8. Transmission
Principles of Transmission, applied
to the EU transmission network
1. Line limits
2. Principles of dispatch
3. Role of frequency in ac lines and stability
requirements
4. Transmission shortage, the internal market
and the 2050 carbon targets
38. Can price-spikes be avoided?
- Cap the price, eg at $1000/MWH
- Capacity market
- Pay power plants for being prepared to generate,
even if they are not called upon
39. Income of a power plant:
- Price of electricity
- Capacity payments (reserve)
91. Dispatch
∆-10MW
Net Injection:
50MW
40MW ∆ -10MW
Physical flow: 50MW
40MW
A B
∆ -10MW
Net
Withdrawal:
40MW
50MW
92. Dispatch
Net Injection:
40MW
Physical flow: 40MW
A B
Electricity cannot just be “send”
somewhere Net
Withdrawal:
Any flow is the RESULT of the 40MW
injection and withdrawals
93. The Swiss TSO operator asks the
Italian TSO for countermeasures
Dispatch is done by national TSOs
03:11
98. Frequency and Synchronicity
Does a lamp in your house receive zero energy 100 times a second
and is thus blinking?
Raise your hand if you think that this is indeed the case.
124. Vertically
integrated
Power Plants electricity
Utility
State
Transmission monopoly
Distributors
125.
126. Vertically
integrated
Power Plants electricity
Utility
State
Transmission monopoly
Distributors
127. Competitive
Open to the
Power Plants market!
Remains a
monopoly
Transmission
Needs regulation:
• Cost+
• Tariff
• Benchmarking
Distributors
128. 2003 and 2009 Electricity laws
(2003/54/EC and 2009/72/EC)
• Separation from networks and generator
activities
• Non-discriminatory access of generators to
networks
• “EU regulator”: ACER
129. Most EU consumers no longer
protected by electricity price
regulation!
130. How is the electricity price
then determined?
Competition
But… Competition must work
133. Financial market manipulation
• US hedge fund, Amaranth Advisors LLC held
1. gas derivates at ICE and OTC markets
2. Gas futures on NYMEX
• Then sold the gas futures on NYMEX to
affect the settlement price at ICE and OTC
markets
• Profit: $60m-$170m
134. REMIT
• Regulation on Energy Market Integrity and
Transparency
• Forbids:
– Market abuse
– Insider trading
• Monitoring task for National Regulaturs and
“EU regulator” ACER
135. 2003 and 2009 Electricity laws
(2003/54/EC and 2009/72/EC)
• Separation from networks and generator
activities
• Non-discriminatory access of generators to
networks
• “EU regulator”: ACER
• 2020 goals: 20% renewable energy in 2020
– Feed-in tariffs
– Emission Trading Scheme
142. Reform of the system 1992-2015
• 1992 United Energy Systems of Russia (RAO-
UES) replaces soviet ministerial units
• 1998 Anatoly Chubais president of RAO-UES.
• 2003–2011
– restructuring and private ownership
– Partial price deregulation
• 2011 full competition in generation
• 2015 price deregulation for retail conconsumers
145. Need for new investment
• Most power stations built in 1960-1970
– Low efficiency ratio of 33-35% instead of 40-52%
• Ministry of Energy: modernization program for
generators of 10 trillion rubles up till 2030
– Increase in demand for equipment
• Russian technology behind western standards
– heavy duty gas turbines
– ultra supercritical steam turbines
– gasification
– process control systems
148. Competition problems
• No working retail markets yet
• Fair access to gas for fair and equal prices
– Gas fired generators 40% of production
– Newcomers often CCGT
– Gazprom (75% share) seems to favor its own
subsidiary generators
• Financial energy market not developed
– Risk management
149. Regulation
• regulatory authority: the Market Council
• But not independent, government:
– control over most pricing issues
– Veto over Market Council decisions
150. Industrial
consumers
Transmission Other countries
Distributors
Power Plants
Residential consumers:
Households