The UK peak electricity operating margin is at historic lows and DECC are looking to incentivise reductions in peak demand. Distribution Network Operators (DNOs) are looking at peak demand limits to reduce investment for network reinforcement. EMPower will develop a technology solution, which enables communities to improve their energy efficiency by co-operatively scheduling electricity usage and using local generation and storage. The technology will enable communities to secure revenue by offering the electricity market a reduced peak demand on the UK supply to realise significant savings on electricity bills through maximising the use of electricity generation and storage on site, and through automated shifting of loads to achieve the greatest community benefit. The solution needs to be customer-focussed to
maximise participation, minimise disruption and provide benefits that directly relate to current and future customer needs. Our solution to this is to tackle the challenges of peak demand reduction at a community level providing greater cost benefits to customers and a more robust and low-risk business case for DNOs.

The major benefit of the proposed solution to the DNOs and National Grid will be capacity for peak load reduction and limiting the need for traditional and expensive grid reinforcement. We will work with DNOs to construct commercial frameworks to reward communities that limit their peak demand, and develop the delivery vehicle for this finance incentive to determine the potential for wider application. Our 18-month project will prepare the solution for market in 2016 when we expect rising electricity prices, the threat of peak-time power cuts, electric vehicles and maturity of electricity storage to make our solution attractive.

Our project will pilot our technology solution through partnership with Bath and West Community Energy (BWCE). This pilot project will provide greatest benefit within the timescale and budget by focusing specifically on demonstrating the value of the management of on-site solar PV generation in conjunction with battery storage and load shifting to provide a reduction on grid demands during peak periods. This first release of the product will demonstrate the commercial case, prove the technology with real customers and a real community, and provide the foundation for a progressive product enhancement and development strategy as the market develops.

Potential Impact:
The UK peak electricity operating margin is at historic lows and DECC are looking to incentivise reductions in peak demand. Distribution Network Operators (DNOs) are looking at peak demand limits to reduce investment for network reinforcement. The solution needs to be customer-focussed to maximise participation, minimise disruption and provide benefits that directly relate to current and future customer needs. Our solution to this is to tackle the challenges of peak demand reduction at a community level; providing greater cost benefits to customers and a more robust and low-risk business case for DNOs. The major benefit of the proposed solution to the DNOs and National Grid will be capacity for peak load reduction and limiting the need for traditional and expensive grid reinforcement. We will work with DNOs to construct commercial frameworks to reward communities that limit their peak demand, and develop the delivery vehicle for this finance incentive to determine the potential for wider application. Our 18-month project will prepare the solution for market in 2016 when we expect rising electricity prices, the threat of peak-time power cuts, electric vehicles and maturity of electricity storage to make our solution attractive.

Global impact from this research is also clear. The use of renewable energy and the electrification of heating and transport will create severe challenges for future electrical distribution systems. Technologies such as those developed in this project have the potential to significantly increase the robustness and security of future electricity networks. Advances in the areas of the management of renewable energy resources and energy storage at a local level will be beneficial for the electricity networks of the future which are likely to include significant penetration of distributed generation resources.

UK industry will benefit significantly from this project by developing world-leading technology based on the outcomes of this research, the project partners being the immediate beneficiaries. A key objective of this project is to provide realistic demonstrations of the technology quickly to allow rapid commercialisation. At the same time, work with the university will determine how the technology will need to be adapted for market scenarios of the future. This combined approach to development will sustain the commercial impact of the new technology for the foreseeable future.

For Academia, this work provides the potential to better understand how to implement energy management with increasing levels of RES together with the electrification of heating and transport, and to identify any areas that may produce bottlenecks in the future deployment of these concepts. The impact of these techniques also clearly has the potential for impact in other application areas such as Aerospace and Transport. Furthering knowledge in these areas can contribute to the teaching of Electrical Engineering and its importance for renewable energy use. This is of high importance, in order to help reduce the significant deficit in power engineers in the UK (and beyond).