An ICT cost comparison of different market structures for distributed ancillary services

Pirkko Kuusela; Pekka Koponen; Han Xu; Ivana Kockar

An ICT cost comparison of different market structures for distributed ancillary services

Pirkko Kuusela, Pekka Koponen, Han Xu, Ivana Kockar

University of Strathclyde

Research output: Chapter in Book/Report/Conference proceeding › Conference article in proceedings › Scientific › peer-review

Abstract

Future energy ecosystems need new market structures and interactions between TSO and DSOs, in order to realise distributed ancillary services. This paper estimates and compares ICT costs of several TSO-DSO coordination and market aggangements proposed in the SmartNet project.
A hybrid cost estimation methodology, which utilizes constructive cost model methodology, expert estimates, a national DSO regulation model, and implementation of a simulator, is employed to estimate the development costs of aggregation and market clearing systems needed to realise the market schemes. ICT costs of different arrangements turn out to be at the same level and they are minor in comparison to energy-related costs.
However, depending on the overall design of the markets for distributed flexibility, aggregators may have the largest ICT costs and investment needs.

Original language	English
Title of host publication	25th International Conference on Electricity Distribution
Subtitle of host publication	CIRED 2019
Publisher	AIM - Association des Ingénieurs de Montefiore
Number of pages	5
ISBN (Electronic)	978-2-9602415-0-1
Publication status	Published - 3 Jun 2019
MoE publication type	A4 Article in a conference publication
Event	25th International Conference on Electricity Distribution: CIRED 2019 - Madrid, Spain Duration: 3 Jun 2019 → 6 Jun 2019 http://www.cired2019.org/

Publication series

Series	CIRED: Conference Proceedings
ISSN	2032-9644

Conference

Conference	25th International Conference on Electricity Distribution
Abbreviated title	CIRED 2019
Country/Territory	Spain
City	Madrid
Period	3/06/19 → 6/06/19
Internet address	http://www.cired2019.org/

Keywords

ICT cost
energy markets
ancillary services
distributed generation
transmission system operator
distribution system operator

Access to Document

https://www.cired-repository.org/handle/20.500.12455/161

Cite this

@inproceedings{0dc3128859b04e32abb8de37daabbde6,

title = "An ICT cost comparison of different market structures for distributed ancillary services",

abstract = "Future energy ecosystems need new market structures and interactions between TSO and DSOs, in order to realise distributed ancillary services. This paper estimates and compares ICT costs of several TSO-DSO coordination and market aggangements proposed in the SmartNet project. A hybrid cost estimation methodology, which utilizes constructive cost model methodology, expert estimates, a national DSO regulation model, and implementation of a simulator, is employed to estimate the development costs of aggregation and market clearing systems needed to realise the market schemes. ICT costs of different arrangements turn out to be at the same level and they are minor in comparison to energy-related costs. However, depending on the overall design of the markets for distributed flexibility, aggregators may have the largest ICT costs and investment needs.",

keywords = "ICT cost, energy markets, ancillary services, distributed generation, transmission system operator, distribution system operator",

author = "Pirkko Kuusela and Pekka Koponen and Han Xu and Ivana Kockar",

year = "2019",

month = jun,

day = "3",

language = "English",

series = "CIRED: Conference Proceedings",

publisher = "AIM - Association des Ing{\'e}nieurs de Montefiore",

booktitle = "25th International Conference on Electricity Distribution",

address = "Belgium",

note = "25th International Conference on Electricity Distribution : CIRED 2019, CIRED 2019 ; Conference date: 03-06-2019 Through 06-06-2019",

url = "http://www.cired2019.org/",

}

Kuusela, P, Koponen, P, Xu, H & Kockar, I 2019, An ICT cost comparison of different market structures for distributed ancillary services. in 25th International Conference on Electricity Distribution: CIRED 2019., 827, AIM - Association des Ingénieurs de Montefiore, CIRED: Conference Proceedings, 25th International Conference on Electricity Distribution, Madrid, Spain, 3/06/19. <https://www.cired-repository.org/handle/20.500.12455/161>

An ICT cost comparison of different market structures for distributed ancillary services. / Kuusela, Pirkko; Koponen, Pekka; Xu, Han et al.
25th International Conference on Electricity Distribution: CIRED 2019. AIM - Association des Ingénieurs de Montefiore, 2019. 827 (CIRED: Conference Proceedings).

Research output: Chapter in Book/Report/Conference proceeding › Conference article in proceedings › Scientific › peer-review

TY - GEN

T1 - An ICT cost comparison of different market structures for distributed ancillary services

AU - Kuusela, Pirkko

AU - Koponen, Pekka

AU - Xu, Han

AU - Kockar, Ivana

PY - 2019/6/3

Y1 - 2019/6/3

N2 - Future energy ecosystems need new market structures and interactions between TSO and DSOs, in order to realise distributed ancillary services. This paper estimates and compares ICT costs of several TSO-DSO coordination and market aggangements proposed in the SmartNet project. A hybrid cost estimation methodology, which utilizes constructive cost model methodology, expert estimates, a national DSO regulation model, and implementation of a simulator, is employed to estimate the development costs of aggregation and market clearing systems needed to realise the market schemes. ICT costs of different arrangements turn out to be at the same level and they are minor in comparison to energy-related costs. However, depending on the overall design of the markets for distributed flexibility, aggregators may have the largest ICT costs and investment needs.

AB - Future energy ecosystems need new market structures and interactions between TSO and DSOs, in order to realise distributed ancillary services. This paper estimates and compares ICT costs of several TSO-DSO coordination and market aggangements proposed in the SmartNet project. A hybrid cost estimation methodology, which utilizes constructive cost model methodology, expert estimates, a national DSO regulation model, and implementation of a simulator, is employed to estimate the development costs of aggregation and market clearing systems needed to realise the market schemes. ICT costs of different arrangements turn out to be at the same level and they are minor in comparison to energy-related costs. However, depending on the overall design of the markets for distributed flexibility, aggregators may have the largest ICT costs and investment needs.

KW - ICT cost

KW - energy markets

KW - ancillary services

KW - distributed generation

KW - transmission system operator

KW - distribution system operator

M3 - Conference article in proceedings

T3 - CIRED: Conference Proceedings

BT - 25th International Conference on Electricity Distribution

PB - AIM - Association des Ingénieurs de Montefiore

T2 - 25th International Conference on Electricity Distribution

Y2 - 3 June 2019 through 6 June 2019

ER -

An ICT cost comparison of different market structures for distributed ancillary services

Abstract

Publication series

Conference

Keywords

Access to Document

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Cite this