Integration of Renewable Energies and its Impact on Electricity Price
Main Article Content
Keywords
Unconventional source of renewable energy, integration schemes, electricity markets, energy systems modeling
Abstract
Non-conventional sources of renewable energy (NCER) are energy sources considered as a clean alternative for the energy supply versus an electric generation based on fossil fuels. In addition, they are a way by which
the concentration level in the market is reduced and the participation of the demand can be given. This article presents different mechanisms of integration of these sources in the market, and analyzes their effect on the electricity price in Colombia. Under defined simulation conditions, the results indicate that a 20% hare of the USRE in the coverage of demand on a distributed basis generates a 22% reduction in the electricity price for a long term.
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References
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[30] C. Ochoa, I. Dyner, and C. Franco, “Simulating power integration in Latin America to Assess challenges, opportunities and threats,” Energy Policy, vol. 61, no. October, pp. 143–148, 2013. [Online]. Available: http://www.sciencedirect.com/science/article/pii/S0301421513006721
[31] C. Ochoa and A. Van Ackere, “Does size matter? Simulating electricity market coupling between Colombia and Ecuador,” Renewable and Sustainable Energy Reviews, vol. 50, no. October, pp. 1108–1124, 2015.
[32] D. L. Cadavid Higuita, “Aproximación metodológica al análisis de la difusión de innovaciones en productos que utilizan tecnologías limpias considerando elecciones individuales de adopción,” p. 347, 2015. [Online]. Available: http://www.bdigital.unal.edu.co/47098/
[33] O. Ojeda, F. Olsina, and Garcés, “Simulation on the long - term dynamic of a market - based transmission interconnection,” Energy Policy, 2009.
[34] M. Castañeda, C. Franco, and I. Dyner, “The Effects of descarbonisation policies on the electricity sector,” IEEE Xplore. IEEE Latinamerican Transacction, vol. 12, no. 5, 2015.
[35] W. W. Hogan, “Capacity Markets: Gauging Their Real Impact on Resource Development and Reliability,” in EUCI Conference, Cambridge, MA, 2015.
[36] T. Rintam, “Impact of renewable energy on electricity prices - comparative analysis of Denmark and Germany,” no. March, 2013.
[37] J. Valencia-Calvo, C. J. Franco-Cardona, G. Olivar-Tost, and I. DynerRezonzew, “Enfoque metodológico para el estudio y representación de comportamientos complejos en mercados de electricidad,” Ingeniería y Ciencia, vol. 12, no. 24, pp. 195–220, 2016. [Online]. Available: http:// publicaciones.eafit.edu.co/index.php/ingciencia/article/view/3355
[38] A. García and L. Arbeláes, “Market Power Analysis for the Colombia Electricity Market,” Energy Economics, 2002.
[39] P. Sioshansi, Introduction. Evolution of Global Electricity Markets. New paradigms, new Challenges, new approaches. San Francisco. CA, USA: Menlo Energy Economics, 2002.
[40] Unidad de Planeación Minero Energética (UPME), “Plan Energetico Nacional Colombia: Ideario Energético 2050,” Unidad de Planeación Minero Energética, Republica de Colombia, p. 184, 2015. [Online]. Available: http://www.upme.gov.co/Docs/PEN/PEN_IdearioEnergetico2050.pdf
[41] Unidad de Planeación Minero Energética (UPME), “Plan de Expansión de Referencia Generación-Transmisión 2015-2029,” Ministerio de Minas y Energía, p. 616, 2015. [Online]. Available: http://www.upme.gov.co/Docs/Plan_Expansion/2016/Plan_Expansion_ GT_2015-2029/Plan_GT_2015-2029_VF_22-12-2015.pdf
[42] XM, “Operador del Sistema Eléctrico colombiano. Datos del Sistema Eléctrico,” 2015.
[43] IPCC, Fuentes de energía renovables y mitigación del cambio climatico, 2011. [Online]. Available: https://www.ipcc.ch/pdf/special-reports/srren/ srren_report_es.pdf
[2] European Commission (EC), “Energía 2020 Estrategia para una energÃa competitiva, sostenible y segura,” Com, no. 639, pp. 1–9, 2010.
[3] European Commission (EC), “Quartely Report on European Electricity Markets,” Markets Observatory For Energy. DG Energy, vol. 7, pp. 1–9, 2015.
