IDEAS home Printed from https://ideas.repec.org/a/eee/enepol/v38y2010i7p3174-3179.html
   My bibliography  Save this article

Electricity market participation of wind farms: the success story of the Spanish pragmatism

Author

Listed:
  • Rivier Abbad, Juan

Abstract

In the last 10 years, more than 15Â GW of wind power (Asociación Empresarial Eólica (Spanish Wind Energy Association), Nota de prensa (Press release) 17 de enero de 2008. http://www.aeeolica.org/doc/NP_080117_Espana_supera_los_15000_MW_eolicos.pdf) have been installed in Spain, of which more than 3.5Â GW in 2007. Furthermore, plans are to reach 20Â GW by 2010 and there are expectations of an installed capacity exceeding 40Â GW by 2020. This article will present the innovative solutions for technical and economical integration that allow to reach such high level wind penetration objectives (the system peaks at around 44Â GW and is almost isolated). It will be described how the regulation has evolved from a pure Feed-in-Tariff to a market+premium option, where technical and economic integration has been a priority. Today, approximately 97% of installed wind capacity accesses the Spanish wholesale electricity market. Market integration has been crucial, sending the correct signals to participants to look for the optimum technical solutions. Technical improvements have come from both wind power producers (fault-ride-through capabilities, visibility and controllability of wind power, power production forecasting, reactive power control) and the system operator (specific control centre dedicated to Renewable Energy Sources (RES), new security analysis tools, gaining technical confidence of wind capabilities).

Suggested Citation

  • Rivier Abbad, Juan, 2010. "Electricity market participation of wind farms: the success story of the Spanish pragmatism," Energy Policy, Elsevier, vol. 38(7), pages 3174-3179, July.
  • Handle: RePEc:eee:enepol:v:38:y:2010:i:7:p:3174-3179
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0301-4215(09)00555-2
    Download Restriction: Full text for ScienceDirect subscribers only
    ---><---

