Active Management of Distribtion Networks PDF

Project Title
Integration of operation of embedded generation and distribution networks

K/EL/00262/REP URN 02/1145
Final Report Prof. Goran Strbac (UMIST) Prof. Nick Jenkins (UMIST) Martin Hird (UMIST/Econnect) Predrag Djapic (UMIST) Guy Nicholson (Econnect)
MANCHESTER CENTRE FOR ELECTRICAL ENERGY

Department of Electrical Engineering &Electronics PO Box 88, Manchester, M60 1QD
May 2002
Integrated operation of embedded generation and distribution networks
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CONTENT
Page number
Executive summary ........................................................................................................4 1. Control Strategies for Close Integration of Embedded Generation and Distribution Networks ..................................................................................................10 1.1. Background .............................................................................................................10 1.2. From Passive to Active Distribution Networks ..........................................................12 1.3. Active Management of Voltage Rise Effect in Rural Areas.........................................17 1.4. Qualitative Analysis of Options for Control of Voltage Rise Effect..............................19 1.4.1 1.4.2 1.4.3 1.4.4 Worst Case Scenario (Minimum Load Maximum Generation) Approach...........20 Managing the voltage rise effect by generation curtailment..................................21 Managing the voltage rise effect by reactive compensation.................................22 Managing the voltage rise effect using coordinated voltage control.....................22
1.5. Application to a characteristic situation......................................................................23 2. Distribution Management System for Close Integration of Embedded Generation and Distribution Networks .......................................................................28 2.1. Introduction..............................................................................................................28 2.2. Design of a Distribution Management System Controller............................................29 2.2.1 2.2.2 2.2.3 2.2.4 2.2.5 Outline of Operation.........................................................................................29 Network..........................................................................................................30 Hardware Configurations..................................................................................32 Communications...............................................................................................36 Software..........................................................................................................37
2.3. State Estimation........................................................................................................39 2.3.1 2.3.2

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Background - Transmission State Estimation.....................................................39 Distribution State Estimation.............................................................................40

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2.3.3
A Distribution State Estimator...........................................................................41
2.4. Control Scheduling...................................................................................................45 2.4.1 2.4.2 Priority List ......................................................................................................46 Optimal Power Flow........................................................................................47
2.5. Implementation.........................................................................................................50 3. Quantifying the Benefits of Active Management of Distribution Networks .............54 3.1. Introduction..............................................................................................................54 3.2. Case Studies ............................................................................................................56 3.2.1 3.2.2 3.2.3 3.2.4 3.2.5 3.2.6 3.2.7 3.2.8 Description of the System.................................................................................56 Base Case Scenarios........................................................................................58 Tool for Modelling the Operation of an Active Distribution System....................58 Generation Curtailment.....................................................................................60 Reactive Compensation and Voltage Control....................................................65 Area Based Voltage Control by OLTC ............................................................66 Area Based Voltage Control by OLTC and Voltage Regulator..........................68 Impact of Voltage Controls on Losses..............................................................70
4. Commercial Arrangements to Support Active Management .....................................73 4.1. Background .............................................................................................................73 4.2. Voltage Rise Effect and Connection Costs ................................................................74 4.3. Problems with Present Arrangements........................................................................75 4.4. Cost Benefit Analysis of Implementing Active Management of Distribution Networks.................................................................................................................78 4.5. Commercial Arrangements for Active Distribution Networks .....................................82 4.6. Unbundling of Distribution Network Services ............................................................83 5. Conclusions ...................................................................................................................89 6. References....................................................................................................................93
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Executive summary
Rural distribution systems in which embedded generation is connected are susceptible to voltage rise. In order to minimise the overall effect of embedded generation, network operators prefer to connect embedded generation to higher voltages where their impact onto voltage profile is minimal. However, the commercial viability of embedded generation projects is sensitive to connection costs. These costs increase considerably with the voltage level at which the embedded generation is connected; generally the higher the voltage or sparser the network, the higher the connection cost. The developers of embedded generation therefore generally prefer to connect at lower voltages. The amount of generation that can be connected is usually established through deterministic load flow studies, usually with the critical case representing conditions of minimum/maximum load and maximum embedded generation output. This operating policy limits considerabl y the capacity of generation that can be connected to the existing distribution network.
In this context, this project assesses the potential benefits of changing the operation philosophy of distribution network and embedded generation from passive to active management. This report deals with voltage control aspect of active management while issues associated with fault levels are not considered.
The following four main control strategies are quantified:
(i)
Active power generation curtailment: The developer of embedded generation schemes may find it profitable to curtail some of the output for a limited period if allowed to connect greater generator capacity. This may be particularly attractive if the probability of the coincidence of high generation output with low network load condition is low.
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(ii)
Reactive power management: Absorbing reactive power can be very beneficial in controlling the voltage rise effect, especially in weak overhead networks with embedded generation. By absorbing reactive power, an increase of the output of active power can be realised.
(iii)
Area based coordinated voltage control of On Load Tap Changing Transformers (OLTCs): The present voltage control in distribution networks is primarily carried out by OLTCs. Clearly, the voltage rise effect in distribution networks with embedded generation can therefore be controlled by OLTCs (by reducing the voltage at times of high generation output). However, the present voltage control policy is designed for passive networks with strictly unidirectional power flows. Alternative voltage control practices that go beyond the present local voltage control, such as an area-based control of OLTC are considered in this study and the benefits of such policies quantified. The studies performed in this study show that this form of control is likely to bring the largest benefits in terms of the increase of embedded generation that can be connected to weak distribution networks.
(iv)
Application of voltage regulators: In the context of the voltage rise effect, minimum load - maximum generation conditions are usually critical for the amount of generation that can be connected. However, it may also be necessary to consider maximum load maximum generation conditions. This is because, the use of OLTC transformers to reduce the voltage on the feeder where the generator is connected, may produce an unacceptably low voltage on adjacent feeders that supply load. In this case it may be beneficial to separate the control of voltage on feeders which supply load, from the control of voltage on feeder to which the generator is connected. This can be achieved by the application of voltage regulators on appropriate feeders.
The benefits of an active management of distribution network, exercised through the above alternative control strategies, are quantified by the volume of the annual energy and
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corresponding revenue that can be generated for various capacities of embedded (wind) generation installed. This analysis is carried out on a characteristic 33 kV network that exhibits all the phenomena of interest.
The studies performed clearly show significant benefits of active control of distribution network. The most beneficial are schemes with area based voltage control by OLTCs and voltage regulators achieving a 3 fold increase in the capacity of embedded generation that can be connected.
The report also discusses how this control might be achieved and also maps out a possible implementation path so that the concepts proposed can begin to be implemented quickly. The outline design of a Distribution Management System (DMS) controller suitable for embedded generation is discussed. Five hardware configurations are proposed of increasing complexity. The simplest relies merely on local measurements at the 33/11kV substation while the most complex proposes a hierarchical arrangement of DMS controllers. Although the first, straightforward approach is conceptually simple, it is likely to give considerable improvements in the capacity of embedded generation that may be connected.
The overall c oncept for the controller software is then discussed with the two major elements: state estimation and control scheduling. Although state estimation techniques are well developed for transmission networks these approaches are not directly transferable to distribution systems with embedded generation. The basis of state estimation is explained and then the further work that is required to adapt existing techniques to dealing with the limited number of measurements available on distribution networks and the use of load data to provide pseudo-measurements is outlined.
Two approaches have been identified for control scheduling. A priority-list, rule-based approach may be applied whereby engineering judgement and knowledge of various contracts
is used to determine the order in which various controls should be adjusted. This approach is attractive for an early implementation of a simple system, as it is conceptually straightforward and transparent to practicing engineers. For more complex implementations it may be preferable to consider using an optimal power flow to optimise the control rigorously.
Furthermore, a possible implementation route is discussed given the present constraints on distribution network operates and generators. Initially, simple implementations are proposed with the embedded generator under local control and the controller operating on the Automatic Voltage controller (AVC) at the 33/11 kV transformer.
The presence of embedded generation in distribution systems alters radically the way these networks should be viewed not only from technical but also from a commercial vantage point. With the introduction of embedded generation, distribution networks are expected to offer an non-discriminatory open access to the networks and facilitate competition in the generation and supply sectors. This requirement introduces a new role for distribution networks. Distribution network operators now are required to provide network services to generators and to enable them to take part in provision of such services.
Under the present regulatory framework Distribution Network Operators (DNOs) do not have any incentive to connect generation and offer active management services to reduce the connection costs and increase the amount of embedded generation that can be connected. In this report, costs and benefits of active management of distribution networks are identified and discussed. This is necessary for the development of appropriate commercial incentives for DNOs. Furthermore, the report discusses a number of issues associated with present commercial arrangements, particularly in relation to pricing that may impact an reactive power based voltage control.
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A market based exchange of services between distribution network operators and embedded generators (and other network users in general) is proposed and discussed.
This would require unbundling of distribution network services and enabling users to contribute to the major responsibilities of DNOs (i) voltage and (ii) service quality management. As a consequence of the historical development of distribution systems, these objectives have been traditionally met by employing the operational and development practices that involved the use of assets, facilities and resources owned and managed by DNOs. In this traditional approach embedded generation is effectively excluded from the opportunity to support DNOs in carrying out their main duties and also from receiving enhanced services from DNOs which would provide more choice in connection (active management).
The new role of distribution networks requires unbundling of distribution network services and the development of commercial arrangements within which DNOs would carry out their responsibilities at least cost and efficiently, by using services from a number of potential providers. Under this scenario DNOs would maintain the responsibility of managing all components of service quality, but the means of achieving this objective would involve not only distribution network facilities. It would also make use of the inputs provided by embedded generation, and more generally, by demand-side management, storage facilities, reactive compensation facilities including an active interchange of services between the DNOs and the TNO on the distribution-transmission boundary. In the context of embedded generation, this concept could open the possibility for generators to provide DNOs with network support (substitute for network capacity), with voltage regulation and contribute to service quality. On the other hand, DNOs could o ffer enhanced network services to generators, such as active distribution management and enable them to control their connection costs. The value of various services provided by and to DNOs could be determined on a market basis.
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1. Control Strategies for Close Integration of Embedded Generation and Distribution Networks
1.1.
Background
The UK Government is working towards a target of renewable energy providing 10% of UK electricity supplies by 2010 with 10GW of CHP by the same date. Depending on the load factor assumed, this will require the installation of up to 14 GW of generation capacity on to distribution networks (i.e. at voltages of 132 kV and below). Renewable generation will benefit considerably from the Renewables Obligation that rewards green energy through a mechanism of Renewables Obligation Certificates [1]. However, under the present conditions the owners and operators of the distribution networks, the Distribution Network Operators (DNOs) anticipate that they can integrate only a much more limited capacity of generation [2] without a major reinforcement.
The environment in which distribution companies function creates a number of interrelated regulatory, commercial and technical questions that need addressing in order to facilitate this growth in small-scale generation. This reflects
(i)
the historic function of the distribution network, that has been primarily viewed as a transport provider, rather than in the role of a facilitator of competition in the generation and supply sectors, and
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(ii)
the historic passive configuration of the distribution system, in which the expectation is that virtually all the electricity is supplied from the transmission networks at several points in each DNOs area and is then distributed to consumers at lower voltages.
An open access based framework for distribution networks clearly needs to be developed. The Utilities Act 2000 requires DNOs to facilitate competition, which is effectively a vehicle for opening up distribution networks and for providing equitable access to the energy market. In order to take full advantage of this opportunity an adequate regulatory and commercial environment needs to be developed and a number of technical issues related to network operation and development resolved, as documented in the Report of the OFGEM/DTI Embedded Generation Working Group [4]. The report recognises that at present there are neither commercial nor technical frameworks to encourage the DNOs to integrate this embedded generation (EG) into their systems in an optimal manner.
The overall problem can be viewed as a conflict between two regulatory systems: the aggressive economic regulation of the UK power industry, which is dominated by relatively short-term issues of economic efficiency, and the environmental which aims to establish incentives for smallscale, less carbon intensive technologies in pursuit of climate change objectives. It may be seen that a high penetration of embedded generation, which is essential if renewable energy sources and CHP are to be introduced to meet government targets, represents a paradigm shift in the UK electricity system.
Specifically, this work is centred around an analysis of the benefits that can be derived from changing the operation philosophy of distribution networks from passive to active. The emphasis is on the design of control strategies of active distribution systems that would enhance the ability of the existing networks to accommodate additional embedded generation.
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In this section the fundamental features of passive distribution networks are examined and their inability to accommodate increased amounts embedded generation discussed. It is demonstrated how the voltage rise effect, the main limiting factor in rural areas, can be effectively controlled within an active network environment, and as a result, enable considerably higher levels of penetration of embedded generation into existing systems. The following three main control strategies are then elaborated in some detail:
(i) (ii) (iii) (iv)
Active power generation curtailment Reactive power management Area based coordinated voltage control Application of voltage regulators
Qualitative analysis of these alternatives is then carried out on a simplistic distribution network model where the effect of these controls can be easily understood.
The ability of active networks to accommodate embedded generation is illustrated on a characteristic case study of connecting a wind farm to a weak distribution network. It is shown that through reactive power management or coordinated voltage control the amount of embedded generation that can be connected to the existing system can be increased for a factor of 3, in comparison with passive networks.
1.2.
From Passive to Active Distribution Networks
Modern distribution systems were designed to accept bulk power from the transmission network and to distribute it to customers. Thus the flow of both real power (P) and reactive power (Q) was always from the higher to the lower voltage levels. This is shown schematically
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in Figure 1.1 and, even with interconnected distribution systems, the behaviour of the network is well understood and the procedures for both design and operation long established.
P,Q
P,Q
Load
Figure 1.1 - Conventional distribution network deign and operation
However, with significant penetration of embedded generation the power flows may become reversed and the distribution network is no longer a passive circuit supplying loads but an active system with power flows and voltages determined by the generation as well as the loads. This is shown schematically in Figure 1.2. For example, the CHP generation scheme with the synchronous generator (S) will export real power when the electrical load of the premises falls below the output of the generator but may absorb or export reactive power depending on the setting of the excitation system of the generator. The wind turbine will export real power but is likely to absorb reactive power as its induction (sometimes known as asynchronous) generator (A) requires a source of reactive power to operate. The voltage source converter of the photovoltaic (pv) system will allow export of real power at a set power factor but may introduce harmonic currents, indicated as in Figure 1.2. Thus the power flows through the circuits may be in either direction depending on the relative magnitudes of the real and reactive network loads compared to the generator outputs and any losses in the network.
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P,Q? A P,-Q P+/-Q CHP S
P,Q?
pv P,+/-Q In
Figure 1.2 - Ad-hoc approach with existing operation practice
The change in real and reactive power flows caused by embedded generation has important technical and economic implications for the power system. To date, most attention has been paid to the immediate technical issues of connecting and operating generation on a distribution system and most countries have developed standards and practices to deal with these. In general, the approach adopted has been to ensure that any embedded generation does not reduce the quality of supply offered to other customers and to consider the generators as negative load. No real attempt has been made to consider how the overall performance of a distribution system with a significant penetration of embedded generation may be optimised. Clearly, a number of difficulties, following from the different objectives of the generator and network operator, can be identified immediately. At present in the UK networks, the objective of the generator is to supply the maximum energy (kWh) to the network and so receive the largest payment. The objective of the DNO is to maintain supply to all customers, the majority of whom will be load customers. As the network operator has no control over the embedded generator all decisions concerning the network must be made considering the worst possible conditions of the generation for any set of network conditions. Hence at minimum (or even zero) load the maximum generation is assumed and at maximum load, minimum generation is assumed. In summary, there is no mechanism where the overall distribution network and embedded generation system can be optimised.
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Every DNO has an obligation to supply its customers at a voltage within specified limits. This requirement often determines the design and expense of the distribution circuits and so, over the years, techniques have been developed to make the maximum use of distribution circuits to supply customers within the required voltages. For example, it is well known that the ratio of the MV/LV transformer is usually adjusted so that at times of maximum load the most remote customer receives acceptable voltage. During minimum load the voltage received by all customers is just below the maximum allowed. If an embedded generator is now connected to the end of such a circuit then the flows in the circuit will change and hence the voltage profiles. The most onerous case is likely to be when the customer load on the network is at a minimum and the output of the embedded generator must flow back to the source.
In some cases, the voltage rise can be limited by reversing the flow of reactive power (Q) either by using an induction generator or by under-exciting a synchronous machine and operating at leading power factor. This can be effective on higher voltage overhead circuits, which tend to have a higher X/R ratio. However, on LV cable distribution circuits the dominant effect is that of the real power (P) and the network resistance (R) and so only very small embedded generators may generally be connected to LV networks.
Some DNOs use more sophisticated control of on-load tap changers of the HV/MV distribution transformers including the use of a current signal compounding the voltage measurement. One technique is that of line drop compensation and as this relies on an assumed power factor of the load, the introduction of embedded generation and the subsequent change in power factor may lead to greater uncertainty in operation if the embedded generator is large compared to the customer load.
As the present network operation philosophy is known to considerably limit the amount of embedded generation that can be connected, the focus of this particular piece of work is on quantifying the benefits of the integration of embedded generation into distribution network
operation in terms of the increased ability of the networks to accommodate embedded generation. This integration effectively changes the conventional doctrine of the operation of distribution networks from passive to active and this work carries out a conceptual analysis of the operation of such active networks. Various degrees of integration are possible, ranging from a simple local based control of generation to a coordinated control between distribution and generation facilities over interconnected distribution circuits. This co-ordinated, system level voltage and flow control could be based on a controller that allows this integrated operation to be implemented.
The controls may be implemented either using central Distribution Management System controllers, such as one depicted in Figure 1.3 (say one for each 33/11 kV substation), or by distributing the control functions among the various controllers associated with each item of plant (i.e. generators, tap-changers). However this choice is largely an issue of implementation only as the control philosophy proposed accepts the requirement for communication between the various items of plant. The control actions required are slow (e.g. change of tap-changer setpoint or generator despatch) and so low cost, slow, communications systems will be appropriate. The overall control system will be arranged in a hierarchy with the controllers of the 33/11 kV substations communicating upwards to similar equipment in 132/33 kV substations etc. Particular attention must be paid to the consequences of failure of the communications systems and how the system then reverts to a safe state.
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DMS Controller
P,Q,V, P,Q,V,
DMS Controller inputs - Network flows and voltages (P, Q, V) -Contracts for constraining on and off generation; DMS controller outputs: Tap positions and generator dispatch (P , Q)
A P,-Q
P,Q,V,
pv P,+/-Q
P+/-Q CHP S
Figure 1.3 - Active distribution network operation
As indicated earlier, the degree of integration can vary from a simple local based control of generation to a coordinated control between distribution and generation facilities over interconnected distribution circuits.
1.3.
Active Management of Voltage Rise Effect in Rural Areas
Connections of embedded generation in rural distribution systems are susceptible to voltage rise. Current operating policy based on passive operation of distribution network limits the capacity of generation connected based on the extreme condition of minimum load, maximum generation. In order to minimise the overall effect of embedded generation network operators prefer to connect embedded generation at higher voltages where their impact onto voltage levels is minimal. However, the commercial viability of embedded generation projects is sensitive to connection costs. These costs increase considerably with the voltage level at which the embedded generation is connected; generally the higher the voltage or sparser the network, the higher the cost. The developers of embedded generation therefore prefer to connect at lower voltages. This conflict of objectives between embedded generation developers and network
operators is usually settled through simple deterministic load flow studies, usually based on one critical case representing conditions of minimum load and maximum embedded generation output.
As this will demonstrate, an active distribution network will allow considerably greater penetration of embedded generation. Three alternative control strategies are evaluated1:
(a) Active power generation curtailment (shedding) can be used as a means of reducing the voltage rise effect. The generator may find it profitable to curtail some of its output for a limited period if allowed to connect a larger capacity. This may be particularly suitable for embedded generation, as the generation curtailment is likely to be required during times of relatively low value of energy (such as summer nights). This mode of control is local and, generally, there is no need for communication system.
(b) Secondly, absorbing reactive power can be beneficial to controlling voltage rise effect, especially in weak overhead networks with embedded generation. This mode of control is also local and, generally, there is no need for communication system. In this respect, the use of a reactive compensation facility, such as a STATCOM, at the connection point is discussed in [3]. However, reactive power management as a means of increasing the penetration of embedded generation has not been widely applied in the UK. Within this work an advanced optimal power flow method will be applied to illustrate the potential of reactive power management in the context of managing voltage rise-effect.
(c) Thirdly, the introduction of a co-ordinated voltage control policy may be beneficial from the embedded generation penetration levels point of view. Present voltage control in
Application of voltage regulators is elaborated in Section 3 of the report
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distribution networks is primarily carried out by On Load Tap Changing-transformers (OLTC). Voltage control is usually based on a simple constant voltage policy or a scheme that takes into account circuit loading while determining the voltage that should be maintained. It is important to bear in mind that this voltage control policy was designed for passive networks with strictly unidirectional power flows. In active distribution networks with multi-directional power flows, the validity of this local control voltage practice becomes inherently inadequate. In fact, this practice limits the degree of openness and accessibility of distribution networks and therefore has a considerable adverse impact on the amount of generation that can be accommodated. On the other hand, alternative voltage control practices that go beyond the present local voltage control, such as an area-based control of OLTC will be considered and the benefits of such policies quantified. This coordinated control would be accompanied with an adequate communication system and measurements from a number of points along the feeder. (d) Finally, application of voltage regulators may be very beneficial for decoupling voltage control on feeders supplying loads from feeders to which generation is connected. This is useful when it is necessary to consider maximum load maximum generation conditions. This is because, the use of OLTC transformers to reduce the voltage on the feeder where the generator is connected, may produce an unacceptably low voltage on adjacent feeders that supply load. In this case it may be beneficial to separate the control of voltage on feeders which supply load, from the control of voltage on feeder to which the generator is connected. This can be achieved by the application of voltage regulators on appropriate feeders.
1.4.
Qualitative Analysis of Options for Control of Voltage Rise Effect
The voltage rise effect is illustrated using a simple circuit shown in Figure 1.4. This figure represents the basic features of a distribution system into which an embedded generator, G, is connected (assumed at 11kV). This generator (P G, Q G) together with a local load (P L, QL) and
a reactive compensator (Q C ) is connected to the distribution system (DS) via a weak rural distribution overhead line with impedance Z and, say a 33/11 kV transformer with an On Load Tap Changer (OLTC).
DS
PL, QL Z=R + jX PG QG OLTC 1 2 QC
G
Q Comp
Figure 1.4 - Simple system for modelling voltage rise
The voltage at busbar 2 (V 2) can be approximately calculated as follows:

