the future profiles of generation and demand are
better understood. As discussed later in this
report, nodal pricing provides a locational signal
for non-network alternatives.
Flexible resources provide a range of system
services. As well as substituting for and deferring
new network investments, services provided by
flexible resources include balancing and system
stability. To provide balancing services, electricity storage can hold surplus energy until it is
needed, and demand response can shift demand
to when electricity is being generated. To provide
system stability, electricity storage and demand
response can adjust system voltage and
Fig. 33 UK offshore wind farm zones identified for the development of renewable energy. Source The Crown Estate
(2017)
Special Report 1: A Study of China’s Energy Supply Revolution
97
better understood. As discussed later in this
report, nodal pricing provides a locational signal
for non-network alternatives.
Flexible resources provide a range of system
services. As well as substituting for and deferring
new network investments, services provided by
flexible resources include balancing and system
stability. To provide balancing services, electricity storage can hold surplus energy until it is
needed, and demand response can shift demand
to when electricity is being generated. To provide
system stability, electricity storage and demand
response can adjust system voltage and
Fig. 33 UK offshore wind farm zones identified for the development of renewable energy. Source The Crown Estate
(2017)
Special Report 1: A Study of China’s Energy Supply Revolution
97