IDEAS home Printed from https://ideas.repec.org/a/eee/enepol/v141y2020ics0301421520302214.html
   My bibliography  Save this article

Valuing intra-day coordination of electric power and natural gas system operations

Author

Listed:
  • Craig, Michael
  • Guerra, Omar J.
  • Brancucci, Carlo
  • Pambour, Kwabena Addo
  • Hodge, Bri-Mathias

Abstract

Increasing renewable energy penetrations and low natural gas prices have increased the reliance of U.S. power systems on natural gas-fired generation. Increased reliance has sparked concerns over and resulted in natural gas deliverability constraints. To mitigate these constraints, research and regulatory reform have tried to improve coordination between power and gas systems. The U.S. Federal Energy Regulatory Commission (FERC) issued Order 809 in 2015 to improve day-ahead and intra-day coordination of power and gas systems. Given little research on intra-day coordination and FERC's recent action, we quantify the value of improved intra-day coordination between gas and electric power systems. To do so, we co-simulate coordinated day-ahead, intra-day, and real-time operations of an interconnected power and natural gas test system using a dynamic natural gas simulation model and a power system optimization model. We find intra-day coordination reduces total power system production costs and natural gas deliverability constraints, yielding cost and reliability benefits. Sensitivity analysis indicates improved intra-day renewable energy forecasts and higher renewable energy capacities increase intra-day coordination benefits for gas network congestion. Our results indicate FERC Order 809 and other policies aimed at enhancing intra-day coordination between power and gas systems will likely yield cost and reliability benefits.

