IDEAS home Printed from https://ideas.repec.org/a/eee/energy/v239y2022ipes0360544221025238.html
   My bibliography  Save this article

On the participation of small-scale high performance combined heat and power plants to the Italian ancillary services market within Virtually Aggregated Mixed Units

Author

Listed:
  • Bracco, Stefano
  • Bianchi, Enrico
  • Bianco, Giovanni
  • Giacchino, Alessandro
  • Ramaglia, Alessandro
  • Delfino, Federico

Abstract

The present paper derives from the need of determining new appealing mechanisms for the electrical system operators to encourage the participation of distributed energy resources to the markets of ancillary services. In particular, the research activity conducted by the University of Genoa and Ansaldo Energia company is focused on the small-scale cogeneration plants operating in the Italian Ancillary Services Market and evaluates the profitability of their inclusion within Virtually Aggregated Mixed Units. The developed methodology based on a technical and economic analysis is described and different scenarios are analyzed using as test case a typical installation of the 100 kW cogeneration microturbine produced by Ansaldo Energia. The affordability of choosing cogeneration technologies instead of traditional energy supply systems is critically investigated with the main goal of proposing and comparing some new innovative remuneration mechanisms for the services provided in the market by small-scale cogeneration units. The advantages for both the owner of the cogeneration plant and electrical system operators are described and the current legislative flaws are highlighted.

