Impact of Increasing Contribution of Dispersed Generation On The Power System

137
IMPACT OF INCREASING CONTRIBUTION

OF DISPERSED GENERATION ON THE
POWER SYSTEM
Working Group 37.23
February 1999
Impact of increasing contribution
of dispersed generation
on the power system
- Final Report -
Members of WG 37.23 :
Adolf SCHWEER, Germany (Convenor)

Jurgen TZSCHOPPE, Germany (Secretary)
Aksel S0RENSEN, Denmark
Gareth EVANS, Great Britain
Jean VERBEECK, Belgium
John LAWLOR, Ireland
Raimundo CRIADO, Spain
Ryszard FRYDRYCHOWSKI, Poland
Sophie MOTTE, France
Tibor SZABO, Norway
Wil KLING, Netherlands
Alfred LI, Australia (correspondence)
Tony PETRELLA, Canada (correspondence)
contents
I SCOPE AND TERMS OF REFERENCE
2 INTRODUCTION
2.1 Reasons for increasing share of DG in different countries
2.2 Objectives of the report 2
3 TECHNOLOGIES: DESCRIPTION OF THE TECHNICAL

CHARACTERISTICS OF DIFFERENT KINDS OF DG 2
3.1 Co-generation units 2
3.2 Wind Energy Converters (WEC) 2
3.3 Hydro Power Stations (HP) 3
3.4 Conventional Generators (CG) 4
3.5 PY-Systems (PY) 4
3.6 Fuel Cells 4
3. 7 Micro Generation Systems 5
3.8 Overview of capital and energy costs 5
4 ROLE OF DG IN DIFFERENT KINDS OF OPEN ACCESS

MARKETS 6
5 TECHNICAL INFLUENCE OF DG 7
5.1 Generation and Transmission System 8
5.2 Distribution system 9
5.2. l Network capacity 9
5.2.2 Connection criteria 10
5.2.3 Additional effects 10
6 SOLUTIONS AND OPEN QUESTIONS 11

6.1 Network connection rules 11
6.2 Tools 13
6.3 System Services 14
6.4 Market Strategies 15
7 CONCLUSIONS 16
8 BIBLIOGRAPHY 17
Glossary
maximum admissible increase of steady state voltage with rated po\ver injection
from DG in comparison to the situation without DG
maximum admissible amplitude of fast voltage fluctuations (e.g. caused by switch-
ing)
AG asyncluonous (induction) generator
ancillary services services related to electrical energy supply other than supply with energy and power
(e.g. balance service, frequency control, voltage control, ... )
BHPS Block heating power station
centrally dispatched SO may directly control the active and/or reactive power output
CHP Combined Heat and Power Generation
DG Dispersed generation (not centrally planned, today not centrally dispatched, usually
connected to the distribution network and smaller than 50 - 100 MW)
EHV Extra high voltage: U, > 220 kV
HT high tariff zone
HV High voltage: 50 kV < U, s 220 kV
ISO Independent system operator
LT low tariff zone
LV Low voltage: U, S 1 kV
MV Medium voltage: 1 kV < U, s 50 kV
p active power
P,. long term flicker level (average of periods longer than 30 min)
P,, short term flicker level (average of periods shorter than 30 min)
SG synchronous generator
so System operator (may also own generation facilities)
unbundled seperation (possibly only in accountancy) of generation, transmission and/or re-
taiVdistribution business in formerly vertically integrated utilities
vertically integrated integration of generation, transmission, distribution and retail business in one com-
pany
WEC Wind Energy Converter
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I Scope and Terms of Reference

The traditional large power plants are now challenged by dispersed generation (DG) whose growth will certainly have
consequences on the power systems. Several different scenarios are possible. They much depend on the driving forces
(economic, legislation, regulation and environmental obligations). However, many technical effects are awaited. 1'hey
concern generation, planning the development of the systems or its operation etc.
Scope:
• Describe the different technologies available for dispersed generation and compare their potential development in
the future in different situations and different legal and regulatory background.
• Identify possible influences of dispersed generation on the power system.
• Compare the existing network connection rules in different countries.
• Formulate guidelines for the integration of this dispersed generation in long-term generation and network planning.
• Give indications on the role of the dispersed generation in an open electricity market.
2 Introduction
Electricity supply is challenged from deregulation and third party access to the network. In consequence of this dis-
persed generation (DG) from IPPs based on co-generation units, renewable energies or other conventional sources
increases in all countries.
Before starting the report a brief definition of what is understood as dispersed generation in the work of WG 37-23 is
given. DG as considered in WG 37-23 is
• not centrally planned,
• today not centrally dispatched,
• usually connected to the distribution network and
• smaller than 50 - I 00 MW.
Not centrally planned or dispatched means that major influences such as unit commitment or reactive power generation
are out of control of the system operator.
2.1 Reasons for increasing share of DG in different countries

A summary of the reasons for an increasing share ofDG includes the following main aspects ([l], annex A):
• DG nowadays have mature technology that is readily available and modular in a capacity range from 100 kW to
150MW.
• The generation can be sited close to customer load, which may decrease transmission costs.
• Sites for smaller generators are easier to fmd.
• No large and expensive heat distribution systems are required for local systems fed by small CHP-units.
• Natural gas, which is often used as fuel for DG, is expected to be readily available in most customer load centers
and is expected to have stable prices.
• Gas based units are expected to have short lead times and low capital costs compared to large central generation
facilities.
• Higher efficiency is achievable in co-generation and combined cycle configurations leading to low operational
costs.
• Politically motivated regulations, e.g. subsidies and high reimbursement tariffs for environmentally friendly tech-
nologies, or public service obligations, e.g. with the aim to reduce C02-emissions, lead to economically favourable
conditions. The tariffs paid for active power injection from non-renewable DG vary between 0.023 ECU/kWh (LT
in Denmark) and 0.08 ECU/kWh (HT in Denmark). For renewables the tariffs go up to 0.085 ECU/kWh (Denmark
and Germany).
• In some systems DG competes with the energy price paid by the consumer without contributing to or paying for
system services, which leads to an advantage of DG in comparison to large generation facilities. In case the energy
price includes also transmission/distribution charges this advantage depends on the voltage level and may be quite
high e.g. in case of micro generation.
• Financial institutions are often willing to finance DG-projects since economics are often favourable.
• Unbundled systems with more competition on the generation market provide additional chances for industry and
others to start a generation business.
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• Customers' demand e.g. for .,green power" is increasing.

In countries with very strong increase of DG usually several reasons come together or a single reason is very dominat-
ing like in Germany, where the very high rein1bursement tariffs caused a strong increase of WEC-installations.
2.2 Objectives of the report

This report will provide an overview of today's situation concerning DG in different systen1s. Depending on the amount
of DG installed already today several major influences can be observed. These influences depend largely on the struc-
ture of the electricity supply system and of the market in the respective country. Nevertheless there are conunon reasons
for an increasing installation of DG and there are already existing many solutions how to deal with them in the future.
Those solutions will be outlined under consideration of network connection rules, adapted planning and operation pro-
cedures and others. Furthermore, several questions which have arisen already today in some countries still remain un-
solved. These questions will be identified in order to provide an overview of the remaining tasks on this area which
could possibly be discussed in future working groups of CIGRE.
3 Technologies: Description of the technical characteristics

of different kinds of DG
3.1 Co-generation units

There is no universally accepted definition of a co-generation unit. However, these units are distinguished from con-
ventional electricity generators by the fact that the waste heat resulting from the production of electricity is captured
and made use of rather than being rejected to the environment. A true co-generation unit is therefore capable of
achieving a gross energy conversion efficiency of 75o/o or more.
Co-generation is not a new technology. In fact, before electricity distribution systems were able to achieve today's high
levels of reliability, factories often had on-site generating plants allowing the waste heat to be used in process applica-
tions. Early co-generation units normally comprised of a solid fuel steam raising boiler and a back pressure steam tur-
bine. In recent years, the rapid development of gas turbines coupled with relatively plentiful supplies of natural gas
have led to the widespread adoption of the gas turbine based unit either in simple or combined cycle. For smaller
schemes, less than 5 MWe, reciprocating gas engines can provide an alternative prime mover option.
A typical industrial co-generation scheme might comprise of a 40 MWe gas turbine and a heat recovery steam genera-
tor (HRSG). The gas turbine will be fuelled by high pressure (25 bar) natural gas. As well as generating 40 MWe it
will, via the HRSG, supply some 80te/hr of medium pressure steam to an industrial process. By also providing firing in
the HRSG the steam output can be increased significantly. This additional steam could also be supplied directly to a
process. However, if the HRSG operates at an appropriate pressure level, its output may be passed through a steam
turbine alternator set before going to the process. This arrangement constitutes a combined cycle cogeneration plant.
The operation ofBHPS depends on the time variable heat demand of the thermal load. For this reason, the active power
output, which is linear dependent on the thermal power output, cannot be influenced in normal operation, when a high
efficiency shall be achieved. Unlike the active power output, the reactive power output can be controlled within the
operative constraints of the synchronous generators. For this reason, BHPS are equipped with a power factor control.
3.2 Wind Energy Converters (WEC)

The characteristic of the power output of WEC is determined by the technology and the characteristics of the wind
fluctuations. The usual size of WEC, which are coupled to the electrical network, is in the range between 30 kW and
1,5 MW. The trend is going towards the 1 MW class. The hubheight reaches until 80 metres with the rotor diameter of
up to 65 metres. The technology is mainly determined by the concepts of the rotor and the mechanical electrical energy
conversion system. The rotor is either constructed with variable blade angle (pitch regulation) or in the non-variable
stall regulation.
For the mechanical electrical energy conversion induction or syncfilonous generators are used. In the conservative
design an induction generator is coupled directly with the electrical network. Variable compensation systems are used
for controlling the reactive power consumption. The most advanced systems use synchronous generators with pulse
width modulated converters. Various different types of technologies within this wide band of concepts described above
are realized today. Concluding there is no general rule what type ofWEC-technologies will be used in the future.
Most important for describing the behaviour of WEC on the grid is the regulation of the converter. Usually WEC are
connected to the grid injecting only active power and compensating reactive power needed by induction generators
locally. The cosqi is kept to I in the whole operational range. Modem types realize voltage regulations by varying the
coscp in the range between 0.9 inductive and l. WEC, which are designed with pitch regulation may also reduce the
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active power injection for reducing the voltage level on the connection point. This type of generators is usually installed
in weak grids where in case of low load and high power injection the voltage level may rise above the tolerable range.
Furthermore, this regulation can guarantee that also in case of temporary network reconfigurations, e. g. after network
failures or for maintenance, the voltage level is not lifted above the tolerable range.
WEC, which are carried out with induction generators contribute to the short circuit level in the network. The usual
contribution is in the range between 4 and 8 times of the nominal current depending on the type of generator. Further-
more, WEC usually introduce fast power fluctuations in the network. They are caused on the one hand by wind fluc-
tuations, on the other hand by disturbances of the WEC itself (mostly by the blades passing the tower). Those fast volt-
age fluctuations must be limited depending on the strength of the network on the connection point. 1'able 3.1 summa-
rizes the main characteristics of two types ofWEC which indicate the range of the possible technologies realized today.
induction generator synchronous generator
directly coupled to the grid, coupled via a pulse-width-modulated
stall regulation converter pitch regulation
~s ~s
concept
•
reactive-power-regulation sometimes compensated to coscp=l variable cos cp
active-power-regulation no regulation active regulation (limitation possible)
voltage regulation no regulation by reactive- and active power regulation
flicker usually high usually low
contribution to short-circuit current 4 ... 8 ·I, I,
peak current Imax ~ 2,5 · Ir lmax =Ir
Table 3.1: WEC-characteristics
A new concept for HVDC transmission based on VSC (Voltage Source Converter) technology opens up for d.c. con-
nection of a wind farm to the a.c. grid. The a.c./d.c. terminals, which are fully equipped FACTS components, will pro-
vide voltage regulation. The concept will be studied in a demonstration project in Denmark.
3.3 Hydro Power Stations (HP)

A hydro power station consists of turbines connected to electric generators and the structures necessary to channel and
regulate the flow of water to the turbines. Hydro-electric power stations convert the energy of flowing water into elec-
tricity. The vertical difference between the upper reservoir and the level of the turbine(s) is known as the head. The
water falling through this head gains kinetic energy which it then imparts to the turbine blades. The potential energy of
water can be stored by constructing storage reservoirs either in natural lakes or in artificial basins made by building
dams across the watercourse.
The estimated power output per year is 8,6 W. flow I (m3 / s). net head Im with a total operating efficiency for turbine
and generator of 80 - 90 %.The energy production per year is - available amount of water/(m3/year) · net head/m ·
1/420,6 kWh. Power stations are classified in three main types of installations depending on the storage capacity: low-
head or run of river, medium-head or poundage and high-head or stored stations.
Low-head power stations have a small head of water but a large water volume. Since it is difficult to regulate the water
flow by means of a reservoir close to the power station the water generally is used when it is available. The amount of
electricity generated therefore rises when the river is carrying more water (e.g. during the thaw or when precipitation is
very high). High-head power stations are generally constructed to utilise a large head of water but a smaller volume
than the run-of-river power stations: The power station is usually constructed near the storage reservoirs, and is con-
nected with the reservoirs by tunnels through the rock above or pipelines on the ground. Medium-head power stations
have heads and water volumes in the range between the two types described above.
A hydro-electric plant has the ability to start up quickly and the advantage that no losses are incurred when at standstill.
It has great advantages, therefore, for generation to meet peak loads at minimum cost, especially working in conjunc-
tion with a thermal system. A pumped storage plant is a special type of hydro power plant. It consists of an upper and a
lower reservoir and turbine-generators which can be used as motor-pumps. During peak load hours on the network the
turbines are driven by water from the upper reservoir in the normal manner. In low load periods water is pumped back
to the upper reservoir. The generators then change to synchronous-motor action and, being supplied from the general
power network, drive the turbine which is now acting as a pump.
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The power plant with dams, reservoirs and powerlines will have both positive and negative effects on the local envi-
ronment, however doubtlessly the generation of electricity in hydro-electric power stations causes no pollution of the
environment. The gross theoretical potential for hydropower is estimated to be around 36.000 TWh woldwide. The
exploitable potential exceeds 14.000 TWh. Around 18 o/o, or 2500 TWh of this potential is utilised. Water power is
hence probably the world's most important renewable energy resource.
3.4 Conventional Generators (CG)

The tem1 ,,conventional generator" is used here to describe small fossil-fuelled plants producing electricity only. The
two main kinds of conventional generators that are currently preferred for DG are combustion turbines and reciprocat-
ing engines.
The first combustion turbines were developed primarily for aerospace applications. They have also been developed as
prime movers for simple electricity generating plants and are referred to as ,,aeroderivatives". They are usually fuelled
by gas but can also bum liquid fuels. Developments in recent years have seen the efficiency of aeroderivative gas tur-
bines rise to about 40o/o.
In parallel with the development of aeroderivatives, industrial gas turbines have also been developed. These turbines
have been designed specifically for industrial applications. They are less efficient than aeroderivatives in simple cycle
operation and are therefore more conunonly used in cogeneration or combined cycle applications where their higher
exhaust gas temperatures offer benefits.
Reciprocating engines are usually grouped into three classes: Slow motors(< 300 rpm, up to 50 MWe), Semi-fast mo-
tors, (300-750 rpm, up to 20 MWe) and Fast motors, (750-1800 rpm, 1 - 5 MWe). These motors can be run using dif-
ferent kinds of fuels. Heavy fuel can be used in slow and semi-fast motors, light fuel and natural gas only in fast mo-
tors. Dual-fuel (93-97 % natural gas, 3-7 % light fuel) usually is typically used in semi-fast motors. Efficiency ranges
are 27-34 % for natural gas engines, and 32-38 % for dual fuel engines. As with combustion turbines, the waste heat
from these engines can be captured and used beneficially, thus creating a cogeneration scheme.
3.5 PY-Systems (PV)