V2 V1 + R ( PG PL ) + ( Q G Q L QC ) X
(1)
This simple equation can be used to qualitatively analyse the relationship between voltage at busbar 2 and the amount of generation that can be connected to distribution network, as well as the impact of alternative control actions.
1.4.1
Worst Case Scenario (Minimum Load Maximum Generation) Approach
As discussed above, the capacity of generation that can be connected to a distribution circuit determined by analysing the extreme conditions of the coincidence of minimum load (PL= 0, QL = 0) and maximum generation (PG = PGMAX). This policy enables DNOs to continue to operate their systems as if generators were not connected at all. The effect of such connection policy on the amount of generation that can be connected to existing system can be analysed by the
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following expression (for the simplicity sake unity power factor operation is assumed, i.e. QG Q C=0):
V2 V1 + R PG
max
(2)
The capacity of the generator that can be accommodated in the existing system is clearly limited by the maximum voltage at busbar 2:
max PG
max V2 V1 R
(3)
It is important to observe that the real part of the network impedance, R, is critical for the amount of generation that can be connected (as the value of reactance, X, is not relevant as the generator is assumed to operate with a unity power factor). This resistance is determined by conductor size and is assumed constant for a given system.
1.4.2
Managing the voltage rise effect by generation curtailment
It is important to observe that the probability of such extreme situation (coincidence of minimum load with maximum generation) actually occurring is generally low, and hence it may be beneficial to accommodate a larger generator at busbar 2 and curtail it when voltage at busbar 2 rises to that of the limit. The effect of generation curtailment on the capacity that can be connected is given by the equation below.
cur Pgmax PG +
V2max V1 R
(4)
The likelihood of the coincidence of minimum load with maximum generation will determine the total annual energy curtailed. As the price of electricity is primarily driven by load demand, and
generation curtailment occurs typically during periods of low load, the value of this energy curtailed is likely to be relatively low.
1.4.3
Managing the voltage rise effect by reactive compensation
Managing of reactive power injections can make a considerable impact on the capacity of generation that can be connected to weak overhead distribution networks. If reactive power, Q import (i.e. ( Q G Q L Q C ) ), is absorbed from the network, the amount of generation that can be connected under no load conditions can be increased:
PG
max
( V2max V1 ) Q import X + R R
(5)
Observe that the effectiveness of reactive power import is greatly influenced by the value of line reactance X. In this context, reactive compensation is considerably more effective on overhead networks (with typical reactance of X OH 0.4 [ / km ] ), than on cable networks (with typical reactance of X C 0.1[ / km ] ). It is also important to bear in mind that absorbing reactive power would lead to an increase in losses, and the evaluation of this control option should therefore include loss assessment.
1.4.4
Managing the voltage rise effect using coordinated voltage control
Control of voltage at busbar 2 by regulating voltage V 1, at busbar 1, using the OLTC, can considerably increase the capacity of embedded generation. In this control option, the OLTC is used to lower voltage to the minimum value V1min , enabling larger injection of active power at busbar 2:
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max PG
V2max V1min R
(6)
However, in a more complex network, the value of this voltage, and the corresponding tap position of the OLTC, would have to be optimised.
All these three methods of regulating voltage can be applied in combination. It should also be noted that reinforcing the system could also enhance the amount of generation that can be accommodated. This is however out of scope of this study that is focused on voltage regulation in the existing system.
1.5.
Application to a characteristic situation
In order to illustrate the limitation of passive distribution network operating philosophy and the benefits of active control of distribution systems arising from the management of the rise effect (and hence connection cost), a weak 20 kV distribution network to which a wind farm is to be connected is considered (Figure 1.5). Network and load parameters are given in Table 1.1 and Table 1.2. Induction generators with power factor correction capacitors are considered for the operation of the wind farm. The combined active-reactive characteristic of the group of generators (without power factor correction) to be used is given in Figure 1.6. The size of the fixed power factor correction used is 3 MVAr. Voltage at busbar 2 is held at 1.03 p.u. by the transformer tap changer.
High and low loading conditions as two characteristic snap shot situations are analysed. Minimum demand is set to be at 10% of the peak.
Table 1.1. Circuit data Line Records

From Number 2 2 2 3 3 5 6
To Number R(p.u.) 1 3 5 4 5 6 7 0.01869 0.03100 0.33290 0.09000 0.64460 0.23900 0.24762
X(p.u.) 0.17726 0.40174 0.58310 0.15770 0.86000 0.21040 0.25132

1.00 pu 1
54 MW 18 MVR
53.7 MW 17.7 MVR
1.03 pu 2
53.2 MW -12.0 MVR 31.50 MW 6.31 MVR 8.8 MW 1.2 MVR
0.99 pu 4 12.00 MW 2.40 MVR
1.01 pu 3
12.8 MW 4.5 MVR
12.0 MW 12.1 MW -2.4 MVR 2.6 MVR
12.8 MW -3.8 MVR 0.6 MW 1.2 MVR 1.00 pu 5 0.6 MW -1.1 MVR
8.6 MW -0.7 MVR 9.20 MW 1.85 MVR
1.00 pu 7 0.00 MW
1.00 pu 6 0.0 MW -0.0 MVR
0.0 MW 0.0 MVR
0.0 MW 0.0 MW -0.0 MVR 0.0 MVR 3.00 MVR
2.97 MVR
0.00 MVR
Figure 1.5 - Seven-bus network
Table 1.2. Load data Load Records Busbar 2 MW 31.5 MVAr 6.31 MVA 32.13
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4 5 7
12.0 9.2 0
2.40 1.85 3.00
12.24 9.38 3.00
Induction generator circle diagram (without pfc)

