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Optimal heterogeneity in a simplified highly renewable European electricity system

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  • Eriksen, Emil H.
  • Schwenk-Nebbe, Leon J.
  • Tranberg, Bo
  • Brown, Tom
  • Greiner, Martin

Abstract

The resource quality and the temporal generation pattern of variable renewable energy sources vary significantly across Europe. In this paper spatial distributions of renewable assets are explored which exploit this heterogeneity to lower the total system costs for a high level of renewable electricity in Europe. Several intuitive heuristic algorithms, optimal portfolio theory and a local search algorithm are used to find optimal distributions of renewable generation capacities that minimise the total costs of backup, transmission and renewable capacity simultaneously. Using current cost projections, an optimal heterogeneous distribution favours onshore wind, particularly in countries bordering the North Sea, which results in average electricity costs that are up to 11% lower than for a homogeneous reference distribution of renewables proportional to each country's mean load. The reduction becomes even larger, namely 18%, once the transmission capacities are put to zero in the homogeneous reference distribution. Heuristic algorithms to distribute renewable capacity based on each country's wind and solar capacity factors are shown to provide a satisfactory approximation to fully optimised renewable distributions, while maintaining the benefits of transparency and comprehensibility. The sensitivities of the results to changing costs of solar generation and gas supply as well as to the possible cross-sectoral usage of unavoidable curtailment energy are also examined.

Suggested Citation

  • Eriksen, Emil H. & Schwenk-Nebbe, Leon J. & Tranberg, Bo & Brown, Tom & Greiner, Martin, 2017. "Optimal heterogeneity in a simplified highly renewable European electricity system," Energy, Elsevier, vol. 133(C), pages 913-928.
    • Handle: RePEc:eee:energy:v:133:y:2017:i:c:p:913-928
    DOI: 10.1016/j.energy.2017.05.170
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    Cited by:

