ISGAN Annex 2 Spotlight on Demand Management


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Demand Management is understood as one of the core functions of a smart grid. ISGAN is publishing a case book focusing on Demand Management projects, where member countries have volunteered cases for the purposes of increasing knowledge and collaboration between stakeholders on smart grid project planning, implementation and management. The cases included in the report represent a broad range of economic, political, geographical, structural, cultural and market contexts, intended to promote more sophisticated conversation about lessons learned and best practices across stakeholders.

The webinar will focus on one of the case studies discussed in the report, and in particular on the initiatives on customer engagement in Italy.

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ISGAN Annex 2 Spotlight on Demand Management

  1. 1. Demand Side Management case book International approaches and lessons learned in Demand Side Management ISGAN Annex2 Webinar, March 6th 2014 ISGAN Annex2 Webinar, March 6th 2014 1
  2. 2. Webinar Agenda  Introduction on Demand Side Management case book (Rémy GARAUDE VERDIER)  Focus on the initiatives on customer engagement in Italy (Laura MARRETTA)  Q&A ISGAN Annex2 Webinar, March 6th 2014 2
  3. 3. Introduction on DSM case book Outline • Objectives : why a DSM case book? 1 • Outcomes of the DSM case book 2 • Planning : What has been done? What are the next steps? 3 ISGAN Annex2 Webinar, March 6th 2014 3
  4. 4. Introduction on DSM case book - Outline • Objectives : why a DSM case book? 1 • Outcomes of the DSM case book 2 • Planning : What has been done? What are the next steps? 3 ISGAN Annex2 Webinar, March 6th 2014 4
  5. 5. A case book aiming at taking stock of the last improvements in Demand Side Management Objectives of the DSM case book:  Disseminate the last improvements occurring in worldwide topnotch demonstrators in the Demand Side Management domain regarding the possible solutions in the ICT sector as well as in business models  Modernize the states regulations to ease the development of Smart Grid technologies  Promote a worldwide exchange in DSM to o identify best practices o share lessons learned o streamline findings ISGAN Annex2 Webinar, March 6th 2014
  6. 6. Introduction on DSM case book Outline • Objectives : why a DSM case book? 1 • Outcomes of the DSM case book 2 • Planning : What has been done? What are the next steps? 3 ISGAN Annex2 Webinar, March 6th 2014 6
  7. 7. Heterogeneous case studies complexify the comparison of lessons learned Number of case studies: 12  Different levels of maturity: While some countries have completed first rounds of pilots and are building on lessons learned, the others are at earliest stage of these initiatives  Different methodologies applied: choice of technologies deployed, benefits and business cases vary from case to case  Cases are boundary conditions dependent : it is important to document assumptions carefully  Different scales at work: the size and the specific costs also change  Still, there are a number of best practices and common themes emerging from these cases ISGAN Annex2 Webinar, March 6th 2014
  8. 8. AUSTRIA ● CANADA THE NETHERLANDS USA Demonstration Pilot Deployment ● ● DENMARK ● FRANCE ● ● ● ● ● ● ● GERMANY ● ● ● ● ● ● ● ● ● ITALY ● ● ● ● ● ● ● ● ● JAPAN ● ● ● ● ● KOREA ● ● ● ● ● ● SOUTH AFRICA ● ● ● ● ● ● SWEDEN ● ● Control Group ● ● ● ● ● ● ISGAN Annex2 ● Webinar, March 6th 2014 ● System Capacity Drivers Renewable Energy Drivers ● Voluntary Recruitment ● ● Living Lab ● ● ● ● ● ● ● System control responsive ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● Integration of EV Battery Storage Includes other commercial or industrial processes Smart appliances or devices without heat storage capacity Heat storage devices (water, space) Includes Co-Generation or CHP Built on AMI VPP Customer Behaviour Change ● Price responsive Summary table of the cases Case classification ● ● ● ● ● ● ●
  9. 9. Introduction on DSM case book Outline • Objectives : why a DSM case book? 1 • Outcomes of the DSM case book 2 • Planning : What has been done? What are the next steps? 3 ISGAN Annex2 Webinar, March 6th 2014 9
