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How do you assess the impact of distributed generation and storage on network planning and operation?

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Distributed generation (DG) and storage are becoming more prevalent in the power system, as they offer benefits such as reduced emissions, increased reliability, and lower costs. However, they also pose challenges for network planning and operation, as they affect the power flow, voltage, stability, and protection of the transmission and distribution (T&D) network. How do you assess the impact of DG and storage on network planning and operation? Here are some key aspects to consider.

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Patrick Lo

Globe and Mail National Best Executive | Energy Leader | Executive MBA | National Expert

1 Load and generation profiles

One of the first steps is to understand how the load and generation profiles change with the integration of DG and storage. You need to consider the location, size, type, and dispatch of DG and storage units, as well as their interaction with the grid and the market. You also need to account for the variability and uncertainty of renewable DG sources, such as wind and solar, and the flexibility and availability of storage devices. Load and generation profiles affect the network capacity, congestion, losses, and power quality.

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Patrick Lo

Globe and Mail National Best Executive | Energy Leader | Executive MBA | National Expert
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Achieving the Energy Transition - reaching net zero and an emissions-free grid - by 2050 is a huge undertaking. One of the pillars to achieve this it through the de-centralization - the creation of a two-way grid that allows users of electricity to also provide distributed energy resources (DERs) back to the grid. Distribute Generation, a form of DER, are resources as the local level that have the capability to inject electrons back into the grid to meet system needs. From an economics perspective - questions arise on how to procure customer owned generation to meet system needs and how location, losses, and grid congestion affect the dynamic price of these resources.

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Patrick Lo

Globe and Mail National Best Executive | Energy Leader | Executive MBA | National Expert
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Energy storage is a flexible resource that can both store energy, and inject electrons back to the grid. While renewables such as wind and solar are highly variable and difficult to predict their real time generation output when providing grid services, when paired up with energy storage to create a hybrid facility (a generation and storage resource behind a single point), this new type of resource has the capability to smooth out voltage fluctuations as well as provide var support to mitigate voltage fluctuations that have a negative impact to power quality

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Jean Blanc

Award-Winning Innovator | Data-Driven Decision Maker | Corporate Strategist | Board Member | Top 5% most-viewed on LinkedIn
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Additionally, similar to peak demand and base load, distributed generation profiles will need to adapt to the ever-changing conditions of consumer energy consumption.

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2 Network models and analysis

The next step is to develop accurate and updated network models and analysis tools that can capture the characteristics and behavior of DG and storage. You need to include the technical parameters, operational constraints, and control strategies of DG and storage units, as well as their impact on the network components and devices. You also need to perform different types of network analysis, such as power flow, short circuit, stability, and protection coordination, to evaluate the network performance, security, and reliability under various scenarios and contingencies.

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Patrick Lo

Globe and Mail National Best Executive | Energy Leader | Executive MBA | National Expert
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The grid of the future and complete orchestration requires coordination from the Transmission level, down to distribution, and further down to DER assets. To align with FERC 2222 - a rule that enables DERs to participate alongside traditional resources in the regional organized wholesale markets through aggregations -- Transmission and Distribution Coordination as well as interoperability of operating protocols from Transmission down to Distribution to the DER asset owner becomes vital. Historically, Transmission System Operators have little to no visibility to DER assets - thus it becomes more imperative that local distribution companies provide real-time telemetry data of the system back to Transmission System Operators

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3 Network design and expansion

Another step is to optimize the network design and expansion to accommodate the integration of DG and storage. You need to identify the optimal locations, sizes, and types of DG and storage units that can maximize the network benefits and minimize the network costs. You also need to determine the optimal network reinforcements, upgrades, and extensions that can enhance the network capability, resilience, and efficiency. Network design and expansion should consider the technical, economic, environmental, and social aspects of the network planning problem.

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Patrick Lo

Globe and Mail National Best Executive | Energy Leader | Executive MBA | National Expert
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In the grid of the future where DGs and DERs play a vital role, transparency of the distribution system must be provided in a way that allows for asset owners to easily understand where constraints on the grid impacting new connections of these resources, as well as where there are opportunities for DGs and energy storage to provide grid services in benefits of both the local utilities as well as transmission system operators.

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4 Network operation and control

The final step is to improve the network operation and control to cope with the integration of DG and storage. You need to coordinate the operation and control of DG and storage units with the network operator and the market operator, to ensure the power balance, voltage regulation, frequency stability, and congestion management. You also need to implement advanced network technologies, such as smart meters, sensors, communication systems, and automation devices, to enable the real-time monitoring, communication, and control of the network.

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Patrick Lo

Globe and Mail National Best Executive | Energy Leader | Executive MBA | National Expert
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Distribution Management System (DMS) as well as DER and system flexibility market tools that can facilitate the real-time procurement of resources in a market-based construct (i.e. secondary markets for DGs, Storage, and other DER resources such as demand response).

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5 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?

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Patrick Lo

Globe and Mail National Best Executive | Energy Leader | Executive MBA | National Expert
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Distributed Energy Resources (DERs) are defined as resources connected on the distribution system that can be used to provide grid services back to the distribution itself or in aggregate back to the transmission system. DERs types include distributed generation in the form of solar, some wind (typically less than 1MW); dispatchable loads; demand response; and energy storage (that can operate as both demand response, distributed generation, and as a dispatchable load). Three pillars of the Energy Transition are decarbonization, decentralization, and digitization. De-centralization is democratizing the grid, allowing two-way flow of electrons from consumers back to the grid, allowing traditional ratepayers to also be generation suppliers

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Siavash Jamal

Solution Marketing Strategist | Energy Transition Leadership | Doctor of BA Candidate
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Power system decarbonization and achieving energy transition targets mandates concurrent digitalization and integration of the entire planning, operation and maintenance lifecycle of distribution grids. Hence the main impact of DER and Storages development on the power grid will be evolution of the grid management and development practice from traditional siloed solutions to a complete ecosystem. For more information see the newsletter: https://www.dhirubhai.net/newsletters/modern-power-grid-management-6912470396793417728/

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How do you assess the impact of distributed generation and storage on network planning and operation?

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1 Load and generation profiles

2 Network models and analysis

3 Network design and expansion

4 Network operation and control

5 Here’s what else to consider

Power Systems

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