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The Topic: Smart systems SMART SYSTEMS THE TOPIC 10 | 10TH - 16TH MARCH 2017 | UTILITY WEEK TRANSITIONING FROM DNO TO DSO FOR ACTIVE SYSTEM OPERATION economic and social goals. Dynamic smart grids were at the heart of its proposed indus- trial strategy and a call for evidence on smart and flexible energy systems has captured the input of the industry's disruptive new play- ers, as well as its incumbents. Business and energy secretary Greg Clark has stated that a smarter energy system could herald the end of "the age of exclusive control by big energy companies and cen- tral government", breaking down barriers to competition in the energy system and open- ing the door to innovation. In this Topic, Utility Week looks at some of the technologies and trends contributing to this exciting prospect. WHAT'S IN THIS ARTICLE l The DSO is key, p11 l The role of gas, p11 l DSR and storage, p12 l Smart cities and the IoT, p13 l Heat, p14 l Networks innovation, p14 l The impact of EVs, p15 T he winds of change are tearing through our energy system, upend- ing old assumptions about how it is run – and by whom. The arrival of new technologies has altered the way we generate, distribute and consume energy, putting pressure on the old energy system and forcing it to evolve. Smart meters, covered in the last Topic (Utility Week, 27 January 2017), are part of this transformation. But despite the time and investment being eaten up by this national programme, in reality, smart meters are just one tiny facet of the new smart energy world. The wider realm of smart and flexible systems is made up of complex and some- times uncomfortable interactions between energy networks, decentralising generation, and the electrification of transport – and possibly heat. For networks, smart energy is now caus- ing a fundamental rethink of their purpose and powers. A call for evidence from the government has given network operators and other players the chance to air their views around the scope for new system bal- ancing responsibilities to be handed down to power distribution level. Meanwhile, gas networks are pushing for a blurring of the lines between different energy "vectors" and a bigger role in creating a smart "whole" energy system. Such changes in the structure and man- agement of the energy system hold big challenges and risks – but also great oppor- tunities to deal effectively with increasingly intermittent renewable generation, the uptake of electric vehicles and the promise of an engaged demand-side market. The government has recognised the criti- cality of smart energy systems to its national Energy will cease to be a passive, centralised system Source: Schneider Electric Power plant Power plant Transmission Distribution Distribution Transmission Active network management Wind integration PV integration Electricity storage EV charging DSR