Enhancing Power Quality and the Corresponding Expenses in Distribution Networks with High Levels of Harmonic Loads

Enhancing power quality within distribution networks is crucial to ensure the reliable and efficient operation of electrical systems, especially with the growing presence of non-linear loads and renewable energy sources. This study investigates the efficacy of passive filters as a cost-effective solution for mitigating harmonics and improving power quality within a typical distribution network in Nigeria. The research delves into the investment costs associated with implementing passive filters and assesses their economic viability by analyzing the payback period. The study begins by examining the characteristics of harmonic distortion in distribution networks, highlighting its detrimental effects on voltage profile which affects the equipment performance, energy efficiency, and system reliability. Passive filters are then introduced as a viable technology for harmonic mitigation, offering simplicity, reliability, and low maintenance requirements compared to active filtering solutions. A comprehensive cost-benefit analysis is conducted to evaluate the investment cost of deploying passive filters across distribution networks with multiple tariff bands. Additionally, the payback period is estimated based on various factors, including tariff band, filter size, tuning, and installation considerations, which are taken into account during the cost assessment. The results of the analysis demonstrate the economic feasibility of implementing passive filters for power quality improvement in distribution networks, with shorter payback periods observed in scenarios with higher tariff rates Furthermore, the study reveals that distribution networks within tariff bands A and B tend to yield quicker returns on investment compared to those in bands C to $E$ within Nigeria's grid network. These findings offer valuable insights for effective distribution system planning policies in Nigeria's grid network.