Smart cities from a DSO perspective. Milo Broekmans

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1 Smart cities from a DSO perspective Milo Broekmans

2 Agenda Introduction USEF Three examples Electric Vehicles (Lomboxnet) All Electric Residential Area (Hoog Dalem) Social Housing Renovation (Rennovates) Conclusion 2

3 Agenda Introduction USEF Three examples Electric Vehicles (Lomboxnet) All Electric Residential Area (Hoog Dalem) Social Housing Renovation (Rennovates) Conclusion 3

4 Congestion on a highway. A lot of people want to go the same direction at the same time, resulting in a traffic jam. Adding more asphalt is a potential solution, but

5 same highway at less busy times, result is an overkill (for that specific moment). Highway can be seen as a metaphor for the energy grid. Sometimes, a high demand on capacity, other times (if not most of the time), capacity is over dimensioned. Currently, grids are designed for peak demand, resulting an effective usage of less than half the capacity. Taking into account that peak demand is likely to grow substantially more than the total amount of electricity that needs to be transported. If going on like we used to, effectiveness of grid capacity usage will dramatically decrease, resulting in high (waisted) cost.

6 6 Another example. Pop festival somewhere in the middle of nowhere. Roads were designed and built for a few locals only, not taking into account transportation of tens of thousands of people within a few hours. Possible ways of avoiding congestion in this case is seduce people to come before the start of the festival.

7 7 By introducing pre-festival activities and opening festival campings the day before the festival, people have an incentive to come earlier (and thus being flexible). In case this is not sufficient, additional measures can be taken by municipality, for instance by closing roads for normal traffic and allowing only public transportation (buses) to use the roads to the festival.

8 Agenda Introduction USEF Three examples Electric Vehicles (Lomboxnet) All Electric Residential Area (Hoog Dalem) Social Housing Renovation (Rennovates) Conclusion 8

9 USEF Flexibility Value Chain Cooling Systems Emergency Generators Production Process UFLEX BRP Flex for Portfolio optimization FLEXIBILITY Prosumer Heat Pump Aggregator Solar UFLEX Electric Vehicle Airco System DSO Flex For grid management USEF framework is based on a flexibility value chain. Flex is provided by the prosumer (both residential and SME/industrial) to the BRP for portfolio optimization and the DSO for grid management. An aggregator is operating in between to aggregate the small amounts of flexibility a prosumer can provide to make that flexibility attractive for BRPs and DSOs. In return for the flexibility, prosumers are rewarded.

10 Comfort Residential flexibility Money Customer SME is in flexibility control Prosumer Value Heat Creation pump Solar Electric Vehicle Airco System Security Privacy Cooling systems Emergency generators With the rise of smart appliances, the internet of things, the prosumer is increasingly capable of influencing his energy usage. We do not describe the interface with each if these appliances. USEF connects building management systems and inhome optimisation devices to the bigger system. It enables prosumers to cash out beyond inhome optimisation. USEF HAS CONSUMER AT ITS HEART: HE/SHE DETERMINES WHETHER OR NOT HE IS WILLING TO COMMERCIALISE HIS FLEXIBLE USAGE AND AT WHAT COST/ COMFORT SETTINGS => USEF TM FRONT DOOR Add privacy & security by desing, including something like privacy/value creation trade off, as important part for the willingness to provdie flex It is the aggregator that opens up these opportunities for prosumers.

11 CLASSIC GRID SMART GRID Power Outage Power Outage Power Outage Graceful Degradation When flex does not suffice: graceful degradation Unused capacity Capacity Management Flex to fix constraints Free Market Normal Operation Free Market Normal Operation No constraints: normal operation Adding flex maximises the system Traditionally a grid operator has two moda operanda: Normal operation where a free market is facilitated, or a power outage. TXT: YELLOW IS THE NEW GREEN ORANGE IS THE GRACIOUS RED Flexibility offers more controlled steering for grid operators. - Normal Operation (Happy flow): no interference needed, flexibility has no value for grid operations - Capacity Management: Congestion occurs at some points which can be alleviated by the use of distributed flexibility - Graceful Degradation: The DSO interferes directly with the capacity of some parts of the grid in order to prevent a complete black-out - Outage These regimes open up the flexibility market, yet allows the DSO to fulfill it s regulated tasks

