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CHAPTER 1 –1
INTRODUCTION

EMBEDDED GENERATION

• Modern electrical power systems developed over past 70 years have had a typical
arrangement
• Large central generators (Up to 1000MW / 25kV)
• Generator transformers (step-up)
• High voltage inter-connected transmission network (Around 400kV in Europe and 750kV in North
America and China
• Power dispatched over considerable distances
• Power passed down through series of distribution transformers to final circuit for delivery to
customers
• Shown in Figure 1

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FIGURE 1 CENTRALIZED GENERATION POWER NETWORK

EMBEDDED GENERATION (CONT..)

• Since 1990’s the typical power system scheme has started to change
• There has been considerable revival in interest in connecting generation to distribution
network
• Connecting generation plants in the distribution network is known as Embedded Generation,
also known as Dispersed / Distributed Generation..
• Embedded = Embedded in Distribution Network
• Dispersed/ Distributed = To distinguish from Central

• Distributed Generation (DG), or Distributed Energy Resources (DER) are relatively new
terms for embedded generation

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EMBEDDED GENERATION (CONT..)

• There is no strict definition of DG / Embedded Generation!!

• Some countries may define it strictly based on power ratings of the plant or voltage levels at which
connection is made.
• DG may be connected at various voltage levels from 120V/230V to 150kV
• Very small scale generators may be connected to low voltage distribution network
• Large generators, of several hundred MW are connected to high voltage distribution bus bar systems
• Common attributes:
• Not Centrally Planned
• Not Centrally Dispatched
• Normally smaller than 50 – 100 MW
• Usually connected to the distribution system

FIGURE 2 CONNECTION OF DISTRIBUTED GENERATORS

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CHALLENGES TO DISTRIBUTED GENERATION

• Distribution networks are designed for power flows from higher to lower voltage circuits
• Conventional distribution networks are passive – few measurements, and very limited
active control
• Distribution networks cater for combination of load with no action by system operator
• Injection of power from distributed generation requires that power from central
generation be reduced by equivalent amount to keep demand and supply balanced, which
requires active system-wide coordination

REASONS FOR EMBEDDED/DISTRIBUTED

GENERATION
• Despite the advantages of centralized generation, distributed generation is gaining popularity
due to several factors
• Response to climate change, governments have ambitious targets to reduce green house gases
and to increase renewable generation energy
• Renewable energy resources have much lower energy density than fossil fuel, so the
generation plants are smaller and geographically widely spread
• Cogeneration or combined heat and power (CHP) schemes have to be located near heat load
– leads to relatively small generating units, geographically distributed, and connected to
distribution network
• Commercial structure of the electricity supply industry – deregulated environment and easy
access to distribution network provides more opportunities for distributed generation

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REASONS FOR EMBEDDED/DISTRIBUTED

GENERATION (CONT..)
According to The International Conference on Electricity Distribution Networks (CIRED),
policy drivers for encouraging embedded generation were:
• Reduction in gaseous emission, mainly CO2
• Energy efficiency and rational use of energy
• Deregulation or competition policy
• Diversification of energy resources
• National power requirement

REASONS FOR EMBEDDED/DISTRIBUTED

GENERATION (CONT..)
According to The International Conference on Large High Voltage Electric Systems (CIGRE)
report, there were similar reasons for embedded generation.. Additionally,
• Availability of modular generating plant
• Ease of finding sites for smaller generators
• Short construction times and lower capital costs of smaller plants
• Generation may be located closer to load, which may reduce transmission costs

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EXTENT OF EMBEDDED GENERATION

• The Table on next page shows the figures of embedded generation as covered in CIRED
survey in 1999
• 48GW Installed Capacity in 14 countries that participated in the survey
• Although it looks a modest fraction of the peak demand, the level of penetration is
signification at the times of minimum load
• There are recorded instances when distribution utilities become net exporters of powers
during the periods of low load because of large amounts of embedded generation
• In Denmark, combination of distributed CHP and windfarms can already exceed the system
load during low demand periods (shown in figure 4)

EXTENT OF EMBEDDED GENERATION

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EXTENT OF EMBEDDED GENERATION (CONT..)

DISTRIBUTED GEN. IN DENMARK

NETWORK PRICING AND VALUE OF DISTRIBUTED

GENERATION
• For distributed generation to compete successfully with central generation in a
competitive environment, network pricing arrangements are critically important
• Figure 3 by the value chain from power generation to consumption to realize the value of
embedded generation

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FIGURE 3 VALUE CHAIN FOR ELECTRICITY FROM CENTRAL

GENERATION TO LV DISTRIBUTION

FUTURE DEVELOPMENT OF DISTRIBUTED

GENERATION
• Presently, DG is seen primarily as a means of generating electricity, with very limited
contribution to ancillary services required in a power system
• Due to technical characteristics of the DG plant
• Administrative and commercial arrangement

• This is changing; due to “Grid Codes” that specify performance requirement from connecting
generation
• High levels of penetration, for example, in Denmark, Germany, and Spain has already begun to
cause operational problems.
• Focus was accelerating the deployment of renewable and distribution generation
• Lack of focus on integrating into overall operation of power system

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BENEFITS OF INTEGRATION

• Reduced central generation capacity;

• Increased utilization of transmission and distribution network capacity;
• Enhanced system security; and
• Reduced overall costs and CO2 emissions