entropy

Article
Formulation of Exergy Cost Analysis to Graph-Based
Thermal Network Models
Stefano Coss 1,2,3, *, Elisa Guelpa 1 , Etienne Letournel 3 , Olivier Le-Corre 2 and Vittorio Verda 1
1 Department of Energy, Politecnico di Torino, Turin 10129, Italy;
[email protected] (E.G.); [email protected] (V.V.)
2 Department of Energy Systems and Environment, Ecole des Mines de Nantes, Nantes 44300, France;
[email protected]
3 Department of Research and Innovation, Veolia VERI, Limay 78520, France; [email protected]
* Correspondence: [email protected]; Tel.: +43-699-1050-9386

Academic Editor: Milivoje Kostic

Received: 12 January 2017; Accepted: 8 March 2017; Published: 10 March 2017

Abstract: Information from exergy cost analysis can be effectively used in the design and management
of modern district heating networks (DHNs) since it allows to properly account for the irreversibilities
in energy conversion and distribution. Nevertheless, this requires the development of suitable
graph-based approaches that are able to effectively consider the network topology and the variations
of the physical properties of the heating fluid on a time-dependent basis. In this work, a formulation
of exergetic costs suitable for large graph-based networks is proposed, which is consistent with
the principles of exergetic costing. In particular, the approach is more compact in comparison to
straightforward approaches of exergetic cost formulation available in the literature, especially when
applied to fluid networks. Moreover, the proposed formulation is specifically considering transient
operating conditions, which is a crucial feature and a necessity for the analysis of future DHNs.
Results show that transient effects of the thermodynamic behavior are not negligible for exergy cost
analysis, while this work offers a coherent approach to quantify them.

Keywords: graph-based models; exergy; thermoeconomics; exergy costing; district heating

1. Introduction
Thermoeconomics is a rational approach for understanding the process of cost formation within
energy systems. This process is based on the way of using energy resources according to their quality,
the latter being expressed through the concept of exergy. Thermoeconomics can be applied to energy
systems with different purposes: costing [1], design improvement [2], optimization [3], diagnosis [4],
control [5], etc.
Since thermoeconomics is a thermodynamic-based costing method, it is highly interesting for
the evaluation of district heating networks which involve the use of both thermal and mechanical
energy [6]. In [7], authors highlight the usefulness of low-temperature integration to increase the
district heating network’s (DHN) performance and reduce friction losses. Due to the fact that
system performance of DHNs is highly related to thermal losses and the temperature levels in
the network, thermoeconomics seems to be a reasonable way of accounting for them. A survey
of actual literature clearly shows that this approach is used for the design of DHN systems [8],
calculation of optimum pipe insulation thickness [9] and performance assessment of renewable
supply [10]. Cost accounting based on exergy is particularly useful to evaluate the primary energy
savings associated with retrofitting options applied to buildings connected with district heating [11]
or to compare the production costs of different producers depending on their position and the
quality of their heat produced [12]. These are important aspects in modern district heating networks,

Entropy 2017, 19, 109; doi:10.3390/e19030109 www.mdpi.com/journal/entropy

Entropy 2017, 19, 109 2 of 13

where it is crucial to take advantage of heat available from industrial processes, renewable energy
or local resources. In addition, exergy costing could be a rational basis for regulating third party
access to the heating infrastructure. Thermoeconomic analysis can be also used for helping heuristic
optimization procedures, as proposed in [13], where a simulated-annealing algorithm has been applied
to DHN planning.
In order to improve the DHN performance both in design and operation, the representation of
such networks based on graph theory seems promising. This model approach was developed in [14]
and is based on graph theory topology and a time-dependent, thermo-fluid dynamic solving technique
to analyze the thermodynamic behavior of the system. While other authors focused on steady-state
analysis [15], this approach is able to represent the time-dependent behavior that is a key advantage in
analyzing peak loads caused by simultaneous consumer requests.
The graph-based approach uses nodes to represent network inlets, outlets or
junctions/connections, while branches represent the network tubes. The hot water flows in
the tubes, characterized by a mass flow assigned to the branches (weights), while temperature and
pressure levels are defined at network nodes. Based on the theory of exergetic costs, thermoeconomics
practically uses matrix representation of an energy conversion system including auxiliary equations
to deal with e.g., multi-product flows at splitters [16]. The direct utilization of this methodology is
rather suitable for small applications than for large networks since it causes a significant increase of
the problem size due to the additional auxiliary equations. Generally, this results in an increase of
computational effort and therefore cost, which should be avoided, especially when the approach is
applied to networks that might be composed of 10 k–100 k nodes.
This paper aims at providing a thermoeconomic formulation to graph-based networks, which is
(a) consistent with the theory of exergetic costing; (b) is coherent with graph-based thermal network
models and (c) is suitable for large networks without increasing the problem dimension.
This is done by assigning unit exergetic costs to network nodes through a compact formulation
of exergetic cost balances for proper control volumes. The exergetic cost balances are written in
a transient formulation in order to account for the thermal storage that intrinsically takes place in
thermal networks during operation. The thermodynamic states are obtained from application of
the mass, momentum and energy equations to the examined network, accounting for its topology,
pipe characteristics and operational regimes. In Section 2, the theoretical aspects of the methodology are
presented starting with a short introduction on graph-based thermal networks and their specifications.
This is followed by the development of the exergy cost formulation including the definition of the
control volume and the exergetic cost balances for network nodes resulting in a compact matrix
formulation, which only uses the network topology and the network characteristics (mass flows,
temperatures) for evaluation. This guarantees the coherence with graph-based network models as
developed in [14]. In Section 3, the methodology is exemplarily applied to a thermal network, which is
part of the DHN in Turin/Italy. The case study has been specifically selected in order to show the
characteristic transient behavior of the DHN related with the operation of a power/heating plant and
a thermal energy storage connected to it. Results, shown in Section 4, highlight the fact that the cost
associated with the transient behavior may not be negligible and of the order of a few percentage
points with respect to the unit cost of heat produced by the heating plant (particularly in the case of
cogeneration systems).
The proposed approach is thus suitable for the analysis of the operating conditions of
real networks, especially in the case when their operation involves variations in supply/return
temperatures the use of intermittent energy (exergy) sources and/or storage. This exergy cost analysis
can be used for various different purposes, such as: (1) optimal use of waste heat depending on
the temperature level and the position of the heat source; (2) optimal installation of storage units,
both centralized or distributed; (3) definition of optimal schedules of the thermal users; and (4) costing,
especially in the case of users characterized by multiple temperature level request or in the case of
multiple producers.
Entropy 2017, 19, 109 3 of 13
Entropy 2017, 19, 109 3 of 12

