The electricity networks of today look very different from those of a decade ago, and the challenges faced by UK DNOs continue to evolve. As distributed energy resources (DERs), flexibility services and low-carbon technologies have become increasingly common across the network, the questions DNOs need to answer have changed significantly.
As our customers' needs have evolved, so too have the tools required to support them. Today's DNOs require greater visibility, coordination and operational intelligence than ever before, continuing to drive a shift from traditional planning approaches towards more active network management and decision-making.
This blog explores how these changing requirements are shaping the next generation of network operation and planning solutions.
The evolution of DNO needs has been driven in part by Ofgem’s directive on decarbonisation, decentralisation and digitisation. Ofgem has incentivised DNOs to make better use of existing network infrastructure, utilising ‘smart techniques’ rather than the traditional solution of adding capital to the asset base. One of many smart techniques to emerge in those early innovation days was Active Network Management (ANM).
Today, ANM has evolved from an innovative solution for individual connection challenges into one of the core use cases of a Distributed Energy Resource Management System (DERMS). While the scale and complexity of network operation have grown significantly, the underlying objectives remain the same:
The difference today is that these principles are being applied across networks containing thousands of flexible resources, requiring greater visibility, coordination and automation than ever before.
10-15 years ago, the pressing problem for DNOs was insufficient capacity in the distribution network, triggered by rapid growth of wind and solar generation seeking to connect at distribution level. The traditional approach was to rely on reinforcement which was expensive and came with long lead times, delaying connection timescales.
There was a need to frame the problem differently. What if the DNO didn’t consider the worst-case scenario for every connection? What if the DNO could see what was happening in these constrained network areas in real time to help with operating the network?
The solution was to utilise real time monitoring and control techniques to manage the constraint. Instead of reinforcing the network to always accommodate the maximum possible output of every generator, the DNO was able to monitor constrained parts of the network in real time, enable the new generators to connect and actively manage their energy output to keep the network within safe operating limits.
The world's first operational ANM scheme was delivered in Orkney with Scottish and Southern Electricity Networks (SSEN). The ANM solution, still in place today, controls the wind generation on the island to ensure the available capacity is used without exceeding the constraints. This avoided a costly and lengthy reinforcement of the subsea cables from the mainland to Orkney, a reinforcement that is still in progress, expected to be completed by 2028.
With our innovative technology in Orkney proving the operational constraint management benefits, other DNOs looked to see what Strata Grid could do for them. They wanted to explore new control strategies, communications architectures and alternative Principles of Access, moving beyond traditional Last-in First-Off (LIFO) arrangements to schemes such as Pro Rata curtailment. They were also interested in more sophisticated ways of grouping and coordinating distributed energy resources. These requirements drove a series of innovation projects, each extending Strata Grid's capabilities and enabling increasingly intelligent network operation, including NINES Northern Isles New Energy Solutions and Accelerating Renewable Connections (ARC).
In 2019, Ofgem looked to DNOs to take on a broader set of responsibilities and capabilities, moving towards a Distribution System Operator (DSO) model. The DSO has greater responsibility for flexibility, active network management, digitisation and whole system coordination.
A new wave of innovation projects emerged to explore alternatives to generation curtailment.
The flexibility explored in these projects focused on DER scheduling and resource grouping, enabling demand to be shifted in time to create capacity for generation across the wider network. This approach relies on effective forecasting and optimisation to provide visibility of emerging constraints and identify the most efficient actions to address them.
Building on Strata Grid's strong integration capabilities, we worked with our customers to understand the new requirements, connecting utility and market platforms to create an end-to-end flexibility management solution. This provided a seamless process for identifying network constraints, locating and procuring flexibility, scheduling and dispatching resources, and measuring performance. By adopting modern communications architectures and industry-standard interfaces, these projects helped demonstrate how flexibility services could be integrated more efficiently into evolving network and market operations. Some projects include the ENA move towards OpenADR 3.0 and MegaWatt Dispatch, in which Smarter Grid Solutions’ Strata Grid platform was a key technology enabler for the new Megawatt (MW) Dispatch Initiative, delivered by UK Power Networks (UKPN) and the National Energy System Operator (NESO). To deliver this industry-first service, UKPN used the Strata Grid DERMS to dispatch DER located in the Southern Power Networks area.
The explosion in variety and volume of DER presents a coordination challenge for DNOs, but a challenge that can be achieved with the different types of flexibility that we’ve layered into the Strata Grid use cases.
The electrification of heat and transport for example, has hugely increased demand but also gives flexibility through shifting the timing of that load. Flexibility also comes from managing batteries to store energy for periods of high demand. Commercial aggregators that represent many smaller assets also present an interesting way of being able to shift demand.
On our Strata Grid roadmap, we are exploring advances in Low Voltage control to deal with the rise of demand and need for flexibility on LV as well as advanced analytic tools to support DNOs with the investigation and scenario investigations they will need to achieve this.
What began as a series of innovation projects to solve specific network challenges has become a core part of day-to-day network operations for our customers. Functions that were once considered innovative, such as Active Network Management, flexibility coordination and real-time control of distributed resources, are now established use cases delivered through DERMS platforms across electricity networks.
However, the journey is far from over. The underlying objectives remain unchanged: connect customers quickly, maximise the use of existing network capacity and maintain a safe and secure electricity system. What continues to change is the scale and complexity of the challenge.
As the number of distributed energy resources grows and networks become increasingly dynamic, operators will need greater visibility, forecasting, optimisation and automation to manage them effectively. Tomorrow's networks will require the coordination of thousands of flexible resources across multiple technologies, markets and operating timescales.