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A method for holistic energy system design MODER event, Munich, March 7, 2018 S. Thiem, V. Danov, M. Kautz, V. Chapotard, A. Zillich, J. Schaefer | CT REE ENS DEH-DE This project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement No 680447

This project has received funding from the European Union

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Page 1: This project has received funding from the European Union

A method for holistic energysystem designMODER event, Munich, March 7, 2018S. Thiem, V. Danov, M. Kautz, V. Chapotard, A. Zillich, J. Schaefer | CT REE ENS DEH-DE

This project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement No 680447

Page 2: This project has received funding from the European Union

Unrestricted © Siemens AG 2018March 2018Page 2 CT REE ENS DEH-DE

Mobilization of innovative design tools for refurbishing of buildings at district level – Motivation for energy system design

Picture source: https://www.siemens.com/content/dam/internet/siemens-com/innovation/pictures-of-the-future/infrastructure-and-finance/other-assets/aspern-luftbild-a5-cschreinerkastler.jpg.adapt.916.high.jpg/1480604675037.jpg

(1) How should the optimal energy system design concept look like?

(2) How much total expenditures can be saved?

(3) How can carbon dioxide emissions cost-efficiently be reduced?

(4) What synergies can be achieved from considering electricity, thermal energy and water holistically?

[…]

Method for holistic energy system design

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Unrestricted © Siemens AG 2018March 2018Page 3 CT REE ENS DEH-DE

Agenda

• Method for holistic energy system design1

• Case study introduction: Suonenjoki, Finland2

• Key results3

• Conclusion & discussion4

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Unrestricted © Siemens AG 2018March 2018Page 4 CT REE ENS DEH-DE

Agenda

• Case study introduction: Suonenjoki, Finland2

• Key results3

• Conclusion & discussion4

• Method for holistic energy system design1

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Unrestricted © Siemens AG 2018March 2018Page 5 CT REE ENS DEH-DE

Holistic energy system design – Novel approach for the holistic optimization of the on-site energy supply system

• Optimization objective

Results (output data)

• Climate data

• Commodity prices

• Load profiles

Energy system designMandatory input data

• Technology selection

• Optimal capacities

• Optimal operation schedule

• Economical analysis

Optional input data

• Technologypre-selection

• Technology models and parameters

• Technology cost models

• Renewable generation profiles

$ CO2 PE • Mathematical optimization problem

• Find optimal combination within solution space

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Unrestricted © Siemens AG 2018March 2018Page 6 CT REE ENS DEH-DE

Agenda

• Method for holistic energy system design1

• Key results3

• Conclusion & discussion4

• Case study introduction: Suonenjoki, Finland2

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Unrestricted © Siemens AG 2018March 2018Page 7 CT REE ENS DEH-DE

© 2018 DigitalGlobe, Kartendaten, © 2018 Google

Modeling the energy system – Partition of the city into districts for considering district heating losses (multi-node approach)

North District (Sairaalapolku 4)

South District(Olavi Leskisen katu 10)

West District (Koulukatu 21)

LK14 (Rautalammintie 8)

Kuo(Kuopiontie 2)

LK25 (Kimpankatu 5)

LK15 (Koulukatu 23)

PN_LK25

PN_ND

PN_Kuo

PN_SD

Center District (Väinönkatu 7)

Suenonjoki, Finland• Population: 7366 [1]

• Area: 713.54 km2 [2]

Investigated area• Population: approximately 1500

• Area: 0.56 km2 [4]

[1] Population density by area 1.1.2016. Statistics Finland. Retrieved 12 February 2017..[2] Population according to language and the number of foreigners and land area km2 by area as of 31 December 2008". Statistics Finland's PX-

Web databases. Statistics Finland. Retrieved 29 March 2009. [4] Measured with Google Maps[5] Project communication with VTT and Sweco, 2017.