Photovoltaic devices convert sunlight directly into electricity. Although the photovoltaic (PV) effect has been recog-
nized since 1939 practical applications began in the early 1970s, when PV cells were adopted by the US space program.
Photovoltaic power systems can be categorized into three application types: stand-alone, hybrid or grid-connected. The
stand-alone systems generally involve batteries and are used in remote locations which have no access to a public grid:
if AC loads are supplied an inverter is needed. In a hybrid system one or more auxiliary power sources such as wind or
diesel generators are added to the PV scheme, in order to supply the load continuously. The grid-connected types nor-
mally do not include batteries. Here the public network acts as an infinitely strong system which accepts all available
power from the PV system; coupling is made via an inverter device.
In 1990, world-wide photovoltaic sales reached about 50 MW and about 30% of it was related to electric power appli-
cations. No actual figure is available but we may assume that it is doubled in the meantime. If the current trend of mar-
ket growth continues, an overall world demand for photovoltaics could go up to 6 GW in the year 2010, with an im-
portant portion for decentralized electric power applications.
The major barrier to a widespread adoption of PV equipment is its high cost. A number of strategies for reducing costs
are actively pursued around the world. Some new technological concepts seem to be promising in this respect. In the
past, most of the PV activities for power production were pilot or demonstration projects sponsored by public authori-
ties, like for instance the 1 MW plant in Spain (EU Joule programme). More and more, the electric utilities are coming
in now and start up PV applications.
The power output of a PV system is directly related to the surface area of the PV modules, the efficiency of the system
and the actual solar radiation, which varies from hour to hour and from day to day.
3.6 Fuel Cells

Fuel cells are electric batteries able to convert hydrogen and oxygen into electricity, heat and water. There are several
types of fuel cells, some of which can also convert natural gas and coal gas. They all have one thing in common: a cell
consists of an electrolyte and two electrodes, like cells in ordinary batteries. The main difference between fuel cells and
the cells of other batteries is that air (oxygen) and hydrogen are continuously conveyed to the electrodes of the fuel cell,
avoiding charging of a fuel cell as it can go on without interruption. The individual fuel cell only gives a voltage of l
volt, so it is necessary to connect a large number of cells in a series, giving a so-called cell stack with the desired volt-
age. The many different types of fuel cells are usually named after their electrolytes. The primary types are: The Alka-
line Fuel Cell with an aqueous KOH electrolyte, the Phosphoric Acid Fuel Cell, the Solid (Polymer) Proton Conductor
Fuel Cell, the Molten Carbonate Fuel Cell and the Solid Oxide Fuel Cell, whose electrolyte is a ceramic oxygen ion
conductor.
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As the situation is today, it \viii probably take some more years for fuel cells to become a competitive con1n1ercial tech-
nology. Due to the development within gas turbines, fuel cells are expected to become competitive only for units below
approx. 20 MW.
3. 7 Micro Generation Systems

Micro generation systems are electric or cogeneration systems with an output below 100 kWe. Their technology can be
any of the ones described in this chapter, the highest potential is expected from the following ones:
• Reciprocating engines. The industrial offer is very wide with servomotor ignition engines using car type gasoline (2
or 4 cycles) and with Diesel generators. But, more recently, groups around 70 kWe running with gas, and consistent
with long use periods in respect to environmental considerations, have been developped. The potential market for
these units is wide and in the next few years their development should be important on low and medium voltage
networks.
• Combustion turbines. Compared to micro reciprocating engines, micro turbines are two or three years late since they
are not yet marketed. But according to manufacturers, they will be on sale by the end of 1998 or beginning of 1999.
They present great advantages : low capital costs (half the price of a reciprocating engine of the same power), re-
mote control and monitoring, low emissions and noise, no vibrations. Micro turbines are still being improved, espe-
cially in terms of their efficiency.
• Stirling motors. They are external combustion engines where fuel is burnt continuously to heat one part of the en-
gine cylinder. This is unlike internal combustion engines, where fuel is injected into the cylinder intermittently and
then ignited. They require very little maintenance, are non fuel specific and have high efficiencies. Moreover their
size can be highly reduced. But they are very expensive and it is difficult to tell how much the cost will be reduced
by a large production due to deregulation in many countries. Therefore Stirling engines are still being developped
and will not be available until at least 10 years.
When considering this type of generation, several problems may occur. The most significant one is that the power pro-
duced, but not locally used, will be delivered on the electrical network, which would lead to a large number of power
injections into the grid.
3.8 Overview of capital and energy costs

The overview of costs in Table 3.2 gives an indication on the competitiveness of the different kinds of DG. It has to be
pointed out, that the values are roughly estimated. In real applications the costs may be outside the given range de-
pending on the individual conditions.
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technology electric capital costs total costs

capacity Euro 1 I kWe Euro 1 I kWhe
CHP 40MW, 550 - 8502 0.04 - 0.057)

WEC (onshore) 15 MW, 900 - 1300 0.04 - 0.09
WEC (offshore) 100 MW, 1500 - 2000 0.05 -0.12
HP (lowhead) 5 MW, 900 - 1000 0.02 - 0.03
CG (turbine) 5MW, 800 - 850 0.053 - 0.057
CG (reciprocating engine) 5 MW, 500 - 750 2 0.03 - 0.0453
PV 5MW, 6000 - 10000 0,75 - 1
Fuel Cells 5MW, 1100-1600 0.08 - 0.1
Micro Gen. (reciprocating engine) 50kW, 600 - 15004 0.07 - 0.154
Micro Gen. (turbine) 50 kW, - 300 5 0.03 - 0.055
Micro Gen. (fuel cell) 50kW, -900 5 0.09 - 0.155
Table 3.2: Capital and energy costs for DG-facilities
4 Role of DG in different kinds of open access markets

At present there are many variations in the unbundled scenarios for electric power systems around the world [2,3). The
bandwidth reaches from vertically and horizontally unbundled structures till vertically integrated utilities. An ongoing
trend towards an unbundled structure is visible in a number of countries. At the same time in many countries a strong
increase of DG can be observed. In some cases the unbundling can be considered as a reason for this because it gives
free access for IPPs to the market. On the other hand there are countries like Norway where after the opening of the
market the share of DG does not increase significantly as they rarely become economically more favourable than the
existing generation with very cheap energy from the water resources.
The role of DG in the system depends largely on the market and utility structure, network connection rules and subsi-
dies. They determine whether or not a large amount of DG will be connected to the system and how they will be in-
cluded in planning and running the system. Figure 4. l shows the traditional system structure as it can be observed in
many countries, dominated by large vertically integrated utilities (VIUs). Usually those systems already have some
experience with IPPs and industrial plants which are often not centrally dispatched when connected to the distribution
grid. Nevertheless, in many cases those units are integrated in the system planning by joint ventures or other coopera-
tions with the VIU. Furthermore, there is no need to defme tariffs for system connection, transmission and ancillary
services. The VIU is responsible for the security of supply. DG, which are at first not competitive according to their
high production costs, only have chances, when there are subsidies, e g. for renewable energies. Those subsidies are
granted for a certain amount of generation capacity (example of UK) or guarantee a reimbursement tariff above the
avoided costs of the utility where they are connected to the grid (example of Germany). Especially in the case of wind
energy in areas with weak grids, the network connection rules with the results of more or less investment costs play an
important role when deciding upon the profitability of a project.
In a completely unbundled scenario the vertical integration does not exist as before, often a trend towards an independ-
ent system operator who runs the transmission can be observed. The former bulk power generation now directly com-
petes with IPPs from industry or other operators and DGs. The possible cost reduction on the generation side after the
opening of the market can reduce the chances of DG. On the other hand, there is the possibility of creating new mar-
kets, e. g. a ,,green market" for renewables, which then might increase their chances. Also in open access markets sub-
sidies for special types of DG may exist.
the following assumption is made: I Euro "'I ECU

2 depending on power level, connection costs and integration costs of the heat power
J depending on consumed power, number of operating hours and electrical efficiency
4 existing projects are on the upper end of the range
5 only tentative values
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In case IPPs or DGs - as assumed here - are not centrally dispatched and do not provide for ancillary services but profit
from them there will be an unbalance on the market depending on the respective market structure. Furthermore DG are
often installed close to custon1er load in the distribution grid wluch in principle helps reducing the transn1iss1on losses.
On the other hand the connection to distribution nertworks may cause reinforcements in other parts of the grid. ·rhis
extra burden is not carried by DG in case they have to pay only shallow connection costs. Other types like WEC in-
crease losses on the distribution level as a result of their high penetration in rural areas with low load density. 'fhis
requires the definition of adequate transmission tariffs.
verocally integrated utility (VIU) Gen 1 Gen 2 Gen 3 Gen 4
industnal plants
ue lm~s to Other VI Us tie lines
!PPs
customers customers
Figure 4. l: traditional and unbundled system structure
The above mentioned circumstances lead to a different share of DG in the studied countries, as pointed out in Table 4.1.
In Average today a share of the maximum load of 5 % up to 9 % in the EU is being observed in the countries. Some
countries, e.g. The Netherlands and Denmark, have already reached values near to 40 %, which has already lead to
countermeasures as adequate tariffs, joint ventures and reconstruction of the 150/132-kV-Network.
In the long run, a much higher potential is expected, especially in Spain, where already 9000 MW of wind energy
converters and 16000 MW ofCHP are projected today. Other countries with expectation of increasing share ofDG are
Germany, Canada, Derunark. Several countries see increasing values within the next years, lead by an estimated theo-
retical potential in Canada of75%. The target of the EU in order to reduce the C0 2-emission is set to 18 % in 2010, and
a theoretical potential of 40 o/o was identified.
Today Future Potential
Australia 3%(2000 MW) 9%(9000 MW)
Belgium 10 % Up to 20 %
Canada 10%,2900MW 22000 MW~ 75,8%
Denmark 37 % (1600 MW CHP I 900 MW WEC) 2000 MW CHP, 5000 MW WEC
France less than 5%, max 8 MVA-Units EC-Rule: more than 8 MW-Units
Germany 1260 MW small CHP I 6000 MW CHP I 2400 MW WEC Up to 35 % CHP, >3600 MW WEC
NL 40% ?
Norway I% (Hydro, low prices) ?
Spain 300MW 9000 MW WEC, 16000 MW CHP
EU Targets 9% 18 % by 20 I 0, theoretical 40 %
Table 4.1: DG-penetration in different countries
It can be summarized that the reasons for an increasing share of DG are not directly depending on the market structure.
It can be assumed that in all countries which do not have extremely low generation costs in the bulk power (like e.g.
Norway does) DG will play an important role in the future. An open access market will support this trend but is not a
pre-condition as favourable economics and politically motivated subsidies for envirorunentally friendly technologies do
also cause this trend in traditional supply structures.
5 Technical Influence of DG
In general, many technical influences of increasing share of DG may be observed in various countries, depending on
the amount of DG and the kind of generators used as well as on the structure of the system. For example, the subsidies
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for generation from \vind lead to a high increase of wind turbines in some countries and special problen1s in the con-
ventional systems.
Though it is not easy to generalise the technical impact it is attempted to draw the major consequences from the obser-
vation of the developments in several countries. The study is divided into the three parts of the system and special tech-
nical questions.
5.1 Generation and Transmission System

The System Operator (SO) is responsible for network expansion planning, network operation incl. reactive power and
voltage control, metering and billing, generation expansion planning and energy planning (in case SO owns generation
facilities) and procurement of reserve, power trading, scheduling of the generation and frequency control. All these
tasks are affected by an increasing amount of DG.
Network expansion planning is directly affected when a large number of DGs can only be connected directly to the
transmission system. In principle this is a contradiction with the assumption of a maximum size of 50 to 100 MW, but
in case of the WEC-teclmology wind farms are reaching very high levels of power generation. In some cases (example
of Danish offshore-projects) it is necessary to connect them directly to the transmission network which alters the system
topology.
In systems with a increasing amount of non-dispatchable and to some extent unpredictable production a weak transmis-
sion network is a barrier to integration of large numbers of DGs. A strong and flexible transmission network makes it
possible to trade in regulating power (ancillary services) on the international level.
Furthermore the SO must evaluate the risk and consequence of a global trip of a large amount of DG connected to the
MV- or HY-network. Overload trips of transformers or power lines could be the result of a high increase in the load.
For this reason it is necessary to study the dynamic performance of the system carefully in case local support from DG
is used as a means to increase the transmission capacity or a network failure may cause a dropout of a large number of
generators, which would cause a major lack of generation. The same applies for the frequency relais, where a setting of
a too high under-frequency-protection makes severe situations after a generation dropout even worse, because the fre-
quency-relais may disconnect the DGs and even increase the lack of generation.
In network operation voltage control is one of the major tasks. Problems arise in situations where a large part of the
actual load is covered by DG in lower voltage levels. In those situations the remaining generators in the transmission
network may not control the voltage with adequate accuracy. Therefore, it might be necessary to revise tap changer-
regulators, to connect shunt reactors or to change the topology of the network (opening lines).
For the same reason the SO has to pay attention to the short circuit profile, which will be modified significantly in those
situations with low generation on the transmission level. The correct behaviour of the system relays can be seriously
affected.
The eventual lack of knowledge about capacity and placement of the DG units directly affects the service restoration
plans in case of major system incidents. This implies the need to implement communication chailllels, with the objec-
tive that-the system operator can survey the most important DG units.
Generation expansion planning and energy planning is mostly affected because of the non dispatchable power output
of DG, which in many cases is even difficult to predict. Concerning long term reserve DG will not replace the same
amount of generation capacity as DG-capacity is installed as a result of their stochastic characteristic.
The requirements concerning the composition of the generation system may change as a result of a different annual and
daily load curve after DG-commitrnent and/or increasing secondary reserve requirements. As one example the Nether-
lands may be mentioned: Up to now about 40 per cent of the total Dutch electricity generation is cogeneration, 3000
MWe centralised and 4000 MWe decentralised. In combination with a strong increase of the electricity demand in the
morning this leads to problems, because the load varying velocity of the thermal power station is limited.
In the energy planning (up to 5 years) a reduced expectation of power production has to be considered. DG will influ-
ence the aIUlual load curve and, thus, planning of revision, production and purchasing. This influence is stochastic with
some correlation to the load, but in many cases (like WEC) with a much higher uncertainty to predict. In addition to the
load forecast a DG-forecast will be necessary.
Procurement of reserve, power trading, scheduling of the generation and frequency control are also affected by DG as
a result of their stochastic behaviour. Primary reserve is probably not affected in large intercoIUlected systems like the
UCPTE because even large power output fluctuations which can be expected at the WEC-technology will remain much
lower than load fluctuations. In smaller (island-) systems this aspect should be analysed with special care. Secondary
reserve requirements may increase because the DG-power-output can only be predicted with a limited accuracy. There-
fore, additional fluctuations depending on the technology may be introduced to the system which then have to be bal-
anced within the subsystem or by balance power from interconnected partners.
-9-
·rhe secondary reserve requirements may also be affected by the risk of a global trip of a large amount of DG connected
to the MY- or HY-network, which may occure as a result of network failures. The respective probability in relation to
other incidents related to secondary reserve requirements is expected to be very system-specific and has not been ana-
lysed yet.
Apart from the quantity of secondary reserve the procurement is affected by DG which in many cases doesn't contrib-
ute to this but replace large generation facilities which would be able to provide reserve themselves.
For the same reason scheduling of the large generation facilities will be faced with new constraints. The deterministic
approach in the optimization of unit commitment and scheduling has to be questioned when the possibly very low re-
maining load after DG-contribution is burdened with all load- and DG-fluctuations. Power trading is affected at the
same, but may also be the only sollution e.g. in situations when actual DG-production exceeds the amount which can be
used in the system after considering all constraints like reserve requirements and stable system operation.
5.2 Distribution system

