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New European rules are being developed to shape electricity market design in a way that improves TSO- DSO coordination, makes efficient use of distribution-connected resources, and empowers the smallest network users. This deliverable combines findings and results from INTERRFACE research on demand-side flexibility and interoperability and data access and the INTERRFACE demonstration pilots to identify the need for new European rules and make proposals for their adoption. This project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement No 824330

Report collection of the stakeholders participation in dissemination activities such as workshops, events and conferences.

This deliverable consists of an introduction and two main parts. Each part consists of two sections:Data exchange and interoperability and Demand-side flexibility. The two main topics of this interim deliverable, data exchange and interoperability and Demand-Side Flexibility (DSF), were identified as relevant research domains in the regulatory gap analysis performed in INTERRFACE Deliverable D2.4 Completed Regulatory Framework (Schittekatte et al. 2019).1 These two topics have been listed as European priority legislations. The relevance of the network code on Demand-Side Flexibility (DSF) has been confirmed in the priority list for new network codes for 2020-2023 published on 14 October 2020 by the European Commission. The implementing act on interoperability is described as a priority action in the European Energy System Integration Strategy published in July 2020 by the European Commission. Please note that our work around flexibility market design as part of D2.4 is also very relevant with regards to the planned new network code on DSF. We chose not to include that research in this deliverable as it is already published as part of D2.4 but we plan to integrate it, possibly including some updates, in the final deliverable of T9.4. The research results have a two-fold purpose. First, the research results feed into the ongoing discussions at national and European level around the new European legislations. Second, the research results are of direct use for the project partners who are involved in the INTERRFACE demonstrators. This project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement No 824330

Interoperability in the context of smart electricity metering is high on the European policy agenda but its essence has been challenging to capture. In this paper, we look at experiences in other ecosystems (electromobility and buildings), other sectors (healthcare and public administration) and at the national level (the Netherlands and the UK). We show that the definition of interoperability depends on the context, that there are common solutions to different issues across sectors and that cross-sectoral factors must be increasingly considered. We recommend adopting a broader view in smart metering that goes beyond the interoperability of devices, considering solutions that have worked in other sectors and exploiting synergies across sectors. Our analysis of experiences provides a comparison that can help to move the debate at the EU level forward. We acknowledge financial support from the European Union’s Horizon 2020 INTERRFACE project (grant agreement No 824330).

The digitalization of the electricity infrastructure is transforming the power industry and enabling its decarbonization and decentralization. In the electricity sector, digitalization is not a novelty but a process that has come in successive waves and whose implications go beyond technological change. Digitalization started at the level of transmission networks and large generation assets. By increasing the availability and usability of data on the status of the electricity network, it enabled more efficient and secure system operation. It also supported the creation of competitive wholesale markets and their integration at the regional level. More recently, digitalization has expanded its outreach to cover distribution networks and consumers’ premises, allowing a reduction in costs and an improvement in quality of service. It has also laid the basis for the establishment of innovative retail markets which empower final customers and provide opportunities for new entrants, while challenging existing approaches to sector regulation

The EU network codes and guidelines are a detailed set of rules pushing for the harmonisation of national electricity markets and regulations. A total of eight network codes and guidelines entered into force by the end of 2017: three grid connection codes (RfG NC, DC NC and HVDC NC), three market codes (FCA GL, CACM GL and EB GL), and two operation codes (SO GL and ER NC). The major part of this text covers the market codes. The reader is guided through the sequence of electricity markets in place in the EU: forward markets, the day-ahead market, the intraday market and finally the balancing markets. The establishment of these different markets in a national context is discussed and their integration. Additionally, also two connection codes (RfG NC and DC NC) are discussed; the scope of theses codes is described and technical requirements are clarified. Where relevant, the link between the system operation guideline (SO GL) and the market or connection codes is made. In each section, basic market design or more technical concepts are explained, we highlight what is in the codes, and we also refer to some of the relevant academic literature. This report is an updated version of ‘’Meeus, L., & Schittekatte, T. (2018). The EU electricity network codes. FSR Technical report. February 2018.’’

