Abstract
Renewable energy cooperatives were found to facilitate the uptake of renewable and distributed energy resources and require the willingness of participants to trade energy within their local community. To gather user requirements for the design of such scenarios, we conducted two focus groups with potential participants. Prosumers (n = 7) and consumers (n = 9) worry about regulatory conditions and potential taxes applied on energy trading. We found that in particular consumers demanded for secure energy supply, while prosumers wanted to keep control of their energy production. Prosumers expressed their interest in detailed consumption and sales information, while consumers were interested in the legal matters of the contract and the energy source. Furthermore, the concept of connectedness was valued as the most important gamification approach for self-consumption communities, followed by the development of competence, in particular important for consumers.
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Acknowledgements
The current research is part of the NEMoGrid project and has received funding in the framework of the joint programming initiative ERA-Net SES focus initiative Smart Grids Plus, with support from the EU’s Horizon 2020 research and innovation program under grant agreement No. 646039. The content and views expressed in this study are those of the authors and do not necessarily reflect the views or opinions of the ERA-Net SG+ initiative. Any reference given does not necessarily imply the endorsement by ERA-Net SG+.
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Annex 1: Description of the Self-consumption Community Scenario for the Pro- and Consumer Group
Annex 1: Description of the Self-consumption Community Scenario for the Pro- and Consumer Group
Imagine…
… You draw your electricity mainly from your local grid/your own photovoltaic (PV) system at home and you form a self-consumption energy community together with your neighbors. The energy supplier and distribution system operator considers this community to be a single entity. Within the community, you can trade energy with your neighbors at prices that are cheaper than those of the energy supplier. You have paid for the PV system installed in your household and the grid connection. In addition, a smart meter is installed in your home and you are connected to a storage facility that is also used by other people from the neighborhood. Furthermore, there is a storage facility that is used by you and your neighbors. Users can rent the storage from the energy supplier and charge it with the energy surplus from their PV system.
The essential part of this scenario is the trade of your surplus energy with your neighbors. Trading is automated by an algorithm that is realized via a double auction mechanism. This means by buying energy, the buyer is making an offer for the energy that a prosumer wants to sell. At the same time, the seller/prosumer also makes an offer for the price at which he wants to sell his energy. This means by selling energy, you submit your desired price for the energy as a prosumer, while the buyer makes a bid simultaneously. Trading is carried out using blockchain technology. A blockchain is a distributed database that manages an ever-growing list of transactions. The database is expanded chronologically linear, similar to a chain. In the end, new elements are constantly added (hence the term “block chain” = “blockchain”). When one block is complete, the next one is created. Each block contains a checksum of the previous block. Energy prices in your community (at the local market) are lower than real-time prices in the grid. However, you can still get energy from the grid. The price you get for the PV surplus you produce in your community is higher than the real-time prices in the grid and the feed-in tariff. Furthermore, the additional PV price is more attractive than self-consumption. The difference between the selling price and the levelized cost of electricity (LCOE) is your revenue. The LCOE is the average minimum cost at which your electricity must be sold to reach the breakeven threshold.
Costs for the construction and operation of a power plant during an assumed financial cycle of life and use. The energy supplier takes care of the P2P market’s management. There is a monthly invoice consisting of five components: You pay…
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1.
… the share for the use of network services (transmission and distribution of electricity). However, there is a discounted rate for your share of use.
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2.
… the price you offered in the auctions for the electricity you used. The money you pay is lower than a real-time price for electricity from the grid./… the amount of electricity you have drawn.
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If you use your own PV generated electricity, you pay a levelized cost of electricity (LCOE).
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If you trade the PV surplus, the earnings depend on the auction. However, the money you receive is higher than a feed-in tariff or the real-time price of electricity on the grid.
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Costs for transmission and distribution of P2P trading electricity are excluded. You can draw energy from the grid at any time, which is more expensive.
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3.
… the power storage facility. This storage battery can either be rented or purchased. Monthly rental rates or one-off purchase costs, therefore, do incur.
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4.
… the algorithm that fixes local (energy) bottlenecks and offers the ability to obtain cheap energy via auctions.
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5.
… the share for the P2P management carried out and set up by the energy supplier and distribution system operator.
By trading (locally) in your community, the energy transmission fees are lower. Although there are costs for the P2P (management) algorithm, these costs are less than the total profits. The advantage for consumers/prosumers are that, as a flexible consumer, he or she can obtain energy from a prosumer at a lower price than the network price/they sell their surplus energy to a flexible consumer at a higher price compared to the distribution system operator. You can reduce the payback time of your PV system and thus lower the levelized cost of electricity (LCOE).
In short, you pay your energy bill, including additional shares for storage and the algorithm.
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Döbelt, S., Kreußlein, M. (2020). Peer-to-Peer Traded Energy: Prosumer and Consumer Focus Groups about a Self-consumption Community Scenario. In: Stephanidis, C., Antona, M. (eds) HCI International 2020 - Posters. HCII 2020. Communications in Computer and Information Science, vol 1224. Springer, Cham. https://doi.org/10.1007/978-3-030-50726-8_17
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