smart domestic appliances provide flexibility for sustainable energy systems
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The sole responsibility for the content of this presentation lies with the authors. It does not necessarily reflect the opinion of the European Communities. The European
Commission is not responsible for any use that may be made of the information contained therein.
Smart Domestic
Appliances Provide
Flexibility for
Sustainable Energy
Systems
Christof Timpe
Öko-Institut
Leonardo Webinar
21 August 2009
Smart Domestic Appliances in Sustainable Energy Systems
2
Partners in the Project
“Smart Domestic Appliances
in Sustainable Energy Systems (Smart-A)”
Smart Domestic Appliances in Sustainable Energy Systems
3
Overview
• The Smart Appliances Vision
• Demand Response Options by Smart Appliances
• Consumer Acceptance of Smart Appliances
• Model Results
– Benefits provided by Demand Response Devices
– Cost of Smart Appliances
– Comparison of Cost and Benefits
• A Snapshot on the Actors Involved
and Incentives Required
• Conclusions
Smart Domestic Appliances in Sustainable Energy Systems
4
The Smart Appliances Vision
© Öko-Institut e.V.
Smart Domestic Appliances in Sustainable Energy Systems
5
Examples Illustrating the Smart-A Vision
• The freezer receives a signal from the local
electricity network operator that a load peak is
expected around noon, and therefore it stores
cold in the morning to avoid operation during
peak time.
• The user switches on the dishwasher in the
morning and leaves for work. The appliance
optimises the timing of its operation based on
heat supply from the solar heat system.
• The washing machine checks the weather
forecast from the Internet and signals to the
user that a sunny day allows for the use of a
programme with higher temperatures.
Low-level
consumer interaction
Complex
consumer interaction
Automatic
smart operation
Smart Domestic Appliances in Sustainable Energy Systems
6
Appliance Load of a Generic European Household
0
100
200
300
400
500
600
700
800
900
0 2 4 6 8 10 12 14 16 18 20 22
Time of day (hours)
Po
we
r d
em
an
d (
W)
Water Heater
Air Conditioner
Oven and Stove
Tumble Dryer
Washing Machine
Circul. Pump
Dishwasher
Refrigerator
Freezer
Smart Domestic Appliances in Sustainable Energy Systems
7
Demand Response Options for Appliances
Smart Timing of Appliances Cycles
Washing Machine, Dryer: Typical <3 hrs.; Maximum 9 hrs.
Dishwasher: Typical <6 hrs.; Maximum >12 hrs.
Refrigerator, Freezer: n/a
Other Appliances: Typical <15 mins. … 1 hr.
Interruptions of the Appliance Cycle
Washing Machine: Typical <10 mins.
Dryer: Typical <30 mins.
Dishwasher: Typical <10 mins.
Refrigerator, Freezer: Typical <15 mins.
Other Appliances: Typical <15 mins.
Smart Domestic Appliances in Sustainable Energy Systems
8
Consumer Objections and Wishes
• Higher investment cost
• Consumers want to be able to
retain full control over their
appliances
• Health and safety issues
(fire, flooding, food might
be compromised)
• Doubts about maturity
of the technology
• Scepticism about the
ecological benefits
• Economic Incentives
• Enhanced safety functions
Overloading signal
Temperature surveillance
Water stop
Detection of technical faults
• Enhanced comfort and usability
• High quality service & support
• Attractive design
Pictures © PIXELIO
Smart Domestic Appliances in Sustainable Energy Systems
9
Applications of Demand Response –
Requirements of Sustainable Energy Systems
So
urc
e: A
ba
ravic
ius &
Pyrk
o,
20
06
The key challenge
of the future:
Balancing out
variable wind
(& solar)
generation.
Smart Domestic Appliances in Sustainable Energy Systems
10
Determining the Economic Benefits of Smart
Appliances in Sustainable Energy Systems
Step 1:
Value of Demand Response Devices
for Balancing Wind Generation
Smart Domestic Appliances in Sustainable Energy Systems
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Sample View on a Model Run
8000
9000
10000
11000
12000
13000
14000
15000
16000
0 3 6 9 12 15 18 21 24 27 30 33 36 39 42 45 48
MW
hour
Pd_original Pd_dsm
Smart Domestic Appliances in Sustainable Energy Systems
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Model A: Value of Generic 1kW DSM Device
Effects of introducing DR into
system balancing in energy
systems with high shares of wind:
– Reduced requirement for
“spinning reserve” from part-
loaded fossil fuel plants
– Reduced necessity to shut
down wind plants in order to
ensure system stability
Both effects result in:
– Reduced use of fossil fuel
– Reduced CO2 emissions
The figure shows the annual
value per kW of DR load.
0
10
20
30
40
50
60
70
80
90
100
Low Flexibility
Generation
(DE, FR, PL ..)
Medium Flexibility
Generation
(ES, IT, PT ..)
High Flexibility
Generation
(Nordic, AT, CH, ..)
