Thermal Energy Market Research Articles

Enhancing Resilience and Efficiency in Power System: A Five‐Level Dynamic Planning Model

Researchers consider the planning of power systems to be of utmost importance, and due to its significant budget, further studies on the resilience of energy systems are necessary. Therefore, a five‐level dynamic model is developed to improve resilience to natural disaster events. The initial level focuses on expansion planning and system uncertainties, specifically examining the utilization of wind turbines in the proposed energy hub to incorporate the thermal energy market together with demand response program. Its purposes are to improve resilience, minimize input transmission costs, and minimize operating costs. The second level is related to the corrective actions that the system operator should take after the accident for network reconfiguration. The earthquake‐induced and attack events, considering unknown events, are modeled and assessed in the third level. Generation expansion planning is performed at the fourth level. As with the whole model, this level tries to improve resilience. The fifth level deals with transmission expansion planning to boost resilience, and the capability of transmission switching is regarded as a low‐cost correction factor. The first level optimizes energy hub according to the differential evolutionary algorithm, but the next four levels employ a robust symphony orchestra search algorithm. Finally, the dynamic planning model proposed here is employed on a Garvers 6‐bus system and then on a 400 kV 52‐bus Iranian power grid. According to the findings, the proposed planning model demonstrates a reduction in capital costs of transmission switches by up to 26%. Also, the expected profit of the generation units increases by as much as 3.75%. Accordingly, the results show that the model is both feasible and effective.

Аналіз сонячного промислового теплопостачання

The future of Ukraine is only impossible without integration into the European community, including in the fight against climate change. It is possible to make the production of thermal energy more environmentally friendly thanks to the introduction of solar technologies. Solar thermal technologies are necessary for the decarbonization of the industrial sector. Information from open sources on the state and prospects for the development of solar industrial heat supply systems in the world has been analyzed. Analysis of the development of solar heat and steam production for industry in the world has shown that the solar thermal energy market is currently in an early stage of development, but it is actively developing and many projects will be commissioned in the near future. Specific investment costs and economy of solar industrial heat supply systems of various capacities are determined. The average weighted cost of thermal energy for the life cycle is used as a criterion of economy in world practice. Specific investment costs for installing solar systems are significantly reduced when their thermal power is increased. Approximate dependences of average specific investment costs on thermal power were obtained. The specific investment costs of installation and the number of hours of operation significant impact on the average cost of solar heat and steam production for industry. Approximate dependences of the average cost of heat on thermal power at different discount rates and at different power on discount rates were obtained. In Ukraine, it is possible to organize the supply of industry with heat and hot water from the use of solar technologies in a short period of time. A promising direction is the use of solar heat supply systems in combination with other thermal energy sources. Keywords: thermal energy; industrial heat supply, powerful solar systems, investment costs, cost of thermal energy.

The Russian Heat Supply: Problems and Solutions

ABSTRACT In Russia, two-thirds of the heat supply industry is located in harsh climatic conditions. This is also the most important public industry of the economy and largely determines the country’s energy security. Many problems have accumulated during the reform of the heat supply industry, which are connected with the technological, organizational, and economic problems of the electricity industry. This is primarily due to the lack of mechanisms to manage the industry’s functions and development. The target model of the thermal energy market adopted by the Russian government has not eliminated these problems but further aggravates the situation. To change the current situation, it is necessary to organizationally transform the retail electricity and thermal energy markets, change the relationship between the suppliers and consumers of thermal energy, introduce a tariff-based system founded on market principles, and implement the use of new technologies. This will ensure technological transformation and improve the reliability and availability of the heat supply. To achieve this will require the development and adoption of the appropriate legislative and regulatory measures.

The Supply of Heat to Consumers Under Market Conditions: Current State and Developmental Trends

ABSTRACT The article discusses several models and methods for managing the supply of heat to consumers inside a market economy. The main organizational forms of heating systems are described via the models of a “unified heat supply organization” and a “single buyer,” which can be implemented in the population centers of the Russian Federation. We offer an analysis of various types of competition in the thermal energy market and describe the effects that can be achieved when they are implemented. Based on the example of Russia’s large district heating systems, we show the negative consequences resulting from the introduction of the “alternative boiler plant” method, which is a new target model for the Russian thermal energy market.

