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Cycling Impact Assessment of Renewable Energy Generation in the Costs of Conventional Generators

Author

Listed:
  • Vincenzo Bassi

    (Energy Center, Department of Electrical Engineering, Faculty of Mathematical and Physical Sciences, University of Chile, Santiago 8370451, Chile)

  • Eduardo Pereira-Bonvallet

    (SPEC Energy Consulting, Cerro Colorado 5858/212, Las Condes, Santiago 7561272, Chile)

  • Md Abu Abdullah

    (Energy Center, Department of Electrical Engineering, Faculty of Mathematical and Physical Sciences, University of Chile, Santiago 8370451, Chile)

  • Rodrigo Palma-Behnke

    (Energy Center, Department of Electrical Engineering, Faculty of Mathematical and Physical Sciences, University of Chile, Santiago 8370451, Chile)

Abstract

This paper proposes a set of indicators to quantify the impact of conventional thermal generating unit cycling on its non-fuel variable costs ( NFVC ) due to generation mix changes in the system. A novel iterative cost adjustment framework is developed to evaluate the proposed indicators in order to assess the impacts of increasing installation of renewable resources on operation costs of the thermal units. The proposed framework allows private investors to estimate NFVC using a minimum level of information without a full knowledge of the system parameters. Additionally, the proposed framework is kept generic, which supports the NFVC adjustment for the conventional thermal units in a changing market environment. The impact of accelerated solar photovoltaic penetration on cycling and operational costs of existing thermal power plants in the Chilean power system is assessed using the indicators and methodology developed. The results suggest that natural gas driven peaking power plants are more susceptible to experiencing increased NFVC from solar photovoltaic growth than coal fired base load power plants.

Suggested Citation

  • Vincenzo Bassi & Eduardo Pereira-Bonvallet & Md Abu Abdullah & Rodrigo Palma-Behnke, 2018. "Cycling Impact Assessment of Renewable Energy Generation in the Costs of Conventional Generators," Energies, MDPI, vol. 11(7), pages 1-17, June.
    • Handle: RePEc:gam:jeners:v:11:y:2018:i:7:p:1640-:d:154025
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    References listed on IDEAS

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    1. Göransson, Lisa & Johnsson, Filip, 2009. "Dispatch modeling of a regional power generation system – Integrating wind power," Renewable Energy, Elsevier, vol. 34(4), pages 1040-1049.
    2. Hirth, Lion, 2013. "The market value of variable renewables," Energy Economics, Elsevier, vol. 38(C), pages 218-236.
    3. Troy, Niamh & Denny, Eleanor & O'Malley, Mark, 2010. "Base-load cycling on a system with significant wind penetration," MPRA Paper 34848, University Library of Munich, Germany.
    4. Lion Hirth, 2013. "The Market Value of Variable Renewables. The Effect of Solar and Wind Power Variability on their Relative Price," RSCAS Working Papers 2013/36, European University Institute.
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    Cited by:

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    2. Ignacio Losada Carreño & Michael T. Craig & Michael Rossol & Moetasim Ashfaq & Fulden Batibeniz & Sue Ellen Haupt & Caroline Draxl & Bri-Mathias Hodge & Carlo Brancucci, 2020. "Potential impacts of climate change on wind and solar electricity generation in Texas," Climatic Change, Springer, vol. 163(2), pages 745-766, November.
    3. Hlalele, Thabo G. & Naidoo, Raj M. & Bansal, Ramesh C. & Zhang, Jiangfeng, 2020. "Multi-objective stochastic economic dispatch with maximal renewable penetration under renewable obligation," Applied Energy, Elsevier, vol. 270(C).

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