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The Future of Decentralized Electricity Distribution Networks

  • Book

  • May 2023
  • Elsevier Science and Technology
  • ID: 5709233

The Future of Decentralized Electricity Distribution Networks assesses the evolution of the services delivered by the distribution network as demands placed on it proliferates from distributed, self-generating, power storing and power sharing 'consumers' - which Sioshansi terms 'prosumagers'. The work outlines the processes by which passive and homogeneous electricity consumers become prosumers and prosumagers, the nature of their service needs, and dependence on the services delivered by the distribution network diverges. Contributors assess how consumers are discovering and exercising options to migrate away from total reliance on upstream generators to produce electricity and on the delivery network for its transmission.

As they do so, the "utilities" - be they distributors or retailers - must rethink the traditional utility business model. How will they find sufficient revenues to cover their fixed and variable costs as volumetric consumption declines when some consumers become prosumers - or go a step further and become prosumagers? This work argues that new service, business models and new methods for collecting sufficient revenues to maintain the network are mandatory for the survival of modern utilities.

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Table of Contents

Part One: How technological innovations are changing customers' service needs 1. What drives consumers to become prosumers and prosumagers? 2. Commercial rooftop solar in Australia: State of play, innovations and future prospects 3. Reaching world-record levels of rooftop solar PV: Causes and effects in Queensland 4. Are networks keeping up with what customers need?

Part Two: Old rules, new realities, unsustainable outcome 5. Productive net metering reform: Where do the foundations of regulation, technological change and good economics meet? 6. Leveraging the rise of the prosumer to promote electrification 7. California at crossroads: How not to fumble the opportunities to transform the regulation of the power sector 8. The design and structure of retail electricity markets in Europe

Part Three: Regulation, policy, pricing 9. Telecom pricing: Lessons for emerging electricity networks 10. A new value proposition for electric distribution networks 11. Why fair and efficient network pricing really matters 12. Facilitating power system transformation at the distribution network level 13. In search of a tariff fit for the grid's edge revolution: Reflections from Brazil 14.Performance-based regulation to drive utility transformation and encourage DER markets 15. Re-thinking, re-packaging and re-pricing the grid and retail electricity

Part Four: Case studies, emerging innovative services, new business models 16. How an innovative co-op is planning to thrive amidst the market disruptions: The Case of Holy Cross Energy 17. Turning passive customers into active participants: MCE's innovative DER program 18. How multiple trading relationships could upend historical single supplier business model 19. Innovative products and services to meet the needs of present and future customers 20. The future of grid-interactive efficient buildings and local transactive energy markets

Authors

Fereidoon Sioshansi President, Menlo Energy Economics, San Francisco, CA, USA. Dr. Fereidoon Sioshansi is President of Menlo Energy Economics, a consulting firm based in San Francisco with over 35 years of experience in the electric power sector working in analysis of energy markets, specializing in the policy, regulatory, technical and environmental aspects of the electric power sector in the US and internationally. His research and professional interests are concentrated in demand and price forecasting, electricity market design, competitive pricing & bidding, integrated resource planning, energy conservation and energy efficiency, economics of global climate change, sustainability, energy security, renewable energy technologies, and comparative performance of competitive electricity markets. Dr. Sioshansi advises major utility clients and government policy makers domestically and internationally on electricity market reform, restructuring and privatization of the electric power sector. He has published numerous reports, books, book chapters and papers in peer-reviewed journals on a wide range of subjects. His professional background includes working at Southern California Edison Co. (SCE), Electric Power Research Institute (EPRI), NERA, and Global Energy Decisions. He is the editor and publisher of EEnergy Informer, a monthly newsletter with international circulation. He is on the Editorial Advisory Board of The Electricity Journal where he is regularly featured in the "Electricity Currents� section. Dr. Sioshansi also serves on the editorial board of Utilities Policy and is a frequent contributor to Energy Policy. Since 2006, He has edited 12 books on related topics with Elsevier.