Energy flexibility on everyone's lips

Morten Hagen (from left to right), Stig Ødegaard Ottesen, Fridtjof Okkenhaug and Robert Flanagan discussed the motivation of businesses looking to provide flexibility from prosumers.

Being a work package leader of the FLEXGRID H2020 project, Smart Innovation Norway organized the workshop "Energy flexibility - from customer to market" where national and international research partners could share, establish new collaborations, and generate new projects.

As a coordinator and partner of multiple research projects on Energy flexibility, Smart Innovation Norway organized this workshop to showcase the different projects it is involved in and their potential synergies within the topic of Energy flexibility.

Flexibility is shifting electricity consumption or generation in response to an external signal (eg, payment) to provide a service to the electrical grid.

Read more: Leading the way regarding energy flexibility

Share and discuss

- The workshop showcased examples of customers who are part of the Energy flexibility projects to enable an electricity system based on Renewable Energy Sources (RES). In such a system, flexibility from different sources can be leveraged to enable a pathway for the green transition. The workshop was of great value to share knowledge on offering flexibility and flexibility markets, says Farhan Farrukh , researcher at Smart Innovation Norway and workshop host.

**Farhan Farrukh** , researcher at Smart Innovation Norway and workshop host. PHOTO: Anja Lillerud

The goal was to share experiences related to flexibility markets, including business models for aggregators and the challenges and opportunities of providing flexibility as a resource. The latest market developments were discussed to share knowledge and approaches for entering the flexibility market. Use cases, challenges, and opportunities related to flexibility as a commercial product were the main topics of the webinar. It highlighted the challenges the participants are facing and how an adequate regulatory framework could help to improve the business cases for flexibility services provision.

The article continues after the video .

Session 1: Offering Flexibility

**Fridtjof Okkenhaug** , Product Manager Energy and Program Manager R&D, Futurehome. PHOTO: Anja Lillerud

The workshop's first section began with Fridtjof Okkenhaug's (Product Manager Energy and Program Manager R&D, Futurehome) presentation of flexible consumption patterns as part of the HouseholdFlex project. He presented some difficulties in getting homeowners to participate in demand-side flexibility and how Futurehome developed its product while considering the spot price adjustments and grid tariffs.

**Dr Stig Ødegaard Ottesen** , Section Head Energy Market Research, Smart Innovation Norway. PHOTO: Anja Lillerud

An interesting follow-up presentation from Stig Ødegaard Ottesen (Section Head Energy Market Research, Smart Innovation Norway) highlighted the unique practical details that need to be considered on large-scale electrification. He focused on how flexibility and business innovation can avoid unnecessary grid enforcements.

The presentation showcased several challenges ASKO (one of Norway's biggest fleet operators) is facing in their energy transition journey. By 2026, ASKO Vestby will electrify all 125 of its electric trucks. The distribution infrastructure may need to be strengthened, and additional grid connections may be necessary due to the significant rise in electricity demand. By the end of this year, ASKO aims to acquire 50 to 60 electric trucks for delivering food, which will double the demand for electricity needed for truck charging.

The presentation showed the project's concept idea developed in collaboration with other partners, where flexibility can be used as a resource compared to traditional grid upgrade solutions. There will be a combination of using the existing infrastructure, non-firm contracts, and flexibility solutions for ASKO's case of electrification.

Buildings' energy performance

Dr Robert Flanagan (Director of Innovation at VIOTAS) — **Dr. Robert Flanagan** . Director of Innovation at VIOTAS. PHOTO: Anja Lillerud

Finally, to close the session, an interesting presentation was made by another EU project, iBECOME. Dr Robert Flanagan (Director of Innovation at VIOTAS) showcased the demand-side flexibility aspects of the tertiary sector. 10 partners from 4 countries are involved in demonstrating a combination of novel technologies for optimizing buildings' energy performance and comfort conditions while reducing operational costs.

From left to right: Morten Hagen (ENFO), Stig Ødegaard Ottesen, Fridtjof Okkenhaug and Robert Flanagan. PHOTO: Anja Lillerud

– The panel discussion at the end focused on the motivation of businesses looking to provide flexibility from prosumers. The panellist shared their opinions on i ) Why flexibility is interesting for households and industries? ii) How to unlock flexibility from different types of prosumers? And iii) which customers/assets have an unfulfilled potential for energy flexibility? says the Smart Innovation Norway researcher and workshop host, Farhan Farrukh.

Session 2: Flexibility markets

To start the session, an introduction about the FLEXGRID H2020 project was done as Farhan Farrukh presented the Automatic Trading Platform (ATP) and its services . As part of trends for the different flexibility solutions, an attractive presentation was shared by Morten Hagen (Head of Sales and Commercialisation, ENFO – part of Agder Energi) on EV charging in the flex market.

He deeply explained five distinct EV charging service models for housing associations and multiple-dwelling units, with pros and cons for each type. Morten also discussed how various suppliers of EV charging technologies might position themselves in the market as flexibility operators based on regulatory and technological factors. The presentation included ENFO's experiences working in the flexibility market for commercial purposes and their role in the HouseholdFlex project with Smart Innovation Norway.

**Hallstein Hagen,** Senior Consultant at NODES. PHOTO: Anja Lillerud

To bring the discussion towards a market side of the flexibility value chain, Hallstein Hagen (Senior Consultant) and Gesa Milzer (Project Manager) at NODES explained where NODES, as a market operator fits in the flexibility value chain.

