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J.I. van Ouwerkerk
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Energy hubs versus grid reinforcement in congested industrial areas
A techno-economic comparison using agent-based modelling
The rapid electrification of industry, transport, and the built environment is increasing the pressure on Dutch distribution grids. As a result, grid congestion has emerged as a major constraint on economic development and renewable energy integration, while network reinforcement projects often require substantial investments and long implementation times. Local energy hubs, in which companies collectively coordinate local generation, storage, and demand within a shared grid connection, are increasingly recognised as a promising approach to relieve this pressure. However, while the potential of energy hubs is widely acknowledged, a systematic techno-economic comparison with conventional grid reinforcement remains absent from the scientific literature. This creates challenges for policymakers, distribution system operators, and hub participants seeking to make informed investment decisions. This thesis therefore asks: which configurations of a local energy hub provide a technically and economically viable alternative to conventional grid reinforcement for industrial areas located in congested regions of the Netherlands? To answer this question, an agent-based model was developed in NetLogo that simulates a heterogeneous group of industrial companies operating under a shared Group Transport Agreement. Each company is assigned a sector-specific demand profile, with solar PV, wind, battery storage, and EV charging evaluated over a full simulated year. A coupled cost model in Microsoft Excel translates the technical outcomes into normalised costs per megawatt of additional contracted capacity, enabling direct comparison against grid reinforcement costs derived from the investment plans of grid operators. The results show that energy hubs can provide a technically and economically viable alternative to conventional grid reinforcement, with the best configurations costing roughly half the price of grid reinforcement per megawatt of additional contracted capacity, and no configuration exceeding 2.2 times the cost. The strongest argument for energy hubs, however, is not cost but time: whereas grid reinforcement takes ten to fifteen years, a hub can be operational within roughly two years, making speed the most valuable property of all in the current congestion situation. Energy hubs and grid reinforcement are best understood as complementary rather than competing solutions: hubs can unlock capacity now for the companies that cannot wait, while grid reinforcement remains essential to build the long-term infrastructure for large scale renewables that local coordination alone cannot provide.
...
The rapid electrification of industry, transport, and the built environment is increasing the pressure on Dutch distribution grids. As a result, grid congestion has emerged as a major constraint on economic development and renewable energy integration, while network reinforcement projects often require substantial investments and long implementation times. Local energy hubs, in which companies collectively coordinate local generation, storage, and demand within a shared grid connection, are increasingly recognised as a promising approach to relieve this pressure. However, while the potential of energy hubs is widely acknowledged, a systematic techno-economic comparison with conventional grid reinforcement remains absent from the scientific literature. This creates challenges for policymakers, distribution system operators, and hub participants seeking to make informed investment decisions. This thesis therefore asks: which configurations of a local energy hub provide a technically and economically viable alternative to conventional grid reinforcement for industrial areas located in congested regions of the Netherlands? To answer this question, an agent-based model was developed in NetLogo that simulates a heterogeneous group of industrial companies operating under a shared Group Transport Agreement. Each company is assigned a sector-specific demand profile, with solar PV, wind, battery storage, and EV charging evaluated over a full simulated year. A coupled cost model in Microsoft Excel translates the technical outcomes into normalised costs per megawatt of additional contracted capacity, enabling direct comparison against grid reinforcement costs derived from the investment plans of grid operators. The results show that energy hubs can provide a technically and economically viable alternative to conventional grid reinforcement, with the best configurations costing roughly half the price of grid reinforcement per megawatt of additional contracted capacity, and no configuration exceeding 2.2 times the cost. The strongest argument for energy hubs, however, is not cost but time: whereas grid reinforcement takes ten to fifteen years, a hub can be operational within roughly two years, making speed the most valuable property of all in the current congestion situation. Energy hubs and grid reinforcement are best understood as complementary rather than competing solutions: hubs can unlock capacity now for the companies that cannot wait, while grid reinforcement remains essential to build the long-term infrastructure for large scale renewables that local coordination alone cannot provide.
Student report
(2025)
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J.I. van Ouwerkerk, J.J. de Vos, B.D. van Lith, O.V.L. Siepman, S. Koopman, S.W. Houben, José A. Á. Antolínez
The UNAM Sisal campus, situated in a remote and ecologically sensitive coastal region of Yucatán, faces significant challenges regarding sustainability and self-sufficiency. Its dependency on unreliable external infrastructure for energy and water, coupled with inadequate wastewater treatment and unstructured waste management, makes the campus vulnerable to environmental challenges and hinders its potential as a model for sustainable development. This multidisciplinary project aimed to address these issues by developing an integrated roadmap toward a self-sufficient and sustainable campus by 2035.
Using a methodological framework combining backcasting and design science principles, the study integrated stakeholder input (staff interviews, student surveys), technical data analysis, literature reviews, and expert consultations. Potential solutions across the domains of energy, water, and waste were systematically evaluated using Multi-Criteria Analysis (MCA) weighted by stakeholder preferences.
