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Smart Grid Gotland A full-scale smart grid demonstration Ă˜ystein Løseth, President and CEO, Vattenfall AB London 2011-01-20


Driving forces towards a change of electricity distribution and use • Today’s grid designed in the 20th century - Large-scale centralized generation - Unidirectional power flow - Dimensioned for peak conditions • Country/region specific power system planning and expansion - Weak interconnections - Country/region specific market rules • No considerable changes in technology and design of the system for many decades • A growing economy - a growing demand for electricity - Optimized capital investment by all market actors • European goals on security of supply - Necessary to make use of European primary fuels • 20/20/20 to 2020 targets of Europe • Ageing assets - A large part of the European network assets are 30-50 years old • Technology development - Novel technology mainly due to green field exploitations in e.g. China

Confidentiality class: None (C1)

Conventional grid

Future smart grid


A Smarter Grid supporting a “Smarter Market� is necessary to meet the challenges Smart Grid shall be regarded as an enabler for a more dynamic electricity market allowing for: Integration of renewables on all levels of the electricity system Enabling customer participation on the electricity market Allow for new use of electricity e.g. E-mobility or heat pumps Allow for new actors on the market e.g. Virtual power plants

Confidentiality class: None (C1)


Smart Grid Gotland – A unique Smart Grid system demonstration Smart Grid Gotland is a unique full scale integrated demonstration and R&D-project to demonstrate a future distribution system on Gotland. Main features • Reliability in a Smart Grid context – market and technical aspects tested and verified • Excellent test site: -

100% smart meters installed Large share of existing wind power Large amount of additional wind planned Upgrading of existing grid

• Partnership with suppliers and academia to integrate state of the art knowledge and new technology • Commercial test of extended customer participation on the electricity market • New use of electricity – integration of electric vehicles • Well in line with European climate initiatives • Scale model of Sweden 2030, with >30% wind, >15% e-mobility Confidentiality class: None (C1)

Gotland • 60 0000 inhabitants •Island off Sweden's eastern coast •Area 3184 km2


Smart grids is part of our Sustainable Cities program Develop smarter energy solutions with improved customer value, focusing on the entire energy system

More Efficient Lightning

Energy Efficiency Services

Sustainable Energy Supply New E-mobility Solutions

Buildings with Solar S Power and Heat o l a r

More Decentralised G eneration/ District heating

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Confidentiality class: None (C1)

Smart Grids and Visualization


Summary and succes factors Summary • Smart Grids is necessary to meet the European sustainability and security of supply targets • Smart Grids requires large scale demonstration to meet customer and society demands • Vattenfall’s contribution is the Gotland demonstration Success factors - areas of co-operation between industry and politics • Enabling of more commercial cooperation's between companies and between private och public sector to ensure energy efficient solutions and systems • Clear division of responsibility for the future energy infrastructure - how to finance investments in regulated a business? • Learn from experiences from other industries that have gone through rapid modernisation • Framework for co-operation needed with in Europe to exchange knowledge and experience • Customer and market involvement - how to changes people's behavior? Confidentiality class: None (C1)


Smart Grid Gotland