Page 31 - European Energy Innovation - winter 2017 publication
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Winter 2017 European Energy Innovation  31

                                                                        DECENTRALISED ENERGY

than participating proactively. But      “A sustainable, decentralised energy system will build on
make no mistake! Decentralisation        an integrated perspective: Consumers, prosumers and
does not require fragmentation           asset owners should be able to use and sell their energy
and autonomisation. A sustainable,       and flexibility resources wherever they are most valuable
decentralised energy system will         at any moment. “
build on an integrated perspective:
Consumers, prosumers and asset           system. If, in many European countries,       In this context, digital solutions will not
owners should be able to use and sell    over two-thirds of a consumer’s energy        only support the provision of services
their energy and flexibility resources   bill consists of flat taxes, levies and       to the system, but they are essential
wherever they are most valuable at any   charges that are based on the kilowatt-       also for the operation of markets and
moment. This means moving beyond         hours consumed, grid defection is             platforms. The market integration
silos of demand or supply, local-        a natural reaction. Different options         and evolution of new and innovative
level or system-level optimisation of    should be explored to overcome this           products on the power exchanges
resources. In such integrated markets,   effect. Levies could be linked to the         and the trialling of new approaches
distributed energy and flexibility       point of fuel consumption, rather than        to service acquisition by Transmission
supplies and services could be used      final electricity; dynamic taxes linked       and Distribution System Operators
at every level and purchased by all      with the electricity market price should      gives reason to be optimistic for the
different actors – Distribution System   be assessed; VAT, which has been              next steps.
Operators, Transmission System           linked with the volumes of electricity,
Operators, and all market participants.  could instead be based on purchasing          In an increasingly decentralised,
For this to succeed, markets and         price. Finally, if users can earn back        decarbonised energy system, we
products must be streamlined between     part of their network charges or benefit      need the digitally enabled interaction
the local and regional level, between    by selling services to the system,            of millions of demand and supply
the provision of services for system     monetising their energy and flexibility,      assets and solutions. This requires an
operation and energy for supplies.       they will tend to remain connected,           integrated perspective - and this why
                                         contributing to a sustainable, cost-          the Smart Energy Demand Coalition,
The creation of a smart integrated       effective and increasingly decentralised      SEDC has become Smart Energy
system also means that taxes, levies     energy system.                                Europe, smartEn. l
and grid-charges must be revisited,
encouraging smart interaction rather
than pushing users away from the

                                                           Actors

                                         Prosumers consuming and delivering, new
                                         service providers like aggregators, external

                                             asset owners, digital platforms etc.

              Technology                 Integrated approach                                             Policy
             Smart buildings,
                                           to digital, decentralised,                  Clean Energy Package combines DR, DER,
aggregation of DR and DER, new business     decarbonised solutions                     storage and EVs; common challenges and
                    models
                                                                                                          solutions

                                                         Services

                                         Integration and electrification of heating
                                         and transport; emergence of block chain

                                                         solutions etc.

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