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Activity T1.3 | Deliverable T1.3.1 WP T1 | ACTIVITY T1.3 | DELIVERABLE T1.3.1 REPORT ON THE POSSIBILITIES TO INCREASE THE RES-BASE AT EACH OF THE THREE CVPP PARTNER RESPONSIBLE: FOUNDATION SUSTAINABLE PROJECTS LOENEN 28-12-2018 Community-based Virtual Power Plant, NWE 588 Project number: NWE 588 Project acronym: cVPP Project full title: Community-based Virtual Power Plant (cVPP): a novel model of radical decarbonisation based on empowerment of low-carbon community driven energy initiatives Project start date: 20-Sep-2017 (36 months) Project end date: 19-Sep-2020 Work Package: WP T1 Conceptualisation of a transnational cVPP Deliverable No: T1.3.1 Due date: November 2018 Submission date: 28-12-2018 WP Leader: Foundation Sustainable Projects Loenen (DPL) Partners involved: Foundation Sustainable Projects Loenen (DPL), Eindhoven University of Technology (TU/e), Tipperary Energy Agency (TEA), EnerGent Version: 1.0 Authors: André Zeijseink, René van Egmond (Translyse B.V.), Jasper Kroondijk, Astrid van Sprang, Stefan Nellen, Marcel de Nes-Koedam (Qirion B.V) 2 Community-based Virtual Power Plant, NWE 588 Table of Contents 1 Introduction ...................................................................................................................................... 5 2 Types and characteristics of Renewable Energy Sources ............................................................. 6 2.1 Types of RES ............................................................................................................................................ 6 2.1.1 Solar energy .................................................................................................................................... 6 2.1.1.1 Solar to Electrical: photovoltaics .................................................................................................. 7 2.1.1.2 Concentrating solar power ........................................................................................................... 8 2.1.1.3 Solar thermal panels ...................................................................................................................... 9 2.1.2 Wind ................................................................................................................................................. 9 2.1.2.1 Large versus small wind turbines .............................................................................................. 11 2.1.3 Hydro ............................................................................................................................................. 12 2.1.4 Biomass/biogas and Energy from Waste .................................................................................. 12 2.1.5 Other RES ...................................................................................................................................... 13 2.1.5.1 Wave to Electrical ......................................................................................................................... 13 2.1.5.2 Tidal to Electrical: barrages and tidal current energy ............................................................. 13 2.1.5.3 Geothermal to Electrical and Thermal: geothermal power plants ........................................ 14 2.1.5.4 Other energy sources (non-nuclear) ......................................................................................... 14 2.1.5.6 Conclusions ................................................................................................................................... 15 2.2 Characteristics of RES .......................................................................................................................... 15 2.2.1 Availability ..................................................................................................................................... 15 2.2.2 Deploy ability/dispatchability ..................................................................................................... 16 2.2.3 Applications/applicability ............................................................................................................ 16 2.2.4 Levelized cost of electricity ......................................................................................................... 17 2.2.4.1 LCOE calculator ............................................................................................................................ 17 2.3 Latest developments in main RES-technologies .............................................................................. 18 2.3.1 Outlook of PV ................................................................................................................................ 18 2.3.2 Wind Outlook ................................................................................................................................ 19 2.3.3 Biomass ......................................................................................................................................... 19 3 Investment considerations ............................................................................................................ 21 3.1 Cost trends ............................................................................................................................................ 21 3.2 Scale effects ........................................................................................................................................... 23 3 Community-based Virtual Power Plant, NWE 588 3.3 Operational costs ................................................................................................................................. 24 3.3.1 Maintenance ................................................................................................................................. 24 3.3.2 Operation ...................................................................................................................................... 25 3.4 Network cost considerations .............................................................................................................. 26 3.4.1 Network costs ............................................................................................................................... 26 3.4.2 Potential network issues, connection constraints/possibilities ............................................. 29 3.4.2.1 Network challenges/issues ......................................................................................................... 29 3.4.2.2 Possibilities.................................................................................................................................... 31 3.5 Financing ................................................................................................................................................ 31 3.5.1 Financing schemes ....................................................................................................................... 31 3.5.2 Subsidy schemes available ......................................................................................................... 32 3.6 Procurement process .......................................................................................................................... 33 3.6.1 Specifications/quality requirements.......................................................................................... 33 3.6.2 Possibilities for joint procurement ............................................................................................ 34 4 Electricity prices .............................................................................................................................. 35 4.1 Price developments.............................................................................................................................. 35 4.2 Scenario thinking / sensitivity analysis .............................................................................................. 35 4.2.1 Decentralized Renewable Energy .............................................................................................. 36 4.2.2 Energy Diversity ............................................................................................................................ 36 4.2.3 Economical focus ......................................................................................................................... 37 4.2.4 Stagnant transition ...................................................................................................................... 38 4.3 Feasibility of types of Renewable Energy Sources (RES) ................................................................. 38 5 Risks ................................................................................................................................................. 40 5.1 Types of risks ........................................................................................................................................ 40 5.2 Impacts of risk ....................................................................................................................................... 43 6 Conclusions...................................................................................................................................... 44 7 References ....................................................................................................................................... 45 4 Community-based Virtual Power Plant, NWE 588 1 INTRODUCTION This specific report
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