Deployment of a dispatchable photovoltaic system: technical and economic results

Abstract

This paper discusses the incorporation of PV as a demand-side management (DSM) tool. The valuation of the benefits provided by PV in a DSM role indicates that it is much closer to commercial viability than was thought from economic analyses focusing exclusively on this technology as a supply-side option. However, in order to realize PV's potential, this technology must be deployed in high-value DSM applications; in particular, applications that promise dispatchable peak-shaving capability. Our analysis of the performance of a prototype system installed by Delmarva Power, indicates that small-scale, commercial customer-sited DSM systems incorporating this technology are approaching competitive cost levels.