Suggested Citation

  • Craig, Michael & Guerra, Omar J. & Brancucci, Carlo & Pambour, Kwabena Addo & Hodge, Bri-Mathias, 2020. "Valuing intra-day coordination of electric power and natural gas system operations," Energy Policy, Elsevier, vol. 141(C).
    • Handle: RePEc:eee:enepol:v:141:y:2020:i:c:s0301421520302214
    DOI: 10.1016/j.enpol.2020.111470
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0301421520302214
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.enpol.2020.111470?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Draxl, Caroline & Clifton, Andrew & Hodge, Bri-Mathias & McCaa, Jim, 2015. "The Wind Integration National Dataset (WIND) Toolkit," Applied Energy, Elsevier, vol. 151(C), pages 355-366.
    2. Devlin, Joseph & Li, Kang & Higgins, Paraic & Foley, Aoife, 2017. "A multi vector energy analysis for interconnected power and gas systems," Applied Energy, Elsevier, vol. 192(C), pages 315-328.
    3. Sengupta, Manajit & Xie, Yu & Lopez, Anthony & Habte, Aron & Maclaurin, Galen & Shelby, James, 2018. "The National Solar Radiation Data Base (NSRDB)," Renewable and Sustainable Energy Reviews, Elsevier, vol. 89(C), pages 51-60.
    4. Denholm, Paul & Hand, Maureen, 2011. "Grid flexibility and storage required to achieve very high penetration of variable renewable electricity," Energy Policy, Elsevier, vol. 39(3), pages 1817-1830, March.
    5. Foley, A.M. & Ó Gallachóir, B.P. & Hur, J. & Baldick, R. & McKeogh, E.J., 2010. "A strategic review of electricity systems models," Energy, Elsevier, vol. 35(12), pages 4522-4530.
    6. Hodge, Bri-Mathias & Brancucci Martinez-Anido, Carlo & Wang, Qin & Chartan, Erol & Florita, Anthony & Kiviluoma, Juha, 2018. "The combined value of wind and solar power forecasting improvements and electricity storage," Applied Energy, Elsevier, vol. 214(C), pages 1-15.
    7. Wang, Qin & Wu, Hongyu & Florita, Anthony R. & Brancucci Martinez-Anido, Carlo & Hodge, Bri-Mathias, 2016. "The value of improved wind power forecasting: Grid flexibility quantification, ramp capability analysis, and impacts of electricity market operation timescales," Applied Energy, Elsevier, vol. 184(C), pages 696-713.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Brian Sergi & Kwabena Pambour, 2022. "An Evaluation of Co-Simulation for Modeling Coupled Natural Gas and Electricity Networks," Energies, MDPI, vol. 15(14), pages 1-18, July.
    2. Lavin, Luke & Murphy, Sinnott & Sergi, Brian & Apt, Jay, 2020. "Dynamic operating reserve procurement improves scarcity pricing in PJM," Energy Policy, Elsevier, vol. 147(C).
    3. Anna Schwele & Christos Ordoudis & Pierre Pinson & Jalal Kazempour, 2021. "Coordination of power and natural gas markets via financial instruments," Computational Management Science, Springer, vol. 18(4), pages 505-538, October.
    4. van Beuzekom, Iris & Hodge, Bri-Mathias & Slootweg, Han, 2021. "Framework for optimization of long-term, multi-period investment planning of integrated urban energy systems," Applied Energy, Elsevier, vol. 292(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Zimmerman, Ryan & Panda, Anurag & Bulović, Vladimir, 2020. "Techno-economic assessment and deployment strategies for vertically-mounted photovoltaic panels," Applied Energy, Elsevier, vol. 276(C).
    2. Gianluca Fulli & Marcelo Masera & Catalin Felix Covrig & Francesco Profumo & Ettore Bompard & Tao Huang, 2017. "The EU Electricity Security Decision-Analytic Framework: Status and Perspective Developments," Energies, MDPI, vol. 10(4), pages 1-20, March.
    3. Harrison-Atlas, Dylan & Murphy, Caitlin & Schleifer, Anna & Grue, Nicholas, 2022. "Temporal complementarity and value of wind-PV hybrid systems across the United States," Renewable Energy, Elsevier, vol. 201(P1), pages 111-123.
    4. Dranka, Géremi Gilson & Ferreira, Paula & Vaz, A. Ismael F., 2021. "A review of co-optimization approaches for operational and planning problems in the energy sector," Applied Energy, Elsevier, vol. 304(C).
    5. Svitnič, Tibor & Sundmacher, Kai, 2022. "Renewable methanol production: Optimization-based design, scheduling and waste-heat utilization with the FluxMax approach," Applied Energy, Elsevier, vol. 326(C).
    6. Taylan G. Topcu & Konstantinos Triantis, 2022. "An ex-ante DEA method for representing contextual uncertainties and stakeholder risk preferences," Annals of Operations Research, Springer, vol. 309(1), pages 395-423, February.
    7. Wang, Qin & Wu, Hongyu & Florita, Anthony R. & Brancucci Martinez-Anido, Carlo & Hodge, Bri-Mathias, 2016. "The value of improved wind power forecasting: Grid flexibility quantification, ramp capability analysis, and impacts of electricity market operation timescales," Applied Energy, Elsevier, vol. 184(C), pages 696-713.
    8. Haas, J. & Cebulla, F. & Cao, K. & Nowak, W. & Palma-Behnke, R. & Rahmann, C. & Mancarella, P., 2017. "Challenges and trends of energy storage expansion planning for flexibility provision in low-carbon power systems – a review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 80(C), pages 603-619.
    9. Eppinger, Bernd & Steger, Daniel & Regensburger, Christoph & Karl, Jürgen & Schlücker, Eberhard & Will, Stefan, 2021. "Carnot battery: Simulation and design of a reversible heat pump-organic Rankine cycle pilot plant," Applied Energy, Elsevier, vol. 288(C).
    10. McDonagh, Shane & Deane, Paul & Rajendran, Karthik & Murphy, Jerry D., 2019. "Are electrofuels a sustainable transport fuel? Analysis of the effect of controls on carbon, curtailment, and cost of hydrogen," Applied Energy, Elsevier, vol. 247(C), pages 716-730.
    11. Hameedullah Zaheb & Mikaeel Ahmadi & Nisar Ahmad Rahmany & Mir Sayed Shah Danish & Habibullah Fedayi & Atsushi Yona, 2023. "Optimal Grid Flexibility Assessment for Integration of Variable Renewable-Based Electricity Generation," Sustainability, MDPI, vol. 15(20), pages 1-24, October.
    12. Sewdien, V.N. & Preece, R. & Torres, J.L. Rueda & Rakhshani, E. & van der Meijden, M., 2020. "Assessment of critical parameters for artificial neural networks based short-term wind generation forecasting," Renewable Energy, Elsevier, vol. 161(C), pages 878-892.
    13. Cole, Wesley & Greer, Daniel & Ho, Jonathan & Margolis, Robert, 2020. "Considerations for maintaining resource adequacy of electricity systems with high penetrations of PV and storage," Applied Energy, Elsevier, vol. 279(C).
    14. Eppinger, Bernd & Zigan, Lars & Karl, Jürgen & Will, Stefan, 2020. "Pumped thermal energy storage with heat pump-ORC-systems: Comparison of latent and sensible thermal storages for various fluids," Applied Energy, Elsevier, vol. 280(C).
    15. Bromley-Dulfano, Isaac & Florez, Julian & Craig, Michael T., 2021. "Reliability benefits of wide-area renewable energy planning across the Western United States," Renewable Energy, Elsevier, vol. 179(C), pages 1487-1499.
    16. McDonagh, Shane & Wall, David M. & Deane, Paul & Murphy, Jerry D., 2019. "The effect of electricity markets, and renewable electricity penetration, on the levelised cost of energy of an advanced electro-fuel system incorporating carbon capture and utilisation," Renewable Energy, Elsevier, vol. 131(C), pages 364-371.
    17. McPherson, Madeleine & Karney, Bryan, 2017. "A scenario based approach to designing electricity grids with high variable renewable energy penetrations in Ontario, Canada: Development and application of the SILVER model," Energy, Elsevier, vol. 138(C), pages 185-196.
    18. Denholm, Paul & Mai, Trieu, 2019. "Timescales of energy storage needed for reducing renewable energy curtailment," Renewable Energy, Elsevier, vol. 130(C), pages 388-399.
    19. Ogunmodede, Oluwaseun & Anderson, Kate & Cutler, Dylan & Newman, Alexandra, 2021. "Optimizing design and dispatch of a renewable energy system," Applied Energy, Elsevier, vol. 287(C).
    20. Li, Can & Conejo, Antonio J. & Liu, Peng & Omell, Benjamin P. & Siirola, John D. & Grossmann, Ignacio E., 2022. "Mixed-integer linear programming models and algorithms for generation and transmission expansion planning of power systems," European Journal of Operational Research, Elsevier, vol. 297(3), pages 1071-1082.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:enepol:v:141:y:2020:i:c:s0301421520302214. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/enpol .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.