Integrating Solar Energy into Traditional Markets

Solar energy storage and demand response get credit for reducing greenhouse gas emissions and energy bills but could offer more. Some conservatives mention liabilities in tomorrow’s power system. Below are advantages and addressing some issues to integrate renewable energy in our traditional markets.

Grid reliability

Little attention is given to the way solar help stabilize the network. A combination of smart inverters and plant operation can enable solar energy to provide reliability services, from frequency control to voltage regulation. For instance, strategically operating a 300-megawatt solar farm to give reliability services to the wholesale market.

The outcome was a success, it performed better than typical gas turbine technologies. A clean energy project can provide a reliability better than any source of conventional generation. Most projects are compensated by energy delivered, not for their contribution to grid reliability.

The industry's incentive to create advanced grid features have been restricted to regulatory compliance or prevention of feeder clogs and ramping issues that hinder the installation of more solar. This resulted in providers to improve the cost structure of solar but little to optimize the technology for grid reliability. To resolve this, grid operators could introduce or increase incentives for reactive power.

Resilience and Reliability

Resilience and reliability are different. Reliability is the ability for the network to transport electricity at request. Resilience is the ability for the network to recooperate quickly and effectiently from a big event. A grid that’s reliable but falls apart after a disaster, exemplies this. When a crisis occurs, a resilient grid provides a smaller impact and a quicker recovery.

One of the biggest advantages of microgrids are networks of distributed energy sources that operate in parallel with, or islanded from, the central grid. Examples of microgrids during grid outages, such as Texas microgrids to keep operating during Hurricane Harvey to the Princeton University microgrid that maintained power during Hurricane Sandy.

They’re vital to keep for resilience especially for critical facilities. However, there’s regulatory challenges that hinder their expansion. Utility rights: Selling power to third parties via new distribution lines infringes on utility franchise rights.

This typically is an exclusive agreement between the utility and a municipality to use public rights-of-way for lines and wires. This prevents the use of microgrids that’s more economical. Threat of more regulation: Any entity that sells energy in which their equipment crosses a public street is an electric corporation that falls under the traditional utility regulation and ratemaking authority of the public utility commission.

This increases the challenges to achieve economic viability. Regulators could put legal guardrails around microgrids that allows them to grow rapidly without undermining regulated utility monopolies. If you’d like more information, click here.

HahaSmart Blog - More Solar Tips and Guide
HahaSmart News - Stay Informed
Your Solar Incentives - See Credits and Incentives in Your Area
Check Your Home's Solar Price - See How Much You Save
Register Now - Unlock The Lowest Solar Prices in Your Area