A three-level framework for strategic participation of aggregated electric vehicle-owning households in local electricity and thermal energy markets

The impact of electric vehicles (EV) charging strategy will not be limited to power systems as integrated electricity, natural gas and thermal energy systems have become increasingly interconnected. We introduce a three-level framework for the aggregated electric vehicle-owning households (AEVH) to strategically participate in local electricity and thermal energy markets as a price-maker, while considering the strategic behavior of the integrated energy service provider (IESP) in the wholesale electricity market (WEM) also as a price-maker. The AEVH operator forms the first level, while IESP and WEM operators are integrated at the second and third levels, respectively. To solve the three-level problem, the second and third levels are modified as a single-level problem through the Karush–Kuhn–Tucker (KKT) conditions, then the equilibrium point of the resulting single-level problem and the first level is achieved through two-step iterative method. At the first level, the arrival/departure time and daily traveled miles of EV fleets are modeled via stochastic scenarios, while renewable energy production at the second level is dealt with by information gap decision theory (IGDT). Ultimately, different case studies verify that AEVHs can deploy their thermal flexibility together with the smart charging strategy of the EVs to influence the local electricity, thermal energy and even WEM prices. Using the proposed three-level optimization framework reaches the best point of equilibrium between different market players. The outcomes prove the effectiveness of the proposed model. Based on the results, the AEVH can deploy the proposed model to diminish the WEM price by 2.1%, while the local electricity price was dropped by 18.85%. Furthermore, the thermal energy price was reduced by 5.82%, which illustrates that EVs can influence the thermal energy market through the combined heat and power units.

Research on thermal power new energy integration transaction model based on power reform system

Thermal power is the main power supply in China, but it brings serious environmental pollution; The introduction of renewable energy consumption responsibility weight system means that users need to increase the consumption of green power, which has a significant impact on the competitive strategy model of power producers. This paper also uses game model and cooperative game model to analyse the impact of thermal power new energy integration transaction model and market equilibrium point. The results show that the profit of generator under cooperative game is greater than that under competition.

Decentralized multi-agent based energy management of microgrid using reinforcement learning

This paper proposes a multi-agent based decentralized energy management approach in a grid-connected microgrid (MG). The MG comprises of wind and photovoltaic resources, diesel generator, electrical energy storage, and combined heat and power generations to serve electrical and thermal loads at the lower-level of energy management system (EMS). All distributed energy resources (DERs) and customers are modelled as self-interested agents who adopt reinforcement learning to optimize their behaviours and operation costs. Based on this algorithm, agents have the capability to interact with each other in a distributed manner and find the best strategy in competitive environment. At the upper-level of EMS, there is an energy management agent that gathers the information of agents of lower-level and clears the MG electrical and thermal energy market in line with predetermined goals. Utilizing energy availability from different DERs and variety of customers’ consumption patterns, considering uncertainty of renewable generation and load consumption and taking into account technical constraint of DERs are the strengths of the presented framework. Performance of the proposed algorithm is investigated under different conditions of agents learning and using ε-greedy, soft-max and upper confidence bound methods. The simulation results verify efficacy of the proposed approach.

Short-Term Self-Scheduling of Virtual Energy Hub Plant Within Thermal Energy Market

Multicarrier energy systems create new challenges as well as opportunities in future energy systems. One of these challenges is the interaction among multiple energy systems and energy hubs in different energy markets. By the advent of the local thermal energy market in many countries, energy hubs' scheduling becomes more prominent. In this article, a new approach to energy hubs' scheduling is offered, called virtual energy hub (VEH). The proposed concept of the energy hub, which is named as the VEH in this article, is referred to as an architecture based on the energy hub concept beside the proposed self-scheduling approach. The VEH is operated based on the different energy carriers and facilities as well as maximizes its revenue by participating in the various local energy markets. The proposed VEH optimizes its revenue from participating in the electrical and thermal energy markets and by examining both local markets. Participation of a player in the energy markets by using the integrated point of view can be reached to a higher benefit and optimal operation of the facilities in comparison with independent energy systems. In a competitive energy market, a VEH optimizes its self-scheduling problem in order to maximize its benefit considering uncertainties related to renewable resources. To handle the problem under uncertainty, a nonprobabilistic information gap method is implemented in this study. The proposed model enables the VEH to pursue two different strategies concerning uncertainties, namely risk-averse strategy and risk-seeker strategy. For effective participation of the renewable-based VEH plant in the local energy market, a compressed air energy storage unit is used as a solution for the volatility of the wind power generation. Finally, the proposed model is applied to a test case, and the numerical results validate the proposed approach.

