Advanced Dispatch Optimisation

Project summary

This project will research best practices globally and advanced technologies available (or being developed), to assess the feasibility of developing an advanced dispatch optimisation tool for the Balancing Mechanism (BM), scope this tool, and set out a roadmap for how this, and other comprehensive optimisation tools could be developed for system operators. 

Name Status Project reference number Start date Proposed End date Expenditure
Advanced Dispatch Optimisation Complete NIA2_NGESO0013 Nov 2021 Jul 2022 £750,000
Summary

This project will research best practices globally and advanced technologies available (or being developed), to assess the feasibility of developing an advanced dispatch optimisation tool for the Balancing Mechanism (BM), scope this tool, and set out a roadmap for how this, and other comprehensive optimisation tools could be developed for system operators. It is hoped these tools will evaluate extraneous variables and be ‘future proof’ for a rapidly changing energy landscape, which includes more diverse providers, services and dynamic parameters across the system. The project will also be an initial use-case for the wider Virtual Energy System (VES) programme, and inform the capabilities and considerations of how interconnected digital twins could provide substantial benefits for consumers and the whole energy system.

Benefits

Not required

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Learnings

Outcomes

Three reports were delivered in the course of the project:

  • ADO Roadmap Report
  • ADO Benchmarking Report Annex
  • ADO Summary slide pack

The reports summarise research findings and synthesise strategic recommendations covering:

  • global best practice for dispatch tools and processes
  • a proposed architecture for an integrated dispatch optimization tool
  • a proposed roadmap to develop and implement the tool in an agile manner
  • high-level challenges to be considered which may impact the utility of the tools

Lessons Learnt

  • Currently there appear to be insufficient incentives for all resources to provide accurate data and operational forecasts to system operators. The market rules and regulatory requirements should be reviewed to ensure all resources are incented to provide accurate information and forecasts.
  • The UK grid system is somewhat unique in that it does not use Automatic Generation Control (AGC) to keep frequency within established bandwidth.
  • In the current UK Market, rules require NGESO to provide closed dispatch instructions (closed BOAs) for generators and pay them extra to alter their schedule, appears inconsistent with the need to value flexibility and develop nimble and accurate real-time dispatch instructions. Therefore, a review of these market rules with consideration of the incentives for flexibility is recommended.