Cost minimization for a local utility through CHP, heat storage and load management

The extensive energy use in the European building sector creates opportunities for implementing energy conservation measures (ECMs) in residential buildings. If ECM are implemented in buildings that are connected to a district heating (DH) system, the operation of DH plants may be affected, which in turn may change both revenue and electricity production in cogeneration plants. In this study a local energy system, containing a DH supplier and its customer, has been analysed when implementing three ECMs: heat load control, attic insulation and electricity savings. This study is unique since it analyses economic and CO 2 impacts of the ECMs in both a user and a supplier perspective in combination with a deregulated European electricity market. Results show that for the local energy system electricity savings should be prioritised over a reduction in DH use, both from an economic and a global CO 2 perspective. For the DH supplier attic insulation demonstrates unprofitable results, even though this measure affects the expensive peak load boilers most. Heat load control is however financially beneficial for both the DH supplier and the residences. Furthermore, the relation between the fixed and variable DH costs is highlighted as a key factor for the profitability of the ECMs.

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“…The marginal costs have in this study been used as DH prices for the residences. For more details of the model, see [28][29][30].…”

Section: Optimisation Modelmentioning

confidence: 99%

Energy conservation measures in buildings heated by district heating – A local energy system perspective

Difs

Bennstam²,

Trygg

et al. 2010

Energy

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“…that they use waste as a fuel for DH production. A model of the features of the DH system, such as conversion units, heat demand, and fuels used, was built in an optimisation tool called MODEST (Model for Optimisation of Dynamic Energy Systems with Time-dependent components and boundary conditions) (Henning [1]). It is a linear programming model that minimises the cost of supplying heat demand during the analysed period.…”

Section: Methodsmentioning

confidence: 99%

Waste incineration in Swedish municipal energy systems

Holmgren¹

2006

WIT Transactions on Ecology and the Environment, Vol 92

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Waste is widely used as a fuel in the Swedish district heating (DH) systems, thereby linking waste management and the energy system. This paper summarizes earlier studies by the author on the role of waste as a fuel in DH systems. The method used is case studies of three Swedish municipalities that utilise waste in their DH systems. Economic optimisations of the DH systems are made using the linear programming model MODEST, and environmental effects in terms of carbon dioxide emissions are assessed. It is economically advantageous to use waste as a fuel due to regulations in the waste management sector and high taxes on fossil fuels. There can be a conflict between combined heat and power (CHP) production in DH systems and waste incineration, since the latter can remove the heat sink for other CHP plants in combination with low electrical efficiency in waste incineration plants. CHP is the main measure to decrease carbon dioxide emissions in DH systems on the assumption that locally produced electricity replaces electricity in coal condensing plants. It can be difficult to design policy instruments for waste incineration due to conflicting goals for waste management and energy systems. To put costs on environmental effects, so called external costs, is one way to include them but the method has drawbacks, for example the limited range of environmental effects included. Comparing the energy efficiency of material recovery and energy recovery from waste incineration is one way to assess the resource efficiency of the waste treatment methods.

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“…Integration of CHP with renewable energy sources such as wind was modelled [10]. A comprehensive framework for uncertainty analysis was presented in an integrated approach using residential distributed energy resources utilizing energy storage [11,12].…”

Section: Annex 42 Modelsmentioning

confidence: 99%

A Comprehensive Review and Qualitative Analysis of Micro-Combined Heat and Power Modeling Approaches

Cheekatamarla

Abu-Heiba

2020

Energies

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Concurrent production of electrical and thermal energy from a Combined Heat and Power (CHP) device is an attractive tool to address the growing energy needs of the planet. Micro CHP (µCHP) systems can reduce a building’s primary energy consumption, reduce carbon footprint, and enhance resiliency. Modeling of the µCHP helps understand the system from multiple perspectives and helps discover errors earlier, improves impact analysis and simulation of system solutions for ease of integration with the building. Consequently, there is a need for analysis of the impact of µCHP modeling approach on its reliability and flexibility. The primary objective of this paper is to review the state-of-the art models in the µCHP space with a focus towards internal combustion engine as the primary mover (PM) and limit the study to system modeling, calibration, and validation methodologies. Based on the analysis, recommendations for further model considerations and refinements are presented.

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Cost minimization for a local utility through CHP, heat storage and load management

Cited by 57 publications

References 17 publications

Energy conservation measures in buildings heated by district heating – A local energy system perspective

Energy conservation measures in buildings heated by district heating – A local energy system perspective

Waste incineration in Swedish municipal energy systems

A Comprehensive Review and Qualitative Analysis of Micro-Combined Heat and Power Modeling Approaches

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