Published
A Study of incentives to increase the use of DG in Colombia based on a System Dynamics modeling
Estudio de incentivos para incrementar el uso de GD en Colombia basado en un modelado en dinámica de sistemas
DOI:
https://doi.org/10.15446/ing.investig.v31n2SUP.25212Keywords:
ancillary service, distributed generation, reactive power, system dynamics, voltage control (en)Control de tensión, dinámica de sistemas, generación distribuida, potencia reactiva, servicios complementarios (es)
This paper presents a study regarding the introduction of distributed generation (DG) within the Colombian power system by considering commercial, environmental and technical incentives. Environmental and commercial incentives were quantified by studying international precedents for implementing DG. Technical incentives were quantified by taking into consideration the remuneration received by generator agents providing automatic generation control (AGC), since this is the only ancillary service recognized in Colombia. A system dynamics model was built to evaluate the complete proposal. The study found that the current incentives proposed in Colombian regulation, such as tax breaks, are insufficient to cover total costs. Moreover, environmental incentives can be an efficient way of promoting renewable energy use in Colombia to achieve more generating capacity with lower pollution indices. Similarly, technical incentives, in conjunction with environmental incentives, can further improve DG growth in Colombia. The diffusion of DG thus becomes an additional tool for the operator of the interconnected system for controlling voltage and improving the quality and security of electrical power systems.
Este artículo presenta un estudio de penetración de la Generación Distribuida (GD) en el sistema de potencia colombiano, teniendo en cuenta una propuesta de incentivos comerciales, medioambientales y técnicos.
Los incentivos comerciales y medioambientales fueron cuantificados usando experiencias internacionales. Los incentivos técnicos se cuantificaron considerando la remuneración obtenida por los agentes generadores por prestar el servicio de control automático de generación, dado que este es el único servicio complementario reconocido en Colombia. Además, se construyó un modelo en dinámica de sistemas para evaluar la propuesta completa. El modelo muestra que los incentivos actuales en la regulación colombiana, tales como la exención de impuestos, son insuficientes en recuperar los costos de inversión totales. Los incentivos medioambientales pueden ser una opción eficiente para promover el uso de energía renovable en Colombia, con el fin de lograr más capacidad en generación con menos índices de polución, y los incentivos técnicos en unión con los ambientales pueden mejorar aún más el crecimiento de la GD en Colombia. Así, el modelo de difusión llega a ser una herramienta adicional para el regulador colombiano que permite estudiar políticas remunerativas relacionadas con el control de tensión y de esta manera mejorar la calidad y seguridad del sistema eléctrico de potencia.
References
Arango, S., “Simulation for alternative regulation options in the Colombian electricity market”, Socio-Economic Planning Sciences, 41, pp. 305-319, 2007.
Asociación Colombiana de Generadores de Energía Eléctrica, 2009. Generación Distribuida. Available from: http://www.acolgen.org.co.
Assil, M., Javidi, M. and H. Ghazi, “An improved mechanism for capacity payment based on system dynamics modeling for investment planning in competitive electricity environment”. Energy Policy 36, 3703-3713, 2008.
Bacon, R, and Besant, J., “Global electric power reform, privatization and liberalization of the electric power industry in developing countries”. Annual Reviews of Energy and the Environment, vol. 26, 331-359, 2001.
Bass, F., “A New Product Growth Model for Consumer durables”, Management Science, 15(5), pp. 215-226, 1969.
Botterud, A., Korpas, M., Vogstad, K. and Wangensteen, I., 2002.A dynamic-simulation model for long-term analysis of the power market. In: 14th PSCC, Session 12, paper 4, pp. 1-7.
Chaoand, H., and Huntington, H., “Designing competitive electricity markets. International series in operations research & management science”. Stanford California, 1998.
Díaz, A., “Identificación y evaluación de un conjunto de medidas e incentivar la penetración de energía renovable en la generación de electricidad de Colombia”. Magíster Thesis Universidad de los Andes, 2007.
Ford, A., “Estimating the impact of efficiency standards on the uncertainty of the Northwest electricity system”, Operations Research 38(4), 580-97, 1999.
Ford, A., Vogstadand, K., Flynn, H., “Simulating price patterns for tradable green certificates to promote electricity generation from wind”, Energy Policy, vol. 35, pp 91-111, 2007.
Gómez, A., “Análisis y operación de sistemas de energía eléctrica”, McGraw-Hill, España, 2002.
Gómez, G.., “Electricity economics Regulation and deregulation”. IEEE Power Engineering. Wiley Interscience, New York, 2003.
