SmartGrids SRA 2035. Summary of Priorities for SmartGrids Research Topics

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SmartGrids SRA 2035 Summary of Priorities for SmartGrids Research Topics Version 19 June 2013

Setting Priorities related to SRA 2035 research areas and topics The following section reports on the conclusions related to priority setting among the SRA 2035 research areas and topics. The following figure and table summarizes only the top priorities among the Smart Grids SRA 2035 Research Topics. TOP PRIO research topics SmartGrids Research Area IS: Top Priorities Observability and Control (including ICT for Control), Widespread Storage within the Grid, Selfhealing Research Area D: Top Priorities ModellingPower Systems and ICT together, Observability at Distribution Level, Power Electronics Technologies RA T&D Research Area T: Top Priorities Power technology to increase network flexibility, Monitoring and control technologies to observe and control the 2035 pan-european network, Pan- European market tools for 2035 ancillary services and balancing needs, Market mechanisms for ensuring system adequacy and efficiency in electric systems by 2035 Research Area RC: Top Priorities Distributed self-organisation vs. central control, Energy Cloud RA T&D Top Priorities: The integration of demand side management 2035 at DSO level into TSO operations Ancillary services provided through DSOs www.smartgrids.eu Version 19 June2013: Priorities for SRA 2035 Research Topics Page 0 of 10

Research Area Priority (1: highest) High Priority Research Topic 1 Observability and Control (including ICT for Control) IS 2 3 Widespread Storage within the Grid Self-healing Advanced components VPP (Virtual power plants) and market 4 Operator Issues, Training and Education 1 Modelling Power Systems and ICT together Observability at Distribution Level 2 Power Electronics Technologies D 3 EVI (Electric Vehicle Integration) 4 Risk based operation Cyber Security 5 Microgrids DC distribution grids & DC distribution integrated into to AC grids 1 Distributed self-organisation vs. central control RC 2 Energy Cloud 3 The NEW Infrastructure integrating both Energy/Electricity and ICT SE 1 Consumer Maturity 2 Legislation/Regulation: New energy-markets designs T 1 2 Power technology to increase network flexibility Monitoring and control technologies to observe and control the 2035 pan-european network Pan-European market tools for 2035 ancillary services and balancing needs Market mechanisms for ensuring system adequacy and efficiency in electric systems by 2035 3 Long-term assets management TD 1 The integration of demand side management 2035 at DSO level into TSO operations 2 Ancillary services provided through DSOs www.smartgrids.eu Version 19 June2013: Priorities for SRA 2035 Research Topics Page 1 of 10

In the following, insights are given into the top priorities for each of the six research areas. IS: Priorities research area IS (Integrated Systems) Prio Position in IS Prerequisite for other research, but not really research itself. Standards & Protocols Sub-topics Involved IS08 b: Protocols and standards: Joint task force on IT system Standards & Protocols are a kind of pre-requisite and must be available as soon as new devices need to be deployed since they have to comply with them (e.g., to allow interoperability). The main objective should be to ensure interoperability. Ideally, protocols allowing for a Plug & Play feature that supports new functionalities. This position 0 is not really research but rather a pre-requisite for research. The outcome of this position 0 is seen as a basis for the following research topics: Prio Position in IS 1 Observability and Control (including ICT for Control) Sub-topics Involved IS06 i: Extended applications of Wide Area Monitoring Systems (WAMS); Similar solutions may be adopted by DSOs, introducing fine-grained measuring devices and advanced prosumer grid interfaces to keep under control the evolution of the grid status IS06 g: Advanced integrated communication and control systems for gathering a wide set of informa-tion from the field and communicating with local and remote devices to enable rapid analysis and initiation of automatic corrective actions IS05 a: Tools for pan-european network observability IS05 c: Tools for pan-european network reliability assessment IS05 d: Increased observability of the electric system for network management and control IS06 a: Advanced sensors on network equipment: to identify anomalies and communicate with nearby devices when a fault or another issue occurs; Sensors have to detect patterns as precursors to faults This topic is considered to be already on going but it will have to evolve according to future context. The grid operator needs a way of estimating / visualizing the state of a Grid whose structure is changing and also beyond 2020. Prio Position in IS Sub-topics Involved 2a Widespread Storage within the Grid IS07 b: Storage of bulk quantities of electricity from fluctuation renewable sources production with low losses IS07 d: Synergies between storage technologies IS07 c: Off-shore energy storage associated on-site with off-shore wind farms (e.g. marine hydro pumped storage) Storage: bulk storage, dispersed storage, synergies are important at every level for the upcoming energy context to a low very high RES penetration. Prio Position in IS 2b Self-healing www.smartgrids.eu Version 19 June2013: Priorities for SRA 2035 Research Topics Page 2 of 10

