What Kinds of Distributed Generation Technologies Defer Network Expansions? Evidence from France

Abstract

This paper estimates the relationship between investments in five distributed generation technologies and hourly net injections to the distribution grid for over 2,000 substations in France between 2005 and 2018. We find that investments in distributed wind and solar capacity have little or no impact on the annual peak of hourly net injections to the distribution grid, while investments in hydroelectric and thermal distributed generation significantly reduce it. An optimistic analysis of battery storage suggests that high levels of investments are required for distributed wind and solar investments to deliver similar reductions in the annual peak of hourly net injections.