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TECHNICAL SESSION 32 SMART BUILDING, LIGHTING, METERING, DEMAND SIDE MANAGEMENT Integration of real-intelligence in energy management systems to enable holistic demand response optimization in buildings and districts This project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement No 768614. Ander Romero Amorrortu Project Manager Rehabilitation and Integrated Urban Regeneration Sustainable Construction Division TECNALIA RESEARCH & INNOVATION www.tecnalia.com

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Page 1: Integration of real-intelligence in energy management …holisder.eu/HOLISDER_EEEIC_2018.pdfEuropean energy market is evolving towards more decentralized, less predictable and flexible

TECHNICAL SESSION 32SMART BUILDING, LIGHTING, METERING, DEMAND SIDE MANAGEMENT

Integration of real-intelligence in energy management systems to enable holistic demand response optimization in buildings and districts

This project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement No 768614.

Ander Romero Amorrortu

Project ManagerRehabilitation and Integrated Urban RegenerationSustainable Construction Division

TECNALIA RESEARCH & INNOVATION

www.tecnalia.com

Page 2: Integration of real-intelligence in energy management …holisder.eu/HOLISDER_EEEIC_2018.pdfEuropean energy market is evolving towards more decentralized, less predictable and flexible

• Challenge and key enablers

• Goals and objective

• Conceptual solution

• System architecture

• Implementation & Validation

• Conclusions

Index

This project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement No 768614.

Page 3: Integration of real-intelligence in energy management …holisder.eu/HOLISDER_EEEIC_2018.pdfEuropean energy market is evolving towards more decentralized, less predictable and flexible

Challenge

This project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement No 768614.

European energy market is evolving towards more decentralized, less predictable and flexible to operate forms, as a consequence of the large-scale integration of renewable and distributed energy -> demand response schemes are gaining significant role within energy markets.

Commercial and industrial demand response “is technically and economicallyviable now”, however, residential and small tertiary resources are still excludedfrom the market.

Total Number of Smart Homes in EU and US (Source: Berg Insight, “Smart Homes and Home Automation”, 2014)

EU Demand Response Maturity and Penetration Map (Source: SEDC, 2015)

Page 4: Integration of real-intelligence in energy management …holisder.eu/HOLISDER_EEEIC_2018.pdfEuropean energy market is evolving towards more decentralized, less predictable and flexible

Key enablers

This project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement No 768614.

There still remain several key enablers that need to be satisfied towardsunleashing the huge potential and enhancing the commercial viability of DemandSide Flexibility offered by the building sector, while maximizing its value for bothprosumers and energy market stakeholders.

The path towards wide deployment of Demand Response (Source: JRC, 2016)

Page 5: Integration of real-intelligence in energy management …holisder.eu/HOLISDER_EEEIC_2018.pdfEuropean energy market is evolving towards more decentralized, less predictable and flexible

Goals

This project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement No 768614.

1. Bring together energy networks, building energy management systems and devices,addressing the needs of the whole demand response value chain through enabling two-way communication, data exchange and integration

4. Ensure consumer empowerment and transformation into active market players reducingtheir energy bills, tackling energy poverty and using various demand response schemes

Status of Implicit Demand Response in the EU in 2015 (Source: SEDC, 2015)

2. Support hybrid demand response schemes by avariety of end-user applications for PersonalizedInformative Billing, Human-Centric EnergyManagement, Load Scheduling and IntelligentControls and Predictive Maintenance

3. Introduce new business models for third parties,facilitating consumer involvement, representingthem in energy market transactions and tacklingknowledge barriers

Page 6: Integration of real-intelligence in energy management …holisder.eu/HOLISDER_EEEIC_2018.pdfEuropean energy market is evolving towards more decentralized, less predictable and flexible

Objective

This project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement No 768614.

Holistic Demand Response OptimizationFramework that enables significant energycosts reduction at the building/ consumerside, while introducing small and medium sizedbuildings (residential and non-residential ones)as major contributors to energy networks’stability through optimized energymanagement in response to networkconstraints and conditions.