  10. 10. Agenda of the case book Casebook draft presentation Last contributions & Reviews Writing the Synthesis October 7th, 2013 Today Dec 31st 2013 Jan 6th 2013² March 2014 Annex 2 Workshop Casebook ready Webinar IEA - DSM Last changes Finalisation During ISGAN ExCo Rewording / Formatting Fine-tuning Jan 27th 2014 April 2014 Case book validation and publication During ISGAN ExCo Feb 27-28th, 2014 March 6th 2014 Layout and formatting of the case book April 2nd & 3rd 2014 in S hanghai, China March 15th final version ready Feb 18th 2014 May 2014 Case book dissemination event CEM5 May 12th 2014 in Seoul, South Korea
  11. 11. Initiatives on customer engagement in IT Outline • Regional electricity system context - Italy 1 • Enel’s solution towards more Active Customers 2 • Objectives & benefits 3 • Enel’s Smart Info Functionalities and enabled solutions 4 • Current status & results – Enel’s projects 5 • Lessons learned & Recommendations 6 7 • Barriers and challenges to be faced ISGAN Annex2 Webinar, March 6th 2014 11
  12. 12. Regional electricity system context – Italy Liberalized Demand Market [1] 17% non residential 83% household Electricity System Unbundling  Generation, transmission and distribution 80% Universal Supply Regime are all managed by distinct companies  DSOs responsible for electricity energy 37% non residential 63% household distribution, operation management and also metering. 20% Free Market 143 DSOs [1] (54DSOs with <1000 customers) 37 Million of retail customers (2011) Electricity consumed (2011) > 300 TWh [2] Peak Demand for Power (2011) : 50,000 MW 1 main distribution company: [2] ToU Tariff mandatory for over 24 million household customers and 5 million non-residential under the universal supply regime ToU Flat rates optional for the free market customers (about 8 million) [1] ISGAN Annex2 Webinar, March 6th 2014 [2] ENEL Distribuzione is the first national DSO, covering the 86% of Italy's electricity demand 830,696 km of LV lines 379,705 km of MV lines AEEG (2012) TERNA (2011) 12 1
  13. 13. Project context and regulatory background 1 Since 2006 → Smart Metering completely deployed in Italy by Enel Invoices based on actual consumption Quick contract management Time of Use tariffs More information •Italian Regulators has to identify measures for customers being provided with consumptions data in a simple and accessible way by the DSOs Resolution ARG/com 56/09 •Startup of a proceeding to define measures for energy efficiency (public consultation launched in 2011) Dlgs 115/08 Directive 2006/32 Transposition on energy end use efficiency ISGAN Annex2 Webinar, March 6th 2014 Directive 2012/27/UE •Customer standard interface for the meter possible to be considered as a DSO asset. Possibility to allow an experimental diffusion and to evaluate pricing Consultation DCO 34/11 •Requires Member States to ensure customers have easy access to complementary information on historical consumption (at least 3 years) via web /displays Energy Efficiency Criteria for distribution and measurement tariffs 2012-15 13
  14. 14. 2 Enel’s solution towards Active Customers Fully exploiting a consolidated smart metering infrastructure, Enel has developed a new generation of solutions been the extension of the smart meter Enel smart info® Final customers are provided with easier access to the information collected in the meter Certified metering data are made easily accessible to market players in a not discriminatory way to provide new services and implement energy efficient improvement measures (e.g. in-home automation, active demand, etc.) 1. 2. 3. Plugged into any electricity sockets in the house Makes consumption or generation data available Univocally associated to customer’s own meter ISGAN Annex2 Webinar, March 6th 2014 14
