Smart Grids Roadmap - Smart Grid Sherpa

More documents

Recommendations

Info

everyone. From this viewpoint, smart meteringand dynamic pricing provide an opportunity toremove hidden rate subsidies that until now haveburdened smaller customers. Further, in many pilotprojects, including the PowerCents DC project inWashington, DC, lower-income customers havesigned up for the programme at higher rates thanothers, and have responded to price signals.Further research is needed to identify the fullrange of consumer protection policies and makerecommendations to governments on smart gridrelatedconsumer protection issues.Building consensus onsmart grid deploymentThis roadmap recommends the following actions:Accelerate education and improve understanding of electricity systemcustomers and stakeholders (including energy utilities, regulators andconsumer advocates) to increase acceptance for smart grid deployments.Develop technological solutions in parallel with institutional structureswithin the electricity system to optimise overall operations and costs.MilestonesFrom 2011 to 2020From 2011 to 2020 (withcontinued evolution to 2050)As smart grid technologies are deployed, electricitysystems will become more customer-focused, butcustomer behaviour is difficult to predict. A longtermprocess of customer education and improvedunderstanding of customer response is needed toconsolidate technology and user interactions acrossthe electricity system. Energy utilities, regulatorsand consumer advocates all have a role in buildingawareness. Ultimately all investments are paidfor by customers, so those deploying smart gridsshould be able to demonstrate clearly how costs willbe recovered and how investment will benefit thecustomer. Customers must be significantly engagedin the planning and deployment of smart grids, atdemonstration stage and at full-scale rollout. So far,customers have seldom been at the table during thesmart grid planning process.The demonstration and deployment of newtechnologies involves some level of risk. Therisk must be analysed and addressed jointlyby stakeholders; technology risks can be bestaddressed by the technology providers andsystem operators, while policy and market risksmust be considered with regulator and customerinvolvement. By phasing demonstration anddeployment carefully while considering andadapting policy, regulation and institutionalstructures, risks can be minimised and projectswill be more broadly accepted. It can be arguedthat risks associated with smart grid development,demonstration and deployment will be lower thanthe risk of not addressing the coming changes andneeded investment in the electricity system.A positive example of a good customerengagement strategy can be found in ENEL’sTelegestore project in Italy. During the rollout of33 million smart meters, ENEL dedicated time toeducating the public through town hall meetingsand discussions with consumer protection groupsthat had voiced concerns over the collectionof data about consumer energy habits. Whileassuaging people’s doubts, Enel was able toexplain that most customers’ bills would godown because of smart meters, helping increasecustomer loyalty. 2727 www.smartgridaustralia.com.au/index.php?mact=News,cntnt01,detail,0&cntnt01articleid=277&cntnt01returnid=6940 Technology Roadmaps Smart grids© OECD/IEA, 2010
International collaborationThis roadmap recommends the following actions:Expand smart grid collaboration; particularly related to standards and sharingdemonstration findings in technology, policy, regulation and business modeldevelopment.Link with electricity system technology areas that are not exclusively focused onsmart grids.Expand capacity-building efforts in rapidly developing countries by creating smartgrid roadmaps and undertaking targeted analysis tailored to contexts such as ruralelectrification, island systems and alternative billing approaches.MilestonesTargeted effort from 2011to 2015. Ongoing to 2050From 2011Focused initiatives to 2030.Ongoing to 2050Expand existing internationalcollaboration effortsInternational collaboration enables the sharing ofrisks, rewards and progress, and the co-ordinationof priorities in areas such as technology, policy,regulation and business models. In order to reachthe goals set out in this roadmap, smart gridsneed to be rapidly developed, demonstrated anddeployed based on a range of drivers that varyacross regions globally. Many countries havemade significant efforts to develop smart grids,but the lessons learned are not being sharedin a co-ordinated fashion. Major internationalcollaboration is needed to expand RDD&Dinvestment in all areas of smart grids – butespecially in standards, policy, regulation andbusiness model development. These efforts willrequire the strengthening of existing institutionsand activities, as well as the creation of new jointinitiatives.Standards play a very important role in thedevelopment of technology. By providing commondesign protocols for equipment, they can increasecompetition, accelerate innovation and reducecosts. International collaboration on standards isvital to ensure that the needs of various regionsare included, and to reduce repetition andoverlap in the development of standards. Severalorganisations are already working to harmonisestandards; continued and increased efforts areneeded as discussed earlier in the section ontechnology development.There is an urgent need to develop a significantnumber of commercial-scale demonstrationprojects and share the results among electricitysystem stakeholders. Projects are being developedat a national or regional level, but the reportingof data, regulatory approaches, financialmechanisms, public engagement experiencesand other aspects need to be shared globally. TheInternational Smart Grid Action Network (ISGAN),which has been created to address this need, willserve an important role as a platform and forumfor compiling global efforts, performing analysisand developing tools for stakeholders. The GlobalSmart Grid Federation (GSGF), APEC Smart GridInitiative, the European Electric Grid Initiative(EEGI) and European Energy Research Alliance JointProgramme (EERA JP) on Smart Grids are examplesof global or regional initiatives that need to buildon and strengthen their collaboration as theymonitor the implementation of the actions andmilestones in this roadmap. 28Create new collaborationswith other electricity systemtechnology areasSmart grids include technology areas, such asrenewable energy resources and demand response,which are not exclusively associated with, but arerelated to, smart grids. Some of these technologyareas were being studied long before the termsmart grid was developed, and therefore mayoffer solutions to problems that smart grids hopeto address. Collaboration with these electricitysystem technology areas has the opportunity toaccelerate the useful deployment of smart gridsand avoid repeating past development work.An ideal way to collaborate across these electricitysystem technology areas is through the IEAImplementing Agreements (IAs). 29 Of the 43 IAs,11 focus on electricity system issues (Table 9); theseare co-ordinated under the Electricity Co-ordination28 Web addresses for these organisations can be found on p. 48.29 IEA Implementing Agreements are multilateral technologyinitiatives through which IEA member and non-membercountries, businesses, industries, international organisations andnon-government organisations share research on breakthroughtechnologies, fill existing research gaps, build pilot plants andcarry out deployment or demonstration programmes.International collaboration41© OECD/IEA, 2010
Page 4 and 5: Table of contentsForeword 1Table of
Page 6 and 7: AcknowledgementsThis publication wa
Page 8 and 9: IntroductionThere is a pressing nee
Page 10 and 11: Figure 2. Smart grids can linkelect
Page 12 and 13: Electricity system needs for today
Page 14 and 15: line rating special protection sche
Page 16 and 17: Figure 6. Example of a 24-hour elec
Page 18 and 19: Adequacy concerns introduced by the
Page 20 and 21: cable or telephone), support data t
Page 22 and 23: Table 3 highlights a number of hard
Page 24 and 25: Box 3. Smart communitiesSeveral con
Page 26: Vision for smart grid deployment to
Page 29 and 30: Interpreting results and furtherana
Page 31 and 32: commodities such as oil, gas, coal
Page 33 and 34: operators have made it clear that m
Page 35 and 36: Interoperability Framework for smar
Page 37 and 38: Electricity system and market opera
Page 39 and 40: This roadmap recommends the followi
Page 41: zzzzHow much time differentiation i
Page 45 and 46: Conclusion: near-term roadmapaction
Page 47 and 48: GlossaryCritical peak pricing (CPP)
Page 49 and 50: ReferencesBazilian, M. and Welsch,
Page 52: Technology Roadmaps Smart Grids2015

Smart Grids Roadmap - Smart Grid Sherpa

Create successful ePaper yourself

Delete template?

Save as template?