Evaluation of the technical and market requirements unlocking demand response independent aggregators in selected European countries
Maioui, Yassmine (2020)
Diplomityö
Maioui, Yassmine
2020
School of Energy Systems, Energiatekniikka
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Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi-fe2020052238641
https://urn.fi/URN:NBN:fi-fe2020052238641
Tiivistelmä
In respect of the climate change matters, countries are doubling the efforts to reach the EU renewable energy targets. This motivation has already been highlighted in 2019, as the share of RES in the energy consumption reached approximately 18.9% closely aligning with the 20% target. In light of a sustainable electricity market transition, forecasting continuously demand and supply due to the intermittency nature of RES becomes complex. In this context, the role of balancing market is considered vital ensuring reliability and security of operations. As a response to these changes, demand response emerged as key enabler supporting the integration of RES by providing balancing services the market. In parallel, European Commission guidelines acknowledged the fundamental role of demand response (DR) aggregation explicitly unlocking the access of independent aggregators. As a matter of fact, these market players shifted the status of customers to prosumers actively participating in the balance management of the electricity system.
This thesis presents a comparative framework identifying the technical and market requirements allowing the access of independent DR aggregators in selected EU and UK balancing markets. At the moment, Finland and the UK are leading the transition by enabling third-party aggregators in their balancing markets. The Netherlands is undergoing noticeable changes by regulating the status of these market players in the primary response. However, an agreement with balance responsible party (BRP) is still mandated in the secondary and tertiary reserves. Iberian market remains locked for DR aggregation and third-party aggregators status not yet recognized. Although advancements are gradually implemented, results reflected existing challenges at the technical and market levels. Lessons learned from targeted pilots highlighted the compensation challenge between involved market players. The analysis of selected countries reflects on the opportunities and factors influencing the integration of DR aggregation in a long-term prospect.
This thesis presents a comparative framework identifying the technical and market requirements allowing the access of independent DR aggregators in selected EU and UK balancing markets. At the moment, Finland and the UK are leading the transition by enabling third-party aggregators in their balancing markets. The Netherlands is undergoing noticeable changes by regulating the status of these market players in the primary response. However, an agreement with balance responsible party (BRP) is still mandated in the secondary and tertiary reserves. Iberian market remains locked for DR aggregation and third-party aggregators status not yet recognized. Although advancements are gradually implemented, results reflected existing challenges at the technical and market levels. Lessons learned from targeted pilots highlighted the compensation challenge between involved market players. The analysis of selected countries reflects on the opportunities and factors influencing the integration of DR aggregation in a long-term prospect.