2. Materials and Methods

2. Materials and Methods
2.1.Graph-Based
2.1. Graph-BasedThermal
ThermalNetworks
Networks
Theuse
The useofof graph-based
graph-based network
network models
models is widely
is widely usedused in engineering
in engineering and
and as as e.g.,
such suchine.g.,
the in the
field
field of mechanical systems, production processes and decision analysis [17]. Furthermore,
of mechanical systems, production processes and decision analysis [17]. Furthermore, therma energy thermal
energy like
systems systems
DHNs like
canDHNs
also becan also bethrough
modeled modeled through
graph graph
networks, networks,
where the two where the two
fundamental
fundamental
properties, nodesproperties, nodes are
and branches, andused
branches, are used
to represent to represent dynamic
the thermo-fluid the thermo-fluid
propertiesdynamic
of the
properties of the system [14,17]. Considering Figure 1a, a general graph network consists
system [14,17]. Considering Figure 1a, a general graph network consists of n nodes connected of nodes by
connected
b branches. by branches.

Figure1.1.(a)
Figure (a)Simple
Simpledirected
directedgraph;
graph;(b)
(b)thermal
thermalgraph
graphnetwork.
network.

InIn thermal
thermal networks,
networks, the the branches
branches represent
represent the the pipes,
pipes, while
while the the nodes
nodes represent
represent
junctions/splitters where
junctions/splitters where different
different pipes
pipes areare connected.
connected.Despite Despitethe thefact that
fact that heating
heating networks
networks are
closed networks, usually they are represented as open networks,
are closed networks, usually they are represented as open networks, considering only the supply considering only the supply
network.In
network. Inthis
thiscase,
case,thetheboundary
boundarynodes nodesare arerepresenting
representingthe thethermal
thermalenergy
energyusers usersor orproducers,
producers,
i.e., the buildings connected with the network and the thermal plants.
i.e., the buildings connected with the network and the thermal plants. Based on that, mass flow Based on that, mass flowrates
rates
are assigned to the branches, while temperatures and pressures
are assigned to the branches, while temperatures and pressures are assigned to the network nodes.are assigned to the network nodes.
InInnodes
nodesrepresenting
representingthe theusers/producers,
users/producers,aamass massflowflowraterateisisextracted/injected.
extracted/injected. Each Eachbranch
branchisis
conventionally oriented. Inlet and outlet nodes can be identified according
conventionally oriented. Inlet and outlet nodes can be identified according with their conventional with their conventional
verse.AAmass
verse. massflow flowraterateisispositive
positive oror negative
negative depending
depending if its
if its realreal direction
direction is coherent
is coherent or opposite
or opposite to
to the
the conventional
conventional one.one.
Theresult
The resultofofthatthatapproach
approachisisaagraphgraphrepresentation
representationofofthe thethermal
thermalnetwork
networkconsidering
consideringmass mass
flows,temperature
flows, temperatureand andpressure
pressurevalues
valuesasasshown
shownininFigure
Figure1b. 1b.
According to graph theory [18], the topology
According to graph theory [18], the topology of the graph, including of the graph, includingthe theinformation
informationofofthe the
connections between the nodes, can be described through the incidence
connections between the nodes, can be described through the incidence matrix. The incidence matrix matrix. The incidence matrix
AA( ) provides
(n × ×b) provides information
information on on
the the interconnections
interconnections of theofnetwork.
the network. The general
The general term Aterm is
ij is equal
equal to 1 if the i-th node is the inlet node of the j-th branch, while it is −1
to 1 if the i-th node is the inlet node of the j-th branch, while it is −1 if the node is the exiting node and if the node is the exiting
itnode
is 0 ifandthe itnode
is 0 if
is the
not node
relatedis not
withrelated with the branch.
the branch.
Different models to calculate mass flows, temperature
Different models to calculate mass flows, temperature and andpressure
pressurevalues
valuescan canbe beconsidered
consideredin
a network. Nevertheless, this work focuses on the results that can
in a network. Nevertheless, this work focuses on the results that can be obtained by a thermo-fluid be obtained by a thermo-fluid
dynamicapproach
dynamic approachdeveloped
developedinin[14], [14],which
whichisisparticularly
particularlysuitable
suitabletotoeffectively
effectivelymodel modeltransient
transient
operations in large networks with multiple loops. It must be noted that, in transient operation, both both
operations in large networks with multiple loops. It must be noted that, in transient operation, the
the thermodynamic
thermodynamic properties
properties and the and the directions
directions of the
of the hot hotflow
water water canflow can in
change change in time,
time, which which
implies
implies
the the calculation
calculation of time-dependent
of time-dependent network properties.
network properties.

