Successful trial run for Equigy

09.09.2020

Fluctuations in the transmission grid are an emerging concern for European transmission system operators (TSOs) as volatile renewable generation gains in importance with the energy transition and more and more large scale power plants that stabilise the grid are being decommissioned – resulting in a considerable loss of reactive power. TSOs need to take remedial action involving intelligent technologies and supported by small, decentralised energy sources to keep production and consumption in balance. One such solution for the provision of primary control energy is the crowd balancing platform Equigy launched by the Swiss TSCNET shareholder Swissgrid in cooperation with further TSCNET shareholder TenneT, the Dutch-German TSO, and the Italian TSO Terna.

Kick-off for Equigy was in April 2020 and the objective is a new European standard allowing the participating – and possibly more – TSOs to collaborate for promotion and improvement of the renewable energy market. The innovative platform is based on blockchain technology and the Internet of Things to enable the integration of small, decentralised units such as home battery storage systems, photovoltaic systems, small-scale hydropower systems, heat pumps or even electric cars into the balancing energy market. The pilot project now has reached its first milestone: Together with Alpiq, a Swiss energy services provider and electricity producer, Swissgrid has successfully tested the process of calling up primary control power through the balancing platform. The test employed a 1.2MW battery as a flexible energy resource. Alpiq has assumed the role of commercial aggregator, linking the technical aggregator, which controls the controllable resources, with Swissgrid.

In particular, the call-up of primary control energy included the registration of flexible resources, submission of offers and awarding of bids, as well as real-time monitoring of data exchange between Alpiq and Swissgrid. The test has proven that a blockchain can support the process of providing primary control power and that aggregators or storage owners with backend systems can integrate the blockchain interfaces. The Equigy trial run has clearly indicated the potential of blockchain solutions for the future support of business processes in the field of primary control energy – this is a fundamental finding and a significant step forward. The next steps concern the evaluation of possible business models among the participating partners.

The blockchain-based crowd balancing platform Equigy by Swissgrid, TenneT, and Terna passed trial run

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

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Swissgrid responds to revised legislation

15.07.2020

With the national “Energy Strategy 2050”, the Swiss electorate decided in 2017 to promote renewable energies. To extend the duration of the correlating support measures, create planning security for the energy market, and eventually achieve Switzerland’s climate policy goals, the Swiss Federal Council has developed a revision of the national Energy Act (“Energiegesetz”). The Swiss transmission system operator (TSO) Swissgrid appreciates that the Federal Council intends to create more incentives for the expansion of domestic renewable energies while at the same time ensuring long-term security of supply.

However, the TSCNET shareholder considers that the legal framework must also contribute to integrating renewable energies into the overall system. According to Swissgrid, this is the current situation in Switzerland: The combination of the absence of an electricity agreement with the EU, a significant increase in renewable energy with volatile generation, and the sluggish expansion of the grid affects the operation of the transmission system. Because even today, the grid expansion is not keeping pace with that of the renewables.

To meet the goals of the “Energy Strategy 2050”, it must first be ensured that approval procedures for grid projects are consistently optimised and accelerated. Secondly, innovative solutions for load management are needed to generate flexibility and provide frequency services to the transmission grid. The crowd balancing platform Equigy – a cooperation of Swissgrid, TSCNET shareholder TenneT, the Dutch-German TSO, and the Italian TSO Terna – is one example of such a solution. Thirdly, an electricity agreement between Switzerland and the EU is essential, since import and export capacity will make an important contribution to Switzerland’s supply security given the significant expansion of renewable energies. Finally, Swissgrid considers the non-discriminatory availability, quality, and transparency of data to be increasingly important for secure grid operation. This requires a legal basis for regulating data transfer between TSOs, distribution system operators (DSOs), storage and power plant operators, and other parties involved.

Swissgrid comments on the revision of the national Energy Act by the Swiss Federal Council (illustration based on a picture of Lac de Moiry in Valais, Fotoauge, Pixabay)

Linkup
> See Swissgrid media release (html)
> Open Swissgrid position on Energy Act, in German (pdf, 212.6kb)

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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)

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