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SETHub

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The project SETHub - Smart Energy Transformation Hub aims at a comprehensive analysis of the grid-supportive use of electrolysers and was carried out at selected sites in Styria. The objective was to analyse the regulatory framework and to assess the role of grid-supportive operation of electrolysers in increasing the hosting capacity of distribution grids for renewable generation capacities. The economic evaluation of the grid-supportive use of electrolysers is enabled through a techno-economic modelling of electrolysers in the distribution grid.

Factsheet
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Short nameSETHub
TitleSmart Energy Transformation Hub
Duration01.10.2023 – 31.03.2025
Partners2 (show all)
Project typeCo-funded research project
Project lead AITPhilipp Ortmann & Stefan Fink

Overview
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The overarching objective of the project was a comprehensive analysis of the potential role of grid-supportive electrolysers as well as the implementation framework for their deployment. The project also aimed to increase the hosting capacity of distribution grids for renewable generation and to carry out a techno-economic modelling of electrolysers in the distribution network.

Findings
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Economic viability of grid-supportive electrolysis
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A purely grid-supportive operation of electrolysis systems is technically capable of fully absorbing feed-in peaks; however, in practice, it proves to be economically hardly viable. Only through an additional market-oriented use of electrolysis does economically sustainable operation become realistic.

Combination of market- and grid-oriented operation
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The combination of grid-supportive and market-based operation leads to better utilisation of the systems while simultaneously providing system benefits. Price differences in the electricity market support the provision of grid-supportive services without requiring additional control by the grid operator.

Optimal system sizing
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A maximum technical sizing of the systems does not represent the economically optimal solution. Instead, a reduced system dimensioning - combined with lower investment costs - proves to be more economically efficient while still avoiding a large share of curtailment losses.

Activities
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P1: Project Management

W

This work package includes project management and coordination of the project team, as well as monitoring of progress, costs, quality, and adherence to timelines. It also covers reporting, resource planning, and communication, as well as the preparation of a comprehensive final report and a publishable report.

WP2: Regulatory Analysis
This work package includes the definition of potential combinations of operating strategies for electrolysers (grid-supportive or market-based), as well as possible operators (market actors or grid operators, DSOs). Furthermore, it addresses ownership structures of electrolysis systems and assesses the regulatory feasibility of the defined combinations.
WP3: Techno-economic Analysis: Case Studies
This work package includes conducting a cost-benefit analysis of the use of grid-supportive electrolysis systems based on up to three specific locations, as well as the development of four realistic case studies in selected areas of the Energienetze Steiermark grid.
WP4: Large-scale Power Grid Simulations
This work package includes determining the use of electrolysers across the grid area based on large-scale power grid analyses.
WP5: Exploitation & Dissemination
This work package includes public outreach activities and the preparation of scientific publications. It also involves discussing the results with relevant stakeholder groups and preparing follow-up activities.

Further information
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Deliverables
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Publications
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Presentation
Electrolysis in distribution grids: A Regulatory Valuation on Grid-Supportive Operation

Presentation
Elektrolyse im Verteilnetz: Eine techno-ökonomische Analyse zum netzstützenden Einsatz

Project partners
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Funding
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The project SETHub is supported within the framework of the 3rd FFG call “Energie.Frei.Raum”. Implementation is carried out on behalf of the Federal Ministry for Climate Change, Environment, Energy, Mobility, Innovation and Technology (BMK) by the Austrian Research Promotion Agency (FFG). More information can be found in the FFG project database.

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