The Coordination Problem: A key challenge for Smart Grids

Coordination between distributed generation and the network operators is becoming a key issue for the energy transition. With smart grids, the complexity of the coordination issue is increasing. What is the coordination problem, how does it relate to liberalization and why is it becoming a pressing issue for smart grids?  

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How Third Parties pushed E.ON & RWE in Germany to change strategies

E.on and RWE, two of the largest European utilities, significantly changed their strategies in 2016: Both separated their renewable generation business from conventional generation in two independent entities. In this post we discuss the key driver that forced E.on and RWE to change strategies: Competition from third parties that operate renewable generation.   

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The Future of DSOs: Digital Platform Provider vs. pure Asset Ownership

With digitalization and increasing shares of renewables on the distribution grid level the question is raised whether the distribution network operator should be assigned with the task to facilitate regional market platforms for digital and physical transactions on a regional scale. We discuss concepts from New York and California and their potential implications for regulation of the network operators in the US and Europe. 

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Why we need competition between data management models for smart grids

Belgium, the Netherlands, Denmark and others are currently developing centralized data management systems for smart grids. These data hubs shall secure the efficient exchange of data from smart metering. While there are good reasons to proceed with this approach, we argue in this post that competition between different decentralized models for data management might increase the level of innovation compared to centralized approaches.  

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Cleantech startups: German utilities bridging the valley of death?

Cleantech startups suffered from several challenges in the past. Most prominently, many startups failed to acquire enough venture capital for a market rollout. This is currently changing in Germany. We discuss in this post what exatly is changing in Germany and how three factors together increase the chances of cleantech startups to succeed in the German energy market. 

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Blockchain in the energy sector: Institutional disruption?

Blockchain is driving a lot of discussions in the energy sector lately. Let us suppose that the blockchain technology can overcome its current challenges and unlock its potential in the energy sector: Which institutional implications could we expect in a scenario where the blockchain becomes a standard tool in the energy sector? What happens with retail or network operation? How about regulation? These are the questions we try to address in this post. 

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Digitalization in the Energy Sector – Challenge accepted?

Utilities are at a crossroad: They can follow their established paths and focus on their traditional long-term business models. Or they face the challenges of digitalization and adapt to the faster innovation cycles related to digital business models. We discuss the utilities' strategies related to digitization and find arguments that support both scenarios. Which way are the utilities going to take? Let's see. 

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Multi-Use – The Kick-start for battery storage markets?

The energy transition can gain from battery storage. However, battery storage is not yet profitable in all markets. This changes if the battery provider does not only address one, but many different markets. This is the idea behind the multi-use approach for battery storage. We discuss two challenges for this concept and three potential solutions: dynamic network charges, regional flexibility markets and regulation. 

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Looking ahead – Where are we going with this blog?

The beginning of enerquire. We are very excited to be online and look forward to an interesting discussion with you. Our first post sets the scene for the contents that will follow within the next weeks. We introduce the general perspective of this blog and the questions that we want to address. 

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