Can the dream of 100% renewable energy be a reality? - Mr. Ken Dragoon (Securing Asia 2015)

1. Ken Dragoon
k.dragoon@flinkenergy.com
June 2015
Can the dream of 100% renewable
energy be a reality?
Power System Flexibility Strategic Roadmap
www.flinkenergy.com

2. Not Just a Dream!
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3. Flexibility Strategic Roadmap
3
Report on transforming power
systems of today to power
systems deriving most or all of
their energy from variable
renewable energy sources (VRES).
• Draft being revised per Advisory Panel
comments.
• Funding from European Copper
Institute.
Available from: http://www.leonardo-
energy.org/white-paper/power-system-
flexibility-strategic-roadmap
Power System Flexibility Strategic
Roadmap
Preparing power systems to supply reliable power
from variable energy resources
!!

4. Three Main Challenges
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• Depending primarily on renewable resources requires the ability to:
1. Adjust demand and supply rapidly enough to maintain stable and
reliable service.
2. Fill in during times of low renewable output
3. Absorb energy in a useful way in the more frequent and intensive times
of abundance
• Flexibility is the ability of a power system to maintain reliable service
under potentially rapidly changing supply and demand conditions.
Wind in BPA’s system
Wind
Thermal

5. Why a 100% VRES power system scenario?
• VRES become competitive, and are
gaining a central role in future
scenarios
• Relying on energy from VRES will
require transforming the way power
systems are planned and operated.
• The “end game” scenario serves as a
basis for understanding the
challenges
• Flexibility is key to enabling this
transition-- First step is making more
efficient use of what we already
have.
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6. Seven Keys to Power System Flexibility
1. Exploit flexibility and energy storage
inherent in demand (prosumers)
2. Enable liquid, expanded and close-to-
real-time power markets
3. Control VRES generators to provide grid
support services
4. Institute price incentives or mechanisms
that reflect the value of both flexibility
and the diversity-related benefits in the
development variable resources.
5. Deploy bulk energy storage to cover
longer periods (weeks to months) of low
renewable energy supply.
6. Develop smart grids for coordination of
flexible resources across voltage levels
7. Establish new electric energy uses to
capitalize on the surplus energy events
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100% VRES
Power
System
1. DSM
2. Power
Markets
3. VRES
control
4.
Resource
Diversity
5. Energy
Storage
6. Smart
Grid
7.
Surplus
Energy

7. Primary Energy Storage Electric Energy Storage
Broader View of Grid Energy Storage
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8. Three Part Transformation
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Near Term Long TermNear Term
10%
50%
100%
- Enhance markets
- Review grid codes
- DSM demos
- Establish RE development
Zones (REZs)
- Plan phase out of inflexible
resources.
- Market reform: shorter trading periods,
ancillary services markets, market
consolidation, DSM and DER participation,
reflect incidents of low wholesale prices at
retail level.
- Greater coordination and optimization at
distribution level.
- Renewables provide ancillary services
- Transmission and distribution system coordination,
dynamic transmission path ratings, strategic
transmission expansion to REZs
- Strategic energy storage investments and
improved valuation techniques
- Begin phase out of inflexible units
- Implement large scale use of
surplus electric generation
- Grid support transition from
conventional generation to VRES,
demand resources and storage
- Implement non-fossil fuels to conventional
resources or long-term storage options to
bridge period of low VRES energy supply
- Implement solutions for stable
system operation with reduced
share of synchronous generators
Penetrationlevel

9. Roadmap summary
• Depending primarily on variable resources
is technically feasible, and actions need to
be taken to minimize costs.
• Transformation in three parts:
1. Near Term, lower penetration levels in which integration costs can
be minimized with relatively modest changes to existing practices.
2. Mid Term, higher penetration levels, characterized by exploiting
the system's available flexibility and storage on both the
production and consumption sides-- making more efficient use of
surplus energy.
3. Long Term, highest penetration levels, characterized by a system
where markets are dominated by storage and flexibility services
and where bulk energy storage and efficient use of surplus energy
become primary focuses.
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10. Next Steps
• Finalizing paper, addressing issues raised by
advisory panel.
• Publicize the report to planners and policy
makers interested in increasing role of variable
renewable resources in their power systems.
• Research market for flexibility tracker to rate
power system’s progress toward achieving the
needed flexibility.
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11. Thank You!
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Audi Methane Production Plant

12. Key flexibility challenges
Near-term
Regime
Integrating low
VRES levels
Reserve requirements
Distribution networks
start hosting DER
Integrate DG
Mid-term
Regime
Penetration in
the 50% range
Market incentives and
harnessing flexibility
Demand side flexibility
Managing distribution
networks
Transmission network
changes
Market and system
operation changes
Energy storage
Long-term
Regime
Very high
penetrations
Supplying Power
During Low-Availability
Periods
Efficient Use of High-
Availability Period
Energy
Stable Operation with
Non-synchronous
Generation
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13. Flexibility Roadmap
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WHY?
Introduction
and Purpose
VISION
Power
System
Flexibility
Vision
CHALLENGES
Key
Flexibility
Challenges
ACTIONS
Policy and
Institutional
Frameworks
ROADMAP
SUMMARY