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9 Renewables Integration Through Direct ... > Wind Integration Cost - Pg. 220

220 PART | II Smart Supply: Integrating Renewable & Distributed Generation generally coincides with peak spinning reserve pricing. Steady revenue streams and minimized disruptions encourage the use of DLC participation. Spinning reserves are called up relatively infrequently (every few days), and for short durations (11 minutes for spin and non-spin) [20]. The aforementioned loads would be able to collect additional revenue streams without sacrificing the intent of the original energy service. WIND INTEGRATION COST Wind integration costs are typically defined as those incremental costs incurred in the operational time frames that can be attributed to the variability and uncer- tainty introduced by wind generation. These integration costs can be minimized by thoroughly utilizing ancillary services provisioned by DLC. The increased operational costs, brought onto the bulk power system, can be temporally dis- aggregated to include regulation, load following, and unit commitment. The integration costs associated with the merit order effect are sometimes treated separately and sometimes bundled into unit-commitment costs. Studies find that the cost of integrating wind rises with greater wind penetrations [5]. DLC DR is capable of decreasing the regulation and load-following portions of the integration costs. Nine of the sixteen wind integration studies surveyed by Wiser disaggregate integration costs by temporal classification [21]. With the caveat that each study represents a different relative wind capacity, ranging from 11% to 48%, Figure 9.7 illustrates the average share of each temporal clas- sification's integration cost. 10 9 8 7 $/MWh 6 5 4 3 2 1 0 PacifiCorp- 2005 Xcel-PSCo 2006 Disaggregated wind integration costs Unit commitment Load following Regulation Misc Arizona Xcel-MNDOC Pub. service 2004 2007 PacifiCorp- 2007 We Energies 2003 Avista utilities 2007 Bonneville (BPA) 2009 EWITS 2009 11% 15% 15% 15% 18% 29% 30% 36% 48% FIGURE 9.7 Wind Integration costs, temporally disaggregated. (Source: Wiser and Bolinger [21])