Press release 50Hertz and TenneT test blockchain platform Equigy for pro- cesses in congestion management with small-scale assets

Bayreuth/Berlin, 10 December 2020 – Transmission system operators 50Hertz and TenneT will launch joint future-proof concepts for the integration of small decentralised producers, con- sumers and storage systems into congestion management in . In this context, end- consumers have the possibility to actively support the system operators’ congestion manage- ment with the aid of aggregated flexibility potentials and as such contribute to the energy transi- tion. The flexible systems considered include heat pumps, batteries, electric vehicles or micro CHP plants.

One approach to be tested within the project is the use of the Crowd Balancing Platform devel- oped by Equigy. On this blockchain-based platform, private households and owners of electric vehicles can offer the flexible capacity of their systems on the ancillary service markets for the stabilisation of the power grid via their suppliers or aggregators.

Dr Dirk Biermann, Chief Markets and System Operations Officer at 50Hertz: “With the continu- ing digitisation of the energy transition, the roll-out of smart metering systems and the develop- ment of new communication standards and interfaces, there will be more and more options in the next decade for even small-scale flexibilities to be integrated into our processes. On the one hand, we require scalable and efficient platforms for this purpose; these will have to be able to aggregate hundreds of thousands of units and process an enormous, continuous data stream. On the other hand, it is necessary, to further develop coordinated and energy-efficient process- es among all system operators. Both topics will be handled within the project with the involve- ment of other partners.”

Tim Meyerjürgens, COO of TenneT, explained: “In a sustainable energy future, we also need private households to help maintain the security of supply. With the Equigy blockchain platform and the cooperation with European transmission system operators, we clear the way for the use of small decentralised flexibilities in Europe. This is an important contribution to sector coupling and helps to securely organise the transformation of the energy supply system.”

The background of the activities of German and European transmission system operators is that fewer and fewer conventional fossil power plant capacity will be available in the future to bal- ance fluctuations in power generation and consumption as well as to control grid congestion. The flexibility potentials of millions of decentralised small-scale assets can therefore make an important contribution to system stability.

For this purpose, the Equigy platform, which is composed of various European transmission system operators, offers flexibility providers free access to IT infrastructure to efficiently organ- ise the data and information streams needed to provide ancillary services based on small-scale flexibilities. By cooperating in the project, transmission system operators 50Hertz and Tennet both seek to focus on the integration into congestion management of small-scale assets with a capacity below 100 kW, i.e. systems that are currently not subject to the legally required partici-

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pation in Redispatch 2.0. In addition to the actual implementation of a pilot environment, regula- tory questions are also addressed in the scope of this cooperation in order to create the neces- sary incentives for congestion management.

Contact:

TenneT TSO GmbH Ulrike Hörchens, T +49 921 50740 4045, M +49 151 1713 1120, ulrike.hoerchens@.eu

50Hertz Transmission GmbH Volker Gustedt, T +49 30 5150 2878, M +49 151 5537 7634, [email protected]

About TenneT:

TenneT is a leading European grid operator (Transmission System Operator (TSO). We design, build, maintain and operate the high-voltage electricity grid in the and large parts of Germany and facilitate the European energy market. We are committed to providing a secure and reliable supply of electricity, today and in the future, 24 hours a day, 365 days a year and to playing our role in driving the energy transition. We transport electricity over a network of approximately 23,500 kilometres of high-voltage connections, from wherever and however it's generated, to over 42 million end-users while keeping electricity supply and demand balanced at all times. With close to 5,000 employees, we achieve a turnover of 4.1 billion euros and a total asset value of EUR 23 billion. TenneT is one of the largest investors in national and international onshore and offshore electricity grids. TenneT makes every effort to meet the needs of society. This will require us all to take ownership, show courage and connect with each other. Taking power further.

About 50Hertz:

50Hertz operates the electricity transmission system in the north and east of Germany, which it expands as needed for the energy transition. Our extra high voltage grid has an electrical circuit length of about 10,490 kilometres, or the distance between Berlin and Rio de Janeiro. The 50Hertz control area covers the Länder of Brandenburg, Mecklen- burg-Western Pomerania, Saxony, Saxony-Anhalt, and Thuringia, as well as the city states of Berlin and Hamburg. Within these regions, 50Hertz and its 1,300 employees ensure that 18 million people are supplied with electricity around the clock. 50Hertz is a forerunner in the field of secure integration of renewable energy: in our grid area, more than 60 percent of the consumed electricity is generated from renewable sources; by 2032, it is our goal to securely integrate 100 percent renewable energy into the grid and system. The shareholders of 50Hertz are the Belgian hold- ing Elia Group (80 percent), which is listed on the stock exchange, and the KfW bank group with 20 percent. As a European TSO, 50Hertz is a member of the European Network of Transmission System Operators for Electricity (ENTSO-E).

About Equigy

Equigy plays a key role in accelerating the energy transition and integrating the energy system. With the European Crowd Balancing Platform, which is based on blockchain technology, Equigy makes it possible for smaller flexibilities such as home batteries and electric vehicles to participate in the electricity balancing markets and turns consumers into prosumers. Equigy was founded by TenneT, and Terna, three national transmission system operators. The project’s objective is to establish cross-sectoral standards in all of Europe to support a future-proof, reliable and cost-efficient energy system that is independent of fossil fuel-based flexibility resources.

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