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Energy is becoming more distributed and localised. We’re seeing the emergence of local energy communities, Microgrids and a whole plethora of potentially disruptive business models. To some this represents a challenge to their core business, to others it promises exciting new opportunities.
Today’s Distribution System Operators may fear the threat of grid defection. Even if there remain substantial income generating assets, these may become under-utilised and incrementally less profitable as new entrants cherry-pick the more profitable parts.
In a previous blog post, fellow Analyst Tom Jamieson introduced the concept of using blockchain technology in the energy sector. In this post we’ll introduce how a particular use case of the technology, peer-to-peer (P2P) trading, could have a positive impact on microgrids.
Microgrids, as discussed previously in a Delta-ee blog post and webinar, are fast becoming a key topic of commercial relevance in many global markets. This is due to an increasingly distributed energy system, rapidly falling energy storage costs, and a growing demand for flexibility and energy autonomy among other aspects.
Microgrids are coming.
This week, Wärtsilä announced the acquisition of Greensmith Energy, the US-based system integrator and software company which specialises in developing grid-scale energy storage solutions. This move marks the latest milestone for Wärtsilä as they continue to diversify into hybrid power solutions (and microgrids), including the integration of solar PV and energy storage alongside their traditional engine-based power generation offerings. The acquisition is expected to be completed in July 2017.
In April last year, Wärtsilä announced that it would enter the solar energy business by offering utility-scale solar photovoltaic (PV) solutions. The new solutions included solar PV power plants of 10 MWe and above, and hybrid power plants comprising solar PV installations and internal combustion engines. Both solutions are offered with full engineering, procurement and construction (EPC) capability. Wärtsilä has previously set a target of delivering 200 MWe of solar installations by 2018. It’s not clear whether this target will be revised following the acquisition. What is clear, however, is that Wärtsilä is serious about hybrids and moving outside their comfort zone of manufacturing and selling engines.
With an increasingly distributed energy system, rapidly falling energy storage costs, and a growing demand for flexibility and energy autonomy, microgrids are fast becoming a key topic of commercial relevance in many global markets. In short, microgrids are one of the hottest topics in the industry right now - and key players don’t want to be left out.
This post reflects on the findings that emerged from the three polls we conducted during our recent 'Microgrids are coming - how can you benefit?' webinar. With the highest number of registrants a Delta-ee webinar has ever had, this in itself says a lot about the level of interest surrounding the topic. If you missed the webinar, it is available to watch again on YouTube here.
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