Bring together a wide range of mature andproven technologies and integrates them in anopen and interoperable framework, comprisingin a fully-fledged suite of tools and applicationsfor all major stakeholders involved in theDemand Response value chain. Actors involved in the holistic demand response optimization framework

Page 7: Integration of real-intelligence in energy management …holisder.eu/HOLISDER_EEEIC_2018.pdfEuropean energy market is evolving towards more decentralized, less predictable and flexible

Conceptual solution

This project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement No 768614.

1. Introduce residential and tertiaryenergy consumers as activeplayers in energy markets andensure significant benefitsthrough their engagement inimplicit human-centric demandresponse programmes

• ICT-enabled tools andsolutions for exposing energyconsumers to real-timeenergy market tariffs

• Appropriate optimizationtools to enable personalizedand context-aware guidanceto consumers

Detailed representation of the solution

Page 8: Integration of real-intelligence in energy management …holisder.eu/HOLISDER_EEEIC_2018.pdfEuropean energy market is evolving towards more decentralized, less predictable and flexible

This project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement No 768614.

2. Enable intelligence enhancementof currently available BEMS andSmart Home Systems with theintegration of ICT-enabled human-centric DR optimization andpredictive maintenance functions

• Enhance building/ smarthome energy managementproducts with appropriatedemand response optimizationfunctions

• Seamless open-standardsbased communication with themajority of available BEMS andSmart Home Devices

• Innovative predictivemaintenance mechanisms

Conceptual solution

Detailed representation of the solution

Page 9: Integration of real-intelligence in energy management …holisder.eu/HOLISDER_EEEIC_2018.pdfEuropean energy market is evolving towards more decentralized, less predictable and flexible

This project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement No 768614.

3. Deliver an open standards-basedmodular solution that ensures end-to-end interoperability betweensmart grids, EMS and smart homedevices and holds a high replicationpotential around EU MS

• “Open” and modular end-to-end interoperability and datamanagement framework ontop of Building and DistrictEnergy Management Systems,as well as Smart Home systemsand devices

• Open standards-basedcommunication (OpenADR2.0b, OneM2M, IEC-61850,USEF)

Conceptual solution

Detailed representation of the solution

Page 10: Integration of real-intelligence in energy management …holisder.eu/HOLISDER_EEEIC_2018.pdfEuropean energy market is evolving towards more decentralized, less predictable and flexible

This project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement No 768614.

4. Safeguard grid reliability and thetransition to a more fossil-freeenergy future throughcomplementary explicit demandresponse strategies on the basis ofaggregated flexibility utilization

5. Tackle major market entry barriersfor consumers with theintroduction of suitable businessmodels for energy utilities,aggregators and facility managers.

Conceptual solution

Detailed representation of the solution

Page 11: Integration of real-intelligence in energy management …holisder.eu/HOLISDER_EEEIC_2018.pdfEuropean energy market is evolving towards more decentralized, less predictable and flexible

This project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement No 768614.

6. Validate the resulting solutions inreal-life environments and ensureenhanced consumer engagementin Demand Response.

7. Promote the adoption of theHOLISDER solution as a next-generation demand responseoptimization framework throughintense dissemination andknowledge transfer of theproject’s outcomes towards thetargeted stakeholders

Conceptual solution

Detailed representation of the solution

Page 12: Integration of real-intelligence in energy management …holisder.eu/HOLISDER_EEEIC_2018.pdfEuropean energy market is evolving towards more decentralized, less predictable and flexible

System architecture

This project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement No 768614.

The system architecturecontains three high levelfunctional constituentswhich are further brokendown at differentdeployment levels toaddress all aspectsintroduced in the solution:

• Integrated interoperabilityand secure datamanagement framework

• Demand responseoptimization and controldispatch decision supportsystem (DSS)

• Visualization platform andend-user toolkit

Page 13: Integration of real-intelligence in energy management …holisder.eu/HOLISDER_EEEIC_2018.pdfEuropean energy market is evolving towards more decentralized, less predictable and flexible

Implementation & Validation

This project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement No 768614.

Implementation Methodology

• Living Lab is an environment for experience sharing and exchange towards user-drivenopen innovation.

• Enables to gather feedback from building occupants, ESCOs, facility managers, aggregators,DSO, standardization stakeholders, regulator and policy makers through focus groups,door-to-door visits and quick online surveys.