[4] North American Electric Reliability Corporation (NERC), 2016. [Online]. Available: http://www.nerc.com/Pages/default.aspx
[5] North European Power Perpectives (NEPP), “The Future Power Market Design. Ten Statements About,” 2016. [Online]. Available: http://www. nepp.se/
[6] CIER, “Marco Legal y Regulatorio para las Energías Renovables No Convencionales,” Comisión de Integración Energética Regional (CIER), no. C, 2009.
[7] International Renewable Agency (IRENA),“Energías Renovables en América Latina 2015,” Sumario de Políticas, pp. 12–19, 2009.
[8] García, H and Corredor, A and Calderón, L and Gómez, M, “Análisis costo beneficio de energías renovables no convencionales en Colombia,” Doc. Prep. para WWF, p. 90, 2013.
[9] Comisión de Regulación de Energía y Gas (CREG), “Alternativa para la Integración de Fuentes No Convencionales de Energía Renovable (FNCER) al Parque Generador,” Documento CREG-161 de 26 de diciembre de 2016, 2016.
[10] Ministerio de Minas y Energía y UPME, “Integración de las energías renovables no convencionales en Colombia,” 2015.
[11] NARUC, “Rate Design and Compensation: mechanisms and methodologies. Distributed Energy Resource Rate Design and Compensation. A manual prepared by the National Association of Regulatory Utility Commissioners (NARUC) staff subcommittee on Rate Design,” no. November, p. 180, 2016.
[12] NREL, “Compensation for Distributed Solar : A Survey of Options to Preserve Stakeholder Value,” no. September, 2015.
[13] Ministerio de Industria Energía y Turismo de España, “Real Decreto 900/2015, de 9 de octubre, por el que se regulan las condiciones administrativas, técnicas y económicas de las modalidades de suministro de energía eléctrica con autoconsumo y de producción con autoconsumo.” Boe, pp. 27548–27562, 2015. [Online]. Available: http://www.boe.es
[14] J. P. Avalos, R. M. Mellado, and H. Rudnick, “Estructura y funciones de un operador independiente,” pp. 51–61, 2012. [Online]. Available: http://web.ing.puc.cl/power/alumno12/operindep/2012.05. 30OperadoresSistema.pdf
[15] R. Raineri, I. Dyner, J. Goñi, N. Castro, Y. Olaya, and C. Franco, Latin America Energy Integration. Evolution of Global Electricity Markets. New paradigms, new Challenges, new approaches, San Francisco, CA, USA, 2013.
[16] A. Ford, “System Dynamics and the Electric Power Industry,” System Dynamics Review, vol. 13, no. 1, pp. 57–85
[17] A. Ford, “Cycles in competitive electricity markets: A simulation study of the western United States,” Energy Policy, vol. 27, no. 11, pp. 637–658, 1999.
[18] J. W. Forrester, “System dynamics, systems thinking, and soft OR,” System Dynamics Review, vol. 10, no. 2-3, pp. 245–256, 1994.
[19] I. Dyner, E. Larsen, and K. Vlahos, Complementary modeling approaches for analysing several effects of privatization on electricity investment. Systems modelling policy, 1997.
[20] I. Dyner and D. Bunn, A systems simulation platform to support energy policy in Colombia. Systems modelling policy, 1997.
[21] J. Sterman, Buisness Dynamics: System thinking and modeling for a complex world. McGraw Hill, 2000.
[22] I. Dyner and E. Larsen, “From planning to strategy in the electricity industry,” Energy Policy, vol. 29, no. 13, pp. 245–256, 2001.
[23] C. J. Franco and I. Dyner, “Assessing the impact of energization in the Colombian Southwest: a case of application using System Dynamics,” Proceedings of the 24th International Conference of the System Dynamics Society, p. 65, 2006
[24] F. Olsina, F. Garcés, and H. J. Haubrich, “Modeling long-term dynamics of electricity markets,” Energy Policy, vol. 34, no. 12, pp. 1411–1433, 2006.
[25] D. Finon and V. Pignon, “Electricity and Long Term Capacity: The Quest for Regulatory Mechanism Compatible With Electricity Market,” Utilities Policy, no. 18, pp. 143–148, 2008.