The findings indicate a clear pathway forward. For energy, prioritizing solar photovoltaic (PV) installations is recommended due to high local potential and scalability, contingent on initial detailed energy consumption monitoring. For water, the focus should be on implementing robust wastewater treatment to meet regulatory standards, followed by longer-term integration of small-scale desalination and supplementary rainwater/AC condensate harvesting. For waste, the primary step involves quantifying waste streams, followed by implementing an organizational strategy, such as a Zero Waste Grassroots Programme with source separation, composting, and partnerships for recycling.
The research ends with a phased roadmap outlining concrete short-, medium-, and long-term actions across all three domains. Successful implementation can transform the UNAM Sisal campus into a resilient, self-sufficient facility and a valuable example for sustainable practices in other coastal communities, though success depends on institutional commitment, securing funding, and establishing continuous monitoring.
Future research should focus on collecting reliable on-site data, testing pilot projects, and strengthening institutional frameworks to ensure long-term implementation, funding, and monitoring.
...
Using a methodological framework combining backcasting and design science principles, the study integrated stakeholder input (staff interviews, student surveys), technical data analysis, literature reviews, and expert consultations. Potential solutions across the domains of energy, water, and waste were systematically evaluated using Multi-Criteria Analysis (MCA) weighted by stakeholder preferences.
The findings indicate a clear pathway forward. For energy, prioritizing solar photovoltaic (PV) installations is recommended due to high local potential and scalability, contingent on initial detailed energy consumption monitoring. For water, the focus should be on implementing robust wastewater treatment to meet regulatory standards, followed by longer-term integration of small-scale desalination and supplementary rainwater/AC condensate harvesting. For waste, the primary step involves quantifying waste streams, followed by implementing an organizational strategy, such as a Zero Waste Grassroots Programme with source separation, composting, and partnerships for recycling.
The research ends with a phased roadmap outlining concrete short-, medium-, and long-term actions across all three domains. Successful implementation can transform the UNAM Sisal campus into a resilient, self-sufficient facility and a valuable example for sustainable practices in other coastal communities, though success depends on institutional commitment, securing funding, and establishing continuous monitoring.
Future research should focus on collecting reliable on-site data, testing pilot projects, and strengthening institutional frameworks to ensure long-term implementation, funding, and monitoring.
...
The UNAM Sisal campus, situated in a remote and ecologically sensitive coastal region of Yucatán, faces significant challenges regarding sustainability and self-sufficiency. Its dependency on unreliable external infrastructure for energy and water, coupled with inadequate wastewater treatment and unstructured waste management, makes the campus vulnerable to environmental challenges and hinders its potential as a model for sustainable development. This multidisciplinary project aimed to address these issues by developing an integrated roadmap toward a self-sufficient and sustainable campus by 2035.
Using a methodological framework combining backcasting and design science principles, the study integrated stakeholder input (staff interviews, student surveys), technical data analysis, literature reviews, and expert consultations. Potential solutions across the domains of energy, water, and waste were systematically evaluated using Multi-Criteria Analysis (MCA) weighted by stakeholder preferences.
The findings indicate a clear pathway forward. For energy, prioritizing solar photovoltaic (PV) installations is recommended due to high local potential and scalability, contingent on initial detailed energy consumption monitoring. For water, the focus should be on implementing robust wastewater treatment to meet regulatory standards, followed by longer-term integration of small-scale desalination and supplementary rainwater/AC condensate harvesting. For waste, the primary step involves quantifying waste streams, followed by implementing an organizational strategy, such as a Zero Waste Grassroots Programme with source separation, composting, and partnerships for recycling.
The research ends with a phased roadmap outlining concrete short-, medium-, and long-term actions across all three domains. Successful implementation can transform the UNAM Sisal campus into a resilient, self-sufficient facility and a valuable example for sustainable practices in other coastal communities, though success depends on institutional commitment, securing funding, and establishing continuous monitoring.
Future research should focus on collecting reliable on-site data, testing pilot projects, and strengthening institutional frameworks to ensure long-term implementation, funding, and monitoring.
Using a methodological framework combining backcasting and design science principles, the study integrated stakeholder input (staff interviews, student surveys), technical data analysis, literature reviews, and expert consultations. Potential solutions across the domains of energy, water, and waste were systematically evaluated using Multi-Criteria Analysis (MCA) weighted by stakeholder preferences.
The findings indicate a clear pathway forward. For energy, prioritizing solar photovoltaic (PV) installations is recommended due to high local potential and scalability, contingent on initial detailed energy consumption monitoring. For water, the focus should be on implementing robust wastewater treatment to meet regulatory standards, followed by longer-term integration of small-scale desalination and supplementary rainwater/AC condensate harvesting. For waste, the primary step involves quantifying waste streams, followed by implementing an organizational strategy, such as a Zero Waste Grassroots Programme with source separation, composting, and partnerships for recycling.
The research ends with a phased roadmap outlining concrete short-, medium-, and long-term actions across all three domains. Successful implementation can transform the UNAM Sisal campus into a resilient, self-sufficient facility and a valuable example for sustainable practices in other coastal communities, though success depends on institutional commitment, securing funding, and establishing continuous monitoring.
Future research should focus on collecting reliable on-site data, testing pilot projects, and strengthening institutional frameworks to ensure long-term implementation, funding, and monitoring.