This paper presents how implementing the new concept of aggregating a portfolio of DER, requires DSO and TSO control tools to be adapted. DER aggregation requires the coordination of numerous small generation units, that are too small to individually bid on energy markets or provide ancillary services.
DEFINITIONSA Virtual Power Plant, VPP, is a flexible representation of a portfolio of smaller generators and demands. It creates a single operation profile from a composite of parameters characterising each contributor to the portfolio. The VPP is characterised by a set of parameters usually associated with a traditional transmission connected generator, such as scheduled output, ramp rates, voltage regulation capability and reserves. Furthermore, as the VPP also incorporates controllable demands, parameters such as demand price elasticity and load recovery patterns are also used for characterisation of the VPP.This work was produced by the FENIX project. This project is a collaborative R&D project, partly funded by the European Commission within the 6 th Framework Program for Research, that aims at demonstrating the value and the feasibility of the concept of DER aggregation.
The EU Commission in the target of promoting distributed energy resources (DER) into existent networks approved FENIX 1. One of the main outcomes of the project has been an architecture based on the Virtual Power Plant (VPP) concept, which allows increasing the DER penetration massively while optimizing the power system. The project considers two physical demonstrations. This paper describes one of them located in the North of Spain. A group of units of different technologies is used actively in a distribution network (30 and 13kV in Alava province) operated by Iberdrola Distribution. DERs aggregated provide various ancillary services as tertiary active reserve and voltage control to both DSO (Iberdrola) and TSO (Red Eléctrica Española-REE)). This paper covers not only the technical description of the Spanish demonstration but also a brief economical analysis of it. The cost-benefit study includes the comparison between the active participation of DER and the current passive situation in terms of: losses, quality of service, electricity price, and displacement of CO 2 emissions from conventional generation. Overall it outlines the economical advantage of active DER under the correct degree of penetration.
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