Operation of district heat network in electricity and balancing markets with the power-to-heat sector coupling

Nima Javanshir; Sanna Syri; Seela Tervo; Argo Rosin

doi:10.1016/j.energy.2022.126423

Operation of district heat network in electricity and balancing markets with the power-to-heat sector coupling

Nima Javanshir^*
, Sanna Syri
, Seela Tervo
, Argo Rosin

^*Tämän työn vastaava kirjoittaja

Tallinn University of Technology

Tutkimustuotos: Lehtiartikkeli › Article › Scientific › vertaisarvioitu

49 Sitaatiot (Scopus)

418 Lataukset (Pure)

Abstrakti

The stochastic nature of renewable energy resources poses a challenge in terms of balancing supply and demand in the power grid, necessitating additional sources of flexibility and balancing services. District heating networks (DHNs) equipped with power-to-heat (P2H) technologies and thermal storage can provide balancing services to the grid. Participation of DHN in a combination of diverse marketplaces to optimize revenue has been understudied. This study proposes a daily routine for the operation of a DHN in multiple energy markets, covering the day-ahead and intraday electricity markets, and various balancing markets. The emphasis is on providing balancing services by the P2H units, while considering their technical constraints of operation. The economic viability of the proposed routine is examined. Results indicate an increase in the operation profits by 1.3–9.7% compared to the total electricity sales, 0.4–3.0% of total heat sales, and 0.3–2.0% net profit in the examined DHN between 2019 and 2021. Given the complexity and uncertainty of future market development, it is critical to be aware of the most influential aspects. Sensitivity analysis indicates that fluctuations in electricity spot prices, fuel prices, and technical constraints of units significantly affect the profit.

Alkuperäiskieli	Englanti
Artikkeli	126423
Sivumäärä	14
Julkaisu	Energy
Vuosikerta	266
DOI - pysyväislinkit	https://doi.org/10.1016/j.energy.2022.126423
Tila	Julkaistu - 1 maalisk. 2023
OKM-julkaisutyyppi	A1 Alkuperäisartikkeli tieteellisessä aikakauslehdessä

Rahoitus

This work has been supported by the European Commission through the H2020 project Finest Twins (grant No. 856602 ) and by the Estonian Centre of Excellence in Zero Energy and Resource Efficient Smart Buildings and Districts ZEBE, grant 2014-2020.4.01.15-0016 funded by European Regional Development Fund.

YK:n kestävän kehityksen tavoitteet

Tämä tuotos edistää seuraavia kestävän kehityksen tavoitteita:

