Day: October 11, 2023

Trondheim successfully implements local energy and flexibility market

+CityxChange partner, Aneo (formerly Trønderenergi), a Nordic renewable energy company, has successfully developed and deployed a novel solution for local energy and flexibility markets (LFM) in the two Positive Energy Blocks, Brattøra and Sluppen, located in Lighthouse City Trondheim.

As a Horizon 2020 project, +CityxChange aims to pilot integrated, innovative, and replicable solutions for Positive Energy Blocks & Districts, which are developed and tested in Lighthouse Cities (Trondheim & Limerick), in close collaboration with the Follower Cities (Alba Iulia, Písek, Sestao, Smolyan, and Võru). The long-term goal of the project is to create sustainable urban ecosystems with zero emissions and achieve 100% renewable energy city-regions by 2050. 

ANEO’s work on LFMs plays a key role in establishing successful Positive Energy Blocks in Trondheim, and was recently awarded 2nd place at the Norwegian Smartgrid Centre’s Innovation Award 2023. Their groundbreaking solution has great potential for upscaling and replication, promising to enhance energy market efficiency and contributing to the broader energy transition.

What exactly is a local energy and flexibility market (LFM)?

The market solution is a one-of-a-kind, comprehensive innovation that incorporates the same steps and actions as an ‘ordinary’ global power market (think bid matching, trading, settlements, measuring, invoicing, etc.). The local energy and flexibility market essentially functions as a downscaled power market, in which the individual assets trade energy and user flexibility with each other, and then the market itself trades system services with the local Distributed System Operator (DSO). 

The two local markets consist of a total of 16 buildings/installations involved in the energy trade (6 at Sluppen and 10 at Brattøra). These buildings contain 29 individual assets (11 at Sluppen and 18 at Brattøra) that participate in the market, including PV systems, heat pumps, battery storage, and HVAC systems, as well as Vehicle to Grid (V2G), EV chargers, and E-busses. These assets act as individual market actors, partaking in the buying and selling of energy. 

For practical reasons, the market solution currently operates on a 60-minute time resolution, however it is capable of performing trades at a 15-minute time resolution and will soon transition to this shorter time resolution. Trading is based on a set of predefined trading rules—for example, how much capacity can be pulled from a certain flexible asset or local PV system at a certain time of the day/week/year. The market is fully automated, based on novel trading algorithms (or ‘trading rules’) that improve themselves through machine learning.

The solution is designed and operates within two main trading modules: the DSO-round and the Asset-round. As you would expect, the DSO-round is exclusively for DSO services, and includes all available user flexibility. In this round, flexibility is sold as a so-called ‘system service’ to the DSO. Local PV production and other unregulated energy resources are excluded from this part of the market trading, making the local user flexibility potential/volume a predictable and stable source. As a result, the local user flexibility is highly viable as a DSO system service. Results also show that the local DSO is willing to pay for such system services, given their contribution to the balancing of the local energy grid. 

The Asset-round, on the other hand, involves all energy bids and bid offers, which are made available from the buildings and their assets to the local marketplace. In this sense, energy production (kWh) is sold to local customers, who are thus also considered assets in this equation. The availability and volumes, both for bids and bid offers, are reported on the local marketplace at as close as 15 minutes before each hour (trade) starts.

Why is this important?

The market has been fully operational for more than a year, during which we have been able to verify it as a viable, practical market solution, and have gained knowledge on how to widely scale and replicate the market to other local contexts. During this time, ANEO has gathered extensive results showcasing how local Renewable Energy System (RES) production (primarily PV energy), also known as Distributed Energy Resource (DER) capacity, is sold locally. Currently, more than 80% can be sold, leading to a distinct 6% reduction of the local peak load, and according to estimations, a reduction of 20% could soon be obtainable. In Norway, the solution has already reduced tension on the local ‘Distribution grid’, and even the ‘Regional grid’. If scaled-up, this solution has the potential to have a positive impact on the larger ‘Transmission grid’. This will have important implications for increasing grid capacity and reducing grid bottlenecks. 

