Virtual Power Plant System for Grid Stability and Peak Demand
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Solution Overview
Problem
The integration of renewable energy sources like solar and wind into the existing electricity grid faces challenges due to their intermittency and low inertia, leading to volatility in electricity supply and demand, price fluctuations, and difficulties in providing ancillary services, which affects the reliability and efficiency of the grid.
Innovation Solution
A scalable system and method that optimizes the use of renewable energy and energy storage by incorporating predictive algorithms to manage charging and discharging of batteries based on market value, arbitrage opportunities, and ancillary service requirements, forming a virtual power plant that can respond to pricing signals and accommodate wholesale market demands.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Reliability
If renewable energy sources (solar and wind) are integrated into the existing electricity grid, then the grid becomes cleaner and more sustainable, but the intermittency and low inertia of these sources cause volatility in electricity supply and demand, leading to price fluctuations and reliability issues
Solution Approach 1:
The patent introduces an intermediary control system that acts as a mediator between renewable energy sources and the grid. This system uses predictive algorithms to forecast renewable generation and load demand, then optimizes charging/discharging of energy storage systems and adjusts controllable loads to smooth out supply variations, thereby maintaining grid reliability while accommodating renewable intermittency
Solution Approach 2:
The system performs preliminary actions by predicting renewable energy generation and load demand in advance using historical data and weather forecasts. This allows the optimization algorithm to pre-plan energy storage charging/discharging schedules and load adjustments, proactively compensating for expected renewable variability before it impacts grid stability
2Productivity
If pure peaker power plants are used to satisfy peak demand, then peak demand is met, but these plants remain idle the rest of the year, resulting in low utilization and high costs
Solution Approach 1:
The patent creates a multi-functional energy management system that serves multiple purposes: it manages energy storage for both peak shaving and load shifting, optimizes renewable integration, provides ancillary services, and enables demand response. This universal system replaces the need for dedicated peaker plants by making existing assets versatile enough to handle peak demand through coordinated storage discharge and load adjustment
Solution Approach 2:
The system dynamically changes operational parameters of controllable loads and energy storage systems in response to predicted peak demand conditions. By adjusting charging rates, discharging schedules, and load prioritization based on real-time and forecasted conditions, the system flexibly meets peak demand without requiring idle peaker plant capacity
3Reliability
If conventional power plants are used to provide baseload and load-following generation, then reliable electricity supply is maintained, but these plants cannot respond quickly to sudden changes in renewable generation or demand, requiring several days to cycle up or down
Solution Approach 1:
The patent introduces energy storage systems and controllable loads as intermediary elements between baseload generation and variable demand/renewable supply. These intermediaries can rapidly adjust their operation (charging/discharging, load shedding/ restoration) within seconds or minutes, providing the fast response needed to accommodate renewable variability while allowing conventional plants to operate steadily at optimal levels
Solution Approach 2:
The system dynamically adjusts the operational state of energy storage and controllable loads in real-time based on predicted renewable generation and demand conditions. This dynamic response capability creates a flexible buffer that absorbs sudden changes without requiring conventional plants to cycle rapidly, maintaining their stable baseload operation while achieving overall system responsiveness
4Productivity
If solar capacity is installed to meet summer and winter demand, then supply shortfalls during peak seasons are avoided, but significant excess capacity exists during spring and fall when demand is lower
Solution Approach 1:
The patent enables continuous useful action by using energy storage to capture excess solar generation during low-demand periods (spring and fall) and transferring it to high-demand periods (summer and winter). This continuous cycling of energy through storage eliminates the waste of excess capacity while ensuring adequate supply during peak seasons, making the solar installation optimally utilized year-round
Solution Approach 2:
The system performs preliminary charging of energy storage during spring and fall when solar generation exceeds demand, preparing energy in advance for the upcoming summer and winter peak seasons. This proactive energy accumulation ensures that capacity is available when needed without requiring oversized solar installation, optimizing the quantity-capacity relationship
Data Source
AI summary
Methods and systems provided for creating a scalable building block for a virtual power plant, where individual buildings can incorporate on-site renewable energy assets and energy storage and optimize the acquisition, storage and consumption of energy in accordance with a value hierarchy. Each building block can be aggregated into a virtual power plant, in which centralized control of load shifting in selected buildings, based on predictive factors or price signals, can provide bulk power for ancillary services or peak demand situations. Aggregation can occur at multiple levels, including developments consisting of both individual and common renewable energy and storage assets. The methods used to optimize the system can also be applied to “right size” the amount of renewable energy and storage capacity at each site to maximize return on the capital investment.