• LK14: LFO

• LK15: HFO

• LK25: Wood, peat (main); LFO (peak)

• Kuo: LPG

LFO: Light fuel oil; LPG: Liquid petroleum gas; HFO: Heavy fuel oil

[5]

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Unrestricted © Siemens AG 2018March 2018Page 8 CT REE ENS DEH-DE

Required input data for the energy system design study

Climate data

• Temperature• Global horizontal irradiance

Load profiles

• Electricity consumption• Heat consumption

• District heat• Other heat sources

Energy technologies

• Existing heat plants and boilers with different conventional fuels• Installable energy conversion units:

LPG-CHP (Residential + Utility), WP-CHP, GSHP, AWHP, EB• Installable storage units: HWS, LIB (Utility + Residential), RFB• Installable renewable: PV (Utility + Residential), ST

Commodity prices

• Electricity• CO2 emission price (carbon tax)• Heat generation fuels:

LPG, Wood, Peat, Light fuel oil (LFO), Heavy fuel oil (HFO), Heat oil

AWHP: Air-water heat pump, EB: Electric boiler, LIB: Lithium-ion battery, LPG: Liquid petroleum gas,LPG-CHP: Combined heat and power fired with liquid petroleum gas, GSHP: Ground-source heat pump,HWS: Hot water storage, PV: Photovoltaic, RFB . Redox-flow battery, ST: Solar thermal heat,WP-CHP: Combined heat and power fired with wood and peat

Multi-objective optimization considering total expenditures and carbon footprint(!) Social welfare optimum for entire city (residents + utility supplying district heat); assuming “on-site generation” is OK

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Unrestricted © Siemens AG 2018March 2018Page 9 CT REE ENS DEH-DE

Agenda

• Method for holistic energy system design1

• Case study introduction: Suonenjoki, Finland2

• Conclusion & discussion4

• Key results3

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Unrestricted © Siemens AG 2018March 2018Page 10 CT REE ENS DEH-DE

Aiming for lowest costs – How should Suonenjoki’s energy system look like?

CHP: Combined heat and power unit, DH: District heating pipeline, EB: Electric boiler, GSHP: Ground-source heat pump,HFO: Heavy fuel oil, HGP: Heat generation plant, HWS: hot water storage, LFO: Light fuel oil, LPG: Liquid petroleum gas,OB: Oil boiler, P: Peat, PG: Power grid, W: Wood, WB: Wood boiler, WP: Wood and peat

(1) Which technologies should be installed?

Peat-fired combined heat and power unit at LK14 and LK15, hot water storages

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Unrestricted © Siemens AG 2018March 2018Page 11 CT REE ENS DEH-DE

Aiming for lowest costs – How should Suonenjoki’s energy system look like?

CHP: Combined heat and power unit, DH: District heating pipeline, EB: Electric boiler, GSHP: Ground-source heat pump,HFO: Heavy fuel oil, HGP: Heat generation plant, HWS: hot water storage, LFO: Light fuel oil, LPG: Liquid petroleum gas,OB: Oil boiler, P: Peat, PG: Power grid, W: Wood, WB: Wood boiler, WP: Wood and peat

(2) How large is the initial investment?

Roughly 1.5 Mio. € needed (district heating utility)

(3) What is the economic advantage of such system?

25.8% of total expenditures could be saved

✓ Significant cost saving possible

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Unrestricted © Siemens AG 2018March 2018Page 12 CT REE ENS DEH-DE

Aiming for lowest costs – How should Suonenjoki’s energy system look like?

HFO: Heavy fuel oil, LFO: Light fuel oil, P: Peat, PG: Power grid, W: Wood

(4) But what about the carbon footprint?

Carbon footprint increased by 39.9%

X Significant increase of carbon footprint

Multi-objective energy system design aiming for both low costs and low carbon footprint necessary

? Is wood carbon neutral?(No carbon footprint?)

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Unrestricted © Siemens AG 2018March 2018Page 13 CT REE ENS DEH-DE

TOTE

X [k

€/a]

Car

bon

foot

prin

t [t/a

]

Car

bon

foot

prin

t [t/a

]

Multi-objective optimization of total expenditures and the carbon footprint – Wood carbon-neutral (one-node case)

Carbon footprintreduction withoutany significantcost increase…

Cost-optimizedcase

Cost and CO2improvement

…by firing woodinstead of peat

CHP: Combined heat and power unit, DH: District heating pipeline, EB: Electric boiler, GSHP: Ground-source heat pump,HFO: Heavy fuel oil, HGP: Heat generation plant, HWS: hot water storage, LFO: Light fuel oil, LPG: Liquid petroleum gas,OB: Oil boiler, P: Peat, PG: Power grid, RFB: Redox-flow battery, W: Wood, WB: Wood boiler, WP: Wood and peat

