Asset- vs. Service-based Business Models – Where Lies The Future For Utilities?

In Germany, E.on and RWE (innogy) separated their core business units into two different companies and it became inherent that utilities have to change their business strategy to survive in a future distributed energy system. Now, what do the two strategies of Innogy and E.on tell us about the future of the utility business in general? In the following we will present to you different business models that have been introduced by PWC (2014). We will try to show how the current strategies of E.on and Innogy fit into this framework.

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Digital platforms in the energy sector – definition & first applications

Digital platforms are on the rise in many sectors. Currently, the question is raised which role digital platforms could play in the energy sector, especially in distributed systems based on renewable energies.  However, there seems to be no clear understanding of what a platform or a platform market acually is. Therefore, we provide a definition of platforms and platform markets and discuss some potential applications of these in the energy sector.

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Regional Flexibility Markets in Germany - Quota vs. Market Models

Regional flexibility markets are widely discuss to tackle three issues: First, distributed generators and consumption should be able to provide flexibility to network operators. Second, other market parties should get access to flexibility as well to develop new market products and thereby increase the value of distributed generation and reduce the costs of the energy transition. Third, DSOs and TSOs should coordinate their balancing activities. In this post we introduce the current discussion in Germany how to organize regional flexibility provision.

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The Coordination Problem: A key challenge for Smart Grids

Coordination between distributed generation and the network operators is becoming a key issue for the energy transition. With smart grids, the complexity of the coordination issue is increasing. What is the coordination problem, how does it relate to liberalization and why is it becoming a pressing issue for smart grids?  

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