Tracking report
Tracking Energy Integration
Part of Tracking Clean Energy Progress
Smart grids
Smart grid investments still represent a small share of all investment in network infrastructure and despite the initial enthusiastic response to smart grids, many signs now point to a slowdown.
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Smart grids comprise a broad mix of technologies to modernise electricity networks, extending from the end user to distribution and transmission.
Not only can better technologies for monitoring, control and automation stimulate the development of new business models, they can unlock system-wide benefits including reduced outages, shorter response times, deferral of investments to the grids themselves and distributed energy resource integration.
At the end-user level, smart grids can enable demand flexibility and consumer participation in the energy system, including through demand response, electric vehicle (EV) charging and self-produced distributed generation and storage.
Demand flexibility can increase the overall capacity of the system to integrate variable renewables while accelerating the electrification of heating, cooling and industry at a lower cost. Deploying a physical layer of smart-grid infrastructure – underpinned by smart meters – can help unlock these benefits.
Not only can better technologies for monitoring, control and automation stimulate the development of new business models, they can unlock system-wide benefits including reduced outages, shorter response times, deferral of investments to the grids themselves and distributed energy resource integration.
At the end-user level, smart grids can enable demand flexibility and consumer participation in the energy system, including through demand response, electric vehicle (EV) charging and self-produced distributed generation and storage.
Demand flexibility can increase the overall capacity of the system to integrate variable renewables while accelerating the electrification of heating, cooling and industry at a lower cost. Deploying a physical layer of smart-grid infrastructure – underpinned by smart meters – can help unlock these benefits.
Last updated Nov 28, 2019
Key findings
Investment in smart grids by technology area, 2014-2018
OpenDespite the initial enthusiastic response to smart grids, many signs now point to a slowdown
Although smart grid investments rose 10% in 2018, these technologies still represent a small share of all investment in network infrastructure. Furthermore, despite the initial enthusiastic response to smart grids, many signs now point to a slowdown: funding for microgrids and virtual power plants did not expand in 2018, and investments in blockchain technology plummeted. Further efforts are needed to implement regulatory frameworks that recognise and reward investment in new digital technologies and in other ‘non-wire’ alternatives to traditional electricity grid extensions.
Analysis
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How2Guide for Smart Grids in Distribution Networks
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Impact of Smart Grid Technologies on Peak Load to 2050
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Smart Grid - Smart Customer Policy Needs
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Technology Roadmap - Smart Grids
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Modelling Load Shifting Using Electric Vehicles in a Smart Grid Environment
Events
5 Sep 2018
Energy Perspectives on Blockchain (OECD Blockchain Policy Forum)
20 Jun 2018
Systems Integration Side Event
7 Feb 2018
Webinar: Digitalization & Energy
12 Jul 2017
