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ENERGYREGION - Effective development of dispersed renewable energy in combination with conventional energy in
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Fostering communities on energy transition, climate protection and regional development
Transnational Conference
25-26 November 2014
Wrocław, Poland
AUTONOMOUS ENERGY REGIONS – AN OVERVIEW OF POSSIBLE
SOLUTIONS
Piotr Kolasiński, Michał Pomorski, Zbigniew Gnutek, Zdzisław Bechtold and
Przemysław Smakulski
Wroclaw University of Technology,
Department of Thermodynamics, Theory of Machines and Thermal Systems
Wybrzeże Wyspiańskiego 27
50-370, Wrocław
Poland
Corresponding author e-mail: [email protected]
ABSTRACT
Energy safety is one of the most important factors influencing energy market. As a
part of activities carried out in the ENERGYREGION project analyses on autonomous energy
regions models and possible development models were performed.
This paper presents the AER concept and definition with taking into account law valid
in the energy sector and concerning energy safety of the consumers. Also the AER targeting
model and AER development models with actions needed to be conducted are presented here.
1. INTRODUCTION
What is the meaning of energy safety? How can it be understood for end-energy
consumers? What form should it have for consumers organized in the autonomous energy
systems (regions)? The answer to the above questions, especially taking into account the
increase in the imperative of energy supplied from renewable, waste as well as local
conventional energy sources, with simultaneous increase of energy efficiency in all energy
usage and conversion processes, are the basics of the “point of view” on energy safety that the
authors would like to present in this report.
Energy safety is a concept, which should be characterized by "continuity of operation"
[1]. With this in mind one can cite the definition of energy safety as shown in [2,4] and
presenting "Doctrine of energy safety management" of Polish Ministry of Economy and Labor
(2004) as a starting point for further considerations: "... The general definition of energy
safety (security of energy supply) commonly acceptable so far is: "the ability to meet, in the
market conditions, demands for electricity, heat and gas in terms of quantity and quality, at
the lowest possible price, resulting from supply and demand, while preserving environmental
protection conditions ...".
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ENERGYREGION - Effective development of dispersed renewable energy in combination with conventional energy in
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Additionally, taking into account the power system itself, additional reliability criteria
relating to the adequate frequency, gap duration in the different stages of the production, and
production sufficiency for collective consumers should be considered.
A separate point of safety assessment is "... the ability of the power system to be resistant for
sudden disturbances [3] defined as technical failures, natural disasters or terrorist attacks".
The authors of [5] also cite from a document of the Government of the Republic of
Poland following definition of energy safety: energy safety is "(...) the state of the economy
that allows to cover the current and prospective users demand for fuels and energy, in a
technically and economically justified way, while minimizing the negative impact of the
energy sector on the environment and social conditions".
Above definitions are too general and do not show many important issues which must
be taken into account when the energy safety of end energy consumers in the autonomous
regions is considered.
End-consumers defined and described in [6] in addition to the "continuity of supply"
of expected amount of various energy forms with assigned properties, formulate other
postulates of energy safety. AER territorial dimensions allows for the empowerment of
consumers and better recognition of their energy needs. Thus it is possible to submit a better
portfolio of products offered by local "producers". This will result in real savings.
End-consumer in AER can rely on local primary energy sources, or on the most useful
renewable energy sources. Transport of these energy forms within AER usually takes tens of
minutes. The organization of "producers" as diversified companies can provide mutual
substitutability in the case of accidents or planned outages. Finite number of institutional
consumers, performing particularly important role in society (e.g. hospitals, banks,
businesses, defense objects, or objects of technical security in local government units) have
the ability to create a system of emergency supplies of various energy forms, including the
establishment of a priority list of supplies exclusions and starts.
The objective of energy safety system in AER is therefore not only provide to all of
the consumers such energy forms with such parameters that they expect but also:
 Use for this purpose renewable energy sources, thereby creating new workplaces,
 Use of local non-renewable energy resources, which will also create additional
workplaces,
 Use of local waste energy sources (e.g. garbage, waste heat, etc.), also with
perspective of new workplaces,
 Implementing the energy management within municipality (or wider) utilizing the
AER potential and creating a "storages" of energy and "producers potential",
 Creating multilevel energy safety system in relation to end-consumers with special
social role.
