Economic Impact Assessment of using Congestion Management Methods to enable increased Wind Power Integration on Gotland, Sweden
2016 (English)Conference paper (Refereed)
Congestion management methods are useful regulatory mechanisms to prevent transmission capacity problems.This paper intends to assess whether congestion management can be cost-efficiently used to postpone or even avoid network capacity reinforcements while increasing the hosting capacity of wind power on the island of Gotland in Sweden. Two methods,re-dispatch and market splitting, are studied in detail and applied to the Gotland case. A simplified electricity market model using historical data from Gotland was designed to perform the simulations. These methods pass on the cost of lack of transmission capacity to different actors in the electricity market (mainly grid owner for re-dispatch and consumers and producers for market splitting). Simulations indicate however that both methods could be employed to raise the installed production capacity of wind power on Gotland by at least 26 MW above the stated limit of 195 MW without negatively impacting the income of any actor. Moreover, market splitting efficiently reflects the transmission problems on the energy price of Gotland, thus giving economic incentive for flexible power consumption to alleviate the problems.
Place, publisher, year, edition, pages
Vienna, Austria: Wind integration workshop , 2016.
Other Electrical Engineering, Electronic Engineering, Information Engineering
Research subject Electrical Engineering
IdentifiersURN: urn:nbn:se:kth:diva-195712OAI: oai:DiVA.org:kth-195712DiVA: diva2:1045288
International Workshop on Large-Scale Integration of Wind Power into Power Systems as well as on Transmission Networks for Offshore Wind Power Plants
QC 201611092016-11-082016-11-082017-01-09Bibliographically approved