Аналіз проблем розвитку атомної, теплової та відновлюваної енергетики в енергосистемі України

In order to research the process of development of the energy systems of Ukraine, the current status and problems of development of nuclear, thermal and renewable energy are analyzed. The global trends in the development of nuclear energy is identified and it is noted that after the short-term decline caused by the accident at the «Fukushima-1» nuclear power plant, a gradual increase in the number of operating reactors has begun. The crisis situation in the nuclear and thermal energy market is outlined. Within the framework of the existing PSO (Public Service Obligation) model, the National nuclear power generating company «Energoatom» suffers significant losses. The limitation of electrical energy production at nuclear power plants in 2020 is an insufficiently grounded measure that will adversely affect the energy security of the country. Shutting down the power units of nuclear plants means that instead of producing energy one begins to consume energy, while a constant duty with ongoing servicing of equipment and maintaining the security systems is required. It is indicated that the coal-fired power plants of Ukraine have already developed their estimated resource and have an extremely low usage rate of installed capacity. In addition, coal-fired power plants in Ukraine are used in maneuvering modes, to cover peak loads, which leads to accelerated wear and tear of equipment and reduces production efficiency. A comparative analysis of the development of renewable energy sources (RES) is carried out and it is proved that the increase in electrical energy production due to RES requires the development of sufficient maneuvering capacities. The current situation indicates that the capacities of HPP and PHES are not sufficient, so at this time coal-fired power plants are used for such purposes, but such a part-time mode of operation leads to further wear and tear of equipment and an increase in emergency situations.

Optimal operation of energy hub system using hybrid stochastic-interval optimization approach

This study proposes a hybrid interval-stochastic framework to create robust programming of energy hub which thermal energy market, thermal demand response program (TDRP) and electrical demand response program (EDRP) are considered to manage flexible energy management in order to reduce operation cost. In the proposed work, deviation cost is added to objective function in addition to average cost as a bi-objective model which weighted sum method is applied to reformulate as a single objective function and optimal Pareto solutions are obtained with varying weight coefficients. Then, a fuzzy satisfying approach is applied to get the trade-off result from Pareto solutions. The proposed model is formulated as mixed-integer linear programming (MIP) model which can be solved using CPLEX solver under GAMS optimization software. The proposed model is applied to a sample energy hub to show the capability of the proposed hybrid interval-stochastic framework. The compared results conclude that the average cost is leisurely raised while deviation cost is severely decreased which leads to obtaining robust scheduling of hub energy system in the uncertain environment. Finally, TDRP and EDRP are implemented to manage peak thermal and electrical demands which lead to reducing the average and deviation costs of the hub energy.

Using the Paratunsky geothermal field to provide heating for Kamchatka

The Paratunsky geothermal field has been in operation since 1964, mostly in a self-flowing mode, with a discharge rate of approximately 250 kg/s of thermal water at temperatures of 70–90°С (47 Mw, with the waste water having a temperature of 35°С). The water drawn from the field is used for local heating, spa heating, and for greeneries in the villages of Paratunsky and Termal’nyi (3000 residents). The potential market of thermal energy in Kamchatka includes Petropavlovsk-Kamchatskii (180000 residents), Elizovo (39 000), and Vilyuchinsk (22 000). The heat consumption in the centralized heating systems for Petropavlovsk-Kamchatskii is 1 623 000 GCal per annum (216 Mw). A thermohydrodynamic model developed previously is used to show that the Paratunsky geothermal reservoir can be operated in a sustainable mode using submersible pumps at an extraction rate of as much as 1375 kg/s, causing a moderate decrease in pressure (by no more than 8 bars) and temperature (by no more than 4°С) in the reservoir. Additional geothermal sources of heat energy may include the Verkhne-Paratunsky and Mutnovsky geothermal fields.

