Development of Smart Grids in Europe

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1 Development of Smart Grids in Europe Smartgridkonferansen, Trondheim, 10 September 2013 Per-Olof Granström, EDSO for Smart Grids

2 EDSO for Smart Grids European Distribution System Operators for Electricity Leading the cooperation for the Electricity networks of the future Bringing Smart Grids from vision to reality Generation Transmission Distribution Customer

3 EDSO for Smart Grids European Electricity Grid Initiative Smart Grid technology platform Smart Grid task force Smart Grid standardisation Network Codes Smart Cities Stakeholder Platform Florence and London forums IEA Storage Roadmap Global Smart Grid Federation GRID+ EU projects; map, label, KPI, finance Meter-ON Smart metering knowledge sharing evolvdso The new role of the DSO RESERVICES ancillary service wind, solar PV

4 EU energy policy strong drivers, different from other markets Competitiveness A lowcarbon economy by 2050 The European solution Unbundling between competition and regulated business Smart Grids are needed to reach the EU objectives cost-efficient solutions Security of supply Climate/ Environment Subsidies for RES national, non-market based the strongest driver

5 EU energy policy investment needs Total investment needs in the electricity and gas sector : over 1 trillion EUR Power generation ~ 500 bn Transmission and distribution ~ 600 bn RES ~ bn Distribution ~ 400 bn Transmission ~ 200 bn Source: EC communication on Energy Infrastructure priorities for 2020 and beyond, based on PRIMES calculations

6 New Energy Europe evolving DSO role Generation Transmission Distribution Customer Strong impact at local level Vast amounts of distributed energy Empowering consumers, Active demand/smart metering, and communication Electric Vehicle charging infrastructure Changes the distribution network From radial to complex Reverse energy flows Extreme flexibility needs Highlights the need for Local balancing and energy storage Communication, open data interfaces Market facilitation

7 Smart Grid projects in Europe, update Source: JRC/European Commission 2013

8 European Electricity Grids Initiative European industrial RD&D initiative Accelerate innovation and development of the electricity networks of the future Focus on system integration Transmission Distribution Roadmap and implementation plan Knowledge sharing, scaling up and replication GRID+ Roadmap RD&D areas Smart customers 240 Integration of DER, new uses 330 Network operations 400 Network Planning/asset management 100 Market design 20 Joint activities 250 Power technologies 70 Grid architecture 350 Network operation 125 Asset management 75 Market Design 135

9 DSO RD&D priorities EEGI Implementation plan; demonstrations and tools 2014 TD2 Demand side management DSO-TSO D12 Asset management D10 Smart metering data processing TD5 Methodologies for scaling-up and replicating D5 Integration of storage in network management 2015 D3 Integration of small DER TD4 Defence and restoration plan D2 Energy Efficiency with smart homes D7 LV monitoring and control 2016 TD1 DSO observability, TSO management and control D9 Network management tools D8 MV automation and control D13 Market design

10 Horizon 2020 new research and innovation programme EC Communication on Energy Technologies and Innovation, May bn EUR to non-nuclear energy technology much broader and less detailed first calls for proposals in December 2013 European Industrial Initiatives under the SET-plan: Electricity Grid Initiative, Wind, Solar, Nuclear, Bioenergy, CCS, Smart Cities, (Storage) Horizon 2020 Integrated Roadmap prioritisation of the innovative solutions basis for EU and national level investments in energy research and innovation drafting during autumn 2013

11 Smart meter roll-out in the EU Electricity, source: European Commission

12 Rethinking the regulation of European electricity DSOs THINK Florence School of Regulation

13 Rethinking the regulation of European electricity DSOs THINK Florence School of Regulation

14 Boundaries DSO and Market Open data access Grid data hub Customer Supplier ESCO Aggregator Planning, operation, market facilitation Other service provider Network assets DSO Market

15 Boundaries DSO and TSO network codes Adequate standards instead of DSO responsibility to control network code compliance of distributed generation and demand units One connection point DSO-TSO No duplication on operational security No duplication on communication systems TSO-DSO Secure and cost-efficient solutions when providing reserves to the TSO Positively received by ACER

16 Electric Vehicle charging Passenger transport Truly interoperable EV charging infrastructures allowing all electric vehicles to be charged and to communicate with the electricity grid anywhere in the EU Transport European CO2 emissions Chicken and egg: no business case no charging spots no cars EV charging as any other electricity demand into the DSO s network management systems Direct DSO involvement in the management of the charging infrastructure (where regulation allows this) Alternative fuels infrastructure directive

17 Developing Smart Grids Huge challenges Smart Grids = solution Strong EU policy drivers local impact huge flexibility needs Liberalised electricity markets market prices Defined roles and responsibilities system operation, DSO-Market, DSO-TSO A level playing field for market players DSO as the neutral market facilitator grid data managed and stored by the DSO Open and standardised data interfaces and protocols (data security) Shared knowledge Large scale demonstrators, public co-funding to test solutions at an early stage National regulatory incentives for DSOs to invest in Smart Grids, including RD&D European/global interoperability standards

18 Thank you for your attention!

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