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2. AUTONOMOUS ENERGY REGION TARGETING MODEL
The development of local power engineering is desirable not only because of the
possibility of ensuring energy safety and continuity of supply, but also because of the need to
implement the requirements of EU directives, putting an special emphasis on energy
efficiency and renewable energy sources. To operate effectively in this area it is necessary to
involve local authorities and local governments, correlation of country strategy with
municipalities investment plans, necessary legislation adjustments, monitoring systems
improving and solving issues related to funding. In the context of regional energy sector
development it is important to restructure the infrastructure, expand the transmission networks
and adapt them to the current needs of consumers (especially in rural areas), as well as
monitoring of local power demands.
Therefore, it is proposed to transfer the level of balancing energy needs and consider
covering methods at the level of local units. Local unit with possible to distinguish industrial
agglomerations or housing estates, with the precise energy potential reconnaissance, will
enable the creation of the Autonomous Energy Region.
Such regions are being created and operating for many years in different countries.
However, they are defined differently. The most common definition is that AER is a region in
100% supplied with energy from renewable sources. Similar is the understanding of the ARE
by our partners from Germany, Slovenia and the Czech Republic, although the status of
implementation of this idea in each country is at a different stage.
The aim of ENERGYREGION project is "effective development of dispersed energy
in combination with conventional". This is why we propose AER based on distributed
generation, and not just on RES. For dispersed generation we include small and medium-sized
systems generating electricity and heat (which can also work in combination) that use
different primary energy sources, both renewable (wind, sun, water, biofuels) and
conventional (coal, natural gas, oil).
Autonomous Energy Region is a part or the whole area of Local Government Unit,
together with the necessary technical and organizational infrastructure, where independent
energy policy is conducted in respect to all or only a part of energy forms used by citizens,
institutions or companies, and involving the use of the first order of locally available energy
sources.
The consumers energy needs coverage ratio in the region may cover a range of several
to 100%. This means that the AER is not intended to resign from the cooperation with large
energy companies, leaving their market share in the local decision granting resources,
interests and safety of the consumers in the region.
3. AUTONOMOUS ENERGY REGION DEVELOPMENT MODELS
3.1. Model of energy efficiency improvement - with the aim to increase energy efficiency
in region above 30% in 2030
One of the most important issues related to minimizing the consumption of different
energy forms is improvement of energy efficiency. Increase of energy efficiency is one of the
main objectives of EU energy policy. These objectives (commonly known as the 3x20%) are
expected to reduce greenhouse gas emissions by 20%, an increase of 20% in share of
renewable energy sources and increase of 20% in energy efficiency in 2020 compared to
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1990. Recently, the European Commission issued a proposal of energy policy of the European
Community for the 2020-2030 period. It assumes reduction of CO2 emissions by 40% and
increase in the share of renewable energy sources by 27% in 2030 compared with 1990. The
objective of increasing the share of renewable energy in the proposal would be calculated for
the whole EU without targets for individual countries.
In July 2014 the European Commissioner for energy Guenther Oettinger presented a proposal
for the next objective which is to increase energy efficiency by 30% in the year 2030. The
European Commission unanimously endorsed this proposal.
Therefore, a model of energy efficiency improvement in the AER should take into
account the above-mentioned assumptions of common EU policy in the field of energy.
In order to implement the energy efficiency improvement model in the region it is necessary
to undertake a number of activities including:
1. Preparation of region energy balance
The energy balance should include all forms of energy produced and consumed in the
region. Therefore, it is necessary to:
 prepare register of existing regional conventional fuels resources that can be used in
effectively and economically justified way,
 identify possible to use renewable energy sources,
 identify possible to use waste energy sources,
 determine the energy amount consumed by individual, public and industrial
consumers,
 prepare register of too high consuming (non-efficient) consumers.
Properly drawn energy balance shows where in the region too energy-intensive processes take
place and enables selection of the optimal possible to use techniques to reduce the energy
consumption intensity.