  15. 15. 3 Objectives & benefits Main Objectives To establish a direct link between the utility and the final customers in order to improve their consumption awareness and enable their participation to the electricity market Expected benefits • More efficient and sustainable energy use (energy consumption reduction and shifting in off-peak hours) • New advanced in-home energy services been enabled (i.e. automatic load management, coordination of consumption and generation) • New competitive market based on distinctive services been opened to be several market players (e.g. service providers, retailers, aggregators, TelCos) •Additional resources to manage the system and carry out the activities (e.g. better balancing of energy consumption and generation, load shedding , peak shaping, etc.) •More efficiency and sustainability of the whole system (e.g. through energy consumption reductions, load shifting when renewable production is higher, etc.) ISGAN Annex2 Webinar, March 6th 2014 15
  16. 16. 4 Enel’s smart info® functionalities SEE: Smart Info Display  Current, historical , tendency consumption         Tariff time bands notification Power limits alarm Contractual data visualization Messages from SO Extra information (date, hour…) Instantaneous power Historical maximum instantaneous power Alarm generated when energy usage overcomes configurable threshold ANALYSE: Smart Info Manager “SEE” plus:  Detailed analysis of load profile  Comparisons in time  Comparison generation vs. consumption  Energy efficiency suggestions  Exportable reports EXPLORE: Smart Info Mobile “SEE” + “ANALYSE” accessible from a smartphone ISGAN Annex2 Webinar, March 6th 2014 16
  17. 17. Enabled solutions for In-Home Energy Mgt Customer interfaces Other meters Smart appliances Appliances Service provider‘s smart plug system DSO’s systems Service platform Home electricity meter Smart info Home gateway Additional electricity meters Customer interfaces Compliant with Zigbee Home Automation HOME DOMAIN An integrated platform to allow cooperation between all the main devices involved in residential energy management in order to enable provision of Value Added Services based upon information exchange ISGAN Annex2 Webinar, March 6th 2014 17 4
  18. 18. 4 Customer Energy awareness Use case Customer would easily access, directly on the display of the appliance itself, smart phone or by any other interface, to information and warnings from the grids or the smart appliances       Cost of each appliance cycles Power and energy usage User and contract references Historical data Tariff scheme Alarms ISGAN Annex2 Webinar, March 6th 2014 18
  19. 19. 4 Appliances Coordinated Mgt Use case Full interaction of the home appliances with the network, providing active planning and coordination as a result of the information coming from the meter and the user needs  Energy consumption monitoring;  Coordinated appliance planning;  Coordinated temporary reduction of power consumption STEPS FORWARD:  Smart cooperation and synchronization between local RES generation and energy consumptions, also according to tariff schemes and incentives  Solutions for the Active Demand Several smart services can be enabled to the final customers ISGAN Annex2 Webinar, March 6th 2014 19
  20. 20. 5 Current status & results – Enel’s projects Several ongoing Enel’s initiatives on solutions enabling Active Demand both at EU and National Levels 2008 FP7 project ADDRESS ENDED 19 towns in Italy with high RES share connected at MV level ISGAN Annex2 Webinar, March 6th 2014 2012 The pilot Energy@Home ONGOING FP7 project ADVANCED ONGOING The pilot Enel Info+ ONGOING 20
  21. 21. 5 First feedback from Enel Info+      Display the most used Prosumers are the most active Very helpful to be informed of time bands Real time power generates a lot of curiosity Great interest from small commercial ISGAN Annex2 Webinar, March 6th 2014 21
  22. 22. 5 The ADDRESS project OBJECTIVES: To enable the active participation of domestic and small commercial consumers to electricity system markets and services provision to the different Electricity System players TO ENABLE AD Aggregator • Developing technical solutions at consumer premises and at power system level • Proposing recommendations and solutions to remove the possible barriers Managed Load TO EXPLOIT AD BENEFITS  Project Coordinator: Enel Distribuzione SpA  Budget: 16Mln Euro (9 Mln EU funded)  25 Partners in 11 Countries with 3 Test sites ISGAN Annex2 Webinar, March 6th 2014 • Identifying the stakeholders potential • Developing appropriate contractual mechanisms benefits markets 22 for and