2.2. Control Volume Definition and Exergetic Analysis

The exergetic analysis of the network provides the basis for the exergy cost approach and must
be carried out using the results of the network model. As described before, the model result provides
Entropy 2017, 19, 109 4 of 13

2.2. Control Volume Definition and Exergetic Analysis

The
Entropy exergetic
2017, analysis of the network provides the basis for the exergy cost approach and must
19, 109 4 of be
12
carried out using the results of the network model. As described before, the model result provides
information aboutthe
information about themass
massflow
flow rates
rates of of
eacheach branch
branch andand the temperature/pressure
the temperature/pressure levellevel at node
at each each
node of the network. The control volume is essential for assigning exergy flows to branches
of the network. The control volume is essential for assigning exergy flows to branches and nodes andof
nodes of the network.
the network. Figurethe
Figure 2 shows 2 shows
controlthe controlfor
volumes volumes for both
both exergy andexergy
exergyand
costexergy cost
analysis analysis
defined in
defined in
this work. this work.

Figure
Figure 2.
2. Control
Control volumes
volumes for
for (a)
(a) exergy
exergy and
and (b)
(b) exergy
exergy cost
cost analysis.
analysis.

The control volume defines the position of the exergy balance around the node and is shown in
The control volume defines the position of the exergy balance around the node and is shown in its
its general form in Figure 2a. Considering a generic node , a distinction between upstream up nodes
general form in Figure 2a. Considering a generic node n, a distinction between upstream nodes n and
and downstream nodes must be made according to the direction of the mass flow rates at
downstream nodes ndown must be made according to the direction of the mass flow rates at a specific
a specific time-step. Upstream nodes are those supplying exergy to the control volume through
time-step. Upstream nodes are those supplying exergy to the control volume through entering mass
entering mass flow rates, while downstream nodes extract exergy flow from the control volume
flow rates, while downstream nodes extract exergy flow from the control volume through exiting mass
through exiting mass flow rates.
flow rates.
In order to define the exergy flow crossing the control volume boundary, a numerical “upwind
In order to define the exergy flow crossing the control volume boundary, a numerical
scheme” is applied. This is the same numerical scheme that is adopted for calculating temperature
“upwind scheme” is applied. This is the same numerical scheme that is adopted for calculating
distributions in the network [14], while here it is extended to the exergetic costs. In general, the
temperature distributions in the network [14], while here it is extended to the exergetic costs. In general,
exergetic flow at the control volume boundary . between node and its upstream node
the exergetic flow at the control volume boundary ψnup n between node n and its upstream node nup is
is a function of the mass flow. rate in the branch crossing the control volume and the
a function of the mass flow rate mnup n in the branch crossing the control volume and the temperature
temperature and pressure of the upstream node and respectively.
and pressure of the upstream node Tnup and pnup respectively.
The functional relation to evaluate the exergy flow exchanged at the control surface with
The functional relation to evaluate the exergy flow exchanged at the control surface with
surrounding control volumes is the definition of thermal and mechanical exergy according to [19]. In
surrounding control volumes is the definition of thermal and mechanical exergy according to [19].
the case of entering flows, the expression for incompressible fluid is given in Equation (1)
In the case of entering flows, the expression for incompressible fluid is given in Equation (1)
−
= ∙  − −  up  + up , (1)
. . T p − p0
ψnup n = mnup n · c p Tnup − T0 − T0 ln n + n , (1)
T0 ρ
where is the specific heat, and are the ambient temperature and pressure values and is
the fluid density.
where c p is the specific heat, T0 and p0 are the ambient temperature and pressure values and ρ is the
fluidIn the case of exiting flows, node becomes the upstream node. Therefore, the properties of
density.
nodeIn the should be exiting
case of considered
flows,for evaluating
node the the
n becomes exergy flows.node. Therefore, the properties of node
upstream
n should be considered for evaluating the exergy flows. supplied to an external user
Exergy can be directly extracted from the node and or supplied
to the node from an external producer . P
. These streams are directly associated with the mass flow
Exergy can be directly extracted from the node and supplied to an external user ψn or supplied to
rates extracted or injected in the node, .F as indicated in Figure 1b. Equation (1) is used for their
the node from an external producer ψn . These streams are directly associated with the mass flow rates
evaluation, where temperature and pressure are the source values in the case of entering flows and
extracted or injected in the node, as indicated in Figure 1b. Equation (1) is used for their evaluation,
the node values in the case of exiting flows.
where temperature and pressure are the source values in the case of entering flows and the node values
Furthermore, a transient term of exergetic flow must be considered to account for the
in the case of exiting flows.
time-dependent thermodynamic behavior of the network. It was already mentioned that directions
of mass flow in the branches may change in time. In a steady-state condition, the temperature of the
upstream node of a given branch always has a higher temperature than its downstream node, due to
thermal losses. In case a change in direction takes place in a certain branch, the downstream node
results in a higher temperature than its upstream node, which is followed by the effect that the
downstream node cools down to a certain level lower than its upstream temperature. During that
time, the exergy flow exiting the control volume of the downstream node is higher than the entering
Entropy 2017, 19, 109 5 of 13

