Smart Local Energy Systems Towards Net Zero: Practice and Implications from the UK

In transition towards net-zero carbon emissions, a high penetration of renewable power generation and electrification of heat and transport at the grid edge will increase total and peak power consumption significantly with greater uncertainties, thus posing serious challenges to electric power systems. Smart local energy systems, which manage distributed energy resources locally with various smart technologies and commercial arrangements, are one of the promising solutions to this problem. This paper provides a comprehensive review and analysis of the practice of local energy systems in the UK in the context of net-zero transition. At the macro level, local conditions, local businesses, profitability, investment and whole electricity system impacts of local energy systems are reviewed. Then, a practical case in North Wales, UK, is analyzed for demonstrating technical, commercial and regulatory arrangements available and needed for setting up a local energy system practice. Implications are summarized for providing a useful reference for developing smart local energy systems within and beyond the UK.