Better policies on energy system flexibility could accelerate clean energy transition
A key message from Nordic researchers at the Integrated & Flexible Energy Systems session at Sustainable Future Energy Systems event, 24 May in Copenhagen.
“We have found that energy policies are still too much focused on the traditional policy framework, which overlooks flexibility and actually creates barriers to it”, says Dr. Klaus Skytte from the Technical University of Denmark.
“We have identified two important barriers that limit flexibility namely insufficient market signals, and uneven frameworks for different renewable energy resources. Some support schemes to renewables may even prevent effective flexibility strategies”, continues Klaus Skytte.
The Flex4RES team proposes ways to overcome these barriers. “Our recent Policy Brief with 7 key recommendations is a good starting point for decision-makers in the Nordic-Baltic region to revise their policies to enhance flexibility”, says Professor Peter Lund from Aalto University, Finland.
He explains that more focus on market-based policies is required. “Revising tariffs, taxation schemes, and subsidy structures is of high priority to all Nordic-Baltic countries. Dynamic taxation or tariffs could increase demand side response. Reforming outdated regulation prohibiting electrification of other sectors, could better couple power, heat, transport, and gas, which could leapfrog energy system flexibility”, says Peter Lund.
Flexibility opportunities are found across all levels from producers, interconnectors to consumers. Capturing the flexibility potential would require providing a common level playing field to account for the differences among the market actors. The public and policy makers sometimes also consider wind and solar power as a risk for energy supply. Introducing flexibility to the political debate could correct this misconception.
The transition towards fossil-fuel free energy will increasingly rely on variable renewable energy such as wind power. In the Nordic Flagship Project Flex4RES (Flexible Nordic Energy Systems) funded by the Nordic Research, new ways to efficiently integrate high shares of variable renewable electricity in the Nordic and Baltic countries are investigated. Ensuring adequate flexibility in the electricity markets is of high importance due to increasing supply variations.
More information: Prof. Peter Lund, Aalto University, Finland (email@example.com) and Dr. Klaus Skytte, Technical University of Denmark (firstname.lastname@example.org); More info on the workshop and signing up for the event: https://nordiccleanenergyweek.com/sessions/the-sustainable-smart-energy-system/ Flex4RES Policy Brief is available at: http://www.nordicenergy.org/flagship/flex4res/flex4res-publications/ #Flex4RES