ERA NET: Multi-layer aggregator solutions to facilitate optimum demand response and grid flexibility

The purpose of the project is to develop and demonstrate a multi-level aggregation solution for renewable energy. A household has different devices that use electrical power. Examples are water heaters, electric car chargers, and stoves. Also, a household can produce energy through solar panels and store energy to optimize energy use. The project develops a demonstrator where the aggregator can, by agreement, control the household's energy use to optimize energy use within a distribution network. The Norwegian team from the University of South-Eastern Norway has done research on emerging business models related to aggregators and prosumers, has investigated the barriers to flexibility adoption, and demonstrated the use of blockchain technology for settlements between aggregators and prosumers.

1) A better understanding of emerging business models in the energy sector where prosumers play an essential role. An aggregator is a new business construction that connects prosumers to the grid. An aggregator will negotiate flexibility on behalf of its prosumers and may offer new unique services such as energy storage. 2) A realization that the energy sector has problems with trust. To achieve flexibility, the different actors need to work together. The consumers and prosumers do not seem to embrace flexibility because they are unsure if this is truly beneficial. 3) A demonstration of how aggregators and prosumers can use blockchain technology to record settlements. While blockchain is not very efficient, it provides a distributed, immutable ledger. A prototype was made and tested on the public and a private Ethereum blockchain. The transaction costs prohibit using the public blockchain to handle small value transactions. A private blockchain seems more suitable for the purpose.

The project aims to create a solution to optimize the use of renewable energy through multi-layer aggregation. The basic idea is to start with a neighborhood. Households with surplus energy can sell it to the neighbors. If the neighboorhood produces surplus energy, they can sell it to adjacent neighborhoods within the same geographic area. If the city has surplus energy, it can sell to neighboring cities. The point is to reduce the distance the energy travels and thereby reduce energy loss. The project will develop a software solution to handle demand response, scheduling, and payments. The project will end up with a prototype to demonstrate proof of the concept. USN will coordinate activities regarding customer awareness & involvement. Customer awareness/involvement task will address several aspects of the solutions developed in the project from a ?customer point of view including customer preferences, barriers for spreading and adoption, concerns with contracts between CAs/DSOs, and consumers/prosumers, and DSOs, regulative and legislative requirements, etc. It will be led by USN who has performed several studies in this area in the past and has experience in the EU context. Transnational aspects of the project will mainly be considered in WP4, USN will also arrange a workshop for potential beneficiaries in Norway.