Suggested Citation

  • Bracco, Stefano & Bianchi, Enrico & Bianco, Giovanni & Giacchino, Alessandro & Ramaglia, Alessandro & Delfino, Federico, 2022. "On the participation of small-scale high performance combined heat and power plants to the Italian ancillary services market within Virtually Aggregated Mixed Units," Energy, Elsevier, vol. 239(PE).
    • Handle: RePEc:eee:energy:v:239:y:2022:i:pe:s0360544221025238
    DOI: 10.1016/j.energy.2021.122275
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0360544221025238
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.energy.2021.122275?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    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. Pohl, Elmar & Diarra, David, 2014. "A method to determine primary energy savings of CHP plants considering plant-side and demand-side characteristics," Applied Energy, Elsevier, vol. 113(C), pages 287-293.
    2. Razavi, Seyed-Ehsan & Rahimi, Ehsan & Javadi, Mohammad Sadegh & Nezhad, Ali Esmaeel & Lotfi, Mohamed & Shafie-khah, Miadreza & Catalão, João P.S., 2019. "Impact of distributed generation on protection and voltage regulation of distribution systems: A review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 105(C), pages 157-167.
    3. Richard S J Tol, 2018. "The Economic Impacts of Climate Change," Review of Environmental Economics and Policy, Association of Environmental and Resource Economists, vol. 12(1), pages 4-25.
    4. Pavani Ponnaganti & Jayakrishnan R Pillai & Birgitte Bak‐Jensen, 2018. "Opportunities and challenges of demand response in active distribution networks," Wiley Interdisciplinary Reviews: Energy and Environment, Wiley Blackwell, vol. 7(1), January.
    5. Fuentes-Cortés, Luis Fabián & Dowling, Alexander W. & Rubio-Maya, Carlos & Zavala, Víctor M. & Ponce-Ortega, José María, 2016. "Integrated design and control of multigeneration systems for building complexes," Energy, Elsevier, vol. 116(P2), pages 1403-1416.
    6. Gvozdenac, Dušan & Urošević, Branka Gvozdenac & Menke, Christoph & Urošević, Dragan & Bangviwat, Athikom, 2017. "High efficiency cogeneration: CHP and non-CHP energy," Energy, Elsevier, vol. 135(C), pages 269-278.
    7. Kaikko, Juha & Backman, Jari, 2007. "Technical and economic performance analysis for a microturbine in combined heat and power generation," Energy, Elsevier, vol. 32(4), pages 378-387.
    8. Paterakis, Nikolaos G. & Erdinç, Ozan & Catalão, João P.S., 2017. "An overview of Demand Response: Key-elements and international experience," Renewable and Sustainable Energy Reviews, Elsevier, vol. 69(C), pages 871-891.
    9. Agostini, Marco & Bertolini, Marina & Coppo, Massimiliano & Fontini, Fulvio, 2021. "The participation of small-scale variable distributed renewable energy sources to the balancing services market," Energy Economics, Elsevier, vol. 97(C).
    10. Petinrin, J.O. & Shaabanb, Mohamed, 2016. "Impact of renewable generation on voltage control in distribution systems," Renewable and Sustainable Energy Reviews, Elsevier, vol. 65(C), pages 770-783.
    11. Bracco, Stefano & Delfino, Federico & Ferro, Giulio & Pagnini, Luisa & Robba, Michela & Rossi, Mansueto, 2018. "Energy planning of sustainable districts: Towards the exploitation of small size intermittent renewables in urban areas," Applied Energy, Elsevier, vol. 228(C), pages 2288-2297.
    12. Østergaard, Poul Alberg, 2006. "Ancillary services and the integration of substantial quantities of wind power," Applied Energy, Elsevier, vol. 83(5), pages 451-463, May.
    13. Fragaki, Aikaterini & Andersen, Anders N., 2011. "Conditions for aggregation of CHP plants in the UK electricity market and exploration of plant size," Applied Energy, Elsevier, vol. 88(11), pages 3930-3940.
    14. Bracco, Stefano & Delfino, Federico, 2017. "A mathematical model for the dynamic simulation of low size cogeneration gas turbines within smart microgrids," Energy, Elsevier, vol. 119(C), pages 710-723.
    15. Mendelsohn, Robert & Dinar, Ariel & Williams, Larry, 2006. "The distributional impact of climate change on rich and poor countries," Environment and Development Economics, Cambridge University Press, vol. 11(2), pages 159-178, April.
    16. Cardoso, G. & Stadler, M. & Mashayekh, S. & Hartvigsson, E., 2017. "The impact of ancillary services in optimal DER investment decisions," Energy, Elsevier, vol. 130(C), pages 99-112.
    17. Yael Parag & Benjamin K. Sovacool, 2016. "Electricity market design for the prosumer era," Nature Energy, Nature, vol. 1(4), pages 1-6, April.
    18. Bhagya Nathali Silva & Murad Khan & Kijun Han, 2020. "Futuristic Sustainable Energy Management in Smart Environments: A Review of Peak Load Shaving and Demand Response Strategies, Challenges, and Opportunities," Sustainability, MDPI, vol. 12(14), pages 1-23, July.
    19. Jan Marc Schwidtal & Marco Agostini & Fabio Bignucolo & Massimiliano Coppo & Patrizia Garengo & Arturo Lorenzoni, 2021. "Integration of Flexibility from Distributed Energy Resources: Mapping the Innovative Italian Pilot Project UVAM," Energies, MDPI, vol. 14(7), pages 1-29, March.
    20. Yan, Xing & Ozturk, Yusuf & Hu, Zechun & Song, Yonghua, 2018. "A review on price-driven residential demand response," Renewable and Sustainable Energy Reviews, Elsevier, vol. 96(C), pages 411-419.
    21. Konečná, Eva & Teng, Sin Yong & Máša, Vítězslav, 2020. "New insights into the potential of the gas microturbine in microgrids and industrial applications," Renewable and Sustainable Energy Reviews, Elsevier, vol. 134(C).
    22. Abdmouleh, Zeineb & Gastli, Adel & Ben-Brahim, Lazhar & Haouari, Mohamed & Al-Emadi, Nasser Ahmed, 2017. "Review of optimization techniques applied for the integration of distributed generation from renewable energy sources," Renewable Energy, Elsevier, vol. 113(C), pages 266-280.
    Full references (including those not matched with items on IDEAS)