Furthermore, a transient term of exergetic flow must be considered to account for the
time-dependent thermodynamic behavior of the network. It was already mentioned that directions
of mass flow in the branches may change in time. In a steady-state condition, the temperature of
the upstream node of a given branch always has a higher temperature than its downstream node,
due to thermal losses. In case a change in direction takes place in a certain branch, the downstream
node results in a higher temperature than its upstream node, which is followed by the effect that the
downstream node cools down to a certain level lower than its upstream temperature. During that
time, the exergy flow exiting the control volume of the downstream node is higher than the entering
exergy flow, which would not be possible if only steady-state balance equations would be considered.
During this cool-down phase, the downstream node is therefore providing previously-stored exergy
to the control volume balance. Comprehensively, the same effect applies when node temperature
increase, where also in this case, a transient term must be considered in order to avoid overestimation
of exergy destruction. To account for this transient behavior, the change in exergy of the mass in the
δψ
control volume δtn of node n must be considered and evaluated according to Equation (2)
  
δψn δ Tn
= Mn c p Tn − T0 − T0 ln , (2)
δt δt T0

where Mn is the mass in the control volume of node n. For each branch, half of its mass is contributing
to the control volume, except for nodes that have only one branch connected (such as user nodes).
This is due to the energy balance formulation in the underlying thermo-fluid dynamic model. Mn is
then the sum of the contributions of all branches in the control volume bncon , while each contributing
mass is calculated based on the geometric properties of the corresponding branch, length l and diameter
d as well as fluid density ρ, see Equation (3):
2
dbncon

ρ
Mn =
x ∑ bncon
2
·π ·lbncon , with
(3)
x = 1 for user nodes, x = 2 for all other nodes

Simply speaking, the mass in the control volume, which must be evaluated to account for transient
change in exergy, is the sum of half of the mass in each branch, except for user nodes.
No mechanical exergy is considered in Equation (2) since the fluid flow problem is typically
written in steady state due to the much higher propagation velocity of pressure waves, which travel
the network at the speed of sound, different to the advective flows, which travel the network at the
fluid velocity.
δψ
The transient term δtn can either be included negative or positive in the exergy balance.
δψn
According to the formulation in Equation (2), the term δt is negative if node n cools down,
δψn
which implies that the absolute value of δt must be added as a fuel exergy stream to the control
volume and vice versa.
.D
Finally, a certain amount of exergy destruction at each node ψn must be considered due to
irreversibilities in the network. Based on those terms, the exergy balance equation can be written down
for node n according to Equation (4)

. .F δψn . .P .D
∑up ψnup n + ψn − δt
− ∑ ψnndown − ψn − ψn = 0 (4)
n ndown

Through applying the exergy balance of Equation (4), it is possible to calculate the amount of
exergy destroyed in the control volume of each node in the network. The destruction of exergy is the
major driving factor for increased exergetic costs at the network nodes, which is developed in the
next subsection.
Entropy 2017, 19, 109 6 of 13

2.3. Exergetic Cost Balance

.∗
Exergetic cost ψ is a conservative value accounting for the amount of external exergy that is
necessary to make an exergy flow available within a specific productive process [16]. A unit exergy
cost k∗ can be defined by dividing the exergetic cost by the corresponding exergy, as in Equation (5)
.∗
∗ ψ
k = . , (5)
ψ

