31 Aug 2015

PhD thesis investigates potential of CHP plants in electricity balancing markets

On Friday 4th September the second PhD fellow at the 4DH Research Centre will defend his doctoral thesis “Bidding and operation strategies in future energy markets – The transition of small district heating plants into market‐based smart energy systems” at Aalborg University.

Peter Sorknæs’s thesis investigates the potential for small district heating plants with combined heat and power to increase their earnings by being more active on the new electricity balancing markets.

Peter Sorknæs also presented his research at the International Conference on Smart Energy Systems and 4th Generation District Heating Auhust 25-26 in Copenhagen. Photo: Peter Kristensen

The focus is on the potential in Denmark and Germany. Peter Sorknæs finds that participation in electricity balancing markets increases the feasibility of these plants, but that the increase is limited and is unlikely to provide sufficient incentives needed to keep the existing combined heat and power capacity at small district heating plants in operation. As such, other options for securing sufficient combined heat and power capacity at small district heating plants should be investigated.

The subject is highly important since a transition of energy systems is occurring worldwide. This transition includes efforts to improve energy efficiency and increase integration of variable renewable energy sources in the electricity system. On the one hand, increased production from variable renewable energy sources results in reduced electricity production by combined heat and power units, thereby reducing their feasibility. On the other hand, society relies on combined heat and power capacity to produce electricity when variable renewable energy sources does not. Consequently, it is essential for society that the existing combined heat and power capacity be maintained in the system.

But, how can these units survive economically if they are going to produce substantially less?

Time: September 4, 2015, at 13:00
Place: Skibbrogade 5, Room C1/12, Aalborg, Denmark

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