Study on Grid Support Services from BESS
for Indian DISCOMS
Commissioned by: Deutsche Gesellschaft für Internationale Zusammenarbeit GmbH
Presenter: Peter-Philipp Schierhorn (Energynautics GmbH)
26th August 2022
Implemented by
Contact:
[email protected]
Agenda
1. Overview on PV and BESS Services
2. Case Study of Indian DISCOM BRPL
Case 1 Reduction of Transformer Loading
Case 2 Balancing of Scheduled and Actual Consumption
Case 3 Energy Shifting
3. Conclusions and Recommendations
Page 2 22-26.08.2022 W orkshop on Technical Standards for DER Integration & Grid Integration Challenges of Rooftop PV and Mitigating Solutions
Overview on PV and BESS Services
Reactive
Provided Power
Frequency Provision
independently by PV support and Voltage
or BESS Systems support
services
Load peak
Black start Congestion reduction
Reduction Provided only by PV
and Island
Avoidance –Assets’
operation of Losses Systems
upgrade
deferral 1
Contribution
to
Ramp Rate Balancing Fast Reduced PV DISCOMS’
Control support Frequency Curtailment Renewable
services Regulation Purchase
2 Obligation
Energy Energy
Shifting Shifting
Provided by BESS only (utility (behind the
scale) meter) Provided only in combination
3 with PV (typically in hybrid
Systems)
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Summary of Services Analysed for BRPL
Level of
Grid Support Service Economic value for DISCOMS Service provided by
Analysis
Distribution assets upgrade
1 Load Peak Reduction deferral
PV and/or BESS
Distribution assets upgrade
PV Peak Reduction BESS
DT Level deferral
Voltage support Improved Voltage PV and/or BESS
Avoided reactive power balance
Reactive Power Provision PV and/or BESS
penalties
Reduction of Losses Avoided cost of power losses PV systems
2 Balancing Avoided Deviation charges BESS
DISCOM 3 Energy shifting Avoided PPA variable costs BESS
Level Power demand reduction by PV Avoided PPA variable costs PV systems
Contribution to DISCOMS’ RPO Avoided purchase cost of REC PV systems
Page 4 22-26.08.2022 W orkshop on Technical Standards for DER Integration & Grid Integration Challenges of Rooftop PV and Mitigating Solutions
1
Reduction of Transformer Loading for
Assets Upgrade Deferral
BESS with 200 kWh
Load peak shaving if the
consumption exceeds the
transformer capacity
Transformer lifetime increased by 4 years
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1
Economic Analysis Results:
Grid Asset Upgrade Deferral
BESS with 200 kWh
Large
Investment Curve decline indicates that revenue
required! from service does not even cover
yearly maintenance + losses!
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1
Cost Comparison BESS vs. Transformer
Cost in € for 1 MW System
350000
300000
250000
200000 x 15
150000
100000
50000
0
Transformer BESS
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2
Balancing of Scheduled and Actual Consumption to
avoid Deviation-Charges
Battery balances
mismatch between
scheduled and actual
consumption.
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2
Economic Analysis Results:
Balancing avoiding Deviation Charges
Positive Cash-Flow, but
not sufficient to cover
initial costs!
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2
Sensitivity Analysis Results on Balancing
More than 50% price
reduction required to
reach positive payback!
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3
Energy Shifting to avoid PPA costs
Reduce costs by shifting
energy from high to low
load phases.
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3
Economic Analysis Results: Energy Shifting
Curve decline indicates that revenue
from service does not even cover
yearly maintenance + losses!
No business case due to low price spread!
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Economic Analysis Results: Energy Shifting
Yearly savings are lower than maintenance costs.
Page 13 22-26.08.2022 W orkshop on Technical Standards for DER Integration & Grid Integration Challenges of Rooftop PV and Mitigating Solutions
Overview: Economic Analysis of Battery Storage
Installed Battery Battery
Yearly Net Present
Level of Grid Support Installation
Savings Sum
Analysis Service Max. Costs
C-Rate Capacity [EUR] [EUR]
Power [EUR]
Load Peak
1 reduction 0.5 100 kW 200 kWh 250 59,600 - 65,800
DT Level
PV Peak
0.5 100 kW 200 kWh 1,600 59,600 - 54,200
Reduction
2
Balancing 1 20 MW 20 MWh 445,200 5,960,000 - 4,166,000
DISCOM
Level
Energy
3 shifting 1 20 MW 20 MWh 41,600 5,960,000 - 6,443,000
Assumed BESS cost: 300 €/kWh
Page 14 22-26.08.2022 W orkshop on Technical Standards for DER Integration & Grid Integration Challenges of Rooftop PV and Mitigating Solutions
Conclusions and Recommendations
on BESS in Distribution Systems
There are many benefits for DISCOMS to install BESS in their distribution system….
…but on the SHORT TERM, handle with care:
• No real business case for DISCOMS has been identified!
• Operation costs might even be higher than savings!
• BESS will produce additional losses in the system!
• Individual situation needs to be evaluated, it is not yet the time for a massive rollout.
…and on LONG TERM, with a massive increase of renewable energies, storage will be inevitable, thus
storage should be supported:
• A regulatory and market framework should be developed including among others the definition of tariff
structure, incentives, grid connectivity and operational norms.
Page 15 22-26.08.2022 W orkshop on Technical Standards for DER Integration & Grid Integration Challenges of Rooftop PV and Mitigating Solutions
Thank you for your attention!
Page 16 W orkshop on Technical Standards for DER Integration & Grid Integration Challenges of Rooftop PV and Mitigating Solutions
Contact
Peter-Philipp Schierhorn
Senior Engineer, Energynautics GmbH
[email protected]
www.giz.de https://twitter.com/giz_gmbh https://www.facebook.com/gizprofile/
22-
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26.08.2022
Presented by Energynautics GmbH, commissioned by:
Deutsche Gesellschaft für
Internationale Zusammenarbeit (GIZ) GmbH
Registered offices
Bonn and Eschborn
Friedrich-Ebert-Allee 36 + 40 Dag-Hammarskjöld-Weg 1 - 5
53113 Bonn, Germany 65760 Eschborn, Germany
T +49 228 44 60 - 0 T +49 61 96 79 - 0
F +49 228 44 60 - 17 66 F +49 61 96 79 - 11 15
E [email protected]
I www.giz.de