District heating as a source of flexibility in the Nordic electricity market

Klaus Skytte, Daniel Møller Sneum, Eli Sandberg, Emilie Rosenlund Soysal, Ole Jess Olsen

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    Abstract

    The present share of variable renewable energy (VRE) generation such as wind power and solar photo voltaic is relative high in many of the Nordic countries. E.g. wind power generated 42% of the annual electricity consumption in Denmark in 2015. The share of VRE is expected to increase in the years to come in order to reach the ambitious renewable energy deployment targets in the Nordic and Baltic countries. Transformation to an energy system increasingly based on VRE will escalate the requirement for flexible operation of the entire
    energy system, including improved integration among energy sectors. District heating (DH) is an important sector in the Nordic energy system and has a large potential for increased flexible operation in relation to the future electricity system. This potential is only partly exploited today. One reason for this is the differences in regulatory framework conditions for DH compared to the electricity market, e.g. different energy taxes, which may hinder the potential benefits from systems integration and lower the realisable potentials.
    Original languageEnglish
    Title of host publicationSwedish Association for Energy Economics (SAEE) conference 2016
    Publication date2016
    Publication statusPublished - 2016
    EventSwedish Association for Energy Economics Conference 2016 - Luleå University of Technology , Luleå, Sweden
    Duration: 23 Aug 201524 Aug 2016
    http://www.ltu.se/research/subjects/Nationalekonomi/Konferenser/SAEE2016

    Conference

    ConferenceSwedish Association for Energy Economics Conference 2016
    LocationLuleå University of Technology
    CountrySweden
    CityLuleå
    Period23/08/201524/08/2016
    Internet address

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