They shared experiences from NODES demonstration and research projects as well as from the NODES platform and its use in the NorFlex project. The project results were described by NODES which covered issues such as the local, regional and national markets, TSO/DSO cooperation, and process automation. The main message was to increase market participation by several flexibility suppliers and buyers to enhance the learnings of participating in a flexibility market.

Regulations for energy

**Alexander Kellerer,** adviser at the Norwegian Energy Regulatory Authority (NVE-RME). PHOTO: Anja Lillerud

To close the discussion around the flexibility markets, Alexander Kellerer, adviser at the Norwegian Energy Regulatory Authority (NVE-RME), presented the existing and upcoming regulations for energy, the European Framework Guideline on Demand Response. How should DSO and TSO coordinate the interaction between wholesale and local markets? Alexander summarized the proposal by the Agency of Cooperation of the Electricity Regulators (ACER) with respect to the Framework Guideline on Demand Response. He presented the recommendations that have been put forward for enabling smaller assets to participate in commercial markets, along with outlining how the balancing markets are anticipated to change gradually in the coming years within the context of the Nordic Balancing market model. Alexander also reviewed some current obstacles to demand-side flexibility in the Nordic balancing markets.

Ending: Panel discussion

Upper left: Torben Bach Pedersen, Isidoros Kokos, Dr Prodromos Makris and Geza Milzer. On stage from left to right: Morten Hagen, Hallstein Hagen and Alexander Kellerer. PHOTO: Anja Lillerud

Finally, the panel discussion on standardization and policy aspects around flexibility markets was joined by FlexCommunity members, where Isidoros Kokos (R&D professional at Intracom Telecom) and Torben Bach Pedersen (Professor at Aalborg University and Co-founder & CSO of Flexshape) joined the discussion . The panel was facilitated by Dr Prodromos Makris (Senior Researcher at the National Technical University of Athens (NTUA)), and the Norwegian participants (ENFO, NODES, and NVE) joined the discussion to share their insights on the need for standardized vs non- standardized products for flexibility markets. The panel also highlighted the auction (pay as clear) vs continuous (pay as bid) markets in the flexibility platforms. According to the panellist, market manipulation is not a big challenge for the flexibility market today; instead, the main challenge is more participation of flexibility suppliers and buyers in the market.

The idea of the event was to share, communicate and disseminate knowledge and try to see what better we can do when it comes to offering flexibility and the role of the flexibility market.

- Connecting national and international projects like this is an essential part of Smart Innovation Norway's role, says Farrukh.

FLEXGRID Demo Day

The FLEXGRID project ends in September 2022, and the goal is to maximize the impact of project results on various actors in society. A final FLEXGRID event is planned for 26 September, which will focus on all the tools developed by the FLEXGRID project.

The final event will be both physically and online and open for everyone to join. To get the most out of the event, please reserve your physical seat in Halden and benefit from the opportunity of Smart

Sign on for the Final FLEXGRID Event

Nearly 70 attendees were on-site and online on the FLEXGRID webinar “Energy flexibility – from customer to market”. PHOTO: Anja Lillerud

Here are the presentations from the webinar:

Host-Slides_Farhan_FLEXGRID_Flexibility event download

Smart-Innovation-Step-Large-scale-electrification download

Futurehome-Flexible-consumption-households download

Enfo-EV-charging-in-the-flex-market-Morten-Hagen-sept-2022 download

20220920-NODES-FlexGrid-WS-low-res download

Alexander-Kellerer-European-Framework-Guidelines download

NCE Smart Energy Markets welcomes Nettpartner to the cluster!

Company: Nettpartner AS, www.nettpartner.no
Who: Per Åge Nymann, Marketing Director
Number of employees: Just under 500

NCE Smart Energy Markets is at the core of the challenges many companies and public enterprises are facing today. We will contribute to the green shift and create new jobs, and ensure that we are able to work towards zero emissions, efficient use of energy and find new sustainable solutions. Here, Nettpartner is an important contribution to the cluster with its knowledge and expertise and a desire for us to find new solutions. Here there can be projects that focus on emission-free building sites, but also other challenges that go to energy availability, says Eli Haugerud, cluster leader for NCE Smart Energy Markets.

We are very happy to welcome Nettpartner as a new partner in NCE Smart Energy Markets!

Let's introduce cluster partner Nettpartner with some quick facts from Per Åge Nymann, Marketing Director:

What do you do in the company and what is your role? Builds and operates socially critical infrastructure. Primarily, we work with the transmission of electrical energy for Railways and Norwegian grid companies. We also want to play a role in the green shift. Then of course within our core business.
What goals do you have going forward? Our goal is to become a solid player in the green shift.
Why do you choose to partner with NCE Smart Energy Markets and what is your current or potential place in the ecosystem? An exciting cluster with a focus on future development. Nettpartner is an energy contractor. Primarily, we are an executing unit that works on contracts for relevant infrastructure owners. In addition, we are working on several development projects. One project is the electrification of emission-free construction sites.
What type of collaboration might be interesting for you? Participate in discussion/development teams with our expertise in electrical infrastructure. If necessary, assist the cluster with our execution expertise.

Leading the way regarding energy flexibility

Renewable energy resources are the future, but at the same time uncertainties regarding predictions and availability arise. How can businesses, public institutions and private households relate to the transition in the best possible way, and what possibilities are there in this new market accruing?

