Transforming the Energy Sector: An Advocacy for System Flexibility by BVES

BVES, the National Association of Energy Storage Systems in Germany, has drafted a compelling document named “Final sprint 2030”. This report outlines a strategic plan the government should act upon in the upcoming legislative term to revolutionize the energy sector. The crucial element of this plan is the “System Flexibility”, a dynamic blend of energy flexibility, resilience, and intelligence. The document outlines the necessarily steps to harness energy storage potential and drive the transformation to renewable energy in a cost-effective and efficient manner.

Herding the Key Suggestions: The Five Point Plan to Energize the System

1.Reduce Red Tape and Prioritize Renewable Energy Installations

Protracted approval processes must not hinder the successful implementation of renewable energy projects across the electricity, heat, and mobility sectors. Moreover, streamlining connections for grid and energy storage, along with digitizing and ensuring their legal safety will fast track the process.

2.Modify Market Design to Accentuate Decentralization & Variability

In this era, renewable energy is decentralized and volatile. It’s imperative that these aspects are reflected in our market design, enabling a regional, dynamic, and automatic trading of energy, capacity and ancillary services. A comprehensive reform of network charges becomes essential here.

3.Focus on Storage in Conjunction with Power Generation Units:

Co-location facilities enhance renewable production while aiding the grid. These facilities ensure proficient use of renewable energy and optimize the employment of grid connections. Efficient grid connection layouts, a reform in electricity accounting, and abolishing remuneration for negative prices are necessary steps here.

4.Augment Freedom for Behind-The-Meter Installations

Generating and utilizing energy behind the grid connection alleviates volatility and lightens the load on electric grids. The customer must be allowed to decide how best to set up and utilize their installation, provided there's no feedback into the grid. Alongside a reform in the charging structure of the network, there needs to be an accelerated rollout of smart meters and a better collective production and usage schemes.

5.Accelerate Sector Coupling

The government must intertwine the regulatory ties of the power sector with those of the heat and mobility sectors. Having a stable CO₂ price trajectory and a reform of network charges would make this transition economically competitive.

The upcoming legislative term is perceived by the BVES as the last window of opportunity to set up the groundwork for a fully renewable power supply by 2035. Any delay would escalate costs and hinder the economic prospects of the renewable energy transition. The storage industry is ready to meet the energy system's flexibility requirements without subsidies, and foster energy system flexibility once regulatory and bureaucratic barriers are finally demolished.