Using the Paratunsky geothermal field to provide heating for Kamchatka

The Paratunsky geothermal field has been in operation since 1964, mostly in a self-flowing mode, with a discharge rate of approximately 250 kg/s of thermal water at temperatures of 70–90°С (47 Mw, with the waste water having a temperature of 35°С). The water drawn from the field is used for local heating, spa heating, and for greeneries in the villages of Paratunsky and Termal’nyi (3000 residents). The potential market of thermal energy in Kamchatka includes Petropavlovsk-Kamchatskii (180000 residents), Elizovo (39 000), and Vilyuchinsk (22 000). The heat consumption in the centralized heating systems for Petropavlovsk-Kamchatskii is 1 623 000 GCal per annum (216 Mw). A thermohydrodynamic model developed previously is used to show that the Paratunsky geothermal reservoir can be operated in a sustainable mode using submersible pumps at an extraction rate of as much as 1375 kg/s, causing a moderate decrease in pressure (by no more than 8 bars) and temperature (by no more than 4°С) in the reservoir. Additional geothermal sources of heat energy may include the Verkhne-Paratunsky and Mutnovsky geothermal fields.

Using the Paratunsky Geothermal Field to Provide Heating for Kamchatka

The Paratunsky geothermal field has been in operation since 1964, mostly in a self-flowing mode, with a discharge rate of approximately 250 kg/s of thermal water at temperatures of 70–90°С (47 Mw, with the waste water having a temperature of 35°С). The water drawn from the field is used for local heating, spa heating, and for greeneries in the villages of Paratunsky and Termal’nyi (3000 residents). The potential market of thermal energy in Kamchatka includes Petropavlovsk-Kamchatskii (180000 residents), Elizovo (39 000), and Vilyuchinsk (22 000). The heat consumption in the centralized heating systems for Petropavlovsk-Kamchatskii is 1 623 000 GCal per annum (216 Mw). A thermohydrodynamic model developed previously is used to show that the Paratunsky geothermal reservoir can be operated in a sustainable mode using submersible pumps at an extraction rate of as much as 1375 kg/s, causing a moderate decrease in pressure (by no more than 8 bars) and temperature (by no more than 4°С) in the reservoir. Additional geothermal sources of heat energy may include the Verkhne-Paratunsky and Mutnovsky geothermal fields.

Risk‐constrained scheduling of solar‐based three state compressed air energy storage with waste thermal recovery unit in the thermal energy market environment

This paper evaluates the self-scheduling problem for solar-based compressed air energy storage (CAES) plant with capability of compression waste thermal energy recovery via information gap decision theory (IGDT) approach. This feature gives the plant the ability to make income through participation in the thermal energy market. Moreover, the proposed plant uses natural gas as input fuel, which makes the system flexible to operate as a simple cycle gas generator when the stored air is drained. The utilisation of renewable energies in spite of many benefits has some challenges to self-scheduling of the solar-based three state CAES plant such as volatility and unpredictability. In addition, the uncertain solar farm generation is modelled by IGDT method. By the proposed IGDT model, the plant can pursue risk-taker and risk-averse strategies to face with different situations related to uncertain parameter. Finally, the numerical results obtained from case studies validate the appropriateness of the proposed approach.

A study of citywide urban residential energy information system for the building energy efficiency management: a cluster model of seven typical cities in China

The lack of empirical data demonstrating the relationship between influencing factors and building energy performance is one of the primary barriers in energy efficiency management. A citywide residential energy information database and the data-based analytical methodology help increase the knowledge about the local real estate situation, explore energy efficiency opportunities and measures, financial investment, and market trend in the local building stocks, and make the reasonable policies as well. Few databases were established in USA and Europe only covering the building information and energy use, while there are lack of an indices system and database of building energy efficiency information in China. Therefore, in this study, a definition of urban residential energy information system is suggested, covering the parameters of building characteristics, household characteristics, possession and operation of domestic appliances, indoor thermal environment, climate condition, energy market, economic level, municipal infrastructure, and energy use consequence. Consequently, a database is developed to collect the raw data in seven typical cities in China. A classification model is established by Quantitative Theory III to classify and characterize the urban residential energy use systems into three different city groups, and suggestions are made to guide the energy efficiency work for different city groups. The case study is a good example to demonstrate the methodology and the analysis provided a helpful reference for the citywide building energy efficiency management.