Watch the recording from the event "Energy flexibility - From customer to market"

We cannot promise to give you all the answers to the above mentioned and other related questions, but we can guarantee you interesting discussions and the latest news regarding these topics at our webinar "Energy flexibility – from customer to market" on September 20, 2022.

Through the Smart Innovation Norway cluster NCE Smart Energy Markets, cluster members have unique access to knowledge, new research, and updates from the national and global energy market.

As a partner in several energy-related EU projects, the company's researchers are some of those who lead the way through the green transition, and they are eager to share their competence using webinars, workshops, and conferences.

– One of our areas of expertise is the energy domain in the interface between IT and electricity, and events like this are a great opportunity for Smart Innovation Norway to show that we are one of the leading Norwegian companies when it comes to EU research, says energy systems researcher Olav Henrik Skonnord.

He knows the Flexgrid project well after working on it for several years and is among the organizers of the webinar together with NCE Smart Energy Markets.

The webinar will be taking place in the Smart Innovation Arena or online

- Lack of information

Energy flexibility can be a source of revenue for companies, still only a very few businesses utilize the possibilities that lie in the technology already developed. Why is that?

- The answer is complex and diverse, but one significant reason is lack of information. And that is something Smart Innovation Norway is in the position to do something about, says Skonnord.

World society must prioritize energy flexibility, that is undiscussable. Statnett has distinctly signaled the necessity of increasing the amount of renewable energy resources such as solar power and wind power, and as these resources seize a larger part of the power production, the greater the need for consumer response.

That means Statnett will need more energy flexibility in the near future.

- When looking to our neighboring countries with less hydropower than Norway, the energy flexibility providers profits more because of a larger amount of intermittent renewable energy resources, states Skonnord.

Automatically generated

So, energy flexibility is one of the crucial factors to a successful green shift. Then, why is the new technology so difficult to implement?

Social behavior is part of the answer. It is extremely hard to change consumers' habits if their comfort and effort in everyday life are threatened or reduced.

Also, so far no one has managed to develop a profitable business model utilizing the room of possibilities lying in the gap between customer and market.

- Energy flexibility means that energy consumption is done at the most favorable time of the day. The flexibility must be automatically generated without requiring any actions from the customer, and an incentive to private households can be a discount on the electricity invoice, explains Skonnord.

Business opportunities

The efficiency of energy flexibility is according to the quantity and quality of energy flexibility. You need either a few huge companies or an enormous number of households that offer their flexibility, to have any effect. But how is the flexibility gathered and who collects it?

An aggregator like Enfo, whose Head of Sales and Commercialization, Morten Hagen, will be speaking at the webinar, has a huge potential when it comes to minor actors like private households or small businesses who want to offer their energy flexibility.

- Enfo makes business by being a trader of flexibility on behalf of several minor providers, Skonnord explains.

To enable households to be energy flexible, the buildings need multiple smart installations which can respond to the market at the same time.

Futurehome is a provider of such smart installations and is coordinating with actors like Enfo to make as many installations as possible react simultaneously when needed. Fridtjof Okkenhaug, Product Manager Energy and Program Manager R&D at Futurehome, is one of the speakers at the webinar.

- A crucial aspect for Futurehome, is to attain energy flexibility without compromising the customers' comfort or requiring any manual interventions, comments Skonnord.

Large companies can be great providers of energy flexibility, and often they utilize the opportunity through an aggregator.

Better understanding

Being aware of the energy situation and knowing the opportunities of flexibility are two essential factors to identify whether your business can make revenue on energy flexibility or not.

After attending Smart Innovation Norway's webinar together with partners in the Flexgrid project and collaborative companies, the participants will have a better understanding of the topic.

In addition to the companies mentioned, Senior Consultant Hallstein Hagen and Gesa Milzer from the market operator NODES AS will be attending telling about how NODES has developed an integrated market design and an integrated marketplace for flexibility trading at any level of the grid.

Alexander Kellerer is an advisor at Norwegian Energy Regulatory Authority and will update on the European Framework Guideline on Demand Response, and Stig Ødegaard Ottesen, Section Head Energy Market Research at Smart Innovation Norway will be presenting the ASKO electrifying project which focuses on how unnecessary grid reinforcement can be avoided in a way that is sustainable both for ASKO, who is electrifying 125 trucks, and the grid company through technology and business innovation?

Local energy communities - how municipalities can facilitate

National, regional and municipal climate targets require a total transformation of current energy systems and the production of renewable energy is considered one of the most important actions in this process. However, the ongoing electrification of various sectors leads to a large increase in electricity demand and requires more renewable power generation. These changes bring pressure on the infrastructure, costly investments and challenge the operation of the distribution networks.

It is therefore necessary to reduce and optimize each individual's energy consumption. Establishing local energy communities, which relieve the grid operation, can be a step in the right direction.

What are Local Energy Communities (LECs)?

Local energy communities are when several individuals, households or actors come together and produce and store electricity locally, so that the grid company will be able to operate the grid without having to invest in expensive infrastructure. Given that production and storage takes place within the circuit of one and the same grid station, opportunities are created for improved monitoring and local trade. These allow for a more favorable grid operation and for the creation of business models that facilitate the use of smart grid technology, distributed renewable energy production and storage.

