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Frontiers in Energy

ISSN 2095-1701

ISSN 2095-1698(Online)

CN 11-6017/TK

Postal Subscription Code 80-972

2018 Impact Factor: 1.701

Front. Energy    2016, Vol. 10 Issue (1) : 65-78    https://doi.org/10.1007/s11708-015-0391-5
REVIEW ARTICLE
Pathway to energy technical innovation and commercialization based on Internet plus DES
Huiping LIU()
Shanghai Academy of Development and Reform, Shanghai 200032, China
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Abstract

The distributed energy system (DES) is a type of energy cascade utilization on the client side or close to the client, and it has become an important option of global energy transformation. In China, based on the experience of demonstration projects, the DES is now being commercialized. Under the new opportunity of energy production and consumption promoted by the national “Internet Plus” action plan, the development of the DES was reviewed in this paper; four categories of market demand and five key issues for DES deployment were analyzed; five types of potential DES users and five key points of technical path implementation proposed based on many years of engineering practices and hundreds of project case studies were proposed. 4E elements should be used to evaluate and choose the project and lead the innovation model of DES by energy production and consumption revolution with the sustainable development of the Internet plus DES. The future innovation models include intelligent energy modularity and menu-type services with the demands of the client side, and the kind of new thinking for DES services that “you are in charge of your own energy production and consumption, while we are also at service when needed for installation and maintenance.” The aim of innovation mode is to give the energy sovereign back to the people, and form a perfect Internet plus DES ecosystem.

