Grid Challenges with Increased Renewables

Experience from 50Hertz Transmission GmbH,

Tokyo, October 5th, 2016 Dr. Johannes Henkel, Head of Energy Market Development The Transmission System Operator 50Hertz

2015 Hamburg Berlin Area 109.589 km² (~31%)

10.150 km Total length of lines (~30%) ~ 16 GW Maximum load (~20%) Energy consumption ~ 96 TWh (based on supplied to end- consumers in acc. With the EEG) (~20%)

Installed capacity: 50.528 MW (~27%) - of which Renewables 26.975 MW (~30%) - of which Wind 16.107 MW (~39%)

Workforce 955

Turnover 9,8 bn. € - of which grid 1,4 bn. €

Johannes Henkel / 50Hertz Transmission / Grid Challenges with Increased Renewables Elia Grid International – A frontrunner going global

Successful projects as an example:

. Strategic Asset Management Implementation

. Grid development and network studies

. Renewables integration with utility

Johannes Henkel / 50Hertz Transmission / Grid Challenges with Increased Renewables Transmission grids are the technical backbone of the energy supply in Germany and in Europe

In charge of operation, maintenance and the development of Owner of the extra-high-voltage lines and power junctions (substations) transmission grid as well as for the connection of large-scale generators and consumers (including offshore)

Responsible for system stability of the transmission system System operator around the clock: frequency control and voltage regulation, congestion management.

Catalyst for the development of the energy market, Market developer especially in Northern and Central-Eastern Europe.

„Trustee“ for Responsible for managing cash flows resulting from the managing EEG* Renewable Energy Law (EEG) cash flows

Source: 50Hertz * German Renewable Energy Law

Johannes Henkel / 50Hertz Transmission / Grid Challenges with Increased Renewables Agenda

1 Introduction

2 Grid Congestion and Congestion Management Processes

3 Activities within the WindNODE project

Johannes Henkel / 50Hertz Transmission / Grid Challenges with Increased Renewables Expansion of RES in Germany

2000 2006 2015

~ 30,000 plants >200.000 plants >1.500.000 plants wind

photovoltaics Area proportional to installed capacity

biomass Source: 50Hertz, TenneT, , TransnetBW, Google Earth

Johannes Henkel / 50Hertz Transmission / Grid Challenges with Increased Renewables Agenda

1 Introduction

2 Grid Congestion and Congestion Management Processes

3 Activities within the WindNODE project

Johannes Henkel / 50Hertz Transmission / Grid Challenges with Increased Renewables Grid Congestion and Redispatch

Grid Congestion Redispatch

35,000 30,000 25,000 Reduce PP 20,000 output 15,000 10,000 Grid 5,000 congestion 0

2015

Increase PP Redispatch, Wind, Curtailment in MW output Power Plants relevant for Redispatch Wind feed-in  Grid Reserve Redispatch  PP not allowed to be taken from grid Source: Scenario calculation RES Curtailment IAEW, RWTH Aachen 2013

Johannes Henkel / 50Hertz Transmission / Grid Challenges with Increased Renewables RES growth requires an adaptation of the transmission grid infrastructure Existing extra-high voltage lines from North to South Germany are By approx. overloaded – this leads to high re- 2025: ~ 25 GW dispatch costs. ~ 20 GW Further aggravation of the problem:

Increasing Wind power generation increases in transport need the North. Due to the nuclear phase- (approx. 25 GW) out, output in the South will drop by about 8 GW.

According to current forecasts in 2025 there will be transport capacities of just 12 GW.

Grid adaptation is key to successfully implement the energy transition

Johannes Henkel / 50Hertz Transmission / Grid Challenges with Increased Renewables 50Hertz counter-measures to master unplanned load flows through the grid

Re-dispatch Phase shifters Grid extension („virtual PST“) (physical PST)

- Reduces system-security- relevant flows - Grants security of the whole - The challenge is to grant - Reduces system-security- electricity system efficiency and cost relevant flows - Paves the way for an effectiveness - Requires major investments integrated European market

Short-term Mid-term Long-term

Johannes Henkel / 50Hertz Transmission / Grid Challenges with Increased Renewables Transporting the energy: Congestion Management Interventions to avoid overload of lines

25

20TWh 4 15 Germany Wind Curtailment 10 Germany Redispatch 16 2 0 5 1 5 5 3 - 2012 2013 2014 2015