Sub-topics Involved Dependencies IS06 k: Options for self-healing grids i.e. the ability of a power system to automatically prevent, detect, counteract and repair itself IS05 h: Autonomous self-controlling and healing grids (dynamic topology, power re-routing) More R&D is needed to address the self-healing functionality and avoiding default on the grid for future complex scenarios. Observability, sensors, real-time monitoring D: Priorities research area D (Integrated Systems) Prio Position in D 1a Modelling Power Systems and ICT together Sub-topics Involved D06 b: Modelling of electrical power systems and IT systems to assess the impacts of failures in both systems operating with close interactions There is a need for further development regarding the volatility of the grid and corresponding response times of distributed ICT systems. Prio Position in D Sub-topics Involved 1b Observability at Distribution Level D01 f: Observability of the LV and MV distribution grids in a cost effective way (e.g. number of sensors, coupling with AMM data management) D01 g: LV and MV Advanced monitoring and operational planning R&D is already ongoing, but it will be still considered as an issue after 2020. With more demanding applications, it will always be necessary to get more data from the field. Prio Position in D 2 Power Electronics Technologies Sub-topics Involved D07 a: Power Electronics Technology for Smart Distribution Alternative distribution network layouts/ Planning and devices RC: Priorities research area RC (Retail and Consumers) Prio Position in RC 1 Distributed self-organisation vs. central control Sub-topics Involved RC01 c HIGH priority for research. That topic needs R&D beyond EEGI. It is missing in today s on-going Smart Grids research. Open questions are e.g.: what are the metrics for stability in the future (maybe not frequency and voltage)? How can mostly self-organized systems be stabilized? What central actors will be needed? Which part of the system should be fully self-organized, where is central control needed? Prio Position in RC 2 Energy Cloud Sub-topics Involved RC 02a www.smartgrids.eu Version 19 June2013: Priorities for SRA 2035 Research Topics Page 3 of 10

Cloud technology is of great relevance for the electricity sector and associated energy carriers. Cloud issues are addressed in many ICT research programs and projects, but not with respect to Smart Grids questions. Cloud is a technology which is rapidly maturing. SE: Priorities research area SE (Socio-Economics) Prio Position in SE 1 Consumer Maturity Sub-topics Involved SE 01 h It is not yet understood, on which timescales consumers react or change their behaviour. How do they learn? How and how fast do they adapt (e.g. to variable tariffs, new technologies...). AND: there is not such a thing than THE customer. Consider viable groupings which react similarly (similar values and economic conditions/habitus) What about the customers that cannot or do not want to be engaged? Discuss the questions concerning social, psychological issues with experts from social etc. sciences or similar to embed these ideas in the right context and to address the right research priorities. Prio Position in SE 2 Legislation/Regulation: New electricity-markets designs Sub-topics Involved SE 09 b The future electricity system consists of tens of millions of active components and actors. Priority should be given to the following questions: What are the regulatory options to create and allow for creativity of the market on the one hand and economic stability and security of supply on the other hand? How can the regulatory framework proceed and adapt in an uncertain environment? T: Priorities research area T (Transmission Systems) Prio Position in T 1a Power technology to increase network flexibility The complexity of the pan-european network requires highly flexible development of transmission capacity and system operation to ensure security of supply. Furthermore, the advent of a single pan-european electricity market with a free flow of energy across multiple borders has led to increased cross-border power flows. Advance transmission technologies must be tested and existing lines must be improved. The integration of new technologies into existing infrastructures presents interoperability issues that must be solved. Emerging power technologies will be demonstrated and validated to increase the flexibility and capacity of the existing power grid. Another www.smartgrids.eu Version 19 June2013: Priorities for SRA 2035 Research Topics Page 4 of 10

