Open Research Europe

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Published December 7, 2022 | Version 1
Journal article Open

Impact of variable electricity price on heat pump operated buildings

Authors/Creators

  • 1. Energy Economics Group, Technische Universität Wien, Vienna, Vienna, 1040, Austria
  • 2. Fraunhofer Institute for Systems and Innovation Research, Karlsruhe, 76139, Germany

Description

Background: Residential buildings with heat pumps show promising possibilities for demand-side management. The operation optimization of such heating systems can lead to cost reduction and, at the same time, change electricity consumption patterns, which is especially prevalent in the case of a variable price signal. In this work, we deal with the following question: How does the volatility of a variable retail electricity price change the energy consumption of buildings with a smart energy management system? 

Methods: In this context, we take Austria as an example and aggregate the findings of individual households to the national stock of single-family houses. This is done by simulating and optimzing heating operation in single representative buildings. The aggregation is done based on national building information statistics. 

Results: This part of the Austrian building stock could shift 19.7 GWh of electricity per year through thermal inertia using a real-time electricity price from 2021. We show the future potential under the assumption of three electricity price trends for 2030, representing different decarbonisation ambition levels. The trends show that higher decarbonisation levels which lead to higher electricity prices increase the incentive to shift electric loads.

Conclusions: Real time pricing turns out to be  an effective incentive for buildings to shift electric loads by pre-heating the building mass. However, cost savings for individuals are relatively low which is why additional monetary incentives are needed to tap into that potential. Increased daily peak-to-peak demand from these buildings has to put into perspective to the overall grid load.

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Additional details

Cites
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