    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. Doumen, Sjoerd C. & Nguyen, Phuong & Kok, Koen, 2022. "Challenges for large-scale Local Electricity Market implementation reviewed from the stakeholder perspective," Renewable and Sustainable Energy Reviews, Elsevier, vol. 165(C).
    2. Nicolas Taconet & Aurélie Méjean & Céline Guivarch, 2020. "Influence of climate change impacts and mitigation costs on inequality between countries," Climatic Change, Springer, vol. 160(1), pages 15-34, May.
    3. Davarzani, Sima & Pisica, Ioana & Taylor, Gareth A. & Munisami, Kevin J., 2021. "Residential Demand Response Strategies and Applications in Active Distribution Network Management," Renewable and Sustainable Energy Reviews, Elsevier, vol. 138(C).
    4. Astriani, Yuli & Shafiullah, GM & Shahnia, Farhad, 2021. "Incentive determination of a demand response program for microgrids," Applied Energy, Elsevier, vol. 292(C).
    5. Valeria Costantini & Anil Markandya & Elena Paglialunga & Giorgia Sforna, 2018. "Impact and distribution of climatic damages: a methodological proposal with a dynamic CGE model applied to global climate negotiations," Economia Politica: Journal of Analytical and Institutional Economics, Springer;Fondazione Edison, vol. 35(3), pages 809-843, December.
    6. Dranka, Géremi Gilson & Ferreira, Paula, 2019. "Review and assessment of the different categories of demand response potentials," Energy, Elsevier, vol. 179(C), pages 280-294.
    7. Yilmaz, Selin & Xu, Xiaojing & Cabrera, Daniel & Chanez, Cédric & Cuony, Peter & Patel, Martin K., 2020. "Analysis of demand-side response preferences regarding electricity tariffs and direct load control: Key findings from a Swiss survey," Energy, Elsevier, vol. 212(C).
    8. Xu, Jiuping & Liu, Tingting, 2020. "Technological paradigm-based approaches towards challenges and policy shifts for sustainable wind energy development," Energy Policy, Elsevier, vol. 142(C).
    9. Pereira, Luan D.L. & Yahyaoui, Imene & Fiorotti, Rodrigo & de Menezes, Luíza S. & Fardin, Jussara F. & Rocha, Helder R.O. & Tadeo, Fernando, 2022. "Optimal allocation of distributed generation and capacitor banks using probabilistic generation models with correlations," Applied Energy, Elsevier, vol. 307(C).
    10. Schipfer, F. & Mäki, E. & Schmieder, U. & Lange, N. & Schildhauer, T. & Hennig, C. & Thrän, D., 2022. "Status of and expectations for flexible bioenergy to support resource efficiency and to accelerate the energy transition," Renewable and Sustainable Energy Reviews, Elsevier, vol. 158(C).
    11. Ibrahim Alotaibi & Mohammed A. Abido & Muhammad Khalid & Andrey V. Savkin, 2020. "A Comprehensive Review of Recent Advances in Smart Grids: A Sustainable Future with Renewable Energy Resources," Energies, MDPI, vol. 13(23), pages 1-41, November.
    12. Sousa, Joana & Soares, Isabel, 2023. "Benefits and barriers concerning demand response stakeholder value chain: A systematic literature review," Energy, Elsevier, vol. 280(C).
    13. da Fonseca, André L.A. & Chvatal, Karin M.S. & Fernandes, Ricardo A.S., 2021. "Thermal comfort maintenance in demand response programs: A critical review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 141(C).
    14. Tao Xiang & Tariq H. Malik & Jack W. Hou & Jiliang Ma, 2022. "The Impact of Climate Change on Agricultural Total Factor Productivity: A Cross-Country Panel Data Analysis, 1961–2013," Agriculture, MDPI, vol. 12(12), pages 1-20, December.
    15. Cruz, Marco R.M. & Fitiwi, Desta Z. & Santos, Sérgio F. & Catalão, João P.S., 2018. "A comprehensive survey of flexibility options for supporting the low-carbon energy future," Renewable and Sustainable Energy Reviews, Elsevier, vol. 97(C), pages 338-353.
    16. Murray, William & Adonis, Marco & Raji, Atanda, 2021. "Voltage control in future electrical distribution networks," Renewable and Sustainable Energy Reviews, Elsevier, vol. 146(C).
    17. Kumar, Abhishek & Meena, Nand K. & Singh, Arvind R. & Deng, Yan & He, Xiangning & Bansal, R.C. & Kumar, Praveen, 2019. "Strategic integration of battery energy storage systems with the provision of distributed ancillary services in active distribution systems," Applied Energy, Elsevier, vol. 253(C), pages 1-1.
    18. Chen, Ting & Vandendriessche, Frederik, 2023. "Evolution of the EU legal framework for promoting RES-E: A market compatible paradigm shift?," Utilities Policy, Elsevier, vol. 83(C).
    19. Abedrabboh, Khaled & Al-Fagih, Luluwah, 2023. "Applications of mechanism design in market-based demand-side management: A review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 171(C).
    20. Antimiani, Alessandro & Costantini, Valeria & Markandya, Anil & Paglialunga, Elena & Sforna, Giorgia, 2016. "Assessing costs and benefits of current climate negotiations," Conference papers 332752, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.

    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:energy:v:239:y:2022:i:pe:s0360544221025238. 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.journals.elsevier.com/energy .

    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.