  23. 23. 5 The ADDRESS project – The Italian test Objectives of the Italian test: To test distribution network management in presence of Active Demand in order to verify operating conditions AD was emulated on the MV network by a storage and load/production variations of MV customers testing:  DSO as AD products Validator  DSO as an AD products buyer In the Italian field test, the DSO’s algorithms to enable Active Demand have been tested and validated AD, been validated by DSO, can be exploited to face network problems in presence of DERs ISGAN Annex2 Webinar, March 6th 2014 23
  24. 24. 5 The FP7 funded project ADVANCED Objectives: Empowering smart costumers to participate in AD and electricity supply efficiency  Reveal the benefits of AD for the key stakeholders  To analyze inherent impacts on the electricity systems considering its potential contribution to system stability and efficiency.  To develop actionable frameworks enabling residential, commercial and industrial consumers to participate in AD, thus facilitating mass uptake of AD in Europe Real data made ​available by the 4 utilities participating in the consortium and collected through 4 major pilot projects in Europe will be analyzed: 2 ADDRESS pilots (Spain and France), E-DeMa pilot (Germany) and Enel Info + pilot (Italy). Data collected in VaasaETT’s database (from 100 EU AD projects with the participation of around 450,000 residential consumers) will be exploited. ISGAN Annex2 Webinar, March 6th 2014 24
  25. 25. 6 Lessons learned & Recommendations 1/2 Consumers: GET THEM INVOLVED AND DO NOT STOP! •Participation to AD is voluntary: usability of the technology, contracts and contextual issues are all important •Clearly set out the potential financial benefits and implications of different actions •The full range of benefits communicated to ensure as wide a take-up as possible •Consumers privacy and data must be protected Recruitment leverages on promoters accountability and commercial/communication profiles are recommended System Operators: VALIDATION AND COORDINATION NECESSARY • AD can be used to solve network operation problems and coordination is necessary among TSO and DSOs taking into account responsibilities and local constraints • SO’s regulation has to include fixed costs associated to the services provided to enable AD and to allow SOs to purchase AD products (country specific) ISGAN Annex2 Webinar, March 6th 2014 25
  26. 26. 6 Lessons learned & Recommendations 2/2 Communications: STANDARDIZED INTEROPERABLE SOLUTIONS NEEDED • Use available, open and proven standards for any AD related communication • No restriction to specific communication channels to avoid to rule out certain AD participants. Heterogeneous communication infrastructure needs to be acknowledged The availability of interoperable standards is crucial to make possible the successful commercialization of Smart Devices for the AD Deregulated Players, Market and regulation: • Consumers must be free to opt in and out • Ownership and protection of data: rules to be defined • At first adaptation of existing markets (creating new markets complex presently) • Regulation needs to intervene (Rules and mechanisms for verification/measurement of AD products delivery; to allocate in a fair way costs and benefits among players; to prevent unfair competition) ISGAN Annex2 Webinar, March 6th 2014 26
  27. 27. 7 Barriers and challenges to be faced Dealing with: HIGH COMPLEXITY AD implies a complex, multi-stakeholder system It requires several tools/devices to work together LARGE SCALE It must be understood and adopted by tons of consumers Consumers involvement is the greatest challenge BRAND NEW Full chain AD systems are not presently existing in EU The regulation to exploit AD is not yet full in place ISGAN Annex2 Webinar, March 6th 2014 27
  28. 28. The path towards active consumers Active Consumers should be gradually implemented INTERACT CONTROL MONITOR Enel Info+ ISGAN Annex2 Webinar, March 6th 2014 28
  29. 29. THANKS FOR YOUR ATTENTION ISGAN Annex2 Webinar, March 6th 2014