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The REFORMERS Project: Balancing centralised and decentralised power systems

The REFORMERS Project: Balancing centralised and decentralised power systems

Guest/partner contributor
Posted on: 29 October 2024

The REFORMERS project is deploying the energy valley concept while also focusing on the integration of other renewable energy carriers, such as hydrogen, biomethane and heat.

The REFORMERS project is deploying the energy valley concept while also focusing on the integration of other renewable energy carriers, such as hydrogen, biomethane and heat.

The EU-funded project has adopted the approach of combining social, legal and business perspectives to serve as a blueprint for other regions across Europe in the coming decade.

At the beginning of the 20th century in Europe, energy systems were inherently distributed although energy was needed, there was no widespread grid to distribute it efficiently to all points of delivery. Today, energy valleys are implemented within an already highly-interconnected system crossing national borders, which would allow member states to fully deploy their potential.

There are two main factors pulling towards the implementation of the energy valley concept:

Firstly, climate change is becoming increasingly evident, even to the most ardent deniers. This urgency demands more renewable and decentralised energy assets.

Secondly, the dependence on gas has become a critical issue, especially following recent geopolitical events.

Additionally, the nuclear phase-out, which is now at a tipping point, contrasts with decentralised energy sources. Nuclear power is highly centralised, while renewable assets are decentralised.

Find out more about:
EU-Funded energy projects
Creating a self-sufficient energy valley: The REFORMERS Project in Alkmaar
Crete Valley: Revolutionising renewable energy for the Island of Crete

REFORMERS Project Coordinator Thierry Coosemans is confident that centralised and decentralised systems will not be opposed in the future, on the contrary, only a balanced coexistence would properly address both grid congestion - which occurs when the demand for electricity in a specific area exceeds the capacity of the power grid - and climate targets:

“The future will involve a combination of both centralised and decentralised systems, with Energy Valleys playing a crucial role in engaging stakeholders—companies, citizens, and local governments," says Coosemans.

"These valleys also help mobilise capital, which is essential for driving these projects forward. In the future, we’ll likely see larger renewable installations, such as extensive solar farms and offshore wind projects, combined with energy valleys.

"While it may not be realistic for every region to become energy positive, these initiatives will encourage shorter supply chains and increase system resilience. Distributed assets will create a more robust energy network, ensuring that if one part fails, others can compensate.

"Therefore, it's crucial to continue supporting these projects, even though they will operate alongside centralised systems.”

The key challenge is how to combine everything effectively, which requires both operational intelligence and business intelligence.

From a managerial perspective, it's not just about understanding the technical aspects as engineers, but also about building a viable and just business model. Everyone involved needs to benefit, which means we have to make the system inclusive and sustainable.

This requires a lot of intelligence to manage the complex supply chain without adding unnecessary costs (e.g. the low margins of EV chargers). It's difficult to create a profitable business case in such tightly regulated and competitive markets.

In an energy valley, where there are multiple layers and actors involved, ensuring each player has a role in the value chain is going to be a significant challenge. That's why what the REFORMERS project is doing now - exploring and refining these systems.

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