Scenarios for the development of smart grids in the UK: literature review

Smart grids are expected to play a central role in any transition to a low-carbon energy future, and much research is currently underway on practically every area of smart grids. However, it is evident that even basic aspects such as theoretical and operational definitions, are yet to be agreed upon and be clearly defined. Some aspects (efficient management of supply, including intermittent supply, two-way communication between the producer and user of electricity, use of IT technology to respond to and manage demand, and ensuring safe and secure electricity distribution) are more commonly accepted than others (such as smart meters) in defining what comprises a smart grid. It is clear that smart grid developments enjoy political and financial support both at UK and EU levels, and from the majority of related industries. The reasons for this vary and include the hope that smart grids will facilitate the achievement of carbon reduction targets, create new employment opportunities, and reduce costs relevant to energy generation (fewer power stations) and distribution (fewer losses and better stability). However, smart grid development depends on additional factors, beyond the energy industry. These relate to issues of public acceptability of relevant technologies and associated risks (e.g. data safety, privacy, cyber security), pricing, competition, and regulation; implying the involvement of a wide range of players such as the industry, regulators and consumers. The above constitute a complex set of variables and actors, and interactions between them. In order to best explore ways of possible deployment of smart grids, the use of scenarios is most adequate, as they can incorporate several parameters and variables into a coherent storyline. Scenarios have been previously used in the context of smart grids, but have traditionally focused on factors such as economic growth or policy evolution. Important additional socio-technical aspects of smart grids emerge from the literature review in this report and therefore need to be incorporated in our scenarios. These can be grouped into four (interlinked) main categories: supply side aspects, demand side aspects, policy and regulation, and technical aspects.

A multi-agent model for assessing electricity tariffs

This paper describes the framework for modelling a multi-agent approach for assessing dynamic pricing of electricity and demand response. It combines and agent-based model with decision-making data, and a standard load-flow model. The multi-agent model described here represents a tool in investigating not only the relation between different dynamic tariffs and consumer load profiles, but also the change in behaviour and impact on low-voltage electricity distribution networks.The authors acknowledge the contribution of the EPSRC Transforming Energy Demand Through Digital Innovation Programme, grant agreement numbers EP/I000194/1 and EP/I000119/1, to the ADEPT project

Demonstrating demand response from water distribution system through pump scheduling

Significant changes in the power generation mix are posing new challenges for the balancing systems of the grid. Many of these challenges are in the secondary electricity grid regulation services and could be met through demand response (DR) services. We explore the opportunities for a water distribution system (WDS) to provide balancing services with demand response through pump scheduling and evaluate the associated benefits. Using a benchmark network and demand response mechanisms available in the UK, these benefits are assessed in terms of reduced green house gas (GHG) emissions from the grid due to the displacement of more polluting power sources and additional revenues for water utilities. The optimal pump scheduling problem is formulated as a mixed-integer optimisation problem and solved using a branch and bound algorithm. This new formulation finds the optimal level of power capacity to commit to the provision of demand response for a range of reserve energy provision and frequency response schemes offered in the UK. For the first time we show that DR from WDS can offer financial benefits to WDS operators while providing response energy to the grid with less greenhouse gas emissions than competing reserve energy technologies. Using a Monte Carlo simulation based on data from 2014, we demonstrate that the cost of providing the storage energy is less than the financial compensation available for the equivalent energy supply. The GHG emissions from the demand response provision from a WDS are also shown to be smaller than those of contemporary competing technologies such as open cycle gas turbines. The demand response services considered vary in their response time and duration as well as commitment requirements. The financial viability of a demand response service committed continuously is shown to be strongly dependent on the utilisation of the pumps and the electricity tariffs used by water utilities. Through the analysis of range of water demand scenarios and financial incentives using real market data, we demonstrate how a WDS can participate in a demand response scheme and generate financial gains and environmental benefits

Privacy In The Smart Grid: An Information Flow Analysis

Project Final Report prepared for CIEE and California Energy Commissio

Service Orientation and the Smart Grid state and trends

The energy market is undergoing major changes, the most notable of which is the transition from a hierarchical closed system toward a more open one highly based on a “smart” information-rich infrastructure. This transition calls for new information and communication technologies infrastructures and standards to support it. In this paper, we review the current state of affairs and the actual technologies with respect to such transition. Additionally, we highlight the contact points between the needs of the future grid and the advantages brought by service-oriented architectures.

Investigation into the impact of wind power generation on demand side management (DSM) practices

The construction of a number of wind farms in South Africa will lay the foundation for the country to embrace the generation of greener energy into the National Grid. Despite the benefits derived from introducing wind power generation into the grid, this source encompasses adverse effects which need to be managed. These adverse effects include the intermittency and lack of predictability of wind. In power systems with a high penetration of wind energy, these effects can severely affect the power system’s security and reliability in the event of significant rapid ramp rates. Recently, many utilities around the world have been exploring the use of Demand Side Management (DSM) and Demand Response (DR) initiatives and programmes to support and manage the intermittency of wind power generation. This report outlines the programmes and benefits of DSM/DR and provides a critical analysis of the challenges facing South Africa with implementing these initiatives. Introducing these programmes necessitates the employment of a number of Smart Grid technologies including Advanced Metering Infrastructure (AMI), next generation telecommunications technologies, smart meters, enterprise system integration and dynamic pricing. These tools and techniques are discussed and their challenges described within the context of South Africa’s current state of the power system. The current practices for DSM/DR in South Africa have been evaluated in this report. Despite, the success of many DSM/DR initiatives in the commercial, industrial and agricultural sectors, it is found that much work is still required in the residential sectors as the current DSM initiatives are not adequate for managing wind power generation. A detailed analysis and recommendations for South Africa’s DR program is then presented based on industry best practices and experiences from other utilities who are currently exploring DSM/DR in the residential sector using Smart Grid technologies

Road User Charging – Pricing Structures.

This project considers the extent to which the public could cope with complex price or tariff structures such as those that might be considered in the context of a national congestion pricing scheme. The key elements of the brief were: • to review existing studies of road pricing schemes to assess what information and evidence already exists on the key issues; • to identify what can be learned about pricing structures from other transport modes and other industries and in particular what issues and conclusions might be transferable; • to improve the general understanding of the relationship between information and people’s ability to respond; and • to recommend what further research would be most valuable to fill evidence gaps and enable conclusions to be drawn about an effective structure