DG has influence on the quality of supply and on technical items such as short circuit power or the protection system.
Concerning quality of supply mostly voltage quality has to be regarded, the reliability of supply is usually not affected
(increased) by integrating DG without central dispatch, as there is usually no strong correlation with load. Some of the
influence is more a local one and can be easily handled with local measures, other aspects mostly depend on the net-
work structure and thus can only be influenced in long term network planning. Thus, the interactions between DG and
network operation is divided into two groups as follows.
• The network capacity is limited by the constraints voltage stability and current carrying capacity of the equipment.
Increase of the network capacity is possible in a certain range by optimizing existing degrees of freedom in the net-
work operation, otherwise only by investing in new primary equipment.
• The other criteria, here summarized as connection criteria may be influenced by the technology of DG and other
local measures. This applies to flicker, maximum voltage changes, short-circuit current and selectivity of the pro-
tective system.
Usually in HY-networks the connection criteria are less a problem than the current carrying capacity in normal opera-
tion and under (n-1)-conditions. DG-connections in HY-networks are standard planning tasks today. In MY- and LY-
networks the steady-state and dynamic voltage has to be analysed more carefully.
5.2.1 Network capacity
A general characteristic of non dispatchable DG is a fluctuating power output which is usually not directly correlated
with the electrical load. The resulting network voltage fluctuations superimpose themselves on existing fluctuations
caused by changes in load and may lead to a widening of voltage bands. This widening of the voltage bands uses up
network reserve which are then unavailable for additional customers.
Adherence to voltage limits of 230V~0'; for all low voltage customers and of Un.MS ± 10% for all medium voltage
customers [4,5]. The example of Figure 5.1 shows that after deducting the max. expected voltage drop in the low volt-
age network (-5%), the local network transformers (-2,5%) and taking into consideration the stepping tolerance of the
voltage regulator on the HY/MY-transformer (-2%) a restriction of the voltage bands in the medium voltage network to
approx. 6,5% is necessary. A lower voltage drop in LY increases the capacity in MY and vice versa. Additional com-
ponents for voltage regulation installed in dispersed locations in such networks may increase the transmission capacity
from this point of view.
6
230 V + % => 16 o/o variation admissible
-10%
- l@-1----.Iro--1-----.l
HY-network MY-network LY-network
t.U 2% -->!<----- 6,5 o/o ----->!<- 2,5 % ->•~I,-- 5 % ____,
u
T
deviation voltage drop
Figure 5. I: Example for the calculation of admissible voltage drop in a MY-network
The increase of voltage bands by power injection from DG can be to a certain degree be compensated by reactive
power consumption by DG. This may also be desirable from the point of view of optimising the reactive power flow in
higher voltage levels. Thus, the power factor of DG should not generally be set to a fixed value (often l) but should be
- I0 -
regardes as a degree of freedon1 of the connection which is set in every individual case in order to meet the local re-
quirements.
The connection of DG will - if not by admissible voltage bands - be limited by the current carrying capacity of the
equipment which is determined by the thermal load it will bear. Nowadays it is normally assumed that the thermal cur-
rent limit can be exceeded for short periods - e.g. for the rapid restoration of supply after a failure. On the other hand
the generation characteristics of many types of DG with longer periods of rated power output don't allow the same
maximum current on the equipment as for typical MY-loads with its fluctuations during the day.
5.2.2 Connection criteria
Especially WEC are subject to power fluctuations resulting in rapid changes of voltage and, consequently, flicker. The
disturbance caused by this is expressed as the flicker disturbance factor. Taking Germany as an example, in medium
voltage networks the long-term flicker disturbance factor must not exceed a limit of Ph.MS= 0.67 [6]. Owing to the sto-
chastic independence of disturbance signals from different customers and damping due to network impedance between
customers at a greater distance from one another, it is assumed that this upper limit for flicker is assured if P1, = 0.37 for
individual customers and P1, = 0.46 for individual DG is not exceeded (6,7]. In order to limit the effects of flicker, rapid
changes in active and reactive power must be reduced accordingly. A suitable choice of plant size and technology can
ensure that flicker does not become a limiting factor.
The maximum permissible amplitude of rapid one-time voltage changes in the medium voltage network is limited, in
Germany for example to 4% [5]. As individual voltage changes do not have a great effect on the long-term flicker level,
insufficient account is taken of them when flicker is measured. For this reason a separate analysis is necessary to ensure
that the 4% limit is adhered to. These maximum voltage changes only occur with wind energy generators and, like
flicker, depend on the type of generator.
Through the connection of DG which contribute to short-circuit current - i.e. direct coupled, synchronous or induction
generators - short-circuit power may rise above the capability of the network equipment. Short-circuit power is usually
at its greatest on the busbar of the HV/MV-transformers. Depending on the configuration of the network, it may be at
the upper limit here even if there is no additional power infeed. Accordingly, when DG are integrated, short-circuit
power must be checked on a case-to-case basis and, if necessary, kept within the permissible range using suitable plant
engineering measures (e.g. converter coupled systems) or short-circuit current limiters.
The protection of the DG-unit itself causes as a rule no special problems and can be covered by standard relaying
equipment. The main challenge lies in the design of the interface protection scheme and its co-ordination with the util-
ity network relaying and operating conditions (8).
In medium voltage networks the protective concept is nowadays predominantly based on radial branches. Using inde-
pendent overcurrent time relays which are staggered but without direction decision, selectivity is achieved, i.e. in the
event of a fault only the relevant branch will be shut down and the rest of the network will continue to operate nor-
mally. Where there is dispersed infeed all branches with power generation plants connected will feed power into the
place where the fault is located via the medium voltage busbar. This means that if the protective system fails to isolate
the dispersed generation plant from the network soon enough after detection of undervoltage the independent overcur-
rent time relays may trip unselectively in branches of the network which are not affected by the fault. Within certain
limits selectivity can be attained in such cases by raising the response thresholds of the independent overcurrent time
relays, by staggering the tripping times or by raising the response threshold of the undervoltage protective system.
However, raising the response thresholds or prolonging the tripping times of the independent overcurrent time relays is
not without problems with regard to the desirability of rapid shutdown and avoidance of the destruction of equipment
or, indeed, the safety of personnel. Apart from this, it must also remain possible to reliably detect faults with smaller
fault currents. Particularly when systems have a number of branches, there may be problems with the protection con-
cept and more radical changes are to be made (e.g. installation of uni-directional independent overcurrent time relays).
5.2.3 Additional effects
Basically, the reliability of supply is usually not increased by integrating DG without central dispatch. On the contrary,
care must be taken to ensure that DG does not affect reliability of supply. This may happen when the selectivity of the
protection system is jeopardised, the effectiveness of auto-reclosing is no longer guaranteed or there is a danger of
cables being overloaded after temporary network reconfigurations. Futhermore, the steady state voltage must not ex-
ceed the admissible limits under exceptional supply conditions. In such cases it may be necessary to isolate the DG
from the network or the DG must be fitted with automatic voltage limiters.
Changes in load flow are accompanied by changes in network losses. With low infeed the network losses will decrease,
as the utilisation period of the equipment - and accordingly the loss factor - decreases. Network losses increase when
dispersed generation greatly exceeds the load or the power factor of the dispersed infeed has to be set strongly lagging
- II -
in order to assure permissible operating conditions in the network - in particular, allowable voltage range. In principle,
network losses are not subject to any operating limits. Nevertheless, for reasons of economy they should be minimised.
As a principle it can be stated that non dispatnchable DG connected to MY- or LY-networks will increase necessary
investments in the network because they widen up the expected voltage bands and thus reduce the network capacity for
the supply of additional (load-) customers.
6 Solutions and Open Questions
6.1 Network connection rules

Today, there are two principle approaches concerning the planning procedure for the network connection of DG. They
both have the same background: the constraints of customer quality, e.g. according to the European Norm EN 50160
[9]. Two examples may explain the differnt approaches:
• Only the customer requirements are relevant for the decision whether or not a DG may be connected or how the
design has to be. The network operator checks a possible interference in every single case. This procedure is applied
e.g. in the UK, the respective quality standards are defined in engineering recommendations [I 0, 11 ].
• In order to make the handling of a large number of DG-connections easier special connection rules are set up which
are then more handy for the practical use. The German network connection rules [12] for instance are derived from
the respective standards on network operation and customer requirements, assuming typical MY-networks with av-
erage loads and typical type and length of lines.
As a matter of principle the second approach does not garantee the quality of supply e.g. in situations with a high den-
sity of DG. On the other hand there are many situations were additional DG can be connected referring to the customer
requirements but the simplified network connection rules don't allow this. This disadvantage is opposed to the advan-
tage of easy handling and the definition of items, which DG have to stick to and which are written in DG-certificates.
Table 6.1 gives an overview of existing network connection rules. In case special connection rules according to the
second point above exist (D, DK, NL) they are listed in the table. Otherwise the given values are those which are used
as customer requirements according to the first point above (GB). Only those requirements are given which differ from
the respective European norm EN 50160, which is given in Table 6.1 as a reference.
In Germany (D), Denmark (DK), Spain (E) and the Netherlands (NL) the accepted steady state voltage variation is
much stricter than in the EN 50160. This results from the assumption, that the total permssible range from the custom-
ers' point of view must not be given to one single DG but has to be shared among customers and DG. The same applies
- for voltage quality in Germany. Var-consumption as a means of reducing the increase of steady state voltage is ac-
cepted in a certain range in some countries. In Netherlands Var-injection is not considered to be useful, in other coun-
tries this is applied in special cases. In all countries there is no charge for Var-consumption, if coscp > 0.9. If coscp < 0.9
there are tariffs between 0 and 0.015 ECU/kVAh in Germany and between 0 and 4% of the kWh-price in Spain6. In the
Netherlands different agreements are applied. Only in Spain there is also a tariff for Var-delivery from DG 7. The tech-
nical aspects synchronising and protectiv relaying always have to fulfill prooven technical standars, the values in Table
6.1 are an indication of usefull settings and depend much on the specific protection system.
6 if COS<p:? 0.9 --+ Charge for consumtion =0

if COS<p < 0.9 --+ Charge for consumtion =[ 17
(cosq:>) 2
2l] (in % of kWh energy
with limit cos<p = 0.5 where charge= 47% of Energy)
7
ifcos<p>0.9 --+paymentof[21- 17 ] (in%ofkWhenergy
(cos<p) 2
- 12 -
max. .1u 11 in LY ±10%8 3o/o
max. 8u1t in MY ±I 001o8 2o/o 1%(5%9 ) 5%

(2%'0)
max . .1u 11 in HV 5%
(2%'0)
max. U 1c in LV 110% 8 106% 106% 106%
max. U 11 inMV 110%8 105%
max. U 1t in HV 110%
min. U,, in LY 90% 8 90% 90% 90%
min. U,, in MY 90% 8 95%
min. U 1, in HY 90%
flicker !iU:>l%
max. P1, in LV 111 0.464 1.0
max,·P.inLY
max. P 1, in MY l" 0.464 0.9
max,:p•in MY 1.0 0.9
max. P1, in HY 0.6
max. P51 in HV 0.8
amplitude of fast voltage !iU:51 %

fluctuations
max. nu. in L V 4-6% 3%
max;.liU,. in MY 5-10% 2%
max, nu. in HV
harmonics limited limited limited
yes
12
48%P 10% 60%
12
75%P 40% 60%
8 for 95% of a/I IO-min-intervals in every weak

9 in I 0-k V-radial-networks without consumers
1O wind farms
11 in 95% of all week-intervals
11 Var-control and -compensation must be agreed with local network operator
- 13 -
synchr. generator coordinated

max. 6.u I% 10 8 (10 13 ) (proovcn
max.1H/Hz 0,5 0.1 (0.2 13 ) standards)
max. A(jl/ 0
10 10 (20 13 )
induction generator coordinated
max. load 0 (prooven
max. Af I Hz 2,5 standards)
limitation of sec yesl4 yes yesl4 yesl4
over current yes coordi-

nated
over voltage I % 0-15 6-10 10 10
under voltage I% 0-30 10-30 15 10 70
over frequency I Hz 0-2 1-3
under frequency I Hz 0-2 2.5-3 6 2
other yesl5
secondary
tertiary
Table 6.1: Overview of network connection rules and related contracual agreements
6.2 Tools
The consideration of DG in future planning and operation of electricity supply systems will require the utilization of
new software tools on this sectors. Due to the unknown development of the installed DG power and - depending on the
technology - the stochastic power output behaviour additional uncertainties will be introduced to the system. Those
uncertainties will have to be considered in generation as well as in network planning and operation.
The following aspects have specially been identified in the work ofWG 37-23:
• Load/generation prediction: The unit commitment of the bulk power generation requires a load prediction which in
traditional systems contains an uncertainty in the range of 3 %. This uncertainty is equalized by the on-line eco-
13 for generators 5 1 MVA

14 if necessary
I5 3 V0 Direct Transfer Trip
I6 prohibited, declaration required
17 for CHP-units larger than 2 MW (not implemented at the moment)
IS to be contributed only in case f < 49,85 Hz
- 14 -
nomic dispatch. An increasing share of non-dispatchable units with partly stochastic behaviour will necessarily lead
to an increasing uncertainty in the joint load and generation forecasts. Therefore, tools for generation forecast de-
pending on the technology (e.g. WEC or CHP) have to be developed, considering the random aspect of the respec-
tive technology. Gaining data for this purpose is a major aspect, in Denn1ark all conventional units above 2 MW and
a number of WEC are equipped with online measurements. For smaller units recorders may be a sollution. [n case
micro-generation will be installed in large numbers this aspect should be paid special sttention. Investigations con-
cerning the impact of an increasing uncertainty on unit commitment and economic dispatch should be carried out.
• Adaptation of requirements concerning reserve and installed capacity: Today's requirements concerning reserve
(primary and secondary) are based on the assumption of a traditional system structure with large bulk power gen-
eration and only a small share of non-dispatchable units. Generation units with a highly stochastic behaviour
(mostly renewables) will add generation fluctuations. Depending on the question whether network failures can lead
to a drop-out of a large number of DGs as already observed in Denmark, the probability of a drop-out of a certain
amount of generation power will be influenced. Both concern the necessary amount of primary and secondary re-
serve. Furthermore, the total amount of installed capacity has to be revised due to the fact that DGs depending on
their technology do replace only a part of their total power capacity in the bulk power generation in terms of gen-
eration reliability. Those reserve requirements will have to be adapted depending on the amount and type of DG in-
stalled in a system.
• Network planning in HY: Dispersed generation resources may have a large impact on HY-network-planning and
can appear in some situations as potential alternatives to standard network development. Considering independent
power plants, such units can avoid constraints on the grid if they have a power with a guaranteed availability per-
centage (for example 95% during winter in the standard contracts for cogeneration in France). The availability may
be time-dependent and related to the actual load situation, which should be regarded in the planning tools. For the
remaining limitations, solutions based on generators that can be started up as a function of local network require-
ments (for example in case ofunavailibility of a line) can be proposed by the network manager as an alternative to
network reinforcement. As a matter of fact, it has become compulsary for EDF to study such solutions, due to envi-
ronmental pressures. There are two possible ways of using groups:
the preventive way that consists in operating the unit over all the period when the loss of a line may lead to a
constraint,
the curative way where the group is started only when an incident occurs and generates a constraint.
For network with no overload capacity, the generation used in the curative mode does not bring any improvement in
the number of power cuts. Yet, it allows to reduce the non-supplied energy after the operating time. The preventive
solution is usually not economically interesting since the additional generation costs are not balanced by the local
profits on non-supplied energy.
For any development problem, the different solutions whether based on dispersed generation units or on network
reinforcement must be studied to assess their respective economical, technical and environmental performances.
With dispersed generation, the unavailability percentages of the units are much higher than those of lines (5·10' 2
versus '5· l o...i). For this reason the "N· l 11 rule is not sufficient and other situations have to be studied (such as the loss
or 2 or even 3 groups). In order to be able to deal with the large number of network situations, programs have been
developped.
• Network planning in MY/LY: The uncertainty in the development of the installed capacity of DG and their loca-
tions will also effect the MY- and LY-network-planning. The major influence will be that existing networks should
be utilized more efficiently using new tools which can consider DG and their influence on the load flow in distribu-
tion networks more precisely. The use of such tools will, referring to experience in the Netherlands and Germany,
allow the delay or omitting of network investments and therefore increase the overall economics.
6.3 System Services