35 Reactive Power import (MVAr) 30 25 20 15 10 5 0 0 10 20 30 40 50 60 Power export (MW)
Figure 1.6 - Induction generator circle diagram
Assuming that allowable voltage variation in the network are +/- 5%, three exercises are performed:
(i)
Passive network operation is simulated and the maximum amount of embedded generation that can be connected to the network is determined. Both heavy and light loading conditions are considered. By performing a number of load flow calculations it can be concluded that 13.5 MW and 4.6 MW can be absorbed under heavy and light loading conditions respectively.
(ii)
Active distribution network operation is simulated with local control via a reactive power compensation plant, installed at the point of connection. The case study
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demonstrates that absorbing reactive power can be very beneficial to controlling voltage rise effect, and hence enable increased amount of embedded generation to be connected to the existing system. Furthermore, the minimum size of the plant to allow various amounts of generation to be connected is determined. It is important to observe changes in active losses as shown in Table 1.3 (voltage at busbar 2 is held at 1.03 p.u.). The compensation plant is modelled simplisticly as a synchronous condenser, which is certainly adequate for this type of analysis.
Table 1.3 PG (MW) 1.0 3.0 5.0 10.0 15.0 20.0 High loading conditions QG Q absorbed by Plosses the compensator (MVAr) (MVAr) (MW) 3.2 0 0.99 3.6 0 0.92 4.0 0 0.91 5.0 0 1.13 7.3 0.66 1.85 9.5 1.18 3.02 Low loading conditions Q absorbed by thePlosses compensator (MVAr) (MW) 0 0.01 0 0.05 0.16 0.15 3.18 0.78 3.81 1.83 4.12 3.27
This table shows that, at the extreme, this network could accommodate 20.0MW, from the voltage rise point of view, if a compensation of 4.12 MVArs (of reactive absorption) is installed. Note that in this particular case losses would be more than 3MW under all load conditions.
When considering the economics of reactive compensation plant, the installation cost of this reactive support will have to balance against the value of the increase in generation output taking into account negative effects on system losses. This topic is discussed in Section 3.
(iii)
In passive distribution networks voltage regulation is carried out by On Load Tap Changing-transformers (OLTC). Voltage control is usually based on a simple constant voltage policy. In active distribution networks with embedded generation and multi-
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directional power flows, the validity of this local control voltage practice may become inadequate. This case study illustrates the benefit that a co-ordinated voltage control including OLTC with respect to amount of embedded generation that can be connected and the amount of reactive support required (Table 1.4 and 1.5). Thus, with busbar 2 maintained at 1.015 pu a 7 MW generator may be connected with no additional reactive compensation. Reducing busbar 2 voltage to 1.pu increases this to almost 15 MW.
Table 1.4 - Set voltage at bus 2 V = 1.015 p.u. PG (MW) 1.0 3.0 5.0 10.0 15.0 20.0 High loading conditions QG Q absorbed by Plosses the compensator (MVAr) (MVAr) (MW) 3.2 0 1.00 3.6 0 0.94 4.0 0 0.93 5.0 0 1.17 7.3 0 1.84 9.5 0 2.91 Low loading conditions Q absorbed by thePlosses compensator (MVAr) (MW) 0 0.01 0 0.06 0 0.15 1.47 0.68 2.18 1.67 2.56 3.07
Table 1.5 - Set voltage at bus 2 V = 1.00p.u. PG (MW) 1.0 3.0 5.0 10.0 15.0 20.0 High loading conditions Q absorbed by Plosses the compensator (MVAr) (MVAr) (MW) 3.2 0 1.02 3.6 0 0.95 4.0 0 0.95 5.0 0 1.19 7.3 0 1.89 9.5 0 2.99 QG Low loading conditions Q absorbed by the Plosses compensator (MVAr) (MW) 0 0.01 0 0.06 0 0.16 0 0.64 0.53 1.55 0.98 2.89
The exercises performed clearly show that a coordinated voltage control has a significant potential for increasing the level of penetration o f embedded generation to weak overhead distribution networks.
2. Distribution Management System for Close Integration of Embedded Generation and Distribution Networks
2.1.
Introduction
It has been shown in Section 1 that there is very considerable benefit in integrating the control of embedded generation and the local distribution networks. This section discusses how this control might be achieved and also maps out a possible implementation path so that the concepts proposed can begin to be implemented quickly.
Firstly the outline design of a Distribution Management System (DMS) controller suitable for embedded generation is discussed. Five hardware configurations are proposed of increasing complexity. The simplest relies merely on local measurements at the 33/11kV substation while the most complex proposes a hierarchical arrangement of DMS controllers. Although the first, straightforward approach is conceptually simple, it is likely to give considerable improvements in the capacity of embedded generation that may be connected.
The overall concept for the controller software is then discussed with the two major elements: (1) state estimation and (2) control scheduling. Although state estimation techniques are well developed for transmission networks these approaches are not directly transferable to distribution systems with embedded generation. The basis of state estimation is explained and then the further work that is required to adapt existing techniques to dealing with the limited
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number of measurements available on distribution networks and the use of load data to provide pseudo-measurements is outlined.
Two approaches have been identified for control scheduling. A priority-list, rule-based approach may be applied whereby engineering judgement and knowledge of ancillary services contracts is used to determine the order in which various controls should be adjusted. This approach is attractive for an early implementation of a simple system, as it is conceptually straightforward and transparent to practicing engineers. For more complex implementations it may be preferable to consider using an optimal power flow to optimise the control.
Finally, a possible implementation route is discussed given the present constraints on distribution network operates and generators. Initially, simple implementations are proposed with the embedded generator under local control and the controller operating on the AVC controller at the 33/11 kV transformer.
2.2.
Design of a Distribution Management System Controller
2.2.1
Outline of Operation
Conceptually, the DMS controller is located at the primary substation which is the lowest voltage point on the network with an on load tap changer for voltage control although in practice there is no reason why its capabilities cannot be distributed amongst other controllers. It has the necessary data to provide a model of the local HV distribution network. At a set interval, perhaps every half-hour, the DMS controller estimates the state of the part of the network that is under its control. The estimate comprises the voltage at each bus of the network. To
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calculate the estimate, the DMS controller uses models of the loads connected to the network and a minimum number of real-time measurements.
Using the state estimate, the DMS controller calculates control values and outputs these to devices connected to network elements, such as on-load tap-changers and embedded generators. The control values are calculated to optimise the power flow in that part of the network.
If any real-time measurement changes significantly, the DMS controller calculates and outputs new control values within a few seconds, to prevent infringement of, or reduce the probability of, network constraints.
The DMS controller comprises software that runs on a hardware platform that is connected to the electrical network. The main features of the electrical network and hardware platform are described in the following sections. The software inputs and outputs are then briefly described. A detailed description of the software is given in Sections 2.3 and 2.4.
2.2.2
Network
Figure 2.1 is a simplified schematic diagram of part of a distribution network. The primary substation transformers are fitted with on-load tap-changers (OLTC) that are controlled by automatic voltage control (AVC) relays. For the DMS controller to control the voltage at a multi-transformer substation, as illustrated, the AVC relays are assumed to be operated in master-follower configuration and the DMS controller controls the set point of the master. For a single transformer substation, the DMS controller controls the set point of the single AVC relay. The voltage at more than one substation can be controlled by different DMS controllers or by communication from one controller.
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Several circuits are shown connected to the substation, each comprising several busbars connected together by lines or cables. The DMS controller can re-configure the network, which can be radial or meshed, by opening or closing circuit breakers.
Customer loads are connected to the buses. The DMS controller can control some loads by disconnecting and reconnecting them.
Embedded generators are connected to several of the busbars. These have different types of controller, depending upon the type of generator. The DMS controller controls the active and reactive power export of embedded generators by sending control signals to their controllers. Examples of control signals are: a set point for the automatic voltage regulator of a synchronous generator, a set point for the governor of an engine, a signal to a wind farm supervisory control and data acquisition (SCADA) system to stop a number of wind turbines in a wind farm or to change the set point of the pitch angles in all wind turbines in a wind farm to a new maximum output.
Measurements of voltage, current or power are taken at the substation bus bar and several other busbars. These would typically be busbars to which generators are connected or at which large voltage variations are expected. The DMS controller uses the minimum number of measurements necessary to calculate a state estimate sufficiently accurate for satisfactory control of the network.
Reactive power compensation devices, such as capacitor banks or static compensators may also be connected to the network. The DMS controller controls these by, for instance, connecting and disconnecting a capacitor bank.
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KEY 33 / 11 kV Transformer with On-line Tap-changer Measurement 1
Generator
11 kV / 230 V Transformer with low voltage loads Network bus 3
Network line or cable

