Plexigrid is proud to collaborate with GEAB, the local electricity grid company, and Ngenic on this innovative project. Our cutting-edge AI-based system, developed in-house, forms the backbone of this revolutionary tariff model.
The growing number of electricity consumers strategically adjusting their energy consumption based on hourly fluctuations in the spot price on electricity exchanges poses a significant challenge for efficient grid management, particularly for network distribution companies. This trend is especially pronounced in the Nordics, known for their high penetration of Distributed Energy Resources (DERs), including solar and wind power.
However, current price signals in these vast electricity areas often lack the granularity needed to reflect the substantial local variations in grid load, regardless of the hourly spot price. This can lead to suboptimal energy usage patterns and strain on the grid.
Plexigrid’s platform addresses this challenge by providing granular insights into local grid conditions, enabling more precise and localized price signals. By harnessing this detailed information, consumers can make even more informed decisions about their energy usage, balancing their personal cost-saving goals with the broader needs of grid stability and efficiency.
In a new project on Gotland run by Energicentrum Gotland, a price model based on a combination of the spot price and the load factor in each grid station in the local electricity grid will be tested.
Plexigrid’s platform leverages real-time price signals, weather data, and historical consumption patterns to generate a daily capacity map for the grid. This map provides a detailed view of the expected load at each node (serving approximately ten customers), enabling precise forecasting of tariffs and optimized resource allocation. Our AI-powered calculations factor in the anticipated impact of price forecasts on customer behavior, ensuring a dynamic and responsive approach to grid management.
Dynamic Tariffs for a Changing Energy Landscape
By 2027, Swedish regulations mandate that all power grid companies adopt power tariffs. However, the design of these tariffs is left to individual companies, often resulting in static pricing models based on monthly peak consumption.
In contrast, the Plexigrid-Ngenic pilot project offers a dynamic tariff model that reflects real-time grid conditions and customer behavior. This approach incentivizes active energy management, benefiting both participating customers and the grid. By reducing the need to oversize the network, this model promises long-term cost reductions for all customers.
Following the initial pilot, Energicentrum Gotland plans to expand the project to include all 1,700 customers in Östergarnlandet. This larger-scale trial aims to produce compelling results that can be shared with other electricity grid companies across Sweden, showcasing a model for dynamic tariffs that aligns with the goals of the energy transition.
By integrating Plexigrid’s grid intelligence with Ngenic’s smart home technology, customers gain a comprehensive solution for optimizing their energy consumption based on real-time, hyper-local price signals.
Plexigrid’s AI-powered platform refines its forecasts every quarter using real-time electricity usage data, ensuring accurate pricing for each unique grid location. This is especially valuable for areas like Gotland, which have distinct energy conditions compared to the rest of Sweden.
Customers can easily monitor their location- and time-specific prices through Ngenic’s user-friendly app, which visually displays price fluctuations based on grid load. The long-term vision is for customers to effortlessly automate their energy usage based on these signals, for example, by charging electric vehicles during periods of low demand and low prices.
This integrated solution offers a new level of control and flexibility for customers, while also providing valuable insights for grid operators to manage demand and ensure stability. It complements or even replaces existing local flex markets, empowering customers to actively participate in the energy transition and contribute to a more sustainable energy future.
The end goal is to use the power grid in a more efficient, smart way. Increasing the utilization rate of the existing network through the insights of Plexigrid’s platform.
As stated by Magnus Jennerholm for Energi.se “The important thing is that we can increase the utilization rate in the electricity grid by optimizing the use. This means that we do not need to expand the electricity network as much as we would otherwise have needed to”.
This pilot project represents a significant step towards a future where grid management is not only responsive to changing demands but also actively contributes to a cleaner and more resilient energy landscape. By embracing cutting-edge technologies like those offered by Plexigrid and Ngenic, Sweden is leading the way in the transition to a smarter, more flexible, and sustainable energy system.