assuming the primary resources with a unit exergy cost equal to one, unit exergy costs k∗ are thus
a measure of the amount of irreversibilities, thus exergy destructions, which occur during the upstream
processes in order to form a given exergy stream. Therefore, the higher the exergy destruction,
the higher the unit exergy cost.
The definition of exergetic costs in Equation (5) is applied to the control volume in Figure 2a,
leading to the exergetic cost balance for each node. As for exergy, exergetic costs are also defined at the
border of the control volumes. The result can be seen in Figure 2b, which shows an example of a generic
.∗ .∗
node having two entering exergy cost streams from upstream nodes ψnup1 n and ψnup2 n (resource flows),
.∗ .∗
two exiting exergy cost streams ψnndown1 and ψnndown2 (product flows), one external exergy cost stream
. ∗,F
ψn (resource flow) entering, e.g., an exergy cost stream from an energy supplying unit and one external
. ∗,P
product exergy cost stream ψn (product flow), supplying, for instance, a connected subnetwork or
consumer. This formulation of resources and products is not strictly necessary for calculation of costs
but has been indicated in order to better relate the general nodal behavior with the prepositions
proposed in the “theory of exergy cost”. Firstly, this definition does not contradict alternative
formulations of resources and products in the case of mixing between different streams, as it occurs
in the junctions. For example in the SPECO approach, the resource would be defined as the exergy
decrease of the hotter stream and the product would be defined as the exergy increase of the colder
stream [20]. In fact, in the present formulation, the exergetic cost of the node results through application
of the exergy cost balance of the node. Secondly, the definition of the control volume, thus assigning
a unit exergetic cost to each single node, assures that the principles of exergetic costing, are included:
(1) the exergetic cost balance for a generic node n is written as in Equation (6):
 
.∗ . ∗,F .P .
∑ nup ψnup n + ψn − k∗n ψn + ∑ ndown ψnndown = 0, (6)

(2) multi-product flows have equal unit exergetic costs, which is the unit cost of the node through the
upwind scheme; (3) unit costs of exergy streams entering the system from outside, i.e., from the external
producers, are imposed through Dirichelet boundary conditions, in agreement with the thermal model.
This means that costs are calculated without any specific application of the prepositions, but only
proceeding coherently with the numerical scheme adopted for solving the energy equation.
The cost balance at node n evaluates the unit exergy costs k∗n based on the cost flows entering
and exiting the control volume. This approach can be applied to each node in the network leading to
a set of linear systems that can be numerically solved. In order to provide a compact formulation for
graph-based networks, a matrix formulation is developed which uses the network topology and its
characteristic properties only.

2.4. Matrix Formulation of the Approach

In this section, the matrix formulation for the exergetic cost balance is developed. The aim is
to provide an analytical matrix formulation on the basis of the network topology. To represent the
network topology, the incidence matrix A is used:
Entropy 2017, 19, 109 7 of 13

· · · a1,b
 
a1,1
 .. .. .. , with
A= . . . 
an,1 · · · an,b (7)
an,b = −1 for the branches b entering node n,
an,b = +1 for the branches b exiting node n.

It is worth mentioning, that to apply the upwind scheme, the real verses of mass flow rates
should be considered instead of the conventional ones. This means that the incidence matrix should be
updated at each time step of the analysis once the fluid flow problem is solved, by changing the signs
in each column corresponding with negative mass flow rates.
Furthermore, the exergy flows exchanged between all control volumes of the network,
.
i.e., the flows in all branches, can be casted in an exergy flow vector ψ (b × 1). Another vector
.
ψtrans (n × 1) is needed to include information on the amount of exergy stored/released in each
control volume based on its transient behavior. The boundary conditions associated with the external
fuel costs are imposed in the vector ψ∗,F (n × 1), while the costs of extracted flows appear in vector
ψP (n × 1). Equations (8)–(11) show the defined vectors:
 . 
ψ1
.
. 
ψ2

ψ= (8)
 

 ... 
.
ψb
 
δψ1
. 1  δψ2

ψtrans =  (9)

δt  . . .


δψn
 .P 
ψ
 . 1P 
.P  ψ 
ψ = 2  (10)
 ... 
 
.P
ψn
 . ∗,F 
ψ1
 . ∗,F 
. ∗,F  ψ 
ψ = 2  (11)
 ...
 

. ∗,F
ψn
Through the use of matrix representation of Equations (7)–(11), the exergetic cost balance in
Equation (6) can be rewritten as in Equation (12):
nh .  T i h.P . io . ∗,F
A × I ψ × A+ + I ψ − ψtrans k∗ = ψ , (12)

where I is the identity matrix and matrix A+ (n × b) is the positive part of the incidence matrix and
can be obtained through applying Equation (13) to each matrix entry:

a+
n,b = max ( an,b , 0) (13)

This approach can be used for any type of DHN topology, where every branch is connected with
two nodes. The result is the calculation of unit exergetic costs at network nodes k∗ , which provides
information on thermodynamic-based costs of exergy destruction at network nodes. Based on
Entropy 2017, 19, 109 8 of 13

Equation (12), k∗ is evaluated numerically for a specific time-step. When analyzing the time-dependent
behavior of the thermal network, Equation (12) must be applied to each single time-step. In that case,
each term must be evaluated based on current exergy flows and the actual directions in the branches.
Therefore, both A and the exergy-based vectors of Equations (8)–(11) must be updated according to the
actual condition. For a given timeframe t, a time-dependent unit exergy cost matrix K∗ (n × t) can be
derived, which shows the unit exergy cost behavior of each node in time.
This approach is especially suitable for application to large networks because its formulation is
based on the network topology and can therefore be easily integrated into the numerical algorithm,
which is coherent with the one used for calculating temperature and pressure evolutions. Furthermore,
. ∗,F
information on external exergy costs is integrated into ψ , which makes additional auxiliary equations
unnecessary. This avoids increasing the problem size and reduces computation costs compared to
the classical formulation, while the principles of exergetic costing are integrated. It must be noted
that, in the case of real applications, economic costs like capital, operating and maintenance costs
must also be considered as external exergy cost flows. Based on the provided matrix formulation in
. ∗,F
Equation (12), those costs can comfortably be included in ψ .

