Unlocking the potential of the smart metering technology: How can regulation level the playing-field for new services in smart grids?
AbstractBy integrating a communications system with the existing power grid, smart grids provide end-to-end connectivity. This enables all entities and components integrated in the electricity supply system to exchange information without knowing the network's structure. New services and applications such as demand response or virtual power plants that will aid to improve and optimize the use of electricity depend on the availability of a smart grid communication network. End-to-end communication networks require that the missing communications gap between consumers' premises and the remaining energy network is bridged by deploying an Advanced Metering Infrastructure (AMI). Given the current liberalized electricity markets' structure incumbent distribution system operators (DSOs) will control the AMI and the meter data. This gives rise to concerns about anti-competitiveness. We argue that leveraging the AMI in a social welfare maximizing way requires non-discriminatory access for all entitled parties to the (1) AMI and the (2) meter data through (3) interoperable standards. We discuss possible regulatory remedies to ensure a level playing-field for innovative services in smart grids and consider implications for research and regulation. --
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by International Telecommunications Society (ITS) in its series 22nd European Regional ITS Conference, Budapest 2011: Innovative ICT Applications - Emerging Regulatory, Economic and Policy Issues with number 52183.
Date of creation: 2011
Date of revision:
Contact details of provider:
Web page: http://www.itseurope.org/
Regulation; Smart Grid; Smart Meter; Antitrust;
Find related papers by JEL classification:
- K21 - Law and Economics - - Regulation and Business Law - - - Antitrust Law
- O31 - Economic Development, Technological Change, and Growth - - Technological Change; Research and Development; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
- L51 - Industrial Organization - - Regulation and Industrial Policy - - - Economics of Regulation
- L94 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Electric Utilities
This paper has been announced in the following NEP Reports:
- NEP-ALL-2011-12-13 (All new papers)
- NEP-ENE-2011-12-13 (Energy Economics)
- NEP-LAW-2011-12-13 (Law & Economics)
- NEP-REG-2011-12-13 (Regulation)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Barbara van Schewick, 2010. "Internet Architecture and Innovation," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262013975, June.
- Langni, Ole & Diekmann, Jochen & Lehr, Ulrike, 2009.
"Advanced mechanisms for the promotion of renewable energy--Models for the future evolution of the German Renewable Energy Act,"
Elsevier, vol. 37(4), pages 1289-1297, April.
- Ole Langniß & Jochen Diekmann & Ulrike Lehr, 2008. "Advanced Mechanisms for the Promotion of Renewable Energy: Models for the Future Evolution of the German Renewable Energy Act," Discussion Papers of DIW Berlin 826, DIW Berlin, German Institute for Economic Research.
- Niesten, Eva, 2010. "Network investments and the integration of distributed generation: Regulatory recommendations for the Dutch electricity industry," Energy Policy, Elsevier, vol. 38(8), pages 4355-4362, August.
- Blankart, Charles B. & Knieps, Günter & Zenhäusern, Patrick, 2007. "Regulation of new markets in telecommunications? Market dynamics and shrinking monopolistic bottlenecks," Discussion Papers 112 [rev.], University of Freiburg, Institute for Transport Economics and Regional Policy.
- Farrell, Joseph & Weiser, Philip J., 2003.
"Modularity, Vertical Integration, and Open Access Policies: Towards a Convergence of Antitrust and Regulation in the Internet Age,"
Competition Policy Center, Working Paper Series
qt5ps3f7p9, Competition Policy Center, Institute for Business and Economic Research, UC Berkeley.
- Joseph Farrell & Philip J. Weiser, 2003. "Modularity, Vertical Integration, and Open Access Policies: Towards A Convergence of Antitrust and Regulation In The Internet Age," Industrial Organization 0303007, EconWPA.
- Farrell, Joseph & Weiser, Philip J., 2003. "Modularity, Vertical Integration, and Open Access Policies: Towards a Convergence of Antitrust and Regulation in the Internet Age," Department of Economics, Working Paper Series qt4dh7q2dd, Department of Economics, Institute for Business and Economic Research, UC Berkeley.
- Jean Tirole, 1988. "The Theory of Industrial Organization," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262200716, June.
- Farrell, Joseph & Saloner, Garth, 1986. "Standardization and variety," Economics Letters, Elsevier, vol. 20(1), pages 71-74.
- Shane Greenstein & Timothy F. Bresnahan, 2001. "special issue: The economic contribution of information technology: Towards comparative and user studies," Journal of Evolutionary Economics, Springer, vol. 11(1), pages 95-118.
- Robert Wilson, 2002. "Architecture of Power Markets," Econometrica, Econometric Society, vol. 70(4), pages 1299-1340, July.
- Cave, Martin & Vogelsang, Ingo, 0. "How access pricing and entry interact," Telecommunications Policy, Elsevier, vol. 27(10-11), pages 717-727, November.
- Brown, Stephen & Pyke, David & Steenhof, Paul, 2010. "Electric vehicles: The role and importance of standards in an emerging market," Energy Policy, Elsevier, vol. 38(7), pages 3797-3806, July.
- W. Kip Viscusi & Joseph E. Harrington & John M. Vernon, 2005. "Economics of Regulation and Antitrust, 4th Edition," MIT Press Books, The MIT Press, edition 4, volume 1, number 026222075x, June.
- Woo, Chi-Keung & Lloyd, Debra & Tishler, Asher, 2003. "Electricity market reform failures: UK, Norway, Alberta and California," Energy Policy, Elsevier, vol. 31(11), pages 1103-1115, September.
- Salinger, Michael A, 1989. "The Meaning of "Upstream" and "Downstream" and the Implications for Modeling Vertical Mergers," Journal of Industrial Economics, Wiley Blackwell, vol. 37(4), pages 373-87, June.
- Richard N. Langlois, 1999. "Technological Standards, Innovation, and Essential Facilities: Toward a Schumpeterian Post-Chicago Approach," Working papers 1999-07, University of Connecticut, Department of Economics.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (ZBW - German National Library of Economics).
If references are entirely missing, you can add them using this form.