In the realm of energy research, a team from the Swiss Federal Institute of Technology in Lausanne (EPFL) has been delving into the potential impacts of Local Electricity Communities (CELs) in Switzerland. These communities, set to become operational in 2026, will allow producers, consumers, and storage operators within the same municipality to exchange electricity over the public grid with reduced distribution tariffs. The researchers, Gerard Marias Gonzalez, Alejandro Pena-Bello, Jérémy Dumoulin, and Nicolas Wyrsch, have published their findings in a techno-economic case study focused on a rural Swiss setting.
The study explores the implications of CELs for both participants and local distribution system operators (DSOs). The findings suggest that CELs can boost the local use of renewable energy, particularly solar power, and offer modest financial benefits. The outcomes are strongly influenced by the community’s size, composition, and the design of the tariff system. Larger and more diverse communities tend to achieve better internal matching of supply and demand. However, the overall incentive remains limited as the tariff reduction applies only to distribution charges.
The research indicates that internal energy exchange is maximized when local solar generation covers approximately one to two times the community’s load. For DSOs, CELs can reduce grid imports by 27-46%, which in turn leads to a significant reduction in distribution tariff revenues (17-36%). This reduction necessitates regulatory adaptation to ensure the financial stability of DSOs. The study also shows that while centralized batteries provide economic value to members, their technical impact on the grid is modest due to their small, economically optimized capacity. Larger centralized storage can reduce transformer peak power but may increase line loading, suggesting a need for careful sizing and placement.
The practical applications for the energy sector are clear. CELs can enhance the integration of renewable energy sources and offer financial benefits to participants. However, the study highlights the need for careful planning and regulatory adaptation to maximize the benefits and mitigate potential drawbacks. The research was published in the journal Applied Energy, providing a valuable contribution to the ongoing discussion about the future of local energy communities in Switzerland and beyond.
This article is based on research available at arXiv.