Review of eStorage’s first year resultsWP3 Benefits of Storage and Regulatory Framework & Market Design

30 October 2013Wim van der Veen - DNV KEMA

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WP3 review of first years resultsAgenda

WP3 overview

Tasks

Progress

Main results

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WP3 review of first years resultsAgenda

WP3 overview

Tasks

Progress

Main results

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General OverviewTitle and objective WP3

Title:

Benefits of Storage and Regulatory Framework & Market Design

Objective:

Quantify the economic and environmental value of variable speed PSP units;

Recommend Regulatory Framework & Market Design, enabling a massive roll out of flexible energy storage in the EU market context , necessary for the EU climate ambitions.

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WP3 review of first years resultsAgenda

WP3 overview

Tasks

Progress

Main results

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Tasks

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Task 3.1 ScenariosTitle

Formulating Development Scenarios and Identifying the Role of Storage for the Future EU Electricity System

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Task 3.1 ScenariosObjective

Quantification of impacts and value of energy storage requires

the formulation of plausible scenarios for future development of

the interconnected European system with incorporation of:

o the objective of expanding renewable capacity, as well as

o the expected development of electricity networks and

demand-side participation

The scenarios developed will describe how the electricity system

will change from the current state towards 2050 vision

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Task 3.2 – Value of Storage Title and objective

TASK 3.2: Economic and Environmental Value of Storage in the future EU electricity Systems

The intention of this task in particular is to make use of DNV KEMA

and Imperial’s models for analysing the integration of intermittent

renewables into the EU electricity system

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Task 3.2 – Value of Storage Sub tasks

Subtask 3.2.1: Fundamental economic evaluation of storage for system operation and design

Subtask 3.2.2: Value of storage for participation in competitive electricity markets

Subtask 3.2.3: Value of EU-wide deployment of variable speed retrofit of existing PSP schemes

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Task 3.3 Obstacles in EU FrameworkTitle and objective

TASK 3.3: Obstacles for the integration of Storage in Current EU Regulatory and Market Framework

Survey of current market and regulatory mechanisms pertaining to storage facilities in selected European countries

Creating a favourable regulatory and market framework for the use of storage systems.

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Task 3.4 – Regulatory RecommendationsTitle and objective

TASK 3.4: Regulatory Recommendations for Storage in European Market Rules which support efficient large scale integration of renewable electricity and energy storage on a European scale

Guidelines for efficient and non-discriminatory grid access

Include interactions with stakeholders

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WP3 review of first years resultsAgenda

WP3 overview

Tasks

Progress

Main results

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Work Package 3Progress

At the beginning of the project a detailed work plan has been drafted

Every month a telephone conference is held with all task leaders or representatives

The are no official deliverables due in the first year for all tasks and sub-tasks

Now progress per task

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Task 3.1 ScenariosProgress

Literature study

European policy and scenarios,

Demand development

Technology development

Development of fuel supply and fuel prices.

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Task 3.1 ScenariosProgress

Internal deliverable literature study:

Four reports on the subjects just mentioned

Reports were reviewed and commented by

o WP3 partners

o Other work package partners

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Task 3.2 Value of storageProgress

Survey of similar projects or studies recently conducted on a similar European-wide scale.

Exchange of input data templates to ensure consistency between inputs to both modelling tools and the scenarios developed in Task 3.1.

Feedback on literature study of Task 3.1

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Task 3.3 Obstacles for integration of storage Progress

Start of survey of current market and regulatory mechanisms pertaining to storage facilities in selected European countries

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Task 3.4 Regulatory recommendationsProgress

This task is only to start in month 36

Feedback on literature study of Task 3.1

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WP3 review of first years resultsAgenda

WP3 overview

Tasks

Progress

Main results

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WP3Main results

The most tangible results are on Task 3.1: Scenario development

Literature study on

Scenarios and studies

Demand

Fuel development

Technology

Internal deliverable: 4 reports on these items

Some highlights – further discussion in Break Out sessions this afternoon

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WP3 main resultsReport on recent scenario development

Inventory of recent roadmap studies

Comment on studies

Clustering

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WP3 main resultsReport on recent scenario development

Clusters to focus/enable choice

Cluster 1: High RES – high demand

Cluster 2: High RES – low demand

Cluster 3: Medium RES and Nuclear

Cluster 4: High Nuclear

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WP3 main resultsReport on demand development

Development from recent studies

Demand drivers

Demand response

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Source: Irene-40

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WP3 main resultsReport on demand development

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Source: Irene-40

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WP3 main resultsReport on fuel development

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Development of demand

Development of reserves and resources

Development of fuel prices

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WP3 main resultsReport on fuel development – reserves and resources

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WP3 main resultsReport on fuel development – fuel prices

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Track B Technology development

Assess technology developments of:o renewable power generationo thermal power generation o electricity storage o transmission technologies.

Technologies that are analysed:

Aspects discussed per technologyo Current statuso Typical characteristicso Technological developmento Cost developmento Potential

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Questions?

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A consortium of energy-industry leaders

and academic researchersAlgoé, a management consultancy.

Alstom, a leading power generation and grid

equipment and solutions company.

DNV KEMA, the global expert in energy and

sustainability consultancy.

EDF, the world’s largest producer of

electricity.

Elia, one of Europe’s leading electricity

transmission system operators.

Imperial College, a provider of world-class

education and research. © 2013 eStorage 35