Power Pooling in Germany

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Helsinki University of Technology | Diplomityö
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Date

1997

Major/Subject

Energiatalous ja voimalaitosoppi

Mcode

Ene-59

Degree programme

Language

en

Pages

viii + 90 + liitt.

Series

Abstract

This thesis studies the financial potential of power pooling in the German power market. A pool of industrial and municipal power generators could achieve significant savings in energy costs through joint purchase of reserve power and supporting each other during unplanned power outages. Models for pooling agreements and power market liberalisation are to be found in Scandinavian countries. The Finnish, Swedish and Norwegian power markets are presented briefly, former Finnish pooling agreements in detail. The present status of the German power market and the progress of the market liberalisation in Germany is also presented briefly. The essential conditions for power pooling, as well as for the whole market liberalisation, third party access to existing power networks (TPA) and power transmission pricing are handled in detail. The effects of TPA and the different possibilities to realise TPA are presented and an optimal transmission pricing structure for the power pooling is suggested. The pooling concept for the first phases of the market liberalisation for the German power market is presented. A generators' pool of 4 to 15 generators could utilise the possibilities of the new market situation by co-operating in reserve power supply. The pool savings potential is calculated with three pool examples. For each member of these pool examples reserve power demand was defined in separate operation. Reserve power demand for all pool members jointly was then defined by combining the loads and generating capacities and taking into consideration that they can support each other with their free capacity. The difference in reserve power demand jointly and all pool members separately was the saving potential by reserve power purchases. From these savings the costs of transmitting reserve power and energy between pool members was reduced with three different transmission tariffs. The savings potential of power pooling is very significant with reasonable transmission pricing. With the transmission tariff proposed for Germany, the savings become negative.

Description

Supervisor

Mankki, Pirjo

Thesis advisor

Helminen, Hannu
Nymoen, Håvard

Keywords

power pool, Germany, power market liberalisation, reserve power, power transmission

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