2. Preparation and implementation of a funding obtaining plan for the improving
energy efficiency in the region
Implementation of modern and efficient energy technologies requires incurring
significant financial expenses. Similarly, the funding necessary in this case for activities
related to the promotion of this type of projects is characterized by a multitude of also
required expenses. It is therefore necessary to develop regional plan for obtaining funding for
these activities. This plan should take into account in particular the possibility of obtaining
funds from the EU structural funds and the state budget.
3. Preparation and implementation of technical, financial and legal advice program for
improving energy efficiency in the region
The energy market is characterized by a multitude of energy systems designs and
specific regulations, e.g. in terms of connections to the network, etc. Entities interested in
investing in regional energy systems and increasing energy efficiency should be able to
consult specialist in this field. It is therefore necessary to create a regional program of
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technical, financial and legal advice. The plan should take into account the creation of a
regional, local government specialist unit such as: “Regional Support Centre for Energy
Investments”, in which specialists in the field of energy techniques, law and economy will
provide the advice to potential investors.
4. Promotion of knowledge about the efficient energy use
It is extremely important to promote in region knowledge about the efficient energy
use to individual, public and industrial consumers, as many inefficient energy consumption
activities are related to the lack of knowledge or bad habits. The promotion of knowledge
among consumers may be conducted, by:
 organizing of information campaigns in the region,
 teaching about energy efficiency in schools and kindergartens,
 distribution of free leaflets and guides about good practices in the field of efficient
energy use,
 presentations of energy efficient machinery and equipment operation.
5. Investments aimed at improving the energy efficiency on: regional, businesses, public
and individual consumer level
3.2. Model of RES and local energy resources usage growth - with the assumption of
100% coverage of the region electricity and heat needs in a given timeframe
The increase in coverage of electricity and heat needs in region to 100% through use
of renewable and local energy resources leads to increase of region energy safety and
formation of energy self-sufficient region. Such a region becomes independent from external
energy supply and it is insensitive to failures affecting the national electricity distribution
system and distribution system of the energy needed for heat generation. To create a 100%
energy self-sufficient region it is necessary to take a number of activities including:
1. Determination of the region energy potential and implementation of monitoring of the
regional energy demands and production from local energy sources
Determination of region energy potential and implementation of monitoring regional
energy demands and production from local energy sources is a necessary activity when
attempting to create energy-autonomous region.
Determination of local energy sources potential allows to define the maximum amount of
energy that can be generated with their use and further determine the possibility of using these
sources when attempting to create a self-sufficient region.
Monitoring of energy production from local energy sources will allow to determine the
amount of energy produced from these sources in the region.
Monitoring of energy needs in region will determine the level of energy needs for individual,
public and industrial consumers. Comparing this needs to the amount of energy locally
produced and potential of local energy resources will determine regional self-sufficiency
degree. Also it will indicate the direction for further necessary investments in the local energy
sector in order to increase the energy self-sufficiency.
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These monitoring systems will allow for tracking and predicting the degree of regional selfsufficiency in the future.
2. Determination of optimal electricity sources in the region with taking into account
existing and potential energy sources
In order to pursuit 100% of electricity supply from local sources in the region, it is
necessary to determine the optimal electricity sources in region, which will be the basis for
the formation and development of local power systems. Optimal electricity source should be
characterized by a high reliability, high performance and high energy conversion efficiency.
3. Determination of optimal heat sources in the region with taking into account existing
and potential energy sources
In order to pursuit 100% of heat supply from local sources in the region, it is necessary
to determine the optimal heat sources in region, which will be the basis for the formation and
development of local power systems. Optimal heat source should be characterized by a high
reliability, high performance, high energy conversion efficiency and low emissions of CO2
and other pollutants into the environment.
Possible and reasonable from an economic, technical and ecological point of view is to
combine optimal electricity and heat sources and create a combined heat and power (CHP)
sources. Such a solution should be a priority in the development strategy of local power
systems.