3. Case Study: Example Thermal Heat Network

In this section, the proposed thermoeconomic formulation is applied to an example of a thermal
network which consists of nine nodes connected via eight branches as can be seen in Figure 3. This is
a small portion of the DHN in Turin located in Italy, where a power/heating plant and a thermal
heat storage are connected. This network is chosen in order to show the exergetic cost behavior in
a transient operating condition, which is derived from a time-dependent supply of heat by the power
plant and the storage unit.
Entropy 2017, 19, 109 8 of 12
The case-study data is taken from previous projects, previously analyzed in [14], which have
analyzed
Figure 3 arethe thermo-fluidynamic
proportional to theirbehavior of the
real lengths innetwork. The lengths
the network. Based on of the
the branches shownthe
data available, in
Figure 3 are proportional to their real lengths in the network. Based on the data available,
heating plant is supplying the network with hot water at a constant temperature of 120 °C and a the heating
plant
mass isflow
supplying the network
rate depending onwith
the hot waterrequest
thermal at a constant temperature
of the 120 ◦ Cin
consumer, ofwhich, and a mass
this flow
example,
rate depending on the thermal request of the consumer, which, in this example,
corresponds to the subnetwork in Figure 3. The thermal request is modeled as a mass flow rate corresponds to the
subnetwork in Figure 3. The thermal request is modeled as a mass
extracted from node 7. Correspondingly, an exergy flow is extracted from node 7flow rate extracted from node
and supplied 7.
.P
to the rest of the network
Correspondingly, (not
an exergy represented
flow here).
is extracted fromThe
nodestorage unitsupplied
7 ψ7 and is connected torest
to the nodeof 1the
and can be
network
operated
(not either in
represented charging
here). or discharging
The storage mode, thus
unit is connected either
to node extracting
1 and or injecting
can be operated exergy
either to the
in charging
network.
or discharging mode, thus either extracting or injecting exergy to the network.

Figure
Figure 3. Example of
3. Example of thermal
thermal network.
network.

The aim of the analysis is to derive the unit exergy cost of heat in the network and particularly
in node 7 ∗ , which represents the costs of heat supplied to the network. If, e.g., an external
consumer were connected to that node, a unit exergy costs could be assigned to the final use of that
exergy stream.
Considering the example network, the heating plant is supplying mass flow at a certain
 Figure 3. Example of thermal network.
Entropy 2017, 19, 109 9 of 13
The aim of the analysis is to derive the unit exergy cost of heat in the network and particularly
in node 7 ∗ , which represents the costs of heat supplied to the network. If, e.g., an external
The aim of the analysis is to derive the unit exergy cost of heat in the network and particularly in
consumer were connected to that node, a unit exergy costs could be assigned to the final use of that
node 7 k∗7 , which represents the costs of heat supplied to the network. If, e.g., an external consumer
exergy stream.
were connected to that node, a unit exergy costs could be assigned to the final use of that exergy stream.
Considering the example network, the heating plant is supplying mass flow at a certain
Considering the example network, the heating plant is supplying mass flow at a certain
temperature level into the network, while the storage is either supplying or extracting mass flow of
temperature level into the network, while the storage is either supplying or extracting mass flow of
the network. Therefore, each branch has a certain mass flow while, for each node, a temperature is
the network. Therefore, each branch has a certain mass flow while, for each node, a temperature is
assigned. Based on the results provided by the thermo-fluidynamic model, the network properties
assigned. Based on the results provided by the thermo-fluidynamic model, the network properties can
can be calculated and are exemplarily shown for the control volume of node 5 in Figure 4.
be calculated and are exemplarily shown for the control volume of node 5 in Figure 4.

Figure 4.
Figure Mass flows
4. Mass flows and
and temperature
temperature levels
levels for
for node 5.

The figure shows both mass flow rates and temperature evolution for a timeframe between
20:00 (t = 0) and 11:00 (t = 900) for a typical day throughout the heating season in Turin. The mass
.
flow coming from the path of the heating plant m85 varies between 500 and 1300 kg/s with a peak
during the morning hours at about t = 670. The mass flow corresponding to the injection or extraction
.
from the storage m45 shows a low supply at the beginning followed by a stand-by and a charging phase
during the nighttime (180 < t < 600). The charging is represented through negative mass flow values
.
of m45 . During the stand-by, the model assumes a very small mass flow in order to avoid numerical
issues. Temperatures in the branches connecting the storage unit to the remaining part of the network
register a drop because, in this operating regime, heat losses do not change significantly, while the heat
transferred becomes almost zero. In the quasi-steady state conditions, temperature decreases along the
flow direction, e.g., at 0 < t < 80, T8 > T5 > T6 .
This might not be the case during transient conditions, where the directions of the mass flow
change and, therefore, a downstream node shows a higher temperature level than its upstream
node. Due to the fact that the storage mode changes from charging to discharging and vice versa,
the temperature levels along the path of the storage are highly affected by the changing supply of
different mass flows at different temperatures.

