Natural Resources Defense Council - Shenzhen Power Supply Bureau

Concept: 

Establish market mechanisms for energy demand response, integrate renewable energy into power grids, and develop best practices for the design of electricity pricing and grid planning policies.

This EcoPartnership will work on the following areas:

  • Apply virtual power plant technologies
  • Solve challenges related to data-driven grid planning and optimized operation under the market mechanism
  • Solve issues related to the mutual influence of demand-side response and power supply quality
  • Mitigate bottlenecks of data access and information transmission
  • Solve issues with actual implementation and operation of business models and supporting policies

Anticipated outcomes include:

  • Establish two demonstration areas for the balanced supply-demand interaction of green power (Nanshan Yuehai area, Dapeng new area)
  • Establish a multiple user access platform for the balanced power supply-demand interaction within urban areas
  • Establish a centralized dispatching virtual power plant with a scale of 20MW

Key Accomplishments:

By the end of 2018, the EcoPartnership has completed a research on the upgraded Qinghai Project Approach (QPA) method, which is an assessment tool for smart grid systems. The software, QPA 2.0, has been also developed, and is now being tested for its official launch. The assessment results obtained from QPA 2.0 will be the important evidence to make business cases and policy design for demand-side resource application together with smart grid technologies.

The QPA 2.0 has several highlights compared to the previous version: 1) Comprehensiveness - It takes the whole power system, from generation, transmission, distribution to retail markets into consideration; 2) Broader application - It is more inclusive when designing assessment indicators, target groups, etc.; 3) Multi-faceted approach - It incorporates both quantitative and qualitative analyses; and 4) Visualization - The software makes it possible to visualize the assessment results with increased user-friendliness.

A case study on a micro-grid project of a hotel at Yougan Bay in Shenzhen has been assessed, which has 1 MWh solar power, battery storage and electric vehicle charging piles installed to manage the power demand throughout the day utilizing off-peak power with energy storage capability, and also to be able to self-power for 4 hours during any grid system emergency. The benefits only from reducing capacity by 4% is estimated to be 2.6 million RMB from 2018 - 2028. There are additional benefits from increased reliability and deferred investment, which is about another half a million RMB every year.

Work Plan: 
Task 1
Research new business models with regards to power supply-demand interaction, development potentials, and required supporting policies under the market competition mechanism.
Task 2
Establish household energy management systems based on “Internet Plus”.
Task 3
Explore demand-side response interaction systems for multiple commercial and industrial consumers (including new energy vehicles) based on the distribution grid.