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2023.04.25
1437

Quantifying Benefit of Well-Located Distributed Energy Resources

Authors:Eo Jin Choi,,Dam Kim,,Gab-Su Seo
Quantifying Benefit of Well-Located Distributed Energy Resources
This study quantifies the system-level benefits of well-located Distributed Energy Resources (DERs) by addressing the mismatch between generation and demand locations. Using Monte Carlo simulations combined with transmission expansion planning and AC optimal power flow models, it evaluates both long-term and short-term impacts of DER deployment. The findings show that strategically locating DERs can significantly reduce transmission investment, congestion, and loss costs, leading to more efficient and cost-effective power system planning.

  • Locational mismatch problem
    Many DERs are installed in resource-rich remote areas rather than near demand centers, causing additional transmission investment, congestion, and losses.

  • Long-term benefits (investment reduction)
    Strategically distributed DERs significantly reduce the need for new transmission lines compared to concentrated deployment scenarios.

  • Short-term benefits (operational efficiency)
    Well-located DERs lower congestion and loss costs by supplying electricity closer to demand, improving system efficiency.

  • Integrated system benefits
    The combined long-term and short-term benefits are substantial and follow a probabilistic distribution, indicating consistent system-wide gains from optimal DER placement.

  • Implication for deployment strategy
    Distributing DERs toward high-demand regions improves overall system performance and reduces cost disparities across regions.

https://doi.org/10.22982/NEXTWP.2023.4.25

#Locational Benefits#DERs