The development and special regulations for system services are country specific. History, system structure and kind of
deregulation led to different definitions. System services have to be delivered in order to guarantee a sufficient opera-
tion of the whole system. Examples of possible definitions are in [15] (Germany) and the US NERC definition. In
General the system services may be subsumed as [15]:
• Dispatch
• Frequency control (reserve)
• Voltage control
• Operation (incl. Measurement and billing, restoration after outages, black start)
In all countries system services have to be delivered from the system operator (independent or not), who gets them from
the power stations and the grid. The idea of this concept is the participation of all generators (also DG) in all the kinds
of services, otherwise they have to buy them. The other concept would be, that the customers are obliged to buy the
- ls -
services from anywhere (NERC-Definition). In the following the solutions as have been discussed in some countries are
suggested. In those countries, where the generation and distribution have been totally separated (e.g. UK and Scandina-
via), the accountability for ensuring these services rests with the transmission company. Some of these services n1ay
lend themselves to competition (e.g. spinning reserve) and a market mechanism has been set up or is being considered.
Other services do not lend themselves to competition (e.g. scheduling and dispatch)
Dispatch
DCJ usually are not under control of central dispatch of the SO. In the Netherlands and Denmark experiences have
shown, that a large amount of DG may lead to situations where load following with the remaining large units is not
possible anymore. Thus, a time variant price for the energy from DG was established, to encourage higher production
during high load periods to participate them in following the load curve. A higher price for the energy is paid during the
day periods with a high consumption, a lower price during the nights (three-rate-tariff, see annex).
Reserve
In order to fulfill the requirements concerning primary reseive in single (e.g. national) systems a choice of droop be-
tween 2 - 6 % on all units in operation is satisfactory [16]. In unbundled systems obligations can be made to the gen-
erators and/or a market can be established enhancing generators to contribute to primary reseive. The solution of GB
for example is as follows: Generators are paid according to a MW /Hz value proportional to their installed capacity
weighted with the yearly average (over 5 years) operating time. Payment is MW/hr x negotiated price (applicable to all
generators). Excess primary reserve could be sold on a special market. Producers state price and volume of available
primary reserve exceeding obligations, generators without the respective capability should be obliged to buy the neces-
sary reserve from other generators. In such a system DG can be included just as any other generators in case they are
registered by the SO.
In hydro dominated systems the secondary reseive is available in sufficient quantities; eventually it could be problem-
atic in thermal dominated systems (compare the example of the Netherlands). In case a regulation power market exists a
buy/sell of capacity for the secondary control (short term and long term) is possible. DG may participate in such a mar-
ket, in case there is not enough reserve available in the system (e.g. due to a momentary or permanent lack of large
generators or limited transmission capacity) obligations may be necesary.
Voltage control
Voltage quality is closely related to the short circuit power which is guaranteed by proper system design and dispatch.
For voltage control in HV and above the SO instructs producers to generate reactive power in the quantity required for
stable network operation and minimal losses. DG in general do not participate in voltage control. In case generators
under SO-control are obliged to participate in voltage control without payment there should be an equivalent fee for
DG.
Operation of the System
The operation of the system, switching of lines, scheduling of power stations, planning maintenance of lines and sta-
tions, meter reading, billing has to be done by the system operator. The same applies for all those technical or organisa-
tional measures which are done to locate outages, to prevent outages and blackouts. Generators have to participate in
measures for the restoration after eventual black outs (black start capability), and so also DG should do.
Summary
The development of adequate prices for system services is still an ongoing process in many countries. Some of these
services may lend themselves to competition (e.g. spinning reserve) and a market mechanism can be set up. If this is the
case, DG just as any other generators may participate in the market or not. In case there are obligations without proper
payment an equivalent fee should be set up for DG in order to avoid discrimination.
6.4 Market Strategies

DG can be regarded as a new area of activity also for utilities. The example of CHP has proofed already in several
countries the chance for new activities in co-operation with customers who need electricity and heat at the same time.
Usually those customers have a core business different from energy supply and thus only invest in DG when having
significant ecenomic benefits from this activity. This opens a range of opportunities for co-operation.
• The heat consumer can invest in and operate the CHP installation with complete autonomy. The surpluses or short-
falls are sold or bought to the utility company.
• The electricity company can supply heat and electricity from its own installations.
• The electricity company can lease Dgs to customers. This modell is mostly applicable in case of micro-generation
and helps the electricity company to get knowledge of installed units and to influence technical standards.
• The joint-venture formula : each partner invests in and operates on part of the installations. This means that the
electricity company and the "consumer" invest together.
- 16 -
With auto generations, autonomous generation, the heat consun1er bears the economic burdens of combined heat and
power generation and incurs the relevant charges and risks. The joint-venture formula, however, can offer a number of
benefits to the heating customer.
• The heat user is sure of his electricity supply : the risk of outages is minimal.
• Moreover the price of electricity is more stable than with auto generations generation and less dependent on varia-
tions in the price of fuel.
• Combined heat and power units are complex, requiring substantial investments that take a long time to recoup.
Many companies will not, or cannot, make these investments. They want a high return on high-risks investments
that are not pertinent to their core business.
These strategies will not decrease the number of DG in the system but will give utilities more influence on the genera-
tion, thus making it not dispersed with regard to dispatch or even reserve. A long-term strategy can help utilities by
achieving this aim. The activities could be the following [ l 7]:
• Influence the development of DG (location, timing) through appropriate transmission tariffs (if possible) and mar-
keting assessments. This comprises the Development of transmission dervice tariffs that will influence DG siting,
the development of an understanding of the DG driving forces, the identification of potential customer self-
generation and the production of customer profiles.
• Integrate the utilization of DG in the Transmission Company's planning activities. This comprises the development
of network connection rules, the analysis of DGs' impact and positive or negative influence on the system (s.a. sec-
tion 5), the development of new planning tools for managing DG on the system (s.a. section 6.2) and the develop-
ment of methodologies to assist in identifying preferred locations for new DG.
• Manage relationships with customers, suppliers and industry to insure awareness of transmission tariffs and connec-
tion requirements. This comprises the development of information packages concerning this matter and the ex-
change of information with partners as mentioned above.
The overall aim of such a strategy is not to hinder the development ofDG but to get influence on as much DG as possi-
ble to make system planning and operation more easy and to profit from economically favourable facilities.
7 Conclusions
Experiences in the whole world show a rapid increase of dispersed generation, either promoted from political influ-
ences, such as subsidies, or promoted from the increasing competition in open markets. WG 37-23 has summed these
developments in this report.
Available technologies are co-generation units, wind energy converters, hydro power stations, conventional generators,
PY-systems, fuel-cells and micro-generation units, either alternative motors (diesel or gas) or micro turbines. Gas fired
turbines have got an increasing share of the industrial market (above 50 MW) and for !PP; reasons for this are the
modularity, which leads to extremely short erection times, and short capital return duration. Resulting from the high
number of units being constructed, the price per kW has reduced very much. In addition to this, low gas prices, subsi-
dies and the opening of the markets in nearly all countries promote the installation of turbines at customers' sites. Re-
cent developments in the area of microgeneration show the possibility, that very small turbines with electrical power of
50 kW and less may be used for generating electrical energy at private customers.
The kind of the market, either monopoly or open structure, and more the level of price for power and energy, influ-
ences the portion of !PP as well as DG and also the velocity of change For example the law in Germany guaranteeing
high prices for renewable generation has caused a rapid increase of WEC-capacity from nearly 0 in l 990 to more than
2000 MW at the end of l 997. Similar developments take place in many countries. The opening and changing of the
market structure leads to a rapid change of the generation structure. As observed in several countries many of the
conventional generation is substituted within a few years, if the driving forces (competition, price difference, ... ) are big
enough. On the other hand, in countries with low energy prices, like Norway with high hydro capacity, the expected
increase of dispersed generation is very low.
DG in large amounts will have major impacts on nearly all parts of the electrical energy supply system. The uncertainty
of their power output and sometimes even the lack of knowledge about their installed capacity requires strong but also
more flexible networks up to EHV, where the need for power and reserve trading may increase. The substitution of
energy and power from large units by DG affects network operation, reserve requirements and procurement and aspects
such as scheduling or frequency control. In distribution networks the additional installation of DG may increase the
necessary network capacity and cause additional costs for planning. If dispatchable their may be a positive influence
such as increasing the reliability under certain conditions.
Four strategies can help dealing with DG and integrating them in the existing system even in large amount. Precondi-
tion in any case is the exact knowledge about location and type of all DG. The development of network co1U1ection
- 17 -
rules helps dealing with technical questions in the nearby grid. l'wo different approaches exist here: In every case the
coherence \vith customer requirements and technical constraints is analysed or simplified connection rules are derived,
the latter with the disadvantage of underestimating the network capacity in son1e cases and with the advantage of re-
ducing planning costs significantly. Examples of network connection rules are given in this report. The second strategy
is the development of tools which consider also DG in system planning and operation. Need for new developments
were found in joint load- and DG-generation-prediction, reserve planning, network planning in HV and network-
planning and operation in MV/LV. In addition to these planning stages it is desirable to set the competition between
classical generation and DG on a non discriminatory base, forcing DG to contribute to system services in the same way
as other generators or establishing equivalent fees. The last strategy is the cooperation with DG-operators, offering
services such as planning, dispatch etc. which will provide the SO with more information on the DG installed. All
strategies should be followed hand in hand with each other, not aiming at the reduction of DG but at the integration at
its best but without discrimination of any player on the market.
This leaves open questions for the future: Network connection rules are in many systems still under development, the
tools helping system planners and operators to deal with DG are partly existing but the development still has to be en-
hanced and extended to be useful in other systems. Last but not least in many systems the market structure has to be
adopted to an increasing number of DG especially concerning an adequate participation in the services required from
the generators as a whole.
8 Bibliography
[ l] Petrella, A. J.
Issues, impacts and strategies for distributed generation challenged power systems
CIGRE Neptun conference, 1997
[2] Eunson, E.; Backman, T.; Casazza, J.; Glende, I.; Mallet, P.; Popple, C.; Ray, C.; Salvaderi, L.; Schwarz, J.
Power system planning and open trading
on behalfofCIGRE WG 37-20
(3] Castellano, G.; Scarpellini, P.; Vascellari, S.

Dynamic sectirity assessment in competitive environment: analysis tools and security criteria
CIGRE Neptun conference, 1997
[4] DIN !EC 38

!EC-Normspannungen
Berlin, Mai 1987
[5] DIN EN 50160

Merkmale der Spannung in ojfentlichen Elektrizitiitsversorgungsnetzen
Berlin, Oktober 1995
[6] VDEW
Grundsiitze far die Beurteilung von Netzriickwirkungen
VWEW-Verlag, Frankfurt/M., 1992
[7] VDEW
Technische Richtlinien - Parallelbetrieb von Eigenerzeugungsanlagen mil dem Mittelspannungsnetz des Ener-
gieversorgungsunternehmens (EVU)
VWEW-Verlag, Frankfurt/M., 1994
[8] Ziegler, G.
Protection of Distributed Generation - Current Practice
on behalfof SC34
- 18 -
(9] European Standard EN 50160

Voltage characteristics of electricity supplied by public distribution syste1ns
1994 and suggested amendment by CENELEC Task Force BTTF 68-6 April 1997
[I OJ Engineering recommendation G.59/I

Reconunendation for the connection oj.e1nbedded generating plant to the regional electricity companies· distri-
bution systems
Electricity Association, Engineering and Safety Division, London, 1991
[ 11 J Engineering recommendation G. 75
Recommendation for the connection of embedded generating plant to public electricity suppliers ' distribution
systems above 20 kV or with outputs over 5 MW
ElectricityAssociation, Engineering and Safety Division, London, 1996 (draft)
(12] VDEW
Paral/elbetrieb van Eigenerzeugungsanlagen mil dem Mittelspannungsnetz des Elektrizitiitsversorgungsun-
ternehmens (EVU)
I. Ausgabe, VWEW-Ver!ag Frankfurt, 1994
[13] Association of Energy distrtibution companies in the Netherlands

Technical terms of connection To the public network for local production units
Arnhem, May 1994
(14] !EC 555/3
(15] VDEW, VIK, BDI

Verbii.ndevereinbarung Uber Kriterien zur Bestimmung van Durchleitungsentgelten
Draft, 2. April 1998, VDEW Frankfurt, Germany
(16] Weber, H.; Madsen, B.; Asal, H.-P.

Kennzahlen der Primiirregelung im UCPTE-Netz und kunftige Anforderungen
Elektrizitiitswirtschaft, Jg. 96 (1997), H. 4, S. 132-137
[17] Petrella, A.J.

Issues, Impacts and Strategies for Distributed Generation challenged Power Systems
Contribution to CIGRE, 1997
A SITUATION IN THE COUNTRIES TODAY 19
A. I Australia 19
A.1.1 legal frame I organizational procedure 19
A.1.2 dcvelopn1ent of f)('J I9
A. l .3 Network connection rules 20
A.2 Belgium 20
A.2. l legal frame I organizational procedure 20
A.2.2 development of DG 21
A.2.3 network connection rules 22
A.2.4 technical impact and requirements 22
A.3 Denmark 22
A.3.2 development ofDG 23
A.4 France 29
A.5 Germany 30
A.6 Netherlands 33
A.6.2 development of DG 33
A.7 Norway 34
A. 7 .1 legal frame I organizational procedure 34
A. 7 .2 development of DG 35
A. 7 .3 technical impact and requirements 36
A.8 Poland 38
A.9 Spain 39
A.IOUK 42
A. I 0.1 legal frame I organizational procedure 42
A. I 0.2 network connection rules 43
A. I 0.3 technical impact and requirements 43
B REFERENCES 43
- 19 -
A situation in the countries today
A. I Australia
A.1.1 legal frame I organizational procedure
The main power systems of South and Eastern Australia are illustrated in fFigure A. l. The power systen1 of New South
Wales, Victoria and South Australia are presently interconnected with the likelihood of further interconnection of the
Queensland system.
Queensland DETAIL
South ~
~
Australia
Proposed
Adelaide Interconnection
Melbourne Transmission
Tasmania CJ backbone
Figure A. l: Southern and Eastern Australian Power Systems
The electricity supply industry in Australia has gone through significant structural reform which culminated in the de-
velopment of a National Electricity Market (NEM) with the market operation to be commenced by the end of 1998.
Major components of the reform process has included the separation of the transmission business from generation busi-
nesses and the establishment of a competitive wholesale electricity in which individual generators compete for dispatch.
Until recently each Australian state had a large government owned utility comprising both generation and transmission
while in some states the utility also included distribution. The industry is now open_ed up to private ownership of gener-
ating plants and distribution.
Connection to the electrical network by participants in the National Electricity Market will require a connection agree-
ment. Under the national electricity market rules, any generator with a license to participate will have to offer their
energy to the market via bids or through bilateral contract arrangements. Generators will not be able to have interests in
transmission or distribution due to conflicts of interest in market trading. The development of a competitive electricity
market in Australia has led to significant uncertainty in transmission planning due to the impact of competitive bidding
by generators.
A.1.2 development of DG
Cogeneration has existed in Australia since the introduction of electricity, in particularly in the sugar, paper, alumin-
ium, oil refining and remote mining operations. With the deregulation of energy market in Australia, an increasing
installation of dispersed power generation can be expected. This will mostly be cogeneration units with connection to
the distribution grid. Under the National Electricity Market rules, cogenerators can compete directly selling power
generated into the market or by having buy-back arrangement with distribution companies. This has greatly enlarged
the potential for cogeneration ..
a) Cogeneration status
In 1995 the Australian Cogeneration Association undertook a survey of all known cogeneration plants and produced a
co generation plant register [ 1]. A recent update of the cogeneration plant register in 1997 has indicated that the capacity
of cogeneration currently operating and under construction is 1814 MW. This represents about 3 % of total installed
generation capacity in Australia and a reduction in greenhouse gases of about 7-8 millions tonnes per annum. Accord-
ing to the Australian Cogeneration Association, market evidence has showed that distribution companies are looking at
cogeneration to provide them with alternative source of power. With the impending deregulation of energy market an
- 20 -
increasing nun1ber of cogeneration projects is expected. It is anticipated that the total potential capacity for cogenera-
tion could approach 6000 MW in the long term.
b) Environ1nental performance
According to research carried out by the Australian National Greenhouse Gas Inventory Conunittee, electricity genera-
tion produces about 50°/o of Australia's greenhouse gas emissions. This is due to the low conversion efficiency of con-
ventional electricity production. By combining power production to thermal loads, cogeneration can eliminates much of
energy wastage and improve environmental performance. As embedded generators are generally located at their load
source, they have the ability to reduce transmission losses and thus reduce energy costs.
A.1 .3 Network connection rules
Two companies, the National Electricity Code Administrator Limited (NECA) and National Electricity Market Man-
agement Company Limited (NEMMCO), were formed in May 1996 by the Australian states governments to implement
the National Electricity Market (NEM).
NECA will supervise, administer and enforce the National Electricity Code and the NEMMCO will manage and facili-
tate the wholesale electricity market in accordance with the Code. The National Electricity Code defines the terms of
participation in the wholesale electricity market for generators transmission and distribution network owners and serv-
ice providers, retailers and customers. Specific Code chapters deal with registration of participants with NEMMCO,
rules for the operation of the central dispatch process and spot market, security arrangements for the power system,
network connection access arrangements including network pricing, metering of market participants, and the admini-
stration of the Code itself through enforcement, dispute resolution, and a Code change process.
Under the National Electricity Market rules, all generators are required to register with the NEMMCO unless they are
granted an exemption [2]. Special rules exist to classify a generator into four different categories depending upon their
size and whether they are required to participate in the wholesale electricity market. The four categories are :
• Scheduled Generator - a generator with a nameplate rating above 30 MW at one site is required to have its output
scheduled by NEMMCO.
• Non-Scheduled Generator - a generator with a nameplate rating of less than 30 MW at one site is not required to
have its output scheduled by NEMMCO.
• Market Generator - a generator whose sent out output is not purchased in its entirety by a local retailer or by a cus-
tomer located at the same network connection point. A Market Generator is required to sell all of its sent out output
through the spot market managed by NEMMCO.
• Non-Market Generator - a generator whose sent out output is purchased in its entirety by a local retailer or customer
located at the same network connection point.
A.2 Belgium
The co-operative company CPTE is the materialisation in which the two companies SPE (the public sector electricity
producer) and ELECTRABEL 1 pooled their technical operations for electricity generation and transmission. The new-
est nation wide Equipment Program for Electricity Production and Transmission Facilities for the period 1995-2005
was drafted by the Electricity Companies Management Committee. This program embodies a vision of the future since
it is frugal (only the necessary but all that is necessary) and prudent. It is based on piloting demand, an altogether inno-
vative approach, and reserves a yerv substantial. but realistic place for decentralised production.
CPTE has handed over the management of the transmission to ELECTRABEL, under a mandate. The transmission
network covered the tension from 380 kV to 30 kV. The communes are the holders of the legal monopoly of electricity
distribution within their territory for power demands up to 1000 kW, in practice raised to 4000 kW, for the Walloon
Region raised to 10000 kW by device.
I The private company serving the community is active in two fields :

