The EU islands have great potential to benefit from the clean energy transition and become forerunners in implementing energy and climate change policies.
The EC''sStructural Reform Support Service (SRSS, now DG REFORM) coordinates and provides technical support to EU countries, including Cyprus, in cooperation with the relevant Commission services. The objective is to help build more effective institutions, governance frameworks and administrations. Also, as part of the Clean Energy Package, the EU''s Clean Energy for EU Islands initiative provides a long term framework to help islands generate their own sustainable, low-cost energy.
The Cyprus power system has the typical characteristics of isolated Mediterranean island grids: largely unexploited renewable energy potentials, heavy dependence on liquid fossil fuel imports, limited capability (i.e. low system inertia) to react to contingencies and events, high daily and seasonal demand fluctuation,no grid connection (yet) toneighbourcountries.
Cyprus is also characterized by an abundant solar energy resource across the whole year: the average global solar can reach 2000 kWh/m2. Wind energy is instead quite limited over the island of Cyprus, with an annual average wind speed below 4 m/s in the majority of areas.
We supported, along with DG REFORM (ex SRSS) and DG ENER, the Cyprus government to establish a comprehensive medium- to long-term policy (2030 time horizon) for the optimum penetration of renewable energy in the electricity system. The following two consecutive projects were carried out:
The first project, concluded in 2016, aimed at assessing the current state of the transmission and distribution electricity systems and proposing solutions for increasing the Renewable Energy Sources penetration in the electricity system. It was split in four interlinked activities, spanning from system characterisation, to transmission/distribution simulation up to Unit Commitment and Economic Dispatch (UCED) analyses, with a view to perform an integrated assessment of the Cyprus electricity system - power infrastructure and markets.
The second project, finished in 2018, aimed to complement the system analyses performed in the first project and perform deeper evaluations on the interactions of different energy systems and technologies.
Thisreportdescribes the main results of the first project we carried out to support the Cyprusgovernment. Some of the main conclusions and recommendations are listed below (more details are available in the report).
Storage units are key components to provide more flexibility in the system. Storage units are foreseen for providing both energy shifting and fast frequency response. If not enough flexibility can be obtained from the generation and the demand side, storage technology deploymentis unavoidable to integrate high shares of RES. Depending on the type of flexibility needs, different storage technologies can be used with significant differences in terms of cycling losses, investment costs, power to energy ratio and reaction speed to frequency events.
System security is met under the loss of largestinfeedunder specific operational conditions and the assumption that Battery storage with Enhanced Frequency Response is used. Under Frequency Load Shedding scheme is expected only under Exceptional Contingencies. In the future, the most critical contingencies in the transmission system may become grave 3-phase faults, especially if small PV installations continue to trip at voltages lower than 80% of nominal.
Flexibility capabilities of the existing generation fleet could be increased in terms of ramping, minimum time off and on, start procedure, response speed of controller. However, the economic impact for the power plant operator needs to be better assessed. Increasing significantly the flexibility could increase variable operational costs and/or reduce efficiency.
Optimal management strategies for distributed resources might be different for theDSOs and theTSO. Solving problems locally (e.g. voltage quality in MV grid) and globally at system level might be conflicting. Possible conflicting interests were identified for demand response strategies and the weakening of Under Frequency Load Shedding. Smart grid deployment may offer the required tools for a more integrated approach taking into account both interests of the transmission and distribution systems.
If distributed generation is to become a significant part of the generation capacity, systematic verification of itsbehaviourunder normal and abnormal conditions must be undertaken (e.g. for Low Voltage Fault Ride Through, curtailment). Smart grid deployment could improve the observability and controllability of the small units in the distribution system. However, it is recommended to analyze the costs and benefits for this option.
Demand response is potentially a very economic way to increase the system flexibility. Therefore, its full potential needs to be carefully investigated. Especially the following demand sectors should beanalysed: drinking water production and distribution, water pumping for irrigation, hotel sector,prosumerhouseholds (for increasing self-generation).
