Applications of Virtual Power Pools - Demand Response at Industrial Sites
(Room Rheinsaal 6)
29 Jun 17
2:00 PM
-
3:30 PM
Tracks:
Track B - Mastering the Digital Era
This abstract combines the advantages of the joint control of power generation, power consumption and storage units (virtual power pools) and the capabilities of providing the flexibility at industrial sites (demand response) and analyze the potential of energy cost reductions. The same models and concepts are applicable to commercial sites or residential areas. We speak of demand response when energy consumer dynamically increase or decrease their power consumption depending on the price or availability of energy. In the power industry, we see an increase in business models where industrial sites profit from providing the flexibility of industrial processes to the power market using demand response. Industrial sites normally have own power generation units or regulated connections to the power grid or both. Moreover, they have critical industrial processes that consume energy as well as other non-critical processes and energy consumers. In additions, storage capabilities are often available. Generally there are two ways to benefit from the demand response from the industrial point of view. First, an active site can dynamically optimize the power supply depending on the price and availability of energy. Second, a passive site can provide the flexibility on demand of the power supplier. We show how to combine production planning, energy management and energy trading in order to reduce the energy cost and increase the financial benefit from providing the flexibility to the grid operator. All this, without changing the production goals or moving production deadlines. Finally we present successful real-world demand response applications, where industrial site operators could increase the productivity and the financial benefits using mathematical optimization for demand response. Demand Response is an essential component to benefit from the changing energy markets and to contribute to a sustainable power generation in the 21st century.