    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. Klessmann, Corinna & Nabe, Christian & Burges, Karsten, 2008. "Pros and cons of exposing renewables to electricity market risks--A comparison of the market integration approaches in Germany, Spain, and the UK," Energy Policy, Elsevier, vol. 36(10), pages 3646-3661, October.
    2. Enzensberger, N. & Wietschel, M. & Rentz, O., 2002. "Policy instruments fostering wind energy projects--a multi-perspective evaluation approach," Energy Policy, Elsevier, vol. 30(9), pages 793-801, July.
    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. Jean-Michel Glachant & Arthur Henriot, 2013. "Melting-pots and salad bowls: the current debate on electricity market design for RES integration," Working Papers EPRG 1329, Energy Policy Research Group, Cambridge Judge Business School, University of Cambridge.
    2. Zhao, Xiaoli & Wang, Feng & Wang, Mei, 2012. "Large-scale utilization of wind power in China: Obstacles of conflict between market and planning," Energy Policy, Elsevier, vol. 48(C), pages 222-232.
    3. Chaves-Ávila, J.P. & Fernandes, C., 2015. "The Spanish intraday market design: A successful solution to balance renewable generation?," Renewable Energy, Elsevier, vol. 74(C), pages 422-432.
    4. Zhu, Junpeng & Meng, Dexin & Dong, Xiaofeng & Fu, Zhixin & Yuan, Yue, 2023. "An integrated electricity - hydrogen market design for renewable-rich energy system considering mobile hydrogen storage," Renewable Energy, Elsevier, vol. 202(C), pages 961-972.
    5. Ortega, Margarita & del Río, Pablo & Montero, Eduardo A., 2013. "Assessing the benefits and costs of renewable electricity. The Spanish case," Renewable and Sustainable Energy Reviews, Elsevier, vol. 27(C), pages 294-304.
    6. Alonso, Gustavo & Valle, Edmundo del, 2013. "Economical analysis of an alternative strategy for CO2 mitigation based on nuclear power," Energy, Elsevier, vol. 52(C), pages 66-76.
    7. Woo, C.K. & Zarnikau, J. & Moore, J. & Horowitz, I., 2011. "Wind generation and zonal-market price divergence: Evidence from Texas," Energy Policy, Elsevier, vol. 39(7), pages 3928-3938, July.
    8. Ricardo Bessa & Carlos Moreira & Bernardo Silva & Manuel Matos, 2014. "Handling renewable energy variability and uncertainty in power systems operation," Wiley Interdisciplinary Reviews: Energy and Environment, Wiley Blackwell, vol. 3(2), pages 156-178, March.
    9. Wu, Zhongqun & Sun, Hongxia & Du, Yihang, 2014. "A large amount of idle capacity under rapid expansion: Policy analysis on the dilemma of wind power utilization in China," Renewable and Sustainable Energy Reviews, Elsevier, vol. 32(C), pages 271-277.
    10. González-Aparicio, I. & Zucker, A., 2015. "Impact of wind power uncertainty forecasting on the market integration of wind energy in Spain," Applied Energy, Elsevier, vol. 159(C), pages 334-349.
    11. Saray Martínez-Lastras & Laura Frías-Paredes & Diego Prieto-Herráez & Martín Gastón-Romeo & Diego González-Aguilera, 2023. "Analysis of the Suitability of the EOLO Wind-Predictor Model for the Spanish Electricity Markets," Energies, MDPI, vol. 16(3), pages 1-16, January.
    12. Zhao, Xiaoli & Zhang, Sufang & Yang, Rui & Wang, Mei, 2012. "Constraints on the effective utilization of wind power in China: An illustration from the northeast China grid," Renewable and Sustainable Energy Reviews, Elsevier, vol. 16(7), pages 4508-4514.
    13. Hu, Jing & Harmsen, Robert & Crijns-Graus, Wina & Worrell, Ernst & van den Broek, Machteld, 2018. "Identifying barriers to large-scale integration of variable renewable electricity into the electricity market: A literature review of market design," Renewable and Sustainable Energy Reviews, Elsevier, vol. 81(P2), pages 2181-2195.
    14. Moreno, Fermín & Martínez-Val, José M., 2011. "Collateral effects of renewable energies deployment in Spain: Impact on thermal power plants performance and management," Energy Policy, Elsevier, vol. 39(10), pages 6561-6574, October.
    15. Bueno-Lorenzo, Miriam & Moreno, M. Ángeles & Usaola, Julio, 2013. "Analysis of the imbalance price scheme in the Spanish electricity market: A wind power test case," Energy Policy, Elsevier, vol. 62(C), pages 1010-1019.
    16. Moradi-Dalvand, M. & Mohammadi-Ivatloo, B. & Amjady, N. & Zareipour, H. & Mazhab-Jafari, A., 2015. "Self-scheduling of a wind producer based on Information Gap Decision Theory," Energy, Elsevier, vol. 81(C), pages 588-600.
    17. Chaves-Ávila, J.P. & Hakvoort, R.A. & Ramos, A., 2014. "The impact of European balancing rules on wind power economics and on short-term bidding strategies," Energy Policy, Elsevier, vol. 68(C), pages 383-393.
    18. Kästel, Peter & Gilroy-Scott, Bryce, 2015. "Economics of pooling small local electricity prosumers—LCOE & self-consumption," Renewable and Sustainable Energy Reviews, Elsevier, vol. 51(C), pages 718-729.
    19. de la Hoz, Jordi & Boix, Oriol & Martín, Helena & Martins, Blanca & Graells, Moisès, 2010. "Promotion of grid-connected photovoltaic systems in Spain: Performance analysis of the period 1998-2008," Renewable and Sustainable Energy Reviews, Elsevier, vol. 14(9), pages 2547-2563, December.
    20. Andrés Ruiz & Florin Onea & Eugen Rusu, 2020. "Study Concerning the Expected Dynamics of the Wind Energy Resources in the Iberian Nearshore," Energies, MDPI, vol. 13(18), pages 1-25, September.
    21. Colmenar-Santos, Antonio & Campíñez-Romero, Severo & Pérez-Molina, Clara & Mur-Pérez, Francisco, 2015. "Repowering: An actual possibility for wind energy in Spain in a new scenario without feed-in-tariffs," Renewable and Sustainable Energy Reviews, Elsevier, vol. 41(C), pages 319-337.

