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The role of thermal storage and natural gas in a smart energy system

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In this paper, the authors highlight the economic importance of the thermal storage tank, which requires a thermal capacity of two to three times the hourly thermal power output of the CHP to optimize electric power production and limit thermal losses.
Abstract
Smart grids are considered important building blocks of a future energy system that facilitates integration of massive distributed energy resources like gas-fired cogeneration (CHP). The latter produces thermal and electric power together and as such reinforces the interaction between the gas and electricity-distribution systems. Thermal storage makes up the key-source of flexibility that allows decoupling the electricity production from the heat demand. However, smart grids focus on electricity, often disregarding the role of gas and thermal storage in overall smart energy systems. We find that the technical impact of a massive introduction of CHP on the gas-distribution network is limited in most cases, even providing opportunities to free up capacity. Taking the consumer's viewpoint, we highlight the economic importance of the thermal storage tank, which requires a thermal capacity of two to three times the hourly thermal power output of the CHP to optimize electric power production and limit thermal losses. Further increasing the storage tank size can increase the gas-distribution capacity that can be marketed by the distribution system operator, but practical constraints in terms of dedicated land area have to be considered as well.

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ROBERT SCHUMAN CENTRE FOR ADVANCED STUDIES
Jeroen Vandewalle, Nico Keyaerts and William D'haeseleer
THE ROLE OF THERMAL STORAGE AND NATURAL GAS IN
A SMART ENERGY SYSTEM
EUI Working Papers
RSCAS 2012/48
ROBERT SCHUMAN CENTRE FOR ADVANCED STUDIES
Loyola de Palacio Programme on Energy Policy


EUROPEAN UNIVERSITY INSTITUTE, FLORENCE
ROBERT SCHUMAN CENTRE FOR ADVANCED STUDIES
LOYOLA DE PALACIO PROGRAMME ON ENERGY POLICY
The Role of Thermal Storage and Natural Gas in a Smart Energy System
JEROEN VANDEWALLE, NICO KEYAERTS AND WILLIAM D'HAESELEER
EUI Working Paper RSCAS 2012/48

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ISSN 1028-3625
© 2012 Jeroen Vandewalle, Nico Keyaerts and William D'haeseleer
Printed in Italy, September 2012
European University Institute
Badia Fiesolana
I 50014 San Domenico di Fiesole (FI)
Italy
www.eui.eu/RSCAS/Publications/
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Robert Schuman Centre for Advanced Studies
The Robert Schuman Centre for Advanced Studies (RSCAS), created in 1992 and directed by Stefano
Bartolini since September 2006, aims to develop inter-disciplinary and comparative research and to
promote work on the major issues facing the process of integration and European society.
The Centre is home to a large post-doctoral programme and hosts major research programmes and
projects, and a range of working groups and ad hoc initiatives. The research agenda is organised
around a set of core themes and is continuously evolving, reflecting the changing agenda of European
integration and the expanding membership of the European Union.
Details of the research of the Centre can be found on:
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Research publications take the form of Working Papers, Policy Papers, Distinguished Lectures and
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The EUI and the RSCAS are not responsible for the opinion expressed by the author(s).
Loyola de Palacio Energy Policy Chair
The Loyola de Palacio Energy Policy Chair was created in October 2008 at the RSCAS in honour of
Loyola de Palacio, former Vice President of the European Commission and Commissioner for Energy
and Transportation in the Prodi Commission. It promotes research in the area of energy policy. It is
funded by contributions from donors. Professor Jean-Michel Glachant is the holder of the Chair.
The Chair focuses on the fields of energy economics, law, regulation, as well as geo-politics. It
addresses topics such as the achievement of the EU internal energy market; sustainable energy
systems and the environment; energy security of supply; the EU model of energy regulation; the EU
energy competition policy; the EU policy towards carbon free energy systems in 2050.
The series of working papers aims at disseminating the work of academics on the above-mentioned
energy policy issues.
For further information
Loyola de Palacio Energy Policy Chair
Nicole Ahner (scientific coordinator)
Email contact: Nicole.Ahner@eui.eu
Robert Schuman Centre for Advanced Studies
European University Institute
Via delle Fontanelle, 19
I-50016 San Domenico di Fiesole (FI)
Fax: +39055 4685755
http://www.loyola-de-palacio-chair.eu

