Distributed generation and distribution pricing: Why do we need new tariff design methodologies?

Picciariello, Angela; Reneses, Javier; Frías, Pablo; Söder, Lennart

doi:10.1016/j.epsr.2014.10.021

Cited by 111 publications

(91 citation statements)

References 14 publications

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“…A market design needs to be simple in theory and fair among customers [15]. It should be budgetbalanced so that there is no fiscal imbalance when it is cleared.…”

Section: Cost-causalitymentioning

confidence: 99%

“…Open Access [15]. It enables the inclusion of small DERs and prosumers (smart homes, EVs) in the market.…”

Section: A Design Goalsmentioning

confidence: 99%

“…To avoid market power abuse, market mechanisms should provide better competitiveness among customers. [15]. Electricity price should reflect locational and temporal power scarcity, but it should also stay within the customers' acceptable range.…”

Section: A Design Goalsmentioning

confidence: 99%

“…System operational status and market clearing results should be open to all customers, which reduces information asymmetry. [15]. Customers should be paid/rewarded for their own contribution to public goods and services.…”

Section: Stable Predictable Effective Pricementioning

confidence: 99%

“…productive (use the cheapest resources) and allocative efficiency (allocate them to the ones that value them the most) [15].…”

Section: A Design Goalsmentioning

confidence: 99%

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Electricity market design requirements for DC distribution systems

Piao¹,

Weerdt²,

Vries

2017

2017 IEEE Second International Conference on DC Microgrids (ICDCM)

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Abstract-DC distribution systems (DCDS) connect local generators and loads directly. By avoiding unnecessary losses in AC-DC conversion, DCDS offers higher energy efficiency. Since different parties in a DCDS may have conflicting goals, matching between power supply and demand should be done with carefully designed allocation rules and monetary transfers, such that no one prefers to act otherwise than the outcome of the allocation. This paper reveals DCDS' unique operational requirements and indicates the challenges and opportunities they pose to market design. A design framework is introduced into DCDS electricity market, incl. tradable services, design goals, market participants, design options and performance criteria. We review the existing market models for AC and DC distribution systems and point out the direction for future work. Keywords-electricity market, market design, DC distribution

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“…A market design needs to be simple in theory and fair among customers [15]. It should be budgetbalanced so that there is no fiscal imbalance when it is cleared.…”

Section: Cost-causalitymentioning

confidence: 99%

“…Open Access [15]. It enables the inclusion of small DERs and prosumers (smart homes, EVs) in the market.…”

Section: A Design Goalsmentioning

confidence: 99%

Section: A Design Goalsmentioning

confidence: 99%

Section: Stable Predictable Effective Pricementioning

confidence: 99%

“…productive (use the cheapest resources) and allocative efficiency (allocate them to the ones that value them the most) [15].…”

Section: A Design Goalsmentioning

confidence: 99%

See 3 more Smart Citations

Electricity market design requirements for DC distribution systems

Piao¹,

Weerdt²,

Vries

2017

2017 IEEE Second International Conference on DC Microgrids (ICDCM)

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Load modeling of active low‐voltage consumers and comparative analysis of their impact on distribution system expansion planning

Neto

Abaide

Miranda

et al. 2019

Int Trans Electr Energ Syst

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Summary This paper proposes a new probabilistic model for active low‐voltage prosumers suitable for distribution expansion planning studies. The load uncertainty of these consumers is considered through a range of load profiles by segmenting the energy consumption according to the different energy uses. Then, consumption adjustments are simulated using a nonhomogenous Poisson process based on the energy usage preferences and the financial gains according to the tariff scheme. A case study based on the modified IEEE 33‐Bus test system with real data collected from a Brazilian distribution company is performed in order to analyze the impact of the load profiles in scenarios with high penetration of renewable distributed generation (DG). The experiments carried out reveal that considerable monetary savings in the expansion of the distribution grid can be achieved for this case study (up to 37%) as compared with the alternative with no active demand (AD) by exploiting the flexibility associated with the active behavior of prosumers as a response to price signals and/or by permitting adequate levels for the integration of DG into the distribution grid.

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European Union retail electricity markets in the Green Transition: The quest for adequate design

Boscán

2019

WIREs Energy & Environment

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After a gradual process of reforms, retail electricity markets in Europe are well-established. In parallel, the decarbonization agenda and rapid technological progress lead the way towards a renewable-based and distributed electricity system, in which new business models emerge. Distributed resources, prosumers and peer-to-peer trading are all part of the most likely future scenarios. The newly adopted Clean Energy Package, put forward by the European Commission in 2016, responded to the consensus that existing electricity markets needed to adapt and aimed at putting consumers at the center. But will the ongoing reforms live up to the challenges posed by the coming stages of the ongoing Green Transition? While most recent analyses focus on wholesale issues, the present review narrows this gap. We analyze the EU retail electricity market design in isolation, but also in its interaction with the renewable energy policy. We compare the current and the forthcoming legislative framework to elucidate if the recently adopted reforms mitigate conflicts or facilitate complementarities arising from the implementation of the European energy policy framework. While the reforms remove fundamental barriers for consumer participation, several unresolved conflicts remain. Thus, looking forward, there is a significant implementation challenge. Among these are the overdue task of making competition effective, striking the right balance between the verticality and horizontality of the future retail market and confronting market reconfiguration. In this respect, the paper makes several policy recommendations aimed at EU

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Distributed generation and distribution pricing: Why do we need new tariff design methodologies?

Cited by 111 publications

References 14 publications

Electricity market design requirements for DC distribution systems

Electricity market design requirements for DC distribution systems

Load modeling of active low‐voltage consumers and comparative analysis of their impact on distribution system expansion planning

European Union retail electricity markets in the Green Transition: The quest for adequate design

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