    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. Szarka, Joseph, 2006. "Wind power, policy learning and paradigm change," Energy Policy, Elsevier, vol. 34(17), pages 3041-3048, November.
    2. Moreno, Blanca & López, Ana J. & García-Álvarez, María Teresa, 2012. "The electricity prices in the European Union. The role of renewable energies and regulatory electric market reforms," Energy, Elsevier, vol. 48(1), pages 307-313.
    3. Mulder, Peter & de Groot, Henri L.F., 2013. "Dutch sectoral energy intensity developments in international perspective, 1987–2005," Energy Policy, Elsevier, vol. 52(C), pages 501-512.
    4. Winkler, Jenny & Gaio, Alberto & Pfluger, Benjamin & Ragwitz, Mario, 2016. "Impact of renewables on electricity markets – Do support schemes matter?," Energy Policy, Elsevier, vol. 93(C), pages 157-167.
    5. Steggals, Will & Gross, Robert & Heptonstall, Philip, 2011. "Winds of change: How high wind penetrations will affect investment incentives in the GB electricity sector," Energy Policy, Elsevier, vol. 39(3), pages 1389-1396, March.
    6. Shahriyar Nasirov & Carlos Silva & Claudio A. Agostini, 2015. "Investors’ Perspectives on Barriers to the Deployment of Renewable Energy Sources in Chile," Energies, MDPI, vol. 8(5), pages 1-21, April.
    7. Figueiredo, Nuno Carvalho & Silva, Patrícia Pereira da & Cerqueira, Pedro A., 2016. "It is windy in Denmark: Does market integration suffer?," Energy, Elsevier, vol. 115(P2), pages 1385-1399.
    8. Luis M. Abadie & José M. Chamorro, 2014. "Valuation of Wind Energy Projects: A Real Options Approach," Energies, MDPI, vol. 7(5), pages 1-38, May.
    9. Klessmann, Corinna & Held, Anne & Rathmann, Max & Ragwitz, Mario, 2011. "Status and perspectives of renewable energy policy and deployment in the European Union—What is needed to reach the 2020 targets?," Energy Policy, Elsevier, vol. 39(12), pages 7637-7657.
    10. Vijayanarasimha Hindupur Pakka & Richard Mark Rylatt, 2016. "Design and Analysis of Electrical Distribution Networks and Balancing Markets in the UK: A New Framework with Applications," Energies, MDPI, vol. 9(2), pages 1-20, February.
    11. Inna Čábelková & Wadim Strielkowski & Irina Firsova & Marina Korovushkina, 2020. "Public Acceptance of Renewable Energy Sources: a Case Study from the Czech Republic," Energies, MDPI, vol. 13(7), pages 1-15, April.
    12. Jansen, Malte & Beiter, Philipp & Riepin, Iegor & Müsgens, Felix & Guajardo-Fajardo, Victor Juarez & Staffell, Iain & Bulder, Bernard & Kitzing, Lena, 2022. "Policy choices and outcomes for offshore wind auctions globally," Energy Policy, Elsevier, vol. 167(C).
    13. Wolsink, Maarten, 2007. "Wind power implementation: The nature of public attitudes: Equity and fairness instead of 'backyard motives'," Renewable and Sustainable Energy Reviews, Elsevier, vol. 11(6), pages 1188-1207, August.
    14. Ketterer, Janina C., 2014. "The impact of wind power generation on the electricity price in Germany," Energy Economics, Elsevier, vol. 44(C), pages 270-280.
    15. Green, Richard & Vasilakos, Nicholas, 2011. "The economics of offshore wind," Energy Policy, Elsevier, vol. 39(2), pages 496-502, February.
    16. Abate, Arega Getaneh & Riccardi, Rossana & Ruiz, Carlos, 2022. "Contract design in electricity markets with high penetration of renewables: A two-stage approach," Omega, Elsevier, vol. 111(C).
    17. Mostafaeipour, Ali, 2010. "Feasibility study of offshore wind turbine installation in Iran compared with the world," Renewable and Sustainable Energy Reviews, Elsevier, vol. 14(7), pages 1722-1743, September.
    18. Giovanni Brusco & Alessandro Burgio & Daniele Menniti & Anna Pinnarelli & Nicola Sorrentino & Pasquale Vizza, 2017. "Quantification of Forecast Error Costs of Photovoltaic Prosumers in Italy," Energies, MDPI, vol. 10(11), pages 1-17, November.
    19. Komor, Paul & Bazilian, Morgan, 2005. "Renewable energy policy goals, programs, and technologies," Energy Policy, Elsevier, vol. 33(14), pages 1873-1881, September.
    20. Marie Petitet, Dominique Finon, and Tanguy Janssen, 2016. "Carbon Price instead of Support Schemes: Wind Power Investments by the Electricity Market," The Energy Journal, International Association for Energy Economics, vol. 0(Number 4).

    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:38:y:2010:i:7:p:3174-3179. 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.