Congestion and capacity management
To meet the Paris Agreement to halve emissions by 2030, our power grids need to manage the steep rise of electrification, renewable energy sources (RES) and distributed energy resources (DER), and rising customer demands. Today’s power grids aren’t ready for these changes at the pace now demanded. Besides increasing system capacity, the largest challenges are in the day-ahead and real-time operations.
DNV’s Industry Insights report (2023), shows, 69% of energy industry professionals indicate that grid infrastructure cannot adequately connect sources of renewable energy to areas of high demand. Grid congestion leads to the inability to connect customers, slows down economic growth and blocks further sustainability. Flexibility in the whole power system is needed to cope with variations and uncertainty in demand, generation and grid constraints.
DNV offers a framework for congestion and capacity management to help DSOs, TSOs, Generation and End-Users to prioritize investments and operations. It provides a large set of proven solutions, which can be prioritized and implemented to deliver the most value to tackle the challenges of the energy transition.
Many stakeholders have already drastically increased their investments. The most successful have clear priorities in their portfolio. DNV’s congestion and capacity management framework is built on our global technical expertise for customers across the grid landscape:
System operators (DNOs or DSOs, TSOs, ISOs)
DNV can provide a congestion quick-scan with asset management, grid operations, market management and regulations. DNV can also provide a clear set of solutions, prioritize and (co) implement these solutions and offer our deep technical expertise.
DNV can provide a congestion assessment to define RES, DER or storage solutions in such a way they can best be connected to the grid. Our framework incorporates the necessary mechanisms to identify economically viable solutions. Additionally, it defines the ideal conditions for connecting these assets to the grid.
Congestion leads to the inability to connect and expand existing connections. DNV offers a focused portfolio of solutions on how to best approach the congestion and capacity constraints in the grid, determining the optimal approach and conditions under which connections can be realized. Our framework can help to define the right incentives for each stakeholder, to help them create different contract forms, such as firm or non-firm agreement. By redefining the business approach a cost-effective business case can be achieved, facilitating connections even in congested areas.
Our congestion and capacity management framework also supports the development of new regulations. Policies need to be rewritten to minimize congestion and capacity limitations, which often takes more time than other stakeholders in the power system would like it to. By drawing upon experiences from other countries and insights gained from existing projects, regulators can actively facilitate the transition from innovative projects to scalable and replicable solutions.
DNV is committed to accelerating the energy transition to meet the goals of the Paris Agreement by 2030.
Get in touch with us to discuss our approach and find out how we can help you.