D2.2 Current regulatory framework regarding Demand Response

Daniel Sanchez, Frits Maas, Raymond Sterling, Stefan Lodeweyckx
2019 Zenodo  
Increasing flexibility is key for the reliable operation of future power systems with very high penetration levels of Variable Renewable Energy Sources (VRES). In this scenario, the most significant source of flexibility is DemandResponse (DR). The DRIvE project intends to develop and validate a fully-integrated ICT infrastructure consisting of interoperable DR-enabling energy management solutions for residential and tertiary buildings and a platform for effective and secure management of
more » ... ility at the level of the distribution grid. Firstly, this report focuses on the current regulatory European Union policies related to the electricity market prior to unlocking Demand Response, such as electricity market directive 2009/72 as well as internal market electricity regulation 2009/714 in order to analyse the situation of the existing energy market legislation. Additionally, climate change regulations are reviewed including energy efficiency directive 2012/27, renewable directive 2009/28 and other energy regulations. Therefore, while the market outlined for Demand Response is progressing, it needs further regulatory improvements, so it is introduced a discussion on a recent bundle of energy market legislation proposals, still pending approval by the European Parliament, published in the Clean Energy for all Europeans package, also called the "Winter Package" with the aim to amend existing legislation. Those legislative proposals cover the design of the new electricity market, energy efficiency, renewable energy and security of supply and governance rules for the Energy Union. The Winter Package launched by the European Commission marks the start of the large-scale unlocking flexibility to enable Demand Response potential in Europe, most importantly for load side flexibility, also known as demand side response. It points out explicitly that aggregated load should be allowed and encouraged to participate, as well as participation initiatives of demand-side resources in electricity markets should be authorised, dev [...]
doi:10.5281/zenodo.3360549 fatcat:dfiaxovvbrdxfogl6qhecnblz4