What are the key points of the UK’s “Smart Systems and Flexibility Plan” and how do they promote development of a “smart” system?
Key Points
- The UK, like many countries, faces significant challenges in the energy sector as it looks to decarbonize, become smarter, engage with its consumers, and evolve from a passive one-way system into a more active and decentralized system.
- Core to this evolution is the development and deployment of smart technologies throughout the sector. Many of these technologies have been demonstrated through pilot projects, the results of which have been favorable.
- Smart technologies bring opportunities and challenges for both existing and new sector participants. Opportunities exist for new business models, products, and services, while challenges exist for grid operators to integrate new technologies while maintaining system reliability.
- The “Smart Systems and Flexibility Plan” addresses a number of policy, market, and regulatory issues to provide a pathway for the transition to a smarter energy system. It creates opportunity for new market entrants to develop commercial services around new smart technologies, enables customers to become more engaged with their energy usage, and provides the flexibility tools for grid owners to transition toward system operators.