The key components of LV and MV distribution grids include transformers, switchgear, protection
devices, and conductors. These components contribute to the supply and quality of electrical
needs for customers by facilitating the distribution of electricity from the transmission grid to end-
users, ensuring voltage levels are appropriate for safe and efficient operation, and providing
reliable power supply to meet customer demand 60.
The purpose of planning in the context of distribution grids is to ensure the efficient, reliable, and
cost-effective operation of the grid. Factors that need to be considered during the planning
process include load (production) power evolution, topological optimization, green-field planning,
grid mutation, integration of operation into long-term planning, and the use of flexibilities to defer
or avoid investments
Long-term planning in the context of power systems involves envisioning and preparing for the
future, typically over a span of 30-40 years. It aims to anticipate and address technical, economic,
and operational challenges by considering factors such as load growth, power and load curves,
infrastructure incident rates, and operational network schemes. Long-term planning involves
making strategic decisions to ensure the continuity and quality of service, optimize investments,
and adapt to evolving technologies and uncertainties in the energy landscape. It may also involve
the integration of multiple energy sectors and the use of flexible approaches to defer or avoid
investments while ensuring the reliability and sustainability of the power system.
CAPEX /OPEX/COEST DISCOUNTED
« Value of time »= preference for the present
(euro today is worth more than a euro tomorrow
when invested)
« Value of risk » = uncertainty of events leading to
the loss of money after a financial or economic
operation
Traditional cost-benefit analysis still appropriate for decision-
making? The PDF file suggests that traditional cost-benefit
analysis (CBA) is still appropriate for decision-making in power
systems. However, the file also notes that CBA needs to be
Artificial intelligence: a buzz word or a real aid? The PDF file suggests that adapted to account for uncertainties, such as those arising from
artificial intelligence (AI) can be a real aid in long-term planning and the integration of renewable energy sources and the electrification
decision-making for power systems. AI can help in predicting electricity of transport. The file suggests that probabilistic constraint analysis
demand, optimizing energy storage, and improving grid stability. However, and real options analysis can be used to complement CBA.
the file also notes that AI is not a panacea and that it requires careful
consideration of ethical, legal, and social implications.
Technological breakthroughs under research to help decarbonize power
systems include:
1. Energy Storage Technologies: Advancements in energy storage
technologies, such as grid-scale batteries, flow batteries, and advanced
compressed air energy storage, are being researched to enable the
integration of intermittent renewable energy sources and to provide grid
stability and flexibility.
2. Smart Grid Technologies: Research is focused on developing smart grid
technologies, including advanced metering infrastructure, distribution
automation, and demand response systems, to optimize the integration of
renewable energy, improve grid efficiency, and enable real-time
monitoring and control of the power system.
The "minimal" section refers to the minimum amount of investment required •Grid investments: DSOs will have to develop and expand their grid to
to meet the technical and operational requirements of the power system. accommodate the increasing use of distribution grids, the bi-directional
This approach focuses on minimizing the initial capital expenditures operation of those grids, and the integration of new types of loads and
(CAPEX) and may not take into account the long-term costs of operating generation sources. The FSR estimates that the investment needs for
and maintaining the infrastructure. The "minimal" section approach is often DSOs in Europe could range from €375 billion to €425 billion by 20302.
used in situations where there are limited financial resources or where the •Flexibility management: DSOs will have to unlock and manage flexibility,
power system is in a weak or rural area. which is the ability of the electricity system to adapt to changes in supply
On the other hand, the "economic" section refers to the section of and demand. Flexibility can be provided by various resources, such as
infrastructure that minimizes the total cost of ownership over the lifetime of demand response, energy storage, distributed generation, and smart grid
the infrastructure. This approach takes into account both the initial capital technologies. The FSR suggests that DSOs should have access to
expenditures (CAPEX) and the long-term operational expenditures flexibility markets and platforms, and be able to procure flexibility services
(OPEX), such as maintenance costs, energy losses, and reliability costs. from different providers2.
The "economic" section approach aims to optimize the investment decision •Coordination with TSOs and other sectors: DSOs will have to increase
by considering the trade-offs between the initial costs and the long-term coordination with Transmission System Operators (TSOs), which are
costs of the infrastructure. responsible for the high-voltage transmission grid, as well as with other
sectors, such as transport, heating, and cooling. Coordination can enhance
the efficiency and reliability of the electricity system, as well as the
integration of renewable energy sources. The FSR proposes that DSOs
and TSOs should cooperate on network planning, congestion
management, data exchange, and innovation2.
Technological breakthroughs under research to help decarbonize power
systems
5. Electrification of Transportation: Technological advancements in electric
vehicle (EV) charging infrastructure, vehicle-to-grid (V2G) technologies,
and smart charging solutions are being researched to support the
decarbonization of the transportation sector and to enable the integration of
EVs as distributed energy resources
