DER profitability, distribution network development and regulation

This paper deals with conditions for profitable integration of micro-CHP units in the network. It first recalls some issues resulting from the introduction of DER in distribution networks and then defines a framework that could lead in the mid term to profitable micro-CHP applications by making explicit the “network replacement” capacity they can offer. It finally shows that “network replacement” capacity has limits and that full integration of DER is required. This concept can be extended to RES in the long term.