Gains

In order for municipalities to achieve their climate and environmental targets, increased local production of renewable energy is required. Renewable energy reduces greenhouse gas emissions and by utilizing areas that have already been affected by humans, the need for intervention in nature is reduced.

When several individuals, households or actors come together, it will be economically possible for more people to produce their own energy. By sharing the energy locally, consumers are more assured that the power consumed comes from renewable sources, and joint ownership makes it possible to influence decision-making locally.

For network companies, local energy communities will be able to contribute with better local coordination of resources, balancing production and consumption, and making consumer flexibility more accessible. This will reduce the load on the network both in periods when consumption is high, and in periods of high production. In this way, the existing power grid can be utilized better, and the need for reinvestments can be postponed. Local energy communities as a replacement for traditional grid investments can be a cost-effective solution, and will thus be economically beneficial also for grid customers outside the local energy community. Other factors that can be beneficial for the power system and grid companies are increased opportunities for innovation by grid customers, less transmission loss when more energy is produced locally, as well as the opportunities a local energy community gives participants to gain better insight into the power system.

Challenges

In order to be able to produce electricity together in a local energy community and sell this production to the electricity company/grid company, the following elements must be in place:

Opportunities within regulations
- 5 July 2022 - The government puts forward an exemption, which means that housing associations will be allowed to share their own renewable electricity between buildings and apartments without the residents having to pay electricity tax and network rent, even if the electricity is through the electricity grid. This also applies to commercial buildings
  
  In practice, it does not matter what kind of house it is, as long as it is within the same property. Eg: Apartment buildings where the housing units are on the same property, commercial buildings with several meters on the same property, condominiums consisting of several houses on the same property, farms with several buildings (and perhaps several meters) on the same property.
- 27 July 2022 - The Regulatory Authority for Energy (RME) has been commissioned by the Ministry of Petroleum and Energy (OED) to submit proposals for regulatory changes for consultation to introduce a new model for sharing excess production
- 5 July 2022 - On behalf of the Ministry of Finance, proposals for changes to regulations on excise duties are submitted for consultation. The proposal applies to exemptions for power from renewable energy sources used on the same property
Physical attributes such as units for production and possibly storage, infrastructure locally and towards the grid.
Digital tools such as management systems and delivery of statutory information (e.g. to Elhub) and handling (e.g. balancing), distribution internally in own network, etc.
Agreements between producers, consumers, electricity/network companies, aggregators etc.

If financial benefits for members of local energy communities lead to an increased financial burden for remaining grid customers, the development may go in the wrong direction. Local energy communities will also be able to burden the grid further if the local energy community's desire to maximize profit or degree of self-sufficiency comes at the expense of what is beneficial for the power system. In order to exploit the opportunities that lie in local energy communities and ensure safe and fair operation, it will be absolutely necessary for a good interaction between the grid company and local energy communities.

How can municipalities facilitate?

The municipality should work more with local involvement and facilitation for local conditions and competence building. There are many ways and levels citizens and households can get involved in local energy communities:

Individual participation

Residents or households can contribute by purchasing green energy, supporting/participating in energy renovations, commitment to a sustainable lifestyle and active participation in the design and operation of local energy communities.

Local energy initiatives

Citizens and households can get involved in the energy system through collective measures. This can be anything from motivating neighbors to save energy, to becoming active market units as part of a local energy community. As of today, the proposed changes for sharing only apply to one property (same farm and utility number). It could be very interesting to work further on being allowed to share production in a neighbourhood, possibly as a trial scheme to distribute costs towards grid companies, etc. This is an interesting project for the research department and some of the customers in NCE.

Energy citizenship through local energy communities

The Clean Energy for all Europeans package gives citizens the opportunity to take a central role in local energy communities. The Norwegian Energy Regulatory Authority (RME) presented the report "Arrangement for the sharing of renewable power production" in August 2021. In July 2022, RME was commissioned by the Ministry of Oil and Energy (OED) to submit proposals for regulatory changes for consultation to introduce a new model for sharing of surplus production. The proposal describes how the settlement regulations and regulations on control of network operations can facilitate customers within the same property to be able to share production. This means that where several customers share a connection point to the grid, they can produce and distribute energy between them, before sending power to the grid as a plus customer. A typical organization for several customers behind one connection point is a housing association. This means that if the electricity has to pass through the measuring point, it is no longer divisible outside the grid, and normal rules for using electricity from the grid apply. One connection point applies to one property, a farm or utility number. How calculation and distribution behind the connection point should take place is assessed in RME's consultation document: Equal distribution, optional distribution key or dynamic distribution key. Per day, only these are practically possible to carry out in elhub. Development of several types of distribution requires research, which Smart Innovation Norway can be involved in.

Energy community as, or with, an aggregator role

Distributed energy resources (DER) are small and medium-sized power resources linked to the distribution network. Aggregators aggregate DERs to engage as a single entity—a virtual power plant—in power or reserve markets. The services they can offer are flexibility in the form of load shifting or cutting consumption. This can be used by Statnett for frequency balancing or by the network company in case of local network challenges.

If you have more questions about the topic, please contact one of us in Smart Communities .

Skiptvet municipality must ensure a cost-effective, safe and sustainable water supply for residents and businesses.

For this, there is a need for data that can be used for daily management, for annual reporting, prioritization of projects and long-term planning.

