of the proposed solutions in a Smart Grid context. Many research contributions have appeared in recent years in the field of DR, both in journals and conference proceedings. However, most publications focus on individual aspects of the problem. A systematic treatment of the issues to be tackled to introduce DR in existing electricity grids, involving the extended value chain in terms of technical and commercial aspects, is still missing. Also, several books have recently been published about Smart Grid, in which there is some mention to DR. However, again while DR is seen as a key pillar for the Smart Grid, there is no dedicated, comprehensive and systematic contribution in this respect.

The concept of Demand Response (DR) generally concerns methodologies, technologies and commercial arrangements that could allow active participation of consumers in the power system operation. The primary aim of DR is thus to overcome the “traditional” inflexibility of electrical demand and, amongst others, create a new powerful tool to maximize deployment of renewable energy sources as well as provide active network management solutions to help reducing the impact of limited grid capabilities. DR allows consumers to actively participate in power system operation, thus bringing new opportunities in emerging energy markets as well as tangible system benefits. In this sense, DR is considered one of the key enablers of the Smart Grid concept. However, DR also poses a number of challenges, particularly when “active demand” is connected to the Low Voltage network, thus affecting all the actors involved in the electricity chain. This book presents for the first time a comprehensive view on technical methodologies and architectures, commercial arrangements, and socio-economic and regulatory factors that could facilitate the uptake of DR. The work is developed in a systematic way so as to create a comprehensive picture of challenges, benefits and opportunities involved with DR. The reader will thus be provided with a clear understanding of the complexity deriving from a demand becoming active, as well as with a quantitative assessment of the techno-economic value of the proposed solutions in a Smart Grid context. Many research contributions have appeared in recent years in the field of DR, both in journals and conference proceedings. However, most publications focus on individual aspects of the problem. A systematic treatment of the issues to be tackled to introduce DR in existing electricity grids, involving the extended value chain in terms of technical and commercial aspects, is still missing. Also, several books have recently been published about Smart Grid, in which there is some mention to DR. However, again while DR is seen as a key pillar for the Smart Grid, there is no dedicated, comprehensive and systematic contribution in this respect.

In 2006, the Public Interest Energy Research Program (PIER) Demand Response Research Center (DRRC) at Lawrence Berkeley National Laboratory initiated research into Automated Demand Response (OpenADR) applications in California industry. The goal is to improve electric grid reliability and lower electricity use during periods of peak demand. The purpose of this research is to begin to define the relationship among a portfolio of actions that industrial facilities can undertake relative to their electricity use. This 'electricity value chain' defines energy management and demand response (DR) at six levels of service, distinguished by the magnitude, type, and rapidity of response. One element in the electricity supply chain is OpenADR, an open-standards based communications system to send signals to customers to allow them to manage their electric demand in response to supply conditions, such as prices or reliability, through a set of standard, open communications. Initial DRRC research suggests that industrial facilities that have undertaken energy efficiency measures are probably more, not less, likely to initiate other actions within this value chain such as daily load management and demand response. Moreover, OpenADR appears to afford some facilities the opportunity to develop the supporting control structure and to 'demo' potential reductions in energy use that can later be applied to either more effective load management or a permanent reduction in use via energy efficiency. Under the right conditions, some types of industrial facilities can shift or shed loads, without any, or minimal disruption to operations, to protect their energy supply reliability and to take advantage of financial incentives. In 2007 and 2008, 35 industrial facilities agreed to implement OpenADR, representing a total capacity of nearly 40 MW. This paper describes how integrated or centralized demand management and system-level network controls are linked to OpenADR systems. Case studies of refrigerated warehouses and wastewater treatment facilities are used to illustrate OpenADR load reduction potential. Typical shed and shift strategies include: turning off or operating compressors, aerator blowers and pumps at reduced capacity, increasing temperature set-points or pre-cooling cold storage areas and over-oxygenating stored wastewater prior to a DR event. This study concludes that understanding industrial end-use processes and control capabilities is a key to support reduced service during DR events and these capabilities, if DR enabled, hold significant promise in reducing the electricity demand of the industrial sector during utility peak periods.

This book analyzes the economic and technical effects of demand response programs in smart grids. A variety of operational and financial benefits are offered by demand response programs (DRPs) for load-serving entities, grid operators, and electricity consumers. The most notable advantages of DRPs are presented in this book, including decreased electricity prices, risk management, market power mitigation, and flexibility of market operations. In-depth chapters discuss the integration of demand response programs for the planning and operation of smart grids and explore the uncertainties of market prices, renewable resources and intermittent load management, making this a useful reference for a variety of different organizations and players in the electricity market, such as reliability organizations, distribution companies, transmission companies, and electric end-users.

