ETNO Workshop Smart grids projects in europe M Masera EC
ETNO Smart Grids, Brussels, 23 November 2011 1 Smart Grids projects in Europe: Lessons learned from a survey M. Masera Head of Unit, Energy Security Institute for Energy and Transport European Commission’s Joint Research Centre
OutlineETNO Smart Grids, Brussels, 23 November 2011 2 Introduction Motivation of the JRC study Catalogue of Smart Grid projects Information received from projects Critical review of projects Way ahead ENER-JRC Report and international collaboration Expanding role of JRC-IET on Smart Grids
The Institute for Energy and Transport (IET)ETNO Smart Grids, Brussels, 23 November 2011 3 The IET is one of the 7 scientific Institutes of the Joint Research Centre (JRC) of the European Commission.It provides support to Community policies related to energy and transport. IET, Petten IET, Ispra
Background and motivation ETNO Smart Grids, Brussels, 23 November 2011 4• Smart Grids projects: − Growing number: deployment, demonstration/pilots, R&D − Participants: Grid operators, service providers, R&D actors.. − Wide scope: smart meters, super grid, integrated systems, etc.• No inventory of Smart Grid projects in Europe available: − Limited sharing of project experiences and lessons learned − Need to monitor the developments on the field
2011 Communication on Smart Grids: Smart Grid investments in EuropeETNO Smart Grids, Brussels, 23 November 2011 5 Uneven distribution of investments across Europe. Most of investments in EU-15 Countries Over 5 billions of investments, but still at the beginning of the Smart Grid transition Projects can span over more than country and can include more than one category. The picture does not include the Smart Meter Roll-out in Sweden, spanning approx. 150 projects and amounting to approx.1500 M€, as a detailed description of the projects was not received.
Smart Grid investments across countriesETNO Smart Grids, Brussels, 23 November 2011 6 Bulk of investment in a few countries
CategoriesETNO Smart Grids, Brussels, 23 November 2011 7 1. Smart Meter and Advanced Metering Infrastructure 2. Grid Automation Transmission 3. Grid Automation Distribution 4. Integrated System 5. Home application / Customer Behaviour 6. Specific Storage Technology 7. Other In line with the mapping exercise of Smart Grid projects currently ongoing in the US (Virginia Tech Clearinghouse)
Share of R&D, demo and deployment projects ETNO Smart Grids, Brussels, 23 November 2011 9 Number of projects Budget (M€)Deployment projects: greatest part of investment, main focus: SmartMeters roll-outsR&D and Demonstration projects: mostly small-medium scale (4.5 and 12million € of average budget respectively), wider portfolio of technologies andapplications
Budget (M€) across leading organization and development stage ETNO Smart Grids, Brussels, 23 November 2011 10 Distribution System Operators (DSOs) are the main investorsM€
Areas of investment ETNO Smart Grids, Brussels, 23 November 2011 11•DSO •Mainly tariff based •Areas: Advanced Metering Infrastructure, Integration of DERs and Demand Response• TSO • more strengthening than “smartening” •exploring new technologies (e.g. High Voltage Direct Current -HVDC,Flexible AC Transmission Systems-FACTS) and new tools to increase transfer capacity, enhance cooperative and flexible operation and cope with permit limitations and high costs of new grid infrastructures• Funding and incentives for RD&D are important for further progress in the development ofSmart Grids
Some data & facts: smart metersETNO Smart Grids, Brussels, 23 November 2011 12 Smart meters: •45 million already installed by 2011 •240 million by 2020 (€ 51 billion) •Regulatory push in 3rd Energy package •Cost-benefit analysis crucial •Current business justification: •Expected reduction of DSO’s operational expenditures •Not based on future functionalities •SM vs. Energy Management devices •Metering for billing vs. full communication interface
Lessons learnedETNO Smart Grids, Brussels, 23 November 2011 13• Investments depend crucially on regulation, generation and consumption structures in each country • large penetration of RES may favour developments that increase hosting capacity (i.e. Transmission Automation, Integrated System, Storage) • high share of flexible electricity use (e.g. space and water heating) may favour investments that promote Demand Response (i.e. Distribution Automation, Integrated System, Home Application, Smart Meters)• Integrated System projects represent about 34% of the projects and about 15% of the total budget • Integration of Physical and Market layers • Communications and control are crucial• SG for electric vehicles: • Will be charging structure be regulated?
Lessons learned /2ETNO Smart Grids, Brussels, 23 November 2011 14• Final applications:1.Safe integration of Distributed Energy resources • Physical, operational and market-related challenges • One or more types • Potentially linked to electric vehicles and storage2.Safe integration of large-scale renewables • Limits physical capacity, protections, etc • Challenges from intermittency • Demonstrators of reserve capacity increase, balancing area expansion, redesigned market mechanisms, load shifting and storage integration…3.Capability for Demand Response and dynamic pricing • Very gradual active participation of commercial/domestic consumers in the market • Role of aggregators
Smart Grid projects assessment Achievements and next steps ETNO Smart Grids, Brussels, 23 November 2011 15• JRC-DG ENER Reference Report “Smart Grid projects in Europe: lessons learned and current developments” (Results used in the 2011 Smart Grids Communication)• JRC-EURELECTRIC cooperation on smart grids knowledge sharing platform• Development of a cost-benefit assessment framework − JRC collaborating with the US Department of Energy on assessment methodologies (EU-US Energy Council) − JRC working with EURELECTRIC and other partners to test the EPRI smart grid cost-benefit methodology on a European case study• Ongoing research into the financing of Smart Grid projects and into consumer engagement.
The Institute for Energy and Transport and the activities on Smart Grids ETNO Smart Grids, Brussels, 23 November 2011 16JRC –IET, Smart Electricity Systemshttp://ses.jrc.ec.europa.eu/ Collaboration with Eurelectric
ETNO Smart Grids, Brussels, 23 November 2011 17 Institute for Energy and Thank you for Transport http://iet.jrc.ec.europa.eu/ your attention