12 December 2017 2017 04:57 PM GMT

Renewable Future Challenges UK And Germany To Build Flexibility In Power Systems

Economic tipping points mean renewable energy will account for over half of electricity generation by the mid-2020s in the UK and Germany. This comes as the cost of generating energy from wind and solar is expected to more than halve from today’s levels by 2040. This rapid growth in variable renewables will lead to much greater volatility in power systems, challenging inflexible ‘baseload’ generators and creating opportunities for new flexible sources.

Due to the variable nature of wind and solar, there will be some days and even whole weeks where the total generation from renewable sources is more than enough to meet power demand in the UK and Germany. In certain weeks and months, however, low wind speeds coinciding with cloudy skies will require other generation sources to meet the majority of demand. The research shows that while there will be a significant increase in the amount of variable renewables on the system, the total backup capacity needed by 2040 in the UK and Germany will be much the same as in 2017.

These findings are part of an economic study released recently by Bloomberg New Energy Finance (BNEF) and commissioned by Eaton in partnership with the Renewable Energy Association (REA)The study – ‘Beyond the tipping point: flexibility gaps in future high-renewable energy systems in the UK, Germanand the Nordics’ – highlights that future energy systems in the UK and Germany with very high levels of variable renewable generation must be complemented by flexible resources, including energy storage.

Key findings of the study include:

  • At certain times, and with increasing frequency, wind and solar energy alone could meet – and even exceed – total power demand in both markets;
  • With more renewable supply comes more curtailment, but not to significant levels: in 2030, less than 1% of UK and 3% of German wind and solar generation is curtailed or ‘wasted’ due to oversupply. By 2040, this rises to 3% and 16% respectively;
  • Increased wind and solar generation results in more variable demand for other energy sources to plug power supply gaps. In this environment, flexible power technologies such as energy storage and gas generators will have an advantage. In addition, certain types of demand response such as flexible electric vehicle charging and variable industrial loads can respond quickly to conditions on the grid, or shift or consume surplus renewable energy;
  • As early as 2030, there will be whole weeks where wind and solar power generation exceed total demand at some point every day. This creates a very challenging environment for ‘baseload’ technologies that benefit from running at a constant stable output, such as nuclear, coal and lignite;
  • However, even in the 2040 scenarios, there will be some weeks and months where generation other than wind and solar must be called upon to meet the majority of demand. Such long ‘gaps’ cannot be filled with demand response and current energy storage technologies. A fleet of flexible resources will need to be maintained to meet these gaps, including gas generation, interconnectors and dispatchable renewable technologies such as bioenergy. In future, long-term storage solutions such as hydrogen may come into play too.

“This study highlights a seismic shift in how power systems will operate in the future. As wind and solar become the cheapest options for power generation, the race is on to develop and deploy the flexible resources that will complement them,” said Albert Cheung, head of global analysis at Bloomberg New Energy Finance.

“Eaton commissioned this economic study to understand the size of the challenge before exploring possible policy and technology responses, which will be the focus of the second part of the study to be released in early 2018,” said Louis Shaffer, distributed energy segment manager, Europe, Middle East and Africa Region at Eaton.

“These solutions could include continued promotion of smart metering, reforms to increase market openness and transparency for all grid ancillary services and long-term grid service contracts and pricing schemes. We will also analyse the benefits of various policy options for the future of the energy market that include battery storage,” added Shaffer.

“The study shows that wind and solar power are now the cheapest form of new build generation in many cases, and costs will continue to fall dramatically. Massive increases in future renewable power generation mean that industry and government must start planning now to ensure low-carbon, cost-effective ways of balancing demand and supply,” said Dr Nina Skorupska, chief executive of the Renewable Energy Association.

“We believe that there is a role for fuelled renewable technologies such as bioenergy and energy from waste to provide the complementary baseload generation that will be required, to avoid the need for carbon-intensive generation at all. This study shows that battery storage is well placed to serve short-term supply and demand issues and highlights the dramatic cost reductions in renewable power over the past few years,” added Skorupska.