The underlying driving forces for increased digitization of the power grid can be summed up as urbanisation, older infrastructure and climate change.

Urbanisation : Leads to both an increased need for capacity, but also a reduced need for capacity in areas where the population is decreasing. Digitization makes it easier to check whether the capacity is sufficient, or whether the water is stagnating in the network.
Aging infrastructure : Analysis of available data can help the municipality identify areas with the greatest need for investment and detect leaks. Data access provides a basis for the municipality to work proactively by anticipating a reduction in the line's function and looking to improve the line before the damage has occurred.
Climate change : Smart solutions can help reduce stress on the pipeline network when more extreme events, more intense rain and stormwater that increase the risk of flooding and overflow discharges and increased drought in the summer that limits the capacity of drinking water sources, become more common as a result of climate change.

As part of digitizing the wiring network, Skiptvet municipality will introduce smart water meters and at the same time utilize the potential that lies in the use of data from smart water meters.

Data from smart water meters will be used to monitor the status of the municipal network, among other things to make leak detection more efficient. In recent years, Skiptvet municipality has had a water leakage amount of 30%, which requires resources to locate. Leakage water uses large amounts of energy in water production and transport and contributes to greenhouse gas emissions and unnecessary costs. Using data from smart water meters will simplify everyday life and free up resources for other important maintenance and operational tasks.

By automatically collecting and processing water meter data, the preparation of the invoice basis can also be made more efficient, including reducing sources of error, increased response rate and less manual handling for both the subscriber and case manager in the municipality. The municipality currently has manual processes for measuring and settling mechanical water meters and spends a lot of time processing cases of missing readings and complaints. Smart water meters make it possible to digitize these services, which will save the municipality resources.

For the resident, they want to offer a more understandable invoice, access to an overview of their own water consumption and the possibility to notify the resident if a leak is suspected.

In summary, smart water meters can provide a number of benefits, both for the municipality, subscribers and society.

Profits for the municipality

Reduced costs that benefit subscribers
Reduction of leaks from 30% to 20%
Reduced energy consumption
Better environmental accounting with reduced CO ₂ emissions from treatment plants and pumping stations
The municipalities will receive lower costs for their own building materials where leakage may occur
Option to optimize energy management of water pumps
The municipality will reduce costs for manual scanning and processing of reading cards and reduce complaint handling related to manual measurement and settlement

Profits for subscribers

Subscribers can get reduced public charges related to water
Reduced damage to property due to leaks, which leads to lower insurance premiums
Awareness and control of own water consumption

Benefits for society

Vertical data use for new services in a smart-city perspective (e.g. water consumption versus health)
Shared operating center with other infrastructures, for example electricity, water and district heating
Increased awareness among subscribers about water will contribute to a general increased awareness in relation to overall climate challenges

The municipality has carried out a pilot in the period September to November 2021, where the municipality tested 2 areas with digital water meters with a view to how the data from water meters can be collected, stored and what is needed to use the data to establish new services in the municipality. The pilot has given the municipality valuable experience and will lay the foundation for future purchases of digital water meters, associated data management and services such as invoice management and leak monitoring.

The pilot has also looked at the costs and benefits of introducing digital water meters and associated services. It was challenging to quantify all the factors included in the benefit analysis, but Skiptvet municipality has quality assured the calculations and assisted with the numbering of the internal items in the benefit analysis. The principle of the profit analysis is that with a profit index above 0, it will be profitable to invest in digital water meters compared to continuing as before. By installing leakage water meters in all households, the profit index will be positive after 10 years of operation of the system and it was therefore decided to install digital water meters in all households in Skiptvet municipality in the coming years.

Money has now been allocated in the financial plan for 2023-2025 for the necessary investments, so that work on the tender can start in the autumn of 2022.

Would you like to know more about how we can help you succeed in smart cities?

Bringing together stakeholders to increase collaboration & exploitation of Energy Forecasting products

Being an active partner of the EU H2020 Flexgrid project, Smart Innovation Norway facilitates a forum where national and international research partners can integrate and establish collaborations with each other and industrial cluster members.

Smart Innovation Norway has a unique position to create sustainable green jobs from research. That is because the company is a partner and coordinator of several national and international research projects in combination with the company's incubator and commercialization activities.

In June, Smart Innovation Norway, with its partners from the European H2020 project Flexgrid, facilitated the workshop on Forecasting in Energy. The participants included partners from the Flexgrid project, the Norwegian project Inthydro, and cluster member eSmart Systems from the NCE Smart Energy Markets.

Predicting energy parameters is extremely important to enable a Renewable Energy Sources (RES) based electricity system. The workshop topics are of enormous interest among academia, regulators, industry and citizens worldwide.

- The workshop was of great value to share knowledge on production and electricity price forecasting, says Farhan Farrukh, a researcher at Smart Innovation Norway, who facilitated the workshop.

The Horizon 2020 project Flexgrid is an EU-funded project about how grids in the future require an effective interaction between energy markets and electricity grid management systems to introduce new services and mitigate risks presented by renewable energy sources. The Flexgrid project hosted the workshop, where the agenda focused on solar PV production forecasting and the second part on the electricity market prices forecasting.

Production and peak forecasting

One part of the project's research focuses on predicting tomorrow's solar PV generation. The project partner University of Cyprus (UCY) has developed the algorithm using the latest research methodology of applied deep learning. The results of the project forecasting were shared for the Solar PV array installed on the campus of the University of Cyprus.

