Bridging the scales: A conceptual model for coordinated expansion of renewable power generation, transmission and storage

Abstract

To analyze the challenge of large-scale integration of renewables during the next decades, we present a conceptual power system model that bridges the gap between long term investment allocation and short-term system operation decisions. It integrates dynamic investments in generation, transmission and storage capacities as well as short-term variability and spatial distribution of supply and demand in a single intertemporal optimization framework. Large-scale grid topology, power flow distributions and storage requirements are determined endogenously. Results obtained with a three region model application indicate that adequate and timely investments in transmission and storage capacities are of great importance. Delaying these investments, which are less costly than investments in generation capacities, leads to system-wide indirect effects, such as non-optimal siting of renewable generation capacities, decreasing generation shares of renewables, increasing residual emissions and hence higher overall costs.