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The impact of variable renewable energy resources on power system reliability

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  • Harker Steele, Amanda J.
  • Burnett, J. Wesley
  • Bergstrom, John C.

Abstract

Transitioning the electric power sector to rely more on wind and solar photovoltaics (WPV) has long been cited as a potential solution to reducing harmful greenhouse gas emissions associated with fossil fuel electricity production. An under-explored implication of this transition, however, is whether increasing the amount of net generation supplied by WPV negatively impacts power system reliability? In this paper, we empirically investigate the preceding question using an unbalanced panel dataset of utility-scale operations between 2013 and 2017. Disruptions in power system reliability are measured by the frequency and duration of power system disruptions experienced by end-consumers. Results suggest net generation from WPV, on average, has a significant positive impact on the length of power system disruptions experienced, but only at low levels of net generation from WPV. As net generation from WPV increases, the duration of power system disruptions decreases. To provide insight into the policy implications of these results, we forecast disruptions in power system reliability, assuming different renewable energy policy scenarios for states across the United States with active renewable support policies in place. We estimate the economic costs of forecasted disruptions using an open-source, interruption cost estimate calculator.

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  • Harker Steele, Amanda J. & Burnett, J. Wesley & Bergstrom, John C., 2021. "The impact of variable renewable energy resources on power system reliability," Energy Policy, Elsevier, vol. 151(C).
    • Handle: RePEc:eee:enepol:v:151:y:2021:i:c:s0301421520306583
    DOI: 10.1016/j.enpol.2020.111947
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    References listed on IDEAS

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    Cited by:

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    2. Tao, Hu & Zhuang, Shan & Xue, Rui & Cao, Wei & Tian, Jinfang & Shan, Yuli, 2022. "Environmental Finance: An Interdisciplinary Review," Technological Forecasting and Social Change, Elsevier, vol. 179(C).
    3. Fareed, Zeeshan & Pata, Ugur Korkut, 2022. "Renewable, non-renewable energy consumption and income in top ten renewable energy-consuming countries: Advanced Fourier based panel data approaches," Renewable Energy, Elsevier, vol. 194(C), pages 805-821.
    4. Ewaoche John Okampo & Nnamdi Nwulu & Pitshou N. Bokoro, 2022. "Optimal Placement and Operation of FACTS Technologies in a Cyber-Physical Power System: Critical Review and Future Outlook," Sustainability, MDPI, vol. 14(13), pages 1-26, June.
    5. Liu, Jizhen & Ma, Lifei & Wang, Qinghua, 2023. "Energy management method of integrated energy system based on collaborative optimization of distributed flexible resources," Energy, Elsevier, vol. 264(C).
    6. Siavash Asiaban & Nezmin Kayedpour & Arash E. Samani & Dimitar Bozalakov & Jeroen D. M. De Kooning & Guillaume Crevecoeur & Lieven Vandevelde, 2021. "Wind and Solar Intermittency and the Associated Integration Challenges: A Comprehensive Review Including the Status in the Belgian Power System," Energies, MDPI, vol. 14(9), pages 1-41, May.
    7. Saboori, Behnaz & Gholipour, Hassan F. & Rasoulinezhad, Ehsan & Ranjbar, Omid, 2022. "Renewable energy sources and unemployment rate: Evidence from the US states," Energy Policy, Elsevier, vol. 168(C).
    8. Chen, Hao & Yan, Haobo & Gong, Kai & Geng, Haopeng & Yuan, Xiao-Chen, 2022. "Assessing the business interruption costs from power outages in China," Energy Economics, Elsevier, vol. 105(C).

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    More about this item

    Keywords

    Electricity reliability; Power system disruptions; Variable energy resources; Reliability metrics; Interruption costs estimates;
    All these keywords.

    JEL classification:

    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • Q42 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Alternative Energy Sources
    • Q47 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Energy Forecasting

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