An interesting follow-up presentation from a commercial actor like eSmart Systems highlighted the unique practical details that need to be considered before taking these production forecasting algorithms to market. These suggestions involved topics around cloud architecture, deployment, and training practices to keep the costs down and obtain maximum benefit for the customer of such forecasting tools.

The use of electricity in society has changed and increased significantly over the last few decades leading to higher and higher peaks in the grid many times a day. Such fluctuations are challenging for the grid operator to manage because of cost and capacity problems.

– Our Flexgrid partner and grid operator bnNetze from Germany is the pilot site owner and a local distribution system operator (DSO) from Germany. BnNetze should not exceed certain limits because if they do, the overall network gets in trouble because of limited capacity. So, they get penalized, leading to increased electricity bills. In the end, it affects the end-consumer, explains Farrukh.

As part of the Flexgrid project, the Austrian Institute of Technology (AIT) and bnNetze have modeled the entire electricity network in the German town of Freiburg, used data inputs to train their algorithm, and used different approaches to try to predict when the peaks appear . At the workshop, they presented the results.

- Many commented that this was very important in the future. The work is significant because our electricity network has more and more renewable energy sources. We also have what we call distributed energy resources because they are distributed from people's houses to industries to EV charging, and there are many fluctuations in energy demand and supply at the local level, says Farrukh.

Electricity market price forecasting

The Flexgrid project has developed an algorithm that predicts the electricity prices based on the historical data taken from the NordPool electricity market and the FinnGrid Balancing market. The model was trained for average market prices, but interesting results were observed on the impact of abrupt price changes due to Covid-19 and the recent Ukraine conflict. The University of Cyprus explained their approach, the data they used, the results they achieved, and the problems they faced while developing market price forecasting models.

Inthydro is a Norwegian Chinese collaboration. Smart Innovation Norway's work on predicting these sudden changes in electricity price forecasting is one of the main objectives of the IntHydro project. At the workshop, Smart Innovation Norway's senior advisor Professor Bernt Bremdal presented the project. The participants discussed results and shared experiences from both projects on predicting these sudden changes in electricity prices.

- The prediction of electricity market prices is highly relevant for today's European market with high energy prices and the impact of this on our society as a whole. Based on these predictions, several actors can make optimal decisions and adjust their position more appropriately to reduce their underlying costs, which helps in a cost-effective and efficient electricity system, says Farrukh.

- The idea of the workshop was to disseminate each other's knowledge and see what better we can do regarding forecasting in energy. Connecting national and international projects like this is essential to Smart Innovation Norway's role, says Farrukh.

Flexgrid ends in September 2022, and the goal is to maximize project results' impact on various actors of society. A second workshop is planned for September, focusing on the flexibility value chain and standardization activities around Flexibility markets.

FACTS ABOUT FLEXGRID:

The goal of FLEXGRID is to facilitate energy sector stakeholders (DSOs, TSOs, ESPs and RESPs) to:

1) easily and effectively create advanced Energy Services (ESs)

2) interact in a dynamic and efficient way with their environment (electricity grid) and the remaining of the stakeholders

3) automate and optimize the planning and the operation of their ESs.

In this way, FLEXGRID envisages secure, sustainable, competitive, and affordable ESs.

This section clarifies the objectives of FLEXGRID by:

1. categorizing them as orthogonally as possible

2. presenting them accurately

3. revealing the interactions among them

Click to read more about Flexgrid!

CONTACT:

Farhan Farrukh,
Researcher Smart Energy Technologies

Email

Phone: +47 960 03 052

Towards smart societies

Can smart cities save the world? This was the title of Abelia's conference "Smart citizen, smart city", which was held on 26 May in the capital. Some of the speakers included Oslo City Council leader Raymond Johansen, Transport Minister Ketil Solvik-Olsen, State Secretary Paul Chaffey in the Ministry of Local Government and Modernization and Ole Gabrielsen in Smart Innovation.

In Smart Innovation and the NCE cluster, we have already worked for a long time with the concept of Smart cities, and we have delivered and initiated many concrete projects for municipalities in Eastern Norway. The Smart Energy Hvaler project is a good example of a Smart City project that has functioned as a good arena for city and rural development, and which has laid the foundation for the effective start-up and scaling up of other Smart City projects in several municipalities.

In addition to the Smart Hvaler project, Ole Gabrielsen also highlighted the ground-breaking project around the virtual short-term department , which is a one-year R&D collaboration between Halden municipality, Smart Simulations, eSmart Systems and NCE Smart Energy Markets. The project will look at the possibilities of having patients on a virtual short-term ward using an IT platform provided by eSmart Systems, and is an important step the municipality is taking towards a smarter and more flexible everyday life for its citizens.

Ole Gabrielsen presentation, Abelia conference 26 May 2016 (pdf)

The Cluster for Applied AI and NCE Smart Energy Markets offer free continuing education to their members.

- Managers without knowledge of artificial intelligence miss out on many opportunities

Having a conscious relationship with artificial intelligence and understanding the potential of the technology can take companies to new heights.

