Dynamic planning of Power-to-Gas integrated energy hub considering demand response programs and future market conditions

Abstract

Power-to-gas (P2G) technology and renewable energy are widely developed and are at the edge of a mass roll-out. Still, regulatory and economic barriers are the foremost challenge facing P2G technology and renewable energy. This paper investigates the economic and technical feasibility of designing P2G within the energy hub systems under future market conditions. The design of the P2G integrated energy hub (P2G-EH) system is performed with a stochastic dynamic planning method. The proposed planning method is divided into several sub-horizon times, and the optimal size of the system components is determined in each sub-horizons. The proposed P2G system is equipped with a carbon capture unit recovering CO2 emissions from the flue gases of the boiler and combined heat and power system (CHP). In the planning problem, the reliability constraint is considered to evaluate the quality of supplying loads. Moreover, system uncertainty parameters are modeled through the scenario-based stochastic method. The obtained results exhibit that the P2G system has positive effects on mitigating emissions by about 17.7 %, reducing operating costs by 14.6 %, and improving the reliability of thermal loads. With the future expected development of components' capital costs, the P2G system can become a profitable case for integration with the energy hub system. In addition, the implementation of the demand response programs (DRPs) besides the P2G system has a beneficial impact on system performance and reduces the operation and investment costs of the P2G-EH system by 4 % and 24 %, respectively.