A Transactive Energy Future:
The Inevitable Rise of Economic-
based Grid Control
suggests the future
power grid will be
points of supply
information and transact
with one another to
support grid reliability.
BY JENNIFER DELONY, Associate Editor
Every day, the number of new power generators from renewable resources joining the world’s collective electricity grid
steadily goes up. Growing at an equal pace are the people
working to keep the balance between supply and demand on
that collective grid. More and more, they are turning to an
intelligent and interactive networked system based on economics and market mechanisms where transactions are used
to manage the grid and ensure reliability and effciency.
Companies, utilities, transmission operators, balancing
authorities, government agencies and standards entities are
coming together to defne, simulate and demonstrate that
method of transaction-based control under what they call
transactive energy (TE) systems. Those systems are not per-
vasive in the market by any means, but it is clear that many
people see them as an inevitable and critical part of the
future power grid.
A Million Points of Control
Shawn Chandler, a director in Navigant’s
Global Energy practice, thinks about power
generators as points of control.
In the past, he said, most utilities had to
manage 10 to 20 power plants — 10 to 20
points of control on the supply side, compared to millions of points of control on the
demand side. Now, the number of points
of control on the supply side for any given
utility is increasing exponentially.
Solar O&M provider BELECTRIC’s Control
Center with an integrated real-time SCADA and
visibility of solar power plants around Europe.