Regulatory matters affecting distribution planning with distributed generation

Abstract

Under the present European directive concerning common rules for the internal market in electricity, distribution companies are not allowed to own distributed generation (DG) but encouraged to include it as a planning option to defer investment in traditional grid reinforcements. Distribution system operators (DSOs) have used the provision of capacity contracted to DG as a viable alternative under current regulatory arrangements. Here, the topics bonding DSOs and DG owners under the present regulation will be explored and a planning structure that considers distribution capacity contracts as a planning option will be proposed. This will serve as a road map for DSOs to implement its preferred planning tools in an optimisation context, considering costs of investment, reliability, operation, and capacity provision while complying with current regulation.

Digitalization Processes in Distribution Grids: A Comprehensive Review of Strategies and Challenges

“…The integration of DG brings to light the need for revised regulatory frameworks to accommodate its growth [160,161], with the strategic considerations for regulatory compliance and environmental and safety impacts discussed in [105]. This reveals the intricate relationship between DG strategies and regulatory standards, which is essential for the evolving power distribution scene.…”

A Model for Stochastic Planning of Distribution Network and Autonomous DG Units

“…Careful review of all the above-mentioned works reveals that they have assumed DG units are installed and operated by DISCOS. However, this is not the case in practice, as DISCOS are not legally allowed to own generating units in many countries [21]. Therefore, developing an efficient mathematical model is crucial for studying the interaction between autonomous DG units and DISCOS.…”