12 Agenda Introduction USEF Three examples Electric Vehicles (Lomboxnet) All Electric Residential Area (Hoog Dalem) Social Housing Renovation (Rennovates) Conclusion 12

13 13 Just an insight in electrical cars: a normal household uses on average approximately 8 kwh electricity per day; the DSO uses a capacity of 1,2 kw per household for grid calculations. This implies that a VW Golf already is comparable (for a DSO) with 3 additional houses; for a Renault Zoe, this is 35 houses. You can imagine this was not foreseen during most grid designs.

14 LOMBOXNET ISP with own fiber network 4000 customers in Utrecht 14 Entrepreneur in Utrecht started ISP (Lomboxnet). For its energy demand, solar panels are placed on schools in the neighbourhood. Just a few examples:

15 CHRISTELIJK GYMNASIUM UTRECHT 15

16 BINNENTUINSCHOOL DE MEERN 16

17 KROMME RIJN COLLEGE 17

18 FIRST PUBLIC SOLAR- POWERED CHARGING STATION 18 Due to success, surplus of solar energy, which can be used for charging EV s with local generated electricity. Challenge for the DSO for the local grid, but with the use of flexible car charging, congestion can be avoided.

19 FIRST BIDIRECTIONAL CHARGING STATION IN EUROPE 19 Sometimes, more electricity is used than generated. In that case, electricity stored in the car battery can be fed back into the grid. This can be done using a DC charger, but this is not suitable for the public space.

20 FIRST AC V2G-READY SMART SOLAR CHARGING STATION 20 An alternative has been designed, which makes it possible to charge and discharge the battery of a car via AC, controlled by the aggregator on request by DSO/BRP.

21 LIVING LAB LOMBOK 20 Solar Charge stations 100 KW new solar Shared EV s 21 Overview of current living lab

22 Agenda Introduction USEF Three examples Electric Vehicles (Lomboxnet) All Electric Residential Area (Hoog Dalem) Social Housing Renovation (Rennovates) Conclusion 22

23 Propositions for the Inhabitant 4 choices to participate 1. Sun in my House Decentral battery with PV 2. Store my Sun Virtual district battery with PV 3. Night by Day Decentral battery 4. I Want to Help Reference group 23 In Hoog Dalem, an all electric residential area, 4 different propositions are offered to the inhabitants. Proposition 1 and 3 can provide flexibility to the DSO on demand, by controlling the battery (the battery in proposition 2 was not realized due to limited interest)

24 Control: from local to district level Generation on a sunny day no storage 24 Simplified explanation of the congestion caused by PV. Four similar houses generate electricity according the yellow line. Then energy is fed into the grid. The aggregated result of the four house is the blue power curve that exceeds the maximum grid capacity (green line): congestion.

25 Control: from local to district level Generation on a sunny day local optimization 25 Batteries can be used to store the generated energy instead of feeding it into the grid. This at first avoids congestion, but due to a limited capacity of the batteries, at moment x all batteries are fully charged and the generated electricity is fed into the grid again. Instead of avoiding congestion, it is only postponed

26 Control: from local to district level Generation on a sunny day district optimization 26 By reserving some batteries to be charged at a later time, it is possible to keep the electricity fed into the grid below the grid capacity all the time. To coordinate this, the USEF framework is used.

27 Agenda Introduction USEF Three examples Electric Vehicles (Lomboxnet) All Electric Residential Area (Hoog Dalem) Social Housing Renovation (Rennovates) Conclusion 27