- electricity generation and transmission;
- operation and management of network for public utility services : electricity, natural gas,
At January I. 1997 ELECTRA BEL owned 91.5 % of CPTE shares.
- 21 -
C:uston1ers exceeding 4 (or 10) MW, are normally supplied on the mediun1 voltage network (6 to 26 kV) and can di-
rectly apply to one of the generating companies (SPE, ELECl'RABEL) and thus becoming "direct custon1ers". Exer-
cising their n1onopoly rights, the Belgian communes aln1ost chose for the systen1 "Intercon1n1unale Mixte" : a "n1ixed"
company involving, on one hand, a number of communes, and, on the other hand, the private company
ELECTRABEL. As a rule, the mixed company leaves the operating of the distribution, and often even the manage-
n1ent, to the private partner.
The small DG (less than 15 MW) is usually connected to the distribution network (up to 26 kV). Specific rules for
connecting these units are described in a note "Prescriptions techniques pour le fonctionnen1ent en parallele d'installa-
tions de production decentralisCe sur le reseau de distribution" (separately sent by fax). These rules are edited in the
spirit of protection of the distribution network, the specific rules for protection of the power unit are not mentioned. The
larger DG (above 15 MVA) is normally connected to the transmission network (from 30 kV to ... ).
A Working Group is at the present time occupied to edit a paper on this matter.
The total load of the Belgium network was 12263 MW during the winter 1996/ 1997.
The installed DG on 01.01.1995 is shown in table A.I.
Classic Fossil 863.0 MW2
Recuperation Recuperation energy 25.0MW
Waste 72.0 MW
Renewable Biomass 1.5 MW
Sun 4.5 kW
Wind energy 5.2MW
Hydraulic 96.0MW
1063.0MW
table A. I: installed DG on 01.01.1995 in Belgium
In the newest nation wide Equipment Program for Electricity Production and Transmission Facilities for the period
1995-2005 a very substantial place for the decentralised production is foreseen.
2 392 MW in the following industries: coal, metal, chemical

471 MW: others
- 22 -
1990 1995 2000 2005

Esso 36MW Industries 300 MWJ Industries 250MW
Stora 36MW
Phenol 23 MW Small units 200 MW 4 Small units 250 MW
Gent 50MW
Vandemoortele 23 MW
Zeebrugge 38MW
± 200MW ± 500MW ± 500MW
table A.2: Predicted evolution of new decentralised production
A.2.3 network connection rules
A.2.4 technical impact and requirements
We answer later on this question, when the conclusions of the Working Group who studies the guidelines for connec-
tion DG are approved by our Direction.
A.3 Denmark
The Danish electricity supply industry is characterised by two grids without interconnection and by consumer owner-
ship. There are some l 06 distribution undertakings, each having the exclusive right of supply within its area. The dis-
tribution undertakings in a region are owners of the regional electricity utility. Besides, the distribution undertakings are
owners of the two system operators, Eltra and Elkraft, who represent the western and eastern part of Denmark, respec-
tively.
3 Situation on 01.01.1997 (Projects decided and in negotiation)

Type Number projects Installed MW
Cogeneration 10 390
4 Situation on 01.01.1996 (In service and projects decided).

Type Number projects Installed MW
Gas Engine 29 32.7
Diesel Engine 22 10.2
Conventional Gen. 2 JJ.O
Hydro Power 3 0.3
Cogeneration 1 12.0
57 66.2
- 23 -
Western p,an o! Denmarl<

E3stem pan af Denmarl<
HVOC
"
~:::;:-SWEDEN
Elk raft
MAXIMUM LOAD
VDC 2800MW
·-ea·
200'
HVDC
GERMANY
Figure A.2: Denmark divided into the Eltra and Elkraft service areas
So far, the electricity supply industry has been characterised by vertically integrated monopolies. However, as a conse-
quence of the EU's directive to liberalise national electricity markets, the Jutland-Funen area has embarked on a proc-
ess involving the unbundling of electricity generation from transmission. The Danish Electricity Supply Act as
amended in 1996 specifically mentions that Elsam and Elkraft are the system operators in their respective areas. How-
ever, on January I, 1998, Elsam spun off both its transmission activities and its role of independent system operator
into a new company, Eltra. This means that Eltra and Elkraft are responsible for the maintenance of the power balance
and the voltage quality in the power system.
The Danish electricity supply industry is highly regulated. Eltra and Elkraft carry out the planning, but the Danish En-
ergy Agency must approve new plants of a certain size. The approval of the authorities is not limited to a discussion of
utility proposals. On several occasions the authorities have established directions for choice of technologies and fuels.
Examples are the use of wind turbines, local combined heat and power (CHP) and biofuels for environmental reasons.
Lately, the electricity supply industry has been instructed to prepare biennial plans for integrated resource planning
(!RP).
Installed Dispersed Generation

It appears from Figure A.3 that the dispersed generation capacity was largely established during the years 1990-1998.
The expansion of local CHP in Denmark continues, but at a decreasing rate. However, the increase in onshore and off-
shore wind turbines is expected to continue at an unchanged rate until the year 2005. After 2005 the wind power expan-
sion will primarily take place at sea. The latest energy plan from the Danish government operates with 4000 MW of
offshore wind turbines (alternatively solar electric power or wave power) in 2030.
Dispersed generation and consumption, Denmark
MW
8000
6000 • Consumption
~ CHP units, capacity
4000
• Off shore wind
turbines, capacity
2000 0 On shore wind

turbines, capacity
1990 1998 2006 2016

- 24 -
Figure A.3: I)ispersed generation and consumption in Denmark in 1990 and 1998 as well as govemn1ental forecasts for
2005 and 2015
How Do Utilities Deal with DPG?

The expansion of dispersed power generation in Denmark has not taken place on the electricity supply sector's initia-
tive, but is a result of several energy plans from the Danish government. The principal goal of the latest plans is envi-
ronmental concern: To ensure a 20 % reduction of C0 2 emissions from the Danish energy sector in 2005 relative to the
1988-level. Along with energy conservation and use of sustainable energy, CHP is the major means to achieve these
goals.
Expansion of the district heating networks and conversion of district heating stations to local CHP units have been
achieved as a result of energy taxes and government grants. Energy taxes on oil, coal and electricity were introduced in
Denmark in the late 1970s and have been raised several times since. Today oil, coal and electricity are taxed by more
than 100 o/o. In 1992, an environmental tax of great importance to the economics of converting to CHP was introduced.
The so-called C02 package includes government grants for power production based on biofuels or other renewable
energy sources, or natural gas based small-scale CHP production.
• Dispersed CHP
Ownership is a major means to control things. It is interesting to see the difference in policy between the two Danish
system operators, Eltra and Elkraft. In the Eltra area private investors used the government grants, resulting in a mainly
privately owned CHP capacity. In the Elkraft area the utilities took the initiative, resulting in a mainly utility-owned
CHP capacity.
Western part of Denmark Eastern part of Denmark