SDG 7 – Edullinen ja puhdas energia

Pääsy asiakirjaan

10.1016/j.energy.2022.126423Lisenssi: CC BY

1-s2.0-S0360544222033096-mainFinal published version, 6,11 MBLisenssi: CC BY

Muut tiedostot ja linkit

Linkki julkaisuun Scopuksessa

-: FINEST TWINS GA856602Nieminen
Nieminen, M. (Projektin jäsen), Toiskallio, K. (Projektin jäsen), Hajian, H. (Projektin jäsen), Rönkkö, J. (Projektin jäsen), Syri, S. (Projektin jäsen), Yeung, D. (Projektin jäsen), Hyvönen, J. (Projektin jäsen), Kuzmanovski, V. (Projektin jäsen), Salomaa, V. (Projektin jäsen), Agriesti, S. (Projektin jäsen), Koskinen, K. (Projektin jäsen), Mir, S. (Projektin jäsen), Abdollahi, E. (Projektin jäsen), Dibaj, S. (Projektin jäsen), Yousefnezhad, N. (Projektin jäsen), Zhou, Z. (Projektin jäsen), Farjam, T. (Projektin jäsen), Moradpoor, I. (Projektin jäsen), Esquivias Canadas, A. (Projektin jäsen), Ingi, D. (Projektin jäsen), Klossner, S. (Projektin jäsen), Malhi, A. (Projektin jäsen), Vosough, S. (Projektin jäsen), Kajosaari, A. (Projektin jäsen), Pinho, P. (Projektin jäsen), Anashin, P. (Projektin jäsen), Hiltunen, P. (Projektin jäsen), Helenius, O. (Projektin jäsen), Ojala, P. (Projektin jäsen), Österbacka, M. (Projektin jäsen), Nummi, P. (Projektin jäsen), Ghanbari, H. (Projektin jäsen), Malik, A. (Projektin jäsen), Keyriläinen, T. (Projektin jäsen), Knapic, S. (Projektin jäsen), Olin, J. J. (Projektin jäsen), Ahdekivi, V. (Projektin jäsen), Fröhlich, K. (Projektin jäsen), Madhikermi, M. (Projektin jäsen), Farsaei, A. (Projektin jäsen), Hollmen, J. (Projektin jäsen), Ju, Y. (Projektin jäsen), Kangassalo, P. (Projektin jäsen), Liu, Z. (Projektin jäsen), Bhusal, P. (Projektin jäsen), Laguardia Tavares, P. (Projektin jäsen), Mäkelä, J. (Projektin jäsen), Kauppi, A. (Projektin jäsen), Saif, A. (Projektin jäsen), Khajavi Haghighat, S. (Projektin jäsen), Olkkonen, V. (Projektin jäsen), Pihlava, K. (Projektin jäsen), Tan, X. (Projektin jäsen), Doostmohammadian, M. (Projektin jäsen), Javanshir, N. (Projektin jäsen), Sipetas, C. (Projektin jäsen), Su, Y. (Projektin jäsen), Ainamo, A. (Projektin jäsen), Munilal Jain, K. (Projektin jäsen), Putta, A. (Projektin jäsen), Toivio, T. (Projektin jäsen), Apopei, I.-V. (Projektin jäsen), Jokisalo, J. (Projektin jäsen), Avci, C. (Projektin jäsen), Bayrak, M. (Projektin jäsen), Liaquat, M. (Projektin jäsen), Espinosa, A. (Projektin jäsen), Limnell, J. (Projektin jäsen), Marques de Carvalho Martins Canha, D. (Projektin jäsen), Ahmed, K. (Projektin jäsen), Pirilä, J. (Projektin jäsen), Tervo, S. (Projektin jäsen), Wallgren, K. (Projektin jäsen), Abolfazli, E. (Projektin jäsen), Bagheri Majdabadi, M. (Projektin jäsen), Bobrov, N. (Projektin jäsen), Huotari, M. (Projektin jäsen), Koivunen, T. (Projektin jäsen), Nzewi, L. (Projektin jäsen) & Kovanen, E. (Projektin jäsen)
01/12/2019 → 31/05/2027
Projekti: EU H2020 Framework program

Siteeraa tätä

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title = "Operation of district heat network in electricity and balancing markets with the power-to-heat sector coupling",

abstract = "The stochastic nature of renewable energy resources poses a challenge in terms of balancing supply and demand in the power grid, necessitating additional sources of flexibility and balancing services. District heating networks (DHNs) equipped with power-to-heat (P2H) technologies and thermal storage can provide balancing services to the grid. Participation of DHN in a combination of diverse marketplaces to optimize revenue has been understudied. This study proposes a daily routine for the operation of a DHN in multiple energy markets, covering the day-ahead and intraday electricity markets, and various balancing markets. The emphasis is on providing balancing services by the P2H units, while considering their technical constraints of operation. The economic viability of the proposed routine is examined. Results indicate an increase in the operation profits by 1.3–9.7\% compared to the total electricity sales, 0.4–3.0\% of total heat sales, and 0.3–2.0\% net profit in the examined DHN between 2019 and 2021. Given the complexity and uncertainty of future market development, it is critical to be aware of the most influential aspects. Sensitivity analysis indicates that fluctuations in electricity spot prices, fuel prices, and technical constraints of units significantly affect the profit.",

keywords = "Balancing markets, District heat network, Electricity markets, Heat pump, Renewable energy systems, Techno-economic analysis",