Valery Naumova — Valeriya Naumova is the general manager of Simula Consulting and one of those who have prepared the free further and continuing education course that members in the Cluster for Applied AI and NCE Smart Energy Markets are offered. - It is important that company managers understand what artificial intelligence is and how they can use the technology strategically in their company, she says. PHOTO: Private

Compared to the traditional industry that arose in the 19th century, artificial intelligence is a new type of technology. But the truth is that the term "artificial intelligence" arose in the 1950s, and the dream of creating intelligent machines can be traced all the way back to the ancient Greeks, according to an article from Teknisk Ukeblad .

Nevertheless, it is a challenge for many of today's managers to understand how to use artificial intelligence in a strategic way in their company.

- It is important that company managers understand what artificial intelligence is, and not least that they understand what this technology can do for them and how they can use it strategically. If not, they miss out on many opportunities, says Valeriya Naumova, general manager at Simula Consulting.

- Huge potential

Simula Consulting is a company that builds a bridge between research environments and businesses within the public and private sector, and which, among other things, works to train managers in artificial intelligence. The company is also a member of Smart Innovation Norway's business cluster Cluster for Applied AI (CAAI). It is therefore natural that Simula is among the contributors to the continuing and further education scheme offered to the cluster members at CAAI and NCE Smart Energy Markets in the autumn.

- If you are to be successful with innovation for sustainable growth, working with in-house skills development is essential. Artificial intelligence is a technology that has enormous potential for businesses in the years to come, and the beauty of this course is that the training takes place on the premises of the businesses, says Marianne Bjerkman, head of CAAI.

Gain better understanding

The training course in artificial intelligence is intended for managers and middle managers from different businesses and domains. The training takes place in September and October and is carried out with physical meetings at various locations in Eastern Norway.

After completing the training course, the participants should understand, among other things, what artificial intelligence is, what kind of problems the technology is suitable for solving, what role data plays and how to secure a good enough data base to work with artificial intelligence, what dangers arise from using data mistakes, how artificial intelligence should be implemented in the company's business model, and what kind of competence is required in the business.

Several partners

- There is a big difference between traditional technology and artificial intelligence. Artificial intelligence is an interactive technology that is constantly being developed and improved by adding new data. But it's not just about getting started with using artificial intelligence. The company's infrastructure, data base and employees must go through adaptation and training to get the best possible benefit from the technology, says Valeriya Naumova.

The further and continuing education course offered by the clusters of Smart Innovation Norway is supported by Viken County Municipality. This means that the offer is free for the cluster members. The aim of the county council's support scheme is increased economic value creation, strengthened competitiveness and more jobs in Viken through the realization of business development projects.

The training is developed and delivered by experienced technologists from Simula Consulting and the Institute of Energy Technology, and Digital Norway and Smart Innovation Norway contribute with their broad expertise related to training, networking and facilitation.

Questions?

Contact Marianne Jansson Bjerkman on +47 924 14 854 or by e-mail .

Smart Energy Systems with an exciting battery project

- The goal is to reduce people's electricity expenses

Energy Bank can help reduce private households' electricity bills by at least 20 per cent. That is the goal of the AI Battery Optimizer project that Alexander Finn (tv) and Fred Martin Langøy at Smart Energy Systems are working on together with Smart Innovation Norway. - Our battery solution is a solution for efficient storage of electricity, and storing electricity contributes to reduced grid rent and lower electricity bills, says Langøy. PHOTO: Smart Energy Systems

20 percent lower electricity bill. Fred Martin Langøy of Smart Energy Systems believes that it is possible to achieve this with their battery solution Energy Bank. They will develop the technology together with Smart Innovation Norway.

Solar panel on the roof and battery in the shed. These two elements are all that is needed to turn private households into small independent power plants that produce and store their own electricity.

The Fredrikstad company Smart Energy Systems will work until October next year to develop technology that makes it profitable for the private market to install the solution.

- Our aim is for people to reduce their electricity bill by at least 20 per cent through our battery Energy Bank, says general manager Fred Martin Langøy.

Regionale forskningsfond Viken (RFF Viken) has approved the entire application of NOK 3.13 million, and Langøy is pleased that more people have faith in the project and see the usefulness of the technology to be developed.

Several advantages of storing electricity

According to the website solenergi.no , the number of solar panels in Norway has increased enormously in recent years. But one of the challenges is that there are no storage options for excess electricity. Thus, the power that the panel produces, but which is not used, disappears into the local power grid.

- Surplus power from solar panels is usually more profitable to store in batteries than to be delivered to the grid. Our battery solution is a solution for efficient storage of electricity, and storing electricity contributes to reduced grid rent and lower electricity bills, says Langøy.

FACTS ABOUT AI BATTERY OPTIMIZER

Project Name: AI Battery Otimizer

Purpose of the project: Develop AI technology to make optimal use of the battery Energy Bank and commercialize the battery technology

Project participants: Smart Energy Systems and Smart Innovation Norway

Project support: 2 million

Project period: 2 years

In the Energy Bank, you can store self-produced excess electricity as well as electricity that you buy from the grid when prices are low. This electricity can be used when electricity prices are high or to avoid high network rent.

- You can set the battery so that it takes over the power supply when the consumption crosses a certain power limit. That way, each individual household can control their electricity expenses in a better way, explains Langøy.

By power is meant the amount of electricity that is used at the same time. The electricity rent is calculated based on how much electricity the household uses, and the introduction of power tariffs will make customers use electricity in a smarter way for better utilization of the electricity grid. An even consumption throughout the day is more profitable than using a lot of electricity at the same time.

