Integrating DG into UK system

Benefits of active management

J Mutale
The University of Manchester
1 November 2006
Atlanta, Georgia USA
 Overview
• Drivers for DG integration in the UK system
– Climate change & Government targets (Kyoto)
– Energy security and sustainability
• Challenges
– Technical
– Economic / Commercial / Regulatory
• Benefits of active management
• Concluding remarks

IEEE PSCE 2006 Atlanta Integrating DG into UK system: Benefits of Active 2

29 October – 1 November 2006 Management – Dr J Mutale
 Drivers for Distributed Generation
• Environmental
– Use of renewable energy and CHP to limit GHG
emissions
– Avoid construction of new transmission circuits
and large generating plants.
• Commercial
– General uncertainty in electricity markets favours
small generation schemes.
– Cost effective route to improved Power Quality
and Reliability
• National/Regulatory
– Diversification of energy sources and competition
policy
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29 October – 1 November 2006 Management – Dr J Mutale
 Developments in the UK

• Kyoto commitments
– 12.5% reduction in GHG by 2008-12
– Additional UK target, 20% CO2 reduction by 2010
• UK Government targets
– 10% of electrical energy from renewables and 10
GWe of CHP by 2010
• Royal Commission on Environmental Pollution
– 60% reduction in CO2 by 2050

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29 October – 1 November 2006 Management – Dr J Mutale
 Distributed Generation
Challenge for the UK

• Renewables
– In 2000 there was approx. 1.9 MW of renewable
generation (excluding large-scale hydro)
– 10% target implies an additional 6.4-8.4 GW
• CHP
– In 2000 there was approx. 4.6 GW of CHP
– Additional 5.4 GW required for 2010 target.
• Total new plant required in 9 years: 12-14 GW

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29 October – 1 November 2006 Management – Dr J Mutale
 Trajectories of future system costs

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29 October – 1 November 2006 Management – Dr J Mutale
 Connection or integration …
•• Focus
Focusso
sofar:
far:
–– Development
DevelopmentofofDG
DGtechnology
technologyand
andcost
costreduction
reduction
–– Deployment
DeploymentofofDG
DG
•• DG
DGtotodisplace
displaceenergy
energyproduced
producedby byconventional
conventionalplant
plant
but
butnot
notcapacity,
capacity,flexibility
flexibilityand
andcontrollability
controllability
•• DG
DGnot
notcapable
capableofofproviding
providingsystem
systemsupport
support
•• Increased
Increaseddeployment
deploymentof ofDGDGunder
under“Fit
“Fitand
andforget”
forget”
policy
policybegins
beginsto
tocreate
createoperational
operationalproblems
problems(Wind(Windinin
Germany,
Germany,Denmark…)
Denmark…)
–– DG
DGdoes
doesnot
notprovide
providenetwork
networkand
andsystem
systemsupport
support
–– Inefficient
Inefficientnetwork
networkconnection
connectionand
andnetwork
networkoperation
operation

Current
Currentapproach
approachto
tointegration
integrationcould
couldreduce
reduceDG
DG
deployment
deploymentrate,
rate,undermine
underminesecurity
securityand
andincrease
increasecost
cost
7
 Benefits and challenges of
DG integration
•• Benefits:
Benefits:
–– Increased
Increased network
network asset
asset utilisation
utilisation
–– Asset
Asset displacement
displacement and and T&D
T&D investment
investment
deferral
deferral
–– Enhanced
Enhanced reliability
reliability and
and security
security
•• Challenge
Challenge
–– Information,
Information, communication,
communication, control
control
infrastructure
infrastructure (increased
(increased complexity)
complexity)

