Analysis of a hybrid PV-CSP plant integration in the electricity market

Abstract: One of the key challenges the world will need to face during the 21st century is global warming and the consequent climate change. Its presence is indisputable, and decarbonizing the gird emerges as one of the required pathways to achieve global sustainable objectives. Solar energy power plants have the potential to revert this situation and solve the problem. One way to harness this energy is through Concentrated Solar Power plants. The major advantage and potential of this technology is its ability to integrate cost-effective Thermal Energy Storage (TES), which is key with such an inherently intermittent resource. On the other hand, the drawback is the high current Levelized Cost of Energy (LCOE). The other main way to harness that highlighted solar energy is the use of Photovoltaic panels, which have recently achieved very competitive LCOE values. On the other hand, the storage integration is still a very pricey option, normally done with Battery Energy Storage Systems (BESS). As a conclusion, a hybrid power plant combining the LCOE of the PV and the TES of the CSP emerges as the key way of achieving a very competitive solution with a big potential. This master thesis aims at exploring the possibilities of a hybrid CSP and PV power plant with a sCO2 power cycle, integrated in the primary, secondary and tertiary electricity markets. To achieve this purpose, firstly, a Python-based Energy Dispatcher was developed to control the hybrid power plant. Indeed, the Dispatcher is the tool that decides when to produce, when to store… following an optimization problem. This can be formulated mathematically, and that was done and integrated into the Python code using Pyomo, a software for optimization problems. As a result, the Dispatcher achieved an effective control of the plant, showing intelligent decisions in detailed hourly analyses. The results were very promising and included optimization functions as maximizing the profitability of the plant or the total production, among others. To proceed with the Techno-economic assessment of the hybrid plant, the electricity markets were studied. The main source of income of any power plant is normally the revenue from selling electricity to the grid, but since there are several markets, there are also other possibilities. In this thesis, it was assessed from a Techno-Economic perspective how the performance and optimal design of the plants vary when providing different services extra to selling electricity to the grid. The conclusion was that even though the Net Present Value (NPV) achieved working on the spot market was already very high, the extra value added from participating in the secondary or tertiary markets was indisputable. Indeed, the profits attained in those markets were between two and four times higher than the ones of the spot market. This is a specific case, but a trend was identified: these hybrid power plants have a huge possibility and a bright future on the service markets. As a consequence, this thesis shows the huge potential of hybrid power plants integrated in the grid participating in several markets. It also lays the foundation for future studies in other locations, under different conditions and with different technologies, among others.