UK Power Networks and London Power Networks
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Network Innovation Allowance
ED - Customer and stakeholder focus
Carbon Emission Reduction Technologies, Community Schemes, Demand Response, Demand Side Management, Distributed Generation, Energy Storage, Energy Storage and Demand Response, LV & 11kV Networks, Photovoltaics, Stakeholder Engagement and Substation Monitoring
As part of UK Power Networks’ role in understanding the transition to the future smart flexible energy system we have identified potential categories of exclusion from the transition consisting of financial exclusion, fuel poverty, lack of engagement in the energy market and lack of flexibility in energy use. DNOs need to explore inclusive approaches that will ensure everyone is able to access the benefits of a flexible system if they wish to do so.
In urban areas, multiple occupancy properties such as blocks of flats are a common living arrangement. Many local authorities plan to further develop affordable housing: this will also contribute to an increase in this type of living arrangement. Often blocks of flats are a type of social housing and are common in areas where financially underprivileged customers live in higher concentrations.
Living in these premises can often limit customers’ energy options and the uptake of low carbon technologies (LCTs) such as rooftop solar panels and batteries due to the nature of shared properties and limited space on individual sites. This can be a barrier for certain customers who would be unable to actively participate in the energy market, own distributed energy resources and offer flexibility services.
Shared ownership and virtual allocation of the assets can open energy saving opportunities, choices and new revenue streams for customers who would otherwise not be able to participate in the flexibility market.
The main objectives of this project are:
• To test whether customers living inblocks of flats can access financial benefits through flexibility;
• To explore how DNOs can be more inclusive by way of flexibility based on virtual allocation of shared assets;
• To create better value around low carbon and other future technology for groups that are part of some of the potential exclusion categories from a future flexible energy system (fuel poverty, lack of engagement in the energy market);
• To facilitate non-prosumers and fuel poor households’ ability to benefit from future energy technologies and from flexibility opportunties.