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Unrestricted © Siemens AG 2018March 2018Page 14 CT REE ENS DEH-DE

TOTE

X [k

€/a]

Car

bon

foot

prin

t [t/a

]

Car

bon

foot

prin

t [t/a

]

Multi-objective optimization of total expenditures and the carbon footprint – Wood not carbon-neutral (one-node case)

CHP: Combined heat and power unit, DH: District heating pipeline, EB: Electric boiler, GSHP: Ground-source heat pump,HFO: Heavy fuel oil, HGP: Heat generation plant, HWS: hot water storage, LFO: Light fuel oil, LPG: Liquid petroleum gas,OB: Oil boiler, P: Peat, PG: Power grid, RFB: Redox-flow battery, W: Wood, WB: Wood boiler, WP: Wood and peat

[…]

?

Carbon footprintreduction muchmore costly…

Cost-optimizedcase

Cost and CO2improvement

…due to increasedpower grid usage andheat pumps

Note that peat replacementby wood cannotlower the carbon footprintto ~0 anymore

-43.9%

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Carbon footprint [t/a]0 2000 4000 6000 8000 10000 12000 14000

-500

0

500

1000

1500

2000

2500

3000PV_ResPV_UtilST_UtilWP-HGP_Util (LK25)LFO-HGP_Util (LK25)LFO-HGP_Util (LK14)HFO-HGP_Util (LK15)LPG-HGP_Util (Kuo)EB_ResOB_ResWB_ResGSHP_ResGSHP_UtilAWHP_UtilWP-CHP_UtilHWS_UtilLIB_ResLIB_UtilRFB_UtilPGinWinPinPGout

Carbon footprint [t/a]0 1000 2000

TOTE

X [k

€/a]

0

2000

4000

6000

8000

10000

12000

14000

16000

18000

20000

Multi-objective optimization of total expenditures and the carbon footprint – Wood not carbon-neutral (one-node case)

AWHP: Air-water heat pump, CHP: Combined heat and power unit, DH: District heating pipeline, EB: Electric boiler,GSHP: Ground-source heat pump, HFO: Heavy fuel oil, HGP: Heat generation plant, HWS: hot water storage,LFO: Light fuel oil, LIB: Lithium-ion battery, LPG: Liquid petroleum gas, OB: Oil boiler, P: Peat, PG: Power grid,PV: Photovoltaic, RFB: Redox-flow battery, ST: Solar thermal heating, W: Wood, WB: Wood boiler, WP: Wood and peat

(0) Cost-optimized case

(1) Replace peat by wood

(2) Increase utilization of power grid and decrease use of CHP

(3) Use electricity-driven heating technologies (in particular heat pumps) and hot water storages

(4) Install renewables(in particular photovoltaic)(5) Install batteries

(redox-flow and lithium-ion batteries)

-43.9%

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Unrestricted © Siemens AG 2018March 2018Page 16 CT REE ENS DEH-DE

Agenda

• Method for holistic energy system design1

• Case study introduction: Suonenjoki, Finland2

• Key results3

• Conclusion & discussion4

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Unrestricted © Siemens AG 2018March 2018Page 17 CT REE ENS DEH-DE

Conclusion – Concluding remarks concerning the energy system design study for Suonenjoki

• Holistic multi-modal energy system design methods developed within EU H2020 MODER project (WP4)

• Testing and validation by energy system design study for Suonenjoki, Finland (WP6)

• Assumption of “on-site energy system” use of combined heat and power attractive

• Multi-objective optimization Both costs and carbon footprint can be reduced simultaneously

• Is the thermal use of wood carbon-neutral?

• If not, follow this guideline to reduce carbon footprint most cost-efficiently:

(1) Replace peat by wood

(2) Increase utilization of power grid and decrease use of CHP

(3) Use electricity-driven heating technologies (in particular heat pumps) and hot water storages

(4) Install renewables (in particular photovoltaic)

(5) Install batteries (redox-flow and lithium-ion batteries)

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Acknowledgements – We’d like to thank…

• … the European Commission for funding this Horizon 2020 project MODER:

• … MODER project partners for their support for and contribution to this case study:

• … other sources for making this case study possible:

Thank you for your attention! Do you have any questions?

This project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement No 680447