Effect of Future Distributed Energy Resources Penetration Levels on a Local Electricity Market

Local electricity markets are likely to be implemented in future distribution grids to deal with the increase of various distributed energy resources. However, the number and type of distributed energy resources connected to the grid will probably increase and change even after implementing such a market, potentially creating a situation where a local electricity market initially operates satisfactorily but is unsatisfactory in a future scenario. Therefore, this paper aims to determine if there are future scenarios of distributed energy resource penetration in which a local congestion pricing market functions unsatisfactory by increasing the penetration levels of electric vehicles and photovoltaic panels. It was found that future scenarios of distributed energy resource penetration exist wherein market participants are limited too often and price increases become too high. Increasing device flexibility, upgrading grid components, and implementing additional market components are given as possible solution

Challenges for large-scale Local Electricity Market implementation reviewed from the stakeholder perspective

Research simulations and real-life pilots tested many different Local Electricity Market (LEM) applications and methods and have demonstrated that LEMs can solve problems in the distribution grid caused by the energy transition while allowing broader market participation. Significant progress on LEM development has been made, but challenges could nonetheless exist between LEM research and large-scale implementation. Simulations and pilots occur in controlled environments and can, therefore, ignore LEM stakeholder requirements, making it likely that there are still challenges between LEM research and large-scale implementation. It is, therefore, essential to look at challenges between LEM research and implementation from the stakeholder's perspective while considering all requirements. This study aims to find the existing challenges between LEM research and large-scale implementation by first determining the stakeholders of LEMs and their requirements for LEM implementation. Next, using these requirements to find state-of-the-art literature on LEMs to create an overview of these studies. Finally, to find existing challenges between LEM research and implementation, the LEMs in the overview are analyzed and compared to the stakeholder requirements and power system and market aspects four separate times. The necessity of using a local energy market framework with a clearly defined market system, the lack of clear responsibilities for and fairness of subsequent settlement of deviations, the absence of consideration for data privacy and the reduced LEM effectiveness due to human decisions were determined to be challenges that currently stand between LEM research and large-scale LEM implementation

The State of the Art in Local Energy Markets: A Comparative Review

System operators are facing a significant challenge with the increasing number of distributed energy resources (DER) in the distribution grid. Local energy markets (LEM) are a solution to this challenge as these allow system operators to use DERs for alleviating grid congestions and aiding with supply-demand balancing. Continuously, studies on how to improve the capabilities of LEMs are conducted around the world. Inevitably causing differences in methodology and, possibly, missed opportunities. Therefore, in this paper, a comparative overview is given of state-of-the-art literature by classifying literature on four properties (transactivity, inclusivity, congestion management, and balancing) of LEMs. The goal is to observe the current progress of state-of-the-art studies on LEMs, align these studies, and give recommendations on structuring future LEM research. The recommendations found are the use of a standardized underlying structure, or framework, such that LEMs with different properties are compatible and work together if combined, the creation of a benchmark such that performance of LEMs is easy to compare, and considering the settlement problem of lacking reference profiles

Modeling a Domestic All-Electric Air-Water Heat-Pump System for Discrete-Time Simulations

Heat pumps are expected to significantly affect future distribution grids, necessitating their inclusion in future distribution grid research. This research will include discrete-time simulations, which will require time-step adaptable and detailed models of heat pumps. These models exist, but often with simplified heat demands and constant or inflexible coefficients of performance, making them less accurate. In this work, a heat pump model is developed for discrete-time simulations with varying weather conditions, operating set-points, and an accurate coefficient of performance. The model produces realistic yearly heat demands, coefficients of performance, and power consumption