Energy Markets And Risk : Capacity Assignment

One of the fastest growing energy sources in the world, wind power is a globally advantageous renewable resource.

National Grid and Ofgem have recently warned the government of the increased risk
of potential power shortages, particularly in 2015/16. To comply with the EU Large Combustion Plan Directive (LCPD), a significant number of coal-and oil-fired power plants are due to close by the end

Simplistically, a majority the generation of electricity on the grid comes from the combustion of fossil fuels to heat boilers that moves steam through a turbine. The spinning action of the turbine attached to a motor creates electricity which is sold on the power market. Other sources of energy can be used to heat the boiler, including nuclear fission, methane, and wood products. In addition, hydroelectricity and wind power can also be used to generate energy through mechanical action on the turbine/motor as well. Finally, but not exhaustively, power can be generated from the use of photovoltaic cells which convert the energy of the sun into electricity. Regardless of how it is generated, electricity has a very short life; it must be consumed or stored almost immediately after generation. Until the development of transformers, most electricity was generated on the site where it was intended to be consumed, due the inability to store it. (The Changing Structure of the Electric Power Industry 2000 : An

Sustainable Development Commission (United Kingdom) (SDC), (2005): Wind Power in the UK: A guide to the key issues surrounding onshore wind power development in the UK, Government of the United Kingdom, England. Available at: http://www.sdcommission.org.uk/

We are facing an energy crisis on Earth. Burning fossil fuels are harming the atmosphere; this global warming and affects produces chemicals that hurt our body. People are starting to think about using alternative energy. Wind power would be our first choice, because it’s clean, inexhaustible and renewable. Today, wind power is mainly used in Europe. We believed wind power would be the main source of alternative energy for world use.

“Worldwide, hydropower facilities possess a significant amount of installed electric generating capacity. IEA statistics indicate that at the end of 2001 there was in excess of 450,000 MW of installed capacity within IEA member countries, with about half in Europe and half in North America. In addition to conventional hydropower, there is more than 80,000 MW of installed pumped-hydro capacity in IEA countries. In contrast, utility-scale wind power is relatively new in the electric market, but increasing rapidly” (Integration of Wind and Hydropower Systems)

• Introduction....................................................p.1 • Why Wind energy is important? ........................... p.1 • Installed capacity of renewable energy in India..........p.2 • Advantages.....................................................p.3 • Economy of one wind farm..................................p.4 • Government contribution....................................p.4 • Challenges............................................................p.5 • Suggestion for Improvement................................p.6 • Conclusion.....................................................p.6 • Reference List..................................................

Based on earlier analysis clearly, the UK needs to concentrate its efforts to increase uptake of renewables, as the current standing appears that failure is on the cards in achieving its renewables obligations by 2020. The favourable geographical location of the UK in terms of its windy condition, long coastline and developed infrastructural facilities should make it straightforward to capitalise on the contribution of growth of renewable energy.

Journal: R Billinton, D Huang, 2010, ‘Wind power modelling and the determination of capacity credit in an electric power system’, Proceedings of the Instituition of Mechanical Engineers, Part O: Journal of Risk and Reliability, pp. 1-9, viewed on September 12, 2011, retrieved from: http://pio.sagepub.com/content/224/1/1

At present 7% of the UK’s electricity is produced from renewable sources and this percentage is expected to grow to 30% by 2020 as a result of EU targets.

With this huge demand of electricity within the UK it 's hardly surprising that the UK between 2007 and 2012, has had a peak electrical demand 52.5 GW. To put that in perspective that 's 52500000000W!

Development of installed electricity generation capacity by wind mills in Germany increases by 11% p.a.

Currently, the global power demand has risen by 2%, while the annual growth of wind power generation is 12%. According to the European Wind Energy Association, the world 's wind power installed capacity in 2020 will be 1.2 BKw, and will be 2.7 BKw in 2030. Then wind power will account for 12% and 21% of the world 's total energy. Wind power will gradually become the main alternative energy power sources. In foreign wind power industry, the US mainstream unit is 1.5 Mw, some of European countries reached 1.5-2.5 Mw. Wind turbines has been more and more popular in foreign countries, and some of the developed countries has started researching on 3-4 MW huge wind turbines. Wind power generation will gradually approach the conventional thermal power generation. China 's wind power industry started earlier, but the development is very slow until the 1990s. With the strong support of national policy, the wind power industry has made great progress, and gradually formed an emerging market. Figure 1-1 shows China 's wind power installed capacity growth trend in the past 10 years.

most economic manner in real-time operation. The objective is to minimize the total generation cost (including fuel cost, plus emission cost, plus operation/maintenance cost, plus network loss cost) by meeting the following operational constraints.

The production of electrical energy is considered a key of our present day society. The purpose of this report is to discuss and explain a natural resource that is renewable which will be the production of electrical energy in the future. Wind farms are Australia’s most popular source of energy as for the reason of being a sustainable renewable energy. Wind farms market in producing electricity across AUS is only 3% but over a choice Australia would rather wind farms to be used more in producing Australia’s electricity .Wind farms is the lowest cost renewable energy that uses airflow to produce electricity. This technology makes up 3% of Australia’s electricity suppling over 1.3 million homes with power according to origin energy that hold over 4.3 million customer accounts in Australia.