[26] C. Franco, I. Dyner, and S. Hoyos, “Contribución De La Energía Al Desarrollo De Comunidades Aisladas No Interconectadas : Un Contribution of the Energy At Development of Islated Communities in Not Interconnected Zones : a Case of Application of the Systems Dynamics and Sustainable Livelihoo,” Dyna, vol. 75, no. 154, pp. 199–214, 2008. [Online]. Available: http://www.redalyc.org/articulo.oa?id=49615420
[27] P. Ochoa and A. Van Ackere, “Policy changes and the dynamics of capacity expansion in the Swiss electricity market,” Energy Policy, 2009.
[28] J. M. Redondo Ortegón, “Modelado de Mercados de Electricidad,” p. 117, 2012. [Online]. Available: http://www.bdigital.unal.edu.co/10220/
[29] J. Valencia, G. Olivard, C. Franco, and I. Dyner, Qualitative Analysis of climatic seasonality Effects in a model of National Electricity Market, 121st ed. Springer International Publishing Switzerland, 2015.
[30] C. Ochoa, I. Dyner, and C. Franco, “Simulating power integration in Latin America to Assess challenges, opportunities and threats,” Energy Policy, vol. 61, no. October, pp. 143–148, 2013. [Online]. Available: http://www.sciencedirect.com/science/article/pii/S0301421513006721
[31] C. Ochoa and A. Van Ackere, “Does size matter? Simulating electricity market coupling between Colombia and Ecuador,” Renewable and Sustainable Energy Reviews, vol. 50, no. October, pp. 1108–1124, 2015.
[32] D. L. Cadavid Higuita, “Aproximación metodológica al análisis de la difusión de innovaciones en productos que utilizan tecnologías limpias considerando elecciones individuales de adopción,” p. 347, 2015. [Online]. Available: http://www.bdigital.unal.edu.co/47098/
[33] O. Ojeda, F. Olsina, and Garcés, “Simulation on the long - term dynamic of a market - based transmission interconnection,” Energy Policy, 2009.
[34] M. Castañeda, C. Franco, and I. Dyner, “The Effects of descarbonisation policies on the electricity sector,” IEEE Xplore. IEEE Latinamerican Transacction, vol. 12, no. 5, 2015.
[35] W. W. Hogan, “Capacity Markets: Gauging Their Real Impact on Resource Development and Reliability,” in EUCI Conference, Cambridge, MA, 2015.
[36] T. Rintam, “Impact of renewable energy on electricity prices - comparative analysis of Denmark and Germany,” no. March, 2013.
[37] J. Valencia-Calvo, C. J. Franco-Cardona, G. Olivar-Tost, and I. DynerRezonzew, “Enfoque metodológico para el estudio y representación de comportamientos complejos en mercados de electricidad,” Ingeniería y Ciencia, vol. 12, no. 24, pp. 195–220, 2016. [Online]. Available: http:// publicaciones.eafit.edu.co/index.php/ingciencia/article/view/3355
[38] A. García and L. Arbeláes, “Market Power Analysis for the Colombia Electricity Market,” Energy Economics, 2002.
[39] P. Sioshansi, Introduction. Evolution of Global Electricity Markets. New paradigms, new Challenges, new approaches. San Francisco. CA, USA: Menlo Energy Economics, 2002.
[40] Unidad de Planeación Minero Energética (UPME), “Plan Energetico Nacional Colombia: Ideario Energético 2050,” Unidad de Planeación Minero Energética, Republica de Colombia, p. 184, 2015. [Online]. Available: http://www.upme.gov.co/Docs/PEN/PEN_IdearioEnergetico2050.pdf
[41] Unidad de Planeación Minero Energética (UPME), “Plan de Expansión de Referencia Generación-Transmisión 2015-2029,” Ministerio de Minas y Energía, p. 616, 2015. [Online]. Available: http://www.upme.gov.co/Docs/Plan_Expansion/2016/Plan_Expansion_ GT_2015-2029/Plan_GT_2015-2029_VF_22-12-2015.pdf
[42] XM, “Operador del Sistema Eléctrico colombiano. Datos del Sistema Eléctrico,” 2015.
[43] IPCC, Fuentes de energía renovables y mitigación del cambio climatico, 2011. [Online]. Available: https://www.ipcc.ch/pdf/special-reports/srren/ srren_report_es.pdf
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Published
Nov 14, 2017
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How to Cite
Hoyos, S., Franco, C. J., & Dyner, I. (2017). Integration of Renewable Energies and its Impact on Electricity Price. Ingeniería Y Ciencia, 13(26), 115–146. https://doi.org/10.17230/ingciencia.13.26.5
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Centro de Complejidad CEIBA y la Universidad Nacional de Colombia
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