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Modeling the distributed energy resource aggregator services in a macroeconomic framework: The application to Japan

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  • Washizu, Ayu
  • Ju, Yiyi
  • Yoshida, Akira
  • Tayama, Masashi
  • Amano, Yoshiharu

Abstract

Distributed energy resources (DER) are highly interconnected with public and private entities in one economy, thus often modeled in the long-term decarbonization transition pathways. However, at the initial stage of the DER integration scaling-up, barriers such as consumer behavior and market dynamics can impede progress, which has not yet been thoroughly considered and accurately represented even in models. Therefore, we proposed an approach to integrated DER aggregator services in the macroeconomic framework. It can reveal how industrial and household DER providers participate in demand response requests, as well as how thermal power can be substituted by distributed renewables. We applied the framework to the benchmark year in Japan. The results show that the DER aggregator services at a full scale may have occupied 33.2 % of all grid aggregator services in electricity transmission and distribution. Faster-pace implementation of policy supports related to DER aggregator services is required to match such a potential market size.

Suggested Citation

  • Washizu, Ayu & Ju, Yiyi & Yoshida, Akira & Tayama, Masashi & Amano, Yoshiharu, 2024. "Modeling the distributed energy resource aggregator services in a macroeconomic framework: The application to Japan," Energy, Elsevier, vol. 312(C).
    • Handle: RePEc:eee:energy:v:312:y:2024:i:c:s0360544224033395
    DOI: 10.1016/j.energy.2024.133561
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