Current challenges for efficient electricity grids

Abstract

The comprehensive liberalisation of the electricity market at the end of the last century has initiated a dynamic development. The politically determined disjunction of the network operation from generation, commerce and distribution which broke open the value added chain concerning the business organisation is to induce competition and consequently lower prices. Thus, besides a secure electricity supply, profitability, efficiency, quality and environmental aspects constitute present aims and have led to an enormous increase of complexity in the power supply. Furthermore, the imponderability and uncertainty of competition processes in a liberated market aggravate prognoses for future investment decisions. Not least the anymore rising electricity demand, the emerging of a single European power market as well as technically pushed changes in the production structure, due to the emergence of alternative forms of power generation such as wind or solar energy, biomass energy or fuel cells, account for electric networks which afford complex planning and regulation mechanisms. This article gives a survey of various requirements posed on electricity networks and concludes with a short description of solution approaches to safeguard a cost-saving and secured future electricity supply.