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The Value of Distributed Energy Resources (DER) to the Grid: Introductionto the concepts of Marginal Capital Cost and Locational Marginal Value

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dc.contributor.author Tabors, Richard
dc.contributor.author Masiello, Ralph
dc.contributor.author Caramanis, Michael C.
dc.contributor.author Andrianesis, Panagiotis
dc.date.accessioned 2019-01-03T00:16:00Z
dc.date.available 2019-01-03T00:16:00Z
dc.date.issued 2019-01-08
dc.identifier.isbn 978-0-9981331-2-6
dc.identifier.uri http://hdl.handle.net/10125/59782
dc.description.abstract Distributed Energy Resources (DERs) are argued to be a significant benefit to the electric utility grid. While DERs generate significant benefits to their owners and as well as society, the compensation and operating structure of the distribution system of most utilities is such that DERs result in minimal benefits to the distribution system. As we show, the benefits correctly attributed to the distribution company (the wires company) are a function of what service (real, reactive power) the DER is able to provide, when and where, and at what level of certainty the DER is able to provide the service. We introduce the concepts of Marginal Cost of Capacity (MCC) and Locational Marginal Value (LMV) in the calculation of the value of DERs to the distribution system.
dc.format.extent 8 pages
dc.language.iso eng
dc.relation.ispartof Proceedings of the 52nd Hawaii International Conference on System Sciences
dc.rights Attribution-NonCommercial-NoDerivatives 4.0 International
dc.rights.uri https://creativecommons.org/licenses/by-nc-nd/4.0/
dc.subject Integrating Distributed or Renewable Resources
dc.subject Electric Energy Systems
dc.subject Distributed Energy Resources
dc.subject Distributed Locational Marginal Pricing
dc.subject Locational Net Benefit
dc.subject Marginal Cost of Capacity
dc.subject Non-wires Alternative
dc.title The Value of Distributed Energy Resources (DER) to the Grid: Introductionto the concepts of Marginal Capital Cost and Locational Marginal Value
dc.type Conference Paper
dc.type.dcmi Text
dc.identifier.doi 10.24251/HICSS.2019.419
Appears in Collections: Integrating Distributed or Renewable Resources


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