4. Results and Discussion

The result of exergetic cost analysis is given in Figure 5, showing the relative increase of
normalized unit exergy costs of the nodes ∆knorm
n for two different network conditions. The relative
normalized unit exergy costs ∆k∗n,norm are derived through Equation (14)

∆k∗n,norm = k∗n − k∗supply , (14)

4. Results and Discussion
The result of exergetic cost analysis is given in Figure 5, showing the relative increase of
normalized unit exergy costs of the nodes ∆ for two different network conditions. The relative
normalized unit exergy costs ∆ ∗, are derived through Equation (14)
Entropy 2017, 19, 109 ∗,
10 of 13
∗ ∗
∆ = − , (14)
where ∗ is the unit exergy cost of the external flow at the plant and storage nodes. This
where k∗supply is the unit exergy cost of the external flow at the plant and storage nodes.
representation is used in order to show the evolution of ∗ throughout the network, regardless of
This representation is used in order to show the evolution∗ of k∗n throughout the network, regardless of
the unit exergy costs of external inflows. In this case, = 1 is assumed for the thermal plant.
the unit exergy costs of external inflows. In this case, k∗supply = 1 is assumed for the thermal plant.
This value needs to be calculated from exergy cost analysis applied to the thermal production from fossil
This value needs to be calculated from exergy cost analysis applied to the thermal production from
fuel in order to account for the irreversibilities occurring in the cogeneration system.
fossil fuel in order to account for the irreversibilities occurring in the cogeneration system.

∆ ∗n∗,,norm -values
Figure 5. ∆k -values for
for aa network
network in
in quasi-steady
quasi-steadystate
stateand
andtransient
transientcondition.
condition.

A quasi-steady
A quasi-steady state
statecondition
conditionisispresented
presented at at =
t= 50,
50,while thethe
while transient condition
transient conditionis shown
is shownat at=
t193, corresponding
= 193, correspondingto the behavior
to the behavior of of
mass
massflow
flowandandtemperature
temperatureofofFigure
Figure 4.
4. In the examined
In the examined
pseudo steady state condition, the storage system is not operating. As discussed above,
pseudo steady state condition, the storage system is not operating. As discussed above, a fictitious a fictitious
supply characterized by a very small mass flow rate at the ambient temperature
supply characterized by a very small mass flow rate at the ambient temperature is assumed as is assumed as the
the
boundary condition;
boundary condition; therefore,
therefore, the
the exergy
exergy associated
associated with
with this
this stream
stream isis zero.
zero. A
A unit
unit exergy
exergy cost
cost
k∗supply = 1 is considered for the storage node during stand-by. In this condition, unit exergy costs
increase from node 1 to node 4 as well as from node 9 to node 8 because of the irreversibilities associated
with heat losses. Unit exergy cost in node 5 is considerably lower than in node 4, due to the fact that
almost no exergy is supplied from that part of the network because of the very small fluid flow at the
current temperature level of the control volumes 1–4. Cost of exergy in node 5 is thus mainly due
to the cost increase between nodes 9, 8 and 5. For nodes 6 and 7, unit costs further increase due to
exergetic losses.
During the transient phase, the storage is operated in charging mode, extracting exergy from the
network at given unit costs. This leads to a change in direction for the branches between node 5 and 1,
while only node 9 is left supplying exergy to the network. In this case, unit exergy costs increase
from node 9 to node 5 as well as from node 5 to node 1 and to node 7. Again, it can be seen that
the increase of unit costs is higher at the storage path, where ∆k∗1,norm is much larger than ∆k∗7,norm .
This means that the unit exergy cost of exergy extracted at the storage node is considerably higher
than the exergy extracted at the subnetwork; in fact, no significant changes in the unit exergy costs
between quasi-steady state and transient conditions take place in nodes 5–9.
Furthermore, the transient condition leads to a higher unit exergy increase in the transient than in
the quasi-state condition in the storage path. This cost is about 1% of the unit cost of thermal exergy
supplied by the plant to the district heating network, which means that this term cannot be neglected
in the analysis.
The unit exergy cost of storage during the discharge phase is set based on a time-evolution of
costs during the charging phase. During discharge, a constant unit cost equal to the average cost
registered during charging phase is considered. Theoretically, the irreversibilities associated with
 in the quasi-state condition in the storage path. This cost is about 1% of the unit cost of thermal
exergy supplied by the plant to the district heating network, which means that this term cannot be
neglected in the analysis.
The unit exergy cost of storage during the discharge phase is set based on a time-evolution of
costs during
Entropy the charging phase. During discharge, a constant unit cost equal to the average
2017, 19, 109 cost
11 of 13
registered during charging phase is considered. Theoretically, the irreversibilities associated with
stand-by, i.e., the heat losses of the storage tank and thermal de-stratification inside the tank should
stand-by, i.e., the heat losses of the storage tank and thermal de-stratification inside the tank should be
be considered, but here these have been neglected.
considered, but here these have been neglected.
The last part covers the analyses of the evolution of unit exergy costs for network nodes in time.
The last part covers the analyses of the evolution of unit exergy costs for network nodes in time.
Since node 7 is the connection to the subnetwork, its unit exergy cost evolution is highly interesting
Since node 7 is the connection to the subnetwork, its unit exergy cost evolution is highly interesting
since it determines the costs at which the rest of the network is supplied by exergy coming from the
since it determines the costs at which the rest of the network is supplied by exergy coming from the
supplying units. Again, the relative representation through ∆ ∗∗,,norm is used to explicitly show the
supplying units. Again, the relative representation through ∆k7 is used to explicitly show the
network behavior in Figure 6.
network behavior in Figure 6.

