IEEE Power & Energy Magazine - May/June 2020 - 41

throughout the system level and during the long term. CAPEX
and OPEX tradeoffs will be critical for minimizing the total
expenditures of distribution companies that increasingly rely
on operational measures and nonwire solutions, following the
smart grid concept.
Modernizing distribution networks will require strategic short-term investments that must be remunerated.
Future systems will extend beyond the conventional network
infrastructure. For example, following ideas implemented
in other jurisdictions, distribution systems are expected to

become "market platforms," necessitating significant IT
system enhancement (including communication, monitoring, processing, control, and so on). Incentivizing strategic investments for modernizing electricity grids is a major
challenge for regulators. Under the model-firm paradigm,
where remuneration is fixed for four years, and revenue
streams beyond that point remain uncertain (and poorly correlated with real costs), it is difficult to foster strategic investments to reduce longer-term costs and remunerate advanced
and innovative technical solutions. Without the certainty

Number of EVs and Plug-In EVs

800
700
600
500
400
300
200

0

January
April
July
October
January
April
July
October
January
April
July
October
January
April
July
October
January
April
July
October
January
April
July
October
January
April
July
October
January
April
July
October

100

2012

2013

2014

2015

2016

2017

2018

2019

(a)
Number of PV Rooftop Installations

6,000
5,000
4,000
3,000
2,000

0

January
March
May
July
September
November
January
March
May
July
September
November
January
March
May
July
September
November
January
March
May
July
September
November
January
March
May
July
September
November

1,000

2015

2016

2017
(b)

2018

2019

figure 5. The number of (a) EVs and (b) DER connections.
may/june 2020	

ieee power & energy magazine 	

41



IEEE Power & Energy Magazine - May/June 2020

Table of Contents for the Digital Edition of IEEE Power & Energy Magazine - May/June 2020

Contents
IEEE Power & Energy Magazine - May/June 2020 - Cover1
IEEE Power & Energy Magazine - May/June 2020 - Cover2
IEEE Power & Energy Magazine - May/June 2020 - Contents
IEEE Power & Energy Magazine - May/June 2020 - 2
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IEEE Power & Energy Magazine - May/June 2020 - Cover3
IEEE Power & Energy Magazine - May/June 2020 - Cover4
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