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Final report RSE 17001244

Project MERCATI ELETTRICI: Evolution of the interconnected power systems and markets. Synthesis Report of 2016

The project develops studies, methods and tools, for both the power system evolution management and to manage correctly huge quantity of not dispatchable RES production.

In the last decade, the new Community and national energy-related policies are leading to substantial modifications in the Italian energy market and power system. Because of the technical, economic, environmental and social drivers, the power system has assumed a new layout which is characterised by a growing integration in the grid of non-dispatchable renewable production and by a large amount of distributed generation instead of bulk generation.

The transformation is ongoing also in the European power exchanges and it has the target to create a single Internal Electricity Market (IEM): currently, concerning the Day-ahead markets coupling, this process is quite advanced, for the next years an expansion is expected also for the intra-day markets and the balancing markets. Some evaluations of the impacts that the different variables can have on the National Power System are described in this report. The ETS mechanism is an example of a variable in European context.

A sensitivity analysis on how the price of the CO2 emissions allowances influence the national system and the energy exchanges amongst the main European countries where manufacture is important was carried out in the present research project named “Evoluzione dei sistemi elettrici interconnessi e integrazione dei mercati” (“Evolution of the interconnected power systems and markets integration”).

Other activities in the field of power market analysis focused on the possible mid-long term evolutions of the system, its execution and the regulatory framework. RSE’s participation in the RDE project (Dispatching Reform) of the Authority of Energy (“AEEGSI”) is an emblematic example. The main project goal is the definition of unbalancing prices and the introduction of nodal prices. A few scenario analysis have been made, in order to understand how the real-time energy price can be calculated in the Italian power market.

Finally, in the context of possible evolutions of the electricity markets, studies have been carried out to assess the contribution to regulation services by new resources. The possible participation of electrochemical storage systems, also coupled with non-programmable renewable sources, was analyzed for the traditional ancillary services (primary and secondary frequency regulation). In addition, using a simplified dynamic system model of electrical systems, the impact on the frequency stability of the addition of control logic for two new possible services was investigated: synthetic inertia and fast primary frequency control.

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