Commissioned by Energi Norge, Enfo Consulting has written the report: Flexibility - future organization of monopoly and markets. The report is a discussion paper on various models of integration between flexibility markets and market participants.
Energi Norge has published the report on their webpage, with an article describing the key take aways from the report.
Enfo discuss the potential of both demand and production flexibility, barriers in today’s power market, the role of the aggregator, future market models and the future role of the DSO.
The electricity markets and participants face major changes, especially with handling the transition from predictable production to a more unpredictable situation with increasing degree of distributed renewable generation. Demand response is an important solution to meet these changes, and flexibility must be retrieved from the distribution system. It is here the DSO will play a central role in the future, in close dialogue with the TSO. The changes enables new business opportunities, as well as new market entrants if today’s market participants don’t act.
Key questions discussed in the report:
- How do we establish a flexibility market, who will be responsible and what market rules must be established to overcome todays barriers for better utilization of demand response?
- How can the DSO benefit from flexibility resources in grid operations without challenging their neutrality?
- How do we organize balance responsibility and settlement with regard to an aggregator of flexible demand?
Read the full report in Norwegian here.
Read the English summary here.