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Chapter 9





             Distributed generation in


             deregulated energy markets and
             probabilistic hosting capacity


             decision-making challenges



                                                   2
                           1
             Sherif M. Ismael , Shady H.E. Abdel Aleem , Almoataz Y. Abdelaziz 3
             and Ahmed F. Zobaa 4
             1
              Electrical Engineering Division, Engineering for the Petroleum and Process Industries
                             2
             (ENPPI), Cairo, Egypt, Mathematical, Physical and Engineering Sciences Department, 15th of
                                               3
             May Higher Institute of Engineering, Cairo, Egypt, Electric Power and Machines Department,
                                                     4
             Faculty of Engineering, Ain Shams University, Cairo, Egypt, College of Engineering, Design
             and Physical Sciences, Brunel University London, Uxbridge, United Kingdom
             9.1  Introduction
             Currently, the collaboration of renewable energy based distributed genera-
             tion (DG) with conventional fossil fuel based power-generation units has
             led to the development of new practices in energy production associated
             with various challenges. However, the proposed integration of RES units
             with their power electronic interfaces (predominantly wind and solar energy
             systems) into electrical networks and deregulated energy markets has brought
             its own problems and restrictions [1 3]. For example, if these DG units are
             not properly allocated, various operational problems in the distribution sys-
             tems may occur, such as overvoltage risks, overloading of electrical equip-
             ment, increased line losses, protection system maloperations, and power
             quality problems [4]. These problems arise when the DG penetration levels
             surpass the maximum allowable penetration level, the so-called system’s
             hosting capacity (HC) limit. The evaluation of the HC enables the investor
             to quantify the impact of his DG units on the performance of the power sys-
             tem by using a set of performance indices (PIs). The selection of these indi-
             ces hinges on many aspects, such as voltage profile of the system, thermal
             capability of the feeders, and harmonic distortion levels. Today’s power sys-
             tems are becoming more complex, expandable, dynamic, and nonpredictable;


             Decision Making Applications in Modern Power Systems. DOI: https://doi.org/10.1016/B978-0-12-816445-7.00009-8
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