Are
Are benefits
benefits greater
greater than
than cost?
cost?
8
 Passive and active distribution
networks
•• Passive
Passive
–– Designed
Designedto toaccept
acceptbulk
bulkpower
powerfrom
fromtransmission
transmissionsystem
systemand
and
distribute
distributeto
tocustomers
customers
–– Real
Realtime
timecontrol
controlproblem
problemresolved
resolvedat
atplanning
planningstage
stage
•• Ad
Adhoc
hocapproach
approachwith
withexisting
existingpractise
practise(“fit
(“fitand
andforget”)
forget”)
–– No
Nocontrol
controlover
overDG
DG
–– Limiting
Limitingcapacity
capacityof
ofDG
DGto
tobe
beabsorbed
absorbedby
bythe
theexisting
existingnetworks
networks
•• Rural
Ruralnetwork:
network:voltage
voltagerise
rise
•• Urban
Urbannetwork:
network:fault
faultlevel
level
•• Active
Activedistribution
distributionnetwork
network
–– Local
Localand
andcoordinated
coordinatedcontrol
controlof
ofvoltage,
voltage,flows
flowsand
andfault
faultlevels
levels

Dilemma:
Dilemma:Invest
Investin
indistribution
distributionnetwork
networkprimary
primaryplant
plant
or
ormake
makeititmore
moreintelligent?
intelligent?
9
 Value of electricity at various voltage
levels
~ 1.5 - 2p/kWh Central Generation

~2.5-3 p/kWh Transmission

HV Distribution

~ 4-5.5 p/kWh Distributed

MV Distribution
Generation

~7.5 p/kWh LV Distribution

Integration:
Integration: realising
realising the
the additional
additional
value
value of
of DG
DG
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29 October – 1 November 2006 Management – Dr J Mutale
 Illustrative studies: DG connected
to 11 kV network

• Rural network: study of voltage rise and flow management

• Urban network: study of fault levels
• 4 different penetrations of DG in the UK distribution network
2.5GW, 5GW, 7.5GW, 10GW
• DG densities (concentration):
– Low (spread over wide geographical areas)
– Low Medium
– High Medium
– High (spread over limited geographical areas)

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29 October – 1 November 2006 Management – Dr J Mutale
Connecting DG to distribution networks

• Limiting Factors for connecting DG

– Urban areas
• Fault levels
– Rural areas
• Voltage rise effect
• Connection cost is related to voltage level at which DG is
connected
• Conflicting objectives
• Distribution network operator- as high voltage level as possible
• Distributed Generation - as low voltage level as possible
• Potential solution: change in distribution network operation
philosophy (avoid investment in primary plant by investing
in more sophisticated control systems)

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29 October – 1 November 2006 Management – Dr J Mutale
 Control of voltage rise effect
2 PL,QL

1
R+jX Pg
DG
Qg

R(Pg − PL ) + X(±Qg − QL ± Qc ) Comp

V2 ≈ V1 +
V2 Qc
Control options: 1. Pg control only
2. Qg & Pg control
3. V1, Pg & Qg/c control
4. R, X
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29 October – 1 November 2006 Management – Dr J Mutale
 Ad hoc approach

Worst case scenario with unity power factor control:

V2 ≈ V1 + R PG
max

max
V − V1
P max
G ≤ 2

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29 October – 1 November 2006 Management – Dr J Mutale
 Active management of
distribution networks

• Purpose
– Minimise DG connection costs and integrate DG in
operation and development of distribution networks
• Alternative control strategies
– Reactive power management
– Active power management
– Coordinated voltage control
– Fault level control (network topology management)
– Any combination of the above

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29 October – 1 November 2006 Management – Dr J Mutale
 Active networks

(1) Generation curtailment with unity power factor:

(whenever the voltage reaches its upper limit,
curtail generation)

V2max − V1
P max
g ≈P cur
G +
R

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29 October – 1 November 2006 Management – Dr J Mutale
 Active networks

(2) Reactive power management:

(V2max − V1 ) Q import X
≈ +
max
PG
R R

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29 October – 1 November 2006 Management – Dr J Mutale
 Active networks

(3) Coordinated control (with unity power factor):