Comparing two pathways of strategic niche management in a developing economy; the cases of solar photovoltaic and solar thermal energy market development in Lebanon

Abstract There is abundant solar potential in the Middle East North Africa region. Yet access to sustainable energy is still a fundamental challenge in many countries of this region. In this paper we seek to understand the success and failure of the development and the diffusion of solar energy technologies by analysing using a Strategic Niche Management framework to compare the niche development of solar thermal energy and solar photovoltaics in Lebanon. This paper has two main questions: (1) How have the solar thermal niche and the solar photovoltaic niche developed in Lebanon, and how do they compare? (2) In which ways does the Strategic Niche Management framework help us to understand the development of solar energy niches in a developing country context? To answer these questions, a cross case analysis of solar thermal and solar photovoltaic systems was conducted. Due to the absence of research using Strategic Niche Management in Middle Eastern developing countries, this study uses an illustrative case from a country in this region to contribute new insights. Moreover, unlike the Strategic Niche Management research that only focuses on single case studies, this paper presents the results of a comparative study of two niches. The main Strategic Niche Management propositions were grouped and compared per item (i.e. on voicing and shaping expectations, social networks, and learning). The results show that the solar thermal niche affected the solar photovoltaic niche to a large extent. This was especially in relation to the learning and coordination processes. This has gradually contributed to establishing a clear vision. However, both niches lacked a niche manager who was able to coordinate, manage and maintain the dynamics of the niche processes. It also lacked horizontal collaboration between key actors involved (i.e. ministries). International donors were found to play a crucial role in initiating and shaping the market with certain constraints of prioritization in the region. The paper ends with conclusions and ideas for future research on solar energy niche development in the context of developing countries.

ANALYSIS OF CONDITIONS FOR THE CREATION OF THE LOCAL THERMAL ENERGY MARKET IN UKRAINE

In this paper the preconditions for the creation of a market for thermal energy in Ukraine are considered. The urgency of the use of renewable energy sources in the thermal energy market is considered. The disadvantages of functioning of the existing sphere of heat supply are described. The features of heat supply systems in Ukrainian cities are described. The features of thermal energy as a commodity are determined. The main subjects of relations in the field of heat supply are determined. The basic forms of competition in the thermal energy market are determined. Classification of heat supply systems depending on the level of localization in accordance with the current legislation. The basic structural schemes of relations between the subjects of the market depending on the level of localization of the system of heat supply are determined. The features of interaction of thermal energy market participants within the system of heat supply, depending on its type, are described. Presented models of a single buyer, direct provision of services with their own networks and direct provision of transit services through the networks of a third party are possible for use in the thermal energy market. The priority model for the creation of the thermal energy market is analyzed and determined. The basic problems of the technical, economic and legal nature of the heat supply sector that are to be resolved for the effective implementation of the thermal energy market in Ukraine are identified. Extended definition of "thermalenergy market" is given.  Keywords: thermal energy market, heat supply systems, district heating, market model

Stochastic optimization of energy hub operation with consideration of thermal energy market and demand response

Multi carrier energy systems or energy hubs has provided more flexibility for energy management systems. On the other hand, due to mutual impact of different energy carriers in energy hubs, energy management studies become more challengeable. The initial patterns of energy demands from grids point of view can be modified by optimal scheduling of energy hubs. In this work, optimal operation of multi carrier energy system has been studied in the presence of wind farm, electrical and thermal storage systems, electrical and thermal demand response programs, electricity market and thermal energy market. Stochastic programming is implemented for modeling the system uncertainties such as demands, market prices and wind speed. It is shown that adding new source of heat energy for providing demand of consumers with market mechanism changes the optimal operation point of multi carrier energy system. Presented mixed integer linear formulation for the problem has been solved by executing CPLEX solver of GAMS optimization software. Simulation results shows that hub’s operation cost reduces up to 4.8% by enabling the option of using thermal energy market for meeting heat demand.

Development of effective model of management by heatsupplying complex of a region

In the article, key problems of regional systems of a heat supply connected with the inefficient organization and regulation of activity of the local heat power companies are considered. Shortcomings of the scheme of the organization of management by heat supplying complex on the basis of the municipal unitary enterprises are described. The main models of interaction of municipalities and private operators within various forms of the private and state partnership are analyzed. Experience of penetration of foreign private operator on the Russian market of thermal energy is studied. On the basis of the conducted research recommendations about the organization of management and operation of heat supplying infrastructure of the region, on the basis of the long-term contractual relations of the large companies operators and bodies of municipal authority on the terms of joint financing and division of risks are offered. The conclusion was drawn on expediency of implementation of these offers on the basis of the concession agreements covering some municipalities of the region that will allow to lower commercial and administrative expenses at the expense of a scale effect, to increase economic profitability and investment appeal of heat power sector of the region economy.

Development of the market of thermal energy

Specific features relating to development of the market of thermal energy and its management structure are considered, and a methodical approach for analyzing them is proposed.