Smart Energy Networks VISION FOR SMART Research, Development and Demonstration ENERGY IN DENMARK Research, Development and Demonstration Vision for Smart Energy in Denmark - Research, Development and Demonstration The Danish agenda for climate and energy is efficiencies, integration of the various energy very ambitious aiming at a renewable-based infrastructures (electricity, gas, heating and energy system by 2050. The road to 2050 will cooling), flexible energy consumption in build- not be easy - new technologies, architectures, ings, industry and transport, and smart system markets, actors and business models need to be operation. developed, and including changes in the regu- lation of the energy systems and tax systems, The transition of the energy system requires which allow for and support new business mod- rethinking the energy management and the 3 2 els and new consumption patterns. way we use energy. It is essential that the over- all design and solutions for the future smart Vision for Smart Energy in Denmark The ambition can only be achieved in a sustain- energy system are cost-effective and not least able way through combinations of high energy socially acceptable and feasible. The future Smart THE DEFINITION OF A SMART ENERGY SYSTEM: A smart energy system is a cost-effective, sustainable and secure energy system in Energy System which renewable energy production, infrastructures and consumption are integrated Vision for Smart Energy in Denmark and coordinated through energy services, active users and enabling technologies. The future Smart Energy System will be sustai- The main renewable energy sources in Den- nable, efficient, cost effective, integrated and mark are wind, solar and biomass. The fluc- intelligent. The overall aim of the energy system tuating nature of the wind and solar sources Research, Development and Demonstrations carried out to enable a cost-efficient transition is to provide energy services, requested by the requires high flexibility of the energy systems (RD&D) are key enablers for the development of the energy system and explore the unique customers, in a reliable, sustainable and cost at all scales in both time and space to balance of a smart energy system. Research-based opportunity of utilizing the Danish stronghold efficient way. power and energy. innovations and large-scale demonstration of position within renewable energy integration new system solutions with multiple interact- into more jobs and green export. DENMARK IS INTERNATIONALLY In the future: Buildings, urban areas, cit- ing sub-systems and components have to be RECOGNIZED FOR HAVING A RELIABLE ies, regions and countries like Denmark may AND EFFICIENT ENERGY SYSTEM become more or less energy self-sufficient in WITH A HIGH SHARE OF FLUCTUATING average over the year. However, more energy RENEWABLE ENERGY SOURCES. flow and exchanges are expected, due to the THE VISION FOR SMART ENERGY IN DENMARK – RD&D: increasing variation in energy demand and The Danish Smart Energy Research, Development and Demonstration will support We have established dynamic energy markets, generation, initiated by dynamic prices, new a smooth transition towards a future, sustainable and cost-efficient energy system, enhanced district heating and gas networks and use practises, etc. providing new world-wide business opportunities for the Danish companies by well integrated interconnectors to our neigh- identifying, developing and demonstrating smart energy knowledge, technologies boring countries, which makes the energy sys- The necessary flexibility in the energy sys- and solutions tem robust and ready for even larger amount of tem is most cost-efficient provided through a fluctuating energy. combination of different and complementary Vision | 2015 Vision | 2015 means – including increased responsiveness of and operation of the grids have to be coordi- the controllable energy generations and con- nated in a scalable manner. Information and sumptions (demand responses), storages, con- communication technology have to be deployed Challenges versions and exchanges with the neighbouring at all levels in each grid in order to coordinate countries. the management and operation of the grids, THE CHALLENGES MAY BE GROUPED INTO TECHNICAL, including control of the underlying systems. INSTITUTIONAL AND SOCIO-ECONOMIC CHALLENGES: Large-scale storage of electricity is expensive. However, it is possible to convert electricity Efficient tools and solutions for collecting, man- TECHNOLOGY LEVEL: THE TRANSITION towards into heat or gas. The heating system can pro- aging, analyzing and utilizing large amounts of the future sustainable, smart vide short-term and middle-long term energy data in the smart energy system are needed to Controllable centralized and decentralized generation capacity is expected to be reduced, and integrated energy system requires fundamental changes – storage capacities and the gas system long-term provide operational basis and decision support and new fluctuating energy generation is introduced faster than the redesign of the in system design, technologies, energy storage capacities. Cost and flexibility of for more intelligent energy services. power system. operation, regulations, organisations, and actors. these technologies have to be enhanced. Immature energy conversion and energy storage technologies. A successful implementation of a smart energy Information and Communication Technology system will require reliable and secure commu- Lack of implementation of integrated energy design and integrated energy storage in (ICT) will play an essential role in the transi- nication and control for optimizing and balanc- buildings and industries as well as lack of system operation tools. tion of today’s electricity, gas and heating grids ing the energy production and consumption. Not sufficient global standards for communication and smart control of the integration of into the smart energy system of tomorrow. Security in a smart energy system is about pro- energy components. This transition not only requires each grid to be tecting and ensuring the required confidentia- Data and control options are not available for the small-scale smart energy components. smart, it also requires the grids to be intercon- lity, integrity, and availability. Security and pri- NEW STEPS must be made to overcome the many challenges 5 4 nected through conversion, storage or genera- vacy are crucial to guarantee safe operation and and to develop a cost-effective tion and demand technologies. Management non-disclosure of user data. INSTITUTIONAL LEVEL: and sustainable smart energy Vision for Smart Energy in Denmark system. New system concepts Existing regulatory frameworks and tariff systems does not offer enough support the and novel technologies must HIGH RELIABILITY can be obtained HIGH RELIABILITY can be obtained COST EFFICIENCY can be deployment of energy integration and flexible energy consumption in the energy grids. be developed and tested in through combinations of well- through combinations of well- achieved through the introduction practise, which creates a great connected different and distributed connected different and distributed of new business models Lack of integration of national policies, regulations and requirements across the energy, opportunity for Danish companies resources, robust architectures resources, robust architectures and well established energy building and transport sectors. and knowledge institutions to and designs, and new system and designs, and new system markets with a high degree of demonstrate Danish solutions. monitoring and operation tools. monitoring and operation tools. interaction and competition. New planning competences (at local, regional and national scales) are required in order to ensure coordination across business interests and policy domains. Interaction between the various energy Vision for Smart Energy in Denmark infrastructures helps to provide the Transmission connections SOCIO-ECONOMIC LEVEL: flexibility required in a fully renewable Energy conversion technologies energy system (Source: DTU National (Gas motors, electric heating, electrolysis) Lack of strong business cases for smart energy solutions across sectors, regions and Active demand Laboratory for Sustainable Energy) Biomass, -gas and-fuels domains CONTINUOUS EFFORTS must Fluctuating be made to attract both capital RESSOURCE Biomass Energy storage (Vehicle-to-grid, VPP, Electricity biofuels, heat, gas, ...) Lack of incentives among system owners, building owners, authorities and end-users for and the brightest minds in order flexible consumption to keep Denmark as a leading hub for innovation and research Inadequate of end-user engagement and insights. in the field of Smart Energy. Gas system PJ/year SYSTEM Gas- 300 Electricity System storage Possible development process for the production and District Heating The power system The gas system Heating Transport Process industry consumption of energy, by sector. Note that the red NEIGHBOURING COUNTRIES DENMARK NEIGHBOURING COUNTRIES 250 line indicates the development in the final net energy 200 requirement, while the columns to the left refer to the total energy production to cover domestic 150 consumption in Denmark (for the gas and power systems) and the columns to the right illustrate the 100 gross consumption for heating, transport and the 50 process industry, respectively. Source: Energinet.dk SERVICES Electric Other Industry, Fuels for Heat pumps Heating 0 vehicles Consumption process etc. Transportation