How to promote distributed resource supply in a Colombian microgrid with economic mechanism?: System dynamics approach

Distributed generation currently has caused an increase in the installation or renewable energy generation resources near the consumption centers and the ability to operate in the event of a failure of the interconnected system in isolation mode. However, this type of generation and operation has not progressed significantly in Colombia due to the lack of financial mechanisms. This paper presents a model in System Dynamics that proposed a mechanism for the promotion of distributed resources by including regulatory incentives known as Renewable Energy Premium Tariff and incentives for providing technical support for the distribution and transmission system. Proposed mechanisms help to promote the use of renewable energy in Colombia and further enhance the tools so that grid operators can avoid accidental disconnection.