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Flexibility coming from consumers in residential and service sectors has received significant attention to deal with uncertainty and variability of renewable energy sources. Since these consumers are too small individually to participate in the electricity markets, their assets can be pooled by an aggregator. The aggregator can implement business models by trading flexibility obtained from these consumers’ assets in different electricity markets. However, the aggregator and the consumers are only motivated to implement a business model, if it is economically feasible. The economic feasibility of a business model depends on (1) financial aspects: how much profit the aggregator makes, and how much money the consumers save, and (2) operational aspects: how the consumers’ assets are operated to increase the financial aspects. This paper aims to provide insights in these operational and financial aspects of the aggregator's business models in residential and service sectors. For this purpose, a literature review is conducted, and a framework is presented to analyze the selected papers on these operational and financial aspects. Based on this analysis, different strategies for the aggregator to implement business models are determined. Moreover, knowledge gaps are identified and several recommendations for future research are provided.

The energy sector provides fuel for much of everyday life, particularly economically and socially. Fighting against the COVID-19 pandemic, a well-functioning and resilient energy sector is vital for maintaining the operation of critical infrastructures, including, most importantly, the health sector, and timely economic recovery. Notwithstanding its importance in everyday life and crises, the energy sector itself is currently in a complex and far-reaching transformation to combat climate change whilst supporting the transition to a low-carbon economy and society, mainly through the development of variable renewable energy sources (RES) such as wind and solar photovoltaics. This paper highlights the need for energy resilience as countries face the triple challenge of the COVID-19 health crisis, the consequent economic crisis, and the climate crisis. Focusing on Europe, it is advanced here that with the ability to balance fluctuating electricity generation and demand, flexibility allows the energy sector to utilise low-carbon RES reliably, ensuring a more resilient and sustainable energy future. This paper derives five urgent policy recommendations for Europe that address possible impacts of COVID-19 on the economic and societal prerequisites for flexibility in energy systems.