Arne Lilienkamp, M.Sc.
is Research Associate at EWI since 2019 and doctoral candidate at the University of Cologne. His research focus lies in the field of modeling energy systems in the context of digitization and decentralization. Moreover, he is developing methods and models in the fields of Data Science and Machine Learning regarding energy economics. Before joining EWI, Arne Lilienkamp studied Industrial Engineering with a major in Electrical Energy Technology at RWTH Aachen University and Economics and Management of Power Engineering at CTU Prague.
Client: Own publication of the Virtual Institute Smart Energy (VISE)
VISE Policy Brief No. 9: Aggregation of households in (regional) virtual power plants: Regulatory framework and hurdles
Regional virtual power plants (RVPPs) are virtual power plants located behind a single distribution network node. They market the flexibility of households by centrally controlling their generation, storage and consumption devices. These can be, for example, PV systems with battery home storage, heat pumps or micro-CHP systems with thermal storage or electric vehicles with smart chargers. RVPP operators can aggregate these units and market them on the wholesale market for electricity and, if applicable, the balancing power market.
In principle, RVPPs can be operated economically. However, the current regulatory framework in Germany has a considerable impact on which business models are possible at all and how profitable they may be.
Restrictions result in particular from the so-called final consumer status and the associated levies, charges and taxes on household electricity tariffs. The tariff structure makes storage operations involving the withdrawal from and re-injection of electricity into grid uneconomical. The only way to remedy this situation would be a complete netting of all levies, charges and taxes incurred during withdrawal from and re-injection into the grid. However, business models that rely solely on shifting household consumption in order to market the flexibility resulting flexibility are possible: household electricity tariffs are usually time-invariant and relying only on load shifting avoids an additional exchange of electricity with the grid and thus the associated levies, taxes and fees. Additional revenue opportunities also arise from potential direct marketing activities for owners of electricity generation plants subsidised under the Renewable Energy Sources Act (EEG) or the Combined Heat and Power Act (KWKG).
Erlöspotenziale gewerblicher Elektromobilität am deutschen Strommarkt
Mihail Ketov, Kilian Geschermann, Arne Lilienkamp und Albert Moser; 2018
In: et - Energiewirtschaftliche Tagesfragen, Ausgabe 5/2018, 26.04.2018, pp. 42.