Korea Smart Grid Future for 4 th Industry Revolution (KSGW Conference)

Transcription

1 Korea Smart Grid Future for 4 th Industry Revolution (KSGW Conference) Prof. Jong-Bae Park EE Dept., Konkuk Univ.

2 Contents Global Issues in Electricity Industry Korean Electricity Industry Paradigm Shift (Distributed Power System Implementation) Electricity Industry and 4 th Industry Revolution: Technologies and Business Model Conclusions and Suggestions

3 Evolution of Energy/Power Industry Steps of Energy and Power Industry (G-D-P) Supply ( 공급 ) Cost ( 비용 ) Price ( 가격 ) Value ( 가치 ) Supply Techs Oil, Nuclear, Coal, GT, etc. Demand Techs Consumer Technologies - Distributed Techs - Prosumer/VPP 3

4 Smart Grid Evolution in 4 th Industry Revolution Steps of Energy and Power Industry (G-D-P) Feedback between Value and Technology Price ( 가격 ) Value ( 가치 ) IoT AI 4

5 Keywords in Energy 4.0 Electricity Industry Energy 4.0 and Electricity Industry Decentralization ( 분산화, 소형화 ) Localization ( 지역화 ) Energy Democracy ( 에너지민주주의 ) Extreme Energy Efficiency ( 에너지효율 ) - Active & Passive Energy Prosumer: Active DR, Smart Appliances (Power, EV, Storage, H2, Heat, Gas, Environment, ) Electricity Trading between Countries and Continents through HVDC/HVAC P2P (Renewable) Energy Transaction Zero-Carbon Energy System AI, Big Data Based Self-Healing, Forecasting, Trading, Optimization Stochastic Optimization.. 5

6 Smart Grid Trends in T&D and System Operations (1) Smart Grid in T&D Examples ABB 6

7 Smart Grid Trends in T&D and System Operations (2) System and Market Operations (TSO/DSO/RSO) Renewables Monitoring & Control Source: RWE 7

8 Global Issues in Electricity Industry (Generation) Focus to Low and No Carbon Resources Coal and Nuclear Decrease and/or Shrink Natural Gas, Renewables Increase : Natural Gas Bridge, Renewables as Major (System) Transition to DER, MG-based Power System - Traditional Bulk Centralized Power System: Bulk Generation Bulk Transmission Bulk Consumption (Scale of Economy but Social Conflicts) Transition to Community Energy Independence : Locally-produced Energy Selection and Consumption Revolution to (Renewable) Energy Transaction (Prosumer, P2P) (DER) Increase of Role of Non-traditional Distributed Energy Technologies EV/PHEV, ESS, EE & DR, etc. 8

9 Centralized Korean Power System (Present) Centralized Power System (Future) Decentralized Power System Economics, Reliability Environment, Economics, Reliability & Resilience Nuclear, Coal Focused Bulk System Locally Generated and Consumed Power System (Renewables, LNG, DERs, Co-gens, Self-Generation, etc.) Supply-focused Energy System Demand-focused (EE, DR, SG) Energy System Hugh Coal Site (765kV) Hugh Nuc Site (765kV, HVDC) EV PVs Self Generation DERs Hugh Nuc Site (765kV) EE, ESS, DR Winds Cogen 9

10 Historical Generation Mix & CO2 Emissions in Korea Historical Generation Trend by Fuels (GWh) and CO2 Emissions 600, , ,000 Generation by Fuels (GWh) CO2 Emission Increase (1.6 times) from 2006 to 2015 M CO2-eq Ton Renewables: 4% Nuclear: 30% 300, , LNG: 20% 100, Coal: 40% 수력석탄유류천연가스원자력집단에너지대체에너지 - Source: KEPCO, Korea Electricity Statistics (2016) 10

11 Decrease of Self-Generation in Korea Reliance of Central Power System: Decrease of Commercial Self-Generation in Korean Power System (below 5%) due to Price/Tariff Distortion Capacity and Generation of Commercial Self-Generation 11