. In 2015, remedial actions to relieve grid congestion reached an all-time high of almost 20 TWh, amounting to costs of over 800 Mio. € . Grid extension is urgently needed, but delayed due to political changes

Johannes Henkel / 50Hertz Transmission / Grid Challenges with Increased Renewables Regulation on congestion management – number of words in §13 German Energy Market Law

10000

9000

8000

7000

congestion 6000

on on

5000 words

4000

management

of

3000

2000 Number 1000

0 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

Johannes Henkel / 50Hertz Transmission / Grid Challenges with Increased Renewables Redispatch – the ERRP process

 Power Plants >10 MW have to send their planned production as well as their redispatch potential (RDV+ / RDV-) for the day-ahead to the TSOs

 Day-Ahead process: Planned generation has to be sent to the TSO until 2:30 pm

 Intraday process: Information about significant changes in planned generation has to be sent out immediately

TSOs always know the redispatch potential in their control zone

Johannes Henkel / 50Hertz Transmission / Grid Challenges with Increased Renewables Redispatch: Action Options in time

Load and RES feed-in forecast  Forecast error decreases

Morning Afternoon Evening t-1h until Option t-4h D-1 D-1 D-1 realtime

Slow Reserve PP

Start/Stop of PP

Shift of Control Power

Change in PP output („working point“) Start/Stop of PP (as emergency measure)

Curtailment of RES

Johannes Henkel / 50Hertz Transmission / Grid Challenges with Increased Renewables 4 TSO process for congestion management

• Week-Ahead-Planning Process Day-Ahead • Use of reserve power plants, planning of forced start-up of market 08-11h WAPP power plants

• 4-TSO Planning of preventive Redispatch measures Day-Ahead pRD • Includes starting/stopping blocks and large shifts in power plant part 16-18h (New!) • Day-Ahead Congestion Forecast • Only singular measures, no global optimisation possible Day-Ahead DACF 20-22h • Insufficient lead time for changes > 1 GW

• Intraday Congestion Forecast t-4h IDCF (international, TSC Transmission Security Cooperation)

• Curative Redispatch approx. t-2h Cura- • RES curtailment tive

Johannes Henkel / 50Hertz Transmission / Grid Challenges with Increased Renewables Agenda

1 Introduction

2 Grid Congestion and Congestion Management Processes

3 Activities within the WindNODE project

Johannes Henkel / 50Hertz Transmission / Grid Challenges with Increased Renewables WindNODE Flexibility Platform

Market 1 „reduce generation / increase load“

Bid Ask TSO 1 Battery TSO 2 Electric Vehicle Power-to-heat (…)

Market 2 „increase generation / reduce load“ Bid Ask TSO 3 Emergency power generator Battery Flexible load (…)

Integration of “small” flexibility knowing its location in the grid

Johannes Henkel / 50Hertz Transmission / Grid Challenges with Increased Renewables Participants in the WindNODE project

Johannes Henkel / 50Hertz Transmission / Grid Challenges with Increased Renewables Conclusions

. Strong and fast changes in generation require changes in grid infrastructure . In the strongly meshed European power system, neighbouring countries can help in order to facilitate grid integration of RES . Secure grid operation in times of high RES feed-in requires clear short-term redispatch processes . Required technological options imply . new transmission lines (long term solution) . phase shift transformers in order to control unscheduled flows (short term solution)

Grid integration of high shares of RES requires new technology as well as adequate and flexible processes

Johannes Henkel / 50Hertz Transmission / Grid Challenges with Increased Renewables Thank you for your attention!

Dr. Johannes Henkel

50Hertz Transmission GmbH Heidestr. 2 10557 Berlin

+4930 5150 2650 [email protected] www.50hertz.com

Ultra-short term volatility Grid Situation Sunday, 2016/08/28 Wind-Forecast Balancing demand 50Hertz t-1h t-2h 6000 t-0h 2500 5000MW 1500MW 1,9 4000 GW 500 3000 t-8h -500 2000

1000 -1500

0 -2500 14:45 16:45 18:45 20:45 22:45 15:00 18:00 21:00 0:00

. The system must be able to handle major forecast errors within 60 minutes

Johannes Henkel / 50Hertz Transmission / Grid Challenges with Increased Renewables