4. Preparation and implementation of a funding obtaining plan needed for investments
in local energy systems
Development of local energy requires the implementation of modern, efficient energy
technologies and thereby there is necessity to incur significant financial expenses. Therefore,
preparation and implementation of regional funding obtaining plan needed for investments in
the local energy sector is essential. This plan may be constructed in a manner similar to that
described in section 5.1 p. 2.
5. Preparation and implementation of technical, financial and legal advice program
related to regional energy sector for potential investors and users
Development of local energy sector requires preparation and implementation of the
program of technical, financial and legal specialist advice in terms of the local energy, which
will be useful for investors and users of new energy systems. This plan may be constructed in
a manner similar to that described in section 5.1 p. 3.
6. Raising of the local community awareness about RES, by conducting training and
information events
During the preparatory works and implementation of the energy self-sufficient region
which is using RES it is very important to promote the knowledge about renewable energy
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and modern energy conversion techniques. This promotion should be done at each stage of the
above mentioned works and should include individual, public and industrial consumers. The
promotion of knowledge among consumers may be conducted by:
 organizing of information campaigns in the region,
 teaching about RES in schools and kindergartens,
 distribution of free leaflets and handbooks on the RES usage for energy production,
 presentations of modern power systems powered by RES operation.
7. Investments in the local energy sector on regional, businesses, individual and public
utilities level
Investments in local energy sector should include both the region and the particular
consumers. These investments should be carried out by determined in accordance with p. 1-6
plan of pursuit for 100% coverage of the region energy needs with local conventional and
renewable sources. It is extremely important in this case to encourage companies to invest in
local energy sector and building energy awareness throughout the region.
3.3. Model of financing investments in local energy sector with assumption of guarantee
for financing of investments aimed at increasing local energy sources usage and
improving regional energy efficiency and safety
Model of local energy sector investment financing assumes that a priority for region
are investments needed to create a local system of electricity and heat production and
distribution, whose primary goal is to increase local conventional and renewable energy
sources usage and improving energy efficiency and safety in the region. This model also
assumes guarantee of adequate financing of these investments at individual, public and
industrial consumers level. Financing and securing of energy investments in this area requires
the significant financial outlays.
In order to implement the model of local energy sector investment financing it is
necessary to take a number of actions, which include:
1. Active participation in the search for financing sources and implementation of
mechanisms for financing
Financing and securing of investments in local energy sector requires the formation of
regional government units leading active-seeking activities and raising funds for investment.
The purpose of this unit should be the development and implementation of investor-friendly
financing mechanisms. Possible to obtain funds can come both from country budgetary funds
and the Structural Funds of the EU - in particular those allocated to environmentally friendly
energy projects and investments in favor of the atmosphere protection. Also possible, is
funding from own capital of potential investors.
2. Preparing and implementation of transparent procedures for financial investment
support
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Potential investors willing to expand local energy sector based on modern technologies
can be found both among individual consumers as well as budget and industrial. These
investors should obtain the necessary factual information from the region local government in
terms of procedures and financial support for their planned investments.
Therefore there is a necessity to create in the region a self-governing body responsible for the
formulation of transparent procedures related to obtaining subsidies for investments from
regional financial resources. This unit should also work on transparent rules for investors
accounting the subsidy and lead advisory during investment implementation.
3. Preparing safety mechanisms against risk or risk reduction at the local level
It is necessary to prepare regional mechanisms against risks associated with the policy
of energy investments financing or greatly reducing this risk. These mechanisms should take
into account the supervision of the investor on the correctness of allocated funds (grants)
spending, supervision of profitability and technical correctness of the planned investments as
well as supervision during implementation and after running the investment. It seems
appropriate to create relevant supervision unit being led by region authorities.
3.4. The social acceptance growth model for investments relating to the local energy
systems
The social acceptance growth model for investments relating to the local energy
systems can be considered in two ways. If these investments are financed by the regional
founds the objective is to obtain public acceptance for the planned investment. A second
possibility is to encourage potential investors (private, public and industrial) in the region to
implement the investment from their own funds or by obtaining funds from the region.