V max
−V min
P max
G ≤ 2 1

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29 October – 1 November 2006 Management – Dr J Mutale
 Problem formulation
Objective function: Minimise φ ( PGicur )
Subject to: PGi − PLi − PGicur = Pi inj (V , θ , T )

Q G 1 + Q C − Q Li = Q iinj (V , θ , T )

S ij ≤ S max
ij

Vi min ≤ Vi ≤ Vi max
P Gimin ≤ P Gicur ≤ P Gimax

Q Cmin ≤ Q C ≤ Q Cmax

Tkmin ≤ Tk ≤ Tkmax

QGicur = f ( PGicur )

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29 October – 1 November 2006 Management – Dr J Mutale
 Case Study
Description of the system

13.06 MW 13.40 MVA 9.18 MW 9.28 MVA

Distribution Network 3.00 MVR 1.94 MVR
6 bus system 0.27 MW 0.08 MW
3 4
0.36 MVR 0.14 MVR
0.983 pu 0.972 pu
-5.22 Deg -5.98 Deg
GSP
3.6 MW 9.1 MW
42.36 MW 44.71 MVA 0.7 MVR 1.8 MVR
14.29 MVR 2.54 MW 3.06 MVA 5.88 MW 6.07 MVA
1.70 MVR 1.08 MVR
0.35 MW
0.04 MW 0.12 MW
3.28 MVR 1.01 5 6
0.03 MVR 0.14 MVR
1 1.014 pu 1.031 pu
-3.15 Deg EG
1.045 pu -1.66 Deg
0.00 Deg 2 3.3 MW
1.009 pu 31.50 MW 0.6 MVR
-3.96 Deg 6.30 MVR 6.0 MW
-2.0 MVR

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29 October – 1 November 2006 Management – Dr J Mutale
 Active power generation curtailment

– This type of control may be particularly effective

when the generator is connected to a weak network,
with high R/X ratio.
– The generator may find it profitable to curtail some of
its output for a limited period if allowed to connect
larger capacity.
– This may be particularly suitable for distributed wind
generation, as the generation curtailment is likely to
be required during times of relatively low value of
energy (such as summer night periods).

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29 October – 1 November 2006 Management – Dr J Mutale
 Energy produced and curtailed
at 0.98 power factor

40000 1200000
Generation curtailed Loss in revenue
35000
Net generation 1000000 Net revenue
30000
800000
Energy (MWh)

Revenue (£)
25000

20000 600000

15000
400000
10000
200000
5000

0 0
4 6 8 10 12 14 16 18 20 4 6 8 10 12 14 16 18 20

Embedded wind generation penetration (MW) Embedded wind generation penetration (MW)

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29 October – 1 November 2006 Management – Dr J Mutale
 Reactive power management

– Absorbing reactive power can be beneficial to

controlling voltage rise effect, especially in weak
overhead networks with distributed generation.
– Reactive power management as a means of increasing
the penetration of distributed generation would need
to be supported through an appropriate reactive
charging mechanism.

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29 October – 1 November 2006 Management – Dr J Mutale
 Energy produced and curtailed at 0.95
power factor

40000 1200000
Generation curtailed Loss in revenue
35000
Net generation 1000000 Net revenue
30000
800000
Energy (MWh)

Revenue (£)
25000

20000 600000

15000 400000
10000
200000
5000
0
0
4 6 8 10 12 14 16 18 20
4 6 8 10 12 14 16 18 20
Embedded wind generation penetration (MW)
distributed wind generation penetration (MW)

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29 October – 1 November 2006 Management – Dr J Mutale
 Area based coordinated voltage
control of OLTCs

– Present voltage control in distribution networks

(designed for passive networks with strictly
unidirectional power flows) is primarily carried out
by On Load Tap Changing-transformers (OLTC).
Voltage control is usually based on a simple constant
voltage policy or a scheme that takes into account
circuit loading while determining the voltage that
should be maintained.
– Alternative voltage control practices that go beyond
the present local voltage control, such as an area-
based control of OLTC are considered in this study
and the benefits of such policies quantified.
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29 October – 1 November 2006 Management – Dr J Mutale
 Application of OLTCs