• As a result of this co-creation process the project will deliver solutions that directly addressindividual needs and business requirements of potential users.

User-Driven Innovation Approach

Page 14: Integration of real-intelligence in energy management …holisder.eu/HOLISDER_EEEIC_2018.pdfEuropean energy market is evolving towards more decentralized, less predictable and flexible

This project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement No 768614.

• The HOLISDER framework will be validated in 4 large-scale pilot sites, located in Finland, UK, Greece and Serbia, which ensure complementarity in terms of climate, building types and uses, DR market maturity, culture and demography:

TECNALIA‘s KUBIK Test Facility

Finland Serbia

UKGreece

• Pre-validation activities will be carried out in the KUBIK building which will serve as the lab-testing environment.

More than 57.000 consumers (1.600 directly involved)

Implementation & Validation

Page 15: Integration of real-intelligence in energy management …holisder.eu/HOLISDER_EEEIC_2018.pdfEuropean energy market is evolving towards more decentralized, less predictable and flexible

This project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement No 768614.

Implementation & Validation

• UC-1: Personalized, flexibility-based guidance of individual consumers for optimizing their participation in Implicit Demand Response Schemes and significantly reducing their energy bills through Real-Time Pricing and its combination with Critical Peak Pricing and Peak Time Rebates schemes.

• UC-2: Promotion of net metering and self-consumption through holistic optimization of demand, supply and storage at the building and district level.

• UC-3: Context-aware demand flexibility profiling against volatile and variable real-time energy prices, considering user preferences for comfort, IEQ and daily schedules.

• UC-4: Personalized, human-centric and contract-safeguarding participation in explicit demand response programmes, on the basis of context-aware flexibility profiles and with the aim to increase consumer benefits through aggregated bidding of flexibility in balancing and ancillary services markets.

• UC-5: End-to-end interoperability (independently of brands, products and communication protocols) between actors, energy management systems and field-area devices.

• UC-6: Decision support to energy suppliers (and 3rd parties acting as energy service providers, e.g. aggregators, ESCOs and facility managers) for optimal segmentation, clustering (VPP) and utilization of demand side flexibility for energy trading and energy management optimization.

• UC-7: Decision support to aggregators (and 3rd parties acting as aggregators, e.g. energy suppliers, ESCOs and facility managers) for optimal segmentation, clustering (VPP) and utilization of demand side flexibility for a provision of a variety of services to the grid.

• UC-8: Predictive Maintenance of critical building equipment for improving energy performance, avoiding unnecessary energy consumption and improving comfort and IEQ.

Page 16: Integration of real-intelligence in energy management …holisder.eu/HOLISDER_EEEIC_2018.pdfEuropean energy market is evolving towards more decentralized, less predictable and flexible

Conclusions

This project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement No 768614.

• The integration of DR enabling elements into EMS is a challenge. A specific challenge is that EMS and smart home devices are often not interoperable.

• HOLISDER solution introduces residential and tertiary energy consumers as active players in energy markets:

• ensure benefits through implicit human-centric DR programmes

• enables intelligence enhancement of currently available BEMS and smart home systems

• integrates information and communication technologies for demand response optimization and predictive maintenance functions

• Open standards-based modular solution ensures end-to-end interoperability and holds a high replication potential around EU MS.

• Safeguards grid reliability and the transition to a more fossil-free energy future through complementary explicit demand response strategies.

• Tackles major market entry barriers for consumers with the introduction of suitable business models for energy utilities, aggregators and facility managers.

• The adoption of the solution as a next-generation demand response optimization framework is promoted by validating the resulting solutions in real-life environments and ensure enhanced consumer engagement in demand response.

Page 17: Integration of real-intelligence in energy management …holisder.eu/HOLISDER_EEEIC_2018.pdfEuropean energy market is evolving towards more decentralized, less predictable and flexible

TECNALIA Research and Innovation

Ander Romero Amorrortu

[email protected]

Project Coordinator:

www.holisder.eu

This project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement No 768614.

This document reflects only the author’s views and neither the Agency nor the Commission are responsible for any use that may be made of the information contained therein