VAR
Reactive power compensator Controllable Load Circuit breaker
VAR
LOAD
LOAD
Figure 2.1 - Schematic diagram of part of a distribution network
2.2.3
Hardware Configurations
Schematic diagrams of possible DMS controller hardware configurations are shown in Figures 2.2 and 2.3. Five different possibilities are shown, increasing in scale and complexity.
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1 Real-time Microcomputer Automatic Voltage Control Relay
Local measurements
Local measurements
Remote Terminal Unit
Local measurements
Remote Terminal Unit Remote Terminal Unit Remote Terminal Unit
Figure 2.2 - Schematic diagrams of simple DMS controller hardware configurations
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4 Real-time Microcomputer Automatic Voltage Control Relays Embedded Generators Local measurements Remote Terminal Unit Remote Terminal Unit Remote Terminal Unit Loads, Compensators, Circuit Breakers
5 DMS Controller
DMS Controller
DMS Controller
DMS Controller
DMS Controller
DMS Controller
DMS Controller
Figure 2.3 - Schematic diagrams of more complex DMS controller hardware configurations
The three configurations shown in Figure 2.2 illustrate simple applications of the DMS controller, which control only a single AVC relay. The DMS control software runs on the realtime microcomputer and the output is a single set point value to an AVC relay. The computer and relay are sited at a primary substation (e.g. 33/11kV). These two units are in each of the
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three configurations; the difference between the configurations is the number and type of realtime measurements that are provided as inputs to the software.
Configuration 1 is the simplest and uses only local substation measurements. Examples of these are substation busbar voltage, total substation power, feeder power, total substation current and feeder current. This configuration may provide workable control for a radial network with a single embedded generator.
In configuration 2, local substation measurements are supplemented with network measurements from a single remote terminal unit (RTU). The RTU is a partially intelligent device that has monitoring, communications and some control functions. The RTU is sited at a key point on the network, such as the busbar at which an embedded generator is connected or the bus at which the largest voltage variations are expected. The RTU takes measurements at this point and communicates them to the real-time microcomputer (DMS controller). Examples of network measurements are bus voltage, load (or generator) power, feeder power, load (or generator) current and feeder current. This configuration may be suitable for a radial network with a single embedded generator for which configuration 1 provides insufficient data to allow workable control.
Configuration 3 is the same as configuration 2, except that it has several RTUs. This configuration may be suitable for a radial or meshed network with one or more embedded generators.
Figure 2.3 shows two more complex configurations. These configurations control AVC relays, embedded generators, loads, reactive power compensators and circuit breakers.
Configuration 4 uses local measurements and measurements from several RTUs, in the same way as configuration 3. Configuration 4 controls many network devices, therefore it is likely that
it will require a larger number of RTUs than configuration 3. Configuration 4 is suitable for control of a re-configurable radial or meshed network with one or more substations, several embedded generators, controllable loads and reactive power compensators.
Configuration 5 shows how the DMS controllers could be used in a hierarchical manner. Each controller is as illustrated in configuration 4. At the lowest level, the four controllers would typically be sited at primary substations or perhaps at a lower level at in-line voltage regulators. The intermediate level controllers could be sited at medium voltage substations (bulk supply points 132/33kV). The highest-level controller could be sited at a grid supply point (e.g.400 or 275/132kV). Configuratio n 5 is suitable for control of part of a distribution network that contains a large number of embedded generators and is supplied from a single grid supply point.
2.2.4
Communications
For configuration 1 the real-time microcomputer, the local measurement device and the AVC relay are directly connected to each other. In configurations 2 to 5, remote communications are needed between the RTUs and the real-time computer. In configurations 4 and 5 remote communications are additionally needed between the real-time computer and the devices connected to the network.
Measurement data is communicated from an RTU to the real-time microcomputer once per interval, say every half hour, or if there is a significant change in a measurement. The number of data values communicated each time is typically less than five e.g. voltage magnitude, real power and reactive power.
A control value is communicated from the real-time microcomputer to a controlled device when a change in the device output is required. The number of data values communicated each time is
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typically one or two e.g. a set point for generator real power output and a set point for generator power factor, or a binary value to open or close a breaker.
The choice of remote communications medium depends largely on the required speed of data transfer. It is common for AVC devices to have an initial delay of 10 120 s between measuring an over or under voltage and outputting a change tap signal to the OLTC. Once a change tap signal has been output, some AVCs have a 5 60 s delay before outputting a second change tap signal. These durations reflect present distribution network voltage control practice.
If the time between a significant real-time measurement change and a controlled device receiving a new control value is no more than 5 s, then the DMS controller is operating in line with present voltage control practice.
Two types of communication that permit this speed of data transfer are:
A public data network e.g. Vodafone Paknet, which gives call set-up times of less than 0.5 s. Power line carrier.
2.2.5
Software
Figure 2.4 is a block diagram of the DMS controller software, showing its inputs and outputs. The measurement input comprises the local and network measurements. The outputs are the control values for the various devices under control. These are all real-time signals. The remaining inputs are off-line data.
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The network data input comprises the network topology and electrical parameters. The pseudo measurement input provides values for all un-measured quantities that are required for the state estimator. This input is described in more detail in Section 2.3.
The constraints input comprises three types of constraint:
Primary plant constraints e.g. embedded generator capacity Control limits e.g. OLTC maximum number of tap steps Network constraints e.g. voltage limits
The contracts input comprises the details of ancillary service contracts between the distribution network operator and owners of:
Embedded generators Controllable loads Reactive power compensators
The DMS controller software has two functional blocks: state estimation and control scheduling.
The state estimation block uses the network electrical parameters, network topology, load models and real-time measurements to calculate a network state estimate. This is passed to the control-scheduling block, which uses it to calculate a new set of control values for the devices connected to the network. The set of control values optimises the power flow in the network, while observing all the constraints and taking account of all the contracts.
State estimation and control scheduling are discussed in detail in Sections 2.3 and 2.4.
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Automatic voltage control relays State Estimation Control Scheduling Embedded Generators Loads, Compensators, Circuit breakers
Measurements
Estimates
Pseudo Network measurements Data
Constraints
Contracts
Figure 2.4: Block diagram of DMS controller software
2.3.
State Estimation
2.3.1
Background - Transmission State Estimation
A state vector is a set of variables that defines all the possible states of a system. Knowledge of the state vector provides a basis for real-time control of the system. In the case of a power system, the state variables are usually taken to be the voltage magnitude and relative phase angle at each bus. These can be calculated using a load flow, given the system load and generation.
On a transmission network, the number of measurements is usually larger than the number of state variables. The measurements contain errors and are therefore not necessarily the variables required for load flow calculations. State estimation (SE) provides a means of utilising all available measurements, taking account of the expected errors, to calculate the best estimate of
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the state vector. SE is used widely in Energy Management Systems (EMS) as the basis for realtime control of transmission networks.
2.3.2
Distribution State Estimation
State estimation has not been widely applied to distribution networks. The main reason for this is that distribution networks have traditionally been operated as passive radial networks and so there was little need to estimate their state accurately.
The level of automation in distribution networks has increased in recent years, driven mainly by a perceived need to improve the quality of supply. Distribution management systems (DMSs) have been installed that can rapidly re-configure the network to restore customers supplies following a fault. The recent growth in embedded generation presents new challenges to these systems. Embedded generators are far from being integrated into distribution networks, meaning that their full potential is not realised. For this to happen, DMSs need to incorporate the generation scheduling features of EMSs. As SE is the basis for these EMS functions, work is required to transfer SE from transmission to distribution systems.
Some work on distribution state estimation (DSE) has been reported in the academic literature in the 1990s [1]-[7]. The following features of distribution networks are identified as being different from those of transmission networks when applying SE.
Lack of real-time measurements although the number of measurements available to a DMS is increasing, it is still much less than the number of state variables. This necessitates the use of pseudo measurements, which are derived from historical data.
Network size distribution networks are topologically much larger than transmission networks. Researchers have therefore developed computationally efficient algorithms for Distribution State Estimators (DSE) that can be applied to a large part of a distribution network [1]-[4]. Network
reduction methods have also been applied to provide a network model that is sufficiently simple to analyse.
Low X/R ratio 11 kV distribution line impedance typically has a ratio of inductance to resistance of about 0.5. The same ratio for a transmission line is typically about 10. This means that transmission SE algorithms that decouple active and reactive power terms may not be appropriate for distribution networks.
Radial topology distribution systems are generally operated as radial networks, unlike transmission systems, which are operated as mesh networks. As the amount of embedded generation increases, distribution networks may be operated meshed. A DSE algorithm therefore needs to perform satisfactorily on both radial and meshed networks.
Bi-directional power flow distribution networks were generally designed for uni-directional power flows from a few grid supply points radially outwards to customers. An embedded generator may reverse the direction of power flow. A DSE algorithm therefore needs to take account of bi-directional power flow on a radial network.
Unbalanced loads - distribution networks are operated with unbalanced loads in the USA and consequently DSE algorithms that estimate state variables for all three phases have been developed [2]-[4]. These may be unnecessary for UK distribution systems, which are operated with more or less balanced loads compared to the USA.
2.3.3
A Distribution State Estimator
The following is a description of a distribution state estimator that is suitable for use with embedded generation. The approach to selecting the SE method has been to use the simplest applicable established techniques.
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Weighted Least Squares Algorithm The most common SE algorithm is the weighted least squares formulation, defined by Equation 1 below:
min
J (x 1, x 2, , xNs ) =
{x1, x2, , x Ns}
Nm
[Zi meas fi (x1 , x2 , , xNs)]2 i2
i=1
(2.1)
Where: x is a state variable N s is the number of state variables fi is the function relating the ith measurement to the state variables Zimeas is the ith measurement N m is the number of measurements i2 is the variance of the ith measurement J(x) is the measurement residual
The algorithm finds the best fit between the state variables and the available measurements, taking account of the accuracy of the measurements. The difference between a measurement and the measurement value calculated from the state variables is first taken. This is then squared and divided by the variance of the measurement. The sum of these terms is then minimised by adjusting the values of the state variables. This method has been proven in transmission systems and is applicable to both radial and meshed networks.
Newton-Raphson Solution The functions f i are non-linear and so Equation 2.1 cannot be solved directly. The NewtonRaphson method finds the set of state variables for which the derivative of Equation 2.1 is zero, by approximating the derivatives of the functions fi with Taylor series. This method is used in
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load flow and transmission state estimation (TSE) and so is well documented and is suitable for use with the low line X/R ratio on distribution networks. Other methods, such as forwardbackwards sweep can be applied only to radial network.
State Variables The state variables are taken as the bus voltage magnitudes and relative phase angles. These are the most commonly used state variables in load flow and TSE and so their use is well documented. In addition to these, the statuses of circuit breakers are taken as state variables. Their use at transmission level is documented in [9] and their application to DSE is reported in [8].
Some researchers have used branch currents as state variables for DSE, claiming improved computational efficiency [3]. This is worth further investigation for application to the DMS controller.
Measurement Functions The functions fi relate measurements to state variables. The constants in these functions are the network line impedances. Functions fi for DSE measurements are:
Bus active power injection Bus reactive power injection Line active power flow Line reactive power flow Line current magnitude Bus voltage magnitude
Measurement equipment for some or all of these quantities may already be installed on a particular part of a network.
Pseudo measurements On distribution networks, the number of measurements is much less than the number of state variables. A SE algorithm requires the number of measurements to be the same as or larger than the number of state variables. The unmeasured quantities are provided by pseudo measurements. These are measurement values that are derived from off-line data. Some researchers have investigated the availability and use of such data [6], while others have assumed it to be available [4]. It is proposed to calculate pseudo measurements using standard load profiles for three load classes: domestic, commercial and industrial. The profiles specify a normalised load expected value and variance for each half hour of the day. These will be matched to the particular network using available historical data. The variance associated with each pseudo measurement will be much larger than that associated with each measurement.
Statistical SE In TSE, each measurement is modelled as an independent normally distributed random variable with expected value Zimeas and variance i2. The estimated state variables are therefore also random variables. In TSE, generally only the expected values are considered. This is because in TSE there are more measurements than state variables and so the state estimate is the most accurate representation of the system state available.
In DSE, as the variances of the pseudo measurements are much larger than the variances of the real measurements, the accuracy of the state estimate can be improved by increasing the number of measurements. Clearly, the balance must be struck between cost of measurements and the value that they bring.
A particular accuracy of state estimate will be necessary for control scheduling and this will require a particular number of measurements. This accuracy and number of measurements can be determined by calculating the statistical properties of the state variables and using these to set
confidence limits. For example, consider an estimated bus voltage magnitude, modelled as a normally distributed random variable and a fixed system voltage magnitude limit. If the expected value of the estimated voltage is three standard deviations from the voltage limit, then there is a 99.73 % certainty that the actual bus voltage is within the limit. An acceptable level of certainty is chosen and this determines how many standard deviations from a limit the expected value of a state variable can be. The number of measurements is then chosen to provide a sufficiently small state variable standard deviation to allow the state variable expected value to vary over an acceptable range for control scheduling.
Three approaches to statistical DSE have been made. These use probabilistic load flow [5], stochastic load flow [7] and fuzzy state estimation [8]. The stochastic load flow approach is the simplest. It assumes that the measurements and pseudo measurements are normally distributed random variables and approximates the state variables as normally distributed random variables. It also allows correlation of measurements and pseudo measurements.
The accuracy of the stochastic state estimate will also depend upon the goodness of fit of a normally distributed random variable to the actual variations of the measurements and pseudo measurements.
2.4.
Control Scheduling
Two methods have been considered for scheduling controls. These are priority list and optimal power flow.
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2.4.1
Priority List
A priority l ist is specific to the part of network under the control of the DMS controller. The network is studied off-line and a priority list of controls and sets of rules are drawn up. A set of controls is then selected in real-time by testing the state estimate against the rules.
The priority list might comprise, for example, 30 sets of controls, with set 1 being the most preferred and set 30 the least preferred. One set of controls comprises a setting for each device under the control of the DMS controller. Each set of controls has an associated set of rules. A set of rules comprises a permissible range for each state variable. The control-scheduling algorithm tests the state estimate against each set of rules, starting with the most preferred set of controls and continuing down the priority list. If the state estimate obeys all the rules for a particular set of controls, then that set is output.
In drawing up the priority list, decisions are made as to the most desirable controls. The following is a possible list of control aims that could be used to draw up a priority list. They refer to the network shown in Figure 2.1 and are listed in descending order of preference. Generators 1 and 2 are taken to be synchronous and generator 3 to be asynchronous.
1. 2. 3. 4. 5. 6. 7. 8.
Maximise generator 1 active power export Maximise generator 2 active power export Maximise generator 3 active power export Minimise generator 1 reactive power import Minimise generator 2 reactive power import Minimise compensator reactive power import Minimise time controllable load is disconnected Maximise voltage setting for OLTCs
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The order of preference would be established from the ancillary service contracts between the network operator and the owners of the devices.
In selecting a set of controls, the control-scheduling algorithm also needs to take account of the number of changes in control setting that it makes. In doing this, the type of device under control needs to be considered. For instance, too many changes to the set point of an AVC relay will cause m echanical wear in the OLTC, shortening its life. This is a less important issue for an automatic voltage regulator of a synchronous machine, but would still need to be taken into account.
The control settings also need to take account of generators such as wind turbines that have fluctuating output power.
2.4.2
Optimal Power Flow
In general, the following sources of control may be available for managing the voltage and flow profiles of active distribution networks:
Control limits e.g. OLTC maximum number of tap steps Reactive power compensators Embedded generators Controllable loads
The choice of controls will depend on
Objective of the optimisation and cost associated with each of the controls Operating conditions defined by the network topology and loading Location and magnitudes of violated voltage and/or flow limits and Effectiveness of each control source in eliminating specific violations and its cost
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This problem belongs to the class of general Optimal Power Flow problems. The main idea of an OPF applied in the context of active distribution networks would to minimise the total cost of available control actions while satisfying voltage and thermal constraints and determining the value of the corresponding controls applied ( PGi PDi , Q c and T k ).
This problem, for each individual settlement period t, may be stated mathematically as follows:
Objective function
Minimise ( PGi , PDi , Qi , Tij )

PGi , PDi ,QC ,T
(2.2)
Subject to:
PGi PLi PGi + PDi = Piinj (V , , T )