EU
R/k
W/y
ear
All cases assume a
30% wind share in
installed generation
& moderate CO2 cost
Smart Domestic Appliances in Sustainable Energy Systems
13
Model A: Application to EU29 Countries
0
10
20
30
40
50
60
70
80
90
100
AT BE BG CH CY CZ DE DK EE ES FI FR GB GR HU IE IT LT LU LV MT NL NO PL PT RO SE SI SK
EU
R/k
W D
SM
2010, moderate energy prices,
CO2 cost included
2025, moderate energy prices,
CO2 cost included
2025, high energy prices,
CO2 cost included
104 130 100
Smart Domestic Appliances in Sustainable Energy Systems
14
Model B: Value of Selected Appliances
The value of individual appliances
is driven by:
– The degree of flexibility
offered (duration of the
load shift)
– The volume of energy shifted
per appliance
The figure shows the annual
value of three selected appliances
used for DR.
0
2
4
6
8
10
12
14
16
18
Washing Machine Dishwasher Washer+Drier
EU
R/a
pp
lian
ce/y
ear
Low flexibility generation
system with 30% wind
share at moderate
energy and CO2 prices.
Smart Domestic Appliances in Sustainable Energy Systems
15
Determining the Economic Benefits of Smart
Appliances in Sustainable Energy Systems
Step 2:
Cost of Enabling Smart Appliances
as Demand Response Devices
Smart Domestic Appliances in Sustainable Energy Systems
16
Cost for Providing DR by Appliances
The following cost items are relevant
• Additional production cost for the Smart Appliance
– Significant reductions expected through mass production
• Investments in an in-house communication hub
– In the future, this function can be taken over by any WLAN system.
• Cost for additional electricity consumption of Smart Appliances
– Expected average value: 1 W extra for SA “ready to operate”.
Smart Meters are not really required for Smart Appliances operation,
Also, Smart Meters can provide other services to consumers as well.
No extra cost have been taken into account here.
Smart Domestic Appliances in Sustainable Energy Systems
17
Determining the Economic Benefits of Smart
Appliances in Sustainable Energy Systems
Step 3:
Comparison of Cost and Benefits
of Smart Appliances
Smart Domestic Appliances in Sustainable Energy Systems
18
Comparison of Cost and Benefits
0
10
20
30
40
50
60
70
80
90
100
AT BE BG CH CY CZ DE DK EE ES FI FR GB GR HU IE IT LT LU LV MT NL NO PL PT RO SE SI SK
EU
R/k
W D
SM
2010, moderate energy prices,
CO2 cost included
2025, moderate energy prices,
CO2 cost included
2025, high energy prices,
CO2 cost included
104 130 100
Expected
range of
costs
(2025)
Smart Domestic Appliances in Sustainable Energy Systems
19
A Few Words of Caution
• Models A and B only looked at benefits of Smart Appliances used
for balancing wind power.
– Additional benefits can be gained by other applications,
e.g. managing local or regional network congestions.
• The analysis is based on a number of rough assumptions.
– Du to these uncertainties, the results should be regarded as
rough estimates rather than precise results.
• The analysis is performed on a country-by country basis.
– To the extent that balancing markets in the EU become better
connected, differences will be reduced.
Smart Domestic Appliances in Sustainable Energy Systems
20
A Snapshot on the Actors Involved
„Smart“
Household
System
Balancing
Smart Appl.
Aggregator
Other Balancing
Power Providers
Wind
Generators
Other kWh
Generators
Power
Market
DSOs
Retailer of
„Smart“
Household
Other
Retailers
Other
Energy
Consumers
Appliances
Manufacturers
Appliances
Retailers
Smart Domestic Appliances in Sustainable Energy Systems
21
A Snapshot on the Actors Involved
„Smart“
Household
System
Balancing
Smart Appl.
Aggregator
Other Balancing
Power Providers
Wind
Generators
Other kWh
Generators
Power
Market
DSOs
Retailer of
„Smart“
Household
Other
Retailers
Other
Energy
Consumers
Appliances
Manufacturers
Appliances
Retailers
Economic
Benefit
Economic
Disadvantage
Options for
Incentives
Smart Domestic Appliances in Sustainable Energy Systems
22
Conclusions on Smart Appliances (SA)
• Domestic appliances offer a variety of load management options.
Technical constraints and consumer preferences define the limits.
• Consumers tend to accept SA if their daily routines are not changed and
comfort and safety are maintained.
• From a system perspective the value of SA is driven by the flexibility of
the conventional generation mix and the share of wind & solar energy.
• Typical values of SA for balancing wind generation are moderate. Not all
EU countries seem to offer viable potentials for SA.
• SA can have significant value, when contributing to congestion relieve
and reducing congestion costs.
• Incentive mechanisms are needed to give the right signals to the actors
involved in Demand Response through SA.
Smart Domestic Appliances in Sustainable Energy Systems
23
Many Thanks for Your Attention!
Christof Timpe
Smart-A Project Coordinator
Oeko-Institut e.V. –
Institute for Applied Ecology
Freiburg - Darmstadt - Berlin
PO Box 50 02 40,
79028 Freiburg, Germany
Ph.: +49-761-452 95-25
http://www.oeko.de
Project Websitehttp://www.smart-a.org