28 Background De Stroomversnelling!28 Social housing built in the 60 s and 70 s. These houses are typically poorly insulated, no double glazing is applied and therefore tenants are facing rising energy costs for space heating. From a social housing association perspective these houses are nearing end of life. Issue at hand is, will the houses be demolished and replaced by new build ones or be renovated. In the aftermath of the financial crisis social housing associations have, for various reasons, a lack of investment capacity. Vestia case, derivates, collective funding for WSW Landlord tax -> reduce national debt Social housing act -> reduced income from commercial activities General tax raise. Construction companies experienced a drop in turnover of new built projects and therefore have an incentive to look for new business models and markets. The Dutch government started the cooperation Stroomversnelling together with six social housing associations and the four largest construction companies of the Netherlands. The goal of the cooperation is to renovate dwellings to a net zero energy level before 2020.The Stroomversnelling consists of a business model and a deep-retrofit plan

29 Business model Relationships key-stakeholders before retrofit to net-energy-zero Construction company Contract sum Housing association Rent Tenant Energy-bill Energy Supplier!29 To understand the business model I give a little insight in how the relationships between the key-stakeholders; the tenant, the housing association, the construction company and the energy supplier. Before deep-retrofit to-net energy-zero; The housing association owns the house, the tenant pays rent to the housing association and an energy bill for electricity and gas to the energy supplier.

30 Business model Construction company Relationships key-stakeholders after retrofit to net-energy-zero Guarantee Contract sum Housing association Rent Tenant Service fee / Distribution fee Energy Supplier Energy Performance Fee!30 Project co-funded by the European Commission in the H2020 Programme With the deep-retrofit to net-energy-zero the money a tenant used to spend on their energy bill is freed up. Instead of paying an energy bill to the energy supplier, the tenant now pays an Energy Performance Fee (EPF) to the housing association. With this new, additional cash flow, the housing association is able to invest in deep-retrofit to a net-energy-zero level.

31 Business model Key element of the business model is the energy bill of the tenant Energie bill approx /y Gas bill 1500 m Electricity bill 2500 kwh 900 Tax credit Energy Performance Fee Electricity bill Tax credit Before retrofit = After retrofit Additional cashflow towards social housing association ( 40 year life time extension ) approx !31 Project co-funded by the European Commission in the H2020 Programme Key element of the business model is the energy bill of the tenant. On average an household, in the type of house shown, uses 2500 kwh (kilowatt hour) electricity (domestic use ) and 1500 m3 gas a year (space heating, domestic hot water, cooking). The money freed up in the electricity bill therefore generates an additional cash flow of approx over 40 y to the housing association although the total cost for energy for the tenant stays the same. In this way the tenant gets an improved house for although the cost for energy stay the same

32 Technical solution Key element is the high level of prefabrication!32 Key element is the high level of prefabrication. This high level of prefabrication is possible by Building Information Modeling. To get exact dimensions, as well as sag in the roof ridges and bulges in brickwork visible the housing blocks are scanned with a 3D scanner. The result is a point cloud. The point cloud is used as an under layer for the new design.

33 Technical solution Systematic approach 80% pre-designed 20% customized!33 As mentioned the focus is on houses owned by the social housing corporation built in the period 50, 60 en 70 are serial built and show a lot of similarities in construction. Because of the size of the housing stock of these types of serial built houses it is profitable to develop a systematic, industrialized, innovative solution. The approach of de Stroomversnelling is similar to how tailor made suit stores offers products. A suit is offered at different levels of customization. From customization confection to real bespoke suits. The product that is offered in de Stroomversnelling is customized confection. 80% is a pre-designed standard technical solution. 20% is customized to specific circumstances of the project. For example the architecture, capacity of installation or the layout of the ventilation ducts. The deep-retrofit consists of the insulation of the house ( roof, façade, floor ), a new energy system and optional a new bathroom, kitchen and a toilet. Through a systematic deep-retrofit-approach with a high-level of prefabrication it is possible to retrofit serial built social housing to net-energy zero in less than ten days, this includes the refurbishment of bathroom, kitchen and toilet. Tenants don t have to move out during the construction works so they can stay in their own social context.

34 Agenda Introduction USEF Three examples Electric Vehicles (Lomboxnet) All Electric Residential Area (Hoog Dalem) Social Housing Renovation (Rennovates) Conclusion 34

35 Conclusion Energy transition is a challenge for DSOs Flexibility can aid in avoiding/postponing grid investments USEF provides a means to valorize flexibility 35

36 THANK YOU 36

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