Electricity systems are facing great challenges across the world to achieve the climate change mitigation targets set by governments. The transition to a decarbonized economy will entail unprecedented amounts of transmission investment due to the fact that low-carbon energy sources are usually located far from the load centres, rendering the transmission investment framework of primary importance. Another big challenge to cost-efficient decarbonization will be the greater requirement for operational flexibility to deal with large and rapid changes in demand and supply. It is critical to highlight that the long lead times that characterize conventional transmission projects render them more prone to these adverse effects. In contrast, projects aimed at improving the use of the existing assets and infrastructure, such as energy storage (ES) and FACTS, have been shown to assist with interim uncertainty management and embed strategic flexibility within an investment plan. The above points indicate that the ongoing decarbonization effort is altering fundamental aspects of the transmission planning process. The objective is to identify strategies that include an optimal mix of (i) flexibility-driven elements for interim network management (ii) large-scale commitments characterized by economies of scale, which can be deployed once uncertainty has been resolved.

Chapter Contents:

• 5.1 Introduction
• 5.1.1 System benefits of ES
• 5.1.1.1 Contribution to operational flexibility
• 5.1.1.2 Contribution to security and adequacy
• 5.1.1.3 Management of long-term uncertainty
• 5.1.2 Valuation model variants
• 5.1.2.1 Single-scenario analysis
• 5.1.2.2 Multi-scenario analysis
• 5.1.2.3 Stochastic planning
• 5.1.2.4 Risk-constrained planning
• 5.1.2.5 Robust planning
• 5.1.3 Motivating example
• 5.1.3.1 Deterministic planning
• 5.1.3.2 Stochastic planning
• 5.1.4 Chapter structure
• 5.2 Stochastic transmission expansion planning with storage
• 5.2.1 Literature review
• 5.2.2 Mathematical formulation
• 5.2.2.1 Nomenclature
• 5.2.2.2 Objective function
• 5.2.2.3 Investment constraints
• 5.2.2.4 Operation constraints
• 5.2.3 Decomposition for computational tractability
• 5.2.3.1 Hierarchical decomposition via Benders
• 5.2.3.2 Nested decomposition
• 5.2.4 Operating point selection
• 5.3 Case study – IEEE-24 system
• 5.3.1 Description
• 5.3.2 Deterministic planning
• 5.3.3 Stochastic planning–no storage
• 5.3.4 Stochastic planning with storage
• 5.3.5 Discussion and future directions
• References

Inspec keywords: power transmission planning; power transmission economics; optimisation; energy storage

Other keywords: transmission investment deferral; economies of scale; climate change mitigation targets; FACTS; interim network management; decarbonized economy; minimum-cost adjustment; energy storage; transmission planning; cost-efficient decarbonization; flexibility-driven elements; low-carbon energy sources; optimization problem; future planning uncertainty management

Subjects: Optimisation techniques; Power system planning and layout; Power system management, operation and economics; Power transmission, distribution and supply; Direct energy conversion and energy storage; Administration and management