The cost of wind and solar power has dropped significantly in recent years bringing the generation cost to the same level or lower than conventional power generated from fossil fuels. Still, the integration of these technologies into power systems is a major concern in many countries.
As the share of wind and solar power increases, the economic value of the generated electricity from these technologies will decline. To improve the understanding of how wind and solar power affects power markets, the Danish Energy Agency has supported the development of a web based power market simulator, Balmorel Lite. Balmorel Lite provides a visual and interactive introduction to the type of analysis and results that power market models can achieve, with a sound basis for reflection on next step activities and modelling opportunities. The model is developed with the specific purpose of assessing the economic value of renewable energy in different power systems, but it may also be in advantage for other short evaluations. Various scenarios can be modelled to analyse relevant issues for the energy sector, for instance the cost of integrating wind power in different energy systems and the resulting changes in CO2 emissions.
Balmorel Lite is able to dispatch power plants according to their short run marginal costs. The simulation is made with hourly time resolution.
Balmorel Lite was developed by Ea Energy Analyses.