QGi + QC QLi QGi + Q Di = Qiinj (V , , T )
max Sij Sij
(2.3) (2.4) (2.5) (2.6) (2.7)
Vimin Vi Vimax
min cur max PGi PGi PGi
Q min Q c Q max c c
Tkmin Tk Tkmax
(2.9) (2.10) (2.11)
QGi = f ( PGi )
Q Di = g ( PDi )
Where,
PLi , QLi
Active and reactive load at node i, at time t
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PGi , Q Gi
Active and reactive generation at node i, at time t Active and reactive generation curtailment/increase at node i, at time t (if possible)
PGi , QGi
PDi , Q Di
Active and reactive demand curtailment/increase at node i, at time t (if possible)
Qc
Reactive power absorbed by a reactive compensator, at time t Active and reactive power injection at node i, at time t Tap setting of the tap-changer k, at time t Load flows of the branch ij, at time t Maximum control load flow in branch ij, at time t Voltage angle at node i, at time t Voltage at node i, at time t
Piinj , Q inj i
Tk
Sij
Smax ij
i
Vi
The objective function (Equation 2.2) minimises the total cost of control actions. It is envisaged that exercising each of the available control actions may be associated with some cost. For example, there is likely to be some cost associated with constraining generators in order to manage the voltage and flows in the network. The costing should be based on some form of the opportunity cost which would form a base for the cost of contracts curtailment. This may be in the form of fees associated with the exercise of the options. Nodal power balance equations are represented by Equation 2.3 and 2.4.
The optimisation is also subject to the branch thermal constraint (Equation 2.5) and network voltage limits (Equation 2.6). The maximum amount of active generation curtailed will be limited by the capacity of EWG connected (Equation 2.7). Reactive power curtailment may be correlated with the active power curtailment, which is modelled through Equations 2.10 and 2.11. Reactive power support may limited by the capacity of reactive compensation installed
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(Equation 2.8). The tap-changer setting, Tk , will be optimised and can vary within the bounds given by Equation 2.9.
It is important to note that the OPF enforces satisfaction of voltage and thermal constraints. This is achieved by minimizing the total cost associated with active generation/load curtailment and /or reactive support (absorption /injection). Also, the OPF can provide solutions to problems that can not be solved by ordinary load flow, again by minimizing the cost of active and reactive mismatch.
2.5.
Implementation
Implementation of the DMS controller in any part of the network will depend on funding for the capital and operating costs of the equipment. Costs and funding are affected by several factors especially: The availability of existing measurements; The number of measurements required in any particular system; The costs of establishing new measurements; The financial benefits of implementation to Generators and Load customers, Suppliers and DNOs.
Under the current system of industry regulation of the DNOs by Ofgem there are no financial incentives for DNOs to undertake expenditure to accommodate more embedded generation. However this regime may well change within the timescale for development of the DMS concepts. There are no significant benefits envisaged to Suppliers or Load Customers at present although, in the future, increased quality of supply may achieved.
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Under the present Deep charging policy, it is anticipated that any implementation of the DMS will be funded by embedded generators in order to reduce connection costs and/or to increase export capacity for a site.
Embedded generators tend to connect to networks on a one off basis and have not so far found that working together to jointly fund network reinforcement is a workable arrangement. The first DMS schemes are therefore expected to be funded by a single embedded generator and the expenditure will be expected to deliver financial benefit. We can therefore expect a piecemeal approach to the initial implementations of DMS. This piecemeal approach has also been anticipated by the DTI/OFGEM Embedded Generation Working Group in its assessment of the future of active management of distribution networks.
We expect that the first implementations for embedded generators will take place where the output of the generator would be constrained at certain times. These times are when maximum generation and minimum load would otherwise result in the network voltage rising outside the statutory limits. The solution would involve the installation of a DMS controller at a single primary substation (e.g. 33/11kV) in order to reduce the busbar set voltage and accommodate the output of the generator at all times, and specifically during minimum load and maximum generation conditions.
The local control on the generator would still be implemented, along with the DMS controller, to ensure that network voltage did not exceed limits even if the DMS controller were to fail or fault. This local generator control could take the form of limiting real power output or possibly controlling reactive power imports (operating at a leading power factor) in order to reduce network voltage to within acceptable limits. To achieve effective local control the maximum local network voltage must occur at the point of connection of the generator and this is often the case with a single generator on a radial feeder.
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It is expected that the measurement points for the first generation of DMS implementations will be at the primary substation (e.g. feeder currents and load and busbar voltage) and at the generator only.
As more generators are connected with several on one feeder, more measurements will be required. The number of measurements required may possibly be established from an economic assessment. The accuracy of the SE will improve with the number of measurements. It is expected that the operating voltage range and the amount of generation accommodated will increase with the accuracy of the SE. Generators may therefore be able to increase export capacity by adding new measurement points to an existing DMS so the cost benefit of each new measurement point can be assessed.
The optimisation process must take account of a number of factors including: Keeping customers within voltage supply limits; Limiting the number of tap change operations; Limiting other switching operations; Costs of communicating to bring in measurements to the DMS controller; The impact and probability of step changes in network conditions, generation and loads; The benefits to connected generators; Faults and switching operations.
The complexity of the optimisation will therefore involve assessing all these factors and providing the network operator with confidence in the DMS control actions.
A basic SE takes in a simplified model of the distribution network and therefore switching operations (to reconfigure the network due to faults, maintenance or other operational reasons) will result in an inaccurate SE model. Switching can be carried out manually or automatically on site, or by remote control. Options to deal with switching in the SE include:
Including all network switching points in the SE model; Add auxiliary contacts to all switches and feed into the SE model; Develop a number of SE models for the most common network configurations and run the appropriate model at any time; Only run the model during normal network configurations and disable the DMS during switching operations.
In conclusion, the initial implementation of DMS is likely to be on an ad-hoc site-specific basis funded by generators in order to ensure a cost effective export capacity. The first instances of the DMS are therefore likely to be simple with local measurements and minimal optimisation techniques such as the priority list approach (in Section 2.4.1) above.
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3. Quantifying the Benefits of Active Management of Distribution Networks
3.1.
Introduction
As discussed in Section1 the current operating policy based on passive operation of distribution network limits the capacity of generation that can be connected to the existing networks. In order to minimise the overall effect of embedded generation network operators prefer to connect embedded generation at higher voltages where their impact onto voltage levels is minimal. However, the commercial viability of embedded generation projects is sensitive to connection costs. These costs increase considerably with the voltage level at which the embedded generation is connected; generally the higher the voltage or sparser the network, the higher the cost. The developers of embedded generation therefore prefer to connect at lower voltages.
In Section 1 it was also described how the voltage rise effect could be effectively controlled within an active network environment, and as a result, enable considerably higher levels of penetration of embedded generation into existing systems. In this section the benefits of following four main control strategies are quantified:
(i)
Active power generation curtailment: This type of control may be particularly effective when the generator is connected to a weak network, with high R/X ratio. The generator may find it profitable to curtail some of its output for a limited period if allowed to connect
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larger capacity. This may be particularly suitable for embedded wind generation, as the generation curtailment is likely to be required during times of relatively low value of energy (such as summer nights).
(ii)
Reactive power management: Absorbing reactive power can be beneficial to controlling voltage rise effect, especially in weak overhead networks with embedded generation. In this respect, the use of a reactive compensation facility, such as a STATCOM, at the connection point is discussed in [1]. However, reactive power management as a means of increasing the penetration of embedded generation has not been previously investigated. In this study an optimal power flow method is applied to illustrate the potential benefits of reactive power management in this context.
(iii)
Area based coordinated voltage control of OLTCs: The introduction of a co-ordinated voltage control policy may be beneficial in the context of penetration level of embedded wind generation. Present voltage control in distribution networks is primarily carried out by On Load Tap Changing-transformers (OLTC). Voltage control is usually based on a simple constant voltage policy or a scheme that takes into account circuit loading while determining the voltage that should be maintained. It is important to bear in mind that this voltage control policy was designed for passive networks with strictly unidirectional power flows. In active distribution networks with multi-directional power flows, the validity of this local control voltage practice becomes inherently inadequate. In fact, this practice limits the degree of openness and accessibility of distribution networks and therefore has a considerable adverse impact on the amount of generation that can be accommodated. Alternative voltage control practices that go beyond the present local voltage control, such as an area-based control of OLTC are considered in this study and the benefits of such policies quantified.
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(iv)
Application of voltage regulators: In the context of the voltage rise effect, minimum load - maximum generation conditions are usually critical for the amount of generation that can be connected. However, it may also be necessary to considered maximum load maximum generation conditions. This is because, the use of OLTC transformer to reduce the voltage on the feeder where the generator is connected, may produce unacceptable voltage drop on adjacent feeders that supply load. In this case it may be beneficial to separate the control of voltage on feeders which supply load, from the control of voltage on feeder to which the generator is connected. This can be achieved by the application of voltage regulators.
The benefits of an active management of distribution network exercised through the above alternative control strategies can be quantified by the volume of annual energy and corresponding revenue that can be generated for various capacities of wind generation installed. An Optimal Power Flow tool, that minimises the amount of generation curtailment necessary to maintain the voltage with the prescribed limits, while optimising the settings of available controls (such as tap position of the OLTC transformer), is used in this study. This analysis is carried out on a characteristic 33 kV network that exhibits all phenomena of interest.
3.2.
Case Studies
3.2.1
Description of the System
The 33 kV distribution network on which the case studies are carried out is shown in Figure 3.1. The network is fed from a 132 kV network (busbar 1) through an OLTC. Loads are connected to busses 2, 3, 4 and 5. Embedded wind generation is connected at bus 6, where
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power factor correction is also connected. Branch parameters of this network are given in Table 3.1.
Distribution Network
6 bus system
13.06 MW 3.00 MVR

0.27 MW 0.36 MVR
13.40 MVA 3 0.983 pu

-5.22 Deg
9.18 MW 1.94 MVR

0.08 MW 0.14 MVR
9.28 MVA 4 0.972 pu

-5.98 Deg
GSP
42.36 MW 14.29 MVR
0.35 MW 3.28 MVR
44.71 MVA
2.54 MW 1.70 MVR

0.04 MW 0.03 MVR
3.06 MVA 5 1.014 pu

-3.15 Deg
3.6 MW 0.7 MVR
5.88 MW 1.08 MVR

0.12 MW 0.14 MVR
6.07 MVA
9.1 MW 1.8 MVR
1.01
1 1.045 pu
0.00 Deg
6 1.031 pu
-1.66 Deg
EG
6.0 MW -2.0 MVR
2 1.009 pu
-3.96 Deg
31.50 MW 6.30 MVR
3.3 MW 0.6 MVR
Figure 3.1 - Distribution test system (maximum loading condition).
Table 3.1 - Branch parameters of distribution network (on 100 MVA base) shown in Figure 3.1. No 1 2 3 4 5 Branch From 1 2 3 2 5 To bus 2 3 4 5 6 Reactance (p.u.) 0.01869 0.15500 0.09000 0.40000 0.35700 Resistance (p.u.) 0.17726 0.20174 0.15770 0.30000 0.40000
A mixture of residential, industrial and commercial loads is allocated to each of the busbars. Hourly averages of active and reactive power are used to form annual load profiles. These take into account daily and seasonal variations of load and may be considered to be typical. Reactive demand profiles are also modelled following generally accepted rules characteristic for the majority of load (variations in active load are considerably greater than that in reactive load). Peak values of the loads are given in Figure 3.1, together with line flows and losses.
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Modelling of the hourly output of wind generation is based on the Stochastic Markov Model presented in [2]. This model is used to create a normalised annual generation profile, which was a basis for constructing wind generator output for various installed capacities. Reactive demand of the generator is approximately modelled and together with two sizes of Power Factor Correction applied, average power factors of 0.95 and 0.98 are achieved (absorbing VARs).
3.2.2
Base Case Scenarios
Base case scenarios represent the present, passive approach to voltage control. Two characteristic conditions are considered: (i) minimum load maximum generation and (ii) maximum load maximum generation. In all studies it was assumed that the voltage could vary within +/- 3% from the nominal value. Applying the first criterion (i) it was found that a 10MW wind generator could be connected, while the criterion (ii) reduces this to only 6 MW.
3.2.3
Tool for Modelling the Operation of an Active Distribution System
In Section 2, the outline design of a Distribution Management System (DMS) controller suitable for embedded generation is discussed. Several hardware configurations are proposed of increasing complexity. The overall concept for the controller software is described with the two major elements: (1) state estimation and (2) control scheduling. In this report, the concept of optimal power flow is applied to schedule the available controls optimally and to quantify the benefits of alternative voltage control strategies. This benefit is expressed in terms of the increased amount of embedded generation that can be connected.
The main purpose of an OPF applied in the context of active management of distribution networks is to determine the optimal schedule of available controls (generation curtailment, VAR absorption, turns ration of the OLTC transformer, load shedding, etc) that minimise the total cost of taking these actions while satisfying voltage and thermal constraints.
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In this particular case, the general optimisation task is reduced to a problem of minimising the amount of generation that need to be curtailed in order to satisfy voltage constraints. Clearly, if the voltage rises above the maximum value due to high wind generation output the OPF would enforce the satisfaction of the violated constraints through curtailing the generation, while maintaining power factor of the wind farm unchanged.
This problem, for each hourly period t, may be stated mathematically as follows:
cur Objective function, Minimise ( PGi )
(3.1)
Subject to:
cur PGi PLi PGi = Pi inj (V , , T ) cur QGi + QC Q Li QGi = Qiinj (V , , T )
(3.2) (3.3) (3.4) (3.5) (3.6) (3.7) (3.8) (3.9)
max Sij Sij
Vimin Vi Vimax
min cur max PGi PGi PGi
Q min Q c Q max c c
Tkmin Tk Tkmax
cur cur QGi = f ( PGi )
Where,
PLi , QLi
PGi , Q Gi
cur cur PGi , QGi
Active and reactive load at node i, at time t Active and reactive generation at node i, at time t Active and reactive generation curtailment/increase at node i, at time t (if possible)
Qc
Reactive
power
generated/absorbed
by
reactive
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compensator, at time t
Piinj , Q inj i
Active and reactive power injection at node i, at time t Tap setting of the tap-changer k, at time t Load flows of the branch ij, at time t Maximum control load flow in branch ij, at time t Voltage angle at node i, at time t Voltage at node i, at time t
Tk
Sij
Smax ij
i
Vi
The objective function (Equation 3.1) minimises the total cost of generation curtailment. In general, however, exercising each of the available control actions could be associated with some cost. Nodal power balance equations are represented by Equation 3.2 and 3.3.
The optimisation is also subject to the branch thermal constraint (Equation 3.4) and network voltage limits (Equation 3.5). The maximum amount of active generation curtailed will be limited by the capacity of EWG connected (Equation 3.6). Reactive power curtailment ma y be correlated with the active power curtailment, which is modelled through Equations 3.9. Reactive power support is limited by the capacity of reactive compensation installed (Equation 3.7). The tap-changer setting, Tk , will be optimised and can vary within the bounds given by Equation 3.8.
3.2.4
Generation Curtailment
In this exercise, generation curtailment is used to manage voltage rise effect. The OLTC transformer maintains a constant voltage at its terminals. The effect of applying generation curtailment to larger wind farm schemes was investigated. Two case studies are performed (i) operation with average power factor of 0.98 and (ii) operation with average power factor of 0.95.
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(i) Power Factor of 0.98
Figure 3.2 shows the resultant annual energy produced and curtailed with installed capacity from 4 MW to 20 MW, in steps of 2 MW. Based on the current practice, the capacity of embedded generation allowed for connection is generally limited by the extreme situation of minimum or maximum loading and maximum generation output. This condition only allows 6 MW of generation to be connected. For this level of output no generation curtailment occurs and any increase in the level of penetration will lead to violation of voltage limits at the connection point.
The lighter bars represent the net energy generated in the course of one year, while the darker bars represent the curtailed energy. Net energy generated is increasing until penetration reaches 12 MW.
40000 35000 30000 Energy (MWh) 25000 20000 15000 10000 5000 0 4 6 8 10 12 14 16 18 20 Embedded wind generation penetration (MW) Generation curtailed Net generation
Figure 3.2 - Produced and curtailed annual energy for pf = 0.98
In order to calculate the value of energy generated and curtailed, pool-selling price was used. The net annual revenues received and lost are calculated for various levels of penetration and shown in Figure 3.3.
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1200000 Loss in revenue 1000000 800000 600000 400000 200000 0 4 6 8 10 12 14 16 18 20 Embedded wind generation penetration (MW) Net revenue
Figure 3.3 - Net revenue and loss in revenue for pf=0.98
Table 3.2 shows a summary of energy and revenue shown in Figure 3.2 and 3.3. The percentage reduction in revenue is less than percentage of energy curtailed because the most of reduction occurs when price of electricity is lower than average.
Table 3.2 - Energy and revenue generated and curtailed for pf=0.98
Embedded wind generation penetration (MW) 4 6 8 10 12 UG (MWh) NG (MWh) CG (MWh) PEC (%) UGNR () NR () RL () PRL (%)
7437 7437 0 0.00% 234900 234900 0 0.00% 11160 11102 58 0.52% 352400 351716 684 0.19% 14870 13972 898 6.04% 469900 452160 17740 3.78% 18590 15494 3096 16.65% 587300 509500 77800 13.25% 22310 16362 5948 26.66% 704800 536800 168000 23.84%
Revenue ()
14
26030 16850 9180 35.27% 822200 547800 274800 33.42%
16
29750 16878 12872 43.27% 939700 551700 388000 41.29%
18
33470 17060 16410 49.03% 1057000 554800 502200 47.51%
20
37190 17080 20110 54.07% 1175000 556900 618100 52.60%
Legend: UG unconstrained generation NG net generation CG curtailed generation PEC percentage of energy curtailed
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UGNR unconstrained generation, net revenue NR net revenue RL revenue lost PRL percentage of revenue lost
Net energy generated increased from 11,102 MWh (for a 6 MW installed capacity) to about 13,972 MWh (for a 8 MW installed capacity), where 898 MWh (or 6.04 %) is being curtailed.
However, the revenue lost due to this scheme is about 17,740, or 3.78 % of total possible revenue of 469,900. This is shown in Table 3.2 where the net revenue obtained in a year increases from 351,716 (for a 6 MW installed capacity) to 452,160 (for a 8 MW installed capacity). It should be noted that the percentage reduction in revenue is less than that of energy curtailed. This is due to the lower prices of electricity at time of curtailment. However, for larger penetration (installed capacity more than 10 MW) the revenue lost and energy curtailed increases considerably and this may no longer be acceptable.
(ii) Power Factor of 0.95
A similar case study is performed for average power factor of 0.95. The results are shown in Figures 3.4 and 3.5, and Table 3.3. In this case the net energy generated is increasing beyond 12 MW, although the energy curtailed for installation larger than 10-12 MW is significant. Comparing this case with the above clearly shows the benefits of operating with lower power factors.
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Figure 3.4 -Produced and curtailed annual energy for pf = 0.95