A multitude of articles in the Clean Energy Package (CEP) Directive on common rules for the internal market for electricity (e-Directive) guide Member States (MS) to innovate in new domains related to the electricity system.2 In short, these articles set principles lining out the boundaries for the implementation of national regulatory frameworks. At the same time, these same new domains fall within the scope of network code areas identified in the CEP Regulation on the internal market for electricity (e-Regulation).3 More precisely, in Art. 59 of the e-Regulation areas are described for which binding Commission Regulations can be developed. Some of the network code areas in Art. 59 were already described in the Third Energy Package, which preceded the CEP, and lay at the basis of eight network codes and guidelines which are currently in force. The new e-Regulation added some new network code areas and amended some existing ones. The general idea is that innovation with regulation at MS-level, triggered by the e-Directive, can in the longer term serve for inspiration for new network codes or guidelines at EU-level or for amendments of existing ones. This project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement No 824330

Smart Energy Systems sind Systems of Systems wo die beteiligten smarten Systemedirekt und indirekt sowohl untereinander als auch mit der Außenwelt interagieren. Damit dies möglichist, müssen die vernetzten Systeme auch interoperabel sein. Wenn alle Systeme die Kommunikationgleichermaßen implementieren, dann ist Interoperabilität zumindest möglich. In der Praxis ist dasnicht immer der Fall. Das Forschungsprojekt "Integrating the Energy System (IES) Austria"[www.iesaustria.at] hat sich zum Ziel gesetzt den erfolgreichen Prozess des Konsortiums"Integrating the Healthcare Enterprise (IHE)" [www.ihe.net] in den Energiesektor zu übertragen unddort zu etablieren. Interoperable Systeme sind nachhaltiger und flexibler einsetzbar, und dieTransparenz die mit Integrationsprofilen erreicht wird ermöglicht z.B. Nischenprodukte die ohneInteroperabilität nicht wirtschaftlich wären. In diesem Beitrag wird der gesamte Prozess zumErreichen interoperabler Energiesysteme im Detail dargestellt. Im Zentrum stehen dabei die Integrationsprofil. Standards werden durch diese nicht ersetzt, nur ihre Anwendung homogenisiert.&nbsp

In this report we focus on the fundamentals of energy and climate policy as reformulated in the EU Green Deal. The 2022 edition includes updates following the publication of the Fit for 55 Package and the EU Hydrogen and Decarbonised Gas Markets Package. The reader is guided through the landscape of EU climate and energy policy. Starting with the big picture of the foundations of energy and climate policy, we then move to discussing in more detail European climate policy, security of supply and energy networks. We continue with energy wholesale and retail markets, and finish with a closer look at energy innovation. Each chapter is divided into several sections, aiming to give the reader a broad overview of the areas of climate and energy policy that are impacted by the EU Green Deal. The references at the end of each section serve as suggestions for further reading on each topic. -- Introduction to this report 1. The big picture 1.1 EU energy policy: from 3 pillars to 5 dimensions and 8 areas 1.2 EU treaties, institutions and legislation 1.3 Solidarity and subsidiarity 1.4 EU agencies and organisations 1.5 Energy taxation 2. EU climate policy 2.1 International climate agreements 2.2 The EU Emission Trading System (EU ETS) 2.3 Carbon border adjustment mechanisms and the World Trade Organization 2.4 Methane emissions 2.5 Renewable energy policy 2.6 Energy efficiency policy 3. EU security of supply policy 3.1 Security of supply for oil, natural gas and electricity 3.2 Resource adequacy and capacity mechanisms 3.3 Planning future networks 3.4 Road transport and (electro) mobility infrastructure 4. EU energy markets 4.1 Electricity wholesale markets 4.2 Gas wholesale markets 4.2 Retail markets and the new deal 4.4 Just energy transition and energy poverty 5. EU energy innovation 5.1 Smart city initiatives 5.2 The European Strategic Energy Technology Plan 5.3 Digital transformation of the energy sector 5.4 Clean molecules 5.5 Hydrogen in the EU Green Deal