Europe’s TSOs set out vision roadmap to 2025

ENTSO-E has set out a strategic roadmap for the development of Europe’s electricity system over the next two years.

The roadmap is built around two pillars that are considered key, i.e. developing a power system fit for a carbon-neutral Europe while at the same time managing a secure and efficient power system for the region.

Or put another way this corresponds to ‘preparing the future’ while ‘managing the present’, to which the TSOs commit, stating: “This will require the continuous deployment of operational excellence, implementing efficient and operational market mechanisms, increasing regional coordination, and making the best use of information and communication technologies.”

Developing the power system

Starting with the power system for a carbon-neutral Europe pillar, the roadmap identifies five main areas where change is necessary to deliver on that.

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● Energy system flexibility: An accurate assessment of flexibility needs and potential is needed at national and European levels, as is a comprehensive ‘system of systems’ approach involving TSOs, DSOs and other sectors such as hydrogen to coordinate the deployment and use of the most efficient flexibility resources.

● Operating future grids: In a ‘system of systems’ approach, new approaches are needed, including enhanced real-time grid visibility, forecasting capabilities and controllability. Automation and AI will support operators in handling grid complexity while the electrification of end uses and sector coupling will require new risk-based methodologies, cybersecurity and new concepts for the coordination of operators.

● Infrastructure and investments: To accelerate the delivery of grid infrastructure both onshore and offshore coordinated planning will be required across the ‘system of systems’, as will massive investments in the transmission networks. Other requirements include reforming regulatory frameworks, ensuring fit-for-purpose financing mechanisms, developing seamless supply chains to overcome bottlenecks and enhancing engagement with local communities.

● Market design: Electricity markets will need to evolve, with strong long-term signals to enable investments in renewables, flexibility and grids, short-term markets to encourage efficient resource use and carbon-neutral flexibility and with incentives aligned with system capabilities and security, while other important aspects are transparency tools for a carbon-neutral system and potential changes to transmission tariff principles.

● Innovation development and uptake: While the TSOs are making breakthroughs in new strategic technologies by implementing ENTSO-E’s RD&I roadmap and the deployment of solutions, new measures regarding the adaptation of regulatory frameworks, the de-risking of first-of-a-kind projects, demonstrators and corresponding stakeholder engagement should be pursued.

Managing the power system

In the secure and efficient power system pillar, four main areas are identified in which the TSOs, with support and coordination by ENTSO-E, are playing multiple roles.

● Operational excellence, with support to TSOs to deliver efficient, resilient and secure system operation.

● Market development and operation, with the implementation of market mechanisms to efficiently operate the system and optimise social welfare for consumers.

● Regional coordination of national and regional actors.

● Information and communication technology, with support for the design and development of the ICT tools to manage the power system.

The roadmap document concludes that while planning and delivering the future power system, Europe needs to continue to rely on a strong, secure and efficient electricity supply.

“To ensure the balance between these two dimensions, ENTSO-E will need to manage intertwined and sometimes challenging approaches or activities while fulfilling these dual strategic goals. The strategic roadmap will focus its activities, resources and the stakeholder engagement of ENTSO-E on [these] twofold objectives.”