1200000 1000000 Revenue (/year) 800000 600000 400000 200000 0 4 6 8 10 12 14 16 18 20 Embedded wind generation penetration (MW) Loss in revenue Net revenue
Figure 3.5- Net revenue and loss in revenue for pf=0.95 Table 3.3 - Energy and revenue generated and curtailed for pf=0.95
Embedded wind generation penetration (MW) 4 6 8 10 12 UG (MWh) NG (MWh) CG (MWh) PEC (%) UGNR () NR () RL () PRL (%)
7437 7437 0 0.00% 234900 234900 0 0.00% 11160 11152 8 0.07% 352400 352304 96 0.03% 14870 14631 239 1.61% 469900 466248 3652 0.78% 18590 17226 1364 7.34% 587300 558250 29050 4.95% 22310 19036 3274 14.68% 704800 620340 84460 11.98%
14
26030 20471 5559 21.36% 822200 664500 157700 19.18%
16
29750 21720 8030 26.99% 939700 701800 237900 25.32%
18
33470 22810 10660 31.85% 1057000 733000 324000 30.65%
20
37190 23760 13430 36.11% 1175000 760600 414400 35.27%
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In this case, the net energy generated increased from 11,152 MWh (for a 6 MW installed capacity) to about 14,631 MWh (for a 8 MW installed capacity), where 239 MWh (or 1.61 %) is being curtailed. For the 8 MW wind farm, the reduction in average power factor from 0.98 to 0.95 reduces the amount of energy curtailed from 898 MWh to 239 MWh.
However, the revenue lost due to this scheme is only about 3,652, or 0.78% of total possible revenue of 469,900. This is shown in Table 3.3 where the net revenue obtained in a year increases from 352,304 (for a 6 MW installed capacity) to 466,248 (for a 8 MW installed capacity). Furthermore, for the 8 MW wind farm, the reduction in average power factor from 0.98 to 0.95 increases the amount of revenue from 452,160 to 466,248.
This clearly shows that the request to operate wind farms with unity power factor (used in some utilities) will severely limit the amount of generation that can be connected.
3.2.5
Reactive Compensation and Voltage Control
The effect of applying reactive power compensation to manage voltage rise effect and hence allow an increase of penetration of wind generation is achieved by absorbing reactive power at the point of connection. In this case, active power generation would only be curtailed when the reactive power absorbed is insufficient for maintaining the voltage within permissible limits. The capacity of reactive power compensating plant may therefore be important in limiting generation curtailment. The effectiveness of reactive compensation will be system specific.
In order to simulate this, an SVC, with various capacities, has been added to the point of connection. Figure 3.6 shows the amount of energy generated for various penetration levels and various reactive compensation capacities. Similarly Figure 3.7 gives the revenues generated for various penetration levels and various reactive compensation plant capacities. The figure shows that the effect of reactive compensation in this particular case is not very significant. In other words, the reduction of the power factor below 0,95 will not be very beneficial (this power
factor on this particular system appears to be optimal). It is important to bear in mind that in other systems [3], the effect of reactive compensation may be considerable. This will be primarily determined by the X/R ratio (driven by the type and the capacity of the circuit).
25000
Produced energy (MWh)
20000 0 MVAr 1 MVAr 15000 2 MVAr 3 MVAr 4 MVAr 5 MVAr 6 MVAr 5000
10000
0 4 6 8 10 12 14 16 18 20 Embedded wind generation penetration (MW)
Figure 3.6- Energy generated by the wind farm (parameter is SVC rating)
800000 700000 600000 Revenue () 500000 400000 300000 200000 100000 0 4 6 8 10 12 14 16 18 20 Embedded wind generation penetration (MW)
Figure 3.7 Revenue generated by the wind farm (parameter is SVC rating) 3.2.6 Area Based Voltage Control by OLTC
In previous cases the OLTC is used to maintain voltage magnitude at busbar 2 to constant value of 1.00 p.u. In this case the tap position of the OLTC is optimised in order to minimise generation curtailment. The results are shown in Figure 3.8, Figure 3.9 and Table 3.4.
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Figure 3.8 Energy generated and curtailed with the application of OLTC area based voltage control
1200000 1000000 Revenue (/year) 800000 600000 400000 200000 0 4 6 8 10 12 14 16 18 20 Embedded wind generation penetration (MW) Loss in revenue Net revenue
Figure 3.9 Revenue generated and curtailed with the application of OLTC area based voltage control
Table 3.4 - Energy and revenue generated and curtailed for OLTC area based voltage control
Embedded wind generation penetration (MW) 4 6 8 10 12 UG (MWh) NG (MWh)
7437 7437 11160 11160 14870 14870 18590 18590 22310 22294
14
26030 25943
16
29750 28172
18
33470 30056
20
37190 31753
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CG (MWh) PEC (%) UGNR () NR () RL () PRL (%)
0 0.00% 234900 234900 0 0.00%
0 0.00% 352400 352400 0 0.00%
0 0.00% 469900 469900 0 0.00%
0 0.00% 587300 587298 2 0.00%
16 0.07% 704800 704589 211 0.03%
87 0.33% 822200 821054 1146 0.14%
1578 5.30% 939700 889080 50620 5.39%
3414 10.20% 1057000 943300 113700 10.76%
5437 14.62% 1175000 992000 183000 15.57%
Year round analysis using the OPF tool show that the penetration levels up to 14 MW can be achieved with virtually no energy curtailed (for a 14 MW wind farm, only 87 MWh is expected to be curtailed in one year). For a wind farm of 16 MW, the amount of energy curtailed is 1578 MWh or 5.3 %. Clearly the area-based voltage control by OLTC transformers allows a considerable increase in penetration of embedded generation. It is however important to remember that this technique of voltage regulation will need implementation of a DMS type system (with appropriate communication systems) as discussed in Section 2.
3.2.7
Area Based Voltage Control by OLTC and Voltage Regulator
As indicated above, minimum load - maximum generation conditions are usually critical for the amount of generation that can be connected, due to voltage rise effect. However, it may also be necessary to consider maximum load maximum generation conditions. This is because, the use of OLTC transformer to reduce the voltage on the feeder where the generator is connected, may produce unacceptable voltage drop on adjacent feeders that supply loads. In this case it may be beneficial to separate the control of voltage on feeders which supply load, from the control of voltage on feeder to which the generator is connected. This can be achieved by the application of voltage regulators and this is investigated in this work.
In order to examine the benefits of this option, a voltage regulator is inserted at the beginning of the feeder, which accommodates the wind farm. This allows an independent voltage regulation on feeders with loads by the OLTC, while the voltage regulator controls the voltage on the feeder with wind farm. In the OPF the voltage regulator is modelled in a similar way as an OLTC with the ability to change the turn ration from 0.9 to 1.1 pu continuously. The results of
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this case are shown in Figure 3.10, 3.11 and Table 3.5. It is clear that this voltage control policy increases the amount of generation that can be connected (up to 20MW) with almost no curtailed energy.
Figure 3.10 - Energy generated and curtailed energy from wind farm in a year for different value of wind farm penetration.
1200000 Loss in revenue 1000000 800000 600000 400000 200000 0 4 6 8 10 12 14 16 18 20 Embedded wind generation penetration (MW) Net revenue
Figure 3.11 - Net revenue and loss in revenue for different value of wind farm penetration.
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Revenue ()
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Table 3.5 - Energy and revenue generated and curtailed for application of OLTC and Voltage Regulator based voltage control
Embedded wind generation penetration (MW) 4 UG (MWh) NG (MWh) CG (MWh) PEC (%) UGNR () NR () RL () PRL (%)
7437 7437 0 0.00% 234900 234900 0 0.00%
6
11160 11160 0 0.00% 352400 352400 0 0.00%
8
14870 14870 0 0.00% 469900 469900 0 0.00%
10
18590 18590 0 0.00% 587300 587299 1 0.00%
12
22310 22295 15 0.07% 704800 704597 203 0.03%
14
26030 25970 60 0.23% 822200 821480 720 0.09%
16
29750 29627 123 0.41% 939700 938206 1494 0.16%
18
33470 33265 205 0.61% 1057000 1054483 2517 0.24%
20
37190 36865 325 0.87% 1175000 1170984 4016 0.34%
3.2.8
Impact of Voltage Controls on Losses
Connecting embedded generators alters loss performance of distribution networks. Small penetrations of embedded generation tend to reduce network power flows, and thus network losses. However, when penetration is large then embedded generation will export power to the grid and may cause increase in losses. In this particular system, with no generation being connected network losses are 2860 MWh/year with the value of 105,600 per year. Figure 3.12 and 3.13 show the level of network losses and their costs for various levels of penetration and various voltage control strategies applied. For a low level of penetration losses are reduced regardless of the voltage control. For the higher level of penetration, enabled by cases the OLTC and the voltage regulator based controls, losses are significant due to the amount of renewable energy generated.
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2500 2000 Losses (MWh) 1500 1000 500 0 -500 4 6 8 10 12 14 16 Embedded wind generation penetration (MW) p.f. = 0.98 p.f. = 0.95 SVC 3 MVAr OLTC OLTC and VR 18 20
Figure 3.12 - The losses for different voltage controls and embedded wind generation penetration.
80000 70000 60000 Cost of Losses () 50000 40000 30000 20000 10000 0 -10000 -20000 4 6 8 10 12 14 16 Embedded wind generation penetration (MW) p.f. = 0.98 p.f. = 0.95 SVC 3 MVAr OLTC OLTC and VR 18 20
Figure 3.13 - Cost of losses for various voltage control and embedded wind generation penetration.
The overall benefits of alternative voltage regulation strategies, including the effect of losses, are summarised in Figure 3.14. The studies performed clearly show significant benefits of active control of distribution network. The most beneficial are schemes with area based voltage control by OLTCs and voltage regulators achieving a 3 fold increase in the capacity of embedded generation that can be connected.
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1200000
1000000
800000 Revenue (/year)
600000
400000
200000
0 4 6 8 10 12 14 16 18 20 Embedded wind generation penetration (MW) p.f. = 0.98 p.f. = 0.95 SVC 3 MVAr OLTC OLTC and VR
Figure 3.14 - Net income of various voltage controls and for various level of embedded generation penetration.
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4. Commercial Management
Arrangements
to
Support
Active
4.1.
Background
As discussed in earlier sections, the presence of embedded generation in distribution systems alters radically the way these networks should be viewed from both technical and commercial vantage points. This is because embedded generation effectively turns distribution networks from passive networks with unidirectional power flows from higher to lower voltage levels into active networks with multidirectional power flows. This change challenges the validity of traditional distribution network planning, operation and commercial practices, in which distribution networks are treated as passive. For the value of embedded generation to be appropriately recognised, it is essential to factor the active nature of distribution networks with embedded generation into all commercial as well as technical operation and planning activities.
An essential condition for competition to develop is open access, on a non-discriminatory basis, to transmission and distribution networks. The central issue here is setting cost reflective prices for various transmission and distribution services. Clearly, there is ever growing pressure for all components of costs to be clearly identified and assigned efficiently and equitably to all parties avoiding temporal or spatial cross-subsidies.
In order to facilitate fair competition between various generators, central and embedded, setting of appropriate connection, use of transmission and distribution system charges, ancillary services
and access arrangements is essential. Due to its location, embedded generation not only acts as another source of electricity but it can potentially substitute for transmission and high voltage distribution facilities, reduce losses in those networks and improve service quality seen be end customers. This is often used to argue that kWh produced by embedded generation has a higher value than kWh generated at transmission level by a conventional central generating plant. As embedded generation directly competes with central generation, it is essential to have a consistent commercial framework for pricing of network services in order to establish fair competition among generators.
This particular project is primarily concerned with the connection cost for embedded generators. Clearly, an active management of distribution systems discussed in previous sections, enables an increased amount of embedded generation to be connected to existing distribution networks without reinforcement of primary plant. In this context, active management is an alternative to network reinforcement.
However, under the present regulatory framework Distribution Network Operators (DNOs) do not have any incentive to connect generation and offer active management services to reduce the connection costs and increase the amount of embedded generation that can be connected. In order to develop appropriate commercial incentives for DNOs to it is necessary to understand and quantify the benefits of active management of distribution networks. This section discusses a number of issues associated with the present commercial arrangements.
4.2.
Voltage Rise Effect and Connection Costs
From the embedded generation perspective, one of the most important questions related to the policy of connecting embedded generation is the voltage level to which generation should/could be connected, as this has major a impact on the overall profitability of generation projects.
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The overall connection costs may considerably alter the cost base of an embedded generator and are primarily driven by the voltage level to which the generator is connected. Generally, but not exclusively, the higher the voltage level the greater the connection cost. In order to secure the viability of a generation project, developers and operators of embedded generation would prefer to be connected at the lowest possible voltage level. On the other hand the higher the connecting voltage the lower the impact that embedded generation has on the performance of the local network, particularly in terms of steady state voltage profile and power quality. Therefore, the network operators generally prefer connecting embedded generation to higher voltage levels. These two conflicting objectives need to be balanced appropriately, and may require an in-depth technical and economic analysis of the alternative connection designs and the ability to manage operation of the network including the dispatch of generation and control of network facilities such as OLTCs and other reactive compensation devices. In this respect, the voltage rise effect which a generator connected to a weak network could produce is particularly critical, as demonstrated in earlier sections of this report.
4.3.
Problems with Present Arrangements
To which voltage level an embedded generator can be connected to the distribution network will largely depend on its size but the layout of the local network, its parameters, the proximity of load may also be important, and it is therefore not possible to derive generalised rules. As listed in [1], typically generators up to 500kW could be connected to 415V networks; 11 kV networks to 5MW, and up to 20 MW to 33 kV networks.
In practice, the level of penetration of embedded generation depends largely on network connection rules. These will determine the amount of embedded generation that can be connected to the local networks. For example, the design of connections is determined on a case by case basis in the UK following respective quality standards defined in engineering recommendations [2], [3]. In contrast to this practice, the connection rules in Germany [4] are
derived from the respective standards of network operation assuming typical medium voltage networks with average loads and typical lengths of lines. The latter approach brings some advantages in terms of the definitions and easy administrative handling of the connections at the expense of the inability to capture the specifics of individual cases. Another interesting example is France, where generators between 10 and 40 MW may only be connected to networks above 50 kV, and plant greater than 40 MW must be connected at 225kV and above [5]. Clearly, these rules, though determining the voltage level at which generators should be connected to the networks, are crucial not only for the commercial success of individual generation projects, but also for the general level of penetration of embedded generation.
The common element in all current practices is that distribution network operators follow a passive operation philosophy. DNOs continue to operate their networks in the same way irrespective of wheatear generation is connected or not. As this report shows, such practice restricts considerably the amount of generation that can be connected to existing systems. On the other hand, the introduction of active management of distribution networks offers increased amounts of embedded generation to be connected.
As active management would involve dispatch of active and/or reactive power of embedded generators, depending on generation technology and requirements, it is important to examine the commercial implications of such actions in the context of present arrangements.
As discussed in previous sections, active power generation curtailment could be used as a means of reducing the voltage rise effect. As shown in the analysis carried out in this report, the generator may find it profitable to shed some of its output for a limited period if allowed to connect to a lower voltage level. Curtailing the output of active power of an embedded generator would impose cost associated with NETA imbalance charges. However, developers of embedded generation do not have the opportunity to balance the connection costs against
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cost of imbalances and make an appropriate choice, as this option has not yet been widely offered to generators.
Consequences of modifying reactive injections can be quantified through network charges associated with reactive power. However, VAR management as a means of reducing voltage excursions in distribution networks is not encouraged by appropriate pricing mechanisms (although, as shown in the previous section of the report, absorbing reactive power can be very beneficial to controlling voltage rise effect in weak overhead networks with embedded generation). Present reactive power pricing in some distribution networks is that generators which absorb reactive power are charged by the distribution company on the basis of the active power demand taken by the plant, not its generation. As active power input is much lower than the active power output, reactive power taken by the generator is seen as a reactive excess, and consequently, the generator is expected to pay the highest possible excess reactive charges. There are two different approaches to charging for reactive power/energy. Some of the UK DNOs charge with respect to kVArh (reactive energy) in excess of 40-50% of the total unit consumption in that month. Some other DNOs charge for maximum kVAr (reactive power) of demand in excess of the value obtained by multiplying the maximum kW of demand registered in any time during the month by 0.4. There are also DNOs who base their distribution use-ofsystem charges on kVA demand, which discourages active management of voltage. The philosophy behind the excess reactive charges has been derived for passive distribution networks and cannot be justified in the context of a distribution network with embedded generation.
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4.4.
Cost Benefit Analysis of Implementing Active Management of Distribution Networks
In this section the main components of cost and benefits of operating active distribution networks are identified and discussed.
The gross benefit (GB) of implementing active management of distribution networks could be defined as the value (v), that a particular embedded generation developer, would attribute to the increased amount of generation (EG ) that could be connected to the existing network above the amount that is possible to connect under the passive operation philosophy:
GB = v( EG )
(4.1)
This gross benefit would normally be specific to the particular generation scheme and influenced by the revenue streams that the generator would expect to realise from its operation, such as income from increased energy sales, income from additional ROCs that can be sold and further income associated with various embedded benefits.
The net benefit (NB) of installing this increased amount of generation could be quantified as follows:
NB = GB C DNO ( EG ) CQ ( EG ) C NETA ( EG ) C ROCs ( EG )
(4.2)
where
C DNO ( EG ) - represents charges/cost associated with the service of actively managing
distribution network and the generation output (this service would be offered by DNOs)
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CQ ( EG ) - represents cost of reactive compensation required to accommodate the increased
amount of embedded generation capacity
C NETA ( EG ) - represents NETA imbalance charges (or cost associated with managing the
imbalance through PXs) arising from modifying the output of the generator to meet network voltage/thermal constraints
C ROCs( EG ) - represents loss of income from ROCs due to constrained-off operation.
Clearly, the decision to connect the increased amount of generation EG would depend on the value of the expected net benefit (NB). Hence the cost components on the right hand side of the expression (4.2) would need to be quantified.
Cost of active management of distribution network (C DNO) The change in operation of distribution networks from passive to active, with the main goal to minimise the amount of distribution primary plant required to accommodate increased amount of embedded generation, will demand implementation of appropriate measurement, control and communication facilities. Of course the level of sophistication of control facilities required will depend on the control strategy chosen. For example, generation curtailment based active management would not require coordinated real time management of the system, and would only require local decision making based on local measurements (sometimes called basic active management). On the other hand, full blown real time dispatching of embedded generators and coordinated control of OLTCs will require considerably more extensive communication facilities and more sophisticated coordinated control to be implemented (advanced active management). Of course the benefits of the latter scheme are likely to be greater. As described in Section 2, in order to estimate the state of the active distribution system, necessary for scheduling of
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appropriate control actions, additional measurements would need to be installed at various points in distribution network. The procedures for determining the necessary number and optimal placement of such measurement points, and the state estimation techniques for real time control, are yet to be developed.
Furthermore, these measurement sites will need to be accessible remotely, and hence the need for a suitable communication system. The exact technical requirements for such a communication system are still being debated.
The processing of the collected data, and making appropriate control decisions, will need software/hardware tools to be implemented. This decision process will also require cost information associated with selecting alternative control actions. A possible approach, using an Optimal Power Flow method, is described in general terms in section 2. This information processing and decision making activities will be accomplished by a D MS controller also described in section 2.
Finally, executions of the selected controls would need installation of appropriate SCADA type equipment placed at the control points.
The exact technical specification of these facilities is yet to be precisely defined, and although it will require the development and implementation of new solutions, it is important to bear in mind that both manufactures and the utilities have significant expertise in this area.
Finally, the shift in the operation practice will also require that DNOs establish and maintain appropriate in house expertise for managing active distribution network operation and the development of their networks including embedded generation.
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In addition to the implementation of secondary facilities, such as communication and control equipment, it may be desirable to install voltage regulators to separate voltage control on feeders with generation from feeders dedicated for the supply of loads (section 3). The cost of voltage regulators is understood to be at a level of 10% of the transformer cost of the same rating.
