Integrid - Bridging the Gap

72 However, it is clear, that the absence of flexibility is currently a minor constraint but can be considered to be a driver to massively empower the network with flexibility sources as consumer assets (HEMS) or other flexibility sources for DSOs and other third parties to use. Regarding the replicability of the solutions, the regulatory framework to deploy them will have considerable impact on the success of replication. Economic aspects will also need to be adopted from the regulatory framework. From a technical perspective, replication is possible as the solutions are able to performwith legacy technologies, although upgrading is advised. InteGrid shows how to replicate these solutions a visual, step by step process, where all details are considered. The CBA analysis examined a wide variety of concepts across three demo countries, with mostly positive results. The main finding of this CBA was that the outcome of smart grid projects depends on various factors, including specific market conditions, flexibility prices, country specific regulations and the costs underlying each specific solution. The CBA results were checked with a sensitivity analysis to confirm the reliability of the results and provide additional insights into the effect of critical variables on the main findings. The insights from this CBA can support decision makers when selecting the best technologies and provide enhanced knowledge of the various factors that can inform on the direction of development of future smart grids. In terms of policy barriers, the solutions tested and developed in the InteGrid project can support the achievement of the European energy policy goals for 2030 and beyond. However, whilst the Clean Energy Package for all Europeans is designed to enable this transition, national regulatory frameworks are not yet fully aligned. Acknowledging this fact, InteGrid has carried out a regulatory analysis and a comprehensive list of regulatory barriers has been identified, and recommendations to overcome them have been provided. The key conclusions can be summarized as follows: I. DSO revenue regulation should be adapted to encourage DSOs to use flexibility services when this is less costly than reinforcing the grid and this should therefore be reflected in their network development plans. DSOs could achieve this DER flexibility through cost-reflective network charges, flexible connection agreements and local flexibility markets. II. The use of all these mechanisms in the long and the short-term should be coordinated. Balancing markets should be opened for participation by all flexibility providers, including demand side resources, on condition that they comply with a set of fair and technology-neutral requirements. This requires revisiting existing balancing market rules and providing a clear framework for aggregators, including independents. III. End users should be exposed to retail tariffs that promote an efficient response. In addition to designing cost-reflective network charges, regulation should give consumers the possibility to opt for dynamic energy prices and prevent distortions caused by other regulated costs. IV. A clear and efficient metering data management model is required to provide seamless data access by consumers and authorized third parties. A very important conclusion from InteGrid was the validation of the core role of the DSO during energy transition as well as the importance of the gm-hub concept, considered by InteGrid as a key enabler platform so that distribution grid available flexibility can be used for multiple purposes from a grid operation perspective. This will enable a more efficient distribution grid with a higher quality of service, increasing RES hosting capacity, with grid market applications bridging the gap between energy markets and European citizens. The gm-hub also supported the role of the DSO as a market enabler allowing the distribution grid to provide energy market applications, based on a customer centric transition as well as enabling new energy services among distribution grid stakeholders. Last, but not least, a word of thanks for the fantastic and committed InteGrid team who never hesitated when facing the numerous difficulties and challenges that the project presented. From numerous technical challenges to all the difficulties created by the COVID19 situation, the team’s persistence and resilience never failed. At a time where resilience and flexibility are hot topics in the energy sector, the InteGrid team proved that this was the right group to tackle the InteGrid challenge, where its concept was demonstrated, proving that flexibility-based grid operation and engaging distribution grid stakeholders by enabling new customer oriented energy services, together represent one more step forward on the path to energy transition.