Distributed energy, also district or decentralized energy is generated or stored by a variety of small, grid-connected devices referred to as distributed energy resources (DER) or distributed energy resource systems.
Conventional power stations, such as coal-fired, gas and nuclear powered plants, as well as hydroelectric dams and large-scale solar power stations, are centralized and often require electricity to be transmitted over long distances. By contrast, DER systems are decentralized, modular and more flexible technologies, that are located close to the load they serve, albeit having capacities of only 10 megawatts (MW) or less.
DER systems typically use renewable energy sources, including small hydro, biomass, biogas, solar power, wind power, and geothermal power, and increasingly play an important role for the electric power distribution system. A grid-connected device for electricity storage can also be classified as a DER system, and is often called a distributed energy storage system (DESS). By means of an interface, DER systems can be managed and coordinated within a smart grid. Distributed generation and storage enables collection of energy from many sources and may lower environmental impacts and improve security of supply.
Types of DER systems
Distributed energy resource (DER) systems are small-scale power generation or storage technologies (typically in the range of 1 kW to 10,000 kW) used to provide an alternative to or an enhancement of the traditional electric power system. DER systems typically are characterized by high initial capital costs per kilowatt. DER systems also serve as storage device and are often called Distributed energy storage systems (DESS).
Cogeneration
Distributed cogeneration sources use steam turbines, natural gas-fired fuel cells, microturbines or reciprocating engines to turn generators. The hot exhaust is then used for space or water heating, or to drive an absorptive chiller for cooling such as air-conditioning. In addition to natural gas-based schemes, distributed energy projects can also include other renewable or low carbon fuels including biofuels, biogas, landfill gas, sewage gas, coal bed methane, syngas and associated petroleum gas.
Delta-ee consultants stated in 2013 that with 64% of global sales the fuel cell micro combined heat and power passed the conventional systems in sales in 2012. 20.000 units where sold in Japan in 2012 overall within the Ene Farm project. With a Lifetime of around 60,000 hours. For PEM fuel cell units, which shut down at night, this equates to an estimated lifetime of between ten and fifteen years. For a price of $22,600 before installation. For 2013 a state subsidy for 50,000 units is in place.
In addition, molten carbonate fuel cell and solid oxide fuel cells using natural gas, such as the ones from FuelCell Energy and the Bloom energy server, or waste-to-energy processes such as the Gate
Solar power
Photovoltaics, by far the most important solar technology for distributed generation of solar power, uses solar cells assembled into solar panels to convert sunlight into electricity. It is a fast-growing technology doubling its worldwide installed capacity every couple of years. PV systems range from distributed, residential, and commercial rooftop or building integrated installations, to large, centralized utility-scale photovoltaic power stations.
The predominant PV technology is crystalline silicon, while thin-film solar cell technology accounts for about 10 percent of global photovoltaic deployment. In recent years, PV technology has improved its sunlight to electricity conversion efficiency, reduced the installation cost per watt as well as its energy payback time (EPBT) and levelised cost of electricity (LCOE), and has reached grid parity in at least 19 different markets in 2014.
As most renewable energy sources and unlike coal and nuclear, solar PV is variable and non-dispatchable, but has no fuel costs, operating pollution, mining-safety or operating-safety issues. It produces peak power around local noon each day and its capacity factor is around 20 percent.
Wind power
Another source is small wind turbines. These have low maintenance, and low pollution, however as with solar, wind energy is variable and non-dispatchable. Construction costs are higher ($0.80/W, 2007) per watt than large power plants, except in very windy areas. Wind towers and generators have substantial insurable liabilities caused by high winds, but good operating safety. In some areas of the US there may also be Property Tax costs involved with wind turbines that are not offset by incentives or accelerated depreciation. Wind also tends to complement solar. Days without sun tend to be windy, and vice versa. Many distributed generation sites combine wind power and solar power such as Slippery Rock University, which can be monitored online.
Hydro power
Hydroelectricity is the most widely used form of renewable energy and its potential has already been explored to a large extend or is compromised due to issues such as environmental impacts on fisheries, and increased demand for recreational access. However, using modern 21st century technology, such as wave power, can make large amounts of new hydropower capacity available, with minor environmental impact.
Modular and scalable Next generation kinetic energy turbines can be deployed in arrays to serve the needs on a residential, commercial, industrial, municipal or even regional scale. Microhydro kinetic generators neither require dams nor impoundments, as they utilize the kinetic energy of water motion, either waves or flow. No construction is needed on the shoreline or sea bed, which minimizes environmental impacts to habitats and simplifies the permitting process. Such power generation also has minimal environmental impact and non-traditional microhydro applications can be tethered to existing construction such as docks, piers, bridge abutments, or similar structures.
Waste-to-energy
Municipal solid waste (MSW) and natural waste, such as sewage sludge, food waste and animal manure will decompose and discharge methane-containing gas that can be collected and used as fuel in gas turbines or micro turbines to produce electricity as a distributed energy resource. Additionally, a California-based company, Gate 5 Energy Partners, Inc. has developed a process that transforms natural waste materials, such as sewage sludge, into biofuel that can be combusted to power a steam turbine that produces power. This power can be used in lieu of grid-power at the waste source (such as a treatment plant, farm or dairy).
Energy storage
A distributed energy resource is not limited to the generation of electricity but may also include a device to store distributed energy (DE). Distributed energy storage systems (DESS) applications include several types of battery, pumped hydro, compressed air, and thermal energy storage.
Flywheels
An advanced flywheel energy storage (FES) stores the electricity generated from distributed resources in the form of angular kinetic energy by accelerating a rotor (flywheel) to a very high speed of about 20,000 to over 50,000 rpm in a vacuum enclosure. Flywheels can respond quickly as they store and feed back electricity into the grid in a matter of minutes.
Vehicle-to-grid
Future generations of electric vehicles may have the ability to deliver power from the battery in a vehicle-to-grid into the grid when needed. An electric vehicle network has the potential to serve as a DESS.
PV storage
Common battery technologies used in today’s PV systems include, the valve regulated lead-acid battery (lead–acid battery), nickel–cadmium and lithium-ion batteries. Compared to the other types, lead-acid batteries have a shorter lifetime and lower energy density. However, due to their high reliability, low self-discharge(4-6% per year) as well as low investment and maintenance costs, they are currently the predominant technology used in small-scale, residential PV systems, as lithium-ion batteries are still being developed and about 3.5 times as expensive as lead-acid batteries. Furthermore, as storage devices for PV systems are used stationary, the lower energy and power density and therefore higher weight of lead-acid batteries are not as critical as for electric vehicles.
Other rechargeable batteries that are considered for distributed PV systems include, sodium–sulfur and vanadium redox batteries, two prominent types of a molten salt and a flow battery, respectively.