Bloomberg New Energy Finance (BNEF) is an industry research firm focused on helping energy professionals generate opportunities. With a team of experts spread across six continents, BNEF provides independent analysis and insight, enabling decision-makers to navigate change in an evolving energy economy. Leveraging the most sophisticated new energy data sets in the world, BNEF synthesizes proprietary data into astute narratives that frame the financial, economic and policy implications of emerging energy technologies.

Eaton is a power management company with 2016 sales of $19.7 billion. We provide energy-efficient solutions that help our customers effectively manage electrical, hydraulic and mechanical power more efficiently, safely and sustainably. Eaton is dedicated to improving the quality of life and the environment through the use of power management technologies and services. Eaton has approximately 96,000 employees and sells products to customers in more than 175 countries.

The Renewable Energy Association represents renewable energy producers and supporting companies and promotes the use of all forms of renewable energy in the UK across power, heat, transport and recycling, it also is the leading trade body for energy storage and electric vehicle infrastructure. It is the largest renewable energy and clean technology trade association in the UK, with over 600 members, ranging from major multinationals to sole traders.

February 5th 2018
BASF Turn Hazardous Waste Into Clean Energy At World’s Largest Chemical Complex

Honeywell Process Solutions (HPS) has announced that BASF has opened a state-of-the-art control room equipped with Honeywell Experion® technology at its waste incineration complex in Ludwigshafen, Germany. The plant’s six incinerators process hazardous waste that cannot be reused or recycled and convert it into steam and electrical power. The clean, reusable energy is channelled back into BASF’s production processes, helping the company save resources and reduce emissions. “Thanks to excellent cooperation with Honeywell, our 60-year-old plant now has one of the most modern control rooms in the world,” said Dr Karin Flore, head of waste incineration, BASF.

February 5th 2018
EV, Renewables See CO2 Emissions Plateau By 2030, But Far From 2 Degree Pathway

Major shifts in the global energy landscape, particularly related to electric vehicles (EVs) and renewable energy sources, mean that MEI expects global CO₂emissions to plateau by 2030. However, increased global energy demand means emissions will remain at more than double the level required for a 2 degrees Celsius warming pathway. Ole Rolser, Associate Partner and Solution Leader at MEI, comments: “Despite the significant momentum around EVs and renewable energy sources taking an increasing share of the power market, to realise the 2 degrees pathway scenario, we’d have to see much broader, much more disruptive change than what we’re seeing now.”

February 5th 2018
Masdar City To Test Latest Concepts In Autonomous Electric Vehicles

ICONIQ Motors, a China-based EV company, has reached agreement to test its autonomous driving concept at Masdar City. The ICONIQ SEVEN, one of the world’s latest EV models is a futuristic vehicle, built on an intelligent, connected vehicle platform integrated with Microsoft’s AZURE cloud technology; and is set to hit the market in 2019. “Masdar City has put smart and sustainable mobility at the centre of its strategy, as highlighted by the historic success of its flagship driverless Personal Rapid Transit (PRT) system,” said Yousef Baselaib, Executive Director of Sustainable Real Estate at Madsar. “It is the ideal location to test innovative autonomous driving concepts.”

February 5th 2018
Chinese Solar Surge Fuels Overall Global Growth In Clean Energy Investment

World clean energy investment totalled $333.5 billion last year, up 3% from 2016 and the second highest annual figure ever, taking cumulative investment since 2010 to $2.5 trillion. An extraordinary boom in photovoltaic installations made 2017 a record year for China’s investment in clean energy. This outpaced changes elsewhere, including jumps in investment in Australia and Mexico, and declines in Japan, the U.K. and Germany. The figures up 3% from a revised $324.6 billion in 2016, and only 7% short of the record figure of $360.3 billion, in 2015.

February 5th 2018
European Parliament Gives A Resounding Vote In Favour Of Clean Energy In Europe

European lawmakers have called for a renewable energy target of 35% for 2030 – rather than the 27% which the European Commission proposed in 2016. The MEPs have now backed measures substantially raising the European Union’s clean-energy ambitions. By 2030, more than one-third of energy consumed in the EU should be from renewable sources such as wind and solar power. The measures are intended to help cut carbon dioxide emissions. The EU is the world’s third-largest emitter of greenhouse gases after China and the United States, releasing about 10% of global emissions. 


 

   

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