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© 2015 PassivSystems Limited STRICTLY CONFIDENTIAL - CIRCULATION PROHIBITED Providing intelligent home services for homeowners and businesses What will the future energy system in the home look like? Technology Challenges and Regional Approaches for Integrating Renewables and Energy Security

What will the future energy system in the home look like? EU RES (1.… · homeowners and businesses What will the future energy ... How should we connect with consumers? By fitting

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Page 1: What will the future energy system in the home look like? EU RES (1.… · homeowners and businesses What will the future energy ... How should we connect with consumers? By fitting

© 2015 PassivSystems Limited STRICTLY CONFIDENTIAL - CIRCULATION PROHIBITED

Providing intelligent home services for

homeowners and businesses

What will the future energy

system in the home look like?

Technology Challenges and Regional Approaches for Integrating Renewables and Energy Security

Page 2: What will the future energy system in the home look like? EU RES (1.… · homeowners and businesses What will the future energy ... How should we connect with consumers? By fitting

© 2015 PassivSystems Limited STRICTLY CONFIDENTIAL - CIRCULATION PROHIBITED

Evolution of the “information age”

1993 2007 2014

Mozaic

browser

popularized

the Internet

iPhone

introduced

consumers

to Apps

IoT exploits the

consumer’s ICT

infrastructure

Connected

Homes

0%

100%

Page 3: What will the future energy system in the home look like? EU RES (1.… · homeowners and businesses What will the future energy ... How should we connect with consumers? By fitting

© 2015 PassivSystems Limited STRICTLY CONFIDENTIAL - CIRCULATION PROHIBITED

The “Information Age” is about connecting with consumers

How should we connect with consumers?

By fitting into their world

and making it easier

From Bookstore

To online

To device

Consumer trend is for self-directed life:

• Cheaper • Smarter / connected • Informed / accessible • More efficient / convenient

Page 4: What will the future energy system in the home look like? EU RES (1.… · homeowners and businesses What will the future energy ... How should we connect with consumers? By fitting

© 2015 PassivSystems Limited STRICTLY CONFIDENTIAL - CIRCULATION PROHIBITED

The “Information Age” is about empowering consumers

Key success factors: • Digitalization • Web and App technology • Individual empowerment • Social media

Industry sectors: • Retail

• Airlines

• Travel agents

• Telecoms

• Banking

• Healthcare

Page 5: What will the future energy system in the home look like? EU RES (1.… · homeowners and businesses What will the future energy ... How should we connect with consumers? By fitting

© 2015 PassivSystems Limited STRICTLY CONFIDENTIAL - CIRCULATION PROHIBITED

MANAGE MY LIFE – FILTER MY INFORMATION NEEDS – PROVIDE

ME A COMPLETE SOLUTION – GIVE ME A BETTER DEAL MR

ENERGYMAN – HELP ME MAKE THE RIGHT DECISION – SATISFY MY

PERSONAL NEEDS – MAKE THINGS MORE CONVENIENT – GET ME

VALUE FOR MY DATA – I´M A BELIEVER IN REAL ASSESSMENTS

Includes the No 1 HIT “Give me a better deal Mr Energyman”

The “Information Age” is about to come to the energy industry

Page 6: What will the future energy system in the home look like? EU RES (1.… · homeowners and businesses What will the future energy ... How should we connect with consumers? By fitting

© 2015 PassivSystems Limited STRICTLY CONFIDENTIAL - CIRCULATION PROHIBITED

Power system value chain

Extraction Generation Transmission Distribution Demand

Extraction Generation Transmission Distribution Demand

OLD UTILITY WORLD

NEW “CONNECTED” CONSUMER WORLD

€€VALUE€€

€€VALUE€€

Informed consumers who feel in control

Remote controls that minimise energy consumption and cost

Greater transparency around energy costs

Energy system listening and responding to consumer needs

Page 7: What will the future energy system in the home look like? EU RES (1.… · homeowners and businesses What will the future energy ... How should we connect with consumers? By fitting

© 2015 PassivSystems Limited STRICTLY CONFIDENTIAL - CIRCULATION PROHIBITED

Small scale energy trends

Solar PV compared with Lithium-ion EV Battery

Page 8: What will the future energy system in the home look like? EU RES (1.… · homeowners and businesses What will the future energy ... How should we connect with consumers? By fitting

© 2015 PassivSystems Limited STRICTLY CONFIDENTIAL - CIRCULATION PROHIBITED

Digital energy supply chain

Integrated residential energy management and services platform

Key success factors: • Digitalization • Web and App technology • Individual empowerment • Social media

Page 9: What will the future energy system in the home look like? EU RES (1.… · homeowners and businesses What will the future energy ... How should we connect with consumers? By fitting

© 2015 PassivSystems Limited STRICTLY CONFIDENTIAL- CIRCULATION PROHIBITED

PassivEnergy

• Our Physics Model and Predictive Control algorithms are able to model energy demand 24

hours in advance

• Our aggregation services enable equipment suppliers, service providers and asset owners

to deliver better value services to their customers

• Our grid management services have been designed to integrate with energy trading

systems and to respond to ToU tariffs

Physics

Model

Predictive

Control

Performance

management

Local generation

& storage

Aggregated

Capacity Pool

Trading

Actions

energy

Heat Pumps

White goods

Generation

Storage

Page 10: What will the future energy system in the home look like? EU RES (1.… · homeowners and businesses What will the future energy ... How should we connect with consumers? By fitting

© 2015 PassivSystems Limited STRICTLY CONFIDENTIAL - CIRCULATION PROHIBITED

What market design needs to consider

TREND

• Mass adoption of smart phone technology and connected devices (IoT)

• Widespread adoption of renewable and storage technologies

• Increasing volatility in wholesale energy markets caused by renewable volumes

• Electrification of heat

OPPORTUNITY

• Demand response capacity for grid balancing, correcting trading imbalances & opportunistic trading

• Local resilience combined with lower cost generation and distribution

• Incentivise consumers to use IoT devices to extract value from wholesale markets

• Use existing gas networks for grid balancing

Page 11: What will the future energy system in the home look like? EU RES (1.… · homeowners and businesses What will the future energy ... How should we connect with consumers? By fitting

© 2015 PassivSystems Limited STRICTLY CONFIDENTIAL - CIRCULATION PROHIBITED

• Properly functioning wholesale market

• Half hourly settlement for residential customers

• IoT standards for the energy market

• Government incentives causing market distortion e.g. capacity mechanism

Policy & regulatory barriers

Page 12: What will the future energy system in the home look like? EU RES (1.… · homeowners and businesses What will the future energy ... How should we connect with consumers? By fitting

© 2015 PassivSystems Limited STRICTLY CONFIDENTIAL - CIRCULATION PROHIBITED

Providing intelligent home services for

homeowners and businesses

[email protected]

Office: +44 1635 525050

Mobile: +33 6 2412 1537