Actions needed to be carried in order implement the social acceptance growth model are:
1. Conducting of promotional, informational and educational actions
Promotional, informational and educational action in the region may be conducted in
the form of:
 promotion, information and education directly to the consumers (conducting training
in the region energy safety and local energy sources usage, questionnaires, ecological
actions)
 creating of local action groups, consisting of actively engaged residents and regional
actors, whose task would be to raise people awareness about local power systems in
the region,
 teaching children and adolescents (in schools and kindergartens) about energy safety
and local power systems,
 distribution of free leaflets and handbooks about energy,
 preparation of web sites on local energy systems and ecological activities,
 presentations of modern investments in the local energy sector.
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4. SUMMARY AND CONCLUSIONS
Energy safety of end consumers is nowadays very important and widely discussed
issue. AER can be an option for raising of energy safety both for end consumers as well as
energy distribution system. AER forming and implementing is connected with a lot of
activities that need to be performed by bodies creating the energy market. This means
government units, energy companies, potential investors and end consumers. Only wide
cooperation between this actors connected with promotional actions and education of society
can contribute to success of AER forming challenge. This paper presents definition of AER
uniform for Czech Republic, Germany, Poland and Slovenia. This general definition can also
be adopted for other countries. Presented AER development models were formulated with
taking into account the most important legislation in the field of energy development in the
EU and its efforts to increase the share of renewable energy sources, reducing greenhouse gas
emissions and increase of energy efficiency. They can be useful for local government units as
the guidelines for AER pre-preparatory analyses. For the proposed development models tasks,
necessary to complete, were formulated and presented in the form of "step-by-step actions" to
help to implement these models by local governments.
Preparations for AER forming and implementing are difficult and very time consuming, but
possible benefits of its implementation (both financial and social), are worth taking the effort.
Among the potential benefits should first of all be mentioned [6]:
 reducing the effects of large system failures;
 creation and development of local energy markets, the development of local
governments;
 development of local energy policy;
 reduction of active power and reactive power losses on the transmission and
distribution (source installed near the receiver);
 a significant reduction in the impact of the energy sector on the environment resulting
from the phasing out coal power and the implementation of large-scale renewable
energy technologies and high-efficiency cogeneration using gaseous fuels;
 improve of the electricity quality parameters and the consequent improvement in
service for end-consumer;
 avoid or delay in the modernization or expansion of high and low voltage power lines;
 closer cooperation between science and industry - technical diversity should be
reflected on the need to develop and implement their own innovative technological
solutions and training in the field of modern, comprehensive engineering staff
(transfer of technology and knowledge);
 impact on the development of modern environmentally friendly transport sector (rail
and a modern electric vehicles);
 stimulation of new industries (electricity microgrid with organizational and technical
facilities);
 from a political point of view, the implementation of 3 x 20 policy objectives and
other energy and environmental directives of the European Union;
 active participation of the consumer in the energy market.
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ACKNOWLEDGEMENTS
This paper was made under the ENERGYREGION project implemented through the
CENTRAL EUROPE Programme co-financed by the ERDF
LITERATURE
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redakcją R. W. Kaszubskiego i D. Romańczuka, Oficyna Wydawnicza READ ME, Łódź,
2012
2. Bujko J., Janiczek R., Madajewski K., Malko J., Poczyk J., Toczyłowski E., Potrzeba
nowej doktryny w zakresie zarządzania bezpieczeństwem elektroenergetycznym kraju,
3. Rządowe Centrum Bezpieczeństwa, Krajowy Plan Zarządzania Kryzysowego, Warszawa,
2012
4. Ministerstwo Gospodarki i Pracy, Doktryna zarządzania bezpieczeństwem energetycznym,
Warszawa, 2004
5. Budnik-Ródź M., Bezpieczeństwo energetyczne w skali regionu i gminy, Ekonomiczny i
ekologiczny wymiar efektywności energetycznej, 29.10.2008, Gdańsk
6. Bechtold Z., Kolasiński P., Pomorski M., Task 3.5.1 – Autonomous Energy Systems as a
Benefit for Regions – Assessment Procedure, WUT, Wrocław, 2014
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