Reactive power compensation (C Q) As shown in section 1, reactive power compensation could be very beneficial for managing voltage rise effect in weak overhead networks and hence enable increased amount of embedded generation to be connected to existing networks. The amount of compensation to be connected will depend on the generation technology and capacity but also the network characteristics and proximity of load. Cost associated with this control strategy will be driven by the technology used to control reactive power. Use of switched reactor based compensation would be generally lower than SVC based plant. It could be assumed that the cost of reactive compensation, including installation cost, would be in the region of 20,000 - 40,000/MVAr.
Management of voltage based on reactive power, would be associated with an increase in losses (see section 3). The corresponding cost would need to be added to this control strategy. However, the value of such cost is not likely to be very significant.
Cost of energy curtailment (CNETA, C ROCs )
Whenever generation is constrained-off, due to voltage or thermal problems, there will be cost associated with the reduction of output (in general, generation could be constrained-on to support the network, and there will be some direct cost associated with the departure of the contracted output). This cost will be equal to the corresponding imbalance charges or the cost associated with managing the imbalance through short term trading in Power Exchanges. A study, similar to one described in section 3, could be used to assess the expected annual cost of
energy curtailed for a particular scheme. This would be very specific to particular network arrangements and load conditions and would need to be performed on a case by case basis.
In the case of a generator scheme eligible for ROCs, the cost of generation curtailment will include loss of revenue that is proportional to the energy curtailed.
4.5.
Commercial Arrangements for Active Distribution Networks
The case studies performed in the previous section indicate that active management of distribution networks can enable a 3-fold increase in the amount of embedded generation that can be connected to the existing networks. Although the cost associated with the operation of active distribution networks is still to be identified, it is expected that the benefits are likely to considerably outweigh the cost of its implementation. At present, however, DNOs have no incentives to connect embedded generation and offer active management services. In order to support the development of active distribution networks and extract corresponding benefits associated with connecting increased amount of embedded generation, new commercial arrangements need to be developed.
Generally, three approaches are possible:
(i)
To recover the cost of implementing active management directly through the price control mechanism (increasing the amount of recoverable capex and opex associated with active management). The cost recovery could be achieved through increased charges for the use of the networks (imposed either to embedded generators benefiting from active management and/or demand customers).
(ii)
To establish an incentive scheme that would reward DNOs for connecting embedded generation (similar to the IIP mechanism). Such an incentive mechanism,
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assuming a suitable design of the scheme, could lead to the development of active distribution networks. Such schemes could be funded from increased c harges imposed on generators and/or demand customers. If this scheme is to be implemented, it would important to ensure that DNOs do not favour very large schemes connected to 132kV over a number of small schemes connected to lower voltage levels.
(iii)
To establish a market mechanism, outside of the regulatory framework, which would create a commercial environment for the development of active networks. Under this scenario, DNOs would offer active management services to generators for a charge. Clearly, whenever the net benefit from active management exists (NB greater than zero in 4.2), this could be used as a basis for bilateral negotiations between DNOs and generators.
The analysis of the above schemes would require a detailed examination of corresponding merits and potential problems, and this is beyond of the scope of this project. However, the development of active management of distribution networks could stimulate further unbundling of distribution network services with an exchange of services between distribution network operators and embedded generators. This concept is discussed further in the following section.
4.6.
Unbundling of Distribution Network Services
The major responsibilities of DNOs are (i) to maintain voltage fluctuations on the system within statutory limits (specified by corresponding standards) and (ii) to ensure that the service quality delivered to consumers of electricity is adequate. As a consequence of the historical development of distribution systems, these objectives have been traditionally met by employing the operational and development practices that involved usage of assets, facilities and resources owned and managed by DNOs.
With introduction of embedded generation, distribution networks, in addition, are expected to offer an non-discriminatory open access to the networks and facilitate competition in generation and supply sectors. This requirement introduces a new role of distribution networks. Distribution network operators now are required to provide network services to generators and to enable them to take part in provision of such services.
As described earlier, the conventional approach to network operation considerably limits the amount of embedded generation that can be connected, as embedded generation is effectively excluded from the opportunity to support DNOs in carrying out their main duties and also from receiving enhanced services from DNOs which would provide more choice in connection (active management).
Clearly, this new role of distribution networks requires unbundling of distribution network services and the development of commercial arrangements within which DNOs would carry out their responsibilities at least cost and efficiently, by using services from a number of potential providers (Figure 4.1): Under this scenario DNOs would maintain the responsibility of managing all components of service quality, but the means of achieving this objective would involve not only distribution network facilities, but also make use of the inputs provided by embedded generation, and in general, by demand-side management, storage facilities, reactive compensation facilities including an active interchange of services between the DNOs and the TNO on the distribution-transmission boundary.
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Embedded generation
RECs wire business equipment
Energy storage
DNO
TNO
Independent VAR producers
Demand side management
Figure 4.1 Framework for commercial integration of embedded generation
In the context of embedded generation, this concept would open a possibility for generators to provide DNOs with network support (substitute for network capacity), with voltage regulation and contribute to service quality. On the other hand, DNOs could offer enhanced network services to generators, such as active distribution management and enable them to control their connection costs. The value of various services provided by and to DNOs could be determined on a market basis. In this model clearly, DNOs would continue to manage physical assets on their networks but in addition would also act as market operators.
In the context of voltage regulation, for example, the relative competitiveness among alternative sources for the provision of voltage regulation services will depend on the cost associated with each individual option, its ability to impact the voltage and service quality (Figure 4.1).
It is important to recognise that the cost of some sources for voltage regulation are primarily capital in nature, while others are operational. For example, network assets and compensation devices normally have high investment component and relatively low operational expenditure associate with their usage, while constraining generators would incur cost associated with the lost opportunities in the energy markets (as described above). The evaluation of the most efficient portfolio of options will require minimisation of the overall services cost over a horizon of one to several years.
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Although the development of a detailed commercial structure for the operation of unbundled distribution networks is beyond the scope of this work, the issue of access to distribution networks (and the risk of not having it) is in the heart of this approach and is hence discussed more in conceptual terms. This is very much related to the concepts of deep and shallow connection policies in relation to firm versus non-firm access.
Currently, embedded generators are required to pay deep connection charges2. Consistent with this connection policy, embedded generators should have firm access to energy market (unconstrained operation). This firmness is of course financial rather than physical. This should imply that the generators are financially protected from constraints on the distribution network. In other words, if distribution network limits the amount of energy that the generator is able to export, distribution network operator should compensate the generator for the loss of income (the fact that DNOs do not currently compensate generates is not relevant for this discussion).
By introducing active management, clearly, some portion of the output will be constrained. This is in line with the concept of non-firm access. Generator output will be constrained while DNOs would not be expected to compensate the generator for the curtailment. In this case, the generator should be required to pay only shallow connection cost.
The other issue important to be considered is the risk of maintaining the agreed level of access over the long rum (level of constraints). For this discussion the example developed in the previous chapter will be used. Consider again the system diagram shown in Figure 3.1 and assume that the generator developer is considering connecting a 10MW wind farm at bus 6. If the wind farm was unconstrained, the expected annual energy generated by the wind farm
This discussion is not meant to debate pros and cons of deep versus shallow charging, but to explore the
relation of these approaches to firmness of the access.
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would be 18,590 MWh (see Table 3.3). However, in order to achieve this level of output, reinforcement of the system would be required due to voltage constraints. In the discussions with the local DNO, it was proposed to actively manage the output of the wind farm, such that whenever the voltage at the local busbar is above 1.03 p.u., generation will be curtailed. It was also proposed that the wind farm will operate at an average power factor of 0.95. As shown in Table 3.3, the net expected annual energy generated will be 17,226 MWh as 1,364 MWh would need to be curtailed due to voltage constraints. Considering the cost and benefits of such arrangement (4.2) both would be satisfied with this solution.
However, the critical question here is whether this level of output could be guaranteed for the life time of the wind farm? For example, if the demand customers connected at bus 5 decide to relocate the output of the wind farm would need to be constrained further because the voltage rise effect would become more binding, and will result in substantial additional curtailments of wind generation output. In this case, some of the wind farm assets would be stranded. Clearly, neither the DNO nor the wind farm developer have control over such a decision. Hence, DNO cannot guarantee to absorb the output of the wind farm of 17,226 MWh for an infinite period of time. Clearly, such e vent will reopen the discussion between the DNO and the wind farm operator, as the previously agreed arrangement, whatever it might have been, would be no longer valid. The important consequence of this is that the risk of such events will need to be managed and it is likely to increase the capital cost of the wind farm, as the ability of the network to absorb the output would not be possible to guarantee over the long run.
A similar effect would occur if, in some point in the future, another generator wishes to connect at busbar 5. The DNO may not be able to deny the access of this new generator to their network on the basis of the existence of some other generator connected to the same feeder. However, connecting the new generation is likely to impact the ability of the wind farm at busbar 6 to export. Again, this will reopen the discussion between the DNO and the wind farm
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operator. One possible way of dealing with this particular situation would be establish a process by which these two generators would compete for the access to the DNOs network.
Similarly, if some new load connects to busbar 6, this will enable the wind farm to export its full output to the network and the active management services provided by the DNO will be no longer required and the generator should not be expected to pay for them. This would make DNOs active management facilities stranded.
Generally, access to electricity networks by users, both generators and loads, may be difficult to guarantee for a long period of time. Similarly, the users cannot guarantee the purchase of the network services from DNOs for a long period of time. This way the services provided to and by DNOs, in an arrangement shown in Figure 4.1 will need to be re-negotiated on a regular basis (perhaps every several years). Although this has not been particularly important due to small amounts of embedded generation being connected, the issue of access will need to be addressed for larger penetrations.
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5. Conclusions
This report described a study of several control strategies associated with the design of active distribution network intended to increase the level of penetration of embedded generation in distribution networks. By allowing the embedded generator to take part in voltage regulation, larger capacities of embedded generation to be accommodated in the existing distribution network. Four control schemes are identified and a method that could be employed to evaluate the effectiveness of these alternatives described. It was shown that considerable increase in penetration levels can be achieved when embedded generators are allowed to absorbed reactive power. Also, use of OLTCs to control voltage at remote points is analysed. This form of control appears to be most beneficial as it allows for a large increase in penetration at a low cost from the primary plant perspective, but would require more complex control of distribution network operation. Increase of embedded generation based on these controls would be conditioned by the operation of an adequate ancillary services market.
In this report the benefits of active distribution management are quantified in terms of the amount of the additional capacity of embedded generation that can be connected to the existing distribution system. Four schemes are studied: (i) Active power generation curtailment, (ii) Reactive power management, (iii) Area based coordinated voltage control of OLTC and (iv) Application of voltage regulators.
The benefits of these control strategies are quantified by the volume of the annual energy and corresponding revenue that can be generated for various capacities of wind generation installed. An Optimal Power Flow tool, that minimises the amount of generation curtailment necessary to
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maintain the voltage with the prescribed limits, while optimising the settings of available controls (such as tap position of the OLTC transformer), is used in this study. This analysis is carried out on a characteristic 33 kV network that exhibits all the phenomena of interest.
The studies performed clearly show significant benefits of active control of distribution network. It was shown that
the Unity Power Factor operation policy will severely limit the amount of embedded generation that can be connected. Absorbing reactive power at the point of connection may be very beneficial.
Area based voltage control by OLTCs combined with the application of voltage regulators is likely to enable considerable amount of embedded generation to be connected. In the study performed a 3-fold increase in the capacity of embedded generation that can be connected is achieved.
In some cases it may be beneficial to separate the control of voltage on feeders which supply load, from the control of voltage on feeder to which the generator is connected. This can be achieved by the application of voltage regulators on appropriate feeders.
The report also discusses how this control might be achieved and also maps out a possible implementation path so that the concepts proposed can begin to be implemented quickly. The outline design of a Distribution Management System (DMS) controller suitable for embedded generation is discussed. Five hardware configurations are proposed of increasing complexity. The simplest relies merely on local measurements at the 33/11kV substation while the most complex proposes a hierarchical arrangement of DMS controllers. Although the first, straightforward approach is conceptually simple, it is likely to give considerable improvements in the capacity of embedded generation that may be connected.
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The overall concept for the controller software is discussed with the two major elements: (1) state estimation and (2) control scheduling. Although state estimation techniques are well developed for transmission networks these approaches are not directly transferable to distribution systems with embedded generation. The basis of state estimation is explained and then the further work that is required to adapt existing techniques to dealing with the limited number of measurements available on distribution networks and the use of load data to provide pseudo-measurements is outlined.
Two approaches have been identified for control scheduling. A priority-list, rule-based approach may be applied whereby engineering judgement and knowledge of ancillary services contracts is used to determine the order in which various controls should be adjusted. This approach is attractive for an early implementation of a simple system, as it is conceptually straightforward and transparent to practicing engineers. For more complex implementations it may be preferable to consider using an optimal power flow to optimise the control. A possible implementation route is discussed given the present constraints on distribution network operates and generators. Initially, simple implementations are proposed with the embedded generator under local control and the controller operating on the AVC controller at the 33/11 kV transformer.
Under the present regulatory framework Distribution Network Operators (DNOs) do not have any incentive to connect generation and offer active management services to reduce the connection costs and increase the amount of embedded generation that can be connected. In order to develop appropriate commercial incentives for DNOs to it is necessary to understand and quantify the benefits of active management of distribution networks. A number of issues associated with the present commercial arrangements are discussed.
A market based exchange of services between distribution network operators and embedded generators (and other network users in general) is proposed and discussed.
This would require unbundling of distribution network services and enabling users to contribute to the major responsibilities of DNOs (i) voltage and (ii) service quality management. As a consequence of the historical development of distribution systems, these objectives have been traditionally met by employing the operational and development practices that involved the use of assets, facilities and resources owned and managed by DNOs. In this traditional approach embedded generation is effectively excluded from the opportunity to support DNOs in carrying out their main duties and also from receiving enhanced services from DNOs which would provide more choice in connection (active management).
The new role of distribution networks may lead to further unbundling of distribution network services and the development of commercial arrangements within which DNOs would carry out their responsibilities at least cost and efficiently, by using services from a n umber of potential providers. Under this scenario DNOs would maintain the responsibility of managing all components of service quality, but the means of achieving this objective would involve not only distribution network facilities. It would also make use of the inputs provided by embedded generation, and more generally, by demand-side management, storage facilities, reactive compensation facilities including an active interchange of services between the DNOs and the TNO on the distribution-transmission boundary. In the context of embedded generation, this concept could open the possibility for generators to provide DNOs with network support (substitute for network capacity), with voltage regulation and contribute to service quality. On the other hand, DNOs could offer enhanced network services to generators, such as active distribution management and enable them to control their connection costs. The value of various services provided by and to DNOs could be determined on a market basis.
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6. References
Section 1 [1] DTI web site of 3/8/01 [2] R J Fairbairn, D Maunder, P Kenyn (PB Power) A Distribution Network Review, ETSU K/EL/00188/REP, 1999. [3] A Saad-Saoud at al, Application of STATCOMs to wind farms, IEE Proceedings C, Vol.145, No.5, September 1988. [4] OFGEM/DTI Embedded Generation Working Group, January 2001 (DTI web site)
Section 2 [1] I.Roytelman, S.M. Shahidehpour, SE For Electric Power Distribution Systems in Quasi Real-time Conditions, IEEE Trans. On Power Delivery, Vol. 8, No. 4, Oct 1993. [2] C. N. Lu, J. H. Teng, W. H. E. Liu, Distribution System SE, IEEE Trans. on Power Systems, Vol. 10, No. 1, Feb 1995. [3] M. E. Baran, A. W. Kelley, A Branch-Current-Based SE Method for Distribution Systems, IEEE Trans. on Power Systems, Vol. 10, No. 1, Feb 1995. [4] M. E. Baran, A. W. Kelley, State Estimation for Real-time Monitoring of Distribution Systems, IEEE Transactions on Power Systems, Vol. 9, No. 3, Aug. 1994. [5] A. K. Ghosh, D. L. Lubkeman, R. H. Jones, Load Modeling for Distribution Circuit State Estimation, IEEE Transactions on Power Delivery, Vol. 12, No. 2, April 1997.
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[6] A. K. Ghosh, D. L. Lubkeman, M. J. Downey, R. H. Jones, Distribution Circuit State Estimation using a Probabilistic Approach, IEEE Transactions on Power Systems, Vol. 12, No. 1, Feb. 1997. [7] Ke Li, State estimation for power distribution system and measurement impacts, IEEE Transactions on Power Systems, Vol. 11, No. 2, May 1996 [8] J. Periera, J. Tom Saraiva, V. Miranda, Some Practical Issues in the Migration of State Estimation Modules from EMS to DMS Systems, 6th PMAPS, Sept. 2000 [9] A. Monticelli, State Estimation in Electric Power Systems, Kluwer, 1999
Section 3 [1] Z Saad-Saoud, M Lisboa, J Ekanayake, N Jenkins, G Strbac, "Application of STATCOM to Wind Farms", IEE Proc. C, Gen.Trans.Dist.,Vol.145, No.5, Sep. 1998. (511-516) [2] L Masters, J Mutale, G Strbac, S Curcic, N Jenkins, "Statistical Evaluation of Voltages in Distribution Systems with Wind Generation " IEE Proc. Gen.Trans.Dist, Vol. 147, No 4, July 2000 (207-212). [3] S Liew, G Strbac, Maximising the penetration of embedded wind generation in distribution networks, accepted for publication in the IEE proceedings , August 2001.
Section 4 [1] N. Jenkins, R. Allan, P. Crossley, D. Kirchen, and G. Strbac, Embedded Generation, IEE Power and Energy Series 31, ISBN 0 85296 774 8, The Institution of Electrical Engineers, London, 2000. [2] Engineering Recommendations G.59/1. Recommendation for connection of embedded generating plant to the regional electricity companies distribution systems, Electricity Association, Engineering and Safety Division, London, 1991.
[3] Engineering Recommendation G.75. Recommendation for connection of embedded generation plant to the regional electricity companies distribution systems above 20 kV or with outputs over 5 MW, Electricity Association, Engineering and Safety Division, London, 1996. [4] VDEW. Parallelbetrieb von Eigenerzeugungsanlagen mit dem Mittelspannungsnetz des Elektrizitatsversorgungsunternehmens (EVU), Ausgabe, VWEW Verlag, Frankfurt, 1994. [5] A. Schweer, et al., Impact of increasing contribution of dispersed generation on the power system, CIGRE Study Committee no. 37, WG 37-23, Final Report, 1998.
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Project Title