40000 1200000
Generation curtailed Loss in revenue
35000
Net generation 1000000 Net revenue
30000
800000
Energy (MWh)

Revenue (£)
25000

20000 600000

15000
400000
10000
200000
5000

0 0
4 6 8 10 12 14 16 18 20 4 6 8 10 12 14 16 18 20

Embedded wind generation penetration (MW) Embedded wind generation penetration (MW)

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29 October – 1 November 2006 Management – Dr J Mutale
 Application of voltage regulators
– In the context of the voltage rise effect, minimum load -
maximum generation conditions are usually critical for
the amount of generation that can be connected.
– However, it may also be necessary to consider
maximum load – maximum generation conditions. This is
because the use of OLTC transformer to reduce the
voltage on the feeder where the generator is
connected, may produce unacceptable voltage drop on
adjacent feeder supplying the load.
– In this case it may be beneficial to separate the control
of voltage on feeder which supply load, from the
control of voltage on feeder to which the generator is
connected. This can be achieved by the application of
voltage regulators.
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29 October – 1 November 2006 Management – Dr J Mutale
 Application of OLTCs and Voltage
Regulators

40000 1200000
Generation curtailed Loss in revenue
35000
Net generation 1000000 Net revenue
30000
800000
Energy (MWh)

Revenue (£)
25000

20000 600000

15000
400000
10000
200000
5000

0 0
4 6 8 10 12 14 16 18 20 4 6 8 10 12 14 16 18 20

Embedded wind generation penetration (MW) Embedded wind generation penetration (MW)

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29 October – 1 November 2006 Management – Dr J Mutale
 Impact of Voltage Controls
2500
on Losses
2000

Losses (MWh)
1500

1000

500

-500
4 6 8 10 12 14 16 18 20
Em bedded w ind generation penetration (M W )

p.f. = 0.98 p.f. = 0.95 SVC 3 MVAr OLTC OLTC and VR

80000
70000
60000
Cost of Losses (£)

50000
40000
30000
20000
10000
0
-10000
-20000
4 6 8 10 12 14 16 18 20
Embedded wind generation penetration (MW)

p.f. = 0.98 p.f. = 0.95 SVC 3 MVAr OLTC OLTC and VR

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29 October – 1 November 2006 Management – Dr J Mutale
 Benefits of active management: UK
rural 11kV networks [M$]

Density Low density High density

Penetration level

2.5GW 0 0
5GW 0 230
7.5GW 100 360
10GW 245 560

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29 October – 1 November 2006 Management – Dr J Mutale
Benefits of active management: UK rural
11kV networks

• For high-density networks the benefits of

active management begin to accrue at a
penetration level of 5GW
• As penetration grows up to 10GW, the
benefits of active management are very
significant exceeding $1Billion for the high-
density systems.

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29 October – 1 November 2006 Management – Dr J Mutale
 Opportunities

• Government renewables incentives (Renewable

Obligation Certificates ÎROCs)
• Incentives to DNOs to connect DG
– Incentive based on capacity connected
– Innovation Funding Initiative and
– Registered Power Zones
• Price control review (GDUoS)
– Must recognise benefits and costs of DG
– Shallow connection charges most appropriate

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29 October – 1 November 2006 Management – Dr J Mutale
 Conclusions
• Potentially large benefit of implementing Active
Management of Distribution Networks
– increased capacity of DG to be connected to existing
networks
• Likely to be particularly beneficial for weak MV
rural networks
• Feasibility of active distribution network
management
– Cost of active distribution systems to be quantified
– Control systems to be designed
– Field tests to be carried out
– Commercial arrangements to be developed
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29 October – 1 November 2006 Management – Dr J Mutale
Thank you for your attention

Integrating DG into UK system

Benefits of active management
J Mutale
The University of Manchester
1 November 2006
Atlanta, Georgia USA