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References
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Journal ArticleDOI

The impact of the implementation of cogeneration in a given energetic context

TL;DR: In this article, a dynamic method based on simulation of scenarios is proposed to evaluate the value of cogeneration in the industrial and commercial sectors, where the heat demand is only present during a limited period of time.
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The role of natural gas in smart grids

TL;DR: The PowerMatching City as discussed by the authors is a living lab smart grid demonstration that shows the feasibility of a market based smart grid optimization methodology that allows simultaneous optimization of multiple goals of the various stakeholders in a smart grid: in-home optimization, commercial optimization (VPP operation), congestion management and integration and valorization of renewable energy.
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Regulatory Instruments for Deployment of Clean Energy Technologies

TL;DR: In this paper, the authors discuss the preferred approaches to foster low-carbon energy technologies from a regulatory point of view and discuss the regulatory instruments that will be needed for the deployment of enhancements to electricity grids and the associated control systems so that they are able to integrate intelligent demand response, distributed generation and storage in an efficient, reliable and environmentally responsible manner.
Related Papers (5)
Frequently Asked Questions (17)
Q1. What are the contributions mentioned in the paper "The role of thermal storage and natural gas in a smart energy system" ?

Vandewalle et al. this paper showed that the technical impact of a massive introduction of cogeneration on the gas-distribution network is limited in most cases, even providing opportunities to free up capacity. 

Future work will include the analysis of how to determine the local effects in the gas distribution network. 

Increasing the storage size beyond an RSC of 2.3 further decreases the gas demand peak, creating the opportunity to free up capacity in the gas distribution network. 

In general, the average gas demand is expected to increase with a rising penetration level of CHP, potentially leading to physically congested pipelines. 

the impact depends on the exact gas demand of the CHPs, and these depend on the use of thermal storage and the interaction between the gas and electricity distribution systems. 

It can be concluded that, for their cases and assumptions considered, a massive introduction of CHP would not lead to general technical problems, as long as the thermal storage tanks have a capacity of two or more times the hourly thermal output of the CHP. 

The term adapted annual gas cost is used here because the revenues from the produced electricity are subtracted from theannual gas bill. 

smart grids focus on electricity, often disregarding the role of gas and thermal storage in overall smart energy systems. 

This work was partly funded by the research project on ‘local intelligent networks and energy active regions’ (LINEAR)supported by the Flemish agency for innovation through science and technology (IWT). 

contrary to most renewable DER, CHP is a dispatchable source of electric power because of the continuous availability of gas as its fuel. 

Equation (2) describes the heat balance: for every hour t, the heat demand (kWh/h) must be met either by the boiler, the CHP or the storage tank. 

Besides studying the technical impact on the gas distribution network, the economic rationale of the customer to use CHP should be investigated as that analysis sheds light on how the gas demand can look like if the role of thermal storage is taken into account. 

4. For some heat demand profiles, a RSC of 2.3 is not sufficient to keep the CHP running all night; a higher RSC value would therefore be needed. 

It can also be noted in Fig. 4. that the line for 100 L shows a fallback of gas demand by night because the buffer is not large enough to store enough heat from the CHP to keep it on all night. 

The actual peak increase is case dependent— that is why Fig. 6 is not a smooth curve—but in general, it decreases with increasing relative storageJeroen Vandewalle, Nico Keyaerts and William D'haeseleer8capacity, even when an RSC of 2.3 is exceeded, up to an RSC of 7. 

The natural gas distribution network is represented by a hypothetical model, disregarding the pressure losses and the location of the consumers in the network. 

Increasing the buffer size beyond the optimal value is also be sub-optimal for the customer due to the extra thermal losses of the tank.