An Integrated Assessment of Super & Smart Grids

32 Pages Posted: 16 Oct 2013 Last revised: 10 Jan 2014

See all articles by Elena Claire Ricci

Elena Claire Ricci

CMCC - Centro Euro-Mediterraneo sui Cambiamenti Climatici

Date Written: October 15, 2013

Abstract

We assess the optimality of investments in power grid innovation, under both technological options of Super and Smart Grids, using the WITCH model in the version that includes Super-Grids. Super Grids allow producing and trading of electricity generated by large scale concentrated solar power (CSP) plants in highly productive areas that are connected to the demand centres through High Voltage Direct Current (HVDC) cables. We extend the model to include also Smart-Grids that allow: i) to increase the share of renewable power manageable by the power network, ii) to reduce the costs of customer relationships via Smart Meters; iii) residential consumer to generate electricity via micro-photovoltaic plants, and iv) residential consumer to generate virtual electricity via consumption management. We find that it becomes optimal to invest in grid innovation, in order to start gaining the management benefits and taking advantage of consumer generating opportunities (of electricity and “nega-watts”), starting in 2010 and to exploit the increased possible penetration of renewable energy sources from 2035. Long-distance CSP generation becomes optimal only from 2040, and trade from 2050; but it reaches very high shares in the second half of the century, especially when penetration limits are imposed on nuclear power and on carbon capture and storage operations (CCS). On the whole, climate policy costs can be reduced by large percentages, up to 48%, 34%, 24% for the USA, Western Europe, Eastern Europe, respectively, with respect to corresponding scenarios without the grid innovation via Super and Smart Grid option and with limits on nuclear power, CCS, and CSP import. The analysis is then extended to compare these options considering, at least qualitatively, the differentiated impacts on the environment, technology, organization, society, local and national economies and geopolitics.

Keywords: Smart-Grids, Climate Policy, Integrated Assessment, Renewable Energy, Residential Power Generation, Demand Side Management Concentrated Solar Power, Super-Grids, Electricity Trade

JEL Classification: C61, Q42, Q54

Suggested Citation

Ricci, Elena Claire, An Integrated Assessment of Super & Smart Grids (October 15, 2013). FEEM Working Paper No. 84.2013, CMCC Research Paper No. RP0188, Available at SSRN: https://ssrn.com/abstract=2340415 or http://dx.doi.org/10.2139/ssrn.2340415

Elena Claire Ricci (Contact Author)

CMCC - Centro Euro-Mediterraneo sui Cambiamenti Climatici ( email )

via Augusto Imperatore, 16
Lecce, I-73100
Italy

Do you have negative results from your research you’d like to share?

Paper statistics

Downloads
79
Abstract Views
792
Rank
555,299
PlumX Metrics