Environmentally friendly and cost-saving

Society is facing extensive electrification, and Langøy sees Energy Bank as part of the solution. The more households that can provide part or all of their own electricity consumption, the less the need for development of the local electricity grid.

A feature of social development that causes a large part of the need for electricity is the proportion of electric cars on Norwegian roads. Figures from Statistics Norway show that in 2021, two out of three new passenger cars in Norway were electric cars. Charging an electric car is one of the things that require the most electricity in Norwegian households, and Langøy believes that it will mean big savings for the grid companies if more private individuals adopt battery technology.

- If, for example, "everyone" in a residential area has an electric car, this leads to an increased demand for electricity and, in most cases, a requirement for more and larger cables into the houses. With Energy Bank, the need for the development of a local power grid is reduced, he says.

Langøy also highlights the environmental perspective of utilizing modern battery technology. The CO2 footprint is smaller when there is no need to expand the electricity grid.

- Together with Smart Innovation Norway, we have been working on developing AI-based technology for a few months already, and we are looking forward to the continuation. By commercializing the Energy Bank through this EU project, we save private individuals and grid companies costs and the environment from CO2 emissions, summarizes Fred Martin Langøy.

CONTACT PERSON
SMART INNOVATION NORWAY :

Stig Ødegaard Ottesen
Head of Energy Systems

Telephone: +47 909 73 124

Email: stig.ottesen@smart
innovationnorway.com

Now we have become even better at contributing to innovation

Europe does it, and Smart Innovation Norway does it. The Halden company is betting on "communities" and is strengthening its cluster activities, the Smart City initiative and its research work. By working more closely together and distributing resources better, more innovation is created.

In today's world, cooperation, community and participation are becoming increasingly important. It is felt outside Europe, and it is felt at home.

As a consequence of this societal development, Smart Innovation Norway is strengthening and expanding its investment in business clusters, smart cities and social science research. The company launches Smart Innovation Communities and prepares itself for further work by hiring more wise minds, entering into new and exciting agreements, working further

- A strength for being awarded new EU projects

- This is very exciting. There is naturally a difference in innovation by the municipalities in the Smart City work and by the private business life in our clusters, but many times there are the same drivers and the same challenges that are faced, and often the same tools that we need to use in use. Although we work in slightly different ways in the different areas, a lot is about creating security and commitment to driving innovation through sustainable thinking and making use of digitization opportunities. The Smart City work and the cluster economy are very closely linked, says manager of Smart Innovation Communities, Eli Haugerud.

Outside of Europe, there is a large and ever-increasing focus on the human aspect of research projects and innovation work. Smart Innovation Norway's research area for this is called Social Innovation. This competence is very relevant for both municipalities and cluster partners. Customer, citizen and user understanding is central to all innovation, and Social Innovation will therefore also focus on Smart City research going forward.

- We want to put the users in focus, and that is exactly what our social science researchers are doing. They look at the users and the users' needs and how innovation affects them, says Haugerud.

Each focus area will stand stronger by working even more closely together. Municipalities in Smart City work can be pilots in several social science innovation projects both in Norway and in the EU. The clusters know the business world and can contribute with the right research partners. The social science researchers contribute to the smart city projects and the cluster work with the human approach to the innovation work.

- This will be a strength for us when it comes to being awarded new and relevant EU projects, states Haugerud.

READ ALSO: Top rating in European research

More learning between private and public actors

Over half of all value creation in Norway takes place in the public sector. One of Smart Innovation Norway's most important tasks is to help others become better at innovating, and the municipalities and public companies are important players both as customers and as clients for Norwegian business.

Creating a good interaction between the public and private sectors is absolutely essential, and the managing director of Smart Innovation Norway, Kjell Reidar Mydske, clearly sees that Smart Innovation Communities will improve and increase the innovation work of both parties.

- It is a strength of ours that we can use the expertise we have in and around the public and private sectors to mutually strengthen each other so that we both get better. Through Smart Innovation Communities, resources can work more and better crosswise, expertise is shared more, and we open up even more learning between the private and public sectors, he points out.

Mydske is satisfied that the Halden company is further developing its many years of good work within Smart City. The EU is very clear that Smart City and user participation are important, and the term "communities" describes a methodology which, among other things, is about working openly and together in order to be able to realize and commercialize research.

- We must invest in open innovation. We have to cooperate. The alternative is for the technologies to be developed and the innovation to take place in companies in China and the USA which will next come here and sell their services here. The EU will counteract that. That's why the EU is betting on "communities", and that's why we're betting on Smart Innovation Communities, says Kjell Reidar Mydske.

CONTACT:

Eli Haugerud,
Manager, Smart Innovation Communities

Email: eli.haugerud@smartinovationnorway.com

Telephone:
+47 995 44 711

FACTS:

• Smart Innovation Norway AS conducts independent, applied research and specializes in research-based business development within smart energy, smart societies and new technology.

• One of Smart Innovation Norway's main tasks is to promote innovation among public and private actors.

• Many years of experience with innovation work is behind the company's launch of Smart Innovation Communities, which is a strengthening and expansion of the company's investment in cluster operations, Smart City work and social science innovation.

• In order to be able to contribute to innovation in an even better way in both the private and public sector, Smart Innovation Norway links the professional areas even more closely together and opens up for more collaboration across the board.

• The aim is to increase the pace of innovation and to realize and commercialize even more of the innovation through Smart Innovation Communities.