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Economic Analysis of Reducing End-User Peak Demand with Renewable Energy
Thesis   Open access

Economic Analysis of Reducing End-User Peak Demand with Renewable Energy

Emily Salter
Honours, Murdoch University
2017
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ENG470 Salter Corrected Thesis.pdfDownloadView
Whole Thesis Open Access

Abstract

Large electricity end users are currently not economically inspired to invest in renewable energy due to low energy charges and high peak demand charges. To investigate if peak demand reduction could contribute to economic benefits, an excel model was developed to determine the economic benefit of reducing end user peak demand with renewable energy. Moving loads to low demand periods and improving load efficiency is the most successful method to reduce peak demand. It was identified that load reduction by solar penetration is well suited to Western Australian end users, however solar generation is vulnerable to losses of up to 80%. Energy storage systems were simulated to provide contingency in the event of solar generation loss. For the case study investigated, capital investment was estimated to take between 10 and 11 years to be returned in the form of large scale generation certificates, consumption savings and demand savings.

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