Transportation and Distribution systems are the backbone to support our transition to clean energy system with a global increase of new vectors in Europe (e.g. electricity, green gas, H2) with stable or declining demand on other. The objectives for European TSOs and DSOs remain the same in terms of grid stability, reliability and safety, though with a regulatory cost pressure increase. On top of that, new electricity consumption model, growth in more intermittent and more distributed power production technology, superior integration within European grid and switch from consumers to prosumers increases complexity in flow management that traditional model is not sustainable as it is now.
This stresses out the importance to invent new services, markets, business models (e.g. capacity market, demand response services) and to integrate them in a coordinated way regarding existing business model not to jeopardize service continuity. Through structured Asset Management approach, T&D operators will need to integrate innovative technical architecture and technology in the grid (e.g. energy-efficient technology, storage, interconnexion, 2 way-flow management, micro to mini smart grid, offshore grid). This will also require to adapt grid operations and maintenance, by taking full benefit of automation, digitalization, IA and IoT with highest cybersecurity standards.
This will need to be done with a sustainable financial trajectory for TSOs and DSOs to balance massive investment need and revenue stream, in an evolving regulatory scheme.
This new landscape rises significant business opportunities for industrial Supply Chain, both for historical and new actors, with new relationships and ways of working to build with TSOs/ DSOs.
These elements call for a necessary transformation whose roadmap needs to integrate uncertainties in terms of speed and timing.
This evolution will need to integrate in strong cooperation between European TSOs/DSOs and with Electricity Market Operators, as well as with gas transport and distribution operators.