Towards transactive energy systems: An analysis on current trends

This paper presents a comprehensive analysis on the latest advances in transactive energy systems. The main contribution of this work is centered on the definition of transactive energy concepts and how such systems can be implemented in the smart grid paradigm. The analyzed works have been categorized into three lines of research: (i) transactive network management; (ii) transactive control; and (iii) peer-to-peer markets. It has been found that most of the current approaches for transactive energy are available as a model, lacking the real implementation to have a complete validation. For that purpose, both scientific and practical aspects of transactive energy should be studied in parallel, implementing adequate simulation platforms and tools to scrutiny the results.This work has received funding from the European Union's Horizon 2020 research and innovation programme under project DOMINOES (grant agreement No. 771066) and from FEDER Funds through COMPETE program and from National Funds through FCT under the project UID/EEA/00760/2019.info:eu-repo/semantics/publishedVersio

A Systematic Literature Review of Peer-to-Peer, Community Self-Consumption, and Transactive Energy Market Models

Capper, T., Gorbatcheva, A., Mustafa, M. A., Bahloul, M., Schwidtal, J. M., Chitchyan, R., Andoni, M., Robu, V., Montakhabi, M., Scott, I., Francis, C., Mbavarira, T., Espana, J. M., & Kiesling, L. (2021). A Systematic Literature Review of Peer-to-Peer, Community Self-Consumption, and Transactive Energy Market Models. Social Science Research Network (SSRN), Elsevier. https://doi.org/10.2139/ssrn.3959620Peer-to-peer and transactive energy markets, and community or collective self-consumption offer new models for trading energy locally. Over the past 10 years there has been significant growth in the amount of academic literature and trial projects examining how these energy trading models might function. This systematic literature review of 139 peer-reviewed journal articles examines the market designs used in these energy trading models. The Business Ecosystem Architecture Modelling framework is used to extract information about the market models used in the literature and identify differences and similarities between the models. This paper identifies six archetypal market designs and three archetypal auction mechanisms used in markets presented in the reviewed literature. It classifies the types of commodities being traded, the benefits of the markets and other features such as the types of grid models. Finally, this paper identifies five evidence gaps which need future research before these markets can be widely adopted.publishersversionpublishe

Social and economic value in emerging decentralized energy business models: A critical review

In recent years, numerous studies have explored the opportunities and challenges for emerging decentralized energy systems and business models. However, few studies have focussed specifically on the economic and social value associated with three emerging models: peer-to-peer energy trading (P2P), community self-consumption (CSC) and transactive energy (TE). This article presents the findings of a systematic literature review to address this gap. The paper makes two main contributions to the literature. Firstly, it offers a synthesis of research on the social and economic value of P2P, CSC and TE systems, concluding that there is evidence for a variety of sources of social value (including energy independence, local benefits, social relationships, environmental responsibility and participation and purpose) and economic value (including via self-consumption of renewable electricity, reduced electricity import costs, and improved electricity export prices). Secondly, it identifies factors and conditions necessary for the success of these models, which include willingness to participate, participant engagement with technology, and project engagement of households and communities, among other factors. Finally, it discusses conflicts and trade-offs in the value propositions of the models, how the three models differ from one another in terms of the value they aim to deliver and some of the open challenges that require further attention by researchers and practitioners

Free Trade in Electric Power

This Article develops the core legal framework of a new electricity-trading ecosystem in which anyone, anytime, anywhere, can trade electricity in any amount with anyone else. The proliferation of solar and other distributed energy resources, business model innovation in the sharing economy, and climate change present enormous challenges — and opportunities — for America’s energy economy. But the electricity industry is ill equipped to adapt to and benefit from these transformative forces, with much of its physical infrastructure, regulatory institutions, and business models a relic of the early days of electrification. We suggest a systematic rethinking to usher in a new trading paradigm and propel the electric utility industry into the 21st century.Our model has the potential to revolutionize the way electricity is generated, delivered, and used without requiring dramatic legal reform or radically new technologies. Instead, this Article draws on recent Supreme Court precedent and readily available technologies to democratize the electric grid and unlock free trade in electric power. We refine and expand pilot initiatives currently under way in California and New York to combine existing wholesale markets with new trading platforms similar to Airbnb and Uber. Enhanced market access will empower previously captive consumers to emancipate themselves from their local utilities while also ensuring the proper valuation and integration of a diverse portfolio of energy resources. Transformative change, however necessary and beneficial in the long run, will not come easy in an industry famous for its resistance to reform efforts of any kind. Accordingly, our proposal does not start with a clean slate but, rather, envisions a hybrid system where competitive markets coexist with traditional utility governance structures while regulators and stakeholders adjust to the new trading paradigm

