EconPapers    
Economics at your fingertips  
 

Technology, business model, and market design adaptation toward smart electricity distribution: Insights for policy making

Guillermo Ivan Pereira, Jan Martin Specht, Patricia Silva () and Reinhard Madlener ()

Energy Policy, 2018, vol. 121, issue C, 426-440

Abstract: The transformation of the electricity sector towards a sustainable energy supply and use has a disruptive potential for infrastructure and utilities. The spread of digital technologies, renewable energy, and prosumers requires a swift and well-guided adaptation of the electricity distribution industry to smart grid technologies and related business models. This paper, based on the large technical systems (LTS) conceptual framework, investigates the complex evolution and company and market design adaptation needs. Challenges and opportunities are analyzed through nine multi-stakeholder workshops, held in two EU member states (Germany and Portugal) in 2016–2017, engaging distribution system operators, researchers, academics, and integrated utility companies. The results indicate considerable uncertainty for distribution system operators regarding the value of large-scale smart meter rollouts. Also, a corporate culture with resistance to change is observed, challenging the integration of novel technologies and processes. Traditional regulation is seen as a barrier to smart grid investments, and is associated with job losses and knowledge destruction. Policy-makers can benefit from these insights on the dynamics of DSOs, which can contribute to public policy design and market reform which traditionally has often been mainly concerned about operational efficiency in a steady-state, stable economy.

Keywords: Electricity distribution; Smart grid; Technology; Business model; Market design; Policy (search for similar items in EconPapers)
Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0301421518304087
Full text for ScienceDirect subscribers only

Related works:
Working Paper: Technology, business model, and market design adaptation toward smart electricity distribution: Insights for policy making (2018) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:enepol:v:121:y:2018:i:c:p:426-440

Access Statistics for this article

Energy Policy is currently edited by N. France

More articles in Energy Policy from Elsevier
Bibliographic data for series maintained by Dana Niculescu ().

 
Page updated 2019-04-20
Handle: RePEc:eee:enepol:v:121:y:2018:i:c:p:426-440