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Regulation of microgeneration and microgrids

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  • Costa, Paulo Moisés
  • Matos, Manuel A.
  • Peças Lopes, J.A.

Abstract

The concept of microgrid ([mu]Grid) has been emerging as a way to integrate microgeneration ([mu]G) in low-voltage (LV) networks and simultaneously improve its potential benefits. Technical requirements to connect [mu]grids to LV networks have been studied in order to make this concept technologically feasible and safe to operate. However, the regulatory framework for economic integration of [mu]G and [mu]Grids on distribution systems, despite being crucial, is still an open issue. The main purpose of this paper is to contribute for the development of an appropriate economic regulation framework that removes the barriers to [mu]G and [mu]Grid development. To do so, the relevant costs and benefits resulting from the establishment of [mu]G and [mu]Grid are identified and a methodology for sharing those costs and benefits among the involved economic agents is presented. The only pre-requisite of such a methodology is the existence of a net benefit to all economic agents.

Suggested Citation

  • Costa, Paulo Moisés & Matos, Manuel A. & Peças Lopes, J.A., 2008. "Regulation of microgeneration and microgrids," Energy Policy, Elsevier, vol. 36(10), pages 3893-3904, October.
    • Handle: RePEc:eee:enepol:v:36:y:2008:i:10:p:3893-3904
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    1. Ibrahim Abada, Andreas Ehrenmann, and Xavier Lambin, 2020. "On the Viability of Energy Communities," The Energy Journal, International Association for Energy Economics, vol. 0(Number 1).
    2. João Abel Peças Lopes & André Guimarães Madureira & Carlos Coelho Leal Monteiro Moreira, 2013. "A view of microgrids," Wiley Interdisciplinary Reviews: Energy and Environment, Wiley Blackwell, vol. 2(1), pages 86-103, January.
    3. Paiva, J.E. & Carvalho, A.S., 2013. "Controllable hybrid power system based on renewable energy sources for modern electrical grids," Renewable Energy, Elsevier, vol. 53(C), pages 271-279.
    4. Abada, I. & Ehrenmann, A. & Lambin, X., 2018. "Unintended consequences: The snowball effect of energy communities," Cambridge Working Papers in Economics 1828, Faculty of Economics, University of Cambridge.
    5. Planas, Estefanía & Andreu, Jon & Gárate, José Ignacio & Martínez de Alegría, Iñigo & Ibarra, Edorta, 2015. "AC and DC technology in microgrids: A review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 43(C), pages 726-749.
    6. Siler-Evans, Kyle & Morgan, M. Granger & Azevedo, Inês Lima, 2012. "Distributed cogeneration for commercial buildings: Can we make the economics work?," Energy Policy, Elsevier, vol. 42(C), pages 580-590.
    7. Chen, Weidong & Zeng, Yu & Xu, Chongqing, 2019. "Energy storage subsidy estimation for microgrid: A real option game-theoretic approach," Applied Energy, Elsevier, vol. 239(C), pages 373-382.
    8. Hu, Ming-Che & Lu, Su-Ying & Chen, Yen-Haw, 2016. "Stochastic programming and market equilibrium analysis of microgrids energy management systems," Energy, Elsevier, vol. 113(C), pages 662-670.
    9. Kaur, Amanpreet & Nonnenmacher, Lukas & Coimbra, Carlos F.M., 2016. "Net load forecasting for high renewable energy penetration grids," Energy, Elsevier, vol. 114(C), pages 1073-1084.
    10. Anestis, Anastasiadis & Georgios, Vokas, 2019. "Economic benefits of Smart Microgrids with penetration of DER and mCHP units for non-interconnected islands," Renewable Energy, Elsevier, vol. 142(C), pages 478-486.
    11. Lo Prete, Chiara & Hobbs, Benjamin F., 2016. "A cooperative game theoretic analysis of incentives for microgrids in regulated electricity markets," Applied Energy, Elsevier, vol. 169(C), pages 524-541.
    12. Nijhuis, M. & Gibescu, M. & Cobben, J.F.G., 2015. "Assessment of the impacts of the renewable energy and ICT driven energy transition on distribution networks," Renewable and Sustainable Energy Reviews, Elsevier, vol. 52(C), pages 1003-1014.
    13. Chen, Yen-Haw & Lu, Su-Ying & Chang, Yung-Ruei & Lee, Ta-Tung & Hu, Ming-Che, 2013. "Economic analysis and optimal energy management models for microgrid systems: A case study in Taiwan," Applied Energy, Elsevier, vol. 103(C), pages 145-154.
    14. Wouters, Carmen & Fraga, Eric S. & James, Adrian M., 2015. "An energy integrated, multi-microgrid, MILP (mixed-integer linear programming) approach for residential distributed energy system planning – A South Australian case-study," Energy, Elsevier, vol. 85(C), pages 30-44.
    15. Zamora, Ramon & Srivastava, Anurag K., 2010. "Controls for microgrids with storage: Review, challenges, and research needs," Renewable and Sustainable Energy Reviews, Elsevier, vol. 14(7), pages 2009-2018, September.
    16. Llaria, Alvaro & Curea, Octavian & Jiménez, Jaime & Camblong, Haritza, 2011. "Survey on microgrids: Unplanned islanding and related inverter control techniques," Renewable Energy, Elsevier, vol. 36(8), pages 2052-2061.
    17. Mendes, Gonçalo & Ioakimidis, Christos & Ferrão, Paulo, 2011. "On the planning and analysis of Integrated Community Energy Systems: A review and survey of available tools," Renewable and Sustainable Energy Reviews, Elsevier, vol. 15(9), pages 4836-4854.
    18. Thomas Sachs & Anna Gründler & Milos Rusic & Gilbert Fridgen, 2019. "Framing Microgrid Design from a Business and Information Systems Engineering Perspective," Business & Information Systems Engineering: The International Journal of WIRTSCHAFTSINFORMATIK, Springer;Gesellschaft für Informatik e.V. (GI), vol. 61(6), pages 729-744, December.
    19. Moisés Costa, Paulo & Matos, Manuel A., 2010. "Capacity credit of microgeneration and microgrids," Energy Policy, Elsevier, vol. 38(10), pages 6330-6337, October.
    20. Kalavani, Farshad & Mohammadi-Ivatloo, Behnam & Zare, Kazem, 2019. "Optimal stochastic scheduling of cryogenic energy storage with wind power in the presence of a demand response program," Renewable Energy, Elsevier, vol. 130(C), pages 268-280.

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