Hirst, E., “Maximizing Generator Profits across Energy and Ancillary-Services Markets”, The Electricity Journal 20, 62-69, 2000.
Hunt, S. and Shuttleworth, G., “Competition and choice in electricity”. John Wiley and Sons. England, 1996.
Iberdrola, “Iberdrola Renovables Logra Un Récord Histórico De Producción Eólica En Estados Unidos Durante Informe anual 2010”. Available from http://www.iberdrola.es/, 2011.
International Energy Agency (IEA), “Security of supply in electricity markets”. Available from: http://www.iea.org, 2002.
International Energy Agency (IEA), “Contribution of Renewable to Energy Security”. Available from: http://www.iea.org, 2007.
Kadoya, T., Sasaki, T., Satoru, I., Larose, E., Sanford, M., Graham, A., Stephens, C. and Eubanks, K., “Utilizing System Dynamics Modeling to ExamineImpact of Deregulation on Generation Capacity Growth”, Proceedings of the IEEE, vol. 93, No. 11, 2005
Kirby, B., and Hirst, E., “ Ancillary Service Details: Voltage Control”, The National Regulatory Research Institute Columbus bar. Ohio U.S, 1-20, 1997.
Kundur, P., “Power System Stability and Control”. McGraw-Hill, New York, 1994.
Larsen, E., Dyner, I., Bedoya, L. and Franco, C., “Lessons from deregulation in Colombia: successes, failures and the way ahead. Energy Policy”, vol. 32, 1767-1780, 2004.
Nasser, G. and Kurrat, M.,” Distributed Generation Location and Capacity Effect on Voltage Stability of Distribution Grids”, IEEE Student Paper Conference, 5 pages, 2009.
Quadrat-Ullah, H. and Davidsen, P., “Understanding the dynamics of electricity supply”, resources and pollution: Pakistan's case. Energy 26, 595-606, 200.1
Rodríguez, A., “La Generación Distribuida y su Posible Integración al Sistema Interconectado Nacional”, Taller sobre Generación Distribuida, CREG, 2009.
Stoft, S., “Power System Economics-Designing Markets for Electricity, IEEE/Wiley, ISBN 0-471-15040-1, New York 2002.
Viawan, F. and Karlsson, D., “Coordinated Voltage and Reactive Power Control in the Presence of Distributed Generation”. Power and Energy Society General Meeting. - Conversion and Delivery of Electrical Energy in the 21st Century, pp 1-6, 2008.
XM Compañía de Expertos en Mercados S.A., “Informe de Operación del Sistema y Administración del Mercado Eléctrico Colombiano”. Available from: http://www.xm.com.co.
Zuluaga, M. and Dyner, I., “Incentives for renewable energy in reformed Latin-American electricity markets: the colombian case”, Journal of cleaner Production 15, 153 - 162, 2007.
Dimensions
PlumX
Article abstract page views
Downloads
How to Cite
License
Copyright (c) 2011 S. B. Carvajal-Quintero, A Arango-Manrique, S Arango-Aramburo, C Yones-Velosa
This work is licensed under a Creative Commons Attribution 4.0 International License.
The authors or holders of the copyright for each article hereby confer exclusive, limited and free authorization on the Universidad Nacional de Colombia's journal Ingeniería e Investigación concerning the aforementioned article which, once it has been evaluated and approved, will be submitted for publication, in line with the following items:
1. The version which has been corrected according to the evaluators' suggestions will be remitted and it will be made clear whether the aforementioned article is an unedited document regarding which the rights to be authorized are held and total responsibility will be assumed by the authors for the content of the work being submitted to Ingeniería e Investigación, the Universidad Nacional de Colombia and third-parties;
2. The authorization conferred on the journal will come into force from the date on which it is included in the respective volume and issue of Ingeniería e Investigación in the Open Journal Systems and on the journal's main page (https://revistas.unal.edu.co/index.php/ingeinv), as well as in different databases and indices in which the publication is indexed;
3. The authors authorize the Universidad Nacional de Colombia's journal Ingeniería e Investigación to publish the document in whatever required format (printed, digital, electronic or whatsoever known or yet to be discovered form) and authorize Ingeniería e Investigación to include the work in any indices and/or search engines deemed necessary for promoting its diffusion;
4. The authors accept that such authorization is given free of charge and they, therefore, waive any right to receive remuneration from the publication, distribution, public communication and any use whatsoever referred to in the terms of this authorization.