12 Denmark: Distributed Power System Case DER-based Distributed Power System Implementation From 1980s Starting Distributed System Implementation (Renewables, Small CHPs) Local Cost Plus Policies for Small CHPs (Community Resources) 12

13 Policies for DERs Promotion: LMP Mechanism in USA Locational Marginal Pricing to Promote DERs in Load-Center 2015 Wholesale Prices (PJM) SMP Mechanism of Korea: Loss(O), Congestion(ⅹ) LMP Mechanism of USA: Loss(O), Congestion(O) 13

14 Policies for DERs Promotion: Transmission Pricing in UK Locational Differences in Transmission Price (UK Case) Generation Zones

15 Policies for DERs Promotion: Self-Generation in Japan Electricity Tariff and Self-Generation Policy in Japan Cost-based Electricity Tariff & EE Policy in Japan (Industry) Role of Self-Generation after Fukushima - Climate Change (26% CO2 Reduction in 2030 compared to 2013) Generation Mix Nuclear: 20%-22%, Coal: 26%, LNG: 27%, Oil 3%, Renewables 22%-24% 15

16 Policies for DERs Promotion: Self-Generation in California Self-Generation Incentive Program (SGIP) in California Rebates for Qualifying DERs in the Customer's Side Wind turbines, Waste Heat to Power, Pressure Reduction Turbines, IC Engines, Micro-turbines, Gas Turbines, Fuel Cells, and Advanced ESSs Budget through 2019: $567 Million Players: CPUC, Utility, Customer, Developer, M&E Provider, etc 16

17 Innovative Renewable Trading in Energy 4.0 (P2P) - 1 Piclo P2P Trading Platform: Value-based Renewable Trading Piclo (P2P Renewable Energy Platform) A peer-to-peer energy matching platform for renewables Designed for business customers striving to be visibly sustainable 17

18 Innovative Renewable Trading in Energy 4.0 (P2P) - 2 Nederland Renewable Energy Direct Trading (Vandebron) Shopping (Local) Renewables Directly by One Click 18

19 Innovative Renewable Trading in Energy 4.0 (EU) Renewable Energy Trading Platform through HVDC and Market HVDC (EU Obligation) for Vast Trading Electricity Trading Integration (Finance, Physical) 19

20 AMI & Real(Hourly) Pricing for Residential Customers Example of ComEd s Hourly Pricing Based on AMI Deployment 20

21 Policy for DER Promotion in Korea (1) 2 nd National Energy Basic Plan (2014) (Generation Site) Introduction of Decentralized Concept Define Renewables, Self-Generation, CHPs as DERs Generation Target of DERs in 2035 as 15% 7 th Electricity Supply/Demand Plan Criteria for DERs Voltage Circuit Limit Small 22.9kV 2 Below DERs (D) Circuits 40MW Large 154kV 2 Below DERs (T) Circuits 500MW Generation Target of DERs in 2029 as 12.5% (Renewables 11.7%) 21

22 Suggestion for DERs Promotion Locational Signals for Generators and Loads(DR/EE) in Wholesale/Retail Market or Transmission Pricing (USA) LMP based Locational Signal in Market (UK) Locational Signal in Transmission Pricing (Korea) Weak Signal in Wholesale Market & No signal in Transmission Pricing More Signal Needed for Generators as well as Loads Environmental and Other Benefits to DERs (USA/EU) Credits as RPS, APS, EERS Resources (Korea) No Additional Credit to DERs (Except Renewables) Investment Subsidies, Tax Credits, etc. Needed More Innovative Trading Mechanisms Required such as VPP, P2P, etc. 22

23 Conclusions and Suggestions From Value to Technology From Technology to Value Both Approach is needed for Smart Grid Evolution Balance between Technology Development (Hardware) and System/Market (Software) Power System and Market should Adopt Renewables (Overcome Uncertainty, Increase Flexibility, etc.) Bottom-up (Customer) based DER(Renewable System Implementation) Wholesale and Retail System Evolution Requirements 23