Modelling of advanced promotion mechanisms for solar technologies: Net-metering and capacity auctioning schemes

Abstract

In this work, an optimisation model for the integration of renewable energy sources for power generation (RES-E) technologies in power generation systems on a unit commitment basis is developed. The purpose of the optimization procedure is to account for RES-E netmetering scheme as well as for RES-E capacity auctions. The optimization model developed uses a genetic algorithm (GA) technique for the calculation of the required RES-E levy (or green tax) in the electricity bills. Also, this GA procedure enables the estimation of the level of the adequate (or eligible) feed-in-tariff to be offered to future RES-E systems, which do not participate in the net-metering and/or capacity auctioning procedure. In order to demonstrate the applicability of the optimisation procedure developed the case of rooftop residential photovoltaic systems are investigated for the net-metering option and large commercial PV systems are examined in the case of capacity auctioning scheme. The results indicated that the required green tax, in order to promote the use of RES-E technologies, which is charged to the electricity customers through their electricity bills, is reduced with the reduction in the final auctioning price and the degree of net-metering penetration. This has a significant effect related to the reduction of electricity bills.