Role of Internet of Things in Renewable Energy Generation
Nowadays, Internet of Things (IoT) concepts are leading to a world where real, digital and virtual things are converging to make the machines smarter and more intelligent. IoT will impact nearly every industry, as machines begin to communicate and make decisions autonomously, without human intervention. The common understanding of the IoT applications are in the smart cities such as energy savings in buildings and traffic in roads. However, the IoT can be applied into wider applications such as in the renewable energy applications.
Renewable Energy Generation Forecast
The IoT enables through the computing intelligence for the entire power system infrastructure and enables accessing data from renewable energy power plants such as wind farms, solar plans and hydro stations in real time for the past generation and weather patterns, together with real-time data collected and communicated through digital systems, can help improve the accuracy of renewable generation forecasts.
Maintain Grid Stability and Reliability
The electrical grid becomes more complicated with the renewable energy due to the fluctuations between the day and night. Using the IoT to connect, aggregate and control industrial and residential loads can allow them to balance the grid.
Optimized Market Operation
A system where energy is traded in shorter
increments is more difficult to manage and requires a greater degree of
automation. Digital systems can monitor remote generators and automatically
send simple instructions, operational data and corrections to operators.
Algorithmic trading is an emerging method of electricity trading and executing
a large order using automated preprogrammed trading instructions, accounting
for variables such as time, price and volume to send small slices of the order
out to the market over time. These methods have been developed in the financial
sector so that traders would not need to constantly watch a stock and execute
trades by hand.