600 ~--·----
'""""QllliY Ow~l !
0 i=t;.,attyowned
""' - ollkYowned
~ ~i=t;.,attyowned
- --------'
'"' - !
~""' JI
200'
100 ;
,~_ELlJ~
_Jj '"'"I
·:J •• El
,.,
E3 Fl
2-10
E3 =--Il
''"" ""'"'
2-10 10.25
0-1 1·2 10-25
'"" ""'"'
Figure A.4: Local CHP stations in Denmark at the end of 1996 divided into six classes according to the size of the
units. The total capacity is 1198 MW in the Eltra area and 439 MW in the Elkraft area
Figure A.4 shows the installed capacity in the two parts and the private and the utility-owned parts, respectively. Utility
ownership has some advantages, such as a higher degree of standardisation of equipment and maintenance of the CHP
units, which leads to a better technical performance to match the needs of the power system.
• Wind
At the end of 1997 the total number of wind turbines installed in Denmark was above 4000 with a total capacity of
1000 MW.• 80 per cent of this power is privately owned and 20 per cent is utility-owned. The primary reason is that the
utilities have left the initiative to private power producers. However, as wind turbines are subsidised, it is reasonable
from a societal point of view that consumer-owned utilities and not private power producers establish the wind turbines.
Thus, the utilities intend to increase their involvement in wind power. More than half of the turbines in Denmark are
smaller than 150 kW. However, development is fast. Turbines established in 1996 and 1997 have a rated power of 400-
600 kW, but prototypes of 1.5 MW turbines have been in operation for three years and are expected to become com-
mercial soon.
As regards co1U1ection of wind turbines and CHP units to the transmission network, the energy authorities and the utili-
ties have worked out some guidelines. The following will list requirement specifications, recommendations and main
reports within the technical part of the guidelines. Apart from the utilities the following organisations in particular have
contributed to the technical research activities:
• Risa National Laboratory
• DEFU - the Research Association of the Danish Electric Utilities
• NORD EL - an association for Nordic electric power cooperation.
CHP Units
- 25 -
In 1995, NORDEL gave their recommendations for production units below 100 MW in the report "Operational Per-
formance Specifications for small Thermal Power Units" [3]. DEFU has published a report on relay protection for local
CHP units [4]. Based on a large number of references, i.a. (4], [5] and [3], Eltra has worked out and applies:
• Specifications for CHP units below 2 MW (in Danish) [6]
• Specifications for Cl-IP units between 2 and 50 MW (in Danish) [7]
• Specifications for CI-JP units above 50 MW [8]
\Vind 'furbines
The main document concerning connection to the transmission network is I)EFU report KR 111 "Grid connection of
wind turbines" (in Danish), [5,9]. The Riso National Laboratory and DEFU have cooperated on the project "Power
quality and grid connection of wind turbines"(in Danish),[ I OJ. The report consists of three parts;
• Part l: "Stationary voltages"
• Part 2: "Flicker"
• Part 3: "Harmonics and operation of variable speed wind turbines"
The remaining part of this report deals with aspects of CHP units in the Danish power system. Wind power is not in-
cluded any further in this draft.
Generation Profile and Forecast
From the very start the direct coupling of heat and power production was a major concern of the power utilities. A
situation in which many CHP units made the base load electricity production and the large extraction and condensing
power stations were to be dispatched by the power pool at peak load was not considered a satisfactory solution, neither
by the utilities nor by society. The planning tool to overcome this problem has been the three-rate tariff shown on
Figure A.5.
fiDil Peak
EB Medium
~ Off-peak
0 4 8 12 16 20 24
Time of day
Figure A.5: Demand profile and three-rate tariff for CHP units (only weekdays). In weekends and on holidays the off-
peak tariff applies around the clock
This tariff has been very decisive for the layout of the CHP units. The result has been the following:
Local CHP units are designed to meet a certain part of the local heat demand. According to the standards laid down by
the authorities, the local CHP units are to be designed to meet at least 95 % of the yearly demand for district heating.
This criterion is satisfied with a heat capacity of approximately 60 % of the maximum heat demand. A CHP unit de-
signed this way will have a yearly production factor (time if production were 100 %) of 4500-5000 hours. An exception
is waste-fired CHP units, the yearly production factor of which may exceed 8000 hours.
To optimise the yield according to the three-rate tariff heat accumulators have been installed in almost all CHP units.
These heat accumulators give a temporal decoupling between power and heat supply. This partial decoupling is used as
far as possible to place the heat and power production in periods when the power production has the highest value. The
accumulators can only be used in CHP areas where and in periods when the CHP capacity allows simultaneous satis-
faction of the heat demand and charging of accumulators. By means of heat accumulators a large part of the CHP units
may be disconnected in off-peak periods on ordinary nights and in weekends outside the coldest period in winter. With
heat accumulators the CHP units can be run on/off, and thus exploit the high maximum load efficiency of the CHP
units and the high value of peak load production.
Most heat accumulators are designed to handle approximately l 0 hours of maximum heat production. However, waste-
fired CHP units make an exception, because their production is mainly determined by the amount of waste to be dis-
posed of.
The operational impact of the three-rate tariff has been quite large, as explained in the following:
- 26 -
·ro fit in the production from local CHP units in an appropriate way the units are divided into groups with different tin1e
intervals. An example of the resulting production for some of the tariff-controlled units is shown in Figure A.6. It ap-
pears that the units largely follow the indicated tariff periods.
MW
"j Gou~1
""
'"" !1 ~\
""
"
T Im e
" '" "
Figure A.6: Example of the resulting production for the tariff-controlled units within the Eltra area
The principle of controlling the production from local CHP units by means of time-differentiated tariffs has thus turned
out to be a useful way to encourage operation according to the load profile [4].
As a result of the link to the heat demand, the forecast for electricity production must be based on a forecast for heat
demand in the local area, and therefore the forecast for electricity production from these units suffers from almost the
same uncertainties as the weather forecast. The long-term forecast for the weekly production from dispersed CHP units
is rather crude - the 95 % confidence interval is as large as ± 40 % of the forecasted value. For the short-term forecast
the uncertainties can be substantially reduced. Based on experience and the actual weather forecast the hourly power
production for the next day can be forecasted with an uncertainty of approximately± 10 % of the installed capacity.
Characteristics of Power Generation throughout the Year
The CHP units' link to the heating basis gives large seasonal fluctuations in the electricity production of the units.
Figure A.7 and Figure A.8 are representative of the production profile from local CHP units on weekdays and in week-
ends in a summer month and a winter month, respectively. The figures show average and standard deviation for meas-
urements made in the periods August 1-31, 1996 and December 1-31, 1996. The capacity of the measured units makes
up a total of 1030 MW.
From Figure A.7 and Figure A.8 it appears that;
• local CHP units typically produce between 20 % and 60 o/o of their maximum production in the daytime on week-
days in a summer month. In the nighttime and in weekends the production is I 0-20 %
• local CHP units typically produce between 80 % and 90 % of their maximum production on weekdays in a winter
month. In the nighttime and in weekends the production is 60-80 %.
%
IOO f
"t
wj
-- 80
6-0
l
"t 40
20 + - - - - - - + - - - - + - - - - - - + - - - - - ·
20 + -
" "··:·'.
ol- 0
00.00 06.00 12.00 18.00 0000 00.00 06.00 12.00 18.00 0000
Summer Winter
Figure A.7: Production(% of installed capacity) from local CHP units in weekends/on holidays in the summer and the
winter (average and standard deviation)
- 27 -
'"'
•. .•.
"'°
so
""
"'
0 0
00 00 06 00 12 00 ''°o 00 00 00 00 06 00 12 00 '800 0000
Surruner Winter
Figure A.8: Production (% of installed capacity) from local CHP units on a weekday in the summer and the winter
(average and standard deviation)
The production in o/o of the installed capacity of the power stations in winter and summer months tells something about
the CHP units' power value to the system. However, the power value also depends on the CHP units' robustness to-
wards faults in the network.
System Protection and Power Value
On the basis of experience (4], Eltra has set some requirements on relay equipment and settings at local CHP units.
Units ranging from 0 to 50 MW must satisfy the requirements shown in Table A. I.
Type ofrelay Settings Trip Time
Positive-sequence undervoltage U 1 <U 10 +30% t$50ms
Three-phase overvoltage U>U"+ 10% t,; 50 ms
U > U 0 + 6o/o t: 30-60 s
Three-phase undervoltage U<U,+ 10% t:2-!0s
Overfrequency f > 53.0 Hz t ~ 300ms
Underfrequency f<47.0 Hz t ~ 300ms
Overcurrent I>> t,; 50 ms
Table A.1: Required relay protection at dispersed CHP units in the 0-50 MW range within the Eltra service area
The above relays protect consumers and the network against unacceptable influences from the generator and the gen-
erator against out-of-phase reclosure in case of reclosure after network faults. As additional protection in order to fur-
ther protect the generator the following types of relays, of. Table A.2, may be used, provided that the specified settings
are satisfied.
Type of Relay S~ttings Trip Time
ROCOF df/dt > 2.5Hzls 80-100 ms
df/dt < -2.5Hzls
Phase shift U > 8° 3-phase momentary
U > 30° I-phase
Negative-sequence I, > 5-20 % 3 - 10 s
current/voltage
Zero-sequence voltage 20% 60 s
Table A.2: Additional protection of local CHP units ranging from 0 to 50 MW within the Eltra service area
The risk of damage to dwellings and at units is minimised by protecting the unit agains islanding and against out-of-
phase reclosure. Eltra practices 3-pole fast reclosure in case of most multi-phase short-circuit faults in the 400 kV, 150
kV and 60 kV transmission systems. However, in case of fast 3-pole reclosure local CHP units may be islanded during
the dead time, and to avoid unit damage affected units are tripped before reclosure (0.3 s). It is impossible to apply time
selectivity. Therefore, as primary protection an undervoltage relay is used which measures the positive-sequence volt-
age, possibly supplemented with a ROCOF relay.
The positive-sequence undervoltage relay functions before islanding occurs, and dependent on the type of fault and the
relevant coupling and operational situation a large number of local CHP units may be tripped even though they would
- 28 -
not all have entered into island operation. The ROCOF relay has given rise to quite a lot of forced outages of local CHP
units. The reason is partly that some types of relays are sensitive to the phase shift resulting from short circuits and
couplings in the network and partly that Eltra originally recommended too sensitive settings on the ROCOF relay (df/dt
> 1.5 Hz/sand df/dt< -0.7 Hz/s)
However, the strategy for system protection may have to be revised. 10-12 times per year Eltra experiences simultane-
ous forced outages of many local CHP units. A specific case is illustrated on figure 8.
On February 18, 1996, the Jutland-Funen area experienced a 2-phase fault in the 150 kV network. Dispersed CHP units
at a distance of up to 150 km from the fault were disconnected.
80
40r--
2o!
j
0
00.00 12.00 00.00 12.00 00.00
Saturday 17-02 Sunday 18-02
Figure A.9: Production in % of installed capcity at CHP units > 2 MW within the Jutland-Funen area on February 17
and February 18, 1996. The total cpacity (100 %) is 841 MW. On Sunday, February 18 at 7:30 a.m. more
than half of the local CHP units in operation experienced forced outage (the flash indicates the location of
the fault, the dots indicate the location of the disconnected units)
The outage affected a total of 47 local CHP units > 2 MW as well as an unknown number of wind turbines and local
CHP units < 2 MW. The power value of local CHP units is thus a weighing of their seasonal wellknown production
profile (see section 2.3.1) against their robustness in view of network faults. The larger part the local CHP units make
up of the total installed capacity, the more important it is that their robustness in view of network faults is increased.
Power System Planning
• Impact on the Danish Power Pools
With a very large part of the electricity production linked to the heat demand and another major part depending on the
momentary wind, a large degree of flexibility is needed from the remaining production system. At all times the spin-
ning reserve must be adjusted according to the forecast and actual production from CHP units and wind turbines. To
secure the balance between production and demand the dispatcher must ensure the spinning reserve and the possibility
of reducing production from power stations when production from CHP units and wind turbines increases.
In the winter when heat demand is high and wind production may be substantial, the electricity production from wind
turbines, CHP units and large extraction units exceeds the total electricity demand in the area. In such situations the
excess electricity production must be exported or the production reduced by disconnecting some extraction units and
producing the demanded heat on district heating boilers. This is called technical power overflow. In 1996, the technical
power overflow amounted to approximately 0.4 TWh in the Jutland-Funen area. In the year 2000 the power overflow is
forecasted to be 1.0 TWh.
All things considered, the large part of uncontrollable and to some extent unpredictable electricity production increases
the requirements on the flexibility of the remaining production system.
• Impact on Overall Network Planning
The appearance of local CHP units in Denmark has influenced the network expansion of recent years. At 10 kV and 60
kV level the task of the network is no longer just to distribute energy - the many CHP units and wind turbines also
mean that the network must be able to collect the energy where it is produced. All things considered, this has increased
the network expansion at the 10 kV level, and in a few cases also at the 60 kV level.
However, at the 132 kV, 150 kV and the 400 kV levels the network has been relieved in certain areas, which is why the
expansion has been postponed. Within the Eltra service area the 150 kV and 400 kV networks are interconnected. Due
to experience concerning the production profile of dispersed CHP units, the local units are ascribed a production per-
centage of 75-85 % in network analyses in the daytime in the winter and 30-50 % in the daytime in the summer. The
network analyses are supplemented with risk assessments of situations with simultaneous forced outages of many local
- 29 -
CIIP units. However, the expansion of the 400 kV network in Denmark has not ceased. The reason is in part that elec-
tricity consumption continues to rise, in part that the local CHP units do not have full power value and in part that a
restructuring of the 150 kV and 132 kV networks is being carried out. The restructuring is a consequence of a general
v,1ish from the public for fewer overhead lines.
In the long run dispersed generation may speed up the expansion of the transmission network. The latest energy plan
from the Danish government operates with the installation of 4000 MW of offshore wind turbines in the year 2030.
Such an amount cannot be integrated in the system without reinforcing the network.
A.4 France
The main electricity utility in France is state owned Electricite de France (EDF). EDF is in charge of generation, trans-
mission and distribution of electricity; it co-ordinates the dispatch of electricity produced by other generators, delivers
electricity to independent distributors and co-ordinates power exchanges across the national borders. EDF operates
roughly 90 % of all installed capacity. Its total capacity is about 100 GW (roughly 59 % nuclear, 24 % hydro, 17 %
fossil fuel).
In 1995, EDF produced 444 TWh (81 % of which were nuclear, 15 % hydro), and other producers 27 Twh. A decree
dated 1955 obliged EDF to purchase the excess power produced by autoproducers, under the following conditions:
• the obligation of purchase must ,,not result in any obstacle to the smooth operation of the supply";
• the energy is purchased by EDF under a standard contract lasting at least three years (five years in the case of sim-
plified contracts) or for the period of amortisation of the producer's installation (at the producer's request);
• the maximum capacity of the power plant must not exceed 8 MVA; this limit however does not apply to local
authorities owned plants supplying a district heating system or burning urban waste.
In case these conditions are fulfilled, the decision to start or not by EDF. Electricity is bought by EDF at a price re-
flecting ,,avoided costs" and are therefore based on long run marginal costs. Tariffs used for the purchase of electricity
are deduced from tariffs applied to consumers by simply deducting a varying amount, of about 10%, which corresponds
to management costs and losses on the network. It means that the price per kWh depends on the location of the genera-
tor and the voltage level at which it is connected. This decree was frozen for a period of three years in 1996. The obli-
gation of purchase was however kept for generation produced with renewables and cogeneration (Combined Heat and
Power).
For cogeneration, new regulations were adopted in December 1996, allowing for contracts spanning over a 12 year
period, and including installation of more than 8 MVA capacity. Electricity bought off cogenerators by EDF is still
based on ,,avoided costs", but taking as reference equipement of combined cycle gaz turbines. These prices will be
subject to variation in the price of gaz. Like all countries of the European Union, France will have until the end of 1998
to translate into French law the European act on Internal Electricity Market, adopted by the European parliament in
December.
The voltage level of the input network is determined by a rule depending on the power of the DG. This rule is general
but some derogation demands are possible. They must be approved for each case by the chief engineer in charge of the
network control.
The voltage level for the network connection is given by the following rule:
• P < 10 MW: medium voltage
• 10 MW,; P < 40 MW: high voltage< 225 kV
• P;, 40 MW: high voltage;, 225 kV
The technical requirements available concern mainly the MV network and the requirements for the other cases are still
being defined in 1997. Tue technical rules for DG on MV network are described in an official text published in the
,,journal officiel de la repblique Francaise" of the 14 April 1995. It concerns the following items.
l. The maximal intensity on cable and line: A table gives the maximal intensity for each type of line. This value con-
cerns the steady state with the production of the DG.
2. The impact of the voltage drop of the network (low variations): The voltage level of each point of the MV network
must be maintained between -5% and +5% of the contractual value.
- 30 -
3. Checking of the 175 Hz remote-control signal: The remote controlled frequency is used for different categories of
tariffs. A minimal rate of this signal must be still there when the DG is producing.
4. Harmonic and unbalance: The maximal harmonic rates are defined by the official document describing the technical
requirements (for instance harmonic 3:2%). The variation of the unbalance rate must not be greater than 2o/o.
5. Reacitve power: The producer must provide a n1inin1al reactive power equal to 40% of is nominal power.
6. Protective relay for disconnection: The rule contains the detailed description of the disconnection protective relays
that must be used. The relays must work for a internal fault of the DG or for a fault on the network.
A.5 Germany
The present legal situation [11 J

At present about 900 energy supplying utilities can be found in Germany. These utilities are governed by general laws,
but beyond that they were controlled by a special energy supervision, which was based on the power economics law
(EnWG) of 1935. As most important controlling instruments the investment supervision of the federal states on the
erection ·of power stations and lines have to be mentioned, as well as the price supervision on energy rates according to
the federal tariff rules based on the EnWG. Main targets ofEnWG were safety and economy of energy supply.
The law against restrictions of competition (GWB) includes special rules for energy and gas supply, which enable the
utilities to close contracts, which would be illegal and therefore idle as cartel arrangements without these special deter-
minations. Its just these contracts exempted from the cartel prohibition, the so-called demarcation- respectively. Con-
cession contracts are regarded as hindering for competition, as they result in the so-called closed supply areas and so to
a monopoly position of the specific utilities.
Demarcation contracts include agreements between utilities not to compete in the supply area of the other. In conces-
sion contracts the communities agree to make available the communal streets and ways for the installation of networks.
Although there existed no monopoly vested by government in Germany - in contrary e. g. to the situation in France -
there was a system which obliged the customer to purchase energy from one single utility which has been determined
beforehand. This effective obligation which existed anyway due to topographical factors, was provided by the demar-
cation- and concession contracts legally.
Essential elements of the national reform [111
Seen from the background of the attempts to organise a new energy home market in the European Community a com-
petition-oriented modification of the national power economy law was necessary. The closed supply areas are removed
by abolition of the cartel exemption areas for the utilities.
However, on cancelling the complete § l 03 GWB the transit-regulations according to § I 03 passage 5 sentence 2 No. 4
GWB, which has been improved by the fourth cartel law amendment, are removed. BMWi is of the opinion that the
general rules will be sufficient for the future, in order to enforce transits against the will of the network owner. This
opinion is explained with the fact that with the disclaimer of closed supply areas an essential objection against transits
would be.dropped.
Furthermore, the factor ,,ecology" is included in the catalogue of aims of this law as an equally valued purpose next to
the factors safety and economy of energy supply. With all these measures it is aimed to put energy supply under control
of the general principles of a market economical order, which also is applied to other fields of economy. The purchasers
of energy shall have the opportunity to chose between several suppliers. At the same time the supplying utilities shall
have the chance to extend their economic activities beyond their former supply area and to compete with other utilities
in selling their energy to single purchasers.
In 1998 the revised act on the supply of electricity and gas was approved, which requires the non-discriminatory access
to the transmission and distribution system [12]. The transmission system shall be managed as a seperate part of a com-
pany, distinct from generation and distribution and from any other uruelated activities. There is no central transmission
system operator, the facilities remain in the hands of the eight companies at the present stage. No regulator is imple-
mented, the general idea is to find voluntary agreements in questions under discussion. The technical criteria for access
to the system have to be published, which is already done for the transmission system [13].
In general network access has to be negotiated. There is an optional alternative implemented, applying the single buyer
in municipalities supplied uniformly by a utility in their whole area. A revision of this option may follow in the year
2003. In those areas a strict separation between generation and distribution activities has to be realised. The market
realised by single buyer has to be comparable to the market in negotiated-access-areas.
The price for third-party access in general has to be negotiated, an indicative range of prices must be published as an
orientation for future negotiations. The agreement between the head organisation of the german utilities VDEW, ger-
- 3I -
man industry BDI and industrial energy sektor VIK contains a voluntary system for transmission tariffs [14]. The gen-
eral idea is a point-to-point-tariff which contains distance-depending components. On the transmission level there is a
distance depending elemnt of the tariff, in distribution there has to be paied a part of the fee for the higher levels in case
a certain distance between generator and customer is exceeded. The system services (frequency control, voltage control,
restoration, operation) are added on customers' bills, the model for this in the distribution area is not fixed yet. Genera-
tors providing system services are paid accordingly.
There is an exemption rule for renewable energy: Utilities (network operators) are obliged to purchase their energy,
their price shall be at least 65-90% of the average revenue per kWh from delivery of electricity to all final consun1crs
(summing up energy-costs and network-access), depending on type and size of the generation facility.
The most important DO-types at the moment are BHPS and WEC. Small BHPS have reached a total capacity of
1260 MW (=2197 units) at the end of 1996, which is an increase of 40% within 2 years. Cogeneration in total sums up
to more than 6000 MW in 1996/1997 and experiences a similar increase rate. WEC have increased from 300 M\\l
(1993) to 2400 MW (middle Of 1998).
According to VDEW for 2005 3600 MW of WEC are expected. Higher numbers seem possible when summing up the
expectations of the utilities in Germany. CHP may increase up to 35% of peak load in Germany, but not all of them are
going to be dispersed.
a) Network interference
The topic of network interference can be subdivided into four different types:
• voltage interference, covering the steady-state influence of dispersed generation on voltage control,
• var-compensation, covering the reactive power behaviour of the dispersed generation units,
• voltage distortion, covering the dynamic influence of dispersed generation on fast voltage fluctuations, which re-
sult into flicker, asynunetry, and harmonic distortion and the
• influence of single events on voltage quality, of which synchronising of dispersed generation units with synchro-
nous or asynchronous generators is the most important.
Voltage interference is measured by the voltage dip after switching on a dispersed generation unit related to the nomi-
nal voltage, which is almost equal to the nominal power of the dispersed generation unit related to the short-circuit level
at the connection point:
d _ LiU _ k ·Sr.gen
-u;:-- Sk
with k = 1 for synchronous generators and inverters, k =•1:x for asynchronous generators, where Im.ax is determined
by measurements. The var-compensation is prescribed by demanding a resulting power factor from the dispersed gen-
erator. This demand is defined from the point of view of the network operator, i. e. cos qi = 0,9 ind means delivering
inductive reactive power to the network. Voltage distortion is measured in flicker, harmonics and asymmetry. The
long-time flicker factor A]t should not exceed the I 0 % value of the threshold of flicker perceptibility (A]t = l ).
This flicker factor is calculated using:
)~}
3
A1t = ( C · --s;:- ·
Sr.gen (
COS ljl network + qi gen
with c being the flicker-coefficient of a dispersed generation unit, which is system-specific and values approximately 20
for an wind energy conversion unit with asynchronous generator and I for an installation with synchronous generator.
The flicker factor A1t can also be measured, using the so-called flickermeter [15]. Harmonics should not exceed acer-
tain level. According to the German connection criteria, this level should not exceed 0.2 %·Ur for the 5th order har-
monic, 0.1 %·Ur for all other orders.
Synchronising is regulated by the following rule: a synchronous generator should not be switched parallel to the net-
work, unless the following constraints are fulfilled:
LiU < 10%
M < 0.5Hz
Liqi < 10°
- 32 -
b) Protective relaying
To prevent any damage to the generation unit by influences from the neh·vork all units should trip on abnorn1alities in
the network. For this purpose, a short-circuit protection like an over current relay has to be installed. Protection against
influences of the generation unit on the net\vork is in most cases only installed on agreement with the local utility. If
demanded, over current relays or - in special cases - neutral voltage displacen1ent, earth fault or reverse power detec-
tions are installed. Isolated operation is generally prohibited. To prevent from this situation, slow over and under volt-
age (three phase) and over and under frequency relays (one phase) are installed. These relays should be parameterised
as defined in table A.3.
relay setting
U< 1.0 ... 0.7 u,
U> 1.0 1.15 u,
f< 50 ... 48 Hz
f> 50 ... 52 Hz
table A3
c) Special requirements
Some special requirements concerning operation and protection of dispersed generation units are made, according to
the operation and protection scheme of the network, in which these units are integrated. In German medium-voltage
overhead line networks a three phase short-circuit interruption is present. Dispersed generation units feeding into a
network fault could interfere with this short-circuit interruption and therefore have to trip that fast, that the duration of
the short-circuit interruption is not influenced by them.
No interference with the audio-frequency remote control system is allowed. To guarantee the operation of this control
system, the impedance of the dispersed generation unit at the broadcast frequency should be high enough. This can be
realised by installing filters at the generation sites. Also a harmonic distortion of maximal 0,1 o/o·U 0 is allowed for the
harmonic orders in the neighbourhood of the broadcast frequency.
d) Summary of connection criteria
Ttable A.4 provides with an overview of the main aspects of the guidelines to connect dispersed generation to the me-
dium-voltage grid.
- ~] -
c:ritcrion
net\vork interference
voltage interference d,; 2 % (MV, HV: 3 %)
var-con1rensation • control, no fixed capacitors
• only at operation
• cos <p = 0,8 ind ... 0,9 cap
voltage distortion • flicker: Ai 1 < 0, I
• harmonics limited
synchronising • synchr. generator: t.U < l 0 %, t.f < 0,5 Hz, liqi < l 0°
• asynchr. generator: no load,
speed at 95 % ... 105 % of nn
protective relaying
influence from network short-circuit protection
influence on network short-circuit, over current
isolated operation t.U (3-), M(l-)
special requirements I no interference with:
remarks
• short-circuit interruption
• audio-frequency control
table A.4: summary of connection criteria for DG on MV in Germany
A.6 Netherlands
An Electricity Act, from 1989, regulates the organization of the public electricity supply in the Netherlands. The act
describes the way of coordination between the four generating companies and Sep (the Dutch Electricity Generating
Board), and defines the relations and requirements up to the customers. The Electricity Act asks for an Electricity Plan
in which must be stated how the generation companies and Sep intend to take care of the generation and transmission
over the coming decade, and has to be specified the plant which are going to be used for it. This should be based on the
forecast of the total national demand for electricity and the trend in decentralized capacity. The decentralized capacity
consists of those plants which are installed at private autoproducers, industrial plants and distribution companies; so it is
all of the production capacity not owned by the four generating companies. In the last years the amount of small decen-
tralized plants grew very fast as a consequence of state subsidies for CHP. This caused an overcapacity that urged to a
moratorium on further construction of new plants.
On the moment decentralized capacity meets about 25% of the national demand for electricity. It is foreseen that the
amount could grow further. The functioning of the present organization has let to a debate on the responsibilities and
commitments of all parties involved in the planning process. A new law is in preparation and will probably be in serv-
ice from 1999, which will give more freedom to both clients and producers. The effect on the amount of decentralized
generation is quite uncertain; in each case the definition of what decentralized means will change.
A,6.2 development of DG
[n the following table the total amount of decentralized power generation in the Netherlands is given, according to the
present situation. Maximum national load is about 15.000 MW; maximum Sep load in 1996 was 11.320 MW. Total
installed capacity in the Netherlands is about 20.000 MW; so DG with 4.750 MW installed capacity represents 24.8%.
0-1 1-5 5-15 15-30 > 30 total installed capacity
MW MW MW MW MW (MW)
Renewables (wind, hydro) many 23 13 1 1 300