The +CxC project has estimated that with the LFM solution, it could be possible to increase local energy resource utilisation efficiency by up to 20% and even more in certain specific periods. Harnessing flexibility can ease the burden on the grid and possibly circumvent the need for costly infrastructure upgrades. Currently, the anticipated costs for grid upgrades and maintenance in Norway are estimated to be close to 20 billion euros, which will be paid for by consumers through grid taxes, making the LFM solution highly consequential. Efficient utilisation of user flexibility on the local scale may also reduce energy costs for the consumer, having a significant socio-economic impact and potentially contributing to the reduction of energy poverty.

Why isn’t this happening everywhere?

While the +CxC LFM is highly successful, there are still challenges regarding the potential of replication and upscaling, and the journey is far from over. A major barrier to implementation is the need to update the current grid and energy market regulation in order to actually make use of the digital opportunities we have available. Regulatory approval is key to transforming an LFM from a digital solution that trades energy and flexibility, into a solution where trades executed within the market will be accounted for by the existing electrical system and market.

Furthermore, local market solutions still lack sufficient economic incentives, with only a slightly positive return on investments for the market owners and operators, through peak shaving and peak shifting. While participants in the +CxC LFM are drawn by the economic advantages for trading local flexibility and energy, these benefits are currently dependent on local DSO funds. The absence of direct economic gains from local energy trading and DSO service means it lacks adequate incentives for operating and integrating local markets.

What’s next?

The local energy market approach and solutions demonstrated in Trondheim are highly viable, and key for a successful energy transition. An upscaled +CityxChange LFM could not only increase local utilisation of renewable energy but also be a strong mitigator of increasing grid capacity issues, having positive financial, socio-economic, and environmental impacts if adequately replicated and scaled. 

The aim is to further develop the energy market to leverage the ICT advancements and foster a sustainable, flexible, and decentralised electricity system that empowers individuals and communities to actively participate. The solution has the potential to accelerate local electricity production and demand investments, optimise grid investments through smart technologies, and facilitate a transition towards sustainable cities. 

Curious to learn more? Read the full deliverable, D5.6: Trondheim Flexibility Market Deployment Report, and check out the two dashboards displaying the live trades and summary of results and impacts:

Also be sure to download our ‘How to PED cookbook’ for an overview of our project’s main outcomes and achievements.

Turbine in the water!

From the 19th to the 21st of September 2023, GKinetic Energy deployed a 12kW hydrokinetic tidal turbine just downstream of Sarsfield Bridge on the river Shannon, in central Limerick City. Backed by the Limerick City Council and other local partners, this represents a major step forward towards utilising the river for energy generation in the city. The deployment saw successes in a number of areas, and pioneers a design that showcases the most advanced urban deployment of river turbine technology to date. Congratulations to all +CityxChange partners involved in making this possible!

The deployment of a river turbine in Limerick was targeted considering the limitations of generating energy through other sources. Due to the protected status of much of Limerick’s buildings, utilising roof and wall space for solar and other renewable energy sources was not feasible. Instead, an alternative energy source was identified – the river Shannon. Over the last few years, GKinetic, a leading developer of innovative turbines that generate clean energy from flowing water, has been working on a technology to convert hydrokinetic  energy from the city’s river into electricity. Working closely with Limerick City & County Council,other partners and stakeholders, the turbine has been iteratively designed, taking into account the technical, environmental, and societal factors that impact its deployment. 

The process that led to the turbine’s deployment in September 2023 saw GKinetic and partners implement a number of activities to continuously improve the design of the turbine. Read on below to discover how this was done.

