When a new power plant is constructed, the developer expects to incur costs for planning, building and connecting the unit. However, integrating this unit into the existing power system results in additional costs related to delivering the produced power to the consumer at the precise time it is needed. These costs together are grouped under the term integration cost.

• Explain the concept of integration cost, its purpose, definition and relevant points of discussion
• Describe different approaches to the quantification of grid costs, balancing costs and the economic effects on existing conventional power plant utilisation
• Specify the range of grid costs, balancing costs and economic effects on existing conventional power plant utilisation, and discuss possible reasons for variations in estimates
• Discuss the total system cost approach as an alternative for comparing integration cost in different scenarios and identify its strengths and limitations

• Those who would like to get a detailled insight into the economics of grid integration of wind and PV
• Professionals who want to compare grid integration costs with benchmark data
• Individuals who need to develop grid integration strategies for photovoltaic and wind power

• Grid costs
• Balancing power costs
• Effects on existing power plant utilisation
• Total system cost approach

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