key issue is to determine the best methods to share data gleaned from wide-area measurements between interconnected TSOs and to establish ancillary service responsibilities in faulted modes of operation. Prio Position in T 1b Monitoring and control technologies to observe and control the 2035 pan-european network Monitoring, control and protection systems are going to face critical challenges as result of significant increase of power electronics in the transmission system, as well as in the level of observability and controllability. Transmission systems are being operated under increasingly stressed conditions and are close to their stability limits. Massive integration of RES and DER, potential development of hybrid networks (AC / DC grid) and the increasing levels of interconnectivity require new monitoring methods. During next decade the control and protection system will face a radical breakthrough in terms of fault detection, selectiveness and clearance resulting comparable to the one related to generation and load currently in progress. To provide solutions which improve the ability to observe, control and protect the pan-european system using information provided by local sensors (like PMU) and models, as well as information provided by forecasting tools. Prio Position in T Sub-topics Involved 2a Pan-European market tools for 2035 ancillary services and balancing needs Market mechanisms for ensuring system adequacy and efficiency in electric systems by 2035 Current EU targets for integration of RES in particular wind and solar energy present significant challenges for balancing control and management of power and energy reserves within existing transmission www.smartgrids.eu Version 19 June2013: Priorities for SRA 2035 Research Topics Page 5 of 10

grids. Balancing control can be seen as two fairly independent tasks: maintaining the grid frequency within definite limits and real-time management of network congestion arising from unplanned deviations. Novel market simulation tools are needed to properly design pan- European value streams. New market tools are to be delivered that go beyond those currently used in member states. These are to stimulate RES involvement, active demand and storage systems, contribute to system balancing and provide ancillary services. Prio Position in T 2b Market mechanisms for ensuring system adequacy and efficiency in electric systems by 2035 The European transmission grid has been constantly evolving for many years. More recently, markets have been changing with the growth of on- and offshore renewable production at different locations and with different shares of various technologies. The integration of variable generation requires additional security margins in the day-2 and day-1 scheduling processes. Therefore, consideration should be given to the development of improved market models and simulation tools which would allow adequate system capacity to host a large share of RES generation. Together with the infrastructure development, market models and simulation tools may, for instance, improve generation shifts. Provide recommendations on specific rules for integrating renewables inpower, balancing and system services and therefore allow massive integration of RES. The objective of the models and simulation tools is to demonstrate the results of the enforcement of specific market designs for integrating renewables into power balancing and system services, while accounting for infrastructure development. In this way, RES can be freely integrated into the electricity market and improve the generation shift and power balance without interrupting the quality and reliability of service. www.smartgrids.eu Version 19 June2013: Priorities for SRA 2035 Research Topics Page 6 of 10

Prio Position in T 3 Long-term assets management Asset management based on optimization at the system level is complex. Since all decision-making processes must be taken into account, this requires a well-defined level of system reliability. The main R & D challenge is to specify and develop a realistic and workable approach, using relevant approximation and heuristics. The challenge is to demonstrate how integrated asset management approaches can be implemented, scaled up and replicated at managed costs and that the expected benefits are realized. Dependencies Development and validation of tools which optimize the asset lifetime at system level, based on quantitative cost / benefit analyses. The scaling-up of new asset management approaches and its potential for replication at the EU level are to be demonstrated. TD: Priorities research area T&D (Transmission and Distribution Systems) Prio Position in T&D 1 The integration of demand side management 2035 at DSO level into TSO operations The potential benefits of load control, such as peak shaving and energy savings, must involve large-scale participation of end consumers in order to assess their impact on TSO planning and operations. New technologies such as smart meters and energy boxes must be included to add value to traditional demand response and raise awareness about consumption patterns and foster active customer participation in the energy market. The main objective is to develop processes for commercial actors (e. g., VPP, aggregators, retail companies, ESCOs, ) to generate localized offers that could be activated by the relevant DSO, TSO, or market operators. Prio Position in T&D 2 Ancillary services provided through DSOs www.smartgrids.eu Version 19 June2013: Priorities for SRA 2035 Research Topics Page 7 of 10

Distribution companies formerly contributed to ancillary services in transmission systems through reactive compensation on the MV side of the HV/MV transformer. Load-tripping schemes limit drops in frequency in the event of a loss of generation, etc. The evolution of the electricity sector and the expected arrival of aggregators will strongly affect the roles of the TSOs and DSOs. In that regard, TSOs and DSOs must address the legal, contractual and market aspects. The main objective is to create new incentive mechanisms and to address technical aspects to allow new ancillary services for TSOs from DER and load control provided through DSOs. www.smartgrids.eu Version 19 June2013: Priorities for SRA 2035 Research Topics Page 8 of 10