Minimising Impact to Aquatic Life

In early stages, objectives were set to ensure that the turbine would not disrupt aquatic life. This involved understanding the dynamics of the river from an environmental and ecological perspective, to identify the potential impacts of the turbine. Then, the design could be adjusted to limit these impacts. The main outcome of this was the development of turbines with a low rotational speed, where interference to aquatic life is minimised, with the turbine rotating at the same speed as the river flows. Power generation starts from low river flow speeds of only 0.6m/s, and in its current state of development reaches rated capacity at 2.2m/s. The turbine is also able to naturally deflect debris with its counter-rotating turbines, to both minimise impacts to aquatic flora and fauna and retain maximum efficiency. 

Validating with Citizens

Throughout the ongoing development of the turbine, citizen validation processes were implemented where impressions and feedback were collected from local communities. This involved open discussions during outreach events, and targeted consultation with key stakeholders. The deployment of the turbine in September 2023 was one of these processes, where a physical display of the technology served to demonstrate the finely tuned design, able to benefit societies without impeding their activities. One key aspect here is the deployment of multiple smaller 12kW floating devices, instead of one 60kW design as initially planned. Making the turbines float on boat-like structures ensures that they can be moved depending on environmental factors and when the river is needed for social activities. The interest and support of local stakeholders in the longer term deployment of the river turbine helps to secure planning permission to begin generating energy from the turbines en masse for Limerick City.

From the 19th to the 21st of September 2023, GKinetic Energy deployed a 12kW hydrokinetic tidal turbine just downstream of Sarsfield Bridge on the river Shannon, in central Limerick City. Backed by the Limerick City Council and other local partners, this represents a major step forward towards utilising the river for energy generation in the city. The deployment saw successes in a number of areas, and pioneers a design that showcases the most advanced urban deployment of river turbine technology to date. Congratulations to all +CityxChange partners involved in making this possible!

The deployment of a river turbine in Limerick was targeted considering the limitations of generating energy through other sources. Due to the protected status of much of Limerick’s buildings, utilising roof and wall space for solar and other renewable energy sources was not feasible. Instead, an alternative energy source was identified – the river Shannon. Over the last few years, GKinetic, a leading developer of innovative turbines that generate clean energy from flowing water, has been working on a technology to convert hydrokinetic  energy from the city’s river into electricity. Working closely with Limerick City & County Council,other partners and stakeholders, the turbine has been iteratively designed, taking into account the technical, environmental, and societal factors that impact its deployment. 

The process that led to the turbine’s deployment in September 2023 saw GKinetic and partners implement a number of activities to continuously improve the design of the turbine. Read on below to discover how this was done.

Continuously Editing the Design

A major driver of the successes of the river turbine, in exceeding expectations for energy generation, is that the design was iteratively developed by engineers. The developers constantly looked for ways to improve the system, such as replacing complex mechanical parts with simplified bespoke components that reduced weathering and increased efficiency. Such changes have led to the low cost, high efficiency blade pitching system on the unit, which facilitates maximum power generation. This process of “tinkering” with the design has constantly improved the potential energy generation, to the point that during its deployment in September 2023, more energy was being produced than could be used up by the on-board systems in place to demonstrate functionality. This process also takes into account the physical characteristics of the site, to maximise possible energy generation. This is exemplified by the turbine’s ability to float and rest on the riverbed to accommodate varying water levels.

The deployment of the turbine in the river Shannon in Limerick, in September 2023 has seen successes in a number of areas. Not only is the design for the turbine the most advanced and effective on the market, it is also kind to aquatic life, moulded to the needs of citizens, and able to efficiently produce clean energy. But the work does not stop here, GKinetic and partners continue to work on the design of the turbine in Limerick. Not only this, but the deployment process has also been expanded into learnings for other cities, including reflections on how to secure regulatory approval, effectively test generation, and connect to flexibility markets. This and more information on the turbine can be found in D4.9: White Paper “Regulations Unlocking Innovation Potential”.

Stay tuned with the +CityxChange project for more updates on the development of innovative technologies and processes, as with Limerick’s river turbines. As the project concludes, there is much to be learned from. Check out the How to PED Cookbook for a summary of our main outcomes and achievements.