Energy Innovation Needs Assessment. Sub-theme report on Smart systems (2019)

Abstract:

The smart systems sub-theme report focusses on technologies which provide flexibility to the electricity and wider energy system. A broad range of technologies are considered which allow both electricity demand and supply to become more flexible. This includes technologies which enable high resolution time- and location-based pricing, technologies which allow supply and demand to react to these price signals, and technologies which allow conversion between different energy carriers (e.g. electricity to hydrogen). Smart systems and flexible infrastructure enable the integration of low-carbon technologies into the energy system at lower costs compared to the conventional system. As the electricity and wider energy system becomes more reliant on variable renewables, infrastructure will be required to ensure supply can always meet demand. Key smart innovations reduce the need for investments in additional infrastructure by increasing flexibility of both supply and demand. Benefits of this include reduced need for expensive flexibility options such as peaking power plants, increasing utilisation of variable low-carbon generation, and deferred investments in transmission and distribution networks. Deployment of such innovations depends on overcoming sectoral barriers, such as coordination requirements across the national and local electricity markets and demand uncertainty given the immaturity of many technologies.

Publication Year:

2019

Publisher:

Department of Business, Energy and Industrial Strategy

DOI:

No DOI minted

Author(s):

Subtheme Group