Simulation planning of power supply capacity: an approach to optimal industrial microgrid operation with carbon emission permits

Abstract

Microgrids integrated with distributed generation provide energy intensive enterprises (EIEs) with a solution to cut down their total system costs. However, unreasonable capacity allocation of power supply in industrial microgrid may result in capacity shortage or excess, thus leading to uneconomical solutions. Considering carbon emission permits and renewable energy access on demand side, this paper analyses and evaluates the long-term impacts of power supply capacity on economic benefits and carbon emission. The power suppliers consist of industrial self-generation, wind power generation and power grid. A HOMER software based industrial microgrid model is designed, and time series simulation of the model for a cycle of 10 years is performed to provide numerical analysis. The simulation results with sensitivity analysis show that optimal capacity planning of power supply can lead to considerable economical and ecological benefits under carbon emission permits; besides, it can also be conducive to peak load shedding for power grid.

Keywords

• capacity planning
• hybrid power supply
• carbon emission permits
• distributed generation
• microgrid