    1. Mads Raunbak & Timo Zeyer & Kun Zhu & Martin Greiner, 2017. "Principal Mismatch Patterns Across a Simplified Highly Renewable European Electricity Network," Energies, MDPI, vol. 10(12), pages 1-13, November.
    2. Liu, Hailiang & Andresen, Gorm Bruun & Greiner, Martin, 2018. "Cost-optimal design of a simplified highly renewable Chinese electricity network," Energy, Elsevier, vol. 147(C), pages 534-546.
    3. Groppi, Daniele & Pfeifer, Antun & Garcia, Davide Astiaso & Krajačić, Goran & Duić, Neven, 2021. "A review on energy storage and demand side management solutions in smart energy islands," Renewable and Sustainable Energy Reviews, Elsevier, vol. 135(C).
    4. Zhu, K. & Victoria, M. & Andresen, G.B. & Greiner, M., 2020. "Impact of climatic, technical and economic uncertainties on the optimal design of a coupled fossil-free electricity, heating and cooling system in Europe," Applied Energy, Elsevier, vol. 262(C).
    5. Hansen, Kenneth & Breyer, Christian & Lund, Henrik, 2019. "Status and perspectives on 100% renewable energy systems," Energy, Elsevier, vol. 175(C), pages 471-480.
    6. Domínguez, R. & Carrión, M. & Oggioni, G., 2020. "Planning and operating a renewable-dominated European power system under uncertainty," Applied Energy, Elsevier, vol. 258(C).
    7. Lehmann, Paul & Reutter, Felix & Tafarte, Philip, 2021. "Optimal siting of onshore wind turbines: Local disamenities matter," UFZ Discussion Papers 4/2021, Helmholtz Centre for Environmental Research (UFZ), Division of Social Sciences (ÖKUS).
    8. Child, Michael & Kemfert, Claudia & Bogdanov, Dmitrii & Breyer, Christian, 2019. "Flexible electricity generation, grid exchange and storage for the transition to a 100% renewable energy system in Europe," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 139, pages 80-101.
    9. Lehmann, Paul & Ammermann, Kathrin & Gawel, Erik & Geiger, Charlotte & Hauck, Jennifer & Heilmann, Jörg & Meier, Jan-Niklas & Ponitka, Jens & Schicketanz, Sven & Stemmer, Boris & Tafarte, Philip & Thr, 2020. "Managing spatial sustainability trade-offs: The case of wind power," UFZ Discussion Papers 4/2020, Helmholtz Centre for Environmental Research (UFZ), Division of Social Sciences (ÖKUS).
    10. Tranberg, Bo & Schwenk-Nebbe, Leon J. & Schäfer, Mirko & Hörsch, Jonas & Greiner, Martin, 2018. "Flow-based nodal cost allocation in a heterogeneous highly renewable European electricity network," Energy, Elsevier, vol. 150(C), pages 122-133.
    11. Zhou, Yanlai & Guo, Shenglian & Chang, Fi-John & Liu, Pan & Chen, Alexander B., 2018. "Methodology that improves water utilization and hydropower generation without increasing flood risk in mega cascade reservoirs," Energy, Elsevier, vol. 143(C), pages 785-796.
    12. Schlachtberger, D.P. & Brown, T. & Schramm, S. & Greiner, M., 2017. "The benefits of cooperation in a highly renewable European electricity network," Energy, Elsevier, vol. 134(C), pages 469-481.
    13. Gaure, Simen & Golombek, Rolf, 2022. "True or not true: CO2 free electricity generation is possible," Energy, Elsevier, vol. 259(C).
    14. Victoria, Marta & Gallego-Castillo, Cristobal, 2019. "Hourly-resolution analysis of electricity decarbonization in Spain (2017–2030)," Applied Energy, Elsevier, vol. 233, pages 674-690.
    15. Zhu, K. & Victoria, M. & Brown, T. & Andresen, G.B. & Greiner, M., 2019. "Impact of CO2 prices on the design of a highly decarbonised coupled electricity and heating system in Europe," Applied Energy, Elsevier, vol. 236(C), pages 622-634.
    16. Potrč, Sanja & Nemet, Andreja & Čuček, Lidija & Varbanov, Petar Sabev & Kravanja, Zdravko, 2022. "Synthesis of a regenerative energy system – beyond carbon emissions neutrality," Renewable and Sustainable Energy Reviews, Elsevier, vol. 169(C).
    17. Matsuo, Yuhji & Endo, Seiya & Nagatomi, Yu & Shibata, Yoshiaki & Komiyama, Ryoichi & Fujii, Yasumasa, 2020. "Investigating the economics of the power sector under high penetration of variable renewable energies," Applied Energy, Elsevier, vol. 267(C).
    18. Lehmann, Paul & Reutter, Felix & Tafarte, Philip, 2023. "Optimal siting of onshore wind turbines: Local disamenities matter," Resource and Energy Economics, Elsevier, vol. 74(C).
    19. Brown, T. & Schlachtberger, D. & Kies, A. & Schramm, S. & Greiner, M., 2018. "Synergies of sector coupling and transmission reinforcement in a cost-optimised, highly renewable European energy system," Energy, Elsevier, vol. 160(C), pages 720-739.
    20. Tom Brown & Mirko Schäfer & Martin Greiner, 2019. "Sectoral Interactions as Carbon Dioxide Emissions Approach Zero in a Highly-Renewable European Energy System," Energies, MDPI, vol. 12(6), pages 1-16, March.
    21. Aghahosseini, Arman & Bogdanov, Dmitrii & Barbosa, Larissa S.N.S. & Breyer, Christian, 2019. "Analysing the feasibility of powering the Americas with renewable energy and inter-regional grid interconnections by 2030," Renewable and Sustainable Energy Reviews, Elsevier, vol. 105(C), pages 187-205.
    22. Tafarte, Philip & Lehmann, Paul, 2023. "Quantifying trade-offs for the spatial allocation of onshore wind generation capacity – A case study for Germany," Ecological Economics, Elsevier, vol. 209(C).
    23. Gawlick, Julia & Hamacher, Thomas, 2023. "Impact of coupling the electricity and hydrogen sector in a zero-emission European energy system in 2050," Energy Policy, Elsevier, vol. 180(C).
    24. Tafarte, Philip & Lehmann, Paul, 2021. "Quantifying trade-offs for the spatial allocation of onshore wind generation capacity: A case study for Germany," UFZ Discussion Papers 2/2021, Helmholtz Centre for Environmental Research (UFZ), Division of Social Sciences (ÖKUS).
    25. Lehmann, Paul & Ammermann, Kathrin & Gawel, Erik & Geiger, Charlotte & Hauck, Jennifer & Heilmann, Jörg & Meier, Jan-Niklas & Ponitka, Jens & Schicketanz, Sven & Stemmer, Boris & Tafarte, Philip & Thr, 2021. "Managing spatial sustainability trade-offs: The case of wind power," Ecological Economics, Elsevier, vol. 185(C).

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