Waste - 2 l 1 5 350
CHP (industrial) - 51 34 21 27 3100
CHP (buildings, horticulture) many 6 1 l 3 1000
J Total Imany 82 49 24 36 4750 (MW)
Table A.5: Installed decen'.ralized capacity year 1996

- <4 -
:-\.6.3 technical irnpact and rcquircntcnts
The technical rcquire111ents arc \vrittcn dO\Vll in an official publication of Encrgu:Ncd (Association of Energy l)istribu-
tion Co111panics). ·rhcsc have been dcveloppcd in n1utual cooperation between the responsible utilities.
The n1ain differences con1parcd to the Sep requiren1cnts for production units are:
• DG units are seen as negative loads; so no unit con1n1itment
• prin1ary regulation is pcrforn1ed only in case of severe frequency deviations(> 150 mI-lz)
• no secondary response
• voltage support only in agreen1ent with local utility
• design margins for voltage and frequency deviations are more narrow.
• For some of the bigger industrial plants with a relative high capacity operational agreements have been made with
Sep.
A.7 Norway
Generation, transmission and sales are the three basic conunercial functions of the power supply system. The transmis-
sion network is divided into three levels:
• the main grid (usually 420 kV, 300 kV and 132 kV)
• the regional grids (usually 132 kV and 66 kV)
• the distribution grids (usually 22 kV and l l kV)
The main or central grid constitutes the «motorways» of the power supply system, and links together production and
consumption in various parts of the country. It is also connected to the transmission lines to other countries. Regional
grids are connected to the main grid, and form links between generating companies, the central grid and distribution
grids. A distribution grid is a local network that distributes power to the end users.
Electricity generation plants are generally connected to the central grid or a regional grid. However, a number of small
installations are connected directly to a distribution grid. The 1991 Energy Act sets out the framework for the organi-
sation of the power supply system in Norway. It encourages competition within power generation and trading. The
prices for use of the transmission network are regulated by NYE (the Norwegian Water Resources and Energy Admini-
stration), which is responsible for monitoring monopoly (grid) operations.
Statnett SF (the Norwegian Power Grid Company) owns 80 % of the main grid. Statnett SF is a state enterprise, i.e. it is
a 100 % state owned company. Private companies, counties and municipalities own the remaining 20 % of the central
grid, but leases it to Statnett SF. Municipalities and county municipalities own most of the regional and distribution
grids. Municipalities and county municipalities own about 55 % of Norway's generating capacity, Statnett SF about 30
% and private companies about 15 %. Norway presently has approximately 845 hydro power stations with a total pro-
duction capacity which exceeds 27.200 MW (mean annual energy production capacity is approximately 110 TWh). In
addition, thermal power stations have a capacity at present of 278 MW. Norway is the sixth largest hydro-power pro-
ducing country in the world. The transmission network consists of approximately 200.000 km of overhead lines and
25.000 km of underground and submarine cables.
There are various types of power utilities:
• distribution utilities: The distribution utilities own the local distribution grid. They trade power in the market and
sell it to end users in their geographical area. The distribution utilities' trading operations are exposed to competi-
tion, since the end users may buy power from any supplier in the country. Some distribution utilities have entered
into contracts with end users in geographical areas served by other power utilities. There are approximately 100
distribution utilities in all.
• vertically-integrated utilities: Vertically-integrated utilities own both the local distribution grid and production
facilities. They may also own regional grids and some own parts of the central grid. The utilities sell electricity to
end users in the area where they own the distribution grid, and often compete for customers in the areas served by
other power utilities. There are close to 100 vertically-integrated utilities in Norway.
- 35 -
• wholesale utilities: Wholesale utilities have been established in a number of regions, and may own both parts of the
regional grid and production facilities. Their original purpose was to generate and purchase electricity for resale to
local distribution companies. There are 20 - 25 wholesale utilities in Norway.
• production con1panies: There are almost 130 production companies, i.e. con1panies whose operations are confined
to electricity generation. They do not own any part of the transmission or distribution systcn1.
• industrial companies: There are 57 industrial companies in the country. They supply pO\VCr mainly to an industrial
enterprise of which they form a part.
In recent years companies have been established solely to buy power for resale to end users and power utilities (trading
companies). Companies have also been established to negotiate power contracts (po\ver brokers). Statnett SF are re-
sponsible for the power system planning and operation of the main grid. The different power utilities are responsible for
the power system planning and operation of the grids in their respective supply area. Most power is now traded
bilaterally between producers and distribution utilities or large customers, or between the generation and distribution
sections of vertically-integrated utilities. Power is also sold in markets organised on the exchange principle, for which
Nord Pool ASA is responsible.
The power market is often divided into the wholesale market and the end user market.
• The wholesale market: The wholesale market is where producers and large-scale purchasers of power buy and sell
electricity. All the power utilities and others who buy power for resale participate in the wholesale market. Large
end users can also enter into contracts in the wholesale market instead of buying power through a utility or a trader.
• The end user market: An end user is someone who buys power for his own use. Only customers who require large
amounts of electricity buy directly in the wholesale market. Power-intensive industries and other major industrial
enterprises may also have their own power generation facilities. Most end users buy power through a power utility.
• The organised markets: Nord Pool ASA manages purchases and sales to producers and consumers on several
markets and is a neutral marketplace. Nord Pool ASA currently markets power in three different ways:
!. In the 14-hour market, or spot market, where contracts for individual participants are set up for one day at a
time.
2. The weekly market is a new market for future supplies. Two types of contracts are traded in the weekly market,
for base-load power and for peak-load power. These may be registered up to two years in advance.
3. In the regulatory market, which is a tool for maintaining a stable frequency and a continuous balance between
production and use of power. Once prices and quantities have been fixed in the spot market, Nord Pool ASA in-
vites offers for regulation of the amount of power generated (up or down). It must be possible to regulate power
generation at short notice, for example in the case of the sudden failure of a power station or transmission line,
or if there are sudden, unexpected changes in demand.
Nord Pool ASA now also organises financial trade markets.
A.7.2 development ofDG
Dispersed power generation (DG) in Norway must be defmed as micro-, mini- and small power stations (presently
hydro and to a minor extent wind turbines) connected to the distribution network (:5 22 kV). Furthermore, they are
planned and dispatched locally, i.e. not by the regional grid utility in the area. The stations can be utility or privately
owned. Micro-, mini- and small types of power stations are defined in table A.6.
0- IOOkW: micro power station
100 - 1000 kW: mini power station
1000 - 10000 kW: small power station
table A.6
Ttable A. 7 shows hydro power stations in operation per January I, 1996. Since a large portion of the power stations in
the 1 - 10 MW interval (small power stations) are connected to the regional grids, these stations cannot be considered as
DG.
- 36 -
Size (MW) Number Aggregated installation Portion of total instal-

(MW} lation (%]
0 - .1 170 5 ~o
.I - I LlO 55 0.2
I - 10 233 829 3.0
10 - 100 244 8879 32.5
100 - 76 17582 64.3
Total 853 27350 100.0
table A.7
The present wind turbine production in Norway is shown in table 3.2.11.3. The total installed capacity is 3885 kW.
From this it can be deduced that the total DG capacity in Norway does not amount to more than l - 2 % of the total
production capacity. The utility operating the regional grid to which a distribution grid with local production (DG) is
connected, will stipulate a fixed production for the DG in question when forecasting the short-term electricity trade. If
the DG production should deviate from the stipulated value, this difference must be balanced out in the regulatory mar-
ket. (The same principle applies if a distribution grid owner with local production is operating entirely on the spot mar-
ket). Nord-Trondelag Elektrisitetsverk is at this time planning a I MW wind turbine generator also at Vikna.
Type Make Expected energy Construction Location Owner
prod. (GWh/yearj5 year
55 kW stall Wincon 0,17 1986 Froya Sor-Triindelag

regulated Kraftselskap
75 kW stall Vestas 0,20 1987 Vallersund V allersund gaard
regulated (private)
55 kW stall Vestas 0,10 1988 Klepp Jiiren FolkehOg-
regulated skole
400 kW pitch Vestas 1,08 1989 Froya Sor-Trondelag
regulated Kraftselskap
300 kW stall Nordtank 0,68 1989 Smola Istad Kraft
regulated
400 kW pitch Vestas 1,00 1991 Kvalnes Andoykomm.
regulated kraftverk
400 kW pitch Vestas 1,24 1991 Hovden V esteraalens
regulated kraftlag
3x400kW Vestas 3,22 1991 Vilma Nord-Trondelag
pitch regul. Elektrisitetsverk
2x500kW Vestas 2,70 1993 Vilma Nord-Triindelag
pitch regul. Elektrisitetsverk
table A.8
a) Technical requirements
Electric safety requirements

It is an absolute condition that electric safety measures are duly taken care of in connection with installation and opera-
tion of small power stations. The regulations in question for the technical solution/scheme are:
• Regulations for Electrical Installations in Buildings of 1991 (FEB 91)
• Regulations for Electrical Supply Installations of 1988 (FEF 88)
5 Estimated average
- J7 -
[n practice FEB 91 applies to small installations and FEF 88 for larger installations. Ho\vcvcr, «Operational Regulations
for Low Voltage Installations>) and «Operational Regulations for High Voltage Installations)) applies for all installa~
tions. All installations with a systen1 (nominal) voltage$ 1000 V ac are defined as low voltage installations. Power
stations with generators with a nominal voltage > 1000 V ac are subject to a licensing procedure in accordance \vith
«l"he energy Act» (plant license).
Hazards:
It is an element of risk present for erroneously connecting small generators to the network during a disconnection in the
distribution system due to maintenance. This will cause voltage to be connected back on the system, and this represents
a hazard for the maintenance personal. FEB 91 have regulations in order to avoid such hazards. Furthermore, it should
be impossible to connect the generator to the system if the voltage and frequency values causes malfunctioning of the
protective relaying.
Public inspection
• Dams, gates and pipes
Public inspection includes the construction, operation and maintenance of dams, gates and pipes. NVE shall carry out
the inspections. In accordance with «The watercourse Act» § 144 NVE must have free access to all plant structures
subjected to public inspection. The site/plant owner must provide all relevant information to the inspectorate. Plans
must be reported to NVE when construction works are initiated on installations subjected to public inspection. The
plans must be approved by NYE before any works can be initiated. The plans should include:
• flood calculations and dimensioning of the flood discharge
• information about the dam construction material and the foundation conditions
• description of the planned works
• drawings of the dam
Where constructions are not subjected to public inspection the owner will be responsible for the safety in accordance
with «The watercourse Act»(§§ 108, 115 and 120).
• The electrical installations
Generators> JO kV A are subjected to public inspection by «The Electrical Inspectorate» in accordance with FEF 1988.
«The Electrical Inspectorate» in the region and the local utility must be notified prior to initiations of construction
works.
• General safety
As far as the general safety at the construction site is concerned it must be clarified with the local «The Labour In-
spectorate» if it is necessary with a notification and public inspection.
Other
The power station construction will depend on whether it is a high or low head plant, stored or run of river scheme, etc.
One should seek simple solutions for micro- and mini power stations in order to keep the costs down. However, all
operational safety requirements must be met. It is important to choose a correct turbine (type, capacity) in order to ex-
ploit the run of water in the watercourse optimally. The power station, if necessary, also includes the transformer and
the switchgear installations/high voltage installations. The network connection will depend on local conditions and the
size of the power station. There are four constellations for network connection (figure A. JO).
G~ Utility Iv network

