Energy Efficiency made in Germany Smart Grids and Energy Efficiency– Status & Perspectives in Germany March 27, 2012, Dublin, Ireland Dr. Hartmut Grewe, senior consultant, energiewaechter on behalf of the Energy Efficiency Export Initiative sponsored by the Federal Ministry of Economics and Technology

Agenda  Smart Grids and Energy Efficiency  Governmental Strategies and Projects to develop Smart Grids – Overview of German Activities  Smart Grids – A European Perspective  Energy Efficiency Export Initiative

Energy Efficiency made in Germany Smart Grid and Energy Efficency

The smart grid is a digital network that unites electrical providers, power-delivery systems and customers, and allows two-way communication between the utility and its customers. Smart grids have the potential to improve the efficiency of energy distribution and usage, both through the grids’ design and through consumer participation. Ideally, smart grids are also intended to work with multiple power sources, including wind and solar sources, and perhaps eventually small individual sources and ones that provide automotive power. Defining Smart Grids

Integration of renewable and distributed sources of electricity Integration of national networks into a single European electricity market Improved reliability of electricity supply Customer participation Support for electric vehicles Efficiency Business opportunities Smart Grid Development: Objectives

(Source: ETP-SmartGrids) Smart Grid: how it works

Source: German Federal Statistical Office, May = 100 Eliminate waste Enhance network reliability and stability, to prevent electrical blackouts Balance the fluctuating power generation from renewable energies and electricity consumtion The use of „smart meters“ helps consumer to reduce consumption and provides efficency advice Decentralizazion Smart Grids Smart Grid Development: Objectives

Communication among all energy networks components Smart generation Smart distribution Smart consumption Smart storage

Energy Efficiency made in Germany Governmental Strategies and Projects to develop Smart Grids– Overview on German Activities

E-Energy – Smart Grids made in Germany  Much more energy is produced by decentralized renewable energy sources  Energy generation and consumption have to be kept continuously in balance Smart Grids

E-Energy – Smart Grids made in Germany  “E-Energy: ICT-based Energy System of the Future” is a new support and funding priority undertaken by the Federal Ministry of Economics and Technology (BMWi) in  Primary goal: create E-Energy model regions that demonstrate how the potential for optimization presented by information and communication technologies (ICT) can be exploited to achieve efficiency, supply security and environmental compatibility.  The BMWi finances four model regions (40 Millions Euros).  The Federal Ministry for Environment, Nature Conservation and Nuclear Safety (BMU) finances other 2 model regions.

E-Energy: Goals  ICT system concepts, which optimize the efficiency, supply security and environmental compatibility of the electricity supply system are developed and tested in real-time in regional models.  Climate Conservation will be strengthened.  Job creation and new markets growth (energy retailers, new service provider, metering operators).

E-Energy: the six Model Regions

E-Energy: an example - eTellience  Whole new marketplace for energy developing in and around Cuxhaven.  Consumers can use this marketplace to buy, sell electricity, offer system services and idle power, and help reduce the load on the power grid.  Private households can put minute amounts of electricity on the market by using almost fully automated plug-and-play appliances.  2 refrigerated warehouses; 1 wind park; 2 city baths Cuxhaven; a clarification plant; 1 block heat and power plant.

The virtual power plant in Cuxhaven eTelligence-Maketplace: electricity stock exchange…. BidsTrading results Bulk of projections Products´ optimisation Generate a final roadmap Biogasplant Windparks Resource planning Refrigereted Warehouse Cooling modulation Historical load curve Temperature forecast Energy demand &switching potential´s forecast

Focal Points of eTelligence Energy Efficency Market liberalsisation Renewable Energies Integration E-mobility ICT- Architecture IT-Security and data protection Intelligent measurement Saving Load Flexibility Decentralised energy production Security of Supply/Network expansion

eTelligence: First Findings and Results  Thermo-electric energy systems can be used very well to save energy  eTelligence seeks to achieve a local balance of electricity generation wind from wind power and electricity consumption by using large electric cooling facilities.  Modules are used through which the commercial energy consumers can be connected to the virtual power plant.

E-Energy: first findings and results  Savings of up to 5% have been reached in the private sector in the first pilot tests „on the field“.  In different E-Energy projects some firms registered even up to 20% energy savings.

Energy Efficiency made in Germany Smart Grids – A European Perspective

European Energy Roadmap 2050 and Smart Grids  Smart and clean electricity have to be a central part of the energy system  High level of renewable energy sources  RES High Electricity Grid Investments  Increasing electricity shares in the total energy demand  Integrating electric cars and smart grids  Integrating energy markets and smart grids

The European Electricity Grid Initiative (EEGI) Creation of a pan- European network Increased hosting capacity for renwable sources High level quality of energy supply New business opportunities and new jobs Active partecipation of users in the electricity market EEGI: 9 year European Programme ( ) initiated by electricity transmission and distributors network operators to accelerate innovation and development of the electricity networks in Europe into a Smart Grid EEGI has been launched to accelerate de development of European Smart Grids in Europe

The European Electricity Grid Initiative (EEGI) Level 0: New generation technologies Level 1: Smart Pan-European Transmission network Level 2: Smart network and processes Level 3: Smart Integration Smart grids functional level Source: Entso-E Level 5: Smart Customers Level 4: Smart Energy Management

Obstacles and barriers to be removed Transmission grid expansion will need to surmount following (still existing) barriers:  Technology barriers (e.g. data privacy)  R&D organization barriers, such as fragmentation and duplication efforts  Market failures and distortions There are also other obstacles connected to the increase of RES in the system, such as:  National incentives can create cross-border obstacles to RES deployment  The increasing amount of RES in the system reduces available transmission capacity for TSOs’ commercial purposes and increases the need to use the system security margin to ensure network stability  Higher renewables penetration = a greater need for backup capacity

Energy Efficiency made in Germany Energy Efficiency in Buildings Background & Costs

more Information on the Website The Energy Efficiency Export Initiative Activities and services:  Know-how Transfer  Trade Missions  Training/ Education  Fact-Finding Missions  Networking with Decision Makers and “Advocates”  Private Companies

Energy Efficiency made in Germany Invited Companies

Participating German Companies CompanyRepresentative Mottai GmbHMr. Marcus Todt GK Smart Energy Solutions GmbH Mr. Alexander Enders Ingenieurbüro Last- und Energiemanagement Ms. Dr. Ingrid Heinrich Cleopa GmbHMr. Detlef Olschewski

Participating German Companies CompanyRepresentative Power Plus Communications AG (PPC) Mr. Eugen Mayer E-Senza Technologies GmbH Mr. Amit Shah ITC Internet-Trade- Center AG Mr. Andre Bock Smarten GmbHMr. Nico Höper

Energy Efficiency made in Germany Thank you for your attention! Contact Details: Dr. Hartmut Grewe, energiewaechter GmbH