Technical background

Technology

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Classic electricity grids are based on large central power stations connected to high voltage transmission systems. In turn, supply power is connected to medium and low-voltage local distribution systems.

They are designed for a one way power flow - from the power stations, via the transmission and distribution systems, to the final customer. They are unable to connect large-scale distributed energy generations. Moreover, there is little or no consumer participation and no end-to-end communications.

 

Future prospects

An in depth re-engineering of transmission and distribution networks is required to tackle environmental challenges, European internal market developments, competitiveness and security considerations. The networks need to become "smarter".

Electricity grids of the future will be smart in several ways:

  • Firstly, they will allow the consumer to take an active role in the consumption and supply of electricity. Demand management will become an indirect source of generation and savings are rewarded.
  • Secondly, the new system will offer greater efficiency as links will be set up across Europe and beyond to draw on available resources and enable an efficient exchange of energy.
  • In addition, better integration of renewable energy sources will lead to reduction of green house gas emissions.

Two key concepts underpin future electricity grids:

  • Better interconnection of existing networks to create a truly pan-European grid. The bigger the area, the greater the likelihood of being able to balance production and demand.
  • A two-way flow of electricity, which will cover situation when local production (from e.g. individual wind turbines or photovoltaic panels) is not producing enough electricity for local consumption, the main grid provides the necessary supply. In the opposite case, local production could sell the surplus to the main grid.

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