Modellingeffort should be continued and enhanced. Conventional unit models should be validated by tests which should include both governors and Automatic Voltage Regulators. Manufacturer specific information of the actual excitation systems, speed/power controllers and prime movers for the steam and gas turbines should be obtained. Accurate measurements for the dynamic response of the main components of the power system. This is absolutely needed to validate the dynamic model. Dynamic response of the different load categories also needs to be researched.
Detailed investigation of techno-economic parameters for the flexible operation of combined cycle gas turbine (CCGT)units. With a high share of solar energy concentrated during the daytime, themodellingresults indicate that the system would benefit from a more flexible operation of theCCGTunits. Operating in the futureCCGTunits as flexible base load has technical limits and also economic impacts.
Methodologies should be examined for incorporating short-term (intra-day) forecasting of distributed generation and demand into the secure operation of the Cypriot power system in respect to requirements such as reserve allocation, congestion management etc.
Higher operational flexibility has the potential to reduce RES curtailment and reduce the fuel consumption, which would consequently reduce emissions. Instead of defining emissions targets for each of the conventional generators, it is suggested to define in the simulations only a global target for the whole generation fleet.
Infuture scenarios, as RES curtailment turns out to always be cheaper than activation ofload sheddingto keep the system stable, it is crucial to define with clear rules which economic compensations are available or not for the RES plant investor.
The Transmission System Operator of Cyprus (TSOC) predicts that transmission and distribution grid operators will need to curtail 28% of the nation’s annual green energy production in 2024.
Image: Greg Montani, Pixabay
The TSOC said that the curtailment of renewable energy in Cyprus is necessary to guarantee the stability of the electricity network, given the strong uptake of solar, the scarcity of installed energy storage capacity on the island, and the lack of electricity interconnections with neighboring countries.
pv magazine has presented the pressing issue of Cyprus'' renewable power curtailments before, but curtailments are expected to reach unprecedented levels in the coming year.
The TSOC said it expects the island''s annual curtailments to reach 28% of all generated green electricity in 2024. Curtailments in March, April and May could reach 59%, 79% and 51%, respectively, said the TSOC. Curtailments from July to September, when the country becomes a popular tourist destination and demand for air-conditioning rises, are predicted to range from just 0% to 5%.
The TSOC said that these predictions apply solely to renewable power facilities monitored by the country''s transmission and distribution networks via SCADA systems. This includes wind farms and about 47% of the island''s PV capacity. However, if it accounts for all solar power generation, including unmonitored solar energy, curtailments in 2024 could decrease to around 13%, said the TSOC.
Renewable energy expert Dr. Andreas Procopiou told pv magazine that small residential and commercial solar PV installations are not typically monitored through the network operators'' SCADA systems. In situations characterized by significant imbalances between generation and demand, network operators can resort to alternative control methods such as ripple control.
This gives them the flexibility to exert a distinct level of management over smaller installations, and the option to disconnect them from the network if necessary. Currently, the curtailment challenge in Cyprus mainly affects large solar plants, with no provision for financial compensation for the curtailed generation.
Procopiou said that "the country''s grid operators curtailed about 3.3% and 13.4% of the annual generated green energy in 2022 and 2023 respectively." This only concerns the energy from the units that are monitored by the network operators. The TSOC is now anticipating that this figure will jump up to 28% in 2024.
"This cannot be a sustainable situation for renewable energy investors," said Procopiou.
The main lesson for policymakers is that Cyprus urgently needs energy storage, he added.
"Cyprus covered about 20% of its electricity needs in 2023 via renewables,” said Procopiou. “We won''t be able to decarbonise our energy system further unless we embrace energy storage and new, smart ways of operating our networks."
"The country''s electricity market does not have an open, liberalised structure and is still a reflection of the past. The government should open the electricity market, including energy storage, to competition,” explained Procopiou. “Only the new technologies coupled with market competitive can offer Cyprus the solutions it needs."
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