author = "Nima Javanshir and Sanna Syri and Seela Tervo and Argo Rosin",

note = "| openaire: EC/H2020/856602/EU//FINEST TWINS Funding Information: This work has been supported by the European Commission through the H2020 project Finest Twins (grant No. 856602 ) and by the Estonian Centre of Excellence in Zero Energy and Resource Efficient Smart Buildings and Districts ZEBE, grant 2014-2020.4.01.15-0016 funded by European Regional Development Fund. Publisher Copyright: {\textcopyright} 2022 The Authors",

year = "2023",

month = mar,

day = "1",

doi = "10.1016/j.energy.2022.126423",

language = "English",

volume = "266",

journal = "Energy",

issn = "0360-5442",

publisher = "Elsevier",

}

TY - JOUR

T1 - Operation of district heat network in electricity and balancing markets with the power-to-heat sector coupling

AU - Javanshir, Nima

AU - Syri, Sanna

AU - Tervo, Seela

AU - Rosin, Argo

N1 - | openaire: EC/H2020/856602/EU//FINEST TWINS Funding Information: This work has been supported by the European Commission through the H2020 project Finest Twins (grant No. 856602 ) and by the Estonian Centre of Excellence in Zero Energy and Resource Efficient Smart Buildings and Districts ZEBE, grant 2014-2020.4.01.15-0016 funded by European Regional Development Fund. Publisher Copyright: © 2022 The Authors

PY - 2023/3/1

Y1 - 2023/3/1

N2 - The stochastic nature of renewable energy resources poses a challenge in terms of balancing supply and demand in the power grid, necessitating additional sources of flexibility and balancing services. District heating networks (DHNs) equipped with power-to-heat (P2H) technologies and thermal storage can provide balancing services to the grid. Participation of DHN in a combination of diverse marketplaces to optimize revenue has been understudied. This study proposes a daily routine for the operation of a DHN in multiple energy markets, covering the day-ahead and intraday electricity markets, and various balancing markets. The emphasis is on providing balancing services by the P2H units, while considering their technical constraints of operation. The economic viability of the proposed routine is examined. Results indicate an increase in the operation profits by 1.3–9.7% compared to the total electricity sales, 0.4–3.0% of total heat sales, and 0.3–2.0% net profit in the examined DHN between 2019 and 2021. Given the complexity and uncertainty of future market development, it is critical to be aware of the most influential aspects. Sensitivity analysis indicates that fluctuations in electricity spot prices, fuel prices, and technical constraints of units significantly affect the profit.

AB - The stochastic nature of renewable energy resources poses a challenge in terms of balancing supply and demand in the power grid, necessitating additional sources of flexibility and balancing services. District heating networks (DHNs) equipped with power-to-heat (P2H) technologies and thermal storage can provide balancing services to the grid. Participation of DHN in a combination of diverse marketplaces to optimize revenue has been understudied. This study proposes a daily routine for the operation of a DHN in multiple energy markets, covering the day-ahead and intraday electricity markets, and various balancing markets. The emphasis is on providing balancing services by the P2H units, while considering their technical constraints of operation. The economic viability of the proposed routine is examined. Results indicate an increase in the operation profits by 1.3–9.7% compared to the total electricity sales, 0.4–3.0% of total heat sales, and 0.3–2.0% net profit in the examined DHN between 2019 and 2021. Given the complexity and uncertainty of future market development, it is critical to be aware of the most influential aspects. Sensitivity analysis indicates that fluctuations in electricity spot prices, fuel prices, and technical constraints of units significantly affect the profit.

KW - Balancing markets

KW - District heat network

KW - Electricity markets

KW - Heat pump

KW - Renewable energy systems

KW - Techno-economic analysis

UR - https://www.scopus.com/pages/publications/85144456241

U2 - 10.1016/j.energy.2022.126423

DO - 10.1016/j.energy.2022.126423

M3 - Article

AN - SCOPUS:85144456241

SN - 0360-5442

VL - 266

JO - Energy

JF - Energy

M1 - 126423

ER -

Operation of district heat network in electricity and balancing markets with the power-to-heat sector coupling

Abstrakti

Rahoitus

YK:n kestävän kehityksen tavoitteet

Pääsy asiakirjaan

Muut tiedostot ja linkit

Sormenjälki

Projektit

-: FINEST TWINS GA856602Nieminen

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