ABSTRACT

This chapter outlines the various analytical approaches that can be applied in Distributed Generation (DG) evaluation and planning, showing the various levels of detail that are used in delving into expected DG costs and performance. It provides a comparison of the various types of DG units and their application to standby, peaking, and base load applications, using a common basis. examines modularity, its impact on cost and availability, and the way this aspect can be assessed in planning studies. Distributed and dispersed generation can be studied in a variety of ways, each with different levels of detail, and each method focused on certain aspects of DG performance. Fuel costs vary depending on economic and political conditions in the international arena, and the relative interaction of supply and demand. As such, future costs cannot be forecast with complete accuracy. Uncertainty in the future price of fuel is almost always the single biggest contributor to uncertainty in a DG planning study’s results.