Issue link: https://fhpublishing.uberflip.com/i/1181340
NETWORK / 11 / NOVEMBER 2019 Wanted: genuine level playing fields Regen, a not-for-profit centre of energy expertise and market insight, works with public and private sector organisations to maximise their clean energy opportunities. Tim Crook, senior project manager, says that community projects are still finding it too hard to engage in so-called "flexible" markets O ur energy sys- tem is under- going radical change. Long- established patterns of de - mand are being disrupted by smart technologies such as heat pumps and electric vehicles, while renewable energy generation has increased variability of supply. Both these factors are increasing the need for our electricity system to be flexible. In September, Regen pub - lished "Power to participate", a specification for community en- ergy to participate in a flexible energy system. The report sets out 13 key reasons why commu- nity and local energy organisa- tions, widely seen as a valuable potential provider of flexibility services, are not playing a more active role in this market – and what we can do about it. The report is also culmination of the Power to participate project, which was funded by Friends Provident Foundation. Regen spent several months engaging with community energy organisations and most of the GB distribution system operators (DSOs), discussing flexibility services in detail. For many community and local energy organisations, supplying flexibility to the network has too many barriers. We found that: • the value of providing flex - ibility is too low; • it is not clear how the cur- rent flexibility opportuni- ties help unlock more low carbon generation; • contract lengths are too short; and • understanding how the revenues stack is still too complex. The levellers Regen is calling on DSOs, the Electricity System Operator (ESO), Ofgem and government to be proactive when build - ing the new markets that will shape the energy system of the future – ensuring an inclusive market that empowers smaller organisations to play a valuable role. Specifically, we are calling for them to provide a genuine "level playing-field". DSOs must recognise that a level playing field for the flexibility services COMMUNIT Y ENERGY UK 100: The Pledge "As leaders across Britain we see the challenges our communities face and acknowledge our responsibility to secure the future for them and for people around the world when faced with the challenge of a changing climate. The people who live in the towns, cities and communities we serve deserve warm homes, secure and affordable energy, to breathe clean air, drink clean water and live in a town or city of which they can proud. This will help us ensure we keep the lights on, generate our own power for our nation, protect consumers from high and unstable energy prices and end our dependence on imported fuel from states we would rather not rely on. The future we face requires ambition and imagination so that our children can have a safe and secure future, so we will take action that tackles climate change but also builds communities that are the best places for our children to grow up. We have a crisis: we have a responsibility to deal with it. We are uniquely placed to contribute to the solutions we need, because of our industrial past and we have demonstrated throughout our history that we are able and willing to lead on finding solutions to the new challenges the world faces. We have the ambition of making all our towns, cities and communities across the UK 100% clean before 2050, in line with the commitments made nationally and internationally at the Paris Summit. We hope other towns, cities and communities across the globe will join us to demonstrate that this transition will happen through acts of leadership, and that a transition to a clean energy future is both viable and already beginning to happen in many towns and cities today. Our UK towns, cities and communities are committed to making a better future for all." market does not mean treating everyone the same. If com- munity energy organisations are to engage, they will need additional support. If a DSO's standard terms and conditions are unrealistic for smaller or - ganisations to comply with, they are effectively being excluded. The work towards a clear set of agreed T&Cs across the industry would be a good step forward. We are also calling on the DSOs to address practical barri - ers to participation. Community energy organisations are cau- tious about providing flexibility services as the barriers they en- counter are formidable: contract lengths are too short, metering requirements are onerous and the financial returns are too low. Longer contracts, at least at the early stages of flexibility markets, are key to enabling investment. Help with address - ing metering requirements is also important, in particular not insisting on minute by minute metering when half hour meter - ing would do. Easier market access Making the process for sell- ing flexibility simpler and less resource intensive would help address the financial barriers. Recently, the online market plat- form Piclo released details of flexibility competitions past and