Local Energy Markets Alliance launched

The Local Energy Markets Alliance (LEMA) has been established to address the challenges facing the formation of smart local energy systems in Europe.

The Alliance, an initiative of London-based digitalisation professional services company Gemserv and local energy market solution provider Traxis Group, is planned to bring together market players to develop commercial solutions for local energy markets and to scale the delivery of consumer-facing local energy systems.

While there have been multiple local energy system pilots and demonstrators, there are few fully commercial developments and the aim is to redress this, with the challenge mainly commercial rather than technical.

As such the proposal is to address common market barriers and to find collaborative business solutions, which ultimately should accelerate electrification and decarbonisation.

Have you read?
The clean energy transition is just getting started with much more to come in 2024
Why utilities need to optimise customer-centric energy management models

“Decarbonising demand is a really big energy challenge. Local energy systems will become an essential part of it so we are delighted to be working with Gemserv to initiate this really important enterprise,” says Simon Anderson, a co-founder of LEMA and CEO of Traxis Group.

Miriam Atkin, the other co-founder of LEMA and Executive Director at Gemserv, likewise expresses her delight to be working to support the development of commercially sustainable solutions through the Alliance.

“Local energy systems are a critical enabler to achieving net zero but they must be commercially viable.”

The basis for the Alliance is that the delivery of the many elements for consumers, such as the electrification of heating and transport and maximisation of rooftop solar, is highly fragmented with multiple parties and tends to lack leadership.

A programme of work has been developed for the Alliance, which is focussed initially on the creation of a network through stakeholder engagement and in the current year to identify common market barriers and develop business concepts and models to minimise their impact.

In 2025 the intention is to develop and approve common structures and contractual frameworks and thereafter to build on the experience gained to optimise delivery and support new development business cases.

The Alliance is also envisaged as an opportunity for businesses to commercialise their innovations through connecting with organisations with complementary capabilities.