Linear optimization model to analyze the value of flexibility
Energinet hereby publishes a linear optimization model to analyze the value of flexibility. The model has previously been used to analyze the value of flexibility for electrolyzers.
The purpose of publishing this model is to help illustrate the value of flexibility, specifically for electrolyzers which the model is initially built for. The value of the flexibility is quantified as a reduction in the cost per produced unit of hydrogen (LCOH), also considering added costs to unlock the flexibility. The model can similarly assess the value of flexibility from renewables, batteries and hybrid plants.
The model (PtX flexibility - Linear Optimizer) is described in the report The value of flexibility for electrolyzers, in section 5, page 16-20. There are several simplifications and shortcomings, which should be carefully read before using the model to perform any analyses.
Installation and user manual can be found in the Excel-sheet in the zip-folder, also containing the model in the Python script.
The aim is to initiate a dialogue between Energinet and relevant parties on how the potential flexibility from electrolysis and hybrid plants is optimally introduced to the energy system. The flexibility is crucial to cost-efficiently integrate the massive variable renewable production capacities necessary to meet the ambitious climate goals.
Energinet is open to discuss the further development and findings when using the model, and in general how to assist the integration of renewables, electrolysis and green hydrogen, including the potential flexibility that follows.
The model can also be found together with case examples for different technologies providing reserves: Case beskrivelser
If any questions arise, don't hesitate to reach out to Jesper (email@example.com) and Thomas (firstname.lastname@example.org).