This book analyzes issues surrounding the efficient integration of demand response programs (DRPs) on operation problems in smart grids. The benefits offered by demand response programs (DRPs) for load-serving entities, grid operators, and electricity consumers are explained, including decreased electricity prices and risk management. In-depth chapters discuss the flexibility of market operations, market power mitigation, and environmental benefits—making this a must-have reference for engineers and related practicing professionals working for organizations in the electricity market, including reliability organizations, distribution companies, transmission companies, and electric end-users.

The thesis provides different opportunities and ideas to face some current challenges in the electricity systems. It focuses on the effective and efficient integration of distributed low carbon technologies in the grid of the future. Planning and operation problems for different clean solutions, such as market bidding strategies for intermittent energy producers, demand side management algorithms for smart buildings, and electrical storage options for network operators, are studied for facilitating the integration of renewable energy sources in the power system chain.

The electric power sector is poised for transformative changes. Improvements in the cost and performance of a range of distributed energy generation (DG) technologies and the potential for breakthroughs in distributed energy storage (DS) are creating new options for onsite power generation and storage, driving increasing adoption and impacting utility distribution system operations. In addition, changing uses and use patterns for electricity—from plug-in electric vehicles (EVs) to demand response (DR)—are altering demands placed on the electric power system. Finally, the infusion of new information and communications technology (ICT) into the electric system and its markets is enabling the collection of immense volumes of data on power sector operations and use; unprecedented control of generation, networks, and loads; and new opportunities for the delivery of energy services. In this Special Issue of Energies, research papers on topics related to the integration of distributed energy resources (DG, DS, EV, and DR) are included. From technologies to software tools to system-wide evaluations, the impacts of all aforementioned distributed resources on both operation and planning are examined.

Uncertainties in Modern Power Systems combines several aspects of uncertainty management in power systems at the planning and operation stages within an integrated framework. This book provides the state-of-the-art in electric network planning, including time-scales, reliability, quality, optimal allocation of compensators and distributed generators, mathematical formulation, and search algorithms. The book introduces innovative research outcomes, programs, algorithms, and approaches that consolidate the present status and future opportunities and challenges of power systems. The book also offers a comprehensive description of the overall process in terms of understanding, creating, data gathering, and managing complex electrical engineering applications with uncertainties. This reference is useful for researchers, engineers, and operators in power distribution systems. Includes innovative research outcomes, programs, algorithms, and approaches that consolidate current status and future of modern power systems Discusses how uncertainties will impact on the performance of power systems Offers solutions to significant challenges in power systems planning to achieve the best operational performance of the different electric power sectors

Energy Positive Neighborhoods and Smart Energy Districts: Methods, Tools, and Experiences from the Field is a comprehensive guide to this highly interdisciplinary topic. Monti et. al’s combined experience make them the most qualified team of editors to explore the processes and tools involved in creating Energy Positive Neighborhoods and Smart Energy Districts in an urban setting. Tools include: A complete simulation library to quickly support the implementation of a model of the scenario A set of possible approaches to neighborhood energy optimization An open, extensible information model for neighbourhood asset description The structure of this book offers different reading paths to appeal to the very varied audience it addresses. It describes the process of adaption and the challenges faced by the decision makers, and also how simulation, optimisation, ICT approaches and business models are combined in a holistic and pragmatic way. It also offers possible business models and a means to quantify them to complete the development process. This book is suitable for students on muti-disciplinary energy engineering courses, energy practitioners, ICT vendors aiming to develop new services to target the building industry, and decision makers aiming to structure an urban renovation program. Delivers a significant amount of exclusive knowledge on the topics of energy positive neighborhoods and smart energy districts Allows readers to grasp the complexity of this interdisciplinary topic by providing access to well-structured processes and tools Includes real life examples of the transformation of two demonstration sites that illustrate the concepts discussed to add context and value to their implementation

This book focuses on near-zero energy buildings (NZEBs), smart communities and microgrids. In this context, demand response (DR) is associated with significant environmental and economic benefits when looking at how electricity grids, communities and buildings can operate optimally. In DR, the consumer becomes a prosumer with an important active role in the exchange of energy on an hourly basis. DR is gradually gaining ground with respect to the reduction of peak loads, grid balancing and dealing with the volatility of renewable energy sources (RES). This transition calls for high environmental awareness and new tools or services that will improve the dynamic as well as secure multidirectional exchange of energy and data. Overall, DR is identified as an important field for technological and market innovations aligned with climate change mitigation policies and the transition to sustainable smart grids in the foreseeable future. Smart Buildings, Smart Communities and Demand Response provides an insight into various intrinsic aspects of DR potential, at the building and the community level.