Free Trade in Electric Power

This Article develops the core legal framework of a new electricity-trading ecosystem in which anyone, anytime, anywhere, can trade electricity in any amount with anyone else. The proliferation of solar and other distributed energy resources, business model innovation in the sharing economy, and climate change present enormous challenges — and opportunities — for America’s energy economy. But the electricity industry is ill equipped to adapt to and benefit from these transformative forces, with much of its physical infrastructure, regulatory institutions, and business models a relic of the early days of electrification. We suggest a systematic rethinking to usher in a new trading paradigm and propel the electric utility industry into the 21st century. Our model has the potential to revolutionize the way electricity is generated, delivered, and used without requiring dramatic legal reform or radically new technologies. Instead, this Article draws on recent Supreme Court precedent and readily available technologies to democratize the electric grid and unlock free trade in electric power. We refine and expand pilot initiatives currently under way in California and New York to combine existing wholesale markets with new trading platforms similar to Airbnb and Uber. Enhanced market access will empower previously captive consumers to emancipate themselves from their local utilities while also ensuring the proper valuation and integration of a diverse portfolio of energy resources. Transformative change, however necessary and beneficial in the long run, will not come easy in an industry famous for its resistance to reform efforts of any kind. Accordingly, our proposal does not start with a clean slate but, rather, envisions a hybrid system where competitive markets coexist with traditional utility governance structures while regulators and stakeholders adjust to the new trading paradigm

Free Trade in Electric Power

This Article develops the core legal framework of a new electricity trading ecosystem in which anyone, anytime, anywhere, can trade electricity in any amount with anyone else. The proliferation of solar and other distributed energy resources, business model innovation in the sharing economy, and climate change present enormous challenges—and opportunities—for America’s energy economy. But the electricity industry is ill-equipped to adapt to and benefit from these transformative forces, with much of its physical infrastructure, regulatory institutions, and business models relics of the early days of electrification. This Article suggests a systematic rethinking to usher in a new trading paradigm and propel the electric utility industry into the twenty-first century. This model has the potential to revolutionize the way electricity is generated, delivered, and used without requiring dramatic legal reform or radically new technologies. Instead, this Article draws on recent Supreme Court precedent and readily available technologies to democratize the electric grid and unlock free trade in electric power. It refines and expands pilot initiatives currently under way in California and New York to combine existing wholesale markets with new trading platforms similar to Airbnb and Uber. Enhanced market access will empower previously captive consumers to emancipate themselves from their local utilities while also ensuring the proper valuation and integration of a diverse portfolio of energy resources. Transformative change, however necessary and beneficial in the long run, will not come easily in an industry famous for its resistance to reform efforts of any kind. Accordingly, this proposal does not start with a clean slate, but, rather, envisions a hybrid system where competitive markets coexist with traditional utility governance structures while regulators and stakeholders adjust to the new trading paradig

Transactive energy system

The rising of distributed energy resource (DER) e.g. rooftop PV solar system, wind system and energy storage system, and load demand response bring both opportunities and challenges to the power grid. Coordinating decentralised DERs is important. The purpose of transactive energy (TE) system is to coordinate DERs at the distribution level and encourage consumers and prosumers to participate in electricity market by providing economic incentives. TE system enables customers and prosumers to sell the surplus energy to their neighbours. This thesis represents research on TE system in aspects of structure, technology, economics and participants. The impact of TE system in Australia’s electrical standard and electricity business mode is also explored. Moreover, based on research findings, a TE system model for Australia is proposed. The key findings of this project are: • TE System is a method to relieve electricity congestion. • The power flow (distribution level) and transaction in TE system are bidirectional. • TE system is customer-oriented and offers more choices to customers/prosumers. • The new distribution system operator (DSO) plays a key role in coordinating DERs and end-users. • Undertaking a TE system demonstration project in Australia is suggested