What is Needed for the Enhancement of Successful Grid Scale Energy Storage Development

Transcription

1 What is Needed for the Enhancement of Successful Grid Scale Energy Storage Development Storage as an enabler, Commercial opportunities, Role and responsibility of DSO Marielle Liikanen, Senior Advisor, Energy Markets Inspectorate Sweden

2 Regualtor s view on roles and responsibilities 1. Quick facts electricity market development in the Nordics 2. The Future Role of DSOs, A CEER Conclusions Paper 3. The view of a national regulator

3 1. Retail market pre-conditions NordPoolSpot 90% of production TSO 4 DSO (DK) 79(FIN) 170+(SE) 145(NO) Suppliers (DK) 74(FIN) 124(SE) 236(NO) Liberalised: 1991(NO), 1996(SE), 1997(FIN), 2003(DK) Customers: 14,85 million 3

4 1. Customer activity - switching Norway 8 10,2 11, ,7 12,7 Sweden ,3 9,9 10,7 10,3 Finland 8,1 7,6 7,6 7,7 10,1 9,8 Denmark 6,1 4,2 3,5 6,7 1,7 1,7 4

5 1. Supplier centric model = customer centric Indepth analysis of different market models Competetive stakeholder should be the customers main point of contact Monopoly stakeholder focus on core activity EUW 2015 Session 50: The Customer is Always Right 5

6 1. Need for easy access to relevant data - datahub Supplier centric model and access to information via hub is important in order to increase competition in the Nordic market Access for customer, supplier, 3rd party and DSO Smart meters prerequisite Customer is always in control of the data EUW 2015 Session 50: The Customer is Always Right 6

7 2. The Future Role of DSOs, A CEER Conclusions Paper The role of the DSO and the need for regulatory oversight 1. DSOs must run their businesses in a way which reflects the reasonable expectations of network users and other stakeholders, including new entrants and new business models; 2. DSOs must act as neutral market facilitators in undertaking core functions; 3. DSOs must act in the public interest, taking account of the costs and benefits of different activities; and 4. Consumers own their data and that this should be safeguarded by DSOs when handling data.

8 2. Grey areas where DSOs may participate in activities but where there are concerns Grey areas are: energy efficiency advice, the extent of involvement in flexibility and storage, and engagement with end consumers. DSOs, who in most cases have access to data directly from smart meters, have a special responsibility to act impartially and to make available necessary data to other parties, while respecting data privacy legislation. CEER believes that DSOs should remain as neutral market facilitators but that this does not automatically confer the status of data management coordinator to a DSO.

9 2. The DSO-TSO relationship Higher levels of distribution-connected generation and the deployment of smart technologies will require DSOs to be responsive and innovative to ensure efficient network development and operation and to cooperate with TSOs. There should be a general principle of subsidiarity, with decisions taken at the right time by the most appropriate entity. Changes could be made now to ensure adequate communication and information exchange between TSOs and DSOs, real time exchange of data, more co-ordinated planning and decision making, and greater transparency and communication with stakeholders.

10 2. Economic signals and contractual arrangements DSOs need to be increasingly innovative and to explore smart and flexible solutions to running the grids of the future. Regulatory incentives should enable this behaviour and could encourage, where efficient and effective, controlled experimentation in pursuing benefits and value for money for current and future consumers. The extent to which network tariffs should change and achieving fair network cost allocation in the light of Time of Use (ToU) offers in the retail market are complex issues. CEER will carry out more analysis on the potential benefits of different approaches including time of use charges, service related tariffs, capacity and consumption based charges, and discounts, together with any other options.

11 2. Economic signals and contractual arrangements, cont. CEER is concerned about DSOs engaging with consumers directly given their monopoly power and the need to allow retail markets and new business models, including aggregators to offer their services to consumers. This concern may, however, be less in some countries, particularly where DSOs do not operate metering and data management activities or where DSOs ownership unbundling is mandated by law. It is vital that energy regulators oversee arrangements to ensure there is a level playing field, that consumers are protected, and that new entrants can participate in the market.

12 3. The position of the Swedish regulator Storage is an enabler of smart grids New area for competetive stakeholders DSO role and responsibilities Grid losses Separate activity

13 Thank you!