Distributed energy resources in today's power system
Despite several past EU policy orientations (such as liberalisation of the energy markets, use of renewable energy sources and security of energy supply) having driven the growth of distributed energy resources (DERs) in Europe, both technical and non-technical barriers prevented their massive deployment and larger market penetration. A group of eight European energy utilities banded together in the EU-deep project, proposing to remove many of these barriers. Partnering with professionals, research organisations, manufacturers, national agencies and a bank, they took a demand-pull rather than technology-push approach in efforts to provide certain 'fast-tracks options' for expediting large-scale European implementation of DERs. Toward this end, partners originally intended to define five market segments that stood to benefit from DER solutions, and foster the research and development (R&D) needed to adapt DER technologies to their demands. EU-deep's main goal was to design, develop and validate an innovative methodology based on the requirements of future energy markets as well as come up with innovative business solutions for enhanced European DER deployment by 2010. As such, the EU-funded research project focused on barriers related to market integration, regulation adaptation, technologies for connecting to the grid, grid impact and DER systems. To move ahead in these areas, project partners recognised the need to produce proactive solutions: innovative business options favouring DER grid integration, system specifications allowing safe grid connection of more DER units, recommendations of market rules supporting studied aggregation routes, and enhanced understanding of the effect of large DER penetration on electrical grid system and electricity market performances. Project partners considered DER technologies related to intermittent renewable energy sources, combined heat and power, and flexible demand, and the types of companies relevant to the project goals. EU-deep efforts succeeded in advancing knowledge covering technical, economical and system solutions for integrating DERs into the existing energy system, business options for properly valuing aggregated DER units, and framework conditions that will in the future catalyse sustainable DER development. Research also resulted in recommendations regarding scaling rules for future demonstration projects, and reproducing experiments and conditions for massive DER deployment in the context of the decarbonisation of electricity production by 2020, as well as a fairer allocation of charges related to use of the system.
