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Improvement of the Social Optimal Outcome of Market Integration of DG/RES in European Electricity Markets (IMPROGRES)

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The IMPROGRES project will analyse the impact of large scale DG/RES deployment for the whole electricity supply system, i.e. considering the interactions and trade-offs between the physical and economic system: power generation (incl. DG/RES), transport (transmission and distribution networks), energy wholesale trading and retail supply, system services (balancing, power reserves, ancillary services) and energy consumption (incl. demand response). Furthermore, the boundary conditions are of importance: policy (support schemes) and regulation (e.g. network regulation). Also external effects will be considered (e.g. environmental impacts). To avoid a too generic and only qualitative approach the analysis of the total supply system will be applied for three concrete cases for which quantitative data will be available. These analyses will be used as the basis for identification of regulatory and policy improvements.

Results

  • A comprehensive overview of how interactions between DG/RES operators, DSOs and market places have developed over the years in countries with increased DG/RES levels.
  • Quantified scenarios of the total costs of electricity supply systems in the EU with increasing DG/RES supply in the future up to 2020 and 2030.
  • A quantified assessment of costs and benefits of increasing DG/RES shares for real distribution networks, making use of more classical network approaches as well as its comparison to enhanced response alternatives.
  • Regulatory strategies for policy makers in effectively supporting socially optimal outcomes of market integration of DG/RES in European electricity markets.
  • Two international conferences addressing the socially optimal outcome of high DG/RES energy futures with policy makers, the energy market/supply sector and the scientific community.
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Lessons learned

  • There is a trend towards a higher degree of market integration of the DG generation and this stresses the importance of creating the right incentive structure for flexible location and market participation of DG in very different country settings.
  • Sufficiently high DG/RES remuneration level (for example through support schemes) can ensure a fast penetration growth of the respective technologies and also help overcome obstacles such as high connection charges.
  • DSOs should receive incentives to pursue a more active network management approach and to plan network expansion taking possible DG generation into account. Last updated: 16.06.2010
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Partners and coordinator

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Contact

Energy research Centre of the Netherlands
Netherlands
Contact point: 
Name: 
Dr Marjolein de Best-Waldhober
E-mail: 
Tel: 
+31-224-564798
Name: 
Frits van Oostvoorn
Tel: 
0031 224 564438
Name: 
Henk F. Kaan
E-mail: 
Tel: 
0031-224-56 4500
Name: 
(Marc) H.M. Londo
E-mail: 
Tel: 
0031 224 568253
Name: 
Nico van der Linden
Tel: 
0031 0 22456 4433
Name: 
Martin Scheepers
Tel: 
0031 224 564436
Name: 
marc Londo
E-mail: 
Tel: 
0031 224 568253
Name: 
Nico van der Linden
Tel: 
0031 224 564433
Name: 
Karina Veum
E-mail: 
Tel: 
0031-224-560882
Name: 
Frans Nieuwenhout
Tel: 
+31 224 564849

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Key documents

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In brief

Duration:
11/09/2007 to 10/03/2010
Contract number: 
EISAS/EIE/07/137/2007

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