Figure 6. Unit
Figure6. Unit exergy
exergy cost
costevolution
evolutionof
ofnode
node7.7.

∗,
ItItcan
canbebeseen
seenthat ∆k∆∗7,norm increases
that increases during
during 80 < 80
the timeframe
the timeframe t <<180,<which
180, which corresponds
corresponds to the
time, where the storage mode changes from stand-by to charging. During that phase, mass flow atmass
to the time, where the storage mode changes from stand-by to charging. During that phase, the
flow at path
storage the storage
changespath changes and
its direction its direction and in
temperature temperature
the control in the control
volumes volumes(see
1–4 increases 1–4 Figure
increases
4),
(see Figure
which affects4),
thewhich affects cost
unit exergy the unit exergyofcost
formation formation
the whole of the During
network. whole network. Duringand
the discharging the
discharging
charging andunit
phases, charging
exergy phases, unit mainly
costs remain exergyconstant,
costs remain
while mainly constant,
during the while
transition time,during
when thethe
storage mode changes, unit exergy costs are increased. This is another indication for an increased
unit exergy cost during high changes of temperature levels at the network nodes caused by the actual
exergy flow through the network.
The unit exergy cost is an important techno-economic indicator, which can be used to estimate the
economic “burden” of providing heating as an energy service to a specific costumer. Thus, it helps in
defining the potential of demand side measures, e.g., heat load optimization, where the impact of such
measures will be higher for consumers showing higher exergetic costs. Furthermore, prediction of
the exergetic costs of future consumers, depending on their load profile and position in the network,
can be carried out.

5. Conclusions
In this work, a new approach for effective application of exergy cost analysis to graph-based
network models was developed. The approach is consistent with the principles of exergetic costing
while it is suitable for large thermal networks avoiding the use of auxiliary equations in order not
to increase the problem dimension. This is crucial in the case where large networks are examined.
The approach is based on an upwind scheme formulation in which applications to (very) large network
sizes are theoretically possible, limited only by the numerical resolution (control volumes) and/or the
computational effort.
Based on a previously deployed transient thermal network model, exergy and exergy cost balances
were defined for control volumes of network nodes. This enabled direct use of the network topology
Entropy 2017, 19, 109 12 of 13

and its characteristic properties considering time dependent operation. The method allows for one
investigating the formation of unit exergy costs of any subgraph in the network with which more
information, on where and when unit exergy costs increase, can be extracted. This is an important
piece of information that can profitably be of use for improving or optimizing district heating network
design and operation.
The approach was applied to an example network, which provides detailed insights into exergy
cost formation during transient system condition. Results show that the costs related with transient
operation are not negligible. Especially when it comes to large networks including daily storage and
volatile predictable (waste heat) or unpredictable (renewables) energy sources, this formulation is able
to analyse its exergetic effects on the network behavior.
The proposed approach is thus suitable for thermoeconomic analysis of district heating networks;
especially in the case when their operation involves time variations in supply/return temperatures,
the use of intermittent energy (exergy) sources or storage. This provides the basis for the assessment
of the integration of storage and temperature-dependent energy sources that are appreciated by the
development of 4th generation district heating networks.

Acknowledgments: The research presented is performed within the framework of the Erasmus Mundus Joint
Doctorate SELECT+ “Environomical Pathways for Sustainable Energy Systems” and funded with support from the
Education, Audiovisual, and Culture Executive Agency (EACEA) (Nr. 2012-0034) of the European Commission.
This publication only reflects the views of the author(s), and the Commission cannot be held responsible for any
use which may be made of the information contained therein.
Author Contributions: Stefano Coss and Elisa Guelpa have developed the methodology and numerical models,
while data selection, analysis and provision was done by Etienne Letournel, Olivier Le-Corre and Vittorio Verda
contributed in critical analysis and improvements of the suggested methods including guidance, feedback and
revision for preparing this work.
Conflicts of Interest: The authors declare no conflict of interest.

Abbreviations
DHN(s) District Heating Network(s)
EU European Union
SPECO Specific exergy costing

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