Integration of operation of embedded generation and distribution networks

MANCHESTER CENTRE FOR ELECTRICAL ENERGY

Integrated operation of embedded generation and distribution networks

Integrated operation of embedded generation and distribution networks

2.3. State Estimation........................................................................................................39 2.3.1 2.3.2

Background - Transmission State Estimation.....................................................39 Distribution State Estimation.............................................................................40

Integrated operation of embedded generation and distribution networks

A Distribution State Estimator...........................................................................41

Integrated operation of embedded generation and distribution networks

The following four main control strategies are quantified:

Integrated operation of embedded generation and distribution networks

Integrated operation of embedded generation and distribution networks

Integrated operation of embedded generation and distribution networks

Integrated operation of embedded generation and distribution networks

Integrated operation of embedded generation and distribution networks

Integrated operation of embedded generation and distribution networks

Integrated operation of embedded generation and distribution networks

(i) (ii) (iii) (iv)

From Passive to Active Distribution Networks

Integrated operation of embedded generation and distribution networks

Figure 1.1 - Conventional distribution network deign and operation

Integrated operation of embedded generation and distribution networks

P,Q? A P,-Q P+/-Q CHP S

Figure 1.2 - Ad-hoc approach with existing operation practice

Integrated operation of embedded generation and distribution networks

Integrated operation of embedded generation and distribution networks

Integrated operation of embedded generation and distribution networks

Figure 1.3 - Active distribution network operation

Active Management of Voltage Rise Effect in Rural Areas

Integrated operation of embedded generation and distribution networks

Application of voltage regulators is elaborated in Section 3 of the report

Integrated operation of embedded generation and distribution networks

Qualitative Analysis of Options for Control of Voltage Rise Effect

Integrated operation of embedded generation and distribution networks

PL, QL Z=R + jX PG QG OLTC 1 2 QC

Figure 1.4 - Simple system for modelling voltage rise

The voltage at busbar 2 (V 2) can be approximately calculated as follows:

Worst Case Scenario (Minimum Load Maximum Generation) Approach

Integrated operation of embedded generation and distribution networks

Managing the voltage rise effect by generation curtailment

Integrated operation of embedded generation and distribution networks

Managing the voltage rise effect by reactive compensation

Managing the voltage rise effect using coordinated voltage control

Integrated operation of embedded generation and distribution networks

Application to a characteristic situation

Table 1.1. Circuit data Line Records

Integrated operation of embedded generation and distribution networks

To Number R(p.u.) 1 3 5 4 5 6 7 0.01869 0.03100 0.33290 0.09000 0.64460 0.23900 0.24762

X(p.u.) 0.17726 0.40174 0.58310 0.15770 0.86000 0.21040 0.25132

53.7 MW 17.7 MVR

53.2 MW -12.0 MVR 31.50 MW 6.31 MVR 8.8 MW 1.2 MVR

0.99 pu 4 12.00 MW 2.40 MVR

12.8 MW 4.5 MVR

12.0 MW 12.1 MW -2.4 MVR 2.6 MVR

8.6 MW -0.7 MVR 9.20 MW 1.85 MVR

1.00 pu 6 0.0 MW -0.0 MVR