Energy providers need to look at smart energy grid system

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Energy providers need to look at smart energy grid system

Published: Thu 28 Mar 2019, 9:10 PM

Last updated: Thu 28 Mar 2019, 11:36 PM

As demand for electricity surges across cities in the UAE, experts say that energy providers need to look to a smart energy grid system that improves efficiency and allows for multiple input and output options.
Experts also predict that the shift towards smart cities will play a key role in the evolution of smart lighting solutions, that will increasingly be adopted across homes and offices in the UAE. For this to happen, there has to be a cohesive approach that will need to be adopted by all players working towards the creation of a nationwide smart energy grid.
A recent report by Ventures Onsite forecast the value of the GCC smart grid market to grow to $1.68 billion by 2026, as regional governments step up their deployment of smart grid infrastructure. It further stated that the GCC region could save up to $10 billion in infrastructure investment in the coming year through the use of smart grids. The report also stated that the region will require $152 billion in investment for generation capacity, and a further $108 billion for transmission and distribution (T&D) through 2020.
According to the International Energy Agency, by 2040, one billion households and 11 billion smart appliances could actively participate in interconnected electricity systems. Transactive energy, enabled by distributed energy resources is the major disruptive change that the electricity industry may face in the coming 10 years.
Hanan Darwish, cluster president for the Gulf and Pakistan region at Schneider Electric, noted that smart cities should first invest in operational technology to enhance their existing performance and to integrate into emerging technologies. She further noted that governments across the GCC region are investing in energy efficiency for smart cities to optimise energy costs, foster economic growth, and meet the rising power needs of residents and industries.
Smart city players, she said, need to integrate three layers for success.
"Smart cities need the operational technology foundation of smart panels and transformers, the middle layer of connected devices with edge control self-management and the top layer of real-time insights that can optimise services."
According to a forecast by the Arab Petroleum Investment Corporation, the Middle East and North Africa (Mena) region's power capacity will expand by an average of 6.4 per cent per year by 2022. One of the region's biggest opportunities is in governments launching smart grids between countries to boost cross-border electricity trade. Over the next 25 years, GCC smart grid inter-connectivity could drive $33 billion worth of investments, according to Ventures Onsite.
In the coming years, industry experts see strong potential for smart cities to integrate emerging technologies such as the Internet of Things (IoT), artificial intelligence (AI), machine learning, blockchain, and Big Data analytics to transform the energy sector. For example, IoT can enable smart cities to pinpoint energy loss in a smart grid; AI can allow power providers to predict energy usage peaks; and blockchain can ensure that electricity trade is safe and secure.
Peter Schwarcz, principal engineer at Tungsram Group, also highlighted the increasingly important role of new technologies in creating smart lighting solutions.
"LED lighting is established technology, we know it works; it has proven return on investment and is future-proof so the luminaires can be upgraded," said Schwarcz, adding that smart street lighting can reduce accident rates and increase safety.
In addition, he revealed that smart street lighting can save cities as much as 50 per cent energy, enhance security and boost business potential. He further urged industry players to convert traditional lighting into LED and implement a city-wide rollout of IoT luminaires. Once this is done, IoT luminaires can be rented to partners such as security companies or traffic management firms to install CCTV or traffic monitoring systems.
"The tech is there, but the financial model is not there yet. You cannot necessarily see the return on investment. That is what we have to solve. But connected does pay off," he said. "All stakeholders, manufacturers, municipalities, and users have to be open to discuss experiences to make processes."
Dr Michael Rahaim, principal investigator at Ubiquitous Communications & Networking Lab, explained that the lighting industry is in the midst of an incredible transition from systems with the sole purpose of providing illumination to systems that are at the center of smart spaces.
"The industry has the potential to position itself at the center of the smart spaces revolution as both a component and as a platform. IoT is changing the way we think of adaptive lighting and the industry is primed to benefit from the growing number of smart devices in dense indoor spaces."
Dr Adham Sleiman, vice-president at Booz Allen Hamilton, Mena region, noted that smart grids would be the future of the energy sector, and that blockchain would play a key role in the creating of a decentralised system. This will be increasingly important in light of the UAE and GCC region's plans to increase energy generation from renewable sources such as solar. He noted that by 2030, the GCC aims to install 80GW of renewable energy capacity across the six member states, constituting more than 50 per cent of the region's existing conventional capacity.
"We are moving towards a more decentralised grid, where utilities no longer fully control the system," he said. "Utilities now need to look beyond energy delivery. Blockchain applications can help with enabling P2P energy trading, tracking renewable energy and articulating smart contracts." - rohma@khaleejtimes.com

by

Rohma Sadaqat

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