A first step in the realization of the anticipated active role of the demand-side in energy markets is the definition and introduction of new business models for intermediaries and third-parties that will facilitate consumer involvement and represent them in energy market transactions, thus tackling barriers relating to consumers’ lack of knowledge about market mechanisms and energy transactions, as well as, the practical difficulty for consumers to follow energy market transactions in real time.
In order to support a wide deployment and viability of the DR business case, consumers need to be given the opportunity to:
- choose the energy deal that best fits their needs (and reduces their energy costs,
- explore and take advantage of new revenue streams stemming from their active involvement in energy markets.
With this regard the HOLISDER project created five Emerging Business Models, beyond the current business models that already exist in the energy market, that comply with national regulatory constraints, facilitate the transition into easily accessible energy markets and enable the application of highly effective DR schemes by a wide variety of actors.
| EMB |
Main roles involved |
HOLISDER main service |
|
EBM1. Dynamic Virtual Power Plant Operation |
Aggregator, Prosumers, DSO, Wholesale and Flexibility Market Operator | Portfolio management and analytics to support dynamic (demand-side and generation) VPP operations (aggregation/disaggregation of flexibility, control dispatch) for the aggregator |
| EBM2. Tariff tracking for demand elasticity | Retailer, Prosumers, DSO, Wholesale Market Operator | Dynamic tariff design for implicit DR using online tariff tracking for demand elasticity for retailers. Maximization of revenues from flexibility in wholesale energy trading and portfolio balancing for retailers. |
| EBM3. Net metering | Prosumers, ESCOs, Facility Managers, Aggregators | Supporting the implicit/explicit DR usage of the produced green electricity. Increasing net-metering projects involving ESCOs/RESCOs and Facility managers reducing or resetting the initial investment. Prosumers would be the target profile supported by the others. |
| EBM4. Near Zero Building | ESCOs, Facility Managers, Prosumers, Aggregators, customers | Maximization of energy efficiency performance near zero energy use through RES technology. Revenues for ESCOS/FM from energy savings; cost reductions for consumers/prosumers. |
| EBM5. Cogeneration and Virtual Thermal Energy Storage | ESCOs, Facility Managers, Prosumers, Aggregators | Operations scheduling to flexibility requests (on balancing, congestion management or wholesale market) thanks to the Thermal energy storage |
The HOLISDER Emerging Business Models methodology is inspired by applied methodologies of reference smart grid projects, such as Nobelgrid and WiseGrid.
Figure: methodology for the HOLISDER business and economic analysis and evaluation
New business services and models have been defined for:
- Aggregators, Energy Retailers and ESCOs, enabling them to act as energy service providers and offer implicit DR optimization services to individual consumers
- Energy Retailers, ESCOs and Facility Managers, offering them the ability to extract value from a pool of flexibility resources (portfolio of buildings under their management) and utilize this flexibility in explicit DR programmes through aggregation and DR optimization.
The holistic approach introduced in HOLISDER will enable the establishment of a robust integrated technological framework that will, ultimately, unleash the tremendous energy efficiency and demand response flexibility potential of the building sector. Subsequently, it will enable the creation of attractive business opportunities for the HOLISDER end-users (Retailers, Aggregators, Prosumers, and Facility Managers) in evolving and highly competitive energy (services) markets.