_/
~
Utilily Iv network
--1 Ulility Iv network
Utility hv network
figure A. IO
- 38 -
• A generator'.','.; 25 kW connected directly to the lo\v voltage network should not cause any problen1s.
• A generator :-:;: I 00 kW connected directly to a sufficiently dimensioned low voltage network should normally nor
cause any problen1s within a few hundred n1eters from the supply station.
• Generators> 100 kW should be connected to a supply station. If the distance is too long it will be necessary to build
an hv transn1ission and a separate supply station.
b) Protection scheme
There are at this time no standards for protective relaying schemes. It is common practice to follow contractor recom-
mendations. However, automatic disconnection of the power station when ground fault occurs in the distribution net-
work should be standard.
c) Characteristics of po,ver output
No standards or regulations are at this time imposed on DG plants nor are they likely to be in the future.
d) Control systems
Generally the control equipment for operating and monitoring should be as simple as possible in small power stations.
Small hydro power stations are either equipped with synchronous generators or induction generators. A synchronous
generator equipped with a frequency regulator can be connected to an isolated network. Standards allow the voltage
level to vary between ± 5 °/o. The frequency variation limits varies in steps according to operating conditions; ± 0, 1 o/o
during normal operation. Otherwise no standards are adopted at present time. In many cases regulation of the water
level should be considered.
e) Transmission and distribution system planning
Local power generation in the distribution system will reduce the losses and contribute to voltage support. This cer-
tainly applies for rural distribution systems in Norway, characterised by long feeders with small cross-sections and
scattered and small loads. Synchronous generators can be connected to an isolated network if equipped with a fre-
quency regulator. Thus local generation will have positive effects both on the quality and security of supply. This im-
plies that DG must be taken into account in power system planning, and DG can be an alternative to conventional sys-
tem reinforcements (new lines, substations)
t) Generation system planning
The annual mean production in hydro power plants < 10 MW is about 4 TWh and the total installed capacity somewhat
less than 900 MW. The potential for new production capacity is stipulated to be about 8 TWh. However, only a fraction
of this are likely to be utilised. And only a portion of this again could be defined as DG.
The present trend is a large interest from private entrepreneurs (landowners) to develop small watercourses on their
property for hydro power production. Project plans utilising alternative energy sources have also been launched, e.g.
wind turbines, tidal power plants and small combined heat plants burning waste. This interest for power plant develop-
ment was triggered by high prices for energy on the spot market during the autumn and winter 1996/97. Even so, only
a limited number of these projects are expected to actually be realized. Hence, DG are still expected to account for less
than 2 % of the total production capacity in Norway in a short- and medium- term perspective. Even on long-term the
contribution of DG to the total production capacity are likely to be negligible. The dominant share of DG are going to
be hydro power also in the future.
Small hydro power stations usually have limited reservoirs thus producing whenever water is available. The price on
the spot market will often have severe impact on the production planning in plants with sufficient storage capacity. A
trend toward larger utility units (mergers and cooperations) will make it easier to conduct centralised production plan-
ning in the future.
A.8 Poland
Since the year 1990 the power industry restructuring process has been taking place in Poland, modelled on what was
done in England.
- 39 -
All the sector was divided into three areas of operation - generation, transn1ission and distribution of energy - carried
out by three types of companies (first State-owned ones but meant for privatisation in the future).
In April this year Polish Parliament approved new Energy Law that accepts implementation of a n1arket-orienting re-
form. Introduction of the new Energy Law will bring about a radical acceleration of the power industry reform process.
lJtility companies will require licenses in their operation. Price control will be resigned - prices will be now fixed by
individual companies and approved by the Regulator Office of Energy that is being introduced by the new Law. The
new Law provides for wholesale, spot and contract markets of energy. Three part access is guaranteed. It does not pro-
vide for State subsidies offered to the power industry. Government will remain responsible for creation of the State
power policy.
The so-called Power Grid System Integrated Development Planning is being elaborated within organisational frame-
work of the Polish Power Grid Company. According to updated demand electricity projections the new power plants
will be required around year 2007. Significant attention is paid in said projections to introduction of gas as an environ-
mentally friendly fuel used by the power industry.
Currently many power and cogenerating plants are being modernized in particular in the province of their economic
effectiveness and solutions that come friendly to natural environment. Gas will be used in modernization of cogenerat-
ing plants. The first contract has been signed already with the Gorz6w Cogenerating Plant. Other contracts are in prepa-
ration. Signing of the first contract is expected in reference to construction of a new power plant at Nowa Sarzyna by an
independent generator. New cogenerating plants and new power plant at Sarzyna are the facilities of some 100-
200 MW that will generate electricity for local markets. Development programmes take into account smaller gas-fired
power plants of a combined steam-gas cycle. Polish Power Grid Company is empowered to sign contracts that provide
for new generation capacities.
A.9 Spain
The Spanish power system is shared by the following utilities:

• IBERDROLA
• ENDESA
• UNION FENOSA
• HIDROELECTRICA DEL CANTABRICO
• RED ELECTRICA DE ESPANA
IBERDROLA's data versus the whole Spain system is given in Table A.9.
ITEM UNITS ABSOLUTE VALUE %0FSPAIN
System
Installed Power MW 16,068 35.99
Billed Energy Gwh 54, l 78 36.16
Customers no. 7,841,667 40.6
Table A.9
Red Electrica de Espana is in charge of the daily operation and planning of the high voltage network (transport) and it
does not have any sort of customers. Planning, operation, etc. for distribution systems are done by the rest of Utilities
within their area of concern.
Spain is now in a free and competitive market for electricity. The characteristics of the new situation are:
• Power Generation, Transport, Distribution and Commercial tasks are different units of business.
• Customers are free to set conunercial agreements with any "agent" or to buy energy to the pool.
• Red Electrica is only the high voltage network operator, with no control on production (set by the daily market).
• Planning, quality and others for distribution networks are carried out by distribution companies within its own area.
IPP's production in IBERDROLA is 7%.

- 40 -
Installed:
CLASSIFICATION BY TYPE
TC GENERATOR TYPES MW
RS RI AG
M-i Oo/n 2°/0 8% AG WIND FARMS 108.5
1•AGI FU FUEL-OIL UNITS 211.3
1•FU GA BIOGAS 3, 1
10GA. !
HR ' 0GN1I
1 GN NATURAL GAS 619, 1
6%
GR
'•GR! GR REFINERY GAS 102,0
7%
;.H<j HR HYDRO> 5MW 87,5
,.M-i: MH HYDRO< 5MW 238,6
l:;J RI
RS
INDUSTRIAL SOLID WATE FUELS
URBAN SOLID WASTE FUELS
26,5
0,7
TOTAL 1397.4
CLASSIFICATION BY VOLTAGE LEVEL

TT VOLTAGE LEVEL MW
BT fv\!\T MAT 132 a 400 kV 104,5

0% 7% AT 30 a 66 kV 800,8
MT 11 a 20 kV 487,2
BT < 11 kV 4,9
TOTAL 1397,4
CLASSIFICATION BY PRODUCED POWER POWER MW

>30MW 182,7
u 20 y <30MW 92,7
<1 MN >30MN
6% 13% u 10 y <20MW 293,3
>20y<30 •>30MN u 5 y < 10MW 334,7

>1 y <SM/I/ MN •>20 y <30MN u 1 y <5MW 404,0
29% 7% o>10y<20MN
<1 MW 90,0
>10 y <20 g>5 y <10MN
MN
21%
•>1 y <5MN L TOTAL 1397,4
•<1M/V
> 5 y < 10 Planned:

MN
24o/o
- 41 -
CLASSIFICATION BY TYPE
RS SO
!:J-ASSIFICATION BY VOLTAGE LEVEL TI VOLTAGE LEVEL MW

MAT 132 a 400 kV 661.5
Mr BT
11% 0% M'\T AT 30 a 66 kV 2535,0
18%
MT 11 a 20 kV 376,5
BT < 11 kV 2,7
TOTAL 3575,6
AT
71°/o
TC GENERATOR TYPES MW
AG WIND FARMS 1919,3
FU FUEL-OIL UNITS 249,5
GA Bl OGAS 32,2
GN NATURAL GAS 1051,6
HR HIDRO > 5MW 81, 1
MH HIDR0<5MW 80,6
RA FARM WASTE FUEL 21,2
RI INDUSTRIAL WATE FUEL 30,0
CLASSIFICATION BY PRODUCED POWER
RS URBANOS WASTE FUEL 110,0
<1 MW
so PHOTOVOLTAIC 0,2
1% TOTAL 3575,6
>1 y <5Mv\'
10°/o >JOMN
'•>30MvV
34%
.>20 y <30Mv\'I
10%
0. >10 y <20~ POWER MW
10>5 y <10Mv\' 1164,0
>30MW
~
>1y<5fvfN
>10 y <20 <) 20 y <30MW 763,4
<1 MW
MW >20 y <30 ----- --- <) 10 y <20MW 873,1
24%
MN
<) 5 y < 10MW 360,6
21°/o
<) y < 5MW 365,1
<1 MW 49,4
TOTAL 3575,6
a) Technical requirements
Technical requirements are under 2 State regulations in which the rules are fixed for the connection of all kinds of DG.
These rules are now in a revision process.
b) Protection scheme
The common protection scheme is the following. (In several units other devices can be arranged).
- 42 -
• Three undcrvoltagc relays connected between phases.

Point of operation: 0.85 p.u. on nominal line voltage and a maximum delay of 1.0 sec.
• One ovcrvoltage relay
Point of operation: 1.07 p.u. on nominal line voltage and a maximum delay of 1.0 min.
• One overvoltage relay
Point of operation: 1.1 p.u. on nominal line voltage and a maximum delay of 1.0 sec.
• One homopolar overvoltage relay
Point of operation: 0,3 p.u. on nominal line voltage and a maximum delay of 1,0 sec.
• One overfrequency relay
Point of operation: 50.2 Hz with a maximum delay of 0.2 sec.
• One underfrequency relay
Point of operation: 49.8 Hz with a maximum delay of 0.2 sec.
• Three overcurrent relays (2 phases and neutral) with instantaneous and inverse-Time units
The instantaneous unit is set at 130 o/o of the fault current at the secondary of the power transformer.
• Remote tripping
c) Characteristics of Power output
• An increasing in the grid voltage of 2.0 % when running is forbidden. In the same way a variation of 5 % if it
changes from generation to loading.
• An IPP connection to the grid is rejected if is power is higher than the 10 % of the short circuit power at the con-
necting point.
• A power factor no beneath of0.8 (lead or lag) is required. When wind farms this should be higher of0.86.
• No contribution to system transient stability has been established.
• The utility can review the correct status of all of the protection devices, remote data acquisition systems, etc. in-
stalled in the !PP plant.
d) Control systems
In case of IPP's no control is done from the electrical company dispatching excepting signals for locking and tripping
the station breaker, if necessary.
e) Transmission and distribution planning
No daily planning is done on IPP's plants.
A.10 UK
A.IO.I legal frame I organizational procedure
Since the privatisation of the electricity supply industry in 1990, the industry has been organised as three primary busi-
nesses. The generation of electricity is a totally open and competitive market. There are currently some 30 generating
companies in the UK. The bulk transmission of electricity (400 kV and 275 kV) is carried our by the National Grid
Company (NGC) operating as a regulated monopoly. The distribution of electricity is again a regulated monopoly busi-
ness carried out in England and Wales by twelve Regional Electricity Companies (RECs). (Note that the arrangements
are different in Scotland an N. Ireland).
DG will, almost without exception, be connected to a REC distribution system. The REC operates under a Public Elec-
tricity Suppliers's licence. This licence places many obligations on the REC including the obligation to offer to connect
DG to its system.
Most generators also have to be licenced under current legislation. A generation licence brings with it a range of obli-
gations including the obligation to trade electricity through the common electricity pool. However, for many DGs this
licence is not required so that there is greater freedom to trade electricity in the area local to the plant. This is one rea-
son why DG has grown in recent years.
- 43 -
.i\. I 0.2 network connection rules
The UK RECs have a con1n1on code of practise, the Distribution Code, that sets out the way in which the distribution
systen1s are planned and operated. This code is supported by a number of engineering reco1nmendations and standards.
'fhcsc cover a range of issues including supply security, voltage control and harmonics.
There are two engineering recon1mendations that apply directly to DG. The first, ER G59-l, applies to DGs of less than
5 MWe being connected at 20 kV or below. l'he second, ER G75, applies to DGs larger than this or connected to higher
voltages.
'rhese two engineering recommendations set out the technical requirements for DGs. A potential DG developer will
have to make a detailed application to the REC clearly showing that the proposed connection meets the required stan-
dard particularly in tem1s of the protection scheme.
The RECs have a statutory obligation to plan their distribution systems in an economic manner whilst providing con-
nections for generation and demand and achieving required security and supply quality standards.
Generation is not planned in the UK market. No single party has a statutory obligation to actually supply electricity to a
customer. It is assumed that the normal market rules of supply and demand will prevail and that the market will provide
sufficient generation capacity to meet the demand.
B References
[IJ Westwood, M.
Cogeneration in Australia : An Untapped Resource For Economic Development Environmental Improvement.
paper presented on 26-27 February 1997 at "Cogen '97" Conference in Brisbane, Queensland, Australia
[2] National Electricity Market Management Company Limited

Australia's National Electricity Market- An Introduction (Published November 1997)
[3] NORD EL "Operational Performance Specifications for small Thermal Power Units", 1995
[4] DEFU: "Relay protection for local CHP units", technical report 293, 2'' edition (in Danish)
[5] DEFU: "Voltage quality in low-voltage transmission networks", Recommendation no. 16 (in Danish)
[6] ELSAM: "Power Station Specifications for Plants< 2 MW" (in Danish), SP91-515h
(7] ELSAM: "Power Station Specifications for Plants between 2 and 50 MW" (in Danish), SP92-0J 7a
[8] ELSAM: "Power Station Specifications for Plants> 50 MW", SP92-230h
[9] DEFU: "Grid connection of wind turbines", Commitree Report 111, 1998 (in Danish)
[IO] Rise+ DEFU: "Power quality and grid connection of wind turbines", Parts I, 2 and 3 (in Danish), Rise-R-853
and DEFU-TR-362
[11] B. Herrmann, P. Matthey

Liberalisierung der Energiemiirkte in Deutschland und Europa (in German)
atw 41. Jg. (1996) Heft 8/9, pp 548-551
[ 12] Gesetz zur Neuregelung des Energiewirtschaftsrechts

Federal Law, Germany, 1998
- 44 -
[ 13] The German GndCode

Die Kooperationsregeln ftir die deutschen Obertragungsnetzbetreiber
Die Netz- und Systen1regeln der deutschen Dbertragungsnetzbetreiber
DVG Heidelberg, 1998
[ 14 J Verbandevereinbarung Uber Kriterien zur Bestimmung van Durchleitungsentgelten

BO!, Koln; VIK Essen, VDEW, Frankfurt, I 998
(15] DIN EN 60868 / VDE 0846 Tei! 2

Flickermeter - Funktionsaufbau und Auslegungsspezifikation.
1993
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Impact of Increasing Contribution of Dispersed Generation On The Power System

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137

IMPACT OF INCREASING CONTRIBUTION

Working Group 37.23

Adolf SCHWEER, Germany (Convenor)

I SCOPE AND TERMS OF REFERENCE

3 TECHNOLOGIES: DESCRIPTION OF THE TECHNICAL

4 ROLE OF DG IN DIFFERENT KINDS OF OPEN ACCESS

6 SOLUTIONS AND OPEN QUESTIONS 11

I Scope and Terms of Reference

2.1 Reasons for increasing share of DG in different countries

• Customers' demand e.g. for .,green power" is increasing.

2.2 Objectives of the report

3 Technologies: Description of the technical characteristics

3.1 Co-generation units

3.2 Wind Energy Converters (WEC)

Table 3.1: WEC-characteristics

3.3 Hydro Power Stations (HP)

3.4 Conventional Generators (CG)

3.5 PY-Systems (PV)

3.6 Fuel Cells

3. 7 Micro Generation Systems

3.8 Overview of capital and energy costs

technology electric capital costs total costs

CHP 40MW, 550 - 8502 0.04 - 0.057)

Micro Gen. (turbine) 50 kW, - 300 5 0.03 - 0.055

Micro Gen. (fuel cell) 50kW, -900 5 0.09 - 0.155

Table 3.2: Capital and energy costs for DG-facilities

4 Role of DG in different kinds of open access markets

the following assumption is made: I Euro "'I ECU

ue lm~s to Other VI Us tie lines

Figure 4. l: traditional and unbundled system structure

Table 4.1: DG-penetration in different countries

5.1 Generation and Transmission System

5.2 Distribution system

5.2.1 Network capacity

5.2.2 Connection criteria

5.2.3 Additional effects

6 Solutions and Open Questions

6.1 Network connection rules

6 if COS<p:? 0.9 --+ Charge for consumtion =0

with limit cos<p = 0.5 where charge= 47% of Energy)

max. .1u 11 in LY ±10%8 3o/o

max. 8u1t in MY ±I 001o8 2o/o 1%(5%9 ) 5%

max. U 1c in LV 110% 8 106% 106% 106%

max. U 11 inMV 110%8 105%

min. U,, in LY 90% 8 90% 90% 90%

min. U,, in MY 90% 8 95%

max. P1, in LV 111 0.464 1.0

max,:p•in MY 1.0 0.9

max. P1, in HY 0.6

max. P51 in HV 0.8

amplitude of fast voltage !iU:51 %

8 for 95% of a/I IO-min-intervals in every weak

synchr. generator coordinated

limitation of sec yesl4 yes yesl4 yesl4

over current yes coordi-

13 for generators 5 1 MVA

6.3 System Services

6.4 Market Strategies

(3] Castellano, G.; Scarpellini, P.; Vascellari, S.

[4] DIN !EC 38

[5] DIN EN 50160

(9] European Standard EN 50160

G~ Utility Iv network