Keywords “Internet Plus”      distributed energy system (DES)      business model      technical innovation      commercialization      DES industry ecosystem      energy revolution     
Corresponding Author(s): Huiping LIU   
Just Accepted Date: 17 November 2015   Online First Date: 04 January 2016    Issue Date: 29 February 2016
 Cite this article:   
Huiping LIU. Pathway to energy technical innovation and commercialization based on Internet plus DES[J]. Front. Energy, 2016, 10(1): 65-78.
 URL:  
https://academic.hep.com.cn/fie/EN/10.1007/s11708-015-0391-5
https://academic.hep.com.cn/fie/EN/Y2016/V10/I1/65
Fig.1   Development roadmap of Japanese DES
Denmark Germany The US Japan
Feed-in tariffs
Concessional loan
Emission subsidies
Investment tax credit
Production tax cut
Net power mechanism
Mandatory quotas
R&D
Special subsidies
Green pricing
Tab.1  DES policies of some forerunner countries [2]
Stage Policy progress
The introduction stage (The 9th and 10th Five-Year-Plan) In 2000, the regulation on the development of CCHP was issued, and distributed power supply was proposed.
In 2004, the first international DES seminar was held.
The propulsive stage (The 11th Five-Year-Plan) In 2006, the regional CCHP was covered into the ten key energy saving projects in the 11th Five-Year-Plan.
In 2007, the policy of natural gas utilization was issued.
In 2010, DES seminar on natural gas was held in Beijing.
The promotion stage (The 12th Five-Year-Plan) In 2011, a series of national bills, for example, advices and opinions on DES based on natural gas, a notice of distributed access to wind power, and advices and opinions on the development of distributed access to wind power project, were issued.
In October 2012, the National Development and Reform Commission issued the policy of natural gas utilization, the first four national DES with natural gas demonstration project were open to the public; notices of applying for building the demonstration area with scale in distributed photovoltaic power, and provisional opinions on the service of distributed photovoltaic power and access to grid were issued.
In July 2013, NDRC issued the Interim Regulations on Management of Distributed Generation and a series of policies for distributed photovoltaic.
Shanghai and other cities published supporting policies for DES, and some provinces and cities took more active actions to develop the demonstration pilot projects.
In March 2015, the State Council issued “Advices and Opinions on Further Deepening of the Reform of the Power System”. The regional union power trading platform was established, the competition mechanism in partial power was introduced, the pilot project of direct supply for large users was started, and a primary price system for electricity transmission and distribution was established. Enough attention was paid to this bill on the development of DES.
Tab.2  Policy progress of DES in China
Fig.2  Consumers of DES projects
Applications Heat load Air conditioning heating load Small load fluctuation Continuous operating time Short distance transmission Demand of reserve electricity Comprehensive evaluation
Industrial enterprises 3 1 3 3 3 3 16
Medical facilities 2 3 3 3 2 3 16
Hotels 2 3 3 3 3 2 16
Data centers 1 3 3 3 3 3 16
Transportation hubs 2 3 3 3 2 2 15
Industrial parks 3 2 3 3 1 2 14
Military facilities 1 3 2 2 3 3 14
Cultural facilities 1 3 2 2 3 2 13
Commercial areas 2 3 2 2 1 2 12
Office buildings 1 3 1 1 3 1 10
Malls 1 3 1 1 3 1 10
Athletic facilities 1 3 1 1 2 2 10
Tab.3  Application fields of DES based on natural gas
Project name Project overview Model features
Regional DES projects in Hongqiao business district, Shanghai This project, divided into 3 phases, has 8 energy centers. After completion, it will supply cold and heat load and partial domestic hot water of 10 km2 for buildings in 7 km2 of areas, and with more than 80% of comprehensive energy utilization efficiency. It is the first regional DES project in a commercial zone, based on CCHP. It has achieved grid connection.
Laogang green energy industry base, Shanghai Laogang landfill, located at the east coast of Shanghai, currently accepts and deals with about 70% of municipal solid wastes in Shanghai. DES based on landfill gas (underground) plus waste incineration plus wind power (the coast and the air)plus the use of solar energy (on the ground of the landfill).
Non-grid-connected wind power system used in energy-hungry model directly—the industrial energy internet pilot project “Basic research of large scale non-grid-connected wind power” is a project of the National 973 Plan, which is taken charge by the dean of Jiangsu Macroeconomic Research Institute Doctor Guweidong. Based on the industrial energy Internet theory, it studies the related technology path and practice, and forms the core technology model of cooperative power supply with multi energy resources. This is a pilot project of distributed wind power which provides services for the electrolytic aluminum, chlorine industry, desalination of sea water, hydrogen production, coal chemical, metallurgy, new energy vehicle and other high energy consumption industries, and establishes a new model of DES with multi industries.
Organic agricultural ecosystem with intelligent energy The project of organic agricultural ecosystem with intelligent energy, invested by a certain company of agricultural science and technology in Shanghai, covers an area of 70 acres of organic vegetable and 200 acres of organic rice, with 1000 acres to be developed in the future. The pattern of “vegetables growth+ power generation” is being explored with the combination of organic agriculture+ distributed renewable energy, including agricultural greenhouse distributed photovoltaic+ the light for plants growth with LED, recycling of agricultural waste biomass and DES demonstration garden, intelligent energy+ tourism agriculture.
Demonstration of low carbon business park—David Century City Energy Center in Xianju, Zhejiang province The Potevio New Energy Co. Ltd. and Xianju, a national ecological county in Zhejiang province collaborated in the project of David Century City Energy Center. The energy saving planning includes regional infrastructure. The energy saving technology integration system involves the regional DES and solar energy utilization system, the heat pump system based on ground source and water source, the green lighting system, the new type heat preservation material utilization system, and the monitoring and management platform of the energy center. The project is a regional energy planning and energy conservation model. It will promote the regional economic transformation and upgrading by the reliable energy system with low cost, less impact on environment, and maximum comprehensive efficiency.
A pilot project combined with electric vehicles and energy storage Shanghai Ruihua (Group) Co. Ltd. is a supplier of the power integration system for Shanghai hybrid electrical vehicle (battery+ capacitance). Ruihua has established a smart micro grid system called Smart Energy Service for Consumers in Various Industries+ Gradient Utilization of Batteries. It has established a model of“battery lease+ vehicle energy intelligent service”. It achieves the DES of batteries cascade utilization+ storage access and intelligent monitoring, providing convenient and flexible navigation services for users.
A demonstration project of the coal-fired boiler clean replacement in industry park The project, located in Laogang Industrial Park, covers an area of 8 km2, specializing in electronics, cables, printing and dyeing, and fine chemicals. The objective of the project is to provide clean alternative energy for industrial coal-fired boilers in Shanghai. The energy service company in the park has been set up to conduct diversified investment and provide specialized services.
Tab.4  Innovation cases of technology integration and business model in “Internet Plus” DES plus X
Fig.3  Cooperation mode
Fig.4  Regional energy model
Fig.5  Smart energy service for consumers in various industries+ gradient utilization of batteries
Fig.6  Intelligent charging station combined with distributed photovoltaic plus storage batteries
Fig.7  Operation service and mode of charging pile
Fig.8  Bilateral trading mode
Fig.9  Construction of service platform
1a Shanghai municipal electric company, Shanghai gas (group) Co Ltd. Technical specification of engineering for decentralized energy system (DG/TJ08-115-2008)
1 Lovins   A B.  Reinventing Fire: Bold Business Solutions for the New Energy Era. Chelsea Green Publishing, 2013
2 Liu  H P. Thinking of DES policy practice and industrial development path. Power & Energy, 2014, 35(5): 545–548 (in Chinese)
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[2] Xiangwan DU. Tackling climate change and promoting the energy revolution[J]. Front. Energy, 2018, 12(3): 338-343.
[3] Zhimin HUANG , Jiansheng ZHANG , Guangxi YUE , . Status of domestic gasification technology in China[J]. Front. Energy, 2009, 3(3): 330-336.
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