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Managing Smart in Smart Grid

WP 1A: Macro analysis - Energy and power use and ways to reduce

This report is a deliverable from Work Package 1A (WP1A) in the Manage Smart in Smart Grid (MSiSG) project organized under the RENERGI program and funded by the Norwegian Research Council. The MSiSG project is a common initiative between the Norwegian Centre of Expertise Smart Energy Markets (NCE SEM), Ostfold Research, Institute for Energy Technology (IFE), Tieto, moreCom, Ostfold University College and Statsbygg.


Smart Grid research projects are emerging all over the world. Norway with its hydro power dominated electricity production and comparably low electricity prices have different framework conditions from other countries for utilising Smart Grid technology. It has been said that Norway needs to pursue its own dialect for the Smart Grid. This report could be said to explore what can be the environmental motivations for the Norwegian Smart Grid dialect.


The backdrop for the report is the global drive for reduced climate gas emissions. As shown in the report, how energy is provided and used is worldwide one of the major contributors to climate gas emissions. Smart Grid technology and concepts may contribute to reduce energy use reduction and control power peaks that buildings contribute to, i.e. the household and services sector, which constitutes the sectors that MSiSG project has focused upon.


After briefly introducing the new possibilities that Smart Grid concepts may provide in end consumption, such as Demand-Response and “prosumption”, the report describes energy and power usage as it is today. First the global energy system is described, then we elaborate on the peculiarities of Norwegian energy use and finally describe what types of appliances and purposes for which electricity is used in Norwegian offices and households. This will enable the reader both to see Norwegian energy use in the global context, as well as getting an idea about what energy or electricity budget posts that contributes to both energy and power use. New types of energy use, distributed energy production and power storage are described as well as energy use seen from an area/neighbourhood perspective.


The section named “Reducing energy use and regulating power peaks” sets out from what we call the “traditional energy efficiency” angle. The link between energy efficiency and climate change mitigation is explained, again in a Norwegian context. Then we investigate how Smart Grid concepts could contribute to environmental benefits. Here we also briefly explore alternative ways the Norwegian energy system could be utilised to curb climate changes, so that the advocates of Smart Grid implementation could bear this in mind in their considerations. Some projects that have investigated the potential for power peak clippings and energy savings due to energy use flexibility give the reader an idea of these aspects.


An overview of existing political instruments directed towards the building sector is presented. These instruments do, or could, influence energy reduction or conversion, the rollout of Smart Grid technology and distributed renewable energy. Barriers against the implementation of measures are also discussed.


Finally, in the last section we introduce a functional oriented approach to express and measure energy use. Indicators for energy use should incorporate energy effectiveness rather than energy efficiency, and mirror the function of the building and satisfy a set of requirements by the user. From this the zone concept is introduced. The zone concept focuses on how to optimise the use of different areas in a building at any given time and to define the main functions use of each zone and its related energy.

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