Policy Recommendations to Implement and/or Overcome Barriers and Enable TSO-ISO Integration : D6.3

Siface, Dario and Migliavacca, Gianluigi and Rossi, Marco and Kockar, Ivana and Morch, Andrei and Gerard, Helena and Vardanyan, Yelena and Koponen, Pekka (2019) Policy Recommendations to Implement and/or Overcome Barriers and Enable TSO-ISO Integration : D6.3. SmartNet, [Glasgow].

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Abstract

The present document gathers the most important guidelines deriving from the results and the experience of the SmartNet project, and thus is strongly dependent on the project assumptions (e.g. no clear separation between congestion management costs and balancing costs; the scenarios at the 2030 target year for the three studied countries; etc.). All the TSO-DSO coordination schemes that have been assessed within the SmartNet project imagine levels of DSO’s involvement in the System Operation and so of DSO’s responsibility by far larger than what happens today. Thus significant investments in monitoring and control systems are required, as well as a further development of expertise on DSO side (especially for what concerns smaller DSO). Additionally, the so called “fit-and-forget” reinforcement policy (oversizing of networks in order not to have to deal with network “problems”, mainly congestions, at the operation level) that nowadays is the basis of DN “operation” must be surpassed. These policies, in fact, could not unlikely lead some DSOs to underestimate flexibility as a value. As a consequence, the need to invest in implementing monitoring and control system could be undervalued, mainly during the first years, in which the DN monitoring systems have to be deployed and costs would probably overcome benefits.