IEEE Power & Energy Magazine - May/June 2017 - 100

in my view (continued from p. 104)
mature, positive economic value, smart
grid solutions based on experience in european and North American market activities (and supported by the views of
authors in this issue) are the following:
✔ The number of smart options
from trial programs and crosssector innovation (e.g., workforce
productivity, data processing,
and mobile communications) is
large, but each needs careful
design for scalability, support,
and replicability.
✔ leadership from multiple stakeholders with support and necessary groundwork to facilitate rollout
(e.g., policies, codes, assessments,
business cases, etc.) needs the full
application of engineering and
commercial acumen to be deployed
judiciously where the evidence from
the trials directs.
✔ A smart enabling infrastructure
such as new enterprise IT platforms
or smart field operational technol-

ogy devices for ease of integration
of multiple new smart applications
is needed, resulting in lower marginal costs for each smart solution.
✔ Customer-facing processes are required, such as distributed energy
resource (der) interconnection
processes, curtailment modeling
for der operational estimation,
and hosting capacity assessment
tools. Additionally, a greater acknowledgement of customer and
community participation (up front
and ongoing) in smarter, flexible
system operation is needed.
✔ monitoring and evaluating the
ongoing benefits and technical
performance of smart solutions, increasingly looking at through-life,
whole-solution costs and benefits,
must be done. feeding these back
into ongoing, evolutionary innovation and business decision making
will likely yield more value in future
applications by any user.

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✔ Business models to support and ex-

ploit the smart solutions, including
various distribution system operators (dsos) operating models, are
required to address roles, responsibilities, access rights, cost and
benefit allocation, interfaces, and
informational obligations. experience suggests that without comprehensively adapting business models,
significant barriers and disincentives to a BAu rollout are likely.
✔ Commercial models to provide
fair, transparent, market-based,
efficient cost allocation and remuneration for participants and smart
solution/service providers and operators are needed. some commercial models have been an integral
part of trial programs, but BAu
rollout-ready models still seem
scarce even when reregulation is
pushing in this direction.
✔ regulatory support is required to
create the necessary frameworks
for utilities and system stakeholders to roll out the smart solutions,
taking financial incentives, revenue-earning mechanisms and risks
into consideration (e.g., rev in
New York enabling AvANGrId
to build the ANm demo and create
the potential for inclusion in their
distribution system implementation plan regulatory filing).
✔ There must be coordination and
clear lines of authority over smart
solution investment, ownership,
and operational control to deliver
effective and secure system operation across a more complex network and stakeholder landscape
(e.g., transmission system operators, dsos, der operators, retail
suppliers, and aggregators).
There are significant issues in an effective smart-solution BAu rollout, but the
potential value and system stakeholder desire is still very great. The sector needs to
buckle up now for the challenging journey
of making the transition to the smart, flexible system using the solutions emerging
from a broad portfolio of smart grid trial
and demonstration programs.
p&e

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Table of Contents for the Digital Edition of IEEE Power & Energy Magazine - May/June 2017