Mitigation of limitation imposed on hosting capacity in low voltage networks by their distribution transformer loading and degradation considerations

A distribution transformer's thermal operating conditions can impose a limitation on the Hosting Capacity (HC) of an electrical distribution feeder for PV interconnections in the feeder's low‐voltage network. This is undesirable as it curtails PV interconnection of both residential and commercial customers in the secondary networks at a time when there are record numbers of interconnection requests by utilities' customers. The authors analyse the limitations on HC due to transformer loading and degradation considerations. Then, the paper proposes a battery energy storage system (BESS) dispatch strategy that will mitigate the limitation on distribution feeder HC by distribution transformers. Three scenarios of HC were simulated for a test network—HC evaluation without restrictions by the distribution transformer (scenario 1), HC evaluation with restrictions by the distribution transformer (scenario 2), and HC evaluation without restriction by the distribution transformer, and with the implementation of the proposed BESS mitigation strategy (scenario 3). Simulation results show that transformer lifetime is depleted to about 6% of expected lifetime for unrestricted HC in scenario 1. Curtailing the HC by 32% in scenario 2 improves the lifetime to 149% of expected lifetime. Implementing the proposed BESS in scenario 3 improves the transformer lifetime to 127% and increases the HC by 62% above the curtailed value in scenario 2, and by 10% above the original HC in scenario 1. The BESS strategy implementation produced cost savings of 49% and 27% of the transformer cost in scenarios 2 and 3, respectively, due to deferred transformer replacement. Conversely, there is a 1600% replacement cost incurred in scenario 1, which underscores the need for a mitigation strategy. The proposed BESS strategy does not only improve the HC of a distribution feeder but also increases a distribution transformer's lifetime leading to replacement cost savings.