The capacity factor of a power plant is the ratio of generation over its potential generation. It is an important measure to describe wind and solar resources. However, the fluctuating nature of renewable power generation makes it difficult to integrate all generation at times. Whenever generation exceeds the load, curtailment or storage of energy is required. With increasing renewable shares in the power system, the level of curtailment will further increase. In this work, the influence of the curtailment on the capacity factors for a highly renewable German power system is studied. An effective capacity factor is introduced, and the implications for the distribution of renewable power plants are discussed. Three years of highly-resolved weather data were used to model wind and solar power generation. Together with historical load data and a transmission model, a possible future German power system was simulated. It is shown that effective capacity factors for unlimited transmission are strongly reduced by up to 60% (wind) and 70% (photovoltaics) and therefore of limited value in a highly renewable power system. Furthermore, the results demonstrate that wind power benefits more strongly from a reinforced transmission grid than photovoltaics (PV) does.

Shares of renewables continue to grow in the European power system. A fully renewable European power system will primarily depend on the renewable power sources of wind and photovoltaics (PV), which are not dispatchable but intermittent and therefore pose a challenge to the balancing of the power system. To overcome this issue, several solutions have been proposed and investigated in the past, including storage, backup power, reinforcement of the transmission grid, and demand side management (DSM). In this paper, we investigate the potential of DSM to balance a simplified, fully renewable European power system. For this purpose, we use ten years of weather and historical load data, a power-flow model and the implementation of demand side management as a storage equivalent, to investigate the impact of DSM on the need for backup energy. We show that DSM has the potential to reduce the need for backup energy in Europe by up to one third and can cover the need for backup up to a renewable share of 67%. Finally, it is demonstrated that the optimal mix of wind and PV is shifted by the utilisation of DSM towards a higher share of PV, from 19% to 36%.