Launch of the Equigy balancing platform

25.04.2020

To ensure the stability of the grid frequency, transmission system operators (TSOs) all over Europe respond to the increasingly volatile generation of energy from renewable sources and to the loss of reactive power from large power plants. The challenge of keeping production and consumption in balance does not stop at national borders, for which reason the TSCNET shareholders Swissgrid, the TSO from Switzerland, and TenneT, the Dutch-German TSO, are cooperating with the Italian TSO Terna in the crowd balancing platform Equigy. The platform is based on blockchain technology and the internet of things. It is conceived as digital link between the so-called TSO ancillary service markets and the market players that deliver balancing services. TSCNET customer Energinet, the Danish TSO, has formally expressed its intention to join the consortium, which would extend Equigy’s roll-out to Denmark.

With their cross-border cooperation, the consortium of Swissgrid, TenneT, and Terna wants to set a new electricity-balancing standard, improve the integration of renewables, and provide more flexibility to reduce the renewables’ random impact on the grid. As with previous, regionally limited balancing projects, Equigy aims to unlock flexibility by actively involving small and distributed consumer-based generation and consumption units in grid stabilisation. This involvement enables owners of small-scale assets to play a key role in the transformation of the energy sector by optimising their interaction with the grid. Since Equigy processes multiple small transactions, it requires a secure and scalable solution that ensures trust and transparency between all parties involved. The common vision of the participating TSOs is clear: Millions of households will stabilise the electricity grid in the future.

Open and free of charge
Equigy is based on block chain technology to execute transactions from millions of individual systems securely, cost-effectively, and transparently. This creates a single, immutable, and secure data source from which all parties can benefit. Precise rules and regulations allow consumers, businesses, and manufacturers to easily market the flexible capacity of electric vehicles, household batteries, and heat pumps in all participating countries, regardless of location, thereby simplifying access to the electricity market. At the same time, all local or regional flexibility platforms can be connected to the Equigy platform so that as much flexibility as possible can be bundled. This means: Equigy is not exclusive and can be integrated into existing grid stabilisation processes. The technology and software are open-source and provided free of charge to promote the development of secondary applications in the energy value chain. Equigy has now been successfully launched, and the pilot project to test the technology will run until the end of 2020.

In Switzerland, the project has attracted a lot of interest. Numerous partners have expressed an interest in participating. Yves Zumwald, CEO of Swissgrid, comments: “We are proud to be a founding partner of Equigy. It’s only natural that this ambitious initiative is being driven by TSOs. We are not subject to commercial constraints and are able to operate the new platform adopting a neutral position.” Manon van Beek, CEO of TenneT, can also be pleased to have various Equigy partners in Germany and the Netherlands. She emphasises the European dimension of the project: “Equigy originated from European cooperation. In a common European market, we will have to develop solutions together. We already have the same sockets. It would be a shame and unnecessarily expensive to develop different systems.”

Expansion to the north
The Danish TSO Energinet recognises the potential of Equigy and is highly interested in participating. The consortium behind Equigy appreciates this interest. Swissgrid, TenneT, Terna, and Energinet have thus signed a Letter of Intent in which the parties confirm their common interest in including Energinet in Equigy. Energinet will now examine the possibilities of becoming part of the cooperation. All partners aim to take a decision on Energinet’s accession before the end of this year. Søren Dupont Kristensen, CEO of Energinet Electricity System Operator, explains: “We are now investigating the potential of this platform in the context of the Danish energy system. Based on our findings, we will decide on joining the collaboration regarding the platform.”

The blockchain based crowd balancing platform Equigy has been launched by Swissgrid, TenneT, and Terna

Linkup
> See Energinet news release (html)
> See Swissgrid news release (html)
> See TenneT news release (html)
> Visit Equigy website (html)